A number of situations could indicate that forensic accounting is necessary, such as:
Theft – Do you have concerns about whether your company has lost money to employee theft, misappropriation of funds, or fraud? Forensic accounting will uncover the facts.
Dissolution of partnership – Fair and accurate representation of the financial position of the business is necessary in order to divide assets, price a buy-out, or distribute compensation appropriately.
Acquisition of a new business – Before you buy a business entity, you will want a thorough analysis of the financial records to ensure that there is no misrepresentation of worth or any financial irregularities.
Litigation – You need to be certain that documentation of financial position will stand up in court.