An outsourced CFO provides strategic financial oversight for foreign subsidiaries without the cost of a full-time hire. Services include management reporting, budgeting, cash flow forecasting, board reporting, and liaison with auditors. Particularly valuable for foreign companies in their first 1–3 years of Australian operations.
CFO Services
Foreign companies with Australian operations rarely need a full-time Chief Financial Officer based in Australia. A permanent CFO in Sydney or Melbourne commands a salary of $300,000 to $500,000 plus superannuation and bonuses, which is difficult to justify when your Australian revenue is a fraction of group turnover. Australian Business Register provides fractional CFO services that give your Australian subsidiary or branch access to senior financial leadership on a part-time or project basis. Our CFOs work alongside your overseas finance team, providing the strategic financial guidance, board reporting, and regulatory expertise your Australian operations need.
What a Fractional CFO Does for Your Australian Operations
A fractional CFO delivers the same strategic finance functions as a full-time executive but on a flexible basis, typically two to eight days per month depending on the complexity of your Australian operations. The role focuses on areas where senior finance expertise adds the most value.
Strategic Financial Planning
Your fractional CFO develops the financial strategy for your Australian operations in alignment with group objectives. This includes annual and multi-year financial plans, pricing strategy analysis for the Australian market, market entry or expansion financial modelling, capital allocation decisions between Australian and group operations, and return on investment analysis for Australian projects and initiatives. Unlike a bookkeeper or accountant focused on recording what has happened, the CFO focuses on what should happen next and how to fund it.
Board and Stakeholder Reporting
The CFO prepares and presents financial reports for your Australian board meetings and parent company reviews. Board packs include financial performance against budget, cash flow position and forecast, risk analysis and mitigation updates, capital expenditure tracking, and strategic initiative progress. For companies with an Australian board that includes non-executive directors, the CFO serves as the primary financial liaison between management and the board.
Cash Flow and Working Capital Management
Cash management is critical for foreign-owned Australian operations, particularly when funding comes from overseas. Your CFO manages rolling cash flow forecasts (typically 13-week and 12-month horizons), working capital optimisation including debtor and creditor management, inter-company funding arrangements and loan documentation, foreign currency exposure identification and hedging recommendations, and banking relationships and facility management. Australian banking requires local engagement. Your CFO maintains relationships with your Australian bank, manages facility renewals, and ensures covenant compliance.
Investor and Lender Relations
If your Australian operations require external funding, debt facilities, or investor engagement, the CFO leads the financial side of these relationships. This covers preparation of financial information for due diligence, lender covenant reporting and compliance, investor presentations and financial Q&A, and capital raising documentation including information memoranda. For Australian subsidiaries seeking local debt facilities, the CFO coordinates with banks and prepares the financial case for credit approval.
Regulatory and Compliance Oversight
Australian financial regulations impose specific obligations on foreign-owned companies. Your fractional CFO provides the senior-level oversight needed to manage these requirements effectively.
ASIC Financial Reporting
Large proprietary companies and foreign-controlled entities must prepare and lodge financial reports with ASIC under Chapter 2M of the Corporations Act. The thresholds for mandatory reporting are meeting two of three criteria: consolidated revenue of $50 million or more, consolidated gross assets of $25 million or more, or 100 or more employees. Foreign-controlled small proprietary companies may also be required to lodge if directed by ASIC or their shareholders. Your CFO oversees the preparation of these reports, coordinates with auditors, and ensures lodgement within the statutory deadline of four months after financial year-end. Late lodgement penalties can reach $1,110,000 for companies.
Transfer Pricing Governance
The ATO places significant emphasis on transfer pricing compliance for foreign-owned Australian entities. Under Division 815 of the Income Tax Assessment Act, related-party transactions must be conducted at arm’s length. Your CFO establishes transfer pricing governance frameworks, reviews inter-company pricing agreements, ensures proper documentation is maintained, and coordinates with transfer pricing advisors when required. The ATO’s Justified Trust program specifically targets foreign-owned entities, making transfer pricing governance a board-level priority.
