Debate Treasury Discussion

Testing

Krispy Kreme - the real stats & the problem.
We buy for $3.50/dozen, fill out form on the internet @ icon.com
Sell for no more than $7/dozen.
Sell by the dozen, b/c otherwise need health permits to sell individually

**Minimum purchase of 50 dozen.
Price break @ 300 dozen. (I doubt we'll get there)

Currently Vancouver doesn't do donut fundraisers (but probably will soon), but Beaverton & Clackamas do. Can pick up, or have delivered ($0.25/dozen extra for delivery)
For selling, highly recommended to 'pre-sell' to make sure 50 dozen at least will be sold. Picked up/delivered on 1 day, NOT gradually, like 5 dozen a day.

The dude said that some student orgs of 15 people have been worried about the 50 dozen and ended up selling 200 dozen, b/c hospitals bought like 60 dozen or something.

If we have any more questions, I have the phone numbers and extensions of the sales reps, who are in Seattle.

My concerns-
1) 50 DOZEN!!?!?!?!?! We really need to get orders for at least 40 in before hand, to decide if we sell. But we can't start getting orders in until we decide. So we have a bit of circular logic. If we get orders for 25, we break dead even @ $0, with 25 dozen unsold donuts. So as long as we have 25 dozen ordered, this is worth it.

2) 1 DAY!?!?! We can't even sell over a period of time. We really need orders in advance

3) Investment is very very large. The risk is only worth it if we can guarantee 25 dozen ordered in advance.

So, do we go for it?

Good News!
Looking at the accounts, expenses total about $1019, and revenues about $780.92. We are in the red according to the Business Office $101.
If the school pays half of the expenses ($509.94), we will be in the green at $408.94. So we are OK. And in fact, in charging people for tournaments, we have been only making them pay half, accounting for school payment, which is why we're in the red: we're accounting for the school's half payment, when it shows up in a lump sum at the end (is this right Q?).
However, 2 concerns...
1) How do we get this $$, when do we get it, and what do we have to do to get it. All members must have ASB cards, correct? We need to address this next meeting
2) Accounts. I have an idea as to what we can do with them. We probably shouldn't account on the school paying so much, and some money would be nice for the future. So, I've totaled the accounts.
Taken the money people have earned
Subtracted the club funds they have used
(5.50 for Bay,
0 for SHS Debate (we didn't pay any club funds),
0 for Bay Debate (We took in more than we paid oddly enough),
$13/person for Ridgefield (this is uncovered expenses, that probably would be covered by school funds, but still, to get in the green, and its not that much, considering we have a lot in accounts
$27 for Auburn [its actually debatable, no pun intended, how much Auburn cost us since revenues can be applied to that from other sources, but applying a fair portion to it, about 27 dollars need to be paid
)
Resulting in totals for each account. Now, if we make each person raise 300 points for the club, we can take the account money and apply it to the 300 points. Say $1 = 3 pts? Then each person has a point total to finish. The account money already takes into account judges, fundraising, and costs of the past. We can set the point values of everything of the future at the next meeting. Maybe 75 pts for judges ($25 = 75 pts?) up to a certain point (say 200 pts at 3 judges?), so we don't start playing w/ nonexistent money again, 3 points per dollar earned, etc.

Now, dealing with reducing costs for high participants. Above 300 pts, say each 3 or 5 points above, entitles you to 1 "club dollar" - one dollar used to pay for club activities (if we do 3 pts, we break even, member earns $1 and gets $1; if we do 5, we gain some money for the club). Or, we can deduct points from accounts, and say they must keep above 100 pts, and above that is 3 points/dollar. I lean towards the latter plan. The 300 one gives back very litte, and we don't need tons now like we thought. The 100 plan will probably be more accepted.

Those who do not want to participate can pay for their points, at say $1 - 5 pts. That can be decided later as well.

So, how does this plan sound? It will clean out the accounts, create newer, more efficient ones, give us more money, and should put us in the high green when the school pays us.

Krispy Kreme:
The thing with "investing" money in cards is that there still is a chance of losing money. We buy them before we sell. We can still get stuck with them, just as with donuts. I think more chance than with actual donuts. Its like the Storm Cards, the school bought a lot, and now when they aren't selling, they are stuck with them. And with cards, and not many Krispy Kremes close by, they may not sell.

Whereas selling actual donuts, its there, its fresh, and I think we can get more people to buy. One idea on the site was to pre-order. Once we have a plan, we can ask friends if they would be willing to buy a dozen donuts or something. But we should start that only w/ a plan.

The cards are bought by us for I think $5 each, and sold at $10 each. I'll have to double check as to how many you have to buy minimum.

Points:
Actually, I wasn't going to make a points chart because we still need to figure out how we are going to weight everything, and what we will do about people who wish to pay for themselves. But a rough-draft would be great, we can see what everyone thinks and how they like the weighting system you've used.

