School Financial Compliance

Small Steps to Hit a Big Goal

Case Study: Charter School Financial Compliance

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Industry: Charter School
Size: Large
Problem: Compliance Issues Creating Bondholder Trouble
Solution: Clear objectives and an action plan
Result: Happy Bondholders, Happy Administrators, Happy Students

Smarter Directions was called in to offer support for a large charter school who was in trouble with its bondholders due to financial compliance issues. The school was required to hit specific financial metrics as part of their bond contract, and they missed the mark.

Clearing defining objectives

The charter school had a solid student body and high academic results. How did they miss their financial requirements? Smarter Directions was able to spend several days at the school. We interviewed several employees to gain insight, feedback and to ask questions about some thematic problems that kept arising. We were able to observe administrative processes and flow, review financial records and even sit in on classroom activities to get a greater understanding of the school.

Our initial observations helped us understand the history and future of the charter school, including understanding their needs and goals, their budget, and current and projected resources.

Making an Action Plan

Together, we were able to discover where the inefficiencies lay and develop a plan for improvement. We took the long range goals and broke them into smaller manageable steps that would quickly reveal if the school was off course, to allow for early correction early, rather than when they were facing compliance issues. The financial metric action items were created so the end result would meet the requirements of the bondholders.

We put in place a few new policies and a feedback system to help the administration course correct faster. We also planned scheduled follow-up audits and financial analysis from an outside perspective to keep things moving in the right direction.

Are you facing charter school financial compliance issues? Do you have a fear of coming up short because you don’t have the right systems in place to show you where you are headed? Smarter Directions wants to manage your planning, finance and compliance concerns so you can focus on the mission of your charter school. Let our decade of experience help you achieve your goals. Contact Smarter Directions today for a consultation.

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