Financial Statements for Second Quarter of 2020-21 Season
Financial statements for the second quarter of the 2020-21 season, covering October-December 2020, are now available.
This season, USQ began releasing quarterly financial statements to increase financial transparency with staff, members, and donors. The financial statements for the first quarter of the 2020-21 season were posted last fall. The statements for the second quarter of this season are now available here. The second quarter covers October-December 2020. The financial statements are prepared by Board Treasurer and Finance Team Lead Alicia Radford, with input from Executive Director Mary Kimball.
USQ is continuing to implement cost saving measures to reduce operating expenses, including:
- Cutting payroll costs: Laura Porth and Mary Kimball are still working reduced hours, and Porth is furloughed for March and parts of April-June. Kimball worked 20 hours a week in February, and in March, she increased to 30 hours a week. The 55% pay cut that Kimball took in October is also still in effect.
- These cuts have reduced USQ’s operating expenses by half, going from approximately $12,000 a month in September 2020 to about $5,000 a month today.
- Applying for small business loans and federal relief programs: we received a $25,000 loan through the EIDL program from the federal government in November, and this month, we received a second round Paycheck Protection Program (PPP) forgivable loan of $43,933 to cover payroll costs. We are also pursuing another federal relief program called the Employee Retention Credit, which we estimate will provide us with approximately $10,900 from the IRS for the third quarter for this season, as well as additional funding for other quarters.
This season, we’re also working to increase revenue through the following programs:
- Fundraising: since October, we have raised $5,500 through employer giving (where an employer makes a contribution as a match or on behalf of an employee), and the board of directors launched a fundraising drive that has raised over $6,000 to date. Combined with other donations that USQ has received since last July (when the current fiscal year began), that puts us at about $12,000 in donations so far this season.
- Merchandise: in the winter, we ran a program through our new TeeSpring store, and created speciality lines of merchandise that were available through print on demand. This allowed USQ to release new merchandise and generate revenue without having to pay for upfront expenses.
- Virtual programs: USQ co-hosted QuidCon March 5-7 in partnership with Major League Quidditch and Quidditch Canada.We will be receiving part of the proceeds from registration fees. Also, the USQ+ hosted video game tournament, USQ Cup 13: FROM HOME, has brought in additional revenue through membership and registration fees.
As of March 15, 2021, thanks to the EIDL and PPP programs along with the revenue listed above, USQ has over $50,000 of cash on hand, which will allow USQ to survive until fall 2021, when we expect our usual revenue streams to pick up for what will hopefully be a somewhat normal 2021-22 season. We are in a much stronger financial position than we were a year ago, and we thank the donors, members, and volunteers who have been so generous with their time and money.
For questions about these financial statements, please contact email@example.com.