2014: CLUB FINANCIAL PERFORMANCE

Financial results play a very important role in the club industry. Percentages and numbers are the representative indicators of the financial performance of any company. In clubs, these numbers denote to management and members the financial strength and viability of their clubs. This study surveyed clubs regarding their financial performance in 2014, reporting averages for demographic data and medians for financial data. The results of the top performers (fifth or top quintile) and the bottom performers (first or lowest quintile) were compared. In 2014, the median profit margin was at 1.65% with the top quintile reporting at 17.43% and the lower quintile at a loss of -10.08%

Club Ratios: A Four-Year Trend Analysis

This article is based on research of the United States club industry conducted over the four-year period of 2003-2006. Twenty ratios were reported, covering the five general classes of financial ratios. The ratio results suggested that 2003 was a banner year for the club industry

Ratio Analysis: Financial Benchmarks for the Club Industry

General managers of clubs are often inundated with operations and membership issues and may not be able to spend quality time engaging in the analysis of the financial health of the club. With the aid of a handful of ratios, general managers and club controllers can assess the business trends and financial viability of their operations very easily. The top ratios used by club managers are: payroll cost percentage, cost of food sold percentage, cost of beverage sold percentage, current ratio, and debt-equity ratio. The results of several ratios focusing primarily on clubs\u27 balance sheets are presented in this article

2012 TOP FINANCIAL PERFORMERS IN THE CLUB INDUSTRY

This study uses survey research to examine the financial performance of the U.S. club industry for 2012. One hundred and ten clubs submitted financial data to this study. 24 financial ratios, together with median key financial data from the balance sheet and the statement of activities were calculated for the sample. Results provide a better understanding of the key financial characteristics of top- and low-performing clubs in 2012. Results further show that regardless of the slight upturn in the U.S. economy in 2012, the financial results for the club industry in 2012 were mixed

Satisfaction: Is Money Everything?

When people are asked whether they are satisfied with their jobs or careers, the first item that comes to mind, most of the time, is money. Then other factors such as advancement, work hours, autonomy, flexibility, etc. are soon added to the total equation. In this study, 140 financial and technology professionals in the lodging industry shared their satisfaction level and perceived importance of carious attributes of their career

Are We Keeping Our Cash in Our Hotels?

Cash is often known as the most important asset of any business. Without cash, it is very difficult to sustain a business, let alone to grow it. This study therefore investigated the compilation and usage of the statement of cash flows and the cash budget in hotels. The former is a historical document recording how cash was accumulated and used in the previous accounting period while the latter is a forecast to plan for the use of cash in the future. Other cash management practices, ranging from deposits, cancellations, and penalties to a list of accounts receivable and accounts payable practices, are also discussed. This study also compared how such uses and practices have evolved in the past 20 years

Cash in Hotels and Clubs: 2020 and Beyond

Cash is the lifeblood of any business. Even if a business has cash but is not properly managed, the operation will suffer. One hundred and sixty clubs and hotels shared their accounts receivable and accounts payable practices. In addition, for the users and usage of the statement of cash flows and cash budgets, how often such statements are prepared are documented as points of comparison. It is found that both clubs and hotels view the cash budget more favorably than the statement of cash flows, and hotels are more vigilant, employing more practices to collect their accounts receivable. Managing the cash conversion cycle and monitoring the depreciation/revenue ratios are two highlights suggested

Budgetary Controls in Clubs: A Time-Tested Process for Financial Success

Budgetary controls are essential for any business organization. This study provides a longitudinal comparison of budgetary control practices in the club industry in the past 4 decades, filling a literature gap for the club industry in the United States. This research aimed to document the various budgetary control practices in clubs; analyze whether such practices differ by the types of clubs, size, and profitability; and compare current practices with those in the past 3 decades. The authors administered a survey to the members of the Club Managers Association of America. With a prevalent participatory budgeting process, the budget is used widely at all levels of a club. The longitudinal comparison showed variance tolerance in food, beverage, and labor cost percentages tightened since the 1980s but was relaxed slightly in this present study. Subgroup analyses by demographic characteristics also showed statistically significant differences in a number of areas

Job Satisfaction of Club Financial Executives

Studying the job satisfaction of financial management personnel in the club industry may offer additional information to management of clubs to better work with and retain their associates. It is also hoped that the results of this study will provide hospitality students aspiring to become financial management personnel in the club industry with a glimpse of the job satisfaction level of financial executives in the club industr