Firmbase

Helping CFOs scale their businesses from $10M to $500M+ has taught me this: Your finance team either drives growth - or blocks it. Heading into 2025, here are 6 crucial barriers every CFO must remove: 1. Drowning in manual processes Automation in finance isn’t a nice-to-have anymore, it’s a non-negotiable. Every hour spent fixing broken spreadsheets is an hour NOT spent driving strategic decisions. To build an effective strategic finance function, you need to start with freeing up time to focus on insights. 2. Operating in silos Finance can no longer live in isolation. You need to ensure your team is embedded across the organization - partnering with sales, marketing, product, and ops. If your team isn’t talking enough with budget owners, you can't maximize value. 3. Reporting without impact Delivering a report every month is not enough. Numbers don’t speak for themselves. You need to translate financial data into actionable insights to help business partners across the org (and your own finance team) make decisions with confidence. 4. Prioritizing complexity over clarity I see this all the time - many CFOs overwhelm leaders with detailed dashboards, metrics and technical jargon. But here’s the thing: no one cares about your pivot tables. Simplify the story and explain the “so what.” Clarity > Complexity. THAT’S how you get buy-in. 5. Staying on defense Some CFOs spend most of their time focused on controlling costs and minimizing risk. While it's certainly important, the best CFOs also play offense. Make sure to have the processes in place that enable you to run multiple scenarios at a click of a button and explore growth opportunities in real-time. 6. Ignoring AI and automation Manual finance processes just can’t keep up as your business scales. Invest in automation and AI-powered tools to streamline operations and eliminate inefficiencies. Modernizing the CFO tech stack enables your finance team to provide continuous insights rather than just static reports. TAKEAWAY The role of the CFO has never been more challenging - or more impactful. The best CFOs don’t just react to events. They drive what happens next. Make 2025 count.

Last week, I had a long conversation with VP FP&A of $120M ARR company. His team is overwhelmed - drowning in reporting requests and putting out fires. I hear this all the time. Here's what needs to change (and why). Many FP&A leaders are tasked with creating new plans with nothing but a tight deadline and bad data. It’s tough. And the struggle is real. But here’s the part that doesn't get talked about nearly enough. People think FP&A is all about crunching numbers. That couldn’t be further from the truth. FP&A isn’t just the “numbers team.” It’s the strategic arm of finance. They’re the ones providing answers to critical business questions like: - Should we expand into that new market? - How many R&D hires can we afford this year? - What’s the best-case scenario for new launch? These decisions don’t just fall out of the sky - they’re analyzed and guided by FP&A. Yet, most strategic finance teams are finding it hard to keep their heads above water. Why? Because they can't be strategic when they’re buried in numerous reports and data bottlenecks. The endless fire drills don't help either. This is the challenge I see facing FP&A teams everywhere right now. They're asked to drive strategic insights with a ton of background noise. It’s unsustainable. And it’s costing their companies millions in: - Bad decision-making - Missed growth opportunities - Misinformed scenario planning It's time to stop. And reboot. The best strategic finance leaders create leverage: - Align finance priorities with the company’s goals - Develop a clear framework for decision-making - Use AI-powered FP&A software for insights - Automate low-impact manual processes - Continuously upskill their team Real talk: When FP&A struggle, the company loses direction. Stop treating them as “the spreadsheet people.” Start empowering them to guide decisions. It’s the highest ROI decision you'll make. —— P.S. I'm Tomer, Co-Founder & CEO of Firmbase. Follow me for insights on FP&A and AI in finance.

