Customizable Finance Procedures
The Finance Policies and Procedures manual includes 36 prewritten financial policies and procedures templates. Most of these procedures have accompanying forms and records. All procedures are in easily editable Microsoft Word format so that you can easily customize them as per your needs.
Financial Control and Compliance
The finance procedures are based on standard best practice and form the structure of a strong internal control system to help compliance with financial regulations and/or practices like Sarbanes-Oxley, GAAP, PCAOB, SEC etc.
Introduction to General Financial Process
This section provides an
introduction and overview of the general financial processes.
The Finance field is broad, complex, and dynamic, so that no
document can claim to be absolute in capturing every possible
issue, policy, or procedure and remain current. The concepts
discussed in this manual cover the common, basic elements of a
Financial Management System.
Table of Contents of the Finance Introduction Section
Contributors
An Introduction to
Financial Processes and Procedures
-The Balanced Scorecard
Finance and Regulatory
Basics
-Securities Legislation of the 1930's
-The Sarbanes-Oxley Act
Finance and Internal
Control
-COSO and Internal Control
-Why Internal Control?
-A Control System that Focuses on Improvement and Success
-The Plan-Do-Check-Act Approach to Well-Defined Processes
-An Internal Control System Can Drive Improvement
-A Disciplined Approach
Understanding Key
Financial Processes
-Capital Needs Analysis
-Operating Cash Flow or EBITDA
-Making Investment Decisions
-Return on Invested Capital (ROIC)
-Cost of Capital
-Managing Working Capital
-Accounts Payable
-Accounts Receivable
-Inventory Management
Other Financial
Processes
-Financial Statements
-Administration and Auditing
Using the Bizmanualz Finance Manual
Finance Glossary
Finance Procedures Manual Preparation
In order for your Finance Procedures Manual to be effective, it is vital that you write it clearly and make it easily understood by all Finance employees in your organization, in particular, and by key non-financial personnel, in general. Top Management and your Advisory Board (or Board of Directors) must be aware of what Finance is doing, as sound business practice – and, sometimes, the law – dictates.
The primary objective is to provide an effective financial management system (FMS) for your organization – another way of stating this is “to provide effective internal controls and thereby ensure compliance” with the growing list of standards and regulations. A Finance Manual may be considered evidence of a system of effective financial controls.
This "Manual Preparation" section provides an introduction and guidelines for you to produce your Company’s own Finance Manual.
Finance Procedures Manual Preparation Table of Contents
Introduction
Installation Instructions
-Editing Files
-Word Processing (Text) Files
-File Properties And Style Formats
-Printing Files
-Technical Support
Your CFO Manual
-CFO Manual Style and Format
-To Consider When Writing Your Manual
-Revisions
-Other Publications
-Sources of Additional Information
Effective Communication
-Communication and Addressing Your Audience
-Sexism in Writing
-Number Usage
-Organizing Your Thoughts
-Outlining Technique
-Defining the Format and Organization of Your Manual
-Design Features
-Style and Mechanics
-Sources of Additional Information
Finance Procedures
-Format
-Heading Information
-Introduction
-Body Of The Procedure Statement
-Attachments
-Authorization
-Production and Distribution
-Revising and Updating Policies/Procedure
Organized into Five Broad Finance Topics
The procedures and forms are organized into five common financial topics. Where applicable, each procedure is followed by one or more supporting forms. Complete list of Finance Policies and Procedures:
