DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
REGISTERED CHARITY NUMBER: 1068084
REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 FOR ALLIANCE FRANCAISE DE MANCHESTER
DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 31 December 2023
| Page | |
|---|---|
| Report of the trustees | 1 - 4 |
| Report of the Independent Examiner | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the Financial Statements | 8-11 |
DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANÇAISE DE MANCHESTER
REPORT OF THE TRUSTEES for the Year Ended 31 December 2023
The trustees 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 (FRS 102) (effective 1 January 2015).
OBJECTIVES AND ACTIVITIES
The Charity conversion to a Charitable Incorporated Organisation has been fully operational in 2023. The focus on advancing the education of the public generally but particularly within the Greater Manchester region concerning French language, literature, culture and associated modes of thought and to promote cultural harmony and linguistic diversity by encouraging linguistic and cultural exchanges has been successfully implemented with no change in 2023.
A new full-time Managing Director, whose salary is paid by the French Foreign Office, in charge of the day-to-day administration of the Charity, was appointed in October 2023 following the departure of the previous Director in April 2023.
She is assisted by the following members of staff: a course and exam administrator, a course director, an administration manager (full-time) and an assistant course administrator (part-time). In addition, other part-time staff act as administrators/receptionists in evening hours during term time and over the summer period. The remaining staff employed as teachers assist with other events as appropriate. In 2023, the Alliance had the benefit of two French volunteers gaining work experience in the UK.
BUSINESS REVIEW
2023 is the second full year of return to normal business since the changes of end 2021 regarding the new course calendar (shorter sessions and possibility to enrol online) were implemented. The results are more stable and positive than in the previous couple of years. Throughout 2023, the demand for in-class courses has increased to 70%, leaving online classes to a minor activity. All in all, these changes appear to have had positive effects.
The number of enrolments has continued to increase and the cultural events on-site attract large numbers of participants. After the 2022 fall in exam enrolments 2023 shows a good and steady increase.
In 2023 as in 2022, the position regarding the rented accommodation remains unresolved. The Alliance occupies the ground floor of 125 Portland Street on a lease lasting until November 2026 and continues to use the first floor at that address on a temporary basis, but with the obligation to move out of all or part of that floor at short notice.
As part of the arrangement, the Alliance had agreed in 2020 to give up the occupancy of the first floor of its offices if and when the landlord found a new tenant. In November 2023, AFM was informed that a new tenancy has been identified. The AFM will need to find a suitable solution before that deadline in the knowledge that the good results of 2023 were mainly generated thanks to the use of office spaces and classrooms available on the 1st floor.
The introduction of post-Brexit rules has made it more difficult to recruit teachers or volunteers from France. Furthermore, the Alliance is limited to sponsoring no more than one teacher and two interns per year. One new teacher from France was sponsored in 2023.
Throughout the year, the Alliance had to reduce its cultural program due to the absence of Director and staff shortages. Still, the Book Club and the Film Clubs have had full programmes and were well supported.
PLANS FOR THE FUTURE
The Alliance is still operating with caution despite some signs of recovery of the demand for language classes. A solution for the persistent problem with the premises will need to be identified in 2024.
Future plans have been identified by the Board towards helping the AFM to generate more income, develop the staff resources, hire more teachers and reach self-sufficiency.
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANÇAISE DE MANCHESTER
REPORT OF THE TRUSTEES for the Year Ended 31 December 2023
The Trustees meet regularly to consider the various changes and developments affecting the life of the Alliance and to consider how best to respond to these. The Managing Director provides regular financial up-dates along with projections of likely future developments and these are discussed at the regular meetings of the Board.
New Board members will be recruited to help the Alliance’s development.
FINANCIAL POSITION & RESERVES POLICY
The financial situation of the Alliance would be more problematic if it did not benefit from the grant made by the French Government. The Trustees are grateful for this support but, having been aware for a number of years, that this support had been declining and that running costs (renting property in Central Manchester and salaries) could increase, they have sought to build up reserves and looked locally for cheaper teaching accommodation in south Manchester (Altrincham library). In 2023 the Alliance has managed thanks to a cautious spending policy to make a higher surplus than 2022. Yet, this surplus would have been a deficit if AFM had paid full rent for the offices in use. Reserves remain sufficient to enable the Charity to continue its activities.
In order to consolidate its activities, the Alliance will continue to work actively with local partners and seek to increase the number of students; it will continue to promote a range of cultural activities both on its own and in collaboration with others.
INVESTMENT POWERS AND POLICY
Under its governing document, the Alliance has powers to invest in any way the trustees choose. For many years, interest rates have been exceptionally low but this situation appears to be changing: there were some good rises in rates in 2023. The directors continue to monitor relevant rates and remain ready to move funds in order to increase the interest earned.
DIRECTORS
Rachel Hayward, Joseph McGonagle, Guy Robson, Rodolphe Soulard and Isabelle Vanderschelden all served throughout the year.
