Accounting for contributions and grants is now easier

Accounting for contributions and grants has often proven complicated for not-for-profits, especially when they come with donor-imposed conditions. But 2018 guidance from the Financial Accounting Standards Board (FASB) provided some much-needed clarification of earlier instructions.

When it comes to revenue, nonprofits need to think like auditors

If you want to make the best-informed decisions about your nonprofit’s future, rigorously review your revenue figures. Revenue data can enhance activities from budget development to goal setting. Learn more.Auditors examining a not-for-profit’s financial statements spend considerable time on the revenue figures. They look at the accounting methods used to record revenues and perform a detailed income analysis. You can use the same techniques to increase your understanding of your organization’s revenue profile.

Grants can help firm up your nonprofit’s financial foundation

Grants can help firm up your nonprofit’s financial foundationThere are more than 87,000 foundations in the United States — including family, corporate and community foundations — according to the Foundation Center. If your not-for-profit isn’t actively seeking grants from these groups, you’re neglecting a potentially significant income source.