**REGISTERED CHARITY NUMBER: 1070419** ## **Report of the Trustees and** **Unaudited Financial Statements for the Year Ended 31 March 2022** ## **for** ## **CROYDON ACADEMY OF EASTERN ARTS** BBK Partnership Chartered Accountants & Statutory Auditors 1 Beauchamp Court 10 Victors Way Barnet Hertfordshire EN5 5TZ **CROYDON ACADEMY OF EASTERN ARTS** **Contents of the Financial Statements FOR THE YEAR ENDED 31 MARCH 2022** |||**Page**|| |---|---|---|---| |**Report of the Trustees**|1|to|2| |**Independent Examiner's Report**||3|| |**Statement of Financial Activities**||4|| |**Statement of Financial Position**||5|| |**Notes to the Financial Statements**|6|to|10| |**Detailed Statement of Financial Activities**|11|to|12| **CROYDON ACADEMY OF EASTERN ARTS** ## **Report of the Trustees FOR THE YEAR ENDED 31 MARCH 2022** The trustees present their report with the financial statements of the charity for the year ended 31 March 2022. 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 2019). ## **OBJECTIVES AND ACTIVITIES** ## **Objectives** The objectives of the CAEA are to provide or assist in the provision of facilities to advance education, cultural heritage, and the furtherance of social inclusion and wellbeing, primarily within the Tamil community in the London Borough of Croydon and surrounding areas, to promote similar objectives which are deemed by law to be charitable and to provide or assist in the provisions of facilities for recreation and leisure time activities benefiting the community. ## **Achievements and Performance** The trustees are satisfied with the progress made during the year. The charity organised a number of events and activities incorporating all age groups and has successfully trained numerous students in performance arts. ## **ACHIEVEMENT AND PERFORMANCE** ## **Charitable activities** The charity's achievements for the year are contained in the Annual Report and the trustees are satisfied with the progress made during the year. ## **FINANCIAL REVIEW** ## **Financial position** Teachers' salaries and rent comprise the large recurring expenses of the charity. The board also monitors the charity's reserves to ensure that they are neither excessive nor in deficit. Similarly to last year, the charity generated a satisfactory financial outcome with net increase in funds. This was achieved with the support of its members, staff and volunteers, together with efficient financial management. The trustees continue to review the administrative controls and systems to ensure that all sources of income are enhanced sufficiently to enable the future development of the Academy. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** ## **Governing document** The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity. ## **Organisational structure** The charity has a board of trustees that meet regularly and are responsible for the strategic direction and policy of the trust's work. ## **Risk management** The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. ## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number** 1070419 ## **Principal address** 65, Shirley Road, Croydon Surrey CR0 7ES Page 1 **CROYDON ACADEMY OF EASTERN ARTS** ## **Report of the Trustees FOR THE YEAR ENDED 31 MARCH 2022** ## **Trustees** Dr S Sivakumar President (resigned 4.12.21) Mr R Sivapooranan Treasurer (resigned 4.12.21) Mr R Sivachelvam Head of Projects (resigned 4.12.21) Mr V Sritharan Secretary (resigned 4.12.21) Mrs R Ragulan Head of Education (resigned 4.12.21) Mr P Ganandran Head of Community (resigned 4.12.21) Mr S Ramalingam Treasurer (appointed 4.12.21) Mr K Subramaniam Head of Community (appointed 4.12.21) Mr C A Kailaya-Vasan President (appointed 4.12.21) Mrs U I Prasanna Head of Education (appointed 4.12.21) Mr K Arasaratnam Head of Projects (appointed 4.12.21) Mr S Bharaneetharan Secretary (appointed 4.12.21) ## **Independent Examiner** BBK Partnership Chartered Accountants & Statutory Auditors 1 Beauchamp Court 10 Victors Way Barnet Hertfordshire EN5 5TZ 23 /09/2022 Approved by order of the board of trustees on ............................................. and signed on its behalf by: ................................................................................ Mr C A Kailaya-Vasan - Trustee Page 2 Illdepcndtnl F'.X*iiiiiner's Reprjrl in the Triistoo.s of Crn1'do￿ .Icadctn)' uf EuslL'rn A Tl5 Ind¢pCDde￿t tx*nuner's rnport ro tht gr￿St￿eS of Croj'don A¢Hdemw of Kasiern Art$ r¢port to Ilie LhEirily Irus￿L.