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2021-03-31-accounts

Registered Charity Number 1002269

Registered Company Number 2589184

Prema

Company Limited by Guarantee

Report and Accounts

For The Year Ended

31 March 2021

Number Hut Limited Chartered Certified Accountants 13 The Green, Uley, Dursley, Gloucestershire, GL11 5SN

Prema

Report and accounts

For the year ended 31 March 2021

Contents

Pages
Report of the Council of Management/Directors 1 - 6
Independent Examiner's report 7 - 8
Statement of Financial Activities 9
Balance sheet 10
Notes to the accounts 11 - 21

Prema Report of the Council of Management For the year ended 31 March 2021

Introduction

The Council of Management, who are also Directors for the purposes of the Companies Act, have pleasure in presenting their annual report and unaudited financial statements of the charity for the year ended 31 March 2021.

Reference and Adminstrative Information

Charity name Prema Company Registration Number 2589184 Charity Registration Number 1002269 The Registered Office is Bethesda Chapel Uley Dursley Gloucestershire GL11 5SS Council of Management Simon Opher (Chair) Simon Fisher (Treasurer) Thrisa Haldar Kenneth Lush Laura Nicholas Janet Wood Kim Lawrence Peter Duff Hart-Davis Karen Pitney Karen Hilliard (Company secretary) Tom Williams Bethan Marriott (appointed 8 November 2021) Katie Norton (appointed 8 November 2021) Melanie Paraskava (appointed 8 November 2021)

Non-voting members: Faye Stewart (Relationship Manager, Arts Council England) Independent Examiner Anita Buckley Number Hut Limited 13 The Green Uley Dursley Gloucestershire GL11 5SN

1

Prema Report of the Council of Management For the year ended 31 March 2021

Structure, Governance and Management

The company is established as a company limited by guarantee and is registered with the Charity Commission. The affairs of the company are governed by its memorandum and articles of association. The liability of the members in the event of the company being wound up is limited to a sum not exceeding £1.00.

General

The former “Prema Project” existed to oversee the assets of the Prema Trust (shares and investments and their building, Bethseda Chapel, which is used by Prema for its business). During the Financial year 1996/7 the Prema Project took the decision to 'wind up' and to sign over all of its assets to Prema, thus making both the Chapel and the monies invested, the property of the trading company. At the AGM in November 1997, it was agreed the shares now owned by the company should be cashed in and the money be invested in the existing COIF account. This "nest egg" was then invested in the fabric of Bethesda Chapel as part of a major refurbishment programme in FY 2015/16.

Prema is overseen by a Council of Management - independent people who either have a specialist working knowledge in the area of Prema's trade, or those who have significant links/understanding of local politics and how Prema might be best positioned to enjoy a healthy, continued funding relationship with existing investors. The members receive no remuneration for their time investment in Prema - the Council does not take expenses, it relies solely on goodwill and belief in the mission of the organisation.

Recruitment and appointment of new members of the Council of Management

The Council of Management holds its AGM each Autumn. New members to the committee are actively recruited (via the existing board and/or staff). The Council of Management seeks to bring individuals onto the board who have a specialist knowledge or experience which would lend itself well to Prema's operation and plans for future development.

Objectives and Activities

Prema exists to allow the community to interface with quality arts activities through a programme of creative opportunities and cultural expression. The programme embraces an ambitious education programme of workshops, weekly classes and seminars as well as an impressive outreach programme which offers dynamic arts opportunities to schools and community & health organisations within Gloucestershire's administrative boundaries (and farther afield too).

In addition to its prominent education programme, Prema is a Centre of Excellence for contemporary and emerging artforms. Arts Council England - South West (Prema's largest single investor) has included this organisation in its portfolio of funded organisation (NPO – National Portfolio Organisation) in recognition of Prema’s strategic developmental role for emerging artists and arts practices. This role is delivered via a programme of Performance, Physical Theatre, New Dance and Installation based visual art and all the hybrids between established and emerging artforms. ACE (SW) also maintains investment in Prema by way of supporting the full participatory and education programmes delivered by the Centre.

