Type of Submission

Refereed Article


General managers of clubs are often inundated with operations and membership issues and may not be able to spend quality time engaging in the analysis of the financial health of the club. With the aid of a handful of ratios, general managers and club controllers can assess the business trends and financial viability of their operations very easily. The top ratios used by club managers are: payroll cost percentage, cost of food sold percentage, cost of beverage sold percentage, current ratio, and debt-equity ratio. The results of several ratios focusing primarily on clubs' balance sheets are presented in this article.