ANNUAL GENERAL MEETING 16 JANUARY 2022
TREASURERS REPORT
Having joined the Legion Scotland SCIO, we were able to get our Annual Accounts approved by HQ and submitted to the charity regulator OSCR free of charge. We also saved money being covered by HQ’s Public Liability insurance for our Remembrance Day parade.
Branch income has been from our £5 per member share of the Capitations fees, some donations and a small surplus from our veteran’s breakfast clubs.
Branch expenditure included a Building Survey Report by Ogilvy Chalmers, kitchen equipment and posting notices to members for the EGM and AGM.
Mandated by the previous AGM to recruit more members, a ‘Benefits of Membership’ campaign was instigated which illustrated how membership fees are used to support the Legion Scotland charitable purpose and we also offered members a discount on bar prices. Consequently, membership has increased from 152 to 253.
It was agreed at the AGM that due to our financial position, and despite the high level of commitment by Executive Officers, no Honorarium payments were to be awarded at the time. We now have the funds to consider paying Honorarium for this year and the previous year. Being conflicted, the Executive Officers have referred the matter to a Remuneration Sub-committee who will make their recommendations separate to this report.
Following instruction from the National Board of Trustees to incorporate social clubs as a FCA regulated Mutual Trading Society governed by the membership, an EGM mandated the Executive Officers to run the business on a day-to-day basis until the Special General Meeting which is required to mandate incorporating.
As instructed, the Branch is required to provide the Club with a Lease for use of the licensed premises and this was put in place.
As mandated, a Business Development Plan was created and approved by the Committee. We now operate monthly Management Accounts which track business performance for revenue, cost-of-sales, staff costs, running costs and maintenance. Business is picking up but Covid is likely to continue to impact the rate of business recovery. Nonetheless, to be financially viable, the business must generate around £215,000 per annum. However, recent experience indicates that with regular hall filling events, the potential of the business is in excess of £385,000 per annum. As long as sensible business decisions are made, the business will survive and should thrive.
With the requirement to run the Club business at arms-length from the Branch charity by two separate committees, the next step is to ensure the Officers running the club are not also officers of the Branch. Comprehensive notes have been prepared to enable any computer literate person to be Treasurer, and he/she will also be supported by the service contract we have with our accountants. After the financial year end (31st March), our accountants will prepare annual accounts for the AGM.
Iain Maddox
Treasurer