The Hidden Cost of Long Hiring Cycles for PE‑Backed Finance Teams

Private‑equity (PE) investors thrive on speed. They expect portfolio companies to deliver rapid EBITDA growth and meet strict reporting deadlines. Yet the process of finding and placing the finance talent that measures and, increasingly, drives this growth can become drawn-out.

Across the country, the average time‑to‑hire has climbed to 44.7 days for finance professionals. Every month these seats remain vacant can cost thousands of dollars per role, both in direct and indirect costs.

But in PE-backed firms, a vacant controller or FP&A role can slow transformation initiatives, can also expose the business to risks. And, according to an often-cited Bain/Hunt survey, 92% of PE respondents said that, “waiting too long to take action on talent issues had resulted in portfolio company underperformance.”

In this article, we’ll walk through the hidden costs of a long hiring cycle, as well as some strategies to accelerate your search for high-value accounting and finance talent.

Key Takeaways

• Hiring delays for accounting and finance has real costs. Average time‑to‑hire for finance roles exceeds 44 days and can cost thousands of dollars per month.
• Direct costs of open positions often conceal deeper impacts. Slow hiring can forestall EBITDA improvement, decelerate integration and transformation initiatives, strain teams, and damage employer brands.
• Talent acquisition acceleration requires proactive search solutions. Maintaining a talent bench and partnering with specialized search firms can help PE‑backed companies capture more value and accelerate growth.

More Than Money: How Slow Hiring Undermines PE Performance

The direct cost of a vacancy is obvious. But the more impactful consequences of slow accounting and finance hiring often lie below the surface. Here are some of the often “hidden costs” that can hinder EBITDA improvements, put undue pressure on your teams, and expose your company to undue risk.

Pressure on current team

The pool of qualified accountants and finance leaders is shrinking. Since 2016, the number of CPA exam candidates has decreased by more than 30%.

As such, many teams are already stretched too thin; taking a long time to fill critical roles only puts more pressure onto them. This increases the likelihood of errors while also slowing the pace of output.

If this pressure continues too long, high performers will burn themselves out or simply leave, further weakening your succession bench and setting you up for more turnover.

Inefficient processes and resource drains

A vacant seat, especially for a critical role, can cost hundreds of dollars in lost productivity. Multiply that by a 44-day average time-to-hire period, and you’re looking at tens of thousands of dollars.

Not only that, but extended timelines also inflate direct costs. The average cost‑per‑hire is about $4,700, but prolonged searches can push the total cost to three or four times that role’s salary.

Candidate experience and employer brand

A drawn‑out recruitment process can also erode your company’s reputation. Candidates today expect timely communication; 66 % will move on if they don’t hear back within two weeks, and 46 % lose interest altogether after one to two weeks of silence.

When companies fail to meet these expectations, the backlash is swift: 72% of job seekers share negative hiring experiences with others.

For private equity portfolios competing for finance talent, these numbers represent more than reputational damage; they signal higher marketing spend to repair brand perception, and the risk of becoming a company that top controllers or CFOs deliberately avoid.

Misalignment between PE sponsors & management teams

Beyond direct costs, slow hiring processes can stall critical projects and strain relationships between partners. High‑value opportunities slip away while leadership debates responsibilities, and when an ill‑fitting hire leaves, teams must re‑start the search from scratch. This, in turn, compounds vacancy costs and delays value creation.

Aligning early on role definitions, compensation and decision rights isn’t just good governance. It preserves momentum and protects portfolio returns.

Strategies to Accelerate Hiring Without Sacrificing Quality

If your goal is to control costs, a fast hire can be just as damaging as a slow hire. Hiring the wrong person, whether that means they’re unqualified for the role or don’t fit the organization’s culture, can cost up to six to nine months of that employee’s salary.

So speed should never come at the expense of rigor. Based on our experience placing accounting and finance talent at all levels, here are some practices we recommend to help strike the right balance.

Build & maintain a finance talent bench

You shouldn’t wait until there’s a vacancy to start cultivating relationships. That way, when someone leaves (or, for early-stage companies, you start expanding your finance bench), you have people waiting in the wings.

A partner like Grayson, who already has deep relationships in accounting and finance, can be a valuable resource in this regard.

Streamline your hiring process

Another way to accelerate your hiring is to streamline your process.

Right now, a lot of candidates are frustrated that they’re getting into the final round of interviews but receiving no offers. That’s because, frankly, many hiring managers are so nervous about making a wrong hire that they’re overcorrecting. And it’s causing a lot of frustration among candidates.

Here’s what we suggest:

• Consolidate stakeholders into panels rather than sequential interviews
• Commit to providing feedback to candidates within 48 hours
• Use structured assessments to evaluate competencies and cultural fit (and try to limit it to one, consolidated assessment)
• Use ATS and AI screening tools to surface qualified resumes quickly, but use human judgement to make the final decision

Above all else, make the application simple, ensure communications are clear, and treat every applicant with respect.

Final Thoughts: Fast Hiring Is Smart Hiring

In PE‑backed finance teams, time really is money. Vacancies cost thousands in lost productivity and can jeopardize financial reporting, integration efforts, and compliance.

Portfolio companies that embrace proactive talent pipelines, streamlined processes, strategic partnerships can balance both speed and rigor, outpace competitors, and maximize returns.

Don’t let an unfilled controller seat derail your growth plans. Reach out to Grayson to build your talent pipeline, evaluate your hiring process and accelerate your next finance hire.

Frequently Asked Questions (FAQs) on Accounting & Finance Hiring Cycles

What is cost‑of‑vacancy and how do I calculate it?

Cost‑of‑vacancy (COV) measures the revenue and productivity lost for each day a role remains unfilled. To calculate COV, divide annual revenue per employee by 220, then multiply that by the number of days the role is open.

How long does it typically take to fill a CFO or controller role?

Executive‑level finance positions can take 120+ days to fill. Roles requiring CPA licensure average 73 days. Engaging a specialized recruiting partner and using interim executives can mitigate these delays.

How can I shorten time‑to‑hire without sacrificing quality?

Consolidate interviews, define roles clearly, provide feedback within 48 hours, and adopt structured assessments to improve accuracy while accelerating decisions. Partnering with recruiters who maintain deep candidate pipelines also reduces search time and ensures cultural fit.