What is a Fractional CFO?
A fractional CFO is a part-time Chief Financial Officer who provides strategic financial leadership to companies on a flexible basis. Learn about fractional CFO meaning, responsibilities, and costs.
Key Takeaways
- 1Fractional CFOs work 1-3 days per week, providing senior expertise without full-time costs
- 2UK day rates range from £800 to £1500, depending on experience and sector
- 3Typical engagements save 50-70% compared to full-time executive hires
- 4Ideal for startups, scale-ups, and SMEs needing strategic leadership
- 5No employment overhead: no pension, NI, benefits, or notice periods
Definition
Quick Definition
A Fractional CFO (Fractional Chief Financial Officer) is an experienced finance executive who works with companies on a part-time or contract basis, typically 1-3 days per week, providing strategic financial leadership without the cost of a full-time hire.
What is a Fractional CFO? Understanding the Role
The fractional CFO meaning centres on flexible, senior-level financial leadership. Unlike traditional full-time CFOs earning £130,000-£220,000 annually, a fractional Chief Financial Officer works with multiple companies simultaneously, dedicating typically 1-3 days per week to each client. This model emerged from the startup and scale-up ecosystem where companies need CFO-level expertise for fundraising, financial planning, and investor relations but cannot justify the cost of a full-time finance executive.
When Do You Need a Fractional CFO?
Fundraising
Preparing for and executing Series A-C rounds
Investor readiness
Need professional financial reporting
Cash crisis
Runway planning and cost optimisation needed
Scale preparation
Financial systems for rapid growth
Exit planning
Preparing for M&A or IPO
Finance team gap
Interim senior leadership needed
Compare to full-time CFO: £160,000-£280,000+ (salary + benefits + equity)
Types of Fractional CFO
VC-Backed CFO
Fundraising and investor relations
PE Portfolio CFO
Value creation and exit planning
Scale-up CFO
Growth finance and cash management
Turnaround CFO
Restructuring and crisis management
Cost Comparison
Fractional vs Full-Time Executive
Your Potential Savings
£180k+
Time Allocation
How fractional executives spend their time
UK Fractional Executive Day Rates
Compare day rates across C-suite roles
Fractional vs Interim vs Full-Time
Choose the right engagement model
| Aspect | Fractional | Interim | Full-Time |
|---|---|---|---|
| Time Commitment | 1-3 days/week | 4-5 days/week | 5 days/week |
| Duration | Ongoing/flexible | 3-12 months | Permanent |
| Annual Cost | £50-150k | £150-300k | £200-400k+ |
| Best For | SMEs, startups, scale-ups | Crisis, transitions | Large enterprises |
| Flexibility | ★★★ High | ★★☆ Medium | ★☆☆ Low |
Costs are indicative UK market rates. Actual costs vary by role, experience, and sector.
Calculate Your Day Rate
Calculate Your Potential Income
Based on 2.5 days/week x 2 clients x 48 working weeks. CFO UK average day rate: £1000.
BetaThis calculator provides rough estimates for illustration only. Actual rates and salaries vary based on location, experience, industry, and market conditions.
Related Executive Roles
Complementary leadership for your organisation
Frequently Asked Questions
Everything you need to know
A Fractional CFO (Chief Financial Officer) is an experienced finance executive who works with companies on a part-time basis, typically 1-3 days per week. They provide strategic financial leadership, fundraising support, and financial operations expertise without the cost of a full-time CFO hire.
Industry Resources & Authority Links
Related Pages
The Fractional Executive Trend
Industry data on the rise of fractional leadership
of executives who moved to fractional work report higher job satisfaction
Source: Harvard Business Review ↗Platform Stats
Founder's background
📊 CFO Market Snapshot
💰 CFO Day Rates
Based on 2026 market data for UK CFO roles.
