What Is a Fractional CFO, and Does Your Small Business Need One?

If your income chart looks like a heart monitor, this one’s for you.

You bring in $18,000 in March and feel unstoppable. Then April hits, you make $3,000, and suddenly you’re wondering whether to raise your prices, say yes to every client who emails you, or quietly polish your resume. You aren’t bad at business. You’re just running one without anyone watching the money with you.

That’s exactly the job of a fractional CFO.

What is a fractional CFO?

A fractional CFO is a part-time chief financial officer. You get the strategic financial thinking that big companies pay a full-time executive for, scaled to the size and budget of your business.

I like to say I’m the CFO to your CEO. You run the vision, serve your clients, and do the work you’re great at. I run the numbers that make the vision possible, and I help you make decisions with them instead of guessing.

Fractional CFO vs. bookkeeper vs. accountant: what’s the difference?

These roles get mixed up constantly, so here’s the simple version:

A bookkeeper records and categorizes what already happened. They tell you where your money went.
A tax preparer or accountant makes sure you file correctly and stay square with the IRS.
A fractional CFO looks forward. They use your numbers to help you decide what to charge, what you can afford, how much to pay yourself, and where the business is headed.

Most growing businesses eventually need all three. What surprises people is how early they need the third. If you’re bringing in real money and still making big decisions on puro vibes, you need CFO thinking now, not when you have ten employees.

Signs your small business needs a fractional CFO

Count how many of these sound familiar:

You’ve crossed six figures in revenue, but your bank balance didn’t get the memo.
You pay yourself whatever’s left at the end of the month, whenever anything is actually left over.
Tax season surprises you every single year.
You set your prices by checking what everyone else charges and knocking off a little.
You want to hire help but can’t tell whether you can afford it.
Your business and personal money share one account, and you’ve made peace with it. That’s not peace. That’s denial with a debit card.

Nodded at two or more? That doesn’t mean you’re failing. It means your business outgrew its money systems, which is honestly a pretty good problem to have.

What does a fractional CFO do for a solo business owner?

Every business is different, but here’s what the work usually looks like.

Cash flow forecasting

We map out what’s coming in and going out over the next few months so the slow season stops ambushing you. If your numbers show that January usually brings in half of what October does, we start setting money aside in October. The lean month still comes. It just stops being an emergency.

Paying yourself on purpose

We set a consistent owner’s pay your business can actually support. Here’s a simple example of how a month might be divided:

$12,000 comes in.
$600 (5%) stays in the business as profit.
$6,000 (50%) becomes your owner’s pay, on the same day every month.
$1,800 (15%) moves straight into a separate tax account.
$3,600 (30%) covers business expenses like software, contractors, and marketing.

Your percentages will look different, especially initially, and that’s the point. We build them around your real numbers. Once your business pays you like a job instead of an ATM you’re afraid to check, everything else gets easier.

Pricing for profit

We look at what each service really costs you in hours, tools, and energy, then price it so the business grows instead of just staying busy. Being booked solid and broke at the same time is a pricing problem, not a hustle problem.

Planning for taxes before they’re due

Because I’m also a tax preparer, your planning and your taxes live under one roof. We decide what to set aside throughout the year so April is a line item instead of a crisis.

A regular money date

This is my favorite part. We sit down on a regular schedule, look at the real numbers, and make decisions together. Over time, you stop dreading your finances and start using them to steer.

How much does a fractional CFO cost?

It depends on how much support you need and how often we meet, but it’s a small fraction of what a full-time CFO costs. For most solo owners, the better question is what it’s costing you not to have one. Underpricing, surprise tax bills, and hiring too early (or way too late) add up fast.

You can see how I structure this work on my fractional CFO services page.

Why I love this work

I run a business too, so I know how easy it is to take care of everyone else’s numbers and put your own last. As an Accredited Financial Counselor, I work best with service-based entrepreneurs in their first few years, when the right money habits make the biggest difference.

A profitable business doesn’t just fund your life. It builds pockets of wealth for you and the people who come after you, and that’s the part that gets me out of bed.

If the business side feels under control but your personal finances still feel shaky, read my post on why you can make good money and still feel broke. The two are more connected than most people think.

Frequently asked questions

Is a fractional CFO worth it for a small business?

For most businesses that have crossed six figures, yes. Better pricing, steadier cash flow, and fewer tax surprises often cover the cost on their own, and you get your evenings back from worrying about money.

Do I still need a bookkeeper if I have a fractional CFO?

A CFO needs clean, up-to-date books to work from. That might mean a bookkeeper, software you manage yourself, or a mix of both. We’ll figure out what makes sense for your size.

Can a fractional CFO help with taxes?

Many don’t, but I do. As a tax preparer, I can connect your year-round planning to your actual return, so nothing falls through the cracks between the two.

Do you only work with businesses in Los Angeles?

No. I work with entrepreneurs virtually across the country, in English and Spanish.

How often would we meet?

It depends on the support you choose, but I always recommend a consistent rhythm. Regular money dates are what turn financial information into real decisions. Meeting twice a month works well for most business owners.

Ready for a CFO in your corner?

You built a business that works. Now let’s build the financial side so it works for you too. Book a discovery call and let’s talk about where your business is headed and what it’ll take to get there.