Chief Financial Officer: a strategic role within the company

Discover the key role of the Chief Financial Officer (CFO) in the strategic management of a company. Duties, skills, salary and training: we tell you everything!

What is a Chief Financial Officer?

A key player in financial management and steering

The Chief Financial Officer (CFO) develops and implements financial strategies, oversees all accounting and financial operations, and ensures the company's profitability and performance. They play an essential role in strategic decision-making, providing detailed financial analyses that guide management in its development and investment choices.

In what types of company does a CFO work?

Large companies where they play a strategic role, supervising a large team and managing complex budgets, multiple sources of financing and international operations.

SMEs: where the CFO can be more versatile, handling accounting, financial management and sometimes even administrative and legal aspects.

Start-ups : often with a more flexible approach, they help structure the finances, raise funds and ensure healthy growth in an environment that is often evolving rapidly.

The public sector: where they oversee the management of public funds, compliance with legal standards and the optimisation of resources, particularly in contexts of strict control.

What are the duties of a Chief Financial Officer?

Developing the financial strategy and managing the budget

The CFO defines the company's financial strategy in line with its short-, medium- and long-term objectives. They analyse economic and financial trends to guide investment, financing and growth choices.

They oversee budget management: drawing up the annual budget, ensuring it is adhered to and adjusting financial forecasts according to the results achieved. They ensure the optimal allocation of resources and cost control.

Supervising accounting and management control

The CFO supervises the accounting teams to guarantee the accuracy and compliance of the company's financial statements.

They manage the company's cash, optimise working capital and make decisions to ensure the company's solvency and liquidity

Managing financing and cash

The CFO manages the company's cash, ensuring that the liquidity needed for the smooth running of the business is available. They optimise financial flows, oversee working capital and make decisions to guarantee the company's solvency. They are also responsible for managing financing, whether raising funds, negotiating loans or managing relations with banks and investors.

Managing the administrative and financial teams

Legal, tax and regulatory monitoring

The CFO carries out legal, tax and regulatory monitoring to ensure the company's compliance with current laws and regulations. They follow tax and legislative developments, adapt the company's practices to new standards and advise management on legal and tax risks. This duty helps secure the company's activities and avoid penalties or financial risks.

What skills and qualities are required to be a good CFO?

Expertise in finance, accounting and taxation

Expertise in finance, accounting and taxation is fundamental for a Chief Financial Officer (CFO). They must master accounting principles in order to produce reliable financial statements, understand financial management in order to optimise the company's resources and profitability, and keep up to date with tax rules to guarantee compliance with legal obligations while optimising the company's tax burden. This expertise enables them to make informed decisions and to advise management on best financial and tax practices.

Strategic vision and analytical ability

The CFO must be able to understand the company's long-term challenges and steer financial decisions according to these objectives. Their analytical ability allows them to assess financial data, identify trends and risks, and propose suitable solutions to maximise the company's performance and profitability. This dual skill set enables them to play a crucial role in strategic decision-making and financial planning.

Leadership and managerial skills

The CFO must lead and motivate their teams while ensuring effective management of the various financial and administrative functions. They must be able to rally their colleagues around the company's objectives, delegate appropriately and foster cooperation between departments. A good CFO inspires confidence, makes assertive decisions and supports the professional development of their teams, thereby contributing to the efficiency and overall performance of the organisation.

Rigour and stress management

Rigour guarantees the accuracy of financial analyses, adherence to deadlines and compliance with standards. At the same time, stress management is essential for making informed decisions, even in complex or urgent situations. A good CFO must be able to stay calm under pressure, organise their work methodically and handle financial crises or unforeseen events without compromising the quality of results.

Mastery of digital tools and financial software

The CFO must be comfortable with accounting and cash management software, as well as reporting and financial analysis tools. This includes tools such as Excel, ERPs (Enterprise Resource Planning), performance management software, and budget planning and forecasting tools. This mastery enables them to optimise financial processes, improve decision-making and guarantee the reliability and efficiency of financial operations.

Chief Financial Officer: salary and career progression

How much does a CFO earn?

Junior CFO (less than 5 years' experience):

Average salary: €50,000 to €70,000 gross per year.

Experienced CFO (5 to 10 years' experience):

Average salary: €70,000 to €100,000 gross per year.

Senior CFO (more than 10 years' experience):

Average salary: €100,000 to €150,000 gross per year, or more in large companies or very well-paid sectors.

Mid-sized company or SME :

The salary may be slightly lower, around €60,000 to €90,000 for an experienced CFO.

Large companies or multinationals :

The salary can reach €120,000 to €200,000 or more, with additional bonuses and benefits.

What are the career prospects for a CFO?

