Welcome to The Ledger where we sum up the latest finance and accounting news and trends for you. On this week’s entry, we’re diving into the topic of the role of the corporate finance function in companies today. Read on to see how to tell if a client is right for your firm, what skills CFOs need to be successful, how to be fiscally responsible within your organization, and why a lack of technology can hinder CFOs.
Bad Clients VS Good Clients: How To Tell The Difference - Corporate Finance
You’ve probably experienced your fair share of both good and bad clients. A bad client can lead your company down a spiraling path that makes you question why you began that relationship; a good client adds value to the company. But how can you distinguish between the two and save yourself the headache of making the wrong choice? Here are five ways to find clients who add value to your organization.
Is the client’s character and morals favorable? Do they align with the company?
Can you offer the client something of value?
Evaluate the risks – don’t take on a client that comes with uncertainty.
Evaluate the client’s financial behaviors.
There’s nothing wrong with saying no to a potential client. In fact, saying no might be the difference between a toxic relationship that lasts years versus saving yourself the time, money, and baggage that come with those bad clients. Read the full article to learn how to discern between a bad client and a good client.
The One Skill You Need As A CFO
It’s not the first skill you think of when CFO comes to mind. In fact, it probably doesn’t even make the top 10 list. But as an executive leader, it’s an indispensable responsibility that can make or break a career. Take a look at a few tips that can ensure you’re delivering an out-of-this-world presentation every time.
Tailor your presentation to your audience.
Keep your message top of mind.
Draw on your own experiences – people relate more to stories than they do to just a slide with numbers.
Practice makes perfect. Don’t try to wing it the day of the presentation. Take the time to rehearse what you want to say and how you want to say it.
To learn more about how to craft a compelling and insightful presentation, head over to CFO.com to read the full article.
How To Create a Fiscally Disciplined Work Environment - The Role of Corporate Finance
It’s hard to imagine frivolously spending your personal money without a budget in place. I mean, you have bills to pay, a 401K to invest in, and a vacation to save for – why would you shell out money without thinking of the repercussions? As a CFO, accounting executive leader, or the like, that mindset can have a crippling effect on your company. Explore how Thomas Fox, President and CFO of Malwarebytes, preaches fiscal discipline in his organization.
Make finance the crux of the company.
Make IT an integral part of the finance process.
Develop clear plans and business goals.
Adopt a process for performance management.
Making finance a key part of the organization allows business leaders to focus on growth, efficiency, and innovation. To explore more, read the full article on CFODive.com.
Being Too Digitally Conversative May Be Hindering Your Company’s Growth
A recent report done by Gartner showed that nearly three quarters of CFO surveyed are too cautious when it comes to implementing digital technology. In fact, most CFOs tend to be more financially conservative, and risk is typically not in their vocabulary. But being too conservative can be a hindrance to a company’s growth. Cliff Struhar, VP of Advisory at Gartner, outlined a few things CFOs can do to quell their digital conservatism.
Reset expectations of what’s possible.
Assuage the judgement.
Take end user readiness into account when selecting your technology.
Digital transformation stems from moving out of your comfort zone and into a new realm of possibilities. To learn more about how CFOs can move past digital conservatism and the role of corporate finance, head over to CFODive.com.
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