What is a Fractional CTO, and Why Hire One?

If you're actively growing your organization with a technical side that requires management, you need a Chief Technology Officer. But who to hire, and how? The average salary of a CTO in the United States is $254,308—more readily paid by established corporations than SMBs and new ventures.

What is a Fractional CTO?

A fractional CTO manages technology "for a fraction of the time, on a fraction of the projects, and for a fraction of the cost," compared to their traditional full-time counterpart. There's no distinction in education level, years of experience, or skill—the only difference is that a fractional CTO is essentially an on-demand consultant for specific projects, plans, or technologies.

What Does a Fractional CTO Do?

Fractional CTOs typically involve themselves in both the technical aspect and business development. They are actively involved in decision-making and play a critical role in connecting upper management with tech teams.

Typical responsibilities include:

• Establishing a solid technology strategy
• Creating and managing product roadmaps
• Overseeing technology developments and internal IT operations
• Managing strategic partnerships with technology vendors
• Building a scalable product
• Supervising in-house and/or outsourced IT professionals

Why Hire a Fractional CTO?

They enable you to maximize internal resources

By outsourcing your CTO in a fractional capacity, you're freeing up internal resources. Your development team will operate at a higher level if supervised by a tech-savvy leader with the right knowledge and expertise.

They save you money

Hiring a fractional CTO will save you not only time, but a considerable amount of money. "Fractional CTOs deliver immediate value through experience at lower cost. You're typically getting extraordinary value for what you're paying."

You'll gain a new perspective

Adding a fractional CTO instantly widens your company's perspective. A fractional CTO can "provide an outside perspective to your current technological strategy and your team gets exposure working with different professionals."

You're free to build your business

Working with a fractional CTO gives you guidance with product development, IT issues, cybersecurity strategies, and business process optimizations. Since fractional CTOs typically operate on-demand, they'll be up and running quickly to address your business priorities.

How to Hire a Fractional CTO

Leverage job aggregators like LinkedIn, Indeed, and Glassdoor—or work with a talent sourcing agency. A staffing agency saves valuable resources and leaves your team free to devote time to revenue-generating tasks.