A. Michael Gellman (CPA, CGMA) 9/19/23 A. Michael Gellman (CPA, CGMA) 9/19/23

In the Search for Professional Services, Caring is as Important as Knowledge [SUBSCRIBERS-ONLY]

In the search to find the best professional service providers such as attorneys, accountants, consultants, investment advisors, and real estate brokers, nonprofits often overemphasize subject matter expertise and knowledge. However, if the service provider does not display a caring attitude and willingness to understand the organization’s unique needs, mission, and culture, the results will not be what the organization expected.

A. Michael Gellman (CPA, CGMA) 3/21/23 A. Michael Gellman (CPA, CGMA) 3/21/23

How Intermediate Cash Fund Pools Support Long-Term Investment Portfolios [SUBSCRIBERS-ONLY]

Nonprofit organizations should expand their cash management policies and procedures to include provisions for establishing and maintaining intermediate cash fund pools. This will not only enhance protection and management of operating (short-term) cash funds, but also act as a conservative buffer for long-term investment strategies, allocation targets, and portfolio risk management.

A. Michael Gellman (CPA, CGMA) 2/21/23 A. Michael Gellman (CPA, CGMA) 2/21/23

How to Make Your Nonprofit Audit Committee More Impactful [SUBSCRIBERS-ONLY]

Audit committees for nonprofit organizations are charged with filling a very important and broad fiscal and financial accountability and governance oversight role. Most nonprofit audit committees center their attention on the back-end of the annual financial statement audit process when they receive draft auditor reports. While this is an important function, audit committees can be more impactful if they shift more of their focus to the front-end of the annual audit process and expand their internal control and business practices oversight roles.

A. Michael Gellman (CPA, CGMA) 1/16/23 A. Michael Gellman (CPA, CGMA) 1/16/23

Regular Communication Between Development and Finance Departments is Essential for Donor Management [SUBSCRIBERS-ONLY]

Donors are one of the most precious sources of funding for publicly supported nonprofit organizations. Managing this resource is critical to sustainability, continuity, and financial health. There are many important elements to donor management, but these elements will be rendered almost useless without consistent pathways of communication and sharing of information between development and finance departments.

A. Michael Gellman (CPA, CGMA) 1/9/23 A. Michael Gellman (CPA, CGMA) 1/9/23

The Case for Capitalizing Portable Electronic Devices (PEDs) [SUBSCRIBERS-ONLY]

Nonprofit organizations are now accustomed to living with changing conditions. Change can come in many different forms, from dramatic and fast (remote working, inflation) to subtle and out of sight (technology, rules, and regulations). A noteworthy example involves portable electronic devices (PEDs), which have seen subtle steady changes leading to lower cost with expanded performance and capacity. These changes have led to new risks that deserve special attention.

A. Michael Gellman (CPA, CGMA) 12/5/22 A. Michael Gellman (CPA, CGMA) 12/5/22

How Nonprofits Can Better Manage Overhead Expenses [SUBSCRIBERS-ONLY]

Managing a nonprofit organization’s overhead (management and general) expenses is just as important as managing program and fundraising expenses. Most nonprofits would not dispute this statement. However, most organizations tend to put an inordinate focus on managing program and fundraising expenses and ignore or not give equal attention to managing overhead expenses.

A. Michael Gellman (CPA, CGMA) 9/12/22 A. Michael Gellman (CPA, CGMA) 9/12/22

Use Key Assumptions to Focus and Frame Planning and Messaging [SUBSCRIBERS-ONLY]

My favorite “go-to” tactic for working though complex planning challenges is to develop a short list of “key assumptions” that focuses on strategic objectives and desired results. This approach helps to simplify messaging and fast-track consensus and approval by diminishing feelings of negativity and confusion.

A. Michael Gellman (CPA, CGMA) 8/22/22 A. Michael Gellman (CPA, CGMA) 8/22/22

Applying Segregation of Duties Beyond Standard Checks and Balances [SUBSCRIBERS-ONLY]

Segregation of duties is a bedrock principal of internal accounting control systems and is visible in many elements of nonprofit organization accounting policies and procedures. Without segregation of duties, internal accounting control systems would not be safe or effective. Less often recognized is the powerful impact segregation of duties can have when applied to operational planning and resource management.

A. Michael Gellman (CPA, CGMA) 8/1/22 A. Michael Gellman (CPA, CGMA) 8/1/22

CHECKLIST: Simplified Balance Sheet Assessment

Balance sheets are part of standard nonprofit organization financial reporting, but are intimidating to most individuals and often misunderstood. This 3-step checklist uses easy-to-understand “Yes” or “No” questions to help you to work through a new balance sheet and make a quick assessment of an organization’s current financial position and changing financial health trends.

