Deep Dive into Virtual CFO Services with PNRC

Do you want to make your business more profitable? Who doesn’t, right?!

Quite simply then, you need to better understand your cash flow projections. But how do you do this without a serious numbers person on your team? The best way to make your business more financially sound is to enlist the services of a CFO (Chief Financial Officer) as per your business needs, but the great news is, you don’t have to make an expensive hire. CFO Services are specialist services that you can outsource.

What is a virtual CFO?

The virtual CFO provides the service the same as CFO through working remotely. A virtual CFO provides the service of guiding the accounting, analysing the cash flow, evaluating the report of different financial statements of the business, and guidance on future strategic planning.

Just by working remotely, we can handle all the important aspects of the business in a very efficient manner. We, at PNRC, have the necessary expertise needed for making things work in the business.

What are the benefits of using virtual CFO services with PNRC?

If you want to better understand your business and its potential for growth, you need to get a better handle on your finance function. But, as not everyone is a number person, it is best to engage the services offered by experts. Outsourcing CFO services with PNRC allow you and your staff to concentrate on the core operation of your business, doing what you do best while enjoying the assurance that the financial aspect of your business is being managed efficiently and proactively. There are always ways to improve the effectiveness of a business and a CFO is your specialist in this area.

PNRC helps to manage the accounting, human resources, investor relations, legal, tax, and treasury departments. CFOs are considered important assets in the organisation they work for. Whether on staff or brought in as a contractor, PNRC as your virtual CFO, provides the following benefits to an organisation:

1) Improved profit 

PNRC, as your virtual CFO, can help business owners to take short-term tactical actions to increase the value of the business.

2) Better Cash Flow control with Cash Flow Monitoring 

For many CFOs, cash flow is just as important as profit, because cash inflows are needed to finance operations. Our years of research and expertise discuss several topics that impact cash:

  • Talent shortages: Costs to hire and retain talented workers will be higher
  • Pricing pressures: If prices can’t be increased, it’s more difficult to generate higher cash inflows
  • Rising inflation: Increases the costs to produce a product or deliver a service

CFOs must manage both short-term and long-term cash needs while maintaining good relationships with vendors. Cash management helps to determine if a company can scale. To manage cash more effectively, we as your virtual CFOs, monitor both liquidity and solvency.

3) Accelerated business growth

As your virtual CFOs, we can help to plan and execute a digital strategy that promotes digital transformation – and ensure that your organization’s investments and capital decisions can support it.

4) Strategic budgeting

Regardless of company size or industry, we can generate greater collaboration and eliminate budget silos by identifying a single source of data, generating rolling forecasts, and creating a centralized and accessible planning resource.

5) Process optimization

In any case, it remains crucial to regularly review processes. This lets them evolve in line with daily reality. In large companies, this role is reserved for the internal audit function. A clear view of processes is not only a question of efficiency but also of risk management and compliance.

Implementing business process optimization requires a systematic approach. Here are the steps we take to get started:

Step-1: Identify The Processes That Need Optimization

Review your current processes to identify the ones that need improvement. Analyze metrics such as cycle time, error rate, and customer feedback.

Step-2: Map Out The Current Processes

Map out the current processes to understand the steps, inputs, and outputs. Identify inefficiencies, redundancies, and bottlenecks.

Step-3: Analyze and Prioritize Improvements

Analyze the processes to identify areas that can be improved. Prioritize the improvements based on their potential impact, feasibility, and cost.

Step-4: Redesign The Processes

Redesign the processes to incorporate the improvements. Change the sequence of steps, automate tasks, or eliminate redundancies.

Step-5: Test The New Processes

Test the redesigned processes to ensure they are effective and efficient. Plot the new process with a small team or department.

Step-6: Implement and Monitor The New Processes

Implement the new processes across your organization and monitor their effectiveness. Collect feedback and track metrics to assess their impact on efficiency, productivity, quality, and customer satisfaction.

Step-7: Continuously Improve

Review and improve the processes to ensure they remain effective and efficient. Monitor metrics, collect feedback, and make necessary adjustments.

6) KPI reviewing

In our CFO role, a key performance indicator (KPI) or metric quantifies financial performance. Our clients (both companies and SMEs) can use these metrics to gauge their financial performance compared to their close competitors.

Who benefits from CFO services?

Businesses in the SME sector are normally benefitted. But, they try to shoulder the expense of hiring a full-time CFO. This is where outsourced CFO services come in. Your business receives the skill set of an experienced CFO with PNRC, without incurring the expense of a salaried executive with benefits.

What are the results achieved by using CFO services?

With the improved profit, cash flow and business efficiency a CFO achieves for your business, you can expect that the business will grow, become more competitive and be more financially advantageous for shareholders and/or owners. You can choose to continue outsourcing your CFO services or go it alone once you’re comfortable with the new procedures and streamlined processes.

If you’re interested in finding out more about the benefits and outcomes of using CFO Services of PNRC, kindly get in touch with us today.