Virtual Chief Finance Officers (VCFO) offer the same services, and more, as a traditional Accountant must but a VCFO does it remotely, part time or on an ad hoc basis. The corporate world has taken this new shift and enabled financial experts to take-on virtual, part-time, and freelancing roles which has, thus far, proven to be mutually beneficial. Having a VCFO allows corporations, of all natures, to benefit with purposeful advice of financing personnel without having to pay one full-time.
For start-ups, it allows them to hire a trained expert to look after their financial operations until they can retain a full-time resource. For corporations, it has enabled getting advice from various experts without needing to be tied-down within a physical space.
Accountant in Northern Beaches, can provides Virtual CFO Services on a part-time / ad hoc basis to provide strategic business advice & expertise across all areas of your business. By integrating into your day to day operations, they can keep an eye on reducing cost, increase efficiencies and help you run and grow a profitable business.
Hiring a Virtual CFO provides huge cost savings as compared to hiring a full or part time employee. You won’t have to pay on-costs or provide an office space or equipment. Most importantly, you can focus on your core operations as we monitor the financial pulse of the business.
Some of the advantages of a VCFO are:
A Virtual CFO comes with experience which a traditional Accountant may not. Accountants usually join the corporate world and rise to the CFO position. They also spend many years at the same job to get a better grasp of the company’s operations. This gives them an in-depth knowledge of their company’s financial position and capabilities.
A Virtual CFO, on the other hand, is an independent expert who has experience working with various companies. A VCFO is a part of a virtual community and provides companies with the added advantage of gaining access to industry insights, networking, and having a bigger pool of experts guiding your decisions. On the other hand, a traditional CFO knows the capabilities, resources, and culture of an organization, and hence can propose solutions keeping these factors in mind.
Typically, a major expectation from an Accountant is to ensure compliance. They make sure that all reports, payments, and books are up-to-date and the company’s financial record is organized.
CFOs, whilst also taking care of the above, also aid growth.
Your local accountant regularly analyse, plan, and strategize to provide sound advice for effective growth. We play an active role in decision making and accelerate growth and make profits.
Hiring a VCFO can give the brand a fresh, and objective, pair of eyes; one that maybe unaware of internal discussions and debate and not be limited by either. Accountant can help you spot growth opportunities and add value by seeing things that may have been missed. In contrast, a traditional accountant is an employee and probably has been a part of the team. He or she knows fully what’s going on and how the business has been functioning. Thus, it is unrealistic to expect them to add a new perspective.
The most prominent advantage of having a VCFO is the money you will be saving on their salary. A full-time accountant will be drawing a monthly salary with corporate benefits and the work is also unlikelyto be in as much detail as that of a CFO.
Having a VCFO on-board tackles both these queries at the same time. You create an opportunity to employ an expert CFO who is a remote resource hence the terms and conditions can be made more flexible than for a full-time resource. Apart from not needing to provide office space and benefits, you can retain them on a weekly, monthly, quarterly or even an annual basis for probably a lesser cost than that of the traditional Accountant.
The VCFO is an independent expert working with a wide range of corporations and private clients. Having a VCFO work with you gives you direct access to their other clients. Since they work for your company too, your company’s interest is important for them. A VCFO therefore can help you connect with other organizations and build a collaborative network at the behest of the VCFO.
An added advantage of a VCFO’s contacts is that they are aware of market conditions including the interest shown by potential investors and your company’s financial health versus that of your competitor.
To summarize, an Accountant will analyze operations, report on the past and continue to manage routine operations. A VCFO, however, will take care of the financial matters, look into the past trends, and also predict the future. CFOs think the big picture, bring perspective, simplify complex information, and help direct the business forward. They also have a key role in developing strategies.