Guidelines
The amount of CFO oversight for small to medium sized companies can vary based on a number of factors. The number of operating units and their total sales volume, the experience of the in-house person currently responsible for the controllership and CFO functions, the amount of time the President or CEO has for certain financial and administrative functions, and the growth expectations for the company. A general guideline is as follows:
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# of Units or Total Sales
1-2 units or $3 million+ 3-4 units or $5 million+ 5-7 units or $8 million+ 8-10 units or $12 million+ 10 units+ $18 million+ |
Recommended Amount of CFO Oversight
1-2 days per month 1 day per week 2 days per week 3-4 days per week Full time in-house CFO |
What are the signs I need CFO assistance
Take the following test and if you answered, "Yes" to at least one question, then you may be a candidate for our services.
- Do you ever have problems sleeping due to worrying about regulatory or compliance issues, future cash flows, or making an informed decision?
- Does it take your staff over 20 days from the end of the accounting period to produce accurate and meaningful financial reports?
- Do you find that your operating reports do not provide you with meaningful information or are not timely?
- Does your cost of sales fluctuate widely from period to period?
- Does the lack of corporate planning result in crisis management?
- Does the operating performance reflected on your financial statements often vary significantly from your expectations?
- Do you have unexplained cash shortages?
- Have you recently had compliance issues related to liquor taxes, sales taxes, wage and hour, or EEOC?
- Does your debt service take over 90% of your free cash flow?
- Do you wet your thumb and stick it in the air to determine your ideal food and beverage costs?
- Is your accounting and finance staff doing well just to keep up with the flow of paper?