Financial Management Shared Services

 

Strategic Leadership Associates’ Financial Services are targeted to small businesses and non-profits that have the need for a CFO level professional but not enough need for an expensive full-time role.

All organizations have some level of financial service within their organization.  From bookkeepers to senior accountants, these personnel provide various levels of financial reporting and accuracy, depending on the level of their expertise.

At some point, a business needs the accuracy and insight that only an experienced financial manager can bring.  A person with the ability to provide the comprehensive financial management oversight, as well as establishing and maintaining the financial focus needed to be successful.

An SLA Financial Services client noted that prior to hiring SLA, they suffered with inaccurate reports that weren’t timely.  They experienced significant cash flow issues and really didn’t have the internal resources to manage the financial reporting and forecasting.

That client’s decision to engage SLA’s Financial Services changed how they operated, not just within the finance function, but as an organization.  Not only has the client seen a significant improvement in accuracy of the reports, but they recently had the best audit report in years with practically no comments or notes on the report.

“We were dissatisfied with the quality of our internal financial reporting,” said board member of the SLA Financial Services client.  “Our financial statements are more accurate.  We feel it’s a cost effective way of achieving successful financial reporting.”

Additionally, another manager said having the SLA professional in planning and budget meetings has brought a much stronger awareness of financial matters, such as true costs and cash flow forecasts.

SLA doesn’t just “jump” into an organization and start to work.  We feel it’s important to review the organization’s existing operations, look for what’s working and what’s not and provide a recommendation to leadership.

Once the recommendations are delivered, it’s up to the leadership to make the determination of what tasks are needed and how much time is needed per week or month to achieve the goals.  Listed below are the recommendations that came from an assessment by an SLA Financial professional.

SLA will provide the shared services client with comprehensive financial management oversight on an annual basis, including the following key tasks and responsibilities tailored to the unique business needs of each client.

CFO Level Financial Shared Services Responsibilities:

  • Implement daily or weekly financial needs, including:
    • Post journal entries as needed for non-cash, check, and/or accounts payable needs, such as bank transfers, payroll accounting, sales, etc.
    • Process web-based payroll data entry system.
    • Reconcile donor system reports generated by others to the general ledger accounts
  • Prepare monthly reports and reconciliations, including:
    • Prepare, review, and publish monthly financial statements for the affiliate, including income statements, balance sheets, and cash flow projections.
    • Attend monthly Finance Committee meetings.
    • Reconcile all general ledger accounts for client as needed.
    • Prepare monthly revenue worksheet and reconciliation working with line managers.
    • Prepare required reports to banking institutions.
  • Complete quarterly reports, including:
    • Build summaries for line of business sales which were completed during the prior quarter.
    • Prepare detailed reports by department of the prior quarter results for quarterly budget reviews.
  • Facilitate annual reporting and tax consultations, including:
    • Prepare, review, and publish year-end financial statements for the affiliate and auditors, complete with updated schedules per auditor requests.
    • Act as primary contact with outside auditing firm.
    • Assist tax accountant in preparation of IRS Form 990.
    • Work with the CEO and Finance Committee if appropriate to prepare an annual budget.
    • Conduct annual reviews of corporate insurance programs.

Bookkeeper Level Shared Services Responsibilities:

  • Implement daily or weekly financial needs:
    • Post cash and check receipts to general ledger system.
    • Post journal entries as needed for non-cash, check, and/or accounts payable needs, such as bank transfers, payroll accounting, sales, etc.
    • Process web-based payroll data entry system.
    • Reconcile line of business system reports generated by others to the general ledger accounts.
  • Prepare monthly reports and reconciliations, including:
    • Reconcile all general ledger accounts for client as needed.
    • Prepare monthly line of business sales reports.
    • Prepare monthly revenue worksheet and reconciliation working with the product line managers.
  • Facilitate annual reporting and tax consultations, including:
    • Prepare, review, and publish year-end financial statements for the affiliate and auditors, complete with updated schedules per auditor requests.