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NextGen Code

Software Engineering

Fractional CTO services: technology leadership without a full-time hire

Fractional CTO services give your company an experienced technology leader on a part-time basis: someone who owns the technology strategy, manages developers and vendors, keeps you secure, and reports to leadership in plain English, without a full-time executive salary. It's technology advisory for small and mid-sized businesses, built for owners, CEOs, and founders of companies with 5–500 employees who are making serious technology decisions without a technical leader they trust.

This is for you if…

  • You're signing large technology contracts and making architecture decisions without a technical leader you trust.
  • You rely on an agency or freelancers and can't judge their estimates, architecture, or code quality.
  • A key developer left, and nobody else has the passwords, the documentation, or the full picture.
  • A customer sent a security questionnaire or asked for your SOC 2 report.
  • You're raising capital or preparing to sell, and technical due diligence is coming.
  • Your board or leadership team keeps asking what the AI plan is, and nobody owns the answer.

Overview

Part-time technology leadership for strategy, AI, security, vendors, and hiring, explained in plain English.

NextGen Code has offered CTO services from the start. Clients have long called us "my tech guys": the team on your side of the table that evaluates the pain points and solves them at the macro and micro level. Because we've built and shipped production software since 2018, our advice reflects what it really takes to deliver.

Today the job includes AI. A fractional CTO now sets AI policy, picks vendors with safe data terms, decides where AI belongs in your products and operations, and governs how your developers use AI coding tools. We bring the same discipline to AI as to the rest of the role: baselines, budgets, and results you can measure.

What you get

Deliverables, not decks.

  • 01

    Technology assessment

    An inventory of your systems, vendors, licenses, and spend, an architecture and code review, a security baseline, and a risk register rated red, amber, or green, all written in plain English.

  • 02

    Technology and AI roadmap

    A 12-month roadmap ranked by impact, cost, and risk, with build-versus-buy decisions, AI priorities with payback estimates, and a budget your finance team can plan around.

  • 03

    Security and compliance readiness

    Multi-factor authentication (MFA) and single sign-on everywhere, device management, tested backups, an incident response plan, written policies, and a SOC 2 gap assessment and readiness plan, so you're prepared when an auditor or a customer asks.

  • 04

    Vendor and team leadership

    Estimate and contract reviews covering IP assignment, service levels, and exit terms, plus vendor scorecards, hiring plans, job descriptions, interview loops with practical exercises, and onboarding for new engineers.

  • 05

    Board-ready reporting

    A one-page quarterly technology scorecard covering roadmap progress, delivery metrics, spend, security posture, risks, and AI results, written for owners and boards rather than engineers.

  • 06

    Technical due diligence

    Buy-side or sell-side reviews of architecture, code quality, security, scalability, open-source licenses, IP ownership, cloud costs, and team risk, with findings and remediation estimates.

How it works

A clear process, start to finish.

  1. 01Weeks 1–2

    Technology assessment

    Interviews with leadership and the team, an audit of who has access to what, an architecture and code review, a vendor and spend inventory, and a security baseline. You get a plain-English findings report and a list of quick wins.

  2. 02Weeks 3–4

    Roadmap and budget

    A 12-month technology and AI roadmap, a budget, and a risk register, reviewed with leadership so everyone agrees on what happens first and why.

  3. 03Monthly

    Ongoing leadership

    A standing cadence with your team and vendors: architecture decisions, estimate and code reviews, planning, security follow-through, hiring, and a direct line when something urgent comes up.

  4. 04Quarterly

    Leadership and board reporting

    A one-page scorecard and a short review with leadership or the board: what shipped, what it cost, how risk changed, and what comes next.

  5. 05When you're ready

    Transition

    When the company needs a full-time technology leader, we help define the role, run the search, interview candidates, and hand over documentation and context.

What we measure

The numbers this moves.

We baseline these before we start and report against them after launch.

  • Roadmap delivery

    The share of committed roadmap items shipped each quarter, so technology spending maps to results the business can see.

  • Security baseline coverage

    MFA and single sign-on coverage across systems, tested backups, and open critical vulnerabilities, tracked monthly against the assessment baseline.

  • Technology spend

    Software, cloud, and vendor cost per employee or per customer, with unused licenses and idle cloud resources the first targets for savings.

  • Delivery health

    The four DORA (DevOps Research and Assessment) metrics: how often you deploy, how long a change takes to reach production, how often changes fail, and how quickly you recover.

  • Key-person risk

    The number of critical systems that only one person understands or can access. The target is zero.

In practice

What this looks like in a real business.

  • A non-technical founder working with an agency

    Example: a founder is three months into an app build with an outside agency and can't tell whether the estimates are fair. We review the code, architecture, and backlog, reset scope and acceptance criteria, and stay on to manage delivery.

