What Is a Fractional CFO? Complete Guide for UK Businesses
A fractional CFO is a part-time Chief Financial Officer who works with multiple companies. Learn how they can help your UK business grow.
8 December 2025320 monthly searches
Fractional CFO Definition
A fractional CFO is an experienced Chief Financial Officer who works with multiple companies on a part-time or contract basis. Rather than dedicating 100% of their time to one organisation, fractional CFOs split their expertise across several businesses, typically working 1-3 days per week with each client.
How Does a Fractional CFO Work?
Fractional CFOs typically engage with companies in several ways:
- Retainer basis: Fixed monthly fee for agreed hours (e.g., 2 days/week)
- Project basis: Specific deliverables like fundraising or system implementation
- Advisory: Strategic guidance and board attendance
Fractional CFO vs Full-Time CFO
The key differences include:
| Aspect | Fractional CFO | Full-Time CFO |
|---|---|---|
| Cost | £2,000-6,000/month | £150,000-300,000/year |
| Commitment | 1-3 days/week | Full-time + overtime |
| Experience | Multiple industry exposure | Deep single-company focus |
| Flexibility | Scale up/down easily | Fixed overhead |
When Should You Hire a Fractional CFO?
Consider a fractional CFO when:
- Revenue is between £500K-£20M
- You are preparing for fundraising
- Financial complexity is increasing
- You need strategic finance guidance but cannot justify full-time
- Existing bookkeeper or financial controller needs senior oversight
What Does a Fractional CFO Do?
Typical responsibilities include:
- Financial strategy and KPI development
- Cash flow forecasting and management
- Fundraising preparation and investor deck creation
- Board reporting and governance
- Financial systems selection and implementation
- Building and mentoring finance teams
- M&A support and due diligence
Benefits of a Fractional CFO
UK businesses benefit from fractional CFOs through:
- Cost savings: Access C-suite talent at 20-40% of full-time cost
- Immediate impact: No learning curve, instant strategic input
- Flexibility: Adjust engagement as business needs change
- Network access: Connections to investors, banks, and advisors
- Best practices: Cross-industry insights from multiple clients
Related Resources
Learn more about fractional executive work:
- Fractional CFO Jobs UK - Find opportunities
- Fractional CFO Services - What services are offered
- Fractional CFO London - Opportunities in the capital
- How to Become a Fractional Executive - Career guide
- Fractional Executive Salary UK - Rate guide 2025
- Fractional vs Interim - Understanding the difference
