News from the CBA (East Midlands & East Anglia)

 

BITS & BOBS: Number 4: April, 2012.

 

1.            Housekeeping: Firstly, my thanks to those of you who have been patient in respect of returned phone calls, correspondence, e-mails, reports and all from myself in late March and April. I hope there has not been too much disruption. As for the future, I may still have to spend some times away from my desk on other matters. I do not anticipate this causing too much disruption though and hope to get the visit, meeting, reporting scenario back on stream in May.

2.            Retirement Age: I have been made aware of a landmark ruling in the courts regarding retirement. As always with these things they are bland and more will come out, but at present, the suggestion is, 'Older workers can be forced to retire at 65 if their employers show it is in the 'public interest'. What that means I don't know. Each case must have a wider justification than the commercial interest of the business. As such, companies must consider a range of alternatives to retiring an employee and show a specific public interest justification in each case where retirement is imposed. The judgement signalled that it could be in the public interest to retire staff to create public interest opportunities for younger personnel. Public interest being the issue of unemployment figures in times of economic recession. Also the ruling may necessitate that staff are legitimately required to undergo performance assessments if they wish to keep their jobs. Complex stuff and I am the messenger here, but IF your Club potentially falls into this area, I advise making contact with myself and I will forward you to an employment law specialist who may give you a few minutes advice free of charge.

3.            TENs: I always bang on about taking Temporary Event Notices (TENs) to boost trade for garden parties, Poppy Dances and so on. I read that under legislation the govt. is intending to increase the number of TENs available from 12 to either 15 or 18. I will keep my eye on this one. It is part of the Licensing law updates which are being debated at present.

4.            Smoking: It is still legal I think. Just. I was at a Club the other who sold smokes behind the bar. No issue there and a useful service as long as there are no losses on stock, as margins are wafer thin. However, I was interested to see that 700 CIU Clubs made a claim for a rateable value reduction as a result of their building use being changed as a result of legislation. 95% were successful getting an average reduction of 10%. I advised our Clubs to consider carefully taking this route because most of you get a rate reduction given the association with the charity (up to 80%) in most cases. The conundrum is could the Club get a rateable value reduction. Potentially, and something to pursue IF your Clubs does not get large rate relief. But if it does, I would think best to leave alone. Councils are skint and as most relief is discretionary any review may have bureaucrats investigating and withdrawing your benefit, as occurred down Rochford way in Essex.

5.            Water: Not stopped raining here since the region was seen as in a drought! I digress. I saw an article in the press concerning a pub which got a massive bill as a result of a water leak on their property. Do be aware the water company IS NOT responsible for water leaks inside the boundary of properties or past the meter if on a street. So best advice is to repeat a past message. All Clubs should read its water meter each month. If you don't know where the meter is, then you really should find it. I am aware of at least one Club that turns off its water supply at the stop-cock each night. Fully support that policy as part of a close-up scenario. If nothing else it stops the toilet cisterns from circulating.  Do give this your attention.

6.            Fruit Machines: I know this is causing angst amongst many of you and I had scripted notes recently on no-tax machines. To supplement after visiting a Club the other day, whatever machine you have you really should ensure that the machine takes bank notes as well as normal coins. Therefore do make sure your machine when changed has this function. Machine suppliers are quite good at this, but do check any characteristics of new machines and do not be afraid to flare-up to suppliers if the takings all of a sudden fall, or there is not a note taker! (By the way Deal or No Deal is the most popular nationwide machine. Any one has one.)

7.            Finance Companies: Notes are often compared with CORCA bodies over finance companies offering cheap loans etc:- to Clubs, especially those in free-hold sites. I see these in some respects as the new lease arrangements many Clubs got snared with (door entry, CCTV, satellite TV etc:-). I heard of a WMC in London being threatened with eviction because they missed a re-payment, the rates of interest were punitive and it now has the Club in jeopardy.  If you are approached by these type of companies, either bin the letter (preferably) or study any small print relating to repayment and interest rates (secondary). If you own your own property you have business collateral and though finance from banks is tight, it would likely stand in your favour. I can only advice finance companies sending out flyers etc:- are not engaged.

8.            Property: I'm no expert hear, but I read something interesting the other day. A question was asked by a leaseholder.  Am I responsible for dilapidations? The answer was yes, BUT the tenant was told to request a supply of a terminal dilapidations report. That is a dilapidation report which should have been compiled prior to the lease being signed, so like for like can be compared. Without it a landlord can be on sticky ground. Also the notes said to cross-check and ask if the building might be sold (after a tenant departed) as a development site. If that is the case then the answer was there was no need for dilapidations at all. Any dilapidations if the boxes are ticked, should be priced up by a tenant (by taking a quote) and the tenant should then negotiate as to whether or not the work is required or not. The advice also suggested looking at historical inherent defects, which may not be a tenant's responsibility. Finally, a dilapidation report is a subjective opinion and it is not set in stone and should be challenged where necessary. (I found this information very useful indeed!)

9.            Prices & Value: An annual study was released of late. It suggests the price of pint of lager averages out at £2.90, a pint of bitter at £2.81 and a tot of spirits (25ml) at £2.36. So by and large we do represent good value as some are average, but many of you way below average. I don't have any Clubs above these prices at all, but don't cover commuter belt Home Counties. The general notion of value does hold true therefore and it is up to you wherever to spread the message in respect of marketing the Club and getting folk through the door to see what great value you offer. If you want some marketing thought (within legal bounds) just shout this way.

10.          Minimum Pricing: Will it or won't it occur. Lots of legal issues with it, but this could benefit the on-trade where we sit. Minimum pricing would see the price of a bottle of wine in a supermarket rise to about £4 for example. Still cheaper for sure. So there may be an incentive for people not to drink at home but seek a safe social environment instead. Like a Club which still offers value (ref:9). What would I like to see is that there are tax breaks for those who are socially responsible in selling alcohol. An off-licence has little responsibility once the product is sold, yet a Club has responsibility to the law, neighbourhood and in respect of social order. I am just a lone voice here, but hopefully minimum pricing will benefit by a change in culture, but this is very long term!

11.          Bramford: I know many of you have seen the issues in the national press facing Bramford Club in Ipswich. Hopefully I speak for all of us in hoping that the judge will see common sense prevail when the case of the Club and the noise dispute with the neighbour is heard and they can continue to look after their members and the local community in a manner they have for the last 85 years. This is a case where one serial complainer has sparked a legal chain of events. Unfortunately the 'we were here first' scenario does not work on what could be seen as environmental pollution (I hope not!). If your Club does have an issue with noise, you must request transparency in the procedure (often I see simply an allegation is made - that is not really good enouh), be prepared to mediate, discuss improvements and site management with the council (initially) and do not hope it goes away. Regretfully noise is like a rolling stone so be diligent in this area (patronising I know), observe your CPC requirements for example and stick close to H&S issues (ref: 87 decibel noise level). Neighbours with a bee in their bonnet can make life hell re: Bramford. It isn't fair especially when there is guilt by association (re: cars driving away for example) but please do be careful. I will assist wherever I can when things come up if you let me know. Again good luck to Bramford Club.

 

       Sorry the notes are a bit truncated and short this time. Normal service will be resumed soon I hope.     
Sean

 

BITS & BOBS: Number 3: March, 2012. (Budget News)

1.       BUDGET (Excise Duty) This is the tax paid on alcohol. The Chancellor said, 'I have no further changes to make to the duty rates set out by my predecessor'. This regretfully does not mean that alcohol duty did not or is not going to rise. His predecessor suggested that any rise would be at inflation plus 2%. In effect 5.6% Excise duty is presently about 37p per pint, BUT depends on the strength of the beer you sell. So this will equate to a rise of between 2p and 3p per pint.  As there is tax on the tax, when VAT is added that equates to 2.5/3.5p a pint. Therefore to hold the margin (if at 50%), you should consider a price rise unfortunately of about 7p/8p a pint. Sorry about that. I know many of you were waiting the Budget before reviewing prices. The due date for the rise is March 26^th. Where should you go with this. The often repeated message is either pass it on and blame the government look at the Club's asset management and see if the Club can achieve higher sales ratio on the products purchased, or a mixture of both PLUS shopping around for best purchase prices. It is very competitive out there. I tend to concentrate this script on beer because it makes up 60% of your sales in general. For the record, a bottle of wine will rise by 11p and a bottle of 70cl spirits by at least 41p. If you sell in 25ml shots of spirits, that will equate to about 2p a shot, in 35ml by 3p a shot. A retail rise of about 5p a nip is therefore in the offing.

2.       Shopping (Purchases) In respect of the above and following various requests and diaries permitting I am researching whether there is mileage in developing localised trading agreements with wholesalers. The rationale is NOT to disrupt your major agreements with the likes of Heineken, Coors etc:-, but to see if a minor trader who could supply spirits for example to larger Clubs and all products to a smaller Club could offer a better purchasing arrangement. I will report after any meeting. This is aimed at benefitting all RBL Clubs.

3.       BUDGET (Machine Games Duty) This is the tax which will replace the present amusement licence duty and VAT paid on the machine. I gave song and verse in the last B&B. The rate of tax is to be set at 20% of net takings. (i.e. the amount in the cash box after pay-outs) There will be a lower rate of 5% for machines with a 10p stake and a £8 payout (which presently has no licence, but is VAT attracted). It appears the 5% will apply to 'prize machines', which at this time I am taking to be the skill/quiz machines numerous of you have. I thought it may be useful to carry out a crude analysis.

·         Present: B4 machine has takings of £10,000 per annum. VAT on that is £1,666. (Leaves £8,333) Less the duty at £2,200 leaves about £6,133 out of which to cover any hire or split. Say that is £2,000, it leaves the Club with about £4,133 per annum.

·         Future: B4 machine has takings of £10,000 per annum. A 20% tax on the net take leaves £8,000 and a £2,000 tax liability to pay. Again, a £2,000 hire, leaves a £6,000 net take for the Club. Potentially, note potentially, a benefit of £1,867. So this could be positive news.

·         The reasoning for this change was the challenges to VAT payments that have been discussed many times before.

·         As discussed at a meeting the other night do give thought to a B3A auto-Lottery machine or developing your pull-tab 'Lotto cards', which attract no VAT or future machine games duty (MGD) in future. 

4.       VAT Registration: In respect of the above note 3, from 1 April the VAT threshold is to be raised to £77,000, or £77,000 of VATable income. The de-registration threshold is to be raised to £75,000. This is an important figure and in a smaller Club, please give this your attention. The £75,000 figure is £62,500 of income after VAT, which presently includes bar takings, subscriptions, machine takings and door entry money (if you apply standard entry and don't for example use a compulsory raffle ticket entry). VAT  will no longer apply on machines in January 2013. So the amount VAT able should fall. Therefore the advice is to closely monitor your takings and if you look like  being under these thresholds take action; do discuss either at this office and/or with your accountant. However, you need also to consider staying registered IF your Club is considering making capital repairs to the premises or making other capital investments (say furniture) - in effect, extra-ordinary purchases. This is because VAT can be re-claimed against any purchases. This therefore means playing the field in respect of what your intentions are at your respective Clubs. In various case studies I have, and providing there are no capital expenses, withdrawing from VAT can represent a cost saving of around £2K per annum.

5.       Wages: The National Minimum Wage will rise on October 1 to £6.19 per hour. A rise of 11p per hour. Also on April 1, the tax free allowances rise to £8,105 per annum. That is an employee's figure, not an employer's figure. An employer's figure for 1 April onwards is £144 per week or £7,488 per annum. If a member of staff earns less than this amount a week (and it is their only job) then the employer (Club) will not be liable to any National Insurance payments (the tax on employing someone) - important in respect of part-time employees. I have come across one Club where an employee has changed their main job (she has two) to the Club so that the Club benefits from this scenario and her second employee doesn't (benefit). Perhaps worthy of discussion. A useful website to investigate here is www.listentotaxman.co.uk You could use their main template as a wage slip!

6.       Value:   Whatever the ramifications above, and two things there (1. Good luck! And 2. Shout and I will help wherever) I am still of the opinion that Clubs, whichever hat they wear represent good value. Last month I was at an RBL Club and paid £2.70 for a pint of London Pride. The pub by the station (I was commuting) charged £3.25 for the same stuff. (It was not as nice by the way!) 55p difference! So if my annual subscription was £20 and I only had a pint a week there I would still be £9 in profit! Unfortunately Clubs cannot advertise externally the price of a pint (as it is a private Club) but it can ensure that it is open for business where possible. In respect of Temporary Membership, introducing guests and all, but may be also by having a headline price poster on the inside of the premises (porch area). You never know who might see it! But to repeat, cannot be externally. I had a friendly argument at a Club the other day over profit margins. In short you really should not be under 50%. The optimum is 55%+! A 55% margin on a purchase of £1 is £2.67. A pint for £2.67 is pretty good value these days. I take the point re: Wetherspoons etc:-, but their buying power is massive. Why I am looking at a different purchasing option with our Club buying powers grouped.

7.       Told you so! Interesting that in that trade press British Gas is pulling a full pager going on about energy savings. Suggesting that bottle coolers should be switched off overnight for example. Also questioning if an ice machine is needed? Funny that. We discussed at our seminars a year ago and developed a hand-out on this three years ago.

8.       Audit: Numerous Clubs have come this way asking for advice and thought on your annual audit. On a few occasions the accountant/auditor employed has been in contact. The rationale here is a simple one. You MUST have an audit in accordance with your model rules and in particular rule 31. By definition, the members will have had an SGM at some point (if you are on the latest rules) to adopt those rules and therefore accept the need for a lesser audit as per those rules. If your auditor suggests that there needs to be an SGM to accept a lesser audit, then in reality that has already occurred. I am happy to advise there on a one to one basis.

9.       Licences Applications: I am ploughing through them. Some of you should have had your licence by now. Some are in abeyance. The process is bureaucratic these days, so please bear with me/us. (I try to look at 8 a day when I do them) but it burns my brain out!

10.    Training: Phil Wakeman (CBA Mids) is looking at developing some measure of standardised training for Club officers. The initial step is a meeting with a training company owner who works with the Assoc: of Conservative Clubs (ACC). If satisfactory I will need to get some HQ rubber-stamping before offering a roll out. There will be a cost, but I am under the impression it will e about £75 per person. If any Club is interested in this offering, please let me know. Be good to gauge some initial interest.

11.    Finally, as per last mail the 'event' season is upon us. I know many were planning a St. Patrick's Night (I saw a Club Chairman in Essex with a brazier at one stage!) with other events in the pipeline (Jubilee, Armed Services, St. George's etc:-) Good Luck with those and if there is anything you wish to splash in these notes, just let me know!!!

Shaun
SSchofield@britishlegion.org.uk

Previously from Shaun Schofield...

---

BITS & BOBS: Number 2: February, 2012.

  1.       SKY TV: I dropped the release from SKY to you on Thursday (23^rd). No need to repeat song and verse. A matter arising since then is that the High Court again heard the Murphy case on Friday 24^th). Her appeal against fines imposed was upheld. However, I need to point out that in no way does this give rise to non-SKY satellite systems being  legal. Indeed the breach of copyright on logos associated with  Premiership football broadcasts still holds firm in respect of a public viewing in a pub or Club. To quote an advertisement released this weekend by the Premier League and SKY, 'Lord Justice Kitchin's judgement is consistent with the ECJ ruling. It is clear that the law gives us the right to prevent the unauthorised use of our copyrights in pubs and Clubs when they are communicated to the public without our authority. We will now resume actions against publicans who are using European Economic Area foreign satellite systems to show Premier League football on the premises unlawfully and without our authority.' 

  2.       Machine Games Duty: This is important! I have   received quite a bit of information regarding the forthcoming new Machine Games Duty (MGD) which will replace the licence (excise) duty and VAT payable on fruit machines. I will bullet point:-

·         MGD registration is required for those providing machines for play from 1/11/12 to 31/1/13.

·         Present system of licence duty and VAT payments to cease on 31/1/13 and MGD is implemented from 1^st February. First returns (required quarterly) from March/April 2013 to hopefully tie in with quarterly VAT returns.

·         The rate of MGD will be announced in the Budget (March 21^st). The intention is for the tax to be tax neutral and e on the gross takings from the machines you have. As a guess it could e 30% of the actual takings.

·         Practically, it is vital that meter readings are taken from the machines as that could be determined at any tax inspection. You should get full training in this area if the machines are emptied by Club personnel. 

·         Some Clubs have a split, with the supplier on the takings from the machine. It is therefore very important you know who is to pay the tax if this is the case. I advise you meet with your suppliers on this issue as soon as possible. If the supplier is to pay the tax on your behalf, you should get this in writing!

·         A working party at HMRC has been taking industry advice on practicalities and snags. A CIU consultant has acted on Clubs' behalf here and he assures that any correspondence will take into account the unique nature of Club volunteers and attempt to simplify any language wherever.

·         There is an issue with the present situation of paying licence duty. Please read carefully! If you have renewed your licence after 1^st February, which is an annual renewal, it will run beyond the end of licence duty on 31^st Jan. If the case in Jan-2013, HMRC will calculate and refund any overpayment for the exact number of days after January 31^st.  Advice: If this affects you, then be aware and ensure you get any refund.

·         You are entitled to pay up-front for a short licence which will end on January 31^st. You calculate the amount and make a payment. I do have a ready reckoner here if anyone wants some help. It depends when your present licence runs out. Advice: I suggest this is best course on offer.

·         You could pay by Direct Debit and as advised in some of your Clubs this occurs to spread costs. You are entitled to pay y DD for the remaining time to 31^st Jan-. To do this, you need to fill in an L223 Amusement Machine Licence Duty Direct Debit. You can get this at www.hmrc.gov.uk . Advice: If taken, ensure the DD is cancelled with the final payment made before, and to cover only up to 31^st January. 

·         Important:  I have a copy of the Machine Games Duty (Exemption) Order 2012 which suggests that the automated Lottery Machines we have had issues with will continue to e exempt from MGD. These are categorised as B3A machines and are specific to Clubs. This is not the pull-tab machine many of you have, BUT an automated machine which pays out a ticket rather than a jack-pot in cash. Every Club is entitled to 1 of these machines. ( As such, it is no-brainer in my book to have one of these machines rather than a B4 payout machine which may attract a 30% tax. Those at the recent seminars will remember the presentation by Dransfields)

·         Be aware that any Club who has one of these B3A machines is able to claim licence duty if paid, from installation up to 20/07/09.

·         Practically, I see this tax as a bit fairer than the licence duty which hit small Clubs hard where they had a large jackpot machine.

·         Category D machines with a jackpot <£8 will attract tax as explained above, but at a lower rate. This is to cover VAT presently payable and is mostly apparent out of our area of influence, more in seaside amusement arcades. 

·         The Dept of Culture, Media & Sport is reviewing jack-pots payable and a submission has been made to increase B4 payouts from £250 to £400, with a maximum £2 stake.

·         Those of you who have skill with prizes machine (SWP) like a quiz machine, which has a cash prize which exceeds the cost of the play, MGD is payable on all incomes as the VAT liability lost will have to be covered. 

  3.       Coming Up:  Well winter is almost over and hopefully a bit of 'party' business will benefit your Clubs in respect of:-

·         St. Patricks Day/Night. England are playing Ireland that day at rugby too! A full day of celebrations(!) Also the day after the Cheltenham Gold Cup and a day before Mothers Day. Could be a big weekend and I know some of you are planning Club efforts. Good luck with that. Sorry there are no Guinness packs available this year at a general customer point. I know the local £1 shop could be a good place to default! Do consider issues like your product range though with other 'Irish' goods on offer such as Jamesons/Bushmills whisky or Baileys or Magners. Bear in mind 30% of purchasing decisions are still made on recommendation (re: St. Patricks Day) and 50% of customers are open to an up-sell. Also I used to put literally a drop of blue food colouring into pints of lager/cider to turn them green and even dropped a scoop of mint ice-cream into a Baileys. A bit gimmicky I know. Mother's Day. Special raffle perhaps or a special cocktail for Mums. Maybe even offer up a chocolate or two. Shows a it of willing!

·         St. David's Day/St. Piran's Day: Close now, perhaps too close to organise now if not already, but enjoy the Welsh cakes and the Cornish Lard cake or saffron cake if anyone has an event.

·         St. George's Day. A Monday this year, but something in the run up I guess celebrating anything English. I leave it to you!

·         Queen's Jubilee. It appears the govt. is to allow a blanket licence extension until 1a.m. for the days concerned without the need to make a special application. More details to follow. Do consider an event at the extended weekend here (4^th & 5^th June) hoping the weather is good and the Queen is the RBL's patron after all. 

