Capital is the fuel that powers every organization’s engine, and in today’s fast-moving economy, you need two distinct tanks: human capital and financial capital. As a Partner with the Florida CFO Group, I’ve seen firsthand how blending these two sources of strength leads to sustainable growth, higher engagement, and a more resilient business model.
1. Human Capital: Your Strategic Advantage: Too often, companies treat talent assessment as an annual checkbox. Instead, apply the EOS Worldwide GWC™ framework continuously:
- Get It: Does each team member truly understand the role’s objectives?
- Want It: Is the work aligned with their passions and career goals?
- Capacity to Do It: Do they have the bandwidth and skills to excel?
By conducting quarterly “seat checks” using performance metrics (KPIs, project delivery, customer feedback) and qualitative input (peer reviews, leadership potential), you can identify high-potentials, uncover skills gaps, and make targeted development investments. This ongoing process transforms performance reviews from dreaded rituals into strategic conversations that deepen trust and unlock discretionary effort.
2. Financial Capital Beyond Traditional Debt: While traditional bank loans still play a role, today’s CFOs have a richer palette of funding options:
- Revenue-Based Financing: Repay based on a fixed percentage of monthly revenue—ideal for businesses with predictable cash flows.
- Strategic Partnerships: Collaborate with industry peers or fintech firms that bring both capital and market access.
- Alternative Lenders & Fintech Platforms: Fast approval and flexible terms, though often at higher cost, can be invaluable for bridging growth stages.
The key is aligning your funding vehicle with your company’s life cycle and risk profile. Early-stage ventures may prioritize speed over cost; mature firms might opt for revolving credit facilities that preserve equity and minimize dilution.
3. Synchronizing the Two Engines: The real magic happens when you weave human and financial capital strategies together:
- When you hire a high-potential leader for a new growth initiative, ensure you’ve secured the funding to support their vision, whether that’s budget for a pilot team or capital for market expansion.
- Conversely, when evaluating financing options, factor in the talent you already have. A lean, skilled team might thrive on a smaller equity raise, whereas a large-scale rollout could justify more aggressive funding.
4. Actionable Takeaways
- Conduct Monthly Check-Ins: Short, focused conversations to gauge GWC™ and morale.
- Map Funding to Milestones: Tie loan drawdowns or equity closings to clear, measurable outcomes.
- Build a Capital Council: Bring cross-functional leaders together quarterly to review both talent pipelines and cash-flow forecasts.
By treating people and money as two sides of the same coin, you create a flywheel of growth: energized teams deploy capital effectively, which in turn funds the next wave of talent investments.
Don Retreage is a distinguished Florida CFO Group partner, a visionary finance executive, and a trusted advisor to C-suite and boards, leveraging his deep corporate finance and operations background to drive growth-focused strategies and turnarounds. As a transformational servant leader, Don excels at building and coaching cross-functional and cross-cultural teams that consistently deliver business outcomes exceeding stakeholder expectations.
Want to learn how to deploy your company's capital effectively? Contact the Florida CFO Group to connect with a proven CFO partner like Don Retreage, who can help you realign your financial strategy and reach your business goals.