1. Managing Financial Operations 2
Developing Financial Systems and Procedures
Managing Financial Operations 2

2. Transaction Recording
Every Sale and purchase is a financial transaction and must be recorded in your accounting system.
Cash Register or POS Systems for recording Sales. Journal entries done manually or electronically.
Purchases are entered directly into the accounting system.

3. Some common Procedures to ensure transactions are recorded correctly include:
Triplicate Docket system
One dedicated cashier per shift.
PLU POS system rather than a generic cash register.
Use of purchase order system. No PO no processing.
Checking systems to allow for the discovery of errors.
Double entry accounting.

4. Checking and Reconciliation Process
A reconciliation is the balancing of different forms of the same information.
Bank reconciliation
Restaurant casher’s summary form.
Accounts Payable (Trade Creditors)
Invoices
Statements
Credit notes
Accounts receivable (Trade Debtors)

5. Cash Management Security 2 people to transport Float system
Reconcile cash register at end of each shift
Remove cash from registers during extreme busy periods.
All cash transactions must be supported by invoice or sales documentation.
Supplier payments should not be made from the till. Ensure there is a paper trial. Petty Cash System.
Cash should be banked daily.
Bank accounts reconciled regularly. (Recommend Weekly)

6. Banking Procedures Individual Cashier reports checked.
Combine cash for bank deposit and prepare Bank Deposit Slip.
Transporting Money to or from the Bank.
Use direct route to bank.
Carry Money in normal bag.
Vary the time of day for going to the bank.
Separation of duties: ! Person prepares and another actually takes it to the bank.
Two staff to transport money when ever possible.
Consider Security Service

7. Revenue System Separate details of revenue producing areas. Food
Breakfast
Lunch
Dinner
Beverage

8. GST and Tax Requirements
GST Goods and Services Tax
PAYG Withholding Tax
Company Tax
Fringe Benefits Tax
Land Tax

9. Statutory Requirements Specific to Business Structures
Sole Trader
Own Name No need for registering Name
Business Name Must be registered
ABN, GST Registration, PAYGW registration (ATO)
Partnership
Needs ABN and submits Tax return but does not pay tax as profits are distributed to partners.
Companies
Separate Legal entity
Registered with Australian Securities and Investments Corporation.
Company Tax return with own ABN and TFN

10. Companies Private (Proprietor Limited)PTY LTD Public Companies (Ltd)
Limited number of Shareholders
Not Listed on Stock Exchange
Large and Small Proprietor Companies
Public Companies (Ltd)
Shares listed on Stock exchange
Unlimited number of Shareholders
Annual reports made public.

11. Stock Control
Stock records Stock taking Stock movement records Stock reconciliation Standard recipes.