When To Invest In New Software For Your NFP

Today, many nonprofits are dealing with increased competition for donations and other fundraising challenges, such as the decrease in the availability of grants due to government budget cuts. This makes it more difficult for treasurers to come before the board and ask for funds to upgrade software.

During difficult financial times, many boards adopt the attitude that if something has been working so far, why pay to fix something that isn't "broken?" Others are reluctant to invest in upgrading the software because they think it will simply be too much of a hassle to learn something new. These beliefs can be shortsighted, however, if the new software will in effect pay for itself by increasing efficiency and security and thereby lowering overall costs.

The following are a few signs that your existing software is costing you more than the cost to upgrade, which should help you to convince board members that this is one investment that's worth the cost to make.

Your Free Software is no Longer Worth the Time and Hassle to Use It

Just because there aren't any upfront costs to obtain the software, doesn't mean that it's wholly free to use. Even free software must be set up and configured properly, and updated periodically to run smoothly.

If your "free" software isn't specific to your field or cause, it may be difficult or impossible to track data that is specific to your nonprofit. Another sign that it's time to upgrade is if your current software is if it requires a lot of manual processes and data entry to be able to track items and produce documents and reports.

If this is the case, that free software is probably costing you more in payroll dollars and staff hours to operate as time goes by than the upfront cost of upgrading your software to one that simplifies and automates most processes and that's designed specifically to meet the needs of a nonprofit.

Continuing to Use Your Current Software Increases Risk of Loss

Using older, out of date software may expose your nonprofit to greater risk of loss than newer technology. Many older systems rely on older operating systems to run, which are, by nature, more vulnerable to hacking since they are no longer subject to frequent security updates designed to patch and fix flaws that thieves and hackers can exploit to enter your nonprofit's systems and steal sensitive financial and demographic information.

Older software can make it more difficult to track transactions and take more time to produce reports that might uncover irregularities that point the way to internal and external theft. Money that has been paid to the nonprofit, or, that the nonprofit has paid others, can slip through the cracks when older, out of date software is used.

Old, out of date software also usually does not allow users to store information in the cloud, which puts your organisation's entire collection of records and databases at risk of loss should something happen to the hard drive, such as a fire, flood or other disaster.

Finding a Solution

When your organisation is ready to invest in new software, there are a number of brands and services on the market. Admin Bandit offers accounting software that is designed specifically with the needs of nonprofit organisations and volunteer treasurers in mind.

Admin Bandit software is reasonably priced, very easy and intuitive to use, and walks treasurers through every step of preparing budgets, reporting, statements, managing GST obligations and producing other necessary documents that every nonprofit needs. Most processes are fully automated once the nonprofit's basic account information has been entered, which takes around 2 minutes or less, increasing ease of use.

The software also connects with the cloud so that it's easy to keep the software updated, which increases the security of your nonprofit's information while also making it simple, stress-free and secure to backup databases and other files.

Finally, board members and other officers of nonprofits have significant fiduciary duties and a responsibility to protect sensitive information collected by the nonprofit, wisely use donations and other assets, and to conduct themselves in an honest and impartial manner. The security flaws found in older, inefficient software makes it more difficult for boards to fulfil their fiduciary obligations.

New software such as Admin Bandit's increases transparency in the organisation while making it easier for boards to have the up-to-date information that they need to make better decisions. Upgrading your software not only reduces the potential for loss, but, makes it simpler to recruit new treasurers and board members when openings arise. 

3 Bookkeeping Mistakes Your Club Or NFP Might Be Making

The end of the financial year is a great time to take a look at your bookkeeping processes to see what is working and what is not.  The systems which once worked for you may no longer be appropriate, especially if you have seen a growth in membership.

Here are 3 key bookkeeping mistakes made by many clubs and not for profit organisations.  Are you making any of these?

1.  Keeping paper based records.

This is one of the biggest mistakes you can make.  Keeping paper based records is a security risk.  Anyone can access them and – even worse – alter them without you even realising.  (And I hate to ask it, but where are your backup records?)

2.  Using the wrong financial record keeping software.

Sometimes your accountant will advise you to use accounting systems which, although excellent at what it does, is too advanced for you or your treasurer to use.  If yours is a smaller NFP you don’t need an accounting system full of bells and whistles.  Often it can be hard to imagine that errors are made purely by accident. Choose club software such as Admin Bandit software which gives you everything you need to accurately manage your accounts without giving you a headache.

3.  Not checking your records with the bank.

This is a basic mistake but it happens more often than you would think possible.  Sometimes it is an oversight and sometimes it’s a confusion over who is responsible for the task.  Other times it is because one person actively prevents it happening, and that’s when they know there is something to cover up. You can’t be confident in your records, especially if they are paper based, without confirming the details with your bank.

Now is the time to check the systems you are using to see whether or not they are working for you, and if there is a better, more secure way to manage your bookkeeping and club finances.

You’re In The Deep End!

Your treasurer has quit. No one else wants the job. Somehow you find yourself volunteering for the role.

Now what? Numbers aren’t your thing.

How soon till the panic sets in?

Oh heavens, where did you put the calculator?

Like a modern day Robin Hood, you will have to rob the rich to pay the poor – but where do you find the money? 

Don’t worry. It’s not going to be a nightmare. Just use Admin Bandit software which has been specifically designed to help volunteer treasurers and their committees to manage their accounts without going crazy.

Make yourself look professional by taking advantage of the built in features.  Customise Admin Bandit to match your organisation and present a professional image to the committee and the world:

·         import your own logo to appear on all reports, receipts, invoices and member notices.

·         customise terms to match your activities, e.g. Members to Players, Groups to Teams.

·         consistent brand across all correspondence and reports generated for your club or society.

·         consistent clear reports give you confidence in the job you do as a treasurer

In our busy, competitive world, give your organisation the edge by having a good handle on the finances.

A well run organisation is attractive to people when they are deciding which association or club they will commit their time and resources to assist.

Find out more in our video which explains the whys, wheres and hows for you.