Once the merger goes ahead, the new entity would become the world’s third largest accounting association, representing 300 members in 79 countries. IAPA currently reports annual fee income of $1.1bn with 335 offices in 67 countries. Allinial Global, formerly known as ARAF has primarily US membership and estimated fee income of $1.5bn a year. Praxity is the largest global association with fee income of $4.36bn according to the Accountancy Top 25 Networks Survey.

Allinial Global’s president and CEO Terry Snyder and IAPA’s CEO Stephen Hamlet will lead a team of representatives from both associations into further discussions and work through the necessary details.

The proposed combination is subject to the execution of a definitive agreement with board and membership approval. If approved, the combination is expected to occur by the end of 2016.

‘It is clear that both associations share a committed focus to delivering an agile and exceptional level of service to their respective members and their clients,’ said Snyder.

‘We share the same vision for continuing to provide members with flexible, strategic and groundbreaking tools to better serve clients with international accounting needs. I am excited at the prospect of a combined global powerhouse that truly values innovation and independence.’

‘I see this combination as a win-win for both our outstanding memberships and, in particular, for the clients of our members who rely on valuable and trusted resources around the world,’ said Stephen Hamlet, IAPA CEO.

‘Our associations complement each other so well - from our strong global representation and diverse cultures, to our combined geographic footprint which will provide an extended global reach to resources from 300 firms worldwide.

‘Opportunities to unite two highly respected and complementary organisations do not come along too often; and I look forward to working with my new and current colleagues from both associations to achieve this combination.’