Category: Northfield News

Handling Conflicts of Interest

Are you involved in decision-making or representing a non-profit organization? This could mean holding the position of executive director or being a member of the board, among others. If that’s the case, it’s crucial to manage conflicts of interest effectively and prioritize the use of the non-profit’s resources towards achieving its mission. Upholding the organization’s best interests should always be your primary responsibility when carrying out tasks on behalf of the non-profit.

Effectively manage conflicts of interest

Identifying conflicts of interest can be a nuanced process, and avoidance may not always be possible.
Here are the signs to look for and the actions to take if you come across one.

How to recognize conflicts of interest

A conflict of interest arises when an external observer could question whether your decisions on behalf of the non-profit were influenced by interests other than those of the organization. This encompasses situations where your personal interests or those of individuals you have a connection with, such as a spouse, employer, company you own shares in, or another organization you are involved with, could potentially sway your actions.

For instance, let’s consider a scenario where a non-profit’s board needs to purchase insurance for the organization. One of the directors on the board serves as an insurance advisor. If the non-profit chooses to buy insurance through this director, the director will receive a commission, thereby creating a conflict of interest.

While it’s advisable to avoid conflicts of interest, it may not always be feasible. In such cases, you must take the required actions to address the conflict of interest.

Steps directors must take when faced with a conflict of interest

Directors of Canadian non-profit organizations are required to promptly inform their fellow directors about any potential conflicts of interest they may have.

During the first board meeting, directors must disclose any interests they hold in another business or organization that could potentially conflict with the non-profit’s interests. If a new conflict of interest arises subsequently, it must be disclosed at the next board meeting.

If a director intends to enter into an agreement with the non-profit, specific rules must be followed. For instance, if a director wishes to purchase a property that the non-profit is selling, a conflict of interest arises. In such cases, the other directors must evaluate the offer’s alignment with the organization’s interests, and the conflicted director cannot take part in the discussion or vote on the matter.

In exceptional circumstances, conflicted directors may decide their own remuneration, but the amount must be reasonable. The meeting minutes must include information on any conflicts of interest and details of who participated in the decision-making or voting process.

Steps for executive directors to take when confronted with a conflict of interest

Executive directors of Canadian non-profit organizations must adhere to specific regulations when entering into an agreement with their organization. For instance, if an executive director wishes to sell something that the non-profit requires for its operations.

Despite usually being responsible for authorizing such agreements, an executive director with a conflict of interest cannot do so in such a scenario. The board must evaluate whether the offer aligns with the non-profit’s interests and authorize the executive director to enter into an agreement with the organization.

Utilize the resources of the non-profit organization to accomplish its mission

Non-profit organizations possess resources such as funding, property, or information, all of which are owned by the organization. It is necessary to utilize these resources towards fulfilling the non-profit’s mission.

Before utilizing these resources for a different purpose, it is essential to obtain consent from the individual or group to whom you are accountable. In the case of an executive director of a Canadian non-profit organization, the board’s approval is necessary, whereas board members must seek permission from the non-profit’s members.

Authorization is required to undertake activities such as:

• Withdrawing funds from the non-profit’s bank accounts or utilizing its credit cards to pay for personal expenses, even if it is temporary.
• Utilizing the assets of the non-profit for personal purposes.
• Loaning the non-profit’s assets or money to someone or another organization with whom you have a relationship.
• Utilizing confidential information about the non-profit or its operations to benefit yourself or any other person or organization.

If the person or people you ask for permission determine that your request is in the non-profit’s best interest, they can approve it. For instance, the non-profit could gain from leasing some of its vacant space to you for a fair rent.

Not following these regulations may lead to possible repercussions

If you fail to adhere to these rules, you could face severe consequences. If you act on behalf of the non-profit in a situation where you have a conflict of interest or misuse its resources without permission, the non-profit may take legal action against you. In such cases, the non-profit may ask the court to nullify your actions and require you to pay for any harm or profit incurred without permission.

In certain circumstances, other individuals may also take legal action against you. If you mishandle a conflict of interest and cause harm to someone, you could be held personally accountable for the damages.

Additionally, misusing a non-profit’s resources may constitute a crime, such as fraud, if you take money from the organization without authorization.

Lastly, the non-profit may remove you from your position as a director or executive director. If you have been found guilty of defrauding an organization or repeatedly violating non-profit laws, a court may even prohibit you from serving on any non-profit board for up to five years.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Ready for better nonprofit reporting?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping Service covers?  People want to know what specific tasks we do, and what their responsibility is.  This brief explainer page will answer that question.  This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

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About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

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NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Northfield & Associates professionals will be pleased to discuss resolutions to specific legal concerns you may have.

What is a Charitable Benefit, and Why Does It Matter When Applying to Become a Charity?

Are you thinking about registering your organization as a charity in Canada? Understanding charitable benefits is essential for CRA approval.

Many nonprofit leaders assume good intentions are enough. The Canada Revenue Agency requires proof that your work creates a real, measurable public benefit.

This guide explains what charitable benefits are, why they matter, and how to demonstrate them in your charity application.

Understanding Charitable Benefits in Canadian Charity Law

What is a Charitable Benefit?

A charitable benefit is the actual positive outcome your organization produces through its activities. It’s different from your charitable purpose, which is what you aim to achieve.

Think of it this way: your purpose is your goal, and your benefit is the result. For example, if your purpose is “advancing education,” your benefit might be “students gaining literacy skills.”

The CRA evaluates whether your activities will actually produce these benefits. They want to see concrete outcomes, not just hopeful plans.

Why Charitable Benefit Matters for Your Charity Application

The CRA rejects many charity applications because organizations can’t clearly explain their benefits. Vague descriptions like “helping people” or “making a difference” aren’t enough.

Your application must show how your work creates measurable, positive change. This requirement protects the public by ensuring charities deliver real value.

Once registered, you’ll need to report on these benefits annually. The CRA can revoke charitable status if your activities don’t align with your stated benefits.

The Three Essential Requirements for a Valid Charitable Benefit

1. Recognizable and Tangible Benefits

Your charitable benefit must be something people can see, measure, or objectively verify. Abstract or spiritual benefits alone won’t satisfy CRA requirements.

Consider a charity that provides meals to homeless individuals. The tangible benefit is clear: people receive food and nutrition.

An educational program shows tangible benefits through improved test scores or acquired skills. A health clinic demonstrates benefit through medical services delivered and patients treated.

What the CRA considers insufficient:

• Vague claims about “raising awareness”
• Benefits that can’t be measured or observed
• Outcomes that are purely subjective

You need to describe specific, observable results. Show the CRA exactly what changes because of your work.

2. Socially Useful Benefits

Your benefit must serve the public good, not just private interests. The CRA calls this “public benefit.”

A charity that provides scholarships to low-income students creates a public benefit. Society gains educated citizens who can contribute to their communities.

Private benefit happens when activities primarily help the organization’s founders, their families, or a closed group. This disqualifies your organization from charitable status.

