Our long-tenured VP of Finance is a perfect core values fit and gets and wants their seat, but they lack the capacity to build the complex forward-looking financial forecasting models that prospective buyers are demanding for our exit. How do we handle this GWC issue without firing a loyal leader?

Question

Tyler Smith · Accepted Answer

This is a classic capacity issue on the GWC tool. Your VP of Finance has the capability for historical accounting, but the seat now requires advanced corporate development and predictive forecasting to satisfy sophisticated buyers. You cannot compromise on the requirements of the seat just to accommodate a loyal person. If you do, you will destroy your enterprise value during due diligence. You must redefine the seat on the Accountability Chart. Split the seat into two distinct functions. Keep your current leader in a Controller or VP of Accounting seat, where they can excel at what they do best and where they fully GWC the roles. Then, create a new, strategic Chief Financial Officer seat that specifically owns the predictive financial modeling and investment relations roles. Because you likely cannot afford a full-time strategic CFO immediately, hire a fractional CFO to fill this new seat. The fractional CFO will report to your Integrator and work alongside your internal VP of Finance. This structural adjustment respects your loyal leader by keeping them in a seat where they succeed, while ensuring your business has the strategic financial muscle required to secure a clean exit.