One of the biggest challenges in running a successful company is managing growth. Not having the right skill set in place is like having the bat boy fill in as catcher. Your team can have a phenomenal pitcher, but each ball that gets past the catcher increases the likelihood of a loss.
Many growing companies wait too long to bring in a star “catcher.” That much needed assistance to manage their finances and risks. By the time they do, there is significant clean up that needs to be done to get the business on track and take it to the next level. Things like recording transactions, managing cash flows, forecasting, budgeting, insurance, and regulatory filings fall to the side while the team focuses on attracting and retaining customers or donors.
Without the proper oversight to ensure transactions are recorded accurately and in a timely manner, business leaders are unable to obtain the insight to determine the successes and shortfalls of their team’s efforts. Along with this, it is difficult to verify the amount of cash available as the bank balance doesn’t consider deposits and payments in transit.
Without completing this day-to-day activity, it is challenging to reasonably forecast the remainder of the year or create a meaningful budget for the coming year. Guessing and hoping are usually not successful strategies. Stakeholders need to evaluate where the organization is and where it is headed based on actual stats.
Businesses also face significant risk when there isn’t a set of eyes safeguarding home. Insurance needs vary from company to company and, even more so, as compared to personal insurance. Similarly, local, state, and federal filing requirements are dependent on the type of business and the activity it conducts.
Understanding not every organization is ready to make the leap to a full-time CFO, if your organization needs assistance and is ready to go to the next level, you have access to experienced financial leadership, tailored support, and strategic advice. If you would like to know more about how R&A can help your business, give us a call. We are here to help.
About this Author
Nathan is a seasoned Chief Financial Officer (CFO) drawing from over two decades of experience in accounting and finance. He holds a BS in Accounting, is a licensed CPA, and is a Chartered Global Management Accountant (CGMA). Nathan is also a member of the American Institute of CPAs (AICPA) and the Arizona Society of CPAs (ASCPA).
Join our newsletter for insights and information that matter to you or your business