Working in FP&A, I’ve seen 100s of financial models. The brutal reality: 99% of them are extremely fragile - 1 error, and the whole thing can collapse. To build models that last, elite finance leaders master 4 principles: 1. Their inputs are data-driven, not guesses Weak models start with weak inputs. Such models usually rely on assumptions or data that hasn’t been pressure-tested. Strong FP&A teams treat their inputs like gold. They scrutinize every assumption, vet every data source, and align key stakeholders before the model even takes shape. This builds trust and ensures decisions rest on a foundation of truth.   2. Their calculations are airtight, not a gamble Poorly constructed models are full of traps: broken links, circular references, and hidden hard-coded values. Great FP&A teams, on the other hand, check for errors at every stage. They scrutinize every metric and use checks and balances to make sure outputs make sense. They know that if there’s a single flaw, the whole model may become unreliable.   3. Their scenarios are built for clarity, not complexity Weak scenario planning confuses people. It throws out endless what-ifs without connecting them to real-world drivers. The best FP&A teams keep it simple. They define key scenarios (I recommend at least 3: base, best, and worst case) and clearly explain the assumptions behind each. They make it easy for decision-makers to compare, preventing costly mistakes.   4. Their outputs drive alignment, not analysis paralysis Some FP&A models overwhelm stakeholders with endless links, numbers, and pivot tables. It’s all data, no direction. The best FP&A teams build their models to serve as decision tools. They focus on “so what” and convert results into actionable insights. Executive-ready summaries and clear recommendations are their bread and butter.   TAKEAWAY It's crucial to build trust in your forecasts. And that starts with reliable models. Build them right. Make every formula, input and assumption count. That’s how you win in FP&A. P.S. We've built Firmbase to help you create rock-solid models. Want to see how? I know a guy. Or just go here: https://lnkd.in/dQXVyWRE

Earlier this week, we hosted our first Firmbase FP&A Forum Breakfast event. Together with finance leaders, we explored some of the major changes happening in our space. Huge thanks to Doron Shohet and the Yotpo team for hosting us. It’s a privilege for us at Firmbase to work with and support your world-class FP&A team. Also, special shoutout to our speakers - Doron Shohet, Meytal Goldenberg, Yaniv Greenfeld, and my partner in crime Vlad Shumlin - for offering such great insights and giving everyone plenty to think about. Finally, thanks to my team for organizing this. Events like this don’t happen without serious effort behind the scenes, and you guys nailed it. More FP&A events are already in the works. Stay tuned.

In working closely with CFOs, I see it all the time: bad FP&A hires don't just slow down their team — they derail the strategic decisions that MATTER MOST. Here's the hiring mistake 90% of finance leaders make (and how to prevent it):   What they think they need when recruiting FP&A: - Excel wizards - Masters of pivot tables - Planners who can model in their sleep   But that's the WRONG approach. Modern FP&A isn't about who's the best modeler.   In fact, it requires much more than just number-crunchers.   Stop hiring spreadsheet savants.   Start looking for strategic thinkers who will: - Ask smart questions - Turn data into decisions - Connect finance to strategy It's time to go beyond just evaluating candidates' technical Excel skills, and ask:   - What they did to influence business strategy - How they tell the story behind the numbers - When have they challenged the status quo   Remember, Excel skills can be taught.   Strategic thinking is harder.   Hiring the right FP&A will change your business.

What happens when finance leaders and emerging AI solutions come together? Last week, we wrapped up our first-ever AI Demo Day at The F Suite, And I couldn't be more excited about how it turned out. Over 180 members joined us to dive into how four pioneering companies are transforming the financial technology stack with AI. The energy and the feedback we received was beyond incredible. One member even shared, “Best event I have attended thus far. The vendors were relevant, and the insights were invaluable.” But what really stood out to me were the leaders/visionaries driving these companies forward and driving meaningful change: Firmbase: Led by Tomer Federman (formerly at Meta), they are redefining how FP&A teams leverage AI to navigate financial planning challenges. FinQore (Formerly SaaSWorks): Founded by Vipul Shah & Jim O'Neill, their experience at companies like HubSpot and Goldman Sachs is helping bring a fresh perspective to AI-driven financial analysis. Runway: Siqi Chen brings his incredible & diverse background—NASA, Zynga, and Postmates—to innovate in financial forecasting in an exciting way. Tabs: Led by Ali Hussain (formerly at Latch and BCG), Tabs is based right here in NYC (they recently closed their Series A) and is streamlining financial processes in ways that are both forward thinking and impactful. This event wouldn’t have been possible without the hard work of our team, our engaged community of CFOs and finance leaders and of course our sponsors who made this event so special. How do you see AI transforming the finance industry in the coming years? Drop your thoughts below! #CFOs #AI #thefsuite

