Throughout the course of our work we find ourselves engaging with and working in accordance with many different types of professionals to assist our clients. One of the most common professionals we work with is the company CFO—and for good reason. Of course CFOs rely on accurate financial statements and thorough accounting, which is the bulk of our daily work for clients. As we’ve honed this working relationship and find ourselves engaging on more comprehensive levels with our clients’ CFOs, we’ve started to notice a bit of a trend: Many of our clients are increasingly reliant upon outsourced CFOs.
What Is An Outsourced CFO?
So what is an outsourced CFO you might ask? And how does it differ from a conventional CFO? Well, in actuality the specifics of the job functions don’t differ so much between outsourced and conventional as they may between different company types and sizes. However, where they differ substantially is in the flexibility and adaptability in the particular application of their skills.
For many of our clients, an outsourced CFO is proving the ideal channel because it provides the high level CFO services they require without the burden of hiring and keeping on staff a seasoned CFO. For growing and established businesses with revenues up to $30 million (our typical client type), an outsourced CFO provides all of the expertise and accountability without needing to be kept on staff and on payroll at their pay scale. Instead, they can utilize the CFO services they require at the frequency they require, whether that is once a week, once a month or on a project basis.
What Are CFO Services?
Of course, CFO services vary just as greatly. CFO services run the gamut, from overseeing the totality of accounting and finance functions, securing funding or financing, engaging with other key professionals, ensuring regulatory compliance, reviewing and negotiating contracts and insurance or managing restructuring, buy outs and company turnarounds. From our startup clients seeking funding to our established businesses looking to explore new growth opportunities, the CFO role is an integral part of their development and decision process.
For more information on Outsourced CFO Services, please check out our recent blog post on About.com’s new Accounting Channel.