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2020-10-31-accounts

REGISTERED COMPANY NUMBER: 04352244 (England and Wales) REGISTERED CHARITY NUMBER: 1091312

Report of the Trustees and Unaudited Financial Statements for the Year Ended 31 October 2020

for

Iford Arts Limited

MHA Monahans Chartered Accountants Fortescue House Court Street Trowbridge Wiltshire BA14 8FA

Iford Arts Limited

Contents of the Financial Statements for the Year Ended 31 October 2020

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 3
Independent Examiner's Report 4
Statement of Financial Activities 5
Balance Sheet 6
Notes to the Financial Statements 7 to 15

Iford Arts Limited

Reference and Administrative Details for the Year Ended 31 October 2020

TRUSTEES D C Moss Chairman (from 22.10.18) M B Alabaster M A Clarke R M Dominy H Feilding (resigned 1.2.20) P E Household (resigned 11.11.19) M Jones (resigned 18.9.20) H R Tupper D H Worskett M R J Stevens D Meyer (appointed 27.1.20) C Walker (appointed 22.11.20) COMPANY SECRETARY D J Heyden REGISTERED OFFICE 15 Market Street Bradford on Avon Wiltshire BA15 1LL REGISTERED COMPANY NUMBER 04352244 (England and Wales) REGISTERED CHARITY NUMBER 1091312 INDEPENDENT EXAMINER MHA Monahans Chartered Accountants Fortescue House Court Street Trowbridge Wiltshire BA14 8FA

Page 1

Iford Arts Limited (Registered number: 04352244)

Report of the Trustees for the Year Ended 31 October 2020

The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report and the audited financial statements of the charity for the year ended 31 October 2020. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) "Accounting and Reporting by Charities" (FRS 102) in preparing the annual report and financial statements of the charity.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011 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 issued in October 2019.

OBJECTIVES AND ACTIVITIES

Policies and Objectives

The charitable company (charity) has its office in Bradford on Avon, following its departure from Iford Manor early in 2019. The charity aims to promote education in, and enjoyment of live music and opera and particularly encourage the development of skills, understanding and repertoire in young professional performers at the early stages of their careers.

As a nationally respected centre of excellence in opera and music theatre the charity's activities contribute to our local communities and the local economy by attracting audiences from across the UK and overseas.

Public Benefit

The Trustees consider that the charity's activities and aims are congruent with the Charity Commission's guidelines on Public Benefit. In particular:

ACHIEVEMENT AND PERFORMANCE

Activities for Achieving Objectives

For 2020 the charity planned a full season of three productions (Lehar's Merry Widow, Bizet's Carmen and Handel's Acis and Galatea) at the Bath Guildhall, in the grounds of Belcombe Court, Bradford on Avon and in Holy Trinity church, Bradford on Avon. Free seats would have been available for under 18s. Unfortunately, restrictions introduced because of the Covid 19 pandemic made cancellation of the season unavoidable.

As restrictions were relaxed in the autumn of 2020, a reception with music was held for patrons and towards the end of the year a concert of operatic excerpts was given in the Assembly Rooms in Bath.

The working group investigating possibilities for a new permanent home continued its work, though the effects of the pandemic inevitably slowed progress.

FINANCIAL REVIEW

Statement of Financial Activities

The effect of cancellations was to reduce income from £326,901 to around £154,783, but it also reduced expenditure and the overall result was a surplus of £13,180 across all funds.

Reserves policy

It is the Trustees intention to hold reserves sufficient to fund the charity's plans for future development. At the year end, reserves totalled £60,586 (2019: £47,386).

Page 2

Iford Arts Limited (Registered number: 04352244)

Report of the Trustees for the Year Ended 31 October 2020

PLANS FOR THE FUTURE

The pandemic has also restricted what can be performed in 2021. There will be performances of mezzoCav (i.e. the most popular parts of Cavalleria Rusticana) and of Pagliacci at Belcombe Court, with the audience socially distanced if necessary, and of Acis and Galatea in Holy Trinity church. Some tickets are available at prices lower than we have been able to offer in the past and free seats are available for under 18s.

