Financial Department

The CFO is in charge of creating the systems, procedures, and structure of the financial department, while the controller executes those procedures and systems.

CFOs come from a variety of educational backgrounds, most often finance, accounting, or business. One that is often undervalued is a background in economics. 

Financial controls are systems a company sets up to ensure the accuracy of its finances. Financial controls prevent financial errors, fraud, and inefficiencies.

While it’s true that most finance work can be done remotely, working with a local fractional CFO can build trust and foster openness about sensitive issues. 

A company is often prompted to find a CFO when their business starts to get more and more complex. But should a company hire a full-time or fractional CFO?

It’s important to be forecasting in addition to budgeting because budgets become less reliable as changes inevitably happen during the year.

A company’s accounts payable (AP) balance is a liability that consists of the bills you owe your vendors. It’s important to have a system for managing AP.

A company’s accounts receivable (AR) balance consists of invoices that have not yet been paid. A business should have a system for managing and reviewing AR.

A CPA acts as your financial expert when it comes to filing taxes, and a good one can save you a lot of time and money. How do you know if you have a good CPA?

As a business owner, it’s your responsibility to ensure your financial department is performing effectively and efficiently. Here are some vital qualities.