AUCKLAND BEEKEEPERS CLUB INCORPORATED. Performance Report For Year Ending 31 st May 2016

Transcription

1 AUCKLAND BEEKEEPERS CLUB INCORPORATED Performance Report For Year Ending 31 st May 2016

2 Contents Page Entity Information 3 Statement of Service Performance 4 Statement of Financial Performance 5 Statement of Financial Position 6 Statement of Cash Flows 7 Statement of Accounting Policies 8-9 Notes to the Performance Report Independent Auditors Report 13 2 P a g e

3 Entity Information Legal name of Entity Entity type and legal basis Auckland Beekeepers Club Incorporated Auckland Beekeepers Club Incorporated is a registered incorporated society under the Incorporated Society Act Registration number Incorporated Society # Physical address Unitec Campus Carrington Road Mt Albert Postal address PO Box Point Chevalier Auckland 1246 Website Committee Martin Garside President / Equipment Officer Marc Van der Putten Vice President/IT Paul Walsh Apiary Coordinator Steve Leslie Treasurer Debi Jacka Minutes Secretary Carol Downer Journal Editor Kim Kneijber Committee Member Kumar Suppaya Committee Member Lisa Morissey Committee Member Purpose/Mission To promote the spirit of the hive, i.e. the greatest good for the greatest number by: a) Operating a demonstration apiary. b) Providing a regular series of meetings and field days for the instruction of members and the interchange of ideas and demonstrating the activities of the hive throughout the year, by competent beekeepers. Providing advice and assistance to our members. Assisting members of the public who are worried by swarms, wild hives, or bees. Education of the public on the value of bees in the environment. Creating a feeling of 'camaraderie' among beekeepers consistent with the above spirit. Entity Structure Auckland Beekeepers Club Incorporated is a Not-For-Profit organisation governed by its elected Committee. The Club rules specifies that the elected Committee is to be comprised of certain officers and general Committee members. Within the Committee, the Treasurer is responsible for maintaining the accounting records of Auckland Beekeepers Club Incorporated. There are no paid employees of Auckland Beekeepers Club Incorporated who are responsible for the day-to-day operations of the Club with the remaining duties being done primarily by volunteers. Main sources of cash and resources Auckland Beekeepers Club Incorporated relies on member subscriptions as well as sale of bee products to members too fund all day-to-day activities. The Club also undertakes training courses in beekeeping for new members and AFB education sessions. Reliance on volunteers and donated goods or services Volunteers are an integral part of Auckland Beekeepers Club Incorporated operations. They assist in all aspects of running the Club monthly events. 3 P a g e

4 Statement of Service Performance For the year ended 31 May 2016 Auckland Beekeepers Club Incorporated outcomes: The outcomes of Auckland Beekeepers Club Incorporated include: Number of members attending beekeeping and AFB training courses. Provide a welcoming environment for members and public to attend field days to learn about beekeeping. To build and maintain a sustainable organisation to ensure Auckland Beekeepers Club Incorporated can continue to achieve its purpose Auckland Beekeepers Club Incorporated outputs: Actual 2016 Actual 2015 Total Number of members attending training courses Total Average Number of members attending each of the field days on average Approximate Number of members attending Honey Show Other output measures: In building and maintaining a sustainable organisation, the Committee have continually worked towards maintaining a strong assets base and to ensure Auckland Beekeepers Club Incorporated aims to achieve breakeven on an annual basis. This was achieved in the current year through scaling the level of operating activities to the level of funds received in order to maintain a strong bank and investment accounts balance. 4 P a g e

