Can you imagine stepping into a time machine while also peeking into the future? Seems weird, right? But that’s exactly how it felt at the Accounting Today Private Equity Summit!
You see, there was an entire room full of traditional, boomer-aged white men in jackets and suits. It very much felt like an accounting conference from a decade ago. But there was a big forward-looking twist — discussion around PE investment in accounting firms. When money talks, out come the polished shoes and tailored blazers!
If you missed it, here’s what made this event a mix of nostalgia and fresh ideas:
Attendees at the 2024 PE Summit
Alan Klehr
One room, one crowd, big conversations
The setup was perfect for this topic. There were 300 people in one room, with no breakout sessions to split focus. Everyone had access to the same panels and fireside chats, which meant no FOMO (fear of missing out). And the networking breaks? A dream. Long enough to chat, mingle and snack on donuts or sip some wine.
The discussions were real. It wasn’t all sunshine and rainbows. The panels included firms that had taken PE money sharing their journeys. They talked about the wins, the hurdles and everything in between. And — surprise — not everyone thought PE was the “greatest thing ever.” However, most agreed it brought more positives than negatives.
Fresh cash for fresh ideas
One big takeaway was the opportunity for younger talent. PE introduces a way for high-potential employees to get a piece of the pie early. Forget waiting 15 years to become a partner. With PE, star players can reap financial rewards sooner, boosting retention and motivation.
And PE isn’t about partners cashing out. It’s about reinvesting in technology, hiring top talent and upgrading firm operations. That means firms can compete better, evolve faster and establish sustainable business models.
Busting myths about PE
Some people who walked into that room (and a number of you reading this) may think PE is all about greed. But is it really? Think about the partnership model in traditional firms — partners often pull profits without reinvesting in the business. PE firms, on the other hand, might tighten the ship financially, but they also bring in accountability and growth strategies.
And here’s a fun fact … many PE investors represent pension funds and other institutions. So, in a way, your grandma’s retirement fund might be backing your firm’s transformation. How’s that for perspective?
The big industry shift
PE isn’t for every firm. They are picky. They are looking for well-run businesses with solid growth potential. This raises the bar for everyone. If you’re competing with PE-backed firms, you’ll need to up your game. That means better metrics, stronger management and a more accountable culture.
It’s not just PE making waves. Venture capitalists, fintech and tech companies are entering the accounting space, too. They’re pushing innovation, automating processes and even taking on clients that CPAs traditionally served. The disruption is real!
The innovation dilemma
But where’s the innovation? Sure, PE brings money and management expertise, but that doesn’t necessarily translate to innovation. Technology is often mistaken for innovation, but they’re not the same. Adding automation to a broken business model doesn’t solve fundamental problems.
Firms need to rethink their DNA. Innovation should be baked into their operations, not treated as an afterthought. If PE firms don’t prioritize this, their investments could stall in the long term.
A vision for the future
The future of accounting isn’t just about taking PE money or implementing technology. It’s about reimagining how firms operate at scale. Add to that the opportunity for new players to build firms that embody cutting-edge business models, seamless tech integration and a culture of accountability and growth. Things are looking different!
Now, imagine stepping back into that time machine, but this time you leap ahead to a vibrant, dynamic profession where firms are powered by innovation, fueled by talent and focused on client value all while balancing profitability. That’s where the real transformation lies.
Private equity might be the spark, but the transformation ahead depends on how we as a profession embrace the challenge. Are we content to tweak the old model, or are we ready to design the future? With radical change, we could create a profession that’s not just profitable but also sustainable, innovative and, dare I say, enjoyable to work in.
Change is here, and it’s exciting. Let’s make it meaningful!
Big Four firm PwC announced new agentic AI capacities, including a model that proactively identifies areas of value leakage and acts inside the tools teams already use to fix them itself.
The new solution, Agent Powered Performance, combines continuous AI-driven insight with embedded execution to address the problem of businesses only finding problems when they have already hurt performance. By actively monitoring and working inside the client’s existing systems, though, PwC’s agents can actively and autonomously address such issues.
The software, which is supported by PwC’s recently released Agent OS coordination platform, is embedded in enterprise systems to sense where value is leaking, think through the most effective performance strategies using predictive models and industry benchmarks, and act directly in tools like ERP or CRM software to make improvements stick.
The system connects directly into ERP environments, continuously monitors key metrics, and acts inside the tools teams already use. For example, a supply chain agent might detect rising shipping costs and automatically reroute deliveries to reduce spend. Finance agents can spot and correct billing errors before they reach the customer. Clients typically see measurable efficiency gains in the first quarter, with continued improvements over time as the system learns and adapts.
“Too many transformations still rely on one-off pilots and stale data, stretching the gap from insight to impact and suffocating ROI,” said Saurabh Sarbaliya, PwC’s principal for enterprise strategy and value. “Agent Powered Performance flips the economics by distilling PwC’s industry transformation playbooks into AI agents that turn static insights into compounding gains, without rebooting each time.”
Agent Powered Performance is platform-agnostic and built on an open architecture so it can work across different LLMs based on client preferences and task-specific needs. It works with major enterprise platforms including Oracle, SAP, Workday and Guidewire.
