Whether you’re celebrating Valentine’s, Galentine’s or simply practicing self-care (step away from the spreadsheets. folks), with all this love in the air, there is no better time to reassess your relationship … with your accounting system. Yes, I know what you’re thinking – today is supposed to be about affection and tokens of appreciation and maybe even a rekindling, but what if instead of a makeup, it’s actually time for a breakup?
There is no denying that as your organization grows and your programs advance, so do your needs. In fact, according to a recent Community Brands Nonprofit Finance Study, nonprofit finance professionals see a direct correlation between nonprofit growth and complexity in reporting. For example:
- 61 percent of respondents said that as they grow, they’ll have to become more transparent with funders;
- 44 percent said they’ll have to change the way they report to funders;
- 28 percent said they’ll have to report to funders more frequently
While it is not uncommon for many nonprofits to use off-the-shelf accounting products when they’re just getting started, the research specifically underscores the importance of having the right technology in place as you scale. Not only is mass-market accounting unable to meet special tracking and reporting requirements, but manual data entry and workarounds are extremely difficult to maintain and can open the door to costly errors and complex or erroneous audits.
If that’s not a reason to breakup, I don’t know what is.
Solutions that are built specifically for fund accounting, such as MIP Fund Accounting, are designed to help nonprofits meet tracking and reporting responsibilities and handle the special requirements that may come with each new source of funding. As a nonprofit, your organization needs the right technology to support its goals, address its challenges, and ultimately have the tools in place to ensure your mission productivity.
Learn more about how you can track every dollar from start to finish, flex and scale based on your needs, streamline HR management and adapt to change with customer reporting, join us for our next live webinar and product tour showcasing MIP Fund Accounting in action.