Benefits Of Hiring A Part-Time CFO In Atlanta
Also known as an outsourced, fractional, or interim CFO, hiring a part-time CFO can make a significant difference for any firm. An increasing number of business owners are beginning to see and understand the need of hiring a part time CFO in Atlanta. Many of them are beginning to realize that it is not a non-billable operating cost but rather a meaningful investment. But now that many small and mid-size firm owners are hearing about part-time CFOs, what are actually the benefits of hiring them?
Despite showing a high level of profitability, it may amaze you to know that your firm can still be insolvent. This is a common situation amongst many small and mid-size businesses today. Most of them tend to survive on the collection of receivables because that’s where all the profits lie. As a necessity for managing and sustaining business growth, hiring a part time CFO in Atlanta is a great way of ensuring effective cash management.
At this point, it is the duty of your part-time CFO to ensure timely collection of the receivables. And if in any case, the receivables are not collected on time then appropriate measures will be recommended, such as collection agency, stop work or sue. As part of the ongoing responsibility for your firm, the part-time CFO will seek to make cash management and budgeting.
Maintain books and records
A part time CFO in Atlanta can greatly help to organize your chart of accounts in adherence to industry specs. As a matter of fact, this is highly essential because the chart of accounts is ultimately the supporting structure for your financial statements, as well as your general ledger. In the event of a firm sale, it is important to have a proper financial statement format at hand.
Sometimes, budgeting can be nettlesome for business owners particularly those who are not used to organizing budgets for business purpose. Interestingly, this challenging task can be easily dealt with by hiring an efficient part-time CFO. As the basis for the firm’s fee quotes, budgets will be rightly created. Additionally, your part-time CFO can help you prepare a regularly updated “rolling budget,” account for infrastructure investment, lost business, new business, and new hires.
Billing, utilization, and proposals
Based on the billing rates of the staff and the work projected, proposals will be priced out to the account team on your behalf. Also, note that the available client hours and the baseline hours of every member of the staff will be determined. By Other duties of a part-time CFO include monitoring productivity, utilization, and billing rates. In order to give real meaning to productivity and put utilization percents into perspective, the CFO will help you track write-offs.
Now, there is a growing trend within the industry, thanks to the growing demand for a part-time CFO. As businesses recruit new kinds of talent and adopt new practices, such as digital and analytic professionals, the need for a CFO cannot be overemphasized. Their services will be required to help protect the firm overservicing while ensuring that new services are priced accordingly.