A chief financial officer (CFO) is an essential part of the organisation. The term chief financial officer (CFO) refers to a senior executive responsible for managing the financial actions of a company. The CFO's duties include tracking cash flow and financial planning as well as analyzing the company's financial strengths and weaknesses and proposing corrective actions. The role of a CFO is similar to a treasurer or controller because they are responsible for managing the finance and accounting divisions and for ensuring that the company’s financial reports are accurate and completed in a timely manner.
A Virtual CFO is an outsourced service provider offering high skill assistance in financial requirement of an organisation, just like a chief financial officer does for large organisation. A virtual CFO may be a single person or an entity. The mushrooming of the start-up ecosystem has generated specialized service providers which fit the requirement of start-ups normally do not have the resource to hire a full- time CFO. Start-ups like to keep fixed costs low and having outsourced service provider provides them the flexibility of choosing services as and when required. A Virtual CFO provides strategic, value add services to a start-up which cannot be provided by an accountant.
Following advisory services may be provided for outsourced CFO services:-