Finance

Treasurer:
The major concern for the treasurer is with the financing activities of the firm. The responsibilities of the treasurer include
• Obtaining finance:
Identify the future requirement of funds and suggesting the management for sources of funds

• Banking relationship:
Deals with the banking transactions, check whether the bank balance tallies with the receipt total

• Investor relationship:
Deals directly with the investors regarding future investments of funds

• Short-term financing:
Analyse the current situation and advise the management for short term investment

• Cash management:
Receives the cash, billing, managing daily transaction of cash

• Credit management:
Managing the accounts payable and receivables

• Investment
Analysing the future needs and suggesting the management for investing

• Insurance
Makes sure of Insurance payments


Controller:
The major concerns of controller are

• Financial accounting:
Verifies the financial reports

• Internal audit
Suggestion for improvement, towards organisational goal, financial statements & report verify according to laws and regulations.

• Taxation:
Calculate the tax based on profit.

• Management accounting and control
Preparing balance sheet and cash flows. Financial forecast.

• Budgeting planning and control:
Prepares the budget and compares with the actual performance, Implement the policies to achieve the organisational goal.

• Economic appraisal:
Analysing the cost and benefits of the project/plan.

Functions of Accountant:

 Receive and send purchase quotation
 Approval of orders
 Records the various transactions like payments of Salary and travel allowance for employees
 Forwards the DD to the person concerned
 Manage and maintain bank accounts, ensuring the organisation gets the best rate of return
 Reconciliation
 Prepares the balance sheet and calculates the tax and ensure tax regulations are compiled with.
 Leads budget planning and preparations along with the top management
 Signature authority

Audit:
Audit is done only by external agency, no internal audit is done over there

Conclusion:

The firm does not have a separate treasurer and a controller. The combined activities of both the designations are carried out by the accountant there. Since the firm is a small one, all the financial activities are done by the single accountant. As the firm is a developing one and not an established firm, it is necessary that majority of the decisions that involve money could be taken only by the person who is capable of raising it. Hence the accountant of REACH gives the suggestions but the final decisions are taken by the CEO who is the fund raiser there.

The other main reason is that the firm being a developing one, it cannot afford to have a finance department separately wherein they can have a treasurer and controller designation. So activities which involves recording, registering and entry makings are done by the accountant along with the few functions of the treasurer and controller, where as decisions and the functions that involves a sufficiently large amount is carried out by the top management, being the CEO here.