How A VCFO Can Help Your Business
If you thought that a CFO or Chief Finance Officer was just for the big companies you were wrong. More and more small to medium sized businesses are including a CFO into their growing team. So what is a CFO and what is the difference between a CFO and a bookkeeper or accountant? Remember that you can hire a virtual CFO which reduces the costs and means that they can become an affordable advisor to your team.
Here are our top 4 reasons why you should hire a VCFO:
1. Cash Flow Management
As your business grows there is often more money coming in, but also more money going out. Cash flow can be hard to manage and maintain, ensuring that there is always enough coming in at the right time to pay all the money going out again. A VCFO can help you take control how the money moves in and out of your business.
2. Managing Your Budget
Do you have a budget in your business? Have you estimated how much you are going to spend this month, next month or even next year? Creating and managing a budget can be a powerful tool to help you prioritise, plan for and stay on top of your business spending. A VCFO can help you plan this out so that you can start to set some longer term business goals knowing that you will have the funds to support it.
3. Risk Management
Are you concerned with the unknown? The ‘what ifs?’ in your business? A VCFO can be a comforting team member to help you put strategies in place to prevent problems and they can monitor these and provide feedback to you along the way.
4. Too many balls in the air?
A business that is growing rapidly can sometimes expand too quickly. They gain multiple loans, expand into new areas, hire staff and invest in equipment and infrastructure. All of these things can get out of hand pretty quickly and the paperwork and finance side of things can get missed. A VCFO can make sure that you have everything in order, tracks your obligations and helps you develop debt management strategies.
We are passionate about this side of accounting and love providing Virtual CFO support to our clients. We become part of your business and are passionate about being part of your team. If you feel that you need more than bookkeeping support for your business, but aren’t quite big enough to employ a full time Chief Finance Officer then a Virtual CFO may provide the best of both worlds for you and help you grow your business.