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Five signs you need a fractional CFO on your team

Aarish Shah

February 5, 2026

At some point between raising your first proper round and gearing up for the next one, finance stops being a back office problem and starts becoming a leadership one.For most seed to Series B startups, founders realise this moment when it feels like suddenly investors are beginning to ask heavier questions, and your decisions carry more risk. This is usually when founders start asking whether it is time for a CFO, but a full time hire feels too early.That is where a fractional CFO often makes sense. Here are five signs it might be time to bring one in.

1. You are raising, or about to raise, another round

Fundraising changes the game. Investors expect clear numbers, a credible forecast, and a narrative that links your strategy to your financials.

If you are still pulling numbers together at the last minute or relying on historic data that does not really explain where the business is heading, you are making life harder than it needs to be. A fractional CFO can help you build a model that actually reflects how your startup works, stress test your assumptions, and get you investor ready without hiring full time too soon.

2. Cash feels tight, even though revenue is growing

Growth does not automatically mean control. Many startups hit a phase where revenue is climbing, headcount is growing, and yet cash always feels a bit uncomfortable.

This is often a sign that working capital, burn rate, or spend prioritisation is not getting enough attention. A fractional CFO brings a clear view of cash in and cash out, helping you understand what is driving burn and where you can extend runway without choking growth.

3. Founders are making big financial decisions without a second opinion

Hiring plans, pricing changes, international expansion, debt facilities. These decisions shape the future of the business and they are rarely straightforward.

If founders are making these calls alone or relying on gut feel, that is a risk. A fractional CFO gives you a sounding board with pattern recognition from other VC-backed startups. Someone who can challenge assumptions, quantify trade offs, and help you choose the option that best supports your long term goals.

4. Your finance stack is starting to creak

What worked at pre-seed often does not scale. Manual processes, disconnected tools, and messy reporting can quickly become a distraction for the whole team.

A fractional CFO can help you design a finance setup that grows with you. That often includes working closely with modern treasury and cash management platforms like Round Treasury, so founders have real visibility over cash positions, payments, and controls without unnecessary complexity.

5. Investors are asking tougher questions

As you move from seed towards Series B, the tone of investor conversations shifts. There is more focus on unit economics, efficiency, predictability, and governance.

If board meetings feel stressful because you are reacting rather than leading with the numbers, it is a strong signal that you need senior financial leadership. A fractional CFO helps you stay ahead of those conversations and build trust with investors through clarity and confidence.

For many startups, a fractional CFO is the bridge between scrappy early finance and a future full time hire. It is about getting the right level of experience at the right moment, without overbuilding too early.

If any of these signs feel familiar, it might be time to stop winging it and start treating finance as a strategic advantage.

At EmergeOne, this is exactly where we do our best work. We partner with seed to Series B VC-backed startups to give them senior financial leadership without the overhead of a full time hire. That means clear models, confident investor conversations, and decisions grounded in reality, not guesswork. We work alongside founders, their investors, and tools like Round Treasury to turn finance into something that actually supports growth, rather than slowing it down.

If this sounds familiar and you are thinking about what finance leadership should look like at your stage, get in touch. The team at EmergeOne is always happy to talk things through and see whether a fractional CFO could be the right next step.

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