For many smaller businesses, a full-time chief financial officer (CFO) is a luxury they cannot afford. With even a small business expected to pay between £80,000 and £150,000 for such a position, some are instead opting for a portfolio CFO arrangement, perhaps at a few thousand pounds a month, to ensure they get the right advice and direction to manage and grow their companies.
Such professionals most often work freelance or in a part-time position for a number of businesses at the same time.
David Gormer, a portfolio financial director who also runs Square Mile Accounting, explains: "Companies are becoming more savvy and considering fractional C-level hires. Not only do they avoid the high salaries of a full-time hire, but they also avoid dilutive effects of giving away precious share options, at least in the short term."