Every company needs someone to manage its finances, and as an alternative to hiring someone in-house, outsourcing CFO services is becoming the new norm.
Outsourcing CFO services comes with unique benefits and helps you position your business to grow.
Outsourcing CFO Services Comes with These Nine Benefits:
1. Expert Dedication
When you partner with an outsourced CFO service, you’ll have more time to focus on what you do best, running your business. You’ll rest easy knowing there’s an expert handling your finances for you.
Your outsourced CFOs will manage every area of your financial system. They’ll focus on efficiency, accuracy, timeliness, and optimization. Their devotion to your financial success will instill confidence and allow you to spend time improving other areas of your business.
2. Detailed Budgeting and Forecasting
An outsourced CFO also provides budgeting and forecasting services.
CFOs track your income and expenses and use that information to build a budget that, when followed, keeps your finances on track.
They also produce forecasting reports to predict how future events might impact your business’s financial status.
Budgeting and forecasting reports give you valuable insight into your financial position, and if you leverage these tools to make decisions for your business, they can help you reach your short and long-term goals.
Budgeting and forecasting might seem like simple concepts, but they require constant attention. Your finances are continuously changing, so you frequently have to make adjustments to your budgets and forecasts. Thankfully though, your CFO can manage these tasks for you as well.
3. Constant Communication
Good business owners know what’s going on with their businesses’ finances at all times, but monitoring the company’s finances is only one part of their job. They have many other professional responsibilities that require their time and effort.
Outsourced CFOs are hired to keep a close watch on your finances, so you don’t have to. They will check your income, expenses, forecasts, etc. regularly, and then, they will update you on your financial standings. They keep you informed while saving you time and energy.
Additionally, outsourced CFOs can provide a lot of support. They’ll answer your questions, and provide clear guidance during times of change. Whatever the situation, they will strive to meet your business’s needs.
4. Improved Financial Systems
Once you start working with an outsourced CFO, one of the first things they do is evaluate your financial systems to ensure everything is running smoothly.
Once your financial systems are working well, your CFO will make changes to:
- Improve efficiency
- Eliminate bottlenecks
- Create better reporting
These small adjustments will have a big effect on your business’s growth.
5. Guidance for Raising Capital
Eventually, you may need to raise capital to expand your business. However, there are plenty of things to consider before you begin fundraising. Things like your:
- Financial plan
- Current liabilities
- Budget
- Taxes
- Etc.
An outsourced CFO will walk you through these important facets and help put a plan in place for achieving your goal. They also understand what it takes to position your business to appeal to investors and can implement these processes for you.
Their experience paired with their financial knowledge will give you a definitive advantage as you try to grow your business.
6. A Focus on the Future
Preparing your finances for the future is the best way to see growth. It ensures every move you make is pushing you forward.
Unfortunately, you don’t always have the time to focus on the future, because you’re often solving problems in the present.
An outsourced CFO will do this for you.
They’ll concentrate on building your finances to be successful in the future through forward planning and improved systems implementation.
7. Exit Planning
At some point, you will decide to move on from your business. In order to make this transition as seamless as possible, you will need to do a great deal of planning and preparation.
If you work with an outsourced CFO, he/she will help you put a plan together that focuses on your goals. Having a solid plan for your exit will give you peace of mind during this time of change.
8. Detailed Data Analysis
Business owners know the importance of tracking their data, but they don’t always know what to do with it. You can track all the data you want, but if you don’t know how to apply it, it’s not helpful.
An outsourced CFO is trained in data analysis. They will use your data to create reports and give you tangible actions you can take to leverage it to make better decisions.
9. Cost-Effective Financial Management
Hiring an outsourced CFO, instead of making an in-house hire will save you money.
Outsourcing gives you the ability to select which services you need, meaning you only have to pay for those services.
Additionally, you won’t need to spend time and resources on interviewing and training a new in-house employee.
Outsourcing CFO services eliminates the costs of:
- Onboarding
- Training
- Paying a full-time CFO
Interested in Outsourcing CFO Services?
Working with an outsourced CFO is a great alternative to hiring in-house, and Pasquesi Partners offers these financial services.
Contact us today to learn more about the benefits of an outsourced CFO and how we can help you!