Small Business CFO
Think your business is too small to have a CFO? Think again.
Bookkeeping is cool and all, but what good is doing great bookkeeping, generating perfect financial statements, and then turning those statements over to you with no explanation of what the heck is going on. "You didn't make any money, Bob. You should probably fix that." That's not how we roll.
At PaperLight Virtual Accounting and Tax, we don't just want to be your bookkeeper. We want to be your business partner, advisor, and consultant. By bringing many years of experience in not only accounting, but marketing, sales, purchasing and operations, we are equipped with the tools needed to be your CFO. Included with our monthly accounting service, our fractional CFO services can bring you many advantages. We will brainstorm with you on how to increase sales, boost marketing, spend money wisely, develop processes, and much more.
Think of us as being on a retainer for your business. We want you to use us like we work for you, because we do. Want to buy a new piece equipment? Let's run a cash flow analysis and see if you can afford it. Want to create a business budget? Done. Got an off-the-wall-idea and not sure if it will work? Run it by us. We will give you practical, sensible guidance based on your numbers and our real-world experience.
Our fractional CFO services provide clients with greater insight into their financials and a business partner invested in their growth.
What Does a CFO Do?
Quite a bit, actually.
Budgeting
Creating and maintaining a budget for your business is a cornerstone for long-term success. A budget helps you get creative with your planning, create realistic goals, allocate resources, and develop discipline in your spending. Set goals, execute, repeat. Budgeting allows your money to work for you, rather than you working for your money. You decide where your money gets spent, and can allocate resources elsewhere as different scenarios arise (and they will). Your budget will need constant tweaking, and with our CFO services, we work with you to develop a successful budgeting plan.
Cash Flow Management
Cash flow management is one of, if not the most important area to determine the financial health of your business. Let's see if this situation sounds familiar: Your business is going great. Your marketing is working, your sales are strong, and you're busier than ever. Your Profit and Loss Statement shows strong margins and great profit. But somehow, your bank account is near zero. How is that possible? There could be many reasons, but we're willing to bet improper cash flow management has a lot to do with it. We will get you a full picture of your cash flow and identify areas of improvement such as speeding up the accounts receivable process, servicing debt smarter, and producing forecasts for the future.
KPI Development
Key Performance Indicators. Sounds pretty complicated, huh? Not at all. KPIs are, simply put, a scorecard for your business. They provide an even more in-depth look at the true health of your company, and are tailored to your industry and business. Some of the most common KPIs in the accounting world are Gross Profit Margin, Net Profit Margin, Debt to Income Ratio, and EBITDA. But these can also be applied to other areas of your business. How much marketing are you spending per customer? What's your average sale amount? How long does your average project take to complete? KPIs provide a quick reference point into the finance and operations of your company. We work with you to develop KPIs, then use them to make goals and improve efficiency.
Risk Management
Running a business inherently comes with risks. There are countless scenarios in which your business could be at risk, ranging in a variety of categories including, but definitely not limited to, personnel, business operations, cybersecurity, physical locations, and strategy. What does that have to do with accounting? A lot. Any risk to your company that can stop productivity, damage credibility, compromise information, or destroy employee morale is a direct threat to your bottom line. Actively identifying these risks and taking a proactive approach to minimize them could end up saving you a substantial amount of time and money in the future. We will put our operational experience to work for you, helping ensure minimized risk in all areas of your business.
Compliance
Every business and industry has laws and regulations that apply specifically to them that must be adhered to. Depending on your business and industry, sales taxes, licenses, insurance, employment practices, regulations, permits, accounting documentation, and contract maintenance all play a part in your business's compliance strategy. It's simple: Staying compliant minimizes risk. We will work with you to ensure you are staying compliant in all areas of your business, identifying potential issues and bringing solutions to the table. Any opportunity to stay compliant should be seen as a future safeguard to your bottom line.
Business Optimization
One key to maximizing your profit potential is maximizing your business efficiency and eliminating waste. Many businesses struggle with inefficiency in operations, communications, and organization. Waste in your business is money out of your pocket, plain and simple. When a business spends less time on repetitive tasks, fixing errors, and miscommunicating with each other, the work flows much better and sustained business growth becomes possible. Many areas of your business can be optimized with simple process changes or software implementation. We will work with you to identify areas of waste in your company, and strategize how to streamline operations, improve communication, and keep more money in your pocket.