I have been an active autocrosser and an active member of an independent
local sports car club for 26 years now. To my knowledge we failed to break
even or turn a profit only two years during all that time. Those two years
we had no lot to run on due to local political chicanery.
We collect dues in February and March of $15.00. Run eight events per year
with entry fees of $10.00 for members and $12.00 for non members. We give
newbies a free autocross if they join at the event. Everyone gets at least
four runs per event. We charge a fee for fun "educational runs" after the
event, that are always well subscribed. We also sell decals, coffee mugs
etc. that are donated or sold to the club at a substantial discount off
list.
On the expense side, we mail over 100 newsletters at least eight times per
year, and post cards in months when we have no results to print. I just
mailed out 233 newsletters promoting our big fall event. We pay a fee to use
the parking lot. We buy trophies, pylons, lime, equipment, spare parts for
the timing equipment,more lime. We just had to buy a new printer for on site
results sheets. And so on and so forth. The club helps to defray the cost
of the year end banquet by kicking in several hundred dollars, to keep the
per plate fee in range of most members.
And every January, except for the two I mentioned, we still have enough
money in the accounts to cut a check for our liability insurance and still
have enough money to operate until the membership checks come in.
Granted, we don't put on ultra big budget events, or pay thousands of
dollars for event sites, but that's all relative. You figure out what your
costs are and set your event fees to cover your costs and put a little aside
each event for the annual insurance bill and unforseen expenses. Using that
model as my guide, I cannot understand how Solo can loose money.
I can understand how a road race can loose money. Track rental is magnitudes
higher than almost any autocross site. There are local fire departments to
compensate. Ambulance crews. Wrecker companies. Throw in brooms, oil dry,
fire bottles, radios, computers, paper, timing systems, tech equipment, much
higher insurance costs etc. etc. etc. and you end up with an enormous
investment before the first car ever turns a wheel on the track. And you
have to consider the level of the entry fee versus the track you are running
on to determine how high you can go before you start to chase drivers away.
Obviously, you can charge more for a race at Mid Ohio than you can at Nelson
Ledges. Given your regional race track, can you set the entry fee high
enough to cover your costs? I'll bet not in a lot of cases.
So tell me how amatuer racing makes money and Solo doesn't?
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