  4.       Health Lobby: Many folk do blame the ills of society on drink. Maybe there is a point, but I do stress and would advise any of your Clubs to stress at all times that your Clubs are duty bound by licensing and the rule book that they promote responsible drinking and amusement for members.  This is a term of reference which could act as a 'good' in our society and something I lobby whenever there is an ear to bend. To promote that message do always consider selling points such as:-

·         Have a designated driver scheme (I know Coke offer up this at Christmas)

·         Organising a local health advisor to give a talk to members (not only covering alcohol dangers)

·         Stocking and promoting a good range of soft drinks, including adult soft drinks. (Most of you are excellent here!)

·         At least trialling the new range of alcohol products with ABV under 2.8%. These products attract a low tax regime. Products such as Guinness mid-range! Guinness at 2.8%, or Rolling Rock bottled beers. By promoting such products it shows tis rationale of responsibility. I know some of you have complained about the cost of Guinness and poor sales. Well this may be worthwhile considering.

The simple option is simply tax on-trade sales differently from off-trade sales, but EU legislation makes this very difficult. I was aghast to read the other day that supermarkets sell drink at below cost, hurting our market, and then have the audacity to claim back VAT on losses made on those sales. I ask you! I poured a stiff one ere when I heard that.

5.       Furniture: A Club in Essex is looking for some new furniture. I occasionally ask this question around when a Club is looking for stuff. If anyone has some furniture they don't want any more, please can you contact me in the first instance. The Club assure me they can arrange transport, which is where these things fall down normally when the request goes out.

6.       Flat Roofs: Not sure where to take this, but I think I should give notice. My rationale here is that everything is supposedly insurable. Many of your Club buildings have a flat roof. It has come to my attention in various case studies that the RBL corporate insurance policy DOES NOT cover flat roofs. In that respect you must be very diligent in respect of builder's insurance and their terms of reference and guarantees and so forth. If the guarantee is spent then consideration should be given to a repair and/or insurance.  However, and this applies to all Clubs, in self-owned, tenancy or RBL properties it may well be worth investigating if the Club can insure its flat roofs. I am a self-professed amateur when it comes to insurance, but believe this could be insurable. There will be a cost, an issue of age of flat roof and so on, but this is an important consideration.

7.       Statutory Compliance: We often pay a bit of lip-service to this area of your business. Covering things such as risk assessment, Health & Safety, COSSH (handling of dangerous substances), safety at work and all. A member of Committee at Gt. Waltham Club is a specialist in this field and has offered his services to any Club who wishes to generate the correct compliance documents. There is a cost of course for sure, but these documents are very important and the one I saw at Gt. Waltham was excellent. This kind of service is very important to Clubs in a similar vain to the bespoke legal service now offered by Birchill Blackburns which I know some of you have used.

8.       Working Staff and Sickness: I was asked recently about a member of staff who has been sick for a long time and whether that person could be dismissed. The answer is a fudge-be careful! If a person is unable to do a job, for whatever reason, then that is a valid reason for dismissal. However, if a person is away from work due to illness then this a special consideration. An employment tribunal will likely recognise that a small business cannot carry an ill employee indeterminately and will appreciate a time comes when an employer cannot keep open a post to someone who is on long-term sickness. If this scenario affects yourself we advise the first step is to discuss with your insurance legal advice line. Explain things diligently and what end result you want from the issue, but do not merely jump in and terminate employment in the first instance. That is incorrect procedure.

9.       PPL: I have written here before about attempts by the PPL to raise the sums they propose to charge/increase from music royalties. CORCA has no funds available to contribute to any legal challenge but fully supports the efforts of others in the industry. The argument is the PPL wants to raise charges for discos etc:- because it doesn't see them as a fair reflection of the value (in cost) of the present licence. But a 4000% rise is out of the question. The fund held is up to £300,000, so folk mean business. Any implementation has already been 'delayed' until January 2013. I also heard a rumour that the PRS were also considering reviewing its fees and costings. If anyone has had any correspondence from the PRS relating to this could they contact this office in confidence please.

10.    Dumping Grounds: I was in a pub last weekend near a famous rugby ground in London. I waited my turn, boy did I wait, but could not help noticing what a mess the back of the bar was. Diary, magazines, glasses with cash in, a half eaten choccie bar, empty glasses, and the ubiquitous fluffy toy thing. It put me off a bit, but it made me think. Do give attention to your back bar and the staff's management of it. The back-bar is a shop window! In respect of products for sale (snacks) promotional products, a wine list, the latest real ales, the coffee machine etc:-. An advisory thought. Get a bin-bag, de-clutter the bar and pep it up a it! It might become my new toilet check when I visit! Time to bin those old snooker trophies or dart flights.

11.    Licensing Act 2003: From October 2012, councils will be able to set fees for (CPC) licence renewals, variations or amendments. A 'cap' will be set by central govt., but take notice on this issue, because regretfully the cost of the renewals etc:- will be levied to cover administration fees. Perhaps rather open-ended in respect of Councils who are short of money. Whilst on the subject of councils, I have no further news to report in respect of the proposed Late Night Levy; a cost all licence holders will have to make, if applied, towards the cost of policing late night trade, if your trading times (as per licence) fall into the 'late night' times a Council agrees. Our friends with political affiliations are attempting to lobby politicians where possible. On the subject of lobbying, all our Club officers should have links with local councillors, M.P.'s, J.P.s or whoever. It was interesting to see that when a Club in Essex wrote to their M.P. over an issue, he came to the Club and joined it.

12.    Euro Coins: And finally, I take Euro coins collected at Poppy Appeal times away from two Club/Branches  every so often and change them when abroad for bank notes. I note the amount and then give the Branch a preferential (Daily Telegraph) Euro/Pound rate by return to boost funds rather than doing nothing with them or taking them to the bank, where rates are poorer. If any Club/Branch wishes to avail of this service I am more than happy to do what I can. Just let me know!

Shaun
SSchofield@britishlegion.org.uk

Previously from Shaun Schofield...

Dear All,

This is single item supplementary to the usual B&B. The next one due is on 28^th Feb-.

 

As some of you may know both my efforts and CORCA have lobbied SKY over a number of years for a more reflective pricing arrangements for  Clubs holding a Club Premises Certificate (CPC) and deemed as mutually trading. (i.e. Committee managed not proprietary) If you hold a premises licence, this may not be applicable to you, but SKY have assumed everyone has a CPC for now.

My efforts were as a result of some research received from yourselves in spring last year following the regional seminars. I took that to Bruce Cuthbert at SKY and I like to think it made him take stock in that there was/is a potential market for SKY in what are unique restricted entry business (by membership, not public). This (hopefully) coupled to the efforts of CORCA and in particular Phillip Smith (Chairman) has led to SKY at last offering a Club specific package which is simple, straight forward and cheaper than standard offerings to pubs.

This is as this download.  The practicalities of this are :-

Each CORCA constituent had to accept a Memorandum of Understanding between SKY and CORCA. This is fairly basic and to all intents means that SKY are seen as the only authorised provider of satellite television in Europe. (I have never advised subscribing to non-SKY products anyway.)

SKY do appear to want new/repeat business and have generated marketing goods to that extent. So I anticipate a mail-shot to Clubs and I am anticipating a stock of these (leaflet available here) to come my way. The press release is 5^th March. If anyone else wants some literature please shout and I will get some over to you. I have made it quite clear it is NOT in my rationale to be salesmen for SKY, but we do have to appear to support this project re: the above point.

We did provide a list of Clubs (NIR excluded; SKY Ireland has a unique package) to assist SKY in that mail-out. It is deemed in the public domain as SKY could get this themselves by database research. By doing this, we are merely being co-operative. I have made it explicitly clear that there should be no cold phone calling and no phone numbers were provided. If anyone is cold called, please alert me ASAP.

The cost price is very transparent (Price Flyer) and based on rateable value still, but very much more streamlined. So a Club in the £8,500 to £12,000 rateable value bracket (not rates paid) will pay a tariff of £500 a month. This includes WI-FI. A potential Club selling point. The cost starts from £100 a month.

Applying some crude figures to this, if you don't have SKY and it costs you £500 a month. Equates to £6K a year. The Club will need to take an extra £14,400 to justify the investment. That is around 100 extra pints a week. Membership development from the present users or generating membership maybe.  

It is anticipated that most Clubs with SKY will get an immediate reduction in their monthly costs. It has been assured that no Club will pay more. If they presently pay less than on the flyer, that arrangement will stay.

If any Club gets mail-shots they see as a nuisance then they are required to contact myself and I will alert SKY to remove the Club from a mailing-list. I made an emphasis that our Clubs (and others in CORCA register) should not feel any pressure to purchase. To repeat, this is not a sales push from myself on behalf of SKY. I am merely playing good cop in respect of communication.

I have been informed that all licensed operators including Clubs (RBL/non RBL) will be pursued if they broadcast illegal satellite feeds. The Media Protection Service are again actively prosecuting licensees for breach of copyright. My newsfeeds suggest fines recently imposed range from £3K to £30K! The latter was £6K for 5 televisions in a sports bar. I see that Clubs with 'illegal' feeds could be vulnerable to prosecution. However, we have always advised you NOT to take this feed. SKY do offer flexible terms (minimum one year), whereas those with leases etc:- do not. How to get out the lease is an impossible question. With difficulty is the answer, but in respect of potential prosecution I do advise not to renew any leases.     

  

I think I should make it clear that I am no fan of SKY, though respect the service they provide. However, this offering seems to represent the best we are going to get and may well appear attractive to some of our Clubs who may be able to afford it (given cash liquidity). Attractive in that it could, just could generate some measure of business development. SKY would want that for sure and so would our Clubs.

 

Please shout if you require further thought and circulate where necessary. I intend to let Clubs know by e-mail.

 

Regards

Shaun  

BITS & BOBS: Number 1: January, 2012.

First, a Happy New Year to all of you. Better late than ever, especially to those of you I haven't exchanged the pleasantries with to date. Of course, I hope that it is a prosperous and productive from whichever angle and hat your wear! To business:-

1.       Scam Alert: The following script has been taken from the RBL's intranet service to staff. It is very important. I believe that various County constabularies are chasing this man, who has been operating in Essex and regretfully scammed a volunteer at one of our Clubs. Do please be alert, forward to your staff and Branches where necessary please. You are welcome to call this office if you are approached by this person in the first instance.

   A spate of cases where Legion funds have been obtained by deception has resulted in a call for branches and clubs to exercise caution.

 Colin Kemp, the Eastern Region representative on the Membership Council, has drawn attention to a spate of deception cases in and around his region where Legion funds have been sought by, and in some cases given out to, unscrupulous individuals in dubious circumstances

Avon and Somerset Police have now issued a 'Wanted' notice for one person who is operating in Nottinghamshire, Essex and Norfolk, sometimes using the name David Thomson (pictured left). Typically he approaches a branch or club stating that he is serving in Northern Ireland and has been discharged from hospital.  Due to his Rail Warrant being faulty, he requests assistance to get a flight back to Northern Ireland.  In a case in Great Yarmouth, a man giving the name of Stephen Young presented a similar story but this time saying he was serving in Glasgow.

Colin said that county staff throughout the region and beyond have alerted branches to these scams. He reiterated that the Legion is not an emergency service, and reminded both branches and clubs that there is help available from statutory authorities to meet the purported needs of these scammers.  For example the local police or Adult Social Services, who have the facility to arrange rail warrants.

Branches need to be aware of the welfare procedures and the use of Form A for cases where individuals seek urgent financial support to get out of a difficulty. 

Colin said that branches are especially vulnerable due to the insignificant sums being sought, and where a refund from the county would normally be forthcoming given the alleged circumstances of the individual.  It follows that branches and clubs need to be very cautious about giving funds to support individuals in such spurious circumstances.

 

2.       Insurance: Of course I am not an insurance expert, but have been learning things fast when assessing the recent early batches of Club Licence applications. Part of the application process, as you know is to supply an insurance document. In short, I advise you always check the small print of your policies and the cover paid for. This will pertain to items like stock held on site, cash in transit, business interruption and so on. However, perhaps of most importance is for Clubs in their own buildings or Clubs where there is a local trustee involved. This is where the building is NOT held on the corporate plan. In short, do ensure the value of your building is fully insured. This may require you to get an approximate value of the property and then obtain insurance to that value. I did note some sites were very much under-insured and advised where possible. Also, I know some of you have an operational kitchen. Do ensure there is correct cover in that area, in case of heaven forbid an accident etc:-. This may open a can of worms in respect of, for example, chimneys cleaned of grease and all. Do take care here please.

 

3.       Repair Schedule: I note again from looking at your respective accounts and so on that most of your auditors create an expensive line noted repairs and renewals. For transparency purposes I advise that it is worthwhile keeping a file on site of the repairs (cost and time) which you have made to your properties, especially if you lease your building from the RBL or another landlord. This is a very useful reference point to have. Similarly, if you are planning future repairs and/or redevelopment, in a similar manner, keep the quotes, dates, references and expected time of repair on file.

 

4.       Rates: A split note here. First, most of our Clubs get a reduction on the bill for your rates. This is at the discretion of the Council. I do see it at risk unfortunately because Councils are short of money and looking for ways to save or raise cash. However, the bill is, of course, set on the basis of the rateable value of your property. Some Clubs have attempted to get a (cheaper) revaluation of their rateable value. There is no problem attempting to do that, but be aware that the process is long and laborious and may yield only a little. Of more pertinence is that there are folk out there who will offer up this service, get you nothing except their bill. So please diligent if you take this path   and use a correct legal process. I can supply some leads here if you wish, but there are costs!

 

5.       Diligence: A Club in Northants (not RBL) was closed down recently due to beaches in licence conditions. The breach was allegedly because the Club had a band playing and licence officers were allowed to enter without being challenged. As such, there is a chance that Clubs may be visited by the police or other 'authorities'. As such, make sure your members carry their cards at all times, a list of up to date members is held on site (including temporary members whose cards are being processed) in an accessible place (perhaps under the till), the guest book is used correctly and signed as necessary, and that any Open events, such as a band night have the correct licence against them, such as a Temporary Event Notice (TEN). Also it be well worth confirming and displaying Club rule 13 which details Club use by non-members. We all accept business conditions are tight, but entry conditions are a legal requirement and the staff employed should also be fully aware of this requirement.

 

6.       Business Consolidation:  I mentioned previously about brewery prices and prospective increases. Sorry about that, and I do try to marginalise the bad news. However, I am noting that far too many Clubs have far too many draught beer products on sale on the bar top. A simple rule of thumb should be this. If the product you stock does NOT sell at least one unit (keg/cask) per week it should not be on sale. It is a self defeating circle. The product sells little, the quality falls, there is too much wastage (the Club is paying for) for the drinks sold, and the profit falls as too much is lost. Finally, the quality leads to those drinking the product fading away leading to more falls in sales. As such, look at your order schedule and stock reports and if as noted in bold you really should withdraw the products and offer up goods that sell. I noted with interest that suppliers are now happy to take this action too, but they need prompting for yourselves. Everything is up for offer with this practice including cider and Guinness. (Guinness trumped this situation by developing a surger system which dispenses Guinness from a can!) If you are unsure of this scenario please get in touch and I will happily look through your stock reports.

 

7.       Late-Night Levy: Again noted in December. This pertains to councils charging a policing levy to cover late night activity. CORCA attempted to network objections to this. To press, shifting sands appear to be the order. Research suggests only 10% of councils will apply it. 40% said they were unlikely to do so. The designated period appears to be between midnight and 6 a.m., so this may apply (if your council applies to charge) to some of your trading times generally or under a TEN. However, it appears that premises which are '….not'in the wider late night economy.. ' may be exempt. May be exempt? Mmmm. The pub lobby is certainly lobbying against an exemption for private member's Clubs. The costing is based on rateable value if applied. If you wish to comment the govt. consultation continues to April 12^th at www.homeoffice.gov.uk/publications/about-us/consultations/late-night-drinking

 

8.       Smart Meters: I often bang on about utility costs and estimated bills, which I advise strongly against using. Meters should be read and applied. However, you may want to consider installing smart meters at your sites which will monitor use and ensure over time you only pay for what you use. Something to consider.  

 

9.       Disability Access: This issue rears its head from time to time, mostly when a Club officer panics in respect of not having disabled facilities, mostly commonly a toilet. Laws are bit ambiguous here, but a Club is required to make all reasonable adjustments to allow disabled access and create disabled facilities.  Reasonable is the buzzword here. A Club is not  expected to make adjustments which are not considered reasonable because of cost, time or other practical issues (building issues). To be transparent, it may be worth having a draft plan for improvements in respect of disabled access, which takes account of quotes, costs, disruption etc:-. This will show the Committee is taking its responsibilities seriously and examining costs and so on and whether the business can afford it.

 

10.    Toilets: The trade press recently gave song and verse to toilets. Interesting, because as many of you, when I pop along, out of service hours I visit the ladies' loo! For no other reason that your Club may rise or fall on the state of your loos! Believe it or not 79% of visitors will make an assessment of your site depending on the state of the toilets. Visitors equal potential new members, if attending a function, or members who may not be as regular as we want. So the moral here and perhaps a New Year Resolution (OK February then) is to ensure your toilets are up to scratch where you can. As Committee personnel, do be prepared to inspect them and don't be afraid to tackle the cleaners if you think they are not up to scratch. Or tackle yourselves in respect of loo roll dispensers, soap dispensers, hand-dryers etc:-. There is some great technology around now, for hand driers especially, which use 80% electric. A modern loo cistern can also save, I believe up to £700 a year from water use!

 

11.    Coming Up: A few pointers for you? And happy to script any events held, but is any Club holding a Valentine's night event? I was invited to a Velentine's Day quiz the other day! Also the rugby festival that is the 6 Nations is coming up and the tele- was full of football last weekend. Numerous opportunities to get the members in (and their guests) in respect of a sweep on time of first try, supplier promotions and all. The tele- is in the Club. Use it to push your business, patronising I know! No doubt St. Pyran's day will be celebrated in various areas too, in early March. Good luck with any events you are preparing and I will happily give you a lead up splash if you want.

 

12.    SKY: Hardly a month goes by here without mentioning it. Some of you have had a letter outlining SKY's procedure and the breach of copyright in respect of screening non-SKY accredited platforms. The letter details SKY's position, which is still the only legal method of screening football by satellite. We are continuing to lobby SKY on various issues, and the Murphy Case is finally judged in late February, but to repeat the often used message, at present we can only advise satellite television subscription is by SKY (UK).

 

13.    Finally: If any Club has been approached by Minotaur Asset Finance, could you please contact me in the strictest confidence.

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BITS & BOBS: Number 14: December, 2011.

1.     Repairs & Maintenance: Bearing in mind potential future property issues for those of you in RBL buildings, it is important that you keep a costing analysis of any repairs and maintenance you carry out or intend to carry out this year. Your Club accounts which are presented at AGMs will have a cost analysis for the years gone by, but this is only viewable annually. Personally, I think these figures will be important in respect of future rentals/lease arrangements and so on.

2.     The FSA: Our friends at the FSA are again appearing to flex their muscles so please take note on this one. A Club (not RBL) has been fined for not completing its annual AR30 (FSA) return. The maximum fine here is £3,000 for not filing a return, but also there is risk of the Club being struck off by the FSA. If your Club is struck off the Club loses its limited liability status, which exposes the Committee to becoming personally liable for debts, or having its assets frozen. So to get rid of the risk of this occurring make sure the FSA fee is paid, the annual return (AR30) submitted and accounts filed within 7 months of the year end. So for most of you the cut off date is 30th April. If your accountant completes this, best practice is to ensure you get notice of this task, a straight forward one is completed! Be also aware that the FSA will be stricter on annual returns and in particular your audited accounts. A registered auditor MUST complete your accounts (if turnover >£90,000 per annum) and it is important the person is registered as an auditor. An accountant is NOT necessarily a registered auditor. This could therefore render your accounts out of order and you will have to re-submit your annual accounts, completed by an auditor. In effect paying for an audit twice. Please consult rule 31 (2005 rules) in respect of audit requirements.

3.     Brewery Prices & Budget : The pre-budget report came and went and on the face of it, it appears there will be no respite from the beer excise duty escalator. This is the tax on alcohol announced annually in the budget (due 22nd March) at inflation plus 2%. So if by March inflation is 4%, this will represent a 6% rise in excise duty. At around 37p per pint on standard strength beer (<3.6 ABV) this will equate to around 3p on a pint at purchase. Already too, on seeing various correspondences to Clubs and in the trade press, breweries are angling at price rises between 5p and 7p per pint on full non-discounted prices. The straw in the wind here is most of you get a purchase discount on the goods you buy. This may then equate to a rise of maybe only 5p per pint. But we are looking at overall a rise of 7p per pint of increases spread from January to late March. Sadly excise tax is taxed (by VAT) so adding all this lot up with VAT will equate to about 8.5p worth of price increase. To offset that at retail you would need to consider a rise in price of 17p per pint. I know this is the worst step in the world (raising prices) but without it, that 8.5p is profit taken from your business which pays the bills. At least by raising prices in March/April you could blame somebody else! A few matters arise from this issue:-

·         Look at your stock-report and see if any improvements can be made to the goods you sell (yield factor). An issue of directing the Steward and staff and do not be frightened to do that.

