At: Seasonal cash
The short months, forecast
Cash runs short at predictable times of year and nobody forecast it.
What we do
Annual budget and rolling cash flow forecast.
Fractional CFO
A growing business often needs someone to own the numbers before it can justify a full-time finance head. A fractional CFO sets budgets, forecasts cash, prepares board reporting and sits with you on financial decisions, for an agreed number of days each month.
Where a CFO comes into play as a business grows
The points where this service comes into play are numbered.
- Stage 1Founder-run financeFounders who spend too much time on finance and want it owned by someone else.
- Stage 2Seasonal cashCash runs short at the same times each year.1
- Stage 3The bankBusinesses preparing to approach a bank or investor.2
- Stage 4The boardCompanies whose board wants regular, reliable reporting.3
- Stage 5Tax obligationsIncome tax, withholding and sales tax on one calendar.4
- Stage 6A second branchBusinesses opening a second branch, unit or province of operation.
Numbered points are explained below.
The four points, explained
At: The bank
Projections for the bank
The bank wants projections and you have none.
What we do
Support in meetings with banks and investors.
At: The board
Accounts used for decisions
Monthly accounts arrive late and are not used for decisions.
What we do
Monthly board or owner pack with commentary.
At: Tax obligations
Tax handled on one calendar
Sales tax and withholding obligations are handled piecemeal.
What we do
A tax calendar covering income tax, withholding and sales tax filings.
What the engagement includes
Request a proposal- Budget and cash forecast
An annual budget and a rolling cash flow forecast.
- Owner and board reporting
A monthly pack with commentary.
- Finance processes
How finance runs: the processes, the controls and who is responsible.
- Banks and investors
Support in your meetings with them.
- The tax calendar
Income tax, withholding and sales tax filings on one calendar.
- Something not listed?
Ask us, and we will tell you plainly whether it is work we can take on.
How it runs
Diagnostic
We review your accounts, reporting and finance team, and agree priorities.
Plan
We agree the monthly scope, days and reporting timetable.
Monthly rhythm
We close the month with your team, report, and meet you to discuss the numbers.
Review
Each quarter we review the scope against what the business needs.
How many days a month does this take?
It depends on the size of the business and what you need, and we review the days each quarter. Each month you receive the board or owner pack, and we go through it with you so the numbers are clear before you act on them.
Do we still need a bookkeeper?
Usually yes. A CFO works from reliable books. The firm can keep them, or work with your existing team.
Can the firm also be our auditor?
No. Independence rules prevent the firm from auditing a business where it acts in a management role.