how much does outsourced cfo cost

For businesses that are growing quickly or who need CFO-level guidance at a part-time capacity, an outsourced CFO can make the most sense. You get the service and guidance you need without the full weight of an expensive executive. How much your outsourced CFO costs depends on a multitude of factors and should be tailored to your specific needs. At Fully Accountable, our fractional CFOs can help you identify the strategies that fit your company’s needs best. Depending on the complexity of your company’s financial needs, it might need more attention.

Many outsourced CFOs will have a network of accountants, consultants, and lenders that you tap to help your business get the help it needs to go to the next level. You won’t always need your CFO, and outsourced CFOs give you scalable options that fit within your company’s framework. In both cases, blending in-house and outsourced skills led to quick, cost-effective and innovative solutions outsourced cfo due to all parties being well-aligned. Setting clear expectations and maintaining open communication channels were crucial from the outset. Whether it was establishing regular feedback loops or daily summaries, these practices ensured that everyone remained aligned. The snug fit of an in-house team or the flexibility and specialist skills that outsourcing brings to the table?

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We’ll outline three types of searches you can do to help you dig deeper and find the right fit. While a company can benefit from a consulting service, there are drawbacks which come when you don’t have a CFO service on an ongoing retainer. For instance, this is how we group CFO services with robust accounting offerings here at Driven Insights . While a group of CFOs in business together may not give you the certainty of which individual you’ll be working with, you do get some added benefits. Before we can get to “how to select the right outsourced CFO service,” we need to agree on what outsourced CFO services actually are and what they offer.

But not every business is in the position to hire in-house chief financial officer experts for their financial team. Before you get to the search process, it’s important to understand which types of companies get the most out of contract CFO services. That means these companies may need a CFO at less than $1MM and will probably want to graduate to a full-time CFO at less than $50MM. A Software as a Service (SaaS) company, for example, could be in need of a contract CFO service at $500K and employ a full-time CFO when it reaches around $35MM, perhaps earlier. The hourly cost of outsourced accounting services should be compared to the all-in cost of maintaining and accounting staff in-house- including salaries, benefits, overhead, etc. But more important is the outsourcing firms’ ability to provide the expertise that can prevent expensive and even fatal business errors.

How to Set Expectations for an Engagement with an Outsourced CFO Provider

However, outside perspectives are often the most valuable additions to your business structure. You can frame an outsourced CFO as an asset your company uses when you need this outside perspective. A Fractional CFO works with your company remotely and connects their software infrastructure with the latest technologies so that companies ensure they operate at optimal capacity.

At the low end of the scale, you can expect to pay about $299,000 on an annual basis. Before researching outsourced CFO services, you’ll need to decide whether outsourcing a CFO is the right decision for your company. If you think your company would be a good fit for outsourced CFO services but want to learn more, we’d love to talk. No obligations, no pressure, just a short conversation to learn more about your challenges and goals and what your best path forward will be.

The Most Common Outsourced CFO Services – Part 1

Founded in the year 2012, ProfitsView offers comprehensive and affordable tax and accounting solutions globally to private businesses and entrepreneurs. Such outsourced CFO comes with a high level of experience in top-tier corporate financial roles. With outsourced CFO services, you have the peace of mind knowing someone is looking over your financials managing the financial aspect of your business. Financial statements are used when making decisions regarding the company.

how much does outsourced cfo cost

The controller sets up accounting and finance so all the CFO or business owner would have to do is step in and review what is happening and make decisions accordingly. If you do a quick Google search, you will see the average income of an accountant controller is around $75,000 a year. But the median income is actually somewhere around $200,000 to $250,000.

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