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Mike Smith: Hull KR have solid foundation for coping with uncertain future

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AS chief executive of Hull Kingston Rovers, Mike Smith admits the role can often make him feel like the weight of the world is on his shoulders.

Today , with the club's long-term future having recently been publicly thrown into doubt, he says he is feeling relaxed.

Given his paymasters have said they are unwilling to bankroll the Robins beyond the end of this season, that may come as a surprise.

Smith knows not what the future will hold for himself, for the players he deals with day to day, or for the club he has loved since a boy.

At present, only one thing appears clear, Hull KR need new investors, and now that message is out, Smith feels his happiest for some time.

"Running this club has always been very difficult, because finance has always been a problem for us at this level," Smith told the Mail.

"At least now though, the burden is being shared. As a club our cards are on the table, and we all feel a lot more relaxed because of that."

Relaxed is probably the wrong choice of word, because joining Smith in his office under the west stand at MS3 Craven Park, it's clear there is little time to sit back.

Whilst the only sign of potential trouble ahead for fans has been a slight decline in fortunes on the field, Smith has been hands on in the daily struggle.

And that means he has seen just how far the money of Neil Hudgell and Rob Crossland goes.

Without them, Hull KR would not now be a club under threat, they would be a club no more.

Despite this, the current KR team is not far short of the best fans have seen for decades.

And it is being done on far less resource than when Justin Morgan led the team to a fourth-place finish in 2009.

Back office staff numbers are down to just Smith and five more. Employees in key commercial and marketing positions have left and not been replaced, their jobs taken on by understudies.

Some have now agreed to work less hours as part of a 'workforce review' given the current pressures.

"It has been tough," Smith admits.

"Unfortunately, what has hit us very badly is the downturn in the economy, as season passes are down, merchandise and shirt sales are well down below forecasts, and our cashflow is down.

"That has not been helped by delays to the North Stand, which have cost us upwards of £750,000 in income.

"As a result we have had a workforce review and staff have been very good, volunteering to work less hours to ensure they have kept their jobs.

"We have had a few people leave naturally who we haven't replaced, including my PA, so we haven't had to make people redundant, but we are thin on the ground.

"We have streamlined the organisation but I still think we are delivering a good product. I can't praise our staff enough. It has been very tough, but deep down the majority are Rovers fans as well, and they want the club to do well.

"They need to get paid and pay their mortgage like everybody else, but they will go that extra mile."

Given the struggles day to day and season to season, it was inevitable, Smith says, that Hudgell and Crossland considered their ongoing financial backing.

They conducted a 'wide-ranging review' at the end of last season, before deciding to carry on.

But a club record 84-6 loss to Wigan earlier this month proved to be the straw which broke the camel's back.

Hudgell described it as being the afternoon when 'the penny dropped' (an ironic choice of words given his investment) that the pair had taken the club as far as they could.

"Behind the scenes, Neil, Rob, myself and our financial people know it has been tough," Smith added.

"The losses were around £500,000 a year when I first came in 2009. We got that down to around £400,000 through savings and restructuring, but, unfortunately, we have seen passes fall and the downturn of the economy, and now we are back above £500,000 a year.

"That loss to Wigan was a very bitter pill to swallow. I know how upset Neil and Rob were, and when you are spending £500,000 a year, and then you see things like that, you do question why you do it."

Rovers, though, are not on their own, and Smith stresses any new investor or owner will not be saving a club on its knees, but building on solid foundations at a club which has achieved plenty in recent years, and boasts a history most others can't sniff at. Eleven out of 14 Super League clubs struggle, and without wealthy benefactors, or people putting money in, then they would be in the same position as us," Smith adds.

"You only have to look at the recent history in the game with Wakefield, Bradford, Salford and the Crusaders, it shows the game would have serious problems if it didn't have the people putting their money in.

"Now, we are saying 'we've got a problem, come and help us', and thankfully, already people are coming out of the woodwork.

"This is not a club in decline, struggling to hold on to a Grade C Super League licence and looking over its shoulders.

"We have a Grade B licence when others still have grade Cs, and when the North Stand is complete we are confident of being an A grade. We have our corporate hospitality where it needs to be, we have a north stand sponsored before it is complete, we have an east stand sponsor, and we have stadium naming rights for the first time.

"On the field, we are still competing for the top eight, and although we sold the likes of Scott Taylor at the end of last season, he was a player who came through our own systems. We wanted to keep him but he decided he wanted to move on.

"Blake Green may have left also, but the fact that he joined us, and then Wigan came knocking on our door, shows we have the right systems in place to identify quality players. We then invested that money straight back into signing Travis Burns.

"We have been getting things right, and we have been doing that on limited resources. It is money that takes you to the next level.

"This is a club that has come a long way through ambition, dedication and passion. Now it wants to go that step further.

"This is a time to focus on all the positives and get behind Neil and Rob to bring someone in who can invest the money to take us to the top."

Mike Smith: Hull KR have solid foundation for coping with uncertain future


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