Program Content and Objectives
The goal of this program is to examine the role of financial management in nonprofits’ successful accomplishment of their missions. As such, we will explore the key financial management elements found in successful nonprofit organizations.
The program focuses on the following objectives:
- Hone participants’ skills in reading and interpreting nonprofit financial statements.
- Discuss changes resulting from the issuance of new FASB accounting standards (ASU 2016–14).
- Review the basic statements required by generally accepted accounting standards for nonprofit organizations.
- Define the difference between net assets with and without donor restrictions.
- Use ratios to better understand financial data.
- Describe the importance of financial planning to the success of a nonprofit organization. The following are essential to good financial management.
- Long-term financial planning
- The operating budget
- Planning and managing operating cash (cash budgets)
- Discuss the concept of capital structure in the context of the nonprofit’s capital budget.
- Using debt
- Using institutional reserves (net assets)
- Conducting a capital campaign
- Examine the IRS Form 990 and discuss its importance in communicating financial information to those audiences outside the organization.