As complicated as a business’ finances can be, it makes sense that businesses usually have several people managing their finances – one of them being the controller. Below we will explain what a controller is and the function they play in a business’ finance department. Let’s dive in!
What Is a Controller?
A controller is usually the head of the finance department, reporting only to the CFO, or the Chief Financial Officer. The controller usually manages a variety of employees in the finance department like accountants, payroll managers, and tax managers. Treasurers are another part of a well-rounded finance department, but they are often considered a peer to controllers and also report directly to the CFO.
The structure we just described is one for a larger company, but in a smaller business, the structure of the finance department is a lot simpler. Many times in a small business the controller reports to the president or owner of the company and will just have an accounts payable clerk to assist them. The structure of the finance department is completely dependent on the size of the business and the cash flow they handle.
What Does a Controller Do?
Now that you understand what a controller is, let’s take a look at what they do. As we mentioned, a controller is typically the head of the finance department, so their day-to-day is very high level. They’re often double checking or approving the work of the clerks and accountants that report to them, or putting together reports for the CFO and other executives.
Common tasks of a controller include creating budgets, overseeing payroll, signing sales tax returns, signing checks, and managing strategic plans. Of course, along with the business responsibilities, as a people manager, full-time controllers are also responsible for overseeing performance reviews and having hard discussions with their employees when needed.
Does My Business Need a Controller?
Not every business needs a controller, and the ones who do may not need one permanently or full-time. This is where a controller consultant or finance consulting agency comes into the picture. During especially hectic times like tax season, hiring a controller or an additional controller through a consulting agency can be extremely beneficial for your business.
Not only will a part-time controller save your business money since you won’t have to hire another full-time employee, but the time they will save you is invaluable. The expertise a controller can bring to your company can completely turn around your business’ finances for the better.
If you’re located in the central Texas area, choose PAS Consulting for all of your part-time and interim controller needs. Our controllers are experts in their fields and are available to share their expertise with your business. Give us a call today to discuss your finance department’s needs!