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Handling of team/player finances

Aug 2, 2019
94
33
I guess basically it comes down to, if their are people making money off it, I guess they can keep the finances private, but in that case they also cannot fundraise. I guess individual groups of families could get together to fund raise, but if someone is making money, no fundraising, it is no longer non profit. and if no one is making money, finances should be transparent.
My professional mentor once told me that non-profits make profits or they don't exist. There are several ways that a for profit company can lose money and still come up with the capital to operate, but a non-profit must bring in revenues greater than their expenses and then find a way to disperse those funds down to a level that the accountants find acceptable.
 
May 6, 2015
1,113
63
My professional mentor once told me that non-profits make profits or they don't exist. There are several ways that a for profit company can lose money and still come up with the capital to operate, but a non-profit must bring in revenues greater than their expenses and then find a way to disperse those funds down to a level that the accountants find acceptable.
at a given point in the season, a team might show a balance, but should be pretty damn close to zero once season is over. that team paid for / raised money for that team. next season, even if all same girls, is a new team. now the team may have spent money on things that will carry over (ie balls, tees, etc.), but should really have a cash balance of zero. this is a little different than a continuously operating non profit.

now an overseeing org may have to keep some balance to deal with offseason expenses (marketing/advertising, fund raising seed money, etc.), but should be minimal if they are non profit.
 
Jun 12, 2015
3,797
83
I guess basically it comes down to, if their are people making money off it, I guess they can keep the finances private, but in that case they also cannot fundraise. I guess individual groups of families could get together to fund raise, but if someone is making money, no fundraising, it is no longer non profit. and if no one is making money, finances should be transparent.
You can absolutely fund raise without being a non-profit. You just can't say you're non-profit. People will know they can't write it off, but often it's things like raffle tickets, laundry detergent, etc. They're not writing that stuff off, and a lot of the people buying are friends & family anyway. Sometimes corporate sponsors will trade for advertising. DD has played for both and I never noticed any real difference in how much was raised through fundraising.
 
May 6, 2015
1,113
63
You can absolutely fund raise without being a non-profit. You just can't say you're non-profit. People will know they can't write it off, but often it's things like raffle tickets, laundry detergent, etc. They're not writing that stuff off, and a lot of the people buying are friends & family anyway. Sometimes corporate sponsors will trade for advertising. DD has played for both and I never noticed any real difference in how much was raised through fundraising.
learned something new, I thought you had to be a non profit in order to do raffles, etc.
 
Jun 12, 2015
3,797
83
learned something new, I thought you had to be a non profit in order to do raffles, etc.
I think in some states you aren't supposed to do raffles because of gambling laws. People find ways around.

Sent from my SM-G965U using Tapatalk
 
Aug 6, 2013
94
8
This is not absolutely the same, patttar, but when my sons were in scouts they had individual “bank” accounts that the troop kept track of. They used an online system to track the expenses and deposits and there was a password protected area each family could access to view that info at any given time. If an account balance had money and fees were due, the treasurer would automatically deduct from the individual account then bill the family for the rest as needed. I do think a treasurer should not be letting account balances accrue that high - it really gives a false calculation of assets the .org has since individual accounts are not technically theirs.
 
Aug 27, 2019
17
3
Lakewood CA.
My professional mentor once told me that non-profits make profits or they don't exist. There are several ways that a for profit company can lose money and still come up with the capital to operate, but a non-profit must bring in revenues greater than their expenses and then find a way to disperse those funds down to a level that the accountants find acceptable.
As someone that works for a large non-profit this is 100% true.
 

pattar

Clueless..
Jun 8, 2016
3,706
113
This is not absolutely the same, patttar, but when my sons were in scouts they had individual “bank” accounts that the troop kept track of. They used an online system to track the expenses and deposits and there was a password protected area each family could access to view that info at any given time. If an account balance had money and fees were due, the treasurer would automatically deduct from the individual account then bill the family for the rest as needed. I do think a treasurer should not be letting account balances accrue that high - it really gives a false calculation of assets the .org has since individual accounts are not technically theirs.
Thanks!!
 
May 22, 2019
14
3
Why do parents feel they deserve to see an itemized spreadsheet of all the costs to run the team or organization?

Last year my daughter played for a large organization. At no point in the season did the team's finances ever cross my mind. At the beginning of the season, we were told how the cost, and what we would get for the cost. Parents agreed to the cost. End of story.

IMO, it would be ignorant to ask to see a team's finances that you have nothing to do with.
There's either a language barrier or autocorrect issue with your response. While agreeing to a program's annual dues is normal... requesting information on where the $ is going should not cause any conflict. Any youth sports organization that refuses to disclose their finances, often has something to hide. Of course, there are exceptions on both sides of this topic, but "I paid, end of story" is not an acceptable response.
 
Oct 29, 2018
14
3
This is not absolutely the same, patttar, but when my sons were in scouts they had individual “bank” accounts that the troop kept track of. They used an online system to track the expenses and deposits and there was a password protected area each family could access to view that info at any given time. If an account balance had money and fees were due, the treasurer would automatically deduct from the individual account then bill the family for the rest as needed. I do think a treasurer should not be letting account balances accrue that high - it really gives a false calculation of assets the .org has since individual accounts are not technically theirs.
Some scout troops/etc do this. But many do not and the troop shares all fundraising for better or worse. My post about not having individual accounts for certain team sports also applies to scouts. Depends how the leaders run it.
 

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