Update About Club

[Guest]

Hi all

Well got my meeting with rest of committee next week about poss take over of club by myself to run as my own business.

 

Im giving them info on:

 

Have done yearly cash flow following advice from LEA advisor about TUPE, rent, wages etc and it will mean increase in fees as it will also have to provide me with a wage (less than the manager is on!). We are currently the lowest fees in the whole of county and I would have to do a large increase but it would take to same levels as other local clubs..will tell them this.

 

Have included info about re-registering with OFSTED, approx timings.

 

Included how we would have to go about dissolving charity

 

Have included about selling off assets. However one committee member (who knows what i plan and is not sure of her opinion of it) is in business herself and wants to know how they will determine goodwill costs etc? Can anyone tell me should this be an issue?? She is concerned that there is a conflict of interest as i am chair. I think that so long as i stay out of the voting decision making and do not dissoolve the charity (treasurer) then it should be ok.

 

Have included pros and cons of committee run/private run club

 

My idea is that I propose the idea, generally talk the idea through, give them all this info and then leave for them to discus with me not there so that there is no pressure.

 

Do you think I have covered everything?

 

Any advice appreciated

[Rea]

I havent a clue how you go about this Marley, but one thing I thought is about the staff, even if you're keeping them would you have to make them redundant and rehire them? Or can you keep them on a rolling contract?

The place my dad used to work at was sold and the new owners gave him a new contract starting from then, ignoring the fact he had around 40 years service under his belt. He got a solicitor to make them rethink and keep him on his original contract with his service history saved, but i dont think it happened for everyone

[Guest]

I havent a clue how you go about this Marley, but one thing I thought is about the staff, even if you're keeping them would you have to make them redundant and rehire them? Or can you keep them on a rolling contract?

The place my dad used to work at was sold and the new owners gave him a new contract starting from then, ignoring the fact he had around 40 years service under his belt. He got a solicitor to make them rethink and keep him on his original contract with his service history saved, but i dont think it happened for everyone

 

Hi Rea

As its a business take over ie so that club doesnt close etc i have to comply to TUPE law where staff are concerned. Means they are not paid redundancy as their jobs are just transfered over to me meaning they have to remain on same terms conditions and i take on board their years of employment already done under the charity. Therefore i also take on their redundancy rights.

[SueJ]

Hi Marley

 

I'm sure you've got it covered but as it wasn't on your v. comprehensive list and as you are possibly going to join the ranks of the self employed have you thought about the financials eg. notifying HMRC about your plans, got a business account sorted with bank - preferably one that's offering 12 months free banking as an enticement, considered who you might have as an accountant - if you start your business now its will only be 7 months to the end of the tax year and a good accountant with reasonable rates is not easy to find, thought about what type of book keeping system you are going to use e.g., excel spreadsheet or manual system or v. expensive off the shelf one, checked out how you will run your payroll - you can do it for free using HMRC I believe.

 

Remember to keep all your receipts even from before you start trading as providing these are for business purposes you can put them in as expenses so think about the paper and printer ink you are already using, phone calls etc.

[Guest]

Hi Marley

 

I'm sure you've got it covered but as it wasn't on your v. comprehensive list and as you are possibly going to join the ranks of the self employed have you thought about the financials eg. notifying HMRC about your plans, got a business account sorted with bank - preferably one that's offering 12 months free banking as an enticement, considered who you might have as an accountant - if you start your business now its will only be 7 months to the end of the tax year and a good accountant with reasonable rates is not easy to find, thought about what type of book keeping system you are going to use e.g., excel spreadsheet or manual system or v. expensive off the shelf one, checked out how you will run your payroll - you can do it for free using HMRC I believe.

 

Remember to keep all your receipts even from before you start trading as providing these are for business purposes you can put them in as expenses so think about the paper and printer ink you are already using, phone calls etc.

 

Thanks Sue...

got santander as poss bank account as they seem very reasonable, spoke to local small accountant who says she will help me set HMRC payroll, provide me with excel spreadsheets for accounts (although have a comprehensive one of my own which i have used for predicting cash flow) and would then check my year end accounts...she was excellent as she gave me this initial meeting and advice etc as a freebie.....thanks for the thought about ink,paper and phones!

 

Im all set to go if I can get committee/head approval as well as OFSTED!! Very nerve racking and if I dont get committee approval a total waste of time.

 

Must say though that I have given club 2 yrs and if this doesnt go through, come next April for my own sanity/life I will give it up and it will then be crunch time in the hope that someone else will take it on (currently having trouble getting permanent treasurer!).

[SueJ]

Wishing you the best of luck Marley - Don't think of the process as a waste if not successful - think of all the skills you have put to use getting everything together so far.

 

I used to run a committe pre-school but found it sooooooooooo frustrating trying to keep a committee together and have the right numbers of individuals for the various posts and get decisions made. Going it alone was the best thing I have ever done and even though there have been some tough times along the way at least I was "master of my own destiny" so to speak.

 

Going it alone also pandered to my "inner control freak" - that doesn't mean that you aren't answerable to anyone - after all in childcare you're pretty much answereable to everyone (OFSTED, LA, parents, staff, children, central governement etc.) but at least if a decision needs to be taken it can be without major hassles, if changes need to be made because of LA, government or other dictats it doesn't been procrastinating waiting for committee members to "get their heads around it". I'm sure that not all committees are problematic but a quick scan of posts just on here suggests that they are not always the most dynamic of bodies.

 

Best of luck and hope it goes your way

[Guest jenpercy]

Wishing you the best of luck Marley - Don't think of the process as a waste if not successful - think of all the skills you have put to use getting everything together so far.

 

I used to run a committe pre-school but found it sooooooooooo frustrating trying to keep a committee together and have the right numbers of individuals for the various posts and get decisions made. Going it alone was the best thing I have ever done and even though there have been some tough times along the way at least I was "master of my own destiny" so to speak.

 

Going it alone also pandered to my "inner control freak" - that doesn't mean that you aren't answerable to anyone - after all in childcare you're pretty much answereable to everyone (OFSTED, LA, parents, staff, children, central governement etc.) but at least if a decision needs to be taken it can be without major hassles, if changes need to be made because of LA, government or other dictats it doesn't been procrastinating waiting for committee members to "get their heads around it". I'm sure that not all committees are problematic but a quick scan of posts just on here suggests that they are not always the most dynamic of bodies.

 

Best of luck and hope it goes your way

 

Re Goodwill. this is what is paid to an existing business by a new owner to reflect the fact that they are taking over existing customers which makes the business worth more than a new business. HOWEVER any money that you pay to the charity will have to be handed to another similar charity when this charity is wound up. there is actually no benefit to the charity from insisting on this. When i took over my charity, the equipment (which afterall had all been paid for by the parents) was written off and I paid nothing for it. Most equipment for accounting purposes is valued at zero as soon as the box is opened. Any money in the bank account will also have to be transferred to another charity. Please bear in mind that the charity will be immediately dissolved as soon as it is voted out, and you may want to consider the timing of the meeting with that in mind.

 

As far as conflict of interest goes, you have to allow someone else to step in with a rescue plan that involves keeping the charity strucutre. We all know that this is not going to happen - but it might be a good idea to ask for this in the Emergency general meeting that you are going to call. if there isn't a rescue plan, there can't really be a conflict of interest as the Club cannot continue without you.

[Guest]

Hi Jen

 

Thanks for that info. Was thinking that if it goes ahead that dissolution meeting would be as soon as i had received the OFSTED registration certificate!