Sports / Local
Is Bosso still a going concern after reporting a $122k loss
31 Jan 2011 at 05:41hrs | Views
Highlanders made a loss of $122 293 in the 2010 Premier Soccer League season.
This was revealed by treasurer Odiel Nkomo, who said the club was in a "dangerous situation".
"We are now purely dependent on debt and sponsorship. What has become clear is that it's a dangerous situation," Nkomo said. The club owes former coaches Madinda Ndlovu, Mohamed Fathi and Philani Mabhena, among other creditors.
A report by Highlanders auditors Schmulian and Sibanda said there was uncertainty over the club's existence as an entity.
Reads the report: "The financial statements indicate that the club incurred a net loss of $122 293 (2009: $143 889) during the year ended 31 December 2010 and as of that date, the club's liabilities exceeded its current assets by $269 493 (2009: $158 034).
These conditions, along with other matters as set forth in Note 2:4 to the financial statements, indicate the existence of a material uncertainty which may cast significant doubt about the club's ability to continue as a going concern."
The club also owes the players monies in salaries and unpaid signing-on fees dating back to last year.
They however received a shot in arm when they signed a one-year-long $94 000 sponsorship deal with Buscod Supermarkets.
This was revealed by treasurer Odiel Nkomo, who said the club was in a "dangerous situation".
"We are now purely dependent on debt and sponsorship. What has become clear is that it's a dangerous situation," Nkomo said. The club owes former coaches Madinda Ndlovu, Mohamed Fathi and Philani Mabhena, among other creditors.
A report by Highlanders auditors Schmulian and Sibanda said there was uncertainty over the club's existence as an entity.
Reads the report: "The financial statements indicate that the club incurred a net loss of $122 293 (2009: $143 889) during the year ended 31 December 2010 and as of that date, the club's liabilities exceeded its current assets by $269 493 (2009: $158 034).
These conditions, along with other matters as set forth in Note 2:4 to the financial statements, indicate the existence of a material uncertainty which may cast significant doubt about the club's ability to continue as a going concern."
The club also owes the players monies in salaries and unpaid signing-on fees dating back to last year.
They however received a shot in arm when they signed a one-year-long $94 000 sponsorship deal with Buscod Supermarkets.
Source - Byo24NEWS