|
FA1000
|
Financial Objectives |
|
1.0
|
Financial Objectives Plan |
|
2.0
|
Creating Specific Financial Objectives |
|
3.0
|
Balancing Financial Objectives |
|
4.0
|
Approval and Monitoring of Financial Objectives |
|
5.0
|
Improving Financial Objectives |
|
Forms/Records
|
|
|
FA1000-1
|
Financial Objectives |
|
|
|
|
FA1010
|
Management Responsibility |
|
1.0
|
Management Commitment to the Financial Management System |
|
2.0
|
Financial Policy |
|
3.0
|
Planning |
|
4.0
|
Responsibilities, Authority, and Communication |
|
5.0
|
Management Review |
|
Forms/Records
|
|
|
FA1010-1
|
Sample Management Review Agenda |
|
|
|
|
FA1020
|
Continuity Planning |
|
1.0
|
Continuity Planning |
|
2.0
|
Implementing the Continuity Plan |
|
3.0
|
Testing the Continuity Plan |
|
4.0
|
Maintaining and Updating the Plan |
|
Forms/Records
|
|
|
FA1020-1
|
Continuity Plan Worksheet |
|
|
|
|
FA1030
|
Document Control |
|
1.0
|
Procedure Format |
|
2.0
|
Work Instructions |
|
3.0
|
Forms |
|
4.0
|
Document Approval |
|
5.0
|
Temporary Document Changes |
|
6.0
|
Document Revisions |
|
7.0
|
External Documents |
|
8.0
|
Document Distribution |
|
Forms/Records
|
|
|
FA1030-1
|
Document Request |
|
FA1030-2
|
Document Control Database |
|
|
|
|
FA1040
|
Record Control |
|
1.0
|
Identification of Records |
|
2.0
|
Record Generation |
|
3.0
|
Recordkeeping and Traceability |
|
4.0
|
Record Retention and Long-Term Storage |
|
5.0
|
Record Maintenance |
|
Forms/Records
|
|
|
FA1040-1
|
Sample Master File Guide Index |
|
FA1040-2
|
List of Finance Records |
|
FA1040-3
|
Record Retention Guidelines |
|
|
|
|
FA1050
|
Annual Stockholders' Meetings |
|
1.0
|
Structure of Corporate Authority |
|
2.0
|
Meeting Notification |
|
3.0
|
Conduction Stockholders' Meetings |
|
4.0
|
Stockholder Meeting Review |
|
5.0
|
Stockholder Meeting Improvements |
|
Forms/Records
|
|
|
FA1050-1
|
Notice of Shareholders' Meeting |
|
FA1050-2
|
Authorization of Proxy to Vote Shares |
|
FA1050-3
|
Minutes of Shareholders' Meeting |
|
|
|
|
FA1060
|
Board of Directors' Meetings |
|
1.0
|
Preparing for the Board of Directors' Meeting |
|
2.0
|
Board Meeting Procedure |
|
3.0
|
Board Meeting Process Review |
|
4.0
|
Board Meeting Process Improvements |
|
Forms/Records
|
|
|
FA1060-1
|
Minutes of Board of Directors' Meeting (Sample) |
Procedures for Raising Capital
|
RC1000
|
Business Plan |
|
1.0
|
Business Plan – Background |
|
2.0
|
Developing the Business Plan |
|
3.0
|
Reviewing and Finalizing the Business Plan |
|
4.0
|
Monitoring the Business Plan |
|
Forms/Records
|
|
|
RC1000-1
|
Business Plan |
|
|
|
|
RC1010
|
Capital Plan |
|
1.0
|
Capital Plan – Background |
|
2.0
|
Preparing the Capital Plan |
|
3.0
|
Monitoring the Capital Plan |
|
4.0
|
Improving the Capital Plan |
|
Forms/Records
|
|
|
RC1010-1
|
Capital Analysis |
|
RC1010-2
|
Capital Plan Worksheet |
|
RC1010-3
|
Capital Plan |
|
|
|
|
RC1020
|
Valuation |
|
1.0
|
Valuation Plan |
|
2.0
|
Valuation |
|
3.0
|
Valuation Review |
|
4.0
|
Reaching Valuation Targets |
|
Forms/Records
|
|
|
RC1020-1
|
Valuation Plan |
|
RC1020-2
|
Valuation Improvement Plan |
|
RC1020-3
|
Valuation History |
|
|
|
|
RC1030
|
Bank Loans |
|
1.0
|
Assessing Capital Requirements |
|
2.0
|
Preparing the Loan Application |
|
3.0
|
Applying for the Loan |
|
4.0
|
Closing the Loan |
|
5.0
|
Loan Servicing and Reporting |
|
6.0
|
Loan Analysis |
|
Forms/Records
|
|
|
RC1030-1
|
Loan Application Checklist |
|
|
|
|
RC1040
|
Stock Offerings |
|
1.0
|
Stock Offering Plan |
|
2.0
|
Executing the Stock Offering |
|
3.0
|
Reviewing the Stock Offering Process |
|
4.0
|
Improving the Stock Offering Process |
|
Forms/Records
|
|
|
RC1040-1
|
Stock Offering Plan |
|
|
|
|
RC1050
|
Debt and Investment |
|
1.0
|
Debt and Investment Plan |
|
2.0
|
Debt and Investment Activities |
|
