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2022-12-31-accounts

Company Registration No. 02103365 Charity No: 1000698

Southport Flower Show Charitable Company Limited by Guarantee

Report and Financial Statements

For The Year Ended 31 December 2022

SOUTHPORT FLOWER SHOW

CHARITABLE COMPANY LIMITED BY GUARANTEE

CONTENTS

Page
Members of the Board and Professional Advisers 2
Trustees' Annual Report 3 - 8
Auditor’s Report to the Members 9
Group Statement of Financial Activities
(incorporating the Income and Expenditure Account)		 12
Group and Charity Balance Sheet 13
Consolidated Statement of Cash Flows 14
Notes to the Financial Statements 15 - 32

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

COMPANY INFORMATION

Registered Charity Name Southport Flower Show
Charity Number 1000698
Company Registration Number 02103365
Principal Office Southport Flower Show
Victoria Park
Rotten Row
Southport
Merseyside
PR8 2BZ
Trustees Mr M L Steinberg
Mr R Anderson (Resigned 4 January 2023)
Mr A Edwards
Mr T J D Fleming
Mrs A P Pope
Mrs M Tarpey
Mr T Heywood (Resigned 12 January 2023)
Mr A J Porter (Resigned 6 July 2022)
Mr E P Rylands
Independent Examiner MHA Moore and Smalley
Chartered Accountants
Richard House
9 Winckley Square
Preston
Lancashire
PR1 3HP
Bankers Santander
25-29 Chapel Street
Southport
Merseyside
PR8 1AL
Legal advisers MSB Solicitors
4 St Pauls Square
Liverpool
L3 9SJ

Page 2

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2022

The trustees, who are also directors for the purposes of company law, present their report and the consolidated financial statements of the charitable company and its subsidiary for the year ended 31 December 2022.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (October 2019)

Reference and Administrative Details

Reference and administrative details are shown in the schedule of members of the board and professional advisers on page 1 of the financial statements.

The Trustees

The trustees who served the charitable company during the year were as follows:

Mr M L Steinberg Mr R Anderson (Resigned 4 January 2023) Mr A Edwards Mr T J D Fleming Mrs A Pope Mr R M Ratcliffe (Resigned 4 October 2022) Mrs M Tarpey Mr T Heywood (Resigned 12 January 2023) Mr A J Porter (Resigned 20 July 2022) Mr E P Rylands

Key Management

Mr A E Adams (General Manager

Structure, Governance and Management

Southport Flower Show (hereafter referred to as "the Charity") is a charitable company, limited by guarantee, and was registered with the Charity Commission on 30 October 1990. The Charity is governed by its Memorandum and Articles of Association.

The directors of the Charity are also the trustees, for charity law purposes (hereafter referred to as "the trustees"). The trustees, together with certain former trustees, are members of the Charity. In the event of the Charity being wound up, the guarantee of each member is limited to £1.

Objectives and Activities

The objects of the Charity are:

Page 3

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022

The principal activities of the Charity during the year, which are carried out for the furtherance of those objects, were:

Public Benefit

The trustees have considered the Charity Commission guidance regarding public benefit and are satisfied that the activities of the charitable company, as outlined below, meet these requirements

Achievements and Performance

Southport Flower Show

The Southport Flower Show is the largest independent, annual flower show in Great Britain.

After cancellation of the 2020 and 2021 shows, the Flower Show returned and was held from 18 August to 21 August 2022. Over 50,000 visitors enjoyed 4 days of good weather, food, drink, entertainment and all things horticulture.

The theme of the 2022 show was “Summer Festival” and throughout the exhibits and display gardens, themes and images inspired by the title were used in a creative and entertaining way.

Southport Flower Show hosts the largest Amateur competition in Great Britain and our respect and encouragement of the amateur sector is a key factor in Southport Flower Show's uniqueness and helps to further our charitable objectives.

This encouragement is also in evidence with the Schools’ Design a Garden Competition. The competition is designed for years 5 and 6 from the Northwest region to encourage them to become more involved with plants and flowers and develop an understanding of gardening at an early stage in life.

This year we had a large number of entries from various schools across the Northwest and the two talented winners had their designs built into real gardens at the Show. HSBC Bank was the sponsor of this year’s competition.

