You have probably heard of a CFO in a company. But do you know exactly what it is, what are its functions and its position in a company?
If these acronyms are new to you, stay and discover in this article one of the most relevant figures in an organisation, a CFO. Nowadays, there are so many new ways to refer to profiles that demand planning and financial management skills.
Are you ready? From now on you will know this position and its relevance.
What is a CFO?
From an economic point of view, the figure and position of the CFO, Chief Financial Officer, is another way of naming the chief financial officer.
The CFO is responsible for the economic and financial planning and execution of the company, the one who ensures the correct functioning and management of financing.
We could say that the economic stability of the company depends on the CFO. He also makes decisions about the company’s investments and financial risks.
It is essential to keep the accounts and finances up to date, in order and under control. However, his or her function also depends on the social and economic context in which the company and society find themselves at that particular moment.
The functions and responsibilities of the CFO
A CFO has many roles and responsibilities depending on the structure and size of the company. Typically, the CFO is responsible for accounting, planning and financial reporting.
Here is a list of some of these functions:
- Managing the accounting and annual accounts, together with the economic situation of the company and the market situation.
- Manage financial communication to the outside world and control information and financial relations with third parties, supervising economic planning and budgets.
- Ensure the correct use of the organisation’s financial resources, establishing economic policies and strategies in order to improve financial decision-making and to identify financial opportunities.
- Budgeting to see what the company is going to spend, as well as planning for the future.
- Manage the financial department, together with its employees, managing the accounting tasks of the company.
- You also communicate with the other departments and employees of the company and help them to make economic decisions for the company.
What are the requirements to become a CFO?
It is true that specialised studies and knowledge are required for this position, mainly related to business administration, accounting or finance.
Leadership skills are also relevant to be a good CFO, demonstrate a good influence on your team and establish the roles of each member of the department.
Likewise, being a productive person who fulfils their functions and objectives and drives the talent of the whole team, motivating them to improve day by day. Stand out in the company. Without forgetting experience, it is also an important point to take into account the career path, if you have achieved concrete successes in your functions and have met the necessary requirements of a CFO.
Digital transformation is the order of the day, knowing the technological strategies and being aware of the digital advances and solutions that can lead to a market advantage and improve competitiveness.
Tools for the CFO
The responsibilities of a CFO as we have just seen in a company include many tasks. So digitising and optimising processes is very important.
Do you know XPENDOR? It is the tool for the management of employee expense reports. It increases the efficiency of the company’s time management by being a digital solution that allows you, with just one click, to capture the tickets generated by the travels through the camera and send them automatically to the supervisor, who will then approve it.
XPENDOR not only digitises and automates the management of expense notes, it also makes it easier and simpler to do your work. Our solution is approved by the Tax Agency and, therefore, will be valid for legal purposes.
In addition, by downloading the receipts that are digitised with XPENDOR, you can deduct VAT for up to the last 4 years, giving you extra liquidity for your treasury. We have made sure that each case can be analysed without obligation or cost so that you can optimise your taxes and manage your expenses taking into account the recovery of input VAT on tickets.
Want to know more? Request a demo below and discover the business travel and expense report management software.