2

Prema Report of the Council of Management For the year ended 31 March 2021

Prema also receives grant funding from Stroud District Council, currently £5,000 per annum. It should be noted that the current investment is less than one third of the Council's investment in the mid 1990s. This action was taken due to the compulsion for all local authorities to dramatically reduce their investments and costs in the light of economic downturn and global recession. It is for this reason that Prema has sought to diversify its own earned income streams and to become less reliant on grant aid – however, the size of this organisation, its rural location and the ratio of quality vs. afforability means that Prema is (and will continue to be) unable to function without the investment from Arts Council England and other grant-making bodies.

Prema's administrative base is Bethesda Chapel, South Street, Uley, Dursley GL11 5SS. We promote a large number of events at the Centre itself, but we also have a growing demand to promote activities in other venues - often in partnership with other promoters. Our schools outreach programme is very popular and we (in accordance with suggestion from SDC) have worked in partnership with other venues and community organisations to offer affordable, accessible, robust creative programmes for members of the community (in its broadest context) and to promote developmental, challenging projects and events which respond to the cultural palette of the locality, but also to show tomorrow's mainstream today.

Achievements and Performance

Developments, Activities and Achievements during the year

This was an unusual year for Prema with pandemic affecting the outputs and income of this charity. It has been a period of great uncertainty and heart-break for Prema and its supporters however we have been immeasurably more fortunate than so many. We have been fortunate to maintain the core funding from Arts Council England and also Stroud District Council as well as make good use of the Job Retention Scheme (furlough), meaning that the key elements of expenditure have been covered. Our ability to earn any significant income has been hampered by a year which has been plagued by lockdowns, outbursts of the virus, fear and apprehension from every member of the public in regards to their safety away from home. But it has also brought about a sense of dread for the financial stability of everything and for everyone for the foreseeable future. Prema is in a lucky position to have ongoing core investment until March 2023 from Arts Council England and has used the fallow periods of the pandemic to plan for the future and rationalise expenditure and staffing resources to afford this charity a greater sense of financial balance moving forward.

Going concern

As we experience trying financial times in the UK alongside an increasingly politicized culture, the certainty of continued core funds for Prema looks increasingly shaky. As reported above, Gloucestershire County Council have disinvested from all but their essential services and the stability of investments from Stroud District Council is somewhat fragile. The certainty of monies from Arts Council England matched with a reduction in staff working hours means that we can look forward to a future – one which is far from certain – but a future nonetheless.

3

Prema Report of the Council of Management For the year ended 31 March 2021

Risk

As highlighted above, the future looks uncertain. This is not particular to Prema – every arts organisation in England, Wales and Scotland is experiencing similar financial problems due to the effects of the pandemic. Prema is a relatively admin-light organisation. Being small and independent, it means that Prema can quickly and effectively change or adapt to the funding climate. Its brand is strong, its programme even stronger and we believe that through careful planning and robust communication with our peer organizations and funders, that we may still look forward to a long and healthy future.

Fundraising

Prema has continued to work with other arts organisations in the county to boost fundraising capacity and skills so that we are able to build projects and initiatives as well as exploring a more sustainable seam of income. We fundraise through a variety of means - a permanent collection box on site, personalised letters sent to those who are frequent users of the arts centre and also developing relationships with 'high-worth individuals' who have an established reputation as benefactors for particular creative or community-based projects.

Due to the covid lockdowns and prelonged closed periods donations have been minimal in the year to 31 March 2021.

All donations that were received in the year have been included within unrestricted funds.

Financial review

The financial statements are set out on pages 9 to 21.

As shown in the Statement of Financial Activities schedule, there has been net income in the year of £24,060 (year ended 31 March 2019: total net expenditure of £18,929).

The in-year surplus has arisen primarily due to ongoing grant funding continuing in the year from the Arts Council and Stroud District Council (see note 3) in period when expenditure has reduced significantly due to the covid shutdowns. The in-year movement is therefore somewhat misleading.