One of the main attractions of the show is the Grand Floral Marquee where the professional competition is hotly contested. The coveted Brockhouse Trophy, awarded to the 'Best Exhibit in Show', was won by Dibleys Nurseries in the Grand Floral Marquee.

All of these activities are produced to fulfill the Objects of the Charity

The Trustees acknowledge the dedication and hard work of Alan Adams and his team for staging an outstanding show under very difficult circumstances and with financial challenges caused by the pandemic.

Volunteers

Over 180 people volunteered in 2022 to help make the show a great success and one of the friendliest in the country. The Trustee Directors wish to record their appreciation for the important role that the volunteer managers and their teams play in the delivery of the show and want to thank all the volunteers who willingly gave their time.

Page 4

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2022

Achievements and Performance

Victoria Park

Over the years the Southport Flower Show's resources have been used to noticeably enhance and improve Victoria Park as both an events site and as a high quality urban green space. Along with significant capital investment, a great deal of time and effort has transformed the park into a flexible and robust outdoor events site with a power and water grid, improved drainage and a network of interconnected pathways.

Due to financial concerns resulting from the Covid 19 pandemic all planned costly maintenance apart from essential works to enhance the park for the Flower Show was suspended in 2022.

Throughout the year the park has remained open to the public. It was fully closed for 33 days throughout 2022 for private and council events, keeping open as much as possible for the public to enjoy.

Local running and cycling clubs use the park for small, organised events, a diverse range of ad-hoc groups use the park on a regular basis including fitness groups, netball, karate and numerous yoga groups and the public use the park extensively to walk their dogs or simply sit and relax and enjoy their surroundings.

A number of these groups have made a small donation to SFS to use the park facilities.

A number of third-party lettings of Victoria Park returned in 2022 which increased the revenue for the park such as a Music Festival, Food and Drink Festival, Yoga Festival, Family Event, Classic Car Show, Southport Comedy Festival, British Musical Fireworks competition and Ice-Skating Events.

The Board would like to thank to the General Manager, Alan Adams, and his team for sourcing new events.

The events are managed through the trading subsidiary Victoria Park Management Company (Southport) Ltd.

Fundraising practices

Most of the Charity’s income is generated from ticket sales and associated income from Southport Flower Show. Additional income is raised by third party events hiring the park.

An invitation to donate to the Charity has now been included on the Southport Flower Show and Victoria Park website and on all staff email signatures.

Financial Review

The consolidated results record net incoming resources of £193,435 (2021: net outgoing resources of £27,565). At the end of the year, the Charity general fund stood at £436,847 (2021: £202,340).

To the extent that funds are not called upon for the day-to-day activity, they are transferred to a medium-term charity investment account to maximise returns on these funds, although bank deposit rates remain at an alltime low rate of return.

The Memorandum and Articles of Association give the Charity unlimited investment powers with statutory boundaries.

Page 5

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2022

Reserves Policy

Given that the main source of funds is an outdoor event which is heavily weather dependent, the trustees maintain the view that it is prudent to have reserves sufficient to safeguard the Charity's operational commitments and allow for a significant drop in revenue from the annual show as a result of inclement weather etc.

The reserves also need to reflect the seasonal nature of the business and that income spikes during the months of July and August. The Charity requires sufficient working capital to meet expenditure commitments in the earlier months, prior to the Show when expenditure tends to exceed income.

The level of reserves required is estimated at £250,000. Recent years’ results have illustrated the prudence of this policy.

The trustees apply the following criteria in determining the overall reserves policy:

Reserves are frequently reviewed by the trustees, together with the management accounts.

The actual level of free reserves for the Charity at the end of the year was £436,847, after segregating funds which represent permanent fixed assets.

Plans for Future Years

The Trustees continue to review the use of the Park to generate income and have event plans in place. The Charity continues to maintain Victoria Park for use by the public.

Page 6

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2022

Governance and Risk Review

Trustees' Appointment and Responsibilities

Any new trustees are nominated by the current trustees, taking account of their business skills and experience in line with the specific needs of the board. Induction of trustees is carried out verbally, ensuring that trustees are fully aware of their duties and responsibilities. Trustees are also provided with various up to date literature issued by the Charity Commission regarding their appointment, together with specific background information regarding the Charity.

