Business Management

Financial management
Legal requirements
Marketing & Promotion
Planning

Financial management can seem daunting but once it’s worked out what needs to be done and who’s the best person to do it, you’ll find it’s common sense.

Good financial management is essential for your club’s survival and is an important part of good governance. It involves being able to review financial information, effectively manage funds, implement sound financial practices and understand your club’s financial position and obligations

Even though a treasurer is appointed, every board member should have an understanding of a club’s accounts and financial reports. This knowledge will help with strategic planning, accountability, corporate governance and effective risk management.

If the financial ‘nuts and bolts’ are in place, your club will run smoothly and achieve its goals.

A starting point to gaining good financial management is below

Have you appointed an effective treasurer?
Have you established the right accounting system for your club?
Have you opened the appropriate bank accounts for your club?
Has an annual budget and cash flow forecast been written?
Has an auditor been appointed, if appropriate?
Has the Association or club acquired the appropriate insurance?
Has the Association or club registered your club for an exemption from GST (if applicable)?

Budget preparation

All organisations should have a budget. The budget is important for cash flow planning as well as for financial review.

Consider these points when preparing your budget:

Is the timing of membership income correct?
Despite membership fees being due in a certain month, it may take another few months for all the fees to be paid.
When is sponsorship money (if any) received?
Some sponsors will pay a set amount each month rather than in a lump sum.
Is the dollar value estimated for expenses realistic?
The results from prior years may provide a guide, however some expenses may increase each year.
Are any expenses dependent on the number of members?
If so, the budget should be adjusted for any differences once the number of members for the year is known.
Your budget should include initial large expenses such as stocking a canteen with drinks.
You should ensure that there is always a minimum balance in the bank for any emergencies that arise.

Financial reporting

All organisations should produce a profit and loss account (sometimes called an income and expense account) showing the funds received and spent in a set period.

Ideally organisations should produce a balance sheet, showing assets such as cash in the bank, and liabilities such as loans. See downloads

Information on things to consider about financial management	Useful links & downloads
In-depth look into financial management	Financial management
Treasurer job description	Download
A guide to tax obligations, record keeping and income and expenses for businesses and non-profit organisations.	IRD smart business (Download)
Information on non profit organisation	Setting up a charitable trust
Budget example	Download

Legal requirements

It’s tempting to think of running away at the sound of the words 'legal requirements'. But it needn’t be daunting.

Legal issues within sport and recreation organisations are wide and varied.

You should be aware of some of the more common legal issues and if necessary, seek expert legal advice, to minimise the potential conflicts associated with running your club

The main legal issues a club should consider relate to

privacy and the Privacy Act,
accident and injury compensation (ACC),
liquor licensing,
employment,
and health and safety.

For further information refer to useful links and downloads for further information

Information on things to consider Legal requirements	Useful links & downloads
In-depth look into legal requirements	Legal requirements
Important things to know about the privacy act	Download
Important Health & Safety Info	Download

Marketing and promotion

Marketing is about communicating your club’s activities and facilities to attract members, funds and other resources. It can be as simple as placing an ad in the local newspaper or as complex as repositioning your club in the market. Marketing focuses on finding out who your customer is and tailoring your activities to that market.

A quick check list for your Association /club

Benefits of marketing

Increases membership base and sales
The biggest benefit of all. Well planned, effective marketing will help you understand your customer and the marketplace - and lead to informed marketing decisions to help boost your membership.

Marketing can also:

enhance your reputation,
creates opportunity
raise awareness
is value for money

Major topics to consider?

How to marketing your club
Who does the marketing?
Marketing, communication and promotional techniques
Using the media to promote your club
How to Communicate within the club
Correspondence and who deals with this?
Who compiles the club newsletter & is the content relevant
Records and databases
How is everything communicated?
Resources and more information

Information on Marketing & Promotion	Useful links & downloads
In-depth look into Marketing and promotion	Marketing & promotion
Simple Marketing plan example	Download
Job description for a Marketing & Promotions person	Download
Sample media release	Download

Planning

Planning is the key to the long term success of a club. It is the most effective way to sustain, improve and develop your club or association and map out a better future.

Before you start preparing your plan, see what Softball NZs vision, direction, and strategic plan is along with looking at their whole sport plan, to either align yourself with them or get some ideas of where softball in NZ is heading.

Benefits of planning

Planning your club or association’s future will help you to:

Prioritise goals and objectives
Establish performance and evaluation criteria
Assess progress
Ensure a professional approach
Secure funding and win sponsorship deals
Identify promotion and marketing strategies
Allocate resources more efficiently
Show what your club or association can offer potential new players/members
Help volunteers and staff better understand the business of running a club or association
Involve members in decision-making therefore improve team morale.

What are strategic plans and operational business plans?

A strategic plan is often a word that scares people off, however we can look at is as a wish list of what your association or club would like to achieve over the next couple of years (and a plan they stick to, to try and achieve this). It lays out the overall mission and direction of the club, and how objectives will be achieved

There is no right or wrong way to prepare a strategic however you can now make the document a 1 page document that is simple, clear and easy to understand (refer to the Softball NZ Strat plan in the downloads

An operational business plan is a detailed document that includes all of the information from your club’s strategic plan, plus information about the club and what it will be doing in the coming years.

An operational plan will include the following;

Title page
List of contents
Executive Summary
Strategic plan
Marketing plan
Financial plan
Management plan
Appendices

Information on Marketing & Promotion	Useful links & downloads
In-depth look into planning	Marketing & promotion
7 essentials to a good plan	Download
Softball NZ Strategic Plan	Download
Nelson Softball Assn Strategic Plan	Download
Planning checklist	Download

Business Management

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