Happy New Year!
Now is the time for the finance department of your nonprofit organization to set its goals for 2023.
6 Resolutions for Nonprofit Finance Departments
Distribute monthly financial statements by the 15th of the following month
Result: Proper procedures in place result in the distribution of timely and accurate financial statements.
Create or update your Accounting Policies and Procedures Manual
Result: Consistency in applying policies and procedures | Transparency in financial management | Proper safeguarding of financial resources | Compliance with regulatory and accounting requirements | Efficiency in training new employees.
Schedule an independent assessment of your finance department operations
Result: Your operating procedures will be evaluated. Inefficiencies in and lack of internal controls will be identified.
Completing a financial audit successfully and in a timely and cost-efficient manner requires proper preparation, which should be an ongoing process throughout the year. Below are several key steps that should be taken during the year to prepare for the audit.
The steps I am recommending are those that I undertook in preparing for the financial audits at several nonprofits and as a consultant helping my clients with the process. Taking these steps can reduce audit cost and help to ensure that the audit is completed in a timely manner.
Building a Strong Finance Department Infrastructure: Is Your Nonprofit Ready For the New Reality?
Finance departments are facing many challenges in this new reality
The New Year brings a New Reality to nonprofit organizations. Working arrangements for staff, physical workspace and daily operations have changed. The changes present the following challenges:
5 Missed Steps in the Nonprofit Procurement Process: See How We Assisted One of Our Clients
A nonprofit client downsized their procurement department. This resulted in changes to workflow, staff roles and responsibilities. I was retained to review and evaluate their procurement processes to ensure that there were proper internal controls, efficient workflow and best practices in place.
I began my assignment by meeting with the procurement team. I reviewed and documented the processes that each member followed. My investigation identified 5 critical missed steps in their procurement processes:
Are Your Nonprofit’s Financial Statements Timely? See How We Helped Our Clients
Here is one example of how Roberta Katz Consulting can assist your nonprofit organization.
When I was working in senior financial management positions at several nonprofit organizations, one of our major challenges was generating accurate monthly financial statements in a timely manner.
To meet these challenges, I successfully implemented a formal process and a tracking system to help to ensure that we met the deadlines established for completing and distributing the financial statements each month.
Driving change in an organization was difficult and took time to be successful. It required proper oversight and enforcement of the new process. However, the benefit was significant. The finance department began generating accurate and timely financial statements that were used by senior management and the Board of Directors to make critical decisions for the organization.
You are invited to schedule a complimentary consultation to discuss how we can help your organization implement a formal month-end closing process and tracking system.