What’s the Difference Between a Bookkeeper, Accountant, and CFO?
When it comes to managing your business finances, the terms bookkeeper, accountant, and CFO often get used interchangeably. Each role has a very different purpose, and knowing the difference can help you decide what level of financial support your business actually needs.
Bookkeeper: The Record Keeper
Think of a bookkeeper as the foundation of your financial system. They’re responsible for making sure the day-to-day numbers are captured correctly so that everything else runs smoothly.
Key responsibilities:
Recording transactions in accounting software (e.g. Xero, MYOB, QuickBooks).
Managing accounts receivable (invoices you’ve issued) and accounts payable (bills you need to pay).
Reconciling bank and credit card accounts.
Processing payroll and superannuation.
Why it matters: Without accurate bookkeeping, everything else (your reports, compliance, and strategy) falls apart.
Accountant: The Interpreter
An accountant takes the numbers your bookkeeper has recorded and turns them into meaningful reports and advice. They also ensure you’re meeting your compliance obligations.
Key responsibilities:
Preparing and lodging tax returns with the ATO.
Generating financial statements like profit & loss and balance sheets.
Identifying deductions, tax savings, and compliance risks.
Providing advice on business structure, GST, and BAS.
Why it matters: Accountants translate your numbers into insights you can act on, and make sure you’re playing by the rules.
CFO: The Strategist
A Chief Financial Officer (CFO) looks beyond the past and present.
They help you plan for the future.
Traditionally, CFOs were only accessible to large corporations, but today many small and medium businesses engage Virtual CFOs for affordable, part-time strategic support.
Key responsibilities:
Cash flow forecasting and management.
Budgeting and scenario planning.
Analysing business performance and profitability.
Advising on growth strategies, funding, and investments.
Acting as a financial sounding board for the business owner.
Why it matters: A CFO doesn’t just report on numbers… they use them to guide decision-making and align finances with business goals.
How They Work Together
The easiest way to picture it is like this:
Bookkeeper: makes sure the financial data is accurate.
Accountant: ensures compliance and interprets financial results.
CFO: uses those results to drive strategy and growth.
All three roles can overlap at times, but the level of insight and involvement increases as you move from bookkeeper to accountant to CFO.
Which One Does Your Business Need?
If you’re just starting out, a bookkeeper is essential to keep your records clean.
If you need tax returns and compliance support, you’ll need an accountant.
If you’re ready to scale, improve cash flow, or plan for the future, consider a Virtual CFO to guide your strategy.
At Refresh Advisory, we offer bookkeeping, tax, and Virtual CFO services so you can have all three levels of support under one roof, and scale as your business grows.