Furlough grant income from HMRC of £36,659 was also received in the year, to partially offset payroll costs in the shutdown periods. This has been included in the accounts within "other income", see

In addition Prema also received covid relief grants in the year totalling £25,000. £15,000 was received from the Arts Council, of which the Council of Management consider £8,520 was spent in the year on specific expenses required to re-open following the covid shutdowns. The balance of £6,480 has been carried forward at the year end. £10,000 was received in the year from Stroud District Council and that income has been wholly deferred in this accounting year, to be expended when activity and trading resumes. The total covid grant income carried forward at the year end of £16,480 has been included in the accounts as unrestricted deferred income, see note 17.

4

Prema Report of the Council of Management For the year ended 31 March 2021

Reserves

All funds have positive fund balances at the year end, with cumulative charity funds totalling £551,352

The Council of Management consider unrestricted funds not committed or invested in tangible fixed assets held by the charity are adequate, and will continue to monitor transactions with the aim of retaining sufficient reserves for the future by both investigating ways of increasing income and reducing costs.

Unrestricted funds

During the year ended 31 March 2021 there was net income of £27,967, compared to net expenditure

Unrestricted funds held at 31 March 2021 totalled £100,093, increased from £72,126 held at the previous year end. As mentioned above, this increase is somewhat misleading as ongoing grant funding received in the current year is in effect unspent in the year due to covid shutdowns. The Council of Management consider this fund increase will be utilised in future years, once activities trading can hopefully return.

Restricted funds

Restricted funds comprise National Lottery funded assets, grant and donation funded building works and a piano bursary.

There is net expenditure within restricted funds of £2,715 in the year, and £1,200 endowment funds, relating to the continued depreciation of the historic buildings cost.

Specific changes in fixed assets

Changes in fixed assets are shown in detail in the notes to the accounts. There were minimal changes in fixed assets in the year.

Share capital

The company is limited by guarantee and therefore has no share capital.

Independent examiner

There has been no change of independent examiner during the year, which remains as Anita Buckley from Number Hut Limited.

5

Report of the Council of Management For the year ended 31 March 2021

Prema

Statement of Responsibilities of the Council of Management

The Charities Act and the Companies Act require the Council of Management to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements the Board is required to :-

The Council of Management are also responsible for maintaining adequate accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which are sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with the Companies Act 2006 and comply with regulations made under the Charities Act. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Council of Management are also responsible for the contents of the their report, and the responsibility of the independent examiner in relation to the Council of Managements' report is limited to examining the report and ensuring that , on the face of the report, there are no inconsistencies with the figures disclosed in the financial statements.

Method of preparation of accounts

The Council of Management have adopted the provisions of 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 "(FRS102) (effective 1 January 2019).

Approval

This report and the annual accounts were discussed at a meeting of the Council of Management and were approved by the Council of Management on 8 November 2021.

Karen Hilliard Company Secretary 17 December 2021

6

Prema

Report of the Independent Examiner to the Council of Management on the accounts of the Charity for the year ended 31 March 2021

I report on the financial statements of the Charity for the year ended 31 March 2021 which are set out on pages 9 to 21.

Respective responsibilities of Council of Management and examiner

The charity's Council of Management (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The charity’s Council of Management consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Charities Act), and that an independent examination is needed.

I am qualified to undertake the examination by being a qualified member of the Chartered Association of Certified Accountants.

Having satisfied myself that the charity is not subject to audit under company law, or otherwise, and is eligible for independent examination, it is my responsibility to:

Basis of independent examiner's report

My examination was carried out in accordance with general Directions given by the Charity Commission. An independent examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the Council of Management concerning any such matters.

The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the next statement.

