Nonprofits Can You Demonstrate Accountability Through Audit-Ready Financials?
Nonprofits Can You Demonstrate Accountability Through Audit-Ready Financials? – Let’s skip right to the chase: in order to be audit-ready you’ll want financial reports that are accurate, timely, and contain well-documented transactions and balances.
And, let’s admit right up front: it’s easier said, than done.
Understand the audit process
What will the auditor be doing, testing, and examining? She will be doing a primary risk assessment; judgment and estimates. Then she will do some controls testing which involves auditing the accounting reporting processes and the effectiveness of your controls. The controls testing results will determine the level of substantive testing that is required. Her substantive testing includes checking calculations, examining records and source document, and ensuring balances and transactions are supported.
The key to audit readiness is well-documented transactions and balances. Can you trace any and all transactions from the financial statements to the GL to the sub ledger to the supporting documents and back again?
Purpose-built, nonprofit software is a game changer and Express Information Systems can help you make the change for the better.
Audit-ready financials is only one of the benefits you’ll enjoy when you pull the plug on spreadsheets, as well as severely limited entry level and legacy software solutions. We’ve helped usher in such a transformation hundreds of times.
We understand that nonprofits have very complex reporting requirements. Funding comes from a variety of sources with their own compliance and reporting requirements and restrictions. Funding can span multiple fiscal years. Funds need to be allocated precisely.
Having the right accounting solution and technology partner is a tremendous help. A common theme among audit-ready nonprofits is that automation is key.
We can help you automate the processes and reports so that you can:
- deliver a clear audit trail down to the transactions and supporting documents
- dramatically reduce manual spreadsheet work and implement more reliable calculations
- enter the audit process with confidence and without major disruption within the accounting department
- remained focused on the strategic issues like sustainability, mission-fulfillment, and supporting the board and executive team
To learn more about audit readiness, Express is happy to offer access to the on-demand presentation ‘Strengthening Nonprofit Accountability Through Audit-Ready Financials‘
Feeling the need for speed
Automation accelerates processes. Faster responses to auditor requests saves you both time. But, that’s just once a year.
Consider the larger impact. The benefits of a modern nonprofit accounting solution go well beyond audit time. Timely, more accurate information means better performance and effectiveness throughout the entire organization. Armed with real-time, accurate data, program managers can make data-driven decisions to more effectively operate their programs and serve more constituents. Armed with the better financial data, development directors can communicate more effectively with donors as they work to cultivate and strengthen the relationship between the donor and the organization.
Investment in an accounting solution that serves today’s needs and positions you well for the future shows that you’re serious about optimal stewardship, transparency, and accountability. Express Information Systems can help you take this powerful next step – don’t hesitate, contact us today.
And, if you’d like to learn more, please take advantage of your access to the on-demand presentation ‘Strengthening Nonprofit Accountability Through Audit-Ready Financials.’