When it comes to expertise, sometimes it’s best not to build it yourself.
As construction firms grow, their back office and C-suite needs evolve. Many small and mid-size companies find themselves in need of the financial insights and expertise of a seasoned pro — but may not be ready or willing to commit to a full time CFO.
If you find yourself in this situation, outsourced CFO services may be a good fit. How do you decide if it’s right for you? Here are seven compelling criteria to factor into your decision.
Cost-Effectiveness
You’ve grown to the point that you need the insights of a CFO – but don’t have the budget or workload to bring one in-house. In this case, outsourcing can provide significant savings. You’ll enjoy access to high-level financial expertise without the expense of a full-time salary, benefits and overhead costs.
Expert Financial Insight
Outsourced CFOs bring a wealth of experience and knowledge to the table. They can provide valuable financial insight and strategic guidance to help you make informed decisions and drive your business forward.
Scalability
As your business grows, so do your financial needs. An outsourced CFO may initially be retained on a very limited basis. As your needs grow, you can renegotiate their terms and to your business’s changing requirements. And, as you approach the stage where a full time CFO makes sense, your outsourced CFO can help you make the transition — and even assist you in determining the qualifications needed for your future inhouse CFO.
Freedom
Taking the time out to find, interview and vet an inhouse CFO takes time. And, once on board, you’ll feel an inclination to work closely with them to review their performance. By outsourcing your CFO services, you can free up valuable time and resources. As a result, you can focus on growth and operational efficiency while leaving the financial management in good hands.
Access to Advanced Technology
An outsourced CFO from a large, established firm is likely to have access to cutting-edge financial technologies and tools that may be too costly or complex for you to implement inhouse. Solutions in areas like AI, machine learning and data analytics can help you take your business to a new level of performance. By leveraging their resources, you can benefit from advanced financial systems and processes, without making a major investment of time, money and personnel.
Objective Financial Advice
An outsourced CFO brings an objective perspective to your financial management, especially if they are from a firm that is rooted firmly in tax and accounting services. Their impartiality can be invaluable when making tough financial decisions. They can also offer viewpoints that may be lacking within your internal team.
Risk Mitigation
Regulations change quickly. Financial compliance and risk management are crucial for any business. An experienced outsourced CFO can help you stay informed of changes in industry regulations.
In the construction industry, you learn when to build something yourself – or contract it out. Depending on your stage of growth and the current state of your business, hiring an outsourced CFO could be a smart strategic move. From cost savings to expert insight, the benefits are clear — when the time and circumstances are right.
TALK TO HORNE
As a Top 25 accounting firm, HORNE offers a broad range of tax, accounting and advisory services. And, with a practice devoted specifically to the construction industry, we offer a level of expertise and guidance that few firms can match. To find out how HORNE can help you take your business to the next level, contact us today to arrange a no-obligation consultation.
