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The accounting firm M&A market has moved beyond traditional revenue-based valuation models, with buyers now placing greater emphasis on sustainable, transferable earnings, recurring revenue, and a firm's ability to grow independently of its owner. Firms that combine compliance services with higher-value advisory offerings, such as tax planning, outsourced CFO services, and business consulting, are generally viewed as more attractive because they generate stronger client relationships, more predictable cash flow, and greater opportunities for long-term growth. David A. Perez, tax strategist and chief executive of Tax Maverick AI, argues that owners seeking premium valuations should reduce dependence on the founder by developing management teams, transferring client relationships, standardizing pricing, documenting operating processes, and tracking key performance metrics well before a sale. The most valuable firms are those that can demonstrate durable client retention, scalable operations, and sustainable profitability, giving owners greater flexibility to pursue either an external sale or an internal succession plan.

 

Accounting Today

A U.S. appeals court has overturned a preliminary injunction that prevented Perplexity from using its artificial intelligence (AI)-powered shopping tools on Amazon's platform, ruling that Amazon is unlikely to succeed in its claim that the technology breaches federal computer-hacking laws. The court found that it is Perplexity's users, rather than the company itself, who access Amazon through the AI agent, in a decision that could set an important precedent for the rapidly growing market for agentic AI tools. In other Amazon legal news, New Jersey has filed an antitrust lawsuit against the firm, alleging that it unlawfully uses its dominant position in the market for delivery drivers to suppress competition, keep wages artificially low and impose poor working conditions on contractors in its Delivery Service Partner (DSP) network. Amazon has rejected the allegations, saying its delivery partners are independent businesses that control their own hiring and operations.

 

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Wall Street Journal

Apple has asked a U.S. judge for a preliminary injunction barring two former employees ​and OpenAI from accessing, acquiring, using or disclosing alleged confidential information as ‌it moves ahead with its trade secrets case. The tech giant sued OpenAI last month, alleging that former Apple employees who went to work for the ChatGPT maker stole trade secrets. Quartz notes that the lawsuit marked a sharp deterioration in a relationship that had once produced a 2024 agreement to integrate ChatGPT into Siri, a partnership that has since collapsed.

 

Quartz

A federal judge in California has said lawsuits challenging Paramount Skydance's acquisition of Warner Bros. Discovery will ​go to trial in March 2027. U.S. District Judge Araceli Martínez-Olguín said the antitrust trial will begin March 2nd with an expectation that it will run for 12 court days. The Wall Street Journal reports that the ruling could prove costly for Paramount. Its agreement with Warner includes a “ticking fee” with payments to Warner shareholders of roughly $650m a quarter, beginning this October, until the transaction closes.

 

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The U.S. trade deficit narrowed 5.6% to $73.3bn in June as imports fell 1.8% to $388bn and exports declined 0.9% to $314.7bn, reflecting a slowdown after unusually strong trade activity in May. Imports from Mexico, Vietnam, and South Korea reached record levels, while services imports and exports both hit all-time highs. The data underscores continued volatility in global trade as businesses adjust to tariffs, shifting supply chains, and geopolitical disruptions, with the Trump administration continuing to pursue tariffs aimed at reducing the U.S. trade deficit despite ongoing legal and economic challenges.

 

Bloomberg

New York Times

The Commerce Department reported on Tuesday that U.S. factory orders unexpectedly fell 0.3% in June, following a revised 1.1% decline in May, missing expectations for a modest rebound. The weakness was driven by sharp declines in orders for defense aircraft and mining, oil, and gas field machinery, although overall manufacturing activity continued to benefit from robust business investment in artificial intelligence infrastructure and front-loaded purchases aimed at mitigating supply chain disruptions and higher costs linked to the Middle East conflict. Underlying business investment remained resilient, with orders for non-defense capital goods excluding aircraft - a key measure of equipment spending plans - rising 1.2%, while shipments of those goods increased 2.0%. Demand for computers and electronic products climbed 3.2% from the previous month and 13.9% year over year, underscoring continued strength in AI-related spending, while orders also increased for electrical equipment, motor vehicles, commercial aircraft, and primary metals.

 

Reuters

U.S. job openings fell by 178,000 to 7.36m in June, slightly below economists’ expectations, reflecting softer labor demand led by a 147,000 decline in healthcare and social assistance vacancies, according to the Labor Department’s JOLTS report. The job openings rate edged down to 4.4% from 4.5%, although economists continue to characterize the labor market as stable rather than weakening. Despite fewer open positions, hiring increased by 96,000 to 5.35m, lifting the hires rate to 3.4%, while layoffs and discharges remained largely unchanged at 1.77m, with the layoffs rate holding at 1.1%. The combination of modest hiring gains and low layoffs reinforces the view that the labor market remains in a "slow-hire, slow-fire" environment, allowing the Federal Reserve to keep its focus on inflation ahead of Friday’s July employment report, where economists expect payroll growth of 80,000 and the unemployment rate to remain at 4.2%.

