Virtual Controller vs. Outsourced CFO

What does my business really need?

Most weeks, your small or medium-sized business probably does not need 40 hours of high-level financial consulting. But you could use some of its specialized services to tighten up your business’s fiscal needs and strategic business decisions, but it’s not worth the full-time salary.

Controller and CFO services are not out of reach. Have you considered out-of-the-box solutions to your problems? Your business could benefit from outsourced CFO services or the use of a virtual controller. These strategic positions offer just as much support as their in-house counterparts, at a much lower cost.

Virtual Controller

A virtual controller performs complex accounting functions and is responsible for the business’s record keeping. Your virtual controller can prepare budgets, provide customized financial statements, and offer regular reporting. Their responsibilities include cash flow forecasting, sales and federal income tax reporting, annual external audits, and payroll processing. Your virtual controller can take care of the large-scale accounting tasks that are often overwhelming to small-business bookkeepers.

Overseeing Accounting Personnel

A virtual controller can train and manage your accounting staff to establish best practices that streamline current operations. To help keep you in the loop, they can set up a customized financial dashboard and establish key performance indicators.

Fractional CFO

While a virtual controller’s role is primarily retrospective and procedural in nature, a fractional CFO’s role is more future-facing and strategic. They engage in activities like advising how to improve margins, implement and integrate new systems, strategize and plan for taxes, and more.

Fractional CFOs provide actionable direction for your company’s financial future, with a comprehensive growth strategy, including planning for your future, predicting your growth, measuring your success, and achieving your goals.

Planning

Your fractional CFO will begin by building a plan based on assessments of accrual and cash accounting, budgeting, business process design, and revenue projections.

Predicting

To give you an idea of what your business will achieve over time, your fractional CFO can establish key performance indicators, offer inventory support, and finalize a comprehensive growth strategy.

Measuring

As time goes on, your CFO will continually provide you with financial analysis of your business’s cash flow management, possible risk factors, and opportunities to improve your bottom line.

Achieving

At some point, you’re going to be faced with the choice of continuing to build your business or cashing out. Your fractional CFO can help you regardless of what you choose, with expertise in establishing leadership structure, venture capital guidance, and merger or acquisition support.

Which Does Your Business Need?

Do you think your business might benefit from one of these positions?

Some signs that your company could benefit from virtual controller or outsourced CFO services include:

  • You spend several hours each week preparing financial reports or processing numbers.
  • You need accurate, timely financial information.
  • Your company is experiencing rapid growth.
  • Growth has stagnated, but you are not sure why or what to do to correct it.
  • Your company is considering going public or entering into a merger or acquisition.
  • You are unclear about your tax liability.

If you’re looking for help with day-to-day accounting operations, a virtual controller can fill your need. Alternatively, a fractional CFO can lead your business through managed growth toward the long-term goals you’ve set.

Small Business Accounting in TX

The majority of businesses that outsource these functions do so for cost benefits and flexibility. Outsourcing your small business accounting to either a virtual controller or fractional CFO can have similar benefits for your company.

Contact Insogna CPA to find out more about our virtual controller and outsourced CFO services. Our team of licensed CPAs is experienced in the strategy and planning that goes into running a successful business.

Jessica Martinez