Key considerations when hiring a CFO
There are a few important themes to consider when embarking on a new CFO executive search project.
CFO candidates tend to have different focuses. Some have come from traditional accountancy backgrounds, perhaps having worked for accounting firms in their early career before moving into industry roles and progressing to CFO level.
These candidates tend to be strong from a technical accounting perspective, and are often experts in risk management, compliance and financial reporting. They will be used to cost management and driving efficiencies.
Another type of CFO is highly commercial and adept at FP&A. They often don’t come from traditional accounting backgrounds but may have worked in other functions (e.g. strategy, business development) before pivoting into finance.
This type of CFO has a deep understanding of the commercial challenges facing their business and is an expert in partnering with different functions like sales, marketing, engineering and product management to help improve decision making.
This type of CFO is usually highly data driven and analytical with a strong understanding of the dynamics of their business beyond just the finance function.
Often when we lead CFO executive search projects for our clients we are looking for the FP&A oriented, highly commercial CFO. Often they need complementing with a financial controller or director who is more of a traditional accountant.
Strong operational experience is usually an important aspect of CFO roles in entrepreneurial companies. These companies need help not just with finding the right strategy but also need leaders who are highly operational and can make things happen from an execution standpoint.
Peter Franks is the founder of Neon River and an expert in advising technology companies how to find and attract leaders. With twenty years’ experience in executive search he has deep experience of helping technology companies to craft world-class headhunting processes.