The CFO'S Perspective

Business owners find due diligence daunting because of the cost and time required to do it effectively. They worry that the conversation with potential clients will be awkward to initiate and the process difficult to execute, lengthening the buying cycle. Furthermore, they fret about the risk of losing prospects from their sales pipelines, reducing overall conversion rates. However, the benefits far outweigh the risks of doing due diligence.

Employees are your greatest assets. They are the first line to your customers, the ones driving innovation, and have the ground-floor information you need to run your business. Likewise, those same employees rely on a stable income to meet their short-term financial and retirement goals. 

But, if an employee is unable to work due to disability or some other life event, everyone loses. And the unfortunate fact is that a majority of people believe this is something that will “never” happen to them. But, it does with stunning regularity.

The Perks of Being Royalty

One of the best things about being the sole owner of a privately held company is that you have a great deal of discretion as to how your business is operated.  You get to make the rules.  It’s like being the King or Queen.

This includes deciding on the form and content of the financial information your accounting staff prepares. Particularly if you have no debt or outside investors, you can decide what you want to see and how often you want to see it.

Editor’s Note: We are fortunate to have many exceptional clients. From time to time, we include “Company Spotlight” posts in our blog to express our gratitude and appreciation for the awesome work they do and the accomplishments they achieve. Enjoy!

Chocolate is for sale everywhere. Consumers can purchase it ready to eat at their local grocery stores or over the internet. They can buy it in a variety of forms for use in creating their own culinary delights. They have a vast selection of price and quality from which to choose. 

So, what did it take for one more company making chocolates to achieve the impressive success of Fran’s Chocolates? What was so special about the confections that started as giveaways to customers buying other products to something that a President of the United States chose to give as gifts to visitors to the White House? 

With Thanksgiving approaching, conversations and thoughts invariably turn to gratitude and thankfulness.  We try to show our gratitude to the people in our personal lives and our own circumstances.  However, do you do the same in your business life?

Readers may wonder why a space dedicated to CFOs and finance issues is taking the time to discuss a decidedly “soft skill.”  Why should people in business be mindful of expressing genuine gratitude?

Employee motivation comes from several sources – compensation, promotion, and benefits are the most popular.  However, do not overlook the power of showing gratitude.

To answer a question we receive frequently, we turned to our team of CFOs for their insights. We received plenty of feedback about whether a company needs a CFO with industry experience from the CFO Selections team.  The depth and diversity of experience in the CFO Selections team again proves to be an excellent resource.

Read a sample of perspectives from CFOs who have decades of experience:

Recently a WSJ story shows the trend of more finance directors moving from corporate America to nonprofits. Such a story can be both an inspiration and risky to those using it as a reference. Today we want to highlight the trend, the reasons, the challenges, and why we also celebrate.

As head of CFO Selections corporate philanthropy initiatives, the question I get most often, especially now at budget time, from other company executives is, “What is the right amount of money to budget for donations?”

Before answering this question, I usually ask,

What are you hoping to achieve with your corporate philanthropy?”