Before a company hires a CFO in addition to a controller, in a smaller company the controller is also responsible for cash flow management. If you’re unsure whether your company can afford to bring on a full-time CFO, then indinero’s fractional CFO services may be a more viable solution. The average https://www.bookstime.com/ salary for CFOs in the healthcare industry is $142,417 in 2023, according to ZipRecruiter. This does not include stock options, bonuses, or other forms of compensation. According to ZipRecruiter, the average salary for a non-profit CFO is $159,666, based on job postings and third-party data.
- Controllers ensure the work done by accountants is accurate and that their analysis is solid to allow upper management and executives to effectively plan for the future.
- It’s also important to understand that the role of a controller varies from industry to industry, whereas the responsibilities of a CFO remains consistent across all sectors.
- Far less training time is needed when you use outsourced controller services.
- Occasionally a Controller will receive additional training and transition into a CFO role, but that’s not necessarily the natural next step.
- They most often report to the organization’s CEO or board of directors in the nonprofit sector or senior government officials in the case of the public sector.
- The majority of Maestri’s compensation is in the form of stock incentives, which were worth over $22 million in 2022.
- The CMA exam is a two-part exam covering (1) Financial Planning, Performance, & Analytics and (2) Strategic Financial Management.
A great CFO will also possess great networking skills and will quickly be able to establish chemistry with the CEO. In low-margin firms such as product manufacturers or commodity contracts, controllers may be responsible for managing razor-thin margins to ensure sustainability. They assign duties to accountants, make sure that reports generated are accurate, analyze data, and issue reports to the CFO for decision-making. With these factors in mind, you will be well on your way to finding the right financial controller for your organization. Finally, be sure to verify that the candidate you are considering has the necessary skills and experience to effectively manage your finances.
The Qualifications of Great Controllers & CFOs
The CFO should have a big-picture understanding of the business and accounting, even if they don’t have a specialized accounting background. They should be able to optimize the capital structure, prepare business plans, investor decks and presentations, and obtain financing. Learners are advised to conduct additional research to ensure that courses and other credentials pursued meet their personal, professional, and financial goals.
There are many reasons small business owners consider beefing up their finance team. Whatever your reasons, we’re glad you’re thinking about it, because, from our experience, most owners wait too long to get help. You may need help deciding which metrics matter most and how to track them.
Understanding the Importance of Cash Flow
Your business should consider using AP automation software integrated with your ERP system to reduce the time to process invoices and make and reconcile global payments. Accounts payable automation speeds the monthly close process for financial reporting. This efficiency lets the controller cfo vs controller spend more time on higher-level decision-support tasks using non-financial and financial information. Before your company can afford a full-time in-house Chief Financial Officer, it should obtain rate quotes for pricing and consider hiring a fractional CFO for its needed CFO services.