Fractional CFO
A fractional CFO is a finance leader who works for a company permanently but only for part of their working time, typically one to two days a week over several years. The model suits companies that need financial leadership but cannot fill a full-time position.
The principle
Fractional means partial. A fractional CFO is not in the business for a shorter period, but less often – over a long horizon. They know the business, attend the relevant meetings and share responsibility for the numbers, without the company funding a full-time role.
Who it suits
Typically startups after their first funding round, scale-ups with 20 to 150 employees, and mid-sized companies where the managing director has carried finance topics personally. Once investor reporting, cash planning and controlling all arrive at once, bookkeeping is no longer enough, but a dedicated CFO role is not yet fully occupied.
Difference from an interim CFO
The difference is the time axis, not the seniority. An interim CFO bridges a specific situation at a high weekly load and leaves. A fractional CFO stays, at a low load, often for years. Filling a vacancy calls for the first model; building financial leadership calls for the second. Where the work is operational rather than a leadership question, a head of finance or an outsourced team is the better fit.
Making it work
Partial leadership needs rhythm: a fixed day, a monthly reporting cycle with a firm completion date, attendance at shareholder meetings, and defined availability in between. Without that cadence, fractional leadership turns into occasional advice. The execution layer underneath is usually covered by Finance as a Service.
Cost logic
Engagements are usually billed as a monthly retainer based on an agreed share of time. A fair comparison uses the full cost of an employed CFO – employer contributions, variable pay, absence, and the cost and duration of replacing the role – not the base salary alone. Rates and scope are set out under Fractional CFO.