What Can a Fractional CFO Actually Do for Your Business?
Last year, I wrote a post with my best-kept secrets on what a Fractional CFO actually is. I also answered a few of the FAQs I get when it comes to Fractional CFOs and how we work.(See What’s a Fractional CFO).
Today, I want to dive even deeper and answer some follow-up questions around the kind of difference a Fractional CFO can make in your business specifically.
A Fractional CFO is obviously there to support you in financial decisions and tasks within your business.
For example, in our client work you will routinely find our CFO team:
Working on financial planning and forecasting
Identifying and solving cash flow issues
Streamlining and formalizing accounting processes
Building performance dashboards to keep top information accessible and visible
Advising owners on investment and loan decisions
But what does all of this really mean for you as a small business owner?
Top 4 Ways a fractional CFO could help your business.
A CFO can open the door to more profit in your business.
Hiring a Fractional or Outsourced CFO isn’t all about making more money, but more money certainly never hurts!
At CFO on Speed Dial, we use the Profit First system to help clients achieve annual improvements of 3% to 5% in net profit. Growing profit along with top line revenue is a powerful way to fuel your business (See why I love Profit FIrst!).
We also create reports and performance metrics that provide clear visibility, so owners and teams know exactly what’s happening in the business and can continually make adjustments to focus on the results that matter.
A CFO will help you make financial decisions with confidence.
A Fractional CFO’s work should always be grounded in your vision for the company – and the most effective route to get there.
You’ll work together to hone your strategy with each decision based on facts from your company and the industry you operate in.
We help address the underlying financial needs of the business by working to reduce debt or bring new capital into your business
At CFO on Speed Dial, we also like to create the optimal tech stack and workflow for the financial side of your business to ensure that your numbers stay up-to-date and accurate with the smallest possible investment of time. This makes those smooth, fact-based decisions even simpler for you AND your team!
Fractional CFOs provide stress relief for business owners.
When you know someone whom you trust and whose values align with yours is in charge of the money side of your business, you can experience immense relief not just in your business, but as a whole person.
According to a U.S. Bank study, “82 percent of business failures are due to poor cash flow management, or poor understanding of how cash flow contributes to business.”
When you have someone in your corner who understands your cash flow, profit plan, and more, you can breathe a little easier.
This not only provides stress relief, but many of our clients share that they have a newfound confidence in their business as they see more and more profitable success.
Here’s what Erica Fair of Sans Bakery had to say about her experience with our team:
“Having CFO on Speeddial alleviates a lot of pressure from my daily life. I feel much more confident knowing that there's someone looking at our finances.”
Having a CFO on call means someone has your back when the going gets tough.
In any business, there will be rough patches or unexpected hurdles to jump through — I think the last 18 months or so have more than proven that.
And the phenomenal thing about having a Fractional CFO in your corner is that when the going gets tough, they already know your business and they’re there to help!
Business is too hard to go at alone, and if you’re struggling or could use some more room to breathe when it comes to handling your finances, a Fractional CFO may be just the ticket.
There’s definite value in the ongoing relationship for your business and your peace of mind!
How can you work with a Fractional CFO?
Well, let’s just say you’re in the right place.
Check out our Full Service CFO program and then get on my calendar for a free 30-minute conversation so we can talk. The focus of the conversation will be on your business, the challenges that are top of mind for you, and the actions you can or should be taking. But we'll also talk about how CFO on Speed Dial helps companies like yours gain stability and resilience in a crazy and unpredictable world.