GrowCFO Show #233 Post-Acquisition, Pre-Burnout: Surviving M&A as a CFO with Kathy Kinder, GrowCFO Mentor
#233 Post-Acquisition, Pre-Burnout: Surviving M&A as a CFO with Kathy Kinder
In this insightful podcast episode of the Grow CFO Show, Kevin sits down with Kathy Kinder. Their discussion centers on the critical challenges CFOs face during mergers and acquisitions, with particular emphasis on post-acquisition integration and avoiding burnout. Kathy brings extensive experience from her career spanning multiple private equity-owned companies where she managed numerous acquisitions, growing one company from $30 million to over $130 million in revenue.
The conversation highlights the importance of simplifying organizational structures post-acquisition to reduce costs and improve efficiency. Kathy shares valuable insights on managing teams through periods of change, emphasizing communication and addressing performance issues promptly. Her transition from corporate CFO roles to fractional CFO consulting reflects a growing trend among finance executives seeking more balanced careers while still leveraging their expertise to help growing companies avoid costly mistakes.
About Kathy Kinder:
Kathy Kinder is a former CFO with over 30 years of experience managing accounting, HR, legal and facilities. She focused her expertise as a CFO for tech companies, facilitating over 13 acquisitions. These acquisitions cover private asset and stock sales, carve outs of public companies, and public take private situations.
An original founder of LiftBridge, Kathy is now largely retired from direct client work but still contributes as a mentor to those wanting to grow their CFO skills, or for founders needing basic background or increased practical understanding of business and finance. Kathy, along with her co-founders Kay Whitaker and Ashley Vukovits, won the 2022 Mira Award for Service Partner of the Year. The judges for the Mira Awards, presented by TechPoint, ‘determined LiftBridge’s effectiveness with its clients is likely to have a lasting impact on the success of the Indiana tech ecosystem startups and scale-ups well past the critical five-year survival mark’. Kathy is a dog lover and former owner of a doggy boarding and daycare business.
Key topics covered:
- Kathy led finance teams through 11-12 acquisitions under Battery Ventures, managing accounting, revenue recognition, HR, facilities, and legal contracts while navigating the complexities of rapid growth
- Post-acquisition integration requires simplification of organizational structures, including consolidating federal ID numbers to reduce redundant reporting and standardizing employee benefit plans across merged entities
- Effective team management during M&A transitions depends on clear communication and treating team members as valued contributors rather than subordinates
- Addressing underperforming team members promptly is essential during acquisitions to maintain overall team morale and productivity
- The multi-faceted role of a CFO during M&A requires broad knowledge across business functions, with Kathy emphasizing that there are “no stupid questions” when navigating unfamiliar territory
- Transitioning to fractional CFO work can provide a less stressful alternative for experienced finance executives while allowing them to mentor growing companies and help them avoid common pitfalls
Links
Timestamps
- 00:01:04: Introduction to the podcast and explanation of the recording process with new mentor Kathy.
- 00:05:00-00:10:00: Kathy shares her background from “bean counter” at Stokely Van Camp to managing growth at a tech company that went public.
- 00:08:30-00:10:45: Experience leading finance through 11-12 acquisitions under Battery Ventures, growing from $30M to $130M in revenue.
- 00:12:30-00:14:00: Strategies for post-acquisition integration, including consolidating federal IDs and standardizing benefits.
- 00:15:00-00:17:30: Philosophy on team management: treating team members as volunteers and giving proper credit for their work.
- 00:17:45-00:19:00: Importance of addressing underperforming team members quickly to maintain morale during acquisitions.
- 00:22:00-00:24:30: Discussion of the CFO’s multi-faceted role requiring broad business knowledge beyond finance.
- 00:25:00-00:27:30: Kathy’s transition to fractional CFO work and the benefits of mentoring growing companies.
- 00:28:00-00:30:00: Exploration of AI’s potential in finance and how it’s helping streamline processes and reduce wasted time.
- 00:31:00-00:32:00: Closing thoughts on mentoring and encouragement for mentees to ask questions without fear.
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