HOW OWNER MANAGED BUSINESSES CAN GUARANTEE TO

Interim vs Permanent Finance Hires: What's right for your business?

Having specialised in placing senior interim accountants in Yorkshire for over 20 years, I’ve seen all kinds of reasons behind the need for a business to recruit new finance staff but how many of those companies made the right call….at the right time? The decision to hire an interim or permanent finance professional is a significant one, and it largely depends on the company’s specific needs, objectives, and resources. Both types of finance jobs have distinct advantages and can provide different types of value to an organisation. In this article, I’ll explore the key benefits of hiring an interim vs a permanent accountancy and finance professional. Understanding the Roles: Interim vs. Permanent Finance Professionals Before diving into the benefits, it's essential to understand the fundamental differences between interim and permanent. Interim Finance Professionals: are typically brought in on a short-term basis to address specific challenges or temporary gaps within a company.These professionals are usually highly experienced, often with a broad skill set, and are capable of stepping into a role quickly. Interim finance professionals might be hired for a variety of reasons, including covering for a permanent employee on leave, assisting with a specific project, managing transitions, or handling urgent financial needs. Permanent Finance Professionals: on the other hand, are hired to take on a long-term role within the company. They typically have a more stable and ongoing relationship with the organisation, working closely with other departments and employees to ensure the company’s financial health is maintained and improved. A permanent finance professional is expected to provide continuous support, helping shape long-term strategies, and ensuring business growth and stability. With these definitions in mind, let's explore the benefits of each type.Benefits of Hiring an Interim Finance Professional 1. Flexibility and Immediate Impact: One of the most significant advantages of hiring an interim accountancy/finance candidate is flexibility. Interim candidates are typically available to step in quickly, often within a matter of weeks or even days. This is especially beneficial for businesses that need immediate support within their finance function due to an unexpected situation or an urgent financial project. For example, if a company faces a sudden crisis, such as the resignation of a senior finance executive, a business owner might need an interim finance leader to fill the role temporarily. The interim candidate can quickly assume responsibilities, such as overseeing cash flow management, financial reporting, and budget planning, allowing the business to continue operating smoothly during the transition period. Additionally, interims can be engaged for specific, short-term projects, such as managing the implementation of a new financial system, preparing for audits, or dealing with temporary increases in workload. The flexibility of interim senior finance roles makes them ideal for businesses looking to meet specific short-term goals without the need to commit to a permanent hire. 2. Cost-Effective for Short-Term Needs Hiring an interim accountant can often be more cost-effective than hiring a permanent one, particularly for short-term or project-based needs. Interims are typically paid a daily or weekly rate, which means businesses do not need to cover the long-term costs associated with a permanent employee, such as pensions, healthcare, and other benefits. For companies operating on tight budgets or with fluctuating financial demands, hiring an interim professional can be a way to access high-level expertise without committing to the ongoing costs of a permanent hire. This is particularly valuable for small and medium-sized enterprises (SMEs) that may not have the financial capacity to employ a full-time senior finance professional with the expertise required to fulfil their requirements. 3. Expertise and Specialisation Interim finance professionals often bring a wealth of experience and unique knowledge to the table. Many have worked across various industries, providing them with a broad understanding of different financial challenges and solutions. Their expertise enables them to quickly assess the situation, identify the key issues, and implement strategies that can drive immediate improvements. Whether it’s managing complex financial reporting, overseeing mergers and acquisitions, or implementing cost-saving initiatives, interim finance professionals possess the necessary skills to tackle these challenges quickly and effectively. For businesses that require specialised financial expertise on a temporary or interim basis, hiring an interim professional can be a great solution. 4. Support During Transitions and Change Businesses that are going through periods of change—whether it’s a merger, acquisition, restructure, or IT system upgrade—can benefit from the support of an interim finance professional. These transitions often require specialist knowledge to ensure a smooth process. They can help with tasks such as conducting due diligence, integrating financial systems, or managing financial communications with stakeholders. Their ability to handle high-pressure situations and adapt to challenges quickly makes them invaluable during periods of change. 