Hiring a Chief Financial Officer (CFO) is a critical decision. The right CFO does more than manage finances – they shape strategy, improve operations, and support long-term growth. Whether you’re seeking a full-time or fractional CFO, the key is knowing what to ask.
These ten CFO interview questions help you move past resumes and uncover how a candidate thinks, leads, and fits your business.
1. What external and internal factors do you take into account when developing financial forecasts?
Forecasting isn’t just about projecting revenue based on past performance. A strong CFO considers market trends, economic conditions, internal constraints, and business drivers. This question helps you evaluate whether a candidate takes a broad, strategic view.
2. How do you lead the annual planning process in collaboration with other departments?
CFOs must coordinate with leaders across departments – not work in isolation. This question reveals how a candidate communicates, facilitates cross-functional planning, and balances priorities company-wide.
3. Have you participated in M&A activity in a previous role?
This question helps you assess the candidate’s experience with strategic growth and risk evaluation. Even if you’re not planning a transaction now, it’s useful to know how they’ve handled due diligence, integration, or post-merger planning in the past.
4. How do you evaluate potential investments?
From capital projects to acquisitions, a CFO plays a key role in determining whether an investment makes sense. Look for someone who can clearly explain how they assess risk, returns, and alignment with business strategy.
5. Can you give an example of a time when you introduced a new process or technology that improved results?
A forward-thinking CFO looks for ways to improve performance and efficiency. This question highlights their ability to drive operational improvements – whether through automation, better systems, or process refinement.
6. How do you deliver difficult financial news to leadership or stakeholders?
CFOs must communicate clearly and calmly – especially when the news isn’t good. Ask for a specific example that shows how the candidate handled a tough situation and kept the leadership team informed and focused.
7. How would your direct reports describe your leadership style?
This question offers insight into how the CFO leads a team. Are they supportive? Hands-on? Data-driven? Look for examples that reflect the type of leadership culture you want to build or maintain.
8. How have you handled an underperforming employee?
A good CFO must manage performance with professionalism. Strong candidates will explain how they identify gaps early, provide support, and maintain accountability. Listen for a balanced and respectful approach.
9. What’s the biggest mistake you’ve made in your career – and what did you learn from it?
Every leader has made a misstep. This question helps uncover self-awareness, humility, and the ability to learn from experience. Strong candidates will take ownership and show how the experience shaped their decision-making.
10. Why do you think you’re a good fit for our company?
This is your opportunity to see how well the CFO understands your business and its challenges. Look for responses that align with your company’s size, stage, industry, and goals.
Summary Table: What Each Question Helps You Evaluate
| Question Topic | What It Reveals |
|---|---|
| Forecasting inputs | Strategic thinking and data awareness |
| Annual planning collaboration | Cross-functional leadership |
| M&A experience | Risk analysis and growth strategy |
| Investment evaluation | Capital allocation skills |
| Process or tech innovation | Efficiency and change management |
| Delivering tough news | Communication and executive presence |
| Leadership style | Team culture and emotional intelligence |
| Handling underperformance | Accountability and team development |
| Learning from failure | Self-awareness and resilience |
| Cultural fit | Mission alignment and long-term compatibility |
Frequently Asked Questions About Interviewing CFO Candidates
What should I ask a CFO in an interview?
Ask about forecasting, investment strategy, leadership style, communication, and how they collaborate with other departments. These topics help you assess both skills and fit.
What makes a good CFO candidate?
Strong CFOs bring financial expertise, strategic thinking, and effective leadership. They can guide the business through growth, manage risk, and support long-term goals.
Should small businesses ask different CFO interview questions?
Yes. Smaller companies should focus on versatility, hands-on problem-solving, and experience in lean teams. Questions about improving efficiency and adaptability are especially helpful.
How do I know if a CFO fits our company culture?
Pay attention to how they describe team leadership, decision-making, and working with other departments. Their values and style should reflect your company’s approach.
Can I use these questions when hiring a fractional CFO?
Yes. These questions are just as effective for fractional or part-time CFOs. You still need someone who can align with your goals and support executive decision-making.
Need Help Hiring the Right CFO?
At New Life CFO, we’ve helped hundreds of companies find CFOs that match their business goals and company culture. Whether you need a full-time hire or fractional support, we’ll help you ask the right questions and make the right decision.
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