Corporate Insolvency Service Market Report 2025

The corporate insolvency service market size has grown strongly in recent years. It will grow from $11.55 billion in 2024 to $12.45 billion in 2025 at a compound annual growth rate (CAGR) of 7.7%. The growth observed during the historic period is driven by rising corporate debt levels, increasing interest rates, a higher rate of business closures, strengthened regulatory oversight, and growing economic uncertainties.

The corporate insolvency service market size is expected to see strong growth in the next few years. It will grow to $16.54 billion in 2029 at a compound annual growth rate (CAGR) of 7.4%. The projected growth during the forecast period is driven by a rise in cross-border insolvency cases, growing demand for restructuring services, increased focus on creditor protection, heightened financial distress among startups, and greater government involvement in insolvency processes. Key trends expected during this period include advancements in digital case management tools, innovations in debt restructuring models, the development of AI-powered insolvency analytics, enhanced collaboration platforms for stakeholders, and progress in forensic investigation technologies.

The growing incidence of corporate bankruptcy is expected to fuel growth in the corporate insolvency service market. Corporate bankruptcy is a legal process through which businesses unable to meet their debt obligations seek relief from some or all liabilities under court supervision. This trend is largely driven by economic downturns, where reduced consumer spending and tighter credit conditions strain cash flows and profitability, making it challenging for companies to fulfill financial obligations and increasing business failures. Corporate insolvency services support these processes by ensuring regulatory compliance, facilitating orderly insolvency proceedings, and assisting stakeholders in managing financial distress effectively. For example, according to the UK’s Insolvency Service in January 2023, company insolvencies in Q4 2022 rose by 7% compared to Q3 2022 and were 30% higher than in Q4 2021. In total, 22,109 company insolvencies were recorded in 2022 (seasonally adjusted), marking the highest annual figure and a 57% increase from 2021. Consequently, the rising incidence of corporate bankruptcy is driving growth in the corporate insolvency service market.

Key players in the corporate insolvency service market are prioritizing the development of innovative solutions, such as advanced risk assessment tools, to help businesses detect financial distress early and implement effective recovery strategies. Advanced risk assessment tools use software or methodologies to analyze a company’s financial and operational data, identifying potential signs of insolvency or financial instability at an early stage. For example, in May 2024, PKF Attest Auditores S.L.P., a Spain-based professional services firm, introduced its Corporate Insolvency Compliance Service to meet the growing demand for proactive financial risk management. The service is designed to support company executives and senior management in complying with the new European directive aimed at preventing insolvency. It consists of four key stages: an initial analysis of the company’s economic and financial situation to evaluate its health, a detailed risk mapping to identify potential vulnerabilities, the creation of customized protocols for social administrators and executives to act upon, and ongoing updates to ensure strategies remain aligned with the company’s evolving circumstances.

In April 2024, PKF Smith Cooper Limited, a UK-based professional services and business recovery technology firm, acquired BLB Advisory Limited for an undisclosed sum. This acquisition enables PKF Smith Cooper to bolster its business recovery and restructuring offerings by incorporating BLB Advisory’s insolvency expertise, expanding its regional presence with three new offices in the West Midlands, and improving support for distressed SMEs and owner-managed businesses in sectors such as manufacturing, transport, retail, and hospitality. BLB Advisory Limited, based in the UK, specializes in insolvency and restructuring technology, providing financial recovery solutions for small and medium enterprises.

Major players in the corporate insolvency service market are Deloitte Touche Tohmatsu Limited., PricewaterhouseCoopers International Limited., Ernst And Young Global Limited., Klynveld Peat Marwick Goerdeler (KPMG), RSM International, FTI Consulting Inc., Houlihan Lokey Inc., Alvarez And Marsal LLC., Baker Tilly US LLP., Evelyn Partners, Kroll Inc., Crowe Global, Clifford Chance LLP, AlixPartners LLP, Begbies Traynor Group plc, FRP Advisory LLP, Johnston Carmichael LLP, BDO International Limited., ASC Group, and Grant Thornton International Ltd.

North America was the largest region in the corporate insolvency service market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in corporate insolvency service report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the corporate insolvency service market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the financial sector, particularly in investment strategies and risk management. Heightened tariffs have fueled market volatility, prompting cautious behavior among institutional investors and increasing demand for hedging instruments. Banks and asset managers are facing higher costs associated with cross-border transactions, as tariffs disrupt global supply chains and dampen corporate earnings, key drivers of equity market performance. Insurance companies, meanwhile, are grappling with increased claims risks tied to supply chain disruptions and trade-related business losses. Additionally, reduced consumer spending and weakened export demand are constraining credit growth and investment appetite. The sector must now prioritize diversification, digital transformation, and robust scenario planning to navigate the heightened economic uncertainty and protect profitability.

Corporate insolvency services involve professional support provided to financially distressed companies to evaluate their financial position, manage creditor claims, and carry out processes such as liquidation, restructuring, or administration in line with legal requirements. These services aim to help businesses handle insolvency in an orderly and compliant manner, safeguard stakeholder interests, and maximize the value recovered for creditors.

The primary types of corporate insolvency services include administration, company voluntary liquidation, creditors voluntary liquidation (CVL), compulsory liquidation, and others. Administration is a legal procedure in which an appointed administrator assumes control of an insolvent company to restructure operations, optimize creditor returns, or prevent liquidation. Corporate insolvency services often utilize technology solutions such as insolvency management software, data analytics tools, financial modeling software, and workflow automation platforms. These services are provided to businesses of all sizes, including small and medium enterprises as well as large corporations, and are applied across industries such as banking, financial services and insurance (BFSI), manufacturing, retail, healthcare, and information technology.

The corporate insolvency service market research report is one of a series of new reports that provides corporate insolvency service market statistics, including corporate insolvency service industry global market size, regional shares, competitors with the corporate insolvency service market share, corporate insolvency service market segments, market trends, and opportunities, and any further data you may need to thrive in the corporate insolvency service industry. This corporate insolvency service market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The corporate insolvency service market includes revenues earned by entities by providing services such as debt settlement management, legal processes assistance, and ensuring fair treatment of creditors and stakeholders. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 3-5 business days.