A fractional CFO provides part-time financial planning and management support within an agreed scope. Begin with the decisions, records and reports the business needs. Forecasts depend on their inputs and assumptions.
Table of Contents
Prepare a useful budget with CFO support
List expected income, operating costs, planned purchases and cash needs. Identify the period covered and assumptions used. Compare actual results with the budget and investigate significant differences.
Keep businesses separate
Keep each business's records separate. If a management dashboard summarizes several businesses, identify which businesses and periods it includes.
Define the CFO reporting schedule
Agree which management reports and forecasts are included, the data cutoff, review meetings and target dates. Identify who supplies information and who checks the calculations.
Prepare records for outside requests
Ask the intended recipient which reports and supporting documents it needs. Agree any additional work separately; acceptance depends on the recipient's requirements.
Confirm fees and responsibilities
Choose the engagement from the tasks needed and available records. Confirm deliverables, exclusions, software compatibility and client responsibilities before setup.
Additional tax and recordkeeping considerations
Controller work generally focuses on accounting processes, reconciliations and reporting. CFO support generally focuses on forecasts, budgets, financing questions and strategy. Responsibilities can overlap; agree on deliverables, review requirements and authority before engagement.
Compatibility depends on your software, subscription, data quality and available integrations. Review systems and sample reports with our office before agreeing on implementation and access.
Related services and resources
Discuss the work you need
Contact Henriquez Accounting to discuss the records, questions and services needed. Confirm the scope, fees, responsibilities and meeting arrangements before engaging or traveling. Schedule a consultation.
Before the first review, list your accounting systems, reporting periods and open questions. Bring available statements and existing reports, and identify missing data or unexplained balances. Agree how assumptions will be documented, who can approve changes and how revised forecasts will be reviewed. Keep the underlying records so the figures can be traced to their sources.
Management reports and forecasts are separate from financial statement assurance. If an outside party requires an audit or review, confirm a separate appropriately licensed provider and engagement. See the AICPA overview of preparation, compilation and review standards.