Hire A Virtual Chief Financial Officer in the Philippines
How Our Virtual CFO Service Works
An Online Financial Controllership and Finance Management Service for Startups and SMEs in the Philippines
A Value-Added Alternative to Hiring a Full-Time CFO!
Assessment & Set-Up
Validation & Reporting
Here’s How a Virtual Chief Financial Officer Service Can Support Your PH Business
A Cost-Effective Solution
Hiring a competent Chief Financial Officer is not cheap! It is a senior management or executive role that carries significant responsibility. Hiring a full-time CFO for a business, particularly an early-stage business, should always be a key financial consideration for management.
The monthly salary of an in-house CFO is not the only consideration! Provision must also be made for associated payments such as insurance, health coverage, bonuses, government contributions and 13th Month Pay – to name just a few. Remember, the cost of each add-on will generally increase as the salary and seniority of the position grows. And an in-house CFO is quite a senior position!
Hiring a virtual CFO service, however, can be a much more cost effective solution for businesses in the Philippines. No recruitment fees. No salaries. No 13th month payment. No mandatory employee deductions. No government contributions. No annual salary increases. No severance payments. A strategic solution for an important role that does not require a company to increase headcount.
Further, many companies, particularly startups and SMEs, do not necessarily require a full-time CFO. A company may not yet have reached the stage of needing a full-time CFO. This need might arise when the business really has a defined commercial direction or is perhaps seeking investment, fundraising or defining a plan for expansion into new markets. To solve this issue, companies can engage a virtual Chief Financial Officer service to work on a pre-agreed scope and in accordance with timelines, deliverables and output. In essence, a company can pick and choose exactly what they want or need from the virtual CFO service without the cost of hiring a full-time CFO!
Independent Review and Advisory
A key benefit of engaging a Virtual CFO service in the Philippines is the level of objectiveness or “outsider” view that can be offered to a business. As the virtual CFO service will be provided on a remote basis by an external service provider team, company management can be confident that they are receiving entirely impartial and unbiased advice. A truly independent service offering that serves the ultimate purpose of improving the company’s financial position.
Of course, many in-house Chief Financial Officers operate in a perfectly unbiased and impartial fashion. However, there can be instances where internal staff are required to align with internal company politics, company culture, ways of working or even groupthink. This may, in some circumstances, lead in-house financial controllers or in-house CFOs to unconsciously make decisions that might not always be in the best commercial interests of the company.
On the other hand, a virtual CFO service in the Philippines, provided by a team of experts operating remotely and independently from the business, can focus on ensuring objectivity when providing financial advisory services to a client company. This ultimately ensures that company management and shareholders are getting the cleanest and most accurate information and analysis when it comes to company finances.
It’s always helpful to get an outsider’s perspective. This is particularly the case when it comes to financial advisory services! A virtual CFO can set-up your finance processes, monitor adherence to financial controls and independently report to management on the performance of the company with full impartiality and objectiveness!
Access to a Wider Range of Financial Skills
The nature of the Virtual CFO service means that the Virtual CFO team will have prior experience working with various types of business models across a range of industries and sectors. Virtual CFO teams and service providers will usually have experience working with a number of clients across a variety of finance projects. The VCFO team may also have a combination of international and domestic financial advisory experience, which again, enables your business to gain from a wider expertise and knowledge base.
For example, a Virtual CFO team in the Philippines may have worked previously on a specific finance project that your company now requires. This might be due to previous consulting experience or work that the Virtual CFO team performed for similar clients or business models within the same industry as your business.
Another key area is process and systems! Again, given the wide range of experience that a Virtual CFO team will have from working with various businesses and clients, the VCFO team will have significant exposure to different ways of working, systems, controls and frameworks which they can then apply for your business.
The CloudCfo Virtual CFO service will be performed through the use of online accounting solutions, SAS tools and cloud technology. The service and process will be fully transparent and management can access the company accounts, financial data and financial reports at any time and from any place. We also enable the integration of other software solutions, online tools and platforms from across the business including POS systems, CRM platforms, Loan Management Systems (LMS), expense/receipt systems and marketplace platforms – to name just a few!
Short-Term Solution, Long-Term Results
Companies can engage a virtual CFO at short notice to replace a terminated or resigning CFO or even, just to support a business through a particular period of time such as a holiday period, audit or even a due diligence in advance of an investment. A VCFO can also advise businesses during periods of growth to help the business get to a position to be able to employ a full-time financial controller.
The learning curve can be smoother when you outsource your finance controllership requirements to an independent CFO. Outsourced or virtual CFOs are quite familiar with working with new businesses across a range of sectors and can get up to speed on the business and industry requirements quickly, even if only required for a short term period.
In short, companies can leverage a Virtual CFO to advise on a range of short-term projects, best practice, strategic decisions and help to build systems and processes while the business is still growing. This added level of expertise and experience that a Virtual CFO service can provide could very well be the strategic advantage that a business needs to scale and succeed at the next level of its business journey!
So, whether it’s a short-term fix or a long-term strategy, a Virtual CFO service can be a real value-added solution for businesses across the Philippines. For companies that might be too small or too early in their cycle to employ a full-time CFO, the Virtual CFO service can provide management with the flexibility they need around their financial advisory requirements without having to increase headcount!
The Virtual CFO service will usually be provided by a service provider firm that has numerous other clients. This means that the contact list of a company’s CEO “resource” is not limited only to the personal network of the individual CFO or the particular VCFO team – the network can be expanded to include the network of the entire VCFO service provider firm!
Why is a wider network of financial resources and contacts an important strategic advantage for a business? Companies can get access to a wider pool of possible finance resources, people, new clients or customers and understand new financial offerings within the market. This can be extremely helpful for companies seeking to grow, engage new vendors and reach new markets.
A Virtual CFO service can also connect companies with vetted and approved financial institutions or finance-related businesses in order to meet any finance requirements that the client company might have. This might include anything from banks or lenders offering the lowest interest rates or venture capital firms or institutional investors which might be interested in investing in the company. A Virtual CFO team might also have an international network of contacts who might even be able to help a company expand their business into new countries or provide opportunities to sell a product or service in new markets.
A Limitless Outsourced Finance Service
By engaging a Virtual CFO service, a business can benefit from a much wider range of skills, expertise and experience. When hiring an in-house CFO as a full-time employee, the company will , of course, be able to avail of a specific expertise, knowledge and skillset. However, these will be limited to the level and experience of that individual CFO.
By contrast, when engaging a Virtual Chief Financial Officer service, a company can gain access to an entire team of financial experts where the level of expertise and experience is wide ranging and always growing.
A Virtual CFO team from an outsourced service provider firm will also have access to various resources from within their firm. This might include tax specialists, payroll specialists, lending experts, fintech experts, e-commerce gurus and many more. As a result, the client company benefits from an endless supply of experience, expertise and knowledge to which an internal CFO operating on their own may not have access.
Here are just some of the additional services that a Virtual CFO service can provide for a company: Strategic Planning, Succession Planning, Financial Forecasting, Risk Management, Restructuring, Financial System Implementation, Share Schemes and many more. In short, whatever the request from the client company, a Virtual CFO service will have the expertise, knowledge and experience to support!