ENDOWMENT



FINANCIAL STABILITY: NOW AND IN THE FUTURE

Village Theatre has a 30 year track record of successful growth and demonstrates the highest level of artistic excellence in musical theater productions. This is evidenced by the fact that it has more season subscribers than any other producing theatre in Washington State. Its critical success and growing reputation have put Village Theatre on the verge of breaking into the regional and national spotlight. Yet grabbing this opportunity for additional growth and excellence requires fiscal muscle. In order to fulfill its vision for the future, Village Theatre must stabilize its annual financial operations and increase the amount of funding from contributions and other sources of unearned revenue.

CHALLENGE

  • Little or no room within current operating budget to support new programming and growth of current programs to meet demand in the community
  • Revenue from lease payments goes to mortgage payments instead of enhancing theater operations
  • Constant budget pressure limits the opportunities that could help propel Village Theatre to its full potential as a nationally-recognized regional theater
  • An increased level of investment is required to meet community demand for new productions and programming and to fulfill the potential of current programming
  • Bringing the new Technical Studio building online will increase the annual operating budget


OPPORTUNITY
  • Retire the $1 million mortgage on the Francis J. Gaudette Theatre
  • Establish an endowment fund to support general operations and to assure the continuation and growth of the Village Originals and KIDSTAGE programs now and in perpetuity


OUTCOME
  • Enhance the theatre’s overall financial flexibility
  • Improve annual cash flow available for operations by eliminating monthly mortgage payments and adding earnings from endowed funds
  • Provide more funds for productions, community outreach and educational opportunities
  • Increase the Theatre’s ability to attract philanthropic support, particularly from Foundations, corporations and planned gifts from individuals
  • Safeguard the leadership and creative opportunities available to young people through the theatrical arts
  • Guarantee the continuation and provide funding for the expansion of innovative, nationally-acclaimed programs
  • Ensure that the craft of writing new musicals does not become a dying art
  • Provide a stable, reliable, consistent source of funding for vital programs that cannot earn enough money to be self-supporting, regardless of year-to-year budgetary pressures