5 Statement of Financial Performance For the year ended 31 May 2016 Note Revenue Subscriptions 24,572 16,957 Product Sales 2 31,988 33,671 Training Income 2 25,210 18,882 Donations & Gifts 555 1,110 Advertising Miscellaneous Income - 25 Total Income 82,485 70,965 Interest Received 2,340 2,326 Total Revenue 84,825 73,291 Trading Expenses Change in Inventory 2,328 (1,944) Purchases 23,261 28,990 Training & Books & Texts 7,567 10,940 Beekeeping & Clubhouse Expense Dues & Subscriptions Apiary Equipment Expenses 2, Clubhouse Supplies 718 1,669 Hireage 3, Refreshments & Supplies 535 1,045 Maintenance 1, Administration Expenses Advertising and Web 6,869 7,828 Bank & Credit Card Fees 1,284 1,229 Committee Expenses Depreciation Consultancy Fee 1, Gifts for Officials 104 1,110 Honoraria Postage 3,695 2,085 Printing 3,100 2,580 Total Expenses 60,599 59,443 Surplus for the year 24,226 13,847 5 P a g e

6 Statement of Financial Position As at 31 May 2016 Notes Current Assets ASB Cheque Account 3 28,350 16,092 Term Deposit Accounts 3 72,663 60,322 Accounts Receivables Inventory 9,033 11,361 Total Current Assets 110,155 87,775 Non Current Assets Intangible Assets 4 1,035 1,035 Office Equipment ,082 Total Non Current Assets 1,653 2,117 Total Assets 111,808 89,892 Current Liabilities Subs In Advance - 2,310 Total Current Liabilities - 2,310 Net Assets 111,808 87,582 Accumulated Funds Accumulated Surpluses 111,808 87,582 Total Accumulated Funds 111,808 87,582 These financial statements are signed on behalf of the Club by: Date: Date: 6 P a g e

7 Statement of Cash Flows For the year ended 31 May 2016 Notes $ $ Cash flows from operating activities Cash was received from: Donations and other similar receipts 765 1,405 Fees, subscriptions and other receipts from members 22,030 16,297 Receipts from providing goods or services 57,231 52,553 Interests receipts 2,340 2,326 82,367 72,581 Cash was applied to: Payments to suppliers and employees (57,664) (64,968) Donations or grants paid (104) (1,110) (57,768) (69,098) Net cash flows from operating activities 24,599 6,504 Cash flows from investing and financing activities Cash was applied to: Payment to acquire plant and equipment - (791) Net cash flows from investing and financing activities - (791) Net increase/(decrease) in cash 24,599 5,713 Opening cash 76,414 70,701 Closing bank accounts and cash 101,013 76,414 This is represented by: Bank accounts and cash 28,350 16,092 Term Deposit accounts 72,663 60,322 Closing bank accounts and cash ,013 76,414 7 P a g e

8 Note 1 Statement of Accounting Policies For the Year Ended 31 May Basis of preparation Auckland Beekeepers Club Incorporated has elected to apply PBE SFR-A (NFP) Public Benefit Entity Simple Format Reporting Accrual (Not-for-profit) on the basis that it does not have public accountability and has total annual expenses of equal to or less than $2,000,000. All transactions in the Performance Report are reported using the accrual basis of accounting. The Performance Report is prepared under the assumption that the entity will continue to operate in the foreseeable future. The Club is affiliated to the National Beekeepers Association of New Zealand. The financial statements are prepared on the historical cost basis and presented in New Zealand Dollars (NZD) rounded to the nearest dollar. Date of authorisation The financial Statements of the Club are for the year ended 31 May The financial statements were authorised for issue by the Committee on the 10 January Goods and Services Tax (GST) Auckland Beekeepers Club Incorporated is not registered for GST. Therefore, amounts recorded in the Performance Report are inclusive of GST. 1.3 Revenue Revenue is recognised to the extent that it is probable that the economic benefit will flow to Auckland Beekeepers Club Incorporated and revenue can be reliably measured. Revenue is measured at the fair value of the consideration received. The following specific recognition criteria must be met before revenue is recognised. Subscriptions and other similar revenue Member Subscriptions Members of the Auckland Beekeepers Club Incorporated are required to pay an annual membership fee of $40 and this revenue is recognised upon receipt. Donations are recognised as revenue upon receipt. Revenue from providing goods and services Product Sales Auckland Beekeepers Club Incorporated receives revenue from the sale of beekeeping supplies to members only and the sale of Club honey. Revenue is recognised in the period the goods and services are provided Training Income Auckland Beekeepers Club Incorporated runs training courses during the year and receives revenue from those attending. This revenue is recognised in the period the service is provided. Interest revenue Interest revenue is recognised as it accrues, using the effective interest method. 8 P a g e

