As one looks through the eyes of a taxpayer, how do you think they would react to any one of the following responses from a public official when asking about how the entity manages their public cash?
1.) Why bother? Cash has no value.
2.) I don’t have the time, given all our other priorities.
3.) All our money is already invested in our bank.
4.) I don’t want to risk not having cash when I need it.
5.) I don’t currently have the staff or resources to look into this.
6.) It’s probably not going to be worth the effort.
7.) My board won’t approve it.
8.) It’s only going to bring in another $50K to$100K. That’s not enough to really impact my bottom line.
9.) All our cash is spread among so many banks and bank accounts, it would be a giant hassle.
10.) I don’t want to upset my bank or bankers.
Just imagine if those you serve heard those responses as they open their tax bill or tuition bill.
Given the financial stresses and tight margins public and higher Ed institutions experience, the need to have a single asset sitting dormant provides little cover when asked this hard question: “Why didn’t you?”
cashVest® by threeplusone® is our proprietary liquidity analysis service that helps public entities take unrecognized and underappreciated cash and turn it into a revenue-generating asset.
Cash has real value in today’s marketplace—on average 2.25%. That can add up to real income in the six- or even seven-figure levels.
As a treasurer of a public authority and a trustee to a university, I truly understand the stresses on a finance staff. One more request can mean putting something else aside. However, you do not need to do this alone. The threeplusone® team can analyze all your cash, develop time-horizon patterns on it, and work alongside you in having a conversation with your bank(s). The end result: higher earnings on your cash.
Regarding private higher Ed institutions, our liquidity analysis will substantiate your Financial Accounting Standards Board (FASB) liquidity-disclosure requirement in 2019.
Join the ranks of our clients whose most common question after using cashVest® by threeplusone® for the first time is: “Why didn’t I do this sooner?”
