The coronavirus pandemic has spurred sudden advancements at U.S. organizations and pushed CFOs to reprioritize technological innovation financial commitment, according to a Grant Thornton study.
The accounting firm noted that a lot more than 60% of CFOs cited improved versatile and remote operate environments as an upside of the pandemic, with forty% also noting improved collaboration, improved business enterprise procedures, and an capability to far better target on approach.
Amid the shift to remote operate, 61% of finance chiefs indicated that they count on to maximize financial commitment in cybersecurity in the subsequent year. When questioned to title the three biggest problems struggling with their organizations, 46% indicated cybersecurity hazards, 46% chose technological innovation upgrades, and 30% mentioned remote workforce challenges.
Fifty-three p.c of respondents are prioritizing lengthy-time period foundational technological innovation infrastructure financial commitment above technological innovation that addresses instant business enterprise needs (47%).
“A year back, CFOs had been scrambling just to endure, but occasionally a crisis can accelerate constructive adjust,” Chris Schenkenberg, regional tax business enterprise strains national handling partner at Grant Thornton, mentioned in a news release.
CFOs skewed damaging on taxes, with 39% declaring the Biden administration’s tax strategies will negatively impression their corporations. Among the organizations with a lot more than $one billion in profits, fifty five% count on tax modifications to have a damaging impression, though only 29% of organizations with revenues among $one hundred and one and $500 million felt the similar.
The study also revealed that a lot of CFOs approach to slice vacation and genuine estate expenses in the coming year and outside of and a lot more than 50 % approach to maximize financial commitment in their companies’ DE&I (variety, fairness, and inclusion) and ESG (environmental, social, and governance) procedures.
CFOs skewed damaging on taxes, with 39% declaring the Biden administration’s tax strategies will negatively impression their corporations. Among the organizations with a lot more than $one billion in profits, fifty five% count on tax modifications to have a damaging impression, though only 29% of organizations with revenues among $one hundred and one and $500 million felt the similar.
Indicating the particular purpose acquisition company growth of 2020 will proceed, eighty four% of personal company respondents mentioned SPACs have elevated their interest in heading general public. When questioned no matter if a SPAC or a standard IPO would be their choice, respondents had been pretty much equally break up, with 49% picking a SPAC and 51% picking an IPO.
Additional than two-thirds of CFOs, on the other hand, count on elevated SPAC regulation from the Securities and Exchange Commission in 2021 though fifty five% feel SPACs depart new general public organizations overvalued.