Hard work pays balance sheet dividends for Derbyshire

Derbyshire are back in the black after a turn-around in their financial fortunes of well over £200,000.

The club vowed to get back to the days of showing a small surplus on the balance sheet when they dealt with the body blow of a £187,037 deficit in 2010 – and have delivered on that promise with the announcement of a surplus of £20,215 in 2011.

That marks a return to stability for the smallest of the 18 first-class counties. They showed similar small surpluses for four successive years before that substantial blip in 2010 and their overall position at the bank is good, with no debt and a smaller overdraft than three years ago.

Chief executive Keith Loring and his commercial team achieved this year’s results through a mixture of cost-cutting and creating new sources of income.

They increased commercial and conference and banqueting income and, even though membership numbers fell, they took around £37,000 more in ticket sales. Attendances in the Friends Life t20 were up by 33 per cent, the highest percentage increase in the country.

It was also significant that Derbyshire took a long, hard look at the amount of money they had passed up through the ECB’s Performance Related Fees Payment (PRFP) scheme by playing too many non-qualified players.

Derbyshire will field a maximum of three next season and two of them, Wayne Madsen and Chesney Hughes, are in the process of becoming England-qualified. The other will be the overseas player.

Having put in the hard work to make the club profitable again, Loring believes the club will stay in the black this year.

“We all felt that 2010 was an exceptional year,” said Loring. “Yes, there were things that we could have done better and yes, there were things that hit us.

“It was the first year of the PRFP payments and we didn’t quite get out heads around that but this year we certainly did. We were able to increase our expectancy levels from the amount of money we would get from PRFP this year and that worked.

“We also looked at every single budget heading. It may seem boring but we saved around £15,000 on gas and electricity and we have done lots of little things like making sure there was no printing in colour unless it was necessary. All that makes difference over a year.

“We knew we had to attack it from every angle. It was achieved with a lot of support from everybody and a lot of hard work from a small team of people.

“We are predicting the same amount of surplus this year that we started out looking for last year, which is about £8-9,000, and I already think we can do better than that.”

This entry was posted in Andy Wilson, County cricket, Derbyshire, Featured Articles and tagged , , , , , , . Bookmark the permalink.

Comments are closed.