Signs It’s Time to Consider Changing your Fund Accounting System
If your nonprofit is struggling under the inefficiency of an outdated or underpowered accounting system, you already feel the pain. The extra work involved to evaluate software and build a business case will be worth it when your organization strengthens its financial management. Right-sized, full-featured fund accounting software designed for the needs of nonprofits contributes directly to mission impact.
Even if you decide to stay with your current system for now, evaluating all your options unlocks invaluable insights about your organization’s future needs.
Here are six common reasons organizations change fund accounting software:
- Reporting is a struggle that takes too much time.
- Your organization relies too heavily on inefficient, error-prone manual processes.
- You depend on unwieldy spreadsheets to analyze performance, sometimes causing reporting errors or version control problems.
- The number of your locations, programs, grants, and/or projects has grown rapidly and, as a result, you’re considering adding additional accounting headcount.
- Backward-looking reports no longer cut it for making decisions. Management and the board need real-time visibility, as do external third parties.
- You need to perform consolidations.
If you need guidance on breaking the software evaluation and selection process into manageable steps, access this this guide: 5 Step Plan for Selecting the Right Fund Accounting Software for Your Nonprofit to walk through a step-by-step plan for defining your requirements, building a business case, and evaluating your options.