Finance & Accounting Operations

Virtual CFO (Chief Financial Officer) Services

Board-grade finance leadership, without a full-time CFO on the payroll.

A senior finance function delivered on retainer: rolling three-way forecasts, a monthly MIS and board pack, working capital discipline, internal controls and investor-ready reporting. For companies that have outgrown bookkeeping but cannot yet justify a full-time CFO.

Typical turnaround
First stabilised monthly close within 30 to 45 days of start, with the full forecasting and reporting cadence operating by month three. Companies with significant ledger clean-up, multiple entities or an unreliable prior close take longer to stabilise. Retainers typically run on a rolling twelve-month term with a 60-day notice period.
Service code
ART-VCFO-002
Engagement models
Monthly retainer · Part-time embedded days per month · Fixed fee for discrete projects
Delivery
Virtual, secure document exchange

Indicative fee from

₹75,000

Indicative monthly retainer for an early-growth company operating a single entity. Transaction volume, entity count, reporting stakeholders and the condition of the existing finance function determine the final fee.

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  • Engagement letter issued before work begins
  • Named engagement lead and defined reporting cadence
  • Confidentiality and access controls on all workpapers
  • Fee adjusted if the confirmed scope is smaller

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Description

There is a stage most growing companies pass through where the accounting is technically correct and commercially useless. The books close, the returns are filed, and the founder still cannot answer three questions: how much cash is available in eleven weeks, which product line actually earns money after fully loaded cost, and what the business is worth to the investor asking. The information exists somewhere in the ledger. It has never been assembled into a decision.

That gap is what a virtual CFO closes. Not more bookkeeping, and not a second opinion on the audit, but the layer above the ledger: forecasting, unit economics, capital structure, controls, and the discipline of a reporting cadence that does not slip. It is the work a full-time CFO would do, delivered by a senior team on a defined retainer, at the point in a company’s life when a full-time hire is premature but the absence of the function is already costing money.

What the engagement covers

The operating core is a rolling three-way model linking profit and loss, balance sheet and cash flow, refreshed monthly, with a thirteen-week direct cash view sitting inside it for near-term visibility. Around that sits a monthly MIS and board pack with variance analysis against plan, margin bridges by product or channel, and the working capital metrics that determine whether growth consumes cash faster than it generates it: days sales outstanding, days payable outstanding, inventory days and the resulting cash conversion cycle. For subscription and consumer businesses we add cohort retention, contribution margin and payback period, calculated consistently enough to be quoted to an investor without a caveat.

Beyond reporting, the engagement takes ownership of the finance operating system. That means a chart of accounts that maps to how the business is actually managed, a documented delegation of authority and approval matrix, segregation of duties across payments and master data, a compliance calendar covering GST, TDS, PF and ESI, advance tax and ROC filings, and a monthly close calendar that brings the close inside ten working days. Where a fundraise or a debt facility is in view, we prepare the data room, the model, the cap table and the diligence responses, and hold the counterparty conversation with the numbers to hand.

How the virtual model works

Delivery is remote and structured. We work inside the company’s existing cloud accounting stack under named, role-based access with an audit trail, rather than asking for files to be emailed. A fixed rhythm governs the engagement: a weekly cash and collections review with the finance team, a monthly close and MIS walkthrough with the founder or managing director, and a quarterly session on strategy, pricing, capital and the operating plan. Escalation paths are agreed at the outset so that a covenant breach, a cash shortfall or a compliance exposure reaches the right person the same week it is identified.

Who this is built for

Founder-led companies past initial product-market fit where finance has become a constraint on decision-making. Family businesses professionalising ahead of a generational transition or an external investment. Subsidiaries of overseas parents needing local finance leadership without a local hire. Companies between CFOs. And portfolio companies where an investor expects board reporting to a standard the current team cannot yet produce.

Engagement models

Monthly retainer · Part-time embedded days per month · Fixed fee for discrete projects

Expected turnaround

First stabilised monthly close within 30 to 45 days of start, with the full forecasting and reporting cadence operating by month three. Companies with significant ledger clean-up, multiple entities or an unreliable prior close take longer to stabilise. Retainers typically run on a rolling twelve-month term with a 60-day notice period.

