Key qualities to look for in a Virtual Outsourced CFO

Below are some of the benefits of a virtual outsourced CFO:

  • Customised deliverables to better meet your needs

  • Consistent reports and KPIs from one firm

  • Pay for what you need and when you need it – keeps costs down

  • Don’t have to employ a full-time resource

  • A service that can grow with your business

  • Peace of mind that your financial and reporting needs are taken care of

  • Supervision and training of finance staff is maintained by the outsourced CFO provider

The top five qualities you should be looking for in a virtual outsourced CFO are:

  1. Flexibility – The business environment can change rapidly with sudden events such as the COVID-19 health pandemic resulting in significant disruption to your business and ways of doing things. As such, your virtual outsourced CFO must be adaptable and flexible to support your needs as they change, no matter how sudden or drastic that change is.

  2. A good communicator – The role of a virtual outsourced CFO is to support your business by providing you with the financial information you need to make informed and timely decisions. While your chosen level of service may differ depending on costs, a good virtual outsourced CFO will ensure open lines of communication, respond to questions or calls for assistance promptly and inform you of any changes or issues that may arise. Good virtual outsourced CFOs assure you that your business’s needs come first and that deadlines are met on time.

  3. Forward-looking – A virtual outsourced CFO is more than just a bookkeeper, but a specialist who takes an active role in understanding and supporting your business’s financial position. As such, a good virtual outsourced CFO will take a forward looking approach to your finances, helping you to identify potential opportunities and trends your business can capitalise on as well as potential risks down the track. In some cases, virtual outsourced CFOs can even play an active role in strategic business planning sessions and act as a sounding board when it comes to making important decisions.

  4. Provides varying levels of support – Every business is different with different goals, budgets and needs. A virtual outsourced CFO service, therefore, must be bespoke to meet these differing needs whilst still providing the same quality of service. One of the ways providers can cater to the different needs of businesses is by providing the same quality services at different levels of supports – from junior through to partner level. This ensures that quality solutions and support can meet business needs while satisfying cost and budget constraints.

  5. Understands your local business environment - As compliance laws and regulations differ from country to country, it is critical that your virtual outsourced CFO has an in-depth understanding of the laws in which your business operates in as this gives you quality control and assurance. Moreover, as local legislation and rules can change suddenly – such as the introduction of COVID-19 stimulus measures for Australian businesses – a locally based virtual outsourced CFO with on the ground experience may be better able to adapt to these changes.

For more information about our Virtual Outsourced CFO services, please get in touch with us.

Netra Nagpal