Managing cash is the most important, yet most stressful, function for business owners and management of many emerging and growing businesses. Many of these companies need help in managing their cash balances and cash flows. Management often "has a feel” for their cash positions but lacks the tools and processes that will let them know their existing and changing cash positions. Consequently, management often struggles to manage cash, meet obligations, and anticipate cash needs for changing business conditions.
Management of many growing companies do not have a clear picture of the financial health of their business and lacks the timely information needed to adjust their plans and actions to changing economic or industry conditions. Many of these businesses do not have the budget for a seasoned financial officer or a strong back-office staff. The financial functions are often performed by the owner/entrepreneur who started the business, who has the business know-how but not the skills of a financial professional. Many businesses with great products, services, or entrepreneurial ideas have failed for lack of strong financial oversight.
Internal Control Design and Quality of the Controls
Emerging and growing businesses usually have inadequate internal controls. In many instances, these businesses were formed by an entrepreneur with great business ideas, or are family-run businesses where various activities are performed by family members. These types of companies often have conflicts of interest between operating functions that should be segregated or do not have sufficient controls to prevent misappropriation of funds.
Staffing and Staff Quality
Many small and mid-size businesses are run by families or have unique, specialized skills designed to make products or provide services. Management of these businesses often does not have the financial skills to oversee the business or develop and implement the strategies necessary to manage and grow the business. In addition, these businesses often do not have the budget for a strong financial officer or team to control the back office every business needs to support the company and ensure its success.
Coaching and Professional Development
CFO Strategies’ partners are trained career coaches and have mentored and coached other professionals for many years. In addition, our partners have instructed executive education courses for continuing professional development.