Following up on our previous post, we bring to you an insightful article on the clues that indicate that a small business requires to hire a CFO.
Below is a summary of the article titled “When Should a Small Business Hire a Finance Chief?” in the New York Times:
- When the CEO is being distracted from critical revenue-generating activities to handle financing or similar issues, it’s time for the CFO to take his place and make these things happen
- No matter how small, any company can benefit from having a finance chief to help organize its finances and track its performance
- For growing companies, a common trigger can be the decision to bring on investment capital. At these companies, the finance chief often becomes the liaison charged with keeping investors updated on how the company is performing
- Finance officers can also bring tremendous value to a company when it is considering making an acquisition or preparing itself to be acquired
- Bottom Line: Hire a CFO as soon as you can afford one.
The complete article can be read here : http://www.nytimes.com/2011/10/27/business/smallbusiness/when-should-a-small-business-hire-a-chief-financial-officer.html?pagewanted=1&_r=0
More to come…
We will be populating the blog sections with useful and insightful articles about Finance, Legal and Startups in general. Keep watching this space for more such popular articles.