Financial Management

We prepare an annual budget in time for the new financial year. It includes the full costs for each activity, including a fair share of overheads. It shows us how much we have in reserves at the start of the year and how much we will have in reserve at the end of the year.

Our bookkeeping system gives us a reliable monthly income and expenditure report, which shows whether grants are on track or over-/under-spent, and whether reserves are in line with our policy, with a full paper trail for all of our transactions.

We maintain a rolling 12-month cashflow forecast which is kept up to date and which we review monthly. We know how much we spend each month (roughly) and we know how long our cash will last if we receive no further income at all.

We hold a short, focused financial review meeting each month to consider (a) our financial position compared to our budget, (b) our cash position now and over the next 12 months and (c) our reserve position and (d) any other financial risks or opportunities.

We understand our year-end accounting and independent examination requirements. We allow adequate time for a smooth process. Our Charity Commission register entry is kept up to date. We read and understand our annual accounts. We are intentional about the financial review in the Trustee's Annual Report.

We hold a year end review meeting to reflect on our financial position at the start of the year and at the end of the year, and on what was expected and unexpected during the year. We consider our financial future(s) for the next 2-3 years and update our reserves policy and financial planning to reflect our uncertainties and opportunities.