Is "CPA" a Dirty Word Now?

Here’s the scoop: it’s not technically a “dirty” word. This topic is a good topic for a business owner-to-business owner conversation, and we’re here for it. We love CPAs and work with many of them, thus, we’ve noticed a trend. This article details the trend we’re alluding to. 

CPAs at Top 100 private-equity owned accounting firms are being told to remove the ‘CPA’ designation from their signature in emails and even their names on LinkedIn. 

As a managed IT provider, we are passionately against private-equity firms. With that lens, we're diving deep on this topic and the trends we're seeing within the CPA profession.

How is this impacting the industry? What does it mean? We’re spilling the tea in this article.

Why Aren’t Accounting Firms Using “CPA”? 

Mega groups are starting to hide the CPA title. Why? In short, some accounting firms, particularly those with private equity backing, are trying to make it easier to outsource people in our opinion. Basically, if you get used to seeing employee email signatures without the ‘CPA’ designation, it’s not an immediate red flag anymore to not see ‘CPA’ in the signature line. 

In fact, some firms strongly discourage CPAs from using the designation on their public profiles. This is mainly due to the ethics and accountability associated with the CPA license, which can sometimes clash with the image and practices of private equity firms. 

Individuals at non-CPA firms who use the CPA designation could create a false impression with the public that the firm is a CPA firm when it isn't.

Potential Impact of This Trend

The growing trend of private equity (PE)-backed accounting firms encouraging (or sometimes requiring) employees not to display the “CPA” designation in public profiles (like LinkedIn bios, business cards, and email signatures) can have far-reaching implications for the profession, the public, and the talent pipeline. Here's a structured analysis of the potential impacts:

Erosion of Public Trust and Transparency

The CPA designation has long been a trusted signal to clients and the public that a professional meets rigorous education, ethics, and competency standards.

• Reduced clarity for clients about who is a licensed CPA vs. who is not.
• Increased perception of accounting firms shifting toward consulting and financial services, away from regulated public accounting.
• Potential confusion in the market if firms trade on the credibility of the CPA brand while de-emphasizing it publicly.

Regulatory and Legal Risks

• State boards of accountancy regulate the use of the CPA designation. Some states require accurate representation of license status in public-facing materials.
• Firms that misrepresent employees' qualifications (or suppress disclosure) could be scrutinized by state boards, the AICPA, or even the FTC under false advertising rules.
• Audit clients and investors may push back if they feel firms are downplaying audit integrity by sidelining the CPA brand.

Cultural Shift Within Firms

• PE-backed firms tend to pursue higher-margin, non-CPA-regulated revenue streams in consulting, advisory, and wealth management.
• Encouraging staff not to highlight "CPA" can signal a devaluation of traditional audit and tax expertise internally.
• There are risks associated with creating two tiers of professionals, CPAs vs. non-CPAs, with fewer incentives for younger staff to pursue CPA licensure.

Talent Pipeline and Professional Identity Impact

• Discouraging display of “CPA” discourages pursuit of the credential:
  • Young professionals may not see value in the CPA path if it’s not visibly rewarded or recognized by their employer.
  • This could accelerate the existing CPA pipeline crisis (declining CPA exam candidates and new licenses).
• There is a potential long-term weakening of the CPA brand, which has historically served as a global gold standard in financial and audit expertise.

Competitive Dynamics and Differentiation

• Non-PE firms or firms that stay committed to traditional public accounting could leverage this trend as a differentiator:
  • Emphasizing “CPA-led, CPA-proud” culture.
  • Reaffirming independence, audit quality, and public trust.
• Possible opportunity for smaller and mid-size firms to retain talent who want to build a career on CPA values.

Our Opinion: How to Differentiate Your CPA Firm

As a managed IT company with many CPA clients, we have found it interesting to read commentary on this trend and ask our clients what they think. The CPA title suggests integrity and adherence to ethical standards, which may not always align with the practices of private equity firms. 

From our observations, equity partners seem to be a thing of the past. It goes something like this: a private equity firm buys up firms, and young CPAs have no path to ownership. This is capitalism at its finest? 

What's next? Taking away passing bonuses?

Here’s what we think:

Independent CPA firms should be proud of their CPA title and educate their clients about these deceptive practices. Private equity firms want to hide the CPA in signatures so that when they outsource to the third world, no one will notice CPA is also missing from them.

What’s Next: Is the ‘CPA’ a Term of the Past? 

This trend is real and certainly impacts the industry, but the CPA term has not completely disappeared. There is still major value in it for independent CPA firms. 

This trend of "CPA erasure" can be detrimental to the value and public standing of the CPA profession, as it may undermine the hard work done to build trust and recognition.

If you are an independent CPA firm, resist this trend by publicizing your transparent use of the CPA designation. 

Who is PK Tech? Besides commenting on accounting industry trends, PK Tech is proud to offer 15 years of experience as a managed IT service provider, focusing on accounting firms. We boast AICPAs SOC 2 Type II attestation, proving via third-party audit by an independent CPA firm that we passed a rigorous and comprehensive assessment of our security and privacy controls. If our team can support your firm, schedule a time to talk with us here.