Mini CFO Internship at a Local Business
Background: I’m a sophomore with four internships under my belt (not strictly finance-related—experience in credit, small business advising, and search fund sourcing) and have worked five different jobs (including bookkeeping/construction, janitorial work, retail cashier/inventory, and even running my own snack/beverage business at school events, which generated $2k in revenue).
Recently, I received an offer for a treasury internship at a Fortune 500 company, but I had to turn it down because commuting would have cost me more than I could afford (3-hour drive from home, 1 hour from campus, and I don’t have a car). Now, I’m feeling anxious since I’ve had fewer interview opportunities lately compared to last month when I was inundated with them.
My Plan: I’ve decided to reach out to local businesses (restaurants, retail shops, etc.) to offer my services as an unpaid intern, functioning as a “mini CFO/FP&A” for the summer.
What I’m Offering: I’ll help analyze their past tax returns, create three financial statement models to assist them in tracking performance, and shadow them in their operations by taking on roles like cashier or server. I aim to identify inefficiencies and revenue-boosting strategies while providing actionable recommendations based on my observations.
I know I won’t be perfect—after all, I’m still a college student—but I want to make the most of my summer back home. One business has already shown interest in sharing their financial information and tax returns for valuation analysis via DCF, as they’re considering retirement and a potential sale. The owner mentioned they could connect me with other small businesses that could benefit from a “mini CFO”, as many only focus on revenue generation without diving deeper into their financial health.
I’m seeking advice on how to approach this opportunity effectively if I secure a partnership. I’m prepared to dedicate 60+ hours a week to this endeavor.
Questions: What steps should I take to fully seize this opportunity as a mini CFO? How can I maximize my learning experience? What key financial models, information, and strategies should I prioritize to set this up? Lastly, what methods can I employ to enhance a business’s operational efficiency?
I welcome insights from anyone in consulting, FP&A, private equity value creation, or related fields! Thank you!
One response
This sounds like a great initiative, and it’s commendable that you’re seeking ways to gain experience and contribute to local businesses! Here are steps and strategies to help you excel in your mini CFO role:
Approach:
Define what you want to achieve during your internship. Consider goals like improving cash flow, understanding cost structures, or identifying revenue growth opportunities.
Research and Prepare:
Familiarize yourself with the businesses you’re targeting. Understand their industry, market trends, and challenges they face.
Establish Relationships:
Learning Opportunities:
Focus on understanding the three core financial statements: income statement, balance sheet, and cash flow statement. Learn how they interconnect and what insights they provide.
Financial Models:
Create models that are practical and easy to understand. Start with:
Valuation Methods:
Strategies for Efficiency:
Work with the owner to determine which key performance indicators (KPIs) matter most for their business. This could be gross margin, customer acquisition cost, or inventory turnover.
Operational Insights:
Shadow the business operations to identify inefficiencies. Look for areas in supply chain management, inventory control, and customer service that can be optimized.
Automation and Tools:
Execution:
Schedule weekly meetings with the business owner to discuss findings, updates, and actionable recommendations.
Documentation:
Seek Feedback:
Network:
Continuous Learning:
By strategically approaching this opportunity and staying proactive in your learning, you will not only maximize your own growth but also provide real value to the businesses you work with. Good luck!