Seed-stage companies and small businesses may not have the resources to hire a full-time CFO; however, they do not have to go without strategic financial advice. Salient, an early-stage software company, wanted a virtual CFO to help build a financial model and forecast so it could better understand its cash runway.
They needed to identify the impact of hiring additional team members, obtaining grant funding, venture debt, and landing customer deals. Not only was Salient seeking a vCFO with a modeling tool sophisticated enough to run side-by-side scenarios, but they needed a customized approach – that’s where Execor stepped in.
They needed to identify the impact of hiring additional team members, obtaining grant funding, venture debt, and landing customer deals.
Challenge
Salient had outsourced their accounting but was given a one-size-fits-all approach to budgeting and forecasting. This left them with an Excel file that was a maze of formulas and links, making it difficult to update assumptions or utilize the file.
As a seed-stage company, they also had a hard time getting the attention of their CFO. Salient knew that the value in a vCFO is understanding their business and consulting with them through regular ongoing communication.
Although a vCFO can be part-time, they still need to be available when you need them, listen to your challenges, understand your industry, and have the ability to offer concrete advice and guidance. As an early-stage company, Salient was seeking a reliable partner that could meet their unique needs and build out their financial future.
Results
- Our solutions helped the executive team understand the financial impacts of their operational and sales decisions.
- Salient gained a holistic view of their cash flows and timing of their Series A raise.
- Our capable outsourced accounting and finance team provided confidence and stability to the executive team of a growing company.
I look forward to seeing how these developments will improve service levels and customer satisfaction in the freight industry!