Making the most of cash in the bank
I’m not particularly musically minded – indeed my being tone deaf appears to put me at a distinct disadvantage when it comes to my singing abilities. However, there has been one Ralph Reader song over the years that has always struck a chord with me. A chorus from 'Friends' goes:
'What good's a million quid in your pocket if you're all alone?
Tell the world and its neighbour,
Not on the number of your house
Not on the number of your car
But on the number of your friends.'
This has very much been a mantra of mine ever since I took an interest in the Association’s finances (I chaired the finance committee for five years from 2001).
Reviewing the Reserves Policy
It was particularly pleasing then that, at the recent AGM, Chris Ide, our Treasurer, reported that we had undertaken a careful review of our Reserves Policy (the amount of 'free reserves' – spare cash – required for a 'rainy day').
The more detailed analysis that has now been undertaken, (rather than basing our policy on the usual assumption that a charity requires 6-9 months of expenditure in reserve), means in effect that the Trustees have £4 million of free general reserves to use for investment in Scouting, still leaving us with £10 million for those unexpected problems.
What should we do with £4 million?
The Board are considering how best these funds could be used to invest in the future of Scouting, however I wonder what suggestions you might have?
And just how much more might there be locally?
Thinking again about 'Friends', I wonder how a similar review of local finances in Counties, Regions, Districts and Groups could have a similar significant impact on Scouting within your own local area. How many friends, or additional young people (either those already on joining lists or those not yet aware of what we do), could be added to your ranks?
Take a close look at your own accounts, wherever you are, and ask yourself just what the Trustees are planning to do with the general reserves that you have?