It’s no surprise that chief financial officers (CFOs) play a crucial role in handling the major duties and responsibilities in the workplace. Through their significant contributions in the organisations, corporations can make strategic decisions that help further the company growth and development.
CFOs are some of the most important individuals in the industry. An effective CFO will successfully lay out the company’s plans to help the corporation thrive in the filed for years to come. In a cutthroat world, the chief financial officer might just be more vital in gaining the confidence of the public whilst assuring investors that their stock is worth holding on to.
What is a CFO?
A chief financial officer (CFO) is responsible for fulfilling various tasks in the workplace. Aside from doing regular financial reports, they are also tasked to handle budgeting, public disclosure, personnel management and overseeing the financial goals of the organisation.
Usually, those holding this position in accounting firms in Dubai require a bachelor’s degree in accounting, finance and other similar fields. At times, most position holders even have a Master of Business Administration degree under their belt.
The Main Duties of a CFO
Whilst these professionals shoulder a slew of obligations, their everyday assignments can be summed up in four points:
- Controllership Duties
One of the main obligations of a CFO is analysing, presenting and reporting timely financial information about the company they work for. However, since this assignment has become time-consuming, particularly in corresponding with the Securities and Exchange Commission about the current financial standing of their corporation.
It is imperative that these specialists attest to the accuracy of their reports, especially when the decisions of the stakeholders, analysts and other members of the company rely on the information gathered.
- Management Operations
Aside from fulfilling their controllership duties, these experts are also accountable for managing the investments of the company. This means employing cost-efficient and timesaving strategies to help maximise the profits generated by the organisation. Often, their actions include handling hiring additional employees and making conference calls to shareholders and other important individuals.
- Economic Strategy and Forecasting Goals
With their extensive knowledge and background in analysing trends in the industry, it comes as no surprise that one of the main duties is to forecast trends and goals for the company. They offer multiple outcomes for varying situations, thereby equipping a company to have the right tools toward their intended success.
By conducting a thorough assessment of the business past and present conditions, they can analyse and report on aspects the company can improve on. Likewise, they can determine what processes and avenues provide the most income for the company, allowing the organisation to pattern other strategies after this model.
- Treasury Duties
As CFOs of reputable businesses, these professionals control the company’s investment operations. This means that these experts are in the positions to strategize and decide how to invest the corporation’s money and what type of industry they should enter in.
More than this, these corporate entities are tasked to oversee the financial and capital arrangement. They are to find the right balance between debt and equity by considering risk and liquidity factors.
How CFOs Boost Business Finances
As individuals who have a breadth of wisdom in the industry, CFOs have the power to boost the cash flow and overall profitability of the businesses they manage. With their access to financial reports, they cannot provide strengthened partnerships with banks, stakeholders and other internal financers; they can also implement strategic solutions that will drive the company towards new heights.
With their vast familiarity of the industry, they can constantly offer innovative ways that drastically cut down operational costs whilst improving management.
Overall, one can see that CFOs play a huge part in business transactions and transformations. Going beyond meeting the demands of the corporate world and addressing the needs of the market, the role of the chief financial officer is to help provide a stable financial future that allows the company to flourish.
So, if you are looking to create an edge in the industry, don’t hesitate to work with one of the finest accounting companies in Dubai. Their CFO consulting services will certainly play a great role in transforming the way your business works.