Explore jobs
Find specific jobs
Explore careers
Explore professions
Best companies
Explore companies
Candidates for a Chief Financial Officer (CFO) role typically have a lot of work experience. This is a good thing as far as having an experienced executive, but it also means there is a lot of material to cover in the interview. In this article, you'll find a list of common CFO interview questions and answers to help you prepare for your interview.
Key Takeaways:
As a CFO candidate, make sure you understand the company you're applying to and have examples of your accomplishments ready to go for your interview.
When creating a list of questions to ask in a CFO interview, read over the candidate's resume to see if there are any areas that need clarification or that you want to find out more about.
As a Candidate:
Practice answering common CFO interview questions. While you can't predict every question you'll encounter, answering some sample ones will help you get in the right zone for your interview. You'll get some practice thinking on your feet and have examples, and basic answer outlines ready to go.
Research the organization. Even if you've already worked at the organization for years, make sure you're familiar with the company's mission, vision, and values. You should also go over any recent financial reports so you can speak knowledgeably about them.
Have examples of your past work on hand. These might be physical reports and projects, anecdotes about your responsibilities and skills, or data illustrating your accomplishments.
As an Interviewer:
Create your question list. This may sound obvious, but it's an important part of preparing to interview a CFO candidate. To do this, identify the skills and experience you want your CFO to have, and ask questions that relate to those. You can also use a guide like this one to come up with ideas.
Remember to include CFO behavioral questions as well as more straightforward questions to get a better idea of how the candidate operates.
Remind yourself of your company's goal in hiring a CFO. It's easy to get swept up in the good things each candidate brings to the table, but you need to stay focused on finding the right CFO for your company. This means you have to be well-versed in your company's vision and how the CFO fits into that.
Look over the candidate's resume again. This will jog your memory of what they're bringing to the table and remind you of any questions you want to prioritize asking. Otherwise, you may end up missing opportunities to clarify or expound upon specific aspects of the candidate's work history.
Tell me about yourself.
A common icebreaker, this question is your opportunity to give your elevator pitch. Talk briefly about what you bring to the table and why you're the perfect person for this job. Many people also give brief overviews of their careers and how they ended up applying for the position to provide additional context.
Example Answer:
I'm an accountant with over 25 years of experience working at companies that operate in industries ranging from manufacturing to hospitality. I graduated from Stanford University in 1997 and earned my CPA a few years later, and I've been working in accounting ever since.
My most recent position is as company controller, and I've really enjoyed getting to be a part of the big-picture financial operations of the company and supporting my accountants in their work. Now I'm looking to continue to grow and use my skills as CFO.
Why should we hire you?
When you answer this question, connect the dots between your skills and accomplishments and what the company is looking for in a CFO. This is a great opportunity to pitch yourself to your interviewers and show them why you stand apart from the crowd.
Example Answer:
My background as a CPA and a manager has given me both the financial and leadership skills needed to be an effective CFO. In addition, I've worked my entire career in the tech industry, which has allowed me to become familiar with the financial ups, downs, and pitfalls a company like this one can face.
Why do you want to work here?
Companies want to hire leaders who completely understand and support the organization's mission, vision, and values. So, when you're interviewing for a CFO position, you'll probably encounter a question along these lines. When you answer, be specific about what attracts you to the company and how you'd help further it.
Example Answer:
I want to work here because I am a big believer in the importance of valuing both excellence and relationships. I've observed your organization for many years, and I admire how you support your employees and build relationships with customers, all without compromising quality.
I'd love to get to support an organization like that with my financial and managerial skills and experience.
Why did you apply for this job?
Employers ask this question to find out more about your motivation for applying for this job, so make sure your answer has more depth than, "I want to be an executive," or "It pays well." Talk about how your skills and interests align with the job and company.
Example Answer:
I love getting to help companies reach their full potential financially. I've always enjoyed the detailed work of accounting, but during my time as a company controller, I've learned that I love the big-picture aspects of business finance even more.
