HOUSTON, TX / ACCESSWIRE / March 20, 2023 / Conadat Gomez is a trusted advisor and business partner based in Houston, Texas. Known for having a forward-thinking focus as well as technical finance and accounting expertise, Gomez has decades of experience in the field. Here, he discusses where a new CFO should focus their time.

Conadat Gomez explains that a new CFO may be tempted to first focus on the month end process, budget, or forecast. However, to add the greatest value to their company, the CFO should instead focus on the all-important sales process. The overall goal is to understand the company's sales cycle and then work with Sales and Marketing in order to shorten that cycle.
The CFO should work with the CEO in order to establish a bullet-proof sales process and incentive program that motivates the sales team to surpass all targets. Bringing in new revenue and recurring business will automatically increase a CFO's value to the company.
Gomez shares the following key strategies and initiatives for a new CFO seeking to help their company increase sales:

• Evaluate key product margins and overall business model. To do this, first determine which key products or services bring the higher margins and then allocate additional sales resources accordingly. Continue to expand resources until incremental revenue and margin dollars are equal to the fully burdened compensation of new sales team members. As long as profits offset additional payroll costs, profits and value of the business will also increase.
• Invest in training the sales team. One of the most effective training techniques is role play. The sales team should role play all possible customer objections and complaints. However, Gomez stresses that this should not be done on the job, in front of the customer. Through practice and training, the sales team should learn to anticipate any customer objections and strive to overcome them.
• Always sell value vs. price. Value is the use that a customer can get out of a product or service while price is the amount charged to own or receive that product or service. When a customer states that they want a lower price, this is because they believe the value is inferior to the price. Sales teams may want lower prices because they think all customers shop strictly on price; however increasing a product's value and raising the price is more effective because customers tend to prioritize value over price. Offering a better product or service that portrays a higher value to the customer will create a win-win situation for everyone.
• Identify budget, target, and potential. Once the budget has been established, the sales team should be continually motivated to sell their potential-that is, the company's expected sales of a product/service in a given market for a specified period. The budget should be viewed as the minimum sales threshold. Sales teams should be incentivize to hit their targets or overall sales goals. Gomez stresses that the order of importance here is budget, target, and then potential.
• Implement a 90%/10% rule. The CFO should focus 90% of their energy working with Sales and Marketing and Operations teams to identify a sales strategy and model of recurring revenue for the business. This includes margin forecasting as well as capex forecasting. The final 10% of a CFO's energy should be spent focused on budgets and business processes. The idea is to be 90% offense-minded and 10% defense-minded.
• Focus on the target, not the mechanics. Create a financial plan in addition to the budget. The financial plan should set both short-term and long-term goals for the business. However, when setting long-term goals, the CFO should not worry about mechanics-the plans, policies, and systems that help keep a company going to achieve the vision set by management. Instead, the CFO should set a target to double sales year over year and focus on that target without worrying about the details.
• Hold daily sales meetings. Instead of weekly sales meetings, a CFO should seek to instill a culture of having 15-minute daily sales meetings. Keep in mind that the more energy a CFO spends generating revenue, the more momentum the company will gain. Additionally, every member of the company, including those not in sales, should know the sales target and help in some way to meet that target.

Mr. Gomez notes that CFOs who implement the above strategies will increase revenue and automatically set themselves and their company up for success. For further information contact Mr. Conadat Gomez at conadatgomez@gmail.com

SOURCE: Big Rock Funding LLC