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IBBA AUDITED FINANCIAL STATEMENTS
From the IBBA Controller
The next few pages contain a summary of the 2021 audited financials. At face value, the Statements of Activity (the P&L) show that the IBBA had what many would consider a “turnaround year”, going from a net loss of $75k in 2020 to a net profit of $122k in 2021 (almost a $200k difference). And while there was a substantial increase in DNA testing, a deeper dive reveals why this was mainly driven by factors outside of normal operations: • $110k – PPP loan forgiveness • $40k – 2020 written-off accounts that paid in 2021 • $13k – Sale of 2014 pickup truck
You’ll also see that the association was unsuccessful in renewing the Ultrablack trademark, which was listed as a $50,000 asset in 2020, and is now valued at $0. Please know that you are still able to refer to your Ultrablack cattle as such; the loss of the trademark simply means that it is no longer restricted to the IBBA. The IBBA is currently working on a new certification mark application to limit the use of the Ultrablack and Ultrared names. AUDITOR’S REPORT by Akin, Doherty, Klein, and Fuege, LLC, PC.
We have audited the financial statements of International Brangus Breeders Association, Inc., which include the following statements of financial position as of December 31, 2021 and 2020, and the related statements of activities and functional expenses for the years then ended.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting in error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements, including omissions, are considered material if there is a substantial likelihood than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements, including omissions, are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of International Brangus Breeders Association, Inc, as of December 31, 2021 and 2020, and the results of its activities and its cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.
STATEMENTS OF FINANCIAL POSITION (BALANCE SHEET)
STATEMENTS OF ACTIVITIES (PROFIT & LOSS STATEMENT)
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STATEMENTS OF FINANCIAL POSITION (BALANCE SHEET)