The Managing Director is paid by the French foreign office. All other members of the Board serve in an honorary capacity and none received any remuneration in the year under review.
Rodolphe Soulard acts as honorary French consul in Manchester and the Alliance provides him with office space for two periods of two hours per week, for which he pays a rent of £50 per month. He took over the role of Chairman of the Board of the AFM in April 2023.
RISK MANAGEMENT
As outlined above, the trustees keep under review the risks that the Charity faces; they continue to monitor the financial systems of the Alliance and also seek, as far as they are able, to keep under consideration other operational and business risks faced by the Charity.
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANÇAISE DE MANCHESTER
REPORT OF THE TRUSTEES for the Year Ended 31 December 2023
STATEMENT OF TRUSTEES’ RESPONSIBILITIES
The trustees (who are also the directors of Alliance Française de Manchester) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law governing charities 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 of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records, which 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
there is no relevant audit information of which the charitable company's independent examiners are unaware.
17/6/2024 | 11:52 AM BST Approved by order of the board of trustees on ............................................. and signed on its behalf by:
Isabelle Vanderschelden Trustee/Secretary
Rodolphe Soulard Chairman / Trustee
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER REPORT OF THE TRUSTEES for the Year Ended 31 December 2023
REFERENCE AND ADMINISTRATIVE DETAILS Trustees
G R J Robson Dr J McGonagle Rodolphe Soulard Rachel Hayward Isabelle Vanderschelden
Independent Examining Accountant
CHW Accounting Limited 60 Bedford House Chorley New Road Bolton BL1 4DA
Bankers
Drummond House (DO) Branch Customer Service Centre, Drummond House, 1 Redheughs Avenue Edinburgh, EH12 9JN
Solicitors
Davis Blank Furniss 90 Deasngate Manchester M3 2QJ
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS OF ALLIANCE FRANCAISE DE MANCHESTER
I report on the company for the year ended 31 December 2023, which are set out on pages 6 to 10.
Responsibilities and basis of report
As the charity's trustees, you are responsible for the preparation of the accounts.
Having satisfied myself that the charity is not subject to audit and is eligible for independent examination, it is my responsibility to:
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Examine the charities accounts carried out under section 145 of the 2011 Act
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Follow all the applicable Directions given by the Charity Commission under section 145(5)(b) of the
Act.
Independent examiner's statement
The charity’s gross income exceeded £250,000 and I am qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants in England and Wales.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect:
- the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Nicola Roby FCA FCCA
for and on behalf of CHW Accounting Limited 60 Bedford House Chorley New Road Bolton BL1 4DA
18/6/2024 | 6:59 AM BST Date: ............................................
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
STATEMENT OF FINANCIAL ACTIVITIES
for the Year Ended 31 December 2023
| 31.12.23 | 31.12.22 | ||
|---|---|---|---|
| Unrestricted | Unrestricted | ||
| Funds | Funds | ||
| Notes | £ |
£ | |
| INCOMING RESOURCES | |||
| Incoming from activities in furtherance of the | 370,949 | 297,378 | |
| charity’s objectives | |||
| Bank interest received | 1,977 | 386 | |
| Grants received French government & other | 1 | 30,683 | 31,760 |
| grants | |||
| Total Income | 403,609 | 329,524 | |
| RESOURCES EXPENDED | 2 | ||
| Cost of activities in furtherance of the Charity’s | (327,160) | (279,932) | |
| Objects | |||
| Other expenditures: | |||
| Marketing and publicity | (7,987) | (7,143) | |
| Management and administration of the charity | (27,220) | (28,239) | |
| Total resources expended | (362,367) | (315,314) | |
| NET MOVEMENT IN FUNDS | 41,242 | 14,210 | |
| Total funds brought forward at 1 January | 144,947 | 130,737 | |
| 2023 | |||
| TOTAL FUNDS CARRIED FORWARD | 186,189 | 144,947 |
CONTINUING OPERATIONS
All incoming resources and resources expended arise from charitable activities during the period.
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
BALANCE SHEET At 31 December 2023
| 31.12.23 | 31.12.22 | ||
|---|---|---|---|
| Notes | £ | £ | |
| FIXED ASSETS | |||
| Tangible assets | 3 | 2,630 | - |
| CURRENT ASSETS | |||
| Stock | 6 | - | - |
| Debtors | 4 | 15,846 | 16,851 |
| Cash at bank and in hand | 194,285 | 151,788 | |
| 210,131 | 168,639 | ||
| CREDITORS | |||
| Amounts falling due within one year | 5 | (26,572) | (23,692) |
| NET CURRENT ASSETS | 186,189 | 144,947 | |
| TOTAL ASSETS LESS CURRENT | |||
| LIABILITIES | 186,189 | 144,947 | |
| FUNDS | 7 | ||
| Unrestricted funds | 186,189 | 144,947 |
17/6/2024 | 11:52 AM BST
The financial statements were approved by the Board of Trustees on …………………….and were signed on its behalf by:
...................... ..................................... c Rodolphe Soulard 8F08E803637E49F...DocuSigned by: Isabelle Vanderschelden. (< CC548DBF174A443...DocuSigned by:
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 31 December 2023
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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) (effective 1 January 2015)',
Assessment of going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
Income
Income represents enrolment and tuition fees receivable by the company for services provided unless they relate to a future period in which case they are deferred.
