When you run a not for profit organization or other type of firm that needs funds raised by methods other than retail sales or other types of financial transactions, chances are you will be involved in the world of fundraising. A fundraiser is often time a fun event and one that is very important for you because it provides potential donors with a specific moment and cause for which to donate funds to you. Also, when it comes to money, you need to be highly organized and make sure that the event does not become too difficult for you to handle and that the funds being raised surpasses the cost of the event itself. For this, you need good book keeping and below are four tips to help you achieve in this area.
-Unless you are soliciting donations of which the amount is freely chosen by the donor, come up with a specific donation amount that people can give. In this scenario your book keeping can be largely uniform and easy to comprehend. Also, inviting the opportunity for donors to choose their own amount can cause time wasted if they are giving too little and your costs are not met. The only downside to discouraging these types of donations is you might not receive a very large and generous sum that a person might otherwise give to your cause.
-Make sure that all necessary personal information is recorded from the person giving you a donation. Should their donation be ill conceived, a check they write bounce or another problem arise, you need to know exactly who is giving you what and how to be able to keep track of them should a legal problem arise. Lack of information and documentation could spell disaster in some cases like this.
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Thursday, June 11, 2009
Friday, June 5, 2009
Bookkeeping Business Tips for Developing Reliable Financial Projections
Financial forecasting reminds me of the weather - you make your forecast at a moment in time based upon the information currently available. You draw a conclusion and state your financial forecast. But then, the information changes, now it's raining, and you're caught without your umbrella!
Financial forecasting, unlike the weather, isn't a science but it's not pure guess work either. It is a combination of:
Bookkeeping Business Tip #1: Review Actual Year-To-Date Results
Start by looking at where you've been. If you use an accounting program like QuickBooks you can print out a Profit & Loss statement showing year-to-date results. Check the statement for all financial transactions that occurred up to the date of the report. Reconcile the report to your bank statements. (If you don't use an accounting program or bookkeeping service, then take the difference of the total year-to-date cash receipts and total expenditures. This should equal your profit or loss.) Examine each line item to make sure that it makes sense - is your year-to-date revenue figure where you anticipated, or has it fallen short? Are expenses higher than expected?
Bookkeeping Business Tip #2: Establish Goals and Incorporate into Your Forecast
What do you wish to accomplish by year's end? Do you want to introduce a new product or service, increase revenue on existing products or services, decrease spending, hire a new employee, outsource a bookkeeping service, or launch a marketing campaign that will position the company for the beginning of next year?
Write out your objectives and then choose three to five which are the most important to accomplish by the end of the year. Determine the needed steps to achieve the objectives. Which Profit & Loss line items will be impacted? Adjust your forecast accordingly. For example, your goal may be to increase revenue 10% by year's end or to launch a marketing campaign now so its benefits will be felt in the first quarter of 2009.
Bookkeeping Business Tip #3: Forecast Variable Costs
Variable costs are costs that change in step with revenue change. For example, you are selling more widgets; therefore, your labor costs and materials costs will increase in relation to the revenue increase.
Using the concept that Forecast = Projections + Predictions, combined with the knowledge that variable costs change in step with revenues, forecast each month's variable costs. Forecast each line item separately. Look for opportunities to reduce costs, and be aware of likely future influences on each cost.
Bookkeeping Business Tip #4: Forecast Fixed Expenses
Fixed costs are relatively stable costs that recur every month. Examples of fixed costs are rent, telephone and bookkeeping service fees. Forecast the month's fixed expenses by using the same concept used to forecast variable costs (Forecast = Projections + Predictions) and the knowledge that fixed expenses tend to be relatively stable and do not change in step with revenues. Again, forecast each line item separately, looking for opportunities to reduce costs, while keeping in mind any likely future influences.
Bookkeeping Business Tip #5: Forecast Net Profit
The final step is to evaluate your forecast for net profit. Is the profit forecast is reasonable and acceptable? If not, re-evaluate each line item including revenues and make appropriate adjustments. Also, anticipate non-operating income and expense items, and include them in your forecast.
Your financial projections may not be perfect at first, but we didn't learn to walk without falling down. As a business coach I've seen others get a few bumps along the way. But I guarantee that if you follow these bookkeeping business tips, set your financial projections on paper and revisit them frequently, you will achieve your goals faster.
About Author : Laurie O'Neil is the co-founder of The Bookkeeper's Referral Network Inc., the place where business meets great bookkeepers. To get your copy of The 9 Disastrous Mistakes Most Freelance Bookkeeper's Make in
Business (and How You Can Avoid Them!) visit http://www.bkpr-network.com
Financial forecasting, unlike the weather, isn't a science but it's not pure guess work either. It is a combination of:
- knowing your business;
- understanding your marketplace;
- setting goals; and
- using common sense.
