One of the most common mistakes we see in founder-led businesses preparing for an exit is waiting too long to bring in a seasoned Chief Financial Officer. As soon as a potential sale becomes a serious consideration, even 12 to 18 months ahead of a process, having a strong finance lead in place can make a real difference. Buyers are increasingly cautious and highly analytical. They expect clean, detailed financials, revenue breakdowns, visibility into margins and working capital, and confidence in the forecast. These aren’t the kinds of things that can be pulled together in the final stretch.

A good CFO brings far more than historical reporting. They bring rigour to forecasting, shape KPIs that matter to buyers, and help tell the financial story of the business. More importantly, they can spot inefficiencies, highlight areas of over or under investment, and improve cash conversion, all of which are key to enhancing valuation and buyer appetite.

In some cases, founders assume that external advisors will bridge this gap during a sale. While this can be true to an extent, for example, an advisor can help build a detailed financial model and manage the process, that model is only as useful as the underlying data and internal systems supporting it. Without a strong finance function, that model quickly becomes static. Forecasts fall out of date, assumptions lose relevance, and as diligence progresses, buyers begin to test the accuracy and reliability of the numbers. If internal reporting can’t keep pace, confidence can slip, and with it, valuation and deal momentum.

Hiring a CFO isn’t just about preparing for diligence. It’s about running a better, more credible business. If you are thinking about an exit in the next year or two, the best time to make that hire might be now.