Common public benefit examples:

• Community health programs that serve anyone in need
• Environmental conservation that improves shared spaces
• Arts programs that enrich cultural life for all
• Food banks that help anyone facing hunger

The key question is: Does your work make society better? If yes, you’re likely creating public benefit.

3. Benefits Related to Your Organization’s Charitable Purpose

Everything you do must connect directly to your stated charitable purpose. Random good deeds don’t count.

If your purpose is animal welfare, running a pet adoption program relates directly. Hosting unrelated fundraising events might support your work, but they’re not the charitable benefit itself.

The CRA wants to see logical connections. Your activities should be necessary and reasonable ways to achieve your purpose.

Strong alignment example:

• Purpose: Relief of poverty through housing
• Activity: Operating an emergency shelter
• Benefit: Homeless individuals receive safe accommodation

This shows a clear, direct connection between purpose, activity, and benefit.

How to Demonstrate Charitable Benefits in Your CRA Application

Describing Your Means of Providing Charitable Benefits

The “means” are your specific programs and activities. You need to explain exactly how you’ll operate.

Don’t just say “we’ll help sick people.” Say “we’ll operate a free medical clinic providing primary care services to uninsured patients.”

Be specific about:

• What services or programs will you offer
• Who will benefit from them
• How you’ll deliver these services
• Where and when activities will occur

The more concrete your description, the easier it is for CRA to approve your application.

Documenting Tangible Outcomes

New organizations should provide realistic projections. Established groups should include actual data from past activities.

Useful metrics include:

• Number of people served
• Hours of service provided
• Items distributed (meals, books, supplies)
• Skills taught or qualifications earned
• Environmental improvements measured

You don’t need complex research studies. Simple, honest tracking of your work is sufficient.

Create systems to measure your impact from day one. This helps with your annual charity returns later.

Proving Social Value and Public Benefit

Identify who benefits from your work. Be specific about your target population.

Show that your beneficiary group is large enough to constitute “the public.” One family doesn’t count, but “low-income families in Toronto” do.

Demonstrate community need through:

• Statistics about the problem you’re addressing
• Letters of support from community partners
• Research showing demand for your services
• Gaps in existing services that you’ll fill

The CRA needs to understand why your work matters to society.

Common Charitable Benefit Examples Across Different Categories

Relief of Poverty

Poverty relief charities address immediate needs like food, shelter, and clothing. They also provide pathways out of poverty.

Tangible benefits include:

• Meals provided to hungry individuals
• Emergency shelter beds occupied
• Rent assistance preventing homelessness
• Job training leading to employment

These outcomes are easy to measure and clearly serve the public.

Advancement of Education

Educational charities help people gain knowledge and skills. The benefit must go beyond entertainment or casual interest.

Examples of educational benefits:

• Students achieving literacy
• Graduates earning recognized credentials
• Learners acquiring job-ready skills
• Research advancing human knowledge

Libraries, schools, tutoring programs, and scholarship funds all fit this category.

Advancement of Religion

Religious charities serve spiritual needs while also providing community value. Public benefit is key here.

Acceptable benefits include:

• Religious services open to the public
• Spiritual counselling available to community members
• Religious education programs
• Community gathering spaces

Your religious activities must benefit society broadly, not just your congregation.

Other Purposes Beneficial to the Community

This fourth category covers everything else that helps society. It includes environmental, cultural, and community development work.

Examples across this category:

• Environmental groups restoring natural habitats
• Arts organizations making culture accessible
• Animal welfare groups operating shelters
• Community centres providing public programs

These benefits must be substantial and clearly serve the public interest.

What Doesn’t Qualify as a Charitable Benefit

Private Benefit vs. Public Benefit

If your organization primarily benefits founders, board members, or their families, it’s not charitable. Some private benefit is acceptable as a side effect, but it can’t be your main purpose.

A scholarship fund that only helps the founder’s grandchildren isn’t charitable. One that helps any qualifying student in a community is.

Political Purposes and Advocacy Limitations

Charities can do some advocacy, but it must support their charitable purpose. You can’t exist primarily to promote political views.

Acceptable: An environmental charity advocating for pollution regulations. Not acceptable: A charity existing mainly to support a political party.

Your benefits must come from actual programs, not political activity.

Activities That Don’t Produce Measurable Social Value

Vague activities without clear outcomes won’t qualify. “Promoting awareness” alone isn’t a charitable benefit.

The CRA wants to see concrete change. What happens because your charity exists? Who is better off?

Benefits That Are Too Indirect or Speculative

Your benefits must be direct results of your activities. Future possibilities don’t count.

Claiming your work “might eventually lead to positive change” isn’t sufficient. Show what actually happens when you operate your programs.

Charitable Benefit vs. Charitable Purpose: Understanding the Difference

Your charitable purpose is your goal. Your charitable benefit is what you actually achieve.

Purpose: What you’re trying to accomplish 

Benefit: The positive outcome that results

Think of a charity focused on youth development. The purpose might be “advancing education and building life skills among at-risk youth.”

The benefits would be:

• Youth completing high school
• Participants gaining employment skills
• Young people avoiding criminal activity
• Students earning post-secondary credentials

Both elements must appear clearly in your application. They should align perfectly with each other.

How CRA Evaluates Charitable Benefits During the Registration Process

The CRA reviews every application carefully. Officers look for clear, specific descriptions of benefits.

Common questions they ask:

• Who exactly will benefit from your work?
• How will you measure success?
• Why is this work needed in your community?
• How do your activities produce these benefits?

Red flags that trigger scrutiny:

• Vague or overly broad benefit descriptions
• Benefits that seem to favour private individuals
• Activities unrelated to stated purposes
• Unrealistic projections without supporting plans

The review process typically takes several months. Clear benefit descriptions help speed approval.

Tips for Strengthening the Charitable Benefit Section of Your Application

Be specific and concrete. Replace “help people” with “provide 500 hot meals monthly to homeless individuals in Vancouver.”

Use measurable language. Include numbers, timeframes, and observable outcomes whenever possible.

Provide realistic examples. Describe typical scenarios showing how your programs work.

Address tracking methods. Explain how you’ll measure and report on benefits.

Connect activities to purpose. Draw clear lines between what you’ll do and why it achieves your charitable goals.

Think like a CRA reviewer reading hundreds of applications. Make your case obvious and compelling.

Maintaining Charitable Benefits After Registration

Registration is just the beginning. You must continue delivering the benefits you promised.

Ongoing Reporting Requirements

Every registered charity files an annual T3010 return. This form asks detailed questions about your activities and their results.

You’ll report:

• Programs operated during the year
• Number of people served
• Resources spent on charitable activities
• How your work advanced your charitable purposes

Keep good records throughout the year. Don’t try to reconstruct everything at filing time.

What Happens If Your Activities Change

Charities can evolve, but major changes require CRA approval. If you want to add new programs or shift focus, consult charity law experts first.

Operating outside your registered purposes risks your charitable status. The CRA can impose penalties or revoke registration.

Ensuring Continued Alignment

Review your activities annually. Ask whether everything you do produces charitable benefits related to your purposes.

