Attributes To Consider When Hiring a CFO
More and more companies are outsourcing their financial and accounting functions. In fact, the Everest Research Group reports that the finance and accounting outsourcing market grew by 11% in 2012. Outsourcing a role such as chief financial officer (CFO) offers companies of all sizes the support of an experienced financial professional without the expense of a full-time salary and benefits. If you’re considering an outside CFO resource for your company, it’s important to make sure you’re working with the right partner. Your CFO candidate should provide:
A strategic perspective. CFOs have a larger role than just day-to-day accounting, and can provide important financial data to aid in long- and short-term decisions. Annual budgets, cash flow forecasts, financial projections, expense and profitability analysis – these are some of the key metrics an external CFO can provide to help you guide your company’s growth.
Experience. An outsourced CFO offers experience from a variety of industries and market segments, both within and outside your industry. That pool of knowledge adds value to your company, giving you access to comprehensive expertise and a broader perspective to help you meet business challenges.
Relationships. Does your outsourced CFO have a strong network of banking or investment funding sources? As your business grows, you may want to explore loan or equity funding options to finance new product or service investments. Your CFO should also be able to develop strong working relationships with your existing staff, as well as help you build your finance and accounting organization.
Insight. Many business owners are so busy with daily operations that they don’t have the opportunity to closely review their business practices. An outside CFO can take the time to thoroughly understand your business and help you analyze your performance and make adjustments when necessary.
Honesty. As an outside resource, an external CFO can put the needs of your organization first, providing an unbiased, objective viewpoint, and functioning as your trusted advisor. Your outsourced CFO should have a strong commitment to integrity, establishing and enforcing ethical business practices and reporting.
The right CFO resource can improve the profitability, growth, and value of your business. If your company needs experienced CFO services, contact CFO Strategic Partners at 407-426-8288. We’ll provide you with a free business analysis and show you how we can help your company achieve successful financial results.