A. Michael Gellman (CPA, CGMA) 8/1/22 A. Michael Gellman (CPA, CGMA) 8/1/22

Determining When to Involve the Board in HR Matters [SUBSCRIBERS-ONLY]

Nonprofit organizations must be extra vigilant when it comes to managing unexpected and often rapidly changing human resources (HR) issues. Hesitation to react can lead to dire consequences. However, reacting without meaningful contemplation can be equally dangerous. One critical consideration is how to develop guidance for discussions and messaging with Board members on changing HR issues.

A. Michael Gellman (CPA, CGMA) 7/18/22 A. Michael Gellman (CPA, CGMA) 7/18/22

Capital Campaigns and the Impact of Donor Fatigue [SUBSCRIBERS-ONLY]

Capital campaigns generate a lot of excitement and buzz for nonprofit organizations. Leveraging and harnessing this energy feeds hope for a brighter future. However, nonprofits must maintain a focus on protecting long-term financial health. At the conclusion of the capital campaign, the organization must be in a stronger position. One critical consideration is gauging the negative impact on current and future cash in-flows resulting from donor fatigue.

A. Michael Gellman (CPA, CGMA) 7/11/22 A. Michael Gellman (CPA, CGMA) 7/11/22

Use This Simple Question to Improve Board and Committee Member Engagement [SUBSCRIBERS-ONLY]

Keeping nonprofit organization Board and committee members engaged is often more art than science. The reason this task is so difficult is because of the delicate balancing act between gratitude and appreciation. It is relatively easy to show gratitude and thank volunteer leaders for attending meetings. It is another thing to make sure these volunteer leaders leave each meeting with a feeling that it was a good use of their time, that they were actively involved in discussions, and the organization appreciated and valued their input.

A. Michael Gellman (CPA, CGMA) 6/20/22 A. Michael Gellman (CPA, CGMA) 6/20/22

Enhanced Management Strategies for Indirect Costs [SUBSCRIBERS-ONLY]

There are many aspects to consider when it comes to managing a nonprofit organization’s indirect costs. We often think first about compliance rules, which are naturally complicated and can vary by funding source and an organization’s own internal accounting policies and procedures. One aspect we tend not to emphasize enough is staff and their propensity to be disinterested and disconnected when it comes to considering and managing indirect costs.

Benjamin Takis 6/13/22 Benjamin Takis 6/13/22

Three Steps to Be Better Prepared for Public Disclosure Requests

How a nonprofit organization responds to public disclosure requests provides a clear window to its commitment to accountability and transparency. However, many organizations are insufficiently prepared to respond to requests for documents. This can lead to compliance failures and/or inadvertently sharing sensitive information that was not required to be disclosed.

A. Michael Gellman (CPA, CGMA) 4/18/22 A. Michael Gellman (CPA, CGMA) 4/18/22

Audit Planning Calendars Can Make Audits Less Stressful and More Efficient [SUBSCRIBERS-ONLY]

Financial statement audits have natural “built-in tensions” between nonprofit organizations and their independent auditors. These tensions are advantageous from a checks and balances point of view but can lead to communication challenges if not properly managed. Agreeing on a detailed planning calendar at the front end of the audit will make for a less stressful and more efficient audit process.

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Most Recent Posts

In the Search for Professional Services, Caring is as Important as Knowledge [SUBSCRIBERS-ONLY]

How Intermediate Cash Fund Pools Support Long-Term Investment Portfolios [SUBSCRIBERS-ONLY]

How to Make Your Nonprofit Audit Committee More Impactful [SUBSCRIBERS-ONLY]

Regular Communication Between Development and Finance Departments is Essential for Donor Management [SUBSCRIBERS-ONLY]

The Case for Capitalizing Portable Electronic Devices (PEDs) [SUBSCRIBERS-ONLY]

How Nonprofits Can Better Manage Overhead Expenses [SUBSCRIBERS-ONLY]

Use Key Assumptions to Focus and Frame Planning and Messaging [SUBSCRIBERS-ONLY]

Applying Segregation of Duties Beyond Standard Checks and Balances [SUBSCRIBERS-ONLY]

CHECKLIST: Simplified Balance Sheet Assessment

Determining When to Involve the Board in HR Matters [SUBSCRIBERS-ONLY]

Capital Campaigns and the Impact of Donor Fatigue [SUBSCRIBERS-ONLY]

Use This Simple Question to Improve Board and Committee Member Engagement [SUBSCRIBERS-ONLY]

Enhanced Management Strategies for Indirect Costs [SUBSCRIBERS-ONLY]

Three Steps to Be Better Prepared for Public Disclosure Requests

Audit Planning Calendars Can Make Audits Less Stressful and More Efficient [SUBSCRIBERS-ONLY]

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