As delegates at the 2024 Finance Indaba heard, being a CFO at a startup means having to deal with every single aspect of the financial role, from tax returns and accounting, through to providing strategic direction. Sometimes, it also means going out and buying the milk.
CFOs at Snapscan and JobJack shared their experience of being in charge of the entire finance function at the 2024 Finance Indaba, with both having very similar stories in terms of the challenges they faced.
CFO of Snapscan Derick Truscott said being in that position means getting comfortable with the idea of moving between skill sets, like filing tax returns but also being able to think ‘big picture’. “You join a small company like this, you do all of it… It’s very daunting at the start, but as you get into it, it becomes very comfortable. You get to see all the company.”
Danya von Scheliha, CFO of JobJack, concurred, adding: “I ran errands, I purchased milk, whatever needed doing, I did. We didn’t have an HR function yet, so I took on HR.”
She also ended up running sales. “It’s been frightening, it’s been exciting, it’s been scary, but it’s also been very rewarding… one of the things I’ve realised is that perfection is totally overrated. Progress is more important than perfection,” said Danya.
Derick also pointed to the issue of “imposter syndrome,” saying that it never goes away, and it will always be a stressor, but he’s learnt to structure life so he can mostly skirt away from it. “To be honest, I prefer imposter syndrome over boredom.”
He added that, as a leader you need to show confidence, so it’s how you respond to this sort of feeling and how you learn to deal with it. “The only way you are going to grow that muscle is to exercise that muscle. Are you going to get it wrong? Absolutely.”
While CFOs may get it wrong as they get used to the role they need to play in a startup, there will be great moments of success, the CFOs noted. Danya explained that she was often paralysed by indecision and doubted herself, only to see a few months later that she would have made the correct call.
At some point, CFOs will have to hire other staff members for the accounting function, especially when the company’s teams start getting bigger, said Derick. He said the right time to do this is when they hit an inflection point.
He said the first hire is the hardest, as the CFO will be relinquishing control and visibility. However, this will reduce what took up 80 percent of the time to 20 percent, which can then be used efficiently.
“You can’t be sitting there processing the rands and cents anymore. It’s a waste of your time,” he said.
Danya said it was difficult to get a place where she could upskill and trust. “That transition was a big change for me as well.”
