Modern Money Management

The process of reviewing and updating financial management systems and tools

Building our Future -

LLCI014-001

Modern Money Management

The process of reviewing and updating financial management systems and tools

The issue

The Hunter Region Landcare Network (HRLN) was using a simple paper based system and cheque book for managing finances. Following the group’s success in obtaining the LLCI grant for three positions, it became apparent that the financial management would need to be reviewed and modernised. This was identified as a priority action (Activity 4) for 2016 Action Plan.

The solution

A financial management workshop was held to identify the key issues, possible solutions and actions. This was facilitated by an external person (from Landcare NSW) with expertise in financial management in volunteer organisations.The plan included:

  • New procedures, polisies and processes and a review of banking options
  • Electronic filing, expense forms and record keeping systems
  • Purchase of a software package and assistance with book keeping services
  • Registering for GST and updating contact details with the ATO
  • The development of an organisational budget

The impact

HRLN is now on the way to having a modernised financial management system that enables quick and accurate reporting and which is accessible online. This enables financial management from anywhere in the region, at any time. The book keeping package has been adopted and a new voluntary financial adviser has been found. The organisation is now compliant for GST and has begun developing forward planning budgets.

Learnings

This was a steep learning curve in regulatory requirements, financial jargon and terminology. There is an ongoing requirement for up-skilling committee members in the technology, terminology and processes involved in having modernised financial management systems. Developing a budget for an organisation with multiple grants can be time consuming but is far more manageable if you have correct systems in place. Professional assistance can save a lot of time and stress.

Key facts

  • Financial terminology, methods and regulations can be an obstacle.
  • Cloud based financial management allows operations and oversight to work in a big region