How Can a Virtual CFO Assist your Small Business?
What is a CFO? Many larger business will employ a full time chief financial officer (CFO), who is accountable for overseeing the company’s financial situation. They will assess cash flow and financial risk, and identify opportunities for growth. Having a CFO within your business can be the difference between success and failure, but it comes with a price tag that mean the service is out of reach for small business owners.
In recent years, virtual CFOs have become more popular, as a way for small businesses to experience the benefits of expert financial advice, without having to fork out a full-time salary. Sometimes in business, you end up in a cycle, where you are just doing the same thing every day, without ever knowing if you are making any progress. Hiring a virtual CFO breaks this cycle by bringing in the right type of advisor to not only help you track your progress, but give you helpful tips on how to reach your business goals.
A great financial advisor should be able to help you with;
- Goal setting
- Tracking your progress
- Making your business processes more efficient
- Cash flow management
- Time management
- New venture risk analysis
- Measuring your business growth; and
- Exiting your business with the best possible sale value
As a business owner, you don’t often set aside time to think about the above, let alone put them in place to get you close to your goals. You may also need help trying to work out what the best measurements to achieving these goals.
As previously mentioned, the large costs associated with hiring an internal person to act as a financial officer for your business often put business owners off from making a start. When you consult with an external advisor, they should be able to help assess where your business is, and guide you to where you need to be at a portion of the cost associated with hiring a full-time person.
Hiring a virtual chief financial officer can be a game changer for many businesses, often being the difference between a successful or failing business. Since the adviser is external to your business, their advice remains impartial, and they often identify risks and opportunities that may have gone unseen should the position be filled internally.
Carbon’s directors have a Virtual CFO offering, where advice is tailored to your business. If you think your business could do with a bit of guidance, come in and have a coffee on us. Expert financial advice is only a call away, and it’s within reach for all small businesses.