The New Generation artists scheme continues, including a performance of Pagliacci given by the young artists. There will also be performances of Pater and the Wolf designed for families, to introduce young people to the delights of music, and a prom also aimed at attracting a wide audience.

Following generous responses to an appeal, we appointed an Artistic Director and were able to advertise for an Executive Director, with an appointment made in December 2020. A strategic plan for development of the charity has since been prepared and announcement of its content is imminent.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Constitution

Iford Arts is a charitable company limited by guarantee and was set up by a Memorandum of Association on 7th January 2002.

The charity is constituted under a Memorandum of Association and is a registered charity number 1091312.

The principal object of the charity is to promote, develop and maintain public education in and appreciation of the performing and visual arts in Wiltshire, Bath & North East Somerset and Bristol.

Method of appointment of Trustees

The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association.

Organisational structure and decision making

The trustees have managed the charity's day to day operations on behalf of the members through the offices of the Creative Director (who retired early in the year) and the General Manager, supported by the Marketing Manager and New Generation Artists Manager. This has been strengthened during the year by appointment of the Artistic Director and more recently of the Executive Director. Staffing will be further strengthened with implementation of the strategic plan.

Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charitable company in the event of winding up. The total number of such guarantors at 31 October 2020 was 83.

Induction programme

New board members will usually have experience of Iford Arts' activities. On appointment they receive copies of recent minutes, Articles of Association, Memorandum and Articles of the company, financial account details plus reference to relevant Charity Commission guidance notes at: www.gov.uk/guidance/charity-trustee-whats-involved

Risk management

The Trustees consider the major risks to be late cancellation of performance caused by performer indisposition or venue safety, inadequate income from sales and patronage and loss of key personnel. Appropriate insurance is held against cancellation and an understudy programme is in place. Continuous monitoring of income streams is carried out.

Approved by order of the board of trustees on 7 July 2021 and signed on its behalf by:

............................................................................... D C Moss - Trustee

Page 3

Independent Examiner's Report to the Trustees of Iford Arts Limited

Independent examiner's report to the trustees of Iford Arts Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 October 2020.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

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.

James Gare FCA DChA Institute of Chartered Accountants in England and Wales MHA Monahans Chartered Accountants Fortescue House Court Street Trowbridge Wiltshire BA14 8FA

Date: 30 July 2021

Page 4

Iford Arts Limited

Statement of Financial Activities (Incorporating an Income and Expenditure Account) for the Year Ended 31 October 2020

Unrestricted
funds
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
129,542
Charitable activities
5
Concerts and stage productions
7,393
Other trading activities
3
550
Investment income
4
48
Other income
6
-
Total
137,533
EXPENDITURE ON
Raising funds
7
21,186
Charitable activities
8
Concerts and stage productions
109,417
Total
130,603
NET INCOME
6,930
Transfers between funds
21
5,000
Net movement in funds
11,930
RECONCILIATION OF FUNDS
Total funds brought forward
32,982
TOTAL FUNDS CARRIED FORWARD
44,912
Restricted
fund
£
17,250
-
-
-
-
17,250
-
11,000
11,000
6,250
(5,000)
1,250
14,425
15,675
2020
Total
funds
£
146,792
7,393
550
48
-
154,783
21,186
120,417
141,603
13,180
-
13,180
47,407
60,587
2019
Total
funds
£
164,228
139,547
4,918
688
17,520
326,901
31,501
276,434
307,935
18,966
-
18,966
28,441
47,407

The notes form part of these financial statements

Page 5

Iford Arts Limited (Registered number: 04352244)

Balance Sheet
31 October 2020
Notes
CURRENT ASSETS
Debtors
16
Cash at bank
CREDITORS
Amounts falling due within one year
17
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS
Amounts falling due after more than one year
18
NET ASSETS
FUNDS
21
Unrestricted funds
Restricted funds
TOTAL FUNDS
2020
£
20,605
102,506
123,111
(12,524)
110,587
110,587
(50,000)
60,587
44,912
15,675
60,587
2019
£
24,242
31,149
55,391
(7,984)
47,407
47,407
-
47,407
32,982
14,425
47,407

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 2020 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

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

The financial statements were approved by the Board of Trustees and authorised for issue on 7 July 2021 and were signed on its behalf by:

............................................. D C Moss - Trustee

The notes form part of these financial statements

Page 6

Iford Arts Limited

Notes to the Financial Statements for the Year Ended 31 October 2020

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

Iford Arts Limited is an incorporated charity in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is up to £10 per member of the charity. The address of the registered office is given in the legal and administrative information on page 1 of these accounts. The nature of the charity's operations and principal activities are included within the Trustees' Report.

