Fractional CFOs
Fractional Cost. Full Impact.
You've got product-market fit, you've got substantial sales and you've got cash in the bank. BUT you have debt and other liabilities on the Balance Sheet. Or maybe you're burning some amount of cash on a monthly basis.
Companies stall their growth, or worse, grow their way to extinction because they don't have an accurate understanding of their margins and cost structure.
Join the class of businesses who thrive with the help of a strong financial partner in the form of a Dark Horse Fractional CFO.
When Do You Need a Fractional CFO?
Generally, the bigger the business, the more you need a Fractional CFO and the more time you need from them. You may, however, need one before you'd think for things like capital raises and proforma financial projections to see if a product or service line pencils. Either way, the Dark Horse advantage is that you'll be working with a firm handling the bookkeeping and outsourced accounting who stands ready to bring CFO-level services to the company when their needed.
Fractional CFO
strategic support, financial planning, and analysis to take your business to the next level
Outsourced Accounting
full-service accounting to help you manage the back office.
Bookkeeping
timely and accurate recordkeeping
The Fractional CFO 3-Step Process
1. Initial Discovery. We'll develop a working understanding of your business, discuss where you're at and where you want to be to see if there's a mutual fit.
2. CFO Assessment. We'll take the info from the Initial Discovery to create a proposal and roadmap for various CFO-level services along with a list of recommendations and areas to investigate further.
3. Ongoing Advisory. We collaboratively develop a plan to get the most out of your accounting function and begin the execution together, reviewing every 3-6 months to ensure we are on track.
The CFO Assessment
Your CFO Roadmap
You can't benefit from a Fractional CFO if your accounting processes are not set up correctly. An important part of the process is to assess where you stand today, and what are the most impactful areas that we can improve to get you the most accurate and transparent financial data to take control of your business. The CFO Assessment encompasses both the Bookkeeping and Outsourced Accounting assessments and includes additional analysis on higher level activities that will help you work ON your business instead of IN your business.
$5,000
Off to the Races
After the CFO Assessment, we'll do the cleanup work to get to a strong starting point, then it's off to the races. We'll begin our strategic meeting cadence, developing KPIs and proformas that we will use as a north star to create accountability, aiding the business in achieving its goals and objectives. Ultimately, we'll serve the business as a fiduciary to the entrepreneur's vision, giving it the best chances to come to fruition in the marketplace.
Rightsourcing Lowers Cost, Improves Outcomes
There's tension embedded within the reality that the people who are going to look after your money and help you make more of it also cost you money. This is why savvy entrepreneurs rightsource their accounting and finance functions by pulling on fractional, outsourced and internal staffing to obtain the right expertise at the right cost. And, let's face it, it's exceedingly difficult to find and procure qualified accountants in todays market. This is why we structure our engagements to bring the right resources to your company, whether that's supplementing in-house personnel or taking on the entire accounting and finance function ourselves, so that your business can get the advisory it needs at a price it can afford.
The CFO Impact
Fractional CFOs are more than just glorified accountants. They are your trusted financial and strategic partner. They blend financial and accounting expertise with strategic consulting to ensure the company's finances can support its mission and vision.
Without Dark Horse
A software company had accounting compliance covered internally but lacked CFO level expertise while experiencing 100 – 125% YOY growth.
#1
Cashflow and Budget Planning was not put in place
#2
Increase internal hires to account for lack of process
#3
No clear reporting for high growth markets / clients
#4
Accounting team was split managed between the CEO and COO
The client knew they needed to get a handle on their Accounting and Finance function, but was not convinced they needed a in-house CFO. They were looking for a solution that could create immediate improvements to their process and reporting + a long term cashflow and budgeting strategy.
