Generally, summer months are busy for most nonprofit organizations, with the year-end financial close and preparation for the annual audit process. Through this process, the Organization’s finance and accounting teams are working to demonstrate to external parties their compliance with internal processes and controls and laws and regulations. To better ensure the Organization’s compliance, the Audit Committee provides assistance to the Board of Directors in the oversight of these activities.
By Mark Sheffield, Principal
When the Sarbanes-Oxley Act was passed in 2002, large public companies were forced to implement and document formal internal controls. Large companies had to think more about risk and how to strengthen business oversight. Small companies have risk too. Perhaps relatively more risk, because they don’t have the controls the larger companies now have in place. What can small business learn from large business to reduce risk? Here are five processes big companies have that small businesses should also implement. (more…)