The CFO'S Perspective

How to Include Overhead in a Grant Request

Just the other day we were working with a client who came to us and said, “We need help with an important grant request. How do we know which expenses to include in our overhead costs? And how should we word those expenses appropriately in our proposal?” We were able to help and now we want to share the wisdom that we offered him to help you the next time you write a grant proposal.

Anyone who has ever worked with grants knows that budgeting can be one of the most difficult parts of the grant request process. To be effective a grant proposal needs to include both the direct costs of running the program(s) that the grant will be used for as well as the indirect costs (or overhead costs) associated with offering programming.

Organizations that do not appropriately account for overhead costs such as payroll, rent, utilities, and technology will not be entirely compensated for the full cost of running the programs that they offer, which can jeopardize their long-term sustainability. Simply put, an organization that cannot cover their overhead costs won’t have the operating budget needed to provide their programs and offerings to their community, which in turn can:

  • Reduce reach and effectiveness.
  • Negatively affect morale and increase turnover.
  • Threaten the long-term viability of the organization.
Topics: Non Profit Organizations Cost Allocation Grants

15 Questions to Ask an Executive Financial Recruiting Firm


When you are looking for someone to hire a CFO for your company, who do you tap for the job? What sets a great executive recruiting firm apart from a mediocre one? And how can you even tell the difference? Going through the research stage of selecting a financial recruiter can be daunting, but we’re here to help!

Our team of executive finance recruiters has put together a list of the questions they hear most often to serve as a guide as you go through the process. We’ll tell you why these questions are important and what you can hope to glean from asking them.

Topics: Recruiting

What to do When You Don't Know What to do – A CFO's Perspective

There's an interesting quote I hear quite regularly regarding how to act in times of strife or turmoil.

The only way out is through." – Robert Frost

If you think about it, it's a simple allegory for a moment when you may face a challenge, whether work, personal, or otherwise. Given that this is a business-related article, I'll limit my thoughts to the work environment, specifically examples facing business financial executives. The point, however, is that bemoaning the issue, or moment, or whatever the challenge may be, does very little to help you move on from that issue or moment. Action is what helps you more than any other element. Doing something is better than doing nothing almost all the time.

Topics: Planning Leadership Transition

How is Your Nonprofit Funded?

Do you truly understand how your organization is funded? And do know why it matters that you do?

Unfortunately, too often nonprofit leaders and board members only have a vague sense of how their organizations are funded and what that means for furthering their missions. This is a problem because funding is an integral part of an organization’s success, and the right funding mix is essential for the growth and maintenance of any nonprofit.

An organization’s funding mix can influence its overall financial health as well as determine its reach, capacity, operational flexibility, and long-term sustainability. To strike a balance between flexibility and sustainability, nonprofit leadership must have a firm handle on how the organization’s funding sources are diversified and what kind of implications that has for the organization.

Topics: Non Profit Organizations

So, You Want to Be a Fractional CFO...?

A new breed of finance professionals is emerging, known as fractional CFOs."

In the ever-evolving world of finance and business, the role of the Chief Financial Officer (CFO) has undergone significant changes. Gone are the days when CFOs were primarily responsible for managing a company's finances in a traditional 9-to-5 role. Today, a new breed of finance professionals is emerging, known as fractional CFOs. These individuals are redefining the traditional CFO role by offering their expertise on a part-time or project basis to multiple companies. If you're considering a career as a fractional CFO, this article will provide insights into the role, the benefits, and what it takes to succeed in this dynamic field.

What Is a Fractional CFO?

A fractional CFO, also known as an interim CFO or part-time CFO, is a financial expert who works with multiple organizations on a contract or project basis. Rather than being a full-time employee of a single company, a fractional CFO offers their financial expertise to multiple clients. This arrangement allows businesses to access high-level financial management and strategic guidance without the cost and commitment of a full-time executive.

Topics: CFO CFO Responsibilities Interim CFO

Financial Considerations when Moving from B2B to B2C

What do you need to think about when transitioning a portion of your business from a B2B model to a B2C model?

This type of major strategy shift requires a full-scale examination of every facet of the organization – sales, marketing, operations, manufacturing, supply chain, logistics, and R&D. It is wide-reaching and comprehensive, rippling through everything that comprises what you sell, how you make/acquire it, and how you sell it.

What Do You Really Need in a Controller?

When you need to hire a Controller, what should you look for? What do you really need and what is just nice to have?

Obviously, as the person who will have ownership over your entire accounting operation, you need someone that is disciplined, focused, and organized, but what else? Your Controller should be a strong accountant with a tactical focus and solid track record of reliable performance, but their resume should not end there. When you are looking to bring in a Controller, find someone who will also:

Topics: Controller Controller Responsibilities

Evaluating Indirect Costs for Grants

Over the last decade it has gotten harder to understand and evaluate the indirect cost rates being applied to grants. Nonprofit leadership has struggled to keep up as the requirements and recommendations around indirect cost rate calculations have shifted and changed. And yet, this work remains critically important to the effective financial management of nonprofit organizations because without accounting for indirect costs correctly nonprofits cannot cover their overhead.

Unless the expense of overhead costs such as rent, utilities, technology, and payroll are recouped through funding, an organization cannot be fully compensated for what it costs to run the programs that they offer, jeopardizing their ability to offer not only those programs but maintain other vital initiatives in the community as well. Therefore, properly calculating indirect cost rates is a cornerstone of effective grant management for nonprofits.

Topics: Non Profit Organizations Expenses Cost Allocation Grants