A Chief Financial Officer (CFO) provides businesses with financial and accounting expertise, however not all businesses have the need or ability to hire a full-time CFO. A Virtual CFO (vCFO) is a more attainable option and has many benefits for small and medium sized businesses by providing the same level of skill and expertise your business requires on an as needed contractual basis either remotely or on-site - all at a lower cost to your business.
The vCFO concept has been around for some time, however the term has only recently been more recognized. Over the years as technology has grown and developed have we seen more acceptance and awareness of the benefits of vCFO services. Especially with the recent COVID-19 pandemic, businesses have had to accelerate their adoption of new technologies and remote work. The cloud has enabled mobility and access to various ecosystems 24/7 from anywhere in the world allowing for business continuity with less down time. In addition, with the shift of the labour market towards the gig economy, it has allowed for the perfect opportunity in the growth of vCFO services by allowing businesses to tap into a new market of accessible financial leadership and expertise.
As businesses grow, they tend to outgrow their existing accounting and finance functions. Depending on size this could mean their current bookkeeper or controller, and therefore the business could benefit from the financial and strategic expertise of a CFO. As mentioned, it may not be financially feasible to hire a CFO full-time, hence the benefit of a vCFO. A true vCFO will provide the equivalent level of service of a CFO to your business and in addition act as part of your team to help the business focus on successful strategies and managing performance such as improving accounting processes and systems, introduction of new technologies, and implementing controls and governance structures. Your vCFO needs to remain flexible and grow with your business while offering creative and strategic thinking - a skill few accountants poses.
When choosing a vCFO for your business, it is important that they can fit in and bolt on to your existing business and culture. To build a trusting relationship with your vCFO, they need to have clear and timely communication and be transparent in their duties to ensure you are getting an accurate and concise view of the performance of your business.
At Rowicki Consulting we strive to optimize and enhance the performance of your business through various methods and techniques using our unique skill set. Connect with us to find out how we can add value to your business!