The $50 Billion Strategy: Why CPA Firms Outsource to Scale Advisory Services

Nearly 95% of tax professionals say their clients want more than just compliance—they want strategic financial advice. A promising statistic that indicates the growing demand for reshaping the role of CPA firms, pushing them beyond traditional services with the inclusion of advisory services. However, even though the opportunity is clear, the path towards scaling advisory services is not that simple.

CPA firms don’t have a shortage when it comes to challenges: limited bandwidth, difficulty hiring specialized talent, and the need to deliver consistent, high-value insights year-round. As firms aim to meet client expectations and stay competitive, many are turning to a powerful solution – Outsourcing.

Outsourcing allows CPA firms to expand and augment their advisory offerings without stretching thin internal resources. It provides access to specialized expertise, operational flexibility, and the ability to scale services in line with what clients' demand. This blog explores how outsourcing has become a strategic necessity for CPA firms aiming to grow their advisory offerings – and how it enables them to deliver more value, more consistently.

The Advisory Boom: What Clients Want—and Why Firms Must Deliver 

The accounting profession has been going through a transformation for the past few years. Although tax preparation and compliance remain on the frontlines of services offered, CPA firms are increasingly being called upon to deliver strategic guidance that goes beyond the numbers. Advisory services – from financial planning and cash flow forecasting to business modeling and KPI analysis – are now central to how firms deliver value to their clients.

This shift is brought on mainly by client demand. According to a Thomson Reuters Institute survey, 95% of tax professionals believe their clients want financial advisory services. Clients are no longer content with once-a-year interactions; they seek and prefer ongoing support to navigate growth, manage risk, and make informed decisions. CPA firms that adopt this role become trusted partners, not simply service providers.

The American Institute of CPAs (AICPA) and CPA.com have singled out advisory services as the fastest-growing area in public accounting, with firms offering Client Advisory Services (CAS) experiencing a remarkable 16% growth. This isn’t merely a trend but rather a strategic pivot. Firms that package advisory services along with compliance offerings can command higher fees and build deeper, more profitable relationships.

From tax strategy and entity structuring to benchmarking and performance analysis, advisory services enable CPA firms to help clients achieve long-term success. But with opportunity comes the challenge of scale – especially when advisory work requires specialized skills and consistent engagement.

The Growth Bottleneck: Why Scaling Advisory In-House Isn’t Easy 

Advisory services help CPA firms deepen client relationships and boost revenue but scaling them internally is difficult. Unlike tax prep’s seasonal nature, advisory work demands continuous engagement, strategic insight, and specialized skills—resources many firms lack. 

Talent acquisition is a major hurdle. Advisory roles require professionals with accounting knowledge, business acumen, and consultative skills. Hiring such talent is costly and competitive, especially for smaller firms. Even when firms succeed, training and retention remain challenging. 

Operational capacity is another constraint. Firms are stretched thin during tax season, leaving little room for advisory work. Without a scalable model, they risk burnout or falling short on client expectations. Advisory services also require tailored solutions, making standardization tough. 

Technology offers promise but poses challenges. While digital tools can enhance delivery, they require upfront investment and ongoing support—resources not always available in-house. 

These obstacles highlight the need for a flexible, efficient model to scale advisory services—making outsourcing a compelling solution. 

Outsourcing, Unlocked: The Smart Way to Scale Advisory Services 

For CPA firms looking to scale advisory services, outsourcing isn’t just a cost-saving measure—it’s a strategic growth tool. By partnering with specialized providers, firms can expand capabilities, deliver consistent value, and meet rising client expectations without overburdening internal teams. 

A key benefit is access to specialized talent. Advisory work demands financial expertise, strategic insight, and industry knowledge. Outsourcing firms offer dedicated teams with these skills, allowing CPA firms to tap into high-quality support without the cost and effort of in-house hiring. 

Outsourcing also brings scalability and flexibility. Whether it's seasonal support or launching new services like financial modeling or KPI reporting, partners can adapt quickly—especially valuable for small and mid-sized firms aiming to grow without full-time hires. 