·         Look at your supply arrangement and shop around for other suppliers and deals. Loads of scope here from wholesaler purchases, to getting stuff from the supermarket.

·         Look at the products you sell and whether it is worth selling them.

·         As these memos arrive from the brewery/suppliers, do not take them at face value. Reason being the letters are sent to all clients and are the full price and take no account of your discounts and unique arrangements. A Club in March, received these letters and looked to get an alternative supply arrangement. Not required, but do compare prices on a like for like basis (invoice prices).

·         A final word. Shout in this direction if you need some help.

4.     Challenge Alert: To repeat the often used message be aware of people coming into your premises who may not have the best of intentions.  One to pass onto your staff please. Staff should be encouraged to challenge people who are entering the site who may not be known. If these people are legitimate, they will happily supply ID and include machine operators, hygiene operators, draymen, electricians/workmen and so on. There are gangs operating who may have master-keys to fruit machines, arrive on site and suggest they are just making an amendment to the machine pay-out and open the machine and disappear with the cash box. Be warned at this time of year please. Also it goes without saying to be very diligent with your cash handling and bankings at this time. Be aware of your insurance cash limit to be held on site and so on.

5.     Coffee/Tea/Snacks: I mentioned this a while ago, but hot drinks are a growth area for pubs/Clubs and just about anywhere! There is no stigma to selling hot drinks and I know many of you do. One Club is looking seriously at operating an early-day café. I am not saying to go out and buy a top of the range 'Italian' machine and all, but a bean to cup grinder or Tassimo style machine could well be a good investment. Even a Tassimo machine with a 'pod' at 35p selling for £1.20 makes 85p. A massive margin (why so many Costas and Starbucks who use beans). The purchase of coffee and machines is incredibly competitive with many local suppliers. An outlay to get some nice mugs and the Club could be on its way (well a little bit). I don't take hot drinks (no market from me afraid) but at a Club Committee meeting last week 6 hot drinks were bought and the presentation was excellent. As regards snacks, from the stock reports I see, this makes up between 1% and 3% of turnover. Research suggests that there is a huge latent market here. 75%  of customers would take a snack  with a drink or a hot drink if they were offered one. So a staff training issue me thinks. Perhaps an incentivisation challenge! If your snacks grew by 20% even it would be worth an extra £250 per annum (on trade of £100K per annum). Also if you do sell coffee think about what snacks you have on offer to compliment. I'm not saying buying a whole range of cakes/muffins or whatever, but sealed flapjacks and shortbreads etc:- do have a long shelf life. Something to think about here I hope!

6.     SKY/Satellite Television: Whether down to the research we offered to SKY in the summer (and I thank you all again for your contributions)  or down to the Murphy Case (which I doubt as SKY seem to hold ace cards in this area) or other factors I don't know, BUT CORCA are hopeful that SKY will shortly be able to offer a package to Clubs which hold a Club Premises Certificate (CPC). Just what I do not presently know, but I have been informed that negotiations are on-going and are apparently very amicable. I will of course forward any information once I have to hand. At the risk of being boring, CORCA and the RBL do not recommend or condone any non-(British) SKY packages offered at this stage. For reference, this will include SKY Ireland.

7.     Gaming Machine Duty: As I noted in past mails, this proposal will likely come into force sometime in 2013, probably April 1st. This will remove VAT from fruit machine as well as the licence duty and will instead be replaced by a single 'income' tax the gross takings from the machines held on premises. Not a tax after split shares, but a tax on the gross money in the machine. The Treasury has suggested the tax will aim to be 'tax neutral' in that no extra revenue will be raised. A sceptical CBA here! How much? Loose talk suggests the tax may be 28% of gross income. In some respects, this scenario may benefit Clubs with smaller machine takes as the present licence system punishes smaller businesses. However, the scope of the machines taxed is also open to debate. I would guess the B3A machines (automated Lotto) machines will come under the scope of this tax (a cheap shot to re-coup money lost to many of you) but also there is talk that skill machines may also be taxed. Watch this space.

8.     Late Night Levy: This is a prospective charge which late night operators may be charged by a local licensing authority if they have a late night licence. What is determined by 'late night' is at the discretion of a Council licensing authority. So it could be after 11p.m. or 12p.m. or nothing at all. However, as it appears a way to charge businesses then I suspect it will be applied. All businesses who operate late night will be charged even if you are in a village away from a town centre. The cost will be determined by rateable value with costs from Band A (£299) up to Band E (£1,493). Now the way it reads it appears that if you have only occasional extensions, perhaps under a TEN, or are allowed to trade until late at weekends, you will be brought into the late night levy. However, the Chairman of CORCA is using his political influence to put pressure on the Minister responsible (Baroness Browning-an ex-Tory M.P. who has numerous Clubs in her old constituency and apparently supported them!) to exempt Clubs which operate under a CPC. It is hoped this may well occur. The rationale here is that big government has to appreciate one size does not fit all and RBL or similar Clubs are not responsible for the need to police the streets late at night to prevent disorder. No doubt more will be offered up in due course.

9.     PPL Consultation: A while ago, some of you received a consultation document from the Public Phonographic Limited (PPL) which collects royalties on behalf of music producers. This pertains to their prospectively raising fees for their clients and as created a storm in the leisure industry. The issue is simple. If the PPL gets its way (in itself a self-governing monopoly) it will price Clubs like ours out of providing music entertainment for weddings, discos, and other occasions. To that end the CIU has lobbied and met with the PPL who seemed to appreciate the situation of private member's Clubs in that a rise in licensing cost of up to 4000% will be unsustainable and benefit nobody. (The nightclub operators similarly lobbied) Whether Clubs with a CPC will become sub-categorised or nothing will occur in respect of costs is unknown, but be warned of this and we can only continue to lobby for this body to see common sense. Also it appears there is a lobby to take the issue of this self styled monopoly regulation to the Copyright Tribunal.

10.       Well Done: Congrats to Allenton RBL Club in Derby who organised a Poppy raffle and raised £2,000. Done by contacting local shops, restaurants, businesses, M.P.s and so on looking for prizes and got a very positive response.

11.       Something to think about: I stumbled across a piece of script looking at staff in pubs, bars and Clubs. I précis and urge you to think about it!

·        'I think unenthusiastic staff is one of the biggest mistakes made'.

·        'Staff need a can-do attitude and remember that the customer (member) is always right' (May not always be right, but they are the customer and don't need to be.)

·        'Staff reading/texting at the bar. If they carry on to the end of the sentence/text it really grates me'.

·        'Staff ignoring you-when you walk in staff should acknowledge you'.

·        'Scruffy staff-they are the face of the business and should be suitably dressed at all times.'

·        'The punter is over-burdened with choice and does not have to use the facility. Don't give any excuse NOT to use the facility'
As said, think about those remarks and if it applies to your Club, then do something about it! Especially, in the run-up to Christmas when you may get some rarely using members/guests coming your way.

12.         Regional Seminars: Thank you to all who attended the recent seminars in the Midlands and E.Anglia. If you came across borders or were a guest non-RBL Club I hope you found the day useful. A lot of ground was covered and various business opportunities came forward.  If you missed it, a pity, but these events do provide a great opportunity to hear new thoughts and meet other Club officials. Perhaps next time, but Tony Hughes, one of the presenting delegates has offered to develop bespoke, Club specific contracts of employments/job descriptions for any Clubs that require. It has come to light that the RBL contracts/job descriptions we offer up are very dated now and are better if professionally updated. This offer which will be legally water-tight has a cost, of course, but at £500, it appears a very good offer. If any Club wants to take up this offer or take up discussions I will happily arrange contact points.

13.       Tesco: Most large Tesco supermarkets have what is called a Community Liaison Champion. A member of staff who is responsible for community relations. These people actively support local voluntary organisations and societies which benefit the community. Our Clubs fit into that category, so I urge someone from each Club to find out who this person at your nearest Tesco and develop a relationship with them. They may or may not be able to give you a grant to repair the guttering, but best to seek out the communication rather than not. I leave it to you!!

14.        Looking Ahead: I mentioned last time about thinking about offering up promotions/attractions to your members. You may want to consider some of these, perhaps off the wall events.

·         7th/8th January: FA Cup 3rd round weekend. Free to air on ITV, including a Manchester Derby.

·         January 10th (12th) Rod Stewart born-70s night. Get the flares out!!! Also link to a cocktail weekend as first cocktails were invented on January 13th! (Perhaps use the stock liqueurs unsold from Christmas)

·         23rd January: Chinese New Year!!

·         25th January: Burns Night

·         26th January: Indian Republic Day (surely something should be on offer to cover one of these nights!)

·         28th/29th January FA Cup 4th round.

·         31st January: National Backwards Day: (Wear something back to front!!!)

·         3rd February-Buddy Holly died-50s night!

·         4th/5th February: 6 nations rugby starts. Free to air on BBC.

·         11th/12th February: 6 nations

·         14th Feb- Valentine's Day of course! Also Champions League re-starts free to air on ITV

·         18th/19th February: FA Cup

·         19th Eastenders was born. (Soap opera quiz)

·         20th February: National Chip week

·         21st February: Pancake Day

·         (23rd February (Estonian Independence Day))

·         25th February: 6 nations

·         29th February: A Leap Year party

·         1st March: St. David's Day & World Book Day (book sale maybe!)

·         5th March: St. Piran's (Cornish Day) For Malcolm at Downs Club. (I had some Lard Cake the other day. Will not have it again!)

·         10th March: 6 nations

·         14th March: National No Smoking Day (At least try something!)

·         17th March: St. Patricks Day & final 6 nations.

·         23rd March: Sport Relief
14: Looking Back & Forward: Quickly looking back, this has been a very challenging year on many fronts. The leisure spend is under intense pressure, customers have a lot of choice, supermarkets sell at a loss and tax dodge, Clubs are losing members, but broadly our Clubs are weathering these and other storms. Since I have done this job, I have noticed how adept many Clubs are at dealing with difficult scenarios whereas commercial operators fall by the way side. To that end I congratulate you all for your efforts in keeping the RBL (social) flag flying in often dispiriting and difficult circumstances. We have 580+ Clubs. What many organisations would give for that community presence I am not sure, but it is still a very impressive coverage. In concluding therefore could I wish you all and your staff and members a very happy festive season wherever it takes you and hopefully a peaceful and prosperous 2012. As for a New Year's resolution. That all Clubs, including RBLs are cast in the correct and positive light they deserve to be in the efforts they make to garner and develop a true community spirit.

BITS & BOBS: Number 13 (Bonus): November, 2011.

1.       Club AGMs: I forgot to mention in the last all-rounder about your respective AGMs and so on. Good luck with them. I know they can be quite arduous. After the AGM (or before) you are more than welcome, as ever to send me a copy of your accounts which I can look through for you and give you some early thoughts. I think you should have received your annual licence application by now too. GET THAT COMPLETE AND TO US AS SOON AS POSSIBLE TOO!

2.       Congratulations!: This may sound patronising as it is accepted practice in your Clubs, but as you know, I keep my eyes on various news feeds and was out and about last week quite a bit as well. I thought the various Club events taking place/planned on behalf of the Poppy Appeal and the efforts made to ensure those involved with the fund-raising side were accommodated were a credit to all of you (those I saw and those I didn't-sorry). I mention mega-raffles at Allenton, public meeting events and band evenings at Hungerford, Poppy events at Radcliffe, a ball at Rayleigh, a rostering and hot drinks service at Woolaton and a mega-counting house at Harlow going off  as just a few! If you have something site specific regarding Club fund raisers you have completed please let me know and I will mention here and push forward to others if I can some coverage for you.

3.       Solar Energy: I have never mentioned this before, just because really. However, I was at Heineken shin-dig last week and bumped into Jim Slavin who some of you have met at our regional seminars. Jim is now working with a company which is working on developing solar energy panelling for commercial sites. Sure I got the sales pitch. No issue there, but perhaps more for those in your own properties I wonder if there is some mileage in this. The govt. has recently withdrawn 'benefits' relating to the 'feed in' tariff (money you get for harvesting electric). I went to the Energy Savings Trust website and looked at the calculators to see the return on my humble abode and saw only 32% of the house's electric will be generated, and any investment in the solar panels and all, will only generate me £1,013 in 25 years. Hardly worth it and unknown if these sums are inflation included. Should any of you wish to look into the potential of this, I will happily act as a go-between!

4.       Coke:As per the last e-mail Coca-Cola are sponsoring a free soft drinks scheme to designated drivers between 9^th December and 1^st January. It is basically a but one get one free offer. Point of sale kits etc:- will be provided. To get your kit simply call 0800 580 580. Coca-Cola are in cahoots with the Dept. of Transport on this one and by taking up this offer it may well show the Club positively.

5.       Breathalyser Kits: These amateur kits seem to come and go. Just for reference, please do not align your Club to offering up these products because in reality, if taken, and then a driver is breathalysed and over the drink-drive limit, the Club could be implicated in some way. Best practice if anyone asks or looks for information as to allowable limits for driving (people often say, 'I'm OK with one!) just say best to have soft drinks only. It may be worth informing your staff on that practice! Also give consideration to asking your staff to offer customers a taxi if they are considering driving after having a few drinks. (I used to ask my regulars for their car keys!)

6.       Tax on Alcohol: Just to depress you, there is an autumn statement due from the Chancellor. (You may have seen the discussion on fuel duty.) There is now 'tax relief' on beers below 2.8% ABV. This is 50% of the normal levels. I know various companies and brewers including Guinness are trialling 2.8% products with some success. It may be worth researching this more now, because the potential is to offer members a low alcohol, cheaper at retail and more profitable to sell product. I will look at this with the likes of Heineken and Guinness and report back, but if any of your suppliers have offered this type of product I would be keen to get some information. I am not advocating cutting alcohol products, merely looking at value for money and profitability!

7.       Festive Drinks: Of course, there is an under-current here with various 'Christmas' hints. Good luck with whatever you have planned of course, but a few pointers maybe for you to look at and think about.

·        Festive real ales: A sure fire winner, but ensure you know your cost before purchasing any. The Steward should communicate this before any purchase is made and you need to ensure the retail price reflects at least a 50% gross margin. So a £1 per pint purchase price means a £2.40 retail price to make 50% IF all products are sold. A £2.60 retail price would allow for some margin of wastage to be factored.

·        Mulled Wine: A favourite of course to brew up, but it appears there are ingredients to drop into cider to make mulled cider!

·        Wholesalers: Ask your wholeslaers  (Waverleys etc:-)  if they are prepared to offer a sale or return offer in case you over-stock on various products. Christmas products such as Mulled Ginger Wine, J20 Glitter, champagne and so on.

·        Knowledge: Let the customers know by whatever means what products you have on offer for the Christmas period. Some pubs offer up the 12 days offer with an offer on certain drinks in the week before Christmas and in the run up to New Year. Look perhaps at Baileys, ginger wine, mulled wine, Brandy & Ginger, Christmas cocktails, Irish coffee etc:-.

·        Knock-Back: Offer some kind of January offer to ensure your members come back in the New Year when funds may be tight. A free weekend raffle (ticket issued over Christmas period) , free entry to the entertainment, etc:- so members stay loyal and maybe come back more often.

·        There are loads of promotions going on at Christmas. I say this. If you don't ask you don't get!

8.       Redtooth Quiz. A twist on the good old staple quiz is offered by www.redtoothquiz.co.uk Redtooth has surveyed 100 people on the university of life. (Name something red? Etc:-) You can subscribe to them for a minimum of 12 weeks and download a weekly quiz type question session which may be useful. Cost is £3 to £7. You know I am always looking at new ideas to generate business at your Clubs. (Does anyone have a quiz ladder in their Club with points awarded to winners/losers etc:-, so it keeps the quiz season going!) So are Carlsberg. They are offering £3K to any freehouse which comes up with a new business ideas for a pub. I am going to ask if a Club can take part? I cannot promise and I cannot offer up £3K, but I will offer up a bottle of something to the best idea I see between now and Christmas. Hythe, for example is putting together a local sportsman's dinner in the spring and selling plenty of tickets! Ideas this way and to be shared! Another Club (not RBL) is running local book Clubs with great results on quiet nights.

9.       Golf: I know many of you play golf, or like me try to play golf, and some of your Clubs have golf societies. All power I say, but if you want me to act as a go-between to help contacts to arrange various golf challenges  I will happily do that. I was thinking too that come summer, perhaps we could get together and have a regional RBL Club golf tournament and get something good going, near a Club with catering facilities and perhaps get some sponsorship from one of our brewery friends! Please give me your thoughts.

10.    Fruit Machine Refunds (Linneweber): This does not refer to recent refunds that HMRC paid relating to automated lottery machines B3A (VAT & licence duty) BUT the overpayment in machine VAT from 2002 to 2005 known as the Linneweber case. We advised that any refunds received should be held in Club funds and not spent until final judgement is passed. The ECJ ruled in our favour but this needs ratifying by UKJ Court of Appeal should HMRC go there. So if you got a refund please hold in abeyance for a little while longer before taking the members to Miami (or Margate!)

11.    Security: After the last B&B scam notes, do please be aware that this time of year is great one for those planning break-ins robberies, so repeating an often used message, please please be very vigilant and ask the staff to do the same! In that:-

·         Don't be afraid to challenge people in or around the building who may not be familiar. (Entry may be difficult as many have a buzzer/fob entry). If anyone is acting suspiciously DO NOT be afraid to call the police.

·         Ensure your CCTV is up to speed, especially on weak areas of the building. Give your cameras a dust down too!

·         Be very careful when cashing up and keep internal doors locked when cash is being moved.

·         Ensure you are aware of the Club floats and what is generally held on site.

·         Check the insurance documents and DO NOT go over the cash held on site limit.

·         Do not, if possible, go to the bank at the same times each week. Vary times and routes and take a person - or persons -  with you.

·         Staff enter, but more likely leave site with a member or in pairs. Carry a personal alarm. These are usually free from the police.

·         Stay safe and secure. Many incidents can be prevented by being diligent!

 

 

BITS & BOBS: Number 12: November, 2011.

1.     Regional Seminar: For those of you in the South and Eastern areas of the country, another reminder that the Eastern Region Seminar takes place at Harlow Club on Saturday 26^th November. The first seminar of the season was rolled out in the Midlands on Saturday and the presenters were well received and some great ideas were put forward aimed at maximising your business potential. The slant is that there is something for every Club at this year's event. I took the point on board about the event in March which would have meant a cost investment for many Clubs. Something out of the question accepted. I will drop a final calling notice, with an agenda in the next day or two. There is still time to book and all delegates will get a free lunch and believe me (or those at Harlow in March) it is good!

2.     Remembrance Tide:Good luck with any events that are being planned at this time, be it a Poppy Ball or the after parade/Service event. Please bear in mind though, this is the main time of year when the Club (& Branch) in particular  is the public focus, so it is a potential business developer. Local officials, dignitaries, M.P.s, etc:- will hopefully be around and as such do make them feel at home, introduce yourselves to them, try to pin-hole them to come back and even join the Club. I know this is perhaps a bit patronising, but is important for your respective Clubs and to that end do give the Club a close look around in respect of areas like the smoke-butt bin, lights out and so on. Perhaps even have the staff booted and suited and have membership applications available or even temporary cards available. Bear in mind too, rule 7/8 and the ability to entice potential membership for a trial period of up to 30 calendar days.

3.     Christmas:Well it has got to appear somewhere, so I thought I would get it out of the way early. I am sure most of you are getting things sorted now, with bookings, member's parties, raffles  and all. Like point 2, Christmas time is not only an income builder, but a chance to generate new membership and encourage non-active members to come along more often, as they may be once a year visitors. Therefore do encourage your staff to be welcoming to people they perhaps don't know or see. Function wise, it may be useful to keep in contact with them, perhaps twice before the event checking if all is Ok and perhaps enticing them with an offering or two. For example, would the hirers want a champagne toast, or a special wine pre-purchased. Are they real ale drinkers perhaps and so on. Even if they want tea and biscuits on arrival for an extra £1 per head. Up to yourselves and whoever answers the phone to upsell! In the past I offered up thought on festive drinks and the likes of Winter Pimms, Brandy & Ginger, mulled wine and all. Horses for courses I know, but do think of items to upsell. Perhaps have Baileys in a prominent position or as an offer drink. I saw the other day a Christmas Cake syrup, which is put in a coffee or added to vodka. Not sure about that! You get the drift. If you are having a children's party, first good luck, but second look after the adults during that time, perhaps offering a light buffet and a raffle etc:- to keep them in the Club for a while.