7

Prema Report of the Independent Examiner to the Council of Management on the accounts of the Charity for the year ended 31 March 2021

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

have not been met or

Anita Buckley

Number Hut Limited 13 The Green Uley Dursley Gloucestershire GL11 5SN

Date 17 December 2021

Relevant professional qualification(s) or body:

FCCA (Fellow of the Association of Chartered Certified Accountants)

8

Prema

Statement of Financial Activities

for the year ended 31 March 2021

Note
Income:
Donations and legacies
3
4
5
6
Other income
7
Total income
Expenditure
8
9
11
Total expenditure
Net income/expenditure
Net movement in funds
19
Reconciliation of funds
19
Income from charitable activites
Income from trading activites
Total funds carried forward
Total funds brought forward
Other recognised gains/(losses)
Other
Transfers between funds
Investment income
Costs of raising funds
Charitable activities		 Unrestricted
funds
Restricted
funds
Endowment
funds
Total this
year
Total last
year
2021
2021
2021
2021
2020
£
£
£
£
£
76,430
-
-
76,430
76,497
7,206
-
-
7,206
37,289
1,152
-
-
1,152
16,036
14
-
-
14
70
45,979
5,588
-
51,567
6,093
130,781
5,588
-
136,369
135,985
14,002
-
-
14,002
14,306
88,812
8,295
1,200
98,307
140,608
-
-
-
-
-
102,814
8,295
1,200
112,309
154,914
27,967
2,707
-
1,200
-
24,060
18,929
-
-
-
-
-
-
-
-
-
-
-
27,967
2,707
-
1,200
-
24,060
18,929
-
72,126
120,403
84,000
276,529
295,458
100,093
117,696
82,800
300,589
276,529

The net movement in funds referred to above is the net incoming resources as defined in the SORP and is reconcilited to the total funds as shown in the Balance Sheet on page 10 as required by the SORP.

All income and expenditure derives from continuing activities.

The statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 11 to 21 form an integral part of these accounts.

9

Prema Company number Balance Sheet as at 31 March 2021

2589184

Note
Fixed assets
Tangible assets
14
Current assets
Stock
15
Debtors
16
Cash at bank and in hand
Total current assets
Liabilities
Creditors: amounts falling due within
one year
17
Net current assets/(liabilities)
Total net assets
Funds of the Charity
Unrestricted funds
Designated funds
Restricted income funds
Endowment funds
Total charity funds
19
Expendable restricted fund/deferred
income
18		 Unrestricted
funds
Restricted
funds
Endowment
funds
Total this
year
Total last
year
2021
2021
2021
2021
2020
£
£
£
£
£
38,184 363,563 82,800 484,547
493,639
- - - -
-
3,267
- - 3,267
2,270
81,462 4,896
- 86,358
46,559
84,7294,896
-89,625
48,829
22,820
- - 22,820
9,588
61,909 4,896
- 66,805
39,241
100,093 368,459 82,800 551,352
532,880
68,836
68,836
40,061
31,257
31,257
32,065
117,696
117,696
120,403
82,800 82,800
84,000
250,763
250,763
256,351
100,093 368,459 82,800 551,352
532,880

For the financial year ended 31 March 2021, the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006, and no notice has been deposited under section 476 of the Act.

The Council of Management acknowledge their responsibility for ensuring that the charity keeps accounting records which comply with section 386 of the Act, and for preparing accounts which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of its profit or loss for the financial year in accordance with the requirements of section 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to accounts, so far as applicable to the charity.

These accounts have been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006 and with the Financial Reporting Standard for Smaller Entities (effective January 2015) and the Statement of Recommended Practice applicable to charities.

Approved by the Council of Management on 8 November 2021 and signed on its behalf by

Simon Opher Chair 17 December 2021

The notes on pages 11 to 21 form an integral part of these accounts.

10

Notes to the Accounts

Prema

for the year ended 31 March 2021

1 Accounting policies

Basis of preparation of the accounts

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charites preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities, the Financial Reporting Standard for Smaller Entities (FRS 102) and the Companies Act 2006.