When I saw this job open up, I was excited about the idea of getting to be in a position where I could do even more of this type of work.
Where do you see yourself in five years?
No one is going to come back in five years and check to see how accurate your answer to this question was, so focus on communicating your professional goals rather than on making a prediction. Interviewers also want to see if you're invested in this role for the long haul, so keep that in mind as you answer as well.
Example Answer:
In five years, I see myself continuing to serve as the CFO of this organization, having strengthened my skills and increased my contribution to the company's growth and success.
I also see myself having developed strong relationships with internal and external leaders and stakeholders, further helping set up the company for future success.
What is your greatest strength?
This question is an opportunity to brag about yourself. Just keep in mind that the purpose of this question isn't to find out how great you are as a person but what it is that sets you apart from other candidates. To do this, talk about your key skills and experiences and how they will help the company.
Example Answer:
My greatest strength is my ability to negotiate. Throughout my career, I've been able to hone the art of helping two parties come to an agreement, with each getting what they want. I've been able to use this skill to help solve budget disputes many times in my current role.
What is your greatest weakness?
This may sound like a trick question, but it isn't. Its goal is to see if you're self-aware enough to know what your weak spots are and disciplined enough to figure out how to overcome or compensate for them. So, be honest about a weakness you have, but spend most of your answer talking about what you're doing to combat them.
Example Answer:
My greatest weakness is getting too bogged down in making sure the details are perfect. While this served me well as an accountant, once I moved into a managerial role, I learned that sometimes done is better than perfect.
So, before I start a project, I ask myself what the most important thing is: Accuracy, precision, or timeliness. Then I allocate my time accordingly, making sure I never fully neglect any of these without putting too much emphasis on the less important ones.
What motivated you to pursue a career in finance, and how did you become interested in the CFO role specifically?
Hearing about your history and motivations for your career choices can provide a lot of insight to interviewers about what makes you tick. As you should with most interview questions, try to relate this one back to the specific position or company as well.
Example Answer:
I've always been fascinated by numbers and how they can help us make sense of our world. Then, in high school, I realized I found business and economics interesting as well. This led me to pursue a career in finance. As my career progressed, I became interested in roles where I could help businesses create successful strategies.
I believe this CFO role offers a unique and exciting opportunity for me to use my experience in developing and overseeing both short-term financial goals and long-term strategies. I'd love to be able to use the skills I gained from that experience to help further the company's mission.
Can you describe your experience managing budgets and how you have prioritized spending in the past?
Managing budgets is a key responsibility of CFOs, so it's only natural that interviewers will want to ask you about your experience in this area. When you answer, give a specific example of how you've successfully used this skill.
Example Answer:
In my previous role as CFO, I managed a budget of $95 million. To make sure our spending aligned with the company's goals and objectives, I'd meet with department heads to hear their financial priorities and then estimate the potential strategic impact of each proposed expense as well as its return on investment.
This data-driven method helped me make spending decisions, and then I'd conduct regular reviews with department leaders to make sure that spending was actually effective. If it wasn't, we'd make adjustments as needed.
What is your approach to financial reporting, and how have you ensured accuracy and transparency in past roles?
Companies need to be able to trust their CFOs to produce accurate, compliant, and transparent financial reports. Because of this, it's almost a guarantee that you'll encounter a question or two about this topic.
Example Answer:
My approach to financial reporting is data-driven and focused on maintaining strong internal controls to ensure reports are accurate and transparent. In my most recent role, I implemented a system of regular internal audits and cloud-based software that allowed for real-time reporting.
These not only kept our work more accurate, but they allowed us to communicate issues or changes to stakeholders more quickly as well.
Tell me about a time you prioritized and managed competing financial priorities within an organization.
CFOs have to make tough decisions on behalf of their employers, making sure that all funds are used efficiently and are furthering the company's larger goals. Interviewers want to know if you have experience handling these types of decisions, so you'll likely encounter an interview question similar to this.
