In the nonprofit world, you’ve likely heard terms like donation, promise to give, and contribution used interchangeably. But each term has a specific meaning—and understanding the differences is critical for accurate financial reporting and compliance.
Running a nonprofit may not be about profits — but money absolutely matters. To fulfill your mission, serve your community, and grow your impact, your organization needs consistent, reliable funding. Understanding how to raise those funds — and how to measure what’s working — is vital for long-term sustainability.
Non-profit organizations operate with a mission-driven focus, but like for-profit businesses, they must track key performance indicators (KPIs) to ensure financial sustainability, operational efficiency, and mission impact. The right metrics can help leadership make informed decisions, attract donors, and improve program effectiveness. Below, we explore the most critical analytics and KPIs that every non-profit should focus on.
As a management member or board director of a nonprofit organization, you play a crucial role in overseeing its financial health and ensuring its sustainability. Understanding financial statements can seem daunting, but with the right approach, you can leverage them to make informed decisions and drive your mission forward. Here are some key tips and tricks for effectively reading, understanding, and analyzing financial statements.
When a sale and leaseback transaction qualifies as a sale, the sale and leaseback components must be accounted for separately.
Sale and leaseback transactions are a strategic financial tool businesses use to unlock cash flow while retaining operational control of critical assets. In such an arrangement, a seller transfers ownership of an asset to a buyer and immediately leases it back. This type of transaction can provide significant benefits to both parties: the seller-lessee gains liquidity and operational flexibility, while the buyer-lessor secures a steady income stream and potential tax advantages. However, determining whether a transaction qualifies as a sale and leaseback under Generally Accepted Accounting Principles (GAAP) involves navigating a complex set of criteria.
During times of uncertainty, it’s important to evaluate the effectiveness of internal operations like accounting and finance.
Determining prices for products and services is a very important decision for any business. Post pandemic, because of inflation, pricing a product or service appropriately has become even more critical.
In Part 1 of this three-part blog series, we introduced benchmarking and chose four staffing companies from clients in the employment services industry to demonstrate the financial metrics that we used for benchmark analysis. In part 2, we will take a look at the key findings from this analysis.
