INFORMATION EVENING 19/08/2015: SUMMARY OF KEYPOINTS

FINANCIAL UPDATE

All figures below are stated to the nearest £1000.

The club’s financial year runs from October to September

EXPENDITURE:

Our expenditure (excluding all finance costs) has been reduced significantly over the last two financial years (a reduction of £136K)

OPERATING SURPLUS: (INCOME minus EXPENDITURE)

Our operating surplus has improved significantly over the last two financial years (an increase of £184K)

NET CASH: (OPERATING SURPLUS minus TOTAL FINANCE COSTS)

Our net cash figure has improved significantly over the last two financial years from a deficit of £160K in 2012-13 to a projected surplus of £9K in 2014-15 (an increase of £169K)

CASH FLOW:

The small surplus in this financial year will only marginally ease our cash flow situation this winter compared to last year. Our bank (Ulster Bank) has agreed to continue to support the club and has provided another seasonal uplift to our overdraft limit.

“The bank wish to support FGC as it is evident that the club is making every effort to free up cash and save costs”

Council are currently considering a range of options, including early payment of fees,  to make up the shortfall between our overdraft limit (£100K) and our estimated peak cash requirement at 31^st December (approx.. £130K). Members will be updated when a final strategy has been agreed

THREE-YEAR PLAN:

To resolve our annual cash-flow problem, Council will set an overall budget each year to achieve an annual net cash surplus of at least £50K. This will require a further cut in expenditure next year.  It may take three years, but once we have reached the point that our bank balance is in the black at all times throughout the year, then we can use our annual cash surplus to fund capital expenditure projects. Some opportunities have been identified in the plan which may generate more income for the club and help us reach that point sooner (possible VAT rebate and possible income from sale of land). The finance committee (chaired by the Hon. Treasurer) and the fund-raising and recruitment committee (chaired by Roddy O’Flaherty) have a remit to devise schemes for generating additional income. 

PAYMENT OF LOANS (ULSTER BANK & DIAGEO):

In January 2006, we owed a total of £797K. In August 2015 we now owe £227K. We have paid off £570K. The Diageo Loan will be paid off by May 2016, saving us repayments of £1250 per month (£15K per year) MEMBERSHIP:

In common with most other golf clubs our total membership fell again this year. The most significant decline was in the junior section. A new Junior Organiser, David Bannon, has been appointed, assisted by Gerry Rooney. Their remit is to improve retention of members by organising junior golf effectively in the club and also to work with others, including the recruitment committee and the professional golf staff, to recruit new junior members. Two golf camps were held in the club this summer, attended by 39 juniors (ages 8-16). The assistant pro also arranged a 4-hour taster session in a local primary school in May, attended by a large number of boys and girls. 

According to the GUI, some members are leaving golf clubs because they believe that casual golf is better “value”. We must work hard to market our club more effectively. There are many benefits derived from being a member of Fortwilliam Golf Club, including: 

Proud history and traditions (125^th Anniversary next year)

Prime location near city centre

Stunning views of Belfast Lough and Cavehill

Opportunity to play competitive golf regularly (weekly internal competitions)

Opportunity to participate in inter-club competitions (successful teams)

Excellent bar and restaurant facilities

Vibrant social life in the club 

BAR PRICE CHANGES:

In July 2014, members discount in the bar was reduced from 20% to 10% to increase the club’s income. This reduction in discount resulted in the difference between the net prices paid by a member and a non-member for a pint falling from 70p to 35p.

There has been no price increase in the gross cost of a pint in the bar since April 2014. In April 2015, our suppliers increased the cost of a pint to us by approx. 3p. The cost of wines and spirits also increased.  These increases were not passed on to members at that time. 

From 1^st September 2015, a new price list will take effect in the bar. The gross price of a pint will be increased from £3.50p to £3.65p. However, discount to members will also be increased from 10% to 12.5%. The net price of a pint to members will therefore increase from £3.15p to £3.19p. Non-members will now pay £3.65, a difference of 46p. 

WINE COMMISSION: 

Council has written to our previous caterer regarding an underpayment of wine commission.

 

CREDIT CARDS: 

To cover costs to the club, members who wish to top up their smart card using a credit card will be charged a 3% fee. There will be no charge for debit cards. 

NEW TELEPHONE SYSTEM:

A new telephone system was due to be installed on Monday 19^th August. After installation costs have been paid, this will save the club approx. £300pa.

INTER-CLUB TEAMS: Congratulations to our five teams who reached the semi-final stage of their respective inter-club competitions: Fred Daly, Junior Cup, Holt Shield, Ulster Four Ball and Jimmy Bruen

Special congratulations to the Jimmy Bruen team who won the Ulster Final and will now be competing in the All-Ireland Semi-Final on Friday 18th September (and final on Saturday 19th September). Photos of the team competing in the Ulster Final at Portadown can be viewed at www.golffile.ie