9 1.4 Bank accounts and cash Bank accounts and cash are short term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value 1.5 Inventories The Club held for sale beekeeping supplies which are measured at the lower of cost and net realisable value. Any write down of inventories is recognised in the statement of financial performance. Cost is determined on a first in, first out basis. 1.6 Property, plant and equipment Items of plant and equipment are measured at cost less accumulated depreciation and impairment losses. Cost includes expenditure that is directly attributable to the acquisition of the asset. Where an asset is donated to the entity, its cost is measured at its current value as at the date of acquisition. Depreciation is charged on a straight line basis over the useful life of the asset. Depreciation has been calculated under the diminishing value method to allocate the cost of an asset over its estimated economic useful life, using the following rates: Office equipment 40% DV Depreciation methods, useful lives and residual values are reviewed at each reporting date and are adjusted if there is a change in the expected pattern of consumption of the future economic benefits or service potential embodied in the asset. 1.7 Income Tax Auckland Beekeepers Club Incorporated is wholly exempt from New Zealand income tax having fully complied with all statutory conditions for this exemption. 1.8 Leases Payments on operating lease agreements, where the lessor retains substantially the risk and rewards of ownership of an asset, are recognised as an expense on a straight-line basis over the lease term. 1.9 Changes in accounting policy* There have been no changes in accounting policies during the financial year. However, it should be noted that the basis of preparation has changed from adopting NZ IFRS (Diff Rep) for a not-for-profit Public Benefit Entity to Tier 3 Public Benefit Entity Simple Format Reporting Accrual (Not-for-Profit) guidance issued by the External Reporting Board. 9 P a g e

10 Notes to the Performance Report For the Year Ended 31 May 2016 Note 2 Trading Income Product Sales The Club earned net income from the sale of beekeeping supplies and honey totalling $6,399 in 2016 (2015: $6,625) summarised as follows: Product Sales 31,988 33,671 Less Opening Stock (11,361) (9,417) Less Purchases Beekeeping Supplies (23,261) (28,990) Add Closing Stock 9,033 11,361 Net Trading Income 6,399 6,625 Included in Product Sales is the annual Easter Show Club honey sales of $2,680 (2015:$4,481). Training Income The Club receive income for two Club organised training courses during the year, AFB Recognition & Competency course and Introduction to Beekeeping for new members. This is summarised as follows: Training Income 25,209 18,882 Less Training Fees and Books (7,567) (10,941) Hall Hire (3,959) (496) Net Training Income 13,683 7,445 Note 3 Cash and Cash Equivalents ASB Operating Account 28,305 16,092 ASB Deposits 72,708 60,322 Total Cash and Cash Equivalents 101,013 76,414 The Club has no arranged overdraft facilities with the ASB Bank Limited. Note 4 Fixed Assets Fixed Assets 2016 Cost Depreciation Accumulated Depreciation Carrying Value Intangible Assets 1, ,035 Office Equipment 2,071 (464) (1,453) 618 Total 3,106 (464) (1,453) 1,653 Cost Depreciation Accumulated Depreciation Carrying Value Fixed Assets 2015 Intangible Assets 1, ,035 Office Equipment 2,071 (327) (989) 1,082 Total 3,106 (327) (989) 2, P a g e

