10 Reasons Nonprofits Need True Fund Accounting™
Having a true fund accounting™ solution can make a world of difference to your nonprofit organization in ways you may not have even considered. Like small businesses, small nonprofits generate profit and pay expenditures; however, they also have social and legal responsibilities that extend beyond the balance sheet.
For example, if a supporter makes a $100 donation to your nonprofit, you may designate $50 to the children’s program, $25 toward the operating budget, and $25 to purchase new books for the learning center. A fund accounting program automatically keeps these monies separate and ensures they’re used for their intended purposes. Commercial accounting products will not be able to meet your nonprofit’s specific tracking and reporting requirements. And, by overlaying features onto commercial accounting software, or customizing them to achieve nonprofit accounting functionality, you only make commercial accounting software inefficient, incomplete, and expensive to maintain.
This financial management whitepaper highlights the differences between commercial and fund accounting, and outlines 10 key reasons why your organization may need a true fund accounting™ system.
Download the whitepaper now to see if you should consider using accounting software built to meet the accounting requirements specific to the nonprofit sector.