Planning a festival/event will involve expenditure. Once you have formed an organising committee, you should put a proper financial structure in place by opening a bank or building society account. All team members involved in the financial side of the event may have to meet with relevant Bank/Building Society officials.
Your Bank/Building Society will be able to advise you on the procedures you should follow. See Checklist 1.5, Opening a Bank Account. (PDF) (Word Doc.)
Find out what means of identification you will need to take to the Bank/Building Society. This may include your passport, driving licence or utility statements. Each person involved in the finances of the event, including the account signatories, will probably have to visit the Bank/Building Society together to have their identification verified.
Arrange a joint meeting with the relevant Bank/Building Society official to complete the necessary paperwork.
You will need to nominate which team members will be authorised to sign cheques. Usually at least 2 signatures are needed to issue cheques and it is sensible to follow this procedure for your own protection. The Bank/Building Society will ask these people to provide sample signatures.
Ask how long it will take the Bank/Building Society to set up the account. You may need to make temporary arrangements for cash and cheques. Arrange for the Bank/Building Society to send regular bank statements to the Treasurer.
Keep strict records of all income and expenditure. Enforce a policy of NO reimbursements without actual receipts of expenditure. Keep all paperwork and receipts.
Key Points
- Decide who will be responsible for financial aspects
- Don't run event accounts through your own personal account
- Make sure that two authorised signatures are required for all cheques
- Record all business income and expenditure accurately
- Ensure that expenses and costs are within budget
See Also:
1.5 TIMELINE Checklist - Opening a Bank Account (PDF)
1.5 TIMELINE Checklist - Opening a Bank Account (Word Doc.)
1.8 Establish Funds
2.4 Draft Budget
3.4 Finalise Budget
6.7 Administration