It can be a struggle to keep up with all that is new and changing in club finance. The constant evolution of accounting technology, modifications to tax law, heightened security issues, and a brighter spotlight on workplace ethics is enough to overwhelm any professional trying to stay abreast of the latest industry trends and issues.
Club finance experts plan to address these topics and more at the HFTP 2018 Annual Convention, taking place October 24–26, 2018 at the Omni Louisville Hotel in Louisville, Kentucky USA. HFTP reached out to a couple of these experts to elaborate on what attendees can expect to learn from their sessions at Annual Convention.
Watch out for Potential Pitfalls in Accounting Standards
Philip Newman, CPA, CIA, CGMA is a partner at RSM US LLP. He will be presenting Imminent Accounting Issues for Private Clubs from 8:00-9:15 a.m. on Thursday , October 25. Philip will also be joined by Ryan McAndrew, CPA, assurance manager at RSM US LLP.
About the session: Know what is ahead for private club accounting as this interactive session explores the major accounting issues expected over the next few years. Understand the core tenets of ASC 606 and the revenue recognition considerations that private clubs should discuss at both the management and board level. Learn how some clubs have already addressed the standard’s requirements and its impact. Also discuss the latest thinking on the new lease accounting standard ASC 842.
What can attendees expect from this session, Imminent Accounting Issues for Private Clubs?
We aim to cover the main provisions of the three accounting standards that affect clubs today and will potentially affect clubs in the very near future — nonprofit financial statement presentation, revenue recognition and leases.
What are some insights into the various issues you plan to address more in-depth during your session?
I think clubs need to begin to look at how the change in the lease accounting standard could dramatically change not only their assets and liabilities, but also how their operating results may be affected. This latter point can have a tremendous cascading impact on budgeting, dues-setting methodology and benchmarking.
If a club has not taken a hard look at if and how ASC 606 will affect them, they are running out of time to do so very quickly. The “elephant in the room” regarding clubs and ASC 606 is undoubtedly the element of the standard that deals with the deferment of initiation fees over the expected length of time that someone will be a club member. Clubs need to get an early handle on what this means for them.
Why is it important for private clubs to remain informed on accounting standards?
Simply put, most clubs have some very astute board and finance committee members who see now how these standards affect their own business interests, and they are already posing questions to club controllers regarding the impact on the club’s financial reporting.
There is not necessarily an obvious “right or wrong” answer to these questions — so club controllers and CFOs need to appreciate the various analyses they will likely need to perform to support the club’s position concerning these standards.
Professionals at RSM US LLP have been discussing these new standards and the possible implications individually with each of our club clients at the management and boardroom levels. We have published numerous white papers and industry articles on the subject, and our technical accounting teams have created an array of guidance materials within our Financial Reporting Resource Center.
Understand the Importance of Financial Automation
Bill Boothe is president of The Boothe Group, LLC. He will be presenting AP Automation — How it Works from 3:45-4:35 p.m. on Friday, October 26. Bill will also be joined by Jeremy Hoch, president of Anchor Consulting Services, Inc.
About the session: Clubs and hotels are strong candidates for the automation of their accounts payable (AP) procedures. Yet, many financial executives remain unsure of how exactly AP automation works and what are the benefits of this technology. This session provides a step-by-step review of the entire AP automation cycle from invoice receipt to payment. Learn about the advantages and limitations of the process, explore a software walk-through of an actual AP automation product, and more.
What can attendees expect from this session, AP Automation?
This session is designed to first review the concepts of paperless invoice processing (receiving invoices electronically); electronically routing invoices to various departments for coding; automatically routing invoices to various individuals for approval (based upon dollar amount, G/L account, vendor, project code, etc.); uploading invoices into the accounting system for payment; downloading payment information back to the American Payroll Association (APA) system; and invoice queries and reporting.
We will also provide a step-by-step demonstration of these concepts in action with an actual APA solution. We will focus particularly on the efficiencies derived from APA — especially for organizations that struggle with small accounting teams who are typically hard-pressed to get their work done right and on time.
Why do you believe keeping up-to-date with AP automation technology is so important?
The hospitality industry is known for having understaffed accounting departments that are under pressure to deliver fast and accurate services and information. Technology is the key to streamlining these procedures and increasing efficiency.
Benefits of utilizing AP technology include: greatly reduced time spent chasing invoices at month-end (you always know who is sitting on invoices); efficient invoice and P.O. approvals (especially when multiple approvers are involved); fast and flexible research and reporting with invoice images, coding and approvals history; and payment information all available electronically. No more searching through file cabinets to find invoices.
Other Compelling Club Topics Include: Tax Reform, Ethics, Government and Governance
Are you a club finance professional attending Annual Convention later this month? Be sure to also attend these sessions while you are there:
- Government Matters: 2018 Update will take place from 9:35-10:50 a.m. on Thursday, October 25 and will be presented by Brad Steele, vice president of government relations and general counsel at the National Club Association.
- David vs. Goliath: What Country Clubs can Learn from Top Golf’s Increasing Market Share will take place from 9:35-10:50 a.m. on Thursday, October 25 and will be presented by Kyle Tynan, director of operations at Top Golf.
- Best Practices of Club Governance will take place from 11:10-12:00 p.m. on Thursday, October 25 and will be presented by Frank Vain, president of McMahon Group, Inc.
- 50 Shades of Grey (Club Ethics) will take place from 1:45-3:00 p.m. on Thursday, October 25 and will be presented by: Daniel Conti, Jr., CHAE, CAM is CFO at Jupiter Island Club and HFTP global past president; Wendy Robinson, CHAE is director of business administration and finance at Oak Ridge Country Club; and Thomas Smith, CHAE is controller at Imperial Golf Club and HFTP global past president.
- Checking in on Tax Reform: The Tax Cuts and Jobs Act will take place from 2:10-3:25 p.m. on Friday, October 26 and will be presented by Ashley Barke, CPA, senior tax manager at MCM CPAs and Advisors.
Briana Gilmore is the HFTP communications coordinator.
Briana can be reached at Briana.Gilmore@hftp.org or +1 (512) 220-4017.