Why Hire an Outsourced Controller over an In-House Controller?
You May not Have Enough Work to Keep a Controller Busy Full-Time
One of the main reasons organizations prefer an outsourced controller is that they may not have enough needs to justify a full-time employee. Many organizations hiring an outsourced controller have not had a controller on staff before and use an outsourced solution as a stepping stone while they grow big enough to justify an in-house hire.
To Augment an Existing Financial Team
Your organization may already be in place, but perhaps the books got a little out-of-control during growth or transition. An outsourced controller may come in on a project-basis to help clean up your books so your team can better manage them moving forward. This service may be used in conjunction with an outsourced CFO who may help put financial systems in place and train employees in more efficient accounting practices.
To Prepare for a Transaction
An outsourced controller is often pulled into an organization to help prepare for a transaction such as raising capital, a merger or acquisition, or sale. In this case, an organization may not want a full-time hire when the projection of the business is dependent on the outcome of the transaction. The organization may also want to avoid adding another salaried employee to the roster prior to transaction. Or the organization may have their financial bases covered in everyday practices and simply need a control to help with the transaction itself.
To Support an Outsourced CFO
While some financial challenges can be resolved by simply cleaning up books or providing accurate reporting, many also need the expertise of a strategic CFO. An outsourced CFO and controller are a powerhouse duo. The CFO looks into the future and strategizes the most effective and beneficial trail ahead, while the controller provides the historical data and reporting so the CFO has the most up-to-date and accurate information with which to strategize.
It’s a Shorter Hiring Process and Comes with More Assurance than an In-House Hire
A professional outsourced controller organization has already vetted each controller on staff. Since information is such an important part of any organization’s daily processes, the outsourced controller organization is selective about the controllers they keep on staff. When you hire an outsourced controller, you don’t have to post to job boards, filter through resumes, or hold multiple interviews. Instead, the outsourced controller organization will get a feel for your needs and offer a solution they feel best fits your organization.
It’s Typically Less Expensive than Hiring an In-House Controller
A W-2 employee means full-time salary, benefits, bonuses, and raises. When you hire an outsourced controller, however, you’re only paying for the work you need completed. You’re also maximizing the expertise you’re getting per dollar.