Since the last AGM, The KwaZulu-Natal Cerebral Palsy Association (KZNCPA) has made tremendous changes to many aspects of its operations to downscale, reduce costs and initiate alternative forms of revenue to ensure it remains a sustainable organisation.
We received a Qualified audit opinion; however, this is common in similar organisations such as ours where the ability of the auditor to investigate the proper receipt of cash donations is limited to what is reflected in our accounting records. They have no fool proof way of confirming with absolute certainty that every cash donation was recorded and thus have qualified our audit only to this extent.
The good news is that the hard work has paid off. The KZNCPA has a surplus of funds in the sum of R2 599 098.00 for the current year, which is a drastic improvement from a deficit of R887 596.00 in the prior year.
Donations received this year have increased by R 398 215.00 (current year total is R2 229 958.00, compared to prior year total of R1 831 743.00).
The most significant donations received were from the following projects:
- CPCF (The Cerebral Palsy Care Foundation, an internal division of the KZNCPA) raised R1 068 804.00 in donations.
- The Club 200 raised R196 725.00 (a new donation campaign).
- Various functions raised funds amounting to R165 665.00 (mainly attributable to our Annual Golf Day held by Shafters Golf Club).
- Bequests were received in the total sum of R107 537.00.
- Capital projects amounting to R105 000.00 (this was a lump sum donation from Round Table Durban 2 for renovations to the property at 23 Sanderson Road).
Former Primary Donor
The last donation received from The National Lotto Commission was in 2018. No funds were received for the 2018/2019 financial year or the 2019/2020 financial year, despite application being made.
Interest on investment
Interest received off cash held in our bank account decreased by R19 813.00, as the amount of funds in our account off which interest is earned, itself decreased.
Head Office Employee costs decreased by R263 628.00. This is largely due to the resignation of the previous CEO and appointment of new Caretaker CEO with a reduced salary.
C.W.A.C (Children With a Challenge Day Care Centre for the Disabled)
Running Costs decreased by R63 231.00 (current year R2 229 958.00 compared to prior year R1 831 743.00), which is a fantastic accomplishment as expenses had already been reduced as much as possible prior to this financial year.
Income received amounted to R384 595.00 (this is largely made up of Centre fees paid by the parents/guardians of our disabled members who attend C.W.A.C.).
We received more contributions from our disabled members’ parents/guardians for the Therapeutic Water Activities that we provide at C.W.A.C., resulting in an increase of R8 350.00 (current year R10 340.00 compared to prior year R1 990.00).
Travel and motor expenses
These expenses increased by R15 385.00 (current year R23 041.00 compared to prior R7 656.00) due to the success of our gift hamper scheme where we have a delivery network.
Cash and Cash Equivalents increased by R1 252 776.00, which is a great achievement.
The profit made on the sale and purchase of immovable property amounted to R1 249 747.00, which is currently invested in a Cash Investment Facility with Investec Bank Limited (effective from 1 August 2020).
The Operation Cash usage aspect has been favourable for the current year. It is currently at a surplus of R3 029.00, compared to the prior year where it was at a deficit of R829 831.00. This is a significant improvement in the face of trying times.
Current Liabilities have decreased by R50 969.00 (current year R2 003.00 and prior year R52 972.00), which is also a great improvement.
The Annual Financial Statements show a significant improvement in all financial aspects of the Association. Expenses have been reduced, income has increased, and we now have surplus funds which can be used to maintain existing projects, or to explore new projects to fund.
The Association continues to strive to attain excellent corporate governance and maintain appropriate internal controls to ensure the sustainability of the organisation as a whole. Internal control measures have been tightened and new measures implemented where necessary which will assist us with achieving our goal of transparent accountability.
Well done to the team at the Association for all their hard work, dedication, and innovation in helping to keep our organisation alive and well. We appreciate the effort it has taken to produce such an excellent financial turn-around.