More than straight accounting knowledge needed!
Business Advisory Services Update
Accountants who are performing a virtual CFO service for SMEs normally realise that there is more involved in offering these types of services than just the preparation of financial accounts.
In most cases, you will be the only financial person directly involved with that business. This will mean that you may be asked to assist in “fringe” areas relating to the CFO role.
This is what happens in larger businesses – the CFO can be involved in all types of activities, not just straight accounting.
One of the key areas is assisting your client to ensure that they have appointed a leadership team and that effective delegation has been made to those team members.
But in the first instance, it is necessary to ensure that the leadership team have the appropriate skills and their job description clearly establishes their responsibilities.
An area that can cause some problems is the day-to-day reporting process obligation for a leadership team member. Who do they report to, by when? What happens if they can’t find the CEO or a more senior member of the leadership team to discuss an important issue with? Has the CEO delegated “taking of appropriate action” to the leadership team members?
In some cases, you will find that this has not occurred and then there is a problem that needs to be solved or answered virtually straight away.
As part of the preparation to offer a virtual CFO services, you need to be aware of these circumstances arising and assist the CEO to draft a policy on what the process will be if he/she is not available to make a decision on an important matter.
ESS BIZTOOLS has developed a range of products to assist accountants and bookkeepers to assist SMEs to add value to their businesses.
Want to know more? Reach out to our Managing Director, Peter Towers, on 1800 232 088 or .
