FIN 002 Cash Management

STANDARD OPERATING PROCEDURE
SOP NR 002 FIN

Department: Rev Control Cash Management
CASH AND BANKING
1. INTRODUCTION
The purpose of banking & cash procedures is to establish controls surrounding

the banking arrangements, the receipts and disbursement of cash & cheque, then
accounting and reconciliation. Broadly, the procedures provide guidelines of banking
attunements, cover withdrawal of funds from the bank, petty cash disbursement,
preparation of bank reconciliation statements and the update of accounting records.
2. RESPONSIBILITIES
2.1 General Cashier
Disburse funds after review of approvals.

Secure Cash at all times.
Perform banking procedures on a daily basis
2.2 Accountant
Update Cash & Bank Book on a daily basis.
Prepare bank reconciliation statement.
Ensure payments are approved and authorized.
2.3 Assistant Finance Manager
Oversee the cash and Bank arrangements.

Review and Sign off Bank Reconciliation.
Checking and Approval of all Disbursements
Check Approve House Float Reimbursement
Checking of weekly Banking Recon
2.4 Accountant /Revenue Audit

To tally Cash collected during the previous day as per Night Audit Report and
Highlight any discrepancy
Check all Banking Slips and ensure banking is posted
Do daily banking Recon
Prepare Weekly House Float recon and Reimbursement
3. PROCESS FLOW
3.1 Role of Restaurant Cashier
a. All Cash collected at the different outlets should be accounted for as per policy
and deposited in the drop safe after reconciliation with Night Auditor.
b. Separate all the Cash received into various denominations.

c. Write out the cash Remittance summary; indicate his name; shift, outlet and detail
of the currency received in various denominations.
d. As per the details written out on the summary, deposit all the currency in the
envelope sealing it properly and irefully.
e. Drop this envelope into the safe especially maintained for this purpose at the
Front
f. Office Cash and make an entry into the relevant register and witness the drop of
the cash.
3.2 Role of Front Office Cashier
The Front Office Cashier must also deposit all the cash collected during the
shift, using cash remittance report as in case of all other Cashiers. However, in the
case of the Front Office Cashier, since foreign currency is also collected, a detail of this
must also be enclosed.
Front Office Cashier also collects payments from guest on behalf of the Credit
department.
Collection against charges incurred by the guest. In such a case the Citi ledger
Receipt must be made out in duplicate. The original will be stamped Paid and
Issued to the Guest, The copy will be signed by the Guest and attached to the
Cashier Shift Summary.
The front office Cashier will make summary of all collections separate indicating
the various modes of payments.
3.3 Role of General Cashier

Every Morning at 8 am the General Cahier will collect, count and tally cash in
deposited at the Front Office drop safe from all outlet hotel cashiers and Front Office
Cashiers.
The general cashier will check and that all IDS summaries tally with the cash count
The General cashier shall prepare all previous day sales collections for banking and
proceed to bank as per procedure.
All cash payments will be done by the General Cashier after Petty cash approval by
concerned HOD, Asst Finance Manager and General Manager. No payments shall be
done in the absence of these signatures. In the absence only a higher authority than
the stated officers shall approve the payments
General Cashier has to prepare a Daily General Cash Summary indicating all cash
receipts and payments on a daily basis. This will be checked and signed by the Asst
Finance Manager on a daily basis to ensure the adequate accounting entries.
All Hotel cash and cheque is to be maintained in a fireproof safe, and secured in a
room with restricted access.
Access to the safe must be documented and passwords only held by the Asst Finance
Manager, General Cashier and any other person as designated by the Asst Finance
Manager.
3.4 Internal Control on Cash Sale & Cash collection

Income Accountant, have to cross tally cash collection based on Night Auditor
closing report and all cash collections vs the General cashier Cash book.
General Cashier; the Finance department should pass adequate accounting
entries in the books of accounts on a daily basis.
3.5 Credit /Debt Colletor
The credit/debt collector will make a collection report against Citi ledger on a daily
basis indicating cheque and cash collected and forward to the Asst Finance
Manager.
Cheque and cash received along with the collection report is to be given to
General cashier daily for ultimately depositing in the bank account on the day of
receipt by the finance department.
Cheque returned back by the bank due to dishonor or for any other reason is to
be forwarded to the Asst Finance Manager for further action.
3.6 Bank Reconciliation
The accountant is to prepare Bank Reconciliation for all the bank accounts on a
weekly basis which is further reviewed and approved by the Asst finance manager.
3.7 Preparation of daily fund position report of cash in hand as well as for cash at bank.
Finance Department is to prepare a bank balance report showing available

balances in all the respective Bank Accounts on weekly basis and the same is
forwarded to the Corporate Finance Office on the first day of the week or as required.
4. House Floats.
4.1 The hotel shall maintain the following house floats for daily operations. This floats are to
be used for Change and not payment of any nature.
All payments will be from the General Cashier Float and must be approved by the
ASFM and GM.
Kahawa 20, 000.00 RWF

Fiesta Restaurant 20,000.00 RWF
Rooftop Rendezvous Bar and Grill 50,000.00 RWF
Front Office Cashiers 100,000.00 RWF. USD 300
General Cashier 2,000,000.00 RWF, USD 2000
Administration:
All above floats will be signed to the HOD who will be the responsible to ensure the right
use as required.
The Finance Department will take daily checks and the same recorded and any
discrepancies raised.
The above outlet floats will be reimbursed on a daily basis through a float reimbursement
form approved by the Asst Finance Manager and General Manager
The general cashier shall prepare a float reimbursement summary for all expenses drawn
from the floats. All such expenses must have the approval of the Asst Finance Manager
and the General Manager.
The reimbursement will be checked and approved by the Asst Finance Manager and
General Manager for a cheque to be draw requesting for replenishment of the House
Float.
No Float shall be reimbursed from the Sales Revenue and it is a cardinal offense to use
the sales Revenue unless approved by the MD in writing.

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STANDARD OPERATING PROCEDURE

SOP NR 002 FIN

CASH AND BANKING

The purpose of banking & cash procedures is to establish controls surrounding

2.1 General Cashier

Disburse funds after review of approvals.

2.3 Assistant Finance Manager

Oversee the cash and Bank arrangements.

2.4 Accountant /Revenue Audit

b. Separate all the Cash received into various denominations.

3.2 Role of Front Office Cashier

3.3 Role of General Cashier

3.4 Internal Control on Cash Sale & Cash collection

3.5 Credit /Debt Colletor

3.6 Bank Reconciliation

Finance Department is to prepare a bank balance report showing available

Kahawa 20, 000.00 RWF

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