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Monthly Archives: June 2018

Why Should You Hire a CFO?

I have learned from my years as both a CFO and a business owner that many business owners who have not worked directly with a CFO, don’t understand the value they bring to steering the company’s future. When the CEO has a difficult time determining how to spend limited dollars, for example, they may decide to invest in sales and marketing to strengthen sagging revenue, expecting immediate returns with hockey stick-like increases in sales.  Sales and marketing efforts are great investments if properly managed and monitored; however, without discipline and strategy, the expected return may not be realized if the investment was misdirected, to begin with.

CEOs often have a background expertise in sales or technology.  They have enough respect for accounting and finance to know they need at least some of it but, truth-be-told would rather kiss an alligator than to admit how little they understand about financing, how a balance sheet works or why they need a cash flow statement.

Why Should You Hire a CFO

They also don’t understand the difference between a CFO and a CPA.

So, what was your question again – why do you need a CFO? That’s why.

Barker Associates, CFO Strategists, works with entrepreneurial growth companies, established corporations and nonprofits to develop positive cash flow and increase the value of your company. We can be contacted at cfo@mindybarkerassociates.com or 904.728.2920.

Don’t Expect Your CPA To Be Your CFO

I frequently see struggling businesses feel comfortable engaging a CPA to perform an audit, or use a bookkeeper to handle the financial processes of their company and provide monthly finance reports. As we delve deeper into the client’s concerns through probing questions, I often discover that neither the CEO nor the Board fully understands the monthly financial reports that were dutifully distributed to their emails.

Don’t mistake your CPA, who is preparing your tax return or an audit, as the financial strategist for your business.  The CPA’s focus is compliance-driven, not future-focused.  The tax return and audited financial statements are products that show the financial results at a specific point in time.  It is unrealistic to expect your CPA to include ongoing consulting in their services.

To describe in sports terms, think of the CFO like the defensive coach on the field, helping to manage the organization’s financial moves, calling plays in the financial world.

Don’t Expect Your CPA To Be Your CFO

The outside CPA is like the scorekeeper, up in the booth, keeping the score.  It is unfair to blame them when you miss a goal or miss the opportunity to score a touchdown.

Consider adding a CFO to your leadership team to bring a financial, future-focused view to your organization’s decision-making process.

Barker Associates, CFO Strategists, works with entrepreneurial growth companies, established corporations and nonprofits to develop positive cash flow and increase the value of your company. We can be contacted at cfo@mindybarkerassociates.com or 904.728.2920.

Deal Killer

Deal Killer

Have you ever prepared for your workout but realized you had not done laundry, so you had no clean clothes or you could not find your tennis shoes?  Were you still motivated to go for the run after you did your laundry and found your shoes? Many of us would have lost interest due to the time delay.  The same concept applies to a deal.  Time kills deals when too much of it passes.  

Start with the end in mind. Every business owner should begin building their business with the idea of seeking investors or selling in the future, which means laying your due diligence foundation.   

Have at hand the due diligence essentials.  Investors will ask for them – do you know what they are? Do you have then available at all times, are you solidly prepared for due diligence, are you in a position to secure investment?  Email me at cfo@mindybarkerassociates.com to get the list.

Then get your due diligence folder ready and keep it current.