Introduction
CFO services for SMEs play a critical role when growing companies transition from founder-led operations to institutional or strategic investment. For SMEs, especially in regulated environments like India, investment readiness is not only about valuation and negotiation but also about governance, compliance, and clarity in ownership structures.
This case study explains how a Kerala-based packaged food company leveraged CFO services India and transaction advisory services to restructure its shareholding, resolve advisory equity complexities, and execute a fully compliant strategic investment under the Companies Act, 2013.
Executive Summary
What was the challenge?
The company planned to onboard strategic investors but faced complexities in its shareholding structure, advisory equity arrangements, valuation requirements, and pre- and post-investment compliance obligations under Indian corporate law.
What service did APCALLP provide?
Comprehensive CFO consultant and vCFO services, including cap table restructuring, advisory share transfers, valuation coordination, shareholder documentation, and statutory compliance management.
What was the result?
A clean, investor-ready capital structure and successful closure of the strategic investment with full statutory alignment and zero regulatory observations.
Client Overview
Business Type: Private Limited Company
Industry: Packaged Food & Traditional Kerala Cuisine
Location: Kerala, India
Engagement Nature: Strategic investment structuring and compliance advisory
Core Requirement: Investor-ready shareholding structure supported by end-to-end CFO services for SMEs
The Challenge
The promoters aimed to attract strategic investors to scale operations. However, the existing cap table included advisory shareholdings that required restructuring. Additionally, the transaction required:
- Compliance with the Companies Act, 2013
- Accurate valuation through a Registered Valuer
- Clean documentation for investor due diligence
- Timely pre- and post-investment statutory filings
Any gaps could have delayed or jeopardized the investment.
Our Approach
As CFO consultants and transaction advisors, APCALLP approached the engagement from both a commercial and compliance perspective. The focus was not only on enabling the transaction but also on ensuring long-term governance and investor confidence.
Key focus areas included:
- Capital structure clarity
- Regulatory compliance
- Transaction readiness
- Post-investment governance
Key Strategies Implemented
Cap Table Review and Restructuring
We analysed founder, advisory, and proposed investor shareholdings to restructure the cap table in line with commercial intent and legal compliance.
Advisory Share Transfers
Handled advisory share transfers to simplify ownership and eliminate pre-investment ambiguities.
Valuation and Investment Readiness
Coordinated with a Registered Valuer to obtain a valuation report aligned with regulatory norms and investor expectations.
Shareholder and Transaction Documentation
Prepared and reviewed Share Transfer Deeds, Board and Shareholder Resolutions, Share Certificate endorsements, and the Shareholders’ Agreement covering governance, reserved matters, and exit provisions.
End-to-End Compliance Management
Managed ROC filings, statutory register updates, and issuance of revised share certificates within prescribed timelines.
Outcome
- Successful closure of strategic investment
- Investor-ready and legally compliant shareholding structure
- Complete statutory alignment under the Companies Act, 2013
- Enhanced governance framework supporting future fundraising
Role of APCALLP
APCALLP acted as an integrated CFO services India partner, combining vcfo services, transaction advisory services due diligence, and corporate secretarial expertise. Unlike traditional advisors, the team functioned as an extended CFO office, ensuring that commercial decisions translated seamlessly into compliant execution.
Their role covered:
- Strategic structuring
- Regulatory interpretation
- Transaction execution
- Investor-facing documentation
This holistic approach reduced risk and accelerated closure.
Conclusion
Strategic investments demand more than negotiation skills. They require disciplined execution, compliant structuring, and financial leadership. Through specialized CFO services for SMEs, APCALLP enabled the company to transition confidently into its next growth phase while maintaining statutory integrity and investor trust.
Frequently Asked Questions
1. What are CFO services for SMEs?
CFO services for SMEs provide strategic financial leadership, compliance oversight, and transaction support without hiring a full-time CFO.
2. How do vCFO services help during investments?
vCFO services support cap table structuring, valuation coordination, investor documentation, and regulatory compliance.
3. Why is transaction advisory services due diligence important?
It ensures that financial, legal, and regulatory risks are identified and mitigated before investment closure.
4. What role does a CFO consultant play in fundraising?
A CFO consultant aligns financial strategy, compliance, and investor expectations into a cohesive execution plan.
5. Are CFO services Bangalore different from CFO services India?
CFO services Bangalore often focus on startups and VC-backed companies, while CFO services India span SMEs across sectors.
6. What are advisory transaction services?
They include structuring, documentation, valuation support, and compliance for mergers, acquisitions, and investments.
7. How does cap table restructuring help investors?
It provides clarity, transparency, and confidence by eliminating legacy equity complications.
8. Is valuation mandatory for strategic investments?
Yes, valuations by Registered Valuers are required for regulatory and investor compliance.
9. Can outsourced CFO services replace internal finance teams?
They complement internal teams by providing senior-level strategic and compliance expertise.
10. When should SMEs engage CFO consultants?
Ideally, before fundraising, restructuring, or major transactions to avoid corrective actions later.