When should you hire a Virtual CFO?
Irrespective of your business being in the seed stage or a fully established enterprise, having a strong and robust financial team with a highly competent leader can make or break your business. A fine CFO can be a great asset at any stage of business development and can best help you achieve your business goals. This could be by way of optimizing your company profitability or making the best use of available resources or by finding ways to increase efficiency and much more.
At what all stages of your business should you hire the services of a Virtual CFO?
The services of a virtual CFO can be beneficially used by a business at any stage of its existence, the different phases of business cycle being:
- Seed > Ideas are formed and worked upon
- Growth > Sales are taking place and growing
- Expansion > Established business, strong growth and plans to expand
- Decline > Sales revenues are flat or declining
- Exit > Decision to exit by way of sale or closure
During all these phases, a virtual CFO can best guide the business owners to reach their desired objective.
What services can be provided by a virtual CFO at each phase of the business cycle?
Depending on the phase of the business cycle a company is in, virtual CFO’s can provide a choice of services. Few of them are described below:
- Seed Phase > Start-up business planning, forecasts, fundraising advisory
- Growth & Expansion Phase > Building an accounting system, Business process automation, cash flow management, financing related services, accounting operations oversight, mergers & acquisitions.
- Decline & Exit Phase > Business process automation, payment term analysis, exit strategy advisory, succession planning.
Post COVID 19 pandemic the significance of a virtual CFO has been greatly measured at adding value to any business especially looking forward to the long term strategic view as well as short term needs.
To know more about the benefits of hiring a part time CFO, click here Why should one hire a Part-Time CFO?
Do you plan to hire a Virtual CFO Services for your organization? Connect with our team today by filling the below form or you call us on (+1) 718-426-4661 or email us at baggarwal@aggarwalcpa.com
