When Is the Right Time to Bring in a Fractional Controller?

Uncovering the unknowns: Why your business may need a fractional controller

“You don’t know what you don’t know.” – Socrates

For most business owners, growth efforts center on building the sales force, investing in revenue-producing assets, or entering new markets. While these strategies drive results, there comes a point when the accounting function can no longer keep up with the complexity of operations. On the other side, companies facing stagnation or decline often lack the financial clarity needed to identify and address their challenges.

Without timely, accurate, and actionable financial reporting, leadership risks flying blind. As Socrates hinted, the unknowns can hinder results. This is when a Fractional Controller can be the bridge between overwhelming accounting tasks and financial clarity—delivering professional oversight without the cost of a full-time hire.

Signs it is time for a fractional controller

If you are experiencing more than a couple of these issues, it may be time to seek outside expertise:

• Financial results are not aligned with your sense of performance
• Lack of reliable monthly flash reports
• Monthly close consistently takes longer than 10 business days
• Frequent material restatements of financial statements
• Cash accounts cannot be reconciled consistently
• No visibility into profitability by customer or product
• Difficulty forecasting cash flow, leading to liquidity stress
• Rising costs tied to audits and tax filings
• Legacy accounting systems requiring high maintenance
• Persistent turnover within the accounting department

Why a bookkeeper is not enough

Many business owners assume a bookkeeper can manage these challenges. However, bookkeepers primarily record transactions. They often lack the experience and GAAP knowledge to manage complex or fast-growing operations. A Controller, on the other hand, brings financial discipline, process improvement, and strategic oversight to align the numbers with the reality of performance.

What a fractional controller delivers

• Oversees monthly close and GAAP-compliant financials
• Establishes and enforces accounting policies
• Strengthens controls and workflows to reduce errors and fraud risk
• Supports budgeting and forecasting efforts
• Provides clarity into cash flow
• Manages banking and CPA relationships when there is no CFO
• Frees executives to focus on growth with accurate financial insights
• Adds strategic support during M&A or capital raises

As Mark Twain warned: “It ain’t what you don’t know that gets you into trouble. It’s what you know for sure that just ain’t so.” When financial information is unreliable, poor decisions follow. A fractional controller ensures your business is operating on solid, accurate data.

Interested in fractional controller services for your business? Keiter’s Client Accounting & Finance Services provide flexible access to highly skilled accounting and finance professionals without the overhead of hiring a full-time controller or CFO. Contact your Keiter Opportunity Advisor| Email | Call: 804.747.0000 to learn more.