REFORT OF THE TREASURER FOR THE YEAR ENDED 30TH JUNE 1970

Courtesy of N.G. Chay - first President of the SPMSC

SOUTH PACIFIC MOTOR SPORTS CLUB

Ladies and Gentlemen,

As you can no doubt see from the accompanying Balance Sheet and Accounts. Your Club has enjoyed a reasonably prosperous year, the profit overall being $5.194. The new club house has proved a resounding success. Both in providing leaning space for Some of our more seasoned imbibers, and in offering a congenial atmosphere for members and their families in which to gather. Thanks to your patronage of the New Club. Bar takings have increased by almost $21,000 to $73,400. Even taking into consideration that 1969 was an eleven month trading period. This is an extremely satisfactory result.

The profit taken across the Bar was put to good use in bringing our creditors to something closer to normal credit terms than those that existed at the last balance date, and purchasing $ 14,000 worth of assets, including final payments on the Club House and surrounds.

It was pleasing to find that Subscriptions received of $ 3,118 adequately covered the cost of competition during the year, despite a disappointing loss of $2.500 on the Papuan Safari. I trust this year's Safari will be less of a drain on the resources of the Club, and those responsible for conducting this event give considerably more thought to the Club's capacity to conduct a financially self-supporting trial. I would even venture to say the Executive Committee should be consulted, a radical step perhaps in the eyes of the organisers, none the less desirable for you the members, who pay for the Safari.

You are no doubt aware that the Club has on lease an Austin 1800 motor vehicle, the latter title for which it just qualifies. This beast cost the Club $800 in repairs during the year, undoubtedly a result of somewhat over-vigorous driving by one or two of our members early in its life. I believe on one occasion a budding Juan Manuel extensively re-modified the front suspension on an unwary ditch. However this workshop proprietor’s dream will soon be disposed of, the lease expiring in September of this year. We will undoubtedly incur an additional loss, of some $400 to $500 when the lease expires by virtue of our guarantee of the residual value of $800 to the lessor. It can only be hoped that persons responsible for the purchase of future Club vehicles will adhere to an unwritten law of not leasing a non-income producing asset, the obvious source of finance being Hire Purchase.

At this point, I would like to comment on how pleasing it is to note the respect currently being shown by the members, for the Club's property. I recall a time, not long after the new Club was completed when the Club House suffered from a plague of "flying toads". I trust this pestilence and those akin to it are gone, never to return.

Sundry Debtors of $205 appear on the accompanying Balance Sheet. For your information this figure represents dishonoured cheques for which funds have not been forthcoming. The number of cheques which are returned unpaid each month is, to say the least, alarming. This Club is not a finance company and I can assure you that should I be elected Treasurer for the forthcoming year, a far more stringent policy will be adopted against persons continually writing cheques on Dunlop paper. I trust nothing too radical is required.

The Net Profit for the year of $5.194 was arrived at after charging depreciation of $769 and meeting expenses of approximately $4,000 relating to the previous financial period. Also incorporated in the Bar Trading results are losses of some $700 to $800 through theft. A burglar alarm has been installed in the Club and an insurance policy has been taken out to cover such events, so no further losses through thievery are anticipated.

Perhaps now is the time for considerable thought to be put into the Club's future. Although I can foresee the immediate future for the most part, being very bright financially, we should remember that the land we presently occupy will, on the expiration of our lease, revert to the Administration. I feel the best course is for all future Capital Expenditure to be confined to assets we can "take with us".

Now that the Club has attained a degree of stability in its financial operations, I confidently predict the coming year will be extremely pleasing to all members. The Bar takings will be in the vicinity of $90,000 with a Gross Profit content of around $27,000. Net Profit for the year on the aforementioned Gross Profit would, I expect, be approximately $11,000.

I would like to take this opportunity to thank the Executive Committee who throughout the year, helped to make my job easier, despite the occasional confrontation. Special thanks go to our Bar Manager, Mr. Wilby, whose pleasant and efficient manner has been a major factor in promoting your Club. Finally I would like to thank, you the members for, through your seemingly insatiable desire for an ale or two, providing the funds to further the activities of the Club.

B.M. Webster - Treasurer.

see the 1970 Annual Report