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Big Business, Small Business, CFO's Provide Answers

Author: Keith Huggett 

No matter what size your business is, it can benefit from the advice provided by a CFO. Whether you have just started up your company; if you've been in business for years, a CFO has experience, knowledge, and insights that he or she can apply to questions and situations that apply specifically to your situation. Here are some reasons why every company needs an outsourced CFO:

1. Raising capital: A CFO helps to lead your management team. He adds credibility to your company and stability to your financial team.  He gives your CEO someone to bounce ideas off of, when putting together your financial vision.

2. Avoiding mistakes: An experienced CFO is prepared to handled the unexpected. He's dealt with missed deadlines, budgeting errors and cost overruns many times. He can help the team understand how to handle these issues and more, without the stress and panic that often accompanies them.

3. Optimize cash management: Instead of having cash flow issues popping up at inopportune times, an experienced CFO will be able to show the management team how to plan for the future and stretch each dollar accordingly to prevent cash flow issues.

4. Improve company management: Having been in business for many years, the experienced CFO knows the ins and out of how to run a business properly. He is intimately knowledgeable about each and every part of the business structure and plan. With such knowledge he can advise the CEO about where to make expansions and cuts as needed for improved growth.

5. Planning & Proposals: A good CFO knows how to constructively challenge a plan, proposal, number, or claim. Having spent many years being a part of both good, bad, and neutral plans he has learned how to improve such things and give helpful advise for improvement.

6. Building credibility: Investors appreciate and value a senior CFO's contribution. They know that a good CFO can be a trusted advisor and will improve the company's, and the CEO's, performance.

7. Gaining investors: Companies that meet or exceed plan, manage cash and headcount well, have a history of delivering accurate, on-time financials, typically get high marks from existing investors. It is far easier to get additional investors when your current investors are happy.

8. Create an aura of confidence: Having access to a CFO reassures employees, creditors, suppliers, banks, service providers, and investors. You will attract better people, get better terms, and operate better as a whole.

9.  RoI: A part time CFO more than pays for himself, providing CFO expertise without full-time employee headcount. Many startups use a part-time CFO for as little as five hours per month and can scale his involvement as their needs grow. As affordable as a part-time CFO is, how can you afford not to have one?

10. Gain knowledge: While you have the CFO working with you, your management team has the opportunity of a lifetime to learn from a very experienced businessman with a wealth of knowledge about the business world. Take advantage of it. Ask questions. Learn as much as the CFO is willing to teach you.

If you are interested in finding out more about CFO services the Specialists at The Tax Office, Inc, would like to direct you to their Client Accounting Services (CAS), which include CFO Plus services, CFO services, Controller, Accounting Manager, Bookkeeping, and Payroll Packages. Contact Us to learn more.

Even Small Businesses Can Have Large Business Financial Issues

Author: Keith Huggett 

Large businesses have it all: large accounts, both income and expense, customers coming and going, and financial issues and the staff to handle them.  The same things occur with smaller businesses too. Small businesses have large accounts, both income and expense, customers coming and going and financial issues.  What smaller businesses may not have is the staff to handle those issues.  In a small business, there is usually the business owner who is in charge of running everything and some things can fall by the wayside.  There comes a time for a small business to consider getting some help.  Hiring a full-time CFO may not be an option, for many reasons, one of which may be cost, or there may not be the need for a full time CFO. Luckily for the small business owner there is the option of outsourcing CFO services, or hiring a part-time CFO.

Reasons to Consider a CFO:

Experience: A CFO brings years of financial experience to your company. An experienced CFO  will go beyond the numbers and get involved in all aspects of your operations. He can be a sounding board for key business decisions and identify opportunities for improvement.

Business Analysis: Like all companies you will need to analyze your business performance on a regular basis.  Unless you have spent what little spare time you have at business school learning the latest in Finance 101 or have taken the time to study business books, like most business owners, you haven't been trained in developing and using financial information and have little time left over from running the day to day operations of your business. Having a financial expert review, analyze, and summarize the financial data into meaningful reports can add tremendous value.

Competition: Most small business owners do not have the time or access to compare their operations to similar companies. A CFO can set up reports and gain access to data to compare the business to other comparable companies.

Resources: A CFO is a prime resource for training, developing and supervising your staff. As your organization grows the CFO can help you develop and implement processes and controls that protect your companies assets.

All in all, outsourcing or hiring a part-time CFO allows you to tap into the wealth of experience and knowledge at a fraction of the cost of hiring a full-time CFO.  You are then able to focus on growing and building your business knowing that an experienced professional is watching over the company's financial resources and performance.

The professionals at The Tax Office, Inc. are pleased to announce their newest division, Client Accounting Services (CAS), which include CFO Plus services, CFO services, Controller, Accounting Manager, Bookkeeping, and Payroll Packages. Contact Us to learn more.