A Fractional CFO is a perfect solution for a growing company without the resources or need for a full-time Chief Financial Officer. They have the expertise and experience to take your business to the next level while you remain focused on the aspects of your business you are passionate about.
However, though Fractional CFOs are part-time, they play an extremely influential role. Because of that, you need to take time to make sure you are choosing the right CFO for your company. If you are currently searching for a Fractional CFO to work with, consider these questions along the way.
1. Do They Have Knowledge of Your Industry?
A Fractional CFO that ends up playing an integral role in your business will be one that has worked with businesses in your industry and companies of comparable size. They will be able to show you ahead of time how they helped those companies grow. Their experience in your specific industry will also enable them to know ahead of time what the company is lacking and exactly how you can benefit from their expertise.
Upon working with the CFO, their past experience will enable them to provide market data, perform a more in-depth analysis, and offer insightful solutions to challenges. In addition, their knowledge of the space will help your business form more connections to others in the same industry.
2. Do They Have Knowledge of Other Industries?
Though you want to work with someone with experience in your own industry, bringing on someone with experience in a variety of industries also has advantages. With more diverse experiences comes more tools and strategies to pull from. They are often able to offer unique insight and solutions that might be exactly what the business needs.
3. Do They Have Experience with the Services You Need?
When your business brings on a Fractional CFO, that business usually has a specific goal or service in mind. As you search for a CFO to fit your specific company, find out if they have prior experience with the specific services your business needs. For instance, if your business needs assistance with financial forecasting and implementing new financial processes, ask the CFO about their prior experience performing those objectives.
Additionally, don’t hesitate to ask how the Fractional CFO expects to accomplish the tasks at hand. Knowing they have a plan in place coming in gives you peace of mind that you have selected the right person.
4. Does Their Personality Fit Your Company Culture?
The best Fractional CFO for your business is one who you feel comfortable with, as you will need to have honest conversations in which you both feel listened to. Make sure, prior to signing a contract, that this person truly wants you to succeed. At the same time, choose someone unafraid to disagree and question your decisions in order to help you reach those goals.
5. Do They Have the Time to Make You a Priority?
Business owners are sometimes hesitant to hire a Part-Time CFO because they worry about the commitment that CFO will have to the business. It can be difficult to determine ahead of time the amount of attention your company will receive from the CFO.
One way to verify that commitment is by finding out what they already know about your business. Do they know its background, its successes, and its potential financial downfalls? Have they thought of any strategies or do they visualize any opportunities for your company? Having thought your business through prior to signing a contract will let you know the Fractional CFO will make you a priority.
Executive Financial Partners can help you find that professional financial manager who is a “perfect fit” for your business and can ensure your business has all of the opportunities it deserves. If you would like to find out more information about Part-Time CFO services, reach out for a free consultation.