What are outsourced CFO services, and why do so many businesses use them?

Speak with an expert CFO to discuss how Preferred CFO can help your business achieve your goals–faster. Identify and double down on the most profitable areas of your business to achieve outsized profit results. Month-end closes, audit preparation sprints and dealing with auditors push your finance team into the red at key intervals during the year. Add additional capacity to your accounting efforts to make those deadlines every time without burning out your team. With ever-advancing stakeholders, you need to level up your management reporting. Create clear dashboards, set and track key KPI’s, and level up the quality of your board and shareholder reporting.

• An outsourced CFO can help businesses streamline their financial operations, implement best practices, and leverage technology to improve efficiency and accuracy in financial reporting and analysis.
• You can also partner with a CFO who has specific experience in whatever challenge you may be facing at a given time.
• Our team consists of some of the top Virtual CFOs, controllers, and bookkeepers in the industry.
• The path from your first million to beyond the 100 million mark is long and challenging.
• Depending on your situation, to handle those challenges you might need more than a simple bookkeeper or even more than a CPA.
• It is essential to identify your business needs, set clear expectations, and establish open communication channels to maximize your partnership with an outsourced CFO.

Bringing in a finance expert doesn’t have to mean hiring an expensive corporate officer. As your company grows, consider leveraging an outsourced CFO to get the guidance you need, at a price your company can afford. Many companies experience times when they find their accounting departments short on staff or short on expertise.

Services Commonly Provided by Outsourced CFOs

Catering to businesses large and small, outsourced—also known as fractional—CFO firms offer a host of services, from basic accounting to high-level strategy. These outfits, which have proliferated over the past several years, help companies gain access to relatively scarce talent. As a business grows in size and complexity, it may need to recruit an in-house CFO.

Further, by investing in this relationship, your business can unlock valuable insights, optimize financial performance, and create a solid foundation for future growth. As businesses continue to adapt to the rapidly changing market conditions and economic landscape, the demand for automatically send out new client agreements from wave accounting services is expected to grow. Companies that understand the value and benefits of partnering with an outsourced CFO will be better positioned to navigate the complexities of the business world and achieve their strategic objectives.

Financial projections

For many startups, that kind of hiring investment simply isn’t possible. Even if the company can absorb the expense, the opportunity cost can be prohibitively high – that’s money that isn’t going into the rest of your business. We offer founders innovative financial insight, world class financial technology and peace of mind. Tom is a knowledgeable finance leader with over 30 years of experience. He has international expertise in a wide variety of industries and sizes ranging from $15M to $3B. Todd Kemp is a high-level CFO with significant national and international experience in manufacturing, distribution, and B2B services, with demonstrated success in corporations…

An Outsourced CFO can also help a company resolve challenges such as cash flow issues, raising capital, solving tight margins, implementing more efficient systems, or preparing for growth. Outsourced CFOs provide a cost-effective and flexible solution for businesses needing high-level financial expertise without hiring a full-time executive. As the demand for outsourced CFO services grows, businesses that effectively leverage these services will be better equipped to navigate the complex financial landscape and achieve their strategic objectives. An outsourced chief financial officer (CFO) is a financial professional who provides CFO services to companies under contract. They provide value for the business by offering the same level of expertise as an in-house CFO but often at a more affordable cost.

Hair Salon Startup Business Financial Analysis – Case Study

And if your business isn’t yet large enough or complex enough to occupy one person on a full-time basis, a full-time CFO would likely be overkill. The average CFO earns nearly $400,000 a year, according to Salary.com. More businesses are finding that an outsourced CFO can handle CFO job duties for small- to medium-sized companies. Utilize technology such as video conferencing, project management software, and secure file-sharing platforms to facilitate effective communication and collaboration between your in-house team and your outsourced CFO. Take the time to research and compare different outsourced CFO providers, considering factors such as experience, qualifications, cost structures, and references. Technology can play a vital role in facilitating collaboration between your in-house team and your outsourced CFO.

Our outsourced CFOs are experts in financial strategy, industry analysis, optimizing systems, and maximizing profits. Whether you’re facing an existing challenge such as cash flow problems or sustaining growth or looking to achieve a goal such as raising capital or accelerating growth, our CFOs can help. With a “forward-looking” financial strategy, we help organizations implement a higher level of forecasting, budgeting, cash management, and financial strategy. Our goal is to help companies move the needle by scaling and accelerating growth, optimizing resources, overcoming obstacles, and maximizing shareholder value.

Does My Business Need a Financial Advisor?

An outsourced CFO will meet your tax liabilities and oversee the teams responsible for tactical issues like keeping accurate, timely books. They fulfill the same strategic roles as an in-house chief financial officer, but instead of joining your business as a corporate officer, they’ll work with you on a contract basis. This can help your company save costs, make quicker business decisions, and gain an independent viewpoint.