Leveraging Fractional Services
Part 2 of 6
The idea of leveraging outside professionals for your business is not new. Companies bring in experts in several areas to support their core efforts, think Legal, H.R., Marketing. There is also a multitude of management consultants of every flavor that will tell you what you should do with your business. Some of their advice is invaluable, and some of it is well-packaged common sense. Unfortunately, both types can leave you with a long list of tasks to accomplish. If you are already working too many hours, this type of consulting proves to be unhelpful.
What is truly needed to scale your business is a team of professionals that not only has great ideas, but can work with you to implement them. This applies to Fractional CFO services as much as anything else. Historically, Fractional CFO work was completed by staffing firms that offered many services, or solo CFOs that had retired and still wanted to give back and use their skills. Most of the time these engagements were to fill in for a leave of absence or to transition the organization to a new full-time CFO. What is emerging now is something much different. Growing startups and established SMBs are seeking out Fractional CFO teams to help them over the long run. These are deep strategic partnerships with a Fractional CFO Firm that last the span of the business. To sustain this, they are looking for teams that do this work and not one-off individuals. They are also looking for this team to execute the bookkeeping and accounting tasks, payroll, financial analysis, and the information technology requirements of the company. Because these firms are embedded day-to-day in your business, it truly frees up the time and resources to grow the company allowing the founders to innovate and disrupt their industry. Most importantly, they help navigate the complex working capital challenges for the business as it scales.
See the full article here -> https://medium.com/@adam_85449/the-rise-of-the-fractional-cfo-firm-87ced3ed11ab