Find part-time CFOs

In most companies, the CFO is the senior finance leader and a member of the executive management team. They’re responsible for building the finance department, establishing internal controls, strategic planning, and ensuring the overall financial fitness of the company.

Outsourced CFO services serve many of these same business needs, but on an interim basis.

Also known as part-time CFOs or fractional CFOs, an interim CFO fulfils the tasks required in the CFO role.

Outsourced CFO services can take a few different forms:

• A full-time (but non-permanent) CFO, who joins the company for a fixed period or to achieve a specific goal. This could include guiding the business through an audit or fundraising, or building the finance function while you search for a permanent CFO.

• A part-time CFO who joins for a number of hours or days per week. This makes sense for companies that need expert financial assistance but either can’t afford a full-time CFO salary or don’t have enough financial management challenges to justify one. You get an expert with years of experience across a number of companies, but without the risk of a full-time hire.

Many part-time CFOs will have a target niche or expertise, including fundraising or recruitment. But generally speaking, their services include:

• Financial strategy, such as setting pricing, developing a growth roadmap, and fundraising vs profitability.

• Financial operations, which is especially valuable in companies that don’t currently have a COO or operations department.

• Financial analysis, including setting key metrics for the company and monitoring cash flow.

• Financial forecasting and modelling, to help the company navigate changing global financial conditions and market forces.

• Financial planning, which helps the founders create more concrete business plans for the quarters and years to come.

• Financial reporting, including preparing the quarterly and annual financial statements and tax filings.

Any company needing relatively short-term financial help may seek help from a fractional CFO. Even those who already have a Chief Financial Officer may need extra support.

But typically, small businesses and startups lean on interim CFO services to help them move through the major stages in the startup journey. Business owners often need help preparing fundraising rounds, creating robust invoicing and collections processes, and building their finance function.

These challenges can appear long before the company is ready to add a senior finance executive, and thus relying on a part-time CFO is a safe and efficient option.