Is your small business on the cusp of significant growth? One concern that you may have is how to manage the hiring of top-level executives like a chief financial officer to handle that growth.

Top-level talent can be expensive. 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.

An Outsourced Chief Financial Officer Is More Affordable

Simply because your CFO is working remotely doesn’t mean that your financial services aren’t where they need to be. Your day-to-day finances will still be run by competent, in-house accountants. 

A CFO handles major financial decisions. Other duties include managing cash flow and making financial plans. These can easily be handled through an outsourced CFO, and your company will save in the process.

Let’s say that a full-time CFO would require $20,000 a month in salary. Working with an outsourced CFO one day a week would mean your company pays roughly $7,000 a month for those services. Your business might even recoup that smaller amount as the outsourced CFO services find ways to cut costs. 

Outsourcing Positions Your Company for Growth

Outsourcing a top-level position may be the first step toward hiring a CFO full-time. In fact, hiring an outsourced CFO is often an important first step before you begin scaling up a business. 

An experienced CFO can help you prepare for growth by:

  • Checking your financial infrastructure to ensure that it is ready
  • Predicting what tax structure will work best for your new company
  • Obtaining financing or loans as needed
  • Performing financial risk assessments
  • Performing financial forecasts

There is no fault in admitting that you don’t know what you don’t know. If you are unsure about the benefits of hiring an outsourced CFO, set up a consultation to see what the CFO thinks he or she can do for you. The small business financial tips your prospective CFO gives can potentially save you millions. 

Benefit From Years of CFO Experience

The traditional route to hiring a CFO involved recruiting a CFO or promoting one from within. By working with an outsourced CFO (who presumably works and has worked with many other companies), your business will benefit from the outsourced employee’s vast experience. 

Tackle Complicated Financial Problems

 

CFOs have specific training and experience that allows them to solve complex financial problems. Accountants may be able to measure cash flow problems, but they may not have a practical solution.

Cutting back on high business overhead is another potential problem that often takes an outside perspective. Raising capital, debt management, and loan repayments are other examples of complex financial problems that CFOs are uniquely qualified to address. 

Take the Next Leap With the Help of an Outsourced CFO

Companies of any size can enjoy the benefits of having a chief financial officer by outsourcing the executive position. Partner with The Accfin Group to find the right outsourced CFO for your company. We look forward to hearing from you.