Financial Management in Nonprofit Organizations - Essay Example

Extract of sample
Financial Management in Nonprofit Organizations

Another important difference in the financial management of the two types of organizations is the constraint of non distribution. Nonprofit organizations cannot distribute the profit generated to the owners. Nonprofit organizations do not have any owners. Thus the people who fund the organizations do not necessarily gain any kind of control over the firm. The nonprofit organizations have board just like profit making organizations. Although there is one major difference, that the boards of the nonprofit organizations are self appointed. Thus the board members are not accountable to the shareholders. There is considerable debate in these two matters, one is the bringing in accountability in the actions of the board members and other one is granting the investors with the rights to control the firm. It is advisable that the board members be held accountable for the actions taken, since this will help to bring in controllability and responsibility in the actions. The second recommendation is to grant the investors who provide the firm with specific and important investments, the right to control the firm to some extent. Introduction The mode of operations for a nonprofit organization is markedly different than that of a profit making organization. ...Show more

Summary

Financial Management in Nonprofit Organizations University Date Executive Summary The financial management technique for a nonprofit making organization is markedly different from that is a profit making organization. There are several advantages and privileges for a nonprofit organization which are otherwise not present in profit making organizations…
Author : aboyer
Financial Management in Nonprofit Organizations essay example
Read Text Preview
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Financial Management in Nonprofit Organizations"
with a personal 20% discount.
Grab the best paper

Related Essays

Leadership strategy issues in NONPROFIT HOSPITALS concentrate on how leadership strategy involves a mission, financial manageme
Majority of non-profit hospitals in the United States are affiliated with a religious denomination and generally follow conventional means of offering medical care services. Non-profit hospitals are considerably different from government owned public hospitals and private for-profit organizations with regard to their features and functions.
4 pages (1000 words) Essay
Financial Management in Nonprofit Organizations
They accomplish a wide variety of tasks and services. Non-profit organizations can be public serving as well as member serving. Public serving are those which serve the public or charities and member serving are those that serve the interests of members. Non-profit organizations are applicable all over a country i.e.
9 pages (2250 words) Essay
Financial Management in Nonprofit Organizations
The researcher discussed various issues related to the financial systems of both types of organizations. The issues that the researcher discussed included sources of funds, use of debt, and organizational objectives. The researcher made use of online resources and journal articles to find support from literature.
7 pages (1750 words) Essay
Financial Management in Nonprofit Organizations
Nonprofit organizations have several ways of raising funds and they utilize debt as a secondary resource when compared to profit organizations that leverage through the usage of debt and most of them now consider it the primary source of raising funds. Accounting treatment for both the types differ and there is a certain degree of restriction is the usage of assets by the nonprofits.
8 pages (2000 words) Essay
Management Accounting - Organizations
Financial accounting records are mainly therefore for external purposes whereas managerial accounting records are maintained for the internal purpose- the controlling of costs, budgets, schedules during the given financial year. "In the last few years the question has arisen as to how far the business-oriented concepts of management accounting and control could be employed for non-profit organisations (especially in the field of public management).
4 pages (1000 words) Essay
Financial Management in Nonprofit Organizations
In order to provide both a general and specific perspective, examples of different profit-for and nonprofit organizations have been given and specific examples of financial management techniques used by Save the Children US have been given. The analysis has
10 pages (2500 words) Essay
How the proliferation of nonprofit organizations impacts strategic management
Mostly, the NGO often strive to perform better than the government itself as a nation, and would prove that the product is qualitative. The NGO’s have created jobs opportunity for many near
1 pages (250 words) Essay
Nonprofit organizations
on, Salamon (1992) reveals that any profit or gain made by the organization is used back by the organization in achieving its organizational objectives and or purposes rather than distribute it to any of their members. This paper discusses the characteristics of non-profit
2 pages (500 words) Essay
Touched by nonprofit organizations
The benefits of many non-profit organizations include service to the community via low-cost centers as well as bringing awareness to certain issues of significance and attract a host of other people sharing a similar course (Shaffer, Deller and Marcouiller,
2 pages (500 words) Essay
Financial Management
nonprofit organizations and subsequently offers a comparison and distinction between the application of financial management techniques in nonprofit and for-profit organizations. In achieving this, this paper focuses on the sources of funds, use of debt, performance evaluation,
7 pages (1750 words) Essay
Get a custom paper written
by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email
YOUR PRIZE:
Apply my DISCOUNT