4.     Value: Bizarre as this may seem, I think the present industrial climate is potentially a great time for Clubs, for no other reason that you offer value in your business. I know that there are Wetherspoon's and discounters around the place, but they only offer value on a small range of goods. In most cases our value for money is across the board. Now legally, a Club, being private, cannot advertise its prices, BUT it can advertise externally script such as, 'Entertainment, traditional games, teams, good beer and companionship..' all for 40p a week (if you full subs fees are £20 per annum). If a normal pub is charging 20p per pint more than yourselves then for 2 pints a week, the prospective member has broken even. Subliminally, a Club is within its rights to have a price list or a barker inside the premises, to catch the eye of a prospective member. Worthy of thought I hope. With similar thought, I saw an article which suggested the over-50s are still the single most important leisure business market. (A grey pound!) So in that regard, do our Clubs need to seek out younger members or perhaps entice our core market? Answer is - we need to attract everyone!!! I often say that the most powerful market any Club can tap into is the non-using members market. If all your members turned up at once you simply could not cope!!!!

5.     Keg Jackets: As most of you know, I am continually waging a war on waste products, because if you buy it and don't sell it, in theory you have lost it twice. The cost of the product in the first place AND the profit from not selling it! This can be the case in smaller Clubs I see where you may not have cellar cooling or the cooling is far away from your beer dispense or even in some of your Clubs where you have a cask of real ale on the bar. Help may be at hand from the likes of http://www.a1barstuff.co.uk/detail.asp?ProdID=623 . They do cost about £100 each, but longer term there is a saving. Do give this some consideration as it may save you costs.

6.     WIFI: A Club asked about the protection of having WI-FI in the Club. If the Club is in he public (member's) domain and wi-fi is offered there is no real control you can put on what is surfed on a laptop or mobile. However, you are within your rights to make it clear that the WI-FI does have a foot print and any contentious sites can be traced to user access, especially with a computer.

7.   Gt.Wakering: The Committee down Gt. Wakering Club way, which is near Southend is always happy to welcome visiting Clubs if you are planning a day by the seaside or just an exchange visit to enjoy some pool, darts and crib-. The Club may even have written to you, but if you are that way or planning to be, please contact the Club at  wakeringrblc@btconnect.com

8.     Told You So: Reading the trade press, everyone seems to think the next big thing is gathering e-mail databases. I have been banging on about that for years, but the message is the same-harvest your members e-mails to keep in touch with them. However, one innovation I was interested to see which could be good for you to modify is to have an arrangement with local taxi carriers, especially with Christmas coming. Perhaps offering a discount to members or a kick-back to the Club for every taxi booked. Something to think about, especially on your event nights/hire events. The operator in question linked up with a company and offered up a 3 course meal plus wine and a taxi pick-up, radius 10 miles, for £25 a head. In the past I have mentioned about Clubs operating a nominated driver scheme over the festive period and allowing discounted draught soft drinks (say for 50p a glass). I have not seen the service Coca-Cola offered on this as yet.

9.     Told You So(2): Again, when doing the tour I often advise you to maximise your function room use within the rules of course. A pub is Wales is trumpeting the fact it has 'recruited' an astronomy Club. Big news!! But the rationale is the same though do consult rule 13 for correct procedure. Also do look at your CPC, because providing non-members do not drink and gamble then any group could use your facility as long as the opening times set down on your CPC are not breached.

10.   Clealiness is Godliness: Perhaps in reference to points 2/3 it can take years to build up a good reputation in your areas, but only a day to ruin it. Believe it or not most of your customers, active or dormant, guests or members will pass judgement on your site by defining the TOILETS! Industry research says 79%!!! Ask your members. So practically do ensure that your staff monitor them and keep them in good nick. A Club in Herts renovated its toilets and has seen its takings go up. Enough said! I am not saying to go out and furnish them with the latest Molton Brown smellies, BUT give them some attention in the potentially busy times.

11.     CAMRA: Sure there is a lot of doom in the industry for any number of reasons, but one small strand may be in the form of real ale. (When I was growing up it was seen as part of the warm beer and rotten food axis) I appears to be hip and fashionable, even amongst females. So in that respect, if you sell real ale, I advise you should make contact with the local CAMRA folk and try to get a listing and association. If your real ale is good, it will generate membership. Be assured. Proven at Bishop's Stortford. This is potentially a development issue!   CAMRA operate locally in most respects with County organisation.

12.   Beaujolais Nouveau: 17^th November ish. Worthy of having an event. Should be planned by now. Wine is a patchy area, but growing. What about a tasting evening via your suppliers sometime?  These are especially popular with ladies/Women's Section and may develop trade if members have an input into what wines you sell. Something regarding real ale (13) could be applied here, with a choice made by the members. An alternative to the election of Committee.

13.  Scams: How often does this appear? Do be careful. I get alerts from all over on this subject. So in effect a potted guide to steer you. This industry is worth £3.5 billion a year!

·         HMRC do not do things on-line and never request banking details. They send refunds by cheque.

·         Function bookings. Be aware of someone making a big booking in advance and pay more than the fee, but then want you to pay other fees out of it. The cheque bounces and you are out of pocket for the hire, potential pre-paid drinks, and have to pay a bill for the band. Be careful here!

·         Bank Notes: Simple one, but it appears forged £50 notes are on the increase. Ultra-violet devices can easily be obtained. Also if  you rub an English bank-note on a piece of paper it leaves ink, or you can tear the note by the foil, lift a piece of foil out and the note will not split. If a forgery, it falls apart. Do alert ALL your staff to this potential, especially if you have function hire.

·         Prize draws, sweepstakes, tarot readings, fake lotteries, charity appeals/fire & police annuals  with annuals, yearbooks and diaries.

·         Office/cleaning supplies especially till rolls. Someone will call up the staff asking for an order or even turn up with some supplies asking for a signature. A person will sign and then you get a huge bill which has to be paid! Inform your staff, including cleaners to accept no such goods! Also advise staff when the Club has ordered till rolls and all. A communication issue!

·         Website registration: People pressure you into accepting a Club web name. Once accepted you pay a massive sum!

·         Fake Invoices: Look very convincing! Even from a fictional Council. Similarly these may appear from people suggesting they work on behalf of a govt. agency. Any suspicions, contact the local police immediately and do not pay.

·         Take no cold calls. Staff informed as well. Even if someone offers you something over the phone and you don't refuse scam companies can make a charge as they can record the conversation and imply it is legally binding.

·         Rogue Rates: Someone offers to take your case for a rating discount. I know some of you have looked at this. Only take specialist legal advice if you take this path and not a cold caller.

·         Club Access: A person turns up, often early in the morning when cleaners are around saying , 'Come to change the machine'. Taken at face value and the cleaner/staff just get on with things. Door is open and then things go missing or the machine is robbed!

·         TPS: Telephone Protection Service This is a central opt-out register where you register a wish not to receive unsolicited calls. Then if you get a call it is illegal. You can register with the TPS by calling 0845 070 0707 or at www.mpsonline.org.uk/tps

14.   And Finally: A Club in the South decided they no longer wanted any CBA advice! To an extent they even wrote to Head Office as such complaining!  Rather sad that, but I complied with their wish and took them off the all round loop. Funny how they previously requested help with property, banking, and membership issues and are due to attend the Regional Seminar!  A funny world in which we live!

---

 

BITS & BOBS Number 11(a) October 2011

Hi Everyone,

I said I would get back to you once the dust has settled on the Murphy Case relating to
FOREIGN SATELITE TELEVISION SERVICES.

Of course complex, I will try to simplify:-

 

·         A definition has been made between 'home' and 'public' screening. At home, I repeat at home, a person can watch live coverage of Saturday 3p.m. matches by subscribing to a foreign satellite company.

·         In public (pubs & Clubs) - the judgement says, 'the screening of football match broadcasts containing protected works requires the authorisation of the author of those works'. The Premier League holds protection over those 'works' (opening video sequence, graphics and so on)  so any broadcast infringes their copyright and is seen as illegal. (You may see a Premier League logo on foreign feeds. That is another example.)

·         In that respect, it appears that the purchase of foreign satellite equipment to broadcast football, does have illegalities in respect of WHAT is being broadcast. (They are though no longer seen as illegal in their own right.) As such, I cannot recommend that non-SKY products are purchased or used.  The same message as always advised.

·         Practically, and repeating often used messages it is best to steer clear of foreign satellite coders and all. Case study, suggests these often come with a very large lease cost which is very costly and burdensome and best avoided.  Things may appear low-cost and beneficial, but this is often not the case.

 

Sorry if this information is disappointing, but the European Court of Judgement (ECJ) is now final and cannot be challenged. Whether the Media Protection Service (MPS) will continue to protect those who breach copyright is unclear. A small straw has appeared in Liverpool where a court suggested the MPS had committed a 'criminal offence' when launching prosecutions. This was because the MPS was cast as a judge and information gatherer and was ruled out of order.

 

I don't think anything more will come out of this in due course.

Regards

Shaun

BITS & BOBS Number 11: September 2011

16^th September, 2011.

1.   Number of the Week: A number for you to remember. £136. This is the sum you can pay your staff without the business   having to pay Employers National Insurance contributions. The likes of Wetherspoons and McDonalds manage their business in this regard and 'limit' casual employess. Sure they can do that, but something to bear in mind. A 2nd number of the week is the National Minimum Wage. This rises to £6.08 from 1st October. Of course, it is a legal requirement to pay this amount to whoever and whenever you employ staff. (It messes up my analysis of A nominal £6 per hour!) Linking the two numbers together a member of staff can work 22 hours before you have to pay for the privilege of employing someone!

2.   Treasurer's Duties: I am often asked, especially when attending a Club Committee meeting as to what information the Treasurer should supply. This is a very important part of any meeting, because the Treasurer should give you information on the liquidity of the business (amongst other items). As such:-
·   Money in the bank at a certain date (last statement or on line statement)
·   Cash on hand and in the safe (floats/machines).
·   Value of stock on hand at the last stock-take. (Assumed this a constant if stocks are irregular)
·   Cash in transit (banked, but 'disappeared' into the ether for a few days) - should be receipts held.
·   Value of any Club debtors (i.e prepayments to utility companies)
Balance that sum against:-
·   Money owed to your suppliers (who generally provide a monthly trading statement)
·   Money owed to the VAT/taxman which in theory you have collected from sales.
·   Money outstanding to the likes of the council (as this will be phased) but is a sum which could be demanded.

This will give your business a liquidity statement, which is very important.

In addition someone, possibly not the Treasurer should provide information on weekly takings, broken down where possible into departments, and this :-
·   Should be comparable to the previous year (on a week to week basis if possible)
·   Should be cumulative and comparative to the previous year giving a %age up or down.
·   Wage information should be provided which is gross and includes all payments of tax required.
I fully accept some Treasurers provide detailed spreadsheet information which is excellent and such working papers are available here free of charge. The notes above are a brief 'potted' guide.

3.   Holiday Pay: Similarly, this causes much angst amongst many of you. Especially amongst your casual workers who come and go, work 15 hours one week and 6 the next. Well I have a cop-out and I advise you download the following ACAS document at http://www.acas.org.uk/index.aspx?articleid=806.

I will attempt though to give you not one, but two working examples. Your choice how to use!

·   Each employee is entitled to 5.6 weeks holiday pay per annum (pro-rata) or 12.07% of hours worked over a year.  So if someone works 10 hours a week, one week they are entitled to (12.07/100 (%) x 10hours = 1.21 hours or 72 minutes holiday pay.   That person then 'banks' that holiday pay and when he or she wants a holiday, they can take whatever sum they have banked up.
·   Each employee is entitled to 5.6 weeks holiday pay per annum (pro-rata) or 12.07% of hours worked over a year. A weeks holiday pay (5 days) is the average pay received (gross) over the last 12 weeks. So you need to hold records and make a division by 12 and get the gross amount.

A potential alternative, which I have discussed with some of you is to enhance a person's hourly rate so as to take account of holiday pay. Then when someone is away, they get nothing saving you some aggro. Staff would need to acknowledge this (in writing perhaps) but if someone is paid £6.08 per hour and works 10 hours a week, then if they are paid £6.82 per hour, they receive NO HOLIDAY PAY. A possible issue is one size will not fit all staff (if pay rates are different) and there will be some initial calculations required. However, the benefit is that this factors into any budget and no allocation for holiday pay is needed for casual/part-time staff.

Finally, what should not occur under any circumstances is staff NOT taking their holiday entitlements and then rolling in and saying they want incremental pay because they never took holidays. Holidays are simple. Take them and take holiday pay or don't and lose the benefit. As a 'sympathetic employee' you need to make that point clear.

Hopefully the comment and example is of use.

4. Automated Lottery Machines: (This is the B3a 'Fortune 500' type machine and NOT the pull-tab machines many of you have.)

· Income from the machines are exempt from VAT. You are entitled to claim a refund, but get moving on this one, if you paid VAT as it only over the past four years.

· Also there was confusion over whether Licence Duty should have been paid. In summary:-

No Licence Duty was required up to 31st October 2006.

Licence Duty should have been paid on machines between 1st November 2006 and 20th July 2009

No Licence Duty was/is required from 21st July 2009 onwards.

· The Club's machine supplier may be willing to deal with HMRC on your behalf. Ask them first before going to HMRC directly.

· It is unclear if HMRC are to appeal this case and therefore best advice even if you get a refund on the Licence Duty or have done is treat the machine as if there is a Licence to pay and ring-fence any money returned or due.

I hope that makes some measure of sense.

5. PPL (Phonographic Performance Ltd) These characters broadly work with the PRS, so if you have a PRS 'licence' you need a PPL licence. They collect royalties on behalf of music producers and record companies. Some of you have had a letter from them lately. This concerns proposed changes to businesses including Clubs which host events (party) in which live music (disco etc:-) is played or performed. Known as 'Specially Featured Entertainment'. The revision of tariffs to cover such events is very unrealistic and our friends at the ACC are mobilising political influence in this area. However, I do advise you fill out the consultation document and return it as requested. The proposed costings would mean even large Clubs could not afford the costs proposed (£700 for a wedding event in one case) so the music industry could well shoot itself in the foot. I have no doubt the whole entertainment industry will mobilise here and hopefully nip what appears 'monopoly' pressure in the bud.

6. Late Night Levy: I did not know too much about this as did not think it affected the likes of ourselves. However, the late night levy is a proposed charge licensing authorities (Councils) could levy for premises that have a late licence, (which could include your Club if you serve until say 12a.m. at weekends) and/or a Temporary Event Notice (TEN) taken to cover a party or something similar like an Open Day. Should a levy be implemented it will affect all premises in a licence authority during the hours which the levy will apply (which could be from 11p.m.) CORCA is writing to the Licensing Minister (or similar) a lady called Angela Browning M.P. to lobby for an exemption for any business (or CLUB) which holds a CPC. Charges will be based, if applied on rateable value likely to be about £768 (to rateable value of £33K) Given Councils seem to like eating money, this regretful scenario may become a fact of life!

7. Staff Alcohol Policy: It is a fact of life that many of your staff have, or are allowed to drink alcohol on duty. All Clubs as employers should have an alcohol policy, in respect of staff well-being and health and safety responsibilities. The latter in respect that staff are paid to be responsible and act in case of emergency. If under the influence this can be jeopardised. The best practice is to have a policy of no alcohol when on duty. Difficult to implement, but good employers do need to be aware and manage this issue correctly in respect of staff being given an alcohol policy, even if alcohol is allowed to be consumed in moderation.

8. Christmas: Makes you cringe doesn't it, but it is coming up. You should be planning up by now as to dates events and so on. Christmas Eve/New Year's Eve is a Saturday, which is a premium and useful night. I will put some ideas your way in future issues you may like to use, but for now I advise you concentrate on your diary and look at a best night to hold your raffle (which is not on Xmas Eve, but a quieter night) and similar quieter night for your Club Christmas Party. Similarly, look at the calendar for the AGM, to get most members present. As an aside some of you I noticed are having Rugby World Cup events and early openings. Good luck with that, but do adhere to your CPC in respect of when the Club can open and when alcohol can be served.

9. Club Seminars: Thanks to those already indicating they wish to attend. Please do attempt to get to these events which promise to answer lots of questions. Still time to book, but the Midlands Seminar already has about 40 delegates suggesting they will attend. The more the merrier as they say.

 

10. Deregulation: Fan me someone, but it appears the Dept. of Media and Culture intends to sweep away requirements for pubs (& Clubs) to have specific permission to host entertainment for crowds less than 5,000. Good news and hopefully the start of sweeping away legislation.

Finally, thank you for all the commiseratory messages regarding the sad demise of the Northern Ireland football team in Estonia in early September. We are in poor health I'm afraid and I foresee a managerial vacancy coming up there!

Shaun Schofield

CBA East Midlands & East Anglia

Tel: 0777 5822191

E-Mail: sschofield@britishlegion.org.uk

 

BITS & BOBS Number 10: August 2011

 

 

August 19th, 2011

1.        Taxing Times: Not wanting to confuse you on the first item, but this is complex and you may want to consider consulting with Ian Spencer Associates. Their website is www.vatproblemssolved.com phone 0114 258 5967. They work on various VAT issues, notably with Dransfields Leisure who have confirmed their attendance at the forthcoming regional Club seminars. On seminars, the Midlands event is on Saturday 29^th October at Kings Norton Club in Birmingham. All Clubs are welcome, more details to follow! The Eastern/London event details will be announced shortly, but will be at the end of November. Hold steady! Back to Ian Spencer, they have a reached a flat fee for CIU and ACC Clubs to investigate on each single Clubs behalf. I will look at meeting with them to discuss if there is enough demand to do so, but for now, you will have to communicate with them on a Club by Club basis.

·         VAT on Machines: This pertains to fruit machines. You may remember that automated lottery machines (B3A) are no longer subject to VAT. That was accepted. However, these machines are still gaming machines. So are fruit machines. As such, the argument is some gaming are now subject to VAT, whilst other aren't. Understand? Well, this apparently breaches fiscal neutrality applied by the European Court of justice (ECJ). So it follows that VAT declared must also be exempt on machines. Following past practice, this would occur over two certain periods. There is no final judgement as yet because the lead case has not been decided upon (Rank PLC v HMRC) BUT the indication appears Rank will be successful. This means HMRC will have to make payments on claims made. Should you wish to make a claim (and this is really where professional advice would kick in) you will need to put forward correct arguments and statistics (of payment) There is also the 4 year capping point, I often mention to those who paid VAT on snooker income. To even look like making a claim you must be able to demonstrate details of VAT paid on machine income and must be able to demonstrate the business will not be 'unduly enriched (!)' if payment is made. Many previous claims in this manner (Linneweber) were rejected on a technicality. To repeat, a professional may be useful. The ACC fee is £180.

·         Cultural Events: If you have declared VAT on door entry to what is defined as a 'cultural event' which may include a live music performance (but not discos/Karaoke) then VAT may have been paid unnecessarily. To recover or make a claim, you must put forward the correct argument and paperwork and made a correct VAT return. You need to examine that the event was NOT put on for profit and that any request for (re)payment will not 'unjustly enrich' the recipient (Club).  Some CIU Clubs have received levels of repayment, because this issue is a matter of fact and accepted (with correct information) by HMRC.

Worth an investigation, a matter for yourselves. Good luck! Hope not confusing!

2.     PRS: I have the new Performing Rights Society (PRS) tariff schedule for Private Member's Clubs should anyone require. You will have had your respective bill by now I'm sure (seen them!) BUT (action) do check what you are paying for. A sands shift in Clubs, with, for example, scaling back on live entertainment, you may well be paying for something you do not need to!

3.     PPL: The PPL, who collects royalties from you on behalf of performers and record companies is proposing that royalty fees for the likes of discos are increased dramatically. This may affect your business Costings are very complex with this body but this pertains to Specifically Featured Entertainment (SFE-i.e. discos) The costing is based scenarios like average attendances etc:-. So be aware of what you are paying for here (again!)

4.     Temporary Event Notices (TENs): Often if you have a disco you may align it to an Open Day and take on a Temporary Event Notice (TEN) under the remit of growing awareness of your Club and therefore membership. Our friends at the CIU have lobbied Parliamentarians to look at increasing the number from 12 to 15 per annum; the remit being generating community support etc:-. Something I fully support. However, the motion was not implemented for various reasons. The intention is to keep up the pressure in this area. Practically, do consider using your allocation of TENs. I hear your Open Days are usually successful!

5.     Licences: Most of you should have received some kind of Club Licence by now. Full or conditional does not inhibit your trade in any way. However, if I have to visit, or similar please bear with me on a time issue. I am very busy with visits taking place and reports to write etc:-. By all means contact by phone or e-mail as per usual. For reference I will be away from 2^nd until 7^th September inclusive.

