- November 14, 2018
- Posted by: Smith & Smith
- Category: Start-Up Businesses
There are many reasons why new businesses fail to convert into a successful venture. One of the main reasons is that they run out of cash. With the advent of globalization since the late nineties, business houses seek ways to expand their customer base beyond regional and national boundaries. Startups are no exception. But, they often over-stretch themselves and fail to read proper market opportunities.
CFO services from an experienced financial firm can help startups avoid such a situation. Their commendable skill in reading financial numbers and audit reports help business owners to run their business in a smooth and efficient manner.
Top 4 reasons why CFO services are necessary for a startup:
Information plays a critical role in the efficient running of the business. CFOs in prominent finance firms are tech-savvy and have detailed knowledge of IT systems and information. Their skill in presenting financial and non-financial KPI’s is also unparalleled. They are even adept at representing the regular financial matrix, balance sheet, and cash flow analytics.
In startups, CFOs play the role of an advisor or counsellor. And as the business starts to expand, they play a pivotal role in bringing an orderly and control-centric growth within the organization. They also play a significant role in putting discipline across the organization. This again brings a valuable insight to the business owners by rectifying the business strategy and direction.
For startups, it is mandatory to maintain proper financial accounting and record keeping. CFO services from an experienced firm efficiently manage and control each level of revenue and expenses. Their in-house finance team is highly skilled and keeps a proper tab on the financial accounting framework.
Furthermore, it is important for startups to identify the right IT-driven financial platform for supporting proper scorekeeping function. A CFO is endowed with the responsibility of monitoring each level of revenue and expenses. Thus, it is very important to avail the services of an eminent in-house finance team with the skill to manage the entire financial framework of the company.
Supports The Business
CFOs play a critical role in negotiating with important customers. They even assist the business owners in structuring and mitigating the risk of cash flow or for creating commercial exigencies in the later stages of the growth period.
Experienced CFOs from renowned firms will apply their financial and commercial judgment on the basis of sound business practices and focus on the business owner’s growth strategies. They even review the business agreements and make sure there are no forgeries or malfunctioning.
Sound Technical Knowledge
CFOs have intensive knowledge in business, its financial dynamics, and regulatory requirements in the fields of tax, commercial banking, stocks, and exchange regulations. Thus, they are tasked with controlling, as well as, reporting complications related to all these aspects on a regular basis.
CFOs are the heartbeat of any company. No business can achieve success without the help of efficient CFOs, especially if it is a startup. Therefore, if you are one of those entrepreneurs looking forward to taking your business to the top, then never forget to avail the services of experienced CFOs from eminent finance firms. This is when Smith and Smith CPAs can help you out!
Our experienced CFOs have knowledge even in intricate matters of finance and can definitely help you overcome all the hurdles. Just give us a call on +1 817-442-2019 (Arlington), +1 972-287-5593 (Seagoville), +1 973-694-8400 (New Jersey) or send us a mail at [email protected] to book an appointment to get in touch with our expert CFOs.