Refund Update 10/20

Posted: 10/20/20


If you are reading this, and have not received an email prompting you to take further steps, please go straight to this form or contact your commissioner.



UPDATE ON FALL



We were able to successfully relaunch 6 out of our 7 cities this fall. It's been fantastic to be back out on the pitch and have some of our teams and players with us. We have been able to do so safely and we are very proud of how we have operated amongst the pandemic. Thank you to all the teams out there that have followed our precautions so diligently. However, there were many not able to get back on the pitch and we miss those who were not able to play with us this fall whatever the reason may be. And we have not forgotten the teams or individuals who paid this spring.



FINANCIAL CONTEXT



We are very aware that amongst the craziness of this pandemic, a lot of confusion has set in. Some companies have issued refunds, some have gone out of business, some have lost jobs while others haven't, some companies received loans or help, some did not, some had to change pricing, others did not. Every person and every company faces a different set of challenges. Our company, like almost every member of our industry, faces a massive challenge with cash flow and the misperception regarding where their customers money goes. So, we would like to provide further context regarding why we have been unable to issue refunds so far.



We came out of this winter in pretty good shape. The winter is typically a difficult window for us to turn a profit, but we did well to avoid going the wrong direction. Our company is a for-profit company. However, we are not set up to take in large profits. When we do, most of that money is immediately redistributed to our expansion efforts, not a savings account. It's imperative for our mission and our vision to keep growing. When the spring started, we were healthy, but we did not have a rain day fund set up for a potential pandemic.



When the revenue was beginning to be generated, the cash immediately was used to pay for salaries, field expenses (a large expense), website redevelopment, software necessary for running the day to day, healthcare and other benefits, office rent and expenses, match day operations (which became pointless with the season scrapped, and started from the beginning in the fall) and other small expenses normal to keeping things moving. It's important to know that not all committed teams had paid for the spring yet, about 50% had, with many divisions yet to start. Most of these expenses were rendered redundant. Salaries, field expenses, and match day operations were completely wasted. These were all expenses we had to pay again, in full, once setting up for the fall. In essence we had to pay for many things twice, as opposed to once. Additionally, we had expenses that had to be continued to be paid while shutdown. So although we did have some left once we got through March, it was needed to make sure we didn't go bankrupt.



This is why we were unable to immediately refund team and player fees. Such an abrupt and unexpected shutdown disrupted our cash flow and forced a waste of your fees. It's something we will plan for in the future. We have learned many lessons, but we can't go back in time and set this money aside. We hope this transparency alleviates any confusion. And we certainly hope every member of our community has been able to get through this incredibly difficult time.



HOW WILL WE SOLVE THIS



Every member of our staff that has been able to continue working with us is dedicated to providing a full offering in 2021, reaching our previous goals, while maintaining our current level of fixed costs, which is significantly reduced. By creating a larger margin, and reallocating ALL profit to teams who are unable to play with us in the future, we will be able to get any team who cannot play with us in the future their money back. This fall we were able to reduce a significant amount of money owed to spring teams and the process you will see below will also reduce our immediate dollar amount needed for future spring refunds.



Please note, every team willing to take a credit, will be offered a significant amount of additional credit for future usage. The amount offered will depend on the amount paid. If you paid a fee in the spring, have not received an email with your credit amount listed, please contact your commissioner immediately and they will provide you with this amount.



THE PROCESS



Our updated process:



- Collect each team and player's request for a refund or credit (with bonus amount, if you don't know this amount, please contact us) Please follow this link to fill out the form if you have not already.



- Deadline to apply for one or the other is November 20th, on this date we will know the final dollar amount needed to earn.



- Begin our winter and spring seasons. Any team who applied for a credit will be able to use it during these seasons (and any future seasons.)



- Issue Refunds to everyone once the total dollar amount is reached in operational profit. This will likely be in the spring when we are fully operational and be in a viable position.