The Joe’s Motorbike tyres Financial Policy and Procedure Manual provides the policies and procedures for finance transactions within the business which must be followed by all staff. It also provides guidelines Joe’s Motorbike tyres will use to administer these policies, with the correct procedure to follow.
Joe’s Motorbike tyres will keep all financial policies current and relevant. From time to time it will be necessary to modify and amend some sections of the policies and procedures, or to add new procedures.
Any suggestions, recommendations or feedback on the policies and procedures in this manual are welcome.
These policies and procedures apply to all employees.
Policy Number: {123456789}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff for all authorisations of finance transactions as noted in the policy. Edit this policy so it suits the needs of your business.
Purpose of the Policy
All finance transactions as noted in this policy are to be authorised by the noted authorised person prior to the transaction being undertaken.
This policy is to be read in conjunction with other specific finance policies where relevant.
Procedures
Prior to any of the following finance transactions being undertaken, the authorising person noted must authorise the transaction.
Where additional policy is noted, this policy must also be adhered to when undertaking the finance transaction.
|
Finance Transaction |
Authorised Person |
Additional Policy |
|
Bank Accounts |
{Financial managers} |
{financial policy} |
|
Issuing Petty Cash |
{Accounting manager} |
{Accounting policy} |
|
Business Credit Card |
{Financial manager} |
{Credit policies} |
|
Authorising New Customers |
{marketing managers} |
{Customer relationship policies} |
|
Authorising New Suppliers |
{marketing manager} |
{Supplier policies } |
|
Purchasing Stock |
{production manager} |
{production policies} |
|
Purchasing Assets/ Equipment |
{financial manager} |
{ production policies } |
|
Debt Collection |
{collection manager or the accounting manager} |
{Collection policies} |
|
Payment of Invoices |
{Accounting manager} |
{Bill policies} |
Bank Account Policy
Policy Number: {012654875}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff for all authorisations of opening, operating and closing bank accounts. Edit this policy so it suits the needs of your business.
Purpose of the Policy
This policy sets out the requirements for use of bank accounts, including opening, closing authorisation, variations to terms and conditions, reconciliation of bank accounts and bank account transactions.
Procedures
Opening Bank Accounts
Guidance: Where a new bank account is being considered, you may like to incorporate into this policy some of the recommendations from Refinancing or switching banksinformation as procedure steps.
Any new bank accounts to be opened for the business must have the authorisation of {financial manager}
For each new bank account opened, the financial system must be updated and the bank account registered by {the board of directors and the managing director of the business}
Bank Account Authorisations
For monies withdrawn from any bank account, whether by cheque, EFT or other online payment method, there must be {Accounting manager and the financial manager} persons authorising for each payment.
The authorised persons for bank account payments are:
{financial manager}
{managing director}
{chief executive officer} etc.
Each payment made must be supported by invoice, receipt or other appropriate documentation and the authorisations must be attached to this documentation prior to payment.
Variations to Bank Account Terms and Conditions
Any variations to banking arrangements can be made or varied by {chief executive officer}
{the head person of the business} is responsible for updating the financial system and/or bank account register with the new information.
Where it is decided that a bank account is no longer necessary, {the one who has started the bank account or the person who is handling it right now} will authorise the closure of the bank account.
The { financial manager } will then be required to complete the following:
All deposits received must be banked within {insert number of days from receipt, recommended two}
Unallocated direct deposits of more than {insert number of months, recommended one} will be investigated fully to determine source of deposit. Where the source cannot be identified, the deposit will be allocated to {insert financial account to authorise payments, recommended setting up a suspense account to keep these funds separate and identifiable}
Cheques outstanding for more than {12 months} will be reallocated back to the business through the financial system
Where a payment stop on a cheque is required, this will be authorised by {financial manager}.
{one who handles all the finance of the business} will be responsible for carrying out the following duties in regards to payment stop on a cheque:
Petty Cash Policy
Policy Number: {012478965}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff where petty cash is issued. Edit this policy so it suits the needs of your business.
