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- #103 Closing Q3 w/ Playbooks, Models, Budgets. +Q4 Outlook
#103 Closing Q3 w/ Playbooks, Models, Budgets. +Q4 Outlook
Hi everyone! 👋 We’ve published >100 posts - appreciate the support/ sharing w/ friends! Welcome to our new members of @TheFundCFO crew! We recently launched a paid tier and released our VC Fund Playbook + Models @ Streamlined.Fund! Re-linking top posts: #96 The Case for 30+ Co.'s Per VC Fund, #88 Latest Takes on the State of VC, #86 VC Fund Stacks, and Full CFO Archive.
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“Persistence can change failure into extraordinary achievement.” -Matt Biondi
The Quarterly Closeout - Q3/Q4 Edition
Welcome to Q4 - now it’s time to close Q3! At the end of each quarter, we look back at the past three months, professionally and personally. What worked well (celebrate the wins!) and what didn’t? What can we change to make the next three months even better?! We looked back at our #102 Top VC CFO Posts of Q3 2023, which included the following:
We wrote more about the quarterly closeout process in #77 VC CFO Q2 Review / Q3 Key Action Items - highly recommend checking out if you haven’t already!
Key Action Items to Close Q3 and Tee Up a Strong Q4
Looking back at our own experiences (VC CFO for 5+ years and a VC fund / company investor for 15+ years) and conversations with many industry professionals who have collectively seen it all, we’ve identified some key action items for success in Q4:
Review Your Q3 Performance: Before setting any goals for Q4, it's essential to review your performance in Q3. Take a close look at your financials, key metrics, and any challenges you faced. Use this information to adjust your strategy for Q4.
Set Realistic and Measurable Goals: Once you have a clear understanding of your Q3 performance, it's time to set goals for Q4. Remember to keep your goals realistic and measurable. This means setting specific targets that can be tracked and monitored over the next three months.
Communicate with Your Team: this is critical. Make sure to keep your team up-to-date on your Q3 performance and your plans for Q4. This includes any challenges you're facing and how you plan to overcome them. Transparency and communication will help build trust and confidence.
Cash Flow Management: Cash flow is king, especially in the early stages of any company, VC or portfolio. Make sure you have a clear understanding of your burn rate and budget. This will help you make informed decisions about your spending.
Evaluate Your Team and Resources: As your firm grows, your team and resources will need to evolve as well. Q4 is a great time to evaluate your team and resources and make any necessary adjustments. This could mean hiring new talent, reallocating resources, or outsourcing certain functions.
Focus on Growth: Q4 is a great time to focus on growth. This means identifying opportunities to increase deal flow, expand your investor base, or plan for launch new products or services. Remember to keep your goals realistic and measurable, and to focus on areas that will have the most significant impact.
Q4 is a critical quarter and there are several key action items that VC CFOs / Finance Pros and GPs should focus on. By taking these steps, you'll be well on your way to achieving success in Q4 and beyond.
We’ve listed some of our favorites above - if you think we’re missing any big ones, please drop a note in the comments!