Andrei Zhizdan
If we compare the information of the statistical authority for ten years – the period from 2014 to 2023 – we can judge the evolution of the market and its dynamics. It is growing and developing, judging by the number of companies and their turnover. In 2014 there were 497, and in 2023 there are already 1,446. A similar trend is observed in the number of employees – from 1370 to 2915. And also in terms of market turnover – from 297 million lei in 2014 to 1,237 million lei in 2023.
This means that the eternal dilemma of what is better – a full-time accountant or outsourcing – is almost solved, according to the statistics. Turnover and the number of employees of companies are growing, which indicates the expansion of the market, the emergence of new companies, and the fact that outsourcing of accounting services is becoming more and more attractive. If earlier it was used to optimize costs, now outsourcing services are no longer perceived as cheaper, but rather as higher quality. Such companies have the necessary concentration of specialists who are familiar with a large number of situations from different areas of the economy. Therefore, outsourcing today may cost more.
In this context, it is worth mentioning that the turnover of the accounting services market is much higher than that of the audit market. This is explained by the fact that in Moldova many audit companies from the three main pillars of income (audit, accounting services, consulting) accounting outsourcing has long and firmly taken the first place, sometimes exceeding 50% of the total income. In addition, auditing is seasonal – the company is engaged in it for about 4-5 months a year.
As for pricing, experts note several points. The cost of services of international companies is much higher than local ones. Besides, if Moldovan companies use monthly payment for their services, the Big 4 and Big 10 companies are strictly focused on hourly payment. In such companies, an hour of work for a novice accountant costs about 50 euros, and an hour for a partner – 500 euros. In medium-sized Moldovan companies, an hour of work of a partner is estimated within 50-80 euros, and the hour of work of beginners and ordinary accountants – 20-30 euros. The price depends on the scope of the service, the size of the company and many other indicators.
Abroad, accounting and taxation are two different areas of activity of companies. In our country it is a combination of two components. Therefore, based on the price-quality ratio, often Moldovan companies provide services to foreign clients. “Today we can already talk about a certain level of quality of our accountants and their competitiveness on this market,” says Andrei Jizdan, director of Jizdan & Partners, member of the board of directors of ASAR. – It is true that Moldovan companies have less experience in large projects and project management. A large international structure with branches in Romania and Moldova more often uses the competencies of Romanian specialists in large transactions. We have fewer of them, which is understandable, so, as a rule, we are supervised by our neighbors”.
If we talk about competition between local and international companies, it is not as high in accounting services as in auditing. This is also because international companies are more involved in auditing and consulting. And accounting is more often a related field for them.
Pricing of services on the local market is still influenced by such a factor as dumping. Disloyal competition arises from companies that pay their employees “gray” salaries. “Today on our market the minimum salary cannot be lower than 10 thousand lei without taxes,” says Vera Baciu, partner of Forvis Mazars Moldova. – However, in this field, and in auditing, one can see remuneration of 2.5 thousand lei. Large companies, including international ones, cannot afford it, so the cost of their services is high”.
It’s also possible because the Moldovan market is insufficiently regulated, she said. There is no certification or licensing of these activities. Nor control by professional organizations. “On the one hand, it is good, the market is free and you can open a firm without problems,” continues Vera Baciu. – But it lowers the level and deprives clients of protection from low-quality services”.
In other countries, the accounting services market is more regulated. In Romania, for example, companies receive a document for conducting such activities. Not any accountant can sign a report there, but the one who is authorized to do so. The same applies to the submission of reports.
In Moldova, ASAR, the Chamber of Tax Consultants, and other associations have long promoted the idea of certification of this activity. For clients such a document would be a certain guarantee of professionalism. The expert notes that now the specialists of the World Bank office in Moldova are also engaged in the problems of the market, including certification. They are preparing market statistics and correlating it with the practice of different countries.
There is another positive trend: having reached a certain level, Moldovan companies go beyond the Moldovan market. More and more of them become members of international networks, which is also a kind of quality guarantee.
In this context, we should not fail to mention the international certificates that Moldovan accountants receive. They confirm their high qualification and professional level. The most popular are ACCA, CIPA and CAP certificates. The Moldovan Academy of Economics has signed an agreement with ACCA, which allows students of the last courses to pass part of the exams required to obtain this certificate. But they are required for complex and large projects. For most of our market, the requirements may be simpler.
“ACCA specialists have prepared a sample set of tasks for obtaining such documents,” said Vera Bachu. – There is support from the Ministry of Finance and understanding from the State Tax Service. Plus, in the process of implementation of European directives, the market and its requirements will change”.
“Certification, on the one hand, should raise the level of quality and weed out weak links,” believes Andrei Zhizdan. – On the other hand, it creates certain prerequisites for larger players to cover the market. I lean towards more liberal views in economics and believe that the market is capable of self-regulation. A customer who gets burned tends to move on to the next level. That’s why a middle ground is needed, because pressure is fraught with certain problems. When the state interferes too much in business, it is bad. We have two associations, one of which is a large one, and it too can turn into the state in a sense. So there are a lot of nuances here, although it would be nice if not everyone who has completed a course could consider himself a specialist. Some intervention is necessary, but again, not by the state, but by the professional community.
