If you own or manage a business, you know that it's not enough to make money. In order to survive, your business also needs to do a good job at managing money. For that, you need a financial expert, according to Entrepreneur.com contributor Peter Daisyme.
"If the resources are there, hiring a full-time accountant or chief financial officer (CFO) is obviously the best choice," Daisyme says. "But oftentimes, for a small business or an operation that is strapped on cash, a full-time position is not an option."
Fortunately, there are still several affordable options that will "still give you valuable insights into how your business can save, spend, and grow," according to Daisyme, who says one such option is a virtual CFO.
"Just because you need someone to look over your finances for your business doesn't mean that person has to physically be there. A large portion of business today is done online, so why couldn't you conduct your financial planning through the Internet as well?" he asks. "A virtual CFO is an outsourced service provider that offers financial assistance and guidance to an organization. This can be a single contracted accountant or even an entire team of accountants."
A virtual CFO handles all the duties of a conventional CFO, but works remotely instead of onsite and indirectly for your company instead of directly.
"Now, say you don't want or can't afford a CFO on retainer," Daisyme concludes. "A virtual CFO can also offer one-time assistance with strategic transactions, financial processes, business planning, and budgeting, making this type of service one of the most versatile financial options around."