5. Reduced Recruitment Risk If a business is uncertain about hiring a permanent employee or simply wants to test the waters, hiring an interim can reduce the recruitment risk. They are often hired for their ability to deliver results quickly, without the long-term commitment that comes with a permanent role. If the business is not satisfied with the interims performance, they can simply replace them without the added complications that come with a permanent hire. This can be especially important for businesses that may be unsure about the long-term financial strategy or need time to evaluate the suitability of a new hire before committing to them permanently. Benefits of Hiring a Permanent Finance Professional 1.Long-Term Strategic Support A permanent finance hire, hopefully, becomes an integral part of the company’s long-term strategy. This individual will be responsible for the company’s ongoing financial health, working closely with management to shape business decisions, optimise financial performance, and align the company’s financial goals with its strategic objectives. Permanent finance professionals can help businesses by offering consistent advice on areas like tax planning, financial forecasting, and long-term investment strategies. They can also assist with employee development, fostering a strong financial team, and providing training and mentorship to junior staff members. For businesses that require a stable, long-term financial presence to guide growth and sustainability, hiring a permanent finance professional is often the best option. 2.Stronger Company Culture and Relationships One of the key benefits of having a permanent employee is their ability to build strong relationships within the company. Unlike interim professionals, who may only interact with a limited number of people during their contract, permanent professionals have the time to embed themselves within the company culture and form deeper connections with other employees, teams, and departments. A permanent finance professional can work collaboratively with other departments, helping to align financial strategies with broader business objectives. Over time, they develop a deep understanding of the business’s operations, challenges, and goals, which allows them to make more informed decisions and offer tailored financial advice. 3.Continuity and Stability Hiring a permanent finance professional ensures continuity and stability in your company’s financial management. This is especially important for businesses that require ongoing oversight and management of financial processes. A permanent professional will have a long-term commitment to the company’s financial success, ensuring that key financial tasks—such as budgeting, reporting, and compliance—are consistently handled. Stability is particularly important businesses that require ongoing financial planning and risk management. A permanent finance professional will be able to navigate both the everyday challenges and the long-term issues that might arise, such as economic downturns, changes in regulation, or shifts in market conditions. 4.Deeper Understanding of the Business A permanent finance hire has the time to truly understand the intricacies of the business. Over time, they become deeply familiar with the company’s goals, challenges, and nuances, which allows them to make better financial decisions and anticipate potential issues. This in-depth knowledge helps to align financial decision-making with the company’s vision, ensuring that financial strategies support business growth in a meaningful way. Businesses that operate in competitive industries or rapidly changing markets can benefit from having a finance professional who is attuned to the local market conditions and the specific needs of the business. 5.Employee Retention and Development A permanent finance professional is often tasked with developing and mentoring junior employees. By investing in the development of the finance team, they help ensure that the company has a pipeline of talent to support future growth. For businesses that plan to scale or expand their operations, having a permanent finance professional who can recruit, train, and develop a team of skilled finance staff is a key advantage. This helps build a more robust and capable finance function within the company, which is especially important for long-term success. Interim vs. Permanent Finance Professionals Both interim and permanent finance candidates offer unique benefits to businesses, and the choice between the two largely depends on the company’s specific needs and goals. Interim finance professionals provide flexibility, expertise, and cost-effectiveness for businesses that need short-term support or specialised assistance. They are particularly well-suited for project-based work, transitional periods, or covering gaps in the workforce. On the other hand, permanent finance professionals offer long-term strategic support, stability, and the ability to foster strong relationships within the company. They are ideal for businesses seeking continuous guidance on financial matters, long-term growth, and the development of a cohesive financial strategy. Ultimately, the right choice for your business will depend on factors such as the scope of the work required, the financial health of your organisation, and your long-term goals. By carefully weighing the advantages of both options, you can make an informed decision that best supports the success of your business. Need help deciding whether an interim or permanent finance professional is right for your business? At Sharp Consultancy, we’ve been advising and supporting businesses across Yorkshire for over 30 years—matching them with the right finance professionals at the right time. Whether you need immediate interim support or are planning a strategic permanent hire, our teams in Leeds and Sheffield can guide you through the options. 📞 Call us today on 0113 236 6300 / 0114 261 1700 or 📧 email stuartdouglass@sharpconsultancy.com to discuss your hiring needs with one of our expert consultants. Sharp Consultancy is a specialist finance and accountancy recruitment partner for businesses across Yorkshire and the North East Midlands. With a deep understanding of the local market and access to a network of high-calibre professionals, we help organisations secure the talent they need to succeed. If you're looking to strengthen your finance team, CONTACT US to speak to one of our expert consultants to find out how we can help.