- when seeking financing
- gauging the profitability of a new product or service
- determining the impact of staff expansion or cutback
- assessing other business decisions
Bookkeeping Business Tip #1: Review Actual Year-To-Date Results
Start by looking at where you've been. If you use an accounting program like QuickBooks you can print out a Profit & Loss statement showing year-to-date results. Check the statement for all financial transactions that occurred up to the date of the report. Reconcile the report to your bank statements. (If you don't use an accounting program or bookkeeping service, then take the difference of the total year-to-date cash receipts and total expenditures. This should equal your profit or loss.) Examine each line item to make sure that it makes sense - is your year-to-date revenue figure where you anticipated, or has it fallen short? Are expenses higher than expected?
Bookkeeping Business Tip #2: Establish Goals and Incorporate into Your Forecast
What do you wish to accomplish by year's end? Do you want to introduce a new product or service, increase revenue on existing products or services, decrease spending, hire a new employee, outsource a bookkeeping service, or launch a marketing campaign that will position the company for the beginning of next year?
Write out your objectives and then choose three to five which are the most important to accomplish by the end of the year. Determine the needed steps to achieve the objectives. Which Profit & Loss line items will be impacted? Adjust your forecast accordingly. For example, your goal may be to increase revenue 10% by year's end or to launch a marketing campaign now so its benefits will be felt in the first quarter of 2009.
Bookkeeping Business Tip #3: Forecast Variable Costs
Variable costs are costs that change in step with revenue change. For example, you are selling more widgets; therefore, your labor costs and materials costs will increase in relation to the revenue increase.
Using the concept that Forecast = Projections + Predictions, combined with the knowledge that variable costs change in step with revenues, forecast each month's variable costs. Forecast each line item separately. Look for opportunities to reduce costs, and be aware of likely future influences on each cost.
Bookkeeping Business Tip #4: Forecast Fixed Expenses
Fixed costs are relatively stable costs that recur every month. Examples of fixed costs are rent, telephone and bookkeeping service fees. Forecast the month's fixed expenses by using the same concept used to forecast variable costs (Forecast = Projections + Predictions) and the knowledge that fixed expenses tend to be relatively stable and do not change in step with revenues. Again, forecast each line item separately, looking for opportunities to reduce costs, while keeping in mind any likely future influences.
Bookkeeping Business Tip #5: Forecast Net Profit
The final step is to evaluate your forecast for net profit. Is the profit forecast is reasonable and acceptable? If not, re-evaluate each line item including revenues and make appropriate adjustments. Also, anticipate non-operating income and expense items, and include them in your forecast.
Your financial projections may not be perfect at first, but we didn't learn to walk without falling down. As a business coach I've seen others get a few bumps along the way. But I guarantee that if you follow these bookkeeping business tips, set your financial projections on paper and revisit them frequently, you will achieve your goals faster.
About Author : Laurie O'Neil is the co-founder of The Bookkeeper's Referral Network Inc., the place where business meets great bookkeepers. To get your copy of The 9 Disastrous Mistakes Most Freelance Bookkeeper's Make in
Business (and How You Can Avoid Them!) visit http://www.bkpr-network.com
Thursday, June 4, 2009
How Do I Get Bookkeeper Certification?
There are three steps required to get bookkeeper certification: post-secondary education, bookkeeping experience, and the successful completion of the certification examination. A bookkeeper is responsible for the daily financial management of a small to medium sized company. In addition to financial document data entry, bookkeepers also process payroll, run reports, and reconcile accounts.
People who want to get bookkeeper certification have usually been working as a bookkeeper for several years and enjoy bookkeeping or accounting. The bookkeeping certification is granted by the American Institute of Professional Bookkeepers (AIPB). Successful graduates can provide this certification to potential employers.
The first step toward getting a bookkeeper certification is to complete a post-secondary education program. Many people complete a one- or two-year bookkeeping program at a community or career college. This training covers accounting principles, financial reporting requirements, important business law and related issues. Most schools offer both full- and part-time programs available. This flexibility allows students to work and learn.
A minimum of three years' bookkeeping experience is required before you are eligible to write the bookkeeper certification examination. This must be verifiable bookkeeping experience, where you are solely responsible for a company's financial processes. This type of experience is usually earned over a period of two to three calendar years.
The bookkeeping certification examination is two to three hours in length and is a combination of multiple choice and calculation problems. Many associations offer preparation courses and seminars to help students prepare for this exam. Accuracy, comprehension and speed are all important when preparing for this examination.
Upon successful completion of the bookkeeping certification program, candidates can look for employment opportunities as bookkeepers in a company, set up their own bookkeeping business, or work for an accounting services firm as a bookkeeper. It is highly recommended that anyone who is planning to set up her own bookkeeping company obtain the certificate first. Professional credentials provide assurances to all potential clients that you have a specific level of skill and training as a bookkeeper.
People who enjoy working with numbers, are detail-oriented, and like to work independently report the greatest level of satisfaction as bookkeepers. This type of work is often a stepping stone to further accounting training programs. There is a specific limit to the services that a bookkeeper can offer, based on government regulations. Bookkeepers are not able to create financial statements, complete tax returns, or provide financial advice. These functions are limited to Certified Professional Accountants (CPAs).
