Published: May 2025

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Hiring a finance professional is a pivotal step for Australian businesses aiming to scale sustainably across industries like professional services, consultancy, retail, or technology. As financial complexity grows—encompassing cash flow, compliance, and strategic planning—expertise beyond basic tools becomes essential. This article explores when an Australian business should make its first finance hire.

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Why a Finance Hire Matters

Early-stage businesses often rely on tools like MYOB or Xero, managed by founders or basic software. However, as revenue grows, client bases expand, or compliance demands increase, a dedicated finance professional or service becomes critical to:

• Ensure Compliance: Meet Australian Taxation Office (ATO) requirements for GST, PAYG withholding, and superannuation.
• Optimise Cash Flow: Manage client payments and supplier terms, crucial for consultancies with delayed invoices or retail with inventory costs.
• Support Growth: Provide forecasting to guide pricing, expansion, or hiring decisions.
• Drive Efficiency: Deliver insights, such as profitability by client in professional services or stock turnover in retail.

Without proper financial oversight, businesses face ATO penalties, cash flow issues, or missed opportunities. A 2023 MYOB Business Monitor found that 28% of Australian SMEs struggled with cash flow due to delayed payments.

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When to Make Your First Finance Hire

The timing of a finance hire—or engaging a professional service—depends on a business’s size, revenue, and industry demands. Below are key indicators, with an emphasis on bridging options like bookkeeping at the growing stage.

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1. Early-Stage Businesses (0–12 Months)

New businesses, such as consultancies or retail startups, typically handle simple financial tasks like invoicing, expense tracking, or inventory management. Common activities include:

• Bookkeeping (e.g., recording transactions, bank reconciliations).
• Managing payroll for 1–5 employees.
• Preparing Business Activity Statements (BAS) for GST and PAYG.
• Tracking client payments, especially in professional services with 30–60-day terms.

When to Hire or Engage: A full-time finance hire is rarely needed at this stage. Businesses can use accounting software or outsource to a bookkeeper or part-time accountant. For industries with complex compliance, like financial services under ASIC, a finance professional may be required sooner. Services like Scale Suite offer cost-effective bookkeeping and BAS compliance at a fraction of the cost to hire someone, tailored to early-stage needs, ensuring accuracy without the overhead of a full-time hire.

Timeline: 0–3 months after launch to set up financial systems.
Cost:

• Outsourced Bookkeeping: AU$200–AU$600/month for basic services depending on volume of transactions.
• Part-Time Accountant: AU$30–AU$50/hour, or AU$600–AU$2,000/month for 20–40 hours.
• Software: AU$30–AU$70/month for MYOB or Xero.
• Setup Costs: AU$500–AU$1,000 for initial software and training.

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2. Growing Businesses (12–24 Months)

As businesses scale, financial demands intensify. A consultancy might juggle multiple client contracts, a retail business may open new stores, or a tech startup could secure funding. Triggers for a finance hire or service include:

• Revenue Growth: Annual revenue exceeds AU$500,000, requiring robust cash flow and profitability analysis.
• Client/Supplier Complexity: Managing 20+ clients or suppliers, common in professional services or retail.
• Payroll Expansion: Handling payroll for 5–20 employees, including superannuation and leave.
• Compliance Needs: Preparing quarterly BAS, tax returns, or industry-specific reporting (e.g., APRA for financial services).

When to Hire or Engage: At this stage, businesses face a choice: hire a full-time financial controller or bridge the gap with a professional bookkeeping service. A full-time hire suits businesses with consistent high revenue, while outsourcing to a provider like Scale Suite offers flexibility and expertise without the commitment of a salaried role. This bridge option allows businesses to maintain control, ensure compliance, and access strategic insights while deferring a full-time hire until scale demands it.

Timeline: 12–18 months after launch, or when revenue exceeds AU$50,000/month.
Cost:

• Outsourced Bookkeeping Service: AU$600–AU$2,000/month, depending on transaction volume and complexity.
• Financial Controller (Full-Time): AU$80,000–AU$120,000/year.
• Recruitment Costs: AU$8,000–AU$15,000 for agency fees (10–15% of salary).
• Onboarding/Training: AU$1,500–AU$3,000 for software and setup.
• Software Upgrades: AU$80–AU$200/month for tools like NetSuite.

