Kicked to the KRBS?

Last updated : 18 June 2008 By Simon Head

Following the Gills' relegation from League One, chairman Paul Scally assured fans that income streams would not be severely affected by the drop in divisions.

But, unfortunately, aside from the slight drop in TV revenue, it seems that the club's very own sponsors may be about to turn around and bite the club in its behind.

According to reports in the media this week, Kent Reliance Building Society (KRBS) are looking to renegotiate their financial commitment to the club following Gillingham's relegation to League Two.

Apparently their financial commitment for the first year was based on the club's League One status, and they say that they are now talking to the club to reduce their financial commitment for the coming season.

And there have since been suggestions that KRBS may be looking to cut their financial input for this season by up to 50%, with their CEO suggesting they could even plough money into Gillingham's most notorious rivals, Swindon Town.

Look to cut investment...check. Suggest taking money elsewhere...check. Mention backing the club's traditional rivals...check! If ever a sponsor wanted to alienate themselves from a football club's fans, then that's not a bad way to do it!

If a deal was struck with no performance-related clauses, then I'd like to think the club would dig its heels in and make KRBS pay the contracted amount.

However, it has been suggested that no set figure had been agreed in the original deal, so if there is leeway and KRBS are talking about halving their input, then I think the club would be well advised to play the field and open negotiations with other potential sponsors.

If the club can do a better deal elsewhere, and the current sponsor can't come to an agreement, the contract could be terminated and GFC can go into business with a company that has a genuine commitment to the club.

The club are currently holding a fire sale of last season's replica shirts, all of which bear the sponsor's internet address. This could suggest that the club are about to launch another new kit design, or alternatively, we could see a new sponsor adorning the shirts next season. We'll just have to wait and see.

But the statements I've seen reported thus far suggest to me that KRBS aren't as committed to the club as they would have had us believe this time last year, and as a fan, that's a huge disappointment. When the deal was originally announced, KRBS MD Mike Lazenby trumpeted: "This is not just a sponsorship deal for us, this is more of a partnership."

But do partners look to bail out (even if it's partly bailing out) when the going gets a little tough? It certainly seems that, by looking to reduce their financial support, their stance has changed somewhat in the last 12 months.

After all, partners stick together through good AND bad. Don't they?