Why PE-Backed Scale-Ups Are Leaning on Fractional COOs & CFOs to Hit Their Targets
The brutal reality: The thesis was solid. Execution is lagging...
PE-backed portfolio companies often miss their first-year operating targets, not because the investment thesis was flawed, but because execution couldn’t keep pace with the plan. In the high-stakes world of private equity, that gap between strategy and execution is where deals can lose momentum, and where value creation timelines get squeezed.
For PE operators and founders, this isn’t a warning — it’s a call to rethink leadership capacity.
The Reality for PE-Backed Scale-Ups
When the ink dries on a deal, the clock starts ticking. Most portfolio companies face accelerated growth plans, tighter operational discipline, and faster decision cycles than ever before.
The operating partner’s playbook is clear: hit growth milestones, improve EBITDA, manage working capital, and get the business exit-ready. But without the right leaders in place, even the strongest plans stall.
The problem? Recruiting full-time C-suite talent can take 6–9 months. That’s half a year of delayed execution in a space where every quarter counts.
Waiting for the “perfect” hire is a luxury most portfolio companies can’t afford.
Why Fractional Leadership Works in PE Contexts
Speed: A fractional COO or CFO can be embedded in days or weeks, not months. They arrive ready to operate at the pace PE demands.
Precision: These leaders focus exclusively on the highest-value initiatives tied to the value creation plan — no bloated agendas or pet projects.
Cost Efficiency: Instead of committing to a high-compensation package year-round, portfolio companies can scale engagement to match intensity levels.
Adaptability: As the strategy evolves — new acquisition, unexpected market headwind, faster-than-expected growth — fractional roles flex without contractual headaches.
Fractional leaders aren’t a compromise — they’re a force multiplier for the operating plan.
What PE Operators Gain from Fractional COOs & CFOs
Fractional COO Impact:
- Brings operational discipline to chaotic scale-up phases
- Installs KPI frameworks and accountability systems across teams
- Ensures execution stays aligned to board-approved priorities
- Identifies bottlenecks before they threaten targets
Fractional CFO Impact:
- Delivers cash flow clarity from day one
- Tightens board reporting cycles with investor-grade precision
- Navigates lender relationships and covenant compliance
- Models the financial impact of strategic decisions in real time
The result: smoother board meetings, more predictable numbers, and fewer surprises when the exit clock is ticking.
A Quick Reality Check — The Right Fit Matters
Not all fractional executives are created equal. The difference between a game-changer and a placeholder comes down to:
Proven PE experience — someone who’s been in the portfolio trenches
Sector familiarity — faster onboarding and more relevant solutions
Comfort with accelerated timelines — because “next quarter” might already be too late
Choose partners who have lived the PE pace — not just read about it.
The Competitive Advantage
In private equity, missed targets compound quickly. One quarter’s slip becomes a year’s lost momentum — and that’s expensive.
Fractional COOs and CFOs give PE-backed scale-ups the leadership capacity to keep pace with aggressive value creation plans, without waiting on the recruitment cycle. They’re a proactive investment in execution — one that can preserve deal value, accelerate performance, and reduce risk.
Pura Vida Partners helps PE-backed scale-ups close the execution gap. Whether you need operational rigor, financial discipline, or both, we bring the leadership muscle to keep your growth on track.