Cut programs that don’t serve your mission. Focus resources on activities that deliver measurable public benefit.

This discipline keeps you compliant and effective.

Need Help with Your Charity Application?

Understanding charitable benefits is complex. Many organizations struggle to articulate their benefits in a way that satisfies the CRA.

B.I.G. Charity Law Group specializes in Canadian charity registration and compliance. We help nonprofits clearly define their charitable benefits and prepare successful applications.

Our team understands exactly what the CRA looks for. We’ll ensure your application demonstrates tangible, socially useful benefits directly related to your charitable purpose.

Ready to start your charity application? 

Navigating director compensation rules can be complex.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

At Northfield & Associates expert help with your charity registration. We’ll guide you through every step of the registration process.

Frequently Asked Questions

When you apply to become a registered charity in Canada, the Canada Revenue Agency reviews whether your organization provides a public charitable benefit. Understanding what qualifies as a charitable benefit can help you submit a stronger application and improve your chances of approval. These FAQs cover key questions about demonstrating public benefit in the registration process.

What is meant by a “charitable benefit” in the context of applying to become a registered charity?

A charitable benefit is a tangible, measurable, and socially useful impact that is directly related to the organization’s charitable purpose. It must be recognizable and have a demonstrable positive effect on society.​

Why is proving a charitable benefit important for an organization seeking charitable status?

Showing a charitable benefit is essential because it demonstrates that the organization’s activities have a real, positive impact on the public or community, which is a legal requirement for being recognized as a charity.​

What kinds of benefits are considered socially useful in the charity application process?

Benefits that improve health, education, environmental conservation, community welfare, or other public goods are considered socially useful as they benefit a sufficient section of the public or society as a whole.​

How should an organization express its charitable purpose to align with charitable benefit requirements?

An organization’s activities and purpose should clearly relate to providing tangible benefits and be aligned so that the benefits are a necessary and reasonably direct result of its charitable activities.​

Can a charitable benefit include some incidental personal benefit?

Yes, incidental personal benefits can be permissible as long as they are necessary by-products of carrying out the charitable purpose and do not outweigh the overall public benefit.​

Can a charity or not-for-profit organization change its fiscal period end?

To effect a modification to its fiscal year-end, a registered charity is obligated to seek formal approval from the Charities Directorate. This procedural step is imperative, as alterations to the fiscal period have significant implications for the charity’s filing obligations and regulatory compliance.

Navigating the Transition Period

Upon the charitable entity obtaining the necessary consent to alter its fiscal year-end, it embarks on a transition period that does not span the conventional 12 months. Consequently, the organization is required to submit a distinct information return that covers the specific months constituting this transitional phase. For illustrative purposes, consider a scenario where the initial fiscal year concluded on December 31, and the approval is granted to shift it to March 31. In this instance, the charity must diligently prepare and file a comprehensive return for the original fiscal year, encompassing the timeframe from January 1 to December 31. Simultaneously, a separate and complete return is mandated for the transition period spanning from January 1 to March 31.

Guidelines for Fiscal Year Duration

It is worth noting that, as a general rule, the fiscal year of a registered charity should not extend beyond the conventional 12-month cycle. This adherence to a standard timeframe ensures consistency in financial reporting and aids regulatory bodies in monitoring and assessing the organization’s fiscal health.

Prerequisites for Return Processing

It is crucial for the charity to recognize that the submission and subsequent processing of a return for the transition period, or for the newly adjusted fiscal year, hinge on the expeditious approval of the fiscal year-end modification. Hence, the charity is strongly advised to initiate the request for modification as soon as the decision to effect the change is made.

Governing Document Adjustments

In certain scenarios, the charity may find it necessary to amend its governing document to align with the altered fiscal year-end. For example, if the organization’s bylaws explicitly state a fiscal year-end of December 31, and the decision is made to shift it to March 31, an amendment to the governing document becomes imperative. Although the Charities Directorate acknowledges and processes such changes, the charity is also required to provide a certified copy of the amended document for official records.

For comprehensive details and guidance on making amendments to governing documents, charities are encouraged to refer to the dedicated section on changing bylaws for a seamless transition. This thorough approach ensures that not only the fiscal period is in compliance with regulatory standards, but the governing documents also accurately reflect the charity’s operational framework.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Ready for better nonprofit reporting?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping Service covers?  People want to know what specific tasks we do, and what their responsibility is.  This brief explainer page will answer that question.  This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

We serve our clients in English, Cambodian, Vietnamese, Mandarin and Cantonese, especially in Asian clients.

• If you or anybody that you know, think that you meet the requirements and wish to receive further information.
• We can help you start the application process and confirm eligibility requirements to participate.
• We Offer Consultations & Meetings by Phone & Virtually. Affordable Fees.

Book a Consultation Today

Contact Northfield & Associates today to schedule a consultation with an experienced Consultant.

Book a call with a Consultation

Join the community of Northfield & Associates

Connect with peers and community ambassadors to hear real experiences, tips, and advice about studying abroad.

Explore Northfield & Associates community

About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

Questions?

info@northfied.biz

Within Corporate Newsroom  

Media Contact:

media@northfied.biz

Press contact 

PR consultants
press@northfied.biz

NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Northfield & Associates professionals will be pleased to discuss resolutions to specific legal concerns you may have.

You’ve poured your heart into building a nonprofit that makes a real difference in your community. Your programs are running smoothly, your board is engaged, and you’re making the impact you dreamed of. Then one day, someone gets injured at your event, or a disgruntled former employee files a lawsuit against your directors, or a cyber attack compromises your donor database.

Suddenly, all the good work you’ve done is overshadowed by legal bills that could bankrupt your organization. Your dedicated volunteers who serve on your board are personally worried about their financial exposure. The very thing you built to help others is now at risk of destroying the financial security of everyone involved.

This is why nonprofit liability insurance isn’t just a nice-to-have expense – it’s essential protection that every Canadian charity and nonprofit needs. But here’s what many organization leaders don’t realize: not all insurance is created equal, and generic business insurance often doesn’t adequately protect nonprofits from their unique risks.

The good news is that proper insurance protection doesn’t have to break your budget. When you understand what coverage you actually need and how to shop for it effectively, you can get comprehensive protection that lets you focus on your mission instead of worrying about potential lawsuits.

Types of Liability Insurance Nonprofits Need

Canadian nonprofits face unique risks that require specialized insurance coverage. Understanding the different types of protection available helps you build a comprehensive insurance program that actually protects your organization.

The Reality of Nonprofit Risk Exposure

Many nonprofit leaders underestimate their organization’s liability exposure because they focus on doing good work. But even the most well-intentioned organizations face risks:

• Accidents during events, programs, or activities
• Employment-related lawsuits from staff or volunteers
• Board decisions that result in financial losses
• Data breaches exposing donor or client information
• Professional mistakes that harm the people you serve

Core Insurance Categories for Nonprofits

Most Canadian nonprofits need some combination of these insurance types:

• General liability insurance for basic accident and injury protection
• Directors and officers (D&O) insurance for board and leadership protection
• Professional liability insurance for service-related mistakes and omissions
• Cyber liability insurance for data breaches and technology risks
• Property insurance if you own equipment, buildings, or other assets

Risk Assessment for Your Organization

Before shopping for insurance, assess your specific risk factors:

• What activities do you conduct and where?
• How many people do your programs serve?
• Do you have employees or rely entirely on volunteers?
• What kind of personal information do you collect and store?
• Do you provide professional services or advice?

