Understanding Association Financials
A critical function of the Board of Directors is managing the finances of the association. A key role for Spaces as the Management company hired by the Board is to prepare the financials for Board review. We will provide you a set of financial reports each moth or quarter based on your associations reporting schedule. The financial report includes the following reports:
The Balance Sheet is a summary of the association’s assets, liabilities, and fund balances at a specific point in time. The purpose of the balance sheet is to show the financial position of the association on a specific date. Click here.
The statement of income and expenses provides information on the association’s income and expense over a period of time (month, year-to-date) and compares the income and expenses to the budget for the same period. Click here.
The general ledger contains the beginning balance and all the financial transactions of the association during the period. Click here.
The bank reconciliation reconciles the balance in the association’s bank account with the balance shown in the associations financial statements. All outstanding checks, deposits, interest, and charges are reflected. Click here.