successfully outsourcing your accounting function

Sponsored by:

Successfully Outsourcing Your

Accounting Function

Pam Williams and Marci Moore

December 4, 2013

Twitter Hashtag - #4Glearn Part

Of:

Sponsored by:

Advising nonprofits in:

• Strategy

• Planning

• Organizational Development

www.synthesispartnership.com

(617) 969-1881

[email protected]

INTEGRATED PLANNING

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Coming Soon

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Today’s Speakers

Pam Williams and Marci Moore Co-Founders

Nonprofit Finance Pros

Jamie Maloney Community Developer, 4Good

Founding Director of Nonprofit Webinars and Host:

Sam Frank, Synthesis Partnership

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Of:

www.nonprofitfinancepros.com

Successfully

Outsourcing Your

Accounting Function

TAKEAWAYS:

3 Advantages of Outsourcing Your Accounting Function

3 Questions to Ask to Determine if Outsourcing is Right for Your Organization

How to Find the Right Outsourcing Solution


POLL QUESTION 1: How many people on the call are involved with

organizations with budgets less than $1M? How many people on the call are involved with

organizations whose budgets are greater than $1M and less than $3M?

How many people on the call are involved with organizations whose budgets are greater than $3M?


POLL QUESTION 2:

What is one accounting function that can be successfully outsourced?


When Good Outsourcing Efforts Go Bad: 3 Examples


POLL QUESTION 3:

In your opinion, what is the greatest advantage to outsourcing all or part of the accounting function?


Cost-effectiveness Strengthened internal

controls and improved segregation of duties

Peace of mind

3 Advantages of Outsourcing :


Does the level of financial complexity require a full-time staff person or someone in the office on a daily basis?

Is Outsourcing Right for Your Organization?


Do you and your staff have the discipline it takes to manage schedules and deadlines with an outside firm?



Do you need more skill and expertise than your current staff can provide, but lack the funds to hire a full-time accounting staff person?




Finding the Right

Outsourcing Solution

1. Understand and

clarify your

needs and

budget before

beginning your

search.


Questions to

Consider: a) What functions will you outsource

(i.e. all functions, oversight,

financial statement preparation,

accounts payable, grants

management)?

b) What level of involvement will the

outsourcing firm have with your

board?

c) What level of daily/weekly/monthly

communication is right for your

needs?


Finding the Right


2. Cast a wide net

to find a firm that

is right for your

needs


Use Your Network:

a) Other Nonprofits – who are

they using and what is their

level of satisfaction?

b) Your CPA Firm

c) Your state or national

association

d) Other professionals who do

business with your

organization(i.e. attorneys,

fundraising consultants)


3. Interview

firms for

competence

and “fit:”

Finding the Right



Questions to

Consider: 1. What is the firm’s experience working

with organizations of your size and

complexity?

2. How does the firm stay up to date with

changing nonprofit accounting

regulations and guidelines?

3. What kind of lead time does the firm

require for scheduling meetings or

projects and what kind of access will

you have to the person responsible for

your accounting work?

4. Who will work on your account, and

what will happen if there is turnover?

5. What are the results of their clients’

audits?


4. Conduct

thorough

reference

checks before

making a final

decision.

Finding the Right



5. Ensure that you

fully understand

the proposal and

your

responsibilities.

Finding the Right


POLL QUESTION 4:

In your opinion, what are your primary responsibilities after making the decision to outsource?



What timelines

and deadlines

are required on

both sides?


How up to date

will your

accounting

records be

maintained?


Is there a setup

fee involved?


What access will

you have to your

accounting

records?


If paying a monthly fee,

what is included?

What is considered

outside the scope of

the engagement?

What are the fees for

those services?


What kind of time

will it take for the

firm to get up to

speed?


How will data and

information flow

and where will

work be

performed?


What other

expectations

does the firm

have of you and

your staff?


Your Partner in CFO Search & Financial Transitions 727-393-2341


successfully outsourcing your accounting function

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advantages of outsourcing

good outsourcing efforts

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