A Financial Controller is a diverse group of accounting experts or a senior-level executive who works as the head of accounting and is responsible for the preparation of financial reports such as balance sheets and income statements. Financial controllership may be a challenging profession to define in several respects. It bridges the gap between accounting and finance strategy, as well as leadership.
The role of Financial Controller is developing, as are most current job definitions. Companies now anticipate greater strategic vision than in the past, and many financial controllers deliberately seek out these difficulties. A smart financial controller must pay attention to detail while also considering the big picture. They are responsible for assuring accuracy while also enhancing efficiency. In this blog, we will learn about what is a controller in finance? Differences between controller vs CFO, and the roles and responsibilities of a Financial Controller.
What is a Controller in Finance?
A financial controller is the primary accountant for a corporation. They supervise accounting processes and guarantee that ledgers correctly represent money entering and leaving the organization. Strategic controllers have an influence on company-wide decision making, planning, and budgeting based on accounting data.
The role of a financial controller is to offer extremely useful support to the chief financial officer of the company. The role of a financial controller is always dependent on the size of the business.
Responsibilities of a controller include: Sales tax reporting, management of information technologies, CPA audits, Insurance, Federal income tax reporting and Human resources. And in some cases, this role also includes project management. The controller may also be the “Head of Finance” or “Chief Financial Officer” in smaller finance teams (CFO). They must handle both of these "control" components of the job, as well as provide financial reports, create budgets, and plan firm expenditures.
As a result, when a company is seeking for a financial controller, the scope of the function might vary greatly.
Difference between Controller and a CFO
A financial controller traditionally manages an organization's accounting split, overseeing financial reporting, recordkeeping, auditing, and other critical functions for a company's compliance and financial health.
CFOs, on the other hand, usually provide high-level monitoring of your company's financials, with an emphasis on analysis and strategic planning that drives growth and competitive advantage. In most circumstances, CFOs rely largely on financial reporting and data from the financial controller to assess past performance and make business-related choices.
In this way, the controller function is crucial to defining where and how your company moves ahead, delivering reliable, actionable information to your executives in order for your organization to reach its maximum commercial potential.
What are Controller Services?
The Services of a Financial Controller include accounting, bookkeeping, management tasks within controller experts, skillset, and a scope. These services may consist of anything from financial reporting and regular compliance to internal controls, long-term financial planning, reconciliations and many more.
Always keep in mind that the services, roles and responsibilities of a financial controller may vary depending on the needs and the size of a company including the responsibilities assigned to the controller.
Preparing Financial Statements:
The Financial Controller monitors and prepares the financial reports which is essential to keep businesses functioning smoothly. Which includes
- Monitoring and preparing the income statements and balance sheet
- Preparing cash-flow statements
- Tracking expenses
- Controlling regulatory and management reporting
Finance and Accounting Services:
Controllers are responsible for a variety of accounting and finance-related tasks in addition to reporting. Which includes, but not limited to:
- Accounts receivable
- Accounts payable
- Accounting ledger analysis
- Creating corporate tax returns (sales & payroll)
- Reconciliations of bank accounts
- Development of internal controls
- Regulation compliance
- Insurance schedule management
- Collaboration with outside tax accountants
- Collection and cash flow management
Nowadays, financial controllers are acquiring expertise handling many of the high-level functions that are traditionally the domain of the CFO, such as, but not limited to:
- Financial investigation
- monetary planning
- Oversight of global finance
- Complex merger and acquisition management
- Planning for the future
- Relationships with investors
Why do you need to hire a Virtual Financial Controller?
Having an experienced controller on your team will ensure financial accuracy and regulatory compliance, as well as the assistance and insight required to uncover possibilities and create long-term success.
Professional financial controller services, whether employed on an as-needed or full-time basis, will assist assure accountability while setting your firm for the next critical step.
Hiring controller services for your expanding firm gives a cost-effective resource of help at a vital point in the lifespan of your organization. Some of the advantages of having an experienced remote financial controller collaborate with your accounting staff are as follows:
Lower personnel expenses:
Looking for a part-time controller can actually save your money as you can avoid the payroll, training cost and the salary of hiring a full-time employee.
Small businesses frequently invest significant time and resources in training to ensure that personnel are up to date on current trends and rules. However, by using a reputable remote controller service, you will have continuing access to a wide range of bookkeeping tools, technologies, and resources from a single handy place.
Most CEOs tailor outsourced controller services to their company's specific needs, allowing the CFO and accounting team to have expert help whenever and wherever they need it.
Without adequate separation of private information between departments of your firm, information is more likely to slip into the hands of the wrong people. Outsourced solutions assist to remove this risk while safeguarding sensitive information critical to your business.
Increased efficiency is Because online controller services are provided offshore, virtual controllers avoid the internal distractions that frequently impede objectivity and efficiency, resulting in improved job outputs that benefit both your organization and your clients.
Strategic financial advice:
Whether you're approaching a transition or simply planning for the future, an experienced outsourced controller team can give the strategic financial direction your company requires to maximize income streams and be prepared for what's ahead.
Fraud concerns have been reduced:
Outsourcing controller services may assist limit the possibility of collusion, cover-ups, and potential security breaches within and outside your business by providing impartiality and an outside viewpoint.
Outsourcing your controller services will help you save money, time, and boost business efficiency. We are a group of skilled accounting professionals and specialists with extensive expertise in a variety of sectors. You will receive access to our whole team of specialists' aggregate experience. Our team offers you with timely insights, reports, and analysis, allowing you to make sound business decisions.
We, Entelyglobal, as your controller, will bring our brand of service to the table and work with one aim in mind: to bring about efficiency and precision in financial administration, taking you to the next level of financial decision making. We acknowledge the uniqueness of each business and its evolving requirements. Our team of professionals ensures that compliance operations run effectively and that your management has the tools to make sound financial decisions. Do reach us for more info and services