Success has come at a cost for Stamford AFC who will be hit with a tax bill for the first time next year causing them to raise ticket prices.
Until now, the Daniels have not needed to register for VAT because their turnover has always been below the threshold where registration is required.
However, with the growth in turnover from the increase in attendances last season, and the increased revenue relocating to the new ground on Ryhall Road, it is expected the club will very quickly exceed the threshold and so they have had to register for VAT.
The VAT threshold for businesses is currently set at £81,000 and with the club continuing to grow on and off the field, the club’s directors decided it was time to register now.
This means 17 per cent of all admission receipts will now have to be paid to HMRC leaving the club in a potential financial black hole unless they acted.
Club finance director John Burrows said: “Sadly the Chancellor likes his pennies so we had to put this in place.
“It is a measure of the success of the club last season which is good news.”
What Mr Burrows made clear was that the club’s directors were doing everything to ensure that Stamford’s playing budget would not be impacted, to avoid reduced quality on the field.
The move is a necessary and sensible one by the club’s directors who have overseen an increasingly stable period in the club’s history, which has seen Stamford AFC record a small profit five years running.
Last season the Daniels had an average gate of 321 for a home match, which was a 40 per cent increase on the previous season, bolstered by a great run in the FA Cup qualifying which fortuitously was all at home.
However, two final surges in attendance towards the end of the season, including a 50-year high of 1,200 fans for the visit of FA United of Manchester, followed by a final day crowd of about 800, pushed the club’s venue near to the tax threshold last year.
With attendances expected to increase again with the Daniels at their new facility, which includes far better parking than the Vic Couzens Stadium, admission prices for next season have gone up by £1 to £10 for adults, £7 concessions, £3 for 11 to 16 year-olds and Under-11s go free.
There are discounts of £2 for adults and £1 for concessions for club members.
Season tickets are now available which provide a big discount on the standard admission rates.
The price of an adult season ticket is £165, £115 for concessions and £45 for 11 to 16 year-olds. There is a discount of £5 for tickets purchased before July 31.