There’s a lingering belief within small businesses that only corporations and big companies can financially afford to take advantage of the skillset of a CFO. It is true that acquiring and keeping a CFO comes at a high cost, but outsourcing CFO services presents a realistic solution for small businesses wanting to scale their growth.
CFO services for small businesses are crucial in giving a punctual financial forecast so that start ups and entrepreneurs can make necessary changes to their business model before it’s too late. Your business will be more successful and profitable if you have a better strategy for spending and saving your resources, and outsourcing CFO services can help you do just that.
WHO NEEDS CFO SERVICES?
Deciding to tackle your finances outside of the supervision of a trusted professional can leave your business vulnerable. CFO services can help small businesses cultivate:
A business strategy to maximize revenue
Systems of ongoing financial analysis
An analysis of your financial performance
A plan to scale for growth
provide you with all the benefits of an in-house CFO at a fraction of the cost! Let’s take a look at how CFO services can help grow a small business.
CFO Services for Small Business Bring a Strong Start
According to medium.com, many entrepreneurs fail at anticipating the concealed costs that appear as their business begins.
Outsourced CFO services can factor all costs into a financial strategy even before opening day so that business owners know what to exactly expect.
In addition, fractional CFO’s can help start ups acquire the capital they need. No potential lender is going to give money to a business without a solid financial plan. A fractional CFO can help craft an irrefutable plan to present to potential lenders.
Hiring a fractional CFO from the beginning gives a business the foundation it needs to start strong. A fractional CFO provides the assurance a business needs to be credible among its audience and prospective investors. Book your free Clarity Call with us today to learn more!
CFO Services for Small Business Brings Early Expertise
Most small businesses base the financial expertise they’re able to acquire on the progression of their budget. They start with a bookkeeper simply because they believe that’s all they can afford. They slowly move up until they can hire a full time CFO, but in most cases, that takes years. The most critical expertise a startup needs is not accessible until very late in the growth cycle of a business. A financial mistake for a small business is dire to its survival and sustainability, and truthfully, small businesses need the insight of a CFO more than an established company. Small businesses need to be able to make quick decisions based on financial data—which is something a bookkeeper just cannot provide.
Delaying the on boarding of the most qualified talent could hurt a company in other ways as well. What if a bookkeeper has been a loyal employee? Does a business just fire the bookkeeper when its ready for an accounting manager? Chances are the bookkeeper is not qualified to progress into the more expansive role and a small business is probably not ready for a two person accounting team. Firing the bookkeeper means risking a company culture and hurting employee morale. Keeping the bookkeeper and adding the accounting manager makes a business eat cost it may not be ready to eat.
The other option? Most small businesses don’t know that fractional CFO services allow you to gain access to an experienced financial expert in the early stages of your business. Outsource a CFO which allows you to have as much or as little financial expertise as you need. Book your free Clarity Call to learn how we can provide leadership to your company!
CFO Services for Small Business Bring Strategy
When small business owners think of accounting, they think of filing taxes, bookkeeping, and keeping all things financial in compliance with IRS codes.
According to Forbes, many small businesses are just getting by with accounting softwares like QuickBooks, and missing out on the expertise they need.
What most entrepreneurs don’t realize is that the purpose of accounting is meant to lead you and guide you and give you a clear picture of where your company is headed. CFO services for small businesses can help you turn accounting from a checked box to a strategic tool that can help you make decisions for the future. A fractional CFO is able to take the data and use it to project helpful predictions for your business.
They look at your budget, your sales, your revenue, and thinking through every single month, they’re able to see if there are any cliffs up ahead. If there are any cliffs, a fractional CFO is able to help you make adjustments and help you make your business more profitable. Booking your free Clarity Call with us can provide you intelligence on things to tackle and target.
CFO Services for a Small Business Bring a Guide to Grow
Not only does a fractional CFO help clarify the confusion that your financials can be, they’re also able to look at your numbers and make assessments for future growth. They’re able to guide businesses as to what products are better to sell and forecast profit margins. A fractional CFO uses numbers and data to communicate the vision and performance, helping an entrepreneur and the employees sharply comprehend how your roles specifically contributes to success. This keeps employees aligned and working for a common purpose. In addition, outsourced CFO’s can use facts to demonstrate goals and progress to investors and other audiences. Book your free Clarity Call with us today!
Ultimately, a fractional CFO drives growth and handles complex situations while controlling costs. Aside from reporting on financial performance, the fractional CFO can translate business strategy into financial strategies.
How Clarity Consulting Can Help Your Business Grow
We know you need systems in place to support your business expansion. We've worked with dozens of business owners to put processes in place and create a more black and white understanding of their financials. Instead of confusing and boring excel spreadsheets, we help create a clear picture of current financials and future projections.
Part time CFO services and Fractional CFO programs can open up a whole new world of operational efficiency. We know that seeing your numbers on a daily, weekly, monthly, quarterly rhythm alone can provide amazing opportunity for growth and profit in any business.
In addition to financial control, we also provide administrative support for HR, insurance and taxes.
Once you’ve hired a new employee, Clarity Consulting is there to help with the onboarding process. We make sure they have filled out all their documents and get their direct deposit set up. If there is any admin related the employees need throughout employment, Clarity Consulting handles it, freeing up the business owner to focus on growth.
For insurance support, we help companies with their annual General Liability and Worker’s Comp audits by gathering all the certificates throughout the year and sending the payroll report to your auditor.
For tax support, we communicate with your CPA and make sure your CPA strategy is being implemented throughout the entire year.
Book your free Clarity Call with us today!