4L - Treasurer's Report

[Fred McKim]

As Treasurer, I try to give advice on any expenditures we contemplate making throughout the year and also act as part of the Board of Directors on general matters that need discussion and a resolution.

The Financial Statements will be attached to the meeting (perhaps in the Executive Director's Thread). However, I am again presenting the Cole's Notes Version. Please feel free to ask any questions.

INCOME
Net Membership Fees 44000
Net Rating Fees 28300
Chess Foundation 10600
CMA Book & Equipment Contract 5000
-------
87900


EXPENSES
Administration 50000
Net International Programs 26500
Newsletter & Newsfeed 8600
--------
85100



SURPLUS 2800

[Bob Gillanders]

Financial Statements for 2017 are now on the website.
http://www.chess.ca/sites/default/files/CFC2017c.pdf

Chess Foundation of Canada report is also now on website.
http://www.chess.ca/sites/default/files/2017foundation.pdf

[Fred McKim]

From the Public Gallery:

Hi Brent. I think Bob can give a better answer to most of these, but I'll do what I can.




Quote Originally Posted by Brent Golem View Post

Hey Fred,

I had a couple questions about the Financial statements, if you can answer. I can't post in the other thread, so I'm not sure if this is the right spot.


BALANCE SHEET
1. Deferred membership revenue – Would this number give us an idea of when people purchased subscriptions during the year? Deferred annual - $25199, Paid annual - $43,491, so only $18,292 count toward this year, meaning the majority of members make their purchases/renewals later in the year? 2016 had $23,583 in deferred revenue, what line item is that number represented in the 2017 financials?

** Yes. It's accounted for as a net gain or loss for the year in the Notes (see Memberships).

STATEMENT OF REVENUE AND EXPENDITURE
2. Sales of Books and Equipment – The number in 2017 and 2016 was $5000, down from $5250 in 2015 and $10298 in 2014. Is that a flat-rate 3rd party "advertising" agreement, and we don't sell any equipment internally nor receive commission from sales driven from CFC traffic?

** We currently have a contract with CMA. We receive $5,000 in order to provide advertising for them (and of course we agree to sell no books or equipment).

3. Publication: e-Newsletter – Are there any financial notes for this item? For a large expenditure it's interesting that we can't see how expenses have changed year over year. Why is there a significant drop this year? Less issues and postage, or other?

** We have a monthly budget of $1,500 for the Newsletter and Newsfeed. There were less issues this year. There is no postage. By coincidence it came at a good time as we had a huge Olympic line item

NOTES TO FINANCIAL STATEMENTS
4. Domestic Rating Fees – Is it possible to express these as the types of fees collected? ie, Revenue for regular, active, or junior per player fee, or just raw numbers such as done with the Membership.

** I assume it could be done, but would obviously require time by the ED

5. Annual Membership Fees – For my membership I paid $48 because I live in Ontario. A foreign player would pay $36, so I presume that $12 was transferred to Ontario Chess Association or why is there a difference in provincial fees? If they are indeed transfers, how are they shown in the financials?

** Provincial Fees are a straight in and out and do not appear in the Financial statements. Every province sets their own fees

Thanks for your time and putting this all together.

[Bob Gillanders]

BALANCE SHEET
1. Deferred membership revenue – Would this number give us an idea of when people purchased subscriptions during the year? Deferred annual - $25199, Paid annual - $43,491, so only $18,292 count toward this year, meaning the majority of members make their purchases/renewals later in the year? 2016 had $23,583 in deferred revenue, what line item is that number represented in the 2017 financials?
** Yes. It's accounted for as a net gain or loss for the year in the Notes (see Memberships).


Thanks Fred. That is correct, but if it is still a little fuzzy.

Brent - You are on the right path.
The $23,583 deferred revenue from last year in included in $50,919 revenue this year.
Adjustment to deferred revenue of -$1,616 = $23,583 - $25,199. I hope that makes it clearer.

Your observation that only $18,292 (42%) of the collected $43,491 this year is included in revenue is consistent with my observation that we had a flood of renewals late in the year (March & April).