Between “IT is handled by the colleague who is good with computers” and “we have a CTO for €120,000 a year” there is a rational middle step. It is called a fractional CTO, and for companies with €1–20M revenue it is often the best IT decision of the year.
What a fractional CTO actually does
Owns the technology strategy: which systems to build, which to buy, which to switch off. Negotiates with vendors — proposals are suddenly approved by someone who knows what a day of work should cost. Manages security and NIS2/GDPR compliance. And builds the internal team if one is meant to exist. Typical engagement: 2–6 days a month, from €3,900.
When it is not enough
If you are building a software product as the core of your business and the team grows past 10 developers, you need a full-time CTO — the fractional model is then good as a bridge for 6–12 months while you search. An honest provider will tell you that themselves; it is, incidentally, a good test of their motivation.
Payback is easy maths: one rejected pointless investment or one well-negotiated SLA pays for the service a year ahead.