It’s essential to compare the features and capabilities offered by different applications to ensure you select the best solution.
Nonprofit organizations have a powerful impact on society at large. Driven by missions to advance social causes that offer positive benefits to the public, nonprofit organizations make long-lasting impacts on communities across the globe.
World-renowned nonprofit groups such as the American Red Cross, the Humane Society of the United States, and United Way carry out the important and noble work of providing disaster relief, animal welfare, and public health services.
Because nonprofit organizations are focused on creating social good and re-investing profits directly back into their individual cause, proper financial care must be taken to ensure that organizational funds are accurately accounted for. Although nonprofits are tax-exempt organizations, maintaining a detailed and accurate financial record is required for government compliance and to ensure funding sources are being properly attended to.
For helpful tips into understanding how to evaluate any accounting solution, review “Finding the Best Fund Accounting Software for Your Nonprofit”
Fund accounting software for nonprofit organizations can simplify complicated accounting needs. From one-size-fits-all software solutions to industry-specific applications, many different types of fund accounting software can help ensure nonprofits stay in good financial order. But before settling on a specific fund accounting software for a nonprofit, it’s essential to compare the features and capabilities offered by different applications to ensure the right solution is chosen.
When comparing different types of fund accounting software, there are three key principles that nonprofit organizations should keep these three principles in mind:
1. Fund accounting software should improve nonprofit efficiency and productivity.
Whether it’s a large, multinational nonprofit with a global reach or a small organization driven by volunteers, the right software must empower the organization’s users to work accurately and effectively.
2. Fund accounting software should be tailored to a nonprofit’s specific needs.
Even though charities, churches, and museums may all be nonprofits organizations, that doesn’t mean they have the same accounting needs. Specialized fund accounting software exists to help nonprofits achieve their specific goals while adhering to unique accounting situations that only apply to their particular line of work.
3. Fund accounting should be able to track funding sources, meet compliance, and enable complex reporting.
Between donations, fundraising, gifts, grants, and other sources of revenue, nonprofit organizations have complex accounting needs with specific requirements. Any fund accounting software for nonprofits must be able to accurately record different types of funding with an eye towards government compliance.
In this educational report, Community Brands provides insights on selecting the right nonprofit fund accounting software, “Finding the Best Fund Accounting Software for Your Nonprofit”.
If your organization is beginning to look for a new nonprofits software system, we’re here to help! Contact one of our nonprofit software team members today!