With Dark Horse
Client went through a robust CFO Assessment with a Fractional CFO at Dark Horse, evaluating financial data quality, the accounting team, their processes and identified their reporting and modeling needs for their expansion. This led to:
#1
Reorganization of their accounting roles, saving $37k annually
#2
Implementation of 2 new accounting tools to improve processes and data accuracy
#3
Monthly KPI reports for leadership, providing key insights in real-time
#4
Cashflow projection model implementation, removing the need for sporadic short-term financing
The Dark Horse CFO acts as a member of their leadership team, providing valuable insights into the performance of the business and executes on cost-saving strategies at a fraction of the cost of bringing this role in house.
Fractional CFO FAQs
Fractional CFOs provide the highest level of strategic advisory for business clients. They help businesses where they need help the most, which can range from cash flow management to forecasting to budget creation & reporting to providing investors financial reporting and everything in between. They are your dedicated finance resource to support the growth and strategy of your enterprise. As the name implies, they are your company’s CFO at a fraction of the cost of a full-time hire.
Engaging a fractional CFO offers several advantages over hiring a full-time CFO:
- Cost-effectiveness: Fractional CFOs provide high-level expertise at a fraction of the cost of a full-time CFO.
- Flexibility: You can scale services based on your needs, without the long-term commitment of a full-time hire.
- Diverse expertise: Fractional CFOs bring a broad range of experience and knowledge from working with multiple clients across industries.
- Objectivity: As an external partner, a fractional CFO provides unbiased recommendations for improvement.
- Reliability: With a fractional CFO from Dark Horse, you can count on seamless, uninterrupted service, even if your dedicated CFO becomes unavailable. We ensure a smooth transition and reliable support.
- Quick onboarding: Our fractional CFOs can quickly get up to speed on your business's financial situation and start providing value within the first 90 days. In contrast, hiring a new full-time CFO can involve a lengthy recruitment process and a significant onboarding period, often taking up to 1 year to fully realize the value (or lack thereof).
In contrast, hiring an in-house CFO can be costly, limit your access to diverse experience, and may lack the flexibility and objectivity your business needs. Plus, if your CFO leaves, you're left searching for a replacement, which can disrupt your financial operations.
Our fractional CFOs are seasoned financial professionals with decades of combined experience in public accounting and various industries. All of our CFOs are CPAs who have worked for reputable accounting firms and held senior finance roles in companies across different sectors.
One of the unique advantages of partnering with Dark Horse is that we are a hub of accounting and finance professionals. Our firm has created a network of highly skilled CPAs and financial experts who collaborate and share their knowledge. This means that when you work with one of our fractional CFOs, you benefit from their individual expertise as well as the collective wisdom of our entire team.
Our expertise runs deep, and we pride ourselves on staying at the forefront of financial trends and best practices. Whether you need guidance on financial reporting, budgeting and forecasting, cash flow management, or any other aspect of financial leadership, our fractional CFOs have the skills and knowledge to help you succeed.
Our fractional CFO engagements are tailored to each client's unique needs, but typically include a range of strategic financial services:
- Strategic financial planning and analysis: We work closely with your team to develop and implement financial strategies that align with your business goals and drive long-term success.
- Cash flow management and optimization: Our fractional CFOs help you project cash flows, plan for necessary cash infusions, and develop strategies to optimize cash inflows and outflows, ensuring your business has the financial resources it needs to thrive.
- Budgeting, forecasting, and financial reporting: We assist in creating annual budgets, forecasting future financial performance, and providing comprehensive financial reports to help you make informed, data-driven decisions.
- Financial performance optimization: By analyzing your financial data and key performance indicators (KPIs), our fractional CFOs can help you identify areas for improvement and implement strategies to optimize your financial performance.
- Board and stakeholder meetings: Your fractional CFO can participate in board meetings and provide strategic financial insights to help guide decision-making at the highest level.
Throughout the engagement, your fractional CFO will be available for regular meetings and consultations to discuss your financial health, review key metrics, and provide ongoing support. Our goal is to empower you with the insights and strategies you need to achieve your business objectives and succeed in today's competitive landscape.
