Virtual CFO Services – Financial Leadership & Strategic Guidance
Virtual CFO Services
The finance function for a startup or SME that is past compliance but not yet at a full-time CFO – monthly close, MIS, fundraise prep, treasury, vendor and contract review.
By CA Vijay R Singh, FCA
ICAI Membership No. 153926 | FRN 136869W | Practising since 2013
Quick Summary
Most founders cross the line where compliance is handled but the strategic finance function is missing – somewhere between Rs 5 crore and Rs 50 crore turnover. Hiring a full-time CFO at that stage is premature; running without one is expensive in lost decisions. A Virtual CFO sits between the two – a senior finance brain on call, working alongside the founder on the decisions that matter and walking away when the in-house function is ready.
Strategic Fit: Is this right for you?
Rs 5-50 Cr Turnover
Past compliance, not yet at full-time CFO.
Pre-Fundraise
SMEs preparing for the first institutional funding round.
Family Business
Transitioning to professional management.
Complex Working Capital
Inventory, receivables, multi-state GST footprint.
Pre-Strategic Event
Founders preparing for acquisition, exit, restructuring.
Foreign Subsidiary
Indian subsidiaries of foreign parents needing a local finance leader.
Final Deliverables Checklist
Everything you receive at the end of the engagement.
- Monthly MIS pack (P&L, BS, cash flow, burn, runway, AR/AP ageing)
- Annual budget + rolling 12-month forecast
- Quarterly board pack + investor update materials
- Fundraise data room + financial model
- Treasury dashboard - cash position, working capital, banking
- Decision memos on strategic finance questions
- Scenario plans and sensitivity analysis
- Process documentation - month-end close, AR collection, AP cycle, payroll
UNDERSTANDING THE THREE ENGAGEMENT MODELS
Embedded Retainer
Senior commitment 8-20 days/month. Fixed monthly fee. Includes monthly close oversight, MIS, founder reviews, board pack, ad-hoc decision support.
Project-Based
Time-bound engagements for specific events – fundraise prep (3-6 months), acquisition DD (1-3 months), restructuring (3-6 months). Fixed scope, fixed fee.
Advisory Only
Senior call on demand. Hourly or monthly minimum retainer. Right where the founder already has a strong in-house finance team but wants senior input on specific decisions.
The Engagement Lifecycle
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Transparent Pricing Structure
Statutory & Third-Party Costs – pass-through, NOT our fees
These are paid directly to government departments, certifying authorities, and banks. They are not VRS professional fees.
- No government / statutory pass-through fees - Virtual CFO is a private advisory engagement
- Senior time commitment quoted per engagement based on scope and cadence
- Tools and software (Zoho, Tally, QuickBooks, MIS dashboards) - your subscriptions, not VRS
- Travel / out-of-pocket expenses (where applicable) reimbursed at actuals
- Board pack and investor reporting materials - included in retainer scope
Engagement & Fees
We act as your virtual CFO end-to-end — MIS and cash-flow dashboards, budgeting, compliance oversight, and board-ready reporting — tailored to your stage and goals during an initial scoping call.
Fees are confirmed per engagement after the scoping call, based on the scope and complexity involved. You receive a clear, written quote before any work begins — no hidden charges.
Quoted per Engagement
The final quote depends on the scope, volume, and statutory complexity of your specific engagement.
Frequently Asked Questions
How is this different from your compliance retainer?
Compliance keeps the books and filings clean – the foundation. Virtual CFO sits above the foundation and uses the cleaned-up books to drive decisions. Both offered under separate engagement letters with separate scopes and fees.
We already have a CA firm doing our books. Can you be Virtual CFO without that?
Yes. We coordinate with your existing firm – they own the books, we own the MIS, decisions, and founder review. Common structure.
How many days a month do you actually commit?
Depends on scope. Typical embedded retainer for Rs 10-30 cr turnover company: 10-15 days of senior time per month. Documented in engagement letter and reviewed quarterly.
Can you sit on our board?
We do not generally accept board seats while in a Virtual CFO capacity – this creates audit independence and conflict-of-interest concerns under ICAI Code of Ethics. We structure as observer attendance, not directorship.
We are doing well. Why do we need a Virtual CFO?
If your decisions are flowing, MIS is reliable, runway is clear, and fundraise readiness is current, you may not need one. The Virtual CFO question is about decisions being made on incomplete information.
When do we replace the Virtual CFO with a full-time CFO?
Typically when the business reaches Rs 50-100 crore turnover, the finance team is 5+ people, and the cadence of decisions justifies daily senior presence.