Purpose of the Policy
Petty cash should be used to pay for small business expenses up to {insert maximum amount here, usually up to $100} where payments through accounts payable or credit card are not justified or appropriate
Procedures
Issuing Petty Cash
Petty cash vouchers must be completed before any cash is taken from the petty cash float.
Only up to {insert maximum amount here, usually up to $100} can be disbursed at any one time.
All petty cash vouchers issued must be approved by {insert relevant job title here}.
Once the petty cash is spent, a receipt or invoice should be attached to the voucher and returned to petty cash with any balance of monies unspent
All completed vouchers must have the following details included:
Reconciling Petty Cash
Petty cash float is to be reconciled {quarterly}. This is the responsibility of {petty cashier}.
All petty cash expenditure must be entered into the financial system once the petty cash has been reconciled.
The balance of monies and vouchers must equal the petty cash float amount before reimbursement can be made.
Reimbursement of petty cash will be authorised by {accounting manager}.
Policy Number: {12354879}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff who require the use of business credit cards. Edit this policy so it suits the needs of your business.
Purpose of the Policy
This policy provides guidelines for the issue and use of business credit cards.
Procedures
An employee will only be issued a credit card once the Credit Card Authorisation Form has been completed.
The business credit card can only be used for travel, authorised entertainment and purchases of small value expenses or equipment up to the value of { $ 500}.
No cash advances are to be taken using the business credit card unless authorised by {financial manager}.
Where a business credit card is lost or stolen, then the owner of this card is to notify {financial manager} who is responsible for notifying the issuing agency and ensuring the card is cancelled.
The use of the business credit card is not to be used for personal expenses.
All holders of business credit cards are required to reconcile the monthly credit card statement to the expense form, attach all receipts for payments made on the credit card and have the expense statement authorised by { accounting manager}
Upon completion and authorisation of the monthly expense statement, these documents are to be forwarded to {Accounting manger} for payment of the credit card statement.
All business credit cards are to be returned to the business when the person is requested to by { financial manager } or where they are no longer an employee of the business.
Policy Number: {5846785}
Policy Date: {26 june 2018}
Guidance: This policy should be read and carried out by all staff who are involved in supplier selection. Edit this policy so it suits the needs of your business.
Purpose of the Policy
All new suppliers to the business must be reviewed and accepted in accordance with this policy to ensure that the supplier service is aligned with the business objectives.
Procedures
Choosing a New Supplier
A new supplier must provide our business with {quality products and efficient delivery}
For each new supplier the following information table must be completed prior to agreeing services.
Supplier Selection Background Information
Business Name of Supplier:
Location of Supplier:
Products/Services provided by supplier:
(Attach a list if necessary)
Name of business owner/ sales representative:
How many years has the supplier been trading?:
Supplier Selection Review Checklist
For each new supplier being considered the following checklist must be completed
Is the supplier pricing competitive? Attach list to this checklist:
What are the payment terms for this supplier?
What is the return policy for this supplier?
Does the supplier provide warranties, guarantees etc.? :
Are the suppliers representatives knowledgeable of the products/ services and industry?:
Is there an alternative to this supplier, has the alternative supplier been considered?:
What are the delivery services of the supplier?:
Has a credit check been undertaken for the supplier (attach to this checklist) :
Has the Personal Securities Register (PPSR) been reviewed:
Has the supplier been trade checked (attach this to this checklist):
{insert additional information required to assist in the decision of appointing a new supplier}
The appointment of a new supplier will be authorised by{marketing manager}.
All relevant details of the supplier will be entered into the financial system by {accounting manager} once approval is obtained from { Managing directors}.
{Auditor and the executive managers} will review information entered into the financial system and independently verify the bank account or other payment details of the supplier to ensure payments made are to the correct supplier.
The purchasing department will be notified within {one week} of the new supplier being approved.
All purchases from suppliers must be supported by a purchase order – refer to the Purchasing and Stock control policy
Payment terms for all suppliers must be reviewed by {financial manager} every {3 months}. Following this review each supplier must be approached to seek improved payment terms by {production manager}
All supplier payment terms must be a minimum of {2 months}.
Any variation to the above must be authorised by {Financial manager}.
