When Do You Need a Part-Time CFO? A Guide for Growing Businesses

When Do You Need a Part-Time CFO? A Guide for Growing Businesses

📄 YouTube Description:
Is your business growing faster than you can manage? 🤯 Wondering when it’s time to bring in a CFO — but not sure if a full-time hire makes sense?

In this video, Stephen Morris from AdviseRE breaks down exactly when and why you might need a part-time CFO to support your business as it scales. Whether you’re dealing with complex revenue streams, multi-state payroll, cash flow management, partner distributions, or just trying to keep up with compliance — a part-time CFO can be a cost-effective game-changer. 💼📊

🔍 What You’ll Learn:

✅ What a CFO really does (beyond bookkeeping)
✅ How to tell if your revenue complexity justifies CFO help
✅ Managing employees across states & staying compliant
✅ Why partner distributions & shareholder deals require CFO oversight
✅ The difference between a bookkeeper and a strategic financial partner
✅ How CFOs drive growth, clarity & better business decisions
✅ Real-world examples of when to hire one — and when to wait

📌 Whether you’re pre-revenue or generating millions, this video is a must-watch for founders, entrepreneurs, and real estate business owners navigating the next phase of growth.

📬 Need help assessing if a CFO is right for you?
Contact us:contact@adviseretax.com
🌐 Visit us: www.adviseretax.com
📲 Follow: @AdviseRE

TRANSCRIPT:

Hello, hello, hello, welcome back. Stephen Morris here with AdviseRE. Today we’re going to be talking about CFOs—Chief Financial Officers—and how you as a small to mid-sized business owner may be considering hiring one. More importantly, we’ll cover why you might want to consider hiring a part-time CFO, and when it’s the right time in your business lifecycle to do so.

So what is a CFO? A Chief Financial Officer is typically your number two person—someone who handles all finance, accounting, and compliance matters. They’re responsible for the financial operations of your business. As your company grows, it becomes increasingly important to have someone focused full-time on these areas so that you, as the CEO, can stay focused on revenue growth, strategy, and being the face of the business.

Most business owners simply don’t have the time to stay updated on all the legal, tax, and regulatory rules, especially in complex states like California. That’s where a CFO comes in—they allow you to outsource the complexity to a trusted expert who can monitor and manage these tasks full-time.

Hiring a full-time CFO can cost $200,000 to $300,000+ per year, which is often not financially feasible for many growing businesses. That’s where a part-time CFO becomes a more cost-effective solution. They bring the same expertise—often serving multiple businesses—but at a fraction of the cost.

So when do you actually need one?

The first sign is complexity in your revenue streams. If you’re expanding into different areas—like selling products, offering services, or monetizing content—you’ll need help analyzing the profitability, time investment, and risk of each stream. A part-time CFO can track these numbers and provide financial clarity so you can decide where to double down and where to pull back.

The next sign is growing headcount. As your team expands across different states, compliance gets complicated: payroll filings, employee classifications, workers’ comp policies, and state tax rules. A part-time CFO can manage your relationship with payroll vendors, keep filings compliant, and help you avoid costly errors—saving you time, money, and stress.

You’ll also want a CFO when you have multiple owners or investors. If your distribution waterfall is complex—say, some investors get their money back first, others get a preferred return—a CFO can model those cash flows and ensure everyone gets what they were promised based on the deal terms.

Another major area is tax strategy—income tax, sales tax, property tax, payroll tax. A strong CFO doesn’t file every return themselves, but they coordinate with CPAs, tax firms, and state agencies to make sure everything gets handled. They’ll surface tax-saving ideas and work with your CPA (like us!) to optimize your tax position.

Now, you might be wondering: “Don’t I already have a bookkeeper—why do I need a CFO?”

Bookkeepers are important, but they typically handle day-to-day tasks like bills, payroll, and monthly reports. They usually don’t offer strategic planning, financial modeling, or long-term forecasting. A part-time CFO can do all that—and more—because they have experience working across industries and can bring big-picture thinking to your business.

Ultimately, a part-time CFO gives you clarity, structure, and peace of mind. They help you make informed decisions, ensure compliance, and keep your business on track financially—especially when the landscape shifts and you need to pivot fast.

So what’s the perfect time to hire one?

It depends. If you’re raising capital, managing pre-revenue complexity, or have investors across multiple states, you likely need a CFO now. If you’re overwhelmed with growth, have no time for admin, or are scaling your operations, a part-time CFO can be invaluable. Even if you just need advisory-level support, bringing in someone part-time can help you build a framework for expansion—and their role can grow as your company grows.

In short, a part-time CFO is a powerful asset that can transform how you manage your business. If you’re curious whether it’s time to bring one on, or if you have questions about what a CFO can do for your company, feel free to contact us. We’d be happy to help.

Thanks for watching!