Are you involved in a not-for-profit organisation? Are you the person who takes care of the numbers? Being a treasurer in a not-for-profit is one of the organisation’s most important roles. From an auditing and accounting perspective, it is vital that all members of the organisation understand the duties of a treasurer and how to manage the organisation’s finances. In this blog, BVO Audit Director Alex Houghton shares the 15 tasks a treasurer must get very good at to run an effective not-for-profit organisation.

 

  1. Financial management: The treasurer oversees the organisation’s financial management, including budgeting, financial reporting, and financial analysis. By clearly outlining how the financial records are organised, the treasurer creates accuracy and transparency. They are also responsible for making sure financial policies and procedures are in place.

 

  1. Cash management: The treasurer is responsible for managing the organisation’s cashflow. This includes oversight to make sure sufficient cash is on hand to meet the organisation’s financial obligations.

 

  1. Investment management: If the organisation has investments, the treasurer may also be responsible for managing those investments, as well as aligning them with the organisation’s financial goals and risk exposure.

 

  1. Fundraising and donations: The treasurer works closely with the organisation’s governance and other staff to develop fundraising strategies and cultivate relationships with patrons.

 

  1. Financial planning: The treasurer helps to develop long-term financial plans that support the organisation’s strategic goals.

 

  1. Risk management: The treasurer is responsible for identifying and managing financial risks, such as fraud or embezzlement, and ensuring that appropriate controls are in place to mitigate those risks.

 

  1. Financial reporting: Through preparing and presenting financial reports to the entities governance, as well as to external stakeholders such as funders, regulatory agencies, and auditors.

 

  1. Tax compliance: The treasurer ensures that the organisation is in compliance with all applicable tax laws and regulations.

 

  1. Board support: The treasurer provides financial expertise and support to the entities governance, including helping to develop financial policies and procedures, and assisting with financial decision-making.

 

  1. Audit and compliance: The treasurer work with external auditors to ensure that the organisation’s financial records are accurate and compliant with regulatory requirements.

 

  1. Communication and transparency: The treasurer communicates regularly with the entities governance and other stakeholders to ensure that they are informed about the organisation’s financial health and performance.

 

  1. Legal and regulatory compliance: The treasurer ensures that the organisation is in compliance with all applicable legal and regulatory requirements related to monetary management.

 

  1. Cash forecasting: The treasurer forecasts the organisation’s future cash needs and develops strategies to ensure that the organisation has sufficient cash on hand to meet those needs.

 

  1. Banking and financial institution relationships: The treasurer manages the organisation’s relationships with banks and other financial institutions, including negotiating loans and other financial agreements.

 

  1. Financial analysis: The treasurer conducts financial analysis to support decision-making, including analysing financial statements, identifying trends, and making recommendations for improvement.

 

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