Group CFO: After several years of experience, a CFO can progress to the position of Group CFO, responsible for the financial management of all subsidiaries and for the financial strategy of an international group or a large company. This role involves a strategic vision on a larger scale, the management of complex finances and coordination between the group's different entities.

Managing Director (MD): An experienced CFO, with a solid understanding of the financial, operational and strategic aspects of the company, can progress to the position of Managing Director. This position involves the overall management of the company, from strategy to execution, with broader responsibility, including the management of operations, human resources and decision-making processes.

Financial management consultant: A CFO can also turn to a role as a financial management consultant or expert adviser. They offer their expertise to companies to help them optimise their financial processes, develop financing strategies or navigate complex restructuring or growth situations. This role can be carried out as an independent or within a consulting firm.

Entrepreneur or business founder: With their experience in financial management, a CFO can also decide to go into entrepreneurship, by founding their own company or investing in innovative projects.

Which sectors recruit the most CFOs?

The finance sector: Financial services companies, banks, audit firms and asset management companies regularly recruit CFOs. This sector demands specialist skills in financial management, compliance and risk analysis.

Industry: Large industrial companies, particularly in manufacturing, construction, automotive or aerospace, often need CFOs to manage complex budgets, long-term financing and infrastructure investment. This sector is a major recruiter of CFOs, particularly in large companies.

The technology sector : High-growth technology companies, including start-ups and digital sector companies, recruit CFOs to structure their financial management, raise funds and manage investment in research and development.

Healthcare: Healthcare establishments (hospitals, clinics, pharmaceutical laboratories) are also major recruiters of CFOs, in particular to manage complex budgets, optimise public and private funding and comply with the sector's strict regulations.

The public sector : Public administrations, local authorities and quasi-public bodies recruit CFOs to manage public finances, oversee public spending and ensure compliance with legal and tax standards.

Distribution and retail: This sector, particularly in large companies, needs CFOs to manage profitability, margins, inventory and logistics, as well as relations with suppliers and investors.

How do you become a Chief Financial Officer?

Training and qualifications required

Graduates of a business school with a specialisation in finance, accounting or business management are often preferred. The most common programmes are the Master's in Finance or a Master's in Management. These schools offer solid training in financial management, business strategy and management.

A Master's in accounting, finance or management from a recognised university is also a solid basis for reaching CFO positions. Courses in business administration or organisational management make it possible to master the skills required in the field.

For professionals who already have significant experience, an MBA in finance or strategic management is an excellent way to deepen their knowledge and acquire high-level skills in finance, management and business strategy. This type of training is often chosen by those aspiring to senior management positions.

Additional training in accounting (e.g. DSCG, the Diplôme Supérieur de Comptabilité et de Gestion, or advanced diploma in accounting and management), in risk management or in financial audit can also be useful for reaching the CFO position, depending on the specifics of the sector.

Typical experience and career path of a CFO

Early career (0 to 5 years): management controller, auditor or accountant

After training in finance, a future CFO often starts out as a management controller, financial auditor (in a firm such as EY, Deloitte, KPMG or PwC) or accountant.

These positions provide expertise in financial analysis, budget management and reporting.

Taking on more responsibility (5 to 10 years): finance manager or director of management control

After a few years, a professional moves on to positions such as finance manager, director of management control or chief accountant.

They oversee the company's financial management, take part in strategic decisions and begin to lead teams.

Reaching the CFO position (10 years and over)

With solid experience, they can become the CFO of an SME or deputy CFO in a large company.

They take charge of all the company's finances, from cash management to risk management and financial strategy.

Possible progression

After several years as a CFO, they can progress to the position of Group CFO or Managing Director, or become a financial management consultant.

Certifications and specialisations in finance and business management

Certifications in finance and accounting

DSCG (Diplôme Supérieur de Comptabilité et de Gestion): Provides access to senior positions in accounting, audit and finance.
DEC (Diplôme d'Expertise Comptable): For those who want advanced expertise in accounting and financial management.
CIMA (Chartered Institute of Management Accountants): International certification in management accounting and financial strategy.
ACCA (Association of Chartered Certified Accountants): International recognition in accounting and financial management.

Certifications in financial management and strategy

CFA (Chartered Financial Analyst): Renowned in the field of financial analysis and investment.
FRM (Financial Risk Manager): Specialised in financial risk management.
Certified Treasury Professional (CTP): For CFOs specialising in cash management and optimisation of financial flows.

Certifications in business management and leadership

MBA in finance or business management: An MBA from a leading school provides a strategic and managerial vision.
Executive MBA (EMBA): Ideal for executives wishing to progress to senior management positions.
Lean Finance certification: To optimise financial management according to the principles of Lean Management.