11 Note 5. Accumulated funds Accumulated surpluses or deficits Accumulated surpluses or deficits Opening balance 87,582 73,735 Surplus/(Deficit) 24,226 13,847 Closing balance 111,808 87,582 Note 6 Objectives for managing capital The Club seeks to maintain sufficient members funds to enable it to manage its on-going operations and obligations. In order to do this the Club aims to operate at a surplus and maintain the level of working capital and term deposits. These objectives have been agreed by the Club Committee. No requirements on the level or use of the Club s capital have been externally imposed. Note 7 Related party transactions Tthe Club had the following related party transaction: The Club has paid the following Honoraria to committee members: $ $ o Martin Garside o Carol Downer o Marc Van der Putten o Annemaire Preston o Paul Walsh o Debi Jacka 80 - o Sherie Preston The following payments have been made to Committee members organise and tutor the AFB Recognition & Competency course and the Introduction to Beekeeping to members: $ $ o Kim Kneijber 2,800 2,850 o Carol Downer 2,950 3,400 o Paul Walsh There were no amounts outstanding at year end relating to these transactions. 11 P a g e

12 Note 8 Other Matters As at 31 May 2016 there were no contingent liabilities for which the Club may be liable (2015: nil) As at 31 May 2016 there were no capital commitments (2015: nil) The Committee is not aware of any other events after the balance date, not otherwise dealt with in these financial statements that have significant or may significantly affect the operations of Auckland Beekeepers Club Incorporated. e were no known subsequent events impacting on the financial statements reported for the year ended 31 May Note 9. Other disclosures Goods and services provided to the entity in kind Description Peter Hine provides audit services to Auckland Beekeepers Club Incorporated on a pro bono basis. No non-audit services are provided by the auditor. Amount $ Nil Auckland Beekeepers Club Incorporated relies heavily of the generosity of the member donated time. During the year, total donated volunteers time was approximately 2000 hours. The amount of volunteer time donated to Auckland Beekeepers Club Incorporated cannot be valued as there are no equivalent paid positions with the organisation. 12 P a g e

13 Independent Auditors Report To the committee of the Auckland Beekeepers Club Incorporated. I have reviewed the financial statements on pages 1 to 10. The financial report provides information about the past financial performance of the club and its financial position as at 31 May The information is stated in accordance with the accounting policies set out in Note 1 to the financial statements. Committee s Responsibilities The committee is responsible for the preparation and fair presentation of the year ended 31 May 2016 financial statements in accordance with the Not for Profit Public Benefit Entities (NFP PBEs) financial reporting standards and such internal control as the committee determine is necessary to enable the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error. The committee has determined that the accounting policies used, and described in Note 1 to the financial report, are appropriate to meet the needs of the members. Auditors Responsibilities It is my responsibility to express to you a conclusion on the year ended 31 May 2016 financial statements based on my review. I have conducted a review in accordance with NZ SRE 2410 Review of Statements Performed by the Independent Auditor of the Entity. NZ SRE 2410 requires me to conclude whether anything has come to our attention that causes us to believe that the financial statements, taken as a whole, are not prepared in all material respects, in accordance with the Not for Profit Public Benefit Entities (NFP PBEs) financial reporting standards. A review of the year ended 31 May 2016 financial statements in accordance with NZ SRE 2410 is a limited assurance engagement. The auditor performs procedures, primarily consisting of making enquiries, primarily of the persons responsible for the financial and accounting matters, and applying analytical and other review procedures. The procedures performed in a review are substantially less than those performed in an audit conducted in accordance with International Standards on Auditing (New Zealand). Accordingly I do not express an audit opinion on those financial statements. Other than in my capacity as assurance practitioner I have no relationship with, or interests in the Auckland Beekeepers Club Incorporated. Basis for Qualified Conclusion As is common with similar organisations of a similar nature, the control over income items (such as subscriptions, donations, raffles and fundraising etc.), control over revenues for these takings prior to being recorded is limited; there are no practical audit procedures to determine the effect of this limited control. Additionally, consistent with other organisations of this size and type, internal segregation of duties is limited. Qualified Conclusion Based on my review, with the exception of the matter described in the preceding paragraph, nothing has come to my attention that causes me to believe that these year ended 31 May 2016 financial statements of the Auckland Beekeepers Club are not prepared in all material respects, in accordance with the Not for Profit Public Benefit Entities (NFP PBEs) financial reporting standards. My review was completed on the 11 February 2017 and my qualified conclusion is expressed as at that dated. Peter Hine CA 13 P a g e