Finance Update
Welcome to the 19th News
I would like to review the financial performance of our Club with you, our Members. The August financials mean we are halfway through the year. Our review was recently conducted by the Independent Auditor. As expected, we passed all their testing and probing into the Club’s financial systems.
However, your Board has concerns with the fiscal trends within a few areas. I will discuss key areas that I believe most members would already be aware of. On a positive note, your Board has worked behind the scenes digging into our cost centres and have begun to implement meaningful change to strengthen our financial path going forward.
Revenues across the board, bar, catering, functions and restaurant as indicated in the 6 monthly financials, are down from the previous year by $122,095. Specifically, bar sales are down by $27,500, catering down by $37,000 and sponsorship’s down $31,500. The recent changes in NSW drink driving laws have had an impact on our behaviour. Our drinking habits have changed, and we are more aware of our number of drinks consumed. The overall results are that Members have changed their behaviour and are drinking less. Catering and Functions will require a major re-boot to capture our lost market by finding and following up on opportunities more effectively. The restaurant has not achieved the levels expected. Members and the general public have not fully supported the restaurant which again, has been a drag on our financials. These issues are not new. We are still feeling the financial pain and costs associated with our failed attempts over the past few years and the financial fallout has been massive.
Now the good news. Over the past 3-4 months, we have restructured how we access our financial detail. We have created several management reports that have allowed us to pull the data out of the software system and reconstruct financials into a better format. We can drill down on any given day and see what product is selling in the BBQ or upstairs bar. What this means to all of us is that we have real time information that is accurate and reliable. We have implemented specific measures to address the shortfalls in the bar and restaurant. A few examples;
- Live music on Friday nights. I will encourage all to come in for a few hours and invest your time in the Club, have a few and stay for dinner. This week sees the return of Grant Newsome who was amazing a couple of weeks ago.
- $500 Club – each Friday night a member’s number is picked out to win the cash prize. It builds up $50 each time the winner is not present at the Club. Last week saw $550 won for the first time by William Philp, a loyal Member rightly rewarded.
- Happy Hour – Monday – Friday to encourage all members and social players to stay that much longer and enjoy the restaurant and bar offerings.
- Twilight Golf returns next week (Thursday) choose from Hamburgers & Chips and selected Chinese dishes, and much more. Book via the Office.
- Weekly beer specials brought to you by our suppliers.
- Weekend away – putting on more sponsored events when you attend our various club dinner functions. The Christmas getaway is sponsored by Oatley wines with a weekend away for two in Mudgee. If you haven’t already booked, please don’t wait as the Commemoration Cup Gala sold out and this likely will too.
- Food offering in the bar from 3:00 pm on Saturday and Sunday. Share plates designed for the golfer by the golfer.
- The restaurant offers several advertised specials outside the normal menu.
- New electronic sign to be installed on the 18th Boundary. Sponsors are in place and ready to go. The restaurant, golf events, pro shop, events, etc. can be changed whenever we desire. Currently waiting for Council approval to install.
- Let us not forget the 19th news. Weekly update that is quick and timely to discuss current topics.
This brings me to my next item on my agenda!
The Club has lacked a solid focus on marketing and business development. That is, what do we offer to the local community other than golf. Our social membership base is relatively small (non-golf members). The next major piece in our development of opportunities will focus on this area. The community around us, i.e. Macquarie business park, Macquarie University, local businesses and schools, government offices etc., are ready and waiting to be approached with well thought-out fully costed packages. We are currently developing a range of opportunities for local business, training and development, multi- layered packages for corporate, events and functions. We will continue to keep all Members informed as we roll out these initiatives.
It starts with us. We need to support our Club, the Restaurant and attend our Club functions. We need to encourage everyone in our networks to use the facilities at our Club. Developing sustainable revenue streams is vital for the health and longevity of our Club.
Looking forward to our Club Christmas party on 23 November. See you there!
Happy Golf. Tim McCauley
Chair – Finance, Audit,Technology and Admin