At $1M ARR, I think a CFO is overkill (and hideously expensive). In my experience:
- $0 - $1M-ish, hire a part-time bookkeeper
- $1M - $5M-ish, get a director of finance / controller, who can manage AR/AP, audit, ASC 606, basic financial modeling, and your key rev benchmarks.
- $5M+ is when I'd consider hiring a CFO, but it really depends on your growth rate. You can probably get to $10M+ with a good dir of finance if you get them to hire a good FP&A person.
- $0 - $1M-ish, hire a part-time bookkeeper
- $1M - $5M-ish, get a director of finance / controller, who can manage AR/AP, audit, ASC 606, basic financial modeling, and your key rev benchmarks.
- $5M+ is when I'd consider hiring a CFO, but it really depends on your growth rate. You can probably get to $10M+ with a good dir of finance if you get them to hire a good FP&A person.