INFORMATION NIGHT Important Notes Please leave any questions to the - - PowerPoint PPT Presentation

MARYBOROUGH GOLF CLUB

INFORMATION NIGHT

Important Notes

 Please leave any questions to the conclusion of the Presentation.  This Presentation will be available from tomorrow on the Club Website

and in hard copy at the Members Bar and Administration Office

 Any questions in relation to the Club development should be directed

in writing to development@maryboroughgolfclub.com.au or delivered to the Administration Office. These will be answered in a timely manner and the question and answer will be placed in the FAQ section that will accompany the Presentation on the website. The confidentiality of the writer will be respected at all times.

 Date of a Special General Meeting will be set by the Board at a

meeting following the Presentation. Members will be advised accordingly.

Current Situation

Registered Club Industry

 Small to medium clubs struggling to maintain their own

identity due to amalgamations and closures.

 Rising costs putting pressure on membership fees.  Competition in the gaming market reducing income

stream.

 Clubs that operate under traditional “club operation” in

trouble as the shortfall is met by rising membership fees.

 Social , demographic and commercial changes in the

Club Industry have put pressure on traditional operation models.

KPMG as part of their 2016 Clubs Census made the following observation

 Bowling Clubs and Golf Clubs have facilities that require

significant investment and ongoing maintenance as part of their primary mission. Changes in the level of demand for these facilities may impact the sustainability of these Clubs.

 In 2015 the highest proportion of clubs exhibiting signs of

financial distress or serious financial distress were Golf Clubs & Leagues Clubs. The lowest signs were exhibited by RSL Clubs & Community Clubs.

Current Situation Registered Club Industry

Combating the Challenges

 Diversify income base  Decrease reliance on Gaming Revenue  Make full use of Club assets.  Ensure that Club is operating competitively  Be mindful of a change in trends  Become Community based.  Ensure that a future plan and direction is in place  Implement strategies to drive more traffic

through the doors (food, community involvement).

WE ARE AT THE CROSS ROADS

Current Bowls & Golf

INCOME EXPENSES

GOLF & BOWLS

Revenue from Core users

Golf M’Ship $555 212 Our average $360.84

• Golf Link

$3.00

• Golf Vic fee

$59.13

• Ballarat Dist

Fee

$4.40 $66.53

Total Average remaining per member

$294.31

Non Golf Link

68 263.81

Total Income available to Club from Memberships

$80,289 Bowls Membership $111 54 Our Average $105.30

• Bowls Victoria

$62.64

• Goldfields

Bowls

$13.00 $75.64

Total Average remaining per member

$29.66

Total Income available to Club from Memberships

$1601 GOLFERS BOWLERS

Background Strategic Plan Process

May 2016 the Club embarked on a Strategic Plan Process as follows

 Workshop held with Participants  Information collated and in consultation with the Board a draft Plan

produced

 Reported back to the initial workshop attendees with draft

Strategic plan to get further feedback and additional information

 Strategic Plan ratified by the Board  Strategic Plan released to Members  Strategic Plan implemented  Strategic Plan reviewed by the Board January 2017  Review by original Strategic Plan participants Nov 2017

Strategic Plan Vision Statement

To make our Club the Club of choice by providing an entertainment facility that caters for the community

Strategic Plan Mission Statement

Provide a facility that appreciates

• ur members,encourages

participation,welcomes the public and supports the local community whilst seeking continual improvement.

Challenges identified in the Strategic Plan Process

These Challenges exist for most Golf & Bowls Clubs Australia Wide

• Reining in escalating costs.
• Reversing falling revenues
• Dealing with ageing infrastructure (especially

Clubhouse)

• Adequate water supply
• Diversifying income base so as not to be reliant on

fees to survive.

Objectives of the Board via Strategic Plan

 Ensure that Maryborough Golf & Bowls Club continues

to provide first class facilities

 Future Proof the Club so we are not reliant on

income from membership and playing fees and are able to minimise membership increases

 Establish the Club as a diverse Sporting & Community

Club to service the Maryborough region.

 Make improvements to the Clubhouse facility to

ensure that the above objectives are met.

Improving the Clubhouse Points to consider

Ageing Kitchen facilities that are presenting

• n going problems.

Toilet facilities that are in poor condition Club ambiance Make the Club Multi Functional Fit the Clubs Financial Capability

What do we hope to Achieve?

 Bring the Club Facilities up to an acceptable

competitive standard

 Have a Clubhouse that not only services our

members but services the whole community

 A Club that supports its core sports of Golf &

Bowls but also embraces other sports and community organisations

 Able to increase our income base.  Build a foundation from which to grow  Futureproof the Club operation

Time Line

May 2016 Strategic Plan Workshop July 2016 Strategic Plan published Nov 2016 Investigate Clubhouse options Feb 2017 Engage Architect to look at Masterplan April 2017 Masterplan presented – Board asked for modifications August 2017 Board decide that Masterplan is beyond financial capability. Architect asked to produce new plan based on need & capability October 2017 New Plan submitted to Board- approved in principal. Discussion with Banks Nov 2017 Review of Strategic Plan by workshop

• participants. New Club plan viewed.

Jan 2018 Information Night for Members Feb 2018? Special General Meeting to vote on funds for development.

Benefits of Project

Update facilities to better reflect our

standing in the community

Install a sense of pride in the members Make the Club more competitive Deliver upgraded facilities that will lead to

an increase in income streams outside Golf and Bowls revenue.

Increase revenue without impacting on

members

Financial

Due Diligence has been undertaken on this

project and reflects an ability to repay the Loan based on current trading results and future trends.

Full costing will be provided as part of the

Special General Meeting presentation.

Good potential for further increases in

function trade as well as general bistro trade.

Presentation

Andrew Fedorowicz F .R.A.I.A

DEVELOPMENT OF MARYBOROUGH GOLF CLUB

STAGES 1-5

PROJECT COST ESTIMATES

 Kitchen Facility

$400,000

 New Toilets x 2

$150,000

 Relocate Administration

$110,000

 Car Park

$250,000

 Club House & New Alfresco

$395,000

 Consultants,site costs,Construct Margin

$200,000

 Build estimate

$1,505,000

 Carpet, Furniture Etc

$100,000

 Contingency

$295,000

 Project Cost

$1,900,000

Where to now?

 Special General meeting to be called by the Board to seek

permission of Members to fund the project.

 Consultation with golf members through Golf Committee

and Greens & Match Committee in relation to changes of the course to accommodate the project.

 Tenders called for project  Start project.

QUESTIONS