After more than three years of debate and revision, the 20-year old reporting model for nonprofits is being replaced with a new and improved Accounting Standards Update (ASU). ASU 2016-14 presentation of financial statements of not-for-profit entities calls for big changes in the way not-for-profits report financials. It will change the way all nonprofits classify net assets and prepare financial statements.
FASB (Financial Accounting Standards Board) believes that this update will improve the financial statements of nonprofits and will provide more useful information to donors, creditors, grantors and other financial statement users.
This article lists the top 3 changes in nonprofits financial reporting that will be effective for fiscal years beginning after December 15, 2017 and for interim periods within fiscal years beginning after December 15, 2018.
Continue reading FASB’s New Standard Aims to Improve Nonprofits Financial Reporting
“Audits” are usually considered a monumental undertaking for small and medium business (SMBs) owners. However, audits plays a critical role in helping to evaluate the effectiveness of a company’s internal controls, availability of reliable financial reporting, fraud prevention, utilization of its assets and reduction in its cost of capital. Audits also ensure that the business is meeting the expectations of their stakeholders and meeting regulatory requirements of the industry.
Below are the best practices that can help audits flow smoothly, while delivering lasting benefits which will enhance business performance.
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Accounts receivable is the most critical, yet challenging, process for any organization. Improper accounts receivable management leads to unhealthy cash inflows and easily to the downfall of a business. There are several challenges that businesses face during their accounts receivable process cycle like incorrect data, errors in invoicing, invoice delivery problems and resource problems.
If companies take control of their accounts receivable process and employ the right steps and related tools, they can overcome these challenges in no time at all. Some of the steps to maximize AR collections are outlined below:
Continue reading 6 Ways to Maximize AR Collections
Cloud-based accounting is similar to traditional, on-premises, or self-install accounting systems, with only the accounting software hosted on remote servers, similar to the SaaS (Software as a Service) business model. In cloud computing, users access software applications remotely through the internet or other network via a cloud application service provider. Cloud-based accounting solution frees the business from having to install and maintain software on individual desktop computers. It also allows employees in other departments, whether in remote or branch offices, to access the same data and the same version of the software.
Continue reading Cloud-based Accounting: The ‘Next Gen’ Accounting Solution for Small Businesses
December, 2017 – The world of hospitality and travel has entered a new era of transformation. A combination of forces, including shifts in the global economy, game-changing innovation, geo-political turmoil, natural disasters, pandemics, and rising consumer demands have been reshaping the marketplace for years. Concurrently, the industry is anticipating a RevPAR growth of 2%, the lowest increase since the beginning of the economic recovery.
Continue reading Challenging Road Ahead for the Hospitality Industry: Critical factors shaping the future of the industry