Every career path is different, but they’re all driven by the same criteria. These usually involve experience, expertise, and a successful track record. When it comes to a chief financial officer (CFO), there’s an added layer to the mix: the ability to make tough decisions and lead people.
Bold, well-versed, and confident, a CFO is said to be one of the main driving forces of any company. They’re expected to plan ahead, analyze data, and make financial projections for the future. In other words, it’s all about having the right blend of business skills, financial know-how, and an entrepreneurial spirit to become a successful and well-respected CFO.
CFOs work in different fields ranging from multinational corporations, technology startups, to CFO services firm groups that support businesses with finance consultations. The career possibilities seem endless for these professionals!
If you desire to climb the career ladder and carve your career path to become a highly-coveted CFO, here are some critical steps that can set you on towards the said path.
1. Complete a Finance Degree or Relevant Education
The right degree holds the key to setting you in good stead with any employer. In your degree, it’s best to have a combination of finance and business courses. That means, taking up courses like accounting, finance, and marketing. This background will create a solid foundation for you to become a CFO.
A relevant degree provides the basic training and education needed to become a CFO. But it’s important to remember that your education doesn’t end there. It’s believed that continuous learning and development are both needed to be successful in the finance world. With that said, you need to keep up with the changing dynamics of business.
it is best to take up advanced courses like business writing and computer skills that can set you apart from your peers. You can opt for online courses that may boost your chances of succeeding in your desired career path.
2. Get a Masters of Business Administration (MBA) Degree
An MBA is a valuable credential for current and would-be CFOs. That’s because companies prefer finance professionals who have an advanced level of business education. It not only shows your potential employers that you have the drive to succeed, but it also grants you access to top-level management positions.
As one of the generally regarded most sought-after degrees in business, an MBA may help you secure a CFO position at any company. It also allows you to assess and learn different business strategies and behaviors.
In addition, you can build valuable network connections with fellow finance professionals taking up the same masters as you are. In the world of business, having a great relationship with your peers can help you get your name out of the door. It may also help you create ties with highly influential figures that can help you with your ascent to the top.
3. Obtain Financial Management Certification
Finances are complex and require an intricate understanding of the business industry. A CFO knows how to push the boundaries, seize opportunities, and develop new methods to meet company goals. To achieve that, they need a solid grounding in business fundamentals. Henceforth, having accredited CFO certification can be an added feather to your cap.
The following are some popular financial certifications.
Certified Management Accountant (CMA)
CMA is a certification specifically for accountants and financial professionals. It’s a comprehensive examination covering all aspects of finance, from accounting to cash flow management. A CMA license is a great way to carve your career path to become a CFO.
Chartered Financial Consultant (ChFC)
Undergoing ChFC certification gives the finance professional a solid understanding of insurance and financial planning. That means it can help you create future growth strategies and provide an overview of various insurance products.
Certified Fund Specialist (CFS)
If you want to become a CFO in an investment company, this certification is for you. It provides knowledge about mutual fund assistance and looks at asset allocation and market trends. CFS is also a global designation that covers all areas of investment management.
Financial Risk Manager (FRM)
FRM is for those interested in being a CFO of a financial institution or corporation or an advanced level trader. This certification focuses on risk management and scenario analysis, and market forecasting.
Certified Financial Planner (CFP)
Another way to carve your career path to a CFO position is by pursuing a CFP license. A CFP-certified person is said to be equipped with a comprehensive approach to financial planning. As a CFP, you’ll be skilled in identifying client needs and creating personalized financial schemes that can serve as a roadmap to their future.
Chartered Financial Analyst (CFA)
One of the most coveted finance industry designations is none other than the CFA designation. According to the CFA Institute, the Chartered Financial Analyst credential is the most respected and recognized investment management designation in the world. This charter will teach you about ethics, investment management principals, accounting concepts and standards, as well as detail the different types of financial securities.
If you want to take your career to the next level, it’d be best to earn and secure a certification of any of the above. Doing so will give you an added edge that can help you stand out from the rest and prove yourself worthy and capable for the CFO position of any firm you apply to.
Carve Your Career Path to Become a CFO
Being a CFO is one of the most viable positions in the business world. It’s a designation that requires a prudent understanding of financial matters and a diverse leadership skill set.
Of course, it’s not easy to become one yet having the appropriate credentials can help you lead your way in earning the CFO spot. If you strive diligently and stay focused on attaining your goals, nothing can stop you from reaching your goals and career aspirations.