In any company, the Chief Financial Officer (CFO) holds several important duties. Generally, these key individuals oversee the financial strategy and accounting structure of a company. Small companies may assign CFO duties or outsource their CFO services to handle a wider range of financial responsibilities. Larger corporations may have a CFO that oversees a bigger team of accountants and financial specialists. Though the day-to-day tasks of a CFO may vary, these financial professionals have four general responsibilities:
1. Controllership Duties
The CFO is responsible for presenting and reporting financial information that is timely and accurate. Essentially, this is the part of the CFO job that has them looking backward in order to review the company’s financial history up until the current point in time. There are many key people involved in making important decisions for a company, including stakeholders, shareholders, creditors, employees, analysts and other management team members. In this case, it is important that financial information reported by a CFO is accurate.
2. Treasury Responsibilities
While it’s important for the CFO to present past financial data, it all comes down to the current financial standing of the company. The CFO is responsible for understanding the health of the company’s present financial condition, so he or she can determine how to invest money while managing risk and liquidity.
3. Overseeing Capital Structure
A CFO handles the capital structure of the company to make sure that all the ducks are in order for long-term financial stability and growth. This will include figuring out the best mix of equity, debt and internal financing options.
4. Economic Strategy
Beyond the responsibility of understanding the past and present financial standing of the business, the CFO plays a major role in a company’s financial future. He or she should be able to analyze data, forecast trends and identify opportunities. This leads to growth and prosperity over the long run.
A good CFO will help your company thrive. For most small business, hiring an in-house Chief Financial Officer is a luxury. That’s why many businesses choose to outsource their CFO services to an experienced accounting firm like Ferguson, Timar & Company. We handle CFO duties for companies of all sizes. You benefit from a team of financial experts and knowledgeable CPAs focused on your financial prosperity, all at a fraction of the cost it would take to hire a full-time CFO.
To learn more about how Ferguson, Timar & Company can handle all of your company’s CFO duties, contact us today.