6.     A Scam Alert! A B&B would not be complete without one or two of these! This time publicans, secretaries etc:- are being contacted by someone pertaining to HSE (Health & Safety Executive). The caller demands a contact name and number suggesting a compliance audit is required. Then they suggest a visit is being arranged and you need to pay £1,000 for an audit to ensure you comply with regulations. If the HSE ever contact or turn up they will have ID and contact numbers and supervisor numbers. I note this because agents of the RBL have asked for site access to carry out surveys etc:. This would be pre-arranged and so on and under NO CIRCUMSTANCES would money be requested. Be careful. Scam Alert 2: pertains to those supposed from the tax office suggesting there has been over-payment of tax by yourselves (point 1) and a contact and bank details are required so a re-payment can be made. HMRC do not operate in this way and would send a cheque or official notice, but never ask for bank details.

7.     SKY:Two of SKYs new development are set to visit and investigate some of our Clubs shortly. I will hopefully get some information to share, especially in respect of lapsed SKY subscribers. However, I note judgement on the Murphy case for free up football broadcasting in Europe is due on October 4^th. But M.P.s are being lobbied to block any easing of rights because of a fear on the impact of smaller football Clubs. Interesting that! Either you want a free market and sign up to it or you don't, but you cannot have it both ways! Time will tell. Personally, I think the monopoly will stay, BUT I think there will be movement around the edges allowing terrestrial television (BBC etc:-) some access to live games as part of a SKY package. Just a hunch! SKY will offer you a 3DTV for £600 for those of you who take on the SKY Ultimate package. To get SKY Preview Live, a very usefulpromotional tool, you simply just need to call 08442 411111 and give your account details to the receptionist and an e-mail address. Do not miss on that potential tool for a phone call.

8.     A selling Point:CAMRA (Campaign Real Ale) suggest that traditional games would entice people back to the pub! 49% of 18-24 year olds would visit a pub more often if there were snooker, darts, pool on offer. Sod the pubs-we have those games available in our Clubs. Simple to say, but if applied we have a massive selling point in our Clubs. How to get youngsters inside is an issue as I often hear, but simply putting knowledge into the market place is a start, however we/you manage it! Youth snooker team for example, relationship with a youth Club, Young Farmers or whatever, but a market to develop. Please think about this potential opportunity if marketers see as a gap in the market. How to sell membership is a challenge, but a £16 a year subscription is 30p a week or a bag of crisps and two pints a week purchased against a pub means a person is in pocket AND can play pool or darts if they wish!

9.     Rugby World Cup: This is coming up in September. Match times are bit pants mainly from 6.30 to 9.00 a.m., but there is potential here in respect of a tape delay showing matches by video recording (they still exist) or no doubt on Freeview channels later in the day. The event is on ITV channels. Greene King are a sponsor of England so if you trade with them, it may be worth tapping them up for displays etc:. Look at Club sweep on scores of matches time of first try, points made and so on! The world is yours here! Adopt a team maybe! Perhaps have a New Zealand night! Make the most of it! Plus other events such as the Champions League starting up are on the horizon.

10.  Low Strength Beer:I mentioned this before, but it appears things are slowly evolving here. In October 2011, there will be a 50% reduction in excise duty on beers <2.8 ABV. The average ABV of a pint is about 4.1%. Practically it would mean a fall in duty on like for like of about 18p a pint, which would equate to a 40p saving at retail to hold margin. If the taste is good, I see this could be good as it would being value to the market. A market we are very much in. Which brewery will be first to market and promote such a product, rather than just paying lip service like Carling C2.

11.  A few Dates to think about:2^nd Sept: England play football, not sure on which channel. 5^th Sept: Freddie Mercury born: Queen night? 6^th Sept: England v Wales-football (ITV). 15^th Sept: Battle of Britain day. 16^th Sept: Mexican Independence Day 22^nd Sept: ITV launched TV themed quiz? 30^th Sept: Prepare for a Halloween night-End of Financial Year. 7^th Oct England - football ITV 24^th Oct- UN DAY - get your flags out (late Oct- Poppy Appeal starts) 5^th November Bonfire night 17^th November-Beaujolais Nouveau Night 19^th November -Lottery birthday-some tickets for the members (£10) worth 24^th November -Thanksgiving Day - burgers, apple pie and Budweiser, 30^th November - St. Andrews Day neeps and tatties and whisky tasting.

I hope the information is of use to you.

Shaun Schofield

CBA East Midlands & East Anglia

Tel: 0777 5822191

E-Mail: sschofield@britishlegion.org.uk

 

July 15th, 2011

1.             Club Licences: It appears the Club licences are filtering through from Head Office, rather than the Counties. If you have a conditional licence, I may well need to come and visit you. I will try to get your way as soon as I can, but I do request patience in this area. It will take a while. A conditional licence does not inhibit your trade in anyway. If your condition is to change rules, then do prepare for that. It may be better to change at your AGM, by having an SGM on the same date. You will need to give notice mind by advertisement. I am afraid I do not know the time scale to get a formal rule change (i.e. an updated rule book) but it does take time with administration. If you have no appointed arbitrators, you should do that in as simpler and quick a manner as possible.

2.             Club Seminars: A little hint! We are arranging some Club seminar dates. I wanted to put a Midlands event on in September, but am re-appraising that to October and moving the event proposed for October to November, which will be in the Eastern Region. Venues to be confirmed and dates too by separate e-mail. Could I request that all of you support your CBA by making every effort to support these events. Reason being, we are hoping to get some major speakers along. The theme will be 'MAXIMISING YOUR BUSINESS POTENTIAL'. So lots of tips and speakers on business development!

3.             Banks: Like a bus, as I mentioned in the last Bits & Bobs another bank, NatWest, it appears is offering up free banking. They offer a BonusSaver account to Clubs/charities. Apparently it even pays a bit of interest (1.05%) providing there is no more than one withdrawal a quarter. Worth a look maybe for a business account where some of you shuttle funds in and out of more than one account. (Lucky you!)

4.             SKY: As you may know, following the research you kindly provided, which I can supply if you wish, I did manage to have a discussion with Bruce Cuthbert at SKY TV. He is a commercial director. The discussion was fair and very cordial. However, at this stage SKY is not in a position to stream events to commercial clients, whereby a Club could purchase events in a similar way to the recent boxing some of you covered. The 'idea' was for Clubs to pay a flat fee and purchase football as and when, giving your members an opportunity to manage what is purchased. The rights SKY hold do not allow for this at this stage. (In the future maybe.) SKY policy also is to encourage all purchasers (commercial has no option) to use the facility to its maximum potential. They argue, and I support this from what I have seen, that all pubs and Clubs do not market their SKY. To that end, they are going to shortly employ a group of Business Development Managers, whose remit is to advise Clubs and pubs on how best to use and market the facility locally. I said that private Clubs are a different beast because of entry restrictions and it was agreed that this would be accounted for in any advice. To that end two Clubs have agreed to act as 'guinea pigs' in respect of what development they can offer. Not sure when mind. It was also noted that SKY have a weekly e-mail slot offering SKY support, called PreviewLive. I will ask Bruce if I can forward that e-mail to you. If any of you want that correspondence, can you please let me know! What was of interest was when I mentioned how much business SKY had lost over the years. Of 54 Clubs that did not have SKY, 30 of you had removed it. An average cost of £700 a month lost to SKY. That turned a few eyes. To that end, SKY seem to accept they will need to work hard to get that custom back. We have agreed to meet again and communication is better than the shutters being up. Sorry I did not get something more positive to report back. If it is a small crumb or two of comfort, I  do note that SKY's charges have been frozen for the next financial year and there is a possibility of some flexibility if your Club has sporting facilities associated with it.

5.             The FSA & Rules: The Financial Services Authority (FSA) are not known for being especially adept at public relations, but are, it appears starting to tighten up their act, without great PR. This is now occurring in respect of Club annual audits. At least three Clubs now have fallen foul and have been written to suggesting your audit is incorrect. This matter is complex, but :-

o If your accounts are compiled by an accountancy team and your turnover is £90,000 or over it must be carried out by a registered auditor. That is your term of reference. Not an accountant on their own, but a registered auditor! This is a person who is registered with one of the supervisory bodies listed in the Companies Act 1989. The auditor has to prepare the accounts in a way laid down in accordance with the Friendly & Industrial and Provident Societies Act 1968, whether an auditors report or a full audit. Often registered auditors are accountants, but they are not the same necessarily! Please be aware of this. If you fall foul of this, you will basically need to compile a new audit!

o If you turnover is less than £90,000 you can have what are unaudited accounts. They still are compiled by an audit team (or by two lay auditors), but are slightly shorter in layout etc:- and the auditor will not express an opinion of the accounts produced.

So as the end of the financial year approaches make sure the Club has the correct auditor and confirm matters such as turnover are confirmed. This is very important! I took in a useful discussion and e-mail trail regarding Hemel Club and can pass on further thought if required. I am hoping to get some professional advisors at the Club Seminars to assist in this area quoting matter of fact.

6.      Congratulations: Arborfield Club had a Poppy Party last month and raised £300 for the Poppy  Appeal. Well done! Pass me any information on this you like!

7.      Branches & Club Relationship: This is a very prickly one and I have decided to offer some thought following the 'roadshow' meetings Head Office arranged to discuss the Club Licence applications and discussion doing the rounds. In short, Branches should not be interfering and either controlling or influencing aspects of your Club business. A Club's (and Committee) responsibility is to its members, who are the shareholders and to ensure that 'share' is acted upon correctly. By withholding membership applications to the RBL, or being obstructive, or refusing to be flexible over facility use, or in one case withholding door entry cards, can affect the financial well being of your business. Of course, the Branch has obligations in respect of for example joining the RBL locally, but that process should be as smooth as possible to ensure the Club gets a maximum benefit. In that respect, 'quick' joining (on-line) is available, as is the availability of 'associate' membership (aka temporary Club membership) in the Club rules to facilitate joining. If you feel there are issues such as this, you really should get your heads together to reach an amicable solution. That is easier said than done I know and in the extreme I could look at mediating or getting County staff to mediate, BUT as you know I am always running around like mad with other issues. As for facility use, the Club pays the bills in most cases so should have sway over when the facility is hired and used to its best potential. There are, of course, responsibilities and conventions in respect of hosting the Branch, but there needs to be a common sense solution throughout to accommodate all parties. The end result though is the Club should be able to maximise its revenue potential where possible.

8.      Heineken: I read some very interesting and concerning news regarding Heineken. First, they are introducing a MINIMUM DELIVERY SCHEME. This is 3 kegs a week from 1st August. You should be covered here, as most of you cover this, BUT if not you should have been passed the details of a local wholesaler by now. Heineken are not casting you/us off, but are utilising logistics and economies of scale. Second, they are rolling out a cask beer equipment charge. This equates to £2 per beer engine per week. So if you have two engines and the equipment is Heineken's, it will cost you £16 a month! Heineken found out that too much of their equipment is un-used or used by other beers. Advice! Monitor this urgently and request un-used equipment is removed. Also you need to ensure that your staff purchase real ales from Heineken who now have a CASK ORDERS selection of 42 real ales to purchase. Linked to that, you should ensure the purchase price is monitored and preferably confirmed before a purchase is made (and you get the correct discount as per your trade agreement) otherwise your margin will be affected. £1 per pint (£72 a cask) is a ball park purchase figure. For every 4 casks purchased a £4 credit is realised from your account. A buy-back scenario, but it sways against the small operator. Advice! Monitor on your invoices throughout and direct where necessary!

9.       Greene King: If you trade with GK, get hold of their latest 'Know-How' kit bags which have some great ideas in them.

10.   E-On & Utilities: Advice Look at getting hold of an energy meter. E-on are pushing the idea by advertising  these and pushing the agenda. I put one in the house via British Gas. Very interesting stuff! The utility savings handout is available from me if anyone requires, but nice document I like to think it is, you need to push the agenda and direction to the staff etc:-. I was in a Club in Lincolnshire on Monday. Cleaner had all the lights on. Reasonable, but when turned off, the meeting I had was held with no lights for a time. It made no difference!

11.   Bishops Stortford (post code CM23 2NG): The Club is hosting the annual town beer festival again this year. Happy to splash it. If you are in the area, close to Stansted Airport, it cracks off on Thursday 28th July from 6p.m. and runs through to Saturday night, 30th, with a hog roast and folk band. 50 ales and ciders and all good fun. Do pop along if you can make it, or advertise in the Club if you can. The Club have no posters as yet, (via CAMRA).

12.   Rates: A warning! Mentioning no names or Councils, but at least one Council on my manner has withdrawn its rate relief to our Clubs. (it does not know the exact type of relief) They have got mandatory (charity) and discretionary (to Clubs and societies at Council discretion) mixed up. A real dogs breakfast, leaving two Clubs with a big bill, but the upshot is that as Council's lose grants and rates are frozen, they are looking at other ways of raising funds. Simple as, so you need to be aware of this situation and if possible prepare Club accounts and budgets etc:- for what may occur in the future. I highlight 'may' because this may snowball, BUT of course here's hoping it doesn't!

13.   VAT: If any Club has had a recent VAT inspection in the last financial year, could you please contact this office in the strictest confidence please.

14.   Tobacco: Just a reminder in case you fill your own vending machine, that vending machines will be banned from 30th September, 2011. Now, I know some your Clubs, especially in the villages offer this service to people to use. You can, of course still sell cigarettes, but a word of warning.  Every case study I have plus my fading memory has issues when cigarettes are sold. Reason being the margin on them is so poor that if a packet goes missing from a strip of ten, means the business loses money on the rest of them! So if you do sell them, please be very careful and diligent and ensure the stock is counted carefully and regularly!

15.   Training: As I hope you all know, if something is grinding your gears regarding your business, you just need to ask! I cannot guarantee an answer you want, but we do try! I mentioned a while ago that various parts of CORCA were looking at training courses. One constituent, the ACC is running courses now based on Club issues (admin-, red tape, marketing, etc:-) and I intend to attend one such course to look at its merits in the next few months to see if it will benefit our volunteers. There is a cost of £75 per delegate (2 for £140), but if of use to us, I will look at developing this with the ACC's training partners. The CIU offers courses, but they are residential and quite CIu rule specific on occasions. I will research and report.

16.   A final thought: A pub was raving the other day in the national press that they had a visit from their M.P. To be frank, ALL your Clubs should have contact with your M.P. for sure and your local councillors. From point 12, it is important your M.P. knows the term of reference of your Club. No political points. I don't care what colour the M.P. is. You should involve him/her in your affairs. From point 12 (again) an M.P. got involved with the issue and joined the Legion and the Club! I say no more.

(And if you are off on holiday in the next few weeks, do enjoy your break and any R&R which your like to do-be it beer, beach, ball games or bangra!)

Regards

Shaun Schofield

CBA East Midlands & East Anglia

Tel: 0777 5822191

E-Mail: sschofield@britishlegion.org.uk

 

1.    Banks: I scripted last month that HSBC had an account on offer for small businesses turning over less than £100,000 a year. Thanks to those of you who responded on that suggesting also that the RBS has a 'Treasurer's Account' with no charge tailored to Club's and charities. Another useful string to our bow, looking for accounts which will at least offer 'cheap' banking. As always, check the fine print here in respect of cash banked, cheques written and so on with whatever account you may be offered. Occasionally, as now interest on deposit accounts has really dried up, any ideas on best place to get some return on cash reserves. A very difficult one in respect of traditional banks and building societies. In that respect, it is often useful getting in touch with a financial advisor in your locality who may be able to advise in this area, similar to a pension expert. In that, money can be invested, and it is up to yourselves how much risk you are prepared for the Club funds to take. It may best be 'steady as you go' with a small return. A high risk return, could reap dividends, but also leave you with no return. Of course, up to your respective Committee, but do take professional advice in this area, if indeed your Club is in that fortunate position. Bear in mind finally, there is a cost of employing professional advice.

2.    Feedback: As it gets ever tougher to get the leisure pound off your members and your guests who may hire the Club facilities it may be a wise policy to get into the habit of feedback. When I script your exclusive Club reports, I often say that asking WHY? is a really important facet of managing the Club. Accepted, on occasions truth can hurt, but you should ask why members etc:- are not using what is their Club. So do consider talking to the members, be it at an 'Open-Forum', via Facebook or other sources as well. Maybe ask the staff to find out why to some questions as they may see the member's regularly. It is in their interests too that the Club is busy! I was once told you were born with two ears and two ears for a reason! Somebody may be disenchanted that something is going on in the Club that is not liked. So in theory, a business protection scheme. Sure some issues can turn to gossip and whispers, but is there ever no smoke without fire? Pub operators in particular get 'mystery shoppers' to assess issues. Something to consider perhaps with a member's guest or member from another Club locally passing by. This is an important one.

3.    Club Licences: I believe this will finally be sorted out with licences issued in early July, whether full or conditional. The 'licence' roadshows I have noted to you in the past, which some of you have already attended will be completed before the licences are issued. Please bear with us on this issue. It is somewhat out of the CBA hands.

4.    Superdraw: Not on my patch, but I have had some communication with Hythe Club in Kent of late. (Nice place-good fish and chip shop close by too!) The Secretary is involved with what I believe is a Superdraw! This is available to Clubs. In brief it works like this, but if you want further details, please contact me here and I will put you in touch with the Secretary at Hythe. How the scheme works is that members who would like to join complete a form and send it back to either the Club or our head office via a prepaid envelope. Within that form they either complete the standing order form, or enclose a cheque for half yearly or yearly subscription. They are then sent out a card with their numbers on it and their lucky birth date which is an additional draw they are entered into within their £1. The birth date draw is £100 a week and if no ones birth date is drawn then it rolls over and has got to £1800 before. The only administration the Clubs does is hand out the forms and if any handed back send them to us in pre paid envelopes. Any prizes are sent directly to the winner, or the club if they wish to do a presentation. The Club is then paid by cheque monthly for their 45p in every £1. This type of lottery is monitored under the auspices of the Lotteries Council. This sounds like a potential 'win-win', but Sarah at Hythe can give you more details. To repeat, shout up in this direction if you want more information/contact.

5.    Your Club Calendar: I know many of you plan events a while in advance in respect of the many 'Poppy' events I heard were held last weekend. (I will generate copy here if anyone wants to give me details and will forward if I can to the powers that be.) However, I stumbled across a really useful calendar of events that Booker produced which you may consider useful in respect of holding a 'social' which is a bit different. (Hopefully these notes are not too late!)

July 4^th: U.S. Independence Day - American drinks (Bud-Bourbon etc:-) and a BBQ (perhaps hold it on the Saturday before (2^nd)

5^th NHS birthday-Doctors & Nurses party - fancy dress?

6^th Children's Art Day - get member's children and grandchildren to draw pictures etc:- with prizes for the best entry.

10^th Dublin is 1013 years old. Doesn't take much to get the Irish bunting out!!

14^th Bastille Day-A little Kronenbourg offering perhaps? (P.S. I do like Pernod)

21^st Rolling Stones founded in 1962. Disco-retro offering.

30^th Radio 1 is 44 today! Another retro 60's disco!

August 2^nd The Great British Beer Festival opens in London. Any chance of a local promotion. Perhaps contact the local CAMRA operators.

5^th The 'Sandwich' was founded on this day. 'Sandwich' supper?

6^th Rugby Union friendlies pre-World Cup starts.
Remember the World Cup starts in September. Free to air on ITV. Give consideration this with your CPC timings.

8 ^th Great Train Robbery Day-mmm?

10 ^th England v Netherlands - football (Northern Ireland v Faroes too)

13^th Premier League starts (Fantasy Leagues etc:- set up)

15^th Indian Independence Day (Curry Night!)

16^th Elvis Presley died (The Burger Muncher himself!) Impersonator night?

20^th Estonian Independence Day (I will be obliged to have a party!)

25^th Sean Connery born (!)

29^th Bank Holiday Monday - hope the sun shines

31^st Coca-Cola was first sold in GB in 1900. Not sure if Coke celebrates its birthday.

Hopefully these dates will give you some food for thought!

There seems not to be much going on at the moment coming my way. Bit of the party season with our governmental lords and masters and the budget was passed.

Shaun Schofield

CBA East Midlands & East Anglia

Tel: 0777 5822191

 

Dear All,
You should now have received a letter from Head Office detailing times and dates for the Club Licence Meetings which were previously cancelled in April.
As per the previous memos etc:- I attempted to get venues for you all that were no more than about an hour and a quarter travel time from your respective Clubs.
That was what I was broadly tasked with. I fully appreciate there is a travel factor at busy times, hence my lobbying for later start times.
I will be attending these meetings where possible, but I do urge you and/or Club/Legion representatives attend where possible. It is important.
Below I have scripted the venue nearest to your respective Clubs.
As suggested, sure it would have been better if in some cases, venues were closer to, but hoping to see you there, where you should be in a position to air your views and concerns. Of course, you can choose other venues if you wish for time/convenience.

