Rachel James decodes the role of CFO for collision shops during IDEAS Collide at SEMA

Rachel James, a Forbes-recognized finance professional, described why a chief financial officer (CFO) could be a smart move for collision repair businesses during the Society of Collision Repair Specialists (SCRS) IDEAS Collide Showcase at the 2025 SEMA Show in Las Vegas. 

“I love everything about collision,” James said. “I absolutely love it, and I love everything about finance. My mission is about blending the two and helping us in this industry just get more comfortable around money and make it feel less taboo.” 

CFOs started gaining more popularity in shops after the rise of parts managers, she said. She added that about 15–20 years ago, dealerships were the only businesses that had parts managers. 

“But we had a tremendous issue with parts in our industry, where parts weren’t getting matched, and we had the wrong mirror getting painted,” James said.

More parts managers started showing up in the collision industry, she said. 

Finance is now more complicated for shops, and about three years ago, shops started adding CFOs, she said. She added that the CFO is sometimes full-time, but can be part-time, and sometimes shops have an arrangement to share a CFO. 

James said this isn’t just for MSOs. She said single-operator shops are investing in the position. 

“A lot of us in this industry came from the shop floor,” James said. “Finance isn’t necessarily something that comes to us. It might be something that we struggle with. So, if it’s not your strong suit, why are you forcing it?” 

A CFO could be someone who already works in the finance industry, such as a former accountant or financial planner. This person could help a business figure out if enough money is being made and whether there is enough to expand or hire additional staff. They could also help decide if the business needs to downsize. 

“Many shops in our industry are judging the performance of their business solely on their bank account,” James said. “They see money in the bank, and they go ‘I’m good.’ And then they buy a Corvette.” 

However, they may not be good, James said. 

“A CFO is going to help you keep the guard rails and help you make informed decisions; help you think strategically,” she said. 

A CFO will help with taxes, look at historical data to help with profitability, and come up with new ideas, she said. This could include suggesting new vendors for some products. 

James said a client hired her to determine the valuation of their business. The business was doing $4 million in business, but was only worth $1 million. 

It wasn’t the amount the co-owners in their 40s were looking for, she said. If they were to sell for $1 million, neither would receive much after taxes and splitting it between them. 

A CFO, however, could help a business turn that number around, she said. 

“If you don’t like the numbers and you don’t like where it’s going, perhaps you hire someone for five hours a week or you talk to another shop in your group and say, ‘Hey, I can’t afford a full-time role, but what if we split the cost?’” 

James said each business should consider who is currently handling their finances. 

“If you don’t have a formal situation going around your financial management, consider the idea of hiring someone part-time or full-time,” James said.

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Rachel James speaks during IDEAS Collide at the 2025 SEMA Show in Las Vegas (SCRS).