157. CFO – Full time or Fractional

It is all too easy to make assumptions, isn’t it?

And, as I found out to my cost, doing this can come back to bite you.

More specifically, when asked what Tectona does, my answer is usually something along the lines of:

Tectona provide part time finance directors/CFOs to owner managed businesses who don’t need, don’t want or can’t afford a full-time finance director”

My assumption? That everyone knows what a finance director does. Clearly, I was wrong.

So, I accepted the challenge set me by a prospect – to be clearer about what a finance director does.

And, while I was at it, to explain some of the other language that crops up in our world – like ‘CFO’, ‘fractional’, ‘interim’, ‘part time’.

While others might seek to dress this up as something very complicated, really it is not. And here’s why:

  • A ‘Finance Director’ (FD) is basically the same as a ‘Chief Financial Officer’ (CFO) – we will use the hybrid term “FD/CFO” meaning the same thing.
  • Part time’ means the same as ‘fractional’, or, indeed, ‘plural’ – we will keep up with the times and use the more buzzy “fractional”.
  • Interim’ is usually doing something on a project basis – typically for a finite and limited time.

We have distilled our thinking down into a series of brief articles which, again at the risk of making assumptions, seek to address the questions that you will have about how best to manage your finance function – and if you are not asking these questions, then could we perhaps suggest that you should be asking them?

  1. What is the role and what are the responsibilities of an FD/CFO?
  2. What are the main differences between a full time and a fractional FD/CFO?
  3. What are the 4 key benefits of having your own fractional FD/CFO?
  4. Signs to look out for which could mean that a fractional FD/CFO might be the right solution for you.


About Tectona

Tectona Partnership helps business owners sleep at night by embedding one of our 18 commercially minded FD/CFOs in your management team.

Very often, a part time (or fractional) FD/CFO is the most effective solution.

We make sure you have the necessary management information and strategic insight to make informed decisions and reduce risk; and we will absolutely tell you what you need to know, when you need to know it.

Posted in Business Development.