How do you convince a company to hire an interim executive — and more to the point, to hire you? The most important thing, LaCorata says, is spelling out very clearly in résumés and cover letters your experience and core capabilities. Block takes that idea a step further. "The bad thing that people typically do is tell [potential clients] all the wonderful things about themselves, sort of verbally reciting their résumés," he says. "Most often, that style will not be successful."
Instead, they should be able to clearly articulate to clients what their problems are. Prospective interim finance executives should ask a lot of questions and be a good listener. "Sometimes the problem you think you have is a superficial one, and [that] I'll be successful if I get you to realize there are other things you should be thinking about," says Block.
He did just that last year with a start-up software company for which Tatum was providing financial expertise. Block was assigned to help the company put together its initial budget and monthly financial-reporting mechanism, but he expanded the discussion to the company's sales projections and pricing plans. "The founder had been busy developing the software, and no one had been asking him any questions," says Block. The company ended up changing its pricing model, after which it was able to line up significant additional venture funding.
Currently Block is on an extended assignment — 14 months so far — with a $500 million company that had been a division of a large pharmaceutical firm before being acquired by private-equity investors. As a division, it had relied on the parent company for its financial management, and after the deal it was slow in bringing in all the people it needed to handle financial reporting, tax management, and other finance activities. At the same time, the new owners were being very intrusive, asking lots of questions about the company's performance. "They needed a lot of help, and immediately," says Block. "With a typical interim assignment, you provide immediate help, sometimes within 24 hours."
That's the kind of assignment, along with work related to initial public offerings, that in good economic times is a staple for interim executives but has fallen off dramatically during the recession. However, other needs then arise, having to do with restructurings, bankruptcies, and increased chances for violating debt covenants. "The nature of business problems changes with the economy," says Block, "but there are always problems that require immediate and strong interim help."
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