Fractional CTO vs Full-Time CTO: Which Does Your Startup Need?

At some point, every growing technology business asks the same question: do we need a CTO? And if so, does it need to be a full-time hire?

The answer depends on your stage, your budget, and the nature of the technical challenges you face. Here is a practical comparison to help you decide.

The Full-Time CTO

A full-time CTO is a permanent member of your leadership team. They are fully dedicated to your business, deeply embedded in your culture, and accountable for the entire technology function.

When it makes sense: - You have a complex, technology-first product that requires daily architectural decisions - Your engineering team has grown beyond 20–30 people and needs a dedicated leader - You are at Series B+ and can justify a £150,000–£250,000+ compensation package - Technology is your core competitive advantage and needs constant strategic attention

The trade-offs: - High cost: salary, equity, benefits, pension - Long hiring process: finding the right CTO can take 3–6 months - Risk: a bad hire at this level is extremely expensive to unwind

The Fractional CTO

A Fractional CTO provides the same calibre of strategic leadership but on a part-time or project basis. They typically work with multiple clients, bringing broad cross-industry perspective.

When it makes sense: - You are pre-Series A or early-stage and need guidance without the overhead - You have a small engineering team (2–15) that needs direction, not full-time management - You are facing a specific challenge: architecture review, legacy modernisation, technical due diligence, or a hiring strategy - You need someone now rather than waiting months for a full-time hire

The trade-offs: - Not available every day (though a good Fractional CTO builds processes that don’t require their daily presence) - Shared attention across multiple clients - Less cultural immersion than a full-time team member

A Side-by-Side Comparison

Factor Full-Time CTO Fractional CTO Annual cost (London) £150K–£250K+ £40K–£200K (flexible) Availability 5 days/week 1–3 days/week typical Time to start 3–6 months hiring Days to weeks Commitment Long-term Flexible, scale up or down Breadth of experience Deep in one company Broad across industries Cultural integration Full immersion Partial, by design

The Hybrid Path

Many of the businesses we work with start with a Fractional CTO engagement and later transition to a full-time hire. The Fractional CTO helps define the role, sets the technical strategy, and often assists in recruiting and onboarding their permanent replacement. This is not a failure of the model; it is the model working as designed.

Key Questions to Ask Yourself

1. Can we afford a full-time CTO without it straining our runway? If not, fractional is the pragmatic choice.
2. Do we need daily strategic decisions or periodic guidance? Most early-stage companies need the latter.
3. Is our biggest challenge a one-off (due diligence, architecture review) or ongoing? One-off challenges are ideal for fractional or project-based engagement.
4. How quickly do we need someone? If urgency matters, a Fractional CTO can start within days.

The Egon Expert Approach

At Egon Expert, we follow a “Be Part and Build” philosophy. Even in a fractional capacity, we integrate with your team, share your challenges, and build sustainable processes. Our goal is to leave your team stronger than we found it, whether we stay for six months or six years.

Read more about what a Fractional CTO does or explore the typical costs involved.