Tuesday 21st June: Borehamwood RBL Club, 289 Shenley Rd, Borehamwood, WD6 1TG.  6.30p.m. for 7p.m.
Borehamwood: Club Meeting 

To cover parts of Essex, Herts, Beds Clubs

Heath/Reach Beds CL0065
Leagrave  Beds CL0066
L. Buzzard Beds CL0067
Berkhamstead Herts CL0127
B. Stortford Herts CL0128
Bushey Mill Herts CL0136
Croxley Green Herts CL0130
Harpenden Herts CL0131
H. Hempsted Herts CL0132
Knebworth Herts CL0134
Rickmansworth Herts CL0137
Royston  Herts CL0138
Ware  Herts CL0141
St. Albans Herts CL0140
Broomfield Essex CL0102
Canvey Island Essex CL0103
Felsted  Essex CL0106
Gt. Baddow Essex CL0107
Gt. Waltham Essex CL0108
Gt. Wakering Essex CL0109
Harlow  Essex CL0111
Hockley  Essex CL0112
Hornchurch  Essex CL0113
Pitsea  Essex CL0115
Rayleigh  Essex CL0116
Sth: Ockendon Essex CL0126
Upminster  Essex CL0122
Westcliff  Essex CL0124
Wickford  Essex CL0125

Wednesday 22nd June  Melton Mowbray RBL Club, Melton Mowbray, LE13 1RB. 7.30p.m. for 8p.m. (Car park free after 6p.m. at the top of the street)
Waddington Lincs CL0047
Barrowby  Lincs CL0034
Birstall  Leics CL0020
Blaby  Leics CL0021
Humberstone Leics CL0022
Lutterworth Leics CL0025
Melton M.  Leics CL0026
Oadby  Leics CL0027
Queniborough Leics CL0028
Thurmaston Leics CL0032
Wigston  Leics CL0033
Greens Norton N'hants CL0052
Allenton  Derby CL001
Allestree  Derby CL002
Belper  Derby CL004
Buxton  Derby CL005
Darley Abbey Derby CL008
Cave- House Derby CL0011
Melbourne Derby CL0013
Mickleover Derby CL0014
Parwick  Derby CL0016
Repton  Derby CL0017
Shirebrook Derby CL0018
Beeston  Notts CL0054
Clifton  Notts CL0056
Gotham  Notts CL0057
Hucknall  Notts CL0058
Radcliffe  Notts CL0060
Skegby  Notts CL0061
Wollaton  Notts CL0063

Wednesday 22nd June, Yaxley Royal British Legion Club, Yaxley, Cambs, PE7 3NR.  7.30p.m. for 8p.m. (On site parking)
Kins Lynn  Norfolk  CL0147
Upwell  Norfolk  ??
Sutton Bridge Lincs CL0046
Long Sutton Lincs CL0042
Crowland  Lincs CL0036
Donington  Lincs CL0037
Bourne  Lincs CL0035
Bottisham  Cambs CL0091
Cheveley  Cambs CL0099
Fordham  Cambs CL0093
Histon  Cambs CL0094
Manea  Cambs CL0095
March  Cambs CL0096
Sutton/Ely Cambs CL0098
Ramsey  Hunts CL0142
St. Ives  Hunts CL0143
Yaxley  Hunts CL0144

Laceby  Lincs CL0040
Healing  Lincs CL0039
Waltham  Lincs CL0048
Grimsby  Lincs CL0039


Monday 27th June, Stowmarket Royal British Legion Club: Tavern Street, Stowmarket, Suffolk, IP14 1PH. 7.30p.m. for 8p.m. (Car Park close by at the Asda store approx 5 mins walk)
Beccles  Suffolk CL0159
Bramford  Suffolk CL0160
Brandon  Suffolk CL0161
Bungay  Suffolk CL0162
Felixstowe Suffolk CL0164
Framlingham Suffolk CL0165
Hadleigh  Suffolk CL0166
Lakenheath Suffolk CL0167
Lavenham  Suffolk CL0168
Long Melford Suffolk CL0169
Southwold Suffolk CL0171
Stowmarket Suffolk CL0172
Wickham Mkt. Suffolk CL0173
Woodbridge Suffolk CL0174
Blakeney  Norfolk CL0145
Fakenham Norfolk CL0146
Norwich  Norfolk CL0148
Thetford  Norfolk CL0995
Boxsted  Essex CL0100
Brightlingsea Essex CL0101
Halstead  Essex CL0110
Mersea  Essex CL0114
Rowhedge Essex CL0117
Tollesbury  Essex CL0120
Walton on the Naze Essex CL0122

Hopefully this is of use to you and corroborates the letter you recently received.
Reards,

Shaun Schofield

CBA East Midlands & East Anglia

Tel: 0777 5822191

E-Mail: sschofield@britishlegion.org.uk

BITS & BOBS Number 7: May 2011

1.     Heineken: Phil Wakeman (CBA Mids) had a long discussion with Peter Usher from Heineken last week. I took various issues that have arisen over the past months on the patch, with those of you supplied by Heineken. The main one is a lack of communication with Heineken itself. The rationale is that if your trade is less than 70 (brewers) barrels per annum, then your account interests are held by the centre point call centre and it is unlikely you will get a call in person from a representative. As such, it is up to yourselves to contact the centre point for discussions/support. If your account is above 70 barrels per annum, then you should get regular face to face support. I know many of you see it as important you get 'brewery' support so with respect to Heineken, if you don't feel you are getting this, you can shout this way and I will give a heads-up. Also be aware that a brewery representative may call during the day and meet with the Steward/staff and you may not have known a call has occurred. A difficult one I know. A practical issue in that as Committee personnel, you should make it a requirement that staff inform you if any sales personnel have appeared. As regards, a relationship with your supplier, whoever it is, you should always keep them on their toes and do not be frightened to state your case in respect of needs and wants. If you need beer mats, ask for them; if you need some product support, ask for them and so on. Don't necessarily take a no for the answer!

2.     SKY: Thank you for all your comments and returns on SKY Television. In total I had 80 replies. However, some were not completed, or duplicated data, so I had to pare down the responses a bit and had 69 completed responses. I presented the responses to a recent CORCA meeting, whose delegates are to support our research by asking their respective Club groups the same questions. I have e-mailed Bruce Cuthbert at SKY to ask for a meeting based on our responses. No response to date . I will keep you fully informed with this and will not let it drop! Will we get something positive? I am not hopeful, but as long as communication is kept open and at least our ideas and research are pro-active rather than the previous, 'SKY costs too much!' argument which will hold no water.

3.     Mina-Tour Asset Finance: (or similar) If anyone has had contact with this company in respect of mortgaging your respective (freehold) properties, could you please contact this office at your earliest convenience.

4.     HSBC: Of the many questions asked, one of the most common is that concerning banks and bank charges. My thanks to Bishops Stortford for the lead here, who have informed me that HSBC have a package for small Clubs with a turnover of less than £100,000. All banking is free, there is on-line banking, no cost for cash banking and no change for collecting change. Sounds good. I believe also Bank of Santander have also recently introduced a free change services for small business. A cop-out here, but in respects of banks, HSBC is a good lead here, but the issue is that you should shop around in respect of banks, their charges on so on. (I am ploughing through your Club returns as I script and some bank costs are shall we say rather expensive!)

5.     RBL Licences: As noted, I am ploughing through them (doing my bit), which is part of the admin- process. My apologies for the protracted delay on this issue and the present non-issue. I am not sure when the process will be complete, but for now, the matter is to carry on for now as normal.

6.     VAT Windfall! (Potentially very important) Ian Spencer of Ian Spencer & Associates Ltd, is a VAT expert and has had involvement with some Clubs (not necessarily RBL) in recovering VAT in respect of B3A lottery machine payments. He has identified a potential VAT overpayment in respect of Clubs charging income for entry to 'cultural events'. So if you charge for entry to Club events (and don't dodge the cover charge by, for example, giving entry into raffle as a condition of entry) then this could be very important. A cultural event could be live music, but not pre-recorded entertainment (disco, karaoke). To have an entitlement to claim Clubs must have declared VAT on income generated from the 'cultural event'. You must have submitted all VAT returns and have made payment of all VAT detailed on the return, and the cultural events must meet the HMRC criteria of NOT being for profit (i.e. a sub contracted entertainment). Also any repayment should not 'unjustly enrich' the recipient (whatever that means!). The CIU offered up some 'test cases' for Mr. Spencer to take on, with some success. There is also a possibly of looking into VAT on membership subscriptions IF it can be proved that by joining a Club a person can benefit from cultural events held in the Club (such as line dancing). This is at early stages, but if you think you may qualify under the cultural event, entry scenario, research your payments (previous 4 years) and if necessary shout here and I will get Ian Spencer's number!

7.     VAT Windfall 2! One that has crept in under the radar a bit, but I have got wind that some of GB's biggest fast food retailers are to launch a claim for tax refunds after a European Court of Justice ruled that VAT should NOT be paid on food sold for immediate consumption. 'Immediate' consumption is important here! (Could that mean snacks such as crisps, nuts, chocolate and so on which you all sell!) Watch this space. As it appears to stand the rationale is a supply of goods (which comes under a reduced VAT scope) rather than supply of food. Food prepared for immediate consumption is a 'foodstuff' and the argument is that it is zero rated! You can unravel the complexities at http://www.avrio.net/1619.0.html?&no_cache=1&tx_ttnews[pointer]=1&tx_ttnews[tt_news]=231&tx_ttnews[backPid]=5&cHash=79b19f5a49 or http://europa.eu/rapid/pressReleasesAction.do?reference=CJE/11/20&format=HTML&aged=0&language=EN&guiLanguage=en

8.     HMRC: I think I should be selling advertising space to HMRC here! Seriously though, as I have commented before HMRC have made it a policy to 'target' pubs, clubs and small businesses. It appears that charges and fines will be levied up to £3,000 for bad record-keeping. That is a large remit in my book, but HMRC has suggested it is targeting 50,000 small businesses to rake back £600million in unpaid taxes. The initial trawl is pubs where the tenant is self-employed, but this will extend I'm sure. The fact all of you have to submit audited accounts should shelter to some extent, but be warned here and ensure things are in order, as much as possible!

9.     Hedging Purchases: This one appears from time to time. In the good old days we always used to advise cash reserves were banked to build up the balance sheet. No issue there, but now the return is marginal, I see there is no issue with building up products for re-sale (stock) providing stock held is safely stored and does not affect the liquidity or cash flow of the Club. (If you haven't much cash on hand, then this a non-starter!) A couple of you have approached wholesalers and requested the cost of making a bulk purchase (say 200 kegs of beer) which is not held on site, but paid for up front. Then you order your beer and the number you hold (as purchased) is deducted as you get them delivered. This would be very useful in the period approaching budget, price review, but is a useful practice to consider if a wholesaler in particular has an offer that is being promoted.

10.  Furniture:I know some of you are looking for new furniture. I often script about grants and so on, which do take time to apply for. The notion here is that if anyone wants to get rid of furniture or is getting some new equipment, let me know and I will pass the word around, as others can use it! The problem is picking goods up or re-locating it. I am aware of that, but the notice is out there!

11.  Depreciation: This is always a problem. How your fixed assets are depreciated is usually a matter for you annual accounts, with a note examining the annual cost on a sliding scale. In some cases depreciation as a cash figure is 'matched off' by a similar decline in the gross amount of the value of the Club's fixed assets. In effect, depreciation is at no loss on the Club's current account (or the accounts your accountant prepares for the AGM). However, on most occasions depreciation accounts for a higher figure or does not match off your decline in fixed assets. The end result therefore is that the Club accounts will show a year end trading loss, because depreciation is added on, likely to the figures you provide to your auditor. Therefore, as regards your internal Club accounts which you show me when I come to your Club or you are presented with at your Committee meetings, I advise you make a monthly account/expenditure line to cost in the monthly cost of depreciation. It is an important one and gives you a better outlook on your business!

12.  Price List: Yes, of course, you should have one on display from a transparency point of view, BUT there is actually no legal obligation (in a Club) to do this. The Price Marking (Food & Drink Services) Order 2003 is specifically disapplied for Clubs, because in a private Club's sales are technically not to the public, but to members (only).

13.  Matt Cole - Get Solutions: I know we have trumpeted the free service Get Solutions offer before. Then some of you have approached Matt and have then shouted at me as you have had no response. So, I had a discussion on this issue with Matt Cole and others at get solutions. He has suggested getting Club numbers etc:- to call, but I have cautioned against this for obvious reasons. As such, if anyone wishes to avail of Get Solutions service of checking your energy tariffs, I advise you e-mail him directly at matt.cole@getsolutions.co.uk or the office contact is 0247 630 8830. If anyone contacts Get Solutions and gets no response, can you please contact me and I will, once more, do some shouting!!!

14.  Sales Thoughts: The late Easter and Royal Wedding seemed to give many of you a very welcome sales boost, whether it was St. George's party, a Royal BBQ, which was great news! Well done those who put a show on (I was sat in the rain at Riga bus station being accosted by a beggar looking for a sub- to buy a bus ticket to Minsk on wedding day!) but don't forget tat time moves on and next weekend (30^th May) is another bank holiday weekend. The Champions League final is the Saturday night before (Saturday 28^th) (and on 27^th Northern play Wales!) with Man.Utd. involved. But as summer is here, think about a bit of subliminal selling. You will get, believe it or not, a better margin by selling a:-

Gin & Tonic

Pimms & Lemonade

Vodka & Ginger

Whisky and Coke etc:-

as a 'long' summer drink than a pint of beer! As such, it may be worth looking at Coca-Cola's 'Always Better Together' sales initiative which you may get 'point of sale' promotional equipment for. Alternatively, make up your own 'long-drink' sales menu! Something to think about.

Similarly, last summer's sales hit, rose wine is something to consider selling/promoting, either by a single serve small bottle or by a large bottle price!

Shaun Schofield

BITS & BOBS: 2011 Number 5.

April, 19th, 2011.

1.    SKY/Satellite TV: Thank you very much for all your responses. I have had around 80 from various parts of the country. I will collate and keep you up to speed. Please feel free to respond if you haven't already done so.

2.    Good Luck: I know some of you are planning various events over the next fortnight, be it St. George's Day event, a Royal Wedding gig, a May Day BBQ etc:-. Good luck with whatever you do and let us hope the tills are ringing and your member's make use of their facility. Let us hope the sun shines! Please don't hesitate to let me know what you are or have been up to. I will shout up wherever I can on your behalf.

3.    An Apology: I am sorry the proposed meeting to discuss and consult and even complain about proposed RBL Club Licences were cancelled. I know it was both arranged and cancelled at short notice, and my patch was especially vulnerable because we were up first. The latest plan is to hold those meetings sometime in June. I fully appreciate time is on going on this, but there will be suitable notice given on this. This situation will also have ramifications on issuing the RBL Club Licence. At this stage practically, you have applied for a licence and they have not been processed fully, so the matter is no longer in your hands. It is the RBL who are procrastinating. As such, carry on until advised otherwise. All rather log-jammed! Apologies once more.

4.    Red Tape: This reference is not relating to our own RBL re-tape, but government bureaucracy and red tape. The Government is examining around 21,000 pieces of regulation affecting all types of business. The hospitality and food and drink industry is close to the top of the list of examination. You can submit views and thoughts between 6th and 20th May. The remit is broad covering health and safety, equality, pensions, licensing and so on. So the remit is to roll back some nonsensical rules. You can research and comment on www.redtapechallenge.cabinetoffice.gov.uk . I will certainly make a contribution, the main ones being crazy CPC requirements for live music, smoking signage requirements, and the over burdensome need to log all tax and NI information on god knows how many bits of paper or electronic files (surely one will do!)

5.    Minimum Wage: From October 1st, this will rise to £6.08 per hour for those aged over 21(which scuttles my loose £6 per hour arithmetic). As mentioned before, you have a legal responsibility to pay this. A friendly local arrangement (say £10 for a couple of hours casual cleaning) holds no water. As employers, Clubs are legally obliged to pay the correct amount.

6.    Scams: An old favourite. Please be aware that if HMRC get in contact with you either personally or as a Club officer, they do so only by post and NOT by e-mail. If you get an e-mail which seemingly comes from HMRC offering a refund and just a requirements for bank details then please please ignore it. Also do be aware of our other old friends offering free gifts if hygiene goods are bought or those offering 'cheap' satellite equipment as long as the Club buys a large plasma screen on a lease! Similarly, there are people out there offering a type of business service offering escape routes from leases, rates reductions, insurance deals and all types of stuff. Just ignore these people please, and I strongly advise your staff are informed to do the same. You should most definitely NOT be parting with money for a service or investigation check either! Often these types ring the Club during the day and chase up unsuspecting staff. The extreme is a case I saw recently. A Club Steward has signed a lease arrangement for CCTV. He was under no jurisdiction to do so, but if the Club closed he would become personally liable for that debt, as he was not part of the executive board (Committee). BE CAREFUL and if you are unsure do not hesitate to shout up in this direction.

7.    Business Rates: This often confuses me and in some cases does not apply because many of you get Discretionary Rate Relief (DRR) or are fortunate to get a 100% discount. However, in the budget, there were some changes. Now I am not sure if our rate valuation is based on scenarios like pubs (a fair maintainable turnover OR on square meters of floor area - I will bow to your local knowledge on that). A pub, note pub which has a rateable value of les than £6,000 will fall within the threshold of a rates holiday. Pubs that claim small business rate relief (SBRR) and have a rateable value between £6,000 and £12,000  should get any discount double. Under SBRR a small business (not a pub) with a rateable value below £12,000 will receive up to a 50% reduction in business rates. I know some of you have no DRR, but get a business rate relief. So I strongly advise you communicate with council offices on this one. It is important! Some of you, from whispers may lose DRR, and in this respect Business Rate Relief is very important. I am not saying I can give you a steer here, but if there is application to be made bear this in mind. You are a Club yes, but also a voluntary managed, not for profit, inclusive local social facility which has a local charity involvement. I will ask the RBL Property Team if they can assist on this one and keep you in touch with developments.

8.    Grants: Another favourite which has been reviewed before. Interestingly, the National Lottery's Awards For All scheme does seem to have been used by some Clubs in the past for the likes of new furniture, a roof repair, a kitchen refurbishment and other capital expenses. The devil is in the detail when making an application so I advise you are careful and diligent and state your case in respect of being a community based facility. You must have objectives which are:-, a project which helps people in need, a project which gives people a better chance in life, create a stronger community, improves the environment. I will happily assist in this area where I can should you see fit to make an application. A few links for you to look at:- www.awardsforall.org.uk , www.communitychampions.org.uk , www.diy.com, www.biffaward.org , www.wren.org.uk and www.grantnet.com . Grants are not awarded to pay the wages or the satellite costs, but to improve your facility. Yes, there is a time issue, and for filling, but flippantly as it may sound in this area, you reap what you sow. No harm in asking as they say.

9.    Heineken: This is an important one! You may have had a letter from Heineken if you deal with them directly (rather than buying Heineken goods through a wholesaler). They are planning to introduce a £25 charge for each beer and cider container you fail to return. (Kegs are mostly aluminium - a thievable item) The plan is to introduce a keg-balancing scheme. You will get a monthly statement of containers returned and delivered. So there is an onus on you folks here and especially your staff. In that, be careful where you leave empties because if they get nicked then that's a problem. However, I strongly advise that kegs are now strictly counted onto any delivery. In effect a kind of reverse delivery. Do not let the draymen 'lose' any kegs and strictly prepare your returns. It is a bit like the gas skins delivered. Those should be counted carefully too. As Heineken is the market leader, I think this scheme will get rolled out from other breweries. Good or bad? Well as suggested, it puts an onus on the likes of yourselves and your Steward, but it is a cost which is avoidable by common sense and diligence on all sides. (Once live, it may be advisable for your stock-taker to take account of the amount of kegs on site and if the Club has to pay a bill for lost kegs, then include it as a cost of the goods you purchase for sale. Any loss would therefore affect your gross profit.) Do advise your staff of this issue!

10. Debtors: An odd one this. I visited a Club a while ago and, as you know, did the mundane stuff and looked at the paperwork. On discussion, I noted that various had used the Club function hall for hire and had not, I found out, paid for the privilege immediately after/before use. If this occurs, you really need to have a line in your Clubs internal accounts noted as debtors (to invoice). Practically, this is money you should be able to call upon if required, so is a liquid asset. Therefore it should be in your accounts, both at the Club and in the end of year accounts. I strongly advise that if there are situations like this, there are terms on hire; most obviously 28 days or payment on presentation of invoice. The payment on invoice puts the ball in the Club's court to ensure you are collecting money from your debtors!

