Bizmanualz Sample from the Finance Policies and Procedures Manual includes

an example policy, procedure, a list of topics, forms and job descriptions

Finance Policies and Procedures Manual

Use the Bizmanualz Finance Policy, Procedure, and Forms Manual to
fulfill your financial compliance requirements by establishing financial
controls and, at the same time, strengthen and improve your financial
processes for enhanced performance. Whether you are managing your
financial processes or trying to improve your fiscal performance, financial
policies and procedures templates from Bizmanualz make the process
much simpler and easier
US$ 595.00 Includes six (6) modules:  Instant download
1. Introduction and Table of Contents  Available immediately
2. Guide to preparing a well written manual (no shipping required)
How to Order:
3. A Sample CFO Manual covering common
Online:
requirements and practices
www.bizmanualz.com
4. 36 Policies and 61 corresponding forms
By Phone: 314-384-4183
5. Business Guide: Manage Your Business
866-711-5837
from Start to Finish
Email: sales@bizmanualz.com
6. 10 Job Descriptions covering every
position referenced in the Manual
7. Complete Index

Sample Policy from the Finance Policies and Procedures Manual

Treasury Management Section: Merchant Accounts

Document ID Title Print Date

TM1060Sample MERCHANT ACCOUNTS mm/dd/yyyy
from the finance
Policies and
Procedures
manual includes
an example
procedure, a list
of topics, forms
anad job
descriptions
Revision Prepared By Date Prepared
0.0 Preparer's Name / Title mm/dd/yyyy
Effective Date: Reviewed By Date Reviewed
mm/dd/yyyy Reviewer's Name / Title mm/dd/yyyy
Approved By Date Approved
Final Approver's Name / Title mm/dd/yyyy

Policy: The Company shall plan for, monitor, and review its merchant
accounts in order to ensure the greatest value for the service.
To ensure the selection of a merchant account that meets the
Purpose:
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

Company's need to balance best service and lowest cost.

Scope: This procedure applies to the Finance Department.
Responsibilities: The Chief Financial Officer (CFO) is responsible for overseeing the
selection of merchant accounts and for conducting periodic
reviews of merchant accounts.
Definitions: Merchant Account – Service provider that processes credit card
payments for a merchant (business), such as our Company.

Chargeback – Reversal of a credit card transaction; can be

accompanied by penalties and fees to the merchant.

Discount Rate – Fee paid by the merchant as a percentage of the

transaction amount (e.g., 3%).

Fixed Transaction Fee – Flat fee paid by a merchant on every

transaction.

Holdback – Percentage of transactions paid by the merchant and

held by the merchant account provider to cover any transaction
related dispute. Funds in the "holdback account" are released to
the merchant at a predetermined time (e.g., after six (6) months).
Procedure:
MERCHANT ACCOUNT PLAN
1.1 The CFO shall periodically (e.g., annually) review the Company's use of merchant
accounts, to ensure that the Company is receiving the required service level and
that fees are competitive. A small reduction in fees can result in significant
overall savings, especially for high volume and high dollar amount transactions;
however, cost must be balanced with the level of service. Credit card
transactions must be conducted swiftly and smoothly, and without interruption
of service.
1.2 The CFO shall periodically review existing and potential merchant account
providers, considering and comparing attributes such as:
 Monthly fixed fees;
 Discount rates;
 Fixed transaction fees;
 Charge backs;
 Termination fees and contract requirements;
 Accuracy and timeliness of the existing merchant account's processing
and reporting; and
 Return fees and policies.
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

