Allows an organization to maximize margins
. In this instance, after analyzing current costs and pricing structures, an organization may choose to employ a fractional CFO. Fractional CFOs typically have extensive previous CFO-level experience and lend their financial expertise to organizations on a contractual basis. They may be hired and tasked with an assortment of duties, including budgeting, fundraising, analyzing the health of a company, and projecting growth based on the organization’s long-term goals.There is a need for only an interim CFO
. Any number of situations could arise where a temporary replacement is the most viable option for this vital role. A CFO may be on temporary or extended leave, or the organization, while seeking a permanent replacement, may need to fill the position on an interim basis between hires.To partner with an existing CFO
. The need may arise where an outsourced CFO is brought on to consult with an existing CFO and provide necessary experience about a particular challenge the organization may face, providing critical knowledge that the current CFO may not have. Additionally, there may be a specific goal the organization has in sight to achieve. This strategy is often seen as a way to elevate the overall performance of a financial team while transferring valuable skills.The organization is preparing for growth. Securing an outsourced CFO with specific market experience can help an organization make strategic moves that better position them to achieve its long-term goals. They have likely solved challenges like yours before and have experience knowing how to most effectively design and implement new or improved systems that may be needed to handle growth and added complexity.
Whatever the reasons behind an organization’s choice to pursue an outsourced CFO instead of a full-time hire, the move can have lasting effects. Outsourced CFO’s come with experience best utilized for implementing tangible changes while providing the same high-level financial strategies that a company anticipates. As such, they are a viable option for many organizations looking to make a change.
Making the proper selection of a CFO is a crucial step in the overall success of your business. Before making a move, make sure you’re looking at it from all angles. Talk to our team for guidance on whether or not an outsourced CFO is the right move for your business.