I'm working on the old accounts, just to see how much money we've spent, to update accounts, and to see how much money exists and doesn't. Also, for your rough-draft accounts, we have to somehow include how much money each person has used from the club. That's what I'm working on, a lot of the accounts don't include spent money for tourneys, etc. Also, making sure the Business Office accounts match up correctly, so we can see how much we are in debt, which, with the projected spending for this year, will help us decide how much money we will need, and how to weight the Points chart.

So anyways,
Hope everyone had a Merry Christmas/Happy Holidays and a Happy New Year,
-Pav

KRISPY KREME INFO: 3 OPTIONS:

Traditional Doughnut Sales
We offer our doughnuts to non-profit groups at a reduced price, which are then resold for full retail price, or slightly higher. Pre-selling doughnuts to family, friends and neighbors or selling doughnuts at high-traffic areas such as shopping center or community festival can generate significant funds.

Check with your local Krispy Kreme store regarding ordering details.
**I think this may be a good idea, esp. with the reduced price for non-profit groups**

Certificates
Certificates are an alternative to selling actual doughnuts. Your customers redeem each certificate for one dozen Original Glazed doughnuts at any participating Krispy Kreme retail shop. Just as delicious and customers can pick up their doughnuts right when that Krispy Kreme craving hits 'em!

Presell certificates to neighbors and friends, sell them door-to-door, or a little of both. Call your local store regarding ordering details.
**maybe not, we'll get more actually selling donuts**

Partnership Cards
If your school or organization is within 30 minutes of a Krispy Kreme store, you may want to consider selling Partnership Cards as a fundraiser. With a Partnership Card, customers get a free dozen Original Glazed doughnuts with the purchase of a dozen of their choice. Their card gets punched each time they use it and they can use it up to ten times (limit of 3 free dozen per visit).
**This is what I've heard used. It sometimes works**

Of the three, the third is the safest bet, but the first will probably sell more. However, we don't want to get stuck with them. And if we did sell them, when? where? School hours would be good, maybe in the morning?

Also, no matter which we do, where do we get the starting $$ to pay for a few dozen or a few cards? What the Krispy Kreme site suggests is to pre-sell a few dozen donuts or cards, to make sure we have demand and/or to get $$. When preselling, taking $$ may not be a good idea, b/c we haven't delivered yet, and so people won't buy, but maybe we can get ideas of how many will buy?

What do yall think?
-Pav

USING BLOGGER
To be let into the blog, actually you have to send me an email first, phyziksdood@yahoo.com, so I can invite you into it.

FINANCIAL PROBLEM
I agree with you that fundraising isn't fun, and that the high costs are a financial problem. My point was just that sellings things to people usually has a really low profit, with too much effort for it, and its not even enjoyable doing it individually and trying to convince people to buy things they don't really need.

I like the idea of a big fundraiser that everyone comes to and that is almost guaranteed to make enough money. We need a significant amount - the $50 or so profit we make from all coupon book sales, etc. isn't enough for the amount of time we have to go out doing the sales. Something that took a little more time, but made more money would be helpful. Like what Mr. Williams did @ River.

What we can do to ensure participation is to require everyone to participate at one big thing we do, choosing a date that is suitable for most people, and then those few who can't come have to do some other individual activity? The problem with this is those who want to pay their full costs. However, related to that, even when one pays full cost, one is actually only paying 1/2 because the school pays half. But we want to not be in the red even assuming the school will pay. So they are still using some of the club's funds, theoretically, and so I believe we can allow for a "required" participation, individually or as a group.

Any comments? changes? other ideas?
-Pavan

I personally think the points idea has merit, but we may want to scale the points a little differently. For example, for fundraising, maybe more points per dollar, and if its a "sit there" kindof thing, like happened for soccer, per hour rather than per dollar b/c of the low turnout and the necessity for someone to go. (I didn't really want to go to that, and got $5 profit for 3-4 hours of sitting there. But we needed to show Ms. Shultz we really meant it to go)

Judges - we can convert them to the amount we save, and use that dollar cost in the points scale. It'll make it less debatable as to their value, and will make the conversion from accounts to points easier.

The thing is, when do we convert, how do we convert, and how to be enforce the mandatory-ness? I don't think throwing people out would work, we need all the people we can get. Converting will be interesting, how do we deal w/ the money in the accounts and transfering them? Are all accounts things used in the points system? What about the account money "spent"? And what does one do when they have completed their 300 points? Does money go into their account?

In addition, some people don't want to fundraise, and are willing to pay all the costs. For them to make them pay extra to pay for their points would be a little unfair if they are not costing the club anything really.

I think its an excellent idea we can build off; its like having club dues, but rather than making everyone pay, we make them participate in getting $, which will work. And this I think works better than forcing Storm cards down pplz throats b/c here they have a choice, and Storm cards are hard to sell, and not everyone likes to sell stuff. Myself included.