What to look for in a CFO
Hiring a Chief Financial Officer (CFO) is one of the most critical decisions you’ll make for your business. It's not just about filling a position—it's about finding the financial leader who will shape your company’s future. Get it wrong, and you could face costly mistakes, stagnant growth and sleepless nights. But get it right, and you’ve got a strategic partner who drives success, navigates risks and keeps the business on track.So, how do you make sure you’re hiring the right CFO? The answer isn’t as simple as looking for financial expertise. It’s about identifying qualified candidates who love numbers but also align with your vision, fit your company culture and can lead in times of uncertainty.Whether you're hiring a part-time CFO or looking for the best candidate for a full-time CFO role, understanding the job description is crucial. We’re about to break it down—from strategic planning to financial leadership—so you can oversee the hiring process with confidence and find the right candidate to lead your team.
What is the role of the CFO?
The CFO is the financial strategist of the company, ensuring every penny is working hard. Gone are the days when financial management was easy, handled by a single person juggling budgets and taxes. Today, a CFO needs to be a tech-savvy leader with deep corporate experience, ready to navigate complex financial hurdles.Their job? It’s all about managing the company’s financial health which includes:- Spend operations
- Managing the finance team
- Financial risk management
- Financial data management
- Overseeing investor relations
- Ensuring the accuracy of financial statements
- Ensuring adherence to the regulatory framework
- Overseeing and approving spending over a certain amount
- Process optimisation & implement cost-saving initiatives
A CFO uses data to analyse the company's financial position and provide insights to the CEO and other C-suite executives for strategic decision-making. For example, a CFO may choose to look at business travel processes, pinpoint where they can be more efficient, and find a travel solution that saves the business time and money.
What skills should you look for in a CFO?
When hiring a CFO, you’re not just looking for someone to crunch numbers—you’re looking for a strategic leader who can steer your company’s financial future.Even though CFOs are responsible for financial reporting, their role goes far beyond just accounting. They need to master a range of business strategies and bring a mix of technical expertise and soft skills to the table. Here’s a quick look at the key skills to look for when choosing your next CFO: - Strategic vision to drive growth and innovation
- Inclusive leadership skills that inspire high-performing teams
- Extensive financial knowledge for tackling complex market challenges
- Excellent communication and persuasive skills
- Rapid problem-solving skills for making financial decisions head-on
Let’s look at each of these in detail.
1. Strategic vision to drive growth and innovation
A CFO with a strategic vision isn't just focused on managing the present—they're actively shaping the company's future. This skill involves understanding how to position the company for long-term success by identifying growth opportunities, anticipating market shifts and aligning financial strategies with broader business objectives.For example, a forward-thinking CFO might recognise the need for more efficient travel management to support company growth. They could implement a solution like TravelPerk. With features like GreenPerk, which automates the offset of the carbon footprint from business travel, a CFO can improve the company's sustainability initiatives while managing costs. Plus, FlexiPerk allows for cancellations up to two hours before departure, ensuring the company retains a significant portion of travel costs, thereby improving financial flexibility.2. Inclusive leadership skills that inspire high-performing teams
An inclusive CFO understands that great teams are made up of people from different backgrounds, cultures and experiences. They build a space where everyone feels valued and respected, regardless of their background. A CFO with this skill understands the importance of embracing diversity, whether it’s working with remote teams across different cultures, supporting LGBTQ+ team members, or addressing the unique needs of individuals from various walks of life. This skill is about actively listening to all voices, ensuring that everyone has a say, and fostering open communication. It means being aware of and addressing biases making sure that every team member has equal opportunities to contribute and grow. An inclusive CFO doesn’t just bring people together—they empower their team to leverage their diverse perspectives to drive better decisions and innovation.
3. Extensive financial knowledge for tackling complex market challenges
When things get complicated—whether it’s a sudden economic downturn, currency swings, or new regulations—a CFO with this expertise knows exactly how to respond. They can spot risks before they snowball, identify hidden opportunities in the numbers, and make decisions that keep the company not just afloat, but thriving.For example, if faced with a currency fluctuation that threatens profit margins, this CFO would have already implemented hedging strategies to minimise exposure. Or, when new regulations emerge, they proactively adjust financial strategies, ensuring compliance while still driving growth. A CFO with deep financial insight can also turn challenges into opportunities. For example, during a market downturn, they might spot an opportunity to acquire undervalued assets, positioning the company for long-term growth once the market recovers.
4. Excellent communication and persuasive skills
A CFO should explain the numbers in a way that everyone, from board members to front-line employees, can understand and act upon.For example, when presenting a new financial strategy to the board, the CFO’s job is to lay out the facts clearly and compellingly. They must communicate the benefits, address any concerns and persuade the board that the proposed strategy is the right move.In investor relations, strong communication is key. The CFO confidently discusses quarterly results and future plans, ensuring that investors feel secure and trust in the company’s direction.Also, on a day-to-day basis, these skills keep the finance team aligned with the company’s broader objectives. The CFO translates complex data into simple information, helping each department see how their actions affect the company’s financial health. This clarity and connection motivate the team to work cohesively toward shared goals.
5. Rapid problem-solving skills for making financial decisions head-on
When financial challenges arise, a CFO with rapid problem-solving skills takes action immediately. They don’t hesitate—they assess the situation, identify the root cause, and make decisions that protect the company’s financial health.For example, if your business suddenly faces a cash flow crunch, your CFO will need to quickly coordinate with the Chief Operating Officer (COO)—second in command—to ensure that operations don’t halt. They’ll explore immediate solutions like adjusting payment terms, securing short-term financing, or reallocating resources while keeping the business running smoothly.On the contrary, larger enterprises have a different set of challenges to tackle. A mature company with excess cash (think companies like Apple, Alphabet and Microsoft) will need a CFO's insight on whether a buyback would make financial sense and how it will impact the company’s balance sheet—for example.A CFO faces a broad range of challenges from both internal and external factors. Quickly solving problems and making decisions is key to keeping your business’s financial position in order.
Is it time to add a CFO to your management team?
A CFO can be a strategic partner to help your business evaluate both the day-to-day and major financial challenges. A successful CFO typically has all the skills mentioned above, but some may be better at one skill than others. What’s crystal clear is they’ll need to wear many hats.Be sure to look at your new CFO's work experience to gain a deeper insight into how they were able to add value to the previous employer's business with business acumen and financial expertise.Lastly, don’t forget to factor ethics into the equation. Though often overlooked, ethical integrity is just as important as your CFO’s financial chops. Be sure to get solid references for your candidate before you proceed with interviewing them. Happy hiring!
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