￿ vii Cxiiiniiiaiioii of Ili¢ accoiinis of L To>don AchdL'tr,}' of Easicrn Ans lthc Trusll lor thi lear ended 31 March ?0?2. Re5pon$ibilille5 and bllsls of rtport As the n51ccs of ih¢ 'l'nist you are res￿nsible for the preparaljon of Ihc accounts in a¢¢ordanc¢ wilh thc rcquiriin¢nls of Ihe Chariiics A¢1 2011 I'the Aci'l. repori iii re5pcrl (Trf m) examinatioii of Ilie Trubl's ￿rOUn19 ¢&r(ied oul uiider seciioii 145 of the Act and in catryinby oui my examiithiion I h2k¢ followed all appliiablc Dir¢Liioii% giv￿￿ by ihe Clwii>' ConunJ551un und¢r ￿tiOn 145(5llbl ollh¢ Act. Indcpciidriil IxAmifLcf'5 siat¢m¢nl I hd%'l' Lumplki¢d iiiy exaniiiiaiioii. I coftfimi tliat iio maierial marrers hai'¢ com¢ w rny BILentlOll 111 coll￿¢11￿￿ iviili tli¢ ex￿}1￿0110)i ving mc Ca￿Se io bcliLW¢ Ihul in any niar¢rial Tespeei.. ciouiiiints r¢¢ords ￿'Cre iioi k'ept In [C%p￿LI ufihe Trust as reqiiir¢d by s¢ctioii 130 ofihe.4ci,' or IIIL occounts do nol acrord y'iili Ilnsc rocnrd%.' or which 1£ noi a llydller coiisid¢r¢d as p&ii Dt-aii indeptnd¢tti examin31ion. halr no concerns and hxi't come no pthrr matters in ionneciion ivith the examinatioji to which aiiention should l)e dr2ivn in this r¢POrt tn order io en?hl¢ a iindcr51andins t>fthc acLcTrtsnt% io bL' reo¢h¢d. S S Aniold As%ociAiion of ChBncr*O Certjfied Accountants IIMK I'aniier%liip Chortered klL¢oLlnt8lllS & SLHliltory Audiiors l Beau¢haiiip Court 10 Ilikiors Woy B¥rnei Iltllfordshi Dllie.. **CROYDON ACADEMY OF EASTERN ARTS** ## **Statement of Financial Activities FOR THE YEAR ENDED 31 MARCH 2022** **----- Start of picture text -----**
31.3.22 31.3.21
Unrestricted Total
fund funds
Notes £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 3,165 10,368
Charitable activities
resource expended - 300
Other trading activities 2 38,646 31,665
Total 41,811 42,333
EXPENDITURE ON
Raising funds 12,398 7,347
Charitable activities
resource expended 29,441 58,131
Other 2,228 2,689
Total 44,067 68,167
NET INCOME/(EXPENDITURE) (2,256) (25,834)
RECONCILIATION OF FUNDS
Total funds brought forward 228,743 254,577
TOTAL FUNDS CARRIED FORWARD 226,487 228,743
**----- End of picture text -----**
The notes form part of these financial statements Page 4 ## **CROYDON ACADEMY OF EASTERN ARTS** ## **Statement of Financial Position 31 MARCH 2022** **----- Start of picture text -----**
31.3.22 31.3.21
Unrestricted Total
fund funds
Notes £ £
FIXED ASSETS
Tangible assets 6 341,836 342,307
CURRENT ASSETS
Stocks 7 - 4,951
Debtors 8 2,956 7,890
Cash at bank and in hand 13,008 3,987
15,964 16,828
CREDITORS
Amounts falling due within one year 9 (10,229) (2,989)
NET CURRENT ASSETS 5,735 13,839
TOTAL ASSETS LESS CURRENT LIABILITIES 347,571 356,146
CREDITORS
Amounts falling due after more than one year 10 (121,084) (127,403)
NET ASSETS 226,487 228,743
FUNDS 12
Unrestricted funds 226,487 228,743
TOTAL FUNDS 226,487 228,743
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23/09/2022 and were The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. signed on its behalf by: ............................................. Mr C A Kailaya-Vasan - Trustee The notes form part of these financial statements Page 5 **CROYDON ACADEMY OF EASTERN ARTS** ## **Notes to the Financial Statements FOR THE YEAR ENDED 31 MARCH 2022** ## **1. ACCOUNTING POLICIES** ## **Basis of preparing the financial statements** The financial statements of the charity, 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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets. ## **Income** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. ## **Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. ## **Tangible fixed assets** Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Fixtures and fittings - 20% on reducing balance ## **Stocks** Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. ## **Taxation** The charity is exempt from tax on its charitable activities. ## **Fund accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **Hire purchase and leasing commitments** Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. ## **Impairment** Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asst, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease. ## **Land and Building** No depreciation is provided in respect of freehold land. No depreciation has been charged on the freehold property as the trustees considers that the policy of maintaining properties to a high standard would cause any depreciation potentially charged to be immaterial. As a result of the trustees' view regarding freehold property values, a full annual impairment review is carried out. continued... Page 6 **CROYDON ACADEMY OF EASTERN ARTS** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 MARCH 2022** ## **2. OTHER TRADING ACTIVITIES** |Rental income
Fee income
Community Activities
Other income|**31.3.22**
31.3.21
**£**
£
**15,235**
18,800
**12,377**
11,626
**1,995**
999
**9,039**
240| |---|---| ||**38,646**
31,665| Rental income received from rooms let out by the charity's freehold property is received from unconnected tenants and is charged at open market fair rate. The remainder of the property is used by the charity. ## **3. TRUSTEES' REMUNERATION AND BENEFITS** There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021. ## **Trustees' expenses** There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021. ## **4. STAFF COSTS** The average monthly number of employees during the year was as follows: ## **5.** |Staff|**31.3.22**
**14**|31.3.21
21| |---|---|---| |No employees received emoluments in excess of £60,000.
