Are your finances fit for the future?
Here are some tips that will help you stay in good financial shape and meet good governance standards.
Get in shape
Top tips to manage your money
Keep a close eye on your cash
Record all money in and out of the group and find a way that works to do this easily e.g. cash sheets or cashbook, a spreadsheet, or budgeting tool.
Set up a routine that works for you.
Go through your group's bank accounts at the end of each month, to check that the ingoings and outgoings are what you'd expect. If they're not, then investigate.
If you have stock (e.g. kit, refreshments or bar stock), then keep detailed records and do regular stock takes.
Set up a routine that works for you.
Go through your group's bank accounts at the end of each month, to check that the ingoings and outgoings are what you'd expect. If they're not, then investigate.
If you have stock (e.g. kit, refreshments or bar stock), then keep detailed records and do regular stock takes.
Separate out your personal finances
Set-up a bank account for your group. Keep any personal finances separate from your group's funds. If you don't, it's confusing - and you're opening the door to fraud,
If you can, set-up your account so that you require at least two signatories when making payments, as this reduces the risk of mistakes or fraud.
If you can, set-up your account so that you require at least two signatories when making payments, as this reduces the risk of mistakes or fraud.
Keep a check on all expenses
Don't just rubberstamp those receipts.
You should:
- Have a policy on expenses.
- Check that all purchases comply with this.
- Keep receipts for all expenses.
You should:
- Have a policy on expenses.
- Check that all purchases comply with this.
- Keep receipts for all expenses.
Do your annual accounts
At the end of the financial year, do your annual accounts. This is normally managed by the Treasurer.
If you're a limited company, visit Companies House to check your responsibilities.
If you're a charity, use the link below to visit the government's website.
Ask someone independent, who has financial experience, to review the accounts.
If you're a limited company, visit Companies House to check your responsibilities.
If you're a charity, use the link below to visit the government's website.
Ask someone independent, who has financial experience, to review the accounts.
Be transparent about finances
Publish your accounts (or a summary). Your members will want to see what you're doing with their subs.
You could use your website, newsletter, or e-mail.
Try to keep your reports simple so others can understand them.
You could use your website, newsletter, or e-mail.
Try to keep your reports simple so others can understand them.