Accounting convention

The financial statements are prepared,on a going concern basis, under the historical cost convention. Assets and liabilities are initially recognised at historical cost or transaction value, unless otherwise stated in the relevant accounting policy note(s).

Incoming Resources

Incoming resources are accounted for on a receivable basis.

Investment Income

Bank interest is included in the income and expenditure account on a receivable basis.

Grant Income

Revenue grants are credited to the income and expenditure account as receivable.

Fixed assets acquired with grant assistance are stated at cost and depreciated over their useful economic lives. The receipt of the grant is recorded as a restricted fund in the statement of financial activities. Depreciation charged on fixed assets purchased by grant money is shown as expenditure out of the restricted fund.

Recognition of liabilities

Liabilities are recognised on the accruals basis in accordance with normal accounting principles, modified where necessary in accordance with the guidance given in the SORP.

Resources Expended

All expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation to pay for expenditure. Charitable expenditure includes both direct costs of the programmes and support costs relating to these activities. Governance costs include those costs incurred in the goverance of the charity and its assets and are primarily those associated with constitutional and statutory requirements. Support costs include central functions and are those functions that assist the work of the charity but do not directly relate to charitable activities.

The allocation and apportionment of costs between charitable activities, governance and support costs is based on the use of each specific resource.

Fixed assets and depreciation

All tangible fixed assets are stated at historical cost less depreciation.

Website development costs have been capitalised as a tangible fixed asset in accordance with FRS 15 and UITF abstract 29. It is considered reasonably certain that the website will generate future economic benefit at least as great as the amount capitalised over its anticipated useful life of 5 years.

11

Prema Notes to the Accounts

for the year ended 31 March 2021

1 Accounting policies, continued

Depreciation has been provided at the following rates in order to write off the assets (less their estimated residual value) over their estimated useful economic lives.

Freehold land - Buildings 2% straight line basis Fixtures and fittings 20% reducing balance basis Website 20% straight line basis

Stock

Stock is included at the lower of cost or net realisable value.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Taxation

As a registered charity, the company is exempt from income and corporation tax to the extent that its income and gains are applicable to charitable purposes only. Value Added Tax is not recoverable by the company, and is therefore included in the relevant costs in the Statement of Financial Activities.

Funds structure policy

The charity maintains a general unrestricted fund which represents funds which are expendable at the discretion of the trustees in furtherance of the objects of the charity. Such funds may be held in order to finance both working capital and capital investment.

Restricted funds have been provided to the charity for particular purposes, and it is the policy of the board of trustees to carefully the monitor the application of those funds in accordance with the restrictions placed upon them.

There is no formal policy of transfer between funds or on the allocation of funds to designated funds, other than that described above.

2 Winding up or dissolution of the charity

If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.

12

Prema

Notes to the Accounts for the year ended 31 March 2021

3 Income from donations and legacies

Unrestricted
Funds
2021
£
Grants:
Stroud District Council
5,000
Arts Council
70,532
75,532
Friends membership
330
Donations
568
76,430
4
Income from charitable activities
Unrestricted
Funds
2021
£
Tickets for performances
-
Classes
2,901
Workshops
4,305
7,206
5
Income from other trading activities		 Restricted
Funds
2021
£
-
-
-
-
-
-
Restricted
Funds
2021
£
-
-
-
-		 Total
Funds
2021
£
5,000
70,532
75,532
330
568
76,430
Total
Funds
2021
£
-
2,901
4,305
7,206		 Last year
total Funds
2020
£
5,000
69,258
74,258
-
2,239
76,497
Last year
total Funds
2020
£
6,590
12,827
17,872
37,289
Sale of dresser goods
Sale of art
Rent income
Booking fees
Create Gloucestershire - re interns
Phone and copier income
Other income		 Unrestricted
Funds
2021
£
164
588
400
-
-
-
-
1,152		 Restricted
Funds
2021
£
-
-
-
-
-
-
-
-		 Total
Funds
2021
£
164
588
400
-
-
-
-
1,152		 Last year
total Funds
2020
£
2,460
7,436
5,543
30
200
360
7
16,036

