As every football manager knows, a successful team needs players with a variety of skill sets, some more specialist, like goalkeeper, and others more flexible such as wingbacks and the false 9.
Which positions do you need to strengthen in YOUR Finance Team?
From getting the basics right with VAT and payroll, to decision support and having a dedicated finance wingman, each member of the finance team contributes a unique skillset to support the growth of your company while working with your team to manage the financial health and stability of your business.
At the Smart Team, our offering is designed around you, so if right now you need more time from an FD and a little bit of a Finance Manager, that’s OK. Or maybe you need more of a Finance Manager with only a light touch from your FD; that’s OK too! Buying talent on the transfer market can be expensive when a flexible ‘loan’ arrangement can be a better option.
I thought it would be helpful to describe the different roles in a large finance team so you can make the right team selection for your business.
Let’s start with the Virtual Finance Director
Having a Smart Finance Director at your side will give you access to the following skill stack and experience. Your dedicated finance wingman will cover most of these, but depending on the complexity of your business will call on our tax and treasury specialists if needed.
You can explore our Outsourced Finance Leader solutions here
As a small business it’s unlikely that you will need all of this from your Smart FD. Just select and pay for the bits you need!
Chief Financial Officer (vCFO) or Finance Director (vFD)
In large businesses you will find the CFO or FD at the helm of the finance team. They will oversee the financial operations and financial strategy of your business. They will ensure regulatory compliance, take ownership of financial planning and risk management, and support you with investor relations. They will act as your finance wingman, offering trusted advice and guidance on potentially pivotal decisions and strategic initiatives.
The skills and experience they bring to the table will complement the rest of your leadership team, so for this role I recommend you want someone with strong finance leadership experience gained in a commercial environment. They will become your trusted advisor and a will be a great sounding board so you want someone who can bring the wisdom of lived experience as well the financial know how, which should come as a given.
Virtual Financial Controller (vFC)
This role does what it says on the tin. The financial controller is responsible for making sure that you have sound financial control processes in place which will allow you delegate more to your team. The controller will also play a key role making sure your financial controls are followed. In a large business, they will lead the day-to-day accounting operations of the organization, including overseeing the preparation of financial statements and management accounts, maintaining accurate financial records, and ensuring compliance with accounting standards and regulations. They may also take responsibility for risk management.
Together with the Finance Business Partner described below, they are often the “number 2” to the CFO/FD.
Virtual Financial Business Partner (vFBP)
A Finance Business Partner will focus on planning and budgeting and decision support. Their role can be seen as the conduit between the engine room and the captain of the ship. Our Financial Leaders have buckets of commercial experience and speak your language so they can help you filter out what’s important. They make sure that you are measuring the right things to keep your business on track to meet your long-term and shorter-term goals. Getting underneath the bonnet, understanding the drivers behind your numbers and asking (and answering!) the “why” question is a prized skill in this role. Scenario planning and cashflows will be high on the list of responsibilities.
Virtual Treasury Manager
The treasury manager is responsible for managing the company’s liquidity & cashflow and overseeing banking relationships.
This role is also responsible for overseeing banking relationships, managing short-term investments, and developing strategies to optimize the company’s capital structure. Treasury managers also play a role in managing foreign exchange risk and interest rate exposure.
Virtual Tax Manager
Tax managers are responsible for ensuring compliance with tax laws and regulations. They oversee tax planning strategies to minimize the company’s tax liabilities while maximizing tax benefits. Tax managers also play a role in preparing and filing tax returns, responding to tax audits, and providing guidance on tax implications for business decisions.
Which brings us to your Smart Virtual Finance Team
This is where getting the basics right is important. Your FD won’t be adding much value if the work they are doing is based on inaccurate financial data. Remember “Rubbish In – Rubbish Out”?
Virtual Finance Manager
In our Virtual Finance Team, the Finance Manager role stretches across
- Bookkeeping
- Grant Admin
- Reconciliations
- Payroll
- CIS
- VAT
- Accruals & Prepayments
- Directors Loan Accounts
- Preparation of management accounts
Virtual Credit Management & Credit Control
I am pulling this role out to ensure that you understand that this isn’t just about chasing outstanding invoices. There is so much more to this including ensuring your terms & conditions and sales admin processes are appropriate for your business, that you invoice on time, building relationships with your customers and the people in their organisation who pay the bills.
This is a critical role for improving your short term cashflow.
So what would your Smart Finance Team look like?
I hope this helps to explain more about how we help our clients. Some of our clients only need help from our virtual finance team, a lighter touch from their Finance Leader. Others want the full package.
Take a moment to imagine your finance system and compliance is up to date, you are getting management accounts that you actually understand, and you feel confident that you are making better decisions with clarity on your financials – you’re playing in the Champions League!
That’s exactly what you get with our Virtual Finance Team and a Smart FD at your side.
Ready to optimize your finance team? Book a discovery call in Tracy’s calendar to discuss your needs.
