PEDAL POWER ASSOCIATION

TREASURER’S REPORT 1 JULY 2015 to 30 JUNE 2016

FINANCIAL STRATEGY

The PPA is a public benefit organisation with the primary objective of promoting cycling. The Executive Committee pursues a conservative financial policy which facilitates achieving the objectives of the organisation.

During the year, the PPA Office presents monthly financial reports to the Management and Finance Committee for review, after which the monthly financial results are presented to the full PPA Executive Committee. This ensures that the committee is aware of financial matters on an on-going basis. During the past year the Management and Finance committee met when required and the Executive Committee met 8 times. At all times a quorum was present.

AUDITED FINANCIAL STATEMENTS

The Audited Annual Financial Statements for the year ended 30 June 2016 have not been reproduced in full. Copies are available on request from the PPA Office after the AGM.

The PPA has in the year ended 30 June 2016 completed the program which it started in the 2015 Financial Year to substantially increase its capacity to execute both events and projects and has positioned itself to increase its ability to execute its primary mandate of promoting cycling.

The PPA has commenced with a 3 year plan which will establish and develop internal programs focussed on achieving these objectives and which will require increased utilisation of the organisation’s capacity and financial reserves. This can be seen in the Net Deficit recorded for the year.

The financial results of the PPA were audited by our independent registered auditors, Braude Gordon & Co who issued an unmodified audit opinion. The key features of this year’s financial performance are as follows:

PEDAL POWER ASSOCIATION
STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2016
2016 / 2015
R / R
ASSETS
NON-CURRENT ASSETS / 8,006,798 / 8,122,006
Property Plant and Equipment / 8,006,798 / 8,122,006
CURRENT ASSETS / 3,558,124 / 4,577,673
Trade and other receivables / 1,327,294 / 1,705,065
Bank / 2,230,830 / 2,872,608
TOTAL ASSETS / 11,564,922 / 12,699,679
EQUITY AND LIABILITIES
EQUITY / 10,630,649 / 12,041,616
Accumulated surplus / 10,630,649 / 12,041,616
CURRENT LIABILITIES / 934,273 / 658,063
Trade and other payables / 581,925 / 453,664
Membership fees received in advance / 337,955 / 180,568
Bank overdraft / 14,393 / 23,831
TOTAL EQUITY AND LIABILITIES / 11,564,922 / 12,699,679
PEDAL POWER ASSOCIATION
STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 30 JUNE 2016
2016 / 2015
R / R
REVENUE / 8,106,675 / 12,101,553
Subscriptions received / 3,623,293 / 7,257,443
CTCT Income / 3,747,227 / 3,889,914
PPA Trust / 465,857 / 552,797
Finance income / 180,647 / 333,212
Other revenue / 89,651 / 68,187
OPERATING COSTS / 5,183,246 / 3,678,894
OPERATING SURPLUS / 2,923,429 / 8,422,659
EVENT EXPENSES / 1,277,611 / 1,466,568
PROJECT FUNDING EXPENSES / 3,056,776 / 4,845,591
NET SURPLUS/(SHORTFALL) / (1,410,958) / 2,110,500
PEDAL POWER ASSOCIATION
OPERATING EXPENSE LISTING FOR THE YEAR ENDED 30 JUNE 2016
2016 / 2015
R / R
AGM Expenses / 10,858 / 7,837
Audit Fees / 78,475 / 81,569
Bank charges / 33,257 / 27,413
Computer Expenses / 118,625 / 112,734
Copier service contract & service fee / 5,596 / 3,811
Credit Card Commission / 249,245 / 289,325
Depreciation / 227,148 / 114,443
Electricity / 32,670 / 19,953
Finance cost / 5,206 / 18,971
Garden / 7,640 / 620
Gifts & Donations / 951 / 1,640
Groceries / 16,933 / 16,158
Honoraria / 48,000 / 48,000
Insurance / 50,729 / 43,288
Legal Fees / 174,834 / 199,002
Motor Vehicles Expense / 67,426 / 68,609
Municipal Costs / 149,482 / 54,552
Operating expense / 30,289 / 0
Postage, printing and stationery / 24,381 / 18,867
PPA Bloemfontein Office / 114,398 / 23,795
Recruitment Fees / 85,239 / 123,693
Refreshments & Catering / 24,374 / 17,103
Repairs & Maintenance / 25,931 / 22,358
Salaries / 3,511,229 / 2,304,613
Security / 8,432 / 7,441
Staff Training / 16,666 / 200
Subscriptions / 3,576 / 3,141
Telephone / 61,655 / 49,758
OPERATING COSTS / 5,183,246 / 3,678,894
PEDAL POWER ASSOCIATION
PROJECT COSTS FOR THE YEAR ENDED 30 JUNE 2016
2016 / 2015
R / R
BMX / 47,250 / 26,378
Community projects / 256,860 / 269,348
Commuting / 233,563 / 1,016
CSA / 187,740 / 129,195
Development / 409,359 / 418,373
MTB / 149,621 / 187,290
Disabled / 97,500 / 13,155
Safe Cycling / 1,581,724 / 3,733,883
Additional projects / 93,159 / 66,953
3,056,776 / 4,845,591