Top 10+ Outsourced Nonprofit Accounting Firms
Chances are, you didn’t start working for a nonprofit organization to fill out tax forms, track your budgetary expenditures, and worry about finances. You likely began your work to help others. That’s what nonprofits are all about, after all.
Nonprofit finances are unique. They use a special system of accounting called fund accounting. Fund accounting requires your organization to categorize finances and allocate them according to restrictions and budgetary needs.
Instead of focusing your attention on learning the intricacies of nonprofit accounting and spending your precious time putting it into practice at your organization, it may behoove you to first consider the option to outsource.
Outsourcing nonprofit accounting allows your organization to focus your efforts and attention on what really matters— your mission. Plus, it’s often less expensive than hiring your own internal accountant. It’s a win-win situation!
However, this only works when your organization trusts and works well with your outsourced accounting firm. That’s why we’ve put together our list of the best outsourced accounting firms for nonprofits. This list includes:
- File 990
- NFP Partners
- Profit Matters
- Paro Accountants
- Kiwi Partners
- Numbers 4 Nonprofits
When you’re looking for the right fit for your nonprofit, make sure to analyze the size and type of clients the firm has worked with before. This in addition to having conversations with the firm before launching an engagement will help you ensure you’re making the best choice.
Our Favorite Outsourced Nonprofit Accounting Firm: Jitasa
The name Jitasa means, “the spirit of serving others” and the accountants who work there do what they can to hold true to that name.
Jitasa specializes in outsourced accounting and bookkeeping services specifically for nonprofits. While many firms may offer services to nonprofits as a part of their platform, Jitasa stands out because their team dedicates themselves to fund accounting and helping nonprofits succeed financially.
All organizations that work with Jitasa receive the following services:
- A fully-staffed accounting team. A primary point of contact at Jitasa will lead the engagement with your nonprofit, but you’ll always have access to a full team of accountants. No matter how difficult your accounting problem, their team will work together to uncover the best solution.
- Access to nonprofit financial experts. Because Jitasa is dedicated to nonprofit organizations, its accounting team has seen most of the financial difficulties encountered by organizations like yours. The Jitasa team has the expertise to help you not only survive but also to thrive financially.
- Enhanced internal controls. Jitasa’s segregated duties and safety assurances mean your nonprofit can rest assured that your (and your donors’) financial information is secure. Their team follows strict policies and procedures to make sure all safety controls are in order for every organization they work with.
- Professional 990 filing. As a company devoted to accounting for nonprofits, the Jitasa team has seen a few Form 990s. Their accountants know exactly which form your team should file and will ensure all tax information is recorded correctly for you to maintain your organization’s tax-exempt status.
Why We Love Jitasa
Jitasa offers all of its clients access to QuickBooks accounting software. Whether you’re switching from a spreadsheet system, have been keeping track of finances using pen and paper, or have a different setup, Jitasa covers the fees necessary to get started and switch to the expert QuickBooks system.
The Jitasa team ensures that every organization it works with has all of the tools it needs to effectively record financial transactions and take appropriate action with its mission in mind.
Outsourced Nonprofit Accounting Firm#2: File 990
File 990 is not necessarily an outsourced accounting firm. However, they are a very useful platform when your nonprofit is in need of some accounting services, specifically (as the name suggests) when it’s time to file your Form 990 tax returns.
File 990 makes it easy for small nonprofits to file their Form 990-N or 990-EZ. The technology asks a series of easily answered questions and fills in the associated blanks on the necessary form. This is a perfect solution for nonprofits with standard forms and a straightforward tax season.
Why We Love File 990
File 990 is built to make it easy for nonprofits to file each and every year. After the first year using their service, your account will contain all of the standard information that doesn’t change from year to year (your name, mission, etc.), and the system will automatically fill in those blanks on future forms.
Outsourced Nonprofit Accounting Firm #3: NFP Partners
NFP Partners is an outsourced nonprofit accounting firm that’s dedicated to helping organizations create strategic accounting practices and documents. Backed by years of experience, they help nonprofits like yours to develop strong internal controls to maintain the safety of their financial information, craft both capital and operating budgets, and configure financial software to best meet their nonprofit partners’ needs.
This firm is a great solution for nonprofits that are just getting started or for those that are conducting a complete overhaul of their finances. You can start over or start from scratch, no experience necessary!
Why We Love NFP Partners
In addition to helping with the creation of an effective financial management system (and maintaining that system) NFP Partners also assists in some of the ongoing funding strategies for the nonprofits they work with. Specifically, they provide insight and assistance with grant applications, ensuring all financial data in the application is sound.
Outsourced Nonprofit Accounting Firm #4: GrowthForce
GrowthForce outsources both accounting and bookkeeping services for nonprofits and small businesses alike. They’ve been helping organizations for over 20 years, giving them ample experience that can be applied to many different financial situations they’ll likely encounter.
If you choose GrowthForce, your nonprofit will be assigned a three-person team at their U.S.-based service center. This team will help drive profitability and growth by digging deeper into your financial information in search of actionable insights for improvement.
Why We Love GrowthForce
If you aren’t in need of a full-service accounting team, GrowthForce provides an à la carte menu where your organization can choose the specific services that you need to get your finances back on track. This wide range of services provides multiple options for outsourcing tasks that your nonprofit can choose from according to your specific needs.
