CFO Advisory
How to Choose a Fractional CFO for a Growing Business
Choose a fractional CFO by how they will work with you, not by the title. Ask who you will actually meet with, how often, what the forecast will look like, how the fee is set, and whether the controller work underneath is included or assumed. The right answer to each is specific and written down. A vague one means the engagement will be vague too.
This guide is part of our cfo advisory in Wilmette, IL. Book a free consultation or call (847) 644-2288.
01What should a fractional CFO actually deliver?
A rolling cash flow forecast, a budget with the model behind it, margin analysis, executive-level reporting, and a standing strategy call. Ask to see what each of those looks like for a business like yours. If the answer is a dashboard with no conversation attached, you are being sold reports, and reports you already have from your controller.
Our CFO advisory page lists what the engagement includes at NorthPeak, so you can compare line by line.
02Who will you be talking to?
The person on the sales call and the person on the monthly strategy call are not always the same. Ask. A fractional CFO is a relationship with one person who knows your numbers and your plans, and it does not work as a rotating team. At NorthPeak the founder is the one you meet, every time.
03Is the controller work included?
Advisory on top of unreliable statements is guesswork with better vocabulary. Ask whether the engagement includes the monthly close, the reconciliations, and the statement preparation, or whether it assumes somebody else is doing them well. If it assumes, ask who checks. Our CFO package includes everything in the Growth and Starter levels for exactly this reason.
04How is the fee set?
You want a fixed monthly figure, in writing, for a scope you can read. Be wary of hourly rates with no ceiling and of packages quoted before anyone has looked at the business. Our guide to what a fractional CFO costs explains what should drive the number.
05What does a good first conversation sound like?
Questions about your business rather than a pitch about theirs. What are you deciding this year? Where does cash get tight? What do you not trust in your current reports? A CFO who asks those on the first call is already doing the job. One who opens with a slide deck is not.
It should also be honest about fit. Some businesses that ask about a CFO need a controller first, and a good firm says so. Our free 30-minute consultation ends that way when it should. Book one or call (847) 644-2288.
06What are the warning signs?
Promised outcomes. Nobody honest promises what your margin or your valuation will do. A refusal to put the scope in writing. No named person. A forecast that is a spreadsheet you are expected to maintain yourself. And any reluctance to explain what is excluded, which is where the surprises live.
Common questions
Does a fractional CFO need to be local?
No. The work is forecasting, modelling, and a standing call, all of which run remotely. NorthPeak is based in Wilmette, Illinois, and meets local clients in person when that is useful.
How often should we meet?
Weekly or every other week for a CFO engagement. Monthly is a controller rhythm, and it is not enough for decisions that move quickly.
Should I choose on price?
Choose on scope and on who you will work with. Then make sure the price for that scope is fixed and in writing.
Have a question about your situation?
Book a free 30-minute consultation and we'll walk through it together.
Schedule a ConsultationThis article is general information, not individualized tax, legal, or financial advice. Every situation is different. Reach out and we'll look at yours directly.