Key Management Personnel

The pay and remuneration of key management personnel is agreed by the trustees with reference to external benchmarks.

Governance and Risk Review

Whilst the trustees appreciate that they are ultimately responsible for the management of the Charity, much of the day to day running of the Charity's operations is delegated to the Charity's employees. As well as appointing a General Manager to deal with management matters and supervision, the trustees are involved in many aspects of the Charity administration as part of the internal control procedures.

The trustees meet monthly to review the Charity accounts, progress reports, key performance indicators and deal with strategic matters. Cashflow forecasts are updated and reviewed monthly.

With the help of the Charity auditors, the trustees have carried out a review of the Charity's activities and identified the major risks to which the Charity is exposed.

As part of this process, the trustees have implemented a risk management strategy, which comprises:

The key risks revolved around external factors. Where risks cannot be mitigated fully, the trustees have ensured that adequate insurance provisions are in place, where possible.

Trustees' Responsibilities Statement

The trustees (who are also the directors of Southport Flower Show for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period.

Page 7

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2022

Trustees' Responsibilities Statement (continued)

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

Auditor

A resolution proposing that MHA Moore and Smalley be re-appointed will be put at a General Meeting.

Each of the persons who is a trustee at the date of approval of this report confirms that:

Signed on behalf of the trustees on ..........................................

..............................................................

M L Steinberg

Trustee

..............................................................

A P Pope

Trustee/Treasurer

Registered office: Southport Flower Show Victoria Park Rotten Row Southport Merseyside PR8 2BZ

Page 8

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 DECEMBER 2022

Opinion

We have audited the financial statements of Southport Flower Show (the 'company') for the year ended 31 December 2022 which comprise the profit and loss account, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

Page 9

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 DECEMBER 2022

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Because of the field in which the client operates we identified that employment law, health and safety legislation and compliance with the UK Companies Act are the areas most likely to have a material impact on the financial statements.

Page 10

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 DECEMBER 2022

Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

....................................................

Nicola Mason (Senior Statutory Auditor)

For and on behalf of MHA Moore and Smalley Richard House Winckley Square Preston PR1 3HP

.................................................... Date

Page 11

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2022

Total
Total
funds
funds
Unrestricted
Year ended
Year ended
funds
31 December
31 December
2022
2021		 Total
Total
funds
funds
Unrestricted
Year ended
Year ended
funds
31 December
31 December
2022
2021
Income and endowments from:
Note
£
£
£
Donations and legacies
2
2,954
2,954
3,674
Charitable activities
3
842,614
842,614
18,772
Other trading activities
4
395,181
395,181
28,419
Investments
5
133
133
111
Other
6
125,605
125,605
176,244
Total income and endowments
1,366,487
1,366,487
227,220
Expenditure on:
1,366,487
1,366,487
227,220

Raising funds
8		 311,180
311,180
71,095
Charitable activities
9
Flower show event
Park maintenance
Governance costs
Total expenditure
Net income/(expenditure)
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 789,835
789,835
149,355
44,715
44,715
29,727
27,322
27,322
4,608
1,173,052
1,173,052
254,785
193,435
193,435
(27,565)
193,435
193,435
(27,565)
875,752
875,752
903,317
1,069,187
1,069,187
875,752

The Statement of Financial Activities includes all gains and losses recognised in the year.

All of the above amounts relate to continuing activities.

The notes on pages 15 to 32 form part of these financial statements

Page 12

SOUTHPORT FLOWER SHOW

CHARITABLE COMPANY LIMITED BY GUARANTEE

BALANCE SHEET

AS AT 31 DECEMBER 2022

Note
Fixed assets
Intangible assets
12
Tangible assets
13
Investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more
than one year
17
Net assets
Unrestricted funds
General fund
18
Fixed assets fund
18
Revaluation fund
18
Restricted funds		 2022
£
-
632,340
-		 Group
2021
£
-
673,412
-		 Charity
2022
2021
£
£
-
-
616,594
653,155
52
52
632,340
102,609
579,473		 673,412
134,474
366,459		 616,646
653,207
66,271
180,223
466,577
204,176
682,082
(206,903)		 500,933
(260,260)		 532,848
384,399
(199,208)
(181,003)
475,179 240,673 333,640
203,396
1,107,519
(38,332)		 914,085
(38,333)		 950,286
856,603
(38,332)
(38,333)
1,069,187 875,752 911,954
818,270
436,847
230,626
401,714
-		 202,340
254,116
419,296
-		 295,359
165,115
214,881
233,859
401,714
419,296
-
-
1,069,187 875,752 911,954
818,270

