What is The Difference Between an Accountant, CFO and Expense Reduction Consultant?
Certified Financial Officer
Expense Reduction Consultant
|Compiles your companies financial statements from client-provided data.||Plans, considers and decides how financial transactions will be booked, consistent with the objectives and strategies of the business.||Compiles individual spend category analysis reviewing each item purchased by vendor from client and vendor provided data.|
|Works mostly in the past– using the historical data from your business||Plans, forecasts, budgets and projects the future financial performance of the company conforming to the company’s objectives, strategies and capacity to perform.||Works totally in the past from historical data. Using this data a baseline report is created to establish a level to measure from.|
|Delivers updated financials weeks or months after the close of an accounting period(month, quarter, or year)||Focuses on a clean, quick, and complete closing of the books within days of the end of the period. Generally monitors on a daily or weekly real-time basis key indicators of performance.||Delivers comparative savings reports illustrating an implementation strategy on how to effect savings.|
|Compiles financial statements in accordance with tax and regulatory requirements and practices consistent with the type of business operated.||Analyzes results in the context of the company’s objectives, strategies, and owners’ intent for the business. Establishes key indicators that provides early warning for management based on the above criteria.||Compiles monthly savings performance reports after the close of the accounting period detailing each item purchased, savings achieved as well as any items that might be problematic.|
|The financial statements compiled can be relied upon by third parties, such as banks, creditors and investors.||Works to maximize the value of the business for the owners while remaining within loan covenants, creditor requirements and other financial restrictions.||Maintains good communication with your vendors so that the value received and service levels promised are maintained.|
|Assumes you (the owner or CEO) are going to read and understand the financial statements as delivered.||Makes certain you (the owner or CEO) understand the financials, the trends and the issues they identify. Reviews them line by line with you, if necessary.||Has, at a minimum, a quarterly meeting with you (the owner,CEO or management team) to review the results and to address any concerns.|
|Does what they are hired to do – generally Bookkeeping,Taxes and Audits – which could also including mid-year tax planning, quarterly estimates, and appropriate posting of expenses.||Does what he’s hired to do – help you strategize, plan and operate your business to your maximum financial advantage.||Does what he’s hired to do – recover overpaid expenses and reduce the chosen spend categories going forward.|
|Is compensated regardless of success or failure of your business.||Is compensated regardless of success or failure of your business.||Is compensated solely on sharing in the success of finding your company savings. If they cannot find overpayments or save you money, you pay no fees.|
Published by Marc Freedman
Marc currently serves as our Chief Cost Evaluator, expertly advising our client management team on how to help you successfully achieve your business and financial growth goals. A respected mentor to all he consults with, he is an avid collaborator and contributor to the spend consultant community, guiding thought leaders to formulate, design, and install the best operational solutions available to their clients.