Carlos Vega, the CEO and Co-founder of Tesorio, is on a mission to redefine cash flow performance in businesses. He believes that cash is crucial for driving business, from ensuring that a company does not run out of it to leveraging it effectively. While the traditional role of finance has been centered around cash stewardship, modern businesses now require more in terms of cash flow performance to fund various aspects of their operations and maintain healthy relationships with stakeholders.
Leadership today expects CFOs to play multiple roles, including funding the company’s growth plan, ensuring timely payments to customers, vendors, and employees, and aligning cash inflows and outflows with the overall plan as quickly as possible. The role of CFOs has evolved from being mere stewards of assets to becoming strategists who shape the organization’s overall direction and catalysts who instill a financial mindset across different parts of the business to enhance performance.
Despite the changing expectations for CFOs, many finance processes remain disconnected from core business operations. The fragmented nature of financial tools and processes often leads to inefficiencies, data inconsistencies, and a lack of visibility into cash flow management. This disconnect creates a vicious cycle for finance and accounting teams, forcing them to spend a significant amount of time scrambling to clean up, find, and land cash each quarter, ultimately hindering their ability to make informed decisions and manage cash effectively.
To address the cash flow disconnect, modern finance teams are leveraging connected finance solutions that integrate various systems and tools to provide visibility and predictability into cash flow. By connecting ERP, CRM, subscription platforms, and email systems, businesses can have a single view of their cash positions, trends, and drivers, enabling collaboration across functions and real-time decision-making. Machine learning is also being used to automate predictions and improve cash flow forecasting continuously, while automated workflows help streamline processes such as collections and payment runs.
By implementing connected finance solutions, CFOs can move away from operating in isolation and relying solely on numbers to make decisions. Instead, they can work collaboratively with other teams to drive cash flow and business performance, leading to better opportunities and increased confidence in decision-making. Connected finance has the potential to transform a “CF-No” into a “CF-Go,” allowing CFOs to say “yes” to more opportunities with confidence and drive overall business success.