As CEO of Firmbase, I meet with FP&A leaders every single day. Here’s what the top 1% do differently - it comes down to 5 crucial things: 1. Their financial models offer clarity, not just numbers Most FP&A teams build financial models that overwhelm stakeholders with data. They focus on what happened and add a bunch of different metrics. The best FP&A leaders focus on the "why" and "what’s next." They build models that offer context and strategic insights. They guide business leaders through complex questions, turning data into actionable intelligence. Their models don’t just report - they inform. 2. They run continuous planning, not one-off planning cycles Effective FP&A leaders understand that static, annual plans are irrelevant. Business conditions shift rapidly, driven by market dynamics, customer needs, and internal changes. The best strategic finance leaders adopt rolling forecasts and continuously adjust their plans based on real-time data. They use rolling forecasts to proactively identify trends early, keep finance agile, and change direction quickly. 3. They build partnerships with business partners, not just send reports Less effective FP&A leaders focus on sending spreadsheet templates and reacting to requests. Their communication is one-way and often limited to senior leadership. The best FP&A leaders build meaningful relationships across the organization. They understand the business challenges they face and position finance as a trusted partner. Their collaborative approach enhances alignment across business units. 4. They drive strategic decisions, not just share data Most FP&A leaders distribute reports and dashboards with little explanation, assuming the numbers speak for themselves. This approach leaves budget owners to interpret the data on their own. The best FP&A leaders communicate at a different level. They highlight key takeaways and frame insights: - Collaborate using real-time budget variances - Recap reports that spotlight strategic changes - Run scenario analyses to align w/ decision points Every piece of their communication is designed to actively add value, provide clarity, and prompt action. 5. They use modern software, not stick with manual processes Spreadsheets are certainly useful for specific tasks, but can become a roadblock for complex, company-wide planning. The best strategic finance leaders use modern FP&A software to improve planning collaboration, automate data workflows, and enhance scenario modeling. This also frees up their time for strategic work, allowing them to focus on deeper analysis instead of data entry or version control. TAKEAWAY FP&A is no longer just about modeling skills. The best leaders go well beyond number-crunching. They take deliberate actions to drive more informed decisions.

It’s Nov, and most FP&A teams are fully immersed in annual budgeting. But, they're missing a seismic shift. Here are 10 reasons why the best prioritize continuous planning (and how it can 10x your decision making): 1. Life’s unpredictable, and so is business. Being in continuous planning mode lets you adjust your models quickly, so that your numbers always stay accurate and reliable. No more basing decisions on outdated data. 2. With up-to-date rolling forecasts, making good decisions suddenly becomes so much easier. Your finance team finally proactively reacts to what’s happening. 3. No more year-end spending sprees just to match budget decisions made last year. Continuous planning ensures you’re spending your budget in a way that matches where your business is at right now. 4. Your planning also stays in sync with what the company is trying to achieve, even if goals change mid-year. You’re not stuck trying to hit a revenue target that was set last Dec and doesn’t make sense anymore. 5. Regularly updated forecasts show important stakeholders that your finance team is on top of things. It reassures investors that the company’s being run with real-time insights and proactive strategies. 6. Finally, you can spot problems early. If something’s not going as planned, you’ll catch it sooner and can fix it before it becomes a big issue. 7. Continuous planning not only means that your targets adjust with reality, it also makes them fairer and more motivating for everyone across the org. 8. Your FP&A team gets used to change and becomes more agile. Change is now treated as business as usual (welcome to B2B). 9. Cross-department alignment improves. The regular planning collaboration between departments, ensures you're aligned with business partners and working toward the same business objectives. 10. This one may be my favorite: your finance team becomes "what-if ready." Need to test out different scenarios? Great, you can now quickly run the numbers and see how different strategies play out. TAKEAWAY If your FP&A team is wasting a lot of time on budgeting - stop. It’s time for a rethink. Don’t let your business get stuck in yesteryear's playbook. The best FP&A teams are no longer tethered to annual budgets. They know the future belongs to those who adapt. And in 2024, continuous planning is the way forward.