All supplier payments are to be reviewed {once a quarter} to ensure that payment terms are adhered to. For payments made to any suppliers earlier or later than the agreed terms {financial manager} will prepare a report that details the reasons why payment terms have not been adhered to.
This report will be reviewed and authorised by { financial manager }.
Guidance: add, link or remove the policies listed below as required.
Purchasing Policy
Stock Control Policy
Purchasing Policy
Policy Number: {1547895}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff. Edit this policy so it suits the needs of your business.
Purpose of the Policy
This policy provides guidelines for the purchase of goods, services, equipment and assets for the business.
This policy is applicable for all purchases over { up to $100}
Where items to be purchased are less than { up to $100}, then the petty cash policy is to be used.
Procedures
Request for Purchase
All purchases for business items must be requested through a purchase order.
All items over the value of {$ 250} must be supplied by authorised suppliers – refer to the New Suppliers Policy where the supplier is not an existing supplier
For items over the value of {$ 300 } three quotations must be provided.
A request for purchase must address the following criteria:
All purchase orders must be authorised within the following guidelines:
|
Items Purchased |
Persons Authorised |
Second Authorisation |
|
Retail Stock |
{production manager} |
{marketing manager} |
|
Spare parts, components etc. |
{ production manager } |
{marketing manager} |
|
Equipment |
{financial manager} |
{managing director} |
|
Assets |
{Financial manager} |
{managing director} |
All authorised purchase orders are to be copied and one distributed to accounts payable with estimated payment date and one to {accounting manager} who will check receipt of purchase against the purchase order when received.
Equipment Asset Purchases
All equipment and asset purchases must be entered in the financial system by {accounting manager} with the following details included:
Service Agreements
All agreements for the provision of services to the business in excess of {$ 200} are to abide by this policy.
Receipt of Purchases
All purchases received are to be checked against purchase order and noted as correctly supplied.
Once correct receipt has been recorded, this will be recorded on purchase order and forwarded to accounts payable for payment of purchase.
Additional Policies for Purchasing
Petty Cash Policy
Use of Business Credit Card Policy
Stock Control Policy
Stock Control Policy
Policy Number: {5879485}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff. Edit this policy so it suits the needs of your business.
Purpose of the Policy
This policy provides guidelines for monitoring and managing the amount of stock within the business to ensure that there are suitable levels of stock available to customers at all times. This policy covers {insert what stock this policy is intended to cover such as stock in store, stock in storage, stock in distribution centre etc.}
It is {stock manager} responsibility to ensure that the stock control policy is adhered to by all employees.
Procedures
Purchase of Stock
It is {production manager} responsibility to:
Purchase of all stock must be authorised by {production manager} and { stock control manager}
All stock purchases must be requested by using a purchase order form and adhere to the purchasing policy.
Receiving Stock
When stock is received from the supplier, it is {stock control manager} responsibility to:
Managing Stock
It is { stock control manager} responsibility to:
https://www.ime.unicamp.br/~andreani/MS515/capitulo12.pdf
It is all sales employees’ responsibility to:
Additional Policies for Stock Control Policy
Guidance: add, link or remove the policies listed below as required.
Purchasing Policy
Finance Authorisation Policy
New Supplier Policy
New Customer Policy
Policy Number: {84759856}
Policy Date: { 26 June 2018 }
Guidance: This policy should be read and carried out by all staff who are involved in customer selection. Edit this policy so it suits the needs of your business.
Purpose of the Policy
All new customers to the business must be reviewed and accepted in accordance with this policy. This policy is to be read together with Customer Credit Limits Policy.
Procedures
Choosing a New Customer
A new customer must support our business with { good credit quality, prompt payers, etc.}
For each new customer the following information table must be completed prior to agreeing services.
Customer Background Information
Business Name of Customer:
Location of Customer:
Products/Services required by customer:
(Attach a list if necessary)
Name of business owner/ sales representative:
How many years has the customer been trading?:
Customer Review checklist
For each new customer being considered the following checklist must be completed
Have trade references been sourced for the new customer:
(Attach copies)
Has the customer been informed of the trade terms of { 30 days from invoice} and agreed to these terms?:
Has the new customer completed a credit application form? :
(Attach completed form)
Has the Personal Property Securities Register (PPSR) been reviewed?:
{rating decision abilities, Identifying the obstacles etc}
Appointment of Customer
The appointment of a new customer will be authorised by{marketing manager}.
