- What will a CFO do for my business?
- Bookkeeper/Controller/CPA/CFO – What’s the difference? How many accountants do I really need?
- Why not have my CPA act as CFO?
- How often do I need a CFO?
- What size companies does Michigan CFO work with?
- What type of information do you recommend I use to run my business?
- Do I need to sign a written agreement?
- How much is this going to cost?
- Do you work on-site at my location or off-site from your offices?
- My Company is running just fine. I have a good accounting staff. Why do you think Michigan CFO Associates can help my company?
- Will the CFO keep my company information protected?
- What system access do you require?
- What can I expect during the first couple months?
- What happens if I end up requiring a full-time CFO or Controller in the future?
At first, many CEOs have trouble visualizing how a part-time CFO can help their organization. So, we make it easy. During our initial meeting, we’ll show you specific examples of how Michigan CFO Associates can improve your company’s performance. There is no charge for this introductory meeting.
Regardless of the titles, someone qualified should be doing the following in every business:
- Financial reporting and analysis that is both accurate & useful for decision making (e.g., profitability by product/customer/location, market segment, etc.)
- Focusing the business on key metrics that have the greatest impact on profitability & cash flow
- Managing cash flow & cash planning
- Balancing health & growth in the organization
- Instilling basic financial disciplines and controls
- Creating projections to identify future problems and opportunities
- Providing leadership and training to the company’s accounting staff
- Questioning and challenging the status quo (e.g., not being satisfied with “that’s the way we’ve always done it”)
- Assisting the owner with difficult decisions
If some or all of the above items are not getting attention in your business, a part-time CFO can be a cost-effective solution. You may also be interested in our Whitepaper The #1 Financial Mistake Made by Small-Business Owners.
* Their business is not set up to be as “hands on” as a CFO needs to be. Each of our CFO’s works with a small handful of clients. CPA’s typically work with hundreds;
* They do not have our depth of private company CFO experience, which is a specialized skill;
* Most CPAs are largely unavailable during “the busy season”.
Being a CFO, whether on a full-time or part-time basis is much more than being able to crunch numbers or to fill out a tax form. A CFO is multi-faceted. A good one has lots of first-hand experience wearing many hats including administration, management accounting, production, purchasing, human resources, facilities, contracting, and negotiations in addition to having strong finance skills. Above all, a good small business CFO must be business savvy.
Financial statements and reports should be important management tools, not merely requirements for outside parties (your bank, IRS, etc). If your financial statements are a puzzle, they are being constructed incorrectly. Your accounting or bookkeeping staff needs to be trained in new methods and procedures that turn their work into valuable management assets, not confusing reports only your CPA can begin to understand.
We spend considerable up-front time designing financial reports that allow you to make good decisions based on your unique critical measures. We also spend time making sure you’re 100% clear on what the reports are telling you. The reporting package might include some or all of the following:
* Financial Statements using our unique TrendSpotter™ report design;
* Profitability by product/service line;
* Current year pro-forma financial statements, by month;
* Actuals vs. Budget/Forecast
* 5 to 8 Key Performance Indicators (KPI’s);
* Thorough cash-flow planning and forecasting of cash needs, including borrowing scenarios
In rare occasions where significant uncertainty exists in the scope of work, we will work under a very reasonable hourly rate structure.
In either scenario, we hold financial review meetings at your location, or if necessary via web conference.
What happened yesterday is not nearly as important as what’s going to happen tomorrow, next month and next quarter. Looking ahead and recognizing both risks and opportunities in the future will allow you to make better decisions today.
© Kimiya Kitani