Details of World Sailing’s difficult cash flow situation emerged at the recent Council meeting in Bermuda.
It appears that World Sailing is negotiating an overdraft facility to cover an expected cash shortfall of £1.3 million during next year.
An article by David Owen on the insidethegames website highlights a worst-case peak shortfall in August next year, following an opening cash balance of just £35,715 in 2020.
The shortfall is blamed on lower-than-expected sponsorship income (down £4.8 million) and a series of one-off costs during the present Olympic cycle (1917-20).
Major cost items included the relocation from Southampton to London (£1.1 million) and a digital re-platforming project (£300,000).
World Sailing expects to receive an Olympic dividend payment of £12.24 million (47% of expected quadrennial revenue) in September 2020 to bail them out.
Accounts for World Sailing (UK) Limited indicate that chief executive Andy Hunt, who resigned from World Sailing last month, was paid £192,393 in 2018.
Read the full article by David Owen on the insidethegames website here.
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