Prior to the Nonprofit CFO of the Year Awards Luncheon, Tate & Tryon’s managing partner, Charlie Tate moderated a panel discussion among 4 former award winners on what it takes to run an effective finance department.

Here are five key takeaways from the discussion:

  • No more than 25% of their time is consumed by finance, with the remainder on strategy and operations.  As “problem solvers,” CFOs often get pulled into other areas such as HR, IT, facilities, strategic planning, risk management, and even core programmatic activities.
  • When it comes to presenting financial information to the CEO or board, all panelists agreed that mastering the art of story-telling is critical.   It’s about understanding cause and effect and being able to explain the “why” behind the numbers in a way that a non-financial audience can quickly understand.
  • A clean audit doesn’t necessarily earn you a bronze, silver, or gold star – it’s simply the price of admission.  CEOs and boards want the CFO to be more forward-thinking – to be able to see around the corners and help prepare the organization for what’s next.
  • The CFOs day-to-day responsibilities are to support the CEO and his or her vision for the organization.  However, they acknowledged that their ultimate responsibility is in fact to the Board which is undertaken as a collaborative effort with the CEO.
  • While a few of our panelists hope to be CEO one day and feel they could do it, all panelists agreed that to do so would require additional skill sets to support the advocacy role that many CEOs play.

Running an effective finance function is no easy task. As revealed in our panel discussion, a top-notch finance function is one that adds value to the overall management of the organization and drives more strategic decision-making.  Please contact us if you are in need of assistance or if you would like to discuss opportunities to improve the effectiveness of your organization’s finance operations.

INSIGHTS & RESOURCES

Tax-Exempt Organizations and 2017 Tax Reform

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Uncategorized11/23/2017

Dear Friends in the Tax-Exempt Community:
Below is a brief overview of the key tax reform proposals relating to tax-exempt organizations. As you know, Congress is currently putting together legislation to effect significant tax reform with a timeline of having it enacted this year. Although Congress is still negotiating, the following reform proposals may impact your […]

Royalty Income of Nonprofits is Being Targeted for Taxation!

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Uncategorized11/20/2017

The Senate Finance Committee’s version of the Tax Cuts and Jobs Act includes a number of items that would impact nonprofits.
Perhaps the most immediately significant is the provision that would call for taxing the revenue generated from royalties related to licensing a nonprofit’s name and/or logo. Royalty revenue has traditionally been exempt from income taxes. […]

How Could Federal Tax Reform Impact Nonprofits?

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Exempt Organization Tax11/17/2017

Uncategorized11/17/2017

By:  Doug Boedeker, CPA, Partner
It has been a challenge staying current on the twists and turns involved with the proposals for Federal Tax Reform. Many of the ideas within the tax reform package have a direct impact on nonprofit organizations.
Charitable deductions, executive compensation, employee fringe benefits, and intermediate sanctions are just some of the “hot […]

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