Outsourcing Your CFO
Outsourcing your CFO has a variety of benefits for your organization. With the expertise of a consultant on board, your organization can navigate difficult financial territory or create the systems you need to thrive.
In this article, read up on the benefits and practicalities of outsourcing your CFO.
What are the Benefits of Outsourcing Your CFO?
An outsourced CFO can help your organization identify financial priorities, train key staff, and create comprehensive financial plans. Working with an outsourced CFO can give your business access to a highly-qualified financial expert without requiring the financial commitment normally required to hire a CFO. If your organization is looking for a way to retain the oversight of a key financial officer who has the experience and insight to drive your business forward, an outsourced CFO is a great solution to consider.
Here are a few key benefits:
- Save on salary and benefits: If your alternative is hiring a full-time CFO, then it makes sense that hiring a part-time or contract CFO could save the difference between that and what your organization would pay to have a full employee. Assuming you only need occasional assistance from someone with a CFO background and qualifications, then outsourcing to a contract CFO could be very beneficial.
- Access new expertise: Bringing in an outside CFO part-time could introduce new ideas and knowledge of best practices to your organization.
- Scale your finance department: If your business is small or has a lot of variable CFO needs, then the ability to bring in a CFO whenever you need them instead of having to cover the cost of a full-time CFO can help your organization scale.
- Bridge through a difficult transition: For businesses undergoing mergers, experiencing crisis, or in need of significant expertise for a specified period of time, having a part-time CFO can make sense. They can bring their knowledge to guide your organization financially, and then step away after the transition is over. If the transition is particularly difficult or sensitive, then having advanced expertise may enable your organization to make it through more easily than it would otherwise.
These benefits are good reasons to consider outsourcing your CFO function, even if only temporarily.
How Does Outsourcing Your CFO Help Your Business?
With an outsourced CFO, your business can get thorough advice and personalized assistance from someone who has the experience and knowledge to guide you.
Outsourced CFOs can help with a variety of financial areas, but here are a few important areas they can help:
- Reporting and analysis: With help from a qualified CFO, your organization can create comprehensive reports and perform analysis of your previous quarter, fiscal year, or specific department. They can create financial statements, help with your annual report, and more.
- Developing processes: Based on your organization's needs, your outsourced CFO can help your business come up with processes. Self-audits, best practices, closing and opening procedures, etc. They can help you reduce fraud, minimize risk of theft, and more.
- Training: Outsourced CFOs can train key personnel and help them get up to speed on everything they need to do their jobs well. If you have an in-house financial team, an outsourced CFO can be an excellent resource to help your business accomplish what it needs to.
There are other ways CFOs can help. In a very small organization, an outsourced CFO may be the entire finance department. This can be valuable, too.
How Do You Get Started with Outsourcing Your CFO?
To look for a qualified CFO, you may need to do a little digging. A few of your options include:
- Posting a job ad: If you're willing to sort through applications and collect resumes, interview candidates, and perform some HR functions to hire and onboard the right person, then posting a job ad may help you find the right person. The time commitment, though, can be extensive if you do it all yourself in-house.
- Go through a recruiter or headhunter: Recruiters can find you the right person, but they'll require a fee. It may be worth it, depending on how much you want to take on.
- Network: You can ask around, looking on networking sites like LinkedIn or networking in-person.
Once you've found someone, outline clear expectations and make sure everyone is on the same page.
Learn More about Outsourcing Your CFO
Outsourcing your CFO can have a variety of benefits for your business. An outsourced CFO can help your organization develop financial procedures, create financial reports, identify risk reduction areas, and more.
Your business has enough on its plate. Outsource what makes sense for your business, choose a world class SaaS technology solution and focus on what's important: your clients. Call 1-866-879-8647 or fill out an online form to request a no-obligation quote from an 8x8 product specialist.