Scope of Work

  • Rolling three-way financial model linking profit and loss, balance sheet and cash flow, refreshed monthly and reconciled back to the closed ledger
  • Thirteen-week direct cash flow forecast with receipt and payment level detail, updated weekly during periods of constrained liquidity
  • Monthly MIS and board pack with variance analysis against budget, margin bridges by product, channel or customer, and a written commentary on drivers
  • Unit economics build covering customer acquisition cost, contribution margin, payback period and cohort retention, defined consistently across reporting periods
  • Working capital management through days sales outstanding, days payable outstanding, inventory days and cash conversion cycle, with actions assigned by owner
  • Annual operating plan and budget, built bottom-up by cost centre and reconciled to the strategic targets agreed with the board
  • Pricing and profitability analysis at SKU, contract or service line level using fully loaded cost, including allocated overhead and cost to serve
  • Internal financial controls design covering delegation of authority, approval matrices, segregation of duties, vendor and customer master data governance
  • Month-end close calendar and checklist discipline, with the objective of a reliable close within ten working days of period end
  • Statutory compliance calendar oversight across GST, TDS, PF, ESI, advance tax, ROC filings and, where applicable, FEMA and transfer pricing documentation
  • Fundraise and lender readiness: data room construction, cap table maintenance, financial model, information memorandum inputs and diligence response management
  • Debt facility support including term sheet comparison, covenant tracking, debt service coverage monitoring and periodic lender reporting

Key Deliverables

Monthly MIS and Board Pack

A standing pack covering performance against plan, cash position and forecast, working capital metrics, and a short written commentary on what changed and what needs a decision.

Rolling Three-Way Financial Model

An integrated model in which profit and loss, balance sheet and cash flow move together, so that a change in collection assumptions or hiring plans flows through to the cash position automatically.

Thirteen-Week Cash Flow

A direct forecast at receipt and payment level, giving a near-term view accurate enough to make decisions on payroll timing, vendor payments and drawdown requests.

Annual Operating Plan

A bottom-up budget by cost centre with headcount plan, capital expenditure schedule and the assumptions written down, so that variance analysis later tests a stated position rather than a memory.

Finance Controls and Authority Manual

A documented delegation of authority, approval matrix, segregation of duties map and month-end close checklist, written to survive an auditor's or an investor's review.

Investor and Lender Reporting Pack

Reporting formatted to what the counterparty actually requires, whether that is a quarterly investor update, a covenant compliance certificate or a monthly stock and debtor statement for a working capital lender.

Compliance Calendar and Status View

A single tracked calendar of statutory obligations with due dates, owners and filing status, so that exposure is visible before a deadline passes rather than after a notice arrives.

How the Engagement Runs

Diagnostic and baseline

We review the last two to three closed periods, the accounting stack, the compliance position and the current reporting. The output is a written baseline: what is reliable, what is not, and what the first ninety days must fix. The phase closes with a prioritised remediation list agreed with the founder or board.

Stabilise the close

Before forecasting is meaningful, the ledger has to be trustworthy. We clean the chart of accounts, clear reconciling items, align cut-off, and put a close calendar and checklist in place with the existing accounting team. The phase closes with the first close delivered on the agreed timetable.

Build the model and the reporting cadence

The three-way model, thirteen-week cash view and MIS pack are built against the stabilised ledger and reviewed with management. Definitions for every metric are documented so they are not recalculated differently next quarter. The phase closes with the first full board pack issued.

Install controls and the compliance rhythm

Delegation of authority, approval workflows, segregation of duties and the statutory calendar are documented and put into operation with the process owners. The phase closes when the controls manual is signed off and operating.

Steady-state operating rhythm

Weekly cash and collections reviews, monthly close and MIS walkthrough, quarterly strategy and plan review. Between cycles we handle lender conversations, pricing questions and any live financial decision as it arises. This phase continues for the term of the retainer.

Strategic agenda and periodic reset

Each quarter we revisit scope against what the business now needs, whether that is a fundraise, a debt refinancing, an entity restructuring or preparing for a full-time CFO handover. The phase closes with a written scope note for the following quarter.

What You Gain

Cash visibility beyond payroll

A rolling thirteen-week view turns cash from a monthly anxiety into a managed variable. Shortfalls become visible with enough lead time to act on collections, facilities or payment timing.

