Hiring a Startup CFO: How long should it take to hire a CFO? in India
Financial management is a tedious process. Finding the right CFO is more tedious than that. CFO recruiting firms or CFO staffing experts make this highly complex, resource-driven task more productive, efficient, and meaningful. Are you considering hiring a CFO but confused about the types of CFO services you need? Get correct insights to find when to hire a CFO for your startup in India.
A Chief Financial Officer (CFO) is a C-suite executive who handles and analyzes the financial management of a company from risk, costs, threats, compliance, and liquidity management perspectives.
A well-experienced CFO knows how to track the financial status by comprehending the potency and flaws and provides an accurate measure in financial management. Overall, CFOs stand as the third-highest position in an organization. However, they stand at the topmost position in the financial sector. Now, let us look at the types of CFO services you can choose from.
What Kind of CFO Services Does Your Startup Need?
Virtual CFO Services
Company owners, directors, and shareholders are striving for every way to cut costs and make each penny count. Not all business owners have a clear-cut ability to manage budgets or assess future financial growth.
Also, most startups or small businesses do not need a full-time CFO. Explore the benefits of virtual CFO services as a cost-effective alternative to in-house financial management. Virtual CFO recruiting firms help you connect with the most beneficial CFO services firm to offer exceptional, in-depth consultative solutions to your top management.
Hiring Time: 10-30 days
Outsourced On-site CFO Services
Even though they work equivalent to a full-time CFO in a company, an outsourced on-site CFO operates on a contract basis. This means they work only for a certain period that can last approximately 12 months.
An outsourced CFO gets to work for numerous organizations and interact with a different set of employees, learn about new technologies, get familiar with different work cultures. Moreover, they could enhance their skill sets by working on diverse challenges that will benefit the next company they work for as he/she could produce a new perspective of solving financial crises and develop a higher-level strategy.
Hiring Time: 15-30 days
Part-time In-House CFO Services
A part-time CFO supervises an organization’s financial and risk management procedures. They are responsible for formulating a financial and operational strategy, identifying and tracking relevant KPIs, maintaining and monitoring control systems to safeguard the company’s financial outcomes.
Part-time CFOs can also report accurate financial results and statements accurately every day and on time. Most CFO recruiting firms analyze your CFO staffing needs before they suggest the best CFO recruitment options for you. Consult with CFO search firms to find out if a part-time CFO is what your company really needs and how to find the best candidates for the position.
Hiring Time: 30-60 days
Full-Time CFO In A Permanent Role
Hiring a full-time CFO is beneficial if your financial risk management, financial compliance management, liquidity management, and threat management are activities that need 140-160 hours of CFO support every month.
One of the primary goals of a CFO is to supervise the financial planning for every project you undertake and the required investment in resources and infrastructure you need to make. They will find out how the future revenue-per-employee and profit-per employee metrics will look like using modeling and projections.
Also, they take charge of the long-term investments, business processes, and budgeting processes. Full-time CFOs oversee all financial aspects from operations cost reduction to procurement cost management and boost the efforts made by different departments to optimize costs, profitability, and opportunity gains.
Hiring Time: 80-120 days
CFO Hiring Process For Permanent Roles
1. Framing CFO Position Profile
CFO search firms or CFO recruiting firms help you create impactful profile descriptions by coordinating with various top management members to find everything that is expected from the position. When reaching out to potential candidates, CFO search firms ensure that all expected information is present, such as the following.
- Preface to your business and its culture
- The objective of the roles the future CFO will play
- Daily and monthly responsibilities
- Preferred qualifications
Profile and role descriptions should be presented in well-designed, impressive formats along with figures and facts that boost employer branding.
2. Competitive And Geo-Specific CFO Talent Search
Global and nationwide CFO search firms give you the advantages of the geo-specific talent search. Would your startup in India prefer to hire a CFO from Mumbai or Chennai, or Pune or Delhi? Would you like to widen your talent search to professionals with international business experience?
Experienced CFO search firms or CFO recruiting firms will have talent networks in many cities and for many types of industry segments. Taking advantage of their experience and resources helps you find the best talent to meet your CFO staffing needs.
3. Candidate Engagement, DIscussions, And Interview Scheduling
Finding the time to interview and engage with your candidate is important. Otherwise, there is a possible chance of candidates dropping out and looking for other companies.
Rather than making them wait, be consistent in interacting with them and keep updating them about their application progress. This will form a positive impression about you in their mind, wanting to see if there may be vacancies in the future.
Offering flexibility to candidates in scheduling the interview is a perfect idea as they could pick the date and time convenient for them. Moreover, there are a number of tools such as Paradox and VidCruiter to schedule the interviews for more promising prospect experience and fewer recruiter headaches.
4. 4-5 Rounds Of Recruitment Process – Interviews, Meetings, Etc.
Hiring the wrong person to do a job, especially in case of a CFO, can affect the growth of a company altogether. Therefore conducting multiple rounds of interviews is a necessity. There are five types of interview setups in the recruitment process. They are telephonic/video interviews, assessment, face-to-face interviews, interview panels, and group interviews. Is it necessary to have considerable rounds of interviews? Well, yes. It presents you with an opportunity to know more about the work culture of the company you are applying for. More importantly, each interview session will help in the rigor understanding of whether the prospect is more promising for a company’s growth or not.
5. Framing Terms Of The Offer And Final Negotiations
All candidates would like to know how your company will be compensating them. What are the benefits and perks associated with the position?
CFO search firms conduct compensation benchmarking to give you a wide spectrum of compensation figures in your industry based on experience, academic backgrounds, achievements, industry knowledge, etc.
You could then fix a salary range that will be appropriate for your context. This is when you need negotiation support. Competent CFO recruiting firms will serve as a great negotiators on your behalf without frustrating the candidate.
A trustworthy CFO staffing expert will help the company and the chosen CFO candidates get a correct picture of each other’s expectations and help the company in arriving at the right decision.
Salary negotiation involves learning at what amount the candidate will accept a job offer. It also means advising the company to come up with the best possible job offer that can attract the candidate.
Startups and small businesses do not think about hiring a CFO due to their confusion about value from the required investment. Having a brilliant CFO to support you helps you win the trust of international and large company clients.
Explore the kind of CFO services your business will best benefit from. Consult with an experienced CFO staffing firm to attract and hire the best-suited professionals.
Are you in search of a talented CFO who could manage your organization’s financial affairs? Then you are at the right place. Alliance International is the most reliable C-level recruitment agency with the best CFO staffing teams that could help you find and recruit a highly qualified CFO for your company at your pace. Let us be at your service!