Your organization serves a critical need in our community, but a good heart isn't enough. The success of your nonprofit organization depends on many factors: compelling mission, effective leadership, sufficient funding, dedicated volunteers and a smart organizational setup that includes a sound financial foundation and built-in innovative strategies to prepare and meet the needs of the future.
Your organization is filled with thoughtful, caring, generous people who thrive on determined optimism and impossible challenges. Their focus is on the mission of the organization and not necessarily on the finances.
Over the past 20 years as business advisor to literally hundreds of nonprofit organizations, we have found that the most common and difficult challenge for any nonprofit is the finance area. Most nonprofit organizations do not have the resources to hire a full-time, high-level finance director. Often times, cash flow crises, budget short-falls, diverted resources, uncontrolled costs, tax penalties and increased risk losses are the unfortunate result.
YOUR NEEDS
Nonprofit organizations face many of the same problems as for-profit organizations. All organizations, for example, must set goals and engage in long-range planning. All organizations must maintain certain financial records. All organizations must generally file returns with the various taxing authorities. Your organization is no exception. But nonprofit organizations have special needs as well. For example:
- Many do not have the resources for in-house accounting staff. Compliance auditing and professional tax preparation take on added importance for such organizations.
- Cash flow is a major concern for many. Adequate cash flow management is key to successful operations.
- Special accounting procedures and reports are often required for specific types of funding such as for grants and restricted contributions.
- Understandable and meaningful financial reports take on added significance in their use for fund-raising and public relations.
- The organizations volunteer Board of Directors/Trustees typically experience a high level of turnover. A close working relationship between the Board and its accounting professional is essential if a constantly changing Board is to have a firm handle on the organizations financial situation.
Your organization is an important contributor to our community. We would be delighted to be your financial business partner.
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