Successful clubs need a solid financial foundation, careful budgeting, and the ability to generate income. Even if you’re not a financial expert, managing club finances doesn’t have to be daunting.
The Treasurer is responsible for managing the club’s finances. They don’t need to be a financial expert but should be organized and capable of tracking money coming in and going out to cover running costs. Typically, a club can’t open a bank account until it has a Treasurer, so this should be one of your first tasks.
It’s essential to open a bank account in the club’s name, especially if you plan to apply for grants. Visit your bank or building society to explore account options. They can recommend the best type of account for your needs. Online banking is convenient for day-to-day management, and most banks offer a dual-signature system for added security.
Calculate the costs of setting up and running the club, including:
Determine whether these are one-time, annual, or recurring costs. Estimate the number of members and calculate the cost per person. For example, if facility hire is £45 a week for 2 x 1-hour sessions and you have 15 members, charge at least £1.50 per session to cover facility costs.
Consider all other overheads and ensure fees cover these, plus a buffer for unexpected costs or to generate a surplus for future projects. Many clubs use direct debits or standing orders to simplify fee collection. Additionally, members often need to join the governing body, which is typically an annual payment.
If membership fees alone can’t cover all expenses, consider these options:
While fees should be affordable, they must cover the club’s running costs to avoid debt. Be transparent with members about the costs of running the club to help them understand and accept the fees.
By following these steps, you can build a strong financial foundation for your esports club, ensuring its sustainability and growth.