13

Prema

Notes to the Accounts

for the year ended 31 March 2021

6
Investment Income
Unrestricted
Funds
2021
£
Bank deposit interest received
14
7
Other income
Unrestricted
Funds
2021
£
Capital grant amortisation
Revenue grant amortisation
-
Arts Council - covid relief grant
8,520
HMRC furlough grant
36,659
Other revenue grant received
800
45,979
8
Expenditure on raising funds
Unrestricted
Funds
2021
£
Staff costs
14,002
Other fundraising expenses
-
14,002
9
Expenditure on charitable activities
Unrestricted
Funds
2021
£
Performance and events costs
-
Workshop costs
3,310
Staff costs - direct costs
25,912
Piano Bursary costs
-
29,222
Governance costs
20,066
Support costs
39,524
88,812		 Restricted
Funds
2021
£
-
Restricted
Funds
2021
£
5,588
-
-
-
-
5,588
Restricted
Funds
2021
£
-
-
-
Restricted
Funds
2021
£
-
-
-
-
-
-
9,495
9,495		 Total
Funds
2021
£
14
Total
Funds
2021
£
5,588
-
8,520
36,659
800
51,567
Total
Funds
2021
£
14,002
-
14,002
Total
Funds
2021
£
-
3,310
25,912
-
29,222
20,066
49,019
98,307		 Last year
total Funds
2020
£
70
Last year
total Funds
2020
£
5,588
505
-
-
-
6,093
Last year
total Funds
2020
£
14,306
-
14,306
Last year
total Funds
2020
£
6,045
18,989
27,543
505
53,082
20,246
67,280
140,608

14

Prema

Notes to the Accounts for the year ended 31 March 2021

10 Governance and support costs

Unrestricted
Funds
2021
£
Governance costs:
Staff costs
13,350
Rates, insurance and licences
1,049
Heat, light and cleaning
1,612
Repairs and renewals
1,082
General office costs
1,744
Independent Examiner Services
850
Bank and card charges
379
20,066
Support costs:
Staff costs - support
17,462
Sale of art costs
-
Dresser and other materials costs
184
Catering costs
-
Marketing and advertising
28
Consultancy
4,800
Printing and artwork
350
Exhibitions costs
524
Travel
-
Heat, light and cleaning
3,760
Repairs and renewals
2,525
General office costs
4,036
Rates, insurance and licences
2,449
Other charitable expenditure
-
Accountancy
26
Bank and card charges
885
Depreciation of buildings
700
Depreciation of fixtures and fittings
1,686
Depreciation of website
-
Loss/(profit) on disposal of fixed asset
109
39,524		 Restricted
Funds
2021
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
9,460
35
-
-
9,495		 Total
Funds
2021
£
13,350
1,049
1,612
1,082
1,744
850
379
20,066
17,462
-
184
-
28
4,800
350
524
-
3,760
2,525
4,036
2,449
-
26
885
10,160
1,721
-
109
49,019		 Last year
total Funds
2020
£
13,635
1,274
1,798
525
1,596
850
568
20,246
18,683
4,068
2,656
334
2,747
685
6,092
1,263
359
4,195
1,224
7,312
2,973
-
288
1,325
10,160
1,370
1,546
-
67,280

The allocation and apportionment of costs between governance and support costs as set out above is based the use of each specific resource.

15

Prema Notes to the Accounts for the year ended 31 March 2021

11 Other expenditure

There were no items of expenditure that was neither related to raising funds for the charity, nor part of its expenditure on charitable activities.

12 Net income/expenditure for the year

Net income/expenditure for the year
2021 2020
£ £
The percentage of income accruing outside the United Kingdom was - -
The net income/expenditure for the year is stated after charging:
Depreciation of owned fixed assets 11,880 13,076
Independent Examiner : Independent Examination 850 850
See note 20 for details of expenses paid to trustees or persons connected with them.

