What Is the Difference Between a CFO and CFO Consultant

Somehow, you just knew deep in your heart that she's 'the one'.

Like an instinct.

In the same way, you just know that your business needs serious financial expertise.

You need someone to answer questions like "Should we expand to a second location?", "Can we afford to hire five more people?", or "Why does looking at my cash flow forecast feel like watching a horror movie?"

But hiring a full-time CFO will mean a RM400,000+ annual commitment you're not ready for.

So you start Googling.

Part-time CFO? Outsourced CFO services? Fractional CFO? CFO consultant?

So many terms. And now you're more confused than ever.

Well we've got some good news for you. You don't need to understand every variation of CFO services.

You just need to understand the two main options and which one makes sense for your business right now.

Let's talk about the difference between a full-time CFO and CFO consultant.

What Is a Full-Time CFO?

A full-time CFO is a C-suite executive who owns your entire finance function.

They're leaders who run the show.

What They Do

• Set long-term financial strategy aligned with business goals

• Build and manage the finance team (accountants, analysts, controllers)

• Lead board presentations and investor relations

• Oversee all financial operations, reporting, and compliance

• Attend all leadership meetings and drive major financial decisions

• Manage banking relationships and enterprise risk

The Cost Reality

Annual commitment: RM250,000 - RM500,000+

This includes:

• Base salary: RM200,000 - RM400,000

• Benefits: RM30,000 - RM60,000

• Bonuses/equity: Variable

When It Makes Sense

Full-time CFOs are essential when you have:

✅ RM50M+ annual revenue — Financial complexity demands full-time strategic leadership

✅ A finance team to manage — 3+ people in finance who need direction

✅ Complex operations — Multiple entities, international presence, diverse business units

✅ Active capital activities — Preparing for IPO, managing investors, frequent M&A

✅ Board/investor requirements — Stakeholders expect C-suite financial leadership

The Reality for Most SMEs

If your revenue is below RM50M, a full-time CFO is usually overqualified, underutilized, and expensive relative to value delivered.

You need CFO-level expertise. But you don't need it full-time.

That's where a CFO consultant comes in.

What Is a CFO Consultant?

A CFO consultant provides strategic financial guidance without the full-time commitment.

Think of them as your external financial co-pilot.

They don't replace your accountant or financial controller. They work alongside your existing team, providing the strategic layer that's been missing.

What They Do

Strategic Financial Analysis:

• Review and analyze monthly financials

• Identify trends, issues, and opportunities

• Build cash flow forecasts (3-6 months ahead)

• Create financial models for major decisions

Decision Support:

• Advise on hiring, expansion, capital investments

• Evaluate pricing strategies and margin improvement

• Guide fundraising strategy and preparation

• Run scenario planning ("What if revenue drops 20%?")

Financial Infrastructure:

• Design KPI dashboards and reporting systems

• Recommend improvements to financial processes

• Help implement financial controls

Two Engagement Models

Model 1: Ongoing Advisory (Monthly Retainer)

• A consistent montly fee

• Regular monthly meetings + ad-hoc support

• Long-term partnership (months to years)

• Best for businesses in RM2M-RM50M revenue range

Model 2: Project-Based

• Fixed fee or hourly rate

• Specific challenges (M&A due diligence, fundraising prep, restructuring)

• Defined timeline (Eg. 4-12 weeks)

• Best for one-time financial challenges

The Key Distinction

CFO consultants are external advisors, not internal operators.

They create the strategy and analysis. They guide your decisions. They build the roadmap.

But they don't manage your finance team day-to-day. They don't process payroll or chase payments.

They provide the expertise. You handle the execution.

The Real Difference: Side by Side

Factor	Full-Time CFO	CFO Consultant
Employment	Employee on payroll	External consultant
Time	40+ hours/week	4-10 hours/month
Team Management	Builds and manages team	Works with existing team
Integration	Fully embedded	Strategic partner only
Focus	Operations + Strategy	Primarily strategy
Best For	RM50M+ revenue	RM2M-RM50M revenue

The simplest way to think about it:

A full-time CFO runs your finance function.

A CFO consultant guides your finance function.

How to Decide Which You Need

Get clear on the problem you’re trying to solve

"I need strategic guidance on major financial decisions" → CFO consultant (monthly retainer)

"I need someone to build and manage a finance team" → Full-time CFO

"I'm facing a specific challenge (M&A, fundraising, restructuring)" → CFO consultant (project-based)

"I need daily financial operations oversight" → Full-time CFO

Need a CFO consultant?

At Douglas Loh & Associates, we've spent 32 years helping Malaysian business owners make sense of their numbers.

Our CFO consulting services give you expert strategic guidance without the full-time CFO price tag.

We work with you to:

✅ Understand where your money is really going

✅ Forecast cash flow with confidence

✅ Make data-driven decisions backed by financial modeling

✅ Build scalable financial systems

✅ Prepare for fundraising, expansion, or acquisitions

✅ Navigate Malaysian regulatory complexity

We'll become your ongoing strategic partner — available when you need guidance, invested in your success.

Ready to discuss whether CFO consulting is right for your business?

Let's have an honest conversation about where your business is and whether we can help you get where you want to go.

WhatsApp us now