Many businesses need the input of an FD but are not large enough or profitable enough to justify the costs associated with a full-time appointment. Such a role typically includes responsibility for the preparation or review of monthly management accounts, cash management and forecasting. Sometimes the role requires a management role in respect of the finance team and attendance at management / board meetings. Almost always reporting to and managing the relationship with the company’s bankers.
Typically, I provide this service to my clients on a 3 or 4 days per month basis, although in the early stages of an appointment this maybe 2 or 3 days per week.
The initial phase is to understand the client’s requirements and the current financial reporting and management information structures. Once these are established, an assessment of the resources available – staff and systems can take place and a plan and timescale to deliver the requirement agreed.
The key to making such a role work is communication. The directors / owners need to communicate what is required and be onside with the plan. The accounts department need to be informed about what is required of them by when and the information produced needs to be circulated and spread to the management team, ownership and key stakeholders.
Inevitably there are days when I am not at the client where I am performing this role but am at other clients. I have established a protocol with my clients which works exceptionally well. I aim to respond to all calls and emails from other clients within 24 hours counterbalanced by my being permitted time in the middle of the day to catch up with emails and calls not related to the client I am working for that day.
The nature of this work is by the definition of the word interim, temporary. While I am happy to work with my clients for as long as they require, I remain continually mindful of the need to provide value for money and, as and when appropriate, to assist with the search for a permanent appointment to fill the role. I have worked on numerous occasions with recruitment consultants to assist in this process. I have often remained available to effect a smooth transition and support after the formal term of my engagement is finished.
