CHALLENGES FACING SNOWMOBILE CLUBS AND THE MINOCQUA FOREST RIDERS
One of the roles a Treasurer assumes is to periodically try and assess the state of our industry and the financial future of the club. I’ve only been in this role for two years, but 40 years in the banking world as a commercial lender and CEO have provided me with experience in a variety of businesses and a significant amount of knowledge.
The MFRSC, although a Not For Profit business, is none-the-less a business. We must approach and run it the same way. For years we’ve been fortunate to have good leadership, solid financial statements and a great reputation for the finest trails in the Northwoods. Unlike For Profit Businesses, we rely on government financial support, grants, membership dues, ad sponsors and fundraisers as our sources of income.
Our operating revenues have been consistent for many years. Consistent is good. Growing them is problematic. We cannot become complacent . This is the primary reason the Fundraising Committee, a subcommittee of the Board of Directors (BOD), was created.
Over the past two years, following the COVID problem, we began experiencing expenses rising faster than revenue growth, especially as we plan for either purchasing new equipment or making major overhauls of existing equipment. We have very knowledgeable people on the equipment committee who will begin to make decisions on extended maintenance agreements versus new purchases, not to mention recommendations and decisions on the types of equipment to be purchased.
In my opinion and that of the BOD and Fundraising Committee, we agree that we should begin to address the need for additional funds with some sense of urgency. Funds raised through specific initiatives will be placed in reserve for future equipment needs while also maintaining consistent operating revenue growth.
Obviously, we will look to our members for some of this financial support. But we will also continue to pursue other areas of revenue generation. It’s obvious to me that you have been the backbone of this organization. We hope we can count on your support going forward.
Soon you will see via our social media channels, website, and direct mail, an opportunity to help us restock tool supplies for our Minocqua Winter Park and Willow Region Maintenance Shops. This is a relatively small fundraising activity, but if successful, this new revenue will fund an expense item of our operating budget and the current budgeted amount can then be directed to the reserve fund referenced above.
Steve Anderson
MFR Treasurer