Remote FD vs In-House Accounts: What Growing Businesses Need to Know

Introduction - Remote FD vs In-House Accounts

Construction and engineering businesses scaling from £500k to £5m turnover often face the same challenge: they outgrow their bookkeeper and year-end accountant but can’t justify a full-time Finance Director (FD).

The result? Leaders make big financial decisions without the right insight, relying on gut feel instead of accurate data.

A remote FD changes that. With access to wider expertise, broader industry experience, and modern digital tools, an outsourced FD often delivers sharper insights than an in-house team.

At Jones Financial Accounts (JFA), we specialise in helping SMEs build robust finance systems that work at site level and boardroom level. And the fastest-growing firms are realising that “remote” doesn’t mean second best, it often means better control, better insight, and better value.

The Impact

A remote Finance Director is an outsourced senior finance professional who provides the same level of expertise as a full-time FD but without the cost of a permanent hire. Instead of being limited to one company’s systems, a remote FD works across multiple businesses, bringing tested processes, industry benchmarks, and a wider perspective.

For construction and engineering SMEs, this means:

• Stronger systems. Remote FDs often bring cloud-based tools and dashboards that deliver real-time reporting, rather than waiting weeks for manual spreadsheets.

  
  

• Wider experience. They’ve seen how different businesses tackle cash flow, project costing, and pricing, and can apply those lessons to your company.

  
  

• Scalable support. Instead of paying £120k+ for an in-house FD, you can scale outsourced support to match your growth, whether you need 2 days a month or 2 days a week.

  
  

The core difference is perspective. An in-house team often becomes too focused on compliance and admin.

A remote FD focuses on strategy, turning financial data into actionable insight. For an SME, this is crucial. It means you don’t just “know your numbers,” you understand how to use them to improve profit margins, manage cash flow, and win better contracts.

Strategy to Get It Right

To benefit from a remote FD, businesses must approach it strategically:

1. Clarify your goals

   Do you want tighter cash flow, better project reporting, or support in securing funding? A remote FD can deliver all three, but setting priorities ensures they focus where it matters most.

   
   

2. Choose the right partner

   Not every accountant can act as an FD. Look for proven experience with construction and engineering firms, knowledge of CIS, VAT, and project costing, and the ability to explain numbers in plain English.

   
   

3. Integrate systems

   Cloud accounting (e.g., Xero, Sage) should link to project tracking, payroll, and supplier systems. This reduces admin and provides one version of the truth for leadership.

   
   

4. Agree on reporting 

   Remote FDs should provide management accounts, cash flow forecasts, and cost-to-complete reports monthly (or even weekly on large projects). This ensures directors always know which jobs make money and which don’t.

   
   

5. Review and adapt. As turnover grows, your FD role will evolve. At £1m, you may need cash flow discipline; at £5m, strategic pricing and board-level planning. The remote FD model adapts without forcing you to recruit or restructure.

   
   

This approach turns outsourced finance into a growth enabler. It provides flexibility, expertise, and accountability without locking you into heavy overheads.

Example

A £1.2m-turnover construction company relied on a part-time bookkeeper and year-end accountant. Projects looked profitable on paper, but cash was always tight.

By the time annual accounts were produced, the directors realised margins had eroded by nearly £90k.

When JFA stepped in as their remote FD, we introduced job-level reporting and weekly cash flow forecasting. Within three months, directors could see which projects were profitable, which were overspending, and how much cash was needed to cover suppliers.

The result? They spotted an unprofitable £250k contract early, negotiated with the client to cover additional costs, and prevented a £30k margin loss. Within a year, they improved overall profit by £100k and secured better credit terms from suppliers because their reporting was clear and credible.

Misconceptions

• “Remote means less involved.” In reality, remote FDs often spend more time analysing data and advising leadership than an in-house team tied up in admin.

  
  

• “Only big companies need an FD.” SMEs over £500k turnover already carry financial risk. One poor contract can wipe out profit, precisely when FD-level insight is most valuable.

• “Software is enough.” Tools like Xero provide data, but they don’t interpret it. An FD bridges the gap between numbers and strategy.

  
  

Key Takeaways

• A remote FD delivers board-level financial insight at a fraction of the in-house cost.

  
  

• Construction and engineering SMEs benefit most through job costing, cash flow forecasting, and strategic pricing.

  
  

• Clear goals, system integration, and regular reporting are key to making the model work.

  
  

• Remote doesn’t mean “less” it means more expertise, more flexibility, and more value.

Ready to see how a remote FD can strengthen your margins and free up your time? JFA brings site-to-boardroom experience tailored for construction and engineering SMEs.

Wrapping up today's insights, tomorrow we simplify another accounting challenge