Sports Clubs Looking for New Revenue Streams

Sports Clubs Looking for New Revenue Streams

I have spoken to a great many people recently about how sports clubs and the sporting industry as a whole is going to be able to move forward and ensure they are financially viable once the pandemic is behind us, however from what I have been told it is looking unlikely all sports clubs are going to survive moving forward.

The obvious effects of the pandemic are clear for all to see, and it is the case that many businesses that were once more than happy to throw money at sporting events and sports clubs by way of sponsorship or advertising deals do not have the cash available to do so.

When you add into the mix that UK online sports betting sites are being restricted and even banned from advertising some sports clubs and events according to Top 10 Sports Betting Sites Author Adrian Sterne, that is going to have a major and negative effect on the sports industry as a whole.

There really does need to be an urgent rethink and business plan put into place by many sports club owners, for without such plan in place to replace their lost income streams with new revenue sources things do not look good at all for many of them.

How the Sporting Industry Can Survive

Packing their stadiums and grounds with paying spectators is one obvious way that many sports clubs can survive, however maybe there should be a radical rethink of ticket prices, so that a fan can afford to attend plenty of live sporting events and even bring their family members or friends with them too.

There may also be a case to be made for reducing the wages of sportsmen and sportswomen to help reduce the ongoing costs associated of running a sports club, for the wages bill alone for many sports clubs can be astronomic with some top named stars being paid a fortune for simply playing the games they have mastered.

That is something that may be considered for at the end of the day the average man in the street has seen their income levels drop over the last year and may do moving forward, and that may be what those once well paid sportsmen and sportswomen are going to have to experience themselves too.

Many Sports Clubs Making Use of Government Guaranteed Loans

Billions of Pounds have been lent out by many banks, as part of several Government backed loan schemes. Those schemes were set up at speed to ensure that small business owners could have access to emergency borrowing during the pandemic.

It has been the case many football clubs have taken out Bounce Back Loans and Cbils, which are both loans schemes offered by banks that are 100% guaranteed by HM Government, and with low interest rates and some favourable terms they have helped many sports clubs survive.

However, cash is now of course running out, but that is something the Government is more than aware of and in April of this year they are launching a new Government guaranteed loans scheme, that being the Recovery Loan scheme, which looks like it is going to be designed with higher interest rates.

As for whether any sports clubs are going to be eager to continue borrowing, event with Government backed loans, remains to be seen, for most of not all of them will simply want to restart their usual income steams moving forward, rather than taken on even more debt.

Can You Help Your Local Sports Club?

Obviously, everybody has had it tough over the last year or so, and when lockdowns finally end and some form of normality returns, we will all be eager to get out and about in the way we all once did, and with that in mind try and book tickets to attend any and all upcoming sporting events you can attend.

If you are a fan of any local team or sports club, then consider having a chat with your friends and see if you can arrange a trip out to your teams upcoming sporting events as a group, not only will you have an enjoyable day out, much more so if your team wins, but the tickets you buy will be helping out that team or club.

Cristina Macias
Cristina Macias is a 25-year-old writer who enjoys reading, writing, Rubix cube, and listening to the radio. She is inspiring and smart, but can also be a bit lazy.