A Portfolio Finance Director (“FD”) is an FD who has more than one client, so someone who may work full time but for multiple companies at the same time.

There are many advantages to hiring a portfolio FD. SME companies who could not otherwise afford the services of a full-time FD, can employ an FD for a few days per week or per month, gaining their knowledge and wealth of experience but at a lower cost.

The FD gets to spend time in varied businesses therefore expanding his or her skills and industry experience. This niche is growing rapidly and has become a valuable aspect to business owners across all sectors.

There is growing demand for this type of role both within companies looking to get the best skills possible at a reasonable price, and within the finance community with individuals looking for a challenging and varied role which is a little different from the typical full-time/permanent FD’s job description.

The benefits of a Portfolio Finance Director

An affordable, quality driven solution: Hiring a full-time, experienced in-house FD is expensive and you may not have a full-time need. Outsourcing provides you with access to a quality individual at a cost that is aligned to your business needs. Furthermore, you can choose the right individual to maximise performance, productivity and compliance at the correct level for your business.

Ability to scale: By engaging a part-time FD, you simply pay for support as and when it is required. This allows you to invest more of your funds in activities which will directly benefit your bottom line.

Enhanced decision making: A part-time FD can help evaluate your business from an ‘independent’ perspective. They offer objective, effective advice with your best interests in mind. This guidance will help you steer and develop the business as you had intended.

Improve cash flow and get funding: An outsourced FD gives your business access to expertise which will help you improve cash collection and effectively manage payments. Additionally, a part-time FD will be able to help you source the necessary support and funding to help your business grow.

Reduce overheads: An experienced FD will be able to identify cost saving opportunities and implement them on your behalf. When a part-time FD is being used as required, they can ‘pay for themselves’ even before all other value-adding opportunities.

Efficient use of time: Take note of how much time you’re spending on managing your finances for your business. That time could be spent on improving your operations, better serving your customers and ultimately growing your business. Removing this type of distraction on a daily or weekly basis will ensure your time is being used productively.

Improve Relationships: A part-time FD will dedicate time to your governance requirements and can improve your relationships and information flow with external funders such as Banks and Venture Capitalists. 

About EFM

EFM is a nationwide team of Portfolio Finance Professionals and Business Advisors. We help companies manage all aspects of their day to day financial management, so business value is maximised and growth achieved.

Our clients are typically SME businesses or subsidiaries of overseas companies with a strong desire to achieve their goals – we are dedicated to helping them achieve that though part-time, flexible services tailored to our clients’ needs.

If you’re interested in finding out how our portfolio, nationwide team of finance professionals can help to support your business, get in touch today! Contact our central team via email or call 01582 256122.

 

If you have a burning question and would like a quick financial advice please contact us today!