By integrating this standard, agent systems registered as MCP servers can be used by any authorized AI agent. This reduces redundant integration work and the overhead of writing custom logic for each new use case. By standardizing how agents invoke tools and handle responses, MCP also simplifies the interface between agents and enterprise systems, which will serve to reduce development time, lower testing complexity, and cut deployment risk. Finally, any interaction between an agent and an MCP server is authenticated, authorized and logged, and access policies are enforced at the protocol level, which means that compliance and control are native to the system—not layered on after the fact.
This means that agents are no longer siloed. Instead, they can operate as part of a coordinated, governed system that can grow as needs evolve, as MCP support provides the interface to external tools and systems. This enables organizations to move beyond isolated pilots toward integrated systems where agents don’t just reason, but act inside real business workflows. It marks a shift from experimentation to adoption, from isolated tools to scalable, governed intelligence.
Research Composer
Finally, a PwC spokesperson said the firm has also launched a new internal tool for its professionals called Research Composer, a patent-pending AI research agent embedded in the firm’s ChatPwC suite, designed to accelerate insight generation by combining web data with PwC-uploaded content.
Professionals will use the Research Composer to produce in-depth, citation-backed reports for either the firm or its clients. The solution is intended to enhance the quality of client work by equipping teams with research and strategic analysis capabilities.
The AI agent prompts users through a step-by-step research workflow, allowing them to shape how reports are packaged—tailoring the output to meet strategic needs. For example, a manager in advisory services might use Research Composer to evaluate white space opportunities across industries or geographies, drawing from internal reports and up-to-date market data.
Eide Bailly, a Top 25 Firm based in Fargo, North Dakota, is growing its presence in the Pacific Northwest by adding Traner Smith, based in Edmonds, Washington, effective June 2, 2025.
Traner Smith’s team includes two partners and 16 staff members and specializes in tax compliance and advisory services. Financial terms of the deal were not disclosed. Eide Bailly ranked No. 19 on Accounting Today‘s 2025 list of the Top 100 Firms, with $704.98 million in annual revenue, approximately 387 partners and over 3,500 employees.
Eide Bailly already has offices in Seattle, but hopes to grow further in the Pacific Northwest. “We’re pleased to welcome the talented team at Traner Smith to Eide Bailly,” said Eide Bailly managing partner and CEO Jeremy Hauk in a statement Monday. “Their expertise with high-net-worth individuals, real estate and privately held businesses aligns well with our strengths, and their client-centric approach is a perfect cultural fit. Having an office in Edmonds, Washington, is a great complement to our existing presence in Seattle. Together, we’re poised to deliver even greater value to families and businesses in the Seattle metro area.”
“Joining Eide Bailly is a natural next step for us — it provides access to deeper technical resources in areas like state and local tax, national tax, succession planning and international tax while allowing us to continue the personalized service our clients value,” said Kevin Smith, a partner at Traner Smith, in a statement.
“With this expanded support and platform, we’re excited to grow our reach, elevate what we do best, and help more clients than ever before,” said Shane Summer, another partner at Traner Smith, in a statement.
Eide Bailly has announced several other mergers in recent weeks. Earlier this month, it added Hamilton Tharp, a firm based in Solana Beach, California, and Roycon, a Salesforce consulting firm in Austin, Texas. In late April, it merged in Volpe Brown & Co., in North Canton, Ohio. Eide Bailly expanded to Ohio last year by merging in Apple Growth Partners. Last year, Eide Bailly also sold its wealth management practice to Sequoia Financial Group. The deal with Sequoia appears to be fueling the recent M&A activity. As part of the deal, Eide Bailly Advisors became part of Sequoia Financial, while Eide Bailly received an equity investment in Sequoia.
Top 100 firm BMSS announced an investment in Knuula, an engagement letter and client documents software provider. The investment from BMSS came after successfully implementing Knuula over the past year to streamline its engagement letter process. It was after doing so that the firm’s leadership came to believe that Knuula could create complex client documents at an enormous scale, which was a huge need for the broader accounting industry. BMSS thought this presented a great opportunity to guide Knuula and help facilitate its growth.
“We began working with Knuula in Spring 2024 to streamline our engagement letter process,” said Don Murphy, Managing Member of BMSS. “It quickly became clear that Knuula was not only a strong solution for us, but also an ideal partner in advancing industry-wide automation.”
While the specific terms of the deal were not disclosed, a spokesperson with Knuula said that, after this investment, BMSS and a collection of 21 of their partners now own 13% of the company. The investment represents not some passive revenue deal but an active collaboration between the two companies, with the spokesperson saying they will be working closely together on things like product development, new features, improvements, and networking.
The deal comes about a year after Knuula integrated with QuickFee, a receivables management platform for professional service providers, which allowed users to have engagement letters directly connecting to their QuickFee billing platform, tying the execution of the letter directly to the billing process.
“We’ve long sought to partner with a firm focused on strategic innovation in the accounting space,” said Jamie Peebles, founder of Knuula. “To develop a perfect solution for large firms, it is ideal to have a partner that is willing to work closely together and iterate quickly. This requires constant feedback between our two teams. The IT team from BMSS worked with our development team constantly and helped us iterate rapidly. We also had consistent input from partners, manager, and administrative staff to help us make valuable changes to Knuula. BMSS was a perfect partner for us.”