Making Financial Statements Meaningful

One of the most effective ways to make financial statements more meaningful for any industry is to adopt a uniform system of financial reporting.  For example, in the world of private clubs, we have the “Uniform System of Financial Reporting for Clubs”.  Under such a system, a chart of accounts and financial statement format has been developed that provides specific data for all significant departments of club operations. 

For example, income and expense categories are grouped only as they specifically impact an operated department such as food, beverage or greens maintenance.  By grouping areas of club operations in such a departmental way, important statistical data can be derived which can impact management decision-making.  Additionally, adoption of such a uniform system enables you to perform comparative analyses with other clubs and club industry data which can help guide the decision making process and ultimately lead to a better bottom line result.   

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