Expansion Canberra

[WesternSydneyHawk]

It'd be nice if Ainslie and Eastlake could learn to cooperate with each other. It'd be hard to keep Canberra out of the league if they were willing to work together for a VFL team, and then an AFL team.

Just to put those Ainslie revenue figures I quoted earlier into perspective:

"In 2021, West Coast reported the least funding from the AFL distribution at $11.8 million, but generated $61.7 million in revenue - with only second-placed Richmond close ($13.3 million from the AFL, $39.7 million self-generated plus $21 million from fitness and leisure centres).

"In contrast that year Gold Coast was given $25.4 million from the AFL but self-generated just $12.8 million."

Revealed: Where your club sits on AFL’s $276m ladder... and who’s getting the most help

Where your club sits on AFL’s $276m ladder as league’s wealth divide explained

www.foxsports.com.au

Taking the Gold Coast figures, the magic number is somewhere around $38.2 million.

So depending on the AFL's TV rights distribution and the ACT government's support, a standalone Ainslie bid would be well on the way to that mark.

And that's before any members and sponsors have signed up!

I haven't crunched the numbers, but I'd Imagine a merged Ainslie–Eastlakes would probably have a better balance sheet than many of the Victorian clubs. And that's without AFL members and sponsors!

 

[Bjo187]

Just to put those Ainslie revenue figures I quoted earlier into perspective:

"In 2021, West Coast reported the least funding from the AFL distribution at $11.8 million, but generated $61.7 million in revenue - with only second-placed Richmond close ($13.3 million from the AFL, $39.7 million self-generated plus $21 million from fitness and leisure centres).

"In contrast that year Gold Coast was given $25.4 million from the AFL but self-generated just $12.8 million."

Revealed: Where your club sits on AFL’s $276m ladder... and who’s getting the most help

Where your club sits on AFL’s $276m ladder as league’s wealth divide explained

www.foxsports.com.au

Taking the Gold Coast figures, the magic number is somewhere around $38.2 million.

So depending on the AFL's TV rights distribution and the ACT government's support, a standalone Ainslie bid would be well on the way to that mark.

And that's before any members and sponsors have signed up!

I haven't crunched the numbers, but I'd Imagine a merged Ainslie–Eastlakes would probably have a better balance sheet than many of the Victorian clubs. And that's without AFL members and sponsors!

Whilst I agree the club should come from existing clubs that have massive assets (Like Southport should have on the gc), how do you merge two teams that are the saints and demons and retain any look of it being an Ainslie and Eastlake club? Coz you'd effectively have the name Canberra, completely different colours and mascot coz both are already taken in the afl.

So I like the idea, just wonder what's in it for those two clubs? And how could it be made to work?

 

[WesternSydneyHawk]

However, would there be enough sponsorships and fundings available from the private sector and memberships/ merchandise to make a full time AFL Canberra team viable?

The smaller companies give the boxes to employees of the month or are used when trying to woo a company. You shouldn’t be quick to dismiss the benefit these smaller local companies have to clubs financially.

I'll cross-post this reply from the 20th club thread.

The short answer is that Canberra has an edge over other cities its size because it's home to the federal government.

That means it has a very strong base of companies that consult or contract to the federal government, as well as lobbyist firms and peak industry bodies.

You might also find government departments and agencies that are interested in a corporate box (DFAT and Tourism Australia come to mind).

Some foreign embassies could potentially also be interested in a corporate box for when foreign dignitaries visit.

For corporate hospitality, Canberra is likely to be a far stronger market than you would imagine.

The public perception is that the major market for private corporate suites is for high-net-worth individuals and executive entertainment.

And while they're an important market for corporate hospitality at sports events, they often prefer coterie groups and match day events where they can network and make contacts with other business leaders.

(I'll have more to say about coterie groups in a sec.)

A far bigger market for those private suites tend to be executive-level B2B sales leaders, who are responsible for building or maintaining relationships with enterprise clients (such as ASX-100 companies, universities, and government departments). Many of Australia's largest companies maintain corporate suites basically to schmooze current or potential customers.

A (usually) smaller but still important market are lobbyists, businesses, governments, and industry groups who use them as part of their lobbying efforts.

Here's where Canberra punches above its weight.

You want to sell corporate boxes to companies that are trying to win big-dollar contracts with enterprise clients?

Well, Canberra is home to pretty much all if the federal departments and agencies. That includes some, like Defence, that aee responsible for multi-billion-dollar tenders and procurements. That's why most major government suppliers and contractors maintain a sales office somewhere in Civic.

