“Part-time” and “virtual CFO” are two terms often seen when searching for a full-time or virtual CFO provider. Often, though, a CFO firm will specialize in only a particular area, such as accounting, corporate finance, human resources, or banking. Another term often used is “Outsourced CFO Services” (OCFS). Many times, CFOs that outsource their services also offer consulting services. In this article, we’ll take a look at what Outsourced CFO services entail, and how they can benefit your business.
What are Outsourced CFO services?
Essentially, when a company needs to hire a full-time CFO, they’ll turn to a CFO service provider. The service provider will handle all of the recruiting, hiring, training, and payroll duties for one company. They may also handle other types of CFO services including financial planning and advice. When turning to an outsourced CFO services group, companies can save money by avoiding the additional costs associated with hiring an in-house CFO.
Can startups utilize CFO services to help them grow?
Absolutely! Many startups find that hiring a CFO makes business operations easier, particularly during the start-up phase. A CFO will also be invaluable in helping to establish a strong succession plan, especially if that startup is a small or medium-sized company.
What are some common ways to use CFO services?
As mentioned earlier, many startup businesses turn to CFOs during their startup stage because they don’t have the expertise necessary to successfully operate their finance function on their own. By turning to a CFO service, companies can alleviate some of these challenges by ensuring that their CFO has the knowledge and expertise necessary to run their finance function. Additionally, CFOs will have established relationships with business lenders and banks that will make it easy for them to get business financing on their own. By outsourcing their CFO responsibilities to a CFO firm, startups will free up internal finance staff to handle day to day business operations.
How do I find the best of services?
First, it’s important to understand that there are a variety of different types of CFO services that can help businesses. Different types of Cfo service providers have different strengths and capabilities. For example, some provide more superior analytics and reporting capabilities, while others offer more services like customized reports and prototype engineering.
Which services should you use?
To determine which CFO offerings to consider, ask yourself what types of analytics and reporting would improve your company’s bottom line? Would increased or improved productivity be worth the cost of hiring a CFO? Ideally, you’ll want a CFO service that offers additional value to help your business be more profitable.
What advantages do CFO services offer startups?
CFO services can provide your company with several benefits, including the ability to properly document and track financial metrics. Also, hire the right CFO, and outsource administrative functions to a CPA, all without having to provide that person as a full-time employee. These benefits can allow you to focus on running your business. And building relationships with customers instead of focusing on fulfilling administrative requirements. In addition, CFOs often provide technical support for your business in the form of support services or bookkeeping help. This added support can help your business stay streamlined and on track.
Before making the decision to outsource CFO services to a startup or large business, you’ll want to take a close look at your finances. And also assess whether or not they will be a good fit for your business. If your startup does not currently have a CFO on board, you may need to weigh the benefits provided by a full-time CFO against the cost of hiring a CFO to assist you. If you think a CFO could benefit your business, consider hiring a full-time CFA. You may be surprised at just
Where to Find Out the Best Outsourced CFO Service?
Outsourcing these services to R T Accounting & Taxation means that you and your staff can spend more time on ensuring the successful operation of your core business while remaining confident that we are achieving the best results with maximum efficiency for your business.
Our Outsourced CFO services include:
- Company set up and management
- Management of all or part of the accounting and finance role for local companies
- Regular management accounting and reporting
- Employee payroll and remuneration packaging
- Industry benchmarking and KPI analysis
- Working capital and cash flow management
- Development of policies and procedures