Financial management is a key department of a company. It intervenes to help plan the deployment strategy of the general management or the executive officer. It seeks to provide tools to support the making and execution of decisions of major importance. This makes it poassible to prevent financial risks. A company can benefit from the expertise of a CFO on a timeshare basis if it contacts an outsourcing firm.
General information about the outsourced CFO firm
The outsourced financial management firm is responsible for the reliability of the accounts, transparency and financial sustainability of the company. As long as a company requests the expertise of the firm on priority subjects, it has the possibility of being relieved of a binding and difficult mission to devote itself to its core business. A company may have needs on the development of payroll management reporting tools or dashboards, or on the reporting of an export project. The outsourced finance department allows to opt for the important area of intervention. The administrative and financial director is completely flexible. This outsourced CFO is able to work on the subject matter of the company that benefits from his or her intervention. Outsourcing a company’s CFO makes it possible to get support on a subject that is essential to the company’s survival and complicated to understand within certain companies.
Then, the company director acts as the pilot of the activity. When he or she outsources the finance department to an outsourced CFO or a firm, he or she has the opportunity to be relieved of administrative and financial matters. This can allow him or her to benefit from specific expertise on a strategic topic that requires experience and expertise. A CFO on a time-sharing or interim basis can step in to review business contracts, establish a link with corporate functions, report on objectives and activity and optimise cash management.
The role of the outsourced CFO or CFO
This administrative and financial director is able to support the manager on a daily basis. This acts as a barrier to improving the company’s profitability. In the event of financial problems, the CFO can propose corrective measures and intervene in the execution of management decisions. The CFO’s role is key to optimizing the improvement of a company’s sustainability. In terms of risk management, the CFO plays a key role. He is able to offer quality monitoring. Before each execution of management decisions, it can give its opinion and make reports. This administrative and financial director works alongside the decision-making body or the company director. Second, when the outsourced CFO makes optimal use of and monitors finances, it helps reassure investors. The CFO gives start-ups the opportunity to gain significant credibility in addition to the economic benefits. The CFO provides effective expertise to help turn numbers into strategic and methodical decisions once they are analysed and reviewed. The mission to maximise financial benefits and limit risks is imposed on the CFO. As he is responsible for the financial aspects of the company, he is able to influence the company’s strategy. The CFO’s involvement and expertise can be critical in optimizing the development of the senior management deployment strategy.
When to involve the CFO on a timeshare basis?
Some companies are unable to keep track of cash flow, customer acquisition and margin control. They need to outsource the finance-related management. They need to bring in the outsourced CFO. The outsourced CFO can be involved in tasks related to the smooth running of the company, such as cash management, supervision of accounting and optimisation of the reporting method, as well as projects such as ERP implementation, fundraising and external growth. The interim CFO is an operational person who is committed to results. His or her mission must be set out in a “roadmap” that specifies deliverables, timelines and objectives. To set attendance times and prioritise the task, the CFO needs to perform a diagnostic. His intervention can be carried out between 1 and 3 days a week. To avoid the risks of competition, he can intervene in different sectors and on several companies. Using a CFO on a time-sharing basis is a solution to this problem.