3.0
|
Debt and Investment Review |
|
4.0
|
Debt and Investment Plan Improvement |
|
Forms/Records
|
|
|
RC1050-1
|
Debt and Investment Plan |
|
RC1050-2
|
Debt and Investment Action Log |
|
|
|
|
RC1060
|
Asset Acquisition |
|
1.0
|
Asset Acquisition Planning |
|
2.0
|
Asset Acquisition |
|
3.0
|
Asset Acquisition Review |
|
4.0
|
Improving the Asset Acquisition Process |
|
|
|
|
Forms/Records
|
|
|
RC1060-1
|
Asset Acquisition Criteria |
|
RC1060-2
|
Asset Acquisition Request/Worksheet |
|
|
|
|
RC1070
|
Leasing |
|
1.0
|
Leasing Plan |
|
2.0
|
Leasing Evaluations |
|
3.0
|
Reviewing Lease Evaluations |
|
4.0
|
Improving the Lease Evaluation Process |
|
Forms/Records
|
|
|
RC1070-1
|
Lease/Buy Financial Analysis |
Treasury Management Procedures
|
TM1000
|
Working Capital |
|
1.0
|
Working Capital Plan |
|
2.0
|
Working Capital Performance |
|
3.0
|
Reviewing the Working Capital Plan |
|
4.0
|
Improving the Working Capital Plan |
|
Forms/Records
|
|
|
TM1000-1
|
Working Capital Plan |
|
|
|
|
TM1010
|
Cash Management |
|
1.0
|
Cash Management Plan |
|
2.0
|
Cash Management |
|
3.0
|
Reviewing the Cash Management Plan |
|
4.0
|
Improving the Cash Management Plan |
|
Forms/Records
|
|
|
TM1010-1
|
Cash Management Plan |
|
|
|
|
TM1020
|
Inventory Management |
|
1.0
|
Inventory Management Overview |
|
2.0
|
Inventory Management Planning |
|
3.0
|
Inventory Management |
|
4.0
|
Reviewing the Inventory Management Plan |
|
5.0
|
Improving Inventory Management |
|
Forms/Records
|
|
|
TM1020-1
|
Inventory Management Plan |
|
TM1020-2
|
Inventory Management Results |
|
|
|
|
TM1030
|
Related Party Transactions |
|
1.0
|
Related Party Transactions Plan |
|
2.0
|
Related Party Transactions |
|
3.0
|
Related Party Transactions Plan Review |
|
4.0
|
Improving the Related Party Transaction Plan |
|
Forms/Records
|
|
|
TM1030-1
|
Related Party Transaction Policy & Conflict Of Interest Questionnaire |
|
TM1030-2
|
Related Party Transaction Questionnaire Log |
|
|
|
|
TM1040
|
Foreign Exchange Management |
|
1.0
|
Foreign Exchange Management Plan |
|
2.0
|
Foreign Exchange Management |
|
3.0
|
Reviewing Foreign Exchange Management |
|
4.0
|
Improving Foreign Exchange Management |
|
Forms/Records
|
|
|
TM1040-1
|
Foreign Exchange Management Plan |
|
TM1040-2
|
Foreign Exchange Management Results |
|
|
|
|
TM1050
|
Managing Bank Relationships |
|
1.0
|
Bank Relationship Plan |
|
2.0
|
Managing Banking Relationships |
|
3.0
|
Reviewing Banking Relationships |
|
4.0
|
Improving Management of Bank Relationships |
|
Forms/Records
|
|
|
TM1050-1
|
Banking Relationship Contact Management Log |
|
TM1050-2
|
Bank Meeting Agenda/Minutes |
|
|
|
|
TM1060
|
Merchant Accounts |
|
1.0
|
Merchant Account Plan |
|
2.0
|
Merchant Account Comparisons |
|
3.0
|
Merchant Account Comparison Review |
|
4.0
|
Merchant Account Improvements |
|
Forms/Records
|
|
|
TM1060-1
|
Merchant Account Review |
|
|
|
|
TM1070
|
Letters of Credit |
|
1.0
|
Letter of Credit Plan |
|
2.0
|
Executing a Letter of Credit as a Buyer |
|
3.0
|
Executing a Letter of Credit as a Seller |
|
4.0
|
Reviewing the Letter of Credit Process |
|
5.0
|
Improving the Letter of Credit Process |
|
Forms/Records
|
|
|
TM1070-1
|
Letter of Credit Checklist |
Procedures for Financial Statements
|
FS1000
|
Financial Forecasting |
|
1.0
|
Financial Forecasting Plan |
|
2.0
|
Collecting Information for Financial Forecasts |
|
3.0
|
Creating Financial Forecasts |
|
4.0
|
Reviewing and Completing Financial Forecasts |
|
5.0
|
Financial Re-Forecasting |
|
6.0
|
Improving the Financial Forecasting Process |
|
Forms/Records
|
|
|
FS1000-1
|
Financial Forecast Checklist |
|
FS1010
|
Financial Reporting |
|
1.0
|
Financial Statement Reporting Plan |
|
2.0
|
Annual Report to Stockholders |
|
3.0
|
Financial Statements for Business Operations |
|
4.0
|
