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Budgeting Essentials: Making it All Add Up Tuesday, September 16

Lesli Klainberg Executive Director, Film Society at Lincoln Center

Lesli Klainberg is the Executive Director of the Film Society of Lincoln Center.

Previously, she was Managing Director and the Producer of the New York Film Festival and the Film Society's annual Chaplin Award Gala.

With over twenty five years experience, Ms. Klainberg is also an award winning documentary producer and director and her production company, Orchard Films, has produced documentaries that have screened at film festivals including ; Sundance, Berlin, Frameline and Provincetown and been broadcast on PBS, A&E, AMC, IFC and WE.

Colin Stanfield Festival Producer, 52nd New York Film Festival

Colin Stanfield is the Festival Producer for the 52nd New York Film Festival and President of Raspberry Point, a festival consultancy company.

Previously he was Managing Director of the San Francisco Film Society, Executive Director of the Nantucket Film Festival, Festival Producer of SilverDocs AFI Discovery Documentary Film Festival and Associate Director of International Programs at IFP

Budgeting: WhyGovernance. Board of Directors approval. Fiduciary responsibility

Establish Program Targets and involve staff

Get a handle on expenses and manage cash flow

Develop Organizational Best Practices

Basic Financial TermsFinancial Statements. Income Statement (P&L) and Balance Sheet

Chart of Accounts

Accounts Payable and Accounts receivable

Cash vs Accrual Accounting

Bookkeeper vs Accountant (Audited Financial Statements)

Cashflow Budget/Cashflow Statement

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Eight Budget Essentials or

Eight Things We Wished We’d Known When We Started

1. Have your Board Adopt a Formal Budget Policy

2. Live and Die by Your P&LStart with the previous year’s detailed P&L, record questions on a scratch pad. Number transactions on the P&L so they correspond with your questions on your scratch pad. Highlight in yellow on the P&L.

Later when you start your budget, you’ll want high-light in another color (pink) every line once its in the budget.

3. Establish Highly-communicative Working Relationship With Your Bookkeeper

With your marked up previous year’s detailed P&L and scratch pad, get together in person with your bookkeeper. Look at paper back-up and get to the bottom of everything

Insist on some sort of annotation convention for memo fields when recording transactions

4. Adopt Established Financial Conventions and Formatting

Use colors as flags while a budget is a work in progress. but keep it PLAIN JANE when finished.

All corporate Annual Reports publish Audited Financial Statements in the back. Color up front, black & white in back for financials. Emulate.

5. Break Out Line Items Which are Too Broad

Total the individual items in a new column.

Present the total in line with the non-broken out lines

6. Be Conservative with RevenuesAvoid temptation to make budget balance by increasing sponsorship, ticket sales, passes, etc.

Don’t include returning sponsorships that are less than 50% certain, without highlighting this to your board (loudly).

7 . Build a Cash-Flow BudgetUse P&L to identify when transactions took place and then schedule in your cash-flow budget

Quickbooks “Build a Budget” function requires amounts be assigned to a specific month. Google Doc Templates

TOTAL

Sep '13 Oct '13 Nov '13 Dec '13 Sep - Dec '...

IncomeContributed Income 0.00 0.00 0.00 0.00Earned Income 2,500.00 7,500.00 0.00 10,000.00Ticket Sales 26,300.00 62,950.00 15,000.00 104,250.00

Total Income 28,800.00 70,450.00 15,000.00 114,250.00

Expense5100 Advertising/Listi... 0.00 0.00 0.005170 Equipment Lease 1,200.00 5,600.00 6,800.005515 Contractors 1,666.00 833.00 2,499.00Postage & Delivery 100.00 50.00 150.00Printing/photocopying 1,500.00 833.00 1,433.00 3,766.00Professional Fees 2,500.00 10,500.00 28,050.00 41,050.00Travel and Entertainm... 11,000.00 7,000.00 18,000.00Venue Rental 0.00 0.00 0.00 0.00

Total Expense 4,000.00 25,299.00 42,966.00 72,265.00

Net Income -4,000.00 3,501.00 27,484.00 15,000.00 41,985.00

SFFS Fall Awards09/10/13 Profit and Loss Budget Overview

September through December 2013

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QuickBooks Setup Budgets Windows

8 . Devise a System for Monitoring Actuals