We think of a “Virtual CFO” as almost everything in one. The benefit of having a virtual CFO is that you are technically getting someone (or a team) that will provide each level of service for you. Typically, a full finance team would look like this:

1. Bookkeeper: manages the day-to-day bookkeeping, runs payroll, processes payments, and closes the books each month.

2. Controller: manages the bookkeeper, reviews and oversees the financial processes, manages cash, and has full control of the finance function of the business

3. CFO: manages the Controller, reviews financials, offers strategic support on budgeting, forecasting, and growth opportunities

Depending on the Virtual CFO package you go with, you could potentially get a small piece of each one of these roles. However, usually clients will start with a bookkeeper/controller role until they are ready to grow and require more strategic CFO advice.

It all depends on where you are at with your business. The idea is to take away the tedious accounting work from business owners so that you can focus on doing what you do best – growing your business! At the same time, understanding where your business is financially is so important when you are looking to grow or plan for the future. We’ve had clients come on board within the first few months of incorporation! The benefit of this is that all the accounting apps and processes are set up right away to create a strong foundation as they grow.

Although we specialize in helping tech-based companies (such as SaaS, e-commerce, online services, etc) we generally work with all types of industries. The key is that there is a willingness to move your full accounting process online and into the cloud (if it isn’t already). We are unable to work with any companies using desktop accounting software or that requires someone to work in-house.

Virtual CFOs offer financial planning expertise, including budgeting, forecasting, and strategic financial advice. They help businesses make informed decisions to achieve their financial goals.

Virtual CFOs assist with regulatory compliance, ensuring businesses adhere to financial regulations, tax requirements, and reporting obligations.

Yes, virtual CFOs can guide businesses through fundraising efforts, helping them secure capital through various channels such as venture capital, loans, or equity financing.

Virtual CFOs can adapt their services based on the client’s needs. They can handle multiple clients simultaneously, providing customized financial solutions.

The following functions of a Virtual CFO are essential for sustainable growth and success.

• Developing Financial Strategies, budgets and financial models for decision-making.

• Assessing Risks and implementing risk-mitigating strategies. Virtual CFOs bring an objective perspective, free from internal biases. They analyze financial data objectively, offering valuable insights for strategic decision-making.

• Overseeing Capital allocation, managing the financial structure of debt, equity and investments management.

• Preparing Financial Statements, analysing performance metrics and providing insights to improve profitability and efficiency.

• Maintaining Investor Relations by communicating the financial results and growth plans with investors, analysts, and stakeholders.

• Strategic Decision-Making by collaborating with other executives to make informed decisions in balancing short-term needs with long-term goals.

• Focus on the long-term value creation of the business along with short-term financial management.

• Utilizing complex and advanced financial modelling to project outcomes of different strategies and investments, aiding in making data-driven decisions.

• Assisting in creating recovery plans, managing cash flow, and finding ways to navigate challenging circumstances during times of economic downturns or unexpected crises.

• Developing tax strategies to optimize tax liabilities, taking advantage of relevant tax incentives, deductions, and credits.