Financial Management Services
Association Managers, Inc. was founded in 1988 to provide finance and accounting services to non-profit organizations. Its founder, Dennis W. Boyd, had 18 years of financial management experience in the federal government when he started AMI. His last finance position was management of a billion dollar budget and the supervision of more than 100 employees. Although the government's accounting systems are not well known for their timeliness or accuracy, the system Dennis managed proved its value to the Office of Management and Budget and OMB recommended that other agencies purchase the system rather than create their own.
Dennis has kept this demanding view of how accounting systems should work, even in small associations. AMI selected the ACCPAC Accounting System for use for its clients. There are over 100,000 installations of ACCPAC in the United States. The AMI ACCPAC system has been upgraded several times.
ACCPAC is one of the mid-range accounting software systems, providing more
audit trails and reporting capabilities than the lower-priced systems.
CPA firms that have audited the books maintained by AMI have acknowledged
that the complexity of accounting for some of AMI clients could not be
accomplished by lower range accounting software. ACCPAC
provides all of the reports needed to satisfy federal agency reporting
requirements and annual non-profit tax returns.
There are several reasons why associations turn to AMI for financial services:
· First, AMI has maintained the books for several non-profit associations for more than 17 years. Some of these associations have restricted funds, indirect cost rates, government awards, and foundation grants. Several CPA firms have audited the books AMI maintains and in several cases, there have been no adjusting entries to the books.
·Second, AMI staff believe that each months financial statements should be as accurate as annual year-end (audited) statements. Once a year is not enough to know the true financial health of any organization.
· Third, we believe in creating the simplest account structure as is possible to meet external accounting reporting requirements and assist the in preparation of budgets.
·Fourth, we believe in working with the Board and the Treasurer to help them understand financial statements – clients do not get a jargon-filled explanation of its financial statements from AMI.
·Fifth, we strongly believe in the value of budgets to help manage associations and the need for monthly tracking against the budget. AMI issues financial statements which compare the current month's financial activity with the same month a year ago. As a result, AMI clients have a longer view of how the financial condition of their association is changing. AMI also issues a short narrative with the monthly financial reports to help all Board members understand the financial statements.
A sample budget report follows.
·Sixth, AMI financial statements are prepared in accordance with the Financial Accounting Standards Board (FASB) Statements 116 and 117, which set the accounting policies and procedures for non-profit associations.
· Seventh, AMI uses Generally Accepted Accounting Principles (GAAP) and calculates membership monthly dues revenue based on annual dues divided by 12 months to ensure that revenue is not overstated when cash is received.
AMI provides monthly Balance Sheets and a budget report, along with any accompanying notes to assist in understanding the organization’s financial condition. In addition, the Treasurer will receive a monthly cash disbursements report, check register and cash receipts report.