The responsibility of accounting is to protect assets. It keeps track of everything by maintaining precise accounts, so that everyone can always know available resources.
The responsibility of treasury is to take care of financing. It accesses risk and safeguards the financial health of an organisation.
Treasury is the link between the business and the financial markets. It oils the wheels of the business by raising finance, getting cash into the right place and looking at financial risks. It takes a forward-looking role and helps ensure the right decisions are made for the future success of the business.
TYPICAL TREASURY PROJECTS
- Evaluating the impact of new business ventures
- Analysis the impact of financial markets performance of products and services
- Forecasting cash payments and anticipating challenges arising from limited cash flow
Accounting is the process of keeping control over transactions and summarising these into useful reports, routinely for management and quarterly or less frequently for investors. Its emphasis is the past but analyses this to help influence future decision making.
TYPICAL ACCOUNTING PROJECTS
- Compiling financial performance and annual reports
- Keeping transactions in order
- Managing taxation implications, accounting systems and processes
- Auditing of financial records
HOW DO TREASURY AND ACCOUNTANCY FIT TOGETHER?
Accounts are essential financial reports prepared for all who have an interest in a business or another organisation. Treasury can have a significant effect on reported financial performance and how a business is seen externally. For this reason, treasurers need to understand in depth how the impact of their activities will be reported in the financial statements.
A treasurer’s activity impacts financial statements and financial ratios.
MANY TREASURERS AND ACCOUNTANTS ARE DUAL QUALIFIED
In the closely linked fields of accounting and finance, the ACT’s strategic finance perspective makes a persuasive complement to the accounting bodies’ qualifications. Around 50% of ACT members are qualified accountants; many choose ACT qualifications as a way of deepening their skills, differentiating themselves from their accounting peers and as the next step in their continuing professional development. We also offer exemptions to qualified accountants from recognised IFAC member bodies. You can find out more about these accounting exemptions here.
Want to learn more about treasury and cash management?
• eLearning courses: 45-90 minutes to complete, available online 24/7.
• Training courses: live skills-based training sessions.
• Treasury and Cash Management qualifications: internationally recognised courses from entry to master level.
All our courses will provide you with valuable knowledge as well as easy-to-share digital credentials to demonstrate your learning achievements.