This ratio tells you whether the organization has sufficient cash resources to deliver its mission and pay its obligations on a timely basis. How long could the bills be paid with no new cash?
Selecting and calculating certain ratios and indicators, especially in trend, can tell an organization a lot about many aspects of its financial position, performance, and prospects.
This ratio tells you how many times current (within 12 months) assets could cover current liabilities. A value of 1 or better indicates that current liabilities could be covered by current assets.
Compare all check logs for cash receipts to the amounts applied to receivables. This will be done by an individual separate from those processing cash receipts and accounts receiva
Establish policies for revenue recognition. Certain types of revenue (including: dues; subscriptions; and meeting registration fees) may be received in advance of the product
Invoices may need to be prepared for a number of reasons. Some organizations sell books or newsletters for a fee. Others require registration for meetings or bill for dues.
As the financial pressures on nonprofit organizations mount and many employees continue to work remotely from home, nonprofits are increasingly examining their options for getting out of their curr
As board members and managers of nonprofit organizations, we are constantly reminded that we must be good stewards of the public trust, ensuring the resources of our organizations are well protecte
It is a prudent financial practice to prepare and operate from a budget. The budget is the annual financial plan for carrying out the strategic plan and mission of the organization.
As stewards of critical resources that allow faith-based organizations to survive and do the good works they are called to do, those in position of managing the finances of religious organizations
Create a standardized travel reimbursement request form with instructions for completion. Excel can be used for the form so totals will be automatically calculated once the form is
It sounds counterintuitive, but many nonprofit organizations face situations where getting too much money in the form of grant and contract revenue can threaten their ongoing viability.
Ensuring that the appropriate individuals are reviewing key contracts is essential to identifying, quantifying, and, if necessary, reporting financial liabilities in a timely manner.
