Team is a loss leader. Just like when your grocery store has a BOGO sale on laundry detergent. Do they make anything on the detergent? No, but it provides an advertising/marketing opportunity to keep awareness of their store relevant. And, once you are in there, you'll end up buying milk, toilet paper, bananas and chicken (or whatever). Advertising, marketing and public relations is in investment that (if done well) results in a good ROI, either directly, or in the case of loss leaders, indirectly.
Having a team, especially a successful team that wins things and graduates kids who get college scholarships, is a marketing strategy that pulls in more rec families (i.e., the profit generating customers). You take the loss on team in order to make more money overall.
All that said, I don't see a problem letting the team parents know that is the business model and it's pretty standard across the industry. Now if it was harped on constantly or was served with a heavy helping of guilt trip, that's different. But explaining it once a year, especially when new parents are present (who are undoubtedly experiencing a little sticker shock during that first year), doesn't seem unreasonable to me.
Having a team, especially a successful team that wins things and graduates kids who get college scholarships, is a marketing strategy that pulls in more rec families (i.e., the profit generating customers). You take the loss on team in order to make more money overall.
All that said, I don't see a problem letting the team parents know that is the business model and it's pretty standard across the industry. Now if it was harped on constantly or was served with a heavy helping of guilt trip, that's different. But explaining it once a year, especially when new parents are present (who are undoubtedly experiencing a little sticker shock during that first year), doesn't seem unreasonable to me.