All clubs are required to manage and document their finances year-round. You MUST record the following:
Income & Expenses
Assets & Liabilities
The paper trail (receipts, proof or transactions etc) - for when you get audited
All of your clubs income and expenses must be documented in a financial statement. We’ve developed financial statement template that we’d like you to adopt. This updated template is much easier to follow and will save you time over your year in tenure. It is not mandatory that you to adopt our template, however, it is highly encouraged in order to avoid having issues when re-registering your club each year. If you have a great system in place already, feel free to continue with it!
As many of you know, your club must prepare and show an up-to-date copy of your club's financial statement for the year to your members at your Annual General Meeting during August - November. This same financial statement must then be submitted to the Guild in order to re-register each year. To prepare for this, we urge you to follow our tips to avoid some issues that you may not predict.
Check your bank statement (or online banking transactions) regularly and cross check this with your financial statement document. Financial Statement documents are a clearer and compiled view of your bank & cash transactions that list all of your income and expenses (Page 1 of our template).
Update your financial statement throughout the year, not just before your AGM!! This is important for many reasons, some are:
Your club can be audited at any time, so it is important that this statement is kept up-to-date all year.
Club committee changeovers happen from time-to-time so it would be very difficult for a new treasurer to come in halfway through the year and have to start from scratch with no knowledge of the clubs financials during that year. This can cause major problems when developing your Financial Statement.
Save your spreadsheet in a central location such as Google Docs and give access to all club committee members. This is important for the following reasons:
If your club handles cash, document your cash transactions in a petty cash journal (see page 2 of our template):
If your committee members are spending their own funds and are promised a reimbursement from the club, make sure that you have a process in place. Discuss and plan the reimbursement process with your committee at a meeting PRIOR to agreeing to your first reimbursement. Cover things like:
Check this page again at a later date for a reimbursement form template (were currently working on one for you).