13 Staff costs and emoluments

Gross Salaries : staff
Employer's National Insurance
Employer's pension contributions
Numbers of full time employees or full time equivalents
Engaged on charitable activities
Engaged on fundraising activities
Engaged on management and administration		 2021
£
68,947
585
1,194
70,726
2021
1
1
2
4		 2020
£
71,342
1,606
1,219
74,167
2020
1
1
2
4

There were no employees with emoluments in excess of £60,000 per annum.

See note 20 for details of salary paid to trustees or persons connected with them.

16

Prema Notes to the Accounts for the year ended 31 March 2021

14 Tangible fixed assets

Freehold
Fixtures
Land and
and
buildings
equipment
£
£
Asset cost, valuation or revalued amount
At 1 April 2019
538,007
101,723
Additions
-
2,898
Disposals
-
1,987
-
At 31 March 2020
538,007
102,634
Accumulated depreciation and impairment provisions
At 1 April 2019
50,800
95,291
Charge for the year
10,160
1,721
Eliminated on disposals
-
1,878
-
At 31 March 2020
60,960
95,134
Net book value
At 31 March 2021
477,047
7,500
At 31 March 2020
487,207
6,432		 Website
£
15,456
-
-
15,456
15,456
-
-
15,456
-
-		 Total
£
655,186
2,898
1,987
-
656,097
161,547
11,881
1,878
-
171,550
484,547
493,639

All assets are used for direct charitable purposes and there are no inalienable or heritage assets.

The fixed asset additions in the year can be further analysed:

Freehold
Land and
buildings
£
Restricted funds:
Funded by grants
-
Funded by restricted donations
-
-
Unrestricted funds:
Funded by designated fund
-
Funded by general unrestricted funds
-
-
Total additions in the year
-		 Fixtures
and
equipment
£
-
-
-
-
2,898
2,898
2,898		 Website
£
-
-
-
-
-
-
-		 Total
£
-
-
-
-
2,898
2,898
2,898

g g p y g p over an estimated useful life of 50 years. The grants received to fund the building works have been included as deferred income (see note 18) and are also being amortised over the same 50 year period.

The historic buildings cost brought forward were also depreciated in the that year, on the same basis, assuming an estimated useful life of 50 years, and continue to do so.

17

Prema Notes to the Accounts for the year ended 31 March 2021

15 Stock
Goods held for sale
16 Debtors
Trade debtors
Other Debtors
Prepaid expenses
Accrued income
17 Creditors: amounts falling due within one year
Trade creditors
Accrued expenses
Deferred income
Taxation and social security
Other creditors
18 Expendable restricted fund/deferred income
At 1 April
2020
£
Capital grants:
Summerfield Charitable Trust
27,000
Gloucestershire Environmental Trust
29,975
Arts Council England
194,531
Revenue grants:
Piano bursary
4,845
256,351		 Received
in the year
£
-
-
-
-
-		 2021
£
-
2021
£
1,311
232
1,724
-
3,267
2021
£
681
2,058
18,614
1,223
244
22,820
Amortisation
charge
£
600
665
4,323
-
5,588		 2020
£
-
2020
£
218
94
1,748
210
2,270
2020
£
666
1,963
5,524
1,191
244
9,588
At 31 March
2021
£
26,400
29,310
190,208
4,845
250,763

Grants of a capital nature were received in the year ended 31 March 2016. They have been included in the balance sheet as deferred income and are being written off over the life of the assets to which the grants relate. Amortisation of the grants has been calculated at 2%, writting off the grants over a period of 50 years, matching the depreciation of the building works.

A revenue grant was received in the year ended 31 March 2019, which is to be used to provide piano lessons to children who otherwise would not be able to afford them. The income is being amortised matching the costs of the piano lessons.