1.3 The CFO shall create a total cost estimate for each month or quarter based on fee
information gathered (Section 1.2), using historical merchant account use and
projecting future use.
1.4 The CFO shall create a method for evaluating merchant account service levels
(for example, listing key service areas required by the Company and rating
availability of the service by existing and potential merchant accounts). Examples
of important service features include:
 Charge[Type text] [Type text] [Type text]backs;
 Customer service availability (responsiveness, speed of resolution);
 Ease of use;
 Reliability; and
 Holdback policies.
1.5 Based on the review of overall fees and service levels (see Sections 1.1, 1.2), the
CFO shall:
 Continue the existing merchant account under the current terms;
 Attempt to renegotiate terms with the existing merchant account; or
 Find and negotiate with an alternate merchant account provider.
MERCHANT ACCOUNT COMPARISONS
2.1 The CFO shall annually complete the TM1060-1 – MERCHANT ACCOUNT REVIEW
with existing and potential merchant account provider’s fee information.
2.2 The CFO shall calculate the estimated total fees per period (e.g., month, quarter)
for existing and potential merchant account providers and record the estimated
total fees on TM1060-1. The CFO shall consider the following when calculating
estimates:
 Information about the various merchant account fees;
 Historical merchant account use;
 Projected future merchant account use;
2.3 The CFO shall list and rate important service features of existing and potential
merchant account provider’s on the TM1060-1 – MERCHANT ACCOUNT REVIEW
form (see Section 1.4).
MERCHANT ACCOUNT COMPARISON REVIEW
3.1 The CFO shall use the information on the TM1060-1 form to determine if any
action is required in the Company’s merchant account provider (see Section 1.5).
3.2 The CFO shall list reasons and justifications for the decision to continue,
renegotiate, or change merchant accounts on TM1060-1.
MERCHANT ACCOUNT IMPROVEMENTS
4.1 The CFO shall make changes and adjustments to its merchant accounts, in
accordance with the decision described on TM1060-1.
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

4.2 As part of the annual merchant provider review, the CFO shall (re)evaluate the
merchant provider evaluation process, to ensure its continuing suitability and
usefulness. The CFO shall be responsible for making any recognized
improvement to this procedure and the associated form TM1060-1 to enhance
the merchant account review/selection process.
Effectiveness Criteria:
 Lowest merchant account total fees
 Effective merchant account service
 Merchant account ease of use
References:
 CFO Manual, Section 5.3.7 – Merchant Accounts
Additional Resources:
A. Carroll, Jim, and Broadhead, Rick, Selling Online: How to Become a Successful E-
Commerce Merchant, Dearborn Trade, a Kaplan Professional Company, 2001.
ISBN-10 #0-7931-4517-1.
B. Ogden, Anthony L., What Every Business Should Know About Accepting Credit
Cards, BankCardLaw Media Corp., June, 2004. ISBN-10 # 0-9759-6050-4; ISBN-13
# 978-09759-6050-9.
C. “Don’t Fly By Night: The Inside Information on Merchant Accounts”, available at
http://www.powerhombiz.com/vol39/merchant.htm.
D. “Choosing an Internet Merchant Account”, available at
http://www.findmyhosting.com/web-resources/Articles/internet-merchant.htm.
E. "Merchant Account 'How-To' Tips for Beginners", available at
http://www.goemerchant.com/getting_started.htm.
Forms/Records:
 TM1060-1 – MERCHANT ACCOUNT REVIEW
 Meeting minutes and reports
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

Revision History:

Requested
Revision Date Description of changes By

mm/dd/yyy
0.0 Initial Release
y
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

TM1060-1 – MERCHANT ACCOUNT REVIEW

1. Merchant Account Fees

Merchant Account Fixed Discount Transaction Termination Misc. Estimated Total

Provider Fees Rate Fees Fees Fees
Fees (per period)

Comments:
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

2. Merchant Account Services

Service Service Service Service

Merchant Account Provider
Feature 1 Feature 2 Feature 3 Feature 4
List Specific Service Feature –>

Comments:

Decisions, Justifications, and Actions for Merchant Accounts

Approval
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

Finance Policies and Procedures Manual:

40 Prewritten Policies and Procedures

Finance Administration Treasury( Management Con’t)

