By Jon Griffin, advisor and auditor to Not For Profit Organisations
From our work as advisors and auditors of Not For Profit organizations for over 20 years most of the reports and financial statements presented to boards of management, committees, members and donors do not reflect the true value your organisation provides to its community.
In most Not For Profit organisations the reporting framework is based around the standard financial management framework. The standard financial statements might work well for organisations whose sole purpose is to generate a profit, but it’s not always the case when it comes to Not For Profits.
Not for profit organisations have a dual purpose with the first purpose being to be financially stable and to be able to pay its debts as and when they fall due. The second purpose is to maximise the provision of goods and services to their community given the organisation has limited resources.
The current management reports, financial statements and audited reports prepared addresses the first purpose but not the second purpose.
To measure how effective a not for profit organization is in providing goods and services to its community the organisation needs a structure which looks at the activities undertaken by the organisation.
Once the activities provided by the organisation are defined a process is required which tracks the quantity and the quality of the activities being provided to the not for profit’s community.
Apl Financial provides advice and assistance in defining, implementing, tracking and reporting the quantity and quality of activities not for profit entities provide to their community.
Contact Jon Griffin for more information about preparing complete reports:
Get in touch today to find out more
Jon Griffin
Director
Ph: 03 9021 7081
E: jon@aplfinancial.com.au