Fractional CTO vs Full-Time CTO
Which Should You Hire? A Comprehensive Comparison
Quick Summary
Choose a Fractional CTO if you're pre-seed to Series A, need senior tech leadership 1-2 days/week, and want to save 60-70% compared to a full-time hire.
Choose a Full-Time CTO if you're Series B+, have a 20+ person engineering team, and need dedicated daily leadership.
Side-by-Side Comparison
| Factor | Fractional CTO | Full-Time CTO |
|---|---|---|
| Annual Cost | £24,000 - £96,000 | £130,000 - £180,000+ |
| Equity | Usually none or minimal | 1-5% typical |
| Time Commitment | 1-3 days/week | Full-time, exclusive |
| Experience Breadth | Multi-company, multi-industry | Single company focus |
| Flexibility | Month-to-month, scalable | Long-term hire, notice period |
| Recruitment Time | Days to weeks | 3-6 months typical |
| Best For | Pre-seed to Series A | Series B+, 20+ engineers |
When to Choose a Fractional CTO
A fractional CTO is the right choice when:
You're pre-seed or seed stage
You need technical credibility for investors but can't justify a £150k+ salary
Your engineering team is small (under 10)
A full-time CTO would be underutilised; 1-2 days/week is sufficient
You need specific expertise quickly
Hiring a full-time CTO takes 3-6 months; a fractional CTO can start in days
You're a non-technical founder
You need someone to validate technical decisions and manage developers
Budget is constrained
Save 60-70% while still getting senior technical leadership
When to Choose a Full-Time CTO
A full-time CTO makes more sense when:
You're Series B or later
You have significant funding and can afford a senior executive
Your engineering team is 20+
Daily leadership and management is required across multiple teams
Technology is your core differentiator
Your product IS the technology, not just enabled by it
Quick Decision Checklist
Answer these questions to determine which option is right for you:
- 1.Is your engineering team under 15 people? → Fractional CTO
- 2.Are you pre-Series B? → Fractional CTO
- 3.Is your annual tech budget under £200k? → Fractional CTO
- 4.Do you need someone to start within 30 days? → Fractional CTO
- 5.Is technology your primary product (not just an enabler)? → Consider Full-Time CTO
The Transition Path
Many companies start with a fractional CTO and transition to full-time as they scale. A good fractional CTO will:
- Help define the full-time CTO role when you're ready
- Participate in the hiring process to find the right candidate
- Ensure smooth handover and knowledge transfer
- Potentially continue in an advisory capacity
Not Sure Which Option is Right for You?
Let's discuss your specific situation. As a 5x CTO with a successful exit, I can help you determine the best path forward for your company.