11. Furniture: A bit of a reference to point 8 (if you want furniture try to get someone to pay for it) and the likes of www.freecycle.org.uk and www.communityrepaint.org.uk . I do get numerous of you ask if I know where you can get some new furniture. I do actually stop at pubs having a refurb and ask that question. One site manager said that if I could get a lorry round I could have it all; another at a Wetherspoons put me the way of the estates manager who said it was all recycled. Practically though if any of you have furniture you don't want, let me know as some others may need it. Usually though you will have to collect. Often banks and offices are refurbing and have furniture they don't need. Hardly ideal having the punters on swivel office chairs, but…

12. Co-op Group: I will be looking at this group (Co-operative Enterprise Hub) to see if they can help us. They are supporting rural villagers set up pubs. Why not support our Clubs. I will report latterly.

13. Where we lead: I often script in reports and see at many of your Clubs a book exchange and library service. Lo and behold there was a big splash in the trade press about book loans in pubs and punters stopping by for a drink. Various seem to think this a great splash, but this has been going on for years!!!!!

14. Phone Lines: Thanks to Brian at Melton for the lead on this one. I know in the past some of you have researched phone lines coming into the Club and whether they are needed and if they are cheaper if you switch to another provider. Well BT offers what is a 'BT OneBill' facility where all the bills for each line (alarm, Club phone, Secretary office etc:-) are grouped together rather than separately with rents and all to pay. The contact is the BT GSUL One Desk with a customer priority number at 0800 032 0025 e-mail gssb@bt.com. Worth a shot certainly to save on rentals and all for a few minutes on the phone (hoping they answer within that time as BT are notoriously poor!).

15. Nicola Reeves: Some of you on my patch may have met Nicola over the years at various seminars and do get her slice of life in newsletters. Just to say she is leaving position as CBA (South East) in early May. In these words,  best to wish her every success in her future career and thank her, in absentia, for all her efforts, especially in getting various utility cost savings to some of you.

Shaun Schofield 08/04/11;
Dear All,

Following a telephone conversation with HQ, I regret to inform you the meeting due to be held at Borehamwood RBL Club on Tuesday 19th April to which I advised you were to be invited by formal letter has been cancelled.

I apologise for this and for maybe leading you up the path a little, but I felt it best to let you know once I had confirmation under the remit of giving you as much notice as I can.

The cancellation is of course out of my control.

I hope this has not affected your plans too much.

Regards,

Shaun

05/04/11;

A while ago, I was tasked with finding suitable venues to hold these meetings and worked under my usual remit of travel no more than an hour to a selected venue.

Given we have 612 Clubs and there is a timetable to work to (re: meetings) it was found to be unfeasible to have what could be upwards of 40 meetings. So we were tasked to find venues within a two hour travel radius. Hardly ideal I know, BUT I have managed to find a venue for you, by pooling my resources with the CBA South East to find a venue which is no more than around 75 (1hour 15mins) minutes from you. I am sorry this is not ideal, but it was the best I could do under the circumstances.

This is at BOREHAMWOOD ROYAL BRITISH LEGION CLUB: TUESDAY 19TH APRIL (START TIME AS PER LETTER, BUT WILL BE EVENING TIME)

Many of you have expressed concerns over the Club Licence and its clauses, some of which were raised at the Eastern Region Seminar, so I would implore you to get to this meeting if at all possible, even though it may be a trawl around the M25 at a hardly convenient time.

Regards,

Shaun Schofield

BITS & BOBS: 2011 Number 5.

March 29th, 2011

1.     SKY/Satellite:  Thank you for all your responses to date. I will collate shortly and then develop this and hopefully take something positive to SKY, assuming that is they are still willing to listen to the views of their present customers, old customers (as many of you are) and potential new customers.

2.     Carlsberg: Not a regular note, but if you deal directly with Carlsberg, you should be aware they have identified what they call the Big5. These are 'marketing' notes suggesting you exploit your business on the 4 Bank Holiday weekends (Easter, Royal Wedding, May Day, and Whitsun Holiday) plus the F.A. Cup Final, which surprise surprise, they have an association with. No bad thing, Also Carlsberg are offering both bespoke (site specific) and national support and incentives for these occasions. The Carlsberg website is www.carlsbergwedelivermore.co.uk . However, all of you should be seriously thinking about ensuring you maximise revenue over these periods when members may well be at a loose end, whether it is a Royal party, an e-mail, Facebook etc:- campaign. Let me know what you are up to and I will circulate.

3.     Cash Machines: I am occasionally asked, especially by rural Clubs, about cash machines/debit card payment machines being put into Clubs. Generally, I am ambivalent because there is a cost and there may be no return, simply because not enough folk use the machines offered. The flip side is that customers are not restricted to the cash they have in their wallets and may spend more! Streamline (0800 01 01 66) appear to have a cost fee of £19.95 a month for a service which maybe worth a look, though often there are hidden extras (phone line costs were an old chestnut) and there does need to be some training on machine use and information downloaded.

As for cash machines, I suffered a few years ago, by inheriting a cash machine, with large hire fees, phone lines and so on. However, Infocash (02890 37 0314) www.infocash.co.uk have brokered a deal offering good prices with the Northern Ireland Federation of Clubs (NIFC) for cash machines. I pressed for costs, but didn't get any actual figures, save that if any RBL Clubs were interested to contact the number above. The initial contact is in Belfast: a guy called Pat Quinn. Please mention the contact chain. I believe Pat will put you in contact with someone on the mainland.

4.   The Budget: Now the baddish news. I have been scurrying trough the small print. Good news first in respect that a member of staff's personal tax free will rise to £7,475. We knew that. If you employ staff aged over 65, then the allowance is £9,940. However, perhaps of more pertinence is that a person can earn £139 a week (from 4th April) before the wage is subject to employers and employees National Insurance (NI) Contributions. I stress this point, because it can lift the staff you employ from paying NI and save you money on their employment costs. The rationale here is to use casual/part-time staff under this threshold. Regretfully, NI contributions will rise for all staff on earnings above this threshold.

As for excise duty, the 'escalator' was left in place in respect of alcohol. So it was inflation plus 2%, or in common talk a 7.2% rise in excise duty from April 4th. Excise duty, depends on the alcohol strength of the beer sold, but a pint of lager is about 4% and equates to about 35p per pint. Plus the 7.2%, this equates to 38p or 3p per pint. Some of you raised your prices in January to take account of this, some of course did not, but I will give you my usual script below as to how the mechanics works.

Lager: Cost Price (March 2011)  £1          Sale Price: £2.30        Profit Margin 48%      Profit (£) 92p

Cost Price (April    2011)  £1.03     Sale Price: £2.30        Profit Margin 46.3%   Profit (£) 89p

To get the margin back to 48%, you would need to increase your retail price from £2.30 to 8p making the retail price £2.38. So, in effect a 3p rise in excise duty means a probable 10p rise in the retail price.

A profit calculator is available free if you want one!

I concentrate on draught goods as they make up over 65% of sales in general. A rise of 54p in a bottle of spirits is to occur. That equates to about 2p per shot (25ml shots), which to hold the profit margin would be about 5p per shot!

Duty on alcohol WILL rise by inflation plus 2% each year until 2015. So you need to consider that in February each year when the brewery price rises come through. Excise duty rises in simple talk equate to about 8p per pint at retail.

The HMRC has committed to introducing a duty on gaming machines by 2013. I mentioned this before in respect of a kind of machine 'income tax' based on takings rather than an excise duty per machine as at present. Watch this space.

This is important and rather unfair! Employees will no longer be able to claim tax relief on taxi fares home. This allowed staff to avoid paying income tax and NI on occasional taxi journeys home which are paid for by the Club. Occasional meaning that they were not a regular weekly/daily scenario. So in effect all taxi journeys are now seen as a taxable perk and subject to income tax. I know some Clubs have had to pay considerable sums of back tax on this following HMRC inspection.

Practically, therefore if a member of staff has a taxi home (and I fully understand the ramifications why in respect of personal safety) the cost should be added to their weekly gross pay (for tax purposes) and then the calculation made. As regards the above note on tax it is best practice if there is a shared staff taxi, to allocate the cost to someone earning under the personal allowance (for both tax and NI). However, I am not condoning taxis allocated to a person who earns under the threshold and somebody then uses the taxi (alone) who earns above the threshold. That is fraud I'm afraid!

Excise duty on low strength drinks (below 2.8% ABV) have been cut. What does this mean? Not a lot, because only Carling with their C2 (2% lager) brew anything like a low alcohol draught beer that sells in volume. (The Director of Budvar (Czech) beer sees that beer below 3.5% would not be classed as beer.) However, there may be some mileage in low alcohol beers in the future under the remit of health and alcohol responsibility. We will see if they become available, but a new document, the Public Health Responsibility Deal does have refer to low alcohol use and it is something the major suppliers have tied into.

You may also see:-

·         Branded glassware with the units of alcohol on (pint glasses)

·         Alcohol awareness on beer fonts.

·         Offers of 2/3rds pint glasses (confusing!)

·         As noted a development of low-alcohol drinks, which may be cheaper to buy and sell, offering 'value' to the market. The issue there is whether the industry can be evolved into people have a drink as a means of entertaining themselves, rather than have a drink to get 'p****ed!'.

---

BITS & BOBS: 2011 Number 4.

Marc     March 17th, 2011

1  1.  Personal Housekeeping: Just to forewarn you I am away on vacation, or trying not
to lose my head in Serbia at a football match, on dates Weds 23rd March until Fri 25th
March and Tuesday 29th March, so my phone will not be on. E-mails will stack up
so please be patient in that regard. I am in E. Anglia on Monday 28th March too,
so to repeat please be patient. I will get to you as soon as! Also, I will put together
a Budget special if there are any matters arising from the events on March 23rd
(Budget Day).

 

2. 2.   FSA AR30:  Some of you have contacted me saying where is my AR30 which the
Club needs to fill in within 7 months of the Club end of year. (so by 30th April if
your end of year is 30th September) Be advised, you may well have to download
from the FSA website. The link is http://www.fsa.gov.uk/Pages/Doing/small_firms/MSR/returns/index.shtml
and the second option as you are registered under the Industrial & Provident Societies
Act 1965. News from our friends at the CIU suggested a number of Clubs have
been prosecuted for non-submission. Your Club pays an annual fee to register with
the FSA and that is based on the information included in your return. Could I
advise all documents are sent by signed for delivery and you keep the receipt.
The FSA may well become a fine raising body in this regard.

 

3.    Club Committee: I visited two Clubs recently, both of which had some trepidation and worries regarding Club Committee meetings in that they drag on for ages, the agenda gets diverted, people become disinterested and so on. So in effect the Committee meeting is seen as a bind and a chore and in the extreme an unnecessary talking shop and well meaning volunteers drop away quickly. A few thoughts of mine regarding Committee meetings:-

·          The meeting should have determined start and finish time (say 7.30 start, 9.30 finish) and the Chairman should be prepared to guillotine discussion which are getting off the subject or going around in circles to keep to the agenda and timetable. That is the major remit of a Chairman: to keep the meeting in order!

·          Major parts of the meeting should be a matter of fact presentation of issues which occurred in the Club in the last month (of period between meetings). As such, the Chairman's report, Secretary's report, Treasurer's report etc., are a matter of fact review, following which questions on those matters of fact should be raised. Those questions are important and an area where policy/vote if necessary needs to occur, but the discussion needs managing. As noted, on these occasions many meetings get blown off course, by insignificant comment and questions. This is where questions should go 'through the Chair' and if seen as irrelevant be guillotined off. (I was at a meeting once, not RBL, where 20 minutes was spent discussing paintwork in a kitchen. (Unnecessary!))

·          Similarly, the agenda and minutes of the meeting should be circulated before the meeting so any matters arising or amendments to the minutes can be agreed quickly before they are signed off as a correct record, rather than Committee spending time pouring over minutes.

·          Important areas of business, often overlooked, are correspondence and any other business. Correspondence again should go from the Secretary through the Chairman and direction suggested to the Committee. If there are no objections, then the next item is brought forward. It should be as quick as that! Matters of 'any other business', which may include member feedback through the Committee personnel for example, should again be noted, discussed with a Chairman's lead on the issue.

·          Of course, these notes are crude, because some items need some measure of discussion (say 10p or 15p on a pint), but the emphasis has to be on a timetable and matter of fact and running an agenda to order!

 

4.     Balance Sheet: I have similarly visited two other Clubs lately and found an issue with a balance sheet. The situation is this. Club personnel, who do not understand the Club accounts, have signed them. Once signed, those accounts actually become a legal document! This is because they are accepted as a correct record of the Club's affairs, which in turn need sending to the FSA for recording. Now, of course the Club will have to sign something, but the issue is that it is best first to know what you are signing in respect of the Club's liabilities for example. (Liabilities are monies that are seen as being owed to creditors.) A Club, when I looked at their accounts, said '..they did not owe so and so' that amount at the end of the year. Well that is a question, the Club personnel should be asking the accountant as where various figures are arrived at. The advice here is therefore, spend a few minutes going through the Club accounts and the machinery of them first and get any information you can in respect of creditors for example. I know various of you have the accountant/auditor at the AGM, but if you don't and a member asks a question on this, then you are stumped!

 

5.     SKY TV: At the recent Club seminar in Harlow, we had a very reasoned debate regarding SKY Television. For the record, SKY did eventually request a slot to present/debate, but it was short notice and it would mean upsetting the finalised agenda so their request was unfortunately declined. I have taken numerous points away from the seminar, in respect that the Commercial Director of SKY has suggested he would be open to ideas with regard to a different method of charging for SKY, as long as there was some measure of independence in respect of the charge. (At present, of course, the independence is the charge based on rateable value.) Bearing this in mind, as a base point I need to gather some research from yourselves, with regard to whether there is a potential market for SKY in Clubs, which may be opened out to our CORCA partners. I do not doubt for one minute that SKY are worried about the potential loss of exclusive satellite rights in Britain from the Murphy case, but the issue of being open to ideas is, I feel very significant! As such, watch this space, as I will send out a very quick questionnaire I would be really grateful if you could fill in and return. Thanking you in anticipation.

At the Eastern Region Seminar, we had a discussion on this subject of SKY with numerous positives coming out.

Prior to the event, I had a discussion with Bruce Cuthbert, Sky's Commercial Director who said he would be willing to listen to a new system of charging for SKY TV for Clubs under CPC licences, provided it had a measure of independence as at present with rateable value.

Working on the discussion taken, I have developed a very brief questionnaire (attached) aimed at determining if initially, there is a market for SKY Television in Clubs, who may take the service if it was cheaper. If there is no mileage, I might well stop this research straight off, but initially I need some info-.

Therefore by e-mail only,  could I ask if you would be prepared to fill out this very quick questionnaire and hopefully I can get some quantitative research, via replies, to take to SKY.

 

 

6.   Carbon Trust/Envtec: First a freebie, which may save you a few quid. The Carbon Trust www.carbontrust.co.uk have free sheets of stickers available for you, which you can put under your light switrches etc:- advising people to save electric! Log on to the site and order publication PFL313. It is fairly straight forward to fill out the form. I attempted to order 60 sheets of stickers, but ended up with 2. Be aware of this, but probably 6 sheets would be useful to each Club! Second, Jim Elvin from Envtec, who have a relationship with the Carbon Trust in respect of providing interest free loans to businesses for heating/air conditioning improvements, has offered his services to our Clubs. Jim was at the recent regional seminars and is happy to discuss issues with Clubs who did not attend issues should they wish. His contact is 07976 901255, or 01455 823615.

 

7.     Club Seminar: A wrap-up on this one. The presentation and pace notes on 50 Ways to Save Money are available to anyone who wants them. There are some really good hints in there I promise, but the major one is this. If you are implementing savings, be it stock reduction or even switching off the lights then you must inform the staff and keep informing them (and even discipline them in the extreme) if reasonable requests are ignored. Bear in mind, as Committee personnel you are responsible for managing the Club assets and not wasting them!

 

8.     Grants: I often mention this note, but at a Club in Nottinghamshire recently I looked into the possibility of community grants. They are available from various sources. It is a case of looking around and then making a 'pitch' for funds available. It is not impossible as numerous Clubs will testify. A useful start point if you want to look around is www.grantnet.com or look at your local district Council website as type in community grants to the search engine.

 

9.     Events: I have no care for horse racing I'm afraid. But bear in mind The Grand National is coming up. Perhaps an ideal time (Saturday 3.45 ish) to have a member's event. A traditional sweepstake of course, but a chance to gee-up (if you pardon the pun) some member support at a normally quiet time. Up to you if are planning something. If you trade John Smiths, the sponsor, then get in touch with your representative and ensure you have some sort of support for the event!

Shaun Schofield

CBA East Midlands & East Anglia

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BITS & BOBS: 2011 Number 3.

February 23^rd, 2011.

1.    Personal Housekeeping: As you know, I am happy to take phone calls and e-mails from you all. But just for reference, if you call and my mobile is turned off, then it means I am away on holiday. What occurs is the phone, which is a bit steam driven and has no voice mail function registers a missed call by text. So when I turn it on, I see the missed call and will call you back one day (honestly!). Hope that sorts out any confusion. Thank you also for all your thoughts and comments on the RBL Licence application/issues etc:-. I have noted your concerns and will take them forward to any meetings (and have done so) though I am not sure I will able to comments make any changes at this stage.

 

2.    National Employment Savings Trust: I suggested before Christmas, I would report more on this issue as legislation, white papers and gossip from the corridors of power came our way. (I mention the issue at a Club meetings in NE Lincs too and there was a concern.) Anyway the Govt. is planning to bring in a new system for Pension Saving in October, 2012, (though some reports suggest the system will be operational on a voluntary basis from spring 2011. Called the National Employment Savings Trust (NEST Corporation). This will I'm afraid have an effect on existing arrangements, will incur extra costs for the employer (yourselves) and bring in some measure of compulsion into pension arrangements for everyone. The suggestion is that employers (yourselves) take early action to comply with the new rules. Hence why I have given lots of notice. No employer is exempt from this system. (In the past it was micro-employers who were exempt, like ourselves with <4 employees.) The scheme is aimed at low and middle-income earners whose employers DO NOT offer a private pension scheme. It is based on 'one size fits all'. Also it is important that you budget for the costs of this scheme which is compulsory, because as an employer you will have to pay both the minimum contribution and arrange for the employer contribution to be deducted from their salary and paid to the NEST Corporation. The employers contribution will be:- At least 3% of band earnings (those earning a salary which is subject to the basic rate of National Insurance - £5,715 to £33,540) of staff salary.

There is a phasing in period of:-

1% in 2012 to October 2016 (employee 1%)

2% from October 2016 to October 2017 (employee 3%)

3% from October 2017 (employee 5%)

The employee will need to contribute 4% of salary unless they elect to opt-out by October 2017. 1% will however be credited to them by way of a tax relief. (giving 5%) Therefore the minimum contribution will be 8% (5% employee, 3% employer)

All staff will have to be enrolled in NEST within 13 weeks, though if an employee wishes to join NEST before the 13 weeks, you are legally obliged to enrol and contribute. As noted, staff can opt-out, BUT only by writing to NEST personally and not by an employer. If this occurs, no employer contribution need be made.

All employees must be enrolled, as noted. The parameter is they are aged 22 to retirement age and earn more than £7,500* per annum. (*That figure is very close to the tax free personal allowance. The govt. is looking to raise this to £10,000. It is unclear if this is going to affect the base limit.

The legislation applies to temporary and contract workers.

If you require more information I suggest you look at http://www.nestpensionadvice.co.uk/page.aspx?mepaid=55 and register for the information pack.

The NEST website for employers is at: http://www.nestpensions.org.uk/employers.aspx at employer.enquiries@nestpensions.org.uk

So what to do/advise:-

• Don't ignore this. It is compulsory.
• Register where you can.
• Inform your staff of this requirement.
• Prepare any budgets to take account of extra wage/salary payments.
• Watch out for further information.

3.    Games Machine Tax: In the last review/report I did there was a suggestion the govt. were going to change the collection of machine tax by scrapping the Licence Duty on machines (and VAT) and replace it by a tax (paid electronically) on income from the machine. (A machine income tax if you will.) For now, this move as been delayed for at least a year (2012). CORCA/CIU kicked up a stink as did other organisations and more consultation is to occur. So off the agenda for now. (Apologies for not mentioning this to the NE Lincs Clubs, but it did not reach my in-box before I visited you!)