Industry-Specific Considerations

Different types of nonprofits face different risks:

• Social services organizations need professional liability coverage
• Sports and recreation nonprofits require enhanced general liability
• Arts organizations may need coverage for valuable equipment or venues
• Advocacy groups might face higher risks of lawsuits related to their positions

Directors and Officers (D&O) Insurance for Charities

D&O insurance protects your board members and senior staff from personal financial exposure when they’re sued for their organizational decisions and actions.

Why D&O Insurance Matters for Nonprofits

Board members of Canadian nonprofits can be personally liable for:

• Wrongful termination claims by employees
• Discrimination or harassment allegations
• Financial mismanagement or fiduciary duty breaches
• Regulatory violations or compliance failures
• Employment standards violations

Without D&O insurance, board members must defend these claims with their own money and assets.

What D&O Insurance Covers

Typical D&O coverage includes:

• Legal defense costs for covered claims
• Settlement payments and judgments
• Regulatory investigation costs
• Employment practices liability
• Crime coverage for employee dishonesty

Coverage Limits and Considerations

D&O insurance typically offers coverage limits from $1 million to $10 million:

• Small nonprofits: $1-2 million often sufficient
• Medium nonprofits: $2-5 million provides better protection
• Large nonprofits: $5-10 million for organizations with significant assets or high-risk activities

Board Recruitment Benefits

D&O insurance makes it easier to recruit qualified board members:

• Reduces personal financial risk for volunteers
• Demonstrates organizational sophistication and planning
• Provides peace of mind that encourages engagement
• Shows respect for volunteers’ time and expertise

Common D&O Exclusions

Standard D&O policies typically exclude:

• Intentional criminal acts
• Personal profit or advantage
• Bodily injury and property damage (covered by general liability)
• Regulatory fines and penalties (sometimes available as add-on coverage)

General Liability Insurance for Nonprofit Activities

General liability insurance provides basic protection against accidents, injuries, and property damage claims arising from your nonprofit’s activities.

Essential Protection for All Nonprofits

Every Canadian nonprofit needs general liability insurance because:

• Accidents can happen during any activity or event
• Visitors to your premises could be injured
• Your activities might accidentally damage someone else’s property
• Volunteers or participants might cause injuries to others

What General Liability Covers

Standard coverage includes:

• Bodily injury to third parties
• Property damage caused by your operations
• Personal and advertising injury claims
• Medical payments for minor injuries
• Legal defense costs for covered claims

Activity-Based Coverage Considerations

Different nonprofit activities require different coverage approaches:

Event-based organizations: Need coverage for various venues and activities Facility-based organizations: Require premises liability protection Community outreach programs: Need coverage for off-site activities Sports and recreation: Require enhanced coverage for injury risks

Coverage Limits and Deductibles

Typical general liability coverage limits:

• Minimum recommended: $2 million per occurrence, $4 million aggregate
• Better protection: $5 million per occurrence, $10 million aggregate
• High-risk activities: Consider $10 million or higher limits

Additional Protections Available

Enhanced general liability coverage can include:

• Participant accident insurance for program participants
• Abuse and molestation coverage for organizations serving vulnerable populations
• Volunteer accident insurance for unpaid helpers
• Special event coverage for one-time activities

Professional Liability for Service-Providing Charities

Organizations that provide professional services, advice, or specialized programs need professional liability insurance to protect against claims of errors, omissions, or inadequate service.

Who Needs Professional Liability Coverage

Consider professional liability insurance if your nonprofit:

• Provides counseling, therapy, or mental health services
• Offers educational or training programs
• Gives financial, legal, or business advice
• Provides healthcare or social services
• Conducts research or evaluation services

What Professional Liability Covers

Professional liability insurance typically covers:

• Claims of inadequate or harmful services
• Failure to deliver promised outcomes
• Mistakes in professional advice or guidance
• Breach of professional duties or standards
• Legal defense costs for covered claims

Coverage Considerations for Different Services

Counseling and therapy services: Need coverage for treatment-related claims Educational programs: Require protection against inadequate instruction claims Consulting services: Need errors and omissions coverage Healthcare services: May require medical malpractice coverage

Professional Standards and Training

Insurance providers often require:

• Proper training and certification for service providers
• Written policies and procedures for service delivery
• Regular supervision and quality assurance
• Incident reporting and documentation systems

Claims-Made vs Occurrence Coverage

Professional liability insurance typically operates on a claims-made basis:

• Coverage applies when claims are made, not when incidents occur
• Requires continuous coverage to maintain protection
• May need extended reporting period coverage when changing insurers
• More complex than occurrence-based general liability coverage

Cyber Liability Insurance for Canadian Nonprofits

As nonprofits increasingly rely on technology and store sensitive information digitally, cyber liability insurance has become essential protection against data breaches and cyber attacks.

Growing Cyber Risks for Nonprofits

Canadian nonprofits face significant cyber risks because they:

• Collect and store donor payment information
• Maintain databases of client personal information
• Often have limited IT security resources
• May be targeted by criminals who see them as easy targets
• Face regulatory requirements for data protection

What Cyber Liability Insurance Covers

Comprehensive cyber coverage typically includes:

• Data breach response costs and notification expenses
• Credit monitoring services for affected individuals
• Legal defense costs for privacy-related lawsuits
• Regulatory investigation and penalty costs
• Business interruption losses from cyber incidents
• Cyber extortion and ransomware response

First-Party vs Third-Party Coverage

First-party coverage protects your organization’s direct costs:

• Data recovery and system restoration
• Business interruption and lost income
• Crisis management and public relations
• Regulatory response and investigation costs

Third-party coverage protects against claims from others:

• Privacy liability for compromised personal information
• Network security liability for system intrusions
• Intellectual property claims related to cyber incidents

Risk Assessment and Prevention

Insurance providers increasingly require:

• Regular software updates and security patches
• Employee training on cyber security
• Multi-factor authentication for sensitive systems
• Regular data backups and recovery testing
• Written information security policies

Understanding cyber risks becomes especially important when considering the documentation requirements for CRA audits and T3010 filings, as data breaches could compromise sensitive organizational information.

How to Choose the Right Insurance Provider

Selecting the right insurance provider can make the difference between adequate protection and coverage gaps that leave your nonprofit vulnerable.

