Responsibilities of the Treasurer and Director of a Corporation

1. Corporate Treasurer Responsibilities

The Treasurer is the corporation’s chief financial officer and is responsible for managing the organization’s financial health, safeguarding assets, and ensuring accurate financial reporting in alignment with legal and regulatory requirements.

A. Financial Management and Planning

Develop and oversee financial policies to ensure fiscal responsibility and sustainability.
Prepare annual budgets, forecasts, and financial plans for board approval.
Monitor expenditures, revenues, and cash flow to ensure the corporation remains financially sound.
Evaluate financial performance against strategic goals and report findings to the board.

B. Treasury Operations

Manage the corporation’s bank accounts, investments, and liquidity to ensure operational efficiency.
Establish internal controls for cash handling, disbursements, and receipts.
Supervise payment approvals, check issuance, and account reconciliations.
Oversee investment strategies aligned with the board’s risk tolerance and policy guidelines.

C. Reporting and Compliance

Maintain accurate books of account in compliance with generally accepted accounting principles (GAAP) or applicable financial standards.
Prepare and present periodic financial statements, management reports, and year-end financial summaries to the board.
Ensure all financial filings, tax returns, and regulatory reports are completed accurately and on time.
Collaborate with external auditors to facilitate audits and address any findings or recommendations.

D. Risk Management and Safeguards

Develop and maintain financial risk management systems, including insurance coverage, credit controls, and contingency plans.
Identify financial risks and propose mitigation strategies to the board.
Protect corporate assets through sound internal controls and oversight mechanisms.

E. Collaboration and Communication

Advise the board and executive management on financial implications of strategic decisions.
Present financial analyses that support corporate growth, acquisitions, or investments.
Coordinate with the Secretary and other officers to ensure the financial integrity of board documentation and reports.

2. Director Responsibilities

Directors are fiduciaries entrusted with governing the corporation to ensure accountability, ethical conduct, and long-term success.

A. Governance and Strategic Oversight

Define the corporation’s mission, vision, and long-term strategies.
Review and approve budgets, financial statements, and major business policies.
Monitor management performance and corporate operations against established goals.

B. Fiduciary Duties

Duty of Care: Make informed and prudent decisions based on adequate research and understanding.
Duty of Loyalty: Act in the best interests of the corporation, avoiding conflicts of interest.
Duty of Good Faith: Conduct corporate affairs with honesty, fairness, and integrity.

C. Financial and Legal Oversight

Approve annual audits, budgets, and fiscal plans prepared by the Treasurer.
Ensure the corporation complies with statutory and regulatory requirements.
Oversee the adequacy of risk management and internal controls.

D. Leadership and Accountability

Support management succession planning and performance review.
Act collectively in board deliberations, contributing expertise and judgment.
Uphold corporate reputation through ethical leadership and transparency.

3. Collaboration Between Treasurer and Directors

The Treasurer provides the Board with timely, accurate, and comprehensive financial information to facilitate well-informed decision-making.
Directors rely on the Treasurer’s expertise to monitor corporate performance and financial integrity.
Both roles must work collaboratively to uphold transparency, accountability, and fiscal responsibility.