What is a fractional CFO?
A fractional CFO is a part-time, outsourced chief financial officer who provides senior financial leadership to businesses that don’t need or can’t afford a full-time hire. The word “fractional” means you’re getting a fraction of their time rather than a full-time commitment.
Full-time CFOs at small to midsize companies typically earn $150,000 to $250,000 or more in salary and benefits. Most small businesses don’t need 40 hours a week of CFO-level work. They need a few hours a week or a few hours a month of strategic financial guidance. A fractional CFO fills that gap at a fraction of the cost.
The role goes beyond what a bookkeeper or accountant provides. A bookkeeper records transactions and reconciles accounts. An accountant prepares tax returns and ensures compliance. A fractional CFO looks forward. They build cash flow forecasts so you know if you can make payroll in three months. They create budgets and compare actual performance against them. They analyze your numbers and tell you what they mean for your business. This might include preparing for a loan application, evaluating whether you can afford to hire, or identifying where your margins are slipping.
This type of arrangement works well for small and midsize businesses that have grown past the point where the owner can handle finances alone but aren’t large enough to justify a full-time CFO. If you’re making decisions about hiring, expanding, taking on debt, or pricing your services based on gut feeling rather than financial analysis, you might benefit from this kind of support.
The fractional model means you get experienced financial leadership without the overhead of a full-time executive. You’re working with someone who has served as a CFO or senior financial leader across multiple organizations and brings that experience to your business. Fractional CFO and advisory services for small businesses have become increasingly common as owners recognize the value of financial guidance without the commitment of a full-time salary. A good fractional CFO becomes a financial partner who knows your business well enough to provide guidance when you need it, whether that’s a monthly review meeting or a quick call when an unexpected opportunity comes up.
Fractional CFO & Bookkeeping
The Next Step:
Let's Talk About Your Business
Tell us about your business and what's on your plate. We'll listen, ask a few questions, and give you a clear picture of how we can help.
More Questions
Do you only work with businesses on the Jersey Shore?
No. VJD Financial Solutions is a remote firm based in Ocean County, NJ that works virtually with small and midsize businesses across all of New Jersey. Location within the state doesn't limit the service.
Read answerWhat is special about bookkeeping for a physical therapy practice?
Physical therapy revenue flows primarily through insurance, creating an accounts receivable-heavy business. The books must track claims submitted, payments received, contractual adjustments, and patient copays to show the true financial picture.
Read answerHow should I set aside money for taxes?
Open a separate savings account for taxes and transfer a percentage of your profit each month. Work with your accountant to determine the right percentage, typically 25 to 35 percent in New Jersey. This builds a reserve so quarterly estimated payments and your year-end bill are covered.
Read answerDo you work with HVAC and electrical contractors?
Yes. VJD Financial Solutions works with HVAC and electrical contractors throughout New Jersey, handling the bookkeeping, payroll, and job costing these trades need to track profitability on every service call and project.
Read answerDo I need to collect New Jersey sales tax?
It depends on what you sell. Physical products are generally taxable at 6.625%, while most services are exempt. New Jersey keeps it simple with no local add-ons.
Read answerHow do I separate business and personal expenses?
Open a dedicated business bank account and credit card, then use them exclusively for business spending. Pay yourself through regular draws or payroll instead of pulling money whenever you need it.
Read answer