Specialized Nonprofit Insurance Providers

Look for insurers who specialize in nonprofit coverage:

• Understand unique nonprofit risks and needs
• Offer policies designed specifically for charitable organizations
• Provide competitive pricing for nonprofit coverage
• Have experience handling nonprofit claims

Evaluating Insurance Companies

Research potential providers thoroughly:

• Financial stability: Check A.M. Best ratings and financial strength
• Claims handling: Research reputation for fair and prompt claim settlement
• Customer service: Evaluate responsiveness and expertise
• Coverage options: Ensure they offer all protection types you need

Working with Insurance Brokers

Insurance brokers can provide valuable assistance:

• Access to multiple insurance companies and products
• Expertise in nonprofit insurance needs and markets
• Assistance with claims and coverage issues
• Ongoing relationship for coverage reviews and updates

Questions to Ask Potential Providers

Key questions for insurance shopping:

• What specific experience do you have with nonprofits our size and type?
• What coverage options and limits are available?
• How do you handle claims and what’s the typical process?
• What risk management resources do you provide?
• Can you provide references from similar nonprofit clients?

Getting Multiple Quotes

Compare quotes from at least three providers:

• Ensure coverage comparisons are apples-to-apples
• Look beyond price to coverage quality and service
• Consider the total relationship, not just initial cost
• Ask about multi-year agreements and rate guarantees

Cost Factors for Nonprofit Insurance in Canada

Understanding what drives insurance costs helps you budget effectively and find ways to manage expenses while maintaining adequate protection.

Factors That Affect Nonprofit Insurance Costs

Organization size and budget: Larger nonprofits generally pay more but often get better rates per dollar of coverage

Types of activities: Higher-risk activities like sports, childcare, or outdoor programs cost more to insure

Claims history: Organizations with previous claims face higher premiums

Coverage limits: Higher limits cost more but provide better protection

Geographic location: Urban areas may have higher liability costs

Risk management practices: Good safety programs and policies can reduce costs

Typical Cost Ranges for Canadian Nonprofits

Small nonprofits (budget under $100,000):

• General liability: $300-800 annually
• D&O insurance: $500-1,500 annually
• Professional liability: $500-2,000 annually (if needed)
• Cyber liability: $300-1,000 annually

Medium nonprofits (budget $100,000-$1 million):

• General liability: $800-2,500 annually
• D&O insurance: $1,500-5,000 annually
• Professional liability: $1,000-5,000 annually (if needed)
• Cyber liability: $1,000-3,000 annually

Large nonprofits (budget over $1 million):

• General liability: $2,500-10,000+ annually
• D&O insurance: $5,000-20,000+ annually
• Professional liability: $3,000-15,000+ annually (if needed)
• Cyber liability: $2,000-10,000+ annually

Ways to Reduce Insurance Costs

Risk management programs: Safety training and policies can reduce premiums

Higher deductibles: Accepting higher deductibles lowers premium costs

Package policies: Combining multiple coverages often reduces total cost

Group programs: Some nonprofit associations offer group insurance programs

Claims-free discounts: Maintaining good claims history earns premium reductions

Multi-year agreements: Longer terms may provide rate stability and discounts

Insurance Requirements for Charity Registration

While insurance isn’t legally required for charity registration in Canada, it’s often a practical necessity for operations and may be required by other parties.

CRA Requirements

The Canada Revenue Agency doesn’t require insurance for charity registration, but proper insurance supports compliance in several ways:

• Demonstrates proper risk management and governance
• Protects assets that must be used for charitable purposes
• Helps ensure organizational continuity for ongoing operations
• Shows board members are acting prudently in their fiduciary duties

Practical Requirements for Operations

Even without legal mandates, insurance is often required by:

• Venue rental agreements: Most facilities require general liability coverage
• Grant funders: Many foundations and government funders require insurance
• Partnership agreements: Other organizations may require proof of coverage
• Special event permits: Municipal permits often require insurance certificates

Board Fiduciary Duties

Board members have legal obligations to protect organizational assets:

• Duty of care requires reasonable risk management
• Duty of loyalty includes protecting the organization’s interests
• Fiduciary responsibility includes ensuring organizational continuity
• Personal liability for negligent risk management decisions

Insurance as Risk Management Tool

Proper insurance supports good governance by:

• Protecting organizational assets from catastrophic losses
• Enabling programs to continue despite unforeseen incidents
• Providing peace of mind for board members and staff
• Demonstrating organizational sophistication to stakeholders

When budgeting for insurance costs, consider them alongside other essential expenses like charity registration costs and ongoing compliance requirements. Insurance is an investment in your organization’s long-term sustainability and ability to serve your community.

Proper insurance protection also becomes crucial during challenging times like CRA audits, when having comprehensive coverage demonstrates good governance and responsible management.

Understanding the different types of coverage, their costs, and how to evaluate providers helps you make informed decisions that protect your nonprofit while managing costs effectively. The key is finding the right balance of coverage that provides adequate protection without straining your budget.

Northfield & Associates helps nonprofits understand their insurance needs as part of comprehensive legal and compliance guidance. Proper insurance protection works hand-in-hand with good legal practices to create a strong foundation for charitable operations.

Ready to protect your nonprofit with appropriate insurance coverage? Work with experienced professionals who understand how insurance fits into your overall risk management and legal compliance strategy for long-term organizational success.

Navigating director compensation rules can be complex.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Ready for better nonprofit reporting?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping Service covers?  People want to know what specific tasks we do, and what their responsibility is.  This brief explainer page will answer that question.  This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

We serve our clients in English, Cambodian, Vietnamese, Mandarin and Cantonese, especially in Asian clients.

• If you or anybody that you know, think that you meet the requirements and wish to receive further information.
• We can help you start the application process and confirm eligibility requirements to participate.
• We Offer Consultations & Meetings by Phone & Virtually. Affordable Fees.

Book a Consultation Today

Contact Northfield & Associates today to schedule a consultation with an experienced Consultant.

Book a call with a Consultation

Join the community of Northfield & Associates

Connect with peers and community ambassadors to hear real experiences, tips, and advice about studying abroad.

Explore Northfield & Associates community

About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

Questions?

info@northfied.biz

Within Corporate Newsroom  

Media Contact:

media@northfied.biz

Press contact 

PR consultants
press@northfied.biz

NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Northfield & Associates professionals will be pleased to discuss resolutions to specific legal concerns you may have.

Fundraising is an essential aspect of sustaining the charitable endeavors of registered charities. However, the Canada Revenue Agency (CRA) emphasizes the importance of conducting fundraising activities in a reasonable manner to ensure that the primary focus remains on charitable purposes. In this blog post, we will explore the key considerations and guidelines provided by the CRA regarding fundraising activities and delve into the specifics of engaging in lotteries, bingos, charity casinos, and similar initiatives.

Fundraising and Charitable Activities
While fundraising is a necessary component of a charity’s financial strategy, the CRA is clear that it should not become the primary emphasis of the charity. The essence of a registered charity lies in its commitment to exclusively charitable purposes. If fundraising activities take precedence over these purposes or a substantial portion of revenue is directed towards them, the charity risks jeopardizing its registered status.

The CRA’s Expectations
The CRA acknowledges that charities may incur costs in their fundraising efforts, but these expenses must be reasonable. Excessive spending on fundraising could lead to a failure to meet the disbursement quota, the mandatory spending requirement for registered charities. Therefore, it is crucial for charities to strike a balance, ensuring that fundraising activities complement their charitable objectives rather than overshadowing them.