 

4.    Budget: As some of you may know who read these words, the previous govt. had an excise duty (the tax on alcohol) escalator in place, which increased the tax on alcohol. This was the inflation rate plus 2% (so as today it would be 6%). Excise duty is about 34p on a pint of standard strength beer (the higher the alcohol content, the higher the duty) which would, if applied mean an extra 2p on the cost of a purchase price. Then VAT is added (tax the tax!) this would equate to 2.4p, so to maintain your margin you would need to look at a price rise (again) of 5p per pint. I know some of you have contacted me and already lumped this into your price review following VAT and brewery price rises. Hopefully, the govt. will listen to advice and industry chatter requesting the liquor industry is spared another rise and the escalator is scrapped. Since March 2008 tax on beer has risen by 26% (wow!). The whispers I have heard is that the rise will occur I'm afraid. However, some constructive figures saying that in the last year 333,000,000 (million) fewer pints were sold. At that loss it is £110 million. So common sense would suggest stopping the law of diminishing returns. We will see, but be warned!

 

5.    SKY TV: Or should I say satellite television. For now the message is NOT to consider taking any other product except SKY. The final judgement is still a few months away. It does appear tough that satellite television in the 'common market' is not being applied correctly. No doubt the satellite companies will line up their ammunition to keep their copyright mind. So if anyone rocks up offering 'cheap' satellite systems our advice, as always is to decline it! Also do not be led into taking out a lease on equipment, satellite or otherwise. These do cost Clubs a fortune! It may sound like a good deal, but…

 

6.    The Big Society: This is the PM's 'big idea'. At a recent CORCA meeting, the role of the so-called Pubs Minister was discussed. (interesting eh!) I pushed the point that the minister and the so-called 'big society' should be made aware of the efforts that you good folk (and non-RBL Club volunteers) make in having community facilities of various guises. The CORCA Chairman, Philip Smith suggests he has access to the PM, via the network of Conservative Clubs and is to lobby this issue in a written paper. It is hoped that this can be discussed with the Pubs Minister (whose title we are lobbying to change). The Northern Ireland Clubs Federation have access to their minister in Belfast and operate with some success and are consulted on community issues. The effort is to put Clubs in the thoughts of the powers that be and then request some discussion, under the 'Big Society' as to what assistance, be it in the form of tax breaks or rate relief could be offered to support this. This scenario could be beneficial to your business, so I will try to keep the trail hot with our friends at the ACC (plus I might get a jolly at No.10! self-self!) (*Shaun Whitaker is a Trustee of Intake Social Club in Doncaster. He was set up a Facebook site/campaign aimed at alerting the powers that be of the benefits of social Clubs in the community/Big Society. The group is 'Save the Working Men's Clubs and the Entertainment Industry' and http://www.youtube.com/watch?v=CF_5afGBd0y.

Finally, on this subject, does any Club Committee have contact with their M.P.? Be useful to know this and how they are prepared to assist Clubs in the 'Big Society' or by being involved with the All-Parliamentary Clubs lobbying group. I suspect many M.P.s do not know the community support Clubs offer in their constituencies.

 

7.    Wine: Something to think about. The British apparently spend more money on wine than French! (I would like to see the figures net of tax, with French wine taxed at 2p per bottle and £1.32 here!) Nevertheless the simple note here is that wine consumption is increasing. Something to think about. Do you sell wine by the bottle? Do you sell single serve (187ml) bottles? What type? (Rose wine is booming!) Do you offer a wine reception or a champagne reception to your prospective guests at function hires? Do you arrange a wine tasting night as a bit of fun (say £5 a ticket with plenty to taste)? Things to think about here.

 

8.    St. Patricks Day: It is Thursday this year. Anything happening? It should be. Tough midweek may be a bit problematic (Friday 18th), though Ireland play England in the rugby on the 19th! A grand-slam decider. Anyway, think about what you are doing in respect of special drinks (Jameson's, Bushmills, Guinness, stout, Irish Stew etc:- and music). Guinness has 9,000 sales kits on offer (first come) at www.diageopos.com. Last year they had promotion kits for a tenner. Not seen a cost this year. Jamesons are pushing things so maybe ask your suppliers if there are any kits to hand. Apparently they are pushing mixed drinks such as Irish Mule (Jamesons, ginger ale, and angostura bitters) Not for me, but do think about things! (You can also get a Southern Comfort Mardi Gras kit if that is your gig from Brown-Forman on 01962 762 450) (You can get a J20 kit too who are doing a promotion feature. Number is 0845 7581781) (Also Magners-have launched a Hotline for St. Pats kits- Number 0116 2820370: ref: MAGSPD2011.)

 

9.    Facebook: I know some of you now use Facebook and other sites to generate interest in your 'entertainment' efforts. I have no issue with that, but a BE CAREFUL. A Club in Middlesex (not an RBL) used Facebook to promote a band and were swamped with non-members, and had all manner of issues with public order and police incidents. So if you do use Facebook, ensure your business terms of reference are defined. In that the event is 'Members & Guests' only , unless you are running a TEN, when by rights you should ensure you have security on the premises IF you hosting what could be a big event. Your Club is responsible for security.

 

10. Guinness: When I do the rounds, I often, as you know look at your stock-takes for any reason, but often to look at turnover. Many of you seem to have Guinness on the bar, but more of a service, rather than selling a lot of the stuff. Remember, if you have a 'quiet' product on the bar (quiet meaning you sell less than a keg a week) it means you will probably only yield about 92% of that keg (so you lose the sales and profit on about 7.5 pints). Returning to Guinness, if it falls into this category consider getting a 'Surger' a piece of kit which creates the draught effect though the product is served by a can. Guinness can advise here. Generally, the message to repeat is that, in trying times such as these to look at consolidating the draught products you sell into the ones you sell most of. A Club which has eight products on the bar, can lose £1650 (approx) a year in purchases due to line cleaning costs. Can this be cut out? Shout up if you want a steer on this issue!

 

11. Libraries: I read in the licensed press recently that some pubs are putting in libraries where customers can bring in, buy or swap their books. Once again, it shows that pubs are behind the count as we have advised this practice for years and I see it many Clubs I visit. Many raise a few quid for the Poppy Appeal. Even better, but this is a good way to circulate books and generate member use. A win-win for everyone. Perhaps even consider having book sales, book stores etc:-. Remember provided the CPC allows and you don't sell alcohol and have the gambling machines on you can use space in the Club at any time (to non-members).

12.  CORCA Note: Perhaps a little known fact is that are around 24,000 Clubs (proprietary and mutual) in the UK which operate under a CPC. What CORCA is looking at doing, perhaps by pooling some thought, expertise and contacts is devising a Club officers training program. The CIU holds these at its residential venue on the East Coast. However, what we are looking for is a kind of 'base-camp' training for volunteers, in that many volunteers only become aware of responsibilities once they are elected. This scenario would assist in examining responsibilities early in a period of tenure. I suggested the turnover of personnel in Clubs can make this difficult: a point fully appreciated. In that regard, and to repeat, plans are only at a discussion stage is to offer a value (possibly £75) one-day, one-stop, training course led by a professional training company. Returning to the early point re: numbers in theory at least there are 24,000 Clubs out there managed without some kind of qualification, which could alert licensing bodies to a management issue regarding sales of alcohol! So in that regard some kind of self-regulation may be useful!

Shaun Schofield

CBA East Midlands & East Anglia

BITS & BOBS: 2011 Number 2.

Dear All,
Like a London bus. Nothing for ages (4 weeks) and 2 Bits & Bobs in 3 days.
To placate all it is scripted below and in a Word document for you!

1.       The following note has been sent by Peter Lund to your respective County offices for distribution:-  ' Attached is the Application for a Legion Licence Form C4/C5 and a covering letter which must be sent with the form to clubs.  I would be grateful if you could send copies to your clubs.  I will also be sending two hard copies of the form with the covering letter to ALL clubs through the post but this will take time as it will be printed and despatched through a clearing house.' So belt and braces here. You should get it by e-mail or by post in the next few days. It was accepted by all that the delay is due to RBL administration and it has put noses out of joint in respect of accountants and timings etc:-. My personal apologies for that! Practically, could I please ask you to complete as soon as you can and return as per procedure the form. That is appreciated. It is anticipated there will be some latitude in respect to the March 1st deadline, but please, to repeat complete as soon as you can. If you are struggling to complete the stats on the form, you may ring or e-mail for assistance. 

2.       An apology to Downs Club and something to think about re: events to promote. 5th March is St. Piran's Day, a day to celebrate ALL THINGS CORNISH! A potential event to host at your Club. A pointer is at http://www.woodlands-junior.kent.sch.uk/customs/questions/piran.htm . I love a good Cornish Pasty, not too peppery mind! (Osier)

3.       A Club recently asked about employment of staff and casual staff. Something I guess most of you do. For reference, you or your Secretary/administrator should ensure the following practice is broadly adhered too.
•         Every member of staff should, by definition, have a Nat. Insurance Number.
•         Every member of staff even  casual members of staff should have signed a P46.
•         A P46 has a few sections to sign-only or main job etc:-
•         Section C is the one which should be ticked by employees who have another job.
•         (Ticking another box is illegal if the circumstances are that the person has another job.)
•         This should be sent to HMRC.
•         The tax code is BR cumulative or in other words tax and NI on money earned whilst at the Club is paid at the basic rate.
•         So you make the correct deductions (I can find and advise but the basic rate is 20% NI is 11% on total earnings above £110 a week)
•         The member of staffs personal allowance will be covered by their main employer (and applied on payslips).
•         If tax is overpaid the employee would need to provide ALL their payslips to the tax office in respect of a rebate.
•         So in conclusion the money paid by yourselves is all taxable I'm afraid.

Regretfully staff cannot be employed on a casual basis and things kept under the radar. It is up to you if you do this, but the Club and the member of staff will be both culpable if taxes are not paid as a result of working casually. Also, by rights you should hold documentation such as a copy of a Passport or permit to work if staff are non-British nationals.

4.  Satellite Television: Really interesting stuff here. I have discussed this long and hard on loads of occasions and the issue of non-SKY satellite TV. You may recall the Murphy case of a publican in Portsmouth showing non-Sky Television and getting into a lot of hot water! The case went to the European Court of Justice (ECJ). There an advocate general  saying decoder cards should not limited to an individual country in the EU. (So a Greek one in Britain for example) Therefore EU law does not restrict the live transmission on non-SKY Premier League matches on TV. However, the view is just that and is NOT LEGALLY BINDING. It is an opinion only, but a judgement is expected within 3 months and then will be sent to the High Court in London. So, at present SKY is the only recommended satellite purchase until judgement is passed. Certainly this has ruffled the Premiership and SKY's feathers who no doubt use their full legal remit to fight what could be a landmark judgement. Hold on to your hats a little longer please and certainly my advice is not to make any purchase or lease at present!

This is a bit of a rush job. I will do some script on pensions next time. Promise!
Cheers, 

Shaun Schofield

CBA East Midlands & East Anglia

BITS & BOBS: 2011 Number 1.

1. Regional Club Seminar: The planning for the event is moving on well. Fortunately or unfortunately maybe the good people from HMRC are not coming along and Business Link is being wound up in November, 2011, so they have declined the invitation. However, discussions, via the CIU, are on going with SKY Television and it is hoped a reasoned debate will occur with them. Bearing this in mind, I have not as yet, been able to finalise the agenda, but we have at least 5 guest speakers coming along. Also Hugh Philips from Head Office, as head of Clubs has indicated he wishes to come along. Thank you for all your responses so far and for being prepared to come from near and far to this event, which to remind you is at Harlow RBL Club on Saturday 5th March from 9.30 onwards for coffee and refreshment. The anticipated finish time is 4p.m.

2. Machine Games Duty (MGD): This is potentially very important. The Government has unveiled plans to drop the amusement licence duty and replace it with a system where machine owners (the Club) will instead be taxed on the profits from the machines. The initial area of concern is the fairness of the system in respect any duty rates and %ages set at the Budget in March. Any new rate (as we are at the consultation stage, but expected to become law by 2012) of gross profits tax will be vitally important! Our friends at the CIU have taken on the baton here in respect of consultation. They have registered a concern that one size does not fit all. In that, as I see on the rounds, some of you share profits after VAT, others pay a contract and keep the money and so on. HMRC appear to contemplating the tax on both parties, creating messy paperwork I would think. Also the memo- sent by the CIU to HMRC suggests many Clubs are volunteer run and not especially tax savvy and are requesting what kind of assistance will be available, especially as returns will need to be made on line. A request has been made to consider a paper return. As to the scope of MGD, there is a bland statement, 'risking a sum in the hope of winning a prize greater than that sum'. What does that mean? It is not clear if that includes a quiz machine for example with multiple answers. Hopefully an answer will be found, but is this an attempt (like last year with roulette wheel skill games) to bring these machines into the regime of duty. I hope not!!! Finally, there is the issue of bringing in B3A 'high-payout' machines into a tax regime where they are presently, as you know recently been exempted from VAT.
So practically where will this leave your Club. If you have a machine which does not take a lot of money and is more of a service to your members, then you may benefit a little (depending on the tax rate) as tax would be paid on profits (a bit like income tax on salary) rather than a punitive licence cost which has to fit everyone, but if your machines take large sums then the greater share you would pay in tax. A real conundrum and be assured I will report more in due course. It may be time to look closely at your machines and whether they are profitable to you and whether it is better to diversify if you have not done so and have a B3A machine (high pay-out) or a skill machine, with no duty (at present) and a pull-tab Lotto machine which is free from VAT and any machine duty, and hopefully will remain so.
Shaun's opinion? Yet again a big government sweeping change whereby the many intricacies of the gaming industry (Clubs, caravan parks, piers etc:-) have hardly been looked at, as it is assumed operators are just working in pubs on a single hire system with profits easy to monitor. It is not like that as we know! I will keep you informed as things develop.

3.    A Club recently asked me about mixing different types of vodka and selling it in a 'Club double' bottle. The label on the bottle merely said, 'Club Double'. Local trading standards said they had no objection to that as long as there was no trade label (Smirnoff, Tesco 'own' etc:-) on the bottle. Useful to know if you buy spirits from various places. It may be best to note the ABV spirit strength mind on your purchases, as some strengths, mostly gin varies. On another point on 'Club doubles', it is actually a legal requirement to have the optics on those spirits in 25ml (or 35ml) and not 50ml, as usually occurs, although you are allowed to serve them only as a double measure (2 squirts of the optic). Bizarre I know!

4. Another Club asked about requirements for CCTV. A real area of issues, but to broadly précis, if you have CCTV, you must display in a prominent position on the exterior of the building (and the interior to as best advice) that CCTV is in operation in the building (or car park). This defines a term of reference for those entering your premises.

5. Club Rules: I don't tend to discuss Club rules that often, concentrating on more on tax, legislation and so on. However, as many of you have had Club AGMs recently, I feel it is important to define the staff use and membership of your Club. In simple terms, all members of staff should not be members of your Club (paid Secretary, cleaners, Stewards etc:-). This leads to a conflict of interest, as staff should be directed by the Committee who are elected by the members to manage their affairs. A member of staff in such a (Committee) position can influence the management of the Club, and in the extreme could lobby for a huge pay rise, as a crude example. Members of staff, of course, can be a member of the RBL and the Branch, and be associate member of the Club (rule 18.2). This allows the same rights as a paid up member on facility use, but allows for no voting rights. Also, Clubs should be aware that under no circumstances should staff be directly influencing the decision of members as to who they are intending to choose as Committee personnel. This is unfair and if proved could have overtones of misconduct.

6. Bits & Bobs Leads: I stumbled across an article in the trade press imploring pubs to run film nights (dated January 2011). I recommended this to Clubs as long ago as 2008!!! If you are interested in potentially putting a film night into your calendar of events, you could look at getting hold of a Public Video Screening Licence (PVSL). This allows the showing of films in DVD form, but any screening cannot be advertised externally on the premises and there can be no cover charge for entry. (Can sell pop-corn though!) The Licence cost is £81 and the lead in this area an operator called Filmbank  at www.filmbank.co.uk .

7. Business Development! I hear from many of you that the Christmas trade was OK and certainly not a disaster, in spite of the weather chucking what it could at us. Time marches on and I hear some of you are planning a Valentine's night (12th Feb-). Good luck with that! If you are not planning something, then perhaps think about an impromptu 'Blind Date' night (during an ents interval), a special strawberry/raspberry/red cocktail (Malibu or vodka with cranberry juice or strawberry juice/cordial) , a minor expense of a truffle for the ladies maybe. If you are definitely not planning something, and sell real-ale you could sell Bootleg-Valentine's Ale (from various suppliers) and have a 'fine' system at the bar (loose change in a bucket) if anyone is overheard mentioning Valentine's Day.   
Perhaps more pertinent is the sport coming up on television. The 6-Nations (BBC) rugby starts this weekend. I am loathe to suggest a discount on a pint until the first try (perhaps a minor discount on a bitter (Greene King are a sponsor), but consider having a sweep amongst customers as to the score. A £1 on the winning team and £1 on the score. The nearest wins. Roll this over into each game and create a 'sweep' ladder. Perhaps have a raffle for everyone who buys a certain drink during a game. (Guinness for Ireland matches, whisky for Scotland matches etc:-) Offer a small prize (drinks voucher, box of chocolates etc:-) The Champions League is back later in February (Wednesday nights on ITV). The Cheltenham Racing Festival is in March. If you are lucky enough to have SKY, cricket's World Cup will get blanket coverage. A pity the event is a seven hour match, unlike 20/20 games. It is, of course, up to yourselves, but use the assets around in the Club where possible and use any methods you can to contact your membership of what's going on (Facebook, posters, e-mail, text, etc:-)

8.   Vending Machines: Cigarette machines will be prohibited from October 2011, as most of you know. Sinclair Collis lost a case against this in December. I am sure you have notification of this if you have a machine. You will still be able to sell tobacco if you wish from behind the bar. Perhaps worth looking at the amount of traffic your machine takes to determine if worthwhile selling, BUT be careful. I often hear of cigarettes behind bars going missing, so it is important to regularly audit. It appears that 40% of pub and Club users are still smokers. A large       market!

9. Retirement Age: As I mentioned late last year, the Govt. will abolish the Default Retirement Age on October 1st, 2011. As such, retiring an employee at 65 will no longer be a fair reason for dismissal. So no employee can be retired at 65 unless this can be objectively justified. What is objectively justified? A real grey area, but if say a Steward could no longer do manual work (lifting) then that could be objectively justified. No doubt more will come along about this.

10. PPL: I mentioned previously that the Public Phonograph Limited (PPL) had over-charged many of their clients including Clubs in the past. I have not heard if anyone has made a claim (please advise) but more information can be taken from www.beerandpub.com This is the British Beer & Pub Association. A useful website to monitor.

11. Legislation: The Govt. seems to be getting very excited over the Royal Wedding in April. They have unveiled plans to allow licensed premises to stay open until 1a.m. on Friday 29th and Saturday 30th April. It appears you will not need to make an application for an exemption. In relation to point 7, you may see fit to organise a party or something similar. Bear in mind St. George's Day is the week before as is Easter (22nd to 25th April). A bit of Bank holiday Fest!

12. Prices & VAT: We are aware now of VAT and price increases. Prices have and are being fed through plus the VAT rise. It appears that a retail price rise of between 10p and 15p per pint is necessary to hold the business profit margin in most of your business. Sorry to bear bad news. What to do? Look at your sales mix, look if any large selling products are too cheap/expensive and can be spread across the business, new cheaper products, a new supply arrangement, advise member's by poster etc:- of issues (they should appreciate it is a govt/industry led problem), consider spreading the price rises across the period increase now and one after the Budget in March. If you require a few pointers/advice on this, feel free to contact this office at any time. I know it is the most emotive issue (price of a drink), but doing nothing, I'm afraid, is not really an option! If anyone wants a profit margin calculator, I have one here which is freely available.

13. Club Premises Certificate (CPC): I visited a Club recently that did not realise there was an annual fee to pay for a CPC, and they owed 3 years worth of money to the Council for this. It is important this is renewed annually, best by Direct Debit, For reference the fee is based on rateable value. If you Club rateable value (not the sum you pay) is <£4,300, the annual fee is £70, if from £4,300 to £33,000, the cost is £180. £33,001 to £87,000, it is £295 per annum. If your Club has no record of this being paid, I advise you contact the Council Licensing Dept. to get correct guidance regarding payment.

That's about it for now.
I will be producing another newsletter shortly covering employment procedure, pensions and changes to the Licensing Act (a repeat from before!)
Just didn't want to over burden you with information this time!

Regards
Shaun Scholfield
sschofield@britishlegion.org.uk



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This is NOT a formal calling, but a fore-warning under the remit to give you as much notice as I, as your CBA can, of a meeting which is to be held regarding RBL Club Licenses. The formal notice will probably appear in the post in the next few days to both Clubs and associated Branches. You may recall you were written to by the Head of Clubs, Hugh Phillips, on 4th February, when it was suggested meetings would be set up to discuss matters arising and the logic behind changes made to the licensing system (plus an update on property management developments). BITS & BOBS Number 9: July 2011