Wednesday, 15th April 2020
CORRESPONDENCE TO MEMBERS via email on Wednesday 15 April
Dear Members
You know the world has changed when one day you are hosting the Laser World Championships, and then six short weeks later your on-water programs have stopped altogether. As a member-based organisation, it is now more than ever that the club needs you the members, to assist where you can. The current Covid-19 situation is proving to be an incredible challenge for your Club on so many fronts and each day brings its new challenges.
We exist to bring Members together to have fun at their Club – to go boating, to socialise, to get away from it all. And it is simply not possible to facilitate these things right now which is frustrating. The Government has been very clear in their messaging and SYC Members and community safety is the top priority. Like you, we hope to see a relaxation of the boating aspects in the not too distant future.
As the Commodore, I would like to give you a brief overview of the current impact, what we are doing about it and outline some of our planning moving forward. A positive place to start is telling you how supportive the SYC Members have been. Many of you have found time to write of your affection for our Club and phone in with offers of support. It has been great to read of your love of SYC, your sailing journeys, the friendships you have formed and the joy SYC brings you. And thank you for those taking part in and supporting our various Member initiatives – ‘community connect’, home deliveries, grocery pick-ups, the food offer and the popular podcasts have been well received.
Another positive note is that we have been able to keep the boat yard open and the marina fully accessible – so our onsite tenants have been constructively busy and like all of us, are trying to find clever ways to keep things going. If you have boat maintenance needs, it may be an opportune time to get it done through one of the contractors or service providers. Furthermore, as of this Friday 17 April we will be reintroducing “Kol’s Soup Kitchen” selling take away food, coffee and alcohol at the Ken King Centre open on a daily basis from 11am.
In financial terms, put simply, the impact of Covid – 19 may well be one of the biggest challenges we have ever faced in our Clubs history. Apart from the boatyard and ken king, all trading has discontinued and so our revenues are down 60% overnight. Our events trading has been hit particularly hard with the next 6 months now mostly cancelled or rescheduled – and with no clear re-opening date, it’s not possible to know when this will be normal again. We are in unchartered waters and it’s the perfect storm for us as nearly all revenue aspects of the Club are being affected by this.
In response, Management have eliminated all non-essential expenses and sadly we have had to stand down all of our great staff, minus a dedicated skeleton team. Many of our staff are sons and daughters of Members, and or Members themselves. We are hopeful the job keeper package will provide some relief. As you know we have been trading responsibly over the past decade as per our long-term financial plan, but we still have $3m of debt which needs servicing. In good news, we were due to rollover our current bank facility at the end of this year with the Bank of Melbourne and in recent days they have fast tracked their approvals to bring this forward. I am certain every necessary measure is being taken, and I take comfort that our Finance Sub-Committee is closely monitoring this very difficult and unprecedented situation.
In terms of planning we have embarked on a process to look at a range of Membership initiatives to reward our Members for supporting us through this. This is a work in progress as there is a lot to consider, still so many unknowns but our thought process and intent is to reward members who remain loyal to us through these challenges. Equally, as custodians of this great Club, we have an obligation to ensure that SYC is viable not only today, but next year and on an ongoing basis. To this end, the initiatives will need to be affordable at a time when the Club is under material financial pressure. We will aim to strike the right balance.
In the interim the best thing we can all do, is to keep our SYC Membership going. With your support, patience and loyalty we will get through this and when it is appropriate, I will be writing to you again on a range of Membership initiatives. In the meantime, the CEO Richard Hewett will continue to communicate with you regularly.
Finally thank you to those who have made offers of financial assistance. The SYC Foundation was originally set up to enlist the financial support of members and as it’s set up with the Australian Sports Foundation, it offers tax deductibility on donations. So if you are in a position to assist a fellow Member and or the Club get through this global pandemic, then without any obligation you may donate to our Overboard Fund. We want every SYC Member to remain an SYC Member and a modest donation may assist a fellow Full, Associate, Crew or Intermediate Member keep their Club Membership intact over the coming months. The Flag Officers preside over this fund and donations would be wholeheartedly welcomed. The Flag Officers are also personally handling Member requests for assistance. If you would like further information please contact Richard on 9599 0911 / [email protected]
Once again, thank you for your understanding and ongoing support and remember “Stay Safe”.
Ashley Trebilcock
Commodore
Rough seas make stronger sailors, tough times build greater people.