Guidance for Fundraising Activities
For comprehensive information on fundraising activities, registered charities are encouraged to refer to Guidance CG-013, Fundraising by registered charities. This resource provides valuable insights into best practices, ensuring that charities are well-informed and equipped to navigate the complexities of fundraising within the confines of their registered status.

Lotteries, Bingos, Charity Casinos, and More
In addition to traditional fundraising methods, charities may opt to raise funds through lotteries, bingos, charity casinos, and similar activities. However, there are additional considerations to bear in mind. Charities must reach out to relevant provincial, territorial, and municipal government departments before engaging in these initiatives to obtain any necessary permissions, permits, or licenses.

Striking a Balance
While these alternative fundraising methods can be lucrative, charities must strike a balance between generating funds and adhering to regulatory requirements. Seeking proper authorization ensures that charities operate within the legal framework, mitigating risks to their registered status.

Fundraising is a vital lifeline for registered charities, but it comes with responsibilities. Striving for a harmonious balance between fundraising activities and charitable purposes is key to maintaining a charity’s registered status. By following the guidelines provided by the CRA and seeking the necessary permissions for specific fundraising methods, charities can navigate the complex landscape of fundraising successfully, ensuring the sustainability of their noble causes.

Navigating director compensation rules can be complex.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Ready for better nonprofit reporting?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping Service covers?  People want to know what specific tasks we do, and what their responsibility is.  This brief explainer page will answer that question.  This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

We serve our clients in English, Cambodian, Vietnamese, Mandarin and Cantonese, especially in Asian clients.

• If you or anybody that you know, think that you meet the requirements and wish to receive further information.
• We can help you start the application process and confirm eligibility requirements to participate.
• We Offer Consultations & Meetings by Phone & Virtually. Affordable Fees.

Book a Consultation Today

Contact Northfield & Associates today to schedule a consultation with an experienced Consultant.

Book a call with a Consultation

Join the community of Northfield & Associates

Connect with peers and community ambassadors to hear real experiences, tips, and advice about studying abroad.

Explore Northfield & Associates community

About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

Questions?

info@northfied.biz

Within Corporate Newsroom  

Media Contact:

media@northfied.biz

Press contact 

PR consultants
press@northfied.biz

NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Northfield & Associates professionals will be pleased to discuss resolutions to specific legal concerns you may have.

Essential Rules for Keeping Proper Books and Records

Books and records

A registered charitable organization is obligated to maintain sufficient books and records. These books and records must enable the Canada Revenue Agency (CRA) to:

•  Substantiate revenues, including all charitable donations received;
•  Authenticate that resources are allocated to charitable programs; 
• Confirm that the charity’s purposes and activities remain charitable in nature and are in alignment with its stated objectives.

Books and records consist of:

Documents that may be classified as books and records for a registered charity can include governing papers (e.g., incorporation documents, constitutions, and trust agreements), internal regulations, financial reports, duplicates of official donation acknowledgements, copies of yearly data submissions (such as Form T3010, Registered Charity Information Return), written contracts, agreements, records of board and employee meetings, annual summaries, account books, banking records, expenditure accounts, inventory lists, investment arrangements, accounting professionals’ work documents, salary records, marketing materials, and fundraising resources.

Additionally, source documents are also considered part of the books and records. Source documents serve as evidence to support the information in the books and records and can consist of statements, receipts, official agreements, work directives, shipping notices, procurement forms, and bank deposit slips.

What is the appropriate location for maintaining books and records?

Books and records must be maintained at the address in Canada that the organization has on file with the relevant authority. This requirement extends to all books and records pertaining to any activities conducted outside of Canada. It is not permissible for a registered charity to keep its books and records at a foreign address.

What is the duration for which a charity must retain its books and records?

A charity is required to maintain certain books and records:

• Official donation receipt copies (excluding ten-year gifts) – These source documents must be retained for at least two years from the conclusion of the calendar year in which the contributions were received.
• 10-year gift records – These should be preserved for the entire duration of the charity’s registration and a minimum of two years following the revocation of the charity’s registration.
• Directors/trustees/executives meeting minutes – These must be stored for the entire duration of the charity’s registration and at least two years after the charity’s registration has been revoked. For corporations, the records must be maintained for two years following the dissolution of the corporation.
• Members’ meeting minutes – These should be held for the entire duration of the charity’s registration and a minimum of two years after the revocation of the charity’s registration.
• Governing documents and bylaws associated with the charity – These must be stored for the entire duration of the charity’s registration and for two years after the charity’s registration has been revoked.
• Final-entry record books, such as general ledgers, which consolidate annual transactions and provide essential accounts for entry validation – These must be preserved for six years following the end of the relevant tax year. This retention period is required while the charity’s registration is active and ongoing. Furthermore, these records must be preserved for an additional two years after the charity’s registration has been revoked, or for corporations, two years after the dissolution of the corporation.
• Financial reports, original documents, and duplicates of yearly data submissions (T3010 forms) – These are required to be preserved for a duration of six years following the end of the relevant tax year to which they correspond. If the charity’s registration is revoked, these records must be preserved for an additional two years from the date of revocation.

Is it permissible to store books and records electronically?

Yes, but the following conditions apply:

• The same regulations and retention periods apply to electronic records as mentioned earlier.
• Books and records that are created and maintained electronically must be stored in a format that can be readily accessed and read, even if paper copies of the electronic records are available. An accessible and usable format refers to information that is compatible with a system capable of generating a copy that can be easily processed and analyzed by auditors using CRA equipment.
• If any original documents are created, transmitted, or received electronically, they must be preserved in an electronically readable format.
• Scanned images of paper documents, records, or books of account maintained in electronic format are acceptable, provided that appropriate imaging practices are employed and documented.

Note

Books and records that are stored outside of Canada, yet can be accessed electronically within the country, do not fulfill the criteria for being considered as kept in Canada.

What are the obligations involved in appropriately maintaining books and records?

A registered charity must not only maintain and store its books and records but also ensure their proper handling, retention, and protection as outlined below:

• Even if the charity employs a third party for record management, the charity remains accountable for fulfilling all requirements. Third parties may consist of bookkeepers, accountants, online transaction managers, and application service providers.
• To facilitate straightforward access, the charity should consolidate all its books and records in a single location. This approach simplifies the process for the charity during audits or when changes occur within the governing board.
• For backup purposes, the charity should also maintain duplicates of its books and records at a separate, preferably off-site, location.
• The charity bears the responsibility of making its books and records accessible to CRA officials. These officials hold the authority to inspect, audit, or examine a charity’s records and create or obtain copies of any records, including electronic ones.

What are the repercussions of inadequate record management? 

Insufficient maintenance of books and records can lead to the suspension of a registered charity’s ability to issue tax receipts, or even the revocation of its registered status.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Schedule your free consultation

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian law and can help ensure your organization follows proper procedures.

