Money Money Money 1

TWO KINDS OF ORGANIZATIONS Some have a financial surplus These organization have the resources to carry on Some do not These organizations are as extinct as Dinosaurs (they just don’t make movies about them) 2

HOW DO WE ATTAIN FINANCIAL SUCCESS Unsolicited gifts from anonymous sources Dumb Luck Magic Planning and sound management 3

SHORT TERM Set a budget Stick to it 4

Write a Budget What are your revenue sources What are the expected expenses Switch to excel demonstration Include all of dais in discussion This is easy in Excel 5

Write a Budget Conclave Expense Grand Recorder Office Postage Number of members X $9 = Grand Encampment per capita Conclave Expense Grand Recorder Office Postage Accounting Awards Travel Other Switch to excel demonstration Include all of dais in discussion 6

Write a Budget Investment income Sale of rituals and supplies Number of members less remissions X your per capita = most of your revenue Investment income Sale of rituals and supplies Special events Conclave meals Switch to excel demonstration Include all of dais in discussion 7

HOW DO YOU BALANCE A BUDGET Cut Expenses Raise more money 8

CUTTING EXPENSES 1) Can they be cut? Mandatory expenses 2) Cutting fat or cutting muscle – Do your members look forward to quality or second class events 3) Unintended consequences – per diem expenses for Grand Conclave 4) Spend money to make money – membership programs and awards 1) Mandatory expenses such as per Capita 2) Restaurant style dinner or mystery meat at the Temple 3) Eliminate per diem & many people sing in and go home 4) Awards and membership programs can get you more than they cost 9

CUTTING EXPENSES 1) Postage vs. e-mail 2) Avoid waste 3) Put the money only into things of value 4) Electronic publication of proceedings 5) Printing of books of regulations? Most of you have already increased communication while cutting postage Is the money being spent wisely – can you buy in bulk Movie producers talk about costs being on the screen vs. perks – is your money going into things of value Some people need printed proceedings – most do not – what are you doing Regulations change frequently / annually? – do we pay to print them 10

RAISING MONEY 1) Raise dues and fees 2) Make an Assessment 3) New sources of income 11

Raising dues and fees 1) All at once or gradually 2) When there is a crisis or planned 3) Do you remit dues and for who 4) Give your constituency time to make necessary changes Do the increases disrupt local sustainability or cause a shock Are you thinking ahead and selling the need 50 year / financial need – who carries the cost Your constituents have to adapt – don’t move faster than they can manage 12

These decisions are your choice Raising dues and fees Dues facts? or myths? If we raise dues we will lose all the members Dues are so high now that nobody can pay them Of course we have to remit dues for 50 year members Indianapolis Valley Scottish Rite doubled dues – they lost 2% of members (some of those were transfers to other Valleys Are dues really so high – Would dinner for 2 at Applebee’s cost more 50 year members were rare 100 years ago – its now about 18% of Indiana Lodge membership These decisions are your choice Choose wisely 13

Does this solve everything ASSESSMENTS One time boost Does this solve everything Not something you can do often 14

New Sources of Funds 1) Fund raising events 2) Can you make the dinners profitable 3) Sale of commemorative items 4) Registration fees Special events can be fun and profitable – picnics, go to a show, trips Have some entertainment and make some $ People who complain about being charged will gladly buy special regalia Are registration fees a possibility 15

Vision for the future Nearly 100 years ago we built buildings What have we done recently? Make the Order something to value Build for future sustainability 16

Provides revenue regardless of membership PERMANENT FUND Not to be spent Increase annually Provides revenue regardless of membership 17

Where do we get the Money? PERMANENT FUND Where do we get the Money? One time assessment $1 per year per Capita Donations (IN / VA) Even $1 per member per year adds up over time Newby Avery fund in IN / Baldwin Brown fund in VA 18

PERMANENT FUND Invest Wisely Professional Assistance Risk vs. Rewards Professional Assistance CDs are safe but provide little income over long term When the fund reaches a certain size get professional managers – do not use member/amateurs Short term market risks matter little if you can wait long enough to ride it out – we plan to be here in 200 years Understand Investing Timelines 19

FACTS OF LIFE The laws of economics have not been repealed The money won’t take care of itself You may not find it as fun as ritual but if you don’t do it there will be consequences You can’t “fix it” and then never have to look at it again 20

SOMEDAY WHEN YOU ARE OLD (ER) People won’t remember or care what your programs were----But they will say to you You were once a Templar? What’s that? Or they will say Wow! You were once the head of this! Which would you prefer? 21

THE END Thank You for Coming And Good Luck 22