Amid cutthroat competition in a pandemic-hit environment, organizations are making the smart choice of having an outsourced CFO. With finance professionals/firms at their service, these organizations benefit not only from high-level finance expertise, but also a greater focus on strategic planning and core competences.
Outsource your CFO
Historically, finance has fundamentally been perceived as an in-house, support function. However, modern times have seen companies outsourcing their finance, partially or completely. This effectively means that some companies have an outsourced chief financial officer (CFO).
Outsourcing as a concept
The concept of outsourcing in which a third party is hired to undertake a process—perform a task or a service—on behalf of an organization became known in the 1950s. However, it was not until the 1980s that it started to be widely applied as a technique for mitigating cost and honing core competences.
What is a CFO?
A CFO is the apex finance official in an organization, responsible for the management and execution of its finance affairs. The range of responsibilities of a CFO vary depending on the size of an organization, the scale and complexity or its operations, the industry and the economy in which it operates, and the legal and regulatory framework applicable to it, but generally, a CFO is responsible for maintenance of accounting and finance records, financial planning and control, financial decision making, and statutory, tax, legal and regulatory compliances.
What is an outsourced CFO?
An outsourced CFO is an external, third-party resource hired contractually to undertake the role of finance leadership of an organization, which otherwise would have been the responsibility and scope of an in-house CFO.
An outsourced CFO can either be an individual or an organization having certified expertise in relevant fields such as accounting, finance and auditing. Generally, members of chartered accounting bodies or auditing or management consulting firms are hired for this purpose.
Why have an outsourced CFO?
Even though finance is still considered by many as a support function in an organization, it is fast evolving as a core function like marketing due to the fast changing economic trends and market dynamics. Strong marketing without the support of strategic financial planning renders an organization vulnerable to competitive onslaught. This means that finance is no less important now.
While this supports the notion of having finance as an in-house function, it also calls for importing finance expertise from external service providers who specialize in this discipline.
Thus, having an outsourced CFO allows an organization to not only benefit from superior finance expertise available with the specialists, but also redirect its focus on matters of strategic importance and bolstering its core competences.
Expertise Accelerated as your outsourced CFO
Expertise Accelerated – your outsourcing and co-sourcing partner–houses a team of top-notch, US-based industry experts, leading high-quality and affordable finance professionals from a global talent pool, who can become your cutting edge for ripping through the growth and competition barriers.
If your organization is facing accounting or financial planning issues, at the strategic, tactical or even the operational level, get immediate advisory support by booking a Free Consultation session with Expertise Accelerated today.
You may also reach out directly to the industry experts at Expertise Accelerated through call at +1 (203) 542-7277, email at firstname.lastname@example.org or walk in at 500 W PUTNAM AVE STE 400, GREENWICH, CT 06830.