I Wish I Had Spent More Time in Excel
The folks at AccuFund have a fun video on the mixed blessing that is Excel. No application is more widely used than Excel. But an over-dependence on Excel or trying to manage an organization using Excel is a little like trying to outrun the lava – the lava always catches up.
Studies have shown that the vast majority of spreadsheets contain errors, from a minor transposition of figures to more serious formula errors. Budgeting with Excel can lead to multiple versions of a budget floating around and the chaos, confusion, and inbox clutter that comes with them.
Reliance on Excel spreadsheets is an indication that your fund accounting software is lacking. You should be able to generate needed reports directly from your accounting software system. Have you ever found yourself thinking, “Shouldn’t the software do this?” The answer is “Yes!” but only if you have the right software. Click here to watch the video.
Fifteen years ago, turning to Excel was understandable. There were a limited number of nonprofit-specific accounting solutions. And they were costly.
Today that’s not the case. The advent of cloud computing as a method of solution delivery has made robust fund accounting system affordable for Nonprofit organizations.
This site has devoted much space to transparency, good stewardship, and best practices. The foundation of all those things is solid accounting and reporting. Perhaps the most important action an organization can take is investing in fund accounting software. Not only will it make the accounting department more efficient and effective, access to critical data will help development directors, grant writers, and program managers more effective as well.
The next time you find yourself creating yet another spreadsheet, ask yourself if the time has come to seriously consider implementing a nonprofit accounting solutions that provides the reporting you need with a simple click. Speaking of clicks, click here to watch the video.