THE Mount Gambier Community RSL continues to be on a financial knife-edge after launching an unprecedented fight for its survival.
With Anzac Day just a week away, RSL president Bob Sandow said the not-for-profit organisation was slowly rebuilding its troubled financial position.
The 102-year-old iconic organisation was on the verge of collapse in late 2017, struggling as mounting debts reached $2.5m.
An unprecedented outpouring of community support, a $200,000 State Government loan and the sale of the “Tank block” threw it a financial lifeline and stopped in from falling into voluntary administration.
Conceding the business remained on a financial tightrope, he said the organisation had paid around $250,000 towards its debts and had started to whittle down other loans.
“We are now paying principal and interest off our loan with Westpac – this is the first time any debt reduction has taken place since 2009,” Mr Sandow said.
“These days we are still in misery mode and nothing is spent without a bit of soul searching as we have no money to spare.”
But he vowed the organisation would remain part of the Mount Gambier’s community fabric and it would meet the repayments of its outstanding $1.72m debt.
“We will be here for another 100 years. We are hanging on, but we do need continual support from the community,” the RSL stalwart and war historian said.
Importantly, Mr Sandow said the RSL venue – steeped in history – underpinned around 32 jobs and was the largest and oldest RSL in South Australia.
He warned around 20 RSL venues could close this year in South Australia due to the difficult financial climate.
“During 2018 we paid down owings to the Australian Tax Office of $180,000 and another loan of $60,000,” Mr Sandow said.
He said the sale of the Tank Block helped clear some debt.
Mr Sandow said the $200,000 loan from the State Government had also flowed from the state’s treasury coffers.
“This $200,000 was a loan to enable us to pay all outstanding superannuation payments to the ATO owed during 2016-17,” the RSL chief said.
“This money was not a gift. When we received this money most people thought it was a gift. This is not the case, it has to be repaid.”
Explaining 2018/19 financial year continued to be a tenuous, he said the organisation provided facilities at no charge for 36 not-for-profit groups and was a second home for many veterans and their families.
But he said the club battled a number of setbacks, including the need to replace all internal lighting with LEDs, the introduction solar panels on its building’s roof to save on power costs as well as various upgrade and repairs to equipment.
“The fire in the cleaner’s room put us back two days trading while the entire place was cleaned of smoke damage,” Mr Sandow added.
He thanked the community for its support as well as the RSL committee members, staff and the RSL Women’s Association.
The RSL has also now formed a fundraising committee to help boost its financial earnings during slower trading periods.
“We are about to celebrate our 102 birthday celebration in July, which will be attended by most local dignitaries.”
