Amid the pandemic, business liquidity is taking a hit in every industry. While cutting costs to stay afloat seems the most viable option, going it alone is more challenging than most anticipate. The good news is, virtual CFO services can take care of your books while you focus on business decisions that can make or break success. Here’s how.
Provide Financial Audits
Whether you’ve already performed a financial audit in the past, a CFO consulting agency can paint a more precise analysis of your business’s economic health. Remember, cash flow is the lifeblood of your business.
In the best case, a professional audit will reveal information you may have skimmed past before and eliminate any assumptions you might’ve had. With an extra set of eyes, you can work towards maximizing your company’s wealth.
Outline Necessary Cuts
Most businesses choose to risk personnel changes or privilege cuts to manage a workable budget. However, this need not always be the case. A virtual CFO will help determine areas that can do with a little financial sacrifice and keep you from having to lay off your staff.
Build a Financial Plan
A Virtual CFO will recommend initiatives such as energy efficiency, vendor agreements, and lowering purchasing prices. Not only will your plan outline specific and deliberate details, but also produce a timeline and new staff responsibilities.
Now, key employees can focus time and effort on core tasks, driving productivity upwards.
Raise Additional Capital
Should you need to, your virtual CFO can identify financial aid sources with bankers, government agencies, creditors, investors, and lenders. Unless you’ve acquired money for your business this way before, a CFO will boast an added layer of credibility that makes solicitation that much easier.
Provide Cost-Effective Services
If your business is already going through a budget cut, hiring a virtual CFO may seem counterintuitive. Especially when you don’t require a full-time CFO’s services, chalking up a chunk of your budget can become redundant.
Fortunately, most will offer flexible engagement options and services on an as-needed basis. Thus, you can enlist help for specific projects and assignments.
Position Your Business for Growth
Most CFO consulting agencies will go above and beyond financials to review your overall accounting operations. According to your existing structure, a virtual CFO will explore opportunities for streamlining your business with core improvements and adjustments. Doing so will position your business for potential growth and eventual scaling.
Educate You and Your Staff
Over time, your CFO can upskill critical players in your business for financial-based outcomes. Through firsthand experience, you can apply learned functions and strategic advice to go from surviving to thriving.
Conclusion
Even with your head above water, a virtual CFO can keep your business flourishing amid economic uncertainty. No matter the state of your operations, the pandemic is likely to affect them—it won’t hurt to have a little help in your back pocket.
A4E’s CFO accounting services in Boston will equip your business with a qualified team boasting over 50 years of experience. By booking your free call, you open the door to dedicated support, clean bookkeeping, and a bright financial future.