SMBs are also embracing the metaverse and cryptocurrency as “an extremely viable” solution, according to a new study from Sage.
About 83% of SMB financial leaders surveyed believe the industry needs a new breed of CFO that encompasses key roles of facilitation, fairness and focus, according to a new research by payroll tech provider Sage†
“U.S. financial leaders are redefining what it means to be a CFO,” said Judy Romano, vice president and CFO of Sage North America. “Through their purpose-driven approach to the role, their adoption of breakthrough technologies, and their work across a range of business units, finance leaders are taking their place as forward-looking guides to organizations.”
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SMB, cryptocurrency and the metaverse
SMBs are also embracing the metaverse — 36% of finance executives said their companies have already entered the metaverse, while 52% said they plan to increase their presence, according to the Sage study.
While just 17% of global finance teams said they currently accept cryptocurrency transactions, a third said they plan to accept decentralized currencies within the next 12 months. Just over half (52%) believe these currencies will prove ‘extremely’ viable as a long-term payment solution.
The biggest hurdles to adopting cryptocurrencies, according to the survey, were internal environmental, social and governance policies and finding the right talent to manage it.
The survey also found that 44% of financial leaders have used cryptocurrency as payment for personal transactions. Nearly half (48%) have personally invested in cryptocurrency, while another 49% plan to invest in it.
When it comes to the metaverse, SMBs may be further along in embracing the new technology than many expect. More than a third (36%) of finance teams said their company has already entered the metaverse, while 52% say they plan to expand their presence in the coming year. More than half (54%) of respondents plan learning programs in the metaverse and 42% buy virtual real estate through NFTs.
“The metaverse is a great example of the convergence of our digital and physical lives – integrating human touchpoints through digital means to break down barriers,” said Aaron Harris, CTO at Sage. is, the metaverse normalizes some emerging technologies such as cryptocurrencies for SMBs, which in turn removes friction and provides insights.”
But Harris noted that despite the appetite for new technologies and business models, skills availability remains an industry-wide problem that needs to be addressed. Offering more than the traditional finance function can help the finance profession appeal to a wider audience.
Financial SMEs are optimistic about new technologies
SMBs have constant access to new opportunities, supported by artificial intelligence, machine learning and the blockchain, to better manage their finances and run their businesses more effectively, Sage said.
US financial leaders were the most optimistic: nearly half (46%) of US SMBs have already entered the metaverse, compared to just 30% of UK and 32% of Canadian companies. As a result, 32% of finance teams are now looking for candidates with coding, developer and AI experience.
US finance teams were also among the most likely to already accept cryptocurrency transactions, with 21% already accepting those payments. The US follows only Australia, where, according to the report, 29% of businesses already accept decentralized payments.
As for the long-term viability of cryptocurrency as a source of payment for SMBs, 60% of US finance teams believe it is extremely viable. This compares to 44% of UK respondents and 49% of Canadian financial managers.
Purpose and people for profit
According to the report, three-quarters of financial decision-makers put goal ahead of profit.
Finance teams are now prioritizing technology skills over financial experience in recruiting, impacting the hunt for new skills, the Sage report said. A third (32%) of finance teams said they are now looking for candidates with experience in coding, developers or AI algorithms.
Candidates with strong AI experience were even more attractive than strong finance candidates willing to train and develop AI skills – 38% compared to 34%, respectively. However, both are more attractive candidates than professionals without any technical skills, the report said.
Respondents also prioritize people and empathy in business decisions. Three quarters of financial decision makers are encouraged by their organization to prioritize people (77%), consider empathy and understanding when making business decisions (75%) and put purpose over profit (74%).
Sage said the survey is based on 1,900 responses from financial leaders in healthcare, nonprofit, financial services, professional services, hospitality, technology and retail at organizations with fewer than 1,000 employees and with annual revenues of at least $50 million. for the US, UK, Australia and South Africa and at least $5 million for Canada.
