Many small- to medium-sized businesses rely on their controller or accounting manager to handle routine financial and accounting matters. But what if a company’s financial needs exceed the basic functions their controller or accounting manager can provide? What happens when the more specialized services of a Chief Financial Officer (CFO) are needed, but the company can’t afford a more costly CFO or doesn’t need one on a permanent basis? The solution is easy: Contract with an outsourced CFO.
“Good, experienced controllers and accounting managers are very are well suited for activities such as preparing monthly, quarterly and annual financial reports; paying vendors; collecting accounts receivable, and handling payroll and payroll tax reporting,” said David Anderson, principal of David Anderson & Associates, a Philadelphia forensic accounting firm that provides a full range of outsourced CFO services and other forensic accounting services in Philadelphia and the Delaware Valley. “But for more complex, specialized issues, a company really needs the expertise and knowledge of a CFO.”
These activities might include:
- Obtaining bank loans and/or lines of credit
- Raising additional funds through issuance of equity or hybrid securities
- Investor relations
- Insurance, including liability and property and casualty insurance
- Employee benefits, including health care insurance, dental, vision, 401-K plans, profit-sharing plans, etc.
- Cash management and short-term investments
- Human Resources issues, including employee manuals, policies & procedures, training, job succession, etc.
- Regulatory and compliance reporting of both financial and operational matters
- Budgeting and long-range financial planning, including strategic plans
- Information technology, including computer security, systems life-cycle planning, systems maintenance and enterprise software
- Disaster recovery planning
- Assisting company ownership in exit strategy planning
While these are the types of matters that are best left in the capable hands of an experienced CFO, Anderson said bringing aboard a full-time CFO is often not an option for small- to medium-sized businesses.
“CFOs can be not only difficult to find, but also quite expensive,” said Anderson, a forensic accounting expert in Philadelphia who provides outsourced CFO services in Philadelphia and the Delaware Valley. “Many CFOs also expect that part of their compensation package will include an ownership interest in the company and that is something most business owners are reluctant to offer. The outsourced CFO is the perfect solution for a small- to medium-sized businesses.”
An outsourced CFO is hired on a contract basis for as long or short a time period as the business needs, Anderson said. Some businesses will engage an outsourced CFO only for the time it takes to complete specific projects. Other companies contract with an outsourced CFO for an extended period of time to work a certain number of days per week or hours per month, he explained.
“Using outsourced CFO services in Philadelphia or anywhere in the country gives small- to medium-sized businesses access to the knowledge and experience they need whenever they need it,” said Anderson, a forensic accounting expert in Philadelphia and the Delaware Valley. “Companies get all the benefits of having a CFO on staff, but they don’t have to pay top-dollar salary and compensation packages that include benefits and bonuses, nor do they have to worry about relinquishing a partial ownership interest in the company.”
If your business is in need of outsourced CFO services in Philadelphia and the Delaware Valley or any other forensic accounting services in Philadelphia, please contact the Philadelphia forensic accounting firm of David Anderson & Associates by calling David Anderson at 267-207-3597 or emailing him at david@davidandersonassociates.com.
About David Anderson & Associates
David Anderson & Associates is a Philadelphia forensic accounting firm that provides a full range of forensic accounting services in Philadelphia and the Delaware Valley. The experienced professionals at David Anderson & Associates provide forensic accounting, business valuation, fraud investigation, fraud deterrence, litigation support, economic damage analysis, business consulting and outsourced CFO services in Philadelphia and the Delaware Valley. Company principal David Anderson is a forensic accounting expert in Philadelphia with more than 30 years of experience in financial and operational leadership positions. He is a Certified Public Accountant, a Certified Fraud Examiner and a Certified Valuation Analyst.
