Should You Hire a Part-Time FD?
If you’re unsure whether its’ the right time to invest in a part-time FD, here are some key signs your business is calling for you to take that next step.
You have outlined your business objectives and know you need the guidance
The first, most obvious tell-tale sign is that your business objectives are demanding the expertise of an FD. An FD’s role within your organization is to work with senior executives to explore the financial health of the company and make data-driven decisions to help meet wider business objectives. In order to leverage the skills of an FD, you need to have established targets that your business is attempting to reach – and they shouldn’t be easy or modest.
You have budget and investment but you’re not 100% sure where it is best placed
A second key sign is having budget at your fingertips. You have budget to hire a part-time FD, as well as have the budget to invest in new areas for your business – and you need the guidance of an expert to help make those important decisions.
Even if you don’t have budget to invest elsewhere, hiring an FD can help you make the right business decisions to better manage your cash flow, raise finance and grow your organization.
Your business is driving enough demand and profits are growing
Another sign you’re ready to hire a part-time FD is that your business is in its ‘growth phase’ and profits are climbing. This is suggestive that your business is ready to scale, and a significant part of this process is hiring the right financial guidance to take your business in the right direction.
You want to improve cash flow management – or simply want to focus your own time elsewhere
Cash flow management becomes more and more complex as your business grows – and its therefore critical that you have an FD in place to manage this properly for you. Further, cash flow management is tiresome and can be a lot of responsibility for a business owner, whose time could be better spent elsewhere. If cash flow is becoming a problem, or is not a high priority, then it’s always best to invest in an expert who can manage it effectively.
Data management is becoming too difficult and complicated
Data is at the heart of a business and is key in making business decisions for years to come. Therefore, having an expert who can properly manage and analyse business data is of extremely high importance.
If data management is becoming too difficult/complicated, or it is starting to fall to the wayside as your business grows, then this is a strong sign you’re in need of a part-time FD to take care of reports and drive your business forward.