Virtual CFO Services aimed at Business Sustenance and Growth

Overview

Every organization be it a Large Corporation or a Start-Up or a Mid-Size requires a Chief Financial Officer (CFO). Most small & mid-sized organizations hire a Controller & NOT a CFO & mostly are unaware of the services carried out by a CFO & the different skill sets required to carry out the Virtual CFO Services.

One of the more popular facts is that 90% of the Start-Ups fail, out of 10% businesses that survive, fewer than 50% of these businesses make it their fifth year & further only 33% of them make it to their tenth year & another interesting fact to note is 40% of failure is due to Cash Flow Problems.

Thus one of main problem keeping the business from growing into a profitable venture is FINANCIAL MANAGEMENT & a typical Controller would not be completely equipped to financial management functions & thereby putting the Organization at huge Risk. A Controller is highly skilled to tackle your book-keeping & establishing Internal Controls & compliance issues, however may not be adept in tackling certain CFO Services such Strategic Planning, Budgeting etc.

The Finance Department functions mainly involves the below activities:

Thus there are certain CFO Services which required specialized skills to help drive the Strategic planning & thereby every organization needs a CFO. However hiring a Virtual CFO who can start providing the organization & their board of directors the kind of valuable information to enable the organization to achieve the required growth won’t come cheap & would involve huge financial commitment for a small & growing Company.

Thus it makes sense for small & mid-sized companies to outsource the CFO Services of the organizations to Virtual CFO Firms.

What does hiring a Virtual CFO Services Offer?

Thus, with the advent of Cloud Computing has enabled to provide accounting services; remotely & on demand on a SaaS model i.e., pay as per use model.This has enabled the companies to purchase the use of specialized accounting software rather than purchase of expensive software itself.

Cloud Accounting solutions are transforming the way that accounting applications are used & they are modernizing the entire business environment.

• Planning & Forecasting – Enables Cash flow forecasting, Working Capital Optimization & forecast financial projections which includes “What if” scenarios thus enabling the organization to compare the potential impact of key decisions before taking them.
• Fund Raising – Accounting software requires large capital investments, which can be minimized or eliminated altogether by outsourcing the bookkeeping & finance functions.
• Financial Transformation – Virtual CFO services enables the businesses to provide assistance in monitoring of financial performance, advising on improving the efficiency, providing financial health check & support with broad experience in design & implementation of finance organization, processes & tools including automation to provide efficient partnering to business, improve efficiency, accuracy & compliance of the financial planning & reporting activities.
• Crisis Management – Virtual CFO services enables Crisis management & contingency including preparing for the worst-case scenario & creating cost savings plan & budget realignment.
• Reporting – Virtual CFO services enables organization to access various weekly, monthly reports that are specific to your business & the its current needs. The Virtual CFO service will understand your business & your industry & help design the reports that provides assistance to the board of directors in taking appropriate decision making.
• Overseas Controllership Activities – Virtual CFO services will overseas the organization’s book-keeping services & controller staff to ensure all procedures have a series of checks & balances to strengthen security & present accurate financials.

Advantages of a Virtual CFO Services Firms over a Full-Time CFO

• Accuracy with Speed – <a href=”https://www.sbs-global.com/the-new-cfo-mandate/”>Outsourced CFO Services</a> are specialized firms having a network of CFO’s & thus enabling the firms to rapid speed with high accuracy.
• On Demand Expertise – Having access to various financial professions having expertise in multiple industries gives a client access to all resources they could ever need to answer any crisis.
• Expertise Expands according to the needs of your organization – Virtual CFO Services will help maintain the continuity of working with the trusted resources over the long term.
• Obtain CFO services at fraction of its costs – Hiring an experienced Virtual CFO involves huge financial commitment & thus hiring virtual CFO services would reduce the cost considerably.

Conclusion

COVID-19 has accelerated the trend of hiring Virtual CFO Services since pursuing virtual options is ideal for business advice. Further the accessibility of cloud technology has been an enabler in accessing the Virtual CFO Services for startups, small & mid-sized businesses. This advancement in technology enables the organizations to receive expert ability in developing the entire business strategy without employing a full-time CFO.

About SBS

SBS Global is an ISO 9001:2015 & ISO 27001:2013 certified company serving since 2007. SBS Global offers a comprehensive range of Accounting, CFO Services, Compliance (i.e., Company Secretary services) & HR Services catering to the needs of Small & Medium Organizations across industry sectors to meet their changing needs & expectations. Our team includes employees having industry & domain expertise who have insights drawn from years of professional experience.

You can reach us via email enquiry@sbs-global.com or via call us @ +91 8884733955 / +91 8040301700.

For more information visit: www.sbs-global.com