Financial Management & Budgeting

At the core of any business relationship, clients need to have absolute confidence that management acts soundly and ethically when handling their financial affairs. Without a foundation of fiduciary trust, a true partnership does not exist.

In this regard, Bostrom has a sterling reputation for quality, honesty and propriety.

Specifically, our competence in this area is so strong, that after more than 70 years in the association management business, we never have received an audit letter identifying irregularities in the handling of clients' funds. We are proud of this fact. The importance of client financial management and control cannot be overstated. To achieve our flawless fiscal performance record, all Bostrom employees are required to rigidly adhere to a nine-step methodology of financial/accounting practices:

1. A written policy manual for the overall management of client funds.
2. Tight security and control is maintained consistently over hourly costs and expenditures (aided by our state-of-the-art, computer system/network).
3. All employees are bonded and insured to protect against potential malfeasance.
4. Double signature approval is required, where appropriate, to ensure accurate transfer and disbursement of client funds.
5. Clients are strongly urged to have a complete, independent financial audit conducted annually.
6. Financial reporting is custom-tailored to meet the detail level and frequency needs of each client.
7. Funds are maintained and monitored in separate bank accounts, identified and controlled by the association. Co-mingling of Bostrom and client accounts or interaccount combinations is strictly forbidden.
8. An invariant policy of credit card management is followed, including establishment of accounts under the client's name and under the client's control, and establishment of individual client use and board acceptance policies.
9. A full-time staff is retained. Management by a CPA ensures propriety in day-to-day fund management and accurate, up-to-date IRS reporting and conformance practices.