Fractional CFO vs. controller vs. "my bookkeeper is great": what do you actually need?

meghan_the_cfo · 5/20/2024

Founders conflate these constantly. Bookkeeper records what happened. Controller closes the books and enforces process. CFO tells you what to do next and talks to your bank and board. Most seed-stage companies need a solid controller and about six CFO hours a month, not a full-time hire. Disagree?

6 replies

controller = closes the books. cfo = decides what the books should be telling you. bookkeeper = does neither if you hired the cheap one
PenskeFile · 5/21/2024
We hired a fractional CFO at $3M and it was a waste for about 5 months because we had nothing clean for him to work with. Fix the close first.
gm_of_nothing · 5/21/2024
This is the correct order and almost nobody does it. Half my first engagement is usually cleanup I did not quote for.
meghan_the_cfo · 5/21/2024
counterpoint: just use AI
Ninjasaurus_Rex · 6/3/2024
counterpoint: no
PenskeFile · 6/3/2024
Ours is 10 hrs a month and mostly runs the model plus the bank relationship. Best money we spend.
jenn_from_provo · 6/14/2024