Finances

Owner: Management Last revision: 12.11.2021

This page describes the steps required in order to precisely report financial status internally, to accounting and to clients.

Monthly reporting#

We report unpaid billable hours and outstanding sums to our clients on a monthly basis. Later on, these reports will serve as the basis for invoicing and financial stats.

Use Productive’s time reports to generate a report of billable hours from the previous month.

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After finishing monthly reports, notify managing partner to sign-off on reports.

Legacy outstandings spreadsheets

Update the billable hours in the outstandings spreadsheet’s List sheet, client by client. When updating a row, make sure you assign the values to the correct client/project/item. If not corresponding row exists, create one.

When working in the spreadsheet, make sure you colour code the rows / cells you edited, so other collaborators know which values were edited by which team member.

The Clients sheet in the outstandings spreadsheet contains the rates, related tasks and instructions for each specific client.

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Timeline#

Invoicing#

After getting approval on the monthly reports, invoices shall be created. Some clients need to sign-off on reports before invoicing, while other can be invoiced directly. You can find this information in the Clients sheet of the outstandings spreadsheet.

We use different invoice templates based on the type of the client:

All created invoice shall be uploaded in Google Docs and PDF formats to the _emitted folder on Google Drive. Upon sending invoice to client, invoice shall be moved to the _sent folder.

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Timeline#

Accounting#

After invoicing is done, all financial documents for the previous month should be sent to accounting by email.

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Timeline#

Updating outstandings#

The List sheet in the outstandings spreadsheet shall be updated every month, by removing the rows corresponding to the invoices that have been paid by clients. If row has been only partially paid, only update the Paid column.

After updating the List sheet, make sure you also update the Income sheets. These sheets are used as a basis for our internal financial reports.

All paid invoices should be moved under the corresponding year subfolder in the Invoices folder.

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Timeline#