Category Archives: Bookkeeping

Major donors nonprofit statement of financial position also may want to see financial statements before giving a significant gift. When a nonprofit shares more about its financial health, foundations and sponsors see that the nonprofit is financially viable and feel safer giving. Most nonprofits share these statements to be entirely transparent with their donors; oftenContinue reading «Back To Basics: Nonprofit Statement of Financial Position»

Preferred stock gets its name because preferred shareholders are in a “preferred” position to receive dividend payments and be paid back first in the event of bankruptcy. While common stockholders typically have voting rights in corporate matters, preferred stockholders often do not possess the same privileges. Preferred stock gets its name because preferred shareholders areContinue reading «Noncumulative: Definition, How It Works, Types, and Examples»

Shareholder equity alone is not a definitive indicator of a company’s financial health. If used in conjunction with other tools and metrics, the investor can accurately analyze the health of an organization. Negotiations during the grant process might include requests for a faster vesting schedule or a lower exercise price. Aligning stock options with employeeContinue reading «Shareholders Equity Definition, Equation, Ratios, Examples»

They amortize these costs across multiple clients, providing you access to enterprise-level systems that might be prohibitively expensive for individual businesses. Outsourcing cost considerations often favor external accounting services when considering start-ups and small businesses. With limited transaction volume and straightforward accounting needs, paying for a full-time accountant may be an unnecessary expense. Are youContinue reading «12+ Top Nonprofit Accounting Firms & How to Choose One»