CFO Vs Controller - What Do They Really Do?

CFO Vs Controller - What Do They Really Do?

CFO and Controller- the two wheels of the same car!

The Chief financial officer (CFO) is personnel of high financial expertise which leads the way to optimum utilization of financial resources. He provides deep insights into the current status of the finances, the bright spots, and the areas to be worked upon. The CFO makes sure the right strategies are being implemented according to the current scenario, and not just mere record-keeping is taking place. The Controller on the other hand does have to deal with the accounts of the organisation keeping a record of each penny to be spent, earning and keeping the information on cash inflow and outflow, and maintaining that the resources of flow are completely transparent along with seeing that Generally Accepted Accounting Principles (GAAP) principles are being followed and taxes getting paid at the tight time. Though both personnel tends to deal with the organization's finances, they have very different outputs driving the organization.

What does a CFO do for you?

Among the various responsibilities of the Chief Financial Officer (CFO) below mentioned is the following important role a CFO plays.

Financial Strategy Regulation

The CFO is key in maintaining the organization's cost savings and time savings; they plan for changes in the current strategy if required using data analysis and come up with a suitable plan that sees the organization move in a forward direction. They perform the baseline monitoring, track the progress, predict where the wanted end-line of the project leads, and get there what efforts and resources are required to be used. They spearhead the yearly and monthly financial meets and convey to others what's to be done and take it upon themselves to be financial leaders with others following suit.

Financial Risk Assessment 

The market is highly volatile, and the CFOs role is to foresee and predict if any risks are present for the organization that could potentially harm the finances the organization. They need to see if the financial investments of the organization are yielding the targeted results. CFOs are proactive and devise plans on the trot to mitigate the losses and adapt according to the market scenario hence CFO services are the one way of providing a shield to the company even if it is Virtual CFO services.

Interpreting Financial Data for the management

 The CFO brings to the table his expertise in analyzing data, he readily identifies the data of importance regarding the investments, the cash flow, the profit, and the losses. He makes the management team one with the data they might miss out on. CFO services make data an asset with the right structuring to gain a result.

Ensuring Sustainable Cash Flow and Profits

 Sustaining the cash flow to the inventory of the organisation is a key role of the CFO, keeping a tab on the funds received in accounts and the fund outflow from the inventory is pivotal to the CFO's service along with ensuring that the right investments are made at the right time.

Pitching to Potential Investors

This is where the CFO service can make a difference. No one in the organisation is bound to know the nitty-gritty of its finances. The CFO helps in providing an all-rounded package chipping in the minute financial details that might attract potential investors.

What does a Controller do for you?

 The Controller manages the following responsibilities amongst others:

Presiding over the record-keeping staff

The controller ensures that the staff should be taking and feeding into the systems updated financial data from all across the organization, ensuring no records are entered multiple times.

Manging the Invoices

Seeing the approval invoices the Controllers make sure that they are authentic enough to be approved.

Preparing the Audit report

The controller sees that the organization's internal and external financial statements are duly verified and put into records under the right sections without missing any minute transactions, adhering to the laws and guidelines.

Budgeting and Taxation

The controller makes sure that the proper strategies are in place so that the taxes paid are minimal and legally acceptable and provides plans to maximize the financial outputs at limited budgets. 

Need of Controller

When you witness growth, you also witness increased transactions that need the controller to take care of while following the GAAP guidelines.

Need of CFO

When your business is on the expansion, a CFO comes in handy with their optimized financial plans and risk assessments, and with lots of data arising from the expansion, you can count on the CFO Service to provide you with the right inputs.

And when you know you require CFO services, Especia has provided the best in class CA services for over a decade and has your back. 

So give your business the best chance to grow with the best  CFO Services firm in India with Especia. Hire a Virtual CFO. For any calls and queries, you can contact us at accounts@especia.co.in or at +91-9310165114.

Contact Us for CFO Services, Part-Time CFO & Virtual CFO Services in Delhi, Noida, Gurgaon, and all across India: write to us at accounts@especia.co.in. Or Call On :(+91)-9711021268 +91-9310165114

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