Chesterfield brothers to increase stake in Spireites as latest accounts are revealed

It comes as the latest accounts show the club made a loss of £2,370,671 for the year to June 30 2022, compared to a deficit of £400,177 in 2021.

Brothers Phil and Ashley, who are both from Chesterfield and are Spireites fans, provided the club with a £1m loan last year and the pair are set to increase their stake in the club to 25 per cent. Ashley became a director last April and Phil will join the board shortly.

The accounts and the shares proposal will be discussed at tonight’s AGM.

Phil told the club’s We Are Sailing podcast: “I am a supporter. I have put the money in to help. I am not intending to make money out of the club. I want to do the right thing and help the club.

"The intention is not to take over the club. I would really like to keep the club owned by the fans but it is pretty clear the trust can’t support the finances of the club at the moment and what Ash and I would like to do along with the rest of the board is to get it to a position where it is sustainable.”

Ashley added: "People will have read the accounts but they need to realise those accounts relate to 2021/2022 and we are in a very different place now. We will continue to work really hard to get the club on an even keel. There is going to be a lot of hard work ahead and undoubtedly there will be a few changes internally. We are working hard to get the club self-sustaintable, that is the be all and end all.”

Chairman Mike Goodwin also reiterated the need for caution when reading the club’s accounts.

Writing in his notes Goodwin said: “The annual accounts show a significant deficit but this should be considered alongside various adjustments that have become necessary. A realistic deficit is closer to £1m which is a similar level to the current year. The involvement of Ashley and Phil Kirk has helped both in terms of short-term finances and in bringing a strong business acumen to the club.

“The proposal for a share issue to Phil Kirk that is going to the AGM means a level of security that will stabilise the club. Phil is expected to join the board following this investment. Ashley is already a director but will be taking a more day-to-day role around the club.”

In his report chief executive John Croot said that Ashley had brought some valued business experience to the club.

He said: “As well as the trust there is a new set of eyes on the business from a director who has considerable business experience, meaning every aspect of the business is being looked at in a critical fashion. This means that there will be efficiencies identified but we will also recognise opportunities particularly around commercial aspects and in marketing.”

Croot also explained that they are planning for the future when it comes to player recruitment and that ‘substantial investment’ will go into improving the current training ground.

He said: “As always, the playing budget is an area that needs constant monitoring. It is no longer just about delivering on the field but having attractive assets developed that can provide a financial return. An increased number of scouts coming to matches means there are players that are getting attention and while this might mean team changes it makes economic sense as a business model.”

He also said that they want to increase season ticket numbers, which were 2,800 when the trust initially took over the club, to 4,000.

“In terms of judging performance we would want to see the turnover rise each year,” he added. “However, any rise should be generated by increased income. We are looking at more business away from matchdays and greater commercial opportunities. That said, our primary business is football so having increased our season ticket numbers to 3,700 from fewer than 2,800 before we took over, we have set a target of 4,000 for next year.”

Turnover breakdown

- Gates and season tickets up from £176,793 to £2,049,047

- TV and football awards down from 276,832 to 257,539

- Transfer fees down from £105,000 to £40,000

- Commercial Income up from £521,139 to £1,311,932

- Other Income down from £919,197 to £269,490

- Total turnover up from 1,998,961 to 3,928,008

Other operating income

- Insurance claims receivable £589,565 in 2022 and £862,000 in 2021

Employees

- Wages and salaries up from 1,895,400 in 2021 to £3,077,898 in 2022

Administrative expenses

- Hotels, travel and subsistence up from £96,978 in 2021 to £426,788 in 2022.

- Legal and professional up from £121,683 in 2021 to 223,898 in £2022

- Ground upkeep £255,933 in 2021 to £351,431 in 2022

- Matchday expenses up from £105,005 to £324,507