The Your Outsourced CFO engagement is designed to be a long-term partnership with the value we provide continually increasing over time. We understand your operational history and current financial situation, while becoming a key part of your team within the first six months. The engagement reaches a tipping point where our team pivots from providing clarity and streamlining financials to effecting key strategic decisions and achieving growth milestones.
1: Analyze & Assess
2: Streamline & Implement
3: Identify & Monitor
4: Growth Strategy & Planning
Step 1: Analyze and Assess
The first step in the process is an initial analysis of the financial story as told through historical reporting, which allows us to asses the successes and pitfalls of your company in order to prepare directional alignment for future goals. The initial step is generally accomplished within three months.
3 year historical review of financial reporting
Review with tax accountant for further understanding
Discuss equity and partner structures
Detail revenue sources and associated cost of goods
Review compensation structure for employees of all levels
Step 2: Streamline & Implement
Using the understanding of business operations and financials, our team works with the internal accounting department to implement financial controls and technology that will streamline processes and improve the clarity of financial reporting and understanding. The step is generally accomplished within six months.
Install correct controls for accounting
Improve technology accounting department use for ease of input and recording
Review vendor relationships and find economies or savings
Train bookkeeper or staff accountant and other key employees on financial understanding
Create and implement budget and revenue projection
Step 3: Identify and Monitor
The historical analysis and financial controls allows us to identify key metrics for your company and custom tailor a KPI (Key Performance Indicator) Dashboard for the CEO to monitor. This dashboard includes metrics most important to CEO and presented for ease of understanding. The initial step is generally accomplished within nine months.
Use budget and forecast to align or compare with industry as applicable
Set up ranges of key financial metrics to aid in strategic planning and cash management
Identify specific internal metrics for improved productivity and profits
Develop CEO dashboard to aid in real time decision making
Compare monthly planning with actual performance
Step 4: Growth Strategy & Planning
In the culmination of the process, the CEO and Your Outsourced CFO take the metrics and knowledge gained from the first three steps to make real-time decisions, discuss strategy, and plan for growth. This stage is generally reached within twelve months as the partnership fulfills one full sale and budget cycle and leads to a continued long term strategic relationship.
Develop a 1 - 2 year plan for initial growth targets
Assist in identifying and mapping out markets, locations, or additional services to expand revenue
Highlight a time frame for needed capital, and align debt or equity markets to accomplish growth
Work with banks, investors, or boards to clarify and report on progress
Discuss and plan business succession or exit planning needs and continue strategy through accomplishment