COVID-19 had had an enormous effect on essentially every small business. The pandemic contributed to the permanent closure of approximately 200,000 extra small businesses. And many of the surviving small businesses are still struggling with poor financial health.
If you’re not sure how to regain financial stability for your small business, hiring a virtual Chief Financial Officer can help. Here’s how a virtual CFO can help your business survive, get stronger, and increase profits in the coming year.
New Financial Strategy
Since the pandemic, many business owners are struggling with issues such as supply chain, employee shortages, and customer hesitation to invest. Changing your strategy can help make progress towards your goals. A CFO can help oversee your financial strategies and make suggestions on where to focus your energy.
Small business owners need to take advantage of the right opportunities to ramp up or to scale down. CFOs can help advise you on the most effective ways to make these transitions.
On Call Expert
Small businesses can normally try to live without expert advice. However, having a CFO to help guide a budget or help with the books is beneficial. A virtual CFO can be on call and can give expert assistance for simple or complex tasks.
Small business owners may feel like they have piles of paperwork always sitting on their desks. If you feel pinched by time, this can lead you to make costly mistakes or lose documents. Having a CFO can help put another set of eyes on the paperwork to check the accuracy and help you understand what they mean for your business.
Improve Your Processes
A CFO can help businesses analyze their processes and identify areas where they save on unnecessary costs or increase productivity. They can also help you understand the impact of the processes you have in place and ensure you’re functioning as efficiently as possible.
Every business is sure to face challenges and unforeseeable changes. The COVID-19 pandemic was on example of this. It’s essential businesses that are resilient and well prepared for potential problems they may face. A virtual CFO helps you create emergency plans and make it through challenges stronger.
Bookkeeping and Accounting
Bookkeeping and accounting are the core of what a virtual CFO does. Data entry errors or improper analyses can be lethal for your business. A virtual CFO ensure your books are in order so you always maintain an accurate picture of your business’s financial health and can make the best business decisions possible.