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

These financial statements were approved by the members of the committee and authorised for issue on .............................................. and are signed on their behalf by:

.................................................................. .................................................................. M Steinberg A Pope Trustee Trustee/Treasurer

Company registration number: 02103365

Page 13

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

CONSOLIDATED STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 DECEMBER 2022

Note
Cash (utilised)/generated by operating activities
23
Cash flows from investing activities
Investment income
Purchase of tangible fixed assets
Cash (used in)/provided by investing activities
(Decrease)/Increase in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the
year
Total cash and cash equivalents at the end of
the year
Cash at bank
Bank loan		 2022
£
213,290
133
(408)
(275)
213,015
328,126
579,473
(38,332)
541,141
541,141		 2021
£
59,644
111
(4,050)
(3,939)
55,705
272,421
328,126
366,459
(38,333)
328,126

Page 14

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1 Accounting Policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Basis of Accounting

The financial statements have been prepared under the historical cost convention as modified by the revaluation of leasehold improvements and in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, and UK Generally Accepted Accounting Practice.

The statement of financial activities (SOFA) and balance sheet consolidate the financial statements of the Charity and its subsidiary undertakings. The results of the subsidiary undertakings are consolidated on a line by line basis. No separate SOFA has been presented for the charity alone as permitted by Section 408 of the Companies Act 2006. The parent company’s deficit for the year was £79,365.

Southport Flower Show meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.

Preparation of the accounts on a going concern basis

The trustees are required to assess whether the use of going concern is appropriate, ie whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern.

The trustees are required to assess whether the use of going concern is appropriate, i.e., whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern.

The Trustees make this assessment in respect of a period of at least one year from the date of authorisation of the accounts. The Flower Show in 2022 was run successfully resulting in an increase in the overall reserves of the Charity. The Trustees are confident that they are now in a more sustainable financial position and consider that the preparation of the accounts on a going concern basis is appropriate.

Page 15

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

1 Accounting Policies (continued)

Incoming Resources

Incoming resources represents net amounts, excluding value added tax.

Income is included gross of any expenditure and grants received and comprises admissions, site rentals, sponsorship and other related income in respect of activities for generating funds.

Grants received are credited to income as they are received except where conditions imposed require amounts to be deferred to future years.

Donations from the subsidiary company are accounted for when received.

Resources Expended

The resources expended have been analysed between the Charity's main activities and relate to the direct costs of achieving the Charity's objects. Within these costs is an element of support costs, which are allocated on a reasonable and consistent basis from year to year, as described in the notes to the financial statements.

The costs relating to the Show have been split between charitable activities and raising funds in proportion to the relative income in charitable activities and other trading.

Governance costs consist of necessary running costs for the Charity which do not have a direct impact on its objectives.

All costs are accounted for on an accruals basis as they become due.

Fixed Assets

Fixed asset investment

Shares held in the charitable company's subsidiaries are shown at nominal value which is not considered to be materially different from the market value.

Tangible Fixed Assets

Fixed assets consists of improvements to the Showground on which the Charity originally had a 60-year lease (from 1994) with Sefton Metropolitan Borough Council (SMBC). This lease has been extended by 60 years to 2114. At the end of the lease, the grounds will revert back to Sefton Council. The Charity acquired this lease and certain buildings on the site for nil consideration. These assets are depreciated over the life of the original lease on a straight line basis.

Major improvements to the Showground were completed in 1995. These assets are depreciated on a straight line basis over 27 years. During 1999 a separate office building was completed on the Showground, which is depreciated over the remainder of the life of the lease, which is 47 years on a straight line basis.

Page 16

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

1 Accounting Policies (continued)

During 2007 the assets included in the leasehold premises were revalued. A valuation was completed in 2014. The value obtained was not significantly different to the value already included in the accounts so the accounts have not been adjusted for this valuation. The current value will be carried forward as deemed cost in the accounts. Individual assets with a cost not exceeding £1,000 are not capitalised but expended in the year they are acquired.

