18 Union Finance

18.1 The Union's income shall be obtained annually from the subscriptions of Constituent Bodies and Clubs, from interest on mortgages and other investments and securities, from gate monies and ticket receipts from international and representative matches arranged by the Union at Twickenham and elsewhere, from the letting of Twickenham, from sponsorship, from the marketing of Twickenham and the activities of the Union and from any other available source

18.2 The profits of the Union shall be applied only in furthering the objects of the Union

18.3 The accounts of the Union shall be made up to 30th June in each year and shall be signed by the Chief Executive and two Members of the Council. They shall be audited by the Auditors, and a printed copy of the signed Financial Statement, together with the Auditors' report thereon, shall be sent to each Member in accordance with Rule 9.9

18.4 The Union shall not have power to receive money on deposit from Members or others

19. Twickenham Match Tickets

The whole of the available admission tickets to Twickenham for international and other matches shall be under the control of the Council and shall be sold at prices fixed by the Council (without any provision for repurchase by the Union) to Members or as the Council may direct, and the Council shall allocate such tickets on an equitable basis

20. Auditors

20.1 The provisions of the Act as to the appointment, powers, rights, remuneration and duties of the Auditors shall be complied with

20.2 The Auditors shall be entitled to attend any General Meeting and to receive all notices of and other communications other than a combined General Meeting form under Rule 8.4 which any Member is entitled to receive, and to be heard at any General Meeting on any part of the business which concerns them as Auditors

21. Financial Obligations of Constituent Bodies and

Clubs

21.1 Each Constituent Body and Club shall on 1st September pay to the Union such annual subscription as the Council may from time to time determine

21.2 In addition to the annual subscription each Constituent Body and Club shall at the same time pay the sum payable under the Union's Death and Total Disability Accident Insurance Policy (the amount of which shall be notified to each Constituent Body and Club by the Chief Executive when sending out the notices requiring payment of the annual subscription) for each and every team which it is proposed to run during the then ensuing season. In the alternative a Constituent Body or Club may produce to the Chief Executive evidence of the payment of the appropriate premiums to effect similar cover under some other insurance policy which has been approved in writing by the Union under the hand of the Chief Executive as satisfying the requirements of this Rule. If during the course of a season any Constituent Body or Club shall start an additional team then before any such additional team shall play in any match the Constituent Body or Club concerned shall pay the sum payable to effect the necessary insurance cover for that team

21.3 On or before 31st December each year a properly prepared Financial Statement for the previous season shall be sent by each Constituent Body to the Chief Executive for examination by the Council and/or the Management Board and by each Club to its Constituent Body for examination thereby and also if required by the Council and/or the Management Board

21.4 Where a Constituent Body or Club is Incorporated, it shall comply with the Statutory Audit/Accounts' Report regulations set out in the Companies Act and Statutory Audit Requirements under the Industrial and Provident Societies Acts, as appropriate

21.5 Where a Constituent Body or Club is Unincorporated and:-

a) It has a gross annual income exceeding a sum to be determined annually by the Management Board, their Financial Statements shall be audited by a Registered Auditor who is eligible to act under the provisions of Section 25 of the Companies Act 1989

b) It has gross annual income not exceeding a sum to be determined as in Rule 21.5(a) above, but in excess of a sum to be determined as in Rule 21.5(c) below, then it shall appoint a qualified accountant who is a member of a recognised supervisory body (e.g. Institute of Chartered Accountants) to independently examine the books and records and to report thereon

c) It has a gross annual income not exceeding a sum determined annually by the Management Board, then it may, with permission of its members, at a General Meeting of the Club, to which 80% of the total votes cast at the meeting are in favour of such Resolution, opt out of an Audit or examination. Such option shall be exercised annually

d) It has a fixed asset balance sheet value exceed a sum to be determined annually by the Management Board then the gross annual income criteria in Rules 21.5(b) and 21.5(c) do not apply and the Financial Statements shall be audited by a Registered Auditor who is eligible to act under the provisions of Section 25 of the Companies Act 1989

21.6 Student Rugby Clubs affiliated to Universities, Colleges and other educational Institutions and Clubs which are sections of Sports Associations e.g. Banks, Insurance Companies and Business Houses are exempt from the provisions of Rule 21.3 if they do not have separate accounts for themselves