The benefits of an outsourced Finance Director (FD)

A Finance Director (FD) brings essential skills and knowledge to a business, from financial planning and analysis to cash flow management and regulatory compliance. However, employing a full-time FD with the right skills and knowledge may not be feasible, especially if you are a smaller organisation with a tight budget.

An Outsourced Finance Director is an experienced finance professional who provides strategic financial guidance to businesses on a part-time or project basis.

They bring the benefits of a fresh perspective and broad industry experience without the overhead costs or inflexibility of a permanent hire.

Here are four of the most significant benefits of an outsourced FD.

They are experienced

Outsourced FDs typically work with multiple clients across many different sectors, which allows them to develop a wide range of knowledge. This makes their advice both versatile and reliable, from pricing strategy to cash flow forecasting. Due to the significant exposure they get to various issues and challenges, there is little that they have not seen or dealt with before.

They are cost-effective

Usually, hiring an in-house Finance Director is a considerable investment for a business, including remuneration and potential recruitment fees. Outsourcing may be a much more cost-effective way to gain an expert’s view and advice on your business's finances.

They are adaptable

Your business may not have enough of a requirement for a full-time FD – you may only need pockets of advice and financial guidance on an ad hoc basis or at set accounting intervals. An outsourced finance director allows you this helpful flexibility.

They provide objectivity

An outsourced finance director works with many clients, helping them make better financial decisions and ensuring everything runs smoothly. Because they are not a part of the business, an outsourced FD has less emotional attachment, which means less risk of bias or potential conflicts of interest.

If something is wrong, you can be confident they will push to correct it. Having an outsider’s more detached perspective may be just what your business needs.

Could your business benefit from an outsourced FD?

At Shorts, our outsourced FD service delivers decades of experience directly to your leadership team, driving your strategic vision forward and ultimately growing your bottom line. In addition to the Finance Director function, our services include an enhanced outsourced CFO role and a less involved non-exec director presence.