BDOS-FINOP Services automates your back office operations and reduces the associated costs. We provide you with BDOS, a proven software tool, which can be operated by a competent clerical person. It enables you to import trades, receive payment, pay the reps and effortlessly generate your monthly financial statements. In addition, BDOS produces your quarterly FOCUS IIA and Supplemental Statement of Income.
Our role, as an outsourced FINOP, is to train you in the use of BDOS and review and file the reports that you generate as a result of using our software. Since you and BDOS have done the bulk of the work, we can provide BDOS-FINOP services at a very competitive price. Again your, costs are reduced.
BDOS is designed to emulate your daily back office activity. You:
- do trades
- receive payment for the trades
- pay the reps
- generate financial statements (monthly)
- do the FOCUS IIA and SSOI (quarterly)
It Starts with the Trade
If you do not download trades, you should start. If you manually enter trades to a spreadsheet, like Excel, you should stop. If you use QuickBooks you are spending too much time. We do not know what you do, but can show you the best way to do it.
Consider an agency trade:
- commission of $400
- clearing fee of $16.00
- rep payout (rep commission) of $303.20.
When BDOS processes that trade, the following general journal entries are automatically generated.
With BDOS, the trade is automatically recorded in the integrated general ledger and also in tour books and records (P&S Blotter).
Suppose the vendor was “Amazing Funds” your payout blotter shows;
It is as easy as that and BDOS does it automatically. No debiting and no crediting. The time (and associated costs) involved with accounting software is eliminated. Plus, BDOS can be operated by a competent clerical person.
The Vendor Pays You
The BDOS general ledger contains trade related receivables arising from the Amazing Funds trades. The next step is to relieve those receivables by receiving payment from Amazing Funds. The receive payment form shows:
You indicate the vendor that is paying (Amazing Funds), dates related to the payment, payment amount, any payment reference number (check number) and tell BDOS to “Get Data”.
BDOS shows the trades for which it expects to receive payment.
The above shows BDOS reference 1009 and the corresponding George W. Bush trade for 100 ABC @ $18.000. The user matches the BDOS information to the Amazing Funds statement. When done, the “File” tab is selected. It shows:
BDOS did a bunch of things while the user simply indicated the trades that were paid.
- Based upon the trades that were reconciled BDOS expected $4,365.00, but only $4,300.00 was received. As such, BDOS posted $4,300.00 to cash and reduced your receivables by $4,365.00. As of 08/08/12 you have no receivables from Amazing funds.
- Your records show you expected another $65.00. Since you did not receive the money, BDOS made an automatic revenue adjustment for $65.00.
- If something was incorrect in the original posting of the trade, you can correct the gross (commission) or rep payout while receiving payment. BDOS will automatically adjust the original revenue amount and change to the rep payout.
You Pay the Rep
The next step is to pay the reps. Just like Receive Payment, BDOS makes paying the reps a fast and easy process.
You enter the current date, the pay period ending date and tell BDOS to “Get Data”.
Details are shown for all the trades that are ready for payment. Trade reference 10019, the George W. Bush trade for 100 ABC @ $18.00 is shown above
The trades are done, you received payment and paid the reps. BDOS made the process easy. Now you have to produce the monthly financial statements.
It is easy. Provide the month end date and click the “Close Month” button.
Quarterly Reports: FOCUS IIA and SSOI
Your quarterly reports are as easy as your monthly financials. Tell BDOS the month ending and number of months included in the report.
The FOCUS IIA and SSOI are created in seconds.
Now you see how BDOS and BDOS-FINOP Services can reduce your costs by making your back office more proficient and efficient. And, you can also understand our ability to provide attractive pricing for outsourced FINOP services.
BDOS has provided precision results to broker dealers since 1989. Three of our current clients have used BDOS for over 25 years.
We invite you to tour our site and contact us (919 321 0716) or fill out the demo request to arrange a demo presentation.