Get professional support today

Email info@northfield.biz

Phone (416) 317-6806

Visit us https://www.northfield.biz/

 Appointment Schedule your free consultation 

To discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

READY FOR BETTER NONPROFIT REPORTING?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping service. People want to know what specific tasks we do, and what their responsibility is. This brief explainer page will answer that question. This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your free consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Contact us today to schedule your free consultation.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your free consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

We serve our clients in English, Cambodian, Vietnamese, Mandarin and Cantonese, especially in Asian clients.

• If you or anybody that you know, think that you meet the requirements and wish to receive further information.
• We can help you start the application process and confirm eligibility requirements to participate.
• We Offer Consultations & Meetings by Phone & Virtually. Affordable Fees.

BOOK A CONSULTATION TODAY

Contact Northfield & Associates today to schedule a consultation with an experienced Consultant.

BOOK A CALL WITH A CONSULTATION

JOIN THE COMMUNITY OF NORTHFIELD & ASSOCIATES

Connect with peers and community ambassadors to hear real experiences, tips, and advice about studying abroad.

EXPLORE NORTHFIELD & ASSOCIATES COMMUNITY

CANADA IMMIGRATION CONSULTANTS

Northfield & Associates is a Canadian consulting firm based in Toronto, Canada. Northfield & Associates specializes in all types of immigration matters, from spousal sponsorships to refugee board appeals. With over eight (8) years of experience and an excellent success rate, Northfield & Associates is recognized as one of Canada’s premier immigration consulting firm.

HOW CAN WE HELP?

FREE IMMIGRATION ASSESSMENT

The purpose of the Free Assessment is to assess whether you are qualified to apply for permanent residence in Canada under the Family Sponsorship, Skilled Worker, or Business Class categories. Please choose which category you would like to be assessed under and complete all fields in the form. We will endeavor to complete your assessment and provide you with a reply within one business day. There is no charge for this service. All information provided will be kept strictly confidential. If our assessment indicates that you are qualified for immigration to Canada, we will contact you to provide further information about our services and fees. Start Your Immigration Application!

FREE ASSESSMENT FORM

How can we assist you today?

Unlocking the Potential of Those Who Advance the World

Learn more about our core areas of expertise

About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

NORTHFIELD & ASSOCIATES in Canada

As a global consulting firm, Northfield & Associates helps clients with total transformation, driving complex change, enabling organizations to grow, and driving bottom-line impact.

 Learn about our offices in Canada, read our latest thought leadership, and connect with our team.

Learn More

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

Questions?

info@northfied.biz

Within Corporate Newsroom  

Media Contact:

media@northfied.biz

Press contact 

PR Secretary
press@northfied.biz

NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Northfield & Associates professionals will be pleased to discuss resolutions to specific legal concerns you may have.

Maintaining compliance with the Canada Revenue Agency (CRA) is essential for registered charities in Canada. Failing to follow CRA regulations can result in penalties, loss of registered status, and reputational damage. To ensure your charity remains in good standing, it’s crucial to understand and meet all compliance requirements. This guide will walk you through the key aspects of maintaining CRA compliance.

1. Understand Your Charity’s Legal Obligations

When a charity is registered with the CRA, it gains certain benefits, such as the ability to issue tax receipts. However, it also takes on legal responsibilities, including:

• Filing an Annual Return (T3010): Every registered charity must submit the T3010 Registered Charity Information Return within six months of its fiscal year-end.
• Keeping Proper Financial Records: Accurate records of income, expenses, and charitable activities must be maintained for at least six years.
• Operating Exclusively for Charitable Purposes: All activities must align with the charity’s registered purposes.
• Following Spending Requirements (Disbursement Quota): Charities must spend a minimum amount on their charitable activities each year.

2. File the T3010 Annual Return on Time

The T3010 return provides the CRA with details about your charity’s finances, activities, and governance. Late or missing filings can result in penalties or loss of registration. To ensure compliance:

• Mark your calendar: The T3010 must be filed within six months after the end of your fiscal year.
• Gather accurate financial records: Ensure all income and expenses are properly recorded.
• Disclose fundraising and operational activities: Be transparent about how funds are used.
• Report compensation information: If applicable, disclose salaries and benefits paid to staff.

The CRA provides an online portal for filing the T3010, making it easier to submit the required information.

3. Follow CRA Fundraising Guidelines

While fundraising is essential for charities, the CRA has strict rules to prevent excessive or misleading fundraising practices. Your charity must:

• Ensure fundraising costs are reasonable: The CRA expects charities to keep fundraising costs within acceptable limits.
• Avoid misleading donors: Ensure all fundraising materials accurately represent how donations will be used.
• Separate fundraising from charitable activities: Funds raised must be used for charitable purposes, not excessive administrative expenses.
• Disclose fundraising expenses on the T3010 return: Transparency in reporting builds trust with donors and regulators.

4. Meet the CRA’s Disbursement Quota

The disbursement quota ensures that charities use a portion of their funds for charitable activities rather than accumulating excessive assets. As of recent CRA updates:

• Charities with over $100,000 in assets must spend at least 5% of their investment income on charitable activities.
• Smaller charities must still meet their spending obligations, ensuring funds are actively used to support their mission.
• Failure to meet the quota may lead to penalties or revocation of registered status.

Tracking expenditures carefully will help ensure your charity meets these requirements.

5. Keep Accurate Financial and Governance Records

To remain compliant, charities must maintain detailed records of all financial transactions and governance decisions. This includes:

• Donation receipts: Issuing proper tax receipts and keeping records for at least six years.
• Board meeting minutes: Keeping a record of decisions made by the board of directors.
• Contracts and agreements: Maintaining copies of any partnerships or service agreements.
• Payroll and employee records: Tracking compensation for employees and contractors.

Good recordkeeping helps ensure transparency and protects the charity in case of an audit.

6. Engage in Permitted Political Activities Only

Charities can participate in advocacy and political activities, but these must align with their charitable purposes. The CRA allows:

• Public awareness campaigns: Educating the public on issues related to your charitable mission.
• Non-partisan advocacy: Supporting policies that align with your charity’s objectives but avoiding direct political endorsements.
• Limited lobbying activities: Charities can advocate for legal changes as long as it remains a small portion of their overall activities.

7. Avoid Ineligible Activities

Certain activities can jeopardize a charity’s registered status, including:

• Private benefits: Ensuring no individuals or businesses profit from the charity’s funds.
• Political partisanship: Avoiding direct or indirect support for political parties or candidates.
• Excessive business activities: If your charity operates a business, it must be directly related to your mission and not generate excessive profits unrelated to charitable work.

8. Stay Updated on CRA Regulations

The CRA occasionally updates its guidelines for charities, so it’s important to stay informed. Your charity can:

• Regularly check the CRA website for policy updates.
• Attend compliance webinars and training sessions offered by legal and accounting professionals.
• Consult with a charity lawyer to ensure ongoing compliance.

Conclusion

Staying compliant with the CRA is essential for Canadian charities to maintain their registered status and continue serving their communities. By keeping accurate records, meeting financial obligations, and following CRA guidelines, your charity can operate smoothly and avoid regulatory issues.

