AUGUST 2, 2018

 

Building your C-Suite may seem like a monumental task to set for another day; when the business is bigger, when we close a few more clients, when we expand to our next space. However, hiring that CFO is a task you should tackle sooner versus later. Let us explain.

 

Something as simple as payroll can require unnecessary mental energy and time from the entrepreneur. And truthfully, your energy is better spent elsewhere.

 

Entrepreneurs take it for granted that people have to get paid. – Which yes, sounds bad, but in the grand scheme of running a business, understandable. Financial tasks such as paying employees and vendors or collecting customer payments can often drain the entrepreneur’s enthusiasm, thus affecting other parts of business. When you have someone you trust who can make sure the business is financially healthy, you’ll be a healthier business owner!

 

The idea of adding a CFO to your monthly payroll is likely a tough pill to swallow – we get it. And it’s not just the money; transferring 10, 15, maybe even 20+ years of experience with your company’s finances (most of which is rarely documented and found only in the entrepreneur’s head) to someone else is no small feat.

 

But don’t let this discourage you! The amount of time and emotional capacity the CFO can free up for the entrepreneur vastly outweighs the cost and time to hire. This equates to more time working on the business which, in turn, means an increase to your bottom line. Shifting financial duties to someone other than the owner frees the stressor of business safety off the entrepreneur’s mind. – The company is collecting money, we’re paying our people and payables, and we’re charging the right price.

Without doubt, the finance role can be hard to fill – this is no secret! When you’re an established entrepreneur the most under-hired role is that financial person – whether that be Finance Director, Controller or Chief Financial Officer (CFO).

 

Without a CFO you run the risk of burning credibility with your employees over process (such as missing a payroll deadline or 401(k) detail). Instead of causing unnecessary friction in that employee/employer relationship, take the people piece off of the shareholder.

 

Happy hiring!