SOCC Inc 2022 Audited Financial Statement

SOCC, INC. dba

SEVEN OAKS COUNTRY CLUB

NOTES TO FINANCIAL STATEMENTS

Note 9. Designated Net Assets Without Donor Restrictions

The Board of Directors has designated certain amounts of net assets without donor restrictions for repairs and replacements and capital improvements. Following is a summary of the account activity for the years ended December 31, 2022 and 2021:

2022

2021

Capital reserves, beginning of year

$

88,663 290,384 423,694

$

258,464 306,640 416,916 (150,000) 350,000 (1,093,357)

Capital assessment - golf

Capital dues

Line of credit paydown

- -

Deposits of funds from operations Expenditures for capital improvements

(622,648) 180,093

Capital reserves, end of year

$

$

88,663

Note 10. Commitments and Contingencies

Lease Commitments

The Club leases equipment under two non-cancelable operating leases. The leases expire in April 2023 and January 2025 and require monthly rent requirements of $2,700 and $6,840. The following is a schedule of future minimum lease payments due under operating leases as of December 31, 2022:

Year ending December 31,

2023 2024 2025

$

59,757 32,397 2,700 94,854

$

Total rent expense for the years ended December 31, 2022 and 2021 was $114,477 and $111,777 respectively.

Contingencies

The Club is subject to various claims and legal proceedings covering a wide range of matters that arise in the ordinary course of its business activities. Management believes that any liability that may ultimately result from the resolution of these matters will not have a material effect on the financial condition or results of operations of the Club.

Note 11. Defined Contribution Retirement Plan

The Club offers a 401(k) Retirement Plan that covers all employees who have reached the age of 18 and have completed one year of service. The Club may make matching contributions equal to a discretionary percentage of a participants compensation or a discretionary dollar amount, to be determined by the Club. Discretionary matching contributions for the years ended December 31, 2022 and 2021 were $37,609 and $34,208, respectively.

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