Outsourced Nonprofit Accounting Firm #5: Quatrro
Quatrro is a large firm that helps small, medium, and enterprise-level businesses and nonprofits. They support organizations with their accounts payable and receivable, reconciliations, financial reporting, and the decision-making process.
Not only do they help nonprofits with their accounting needs, but Quatrro also helps with payroll and HR tasks, ensuring all of your internal financial needs are taken care of and well-managed.
Why We Love Quatrro
Quatrro will help your organization with all of your internal management needs. When you employ technology to compile new financial and organizational data, Quatrro can provide support ensuring all of your technology works together seamlessly. This means all of your financial data will flow to the right people and create the best reports for your organization.
Outsourced Nonprofit Accounting Firm #6: Profit Matters
Profit Matters is comprised of a team of experienced bookkeepers, accountants, and CPAs who understand that nonprofits are more focused on making a difference than learning the intricacies of accounting and finances.
With their outsourced nonprofit accounting services, your organization will be assigned a single point of contact, creating consistency and rapport between yourself and the Profit Matters team. They keep their own team updated with the latest financial compliance standards and provide educational materials about such matters to their nonprofit clientele as well.
Why We Love Profit Matters
The experts at Profit Matters are well-versed with a number of valuable accounting technology tools, meaning they can adapt to the system your organization is already using. They have experience with tools like QuickBooks, Sage 50cloud, Xero, NetSuite, Zoho Books, and FreshBooks.
Outsourced Nonprofit Accounting Firm #7: CBIZ
CBIZ helps organizations secure their accounting and financial data by providing audit assurance services. With their professional guidance, you can make sure all of your internal controls and reports are up to standard and compliant with the latest regulations. The expert team at CBIZ provides Systems and Organization Control (SOC) reports to help organizations better mitigate risk with optimized internal controls.
In addition to ensuring security and safety of financial information, CBIZ helps nonprofits remain compliant with tax regulations by assisting in the preparation of completing your Form 990.
Why We Love CBIZ
CBIZ offers several services that nonprofits can use to solve specific financial issues. Their single audit option complies with Uniform Grant Guidance, which is a government-wide framework for grants management, so your nonprofit can rest assured that your data is secure.
Outsourced Nonprofit Accounting Firm #8: Paro Accountants
Paro Accountants allows nonprofits to connect with professionals who have a wide range of financial backgrounds. Interact with bookkeepers, accountants, analysts, and consultants depending on what your nonprofit needs in terms of financial services.
This platform makes it easy to contact and work with expert freelancers in any financial field, so your nonprofit can improve its financial strategies. Whether you’re looking for a bookkeeper to help with invoicing and payroll or an accountant to help with tax preparation, you’ll find freelance experts ready to dive in and help.
Why We Love Paro Accountants
All nonprofits have unique and specific sets of financial needs. Therefore, having access to a knowledgeable individual to dive into these needs can be a valuable resource, especially if you have one very specific aspect of your strategy that you need assistance with. We love Paro because they’ll facilitate this matchmaking process to ensure your nonprofit has access to the right financial expert for your needs.
Outsourced Nonprofit Accounting Firm #9: Kiwi Partners
Kiwi Partners offers outsourced accounting, human resources, and technology consulting services to help nonprofits optimize operations. When you choose to outsource accounting to Kiwi Partners, they’ll help you perform weekly bookkeeping tasks, craft an effective operational budget, and set up financial software and automated reports.
Many small nonprofits invest in Kiwi Partners for a period of time until they have the capacity to hire their own full-time bookkeeper and accountant. Medium-sized nonprofits turn to their services if their own accounting department is under a lot of additional stress from external circumstances or internal changes.
Why We Love Kiwi Partners
Kiwi Partners is dedicated to providing clarity for your nonprofit. Rather than only conducting the accounting services you need completed, they’ll take the time to explain their actions and provide regular reports for complete transparency.
Outsourced Nonprofit Accounting Firm #10: Numbers 4 Nonprofits
Numbers 4 Nonprofits provides both high-level and day-to-day support for nonprofits of all sizes. This means that no matter what information your nonprofit is searching for, Numbers 4 Nonprofits will help you find the answer.
Their high-level services include annual budgeting, cash flow projections, and assistance in preparation for external annual audits. Meanwhile, the day-to-day support they offer includes the management of immediate cash needs and internal control evaluations.
Why We Love Numbers4Nonprofits
The Numbers 4 Nonprofits team understands the value in proactive cash management. This means they’ll work with your team so that everyone understands the cash needs now as well as those projected for the future.
Choosing the best outsourced nonprofit accounting firm for your nonprofit is an important step for ensuring that your nonprofit’s finances are safe and well-managed. Experienced financial experts will help you maximize your budget so that you can make the largest impact on your community without breaking the bank.
If you’re looking for more information about nonprofit accounting and financial management, check out these awesome additional resources:
- Working with a Nonprofit Accountant: What to Expect. Learn more about what it looks like to work with a specialized nonprofit accounting firm with this article by our favorite provider: Jitasa.
- The Best Accounting Software for Nonprofits: Top 9 Tools. If you’re looking for software solutions to keep your nonprofit’s financial data organized, check out our favorite software guide.
- Nonprofit Bookkeeper vs. Accountant: Who Should You Hire? Learn about the differences between bookkeepers and accountants so that you can better understand which you should outsource (or if you should outsource both!)