For Non-Profits
Presented by
Theresa F. Weber
Alexandria Consulting Team (ACT) LLC
www.alexandriaconsult.com
Agenda
I.
II.
III.
IV.
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What is Cash?
What do accountants mean by cash?
Money on hand (coins and notes)
Money in bank accounts
And even investments which can be
immediately realized
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Non-Profit Financial
Statements
(Balance
Sheet)
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Handouts
Excel Spreadsheets for a Sample Organization
Income Statement
Balance Sheet
Cash Flow Fill In
Cash Flow Answer
Budget
Cash Flow Forecast Fill In
Cash Flow Forecast - Answer
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Source of Cash
Income Statement and
Balance Sheet can be a
Source of Cash
Operations
Revenue Income Statement Items
Includes program service revenue,
contributions/grants received
Sale of Assets
Property, Plant and Equipment
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Use of Cash
Income Statement and
Balance Sheet can be a
Use of Cash
Operations
Expenses Income Statement
Includes rent, insurance, salaries and
program expenses
Adjusted for non-cash expenses depreciation
Purchase of Assets
Property, Plant and Equipment
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+ Operating Income
+ Loan Proceeds
- Loan Principal Payments
+ Depreciation
- Purchase Furniture and Equipment
+ Sale of Furniture and Equipment
Changes in working capital
+ Decrease in A/R
+ Increase in A/P
+ Decrease inventory
- Increase in A/R
- Decrease in A/P
- Increase inventory
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Decrease expenses
Analyze products and services. Can some be
done more efficiently?
Review all expenses to determine which are
not necessary
Expand use of volunteers and interns
Reduce benefits
Reduce staff and/or salaries
Close facilities and reduce services
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CASH IS KING
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Conclusion
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