Terms of Reference (TOR) Accounting Software

Terms of Reference (TOR)

Accounting Software for Non-Profit Organization

1.Introduction

SAMABIKAS Nepal is a women-led, rights-based organization working in the Achham district of Nepal. The organization’s main areas of work include gender equality, social inclusion, girls’ and women empowerment. Since its establishment in 2004, it has been working in the sector of human rights, girls and women empowerment and sexual and reproductive health rights.

Terms of Reference (TOR)

Accounting Software for Non-Profit Organization

1.Introduction

SAMABIKAS Nepal is a women-led, rights-based organization working in the Achham district of Nepal. The organization’s main areas of work include gender equality, social inclusion, girls’ and women empowerment. Since its establishment in 2004, it has been working in the sector of human rights, girls and women empowerment and sexual and reproductive health rights.

2.Objectives

The primary objectives of this project are to:

• Replace the current manual accounting processes with a comprehensive and integrated accounting software solution.
• Improve the accuracy and efficiency of financial data entry, processing, and reporting.
• Enhance financial transparency and accountability to donors, funders, and other stakeholders.
• Ensure compliance with relevant accounting standards and regulatory requirements.
• Generate timely and accurate financial reports for decision-making.
• Streamline budget management and monitoring.
• Facilitate efficient audit processes.
• Compatible with NAS for NPOs.

3.Scope of Work

The selected vendor will be responsible for:

• Providing and implementing a fully functional accounting software system that meets the Organization's requirements.
• Configuring the software to align with the Organization's chart of accounts, reporting structures, and internal control procedures.
• Providing comprehensive training to staff on the use of the software.
• Providing ongoing technical support and maintenance for the software.
• Ensuring data migration from the current system (if applicable) to the new software.
• Providing detailed documentation for the software, including user manuals and training materials.
• Ensuring the system is secure and data is properly backed up.

4.Functional Requirements

The accounting software should include, but not be limited to, the following functionalities:

General Ledger: 

• Chart of accounts management.
• Journal entry processing.
• Bank reconciliation Statement.
• Financial statement generation (balance sheet (Statement of Financial Position), income statement, cash flow statement, fund Accountability Statement, Budget V/S Expenditure and Trail balance and Detail transaction reports).

Accounts Payable (AP): 

• Vendor management.
• Payment processing and tracking.
• Aging reports.

Accounts Receivable (AR): 

• Client/donor management.
• Receipt processing and tracking.
• Aging reports.

Budgeting and Forecasting: 

• Budget creation and management.
• Budget vs. actual variance analysis.
• Forecasting capabilities.

Fund Accounting: 

• Tracking of restricted and unrestricted funds.
• Fund balance reporting.
• Allocation of expenses to specific funds.

Donation/Grant Management: 

• Donor database management.
• Donation/grant tracking.
• Receipt generation.
• Grant reporting.

Reporting: 

• Customizable reporting capabilities.
• Generation of standard financial reports.
• Ability to export reports in various formats (e.g., PDF, Excel).

Bank Reconciliation: 

• Automated bank reconciliation.
• Importing bank statements.

Security and Access Control: 

• User access management with role-based permissions.
• Audit trail functionality.
• Data encryption.

Integration: 

• Ability to integrate with other systems (e.g., payroll, CRM).
• API availability is a plus.

Multi-User Access: 

• Ability to allow multiple users to access the system simultaneously.

Cloud Based or On Premise: 

• The proposal should clearly define if the system is cloud based or on premise and detail the benefits and costs of each.

5.Technical Requirements

• The software should be compatible with windows and MAC operation system.
• The software should be scalable to accommodate future growth.
• The software should be user-friendly and intuitive.
• The vendor should provide adequate data security and backup measures.
• The system must be able to handle more than 5 users.

6.Vendor Qualifications

Vendors should demonstrate:

• Experience in providing accounting software solutions to non-profit organizations.
• A proven track record of successful implementations.
• Strong technical support and maintenance capabilities.
• Financial stability and reliability.
• References from similar organizations.

7.Proposal Submission Requirements

Proposals should include:

• Company profile and experience.
• Detailed description of the proposed software solution.
• Implementation plan and timeline.
• Training and support plan.
• Pricing and payment terms.
• References.
• Information regarding data security.
• Information regarding cloud or on-premises systems.
• Information regarding customization.

8.Evaluation Criteria

Proposals will be evaluated based on:

• Functionality and suitability of the software.
• Vendor experience and qualifications.
• Implementation plan and timeline.
• Cost-effectiveness.
• Technical support and maintenance capabilities.
• Data security.

9.Timeline

• March 2025: Release of RFP
• 11-March 2025: Deadline for proposal submission
• 12 March: Vendor selection
• 16 March: Contract award
• 19 March 2025: Implementation begins.

10. Contact Information

Bam Rawal/Bhabindra Bahadur Kunwar, Admin and Finance Officer Samabikas- Nepal 9848600569/9846988993/097-590150 Email: samabikas@gmail.com 

11.Confidentiality

All proposals submitted will be treated as confidential.

12.Disclaimer

The Organization reserves the right to accept or reject any proposal and to cancel this RFP at any time.