Source : http://www.wisegeek.com/
People who want to get bookkeeper certification have usually been working as a bookkeeper for several years and enjoy bookkeeping or accounting. The bookkeeping certification is granted by the American Institute of Professional Bookkeepers (AIPB). Successful graduates can provide this certification to potential employers.
The first step toward getting a bookkeeper certification is to complete a post-secondary education program. Many people complete a one- or two-year bookkeeping program at a community or career college. This training covers accounting principles, financial reporting requirements, important business law and related issues. Most schools offer both full- and part-time programs available. This flexibility allows students to work and learn.
A minimum of three years' bookkeeping experience is required before you are eligible to write the bookkeeper certification examination. This must be verifiable bookkeeping experience, where you are solely responsible for a company's financial processes. This type of experience is usually earned over a period of two to three calendar years.
The bookkeeping certification examination is two to three hours in length and is a combination of multiple choice and calculation problems. Many associations offer preparation courses and seminars to help students prepare for this exam. Accuracy, comprehension and speed are all important when preparing for this examination.
Upon successful completion of the bookkeeping certification program, candidates can look for employment opportunities as bookkeepers in a company, set up their own bookkeeping business, or work for an accounting services firm as a bookkeeper. It is highly recommended that anyone who is planning to set up her own bookkeeping company obtain the certificate first. Professional credentials provide assurances to all potential clients that you have a specific level of skill and training as a bookkeeper.
People who enjoy working with numbers, are detail-oriented, and like to work independently report the greatest level of satisfaction as bookkeepers. This type of work is often a stepping stone to further accounting training programs. There is a specific limit to the services that a bookkeeper can offer, based on government regulations. Bookkeepers are not able to create financial statements, complete tax returns, or provide financial advice. These functions are limited to Certified Professional Accountants (CPAs).
Source : http://www.wisegeek.com/
Friday, May 29, 2009
Financial Analysis
Financial Analysis involves the analysis of the company’s financial statements in an attempt to formulate a strategic decision. Outsourcing of financial Services is a wise move as it helps in streamlining and simplifying the operational processes. In addition to this, it reduces the cost, minimizes the complexity and maximizes the revenue.
ITMatchOnline possess an efficient Financial Analyst who has earned a professional qualification: Chartered Financial Analyst designation (CFA) in the United States of America. They have basic analytical skills, and great numerical skills. In addition to this, they are well-versed in communication skill which facilitates them to make a complex concepts clear to the management or clients.
Our Financial Analyst who has earned a professional qualification: Chartered Financial Analyst designation (CFA) in the United States of America. They have basic analytical skills, and great numerical skills. In addition to this, they are well-versed in communication skill which facilitates them to make a complex concepts clear to the management or clients.
For an accurate financial analysis, our financial analyst will go through your company’s financial statements thoroughly to gain a better insight of the firm’s prospect & business trends and than on the basis of their deep analysis, they will provide you with the financial recommendations that will help you in making a conscious decision regarding your business' financial matters.
We encompasses: state of the art infrastructure, technological capability, and a competent group of professionals to meet your financial requirements efficiently, timely, and cost effectively. Our members will make you available with the below given services in the area of financial analysis:
Source : http://www.itmatchonline.com/
ITMatchOnline possess an efficient Financial Analyst who has earned a professional qualification: Chartered Financial Analyst designation (CFA) in the United States of America. They have basic analytical skills, and great numerical skills. In addition to this, they are well-versed in communication skill which facilitates them to make a complex concepts clear to the management or clients.
Our Financial Analyst who has earned a professional qualification: Chartered Financial Analyst designation (CFA) in the United States of America. They have basic analytical skills, and great numerical skills. In addition to this, they are well-versed in communication skill which facilitates them to make a complex concepts clear to the management or clients.
For an accurate financial analysis, our financial analyst will go through your company’s financial statements thoroughly to gain a better insight of the firm’s prospect & business trends and than on the basis of their deep analysis, they will provide you with the financial recommendations that will help you in making a conscious decision regarding your business' financial matters.
We encompasses: state of the art infrastructure, technological capability, and a competent group of professionals to meet your financial requirements efficiently, timely, and cost effectively. Our members will make you available with the below given services in the area of financial analysis:
- Due-Diligence.
- Cost of Capital.
- Corporate Valuation.
- Capital Structure and Firm Value.
- Financial Estimates and Projections.
- Financial Planning and Forecasting.
- Valuation and Comparable Modeling.
- Long Term Investment Models (NPV).
- Equity Research and Equity Valuation.
- Fundamental and Quantitative Research.
- Back Testing and Historical Model Update.
- Investor Reporting and Universe Screening.
- Assessing the Tax Burden Project Cash Flows.
- Investment Research and Fixed Income Analytics.
- Security Analysis, Stock Market Analysis and Financial Ratio Analysis Company, Sector and Industry Research and Analysis.
- Credit Management, Financial Risk Management, Working Capital Management, Cash & Liquidity Management, and Portfolio Analysis & Management.
Source : http://www.itmatchonline.com/
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