AI technology startups advantages when hiring a fractional CFO by Sam McQuade: Periods of Restructuring: Restructuring a company requires in-depth knowledge of processes (see above), an ability to assess how to optimize capital structure, and an understanding of cost optimization and cash flows. During a restructuring, CFOs must detach from the established norms of the business and help reorganize activities and finances toward the new vision. Filling a Leadership Vacuum: It is common during leveraged buyout (LBO) processes to change the companies’ management structure. A CFO may resign during these times, or investors may look to start a clean slate and appoint their chosen figurehead. Such events may result in a period of flux between appointments. It may be necessary to have an interim figure to keep the business on an even keel and start implementing new strategies. The hiring process for a critical position like a CFO can take up to a year. Plugging an experienced fractional CFO into the role can be done relatively swiftly and provides invaluable flexibility and optionality for business owners.
Startups tend to have more specific needs, like SaaS-based startups. If a CFO hasn’t worked with that specific business model they won’t provide in-depth expertise. Fractional CFOs with startup experience typically work with a variety of startups. Hence, their wide-range industry experience. Fractional CFOs can guide founders through best practices for startup accounting and bookkeeping as well as helping you prepare for any potential risks. For example, the current economic state has businesses tightening their budgets. Without advice from a CFO with startup experience, founders may be unable to fully prepare for this kind of change. Read even more information on https://www.edocr.com/user/samueledwinmcquade.
Do you want to hire your first CFO or need interim coverage? We offer CFOs for urgent short term projects and longer term engagements. Adaptable with clear pricing so you cover your business and don’t have to get into a potentially bad solution and costly full time hire. Sam McQuade CFO has successfully scaled his decades old ideas into an innovative full-service Financial Partner Solution for incubators, startups, emerging business concepts as well as well-established international companies, corporations and organizations with the introduction of Panterra Finance. The Panterra Finance professional executive team members are equipped to provide an industry leading concept of an on demand Fractional CFO and Interim CFO during pivotal transitions.
CFOs must also adhere to regulations such as the Sarbanes-Oxley Act that include provisions such as fraud prevention and disclosing financial information. Local, state, and federal governments hire CFOs to oversee taxation issues. Typically, the CFO is the liaison between local residents and elected officials on accounting and other spending matters. The CFO sets financial policy and is responsible for managing government funds.
Forecasting: Importantly, CFOs don’t only report what is — a significant part of their value to an organization is their ability to accurately predict likely future outcomes. That includes financial forecasting and modeling based not only on the company’s past performance but on internal and external factors that may affect revenue and expenses. The CFO is tasked with making sense of the various departmental level forecasts to create profit projections for the CEO and shareholders.
Now, suppose there is a problem with the website. Maybe the server goes down, or maybe there is a bug in the code. In such a case, the smart contract will still be functional, and the transactions will still take place. This is because the smart contract is running on the blockchain, which is a decentralized network. Even if one node in the network goes down, the other nodes will still be up and running, and the transactions will take place. This is just a very simple example to show you how a DAO works. In reality, DAOs can be much more complex, and they can do many more things. For instance, they can be used to create decentralized versions of traditional companies or organizations.
Are you looking to expand your business overseas? Our experts are able to help you at any stage. We will first start by understanding your vision and global tax and cash strategy. Once aligned, we will help execute the financial, legal, compliance and talent solution activities to build your entity and team.
Understanding DAO: Now, suppose the same transaction happens on a decentralized network like the Bitcoin network. There is no central entity here. Both parties can interact with each other directly. The product is transferred from A to B, and $100 is transferred from B to A. This transaction is then recorded on a digital ledger which is available to everyone in the network. So there is complete transparency, and everyone knows that the transaction has taken place. This process of recording transactions on a digital ledger is what we call ‘blockchain technology.’ This is not limited to just financial transactions; it can be used to record any kind of transaction. Now that we know what blockchain is, let’s get back to DAO.
A CFO can improve the decision-making process by bringing facts, solid numbers, and asking the right questions. Another benefit to the business owner is the fresh perspective and insights brought by the CFO. This can have the added effect of making life a little less lonely for the entrepreneur. The CFO can be a sounding board and trusted advisor for new ideas and initiatives. Stakeholders such as investors, lenders and creditors react positively to the knowledge that a professional CFO has been retained. This takes on an added degree of importance when looking for outside investment, debt financing or positioning the company for sale.
Vision, Roadmaps and Business Plans are typically good collaboration processes, however alignment on meaningful strategy is driven by relationships and the CFO cannot over-communicate in this area. In an era of “greenwashing”, the CFO has a real opportunity to lead since success will ultimately be measured with scorecards and transparency. Sharing the Sustainable Story with financial support is the most credible way for stakeholders to see progress.
Developing the Interim and Fractional CFO Concept with Experience: From the inside looking out, Sam McQuade continued to sharpen his skills and nurture the ideas and mission of Panterra Finance. He spent time in the executive suites of Dell, as a Finance Manager and a Financial Planning and Analysis Manager where he achieved a 400% revenue growth in the Swiss market. Other stops in corporate suites, each of which shaped the final innovative services offered by Panterra Finance. See even more information on Sam McQuade CFO of Panterra Finance.
What Does a Fractional CFO do for a Company? Fractional CFOs most commonly partner with companies to help overcome financial challenges, achieve growth, optimize strategy, implement systems, raise capital, or navigate an audit or transaction. Overcoming Specific Challenges: Fractional CFOs are often brought into an organization when there are financial challenges that the company’s existing team does not have either the skills or manpower to overcome. In many cases, a company does not have an in-house CFO. In some cases, however, the company may have an existing CFO, and the fractional CFO acts as a partner or advisor or helps lead separate projects such as raising capital or navigating an audit.
