Preparing for the One BIG Change in Nonprofit Financial Reporting per FASB
Thursday, June 29, 2017
By Nonprofit Quarterly, 6/28/17
For the first time since 1993, the financial reporting standards for nonprofit organizations are being updated, with the goal of improving the communication of financial results to donors and other outside stakeholders. In this webinar FMA’s Hilda Polanco discusses key changes in reporting requirements.
Click Here To View Webinar (1 hour)
Click here to download FMA’s accompanying slides
Key questions for all of us are:
- Practically speaking, what do these changes mean for your nonprofit?
- As the implementation deadline approaches, are your leadership and board ready?
Of particular importance, the guidelines require enhanced disclosure of the board’s policies to manage the organization’s ability to pay its bills even during periods of difficult cash flow. But before you can disclose your policies, you first need to have them!
This one point regarding liquidity planning will need a good deal of preparation on your part. Hilda explores the importance of defining a framework for managing liquidity, including establishing reserves, securing a credit line, accessing endowment earnings, and other strategies to make sure that in times of tight cash flow, your nonprofit can pay its bills without interruption to service delivery and has the clarity necessary to share that framework externally as part of the ongoing financial story told by your audited financial statements.
Especially relevant for Executive Directors, CFOs and Board Members, this webinar recording will help jump start some critical conversations at your organization in advance of the impending reporting changes.
Click Here for a link to the original article.