John’ s Island Club, Inc. Notes to Financial Statements
Note 1. Nature of Organization and Significant Accounting Policies
Nature of organization: John’ s Island Club, Inc.,( the Club) a member-owned private club located in Indian River Shores, Florida, was incorporated as“ a corporation not-for-profit” under the laws of the State of Florida on November 1, 1985. John’ s Island Club is a private, member-owned club located in the John’ s Island community in Vero Beach, Florida. Situated along the Atlantic Ocean and the Indian River Lagoon, the Club operates dining facilities, three 18-hole golf courses, 17 har-tru clay tennis courts, singles & doubles squash courts, pickleball courts, a fitness center, two croquet lawns and various social and recreational activities for the pleasure and benefit of its members and their guests.
A summary of the Club’ s significant accounting policies follows:
Basis of accounting: The accompanying financial statements have been prepared on the accrual basis of accounting.
Basis of presentation: The Club is required to report information regarding its financial position and activities according to two classes of net assets: net assets without donor restrictions and net assets with donor restrictions, based on the existence or absence of donor-imposed restrictions. The Club does not have any donor restricted net assets.
Accounting estimates: The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America( U. S. GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Cash and cash equivalents and concentration risk: For purposes of reporting cash flows, the Club considers money market funds to be cash equivalents. Publicly traded money market funds are invested in U. S. Treasury bills, notes and other obligations issued or guaranteed by the U. S. government, its agencies or instrumentalities and are recorded at fair value. The Club’ s money market funds totaled $ 270,601 and $ 59,679 as of December 31, 2025 and 2024, respectively. For purposes of reporting cash flows, the Club does not include Board designated cash and cash equivalents. The Club maintains substantially all of its cash and cash equivalents at one financial institution which, at times, may exceed federally insured limits. The Club has not experienced any losses on such accounts and continues to monitor and limit any exposure to any significant risk on cash.
U. S. Treasury securities: U. S. Treasury securities are comprised of securities with an original maturity of greater than three months and are recorded on the statements of financial position at fair value, which is based on quoted market prices. Interest income is recorded in the statements of activities as it is earned. As of December 31, 2025 and 2024, the Club has $ 26,080,159 and $ 13,192,285, respectively in U. S. Treasury securities. As of December 31, 2025, U. S. Treasury securities mature at various dates through November 2029. As of December 31, 2024, U. S. Treasury securities mature at various dates through April 2025.
Accounts receivable: Accounts receivable primarily consist of amounts due from members. An account receivable is considered to be past due if any portion of the receivable balance is outstanding for more than 30 days from the statement date. A late fee is charged on accounts receivable that are outstanding for more than 30 days from the statement date and is recognized as it is charged. Accounts receivable are written off when deemed uncollectible. Recoveries of accounts receivable previously written off are recorded when received.
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