When operating a growing business generating substantial turnover, the stakes become higher. As your ambitions grow, so does the financial complexity across cash management systems, reporting and risk management. Your board expects growth, and the need for larger investors means a need for data-backed insights.
This is where a Virtual CFO comes in.
A Virtual CFO is a strategic business performance partner who provides expertise on a flexible basis. They oversee a company's financial activities and perform the regular accounting and business advisory duties of a traditional business advisor, except that they work remotely. Unlike an in-house hire, they work with you when you need them, bringing the skills and expertise needed from a seasoned CFO, but without the overheads of a full-time executive.
A Virtual CFO can be particularly beneficial for companies entering a capital raise, helping with:
Preparing financials for valuation.
Building investor confidence with clear reporting and governance.
Strengthening board decision-making with independent, data-backed insights.
Providing the financial leadership needed to hit the next growth milestone.
Investors and boards will always value the numbers. They want to see well-kept and accurate financial records presented in a way that demonstrates both performance and projections. A Virtual CFO can help ensure the right information is updated, accurate, and presented in the optimal way, building the trust and confidence that is essential for any capital raise.
Virtual CFOs bring the advantage of perspective, having consulted across different business types and industries. This also means they have extensive networks in market and the experience to help present your business in a way that speaks directly to what investors are looking for.
There are many types of valuation, for example asset-based valuation, market valuation, and historical earnings valuation.
A Virtual CFO can translate valuation frameworks into actionable levers - for example growth quality, margins, cash conversion and risk - and work alongside an independent valuer and the business owner to ensure assumptions are robust and the value story is compelling.
In addition to financial documents, there are other vital documents that potential investors may need to see that a Virtual CFO can assist with. From sales reports, business ownership documents and insurance documents, a Virtual CFO can help ensure every piece of critical information is collated.
Once you have investors onboard, your Virtual CFO can also help prepare timely reporting for boards and shareholders, keeping communication clear and governance tight.
Using a Virtual CFO helps provide an independent external view to your capital raising based on facts and experience.
Business founders and owners tend to view their business through rose coloured glasses. A Virtual CFO can help remove bias from the process and provide an independent review grounded in facts and market experience.
By supporting ambition with data-backed information, they can help ensure your capital raising strategy is credible, not just aspirational.
A high level of flexibility is advantageous when raising capital as it helps to ensure you can engage the services you need, when you need them.
A full-time CFO may not be practical or necessary for your business right now. But that doesn’t mean your business should go without the expert financial insights you need to grow and thrive. Virtual CFOs give you access to top-tier financial leadership on an agreed contractual basis. Whether you need them for a two-week valuation project or a six-month capital raise, you can get senior-level skills exactly when you need them, without the overhead.
Decision making is much easier when you have all the information you need at hand. A Virtual CFO can give you the right financial insights to make timely data-backed decisions.
A Virtual CFO can guide you through answering questions like:
How much capital do we need?
Which capital raising strategy suits our business the most?
Once received, how should we allocate the new funds to optimise growth?
Clarity around these key questions can help you move confidently into the next growth chapter.
Capital raising takes time and energy. When the effort falls on your internal team, it will undoubtedly distract from core business operations.
A Virtual CFO can help free you from the financial stress and duties of capital raising and allow you and your team to focus on what they do best: operating and growing the business.
For ambitious businesses in expansion mode, raising capital can be a key vehicle for growth. But you often only get one chance to make the right impression on investors. Engaging a Virtual CFO ensures your business is not only prepared for valuation, but also best positioned to make a positive impression on potential investors and stakeholders.
At Findex, our team of experienced Virtual CFOs are ready to partner with growth-focused businesses to help deliver investor-ready leadership and insights.
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