How Do I Find a Fractional CFO?

Looking for all the benefits of a CFO without investing the time and resources to build a financial team from the ground up? Fractional CFOs provide a seamless way to outsource strategic advisory, budgeting, risk management, and other financial services, providing your business with expert support while remaining efficient and cost-effective.

You might already have decided to pursue fractional CFO services but are asking yourself, “How do I find a fractional CFO?”

Most fractional CFO businesses can be found and contacted through a simple online search, but knowing which is right for your business will take a little more work. This article will guide you on your search, providing relevant advice for contacting and consulting with fractional CFOs. Read on to find the fractional CFO that will expand your potential and elevate your business.  

Determine Your Business Needs

Before connecting with fractional CFOs, you need to determine precisely what services you are interested in. From raising capital to negotiating debt, fractional CFOs are equipped to handle a various financial needs. What you choose may depend on the size of your business, your particular industry, and your plans for future growth.

To make the transition from your current financial structure to a fractional CFO, take the time to review the following:

• Business status – Whether your business is exploring a new market or just getting started, it is essential to have a clear picture of where you stand to adequately address your needs. A fractional CFO can help you strategize for the future, but you will need a concise vision of your business to help lead the way.
• Team responsibilities  – Do you have an interim CFO currently reviewing your finances? Consider meeting with your current financial team to discuss roles and responsibilities. These team members can offer their experiences and expertise to help you find the right fit for a fractional CFO service.
• Long-term projections – Where is your business going? Long-term goals and short-term changes should always be part of the discussion when seeking gout a fractional CFO. A fractional CFO is your partner in elevating your business and assisting with the essential planning to realize your objectives.

As with any business decision, consulting with experts and stakeholders is a crucial part of the process. Work with your team leaders to isolate current pain points and explore where a fractional CFO can improve the overall health of your business.

Considering Additional Services

You may also consider expanding your CFO services beyond your currently anticipated needs.

Additional financial services could include:

• Staff training and education
• Payroll and back-office support
• Compliance and due diligence

Are you expecting sustained growth, increased development, and broadening markets? Then, it may be worthwhile to investigate additional CFO and financial services that could help you run a more efficient business.

Vet Your Options

While several competent and qualified fractional CFO services are available today, they may not all fit your business. Therefore, while scouting out your potential fractional CFO, take the time to vet and access their offerings.

Consider these key ways to determine whether a fractional CFO service is right for your business.

• Customer experiences – Seek out current or former clients. Those that have had experiences with your potential fractional CFO can offer their experiences and testimonials about the quality of service. 
• Mission statements – What does a fractional CFO service have to say about itself? A mission statement should communicate the ethos of a company, establishing its values and expertise in the industry. Seek out a fractional CFO service with a mission statement that complements your own.
• Expertise and accreditation – Professional education and certification translate to real-world skills. For example, Certified Management Accountant (CMA) accreditation indicates a fractional CFOs competency and skill level. This globally-recognized certification is earned through education and firsthand experience, culminating in a comprehensive exam testing financial knowledge.

Explore Your Network

Often, the best way to find a fractional CFO is through referrals and networking. Even if you are not currently connected with a fractional CFO business, you can look to your network to provide you with insights and recommendations.

Consider reaching out to the following businesses and individuals for information and insights into fractional CFOs:

• Legal experts – If you have a legal team or lawyer on retainer, they may be able to offer specialized expertise. Not only can they share experiences, but they may also assist you in auditing and employing a fractional CFO.
• Industry insiders – Look to those in your field for a transparent view of potential fractional CFOs. Comparable businesses may offer recommendations and advice for finding and hiring a fractional CFO, helping you navigate the particular complexities of your industry.
• Networking events – In-person and remote networking events can provide you with a front-row seat to fractional CFOs. You may have the opportunity to inquire about pricing, service options, and former experience. Events can help simplify your search and introduce you to new opportunities. 

Ask For A Consultation

After analyzing your businesses and refining your search, you may find one or several potential fractional CFOs. However, before signing a contract, request a professional consultation. 

This process is more than a negotiation of terms and conditions. It is also your final audit, and it could provide the most illuminating insight into what a fractional CFO service has to offer you.

During your consultation, consider inquiring about the following details:

• Company culture – A fractional CFO is a full-time collaborator with your business. Ensure that their interests and company culture align with your own for a frictionless partnership and shared success.
• Service expectations – Response time and availability are crucial to expanding businesses. For those in fast-paced and demanding industries, you may need a fractional CFO ready to respond to market changes at a moment’s notice. Talk to fractional CFOs about your specific service needs and expectations.
• Industry experience – Is this their first time dealing with a business in your industry or do they have a full roster of successful ventures in your field. While it can be helpful to hire a fractional CFO with a diverse range of experience, you may want to prioritize those with a background in your industry.