Depreciation

Depreciation is calculated so as to write off the cost of an asset less its estimated residual value over the useful economic life of that asset as follows:

Pensions

The Charity operates a defined contribution pension scheme. Contributions payable for the year are charged in the Statement of Financial Activities.

Funds

Unrestricted funds are those funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the company for particular purposes. Designated funds are those earmarked by trustees for specific future purposes and related costs.

Critical accounting estimates and areas of judgement

Accounting estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are disclosed below.

Valuation of Land and Buildings

See fixed assets accounting policy

Critical areas of judgement

There are no other critical areas of judgement in these accounts.

Page 17

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

2 Donations and legacies

Other donations Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
2,954
2,954
3,674

Income from donation and legacies was £2,954 (2021: £3,674), and the whole amount was unrestricted (2021: £674).

3 Charitable activities

Charitable activities
Show admissions
Other income
Grant income		 Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
840,632
840,632
1,827
1,982
1,982
-
-
-
16,945
842,614
842,614
18,772

Income from charitable activities was £842,614 (2021: £18,772). Income in both years was unrestricted.

Page 18

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

4 Other trading activities

Other trading activities
Trade stands
Catalogues
Car parking
Sundry income
Sponsorship		 Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
287,582
287,582
27,713
16,490
16,490
-
40,463
40,463
-
5,346
5,346
706
45,300
45,300
-
395,181
395,181
28,419

Income from other trading activities was £395,181 (2021: £28,419). Income in both years was unrestricted.

5 Income from investments

Bank interest receivable Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
133
133
111
133
133
111

Income from investments was £133 (2021: £111). Income in both years was unrestricted.

Page 19

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

6 Other Incoming Resources

Other Incoming Resources
Coronavirus Job Retention Scheme grants
Hire of facilities		 Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
-
-
25,255
125,605
125,605
150,989
125,605
125,605
176,244

Other income was £125,605 (2021: £176,244) of which £125,605 (2021: £176,244) was unrestricted.

7 Costs – Basis of Allocation

Costs have been allocated to reflect the activities of the charity as follows:

Costs have been split between expenditure relating to charitable expenditure and raising funds based on the levels of income generated from charitable activities and other trading. 1% of employment costs, office expenses and depreciation has been allocated to governance costs within charitable activities.

Page 20

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

8 Raising funds

Show infrastructure
Health and safety
Car park costs
Event costs
Volunteer costs
Hire of equipment
Other show costs
Security
Marketing and promotion
Employee costs
Office expenses and consultancy
Depreciation		 Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
130,212
130,212
235
840
840
-
1,947
1,947
-
6,184
6,184
227
484
484
-
1,085
1,085
476
54,990
54,990
1,610
12,214
12,214
-
19,481
19,481
4,232
58,397
58,397
43,346
12,122
12,122
5,464
13,224
13,224
15,503
311,180
311,180
71,095

The cost of raising funds was £311,180 (2021: £71,093). Cost in both was unrestricted.

Page 21

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

9 Charitable activities

Flower show event
Competition costs and prizes
Show infrastructure
Health and safety
Car park costs
Event costs
Volunteer costs
Hire of equipment
Other show costs
Security
Marketing and promotion
Employee costs
Office expenses and consultancy
Depreciation
Irrecoverable VAT
Park maintenance
Repairs and renewals
Vehicle costs
Rates
Utilities
Insurance
Governance costs
Employee costs
Other employment cost
Audit fees
Accountancy fees
Depreciation
Office expenses and consultancy		 Unrestricted
Total
Total
general
funds
funds
funds
2022
2021
£
£
£
39,656
39,656
-
276,701
276,701
501
1,786
1,786
-
4,137
4,137
-
13,141
13,141
482
1,027
1,027
-
2,304
2,304
1,012
116,853
116,853
3,422
28,500
28,500
-
41,396
41,396
8,992
122,322
122,322
90,756
26,859
26,859
11,555
27,839
27,839
32,636
87,314
87,314
-
789,835
789,835
149,355
16,615
16,615
6,719
2,198
2,198
3,639
14,635
14,635
11,184
3,075
3,075
1,040
8,192
8,192
7,145
44,715
44,715
29,727
1,824
1,824
1,354
12,500
12,500
-
11,620
11,620
-
-
-
2,600
415
415
486
963
963
168
27,322
27,322
4,608
861,872
861,872
183,691

The cost of charitable activities was £861,872 (2021: £183,693). Costs in both years was unrestricted.

