Say you need a financial guru to help make tough decisions that go beyond your accounting department’s expertise … yet you can’t afford a full-time CFO.
In such situations, more small companies are choosing to outsource that function. They’re “renting” part-time CFOs from an increasing number of small-business consulting services that provide CFO services, says a new report from The Wall Street Journal.
These rent-a-CFOs play a bigger role than accountants, who mainly keep the company’s books. They work with the owner to provide financial data to make strategic decisions, establish proper bookkeeping systems, manage the company finances and connect with business or financing sources.
Freelance CFOs can also provide a “reality check” on your company’s finances and provide objective advice—something you may not get from an internal accountant.
Cost structures vary from hourly to flat monthly fees to project-based fees. One national firm, B2B CFO Partners, charges at least $300 to $400 per month.
Advice: Rent-a-CFO services are best for small firms looking to expand, fix problems or iron out complex financial issues.