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Setting Your Event’s Fiscal Year
If you are setting up some type of distinct entity for your event you should give some thought about establishing the event’s fiscal year right from the start. Most businesses, more or less by default, are set up on a calendar fiscal year running from Jan. 1 through Dec. 31 of each year. However, businesses can set their fiscal years to any 365-day period at the time the business commences operation. (Fiscal years can be changed later on but it is a cumbersome process.) It might be advantageous to set your fiscal year so that it starts and finishes during a “slow” part of the year in terms of cash flow. This means the event will take in all its income and payout all its expenses during the same fiscal year. For example, the Credit Union Cherry Blossom 10 Mile, held the first weekend in April each year, has a fiscal year that runs from Sept. 1 through Aug. 31st rather than on a calendar year basis. This means the race goes through one complete cycle of the event in the same fiscal year. If your event is part of a running club or a larger organization, you will need to operation on the same fiscal year as your “parent” organization.
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ROAD
RACE MANAGEMENT