Our Fractional CFO’s can also support your business in:
- Fundraising and investor relations
- Mergers and acquisitions (M&A) support
- Capital structure optimization
- Risk management
- Profitability analysis
- Pricing strategy
- International expansion
- Financial systems and process improvement
- Succession planning and exit strategies
- Financial training and education
- Tax planning and optimization
- Wealth Management
We start by walking through a comprehensive CFO Assessment that helps us gain a deep understanding of the state of your books, your current financial operations, and your overall business objectives.
The assessment beneficial for us, and for you as a business owner. It allows us to identify the specific areas where our expertise can add the most value, ensuring that you receive targeted, impactful services without overpaying for unnecessary or premature offerings. By focusing on the biggest levers for growth and improvement, we can help you maximize the return on your investment in fractional CFO support.
After the assessment, we will work closely with you to develop a customized scope of services that aligns with your goals and budget. Throughout our engagement, we maintain open lines of communication and regularly check in to ensure that our services are meeting your expectations and driving meaningful results.
At Dark Horse, we are committed to providing personalized, flexible, and high-impact fractional CFO services that help you achieve your financial goals and build a foundation for long-term success.
We believe that the most effective KPIs are developed through a collaborative process. Here's our approach:
- Industry Benchmarks: We'll begin by identifying the KPIs that are universally relevant to your industry, providing a solid foundation for tracking progress.
- Understanding Your Business: We'll take the time to understand your business's unique aspects. Together, we'll pinpoint areas where you may be facing challenges or excelling, tailoring KPIs to these specific needs.
- Goal Alignment: We'll connect your selected KPIs to your financial forecasts. This ensures that the metrics we're tracking directly contribute to achieving your overall business objectives.
We're committed to working closely with you to develop the most meaningful and actionable KPIs for your business.
Absolutely. Cash flow is an area that businesses often struggle with. We'll help you project cash flows based on current operations and projected changes, plan for any needed cash infusions into the business, and create strategic plans to increase cash inflows and decrease or delay cash outflows.
We believe in a flexible approach that caters to your specific needs. Our engagements are tailored to your desired level of involvement, ensuring the frequency of meetings aligns with your preferences. For our Fractional CFO services, where we play a more active role in your business operations, we'll maintain a regular cadence of meetings to stay closely connected.
To maximize convenience and efficiency, the majority of our meetings will be held virtually. However, we understand that some business owners may initially be reluctant and prefer in-person interactions. The remote-focused model actually gives you a significant advantage: access to a much wider pool of experienced CFOs. You're not limited by location, allowing you to select the expert with the ideal skillset for your specific industry and business needs.
Of course, we recognize the value of occasional in-person interactions. If you have critical on-site meetings, your Fractional CFO can attend with appropriate notice.
Absolutely! Our team of 30 CPAs possesses in-depth experience across a diverse range of industries. We understand the specific challenges and regulations that businesses in different sectors face. Many of our professionals have specialized knowledge, ensuring we grasp the finer points of your industry's accounting and tax needs. If your industry presents unique complexities, don't hesitate to reach out – we're confident we can connect you with the ideal CPA for your requirements. Take a look at the industries we serve here
Your Fractional CFOs
Suzi Drennen
Principal
John Warner
Principal
Hayes Hokanson
Principal
Susan Snowden
Principal
Riana Linsky
Principal
Tina Lawrence
Principal
Megan Leesley
Director of Tax
Brian McComas
Principal
Tim McLain
Principal
Megan Durst
Principal
Mike Madden
Principal
Nancy R.
I have used James Larsen as my CPA for many years and am confident in his work ethic and tax knowledge.
Locations
Because we're entirely cloud-based, we can work with you from anywhere. If you prefer to work with a local CPA, check out our quickly growing list of locations.
Get a personable & experienced CPA who will partner with you to achieve unparalleled results.
