Tech Firm Benefits From CFO Insights Without Full-Time Hire

Asset ManagementArticles
Tech Firm Benefits From CFO Insights Without Full-Time Hire

The Challenge: Operating Without a CFO

In the dynamic world of regional technology companies, one founder-led business with approximately USD 10M in annual revenue faced significant financial challenges. Despite being profitable, the company operated without a dedicated CFO, leading to several issues.

Decisions were often based on intuition rather than data due to the absence of clear financial forecasting. The company experienced cash flow crunches caused by delayed receivables and weak vendor payment terms. Additionally, there was a lack of visibility into which product lines were truly profitable. The CEO and finance manager spent excessive time reconciling accounts each month, and there was no clear plan on how to value the company or raise funds.

The Solution: CFO Assist in Action

To address these challenges, the company turned to our CFO Assist Services. The solution involved introducing weekly cash flow tracking with scenario-based forecasting, setting up margin analysis by product category to identify profitable versus loss-making lines, and implementing reporting templates and dashboards for monthly management review. The team also negotiated revised vendor payment terms to ease cash flow pressure, designed scalable processes to support potential future expansion, and created a simplified investor deck for fundraising.

Measurable Outcomes Achieved

The results were impressive. The monthly financial close was reduced from 18 days to 7. The company's working capital improved by USD 1.2m within six months. By identifying and exiting two low-margin product lines, overall profitability increased by 8%. And, management gained visibility into forward-looking numbers instead of relying on backward-looking reports.

Why Choose Amicorp CFO Assist Services?

Amicorp bring clarity, discipline, and structure so leaders can focus on growth, knowing their financials are under control. To find out more about our services or to discuss how we can help your business, contact our CFO Assist team here.

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