Trust to Business Analyzed Transfer

Show me the money!

Dynamic’s unique new Trust to Business Analyzed Transfer analyzes the funds transferred from Trust to Business and gives an instant breakdown of the nature of these funds.

Disbursements refer to refunds – essentially the business account is being refunded for costs incurred on behalf of the client. These funds cover costs and are not available to be spent.

Fees refer to profit – Yes, we can discuss this extensively, but the Fees we transfer refer to our net earnings, which can be applied to business expenses that do not affect clients: rent, salaries, stationery etc. Fees indicate the financial health of the business.

Why is this important?

Trust to Business Transfers can be extensive and cover many files with transactions broken down over a the entire life time of the account in our books. Understanding the composition of the transfer amount gives immediate insight into (a) which portion is begin refunded and (b) which portion is available to pay expenses. Only the fee portion of a transfer is available to cover expenses. The Disbursement portion is being refunded to the business account, those funds cannot be allocated a second time.

We cannot use refunded Disbursement money to pay expenses. We can only use money from Fees to pay expenses.

Why do you need this now?

The immediate breakdown of cash flow into fees (free cash) and disbursements (refunds) provides insight into the cash stream entering the business and an indicator of financial health.

Introducing Dynamic’s Trust to Business Analyzed Transfer

It works like before, only better.

Balancing the trust by quickly, accurately and responsibly transferring funds between the client’s trust and business ledgers.

Before…

A manual or one-to-one transfer would typical require a single payment from the trust account to the business account. Each transactions required a trust payment and a business receipt. For few accounts, and large sums, this allowed a very high level of control, but creates unnecessary risks concerning accuracy and duplication. Further it leads to higher than necessary bank charges.

Other Systems

Custom attorneys accounting solutions provide for various degrees of semi-automated trust to business transfer mechanisms. Ideally such a system should transfer funds from trust to cover any business transactions, while preventing trust debits from occurring and neutralizing business credits. Not all systems correct for business credits. A single “Transfer from trust” entry was not very informative, and only automated an otherwise tedious accounting process.

Dynamic’s Analyzed Transfer

Dynamic’s transfer system prioritized the trust.  This means any trust debit balances are corrected first.  It also scans for and corrects business credit balances. The magic, however, happens when the system detects fee transactions on the ledger. Dynamic analyzes the transfer amount and identifies the fees and disbursements. This distinction is noted on the individual ledger accounts, is available for scrutiny on detailed reports and forms the building block of a basic cash flow forecast report.

TRANSFER DISBURSEMENTS from trust

TRANSFER FEES from trust

The accuracy of the analyzed transfer makes business cash flow management easy.

The transfer auto-corrects, once the Transfer button is pressed, it will write up the ledger and check for corrections.  Transfer all the items on screen immediately until the report shows 0.00 to transfer.

VERIFY TRUST INTEGRITY

Trust integrity is confirmed by comparing the post-reconciliation cash book balance to the trust ledgers. This is easily done on the Management Snapshot, this is an extract based on formal reports.

‣ Client Balance List

‣ Trial Balance

‣ Cash Book Display

Fast. Accurate. Reliable.

Have fun.

-Dynamic