The CFO'S Perspective

Predicting the Future - What if Tomorrow is Not Like Today? Part I

Recent sad news about the wildfires disaster in California which has destroyed homes, businesses and caused so many deaths is a reminder for us again to consider the future.

…up to 40% of businesses hit by natural or human-caused disasters never re-open.”

According to FEMA, the Federal Emergency Management Association, up to 40% of businesses hit by natural or human-caused disasters never re-open.  They close because their normal processes are overwhelmed by loss:  loss of data, inventory, space, personnel, or all of the above.

Topics: Forecasting Financial Projections

How Does Your CFO Spend Their Day?

 

Ever wonder why your CFO spends more time in their office than anywhere else? Or maybe you have a CFO who is always out meeting with people outside your business when you are trying to talk with them about an issue? Do you have a Controller who feels ignored by your CFO?  Do you have a CFO who is great at talking about the needs of your business, but can’t seem to answer a detailed question about the financial statements?

In my years as a CPA/auditor, an employee within companies in finance management roles, and as a recruiter focusing on senior finance positions, it is very apparent one can put a CFO in three categories.

Of course, not everyone is a single variety grape wine, most people are a blend, but I have found these three categories quickly summarize the most common types of CFO in the eyes of the CEO and others in an organization. 

The question as a CEO or business owner is, do you have the right type for your organization?

Topics: Staffing Hiring CFO Recruiting

CAMPS Recognizes Achievements in Manufacturing - We Were There

On November 15, 2018 CAMPS (Center for Advanced Manufacturing Puget Sound) celebrated the successes and achievements in manufacturing in the Puget Sound region.  Regence, Capital Benefit Services and Shannon & Associates sponsored the fabulous event. The emcee for the evening was Randy Gardiner, President of CAMPS Board of Directors.

Members of the CFO Selections team were in attendance. We were again impressed by the character and expertise of the attendees and those recognized with awards (both past and present). CAMPS continues to stand out as a valuable organization we recommend.

This is an important event because it recognizes companies and people who are remarkable and often go unnoticed. Their commitment is not a headline in a tweet or newsfeed. 

Topics: Awards Manufacturing Events

DEAR EDITOR: I am a CEO

The holidays are here. Letters are pouring in to Santa and to our editor. Here is one such letter and the editor's response.

“DEAR EDITOR: I am a CEO.
  Some of my friends say there are no good CFO’s.
  Papa says, ‘If you see it in THE SUN it’s so.’
  Please tell me the truth; are there any good CFO’s?”
 ----- From Virginia, CEO

Topics: CFO

A Business Owner’s Perspective on Financial Statements

Don't ever let your business get ahead of the financial side of your business. Accounting, accounting, accounting. Know your numbers.” - Tilman J. Fertitta

When it comes to financial statements, one size definitely doesn't fit all. In fact, as your business grows and evolves, your financial statements should too. Their primary purpose shouldn't change, which is to provide business owners with actionable information. However, as a business matures, and potentially becomes more complex, with an increasing number of opportunities to pursue (or not) the statements need to be able to keep up.

There isn't a hard and fast rule about what you should look at, and at what stage those needs will vary. What should be true, however, is the owner's commitment and rigor around the process of what is reviewed and when. For businesses that lack the full-time need of a CFO, a part-time or project CFO will provide the expertise necessary to produce financial statements that are appropriate and relevant to generate information (not just data) that helps solve real business problems.

I happen to lead an organization made up of those financial executives and can offer that I face the same challenges you do when evaluating what I need to run the firm. Primarily, how do I make sure I have what I need to make good business decisions?

Topics: Financial Reports