A charitable organization, just like any other business has needs for handling their finances but, sadly, these needs are often ignored. Fr institutions like these, it is important to have a fair track of money, maybe way more than any private company.
The people handling finances must be very refined when it comes to dealing with ingress and egress of cash. Charity organizations do not deal with monetary profits but they have a more valuable duty to ensure. They must ensure that no money is going waste and thus they are able to support the cause to their fullest potential. On top of everything, charitable organizations are accountable to answer to their donors who offer them a big chunk of their hard earned income.
Now, given all these complexities, how is it possible for the charitable organizations to have a clearer view towards their finances when they do not have an efficient system in place? The conventional pen and paper methods are sure of no use when it comes to accuracy and efficiency.
It is the time that the charities understand the importance of accounting and take an advanced approach towards effective accounts maintenance. Here are a few charities that have already embarked their journey to financial wisdom:
Ironbridge Gorge Museum:
This is a charity that supports a heritage conservation site in the Midlands. It witnesses over half a million visitors in a year which includes over 70,000 school trips. The museum has more than 200 on roll employees and over 1000 volunteers additionally. To ensure financial soundness, it is important that the museum keeps track of the expenses of these staff and volunteers and other expenses.
There were many other sources of income that Ironbridge cherished. The CEO of the museum says that it became tough for the management to keep track of the monetary transactions and got an ERP installed. They are now efficiently managing their accounts.
Canterbury Archaeological Trust (CAT)
Located adjacent to Canterbury Cathedral, the Canterbury Archaeological Trust (CAT has many archaeological projects being run across UK, North Africa, Middle East and the Caribbean. The 1980’s legislative changes, as well as the rising commercial pressure, had made it difficult for them to operate efficiently.
The finance department of the trust was under constant pressure for accuracy while it battles with the piles and piles of data files, manually controlling the data.
They have now modernized to Greentree ERP system and find it much more organized and efficient. Now, they have control over their budgets and financial planning with least efforts, time and investment.
This concludes that charitable houses need to invest in an accounting system that eases the way they manage their finances. These organizations have many important things to pay attention and accounts are certainly not on the list. With an efficient system in place, the charitable houses will be able to manage every penny and thus work more dedicatedly.