They walked into the budget meeting with a request for five new positions—and another $450,000 of annual payroll burden. More AP staff. More AR staff. More staff accountants. The justification? The team was "buried" and needed help. But as the conversation unfolded, it became clear that the issue wasn’t bandwidth. It was structure. Process. Systems. Technology.
In high-growth companies, it's not uncommon to hear internal discussions about hiring more people in finance.
“We’re drowning in payables—we need to bring on another AP person.”
“We can’t keep up with reconciliations—let’s hire a junior accountant.”
“If we just add someone to help with reporting, we can finally focus on strategy.”
The underlying assumption is that the problem is bandwidth—and that the solution is more hands. It’s a familiar reflex. But in small to mid-sized companies, this assumption is often flawed.
In reality, most growing businesses don’t need more people in finance. They need better structure, smarter systems, and scalable processes. The traditional accounting hierarchy—built for a time when nearly everything was manual—is increasingly obsolete. And in today’s leaner, faster-paced business environment, clinging to that structure is not only inefficient, it’s expensive.
The Legacy Finance Org Chart: Familiar but Failing
Historically, finance departments were built with a high volume of task-specific roles. Large enterprise teams included separate staff for Accounts Payable, Accounts Receivable, Payroll, GL accounting, fixed assets, tax prep, and more.
This made sense in an era where tasks were paper-based and disconnected. Invoice approvals were routed in manila folders. Reports were pulled manually. Forecasting was done in Excel, line by line.
But applying that same model to a $10M or $50M company no longer works. A team with one person each for AP, AR, data entry, payroll, and reporting might feel "complete," but often creates more friction than function.
Pro Tip: Just because a role existed at your last company doesn’t mean it belongs in your current one. Structure should follow strategy, not legacy.
More Headcount Often Creates More Complexity
Here’s the pattern that emerges in many mid-market companies:
- Processes are undefined or clunky, so everything takes longer than it should.
- Instead of fixing the process, the business adds a person.
- That person builds their own workarounds.
- The process becomes dependent on their tribal knowledge.
- When they leave, the process breaks—and the cycle starts again.
This isn’t scale. It’s survival—and fragile at best.
Pro Tip: Before hiring, ask: Is this a process issue masquerading as a headcount issue?
The Real Fix: Smarter Systems, Stronger Process, Leaner Teams
The most effective finance organizations today are structured around outcomes—not tasks.
1. Technology Replaces Repetition
Modern platforms can automate what entire roles used to do:
- Accounts Payable: Tools like Ramp or Bill.com can code, route, and pay invoices with built-in controls.
- Bank Recs & Matching: Smart software can reconcile transactions automatically.
- Dashboards & Reporting: Power BI, LiveFlow, and others pull data into real-time dashboards.
Pro Tip: If your team is spending more time entering data than analyzing it, you're overdue for a technology upgrade.
2. Process Design Beats Headcount Every Time
Many finance inefficiencies come from poorly defined workflows, unclear handoffs, or unnecessary reviews. Streamlining core processes like procure-to-pay or close-to-report can eliminate hours of redundant work.
Pro Tip: A clear, well-documented process executed by two people will always outperform a messy process staffed by five.
3. Capability > Capacity
Instead of hiring multiple junior staff, businesses should prioritize hiring for insight and impact. One person with analytical skill, ERP fluency, and business acumen can outperform an entire task-focused team.
Pro Tip: Hire for elevation, not execution. The right person with the right tools can eliminate the need for three roles.
What Does a Modern Mid-Market Finance Team Look Like?
A lean, well-structured team may include:
- Controller or VP of Finance
Owns accounting, compliance, and internal reporting. Drives structure and insight. - Bookkeeper or Staff Accountant
Handles transactional accounting, reconciliations, and support for close. - (Optional) Finance Analyst
Supports automation, builds dashboards, and enhances forecasting. Optional if finance lead is analytically strong. - Fractional CFO or Strategic Advisor
Provides guidance on capital strategy, working capital, and long-term planning.
Pro Tip: Don’t rush to fill seats. Design the structure first, then staff intentionally around it.
The Bottom Line
Hiring more people won’t solve structural problems. In most small to mid-sized companies, adding headcount without first improving process, systems, and oversight only delays progress.
Before hiring, ask:
- Why is this work taking so long?
- Can it be automated or streamlined?
- Are we optimizing or just offloading?
The businesses that scale successfully aren’t the ones that staff heavily. They’re the ones that build finance departments to be thoughtful, lean, and scalable.
And in this economy, that’s not just smart. It’s essential.
