By comparison, the role of the CFO is to provide forward-looking financial management. It’s a proactive role since it is concerned with the company’s future financial success. According to CFO.com, the average cash compensation for a CFO providing CFO services for startups such as in a private company with less than $20MM in annual revenue is $194,354. CFOs for private companies with $21-$99MM in annual revenue make an average of $237,983 in base salary. (Private company CFOs make 45% less than those at public companies.) Tack on benefits and bonus and you can expect to pay $225,000 to $275,000 depending on business size. Therefore, controllers typically earn higher salaries than their counterparts in the public sector.

CFO, or Chief Financial Officer, and Controller are related to leadership roles in a business establishment. Some may think the two to be the same, and do not find any specific differences between them. Well, the fact cfo vs controller is, that CFO and Controller are entirely different. They most often report to the organization’s CEO or board of directors in the nonprofit sector or senior government officials in the case of the public sector.

Match Financial Help to Business Size

For example, A CFO for a small company (~$10MM in revenues) will expect a base salary of around $200,000-$250,000. Add in variable compensation, benefits, and taxes, and you’re looking at between $300,000 and $400,000 (or more) annually. By contrast with a controller, the CFO  expands that role to focus on improving the operating performance of a company, analyzing the numbers and presenting solutions on how to make those numbers better. While some companies benefit from a fractional controller starting at $500K to $1MM, almost all companies have a controller by the time they reach $10MM in annual revenue. We often see commonalities with controller roles based on the annual revenue of the company. While a controller deals with accurate financing, the CFO’s role is to analysis the situations, and determine solutions.

Though controllers and CFOs have several things in common, they are very different positions. Their decision-making abilities, attention to detail, and typical previous work experiences set them apart. Investment advisory services are offered through Aprio Wealth Management, LLC, an independent Securities and Exchange Commission Registered Investment Advisor. Securities are offered through Purshe Kaplan Sterling (“PKS”) Investments, Inc., member of FINRA/SIPC. Aprio Wealth Management, LLC and Purshe Kaplan Sterling Investments, Inc. are separate and unaffiliated.

When to Hire a Chief Financial Officer

They are precise, detail-oriented accounting professionals who make sure the company’s internal operations run smoothly, accurately and on budget. Great CFOs take an active role in driving growth in their organizations. They are the visionaries who collaborate with the firm’s leadership team to establish clear destinations and lay out roadmaps for the business to follow. They direct resources and actively reallocate them to their highest and best use. A virtual CFO can replace at least one full-time employee with additional savings in the finance department of up to 30%.

• A controller prepares financial reports like income statements and balance sheets.
• As such, their role is more technical and tactical than operational.
• A good CFO should be at the elbow of the CEO, ready to support and challenge them in leading the business.
• Our full-service fractional financial team includes bookkeepers, controllers, and CFOs.
• A controller will provide a clear and accurate view of where the company has been.
• In a nutshell, while a controller certainly must be well-versed in accounting practices, he is in a more senior position than an accountant.

Even though the CFO reports their job directly to the CEO, they still have the same position as the executive of the company. Finance director is often called the CFO’s primary accountant, which means they provide any financial information to help the CFO make decisions. Finance directors work to make sure that the finances of an organization are strong. They also assist their subordinates to be more productive to help the company grow.

What Size Companies Bring in Controllers?

See our outsourced accounting pricing tiers to learn more about our base packages starting at $500 per month. At times, it might seem like the interests of CIOs and CFOs are at odds with each other. Yet despite what may be differences in their approach, each role shares the common goal of helping the organization remain profitable and relevant. It is only through collaboration https://www.bookstime.com/ that the individuals in these two roles can help each other find a middle ground to accomplish both of their goals. A CIO implements IT strategies and tools into an enterprise company’s business operations. This includes investing in technology such as DevSecOps tools and others that help a business keep its digital environment secure and mitigate cyberattacks.