Grant receivable
Grants are credited as incoming resources when they are receivable provided conditions for receipt have been complied with, unless they relate to a specific future period in which case they are deferred.
Expenditure
Expenditure which is charged on an accruals basis is allocated between:
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Expenditure incurred directly to the fulfilment of the charity’s objectives
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Expenditure incurred directly in the effort to market the charity
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Expenditure incurred in the management and administration of the charity
Tangible fixed assets
Tangible fixed assets are stated at cost less depreciation which is provided in annual instalments over the estimated useful lives of the assets.
Small items of equipment and furniture are not capitalised but are written off on acquisition through the income and expenditure accounts.
Depreciation is provided at the following annual rates:
Leasehold improvements 10% Fixture and fittings 25% Office equipment 25% Computer equipment 33%
Stock
Stocks are stated at the lower of cost or net realisable value.
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED for the Year Ended 31 December 2023
1. GRANTS RECEIVED
| 2. 3. |
French government and other grants ANALYSIS OF TOTAL RESOURCES EXPENDED TANGIBLE FIXED ASSETS Leasehold improvements £ COST At 1 January 2023 Additions At 31 December 2023 116,946 116,946 DEPRECIATION At 1 January 2023 116,946 Charge for year - At 31 December 2023 116,946 NET BOOK VALUE At 31 December 2023 - At 31 December 2022 - Staff cost £ Direct charitable Teaching 236,406 Cultural Other expenditure Marketing Management & administration of charity 236,406 |
31.12.23 31.12.22 £ £ 30,683 31,760 Fixture & Fittings Computer equipment Totals £ £ £ 40,297 1,322 41,619 27,774 1,741 29,515 185,017 3,063 188,080 40,297 27,774 185,017 208 225 433 40,505 27,999 185,450 1,114 1,516 2,630 - - - Other Depreciation Total £ £ £ 89,896 433 326,735 425 425 7,987 7,987 27,220 27,220 125,528 433 362,367 |
|---|---|---|
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED for the Year Ended 31 December 2023
4. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 31.12.23 | 31.12.22 | ||
|---|---|---|---|
| £ | £ | ||
| Prepayments and accrued income | 15,020 | 15,596 | |
| Other debtors | 826 | 1,255 | |
| 15,846 | 16,851 | ||
| 5. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||
| 31.12.23 | 31.12.22 | ||
| £ | £ | ||
| Trade creditors | 6,238 | 6,560 | |
| Delegation Generale | 603 | 603 | |
| Accruals and deferred income | 4,126 | 4,121 | |
| Other creditors | 15,605 | 12,408 | |
| 26,572 | 23,692 | ||
| 6. | STOCK | ||
| £ | |||
| 31.12.23 | 31.12.22 | ||
| Stock of education materials | - | - | |
| 7. | UNRESTRICTED FUND | ||
| 31.12.23 | 31.12.22 | ||
| £ | £ | ||
| At 1 January 2023 | 144,947 | 130,737 | |
| Profit/(Deficit) for the year | 41,242 | 14,210 | |
| At 31 December 2023 | 186,189 | 144,947 |
8. RELATED PARTY DISCLOSURES
The French government which sponsors this company has made grants totalling £30,683 (2022 : £31,760) towards operational costs.
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DocuSign Envelope ID: 7B932EDD-2356-4FB6-81EB-04C0F3A99754
ALLIANCE FRANCAISE DE MANCHESTER
INCOME & EXPENDITURE ACCOUNT
for the Year Ended 31 December 2023
| Income Fees receivable Grant receivable Bank interest received Cost of sales Opening stock Education materials Closing stock Gross Profit Expenditure Investment in cultural events Examination fees Salaries Administration subsistence Cleaning Rent and service charges Rates and council tax Telephone PPS Advertising and marketing Repairs and maintenance Computer software Accountancy Insurance and security Depreciation Bank charges Library Translations Hire of equipment Consultancy Net Profit/(Deficit) for the year |
31.12.23 £ 370,949 30,683 1,977 403,609 - 203 (-) 203 403,406 425 7,780 236,406 2,960 10,873 60,271 11,448 2,190 2,338 7,987 2,756 2,703 3,000 3,536 433 6,182 263 613 - - 362,164 41,242 |
31.12.22 £ 297,378 31,760 386 |
|---|---|---|
| 329,524 - 132 (-) 132 329,392 365 11,610 188,873 902 9,215 62,396 8,696 3,397 1,840 7,143 2,254 2,707 2,800 4,513 2,729 4,599 591 552 - - 315,182 14,210 |
This page does not form part of the statutory financial statements
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