The question comes up every time a founder hits $10M–$15M: do we hire a full-time CFO?

The honest answer: probably not yet. But the right answer depends on what your business actually needs — and most founders frame the question wrong.

The Wrong Framework

Most founders think about this as a cost question: "Can I afford a full-time CFO?" A strong CFO costs $300K–$500K all-in at this stage. That's a real number.

But cost isn't the right frame. The right frame is: what do I actually need, and what's the most efficient way to get it?

What a CFO Actually Does

A CFO at a $15M company should be spending their time on:

  • Strategic finance leadership (capital allocation, growth decisions)
  • Financial architecture (systems, reporting, KPI design)
  • FP&A (forecasting, scenario modeling, budget management)
  • Investor and lender relationships
  • Leadership team finance education

What they should not be spending their time on:

  • Bookkeeping and transaction entry
  • Basic report generation
  • Compliance and audit management (that's a controller)

The problem: most early-stage CFOs end up doing too much of the second list because the infrastructure for the first list doesn't exist yet.

The Case for Fractional

A fractional CFO gives you senior finance leadership without the recruiting risk, the equity dilution, or the cost of a full-time seat.

Fractional works best when:

  • You need strategic guidance more than full-time execution
  • Your finance infrastructure needs to be built before you can fully leverage a full-time CFO
  • You want to preserve optionality and test the relationship before a full-time commitment

The limitation: fractional doesn't scale into an IPO path. At some point, you need someone who is fully embedded, who lives and breathes your business, and who can build and manage a finance team under them.

The Transition Point

The right time to hire a full-time CFO is usually when:

  1. 1Revenue is $50M+ or growing very rapidly toward it
  2. 2You have real capital markets needs (institutional fundraise, M&A, public markets preparation)
  3. 3You have a finance team of 3+ people who need a full-time leader
  4. 4The CFO role requires 40+ hours per week of embedded presence

Until then, a fractional CFO with the right infrastructure often delivers better outcomes at a fraction of the cost. The key is making sure the fractional relationship is structured as a real strategic partnership — not just a reporting function.

If you're not sure which side of the line you're on, that's actually useful information. Companies that need a full-time CFO usually know it.