Andersen Catching up With Large Consultancies Faster Than Expected
Andersen Hungary increased its revenues by almost 20% in 2021, further consolidating its position on the tax and legal advisory services market. The pace of growth clearly exceeds preliminary plans. The Budapest-based tax consultancy and law firm is now the fifth largest player on the Hungarian market after the Big 4 companies.
The iconic brand returned to Hungary in July 2020, after a break of 18 years, thanks to the cooperation between OrienTax Tax Advisory Ltd. and Szabó, Kelemen & Partners Andersen Attorneys. According to their agreement, the two companies perform their activities as members of the Andersen Global international consultancy group.
The return of Andersen clearly generated competition in the Hungarian consultancy market. The economic downturn caused by the epidemic has not hindered the firm’s business expansion. It is evident in the increase in its clientele, the larger volume of engagements and the significant improvement of the key financial indices.
In 2021, Andersen Hungary realized a 20% sales revenue increase compared to the previous year. This pace clearly exceeds the average 14-15% annual revenue increase goal set by the company’s management. The firm currently has 100 staff, including almost 90 tax and legal experts, which is a significant step forward compared to the past.
According to Károly Radnai, managing partner of Andersen Adótanácsadó Zrt., the faster-than-expected growth rate is due to several factors.
Dynamic Working Relationship
“We managed to establish a dynamic working relationship between the tax and legal teams, though we also work closely with our foreign partner offices. We benefit greatly from the results of Andersen’s regional business development activities, which are based on the collaboration of joint service line teams and the international office network’s industry experts,” says Radnai, who was elected to Andersen’s European Board of Directors for the second time in December.
Additionally, the office has also been intensively developing the range of its services. A good example of this is the tax allowance and state grants business line, launched last year, which has already attracted a strong client base and generated significant revenues.
“While many people in Hungary are involved in compiling traditional tender documentation, far fewer provide consultancy on state grants. We strive to be, if not necessarily the biggest, clearly the best in this field, while also challenging the dominance of the Big4,” Radnai outlines.
In addition to taxation, Andersen’s Hungarian legal service provider, Szabó Kelemen & Partners Andersen Attorneys, further strengthened its market position in 2021. Based on the latest publication of the Budapest Business Journal’s Book of Lists, compared to the conditions a year before, the firm is currently in eighth place in the ranking of law firms with international connections, up one place from a year ago.
“We’re particularly proud of this result, because we achieved it against an extremely strong field of highly-qualified competitors. We have clearly caught up with the biggest players, which is supported by the number and volume of engagements that we won. Our staff provide legal services for both domestic and multinational companies and participate in significant domestic and cross-border transactions as legal advisors,” says László Kelemen, partner at Szabó Kelemen & Partners Andersen Attorneys.
This article was first published in the Budapest Business Journal print issue of April 22, 2022.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.