There’s a specific moment most founders hit.
The business is working. Revenue is growing. The team is expanding. But the finances — the real, forward-looking understanding of where the money is going and whether the business can sustain what’s coming next — feel increasingly out of reach.
The accountant handles the compliance. The bookkeeper handles the transactions. But nobody is looking ahead. Nobody is modelling the next 12 months. Nobody is sitting in the room when the big decisions get made and asking the right financial questions.
That’s the gap a fractional finance director fills.
What is a fractional finance director?
A fractional finance director is a senior finance professional who works with your business on a part-time or retained basis — typically one or two days a week — rather than as a full-time employee.
The word “fractional” simply means a fraction of their time. But the expertise is the same as a full-time Finance Director — the kind of senior financial leadership that was previously only accessible to larger businesses with the budget to employ one.
You get the strategic financial thinking, the hands-on involvement, and the boardroom-level perspective — without the six-figure salary, the employer’s NI, the pension contributions, or the long-term employment commitment.
What does a fractional finance director actually do?
This is where it differs significantly from what your accountant does.
Your accountant’s job is to report on what has already happened — the statutory accounts, the tax return, the compliance obligations. That’s valuable, and it’s necessary. But it’s backwards-looking by design.
A fractional finance director’s job is to look forward. In practice, that means:
- Cash flow forecasting. Building and maintaining a rolling cash flow forecast so you always know what your position will be in 4, 8, and 12 weeks — not just what it was last month.
- Management reporting. Creating clear, timely financial reporting that tells you how the business is actually performing — by product, by client, by team — not just in aggregate.
- Financial planning. Building an annual financial plan and budget that connects your commercial ambitions to the numbers — so you know whether your growth targets are actually fundable.
- Decision support. Modelling the financial impact of big decisions before you make them — a new hire, a price change, a new service line, an acquisition — so you can see the upside and the downside clearly.
- Investor and bank relationships. If you’re raising investment, seeking finance, or reporting to external stakeholders, a fractional FD prepares and presents the financial case — and speaks the language investors and lenders expect.
How is a fractional FD different from an accountant or bookkeeper?
It helps to think of the three roles as a timeline.
Your bookkeeper records what has happened — transactions, invoices, reconciliations. Essential groundwork.
Your accountant reports on what has happened — the annual accounts, tax obligations, compliance. Valuable, and legally required.
Your fractional finance director focuses on what is going to happen — and helps you make better decisions because of it.
The three roles are complementary, not competitive. A good fractional FD works alongside your existing accountant — they’re not replacing them. They’re adding the forward-looking layer that compliance-focused accountants aren’t set up to provide.
Who is a fractional finance director for?
The fractional model works best for businesses that have outgrown their current finance setup but aren’t yet at the scale where a full-time Finance Director makes financial sense.
In practice, that’s typically founder-led businesses in the £3m–£15m revenue range. Businesses that are growing, making real decisions, carrying real risk — but running their finances on a setup designed for a much smaller operation.
You might be at this stage if:
- Your cash flow feels unpredictable despite reasonable profitability
- You’re making significant decisions without solid financial modelling behind them
- Finance is taking up more of your time than it should
- You’re planning something significant — investment, acquisition, rapid growth — and need the financial rigour to do it properly
- You want a senior financial perspective in the room when it matters, without the cost of a permanent hire
If two or more of those feel familiar, it’s probably worth a conversation.
What does a fractional finance director cost?
A full-time Finance Director in the UK typically costs £80,000–£130,000 per year in salary alone — before you add employer’s NI, pension, benefits, and the time cost of recruitment.
A fractional finance director typically works on a retained monthly basis — usually in the range of £1,500–£3,500 per month depending on the time commitment and complexity involved. For most businesses in the £3m–£15m range, that means access to exactly the financial leadership they need, at a fraction of the full-time cost.
Financial clarity. Without the full-time cost.
Not sure if you’re at that stage yet?
Read our post on 5 signs your business has outgrown its finance setup — a practical checklist that helps you work out where you actually stand.
Want a quick sense check? Download our free guide: 5 Signs You’ve Outgrown Your Finance Setup. A straightforward checklist for founders who want to know if they’re at the stage where a fractional FD would make a real difference.
Ready to talk?
If this sounds like where your business is right now, the best next step is a straightforward conversation. No jargon, no sales pitch — just an honest discussion about your numbers, where the gaps are, and whether working together makes sense.
Book a free 30-minute call below.
Jon Fellows is a Fractional Finance Director based in Worcestershire, working with founders of £3m–£15m businesses who want financial clarity without the full-time cost. additionalconsultants.co.uk