The CFO of $50M+ ARR business recently told me how she slashed their forecast vs. actuals variance by 68%. The key? Moving from reactive to proactive planning. Here are the 5 key steps she took (and why it made such a big difference): 1. The CFO realized her team was spending way too much time manually gathering data from systems like ERP and HR. By automatically syncing actuals data with their forecasting, they drastically cut down the time spent on both repetitive data collection and mapping. 2. They rolled out a no-code scenario planning engine into their forecasting processes. This enabled the team to quickly model out new scenarios, and anticipate the impact on things like cash flow and profitability. They could finally adjust scenarios in real-time as market conditions kept fluctuating. 3. They also implemented extensive automation to their reporting. This applied to areas like budget vs. actuals reporting, financial reconciliations, and data permissions management. They also invested significant efforts in streamlining internal reporting workflows to leadership. 4. The CFO strengthened the FP&A team's collaboration with departments like sales, marketing, and R&D. By eliminating silos, the team gained a deeper understanding of each department’s financial goals and challenges. This helped finance deliver more relevant insights for each budget owner. 5. They moved from static reporting to continuous planning. Real-time tracking of KPIs gave the FP&A team improved visibility and enabled better forecasting of liquidity and profitability. It also equipped the CFO with the data needed to make better decisions based on an up-to-date rolling forecasts. —— The shift to proactive forecasting is one of the most significant changes happening in FP&A right now. Strategic finance is all about transforming data into actionable business insights. And modern finance leaders recognize the importance of identifying and acting on financial variances early.

I’ve been a budget owner and now support FP&A teams. From both angels, I’ve seen major planning gaps (including at $1B+ companies). To improve collaboration, focus on these 10 crucial things when assessing FP&A software:   1. Don’t get caught up in a laundry list of features. Optimize for a solution that can support your key business objectives across the org, like forecasting accuracy, granular variance analysis, and better decision-making.   2. Budget owners don’t need more data; they need actionable insights. The software should distill key metrics and trends, not overwhelm them with raw data. Too much complexity slows down decision-making.   3. Financial planning is rarely straightforward. With constant revisions and changes, the models created via the software must be flexible and clear enough to adapt without hampering the planning process. 4. FP&A need to model out various scenarios quickly. Software that doesn’t offer easy, no-code scenario planning will fall short, leaving your FP&A team and business partners unable to adapt fast enough to changing conditions.   5. Seamless integration with the relevant systems is table stakes (ERP, HRIS, data warehouse etc.). Make sure you pick a solution that can dramatically minimize manual data entry. It often derails the entire rolling forecast process.   6. Don't underestimate change management. Implementing new FP&A software involves much more than just a technical rollout. Inquire about the level of training and onboarding support to ensure strong adoption internally.   7. Forecasting involves input from many budget owners across different departments. FP&A software that lacks real-time collaboration tools will cause bottlenecks and delays. 8. Don't overlook real-time reporting needs. Your business partners need and expect access to up-to-date information. This is crucial to keep track of how they're tracking against both their allocated budget and forecast.   9. As your company grows, your planning needs will change. FP&A software that isn’t scalable will quickly become outdated, forcing you to switch or work around the limitations. Choose software that can grow with your business.   10. Complex interface will slow adoption and frustrate your budget owners and business partners. The software must be intuitive, with user-friendly design that encourages widespread usage.   TAKEAWAY Collaborative planning is key to foster P&L accountability across the org. It also improves forecasting accuracy and leads to better decisions. In 2024, it's time to step up your planning collaboration game.