Page 91 - MICROHUB Handbook - ENGLISH

DEVELOPING A FINANCIAL

POLICY

A policy is a documented set of concepts or strategies used in decision-

making. You should have sound financial rules and processes in place

before you make your first transaction or hire your first employee. Every

financial policy should work to keep your company's finances stable.

Every financial policy's overarching goal is to guarantee that the

company has sufficient funds to continue operating. A financial policy
makes sure that resources are used effectively and efficiently and that

best practices in accounting are adhered to. A clear financial policy can

also shield workers from any financial hazards that can arise in the

absence of rules. A list of financial policies and processes that you ought

to implement is provided below:

1.Division of Duties: Establish who has access to and is in charge of

maintaining your company's financial documents.

2. Authorizations: Who is authorised to sign corporate

checks? The owner could be the only person on it,
or it might also include one or more important staff.

Whatever you select, including credit and debit card

use in that policy. Keep in mind that any alterations

to a checking or savings account require permission.

3. Receipts/Disbursement Procedures: When money

is received in cash, look into credit card or wire transfers

to find out who received it and how it was documented. Create a system

of checks and balances to ensure that no employee is operating alone.

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