This is an illustrative scenario based on ClairFlo's real, shipped product capabilities — not a specific named customer. It describes what the fund accounting module actually does, applied to a representative situation.
The situation
A mid-sized nonprofit had been tracking restricted vs. unrestricted funds in a general-purpose accounting tool by tagging transactions with custom fields and reconciling net asset classes by hand at year-end — a process that only really worked because one staff member understood exactly how the workaround was built.
What changed
ClairFlo's fund accounting is purpose-built, not a workaround on a for-profit chart of accounts — real net asset classes (restricted, temporarily restricted, unrestricted), grant lifecycle management, and milestone-based revenue recognition compliant with FASB ASU 2018-08 (US) and ASNPO (Canada). When a temporarily-restricted grant's milestone was satisfied, the reclassification into unrestricted net assets posted correctly and automatically, with a real audit trail — not a manual year-end adjustment relying on institutional memory.
Illustrative result
Year-end audit prep shifted from "reconstruct what the spreadsheet workaround was supposed to mean" to a same-day pull of the disclosure report, instead of a multi-week reconstruction.
*Grounded in: Fund Accounting for Nonprofits — see /features/ for the full module reference.*