Many of our clients are turning to CRR for outsourced CFO services, to help them manage their finances and accelerate their growth. Hiring a part-time, or "fractional" Chief Financial Officer (CFO) gives smaller businesses access to a professional with years of experience and an outside perspective, while avoiding the high annual salary that a seasoned, full-time CFO would typically require.
A part-time CFO can help your company focus on they key financial elements that will take your business to the next level. Do you think a part-time CFO could benefit your business? Here are 7 key characteristics to look for during the hiring process:
Your CFO will be responsible for seeing the big picture of your company's financial past, present and future—but must also be able to drill down into the minutiae to identify errors or irregularities that could potentially turn into major headaches later on.
The ideal CFO candidate will be able to identify issues, propose solutions, and supervise the work of other accounting team members.
This should go without saying, but your CFO should be well versed in the latest financial, accounting, and regulatory requirements known as Generally Accepted Accounting Principles (GAAP) in the United States.
Since your CFO will be part-time, you'll need someone motivated enough to stay on top of projects and propose forward-looking initiatives, despite not being in the office 40 hours each week.
Choose a CFO who is not only an expert in accounting principles, but has experience in business planning and analysis. You'll want someone who can forecast future scenarios and create a plan for financial success moving forward, on both an accrual and cash basis.
The CFO must be able to communicate effectively with ownership, leaders, vendors, and the entire management team.
Just like a full-time CFO, yours should be an integral part of your leadership team. You'll want a CFO who acts like an owner, who understands your strategic objectives, and can make recommendations and decisions in the best interest of the company.
The part-time CFO model can be highly effective for many smaller businesses, enabling them to meet their financial goals without breaking the bank. If you have questions about CFO outsourcing, leave a comment below, or contact me directly anytime.