18

Prema

Notes to the Accounts for the year ended 31 March 2021

19 Movements in and analysis of Funds

At 1 April
2020
£
Unrestricted Funds
72,126
Restricted Funds
120,403
Expendable restricted/deferred income
256,351
Endowment Funds
84,000
Total Funds
532,880		 Incoming
resources
£
130,781
-
-
-
130,781		 Outgoing
resources
£
102,814
-
2,707
-
5,588
-
1,200
-
112,309
-		 At 31 March
2021
£
100,093
117,696
250,763
82,800
551,352

Unrestricted funds included above can be further analysed as:

Income
Expenditure
Net income/ expenditure in the year
Funds brought forward
Funds carried forward		 £
130,781
102,006
-
28,775
40,061
68,836
General
unrestricted		 Designated
funds
£
-
808
-
808
-
32,065
31,257		 Total
unrestricted
£
130,781
102,814
-
27,967
72,126
100,093

The Council of Management designated the balance held at 31 March 2014 in a COIF Charities Deposit Fund acccount as to be used for the specific purpose of the planned future building works. The building work took place in the year to 31 March 2016. The outgoing resources figure above relates to depreciation charge.

Restricted funds can be further analysed as:

At 1 April
2020
£
Restricted Funds
National Lottery Project
72,962
Donation funded 2015/16 build works
47,441
120,403
Expendable restricted/deferred income
Grant funded 2015/16 build works
251,506
Piano bursary
4,845
256,351
Endowment Funds
Bethseda Chapel
84,000		 Grants
received
£
-
-
-
-
-
-
-		 SOFA
£
1,652
-
1,055
-
2,707
-
5,588
-
-
5,588
-
1,200
-
Net income/
expenditure		 At 31 March
2021
£
71,310
46,386
117,696
245,918
4,845
250,763
82,800

The National Lottery project relates to capital assets acquired out of restricted funds received in an earlier year, and which are subject to the depreciation policy applying to the category of asset i d

19

Prema Notes to the Accounts for the year ended 31 March 2021

19 Movements in and analysis of Funds, continued

See note 18 for further details regarding the capital grants received.

Restricted funds included in the Statement of Financial Activities:

Donations
and legacies
Other income
£
£
National Lottery Project
Depreciation of buildings
-
-
Depreciation of fixtures and fittings
-
-
-
-
Grant funded 2015/16 build works
Capital grant amortisation
-
5,588
Depreciation of buildings
-
-
-
5,588
Donation funded 2015/16 build works
Depreciation of buildings
-
-
-
-
Expendable restricted/deferred income
Revenue grant amortisation
-
-
Piano bursary costs
-
-
-
-
Total of all restricted funds
-
5,588
Restricted endowment funds included in the Statement of Financial
Donations
and legacies
Other income
£
£
Endowment fund
Depreciation of buildings
-
-		 Expenditure
£
1,617
35
1,652
-
5,588
5,588
1,055
1,055
-
-
-
8,295
Activities:
Expenditure
£
1,200		 Net income/
expenditure
£
1,652
-
-
1,055
-
-
2,707
-
Net income/
expenditure
£
1,200
-

20

Notes to the Accounts for the year ended 31 March 2021

Prema

20 Related party transactions

Council of Management/Directors

No members of the Council of Management/Directors have been paid any remuneration or received any other benefits from an employment with their charity or a related entity, during the year or previous

No members of the Council of Management/Directors have been paid any trustee expenses, during the year or previous year.

The Council of Management consider there is one employee who can be considered as key management personnel. This employee received salary (included in the figures in note 13) and the reimbursement of expenses paid for personally. Details of other transactions and balances are to report with this related party in the current or preceding year.

The following disclosable transactions took place during the year:

The following disclosable transactions took place during the year:
2021 2020
£ £
Martha Opher
Relationship : Close family member of a member of the Council of Management
Transaction : payment made for services provided
Included in costs of charitable activites, sale of art costs
 - 156
Included in costs of charitable activities, dresser and other materials cos
 - 588

All of the above transactions are considered to have been at arms length and on normal contractual terms.

There were no balances with related parties outstanding at the year end.

21