You don’t need a full-time CFO to get ready for investors. In fact, most early-stage startups shouldn’t hire one. It’s expensive, often premature, and rarely the best use of resources. But that doesn’t mean you can wing it when it comes to financials. Investors still expect a level of clarity, structure and confidence that goes well beyond spreadsheets and guesswork.
Here’s how you can get investor-ready without bringing on a full-time CFO.
- Know what investors actually care about
You don’t need a 100-page financial model or five-year forecasts that pretend to know the unknowable. Investors want to see that you understand your numbers, your levers, and your plan for growth. They’re looking for:
- A clean, accurate P&L and Cash Flow
- And understanding of runway and burn rate
- A good understanding of your Unit Economics
- A clear funding ask, and the milestones it’ll help you reach
- Realistic use of funds
You should be able to speak to each of these confidently, even if you’re not the one building the spreadsheets.
- Get your financials in order
Before you think about raising, tidy up the basics. This means:
- Up-to-date bookkeeping
- Clear categorisation of revenue and costs
- A move from cash to accrual accounting
- A simple reporting structure that you understand
It sounds obvious, but messy accounts are one of the biggest red flags investors see early on. You don’t need bells and whistles, but you do need your house in order.
- Build a fit-for-purpose model
You don’t need the fanciest financial model. You do need a model that fits your stage and shows how you think about your business. That might mean:
- A simple 12- to 36-month forecast
- Base case, best case, and worst case scenarios
- Key assumptions clearly laid out
- Growth drivers mapped to spend
A good model helps you get clear on what you’re asking for and why. It also shows investors that you understand the trade-offs ahead.
- Bring in experienced help (without hiring full-time)
This is where a fractional CFO can be a game-changer. Instead of hiring someone full-time, you bring in an experienced operator who’s worked with early-stage businesses and knows what investors are looking for.
They’ll help you:
- Build or clean up your financial model
- Stress-test your assumptions
- Structure your fundraising narrative
- Join calls or investor meetings if needed
You get the strategic input without the long-term commitment or full-time salary.
- Practice the narrative, not just the numbers
Investors invest in stories, not just spreadsheets. You’ll need to connect your numbers to your vision in a way that’s compelling and grounded. That means being able to explain:
- Where the business is now
- Where it’s going
- How much capital you need to get there
- What success looks like in 12, 18, or 24 months
This is where founders often trip up. They know the product and the mission, but they haven’t linked the numbers to the story. A good fractional CFO will help you bridge that gap.
Final thought
Getting investor-ready doesn’t mean becoming a finance expert overnight. It means showing that you take the financial side seriously, even if it’s not your background. With the right support, you can build the confidence and credibility investors look for, without hiring a full-time CFO before you need one.
If you’re close to raising or thinking about it in the next 6 to 12 months, it’s worth bringing in a fractional CFO early. The earlier you start prepping, the smoother the process will be.