Page 22

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

10 Net outgoing resources for the year

E YEAR ENDED 31 DECEMBER 2022
Net outgoing resources for the year
This is stated after charging:
Depreciation
Auditors' remuneration:		 2022
2021
£
£
41,478
48,627
- audit of the financial statements (net of VAT)
- Independent examination of the accounts		 9,170
-
1,900
- other fees (see below)(net of VAT) 2,450
700

Auditor's/Independent examiner's fees

The other fees charged by the auditor can be further analysed under the following headings for services rendered:

Accountancy 2022
2021
£
£
2,450
700

11 Staff Costs and Emoluments

2022
£		 2021
£
Wages and salaries
Social security costs
Other pension costs		 186,932
6,318
3,407		 124,859
5,568
3,098
196,657 133,525

Particulars of employees:

The average number of employees during the year was as follows:

Number of full time staff
Number of part time staff		 2022
2021
No
No
1
2
7
4
8
6

For the majority of the year there are 9 part-time staff. Additional staff are employed for the duration of the Southport Flower Show event.

No employee received remuneration of more than £60,000 during the year (2021: Nil).

Page 23

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

12 Intangible Fixed Assets

GROUP
Cost or valuation
At 1 January 2022
Additions
At 31 December 2022
Depreciation
At 1 January 2022
Charge in the year
At 31 December 2022
Net book value
At 31 December 2022
At 1 January 2022
CHARITY
Cost or valuation
At 1 January 2022
Additions
At 31 December 2022
Depreciation
At 1 January 2022
Charge in the year
At 31 December 2022
Net book value
At 31 December 2022
At 1 January 2022		 Website
costs
Total
£
£
20,000
20,000
-
-
20,000
20,000
20,000
20,000
-
-
20,000
20,000
-
-
-
-
Website
costs
Total
£
£
20,000
20,000
-
-
20,000
20,000
20,000
20,000
-
-
20,000
20,000
-
-
-
-

Page 24

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

13 Tangible Fixed Assets

GROUP
Cost or valuation
At 1 January 2022
Additions
Disposals
At 31 December 2022
Depreciation
At 1 January 2022
Charge in the year
Disposals
At 31 December 2022
Net book value
At 31 December 2022
At 1 January 2022
CHARITY
Cost or valuation
At 1 January 2022
Additions
Disposals
At 31 December 2022
Depreciation
At 1 January 2022
Charge in the year
Disposals
At 31 December 2022
Net book value
At 31 December 2022
At 1 January 2022		 Leasehold
premises
Plant &
Equipment
Total
£
£
£
1,002,719
306,275
1,308,994
-
408
408
-
-
-
1,002,719
306,683
1,309,402
393,299
242,285
635,584
26,546
14,932
41,478
-
-
-
419,845
257,217
677,062
582,874
49,466
632,340
609,420
63,990
673,410
Leasehold
premises
Plant &
Equipment
Total
£
£
£
993,345
262,479
1,255,824
-
-
-
-
-
-
993,345
262,479
1,255,824
389,678
212,991
602,669
25,086
11,475
36,561
-
-
-
414,764
224,466
639,230
578,581
38,013
616,594
603,667
49,488
653,155

Page 25

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

13 Tangible Fixed Assets (continued)

The charitable company's leasehold premises were originally revalued on 1 February 2008 by an external valuer, The Anthony Hill Partnership, Chartered Surveyors. The basis of the valuation was existing use value in respect of the main administration office and stores, and depreciated replacement cost in respect of other ancillary buildings. The infrastructure to the park has been included at historic cost less depreciation.

The valuation was reviewed by Eckersley Chartered surveyors during 2014 and it was agreed the values are fairly reflected.

The depreciated historic cost of total assets is £545,538. Depreciation charge for the year based on historical cost would have been £14,634.

The open market value of the main administration office and stores is considered to be £375,000 compared to the existing use value of £470,000. The reason for the difference is the restrictions placed upon the use of the buildings under the terms of the lease.

