WHY SMES SHOULD NOT HIRE CFOS AT GROUPS OR AFTER MASTER LEARNING
Main reason: Founders can’t distinguish between accounting and finance.
Expression: Ask the accountant for financial analysis or ask the CFO to make an accounting CV.
Reality: These two positions are functionally different.
Finance can understand accountants to communicate with them but they do not do the job of accountants.
Chief accountant Hai recruits sometimes have to review the accounting profession, they will do it but need to review.
Truth:
A corporation is an economic form that has a base system, a clear organizational chart, they (CFOs) represent a link of the system and if they are replaced, nothing too difficult will happen to them. This company and maybe there will be another link with a huge salary of 7,000 – 10,000 USD / month.
When your company is big, you have a lot of choices.
When your company is small, you need someone who understands 3 languages:
a) The language of the chief accountant who can set up the accounting process and organizational chart of the financial accounting department to dump business data for financial statements.
It’s funny when we talk about management without knowing what the language of accounting is talking about.
The bookkeeping system is not there yet, please don’t talk about the administration.
b) The language of operating and analyzing financial data.
If the accounting department plays the role of controlling and retrieving data for accounting purposes and building a bookkeeping system, then if the accountants do it right, then it makes sense to analyze financial data.
This makes it too difficult for you to understand all the pain of small and medium-sized companies in the survival stage that must be clever to survive.
Standards are not the language of small companies, but flexibility.
Not doing details would be inappropriate in businesses that need to speed up administration and business.
Input is not correct for financial analysis.
c) Language of operation.
If accounting is the language of control.
Finance is the language of analysis, operations are the language of the picture of the future.
Valuing the future company will be less effective when you are at the negotiating table with investors.
Investors are certainly not chickens to hear us gossip about something that we can’t imagine how it is being operated now and in the future.
Therefore, having a good general accountant or chief accountant is a valuable condition and asset of an enterprise when changing in the professional stage.