Gurdwaras should look for ways to raise as well as conserve as much money as they can during these trying times to make sure they can continue to operate as needed until things return to normal.
Making sure you have enough money to function over a protracted period of decreased donations or income is essential for survival as well as sustainability. Read this article to learn how you can cut costs during the UK’s current energy crisis.
Improve cash flows in Gurdwaras
Please take a look at the following strategies, which can be implemented by most Gurdwaras as well as Sikh organizations to increase financial flow:
- Requests to postpone loan (capital) repayments are generally well-accepted by banks. Receiving payments suspended for a period of six to twelve months is usual as well as possible.
The loan’s term will be increased by the postponed installments. Get in touch with your relationship manager.
- Payment plans are supported by HMRC (PAYE), energy providers, as well as other parties. Negotiate a payment schedule for the gudwaras energy prices over up to 12 months with your utility providers and HMRC (Schedule to Pay).
- Ask for payment delays if you have some hire purchase or leasing (for machinery as well as automobiles). Payment extensions of more than three months are available from finance companies.
- To help utility companies lower costs when facilities are closed, especially those that are not metered, let them know. Contracts for electricity, gas, as well as water should be renegotiated.
Use a broker, and make sure their commission fees are low. Verify your energy bills to make sure you are still only paying 5% VAT as a charity. Additionally excluded from the climate change levy are charities (CCL).
- Because of a change in government policy, charities are now eligible for the CBILS program. Previously, charities had to generate 50% of their revenue through trading.
Under the plan, Foundations potentially goes higher to £5m over six years. Realistically speaking, this plan will only be usable by larger Gurdwaras.
- In response to the challenges posed by the CBILS program, the bounce bank loan offers a 6-year loan worth up to £50k with an interest rate cap of 2.5%.
Simple as well as self-certifying, the application is easy to complete. It has been established that after an application, money is normally released within 48 hours.
For the very first twelve months, there are no payments due; however, you can pay back the loan at any time. After the first year, a loan for £50,000 would have £939 in monthly payments.
- If your Gurdwaras haven’t previously claimed Gift Aid, do so right now. Donations that meet the criteria will provide charities with a 25% bonus. The procedure is simple to follow.
Donations made to Golak will currently not be eligible for gift aid because declarations are rarely completed.
- Gurdwaras may use the Gift Aid Small Donations Scheme (GASDS) to claim gift aid on golak donations.
Almost all Gurdwaras will indeed be able to receive gift assistance without the need for disclosures on donations amounting to £8k per tax year.
If a Gurdwara has many buildings within a certain local council, gift assistance on contributions amounting to £8k per facility may be claimed. The last two tax years are eligible for the claim by gurdwaras.
- Examine staff schedules as well as cut back as required. When altering an employee’s terms & conditions, make careful you observe HR best practices.
- Gurdwaras must start encouraging Sangat to create standard procedures as well as direct debits for online donations.
It is straightforward for charity to start up and control thanks to providers like GoCardless. You can donate online through Instagram and Facebook as well.
- Residential as well as commercial property is owned by several gurdwaras. Even though the commercial market environment is still difficult, Gurdwaras might think about renting out excess property to make money.
- Review all expenses as well as bargain new terms with suppliers. Examine supplier statements to identify any overpayments or sums that are owed.
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Inquire about government rebates
The government provides numerous subsidies for energy-efficient upgrades as well as appliances. These discounts are typically available online as well as at your neighborhood hardware store.
These rebates can help you significantly reduce your energy costs. Plus, since gurdwaras are places that a lot of people have to visit, it is best to adopt these subsidies so you can manage the energy bills and keep the doors of gurdwara open for worshippers.
How eco-friendly is your gurdwara?
The most recent green innovations can be included in any newly constructed gurdwara, but for the vast majority of the 300+ or so existing gurdwaras within the UK, it might not be technically practicable as well as economically feasible to do so.
Most gurdwaras, irrespective of age as well as size, might implement a certain number of measures that will have an impact considering that everyone is searching for methods to lessen the carbon footprint so that everyone’s kids, as well as grandkids, can live in a much better future.
Go green in the Gurdwaras
We can all play a significant role in helping to preserve our planet. Some of us might be contributing in some small way every day. For example, perhaps you keep recycling your newspaper upon reading it or, perhaps better, sign up for the news online. Possibly you also drink free-trade tea and coffee. All of them are excellent actions!
However, there are certain further actions that the community as a whole can take. Even while some Gurdwaras may not have been the greenest locations, that is your fault. That could change, though!
You may expect a greener Gurdwara in the future if you begin implementing at least one of the following measures. You can also impart to the next generation the value of “Seva” as well as preservation.
• Recycling
You may contribute by placing recycling bins on-site and recycling goods, including plastic, paper products, glass, and cans.
Sadly, there aren’t many initiatives in place still unable to recycle Styrofoam, which tends to make up the majority of the garbage in gurdwaras because of plates and cups.
There have to be English and Punjabi signs on the recycling bins so that everyone can participate and learn about the value of recycling.
It would be beneficial to show a pamphlet outlining the benefits of recycling so that the Sangat will be motivated to do the same thing at home.
• Plant a tree
Invite students from the neighborhood school to plant a tree. You may stop daily deforestation by planting a tree.
Recycle something for the planet and impart positive giving values to the next generation. Include Earth Day and educate kids about how Sikhi’s beliefs include giving back.
• Incorporate energy-efficient lighting
Several internet websites can offer guidance on how to install lighting effectively, thereby consuming less energy as well as costing less money.
To increase energy efficiency and significantly reduce your energy costs, get in touch with the local PG&E specialist and ask them to come out for a free assessment.
It will also be evaluated how well the Gurdwara is insulated, as this can occasionally hurt a room’s ability to retain heat, causing you to use more energy and incur more costs.
Once illumination has been installed, it is crucial to close the lights when not being used and to turn off any electrical appliances.
Conclusion
Effective cash management is essential for financial stability. Every Gurdwara trustee must take proactive measures to make sure they have enough income flow for the upcoming future.
Given the uncertainty of the future as well as the likelihood that an economic downturn will increase demand for Gurdwara activities like langar, wise decision-making now will guarantee that Gurdwaras can effectively continue to provide the Sangat.