1. Financial Objectives 22. Merchant Accounts
2. Management Responsibility 23. Letters of Credit
3. Continuity Planning
4. Document Control Financial Statements
5. Record Control 24. Financial Forecasting
6. Annual Stockholder’s Meetings 25. Financial Reporting
7. Board of Directors’ Meetings 26. Financial Statement Analysis
27. Financial Management Review
Raising Capital 28. Financial Restatements
8. Business Plan 29. Financial Information Release
9. Capital Plan
10. Valuation Internal Controls
11. Bank Loans 30. Sarbanes-Oxley Compliance
12. Stock Offerings 31. SSAE-16 Compliance
13. Debt and Investment 32. Risk Assessment
14. Asset Acquisition 33. Risk Management
15. Leasing 34. External Auditing
35. Internal Auditing
Treasury Management 36. Corrective Action
16. Working Capital
17. Cash Management
18. Inventory Management
19. Related Party Transactions
20. Foreign Exchange Management
21. Managing Bank Relationships

Job Descriptions: A complete job description is included for each of the 10 positions referenced in the
Finance Polices and Procedure Manual. Each position includes a summary description of the position,
essential duties and responsibilities, organizational relationships, a list of the procedures where the
position is referenced, specific qualifications, physical demands of the position, and work
environment.

Board Member Document Manager Internal Audit Team Leader

Chief Executive Officer (CEO) External Auditor (Independent Internal Auditor- Accounting
Chief Financial Officer (CFO) Auditor) Risk Manager
Controller Financial Manager
 Bizmanualz Sample from the Finance Policies and Procedures Manual includes
an example policy, procedure, a list of topics, forms and job descriptions

61 Corresponding Forms and Records

Finance Administration 28. Related Party Transaction
1. Financial Objectives Questionnaire Log
2. Sample Management Review Agenda 29. Foreign Exchange Management Plan
3. Continuity Plan Worksheet 30. Foreign Exchange Results
4. Document Request 31. Banking Relationship Contact Management
1. Document Control Database Log
2. Sample Master File Guide Index 32. Banking Relationship Meeting
3. List of Finance Records Agenda/Minutes
4. Record Retention Guidelines 33. Merchant Account Review
5. Notice of Shareholders’ Meeting 34. Letter of Credit Checklist
6. Authorization of Proxy to Vote Shares
7. Minutes of Shareholders’ Meetings Financial Statements
8. Minutes of Board of Directors’ Meetings 35. Financial Forecasting Checklist
(example) 36. Financial Report Checklist
37. CEO/CFO Certification Checklist
Raising Capital 38. Financial Analysis Plan
9. Business Plan 39. Financial Management Plan
10. Capital Analysis 40. Financial Management Meeting Agenda
11. Capital Plan Worksheet 41. Financial Restatement Checklist
12. Capital Plan 42. Financial Information Request
13. Valuation Plan 43. Financial Information Releaset Log
14. Valuation Improvement Plan
15. Valuation History Internal Controls
16. Loan Application Checklist 44. Sarbanes-Oxley Compliance Checklist
17. Stock Offering Plan 45. SSAE-16 Compliance Checklist
18. Debt and Investment Plan 46. Risk Assessment/Management Worksheet
19. Debt and Investment Action Log 47. Sample Chart of Accounts
20. Asset Acquisition Criteria 48. Internal Control Checklist
21. Asses Acquisition Request/Worksheet 49. Corrective Action Plan
22. Lease/Buy Financial Analysis 50. Audit Schedule
51. Audit Plan
Treasury Management 52. Audit Checklist
23. Working Capital Plan 53. Audit Opinion
24. Cash Management Plan 54. Audit Report
25. Inventory Management Plan 55. Nonconformity Report
26. Inventory Management Results 56. Corrective Action Request
27. Related Party Transaction Policy & Conflict of 57. Corrective Action Log
Interest Questionnaire