How to become a Head of Finance in Germany

juli 25, 2024

If you’re a finance professional looking to become a Head of Finance in Germany now or in the future, it’s important to understand the role, the skills and experience you’ll need, and the best strategies for finding the right job.

Here’s our guide on how to become a Head of Finance in Germany.

What is a Head of Finance?
What does a Head of Finance do in Germany?
Do you need qualifications to become a Head of Finance in Germany?
What skills do you need to become a Head of Finance in Germany?
How much does a Head of Finance earn in Germany?
How to find a Head of Finance job in Germany
Can a Head of Finance work on an interim basis in Germany?

What is a Head of Finance?

A Head of Finance is responsible for overseeing a company’s financial operations including financial planning, risk management, investment strategy, regulatory compliance, financial reporting and more.

Requirements for a Head of Finance may vary depending on the company’s size. For large corporations, multinationals and most mid-sized companies in Germany, the role is crucial for managing the complexity and scale of their financial operations. Typically, at least 15 years of practical experience is required for these positions. Smaller companies may have a Head of Finance but might only require around ten years of professional experience.

The Head of Finance is usually part of the senior management team and contributes to high-level decision-making and strategy. They typically manage the company’s finance department which might include Finance Managers, Financial Analysts, Accountants and other finance professionals.

The Head of Finance usually reports to the Chief Financial Officer (CFO) and has various internal stakeholders, including teams in accounting, corporate strategy and operations. They also interact and maintain relationships with external stakeholders, including investors, shareholders, banking and financial institutions, and regulatory bodies.

What does a Head of Finance do in Germany?

A company’s Head of Finance oversees its financial operations, particularly in a financially complex, dynamic and sophisticated environment like Germany. These responsibilities include:

Financial planning and analysis: This includes budgeting, auditing, forecasting, and financial modelling to support the company’s financial health and growth. Compliance and financial reporting are also critical to ensure the company adheres to local and international regulations. Financial data analysis is also an increasingly popular skill amongst candidates
Risk management: Identifying and mitigating financial risks such as credit risk, market risk, and operational risk. This responsibility also involves risk analysis, strategic planning, monitoring and reporting
Investment/asset management: Managing the company’s investments and/or assets to optimise returns with minimal risk. This might include asset allocation, investment policy development and portfolio management. Understanding the German financial markets, such as the Frankfurt Stock Exchange, is essential
Capital management: Raising capital and managing debt and equity to maintain the company’s capital structure
Financial strategy: As a strategic leader, the Head of Finance considers all these responsibilities when developing the company’s financial strategy, aligning resources with long-term objectives and goals

Do you need qualifications to become a Head of Finance in Germany?

To become a Head of Finance in Germany, you should have a combination of education, skills and experience. These requirements vary by company and sector, but generally you’re expected to hold a bachelor’s degree in finance, economics, accounting, business administration or a related field.

Having a master’s degree or other advanced certifications and accreditations from credible business schools can also be beneficial.

Specific qualifications that are highly regarded in Germany for a Head of Finance role include:

You can also proactively embrace continuous learning by utilising your company’s internal training programmes and other platforms like LinkedIn Learning modules.

What skills do you need to become a Head of Finance in Germany?

Successful Heads of Finance in Germany have a diverse set of hard and soft skills, such as:

Financial acumen: In-depth grasp of financial concepts, markets, products, and instruments. Ability to analyse financial data, assess risk, and make informed decisions
Leadership and team management: Strong leadership skills to motivate team members, enhance collaboration, and support their career progress
Communication skills: Ability to clearly articulate complex financial information to stakeholders
Problem-solving and analytical skills: Capable of addressing complex financial challenges and finding effective solutions
Fluency in English language and German language: These language skills are highly desirable for interacting with international and local stakeholders, especially in multinational companies. Other European language skills may be beneficial, such as French, depending on the company

How much does a Head of Finance earn in Germany?

Salaries for a Head of Finance in Germany vary by company size and experience:

Large corporations, Gmbh or multinationals: 150,000 to 250,000 EUR annually
Mid-sized companies: 120,000 to 180,000 EUR annually
Start-ups and small companies: 90,000 to 130,000 EUR annually

Salary levels tend to be higher for roles based in major cities like Berlin, Frankfurt, Hamburg, Munich and Dusseldorf due to competitiveness, innovation, international presence, cost of living and more.

Salaries may also vary depending on the company’s sector. For example, Heads of Finance may earn higher salaries in banking and financial services, but they may receive other alluring compensation packages in commerce and industry sectors such as retail and fast-moving consumer goods (FMCG).

How to find a Head of Finance job in Germany

If you’re considering a Head of Finance role in Germany, you can use a combination of strategic job searching, professional resources and networking. Here are some examples:

Recruitment agencies: Agencies like Brewer Morris can provide bespoke guidance, available job opportunities and access to finance networks
Company websites: Research companies you’re interested in and visit their career pages to learn about their culture, values, and available job opportunities
General job boards: Look for Head of Finance roles on platforms like Indeed and LinkedIn
Specialised job boards: You can also look at finance-specific job boards such as eFinancialCareers and FinanceJobs.de
LinkedIn: Ensure your LinkedIn profile is up-to-date and engage with companies you’re interested in. You can also make sure you’re visible to recruiters and hiring managers (without your employer knowing you’re looking elsewhere)
Networking: Attend industry events, conferences, and seminars like the German Finance Association Annual Meeting and EuroFinance so you can create new connections

Can a Head of Finance work on an interim basis in Germany?

Yes, there’s a growing demand for interim Heads of Finance in Germany. Companies hire interim professionals for various purposes such as project-based work, temporary support and specialised expertise.

There are also many benefits for professionals who choose to work on an interim basis, including:

Flexible working: You can often choose your projects, schedules, and employers, improving your work-life balance. You may choose to work part-time rather than full-time
Project variety: You can gain exposure to a variety of projects and challenges across different companies and sectors
Specialisation: You can focus and enhance expertise in specific areas like corporate finance, risk management, or sustainability
Higher salary: Interim Heads of Finance can earn higher rates than permanent or full-time employees, typically ranging from 100 to 200 EUR per hour

Get in touch with us today if you’d like further information or to discuss your job search. We can help you throughout the full application process to onboarding and beyond.