Our current Head of Finance also owns the Human Resources and Recruiting seat on our Accountability Chart. As we prepare for rapid growth and a clean exit, our recruiting is falling behind and we are facing compliance risks. Our leader insists they can handle both seats, but the results say otherwise. How do we split these seats cleanly?

Question

Tyler Smith · Accepted Answer

A combined Finance and Administration seat is common in early-stage companies, but as you scale toward an exit, these functions require completely different mindsets and skill sets. Finance is analytical, focused on transactional accuracy, cash flow, and margin integrity. Human Resources is people-centric, focused on talent acquisition, compliance, culture, and team development. Expecting one person to excel at both is a major risk.

You must immediately separate these two functions into distinct seats on your Accountability Chart. The Head of Finance seat should focus purely on financial controls, reporting, and cash management. A new, separate Human Resources or Talent Director seat must be created to manage recruiting, compliance, onboarding, and culture.

Your current leader may resist this split, viewing it as a demotion or a loss of authority. Address this head-on by using the GWC™ framework. Explain that as the company grows, the capacity required to run both seats effectively has expanded beyond what any single human can manage.

Show them that by focusing one hundred percent of their energy on the Finance seat, they can drive the financial metrics and valuation levers needed for a successful exit. Then, begin looking for the right person to fill the newly created HR seat, whether that is an internal promotion or an external hire. This structural separation is critical to proving to buyers that your business has the operational maturity to scale.