Should I Use A Virtual CFO?
Are you are spending more of your scarce time as a business owner analyzing your revenue, profitability and cash flow? Trying to draw conclusions about the performance of your business in your market? Are you having trouble deciding on growth strategies? These could be signs that you could benefit from a Chief Financial Officer or CFO. A CFO utilizes the data from your accounting systems and reports to analyze revenue, profitability growth and cash flow to develop corporate financial strategies. A CFO spends his or her time on management, not accounting, and works with your internal managers to support sales and marketing, regulate production, increase profitability, and manage cash flow.
What Is A Virtual CFO?
One alternative is to consider a part-time or contract CFO service, either from a single person or a firm that supplies such services, such as CustomOne CFO & Controllers. You can have a CFO work with your staff for a few hours a week or on a regular schedule under contract. An extension of this model is the virtual CFO, which allows you to access one or more CFOs through the contracting company via online contacts. With this service you interact with your CFO through email, video conferencing, and other electronic media. This is more efficient and less expensive than scheduling regular on-site visits from the CFO.
Can We Afford A CFO?
The question of whether you can afford even a virtual CFO often comes up and it is a question you must answer individually. CFOs can be quite expensive and you must have enough revenue to both afford them and need them. A rule of thumb is that if your company has a gross revenue exceeding $25 million per year, it is time to look at a hiring a full-time CFO. If you are a smaller company, however, your business challenges don’t really change – just the number of zeros on the balance sheet! So, what should you do if you need the assistance of a CFO?
But if you are having the kind of issues discussed above and need additional expertise, the virtual CFO is something to consider. You might also consider that the CFO may be able to save you time and money through their services that you are losing without them. So, in a sense, you are already paying the same amount or more in losses!
We all know how hard it is to find great skilled personnel and companies often hire contract CPAs and Accountants such as CustomOne CFO & Controllers to fill the gap. Whether under regular contract or used for specific duties, a CFO could be your best answer for increasing quality, revenue, and profitability at your firm. If you would like to investigate contract or virtual CFO services, contact firms such as CustomOne CFO & Controllers to discuss your needs. Their financial professionals supplement and provide guidance to internal staff at companies and could be the answer you are looking for.
