When to hire a fractional CFO?

The Mind ๐Ÿง  of a CFO

Read time: 4:05 minutes

Welcome to The Mind of a CFO newsletter. The newsletter is designed to help entrepreneurs grow in business ๐Ÿ“ˆ, mind ๐Ÿง , body ๐Ÿ’ช, and spirit๐Ÿง˜.

We will give our CFO's take on a topic to grow your business profitably each month.

In addition, we will provide you with a few things we are listening to ๐Ÿ‘‚, reading๐Ÿ“š, or watching ๐Ÿ‘€ that we believe will help grow an entrepreneur.

Disclaimer: Some of the links below support me in writing this newsletter, and some give you a deal too.

Last call for our virtual CFO cohort that is kicking off next month. Our virtual CFO cohort is designed to guide a group of service-based entrepreneurs doing $250k - $1.5 million in revenue to grow profitably and gain financial clarity. We will guide 3 to 8 entrepreneurs through a five-step process we use with our fractional CFO clients. You will learn how to set pricing based on value and purpose, how to make your financials tell a story, how to budget and forecast, how to create metrics, and how to read financials. The cohort also allows you to learn and connect with other entrepreneurs at the same stage as you.

The normal investment is $2,100, but the first four qualifying entrepreneurs to signup will get $500 off with code SM500.

The goal of the cohort is to increase profitability by 1% or more. For example, a 1% increase in profitability in a company doing $250k equates to over a 100% return on investment. We are also offering a ๐Ÿ’ฏ% money back guarantee if you do not find value in the cohort.

Click here to apply.

โ™ป CFOโ€™s Re-Take - When to hire a fractional CFO?

We get asked a lot at a2advisers.com, when does a business need to hire a fractional CFO?

Understanding when to engage a fractional CFO is crucial for sustainable growth in your business.

The decision typically depends on the stage and complexity of your business. The chart above utilizes data from Infusionsoft to depict the progressive stages of a developing company.

Each stage represents a company's reputation in the business landscape. Coming with its own challenges, each stage of business requires different levels of financial management. The stages between the black dotted lines signify the specific business types that can benefit from the specialized knowledge and guidance of a fractional CFO.

As the chart indicates, at the partnership level, businesses should start considering fractional CFO services to ensure a solid financial foundation. The guidance and strategic insights provided by a fractional CFO can help steer the business in the right direction, making the transition from a steady operation to a managed organization, and eventually, a mature company, where an in-house CFO may be more beneficial.

Fractional CFOs are a Value Add

In today's dynamic business landscape, having a fractional CFO by your side is not just a luxury, but a necessity. Their expertise, strategic guidance, and ability to transform financial data into actionable insights are invaluable. Through their services, you can:

  • Unlock your business's growth potential

  • Drive profitability

  • Track KPIs efficiently

  • Experience the transformative impact they can have on your organization

By partnering with these financial experts, you gain access to their profound understanding of financial intricacies and their remarkable skill in translating complex financial data into actionable insights. Theyโ€™ll empower you to make informed decisions that fuel growth and profitability.

Fractional CFOs provide strategic guidance to ensure your finances are aligned with your goals, enabling you to seize opportunities and conquer challenges.

Click here to continue reading.

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๐Ÿง  ๐Ÿง˜ ๐Ÿ“š Struggling with imposter syndrome. This article helped me come to terms with it.

Thanks for reading, Luke Templin!

P.S. There are two ways to work with Luke to grow your business profitably.

  1. Virtual CFO Cohort for service-based entrepreneurs with $250k - $1 million revenue.

  2. Fractional CFO for service-based entrepreneurs with over $1M in revenue.