You may be familiar with the term CFO, which stands for Chief Financial Officer. But an Operational CFO? That’s probably not one you hear every day. However, if you have a business, and especially if you planning on scaling your business, it’s a term you need to know.
So, how is an Operational CFO different from a traditional CFO? And why is this role so critical for a growing business?
It’s not just about the numbers
In the most basic of definitions, an Operational CFO looks beyond the numbers and takes into account a more holistic picture of how your business operates, not just the money that’s going in and out.
This is a big deal for one very simple reason: An Operational CFO who has a strong grasp on the systems and processes of a business will have a greater understanding of what a company’s numbers really mean. This can make all the difference when it comes to the long-term success of your business.
Let’s say you have a company that sells…pogo sticks. (Are those things still around?) A traditional CFO would tell you how much money you’re spending to manufacture those pogo sticks and how much you’re making when you sell them. Good information to know, obviously. But what are those numbers really telling you about your business?
An Operational CFO is going to take this a step further and will look for any inefficiency in the way those pogo sticks are being produced, as well as any unnecessary expenses that might be trimmed away. This could potentially save you heaps of money in the long run.
Make your business even better
With an Operational CFO in your back pocket, your business can quite simply be more efficient, productive and profitable. Cha-ching!
An Operational CFO can help you to:
- Plan for the long-term future of your business
- Cut unnecessary spending and save more
- Identify operational challenges and come up with solutions
- Understand the ins and outs of your business from a strategic level
- Know the true impact that your financials have on your business
FusePhase offers the optional support of an Operational CFO as a part of its services, for a fraction of the cost of employing a full-time, in-house CFO. Reach out to discuss this option with us, or you can experiment with our calculator to see the potential cost savings for yourself.
Learn how to drive value in your business
Don’t get bogged down by the day-to-day operations of your business! Learn from the experts how you can stay ahead of the curve and keep focused on driving your business onwards and upwards.
If you’re a business owner in the Bay Area, check out this event coming up on January 15, featuring our very own Founder & CEO, Jay Fife. He and co-speaker David Belgum, CFO of Prozyme, will offer valuable insights for any entrepreneur, including three key factors that can help you take your business to that next level.