Who is the most important person in a cannabis company?
You might be surprised with the answer
The CFO, and for many good reasons. This may be heresy to those who believe the CEO, Sales Manager or COO is the top banana. Yes, those are key players but it’s the CFO that counts more in this difficult market and for most companies.
To say their work is mission-critical is an understatement. For struggling LPs (most of them), having the right CFO is critical to raising new funds, capably managing cash, and navigating investor relations. In the US, it is about skillfully coping with a pre SAFE banking environment, planning for new market access and getting ready for the inevitable move to American listings. The CEO may be the higher profile quarterback but it’s the CFO who will be carrying the ball most often in tough situations.
The requisite job description goes beyond financial management and capital markets. CFOs also play an important role in strategic planning, IT management, and corporate communications. Given role complexity and pressure, this is not a job for the faint hearted or dabbler. CFO turnover is high and recruiting talent has been difficult.
The ideal CFO is a strategic, data-driven finance professional with cross-industry experience and capital markets expertise. They must be entrepreneurial, a quick read and possess a growth mindset. Someone focused solely on compliance, cost cutting, and internal control probably won’t be able to help make the difficult decisions needed to help companies grow and build capability.
CEOs and Boards should look beyond traditional role descriptions, traits and skill sets to bring in the right CFO (diversity candidates are more than welcome) for these challenging times.
#CFO #management #capitalmarkets #funding