AI technology startups benefits when hiring a fractional Chief Financial Officer by Sam McQuade CFO: Fractional CFOs are most prominent at the third stage of growth, which is generally at the point where companies are well entrenched into their path of scaling. While this stage is typically the most optimal point of entry, as can be seen from the benefits of fractional CFOs, their adaptability may also prove advantageous for companies at other growth stages. It’s vital to consider the knowledge transfer opportunities provided by an experienced professional for building skills and culture within a financial function.

Improved Investor And Board Relationships: Investors and stakeholder boards expect efficient financial management. . Having a fractional CFO on your team can help strengthen relationships with these key stakeholders and ensure they’re comfortable trusting you to provide financial transparency. Additionally, if your startup is hitting speed bumps, your CFO will find solutions and present them to the board. Expertise In Startup Fundraising: Startup fundraising can be tricky, and one of the biggest challenges startups face. But, a fractional CFO can bring the necessary expertise to make it easier. They can help you build your investor presentation, set financial goals and budgets, and identify potential investors. Discover additional details at Sam McQuade.

Looking to hire your first CFO or need interim coverage? We offer solution CFOs for urgent short term projects and longer term engagements. Customizable with clear pricing so you cover your business and don’t have to rush into a potentially very bad and expensive full time hire. In disrupting the traditional contracted title of CFO, Panterra Finance innovatively offers all its clients thought leadership based on international financial market experiences. Panterra Finance offers a unified international approach to businesses in the Americas, Europe, Asia, and Africa. Eight centrally located offices in the USA, Switzerland, the Middle East, and the emerging African Continent, offers global enterprises Fractional and Interim CFO services backed by a team with a grasp of dynamic world trends.

What Is a Chief Financial Officer (CFO)? The term chief financial officer (CFO) refers to a senior executive responsible for managing the financial actions of a company. The CFO’s duties include tracking cash flow and financial planning as well as analyzing the company’s financial strengths and weaknesses and proposing corrective actions. The role of a CFO is similar to a treasurer or controller because they are responsible for managing the finance and accounting divisions and for ensuring that the company’s financial reports are accurate and completed in a timely manner.

Financial reports including balance sheets and P&L and cash flow statements help both internal leaders and external stakeholders understand the financial state of the business, and it’s up to the CFO to attest that these statements are accurate and complete in accordance with generally accepted accounting principles (GAAP). Although private companies are required to file financial reports with the SEC only if they have $10 million or more in assets and 500 or more shareholders, many businesses create these statements anyway so they’re available should the company seek a bank loan or venture capital or equity funding.

To make you understand it in simple words, let me explain it with an example. Suppose there is a website that allows people to buy and sell products. This website has a smart contract that governs how the transactions will take place. When someone wants to buy a product, they will send a request to the smart contract. The smart contract will then check if the person has enough money to buy the product. If they do, then the transaction will take place, and the product will be sent to the buyer. If the person doesn’t have enough money, then the transaction will not take place.

Selling your business or looking to buy others? Our experts can lead the deal and make sure that you have a thoughtful ownership transition. We are happy to provide second opinions on valuations as well so you have another perspective and feel better before your close the deal.

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.

By utilizing a fractional CFO, support levels can be varied and customized to the evolving needs of the organization with the CFO’s work schedule tailored as such. Increased support can be provided at critical times reverting to a more consistent level when appropriate. A fractional CFO can bring substantially all the benefits in terms of skills and knowledge of a full- time resource, at significantly less cost. Services are provided on-site which is convenient for meetings and to perform critical work. The CFO becomes embedded and acts as part of the management team. When not on-site, the CFO can be ‘virtually’ available via modern communication tools.

The CFO function is evolving at lightspeed. With digital transformation and societal changes, the CFO role is rapidly turning into one of a “Chief Fiduciary Officer”, which is going beyond the traditional financials to look towards the future and lead long term value creation in a world of many unknown risks. Storytelling is a very powerful tool to engage and energize teams about value creation and potential pitfall areas. The traditional path of CFO usually starts with a solid foundation based on technical knowledge and then after about 15 years, the great leaders earn the coveted title.

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 additional info on Sam McQuade CFO.

A fractional CFO is often brought into a company to help overcome specific financial challenges such as: Cash flow issues; Low gross margins; High expenses; Outgrown existing systems; Need to make cost cuts; Navigating an audit. Create Forward-Facing Financial Visibility: Fractional CFOs are also helpful in optimizing or implementing more forward-facing financial visibility. While many financial professionals such as bookkeepers, accountants, and controllers are tasked with keeping past and current finances organized and well-documented, a CFO focuses on the future.