Decisions made on real margin

Fully loaded costing frequently shows that a business's largest revenue line is not its most profitable. Pricing, sales incentives and capital allocation improve once that is quantified.

Investor questions answered first time

When diligence begins, the model, cap table and historical metrics already exist and reconcile. That shortens the process and removes the impression of a company that does not know its own numbers.

Controls that withstand scrutiny

Documented authority limits and segregation of duties reduce leakage, and they hold up when an auditor, a lender or an acquirer tests how payments are actually approved.

Senior judgement at fractional cost

The company gets CFO-level judgement on structure, pricing and capital without carrying a full-time senior salary and its associated fixed commitment through uncertain quarters.

A finance function that transfers

Everything is built in the company's own systems and documented. When a full-time CFO is eventually hired, they inherit a working function rather than starting from a blank page.

Industries We Serve With This Engagement

SaaS and technology productsDirect-to-consumer and e-commerceProfessional and business servicesSmall and mid-sized manufacturingHealthcare and clinic chainsLogistics and last-mile deliveryEducation and edtechReal estate and constructionFintech and NBFCs

Frequently Asked Questions

An accountant records what has happened and files what is required. Both are necessary and neither is a substitute for forward-looking finance. A virtual CFO works on the layer above: forecasting cash and profit, determining what each product or contract actually earns after fully loaded cost, structuring capital, designing controls, and presenting the business credibly to investors, lenders and the board. In practice the boundary is time direction. The accountant closes the past. The CFO commits the future, and holds responsibility for whether the numbers used to make commitments are sound.

The usual trigger is not revenue scale but decision complexity. Common signals are: cash timing has become a monthly concern, an external investor or lender has entered and now expects structured reporting, the business runs multiple products or entities and consolidated margin is unclear, or a fundraise is planned within the next two to three quarters. If the founder is personally assembling numbers from spreadsheets before every important conversation, the function is already needed. Waiting until after a term sheet arrives usually means preparing under time pressure, which is when errors become expensive.

No. The model works best alongside them. The existing team continues to own transaction processing, statutory filings and the day-to-day ledger, and we work with them on close discipline and data quality. Our role is the layer they are not resourced or positioned to deliver: forecasting, analysis, controls design, board reporting and counterparty conversations. Where the current team is under-resourced or the process is broken, we say so in the diagnostic and recommend the change explicitly rather than quietly absorbing the work.

Typically as a monthly retainer covering a defined scope and cadence, sized against transaction volume, entity count, the number of reporting stakeholders and the state of the existing finance function. Discrete projects that sit outside the standing scope, such as a fundraise, an ERP migration or an entity restructuring, are usually priced separately as fixed-fee work so that the retainer does not become an unbounded commitment for either side. The scope note is revisited quarterly, which keeps the fee tied to what the business currently needs.

Yes, and it is one of the more common reasons companies start the engagement. On equity, that covers the financial model, cap table, historical data pack, data room construction and diligence response management, working alongside the company's legal counsel. On debt, it covers preparing the proposal, comparing term sheets on effective cost rather than headline rate, modelling covenant headroom and debt service coverage, and setting up the periodic reporting the lender will require. We prepare and support; the negotiation and the decision remain with the promoters and the board.

Through named, role-based user accounts within the company's own cloud accounting environment, with permissions scoped to what the engagement requires and an audit trail of activity. We do not work from emailed backups or shared generic logins. Where sensitive documents move outside the accounting system, they move through a controlled exchange rather than personal email. Payment approval rights are structured so that preparation and authorisation stay separate, which protects both parties and satisfies the segregation of duties an auditor will test.

A weekly cash and collections review with the finance team, a monthly close followed by an MIS walkthrough with the founder or managing director, and a quarterly session covering the operating plan, pricing, capital and any structural decisions. Board packs are prepared to the board's calendar. Between cycles, live issues such as a covenant test, a large customer default or an unexpected tax notice are escalated when they arise rather than held for the next scheduled meeting.

The engagement is designed for that outcome, not against it. Because the model, reporting pack, controls documentation and compliance calendar are built inside the company's own systems and written down, a full-time hire inherits a functioning finance operation and current documentation rather than reconstructing it. Many engagements taper rather than stop: we support the transition for a defined period, then either close out or continue in a narrower advisory role on specific matters such as valuation, transactions or technical accounting.

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