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Attracting top senior finance talent is a challenge faced regularly by every organisation and for SMEs and owner managed businesses, it is vital that they recognise and understand the particular nuances of the market place – and what they can do - in order to successfully secure the right individual that will make valuable contributions to their operations.

When making a move from professional practice – or when considering their next move in industry –– many candidates are attracted by the distinctive opportunity this career step offers them to play an influential role in shaping the direction of the business and utilise and develop their technical skills, knowledge, leadership qualities and management style to support an operation’s overall strategy.

There are however, some common pitfalls which small and medium sized enterprises find themselves coming up against; and whilst many niche operations are strong, well established performers within their specialist sectors, outside of their particular industry circles, their standing may be relatively unknown. Without an instantly recognisable brand that’s on a par with the major national and regional players, it is essential that every possible step is taken to ensure that the cream of the finance crop want to seize the opportunity to come on board.

Develop a clear – and realistic - job description

It is very much understood that within SMEs there will be a requirement for individuals – particularly at a senior level – to wear different hats and to undertake duties and responsibilities outside of their core job role. It is therefore not uncommon to find that the job performed by a finance manager at one operation will vary from that of their peers even within businesses of a similar size or within the same sector. Whilst there is the temptation for business owners to try and get as much bang for your buck, it is vital not to over stretch roles and expect one person to do too much. In order to attract the right calibre of individual, ensure that there is an attractive job description which demonstrates real clarity as to what the core function and requirements of the role will be.

Understand the aspirations of the business

Successful recruitment depends on a clear alignment between the aspirations and objectives of a business and how by contributing towards their achievement, employees can attain their own personal career goals. There must be a synergy between both, particularly if the progression path is not immediately obvious in terms of a traditional route for promotion. By developing and discussing as part of the recruitment process, sensible – yet inspirational and challenging – aspirations for the business, you will be able to identify those candidates that share similar goals and ambitions and are hungry to play their part.

Understand what the key priorities and objectives are for the role

Having a clear focus on the immediate priorities of the role will ensure that during the recruitment and interview process, the emphasis will be firmly upon identifying the candidates best placed to deliver and achieve against these. For example, if the main reason for bringing somebody on board will be to drive forward a certain short to medium term project that requires a particular skill set, the priority must be to assess which candidates can deliver this for the business. In doing so, it is important to be open minded to the possibility – and not consider it a failure - that they may not necessarily see this as being a job for life and, after two or three years when they have successfully delivered the function that they were primarily recruited to achieve, may choose to move on.

Build a strong social and online business media profile

The wealth of social and online media platforms provide continual opportunities for potential candidates to learn more and come into contact with a business way before they may even consider a role with the company. Whilst smaller organisations may not have a dedicated marketing department or the resources that larger corporate businesses have at their disposal, ensuring a proactive and positive presence across influential sites such as LinkedIn and Twitter and keeping a watchful eye on review sites such as Glassdoor is key to attracting high calibre candidates.

Consider the interview process

The interview process should be thorough and designed to challenge potential candidates however it is not necessarily the case that the ‘toughest’ interviews will see the best person rise to top. It is important to remember that an interview is very much a two-way process and it is as much about someone establishing if they wish to join the business as it is about identifying the right person for the role - at a senior level, candidates will want to know that there are opportunities available to bring value to the operation.

Ensure the interview process is engaging by carefully considering the style and format of the interviews and who is best placed to conduct these in order to establish the right person – and, whilst at this level it is essential that there is a strong rapport with the business owner, skills gaps that could affect a candidate’s ability to perform the role should not be overlooked because they are the most likeable.

Time is of the essence

Be sure to keep the recruitment process moving at a timely pace and don’t allow your preferred candidate to slip through your fingers; good, strong candidates will get snapped up quickly so ensure you don’t miss out by delaying making an offer whilst you wait to see if someone else will come along.

Be creative and flexible with salary and benefit packages

A competitive salary will always be important when looking to attract the top candidates but it is worth giving additional thought to the growing influence of softer benefits on a person’s decision when weighing up a job offer. Businesses that can be creative and tailor reward packages – such as offering the opportunity to buy additional holiday, provision of flexible working, discounted gym memberships – will be in a stronger position to attract the best candidates by introducing incentives that matter to them.

See the recruitment process as an investment

Making the wrong choice on who to employ can result in a significant cost to the business which will far outweigh any financial ‘saving’ made from not engaging a suitable recruitment partner from the outset. To increase the chances of longer term success, recruiting talented individuals must be seen as an investment worth making with true value attached to their ability to guide a business through and drive the process forward. Business owners must also take into account the cost of their own time – which will be taken away from running their business - which will need to be dedicated to each step of the process including perusing CVs, deciding which candidates to take forward to interview, analysing each person’s strengths and weaknesses, all of which can be hugely time consuming. Going it alone and utilising job boards will scratch the surface of who is looking at that particular point in time but this doesn’t allow for being able to reach into the market and access an established network of contacts to identify potentially ideal candidates that are not actively looking.

Sharp Consultancy specialises in the recruitment and executive search of finance and accountancy professionals. With offices in Leeds and Sheffield our highly experienced team of consultants recruit for temporary, interim and permanent roles across the full spectrum of positions throughout Yorkshire and beyond. CONTACT US today and speak to a member of our team about your recruitment needs or next career move.

HOW OWNER MANAGED BUSINESSES CAN GUARANTEE TO ATTRACT TOP TALENT