Case Study: Church Focuses on its Core Mission with Accounting Handled
ONESOURCE CASE STUDY
Capitol Heights Baptist Church (CHBC) was in a situation not unlike many churches. Despite being run by just two full-time pastors, it was tasked with overseeing an endowment fund and ministering to the residents of two on-site HUD-assisted living facilities, in addition to the daily operations of the church.
To stay on top of everything, the church outsourced management of the operation of the assisted living facilities and the endowment fund. In addition, Aldridge Borden & Co (Aldridge Borden) performed an annual audit of the financial statements.
After the long-time bookkeeper left, however, the quality of the financial information declined, making it difficult for the deacons and pastors to budget. It also caused delays in the auditing process and weakened internal controls.
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Aldridge Borden was asked to craft a solution. After meeting with church leadership, the major needs identified as needing to be addressed were:
- Generate accurate financial reports in a timely fashion each month for the deacons and pastors
- Process contributions, payroll, and bill payment on a regular basis
- Implement a system of financial checks and balances
- Ease the financial burden on the church caused by the salary and benefits of a full-time bookkeeper
So how was CHBC to address those needs with limited staff and resources?
After studying the situation, it was clear that OneSource was the church’s solution.
Because there was no requirement for the church to provide anyone with annual audited financial statements, the answer was to simply stop doing them. This saved them both time and money and gave the members the assurance needed because of Aldridge Borden actually preparing their financial statements.
CHBC was also having a difficult time finding a quality bookkeeper for what they were able to pay. Aldridge Borden took over those duties. At that time, OneSource was in its infancy and did not have the cloud-based platforms used today (described at the end of this study). Instead, to process everything weekly and provide the reports needed by the deacons and pastors, Aldridge Borden sent someone from the firm to the church every week.
The Happy Ending
By doing just those two things, the church saved roughly 4% of their budget per month in bookkeeping-related costs. That meant significantly more funds available for church operations, missions, and other key functions.
Fast-forwarding to today, the concept of a comprehensive cloud-based solution was born with a trusted partner in Aldridge Borden taking care of the accounting. Churches that have followed CHBCs recommendation of outsourcing to ABCPA are now able to:
- Easily access and process information
- Focus on the mission of the church, not paperwork
Speaking of fast-forwarding today, OneSource now utilizes three cloud-based, integrated systems: an accounting platform, expense processing, and bill payment. This combination provides them with:
- Flexibility to tailor financial reports to the Church’s specific needs for year-over-year and actual-to-budget comparisons by budget line item
- Consistency to provide financial statements on the same day every month
- Availability to access all reports online 24/7
- Handle restricted and designated fund reporting
- Include affiliated daycare and school activities
As well as the convenience of being able to:
- Scan or take pictures of receipts and expense reports and upload them by email
- Streamline paying bills and document storage using scanned invoice submission and email authorizations and approvals to designated off-site volunteers
- Process payroll and payroll tax filings and deposits
- Process member annual contribution statements