Financial Pitfalls Your Club Could Face

I speak from experience when I say that it’s not easy running any sports club.

With so many variables, risks and dangers coming a-cropper in the day to day running of a sport’s team, I thought I’d detail a few of the big ones you should look out for.

It doesn’t matter what the sport is; organising a disparate group of individuals to team together and meet once or twice a week can be next to impossible – and we’ve not even taken into consideration the financial side of things.

These are the most likely financial pitfalls that you could face:

Poorly Maintained Ground

If your ground is poorly maintained then you are putting yourself at financial risk. Like it or not, the members of your club don’t just play for you because they like your company, they play at your ground because you have facilities worth playing on. The maintenance of the ground is where a large proportion of their fees should be going on, it’s a point of pride for many players and also contributes to their enjoyment of the game. If you neglect your ground, your players will find a better club to play for and you’ll fold.

Personal Injury Lawsuits

Sports can often be dangerous. Contact games like football or rugby can often be the epicentres of horrific injuries and serious accidents, which is why it’s crucial for your club to be completely covered by insurance at the start of each and every season. Remember that accidents can also occur off the pitch but still within the grounds. Overzealous drinking, raucous private parties and even slips in the shower should all be covered on your policy so that you can avoid any nasty legal surprises.

Theft and Loss

Athletic clubs are often chosen as targets by opportunistic thieves and burglars, in order to avoid becoming the victim of these criminals it’s a good idea to invest in a decent security system that can be easily operated by all club key-holders. Cash handling duties must also be followed strictly, the bar manager should deposit any takings from the bar into a secure safe at the end of each night and should have a clear line of communication with the club treasurer. As with any business, transparency is absolutely necessary when dealing with club finances.

Crumbling Club House

I’ve already mentioned the importance of keeping your ground in good shape, but the same also applies to your club house. In order to keep attracting new players you’ll need to make sure that your club house stays in good shape, that means staying on top of maintenance issues and updating where necessary and within your means. Fail to do so and your problems will compound forcing you to spend more money on surveying equipment and construction teams to sort out the mess.

Licensing Fines

Finally, one of the most common reasons for club closures is often because of a simple oversight in licensing. In order for your club to sell alcohol you need to ensure that you are licensed to so by the government and local authorities. Without the correct papers you will be liable to a hefty fine that could easily cripple any sports club for good. Make sure that your licenses are up-to-date and correct before the start of each season.