Legal Aid Society 2008-2009 Comparison Report

Overall 2009 proved to be a year of growth for the Legal Aid Society. When
comparing tax statements of 2009 against 2008, an overall increase can be seen almost
across the board, including increases in assets as well as expenses. Thorough
examination of these key areas leads to the conclusion that the organization is growing in
a financially productive way.

The overall revenue for this organization was down in 2009, but only to a
miniscule degree. The contributions and grants income remained stable and even
increased by a mere 0.7%. This is an important fact, as this is the main source of revenue
for the organization at $1.1 million in 2009. The main deficiency in the revenue for 2009
as compared to that of 2008 is in the investment income. The investment income for
2009 was down by 56.2% from the previous year. However, the fact that 2009 saw an
increase in revenue from program services by 13.7% suggests that the productivity of the
organization had increased from the previous year. Overall the total revenue was only
down 0.8% from the previous year.

As is often the case in times of growth, the expenses for this organization also
increased in 2009. While the other expenses decreased in 2009, the main cause of the
increase in overall expenses was the increase in salaries and employee benefits. This
may suggest an increase in personnel for the organization, especially when coupled with
the increase in program service revenue mentioned above. This increase in expenses
does not appear as a negative for the organization

The organization also saw an increase in assets in 2009. While their savings and
temporary cash investments saw a minor decrease, they increased dramatically in pledges
& grants receivable along with net accounts receivable. Seeing as how there were no
accounts receivable listed for 2008, it can be concluded that products and services
increased in 2009. The company also logged a minor increase in accumulated
depreciation, which is to be expected from one year to the next. Prepaid expenses and
deferred charges saw a noteworthy decrease of 14.5%. Taking all of these components
into account, the assets increased by $29,743 or 2.5% in 2009.

Liabilities also saw a minor increase in 2009. However, the increase in total
liabilities and net assets was a mere 2.5%. However, the accounts payable and accrued
expenses were up by $8,922 or 9.0%. There was also a minor increase in the unrestricted
net assets (2.2%), while the temporarily restricted net assets remained the same as in
2008. The overall increase in expenses furthers the argument of growth for this
organization.

As has been stated numerous times throughout this report, the Legal Aid Society
appears to be growing when comparing 2008-2009. An increase in salaries and employee
benefits may suggest in increase in personnel, and an increase in revenue from program
services suggest an increase in productivity. These main factors coupled with the
increase in assets may foreshadow an even more fiscally productive year in 2010.