Each new customer will have a credit limit set. This credit limit will be set in accordance with the Customer Credit Limits Policy.
All new customers must be given the New Customer Letter which must be signed and returned by the customer before any sales are to take place.
All relevant details of the new customer will be entered into the financial system by {Accounting manager} once approval is obtained from {marketing manager}.
{CEO} will review information entered into the financial system to ensure all information is correct.
The sales department will be notified within { one week} of the new customer being approved.
Customer Credit Terms
All customer payment terms must be {1 month}.
Where a customer has requested longer payment terms than the policy, this should be referred to and authorised by {sales manager}.
All customer payments are to be reviewed { at least once a quarter} to ensure that payment terms are adhered to. For payments made outside of the agreed terms {sales manager} will prepare a report that details the reasons why payment terms have not been adhered to.
This report will be reviewed and authorised by {Insert relevant job title here}.
Additional Policies for Customers
Guidance: add, link or remove the policies listed below as required.
Customer Credit Limits Policy
Customer Debt Collection Policy
Customer Service Policy
Customer Credit Limit Policy
Policy Number: {6854975}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff if customer credit limits are breached. Edit this policy so it suits the needs of your business.
Purpose of the policy
This policy is to make sure a customer doesn’t get too far into debt with you without a payment plan being put into place or work stopped.
Procedures
Reports on customer credit must be run every { month}.
When a credit limit is breached all relevant staff will be notified. This includes { sales, distribution, accounts collection}.
Any current outstanding orders should be stopped until the breach in the credit limit has been rectified. All staff working on the order or sale { sales, distribution, accounts collection} for the customer should not carry out further work until authorised by { accounts collection, manager etc.}.
Review outstanding orders and sale history
If the customer has a large number of orders outstanding or has increased the volume of orders since the last credit review, then a review of the credit limit must be undertaken.
This is the responsibility of {sales manager}.
If the credit limit needs to be increased, this must be approved by {financial manager}. Once this has been approved, all staff working on outstanding orders must be notified to restart the customer’s orders.
Credit limit is breached due to outstanding payments
{sales manager} must make a list of all outstanding payments.
{sales manager} must ring the customer and explain that further orders cannot be processed until the account has been paid. Explain that a payment will need to be made before the next order can be processed.
If the customer is having difficulty, make a schedule of payments to bring them back in line with their credit limit.
Get the signoff of {CEO} before discussing this option with the customer.
Use the following script to assist with the call:
“Hi John, how are you? Just thought I would give you a ring about your outstanding orders. Unfortunately we have noticed that payments for previous sales have fallen behind on your account and these will need to be paid for before we can process the next set of orders. Are you able to fix this up today so we can continue on your order?”
If they cannot pay on the day of the phone call, then get an expected payment date from them and confirm that any outstanding orders cannot start until the payment is made.
Review payment terms for the customer
If the customer has increased the volume or value of orders since the last credit review, the payment terms must also be reviewed by {sales manager}.
Where large orders are being placed then the payment terms should include deposit on order and/or progressive payments for each order. This must be discussed and agreed with the {collection manager}.
Customer Debt Collection Policy
Policy Number: {26587498}
Policy Date: {26 June 2018}
Guidance: This policy should be read and carried out by all staff who undertake collection procedures within the business. Edit this policy so it suits the needs of your business. For phone and email templates to assist you with your debt recovery process visit the Business Victoria Debt Recovery page – https://www.business.vic.gov.au/operating-a-business/managing-finances-and-tax/invoicing-and-debt-recovery/debt-recovery.
Purpose of the Policy
This policy provides guidelines for the collection of late payments from customers.
Procedures
An aging debtor report {Collection manager} is to be run every { once a week}. All overdue customer payments are to be noted and the following procedures undertaken until recovery of outstanding amounts.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download