# Finance & Legalities \[F\&L] {% hint style="info" %} **Responsible MCVP:** *Pending MC TM Manager input* · Contact: <_pending_@aiesec.dk> {% endhint %} ## Finance & Legalities (F\&L) Finance and Legalities (F\&L) is the function that keeps AIESEC in Denmark financially healthy, legally compliant, and operationally accountable. As an F\&L team member, you manage budgets, process invoices, maintain bookkeeping records, support audits, and ensure the organization meets its legal obligations as a registered entity in Denmark. F\&L is not glamorous, but it is foundational — without sound finances and clean records, no other function can operate effectively. ### Key Responsibilities * **Budget Planning & Management** — Develop the LC or national budget at the start of each term. Track actual income and expenses against the budget on a monthly basis. Flag variances early and propose adjustments to stay on track. * **Bookkeeping** — Record all financial transactions accurately and promptly in the accounting system. Ensure every expense has a receipt, every income entry has a source, and the books are always audit-ready. * **Invoice Management** — Issue invoices to partners and sponsors in a timely manner after agreements are signed. Track payment status, send reminders for overdue invoices, and coordinate with BD on partner payment timelines. * **Audit Preparation & Compliance** — Prepare documentation for internal and external audits. Ensure financial records, bank statements, and supporting documents are organized and accessible. Respond to auditor questions promptly. * **Legal Compliance** — Ensure AIESEC in Denmark complies with Danish legal requirements for associations, including tax filings, annual reports, and any regulatory obligations. Coordinate with external advisors (accountant, lawyer) when needed. * **Financial Reporting** — Produce monthly financial reports for the LC Executive Board or the MC. Present budget status, cash flow, and key financial risks in a clear format that non-finance team members can understand. * **EP Payment Processing** — Manage the financial side of exchange participation: collect EP fees, issue receipts, and reconcile payments with exchange statuses in Expa. ### Measures of Success | Metric | Description | Typical Target | | -------------------- | --------------------------------------------------------------------- | --------------------- | | Budget Adherence | Percentage deviation of actual spend vs. planned budget | Within +/- 10% | | Audit Result | Outcome of the annual external or internal audit | Clean / unqualified | | Invoice Turnaround | Average number of days between agreement signing and invoice issuance | Target: under 7 days | | Bookkeeping Currency | Number of days bookkeeping is behind real-time | Target: under 14 days | | Cash Flow Health | Months of operating expenses covered by current cash reserves | Target: 2+ months | {% hint style="info" %} F\&L targets are set by the MC Finance Manager at the start of the term. LCVPs F\&L receive LC-specific targets during national onboarding. {% endhint %} ### Tools & Resources | Tool | Purpose | | --------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | **Budget Template** | A standardized Google Sheets template used by all LCs and the MC to plan and track budgets. Includes income categories, expense lines, and variance formulas. | | **e-conomic** | The national online accounting platform used for bookkeeping, invoicing, and financial reporting. All LCs use the same system for consistency. | | **Chart of Accounts** | The standardized list of account categories used across AIESEC in Denmark. Ensures all LCs classify transactions the same way, making consolidation and auditing straightforward. | **Google Drive Reference:** All F\&L resources are stored in the shared drive under: `04a — Finance & Legal/` Subfolders are organized by role and experience level: * `04a — Finance & Legal/Phase 1 — Newbie/` — Introduction to AIESEC finances, basic bookkeeping guide, receipt handling * `04a — Finance & Legal/Phase 2 — Member/` — Budget tracking, invoice templates, monthly reporting guides * `04a — Finance & Legal/Phase 3 — LCVP/` — Budget creation, audit preparation, legal compliance checklists * `04a — Finance & Legal/Phase 4 — MCVP/` — National consolidation, external audit coordination, strategic financial planning {% hint style="info" %} Access to e-conomic is managed by the MC Finance Manager. Request your login during onboarding and complete the introductory training before entering any transactions. {% endhint %} ### What You Need to Know — By Role #### Newbie / New Member You do not need to master accounting to contribute to F\&L. Start with the basics: * Learn how to submit expenses with proper receipts * Understand your LC's budget structure (where the money comes from, where it goes) * Familiarize yourself with the Chart of Accounts so you know how to classify transactions #### Active Member At this stage, you should be comfortable with: * Recording transactions in e-conomic * Issuing invoices using the national template * Producing a basic monthly financial summary for your LCVP #### LCVP Finance As a Local Committee Vice President for Finance, you are responsible for: * Creating and managing the LC budget for the term * Ensuring bookkeeping is current and audit-ready * Preparing for and supporting internal audits * Reporting monthly to the LC Executive Board and the MC Finance Manager #### MCVP Finance At the national level, the Member Committee Vice President for Finance: * Consolidates LC budgets into the national budget * Coordinates the annual external audit * Manages relationships with external accountants and legal advisors * Sets financial policy and ensures compliance across all LCs ### Training Materials Below are the key training presentations and guides for this function. For additional materials, browse the full Drive folder. {% embed url="" %} BASICs to MASTER {% endembed %} {% embed url="" %} Bank Reconciliation \[everything about] {% endembed %} {% embed url="" %} Invoicing \[all about] {% endembed %} {% embed url="" %} Finance & Legal Standards {% endembed %} {% embed url="" %} Budgeting Standards {% endembed %} {% embed url="" %} Auditing Standards {% endembed %} {% embed url="" %} Topics Overview \[where to find...] {% endembed %} {% hint style="info" %} :file\_folder: **Full resource folder:** `04a — Finance & Legal/` in the shared Google Drive {% endhint %} ### How to Get Started 1. **Read the Newbie finance guide** — Go to `04a — Finance & Legal/Phase 1 — Newbie/` in the shared drive and read the introductory document. It covers the basics of how money flows in AIESEC, what a Chart of Accounts is, and how to handle receipts. 2. **Get access to e-conomic** — Ask your LCVP Finance or the MC Finance Manager to set up your e-conomic login. Start by observing: look at recent transactions, open invoices, and the current budget dashboard before you enter anything yourself. 3. **Review your LC's current budget** — Open the budget tracker for your LC and understand the big picture: what are the main revenue sources, what are the biggest expense categories, and how is the term tracking so far? This context makes every individual transaction more meaningful. 4. **Process your first transaction** — Ask your LCVP for a simple bookkeeping task (e.g., recording a receipt from a recent purchase or issuing an invoice for a confirmed partnership). Complete it with guidance, then have it reviewed before moving to independent work. *Last updated: April 2026 · Maintained by: MC Finance Manager* --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. 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