  • The first enterprise customer asks for SOC 2

    Example: a B2B software company gets a security questionnaire and a SOC 2 request from its largest prospect. We answer the questionnaire accurately, build the control set, choose a compliance platform, and prepare the company for a Type I audit, then Type II.

  • Preparing for a sale or fundraise

    Example: a services company with proprietary software is preparing to sell. A sell-side review finds missing IP assignments from past contractors, shared admin passwords, and an open-source library used against its license terms, and we fix them before a buyer's reviewers find them.

  • Buy-side technical due diligence

    Example: an investor evaluating a software acquisition needs a 2–3 week review of the code, architecture, security, and team, with a red-amber-green report and the cost to fix each issue.

  • Recovering after a developer leaves

    Example: the only developer leaves, and nobody has the domain registrar login, the cloud root account, or any documentation. We regain control of every account, document the system, stabilize it, and hire or contract the right replacement.

  • An AI plan the board can act on

    Example: the board asks for an AI strategy. We assess readiness across Strategy & Leadership, Data & Systems, Processes & Operations, People & Culture, and Governance & Risk, write the AI policy, fund two pilots with baselines and payback estimates, and report results quarterly.

Tools & platforms we work with

  • GitHub
  • Jira
  • Vanta
  • Drata
  • Microsoft Entra ID
  • Okta
  • Google Workspace
  • Microsoft 365
  • AWS
  • Azure
  • ChatGPT
  • Claude
  • Gemini
  • Microsoft Copilot

We're vendor-neutral: we recommend what fits your stack, budget and risk profile — not what pays us a referral fee.

Next step

Let's talk about Fractional CTO.

Bring a problem or a goal. In 30 minutes we'll tell you what's realistic, what it would take, and where AI fits — even if the answer is to start smaller.

FAQ

Fractional CTO: common questions

Still have a question? Ask us directly.

What does a fractional CTO do?

A fractional CTO is a part-time chief technology officer, also called an outsourced CTO or CTO as a service: an experienced technology leader who works with your company a set number of hours each month instead of full time. The role covers the same ground as a full-time CTO, scaled to your size: technology strategy and roadmap, architecture decisions, managing developers and vendors, security, budgets, hiring, and reporting to leadership or the board. It gives a company of 20 or 200 people executive-level technology judgment before a full-time executive makes sense.

How much do fractional CTO services cost?

Fractional CTO services are usually priced as a monthly retainer, and the cost follows a few drivers: hours per month, how hands-on the work is (advisory calls versus managing a team day to day), urgency such as a due diligence deadline, the number of vendors and developers involved, and compliance work like SOC 2 readiness. You pay for the leadership you use, without a full-time executive's salary, equity, benefits, and recruiting fees. We scope the retainer after an initial assessment, so the price matches the work.

When should we hire a full-time CTO instead?

Hire full-time when technology leadership needs 40 hours a week. Common signals: an in-house engineering team that needs daily management, software as your core product with roadmap decisions happening constantly, or investors who expect a full-time technical executive. Until then, a fractional CTO is usually the better value. When it's time, we help you define the role, run the search, interview candidates, and hand over documentation and context, which is how a good fractional engagement should end.

Can you help us get SOC 2 certified?

We get you ready for a SOC 2 audit, and an independent CPA firm issues the report. SOC 2 isn't technically a certification: it's an attestation report on your security controls, measured against the AICPA's Trust Services Criteria. We scope the systems involved, run a gap assessment, write policies, set up controls such as single sign-on, MFA, access reviews, logging, and vendor management, choose a compliance platform like Vanta or Drata, and help you select an auditor. A Type I report covers control design at a point in time; Type II tests that controls worked over a period, often 3–12 months.

What does technical due diligence cover?

Technical due diligence tests whether the software is what the seller says it is and what it will cost to own. We review architecture and scalability, code quality and test coverage, security practices and past incidents, open-source licenses (copyleft licenses such as the GPL or AGPL can create obligations), IP assignment from every employee and contractor, cloud costs, technical debt, and key-person risk. You get a red-amber-green report with remediation estimates. On the sell side, we find and fix the same issues before a buyer's reviewers do.

Will you just recommend your own development team?

No. A fractional CTO works for you, so recommendations follow your needs, budget, and risk, not our sales pipeline. If we think our team fits a project, we say so up front and you decide with full information. When work needs outside builders, we can write the scope, collect bids from other firms, and score every option, ours included, on the same criteria. Your current vendors get a fair review too: the goal is the best outcome for your company, not a new contract for us.

How does a fractional CTO handle AI strategy?

We treat AI like any other technology investment and start with the business case. That means an AI policy, tools with safe data terms (business tiers of ChatGPT, Claude, Gemini, or Microsoft Copilot that don't train on your data by default), use cases ranked by impact, feasibility, and risk, and pilots funded with a baseline and a payback estimate, following our Assess → Prioritize → Build → Scale method. For your developers, we set rules for AI coding tools: business licenses, no secrets in prompts, and human review of every change.