Dear Fellow Avenue supporters,
Anyone who takes an interest in football finance knows that virtually all clubs run at a loss. In the case of our football club, I have been the private individual who has funded the losses.
As our published May 2022 accounts show, the football club’s liabilities exceed its assets by £2.1m. As football clubs go that is not unusual but the deficit is high when compared with clubs at our level. Most of the deficit is explained by loans I have made to the football club. I have therefore agreed, with the approval of my fellow directors, to convert £1.8m of my loans to equity. That doesn’t change much in terms of day-to-day operations but it puts the football club on a more sustainable footing as there is no question that that these large loans do not now have to be repaid. Subject to adjustment for the loss sustained in the year to May 2023 it reduces the net liabilities of the club to £0.3m.
I am committed to the success of Bradford (Park Avenue) AFC. I accept, football being football, we shall continue to suffer losses but we have recruited well off the field and, with the help of these excellent people, we aim to cut our losses to a sustainable level. I am willing to continue to fund this level of losses for now but ultimately we need to reduce these losses as we grow our club.
If our ambitions extend to climbing back up the leagues, we are going to need new additions to our board who are committed to our club and community. I am willing to speak to anybody who is willing to invest money or time in our football club and who has its success at heart. If you would like to get in touch, please contact Calum Cullen in the first instance.
I share your disappointment in our relegation from National League North. It is nice to renew some old rivalries. Let’s pull together and make a success of our first season in the Northern Premier League.
Up the Avenue!
Supporters of the club will be thankful that such a large amount of money invested to ensure the survival of Bradford (Park Avenue) over recent years will not now be required to be repaid.
This move improves the look of our accounts and, at the same time, removes a possible barrier to new investment sources.
The annual operating losses of over £300k are being addressed by new budgets being set and will operate at a level that is reducing, thanks to robust management of the Stadium, the Academy and the Football club, whilst operating the first team at a level close to last year’s budget.
With further help from the ‘boost the budget’ opportunities for supporters to increase that figure, through buying great value season tickets and adding to the amount spent, also by supporting Development Fund initiatives to raise money we expect to have competitive first team spending power for Mark and Danny.
Key people involved in our success are all making financial sacrifices to help out, and Gareth’s conversion of loans to shares is a massive gesture of support, valued at well over £1.8 million.
We are working hard to support our managers in getting a team together and in organising pre-season friendlies.
You will be aware of the successful development and support for the Academy and also of increased help through getting more investment in pitch usage.
There has been a full review of Stadium costs to further reduce any wasted costs and great work improving the events planned on site as new income drivers.
We’ll be keeping you updated with news each week through the close season and hope that you take full advantage of the great new kit when it comes out too.
Up the Avenue.