Finance and Accounting
Overview of the Role
Finance and accounting professionals manage the financial systems and operations that make CDFIs work. They ensure every dollar is tracked, managed, and maximized to deliver loans and services where they’re needed most. Their work ranges from day-to-day accounting to long-term strategy, including cash management and financial planning.
Because many CDFIs, especially loan funds, are structured as nonprofits, finance teams navigate the distinct challenge of blending nonprofit accounting practices with the standards and requirements of financial institutions. They oversee a dynamic mix of grants, loans, and equity investments for both operations and lending, which makes CDFI finance and accounting unique amongst nonprofits.
These professionals manage complex funding sources, each with their own reporting and compliance requirements. They ensure that their institutions fulfill obligations to investors, regulators, and grant funders while maintaining the financial discipline that supports sustainable lending and organizational health. Senior finance leaders also help shape the future of their institutions – raising capital, managing investor relationships, and designing strategies that position CDFIs for long-term impact.
What Do Finance & Accounting Practitioners Do?
- Manage accounting functions. Oversee accounts payable and receivable, payroll, general ledger, and financial reporting.
- Lead budgeting and financial planning. Work with leadership teams to develop annual operating budgets and long-term financial forecasts.
- Ensure compliance. Prepare audit materials, manage tax filings, and meet reporting requirements for regulators, investors, and funders.
- Support lending operations. Reconcile loan management systems, support portfolio management, and prepare reports for lenders and partners.
- Strengthen financial systems and controls. Design internal processes and safeguards to ensure accuracy, efficiency, and risk management.
- Manage cash and liquidity. Oversee treasury functions to ensure obligations are met and capital is deployed effectively.
- Conduct financial analysis and forecasting. Provide insights, models, and recommendations that guide strategic decisions and long-term sustainability.
Key Skills and Sample Job Titles
Analytic Skills
Finance professionals interpret data on loan portfolios, cash flow, and organizational health. Strong analysis and financial modeling help CDFIs anticipate risks, identify opportunities, and support long-term sustainability.
Collaboration
Finance teams often work closely with lending staff on portfolio management, helping to reconcile portfolio activity and manage compliance. They also collaborate with development and investor relations professionals on capital raising and reporting, and work alongside executives on strategic planning. Effective collaboration ensures that funding, operations, and lending goals are aligned.
Attention to Detail
CDFIs often use multiple funding sources to finance a single loan, each with its own covenants and reporting requirements. Finance and accounting staff must be precise and disciplined to ensure accuracy and compliance across systems.
Financial Foresight
Managing cash flow and forecasting future capital needs are critical to CDFI operations. Finance professionals bring forward-looking insights that guide strategic decisions, ensure liquidity, and position their organizations for long-term stability.
Sample Job Titles
- Chief Financial Officer (CFO)
- Director of Finance
- Controller
- FP&A Manager (Financial Planning & Analysis)
- Accounting Manager
- Financial Reporting Analyst
- Treasury Analyst
- Finance Associate
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