If you need help ensuring compliance, consulting with a charity law expert can provide valuable guidance. By staying proactive, your organization can focus on its mission while meeting all legal requirements.

At Northfield & Associates our expert teams guidance on compliance requirements. Our team understands Canadian charity law and can help ensure your organisation follows proper procedures.

Get professional support today by email at info@northfield.biz, by phone at (416) 317-6806, or visit us or Schedule your free consultation to discuss your specific circumstances and receive expert assistance throughout the reinstatement process with our experienced legal team.

Ready for better nonprofit reporting?

At Northfield & Associates, we have a team of professional bookkeepers and accountants to help your organization manage the books so that you can breeze through tax season.

GET IN TOUCH

What We Do!

We’re often asked by prospective clients what our Bookkeeping Service covers?  People want to know what specific tasks we do, and what their responsibility is.  This brief explainer page will answer that question.  This is by no means an exhaustive list, but covers the most frequently asked questions.

Getting Started

• Review your existing books for needed corrections or back-work
• Chart of accounts setup or amendment
• Assistance with setting up bank feeds
• Limited assistance* with setting up payroll (QBO or Gusto only)
• Your books brought current and reconciled if needed

Ongoing Monthly Bookkeeping

• After-the-fact transaction recording
• Post to general ledger
• Post to other ledgers (as needed)
• Bank account reconciliation
• Monthly financial statements
• Other bookkeeping services, as required
• Best-practice bookkeeping advice and counsel

Year End

• Assistance with 1099-NEC preparation*
• Assistance with 1099-MISC preparation*
• Year-end financial statements and period-end closing

What We Don’t Do

Pay bills

We do not offer bill-pay services at this time, nor do we manage Accounts Payable (AP) or Accounts Receivable (AR).

Payroll tax responsibility

Our bookkeepers can assist you in setting up your initial payroll service in QBO or Gusto. We are not responsible for entering payroll hours/salary, accruing payroll taxes, nor the transmittal of payroll taxes to the IRS or the state.  Your full-service payroll provider (QBO, Gusto, or whatever other service a client uses) will be the responsible party for payroll and payroll tax compliance.

*Payroll deductions and benefits

We provide assistance with setting up a payroll account in either Quickbooks Online or Gusto, including entry of employee data.  We do not assist in state registrations, benefits, or advise on deductions.  Those service areas are provided directly by either QBO or Gusto.

Preparation of W2s

Similar to the last item, your full-service payroll provider (QBO/Gusto) is responsible for preparation of Form W2 for employees.

Sales tax reporting

For those nonprofits that sell taxable goods and/or services, your bookkeeper will assist in accounting for sales taxes collected and transmitted, but we do not prepare state sales tax reports.

Donation recording

We do not provide individual donation data entry into your neither your donor CRM nor Quickbooks Online, nor do we prepare year-end donor acknowledgements.

Administrative tasks

We cannot provide administrative services unrelated to our bookkeeping function.

Attend board meetings

Due to the constraints of time and distance, we are unable to be present, physically nor virtually, at a meeting of a client’s board of directors.*May incur additional fee per 1099-NEC or 1099-MISC.

Let’s Collaborate & Make a Difference!

Partner with us to amplify your mission. Whether it’s Charity accounting, financial transparency, or strategic growth—we’re here to help you create meaningful impact. Let’s work together to build a better future!

Book a Call

Contact us today to schedule your consultation.

Working with Our Firm

In this evolving economic landscape, collaboration with our firm offers clients a strategic advantage. With Cambodia’s reform-driven investment environment and Canada’s expanding footprint in Southeast Asia, our team of experienced consultants and legal advisors provides tailored guidance to help businesses navigate cross-border opportunities. We focus in developing comprehensive legal strategies, structuring international partnerships, and ensuring compliance in emerging markets.

By leveraging our regional insight and international expertise, you benefit from a trusted partner dedicated to helping you capitalize on growth potential in Cambodia and beyond.

Book a Consultation with Northfield & Associates

Your Trusted Partner in International Bilateral Relations

At Northfield & Associates are focus in Foreign Direct Investment (FDI), international trade missions, and cross-border legal strategy. Our team of experienced consultants and legal advisors offers tailored guidance and strategic insight to help you navigate the complexities of international partnerships and development opportunities.

Whether you choose to meet in person at one of our offices or connect virtually, we provide flexible and accessible consultation options. During your session, we’ll assess your goals, review key documentation, and guide you through every stage of your FDI or trade mission engagement.

Let us help you take the next step with confidence supported by trusted legal and strategic counsel every step of the way.

Northfield & Associates

Advancing Global Partnerships, Together.

Take the First Step Today

If you believe you may be eligible for legal relief or simply need sound legal advice, we’re here to help. Contact us today to book your consultation. Let us provide the clarity, strategy, and peace of mind you need to move forward.

Disclaimer: The information contained in this article is provided for general information purposes only and does not constitute legal or other professional advice. Readers should seek tailored legal advice in relation to their personal circumstances.

We serve our clients in English, Cambodian, Vietnamese, Mandarin and Cantonese, especially in Asian clients.

• If you or anybody that you know, think that you meet the requirements and wish to receive further information.
• We can help you start the application process and confirm eligibility requirements to participate.
• We Offer Consultations & Meetings by Phone & Virtually. Affordable Fees.

Book a Consultation Today

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About Northfield

Northfield & Associates International Corporation is a global consulting firm serving private enterprises, public institutions, not-for-profit organizations, and institutional capital providers. Operating across Cambodia, Canada, and global markets, the firm supports capital deployment, regulatory navigation, and enterprise decision-making in complex economic and geopolitical environments. Northfield & Associates delivers customized, execution-focused advisory solutions that drive measurable transformation, strengthen competitiveness, and enhance long-term highest value opportunities. The firm incorporates consulting, legal, regulatory, financial, and risk expertise to enable disciplined capital allocation, strong governance, and operational resilience. Northfield & Associates upholds a culture of applied insight and innovation, supporting clients across digital transformation, growth strategy, and organizational capability building. The firm advises individual, leading global corporations, midsize enterprises, government agencies, and mission-driven organizations through long-term partnerships. Enterprise-wide risk management, professional ethics, and fiduciary standards are embedded across all operations. Northfield & Associates’ diverse, globally unified teams are committed to execution certainty and sustainable, risk-adjusted returns aligned with ESG and stakeholder objectives.

Forward-Looking Information

This news release contains forward-looking information. All statements, other than statements of historic fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future constitute forward-looking information.

This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company.

Forward-looking information is subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things: the failure to finalize negotiations concerning the increase of the Loan or to close such transaction and the failure of the Company to complete the acquisition of the Company Facility; operating performance of facilities; environmental and safety risks; delays in obtaining or failure to obtain necessary permits and approvals from government authorities; unavailability of plant, equipment or labour; inability to retain key management and personnel; changes to regulations or policies affecting the Company’s activities; and the other risks disclosed under the heading “Risk Factors” and elsewhere in the Company’s amended annual information.

Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.

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