Example Answer:
At my last job, we had some technological needs that needed to be met in order to expand our customer base. To do this, we had to cut the budget elsewhere, and I had to decide which departments would get cuts. I had already been meeting regularly with department heads, so I had a handle on what they needed to operate.
I conducted an analysis of our technological needs to make sure we weren't spending more than we needed to, and then I identified other areas that could be streamlined to reduce costs. I also worked with department heads to find additional ways to save money.
After doing this, we successfully purchased the technology without sacrificing other vital operations or going over budget.
How do you stay up-to-date with emerging financial trends and best practices, and what steps do you take to continually improve your financial expertise?
As a CFO, you can't fall behind in your knowledge of financial trends and industry best practices. Because of this, interviewers will want to know how you go about intentionally keeping up your professional development and learning.
Example Answer:
I attend at least two industry conferences and events per year, which helps me connect with other professionals, keep up with the latest trends and best practices, and learn strategies from other organizations. I also take as many relevant professional development classes as I can to keep my skills updated and sharp.
In addition to all of this, I subscribe to several financial publications and newsletters, read daily financial news, and follow industry leaders and media outlets on social media.
Describe your experience managing a finance team and what leadership strategies you found to be most effective.
CFOs aren't just financial experts; they're also leaders. When you encounter a question asking about your leadership skills, give specific examples of the success you've had using them in the past.
Example Answer:
I've had about eight years of experience managing finance teams in various capacities, and during that time, I learned that effective communication and collaboration are vital. Because of this, when I started my current role, I created a system of monthly individual meetings with my team.
During these short, low-key meetings, my employees can give me feedback, and I give them feedback on their recent work. We also work together to set goals and measure how the employee is doing in reaching those goals. I also conduct weekly team meetings where we discuss projects, share ideas, and recognize successes.
This system has resulted in more engaged employees and a more productive team — we've also decreased our team turnover rate by 75% since I started.
Can you describe your experience with financial systems and tools and how you have optimized their use to streamline financial operations?
An effective CFO needs to be comfortable using technology to streamline operations and improve processes. Come to your interview ready to give examples of how you've used these tools to improve your performance as well as your team's.
Example Answer:
I've used a lot of different financial systems, including ERP systems, budgeting, and forecasting software, and financial reporting tools. At my current job, I even implemented software to automate routine data entry.
We were going to need to hire an extra employee to handle all this data entry and make sure it was error-free, but I decided to research other options first and found the software. This system has reduced our errors, saved us the cost of hiring another person, and freed up current employees to do more analytical work.
Do you have any questions for us?
You can almost guarantee you'll encounter this question in your interview at some point, and your answer should always be, "Yes," followed by a handful of questions you prepared. This is your opportunity to learn more about the organization, culture, and job scope. Just stay away from questions about salary and benefits for now.
Example Answer:
I do have a few. I was wondering if you could tell me more about the culture of the company and how the finance department fits into that.
What are some key challenges you see facing CFOs in today's business environment, and how have you addressed these challenges in the past?
How do you approach financial planning and analysis, and what strategies have you found to be particularly effective?
How have you managed the financial aspects of mergers and acquisitions, and what steps do you take to ensure a successful integration?
What is your experience managing debt and capital markets, and how have you ensured financial stability for your organization?
How have you approached risk management in your previous roles, and what strategies have you found to be effective?
Can you describe your experience with financial modeling and how you have leveraged this skill to inform strategic decision-making?
How have you managed cash flow in previous roles, and what steps have you taken to optimize working capital?
Can you describe your experience with international financial operations, including foreign currency exposure and compliance with international regulations?
What is your experience with tax planning and compliance, and how have you ensured tax efficiency for your organization?
How have you managed investor relations in past roles, and what strategies have you used to build strong relationships with investors?
Can you describe your experience with internal controls, and how have you ensured compliance with regulatory requirements and best practices?
How do you approach financial forecasting and scenario planning, and what tools do you use to inform these processes?
How have you approached cost management in previous roles, and what strategies have you used to reduce costs while maintaining quality and efficiency?