The document provides advice on becoming a finance director from a panel of finance experts. It outlines 7 key steps: 1) Gain technical understanding including holding a finance controller role. 2) Develop commercial understanding by understanding business drivers. 3) Broaden experience across finance functions and business units. 4) Get involved outside of finance to understand other departments. 5) Actively manage your career through reflection, supporting your team, and working with recruiters. 6) Engage in networking to expand your professional network. 7) Choose an industry you are passionate about and find connections to other industries.

1. HOW TO
BECOME A
FINANCE
DIRECTOR
WHITE PAPER

2. How to become a Finance Director
CONTENTS
01
Introduction ..................................................................................................................... 02 - 03
Technical understanding ...................................................................................................... 04
Commercial understanding ................................................................................................ 05
Broaden your experience .................................................................................................... 06
Involvement outside of finance ....................................................................................... 07
Career management ............................................................................................................. 08
Networking...............................................................................................................................09
Choosing the right industry................................................................................................ 10
Advice from the panel: 7 steps to becoming a finance director ............................... 11

3. How to become a Finance Director
In June 2015, Morgan McKinley hosted a panel
discussion entitled ‘How to Become a Finance
Director’ with special guest speakers:
- Chris Ling: Finance Director of British
Gas Residential, a £6bn turnover
business
- Chris Filer: ex Coca-Cola Commercial
Director and current CFO of PE-backed
business REN Skincare, recently
acquired by Unilever
- Carrie Hutchinson: CFO of Pure360, the
high-growth start-up and previous interim
CFO of notonthehighstreet.com
02
INTRODUCTION

4. How to become a Finance Director
what mistakes to avoid, and how to build a
breadth of knowledge is crucial”.
StephenTarrant | Associate Director
Morgan Mckinley UK | Finance
03
A well-received event, this white paper
encapsulates their key messages and advice
on the importance of career planning, sound
technical understanding and commercialism.
“The position of Finance Director has
transformed substantially over the last ten
years. It has become all encompassing, and it
is increasingly difficult to gain the experience
required, especially from a classic financial
career. More than ever, aspiring financial
directors require experience not only in
technical finance, corporate finance, and
investor relations, but knowledge of contract
negotiations, corporate restructuring, and big
data. Guidance on what the job really entails,

5. How to become a Finance Director 04
Becoming a finance director without holding
a finance controller position is possible, but
unadvisable. The number one finance specialist
within an organisation takes ownership and
ultimate responsibility for the numbers. The CEO
relies on this person to ensure reporting is accurate
and all statutory requirements are met, as do the
shareholders and other key stakeholders. Our
panel advised aspiring finance directors
build a solid understanding of finance
before looking to progress, and suggest
holding a financial controller position before
progressing to finance director.
TECHNICAL
UNDERSTANDING
01
7 STEPS TO BECOMING A FINANCE DIRECTOR

6. How to become a Finance Director
A strong finance director uses their financial
knowledge to improve the organisation and its
commercial outcomes. Work “on” a business
and not “for” a business. Identify business
weaknesses and improve over time. To do this, fully
understand the key drivers of the business. Find
experts within your organisation and ask them to
explain their business function. Be inquisitive and
ask “why?” Use your financial knowledge to explore
how the organisation functions. Gain exposure
across the organisation to building a well-rounded
commercial skill set. Build a knowledge of your
businesses customers, and join sales and marketing
for key face-to-face meetings.
05
COMMERCIAL
UNDERSTANDING
02

7. How to become a Finance Director 06
BROADEN
YOUR
EXPERIENCE
03 Experience of FP&A, financial control, commercial
finance, M&A, internal audit, shared service
centres, and operations are all required to become
an effective finance director. Equally, experience
of working both in a group or head office
environment, as well as in a business unit, is often
desirable.

8. How to become a Finance Director 07
INVOLVEMENT
OUTSIDE OF
FINANCE
04 Understanding your internal customer needs is
important. Leading the finance function of an
organisation should be an outwards-facing role.
When organising your function, consider the
structure and key drivers of operations, sales,
marketing, HR; etc, and involve them in the
decision-making process. Crucially, when requests
for information, data, or analysis arrive, ask “why?”
Understand what the data will be used for, and
then use your financial expertise to provide the best
solution. The initial request may not be the best
solution for the intended outcome, they may be
looking at the wrong KPI, ratio, number, etc.

9. How to become a Finance Director 08
As Jack Welch said, taking time to “look out of
the window” is important. Take time to reflect
on where your career is going. Don’t assume that
it will all be progression, you may need to take
sideways or even backwards steps. When you
decide the time is right to make a move, spend
a third of your time on your current job, a
third of your time on supporting your team,
and a third of your time on your own career.
Work with recruiters, and do not assume they
know your business, sector, or skill set. Explain why
your skills are transferable, and how you want to be
positioned to future employers.
CAREER
MANAGEMENT
05

10. How to become a Finance Director 09
Even if you do not enjoy networking, do it anyway.
Meet as many people as possible within the sector
you are targeting. Embrace networking, it does
not have to be more complicated than meeting
people for lunch or a coffee. Say yes to invitations,
and take business calls. Push yourself out of
your comfort zone. Ask advice from senior
people, they will be happy to connect
you with others if they are unable to help
themselves. Establish your own support network,
ideally consisting of five to seven people you know
well. Include two headhunters or recruiters in your
network, they are often the gatekeepers to senior
positions.
NETWORKING
06

11. How to become a Finance Director 10
CHOOSE
THE RIGHT
INDUSTRY
07 Find an industry and that you are passionate about.
If you are not in this industry currently, progression
between different industries is possible. Find the
common drivers or links between the sector you
are in and the sector you want to move to even
when this is not immediately apparent. Understand
why these connections exist, and explain them to
your recruiter or representative.
Do not assume that others will make the
connection, especially those who do not specialise
in your industry.

12. How to became a Finance Director
01 | TECHNICAL
UNDERSTANDING
02 | COMMERCIAL
UNDERSTANDING
03 | BROADEN
YOUR EXPERIENCE
ADVICE FROM THE PANEL:
7 STEPS TO BECOMING A
FINANCE DIRECTOR
04 | INVOLVEMENT
OUTSIDE OF FINANCE
05 | CAREER
MANAGEMENT
06 | NETWORKING
07 | CHOOSE
THE RIGHT
INDUSTRY
11

13. morganmckinley.co.uk