Kempton Park SPCA needs to tighten its belt: auditor

ALTHOUGH its financial report in the past year is solid, the Kempton SPCA would have to tighten its belt and be more meticulous with expenses, considering the tough financial times ahead for the whole country.

This was the advice received by the society from auditors on Saturday morning during its annual general meeting (AGM).

Inflation rates and the tough economic situation in South Africa would inevitably trickle down and affect NGOs and NPOs, including the animal shelter.

Justin Botha, of Blue Crane Financial Services, said although the SPCA had a “solid” financial report for the past year, the organisation would need to control its spending a little bit more going forward, considering the tough economic situation lying ahead.

“Because of the country’s inflation rate, life in general is becoming more expensive. The organisation’s expenditure has grown by over R300 000, and this is due to inflation pressure and price increases,” Botha explained to the committee.

Botha also advised that because NGOs are handling public funding, being extra meticulous is good for when auditors look at their books.

“Governance, governance, governance; you have to dot your I’s and cross your T’s. Although cash is like water in the sense that you can’t control every single drop that comes out, you can try your best to do so.”

Fund-raising for the SPCA in the past year has also remained stagnant, growing by only R5 700.

However Botha noted that the SPCA was still lucky because fundraising for most NGOs he dealt with have halved.

He advised the SPCA to be more specific in its fund-raising methods, because the money they received from adoption of animals and membership fees would decline because “the man on the street doesn’t have money anymore”.

“Again this would mean be more mindful of the money spent, even though your spending has been justified and realistic. It is also difficult because the SPCA is paying for a lot of things.”

Costs include vet bills, employee costs, insurance, motor vehicle expenses and water and electricity bills – which altogether set them back a whopping R1.4-million. And these are all expenses that can’t be avoided.

“And unfortunately these bills will increase very fast because of the country’s inflation rates. Insurance fees will also without a doubt rise, so that can’t be avoided.”

Even though the society did receive the Ekurhuleni grant from the metro, it did not receive the mayoral funding, which set it back R17 000 compared to last year.

Committee member Brandon Pandaram said the SPCA would definitely have to develop a sustainability plan for the future.

SPCA manager Kira Sparrow said the organisation has embarked on drives to raise funds. The awareness drives are aimed at educating learners at schools on taking care of pets.

“We are also planning on doing educational drives at malls and we are hoping that this will increase membership numbers and get more kennel sponsorship. We will also definitely look for an in-house vet – this would not only save us on costs but also make treatments easier,” Sparrow said.