 

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Reuters

A senior supervisor at the U.S. Consumer Financial Protection Bureau (CFPB) warned staff they could face "the most unpleasant" consequences if they made inflammatory or overly aggressive remarks during examinations of financial firms, according to an internal email obtained by Reuters. The message, sent by Chief Examiner Fatima Batie in May as the agency resumed inspections after a lengthy pause, has prompted criticism from former officials, who argue it could discourage rigorous oversight and embolden the companies the CFPB regulates. The email reflects the Trump administration's broader effort to scale back financial regulation. Former acting CFPB Director Russell Vought has said the agency has recalibrated its supervisory approach to minimize burdens on businesses, while agency leadership has reduced the number of examinations by around 50% and shifted focus away from areas such as student loans and medical debt. Similar changes have been introduced by other federal banking regulators, which have encouraged financial institutions to report concerns about examiner conduct. 

 

Reuters

U.S. Senator Ron Wyden has called for federal regulators to investigate major banks regarding their management of the late sex offender Jeffrey Epstein's accounts, citing potential violations of anti-money laundering laws. In a report released on Tuesday, Wyden alleged that Bank of America, Deutsche Bank, and JPMorgan Chase failed to report suspicious transactions linked to Epstein in a timely manner. The report said that Bank of America did not properly screen $170m in payments to Epstein, while Deutsche Bank delayed reporting over $250m in suspicious wire transfers. JPMorgan was accused of delaying the reporting of over $1bn in transactions. A spokesperson for JPMorgan said: "We acted appropriately on what we knew, when we knew it, as the law requires." Wyden's investigation included a review of suspicious activity reports and testimonies from various financial institutions. Epstein, who died in 2019, had connections with multiple banks during his lifetime.

 

U.S. News

McDonald's has reported second-quarter revenue of $7.1bn, slightly below analysts' expectations, while net income rose 5% to $2.36bn, and adjusted earnings per share of $3.38 beat forecasts. U.S. comparable sales increased 0.8%, meeting expectations but reflecting slower domestic growth as lower customer traffic was offset by higher average spending and sales of premium menu items. The company said recent marketing campaigns, value promotions, and operational complexity failed to meet expectations, prompting plans to simplify operations and improve service. As part of that effort, McDonald's has appointed Skye Anderson as president of its U.S. business, replacing Joe Erlinger, with chief executive Chris Kempczinski saying that Ms. Anderson will focus on strengthening value offerings, marketing, and execution as the company looks to accelerate growth.

 

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Match Group reported second-quarter revenue of $853.1m, down 1% year over year and below analysts' expectations of $857.8m, as continued weakness at Tinder offset strong growth at Hinge. Tinder revenue declined 1% to $457.5m, reflecting fewer paying users and the impact of product changes, while Hinge revenue increased 22% to $203.5m. Second-quarter net profit rose to $170.5m , or 70 cents per share, from $125.5m, or 49 cents per share, a year earlier, beating analysts' expectations of 65 cents per share. For the third quarter, Match expects revenue of $885m-$895m, representing a 2%-3% year-over-year decline, while forecasting adjusted EBITDA of $330-$335m, above Wall Street expectations. 

 

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The FASB has added a project on goodwill impairment testing to its technical agenda. The initiative aims to simplify the testing process by eliminating the annual requirement for public companies and certain private entities, which could reduce costs and complexities. FASB staff suggested testing goodwill at the operating segment level instead of the current reporting unit level, which may lead to fewer recognized impairment charges. FASB chair Richard Jones emphasized the importance of robust disclosures around goodwill and impairment testing, saying: "Usually, there's a robust set of disclosures around goodwill and impairment testing when it's close." Vice chair Hillary Salo also noted the significant costs associated with annual impairment tests, advocating for the proposed changes to enhance efficiency.

 

Accounting Today

About 400 of the roughly 4,000 apparel factories in Bangladesh have shut over the past two years, eliminating tens of thousands of jobs, according to the Bangladesh Garment Manufacturers and Exporters Association. The sector employs more than 4.5m people, most of them women. Analysts say Bangladesh faces a challenge in Europe, its largest market, as India and Vietnam gain ground through free-trade agreements, and the pressure could build as Bangladesh is set to lose duty-free preferential market access in Europe and other countries because its status as a least-developed country is scheduled to expire in 2029. "If Bangladesh fails to strike free-trade agreements after the end of the preferential trade regime, the country may risk losing competitiveness", observed Dhaka University professor Selim Raihan.

 

France 24

Europe’s worst wildfire season in recent history is expected to result in billions of euros in insured losses, with private insurers likely to absorb most of the immediate costs, but the growing scale and frequency of climate-driven disasters are exposing a widening insurance protection gap. Analysts warn that while current losses remain manageable, future wildfires threatening major urban areas could significantly increase costs, prompting higher insurance premiums and renewed calls for stronger public-private solutions to address Europe’s rising climate risk.

 

Reuters

Recruiters and hiring managers say parental involvement in the careers of young adults is becoming increasingly common, with some parents contacting employers, applying for jobs on behalf of their children, attending interviews, or even participating in workplace discussions. Human resources professionals say the trend has become far more widespread in recent years, particularly among Gen Z workers, raising concerns that excessive parental involvement signals a lack of independence and self-reliance. While some parents argue they are simply helping their children navigate a difficult job market or providing networking support, employers say direct intervention rarely improves hiring prospects and can instead create a negative impression. A survey by résumé service Zety found that 20% of Gen Z respondents had a parent attend a job interview with them, while HR professionals reported receiving calls from parents about applications, performance reviews, benefits, and even absences. Many employers said they now encourage parents to step back and instead coach their children to communicate directly with managers and recruiters.

 

Wall Street Journal