The trustees are not aware of any material change in value of the above assets. The valuations included above will be carried forward as deemed cost.

14 Investments

Group
Other investments
Shares held in subsidiaries
Charity
Other investments
Shares held in subsidiaries		 Total Funds
2022
£
-
Total Funds
2022
£
52		 Total Funds
2021
£
-
Total Funds
2021
£
52

The above investments are shown at the nominal value of shares held by the charitable company in its subsidiaries, Victoria Park Management Company (Southport) Ltd and Southport Events Ltd (which is dormant).

A summary of the results for the trading company, Victoria Park Management Company (Southport) Limited is shown below.

Page 26

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

14 Investments (Continued)

Investments (Continued)
Turnover
Cost of sales
Gross loss
Administrative expenses
Other operating income
Interest receivable
Operating profit
Tax on profit
Profit for the financial year
Retained earnings brought forward
Distributions to parent charity under gift aid
Retained earnings carried forward		 2022
2021
£
£
287,584
24,263
(463,777)
(12,668)
(176,193)
11,595
(66,668)
(52,897)
399,280
154,440
-
6
156,419
113,144
-
-
156,419
113,144
57,480
(55,664)
(56,670)
-
157,229
57,480

The reserves and capital of Victoria Park Management Company (Southport) Limited as at 31 December 2022 were a 157,231.

15 Debtors

Debtors
Trade debtors
Other debtors
Prepayments		 2022
£
61,830
54
40,725		 Group
2021
£
96,061
105
38,308		 Charity
2022
2021
£
£
52,195
26,744
2
143,055
14,074
10,424
102,609 134,474 66,271
180,223

Page 27

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

16 Creditors: Amounts falling due within one year

Group Charity
Trade creditors
Taxation and social security
Deferred income
Other creditors
Accruals
Amounts owed to group undertakings
Deferred income
Deferred income as 1 January
Released from previous year
Income deferred in the year
Deferred income at 31 December		 2022
£
45,328
52,966
74,033
6,334
28,242
-		 2021
£
16,687
4,335
226,364
10,277
2,600
-		 2022
2021
£
£
6,168
6,606
2,484
-
68,469
162,220
6,263
10,277
31,543
1,900
84,281
-
206,903 260,263 199,208
181,003
2022
£
226,364
(226,364)
74,033		 Group
2021
£
157,845
-
68,519		 Charity
2022
2021
£
£
162,220
67,287
(162,220)
-
68,469
94,933
74,033 226,364 68,469
162,220

Creditors: Amounts falling due after more than one year

Other loans 2022
£
38,332		 Group
2021
£
38,332		 Charity
2022
2021
£
£
38,332
38,332
38,332 38,332 38,332
38,332

17 Pensions

The Charity operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the Charity. The total charge for the year was £3,407 (2021: £3,097).

Page 28

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

18 Unrestricted Income Funds

Group
Movement for the period
Balance at start of period
(Deficit)/surplus for the period
Transfers
Balance at the end of the period
Analysis of assets and liabilities
Fixed assets and investments
Current assets
Current liabilities
Creditors due after more than one yea
Balance at end of period
Charity
Movement for the peiod
(Deficit)/surplus for the period
Transfers
Balance at the end of the period
Analysis of assets and liabilities
Fixed assets and investments
Current assets
Current liabilities
Creditors due after more than one yea
Balance at end of period
Balance at start of period		 Fixed asset/
General
Total Funds
Total Funds
Reval Fund
Fund
2022
2021
£
£
£
£
673,412
202,340
875,752
903,318
(41,478)
234,913
193,435
16,158
406
(406)
-
-
632,340
436,847
1,069,187
919,476
632,340
-
632,340
760,908
-
682,082
682,082
530,597
-
(206,903)
(206,903)
(109,402)
r
-
(38,332)
(38,332)
632,340
436,847
1,069,187
1,182,103
Fixed asset/
General
Total Funds
Total Funds
Reval Fund
Fund
2022
2021
£
£
£
£
653,155
165,115
818,270
1,050,448
(36,561)
130,245
93,684
(12,100)
-
-
-
-
616,594
295,360
911,954
1,038,348
616,594
52
616,646
731,590
-
532,848
532,848
409,060
-
(199,208)
(199,208)
(102,302)
r
-
(38,332)
(38,332)
616,594
295,360
911,954
1,038,348

The fixed asset fund represents the depreciated fixed asset costs incurred to date, equivalent to the net book value of existing fixed assets. This fund is shown separately to designated funds and 'free reserves' since the total does not consist of liquid funds for the general use of the Charity.

