Pub. 2 2019-2020 Issue 4

7 interim legislative meetings at the capital and other locations, are active in business coalitions to advance our dealers interests further, and meet with city officials and other groups to help them understand the value and need for a robust franchise system. So the second part of the dealer’s questionwas, “why is the association involved in other activities other than its statedmission”? Hopefully, the following informationwill providemore insight for our members as towhy we are also involved in other activities. • NCDU is a (501c6) trade association whose mission is to advocate for our membership base in all the critical areas in which they function. We also have two “for-profit” entities that are wholly owned subsidiaries of the association. We also operate two “not-for-profit” entities (UADA Group Insurance Trust and GoodWheels Charitable foundation), which have their own boards and budgets. Our fundingmechanism is not based on the typical association platformof heavy member dues. In contrast, we based our funding principally on a business model, so our members’ burden is very minimal. In 2020 our member dues were $76,556.00, and the associate member dues were $21,500.00. Our overall budget for the year 2020 (excluding the Trust and GoodWheels) is between $750,000 and $800,000, making total dues fromour members, approximately 10% of our budget. • What we have found over the years is that the businessmodel we have, if done right, can allow themission of the association, “toprotect andpreserve the franchise system,” to be accomplished in an effective, efficient, and expert manner, all thewhile keeping costs to themembers very low. • Some Utah associations have very large members (banks, credit unions, hospitals, etc.) and others have many members like the Utah Realtors do, at approximately 11,000. This gives them a vast membership base and quite a bit of funding. NCDU has approximately 150 members, so to assess big dues is just not practical. Therefore, we operate several businesses that all function to support the operation of the association. • Participating in the other dealer services, our “for-profit entities” is also vital to the association’s long-term success. These services are the primary funding sources that enable NCDU to do what we do best. • As an NCDU team, we balance both legislative/government relations while, at the same time, operating a very successful small business as a principal funding source for the organization. This is where we need your help. The question asked by one of our dealers gives us an opportunity to ask our membership to support our association in amore significant way. With the background on our mission andwhat is involved inmaking it all work, we would ask that you take amore in-depth look at what we offer in terms of products and services and obtain them fromus. A listing of our many products and services are included for your consideration. Remember, the sole reason we exist is to ensure all Dealers are successful. We will continue our commitment to work hard and ensure this success happens. It is a privilege to be part of what we consider to be the greatest industry on the planet. 3 Thank you, NCDU Team