Fractional Accounting & Advisory Services During Leadership Transitions
Published on by Jill Prendergast, Jenny Houck, in Fractional Accounting, Video
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The Evolution of Fractional Advisory: A Hands-On Approach to Growth
More and more fast-growing businesses and non-profits are tapping into the power of the fractional accounting and advisory model to access the benefits of high-powered financial strategy without the cost of a full-time hire. But the fractional model is a new concept for many organizations. In this video, Fractional CFOs Jill Prendergast & Jenny Houck talk through leadership transitions and how fractional accounting and advisory services can help make it a smoother and more productive process.
Business growth rarely follows a straight line. Leadership transitions, shifting markets, technology disruption, and capital decisions often create sudden complexity when your organization felt steady and predictable before. To overcome challenges and clear the road ahead, fast-growing businesses and non-profits are turning to a different kind of financial support model: fractional accounting and advisory. It’s different than traditional bookkeeping, because it combines strategic insight with operational involvement.
What began several years ago as an outsourced accounting solution has evolved into something far more integrated. The fractional practice has grown from its early roots into a robust advisory offering designed to serve fast-growing organizations navigating pivotal moments, whether that’s leadership turnover, rapid expansion, operational inefficiencies, or the need to become more proactive rather than reactive.
At its core, fractional advisory provides access to experienced financial leadership: CFO, controller, and accounting manager expertise on an ongoing basis. But today’s model goes well beyond traditional consulting. It is not about sitting at a conference table and offering high-level advice. It’s about embedding within the organization, understanding the mechanics of how it runs, and helping leadership translate vision into measurable progress.
It’s more than advice. It’s an active partnership.
Fractional advisors step into organizations with a collaborative mindset. The first priority is listening to understand the leadership team’s goals, challenges, and aspirations. From there, the work becomes both strategic and hands-on: strengthening reporting, improving processes, implementing technology, refining procedures, and ensuring the numbers tell a clear story.
For many entrepreneurs and business owners, financial management is not their primary strength. They are visionaries, innovators, and operators. Fractional advisory bridges that gap by not only assembling accurate financials, but also interpreting them, shaping the narrative behind the numbers, and identifying opportunities for smarter decisions, improved margins, and sustainable growth.
It’s a relationship built on trust and candor. Sometimes that means delivering hard truths. Sometimes it means challenging assumptions. But always, it means working collaboratively to move the organization forward.
A tailored, resource-driven model
Every engagement begins with a deep dive. Advisors look “under the hood,” reviewing financial systems, banking structures, risk exposure, insurance coverage, operational processes, and internal controls. From that analysis, the team develops a customized resource plan.
No two organizations are the same, and neither are the teams supporting them. Engagements are tailored to match complexity, industry, systems, and growth objectives. Some organizations require ERP-level expertise. Others need interim leadership during a transition. Still others benefit from ongoing fractional CFO support.
The approach is intentionally flexible. It can remain fractional long-term or evolve into a recruitment and onboarding process for a full-time leader. The goal is always alignment with what best supports the organization’s future.
Driving growth through operational insight
Financial performance doesn’t exist in isolation. It’s driven by operations. Fractional advisors spend time with operational teams to understand how decisions affect margins, cash flow, and long-term positioning. Rather than waiting for financial statements to reveal problems, they anticipate trends and help leadership pivot early.
Organizations facing industry disruption have been guided through strategic pivots, redefining revenue streams to ensure their mission remains relevant for decades to come. Others have sought clarity around capital: when to deploy it, how to invest it, and what tax or risk considerations accompany those decisions. By collaborating with broader firm resources, including tax, valuation, audit, and assurance professionals, clients benefit from comprehensive insight that extends beyond standalone advice.
Mitigating risk and strengthening controls
Risk management is another critical differentiator. Many organizations rely on transactional bookkeeping functions that focus solely on accounts payable, receivable, and reconciliations. Fractional advisory takes a broader view.
Advisors assess internal controls, banking permissions, segregation of duties, and fraud prevention safeguards. They evaluate whether financial practices align with growth strategies. By examining the books from beginning to end, they ensure financial data supports both operational realities and long-term plans.
The result is greater confidence — not just in today’s numbers, but in the systems protecting them.
Supporting leadership transitions
Leadership turnover can leave organizations vulnerable, particularly when financial leaders depart unexpectedly. Fractional advisors often step in quickly to stabilize operations, establish interim processes, and provide immediate clarity.
In some cases, the role remains fractional. In others, the advisory team assists in recruiting and onboarding permanent talent, ensuring the new leader is equipped with the tools, processes, and institutional knowledge needed to succeed. Continuity, stability, and forward momentum remain the priorities.
What’s the future of fractional accounting and advisory services?
As the model gains traction across the CPA profession, its growth reflects a broader shift in how organizations seek expertise. Fractional advisory is no longer a niche solution, it is an increasingly strategic one.
What distinguishes a strong fractional practice is depth. When advisors operate within a full-service firm, they are backed by tax, valuation, audit, and assurance specialists who can provide additional perspective when needed. That integrated support structure allows organizations to move forward with confidence, knowing they have comprehensive expertise behind them.
Fractional advisory has evolved into a dynamic partnership model — one that combines strategic vision, operational involvement, financial rigor, and collaborative problem-solving. For organizations navigating change or seeking their next stage of growth, it offers not just financial oversight, but a pathway forward.
Interested in finding out if the fractional advisory model is a fit for your fast-growing organization? Contact us today to set up a free consultation with one of our fractional pros.
Related content
Here are a few other resources you may be interested in exploring: our free Fractional Accounting and Advisory Toolkit is packed with resources and insights, and our Fractional FAQ is also a great place to start your journey. The Fractional CFO Guide to Success is a great tool if you already know you’re interested in CFO services, and in another recent video, Jill and Jenny dig into how fractional advisory changes the game for organizations.
