Strategic Financial Controllership for InnovateEDU
Providing Fractional Controller services to ensure grant compliance, audit-readiness, and transparent board reporting for a leading education nonprofit.
The Client Profile
InnovateEDU, led by Christian Claus, is a forward-thinking nonprofit organization dedicated to closing the achievement gap in education. Their work is funded through a complex mix of public grants, private donations, and program revenue.
Nonprofit accounting is fundamentally different from commercial business. It requires a "Fund Accounting" mindset: tracking not just profit, but the specific usage of restricted funds against grant promises.
The Operational Challenge
InnovateEDU required high-level financial oversight but didn't need a full-time, in-house CFO. They needed a Contract Financial Controller capable of managing the rigorous demands of compliance and governance.
1. The "Restricted Funds" Matrix
Managing multiple grants simultaneously created a risk of "commingling funds." The client needed a system to track every dollar spent against specific grant budgets to ensure compliance with donor agreements.
2. Board & Audit Transparency
The Board of Directors required quarterly reports that were not just accurate, but intelligible. Furthermore, the organization needed to be audit-ready at all times to maintain their 501(c)(3) status and donor trust.
The Tallywise Intervention
We assumed the role of the "Fractional Controller." We integrated directly with the Finance and Operations Manager to build a compliant, transparent financial infrastructure using QuickBooks and GAAP standards.
Technical Execution & Strategy
Grant Stewardship & Compliance
We implemented a robust tracking system for grant-related financials.
- Verified financials against grant budgets to prevent over/under-spending.
- Generated "Budget vs. Actuals" reports specifically for grant reporting requirements.
- Ensured all expenditures aligned with the specific terms of grant agreements.
Audit & Tax Readiness
Nonprofits face intense scrutiny. We maintained the books in a state of perpetual audit-readiness.
- Reconciled all bank statements and monitored cash flow daily.
- Ensured compliance with federal, state, and local tax regulations.
- Prepared all schedules and supporting documentation for the annual external audit.
Board-Level FP&A
Data is useless without insight. We transformed raw numbers into strategic direction.
We prepared quarterly financial statements specifically designed for the Board of Directors, including forecasts, variance analysis, and trend identification to support long-term strategic decision-making.
The Results
InnovateEDU now operates with the financial sophistication of a major institution. With clean audits and clear reporting, they can focus entirely on their mission: education innovation.
"Tallywise provided comprehensive financial management, maintaining accurate accounting records in QuickBooks. They managed grant-related financials, verified budgets, and prepared quarterly statements for the Board. Overall, they delivered reliable, compliant, and well-organized financial oversight."