Tips to Easier
- LSI requires that each park or group of parks under the same
management retain the services of a qualified public accountant.
The accountant should have experience in small business management
and should be selected as soon as possible after the franchise
contract is signed. Your accountant can be of great assistance
in interpretation and information on Labor Laws, Tax Laws, Inventory
problems, management and financial problems. Utilize his knowledge
to the fullest and the results will well pay his fee.
- Each park is required to have a cash accountability system.
For this reason we suggest a cash receipts journal. The cash receipts
journal should be in a format that minimizes the effort required
in preparing the semi-monthly remittance report and show daily
receipts from each department throughout the park.
- Shift change procedures. Each register should have several
drawers for shift changes. A set dollar amount should be maintained
in each drawer. Before starting the shift, the person responsible
for the drawer should verify the dollar amount. At the end of
a shift, the daily report should be completed by the person leaving
and either signed by the park manager or next shift person.
- All cash register tape errors and/or voids should be signed
by park manager.
- Endorse all checks (for deposit only) immediately upon receipt.
- Order bank deposits in triplicate. Keep one for future reference
and staple one to the daily cash report.
- Vending or game machines should be emptied of coins at least
weekly. Record cash as gross amount taken from machine on daily
report. Any expenses such as machine owner commission or product
cost should be paid by check and processed through disbursements.
- A basic principle in controlling cash disbursements is that
all such disbursements be made by check. An exception to this
is a need for small items such as postage, mileage or small items
of supplies. To avoid writing checks for small amounts, a petty
cash fund should be established in an estimated dollar amount
which should not exceed needs for one month. A designated responsible
person is assigned to be in charge of making payments from this
The Paper Trail
This procedures manual has been designed as a general outline of
suggested procedures which would normally be performed on a recurring
basis. It is designed as a tool to assist in proper recordkeeping
and to obtain a flow of information necessary for proper accountability.
The Chart of Accounts is used to assign all revenues and expenses
account numbers that are used in preparing financial statements.
When recording campground revenues to your cash summary reports
account codes allow for quick and efficient inputting for you or
your accountant. Account coding your checks when written will automatically
summarize your expenses by category for the cash disbursements journal.
The Sample Reporting System that follows or one supplied by your
accountant are the best tools you have for controlling your business.
These reports can help you run your campground more profitably.
A typical financial reporting system should not be a full time
job. Ideally the record keeper sits down once a day to make the
deposit, to make sure everything's being recorded correctly and
to get all payments in the mail. Suggested steps follow:
- DAILY - A senior clerk should be assigned to ring out all cash
registers at a particular time every day, at the end of a shift
or when the store closes at night. The register tape categories
of revenue and total is then transferred to the Daily Cash Report.
A listing of each transaction from either a check stub, a paid
out slip or an invoice are recorded on the cash disbursements.
- WEEKLY - The record keeper should prepare a weekly cash report
from the daily cash reports and the cash register paid out slips.
A summary of these general records can be drawn up as a weekly
P/L statement to give you a good idea of how profitable you are.
Revenues (Weekly Cash Summary)
Minus Cost of Sales (All purchasing of products for resale
food, propane, wood, etc.])
= Gross Profit
Minus Operating expenses (All other cash and check disbursements)
= Operating Profit
- MONTHLY - All cash receipts from weekly cash sheets, as well
as expenses from checkbook and payroll records and bank deposits
are brought together. These reports are usually given to your
accountant to draw up a monthly financial statement. The accountant
will also prepare a depreciation schedule and an estimate of tax
liability to be plugged into your books. Using summaries of accounts
receivable and accounts payable you provide, the accountant can
produce an income statement (P/L), a balance sheet and a cash-flow
summary, along with any other report he feels will be useful in
projecting costs and budgeting.
|NOTE: If you operate a seasonal business, the length of a
normal summer season is about fifteen weeks. Each week is the
equivalent to nearly one month's operation in a year round business,
so if you do these reports once a month (3-4 times a season)
that is like doing financials every 3-4 months in a normal year
round business. Obviously, this is not often enough. We strongly
suggest that these reports be done weekly as presented if you
have any hope of controlling your business.
Your Petty Cash Fund is maintained at a constant balance - it never
changes except for the fluctuation in the fund balance. Reimbursements
are distributed to the appropriate expense accounts and your checking
account is credited for the amount reimbursed. (Sample of reimbursement
All petty cash disbursements are supported by a signed petty cash
voucher (sample above) and should be completed by the individual
receiving the cash.
The total of the cash on hand and the vouchers must equal the petty
cash balance. Petty cash should be replenished at the end of the
month or whenever necessary to maintain your balance at an acceptable
The check to replenish petty cash should be made payable to "Petty
Listed below are the most common business records and the minimum
retention period. They may be adapted or lengthened for each business,
depending on its own requirements.
Holding Period in Years
|Accounts Payable (Vouchers & Invoices)
|Bank Statements and Reconciliations
|Canceled Voucher Checks
|Cash Receipts Books
|Claim Files - Against us
|Claim Files - By us
|Employee Travel Expense Reports
|Financial Statements - internal
|General Books - all journals
|Physical Inventory Records
|Payments and Reports to Government Agencies
|Cancelled Stock Certificates
|Contracts, Agreements, and Leases
|Basic Scientific Records
|Correspondence with Vendors