Staying Viable - Arbroath's enviable financial model

WHILE MANY of Scotland's senior football club's are struggling to keep their books balanced in the face of the ongoing global recession, Arbroath FC appear to be bucking the trend and have just announced their third annual trading profit in a row.

He told shareholders in what is now a limited company—Arbroath FC was, until relatively recently, a member-owned club—"at a time when many football clubs are experiencing financial difficulties, with some finding themselves in serious trouble, Arbroath FC continues to have a positive bank balance and continues to record a profit which is up again on the previous year.'

He added, "We are projecting another set of healthy accounts for this year as well."

The glowing financial report is all the more remarkable given that players' wages over the period increased by £20,000 to £153,000—much of the rise resulting from bonuses paid out for earning promotion to Division Two.

This was, however, more than balanced out by a rise in income from sponsorship, donations, advertising and hospitality from a modest £38,000 to over £96,000.

Mr Christison said, "We enjoyed a large increase in revenue from our new hospitality suite."

The club has also been awarded £40,000 in grant aid from the SFA towards the cost of upgrading Gayfield's dressing rooms and floodlights to bring them in line with UEFA standards.

On the playing side, manager John McGlashan told the shareholders that his side were still determined to consolidate their status in division two after winning promotion via the play-offs at the end of last season and that every effort would be made to avoid the play-off this time around.