[Theforum] bank accounts (was: treasurer duties)

Marlene Bruce marlene at members.evolt.org
Wed Jan 2 19:44:42 CST 2002

Hey Erika (and everyone),

>I'm with you on everything.  As treasurer, your job is to manage the 
>accounts.  I am so glad you are being proactive about it.

Thanks, I'm trying. I called my previous contact at the bank (Wells 
Fargo) last week and he said he'd get back to me with details, but 
didn't (who knows, maybe it was the holidays). So earlier today I 
went there and talked to a different guy.

It seems that we have two choices:

1. Create a "DBA" ("Doing Buisness As") account, which is basically a 
less official business account. He said we would have the account 
under *both* my name and evolt.org, with additional people assigned 
as having access. Since we're working towards NFP status they would 
wave any fees associated with the account.

* Much easier to establish than an official business account
* It would be free.

* There are only two ways to set the account up:
a) Have individual signatories. Anyone listed as a signatory can get 
access without anyone else's signature. This is the "or" set-up 
(person one OR person two OR person three, etc.). This could look 
less trustworthy to the public.
b) Two people must sign to access the account. This is the "and" 
set-up (requiring any two people listed).

We'd have to go with (a) 'cause it would be a real headache for me to 
manage the account with no other executives/BOD members nearby to 
sign with me. The problem with (a) is that anyone listed on the 
account could manipulate it without anyone else's permission or 
knowledge, including mine.

* Another con (for me and for evolt.org) is that since I'd be the 
principal signatory, *I* would have to pay taxes on any interest 
earned on the account. Perhaps there's a way to deal with this (I 
just don't know how at this point).

-- OR --

2. Create a fully official small business account. I have a lot of 
literature to go through before I can give definitive information 
about this option, but in brief it seems we'd have to:

a) Supply some kind of "certified" document demonstrating we exist. 
This basically means a document *we didn't* produce. Qualified 
documents would include something from the government, a fictitious 
name statement, or a business license. I don't think we have any of 
these things. I asked if something from Network Solutions showing 
we've registered and operated under "evolt.org" would suffice, and he 
said it might.
b) Supply documentation about our executives and BOD members.

* It would really be official.
* We could set it up with me as the main signatory, and as preferred 
if anyone else needed to access the account it would require two 
signatures (useful if I die or become incapacitated). This would be 
more trustworthy in the eyes of people donating money.
* We would have access to lots more services if we need them in the 
future (like business credit cards, business loans, payroll, 
retirement plans, etc.).
* Taxes would be the responsibility of the organization, not me.

* It may not be free. This would be at the discretion of the manager.
* We'd have to come up with an adequate "certified" document to the 
satisfaction of the bank. I don't know how hard that would be.


We could sign up for a DBA account, and switch to an official small 
business account in the future.

This is just one bank. I don't know how/if other banks would differ. 
If anyone has any relevant knowledge, I'd appreciate feedback.

Heck, I'd appreciate *any* feedback.


P.S. Maybe, just maybe, something is happening on the job front for 
me! Oracle just called...

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