Tax Strategy and Planning
Your CFO provides oversight of your Australian tax position, working with your tax advisors to manage income tax obligations and instalment calculations, withholding tax on cross-border payments (dividends, interest, royalties), GST compliance and BAS review, fringe benefits tax exposure, and state-based taxes including payroll tax and stamp duty. The CFO role does not replace your tax agent but provides the financial context and strategic direction that ensures tax is managed proactively rather than reactively.
When You Need a Fractional CFO
Not every Australian operation needs CFO-level support from day one. The following situations typically trigger the need for senior financial leadership.
Scaling Australian Operations
When your Australian headcount exceeds 15-20 people or revenue passes $5 million, the financial complexity increases beyond what bookkeeping and basic accounting can manage. Budgeting, cash flow planning, and management reporting require senior oversight.
Regulatory Triggers
When your Australian entity hits ASIC financial reporting thresholds (particularly the foreign-controlled company rules), you need someone with the experience to oversee preparation of audited financial statements and manage the audit relationship.
Capital Raising or M&A
If your Australian operations are involved in fundraising, acquiring businesses, or being prepared for sale, a CFO is essential for financial due diligence, deal modelling, and investor or acquirer communication.
Financial Challenges
If your Australian operations are underperforming, burning through cash, or facing compliance issues, a CFO brings the analytical skills and experience to diagnose problems, develop recovery plans, and implement financial controls.
How Our Fractional CFO Service Works
Our fractional CFO engagement is structured to integrate with your existing team and provide consistent, reliable senior financial leadership.
Engagement Structure
Typical engagements range from two days per month for smaller operations to eight days per month for complex businesses. Your CFO attends monthly or quarterly board meetings (in person or via video), is available for ad hoc calls and urgent matters, and provides written reports and analysis on an agreed schedule. The engagement is not limited to a fixed number of hours. We agree a monthly scope and fee, and your CFO manages their time to deliver the agreed outputs.
Integration with Your Team
Your fractional CFO works with your existing finance resources, whether that is an internal bookkeeper, our outsourced finance function, or a combination. The CFO provides direction and oversight to the transactional finance team, reviews and approves management reports before they go to the board, and serves as the escalation point for financial matters that exceed routine scope.
Onboarding Process
The first month focuses on understanding your business, financial position, and priorities:
- Week 1 – Review of financial statements, management reports, budgets, and forecasts
- Week 2 – Assessment of financial processes, systems, controls, and compliance status
- Week 3 – Meetings with key stakeholders including overseas management, Australian team, auditors, and bankers
- Week 4 – Delivery of a 90-day plan identifying priorities, quick wins, and recommended improvements
The ABR Advantage
Selecting a fractional CFO provider requires confidence in the individual’s qualifications and the supporting infrastructure behind them.
Qualifications and Experience
Our CFOs hold CA or CPA designations with the experience and technical knowledge to manage the financial affairs of Australian operations for international companies. They have direct experience with ASIC reporting, ATO compliance, transfer pricing, multi-currency accounting, and Australian banking. They understand the specific challenges foreign companies face, including cross-border cash management, FX risk, and dual reporting requirements.
Support Team
Your CFO is backed by our wider team, including bookkeepers, BAS agents, tax advisors, and corporate secretarial professionals. This means your CFO can delegate transactional and compliance tasks to qualified team members, ensuring their time is spent on the strategic and analytical work that delivers the most value to your business.
Continuity and Backup
Unlike a sole practitioner arrangement, our fractional CFO service includes built-in continuity. If your primary CFO is unavailable (due to leave, illness, or other commitments), a qualified colleague steps in with full access to your financial records and reporting history. Your board meetings are never postponed because the CFO is away.
