A bank lost $95M, auditors still signed off

Wondering how to prepare your firm for a future sale? Today’s edition explores how value pricing may be the answer you’re looking for. We’re also talking about the bank that got involved in a $95 million deposit scandal while still earning clean audits from some of the biggest accounting firms in the country.

But first, some accounting-celebrity gossip. Check out the KPMG accountant who caused Hollywood to do a double-take at the recent Golden Globes Awards.

Student mode on: Why bookkeeping and accounting firms need continuous learning to survive. 

Neurodivergent CPAs: An autistic accounting professor rates two of the Big 4’s neurodivergent support programs.

Unsubscribe from work: Strict FASB accounting standards may be driving accountants away from the industry. 

Heavy lifting: Manager responsibilities are growing as team sizes get bigger in the workplace. 

2026 blueprint: Five priorities for auditors to focus on in the new year. 

Value pricing to make the sale

Selling your firm can be a multi-year process, but you’ll have better success by investing your time and money in the right areas. Teresa Slack recently shared with the Accounting Insiders Podcast the secret behind how she sold her Canadian bookkeeping firm, Financly (along with her sister, and co-owner, Connie Smith). 

After struggling with poorly trained staff and underpriced services, the duo shifted to value pricing and narrowed their niche to e-commerce business owners. They also created systemized onboarding processes to match the right service to each new client.  

Why this matters: Firms become more sustainable and attractive to buyers when there are systems in place, as well as enough profit for the purchase to make financial sense. (Accounting Insiders Podcast)

Clean bank audits add to missing $95 million mystery

Blake Oliver and David Leary of The Accounting Podcast break down recent insights into last year’s fintech scandal involving Evolve Bank and Synapse. Newly obtained documents reveal that in the two years leading up to millions of dollars in missing customer deposits, both Crowe and KPMG passed off clean audits for Evolve. 

That’s after discovering hundreds of account discrepancies. Among all of Synapse’s banking clients before it filed for bankruptcy, up to $95 million in deposits went missing.  

Why this matters: Integrating fintech is increasingly common in all industries and CPA firms need to tread carefully in order to maintain their reputations. This story is a reminder to include embedded finance protocols into your clients’ audit routines. (The Accounting Podcast)

51%

Percentage of CFOs who expect operations expenses to increase this year (CPA Practice Advisor)

• Why tax accountants should skip generic AI brands
• $5 million accounting fraud scheme turns deadly in South Florida
• Environmental accountants put a price tag on nature’s economic contributions
• Small business owners optimistic for 2026

Client lawsuit? Don't punish your entire book of business

When an audit firm’s client is faced with a securities fraud lawsuit, research shows that the company tends to opt for more conservative accounting for the next three years. But the client involved in the lawsuit isn’t the only one impacted. Auditors are likely to pass on that accounting conservatism to their other clients as well. But in the past, FASB has argued that systematic pessimism can hurt companies and shouldn’t be considered a desired feature. 

Why this matters: High-risk clients can unintentionally impact a firm’s entire client base. Firm owners should create a culture that doesn’t reward conservatism with lower-risk clients if it isn’t warranted. (UCLA Anderson Review)

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The Net Gains is curated and written by Lauren Ward and edited by Bianca Prieto.