The arrival of a private equity fund profoundly changes the CFO’s role. Beyond accounting expertise, the CFO becomes the pivot of the relationship with shareholders and banks, and a guardian of the value creation plan. Here is what to assess.
Reliable, fast and readable reporting
Funds expect rigorous monthly reporting, produced quickly, with performance indicators clearly linked to the business plan. The CFO must be able to structure this reporting, secure the closings and explain variances.
Mastery of cash and debt
Under LBO, cash is under constant scrutiny: cash forecasts, working capital, bank covenants, relations with the banking pool. Experience of a renegotiation or a tight situation is a real plus.
A business partner to the CEO
The LBO CFO informs decisions: pricing, investment, profitability by activity, savings plans. They must challenge operations as much as support them.
External growth operations
Many LBOs rely on acquisitions: due diligence, integration, refinancing. A CFO who has already led these operations significantly de-risks the plan.
Preparing the exit
Vendor due diligence, data room, quality of financial information: the exit is prepared months in advance, and the CFO is at its heart.
How to assess these skills
Ask for specific situations: a covenant at risk, an acquisition, reporting built from scratch. Check references with the CEO and, if possible, the shareholder. Assess the posture: solidity, clarity, composure.
Our approach
At Businessful Minds, finance recruitment is led by a partner who served as CFO and Company Secretary on Executive Committees, including in LBO environments. She knows funds’ expectations from the inside and how to assess candidates against them.