How To Become A Financial Manager
A Financial Manager is responsible for the financial health of an organisation, regardless of the industry. As an efficient Financial Manager, you have every responsibility to ensure the financial decisions a company makes are upholding tax and business regulations while ensuring the decision is the most cost-effective move to make.
As the official backbone of a company’s finances, do you have the varied certificates and qualifications, updated knowledge and specialisations to get your career up and running as a Financial Manager in this fiercely competitive market?
Besides the obvious of working with numbers, a Financial Manager job description includes the requirement of having a variety of different skills, from having a knack for law and regulations, and effective communication and leadership skills, to being compliant and tax savvy, there are many things to consider before employers hire a Financial Manager.
Successful Financial Managers have the following attributes when filling a Financial Manager role:
- Honesty and integrity
- Fully understand all business workings
- An analytical and questioning mind
- Professional communication skills
- Ability to coach and mentor
- Strong financial knowledge regarding accountancy and tax law
- Adaptability and embracing change
Cathmaré Coetzee, Group Financial Manager of GetSmarter, had this to say about the functions of a Financial Manager, with focus on her experience in this continually-changing industry:
“The Financial Manager role is very industry- and company-specific, but a general trend developing is to obtain functional skills beyond your usual qualifications. There is a need for more technical know-how with every being digital – basically, you’re expected to continually update yourself to find more efficient ways of budgeting, forecasting and completing financial analysis.”
What are the key responsibilities of a Financial Manager?
The Financial Manager’s role includes carrying out varied responsibilities since the Financial Manager definition includes both managing colleagues and overseeing every financial transaction and decision.
The key responsibilities of a Financial Manager include making an impact in the following three key areas:
Financial Management |
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Compliance Management |
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Tax Management |
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Financial Management |
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Compliance Management |
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Tax Management |
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What is the career path of a Financial Manager?
According to the U.S. Bureau of Labor Statistics, jobs for financial managers are expected to grow by 19% through to 2026 equivalent to 37, 700 new available positions.1
As more businesses expand globally, the demand for Financial Managers increases rapidly. However, although many Financial Managers often start off in the same space, many will move on to different sectors altogether after a couple years of experience in the field.
“The people I studied with, we all started out on the same path. Often in a BCom degree, completing articles and then end up in very different sectors which will determine what further studies or Financial Manager courses you’ll need. You could become a Software Developer, or get into Financial Analysis or Forecasting, but the sectors change so rapidly, continuous improvement is a need.”
Cathmaré herself studied a Bachelor of Commerce in Mathematics, a second Bachelors in Accounting, and a Postgraduate Diploma in Accounting. She then completed her CIMA in Management Accounting and received her ACCA qualification, completing her articles at BDO South Africa.
Most Financial Managers will have at least five years experience behind them before being appointed to management level, and study further certificates or Financial Manager courses to gain more accreditation before being promoted.
“Financial Manager has the word ‘manager’ in it for good reason – you need to have a certain type of personality to manage people, and when it comes to Financial Management, you need to especially love change – in terms of your team, the industry and the company – if you’re not willing to adapt you’ll fall behind, and it’s a big problem if your company is not changing.”
Related Content: Hear more about the role of a Financial Manager
What is the potential salary of a Financial Manager?
Experience is a big deciding factor when it comes to the salary of a Financial Manager. Those in securities and commodity exchanges and other investment activities like trusts and portfolio management often receive higher Financial Manager salaries.2
Click on a country to see what you can expect to see for the salary of a Financial Manager in either South Africa, the United Kingdom or the United States of America:
What are the education and training requirements for a Financial Manager?
A Financial Manager will be expected to have a sufficient Bachelors degree often specialising in a subject like Maths, Accounting, Finance or Economics. This is usually a four-year degree and, most Financial Managers will not be hired straight out of university without experience in a related organisation.
After completing her articles at BDO South Africa in the role of Trainee Accountant, Cathmaré moved on to become an Audit Supervisor to Contractor and finally, Group Financial Manager at GetSmarter.
Once in the field, Financial Managers are expected to continually upgrade their skills through Financial Manager courses, certification and licensing, if their company requires it. Promotion and growth are often more likely if Financial Managers keep themselves relevant with the changing times by going for updated Financial Manager training.
“Something that I like to live by is ‘nothing great is achieved in your comfort zone’ – you need to be continuously evolving, looking for challenges, love change and create an environment where the team you manage loves change too and to grow and evolve.”