What stage to engage a fractional CFO
| Stage | Typical CFO need | Engagement model |
|---|---|---|
| Pre-seed (under £500K raised) | Bookkeeping + ad-hoc CFO advice | Accountant + occasional CFO consult |
| Seed (£500K-£3M raised) | Board reporting, runway, R&D claim, EMI | Fractional CFO 0.5-1 day/week |
| Series A (£3-15M raised) | Strategic finance, fundraise prep, hiring plan | Fractional CFO 1-2 days/week |
| Series B (£15M+ raised) | Full-time CFO + finance team | Permanent CFO hire (we help recruit) |
What a startup-specialist CFO actually does
- Fundraise preparation — investor-grade financial model, deck numbers that hold up under diligence, data room build-out, term-sheet review
- Runway and burn management — 13-week cash forecast, scenario modelling for hiring decisions, fundraise timing
- Board reporting — monthly board pack with KPIs, narrative commentary, finance dashboard for investors
- R&D tax credits — UK startups doing genuine technical advancement often qualify; a specialist saves typically £30-150K/year for software startups
- EMI option scheme — design, valuation, HMRC notification, ongoing administration
- Strategic hiring plan — what each new hire costs fully-loaded, when they break even, what runway they consume
- SaaS metrics — ARR, MRR, NRR, GRR, gross margin, CAC payback, magic number, calculated and reported correctly
Why startup CFO is a specialty
Generic fractional CFOs come from the corporate world and treat startups like small companies. They're not. Startups have different metrics that matter (ARR, NRR), different dynamics (burn rate, runway, milestone-based fundraises), different reporting expectations (investors and boards rather than HMRC and Companies House primarily), and different finance functions to build (modeling, runway, hiring plans rather than statutory close).
A startup-specialist fractional CFO has run the cycle multiple times. They know what good looks like at each stage, what investors actually check, and which finance tools to use (Pry, Causal, Mosaic, Brex, Pleo, NetSuite when scaling).
Typical engagement fees
| Stage | Time per week | Typical fee |
|---|---|---|
| Seed (£500K-£3M raised) | 0.5-1 day/week | £2,000-£3,500/month |
| Series A (£3-15M raised) | 1-2 days/week | £3,500-£6,000/month |
| Series A+ (£15-30M) | 2 days/week + project | £5,000-£8,000/month |
| Project: fundraise prep | Defined scope | £15-50K total |
Frequently asked questions
Do I need a CFO if I have a finance manager and an accountant?+
For most pre-Series A startups, no. A finance manager handles operations, an accountant handles compliance. The CFO layer is strategic finance — modeling, fundraising, board reporting, hiring plans. You typically need it 6-12 months before your next fundraise.
Can a fractional CFO help with our R&D tax claim?+
Yes — most startup-specialist fractional CFOs either run R&D claims themselves or coordinate with a specialist R&D firm. The claim is technical (qualifying activities, eligible costs, narrative) but a CFO ensures it's claimed on time and in the optimal year.
How quickly can a fractional CFO start?+
Usually within 2-3 weeks. We can match within 48 hours; discovery and onboarding takes 1-2 weeks once you've chosen the CFO.
Do you place permanent CFOs too?+
Yes — when a startup is ready for a full-time CFO (typically Series B), we help spec the role, source candidates, and run the search. Often the fractional CFO continues alongside during the onboarding.
Tell us about your situation. We'll match you with the right specialist.
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