And let me assure you that Canberra has no shortage of government lobbyists, businesses, embacies, and industry groups looking to influence government policy. And many would gladly pay for a corporate suite where they can host government ministers, ministerial staff, and departmental secretaries.

As for the coterie groups, if it is known that a particular minister or departmental secretary is a member, there will be lobbyists looking to join so they can network with them.

Now, if you think this lobbying activity isn't great for democracy.

But I will assure you that if you offer corporate boxes for a Canberra-based AFL club, it won't be too difficult to find buyers.

Apart from a redeveloped stadium they aneed to build a training and administration base there’s another 50-100 million

Using a club like Ainslie as a starting point gives you four options on this point:

1) The club already has usage rights at Alan Ray Oval and has spent several million on the facilities there.

In the short-to-medium term, you could upgrade these facilities to AFL standard.

2) Also in the short-to-medium term, you could also lease facilities at the Australian Institute of Sport in Bruce.

The added benefit here is that instead of hiring skills coaches full time, you could maximise the soft cap by gaining access to Olympic coaches from the AIS on a consultancy basis.

3) Medium-to-long term, you could build a joint centre of excellence in conjunction with the AIS or Canberra Uni. This potentially splits and spreads the cost out.

4) Long term, you bulldoze Gungahlin Golf Club (which Ainslie owns) and build an AFL training and administration centre on the site.

The land costs have already been covered.

You would put up some new apartment blocks on a corner of the land to cover the cost of facilities.

The final benefit: Because Ainslie has over $30 million in net assets (that's the value of assets minus debt), you have plenty of equity to borrow against to fund new facilities.

 

[WesternSydneyHawk]

how do you merge two teams that are the saints and demons and retain any look of it being an Ainslie and Eastlake club? Coz you'd effectively have the name Canberra, completely different colours and mascot coz both are already taken in the afl.

So I like the idea, just wonder what's in it for those two clubs? And how could it be made to work?

Ainslie's a bit easier on this front.

It'd be a matter of swapping red for another colour (blue perhaps? Or maybe green?) and the Canberra Tricolours are ready to go.

That's assuming you just have one of the clubs form the basis of the Canberra AFL club.

If you merge them into a single entity, you get Canberra–Eastlake Tricolours in blue, white, and black.

But they probably won't agree to a merger so instead you could have one of the clubs get the AFL licence and the other run the VFL side, academies, etc.

Ainslie get the AFL licence as the Canberra Tricolours, and the Canberra Demons in the VFL and U18s/Coates League.

 

[Canberra Pear]

I'll cross-post this reply from the 20th club thread.

The short answer is that Canberra has an edge over other cities its size because it's home to the federal government.

That means it has a very strong base of companies that consult or contract to the federal government, as well as lobbyist firms and peak industry bodies.

You might also find government departments and agencies that are interested in a corporate box (DFAT and Tourism Australia come to mind).

Some foreign embassies could potentially also be interested in a corporate box for when foreign dignitaries visit.




Using a club like Ainslie as a starting point gives you four options on this point:

1) The club already has usage rights at Alan Ray Oval and has spent several million on the facilities there.

In the short-to-medium term, you could upgrade these facilities to AFL standard.

2) Also in the short-to-medium term, you could also lease facilities at the Australian Institute of Sport in Bruce.

The added benefit here is that instead of hiring skills coaches full time, you could maximise the soft cap by gaining access to Olympic coaches from the AIS on a consultancy basis.

3) Medium-to-long term, you could build a joint centre of excellence in conjunction with the AIS or Canberra Uni. This potentially splits and spreads the cost out.

4) Long term, you bulldoze Gungahlin Golf Club (which Ainslie owns) and build an AFL training and administration centre on the site.

The land costs have already been covered.

You would put up some new apartment blocks on a corner of the land to cover the cost of facilities.

The final benefit: Because Ainslie has over $30 million in net assets (that's the value of assets minus debt), you have plenty of equity to borrow against to fund new facilities.

Geez, we gotta get you on the committee.

I had initially been against using a legacy club, but you've made some great points, and it alleviates some gaps in the bid, namely asset base and an early training base.

You obviously couldn't use Ainslie's uniform as it's nearly identical to the Saints, but if Canberra has three colours, the tricolours nickname (even if it's informal), can continue. I've been a fan of green, blue and yellow (a bit like Woodville-West Torrens). Represents the blue and gold colours of Canberra, plus the green of the bush capital.

In a league without the Saints and Dees, an Ainslie-Eastlakes merger would've had an easy identity. They already share two out of three colours. The nickname could've been the Tridents (the tricolours, with a demons symbol).