Explore the growth of fractional finance roles

Accounting and finance professionals may spend decades climbing the corporate ladder and find that the view from the top is not quite what they hoped. Perhaps the job lacks the autonomy and variety they crave.

Maybe they love what they do, but not how — and when — they do it. There might be a way to provide meaningful, high-level finance work beyond the traditional full-time structure.

The world of fractional finance involves a growing cohort of senior finance professionals who have traded full-time permanent employment for flexible roles such as virtual CFO, freelance, contract or project work. Such roles are fast becoming strategic fixtures in a reshaped global economy.

Fractional roles are no longer fringe options. Data from the Upwork Research Institute shows almost 30 per cent of global skilled knowledge workers now operate as freelancers or independent professionals.

Impacted by trends such as talent shortages, remote work demand, generational changes in career expectations — plus the cloud and AI technologies that enable project-based consultancy at scale, the shift to fractional roles is reshaping not only careers, but also the broader labour market.

Freelancers collectively generated US$1.5 trillion (A$2.11 trillion) in earnings in 2024, and some out-earn their counterparts in traditional full-time roles.

Fractional roles within the finance sector are also on the rise. The global virtual CFO market, for example, was valued at US$7.8 billion (A$10.95 billion) in 2024 and is projected to reach US$17.9 billion (A$25.13 billion) by 2030 as the demand for fractional services continues to grow.

With nine in 10 executive leaders describing their finance teams as “lean and overextended”, and global workers increasingly prioritising work–life balance and flexibility, the appeal of agile senior financial leadership has never been greater. However, like any position, it comes with a few drawbacks.

Where demand meets supply

Alysia Blackham, professor at Melbourne Law School, says professional roles like accounting are now part of the growing gig economy.

“When gig work first exploded, it was often mediated by apps and technology companies — consumer-focused jobs like driving, food delivery or cleaning,” she says.

“But, to some extent, gig work has expanded into what we might see as a portfolio career with people doing lots of different jobs, freelancing or on short-term contracts for various employers.”

Robyn Greaves, career change specialist and author of Your Third Career, says the supply of fractional finance workers is meeting a growing demand. “More organisations are focusing on accessing expertise when needed. This allows them to scale efficiently while managing risk and cost.”

 

"We may see more companies turning to fractional or virtual CFOs in a mentoring capacity to help support and guide less-experienced finance staff."

 

While organisations historically drew on fractional finance workers as a stopgap for periods of high workload, says Lauren Haxby, senior practice director – finance and accounting at Robert Half, they are increasingly incorporating these roles into their long-term talent strategy.

“One major factor is the skills shortage,” she says. “Another key driver is the rise of project-based work. Organisations are increasingly undertaking system upgrades, restructures, mergers and acquisitions, and responding to legislative changes in accounting-specific contexts. These projects create temporary spikes in workload, making flexible talent an attractive option.”

Business investment and international lead at CPA Australia, Gavan Ord, says senior fractional workers can provide more than finance skills — they can also be valuable mentors for junior finance workers.

He points to recent research from PwC, which shows that the adoption of AI tools removes the structured, repetitive tasks that traditionally helped entry-level workers build confidence and understand workplace culture.

“While they might be able to use AI to perform certain aspects of the role very effectively, they may lack the experience that typically comes with time on the job,” he says.

“This may increase demand for experienced professionals to mentor younger workers, and we may see more companies turning to fractional or virtual CFOs in a mentoring capacity to help support and guide less-experienced finance staff.”

The benefits of fractional work

While permanent full-time work brings a sense of stability and financial security, the fractional option allows workers to diversify their income stream, which can reduce risk.

This is part of the appeal for Gen Z workers, with data from freelance platform Fiverr showing 67 per cent of the generation believe multiple streams of income are essential for a sense of financial security. However, Haxby believes the appeal of fractional work spans generations.

“Many experienced people are looking for high-impact work without the constraints of a fulltime role,” she says.

“Variety is also highly valued as working across different industries and organisations keeps the work stimulating.”

 

"During my time as a fractional CFO, I found the flexibility to be incredibly rewarding both for myself and for the organisations I supported. The role enabled me to step into companies at pivotal moments during scale-ups, restructures or investor conversations and offer strategic input without the long onboarding curve of a full-time hire."

 

Variety is just one of the benefits of fractional work, according to Priyan Fernando CPA, founder and director of Metrix Advisory, who says that fractional CFO services enable him to provide strategic financial support to a range of small business owners.

He started his business in 2022, after years of working in senior finance roles at companies such as property giant Mirvac, and works with a team of approximately 20 fractional finance workers.

“I wanted to provide something different: fractional CFO services for businesses turning over less than A$20 million,” says Fernando. “I get operationally involved.

That might mean helping implement a CRM or ERP system, setting up inventory management processes, clarifying roles and responsibilities, developing a business plan, defining short- and long-term goals or running SWOT analysis. It is about building structure and clarity — not just producing numbers.”

Asif Iqbal FCPA recently transitioned from fractional CFO work to a full-time CFO role at telecommunications company REDtone Group in Pakistan. His fractional work spanned a range of clients and his engagements were often structured on a part-time, retainer or contract basis.

“During my time as a fractional CFO, I found the flexibility to be incredibly rewarding both for myself and for the organisations I supported,” he says. “The role enabled me to step into companies at pivotal moments during scale-ups, restructures or investor conversations and offer strategic input without the long onboarding curve of a full-time hire.

“It also allowed for breadth,” he adds. “I worked across telecom, energy and digital sectors in Pakistan and the UAE, and every engagement sharpened my adaptability and cross-sector insight.”

However, Iqbal notes that the fractional model “is not without its trade-offs”.

“Building long-term team rapport or embedding cultural change is harder without full-time presence,” he says. “You often walk a tightrope between being an ‘outsider’ adviser and an ‘insider’ decision-maker.” 

Fernando cites managing client expectations as an early challenge.

“‘Fractional’ means I am not full-time for any one client, but some clients understandably want more of your time, especially in difficult periods,” he says. “At first, I did not have structured onboarding systems and I overloaded myself. Now we have clear processes. If we are at capacity, we delay new clients until the next onboarding cycle.”

Time management can be another challenge to overcome, says Fernando.

“In the beginning, I did everything: admin, operations, delivery. Over time, I delegated and built a team around me.”

Assess the benefits

Another potential drawback of fractional work is that it may not come with the entitlements of traditional work such as annual and sick leave, and freelancers may not have the same legislative protections as traditional employees.

For example, Blackham notes that while the Fair Work Legislation Amendment (Closing Loopholes) Act 2023 aims to protect the rights of gig workers in Australia, it is confined to work mediated by digital platforms.

“We have not seen case law or reforms around professional contractors in the same way,” she says. “However, for professionals such as accountants in Australia, even if they are freelancing outside the protections of the Closing Loopholes reforms, there are still some protections. Work health and safety laws apply regardless of employment status, as do discrimination laws.”

To be successful in fractional finance roles, Iqbal suggests starting with a clear understanding of your value proposition. 

“Are you a turnaround CFO? A compliance architect? A growth enabler? Define that before jumping in,” he says.

Fernando recommends following a passion. “I am not compliance-driven; I am future-focused. I care about strategy, growth and exit plans. If your passion is tax advisory, lean into that instead.”

CPA Australia members operating as fractional or virtual CFOs in Australia and New Zealand should be aware that this work may constitute the provision of accounting services to the public, and as such may require a public practice certificate. Members are encouraged to visit CPA Australia’s public practitioner information page to discuss their individual circumstances.