Aug 18, 2022

6 Characteristics of a Great Chief Financial Officer (CFO)

6 Characteristics of a Great Chief Financial Officer (CFO)

In today's ever-changing and challenging business environment, many companies are looking for candidates who can help them innovate and grow. When it comes to finance, a great CFO is critical to the success of any company. If you're interested in learning more about what makes a good CFO, take a look at the six characteristics below: 

1) They have excellent financial acumen. 

CFOs need to be able to make sound decisions regarding budgeting, cash flow and other financial matters. This means making strategic decisions in operations and investment. CFOs need to be able to see the broader picture of how one decision impacts another and understand what will have a long-term impact on the company's finances. 

The CFO should have excellent financial acumen, be skilled at making decisions in the face of changing financial landscapes, and understand what will affect the company's long-term finances.

2) They can be trusted with confidential data. 

CFOs must be able to keep all data confidential. CFOs are entrusted with financial information that belongs to both the company and its clients. Credibility, honesty, and integrity are essential for this position. Without these values, companies will be at great risk of losing their business and clients.

3) They work well under pressure.

CFOs must be able to make decisions quickly and efficiently. They are also the liaison between business owners, investors, managers, and employees. They should have excellent organizational skills in order to run a company's finances effectively. 

They are often responsible for making decisions quickly and efficiently with very little time to spare. This means being able to balance the needs of business owners, investors, managers as well as employees, without succumbing to pressure.

4) They communicate clearly.

It's crucial to your success as CFO that all parties understand what you want them to do when communicating with them.  CFOs need to be clear, concise and direct when communicating with company owners or investors. C-suite executives can't afford for their CFO's message to get lost in translation among employees.

5) They collaborate well with others.

CFOs are often the ones who coordinate company activities, such as hiring or managing vendors like offshore teams or outsourcing vendors. They need to be able to collaborate with all types of people in order to be successful at their job - both inside and outside of a business setting.  

6) And they have strong leadership skills. 

CFOs need to be able to lead and motivate different types of people in their organization. They can't just rely on charisma, they have to learn the type of leadership skills that actually get results.

So, what does it take to be a great CFO? The most important thing is that you have these six characteristics we’ve seen in our time working with successful financial leaders. If any of these sound like you, why not schedule a free call so we can discuss how we might work together. Amped HQ provides services that can help CFO's build successful finance teams.