The role of a finance leader in a startup or scale-up is far from the back-office number-crunching stereotype of the past.

Today, the Startup CFO is a part of the leadership team, actively shaping the strategic direction of the business.

To truly succeed in this role, aspiring CFOs must make a transition from being a reactive manager to becoming a proactive leader.

This shift is essential for securing a seat at the leadership table, where the real decisions are made, and the company’s future is crafted.

Here’s why this transition is essential and how you can make it happen.

Moving from Reactive Manager to Proactive Leader

In many cases, finance professionals find themselves stuck in a reactive cycle—responding to financial results, closing the books, and firefighting unexpected challenges.

While these tasks are important, they often leave little time for influencing strategic decisions. Yet, as a Startup CFO, your role should evolve to anticipate needs, influence outcomes, and add tangible value to leadership discussions.

Proactive leadership means being a part of the discussions that determine the company’s future, not just analysing the aftermath of those decisions.

By shifting your mindset to focus on strategy, collaboration, and foresight, you establish yourself as an integral part of the leadership team.

Why a Seat at the Leadership Table Matters

1. Shaping Business Strategy:
   As a Startup CFO, you bring a unique perspective to the table—combining financial insights with a deep understanding of the company’s operations. Being part of strategic discussions allows you to influence long-term planning, resource allocation, and growth trajectories.

2. Driving Decision-Making:
   The leadership table is where decisions happen. Without a seat, you risk being seen as a reactive bystander, rather than a strategic partner. By being present, you ensure the company’s financial health and sustainability are considered in every major move.

3. Building Influence:
   Being part of the leadership team helps establish your credibility and influence across the business. It allows you to foster trust and become a go-to advisor for the CEO, founder, or other leaders.

4. Elevating the Finance Function:
   Finance leaders who are part of the decision-making process elevate the perception of the finance function, moving it from being a cost centre to a critical value-adding component of the business.

Developing Leadership Skills to Secure Your Seat

Transitioning to a proactive leader requires a deliberate focus on building your leadership skills. Here’s how to start:

1. Understand the Business Beyond Numbers:
   A strong Startup CFO knows the ins and outs of the business—not just the finances. Learn about every department, the challenges they face, and how finance can support their goals. This knowledge will help you add value in leadership discussions.

2. Communicate Effectively:
   Finance leaders must be able to explain complex financial concepts in a clear, concise, and compelling manner. Tailor your communication style to resonate with different stakeholders, from technical teams to the board of directors.

3. Foster Collaborative Relationships:
   Proactive leaders build strong relationships across the organisation. Partner with department heads, understand their needs, and show how the finance team can contribute to their success.

4. Embrace Strategic Thinking:
   Shift your focus from day-to-day financial operations to long-term strategy. Consider how the company’s finances align with its goals and how you can help navigate potential challenges.

5. Build Confidence:
   Confidence is key to being a strong leader. Take ownership of your decisions, present your insights with conviction, and back them up with solid analysis.

The most significant benefit of having a seat at the leadership table is the ability to move from being a decision-taker to a decision-maker. Instead of simply reacting to decisions made by others, you’ll have the opportunity to shape them from the start.

This shift not only enhances your impact on the business but also solidifies your position as a trusted and essential member of the leadership team.

Want to improve and speed up your finance career? See the steps in our Framework below:

1. Sign up to our next workshop.
2. Work with me in the Financial Leadership Foundations course  that includes monthly Q&A sessions where we can discuss all of your questions and how to apply your learnings to your current role. 
3. Download the Advanced Management accounts course to showcase your skills as a finance leader to the Founder, leadership team and the Board.
4. Book at FLF Career Planning session.