Questions to Ask When Hiring a Fractional CFO
The use of fractional help across all industries has become increasingly popular in growing companies that are looking to expand. Part-time assistance is a great way for businesses to get the expert skills and strategic support they require without the commitment of a full-time employee.
Part-time financial services can include:
- Financial Oversight
- Financing & Cash Flow
- Crisis Management
- Business Strategy
- Risk Management
- Mergers & Acquisitions
Before you begin fractional hiring for a position, it’s important to consider a few questions internally to ensure your business is in the best position to successfully bring on extra support.
What do you need?
First and foremost, consider what your needs are. What do you hope to accomplish by hiring part-time finance help?
- Do you need someone to come in and manage your finances on a day-to-day basis?
- Do you need someone to help with specific projects or tasks?
Once you have determined this, you can focus on finding the ideal candidate for the job.
What is your budget?
Consider how much you’re willing to pay for fractional finance help. This will vary depending on the provider you choose and the services they offer but it is important to have a budget in mind. Feel free to take your time and get quotes from several different providers before making your decision.
Where has your CEO’s time been spent?
If you are the CEO of a growing business and you are unsure if it is the right time to hire fractionally, think about where your time has been spent recently. If you’ve been spending most of your time on finances and less time on revenue-generating activities, that could be a good indicator that it may be time to bring on some extra assistance.
Is your business organized and ready?
If you feel you’re ready to bring on fractional finance help, make sure your business is organized, and all financial documents are easily accessible.
This includes your most recent accountant-prepared financial statements and visibility to your bank accounts, loan agreements, and other contractual agreements. It’s also beneficial to create an organizational chart, so the new team member understands everyone’s role in the company and who to contact if needed. You’ll want to have as much information ready to provide to your outsourced finance partner when they begin.
Do you have the internal bandwidth?
Finally, consider whether you have the internal bandwidth to manage another person. While you may not need to spend a significant amount of time managing a fractional role, they will need ample time to get to know your business and processes, which will require an additional time commitment from you or someone on your team.
Fractional support is a great resource to utilize while growing your organization. Businesses of all sizes can benefit from the impact that part-time professionals have on their company’s growth. Part Time CFO Services LLP works directly with business owners to implement fractional financial support solutions that enhance a company’s long-term financial health. Click here to learn more about our team of experts and how we can help you.