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January 17, 2025Did you know you can unlock expert IT and cybersecurity leadership while saving your business up to £100,000 in the first year alone? Fractional CIOs and CISOs offer high-level strategic support without the full-time executive price tag, making them a smart choice for growing businesses without breaking the bank.
The financial benefits of Fractional CIOs and CISOs
- Cost Saving: Avoid the six-figure salary of a full-time CIO/CISO (£100,000+ annually). Traditional costs associated with full-time employment such as pension payments, sick leave, holiday pay and national insurance contributions, do not apply to fractional consultants. Neither do recruitment fees – and a fractional consultant can in most cases be hired immediately, without needing to wait for a notice period to be served as would be the case with a full-time hire.
- Efficiency: These experts streamline IT processes, negotiate better supplier terms, and implement cost-saving strategies, ensuring every pound spent on information technology delivers maximum ROI.
- Flexibility: With fractional services, you are charged for the time and expertise your business requires - no more, no less. Fractional CIOs and CISOs scale with your needs, offering flexibility to adapt as your business evolves.
- Expertise: Access experienced C-suite IT professionals with specialised knowledge in IT strategy, cybersecurity, and software development, without the expense of developing these capabilities in-house.
- Experience: Fractional executives bring a wealth of experience across industries. This breadth allows them to identify solutions you might not have considered and to drive efficiency in your IT and cybersecurity operations.
This is why finding a CIO or CISO in small to medium-sized businesses is unusual. Economit provides on-tap fractional support to fill these important positions for you, from its team of highly accredited and certified industry professionals. These virtual positions are also known as fractional services because our professionals provide the service to you using a 'fraction' of the time and at a 'fraction' of the cost (compared to full-time employees). Fractional IT and security services provide the flexibility, expertise, and strategic oversight needed to drive your business forward.
The case for fractional cost savings
We estimated the total cost of a full-time CIO/CISO (costing nearly £140,000 per annum to employ), factoring in National Insurance, pension contributions, and recruitment fees.
A full-time employee would cost £138,800 in the first year (including recruitment).
- Base Salary: £100,000 (conservative estimate for the lower end of CIO/CISO salaries in the UK).
- National Insurance (NI): For employers, NI is 13.8% of earnings above £9,100 annually (13.8% = £13,800 + £100,000 = £113,800).
- Pension Contributions: Typical employer contributions range from 3% to 10% (assuming a mid-range 5% = £5,000 + £113,800 = £118,800).
- Recruitment Fees: Recruitment agencies usually charge 15% to 20% of the first-year salary (assuming 20% = £20,000 + £138,800).
A fractional CIO/CISO working 4 days a month for your organisation would cost approximately £43,200 annually, saving you nearly £100,000 in the first year alone.
- Cost: £43,200 annually (based on £900 a day for 4 days per month).
- Savings in Year 1: £95,600 (£138,800 − £43,200 = £95,600)
- Savings in Subsequent Years: Without recruitment fees, the savings would still be £75,600 annually (£95,600 - £20,000 = £75,600).
These figures make a strong financial case for opting for a fractional CIO/CISO over a full-time hire. In summary, fractional services provide the specialised, strategic support businesses need to thrive in today's complex technology landscape. It is ideal for organisations that cannot justify full-time hires but still require on-tap expert IT and information security leadership.
Want to find out more about Fractional CIO or CISO services?
If your business is ready to unlock cost-effective IT leadership, Economit's fractional CIOs and CISOs provide immediate access to experienced, independent professionals. Perfect for SMEs aspiring to grow, we offer flexible, on-demand services that save you time and money while driving your business forward.
Call Us Today: 01332 447447
Email: hello@economit.co.uk
Learn More: Your guide to cost-effective IT leadership