Gary McGaghey is the president and chief executive officer of New York-based McGaghey Advisors. He has over 25 years of experience in finance, strategy, and operations in the consumer products, healthcare, and technology industries. Gary McGaghey shares four strategies to Help CFOs Thrive in the Private Equity space, which includes.
- Get to Grips With Complex Cash Flow Requirements
Private equity firms are not in the business of making cash. If they were, they would raise money from investors. Instead, private equity firms are in the business of generating cash flow for their investors. Working in private equity firms is much like working at a bank but with more risk. To protect the interests of their investors, private equity firms need to be able to measure how much money they are generating. The problem is that cash flow measurement is often very complex and confusing to the private equity team.
- Build a Reliable Fact Base
When a private equity team is first formed, the critical question that needs to be answered is: “How much money are we generating?” The process of answering this question involves creating a fact base that can be used later to measure the firm’s performance.
- Build Effective Teams
Gary McGaghey private equity team, which includes a CFO, controller, and treasurer, is staffed with professionals who are smart enough to understand the complexity of their job and the financial needs of their investors. The team also has a solid understanding of the complex cash flow requirements that need to be met.
- Lead with Transformation in Mind
The private equity team at McGaghey Advisors is well known for fast, thorough, and adequate cash flow measurement. They consistently turn in accurate cash flow data that meet their investors’ expectations. This results from the team’s consistent focus on delivering value to its investors by transforming the way they do business. Read on to find out more about Gary McGaghey and his work at https://www.crunchbase.com/person/gary-mcgaghey