The revaluation reserve fund is required by the Companies Act 2006 and represents the amount by which investments exceed the historical cost. This is included within the fixed asset fund.

Page 29

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

18 Unrestricted Funds (Continued)

Group
Movement for the period
Balance at start of period
(Deficit)/surplus for the period
Transfers
Balance at the end of the period
Analysis of assets and liabilities
Fixed assets and investments
Current assets
Current liabilities
Creditors due after more than one year
Balance at end of period
Charity
Movement for the peiod
(Deficit)/surplus for the period
Transfers
Balance at the end of the period
Analysis of assets and liabilities
Fixed assets and investments
Current assets
Current liabilities
Creditors due after more than one year
Balance at end of period
Balance at start of period		 Fixed asset/
General Total Funds
Total Funds
Reval Fund
Fund
2021
2020
£
£
£
£
717,988
185,330
903,318
1,182,103
(44,576)
17,010
(27,566)
(278,785)
-
(38,333)
(38,333)
-
673,412
164,007
837,419
903,318
673,412
-
673,412
717,988
-
500,933
500,933
402,036
-
(260,260)
(260,260)
(166,706)
-
(38,333)
(38,333)
(50,000)
673,412
202,340
875,752
903,318
Fixed asset/
General Total Funds
Total Funds
Reval Fund
Fund
2021
2020
£
£
£
£
696,083
262,900
958,983
1,038,348
(42,928)
(97,785)
(140,713)
(79,365)
-
(38,333)
(38,333)
(50,000)
653,155
126,782
779,937
908,983
653,155
52
653,207
696,135
-
384,399
384,399
407,381
-
(181,003)
(181,003)
(94,533)
-
(38,333)
(38,333)
(50,000)
653,155
165,115
818,270
958,983

Page 30

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

19 Transactions with Trustees

Expenses

Trustees are only reimbursed for expenses incurred during the year on Flower Show business. The total amount refunded in the year amounted to £nil (2021: £nil).

Remuneration

No (2021: Nil) trustees had an interest in businesses whose services have been used by the Charity during the year. The services have been provided at no greater cost than would have been incurred by using a third party. This arrangement is in line with the Charity's Constitution.

During the year, two trustees received remuneration in respect of additional consultancy services provided to the Charity as a result of an exceptional operational matter (2021: none).

20 Related party transactions

During the year a total of £Nil (2021: £Nil) was paid to companies in which Trustees and parties related to senior management had an interest for services provided to the Charity.

The remuneration payable to Key Management Personnel was £52,082 (2021: £46,890).

21 Company Limited by Guarantee

Southport Flower Show is a charitable company limited by guarantee. Every member of the charitable company undertakes to contribute to the assets of the charitable company in the event of the same being wound up while he is a member of within one year after he ceases to be a member.

This covers payment of debts and liabilities of the charitable company contracted before he ceases to be a member and of the costs, charges and expense of winding up and for the adjustment of the rights of the contributories among themselves, such amount as may be required not exceeding one pound

22 Revaluation Reserve

Within the fixed assets fund is a balance relating to the revaluation reserve. The movement on this reserve may be summarised as follows:

Group and Charity
Balance at the start of the year
Transfer to fixed assets
Balance at end of the year		 2022
2021
£
£
419,296
432,028
(17,582)

(12,732)
401,714
419,296

Page 31

SOUTHPORT FLOWER SHOW CHARITABLE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

23 Reconciliation of net movement in funds to cash flow from operating activities

Net movement in funds
Depreciation
Interest income shown in investing activities
(Increase)/decrease in debtors
(Decrease)/increase in creditors
Net cash generated by operating activities		 Total
Total
funds
funds
2022
2021
£
£
193,435
(27,570)
41,478
48,627
(133)
(111)
31,870
(54,859)
(53,360)
93,557
213,290
59,644

Page 32