Pricing and Engagement Terms
Our fractional CFO service is priced on a fixed monthly retainer based on the agreed scope and time commitment. This gives you predictable costs without the risk of hourly billing overruns.
| Engagement Level | Typical Time | Suitable For |
|---|---|---|
| Advisory | 2-3 days per month | Smaller operations needing strategic oversight, quarterly board meetings, annual budgeting |
| Standard | 4-5 days per month | Mid-size operations with monthly board reporting, active cash management, and regular management input |
| Intensive | 6-8 days per month | Larger operations, those with ASIC reporting obligations, active fundraising, or M&A activity |
Engagements are agreed on a minimum six-month term to allow for proper onboarding and value delivery, with monthly rolling terms thereafter. We provide a detailed scope document before engagement commences, setting out deliverables, meeting schedules, and communication protocols.
Contact Australian Business Register on +61 2 8599 9890 or email [email protected] to discuss whether a fractional CFO is the right solution for your Australian operations.
Frequently Asked Questions
How many days per month does a fractional CFO typically work?
Most engagements range from two to eight days per month. Smaller operations with straightforward financial structures typically need two to three days. Companies with ASIC reporting obligations, complex inter-company arrangements, or active board meetings may need five to eight days. The engagement can scale up or down as your business needs change.
Can a fractional CFO attend our Australian board meetings?
Yes. Your fractional CFO prepares the financial sections of board packs and attends board meetings either in person (for Sydney-based meetings) or via video conference. For companies with resident directors appointed through our service, we can coordinate board meeting logistics and ensure all governance requirements are met.
What is the difference between CFO services and outsourced finance?
Our outsourced finance function handles the day-to-day financial operations: bookkeeping, BAS lodgement, management reporting, and compliance. CFO services sit above this, providing strategic direction, board-level reporting, and financial leadership. Many clients use both services together, with the outsourced finance team handling operations and the CFO providing oversight and strategy.
Do we still need a tax advisor if we have a fractional CFO?
Yes. The CFO provides financial strategy and oversight but does not replace your tax agent for technical tax compliance work such as income tax returns, transfer pricing documentation, or ATO dispute resolution. Your CFO works with your tax advisor to ensure tax is managed strategically and compliance deadlines are met.
How quickly can a fractional CFO start?
We can typically begin an engagement within two weeks of signing the service agreement. The first month is an onboarding phase focused on understanding your business and establishing priorities. Full-scope service delivery is usually in place by the end of the second month.
Can a fractional CFO help us raise capital in Australia?
Yes. If your Australian operations require external debt or equity, the CFO leads the financial preparation, including building financial models, preparing information memoranda, coordinating due diligence, and managing lender or investor communications. For debt facilities with Australian banks, the CFO maintains the banking relationship, manages covenant reporting, and handles facility renewals.
What qualifications do your fractional CFOs hold?
Our CFOs hold Chartered Accountant (CA) or CPA designations through Chartered Accountants Australia and New Zealand or CPA Australia. They are registered with the Tax Practitioners Board and have direct experience with ASIC financial reporting, ATO compliance, multi-currency accounting, and cross-border financial management. Most have also completed governance training through the Australian Institute of Company Directors (AICD).
Can a fractional CFO manage our Australian audit process?
Yes. The CFO coordinates the annual audit process from start to finish, including selecting and engaging auditors, preparing the audit timeline and schedule, coordinating audit fieldwork and information requests, reviewing audit findings and management letter items, and presenting audited financial statements to the board. For foreign-controlled companies required to lodge audited financial statements with ASIC, the CFO ensures the audit is completed within the four-month statutory deadline after financial year-end.
Related Services
CFO services are frequently combined with:
- Outsourced Finance Function – Day-to-day financial operations and management reporting
- Taxation Services – Technical tax compliance and advisory
- ASIC Corporate Secretarial – Company secretarial and statutory compliance
- Non-Executive Director Services – Independent board governance