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**Charitable activities**
resource expended
Other trading activities||Unrestricted
fund
£
10,368
300
31,665| |**Total**||42,333| |**EXPENDITURE ON**
Raising funds
**Charitable activities**
resource expended
Other||7,347
58,131
2,689| |**Total**||68,167| continued... Page 7 **CROYDON ACADEMY OF EASTERN ARTS** **Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 MARCH 2022** |**5.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**TOTAL FUNDS CARRIED FORWARD**
**6.**
**TANGIBLE FIXED ASSETS**
Freehold
property
£
**COST**
At 1 April 2021 and 31 March 2022
**339,952**
**DEPRECIATION**
At 1 April 2021
**-**
Charge for year
**-**
At 31 March 2022
**-**
**NET BOOK VALUE**
At 31 March 2022
**339,952**
At 31 March 2021
339,952
The estimated fair value of the freehold property as of the year end was £544000.
**7.**
**STOCKS**
Finished goods|Unrestricted
fund
£
(25,834)
254,577
228,743
Fixtures
and
fittings
Totals
£
£
**14,976**
**354,928**
**12,621**
**12,621**
**471**
**471**
**13,092**
**13,092**
**1,884**
**341,836**
2,355
342,307
**31.3.22**
31.3.21
**£**
£
**-**
4,951| |---|---| Finished goods continued... Page 8 **CROYDON ACADEMY OF EASTERN ARTS** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 MARCH 2022** **----- Start of picture text -----**
8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.22 31.3.21
£ £
Trade debtors 3,024 7,230
-
Prepayments and accrued income (68)
Prepayments - 660
2,956 7,890
9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.22 31.3.21
£ £
Trade creditors - 346
Taxation and social security 89 105
Other creditors 10,140 2,538
10,229 2,989
10. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
31.3.22 31.3.21
£ £
Bank loans (see note 11) 121,084 127,403
11. LOANS
An analysis of the maturity of loans is given below:
31.3.22 31.3.21
£ £
Amounts falling due between two and five years:
Natwest Loan 6195 88,559 96,403
Natwest Loan - BBL 17,625 18,000
Members Loan 14,900 13,000
121,084 127,403
12. MOVEMENT IN FUNDS
Net
movement At
At 1.4.21 in funds 31.3.22
£ £ £
Unrestricted funds
General fund 228,743 (2,256) 226,487
TOTAL FUNDS 228,743 (2,256) 226,487
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continued... Page 9 **CROYDON ACADEMY OF EASTERN ARTS** ## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 MARCH 2022** ## **12. MOVEMENT IN FUNDS - continued** Net movement in funds, included in the above are as follows: |**Unrestricted funds**
General fund
**TOTAL FUNDS**
**Comparatives for movement in funds**
**Unrestricted funds**
General fund
**TOTAL FUNDS**
Comparative net movement in funds, included in the above are as follows:
**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
Resources
Movement
resources
expended
in funds
£
£
£
**41,811**
**(44,067)**
**(2,256)**
**41,811**
**(44,067)**
**(2,256)**
Net
movement
At
At 1.4.20
in funds
31.3.21
£
£
£
254,577
(25,834)
228,743
254,577
(25,834)
228,743
Incoming
Resources
Movement
resources
expended
in funds
£
£
£
42,333
(68,167)
(25,834)
42,333
(68,167)
(25,834)| |---|---| ## **13. RELATED PARTY DISCLOSURES** There were no related party transactions for the year ended 31 March 2022. Page 10 **CROYDON ACADEMY OF EASTERN ARTS** ## **Detailed Statement of Financial Activities FOR THE YEAR ENDED 31 MARCH 2022** **----- Start of picture text -----**
31.3.22 31.3.21
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Donations 2,635 -
CJRS Grants - 9,318
Subscriptions 530 1,050
3,165 10,368
Other trading activities
Rental income 15,235 18,800
Fee income 12,377 11,626
Community Activities 1,995 999
Other income 9,039 240
38,646 31,665
Charitable activities
CJRS Grants - 300
Total incoming resources 41,811 42,333
EXPENDITURE
Other trading activities
Opening stock 4,951 5,191
Bad debts 7,447 -
-
Closing stock (4,951)
12,398 240
Charitable activities
Wages 13,949 16,825
Rent Expense 6,748 800
Rates and Water 2,530 2,808
Insurance 1,002 999
Light and heat 1,661 1,709
Postage and stationery 492 439
-
Cultural Expenses 1,100
Fixtures and fittings 471 589
27,953 24,169
Other
Repairs and maintenance - 365
Accountancy fees 400 400
Bank interest 1,828 1,924
2,228 2,689
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31.3.22 31.3.21
£ £
Support costs
Management
IT Cost 1,212 -
Finance
Bank charges 276 143
Other 2
-
Legal costs 40,926
Total resources expended 44,067 68,167
Net expenditure (2,256) (25,834)
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This page does not form part of the statutory financial statements Page 12