RISK MANAGEMENT
Sunland Springs Village Golf Club, nestled within an active adult community, boasts a picturesque 27-hole executive golf course. In 2016, a significant transition occurred as the club was acquired by a dedicated consortium of 400 homeowners. Recognizing the need for professional expertise, they promptly enlisted the services of a distinguished golf management firm. However, after nearly five years of grappling with negative cash flows and a lack of substantial capital enhancements, the Board of Directors faced a pivotal decision to ensure the club’s resilience and prosperity.
The risk assessment for Sunland Springs Golf Club involved a comprehensive evaluation of potential risks that could impact the club’s financial stability, operational efficiency, and overall success. Once identified, these risks are prioritized based on their potential impact and likelihood of occurrence. Risk mitigation strategies and contingency plans are developed to address each risk, ensuring that Sunland Springs Golf Club can navigate challenges effectively and maintain its resilience and growth in the face of uncertainty.
“Bringing TGM on property when we did was the best decision we could have made. The health of our club was in a steep decline. We were unable to reinvest in the club without tapping into our cash reserve. Within one year, our cash reserve had increased, and we were able to invest in the property as well as improve turf conditions…Ryan and his team get it and deliver it!”
– Dave Anderson
Board President
Challenge:
• Negative Cash Flow
• Lack of a Capital Improvement Plan
• Underutilization of Tee Sheet
• Customer Resistance to Change
• Substandard Turf Conditions
Results:
• Stabilized a High Employee Turnover Environment
• Identified Operational Gaps in Golf and F&B Departments
• Focused on Conditions to Increase Customer Loyalty
• Created Room on Tee Sheet for New Customers
• Developed a Capital Improvement plan
Data: First Full Year with TGM
• 45.9% NOI Increase
• 55.4% Increase in Total Revenue
• 700K Total Cash Reserve Increase
• 32.7% Rounds Increase