Additional Financial Statement Reporting |
|
5.0
|
Public Company Quarterly Reporting |
|
6.0
|
Public Company Annual Reporting |
|
7.0
|
Improving the Financial Statement Reporting Process |
|
Forms/Records
|
|
|
FS1010-1
|
Financial Report Checklist |
|
|
|
|
FS1020
|
Financial Statement Analysis |
|
1.0
|
Financial Statement Analysis Plan |
|
2.0
|
Collect and Calculate Financial Data |
|
3.0
|
Financial Statement Analysis and Reporting |
|
4.0
|
Improving the Financial Statement Analysis Process |
|
Forms/Records
|
|
|
FS1020-1
|
Financial Analysis Plan |
|
|
|
|
FS1030
|
Financial Management Review |
|
1.0
|
Financial Management Plan |
|
2.0
|
Conducting Financial Management Meetings |
|
3.0
|
Reviewing Financial Management |
|
4.0
|
Improving Financial Management |
|
Forms/Records
|
|
|
FS1030-1
|
Financial Management Plan |
|
FS1030-2
|
Financial Management Meeting Agenda |
|
|
|
|
FS1040
|
Financial Restatements |
|
1.0
|
Financial Restatement Plan |
|
2.0
|
Financial Restatements |
|
3.0
|
Reviewing the Financial Restatement Process |
|
4.0
|
Improving the Financial Restatement Process |
|
Forms/Records
|
|
|
FS1040-1
|
Financial Restatement Checklist |
|
|
|
|
FS1050
|
Financial Information Release |
|
1.0
|
Financial Statement Release Plan |
|
2.0
|
Financial Information Release |
|
3.0
|
Financial Information Release Review |
|
Forms/Records
|
|
|
FS1050-1
|
Financial Information Release Log |
|
FS1050-2
|
Financial Information Request |
Internal Control Procedures
|
AC1000
|
Sarbanes-Oxley Compliance |
|
1.0
|
Sarbanes-Oxley Act of 2002 (Sox) – Background |
|
2.0
|
SOX Audit Committee Plan |
|
3.0
|
SOX Auditor Plan |
|
4.0
|
Corporate Responsibility Plan |
|
5.0
|
Internal Control System Plan |
|
6.0
|
Completing the SOX Checklist |
|
7.0
|
Improving SOX Compliance |
|
Forms/Records
|
|
|
AC1000-1
|
Sarbanes-Oxley Compliance Checklist |
|
|
|
|
AC1010
|
SAS 70 Compliance |
|
1.0
|
SAS 70 Compliance Plan |
|
2.0
|
Creating and Completing a SAS 70 Compliance Checklist |
|
3.0
|
SAS 70 Compliance Checklist Review |
|
4.0
|
SAS 70 Compliance Checklist Improvements |
|
Forms/Records
|
|
|
AC1010-1
|
SAS 70 Compliance Checklist |
|
|
|
|
AC1020
|
Risk Assessment |
|
1.0
|
Form a Risk Management Committee |
|
2.0
|
Identify Hazards/Threats |
|
3.0
|
Identify Threat Impact and Likelihood |
|
4.0
|
Determine Risk Levels |
|
5.0
|
Rank Threats |
|
6.0
|
Risk Assessment Review |
|
Forms/Records
|
|
|
AC1020-1
|
Risk Assessment / Management Worksheet |
|
AC1020-2
|
Sample Chart of Accounts |
|
AC1020-3
|
Internal Control Checklist |
|
|
|
|
AC1030
|
Risk Management |
|
1.0
|
Developing a Risk Management System |
|
2.0
|
Implementing the Risk Management System |
|
3.0
|
Evaluating the Risk Management System |
|
4.0
|
Adapting the Risk Management System |
|
|
|
|
AC1040
|
External Auditing |
|
1.0
|
External Audits – Background |
|
2.0
|
Planning for an External Audit |
|
3.0
|
Supporting the External Audit |
|
4.0
|
Reviewing External Audit Results |
|
5.0
|
External Audit Follow-Up |
|
Forms/Records
|
|
|
AC1040-1
|
Corrective Action Plan |
|
|
|
|
AC1050
|
Internal Auditing |
|
1.0
|
Internal Audit Background |
|
2.0
|
Internal Audit Planning |
|
3.0
|
Conducting the Internal Audit |
|
4.0
|
Internal Audit Reporting |
|
5.0
|
Internal Audit Follow-Up |
|
Forms/Records
|
|
|
AC1050-1
|
Audit Schedule |
|
AC1050-2
|
Audit Plan |
|
AC1050-3
|
Audit Checklist |
|
AC1050-4
|
Audit Opinion |
|
AC1050-5
|
Final Audit Report |
|
|
|
|
AC1060
|
Corrective Action |
|
1.0
|
Nonconformity Reports |
|
2.0
|
Initiating Corrective Action |
|
3.0
|
Investigating the Cause |
|
4.0
|
Taking Corrective Action |
|
5.0
|
Preventing Recurrence |
|
6.0
|
Verification and Closure |
|
Forms/Records
|
|
|
AC1060-1
|
Nonconformity Report |
|
AC1060-2
|
Corrective Action Request |
|
AC1060-3
|
Corrective Action Log |