Hereford United news

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Hereford United news

Post  Harry Swift on Fri Jan 10, 2014 12:59 pm

WINDING-UP ORDER DATE FOR HEREFORD UNITED SET FOR JANUARY 27 IN ROYAL COURTS
OF JUSTICE
From www.herefordtimes.com

Hereford United must appear at the Royal Courts of Justice in London on
January 27 to defend a winding-up order. The notice against United has been
served by HM Revenue and Customs. It was presented on November 26. The Bulls
will now be hoping that the signing of their extended leases goes through
next Monday, as reportedly agreed, allowing them to confirm a contract for a
six-figure sum with a telecoms company.
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Re: Hereford United news

Post  Harry Swift on Tue Jan 21, 2014 10:49 am

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Re: Hereford United news

Post  Harry Swift on Wed Jan 22, 2014 7:37 am

KEEPING A CONFERENCE CLUB GOING
From www.footballeconomy.com

The chairman of Hereford United, David Keyte, has issued a statement on the
club's website explaining its financial position. It is unusual in terms of
the amount of detail that it provides about the financial challenges facing
a Conference club struggling to survive.

In particular it brings out the consequences of relegation and has sensitive
revenue is to a relatively small fall in attendances or even the loss of one
match that could be expected to attract a good crowd. The figure bandied
about most recently is that the club needs to find GBP1 million to survive.
"This is simply not true and potentially damaging in the extreme when we
attempt to attract investment into the club. Since taking over the football
club in 2010, the current Board of directors has adopted a different
strategy to the previous regime by taking back the ground leases in order to
give the club the opportunity to develop the stadium and improve the
match-day experience for the fan base in what is an era with high
expectations for entertainment and facilities. This has taken a long time to
resolve but thanks to the efforts of my colleague Bob Pritchard we have at
last agreed revised leases that will now allow us to get to the next stage,
namely discussing plans with potential developers. Although the balance
sheet is ultimately the key measure for any business, all football clubs,
not just lower league clubs, are trading via daily, weekly, monthly
cash-flow. Week to week, lower League clubs wrestle with such matters as
paying the wages; paying the tax man; counting the gate money and paying the
overheads for operating your football stadium. Hereford United is no
different in that respect but where we do differ from the majority is that
we have recently suffered relegation from the Football League. This change
of status, whether you are Hereford United, Lincoln City, Stockport County
or any other club, brings huge added difficulties in addition to those
encountered when you remain, year on year, in the same League. Throughout
this second season we have openly said we are losing around GBP30,000 per
month. That actually represents great strides since our relegation when the
task before us was how to cope with GBP60,000 per month less income
(Football League/Premiership funding) a total difference in funding of
GBP720,000 every season in the Conference compared to League 2.

"We realised that it was impossible to address this deficit overnight and
considered it to be a minimum of a three year turnaround. We took out in
excess of GBP300,000 from the running costs in the period July 2012 to May
2013. We also had the benefit of a 'parachute payment' (GBP215,000) in the
first season after relegation and for the most part the Directors funded the
remaining gap in Year 1. For this second season back in the Conference there
is no parachute payment. We made further cuts in our cost base, including
the playing budget, in an attempt to address the reduction in income through
the ending of the parachute payments. We identified a shortfall of
GBP360,000 even allowing for further reductions in our costs. We were
determined to maintain a playing budget to retain our status in the
Conference Premier and so launched other initiatives to attract income
(Debentures/Shares). Some of the initiatives have been more successful than
others but we have generated in excess of GBP50,000 from them. Six months in
to the season (31st December) - and acknowledging that we were running at a
GBP30,000 per month loss - we therefore expected to be short by GBP180,000.
We budgeted for average crowds of 1950 this season. Presently we are running
300 down on that so we are approx. GBP40,000 down on our predicted gate
receipts up to this point. The lower than budgeted gates has moved the
shortfall to GBP220,000 after six months.

"As a result of this the Directors, who remain fully committed to the club,
have put in a further GBP40,000 whilst supporters rallied around to raise a
fantastic GBP20,000 before Christmas. This was an incredible effort in such
a short space of time and we are extremely grateful for their great support.
When juggling all the balls, we made a decision to pay the wages as far as
we could each month before the tax man but the loss of the Kidderminster
Harriers match on New Year's Day with a budgeted gate of 2500 and takings to
be banked of GBP20,000, has left us short of completing the December payroll
by GBP17,000. The current position is that all the players have been paid
every month this season, the management and footballing staff are owed
GBP6000, office/supporters' club staff are owed GBP7000 and the youth
section are owed GBP4000. The outstanding HMRC debt has risen to GBP60,000
at the end of December whilst the immediate priority is the winding up order
for GBP36,500 which relates to October/November PAYE. The remaining
shortfall of approximately GBP80,000 represents a large number of trade
creditors as in any business that allow the club to function, from the
brewery to power, light and heat, rent and rates, programme printers; etc.
The majority of the trade debts fall within the 30-day payment terms. Last
month we announced further cutbacks in the non-football departments and this
will save GBP8,000 per month moving forward. The manager is fully aware of
the situation and that we may have to look at the football department as we
attempt to reduce the GBP30,000 per month shortfall still further. The
future budgeted shortfall for the five months (Feb-May) originally of
GBP150,000 will therefore be reduced to GBP110,000 or GBP22,000 per month.
The immediate task then is working together to tick off those relatively
small and hopefully manageable sums that have accumulated to date and to
take further cost reducing actions (within the stated wish not to ruin our
prospects on the pitch) going forward. We repeat our intention as a Board to
produce a break-even budget for the Year 2014-15."
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Re: Hereford United news

Post  Harry Swift on Tue Mar 25, 2014 9:36 am

HEREFORD UNITED MUST FIND GBP78,000 WITHIN TWO WEEKS TO AVOID A WINDING-UP
ORDER, AN OPEN MEETING HEARS TONIGHT
From The Hereford Times

Hereford United must find GBP78,000 within two weeks to avoid a winding-up
order, a fans' open meeting heard tonight. Cash-strapped United owe the sum
to HMRC, the meeting was told. If United fail to raise the money, they could
be wound-up in court, fans were told.

Non-executive director Bob Pritchard said the directors would not put the
club into administration before Thursday. Worried supporters packed into
United's Starlite Rooms tonight to discuss the club's perilous financial
position. One supporter said he felt the club's plight was beyond the pale
and that liquidation was the only option facing the club.

Hereford United player Rob Purdie told fans that the players had met
chairman David Keyte this morning and were eager to do well in Saturday's
home match against Grimsby.

Long-term supporter Keith Hall said United should set up an SOS fighting
fund to highlight the club's plight.

Hall also suggested organising fans' fund-raising matches and contacting
Premier League clubs and United's old Football League friends to support the
club's fight for survival.

Asking Premier League club to hold bucket collections at their grounds in
support of the Bulls, was also mooted. Other fans are donating signed shirts
to be auctioned to raise funds for the club.

Herefordshire Councillor and landlord of the Victory, Jim Kenyon, will
donate two barrels of beer a week to the club. Donations to help support the
club can be made through the Supporters' Trust website. The meeting was a
joint venture between the Hereford United Independent Supporters'
Association and the Hereford United Supporters Trust. BBC Hereford and
Worcester sports producer Trevor Owens chaired the debate.
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Re: Hereford United news

Post  Benji on Tue Jun 10, 2014 9:56 am

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Re: Hereford United news

Post  Wandering on Tue Feb 24, 2015 9:21 am

Herefordshire Council have granted Hereford FC, the phoenix club, a five year lease for the use of Edgar Street from March 2015.

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