Eye chart (1 of many)
Walk through and expand.
Right hand: CFO has 360 view
CEO’s job include raising $, but naturally CFO plays a huge role in this. Best CFOs can drive this
Core: Build, sell. Rest is support. Finance supports through info and insight
Must know model cold
Many stakeholders. Save time for CEOs. Leverage
Walk through each
You actually want all 3
If you have to pick: get a dealmaker to start. Add actg expertise through other means and/ or later
Many ways to get advisor role
Another eye chart
Most real CFOs don’t know what to do with early stage
Never appoint a co-founder as CFO
Growth (~$10M rev)
Going from survival to adding value. Laying the foundations
Broad skill set and network needed
Large: $100M run rate. Market/ segment leader
More time out of the building
Very different breed. Most early/ growth people don’t stay as CFO here
Note: not recruiters. Best CFOs are plugged into the ecosystem.
You don’t learn this in accounting school
Must know SaaS math
Must understand correlations, drivers and be able to talk shop with product and marketing folks
Test extensively for this before hiring.
Can’t forecast or control without deep understanding here
Org design is something you spend more time on as you grow
Here’s mine
Blue = meat & potatoes
CD is new
Just hired RH in strategy
Data is a new area. Applied analytics (inside/ outside)
Future areas
Startups raise < 1 yr of runway. Have to raise again before they have traction/ proof
If you don’t spend you don’t grow
You actually want to spend aggressively
Theoretical spend limit margin of where CPA = LTV in a channel
Many estimates. Need to be deeply familiar with this or you risk blowing your brains out
Many high burn models (hubspot, Wix, Box). At some point you’re betting the lines will cross
Personally, I’d start with VP F. Even if you think this person can grow. I started as Director, Finance. No CFO above me
SaaS for SMB = public profile
Great CFOs
Help run the business. Only partially about finance
Active adding of value, not just measuring of it