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3. Established Businesses (24+ Months)

Businesses with significant scale—such as a consultancy with multiple offices, a retail chain, or a tech firm with global clients—require strategic financial leadership. Triggers include:

• High Revenue: Annual revenue exceeds AU$5 million, demanding advanced budgeting and forecasting.
• Operational Complexity: Managing cross-border transactions (tech) or multi-site operations (retail).
• Strategic Needs: Planning acquisitions, market entry, or large-scale hiring.
• External Funding: Securing loans, grants, or equity, requiring robust financials.

When to Hire: A Finance Manager or CFO can be valuable for full time oversight. However, businesses transitioning to this stage can continue leveraging outsourced finance services for operational finance tasks (e.g., bookkeeping, payroll, compliance), complementing the salaried employees focus.

Timeline: 24–36 months after launch, or when employee count exceeds 50 or revenue surpasses AU$5 million.
Cost:

• CFO (Full-Time): AU$150,000–AU$300,000/year (Hays, 2025).
• Recruitment Costs: AU$20/minutes,000–AU$50,000 for executive search.
• Equity Compensation: 0.5–2% equity in high-growth firms (StartupAus, 2025).
• Advanced Software: AU$300–AU$800/month for ERP systems like SAP.
• Outsourced Support (e.g., Scale Suite): AU$2,000–AU$5,000/month for enhanced services.

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Costs of Delaying a Finance Hire or Service

Delaying financial expertise—whether through a hire or service—carries risks:

• Cash Flow Disruptions: A 2024 CommBank report noted 35% of SMEs faced cash flow issues due to poor debtor management, critical for consultancies.
• ATO Penalties: Late BAS lodgements incur fines starting at AU$222, escalating to AU$1,110 for repeated delays (ATO, 2025).
• Missed Opportunities: A retail business might tie up AU$50,000–AU$100,000 in excess inventory, or a consultancy could underprice services, losing margins.
• Funding Challenges: Inaccurate financials deter lenders or investors, especially in tech.

A professional services firm with AU$2 million in revenue could lose AU$100,000–AU$200,000 annually due to inefficiencies, far exceeding the cost of a AU$80,000 controller or AU$1,000/month service from an external bookkeeper.

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Choosing the Right Finance Solution

The first finance solution should align with business needs and change as you grow:

• Bookkeeper/Service: For compliance, bookkeeping, and BAS filing (early-stage or growing).
• Financial Controller: For budgeting and forecasting (growing businesses ready for a full-time hire).
• CFO: For strategic leadership (established businesses).

Outsourcing at the growing stage is the best way to bridge the gap, offering bookkeeping, payroll, and compliance services, allowing businesses to focus on growth without premature hiring costs.

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Timelines for Hiring or Engaging

1. Role/Service Definition (1–2 Weeks): Define needs (e.g., BAS filing, forecasting).
2. Recruitment/Engagement (1–8 Weeks): Hire via Seek or engage a service like Scale Suite (1-2 weeks for onboarding). Executive roles take 12–16 weeks.
3. Onboarding (1–4 Weeks): Train hires or integrate services with systems.
4. Impact (2–6 Months): Expect improved cash flow or compliance within 2–6 months.

Total timeline: 0-1 months for outsourced services; 2–4 months for a controller; 4–6 months for a CFO.

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Conclusion

Australian businesses must time their first finance hire or service based on revenue and industry needs. Early-stage firms (0–12 months) can use bookkeeping services (AU$150–AU$600/month), while growing businesses (12–24 months) benefit from more mature outsourcing (AU$600–AU$2,000/month) or hiring a controller (AU$80,000–AU$120,000/year). Established firms (24+ months) need a CFO (AU$150,000–AU$300,000/year).

As financial complexity grows—encompassing cash flow, compliance, and strategic planning—expertise beyond basic tools becomes essential, and you need to move accordingly.

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