Operational efficiency improves as well. With routine and specialized tasks handled externally, internal teams can focus on client relationships and strategic growth, enhancing the firm’s role as a trusted advisor. 

Financially, outsourcing can be more efficient than building in-house capacity. Firms reduce overhead, streamline billing, and improve margins by delivering high-value services at scale. 

In short, outsourcing helps CPA firms do more with less—boosting expertise, expanding reach, and positioning for long-term growth. 

Follow the Trendline: Why the Market Backs Outsourcing for CPAs 

The rise of outsourcing in the advisory space isn’t just anecdotal—it’s backed by strong market data and global trends. As CPA firms look for scalable ways to meet client demand, the outsourcing advisory services market is expanding rapidly, offering both strategic and operational advantages. 

According to Verified Market Reports, the global outsourcing advisory services market was valued at $30 billion in 2024 and is projected to reach $50 billion by 2033, growing at a CAGR of 6.5%. This growth is fueled by the increasing complexity of business operations, the need for cost-efficiency, and the widespread adoption of digital transformation initiatives. 

The demand for outsourcing is also being driven by the rise of cloud computing, AI, and automation. These technologies require expertise that many firms don’t have internally, making outsourcing a practical way to stay competitive. Additionally, outsourcing advisory services are being adopted across industries like healthcare, finance, and IT—validating their effectiveness and versatility. 

In short, the market is signaling a clear shift: outsourcing is no longer optional—it’s strategic. For CPA firms aiming to scale advisory services, aligning with this trend is not just smart—it’s essential. 

Making It Work: What CPA Firms Should Know Before Outsourcing 

While outsourcing offers clear advantages, its success hinges on choosing the right partner and setting up the right processes. For CPA firms, this means going beyond cost and evaluating outsourcing relationships through a strategic lens. 

1. Data Security and Compliance:

Advisory services often involve sensitive financial data. Ensuring that your outsourcing partner adheres to U.S. data protection standards—such as SOC 2 compliance and, where applicable, GDPR—is non-negotiable. Firms should also assess how data is stored, accessed, and transmitted to minimize risk. 

2. Domain Expertise and Industry Experience:

Not all outsourcing providers are created equal. Look for partners with proven experience in delivering advisory services to CPA firms or similar financial institutions. Their familiarity with U.S. tax laws, financial regulations, and business practices will directly impact the quality of service. 

3. Communication and Collaboration:

Effective advisory work requires ongoing dialogue. Choose a partner that offers clear communication protocols, dedicated points of contact, and tools that support real-time collaboration. Time zone compatibility and cultural alignment can also make a significant difference in day-to-day operations. 

4. Flexibility and Scalability:

Your outsourcing needs may evolve over time. Whether you’re expanding into new advisory areas or adjusting to seasonal demand, your partner should be able to scale services up or down without disruption. 

By carefully evaluating these factors, CPA firms can build outsourcing relationships that are not only efficient but also aligned with their long-term strategic goals. 

Opportunity vs. Risk: Navigating the Outsourcing Advisory Landscape 

As CPA firms increasingly embrace outsourcing to scale advisory services, they encounter a landscape full of potential—alongside a few key hurdles. Understanding both is essential for strategic decision-making. 

Opportunities: 

Challenges: 

By weighing these factors, CPA firms can build outsourcing strategies that are scalable, resilient, and future-ready. 

The Bottom Line: Why Outsourcing Is the CPA Firm’s Growth Engine 

As the accounting profession and industry continue to evolve, CPA firms need to adapt to meet the growing demands for strategic advisory services. The pathway is clear – clients want more than compliance; they seek insight, guidance, and partnership. However, scaling advisory services internally brings several real challenges: talent shortages, operational constraints, and the need for specialized expertise. 

Outsourcing emerges as a powerful solution. Enabling firms to expand their offerings, deliver consistent value, and remain agile in a dynamic market. With the correct outsourcing strategy, CPA firms can transform advisory services from a growth vision to a scalable reality. 

At Pacific Accounting & Business Services (PABS), we help CPA firms unlock this potential. Whether you're looking to enhance your advisory offerings or streamline delivery, our outsourcing solutions are designed to support your growth—strategically, efficiently, and reliably.