Speaker 1: Introduction to non-profit bookkeeping, before discussion on non-profit bookkeeping, we have to discuss what is non-profit organization. In the today's world, there are some organizations we are not operating for profit. They are doing jobs for the betterment of the society. Suppose they are doing their jobs for the illiterate people or the sick people, they are doing work for them. They can spend money to make people educated or they can establish a hospital which is run by them. Almost in all the countries in the world, there are some non-profit organizations. Non-profit organizations are really playing a very vital role for making our world a better place. Now, what is non-profit bookkeeping? Non-profit bookkeeping involves tasks, systematic recording, tracking, and management of financial transactions within a non-profit organization. This transaction includes donation, grants, expense, payroll, or any other income source. Key components of non-profit bookkeeping, recording of financial transactions. Any non-profit organization may receive some money from any donor, grant, or any other sources. Non-profit organization must ensure that they are recorded accurately in bookkeeping software. Budgeting and planning. Budgeting and planning is a very important issue for any non-profit organization. As non-profit organizations deal with limited budget, they have to plan accurately and in the most effective way. Donor management. Donor management is a very pivotal issue in any non-profit organization. As the main income source or main revenue source of a non-profit organization is a donor or grant, they have to keep a track record of donors and maintain a relationship with them and ensure that their funds are used as intended. Compliance. Non-profit organizations have to operate under the law and the country law. It may be country law, state law, non-profit state law, and any other law. Non-profit organization must ensure that they are compliant by the law. Importance of non-profit bookkeeping. Transparency and accountability. There is huge accountability of any non-profit organization. They are accountable for the money they are receiving from the donors. Compliance and reporting. Non-profit organizations need to comply with various types of local and state law. They must ensure that they are compliant by the law. Non-profits are required to adhere to various types of regulatory requirements like proper financial transactions and financial statements and filing. Proper bookkeeping ensures that these recordings are accurate, timely, and according to the law. Sustainability and growth. Proper bookkeeping helps any non-profit organization to work in a sustainable way. It also, if any non-profit organization records their bookkeeping in a standard way, it will help them to grow, to maintain their growth regularly. They can also attract any donors or any grant. It will also help them to be more authentic to any other. If they are maintaining their bookkeeping in an accurate way, they can also attract a donation from a new source. If you have any specific bookkeeping related problem, you can join my LinkedIn group and my Facebook private group which link I am giving below. And if you take help from my video, you can subscribe me.