Comparison of Fractional
to Full Time CxO

Hiring a Fractional CxO can save a company
$100,000 a year outside of cash compensation
COMPARE
Fractional CxO
Full Time CxO
Notes
Hourly Rate
$190
$125
Fractional can vary from $150 to $450
Interview and Vet
3 hours@ $300
18 hours@ $200
2-3 rounds of interviewing 2 - 4 candidates
Cost of Recruiting
$0
$50,000
Headhunter fee
Benefits Package
$0
$62,500
Benefits can be as high as 40% of base
Productivity
100%
75%
Full time CFOs are given filler tasks to justify cost
Cost to Fire or Layoff
$5,000
$20,000
Severance is generally a month or more
Scale up or down
Yes
No
Business conditions may warrant a change
Hiring Risk Cost
$7,500
$50,000
Sometimes a CxO does not work out.
Experience
High
Moderate
Fractional CxOs are generally unaffordable at a full time rate for young firms
Starting Date
Within 5 Business Days
1-3 months
Several months of lost impact
Leadership Skills
Immediate ‘firm hand on the tiller’
Less management experience in early stage companies
Fractional CxOs move quickly to build relationships and focus on KPIs
Expertise at stage of business
Most CxOs work with early or mid stage
Many execs can’t handle early stage chaos
Examples: M&A, Turnarounds, Build Cybersecurity Team, Expand to new market,
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