The charity constitutes a public benefit entity as defined by FRS 102. The accounts have been prepared 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 Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Practice.

The accounts have been prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The accounts are presented in sterling which is the functional currency of the charity and rounded to the nearest £.

Income

Income is received by way of donations, ticket sales, other sales such as advertising, programme sales and picnic sales. These incoming resources are included in the Statement of Financial Activities when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

For donations, if there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Income from grants is recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Income from trading activities includes income earned from events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Investment income is credited to the Statement of Financial Activities when the amount can be measured reliably which is often the date of receipt.

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.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees and designated funds are funds with the trustees have designated for use on specific purposes.

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.

Financial Instruments

The charity only holds basic financial instruments as defined in FRS 102. The financial assets and financial liabilities of the charity and their measurement basis are as follows:

Financial assets - trade and other debtors are basic financial instruments and are debt instruments measured at amortised

cost as detailed in note 16. Prepayments are not financial instruments.

Cash at bank - is classified as a basic financial instrument and is measured at face value.

Page 7

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

1. ACCOUNTING POLICIES - continued

Expenditure

Financial instruments - trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost as detailed in notes 17. Taxation and social security are not included in the financial instruments disclosure definition.

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 - 25% reducing balance

All assets are capitalised where required. There is no minimum cost.

Taxation

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Theatre tax relief credits are accounted for when receivable.

Going concern

The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. The trustees have considered the ongoing impact of the coronavirus Covid-19 pandemic and have concluded that this will not affect the going concern status of the charity.

2.

3.

4.

DONATIONS AND LEGACIES

Donations
OTHER TRADING ACTIVITIES
Advertising
Programme and other sales
INVESTMENT INCOME
Deposit account interest
2020
£
146,792
2020
£
550
-
550
2020
£
48
2019
£
164,228
2019
£
800
4,118
4,918
2019
£
688

Page 8

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

5. INCOME FROM CHARITABLE ACTIVITIES

2020
Concerts
and stage
productions
£
Event sales
835
Grants
6,558
7,393
Grants received, included in the above, are as follows:
2020
£
Job retention scheme
6,558
6.
OTHER INCOME
2020
£
Tax credit
-
7.
RAISING FUNDS
Other trading activities
2020
£
Marketing
9,335
Venue management
-
Fundraising and other direct costs
11,851
21,186
8.
CHARITABLE ACTIVITIES COSTS
Direct
Support
Costs (see
costs (see
note 9)
note 10)
£
£
Concerts and stage productions
23,194
97,223
2019
Total
activities
£
139,547
-
139,547
2019
£
-
2019
£
17,520
2019
£
17,127
195
14,179
31,501
Totals
£
120,417

Page 9

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

9. DIRECT COSTS OF CHARITABLE ACTIVITIES

DIRECT COSTS OF CHARITABLE ACTIVITIES
Box office costs
Opera production costs
Hospitality
Venue hire
Other venue costs
2020
£
3,536
18,686
513
-
459
23,194
2019
£
9,045
135,587
8,217
24,381
25,285
202,515

10. SUPPORT COSTS

Management
£
Concerts and stage
productions
70,534
Support costs, included in the above, are as follows:
Wages
Social security
Contractors
Consultancy
Bank charges
Rent
Insurance
Office costs
Accountancy
Bookkeeping
Finance
£
20
Governance
Other
costs
Totals
£
£
£
21,296
5,373
97,223
2020
2019
Concerts
and stage
Total
productions
activities
£
£
42,384
43,939
-
456
11,000
-
17,150
984
20
20
6,620
5,860
1,304
1,934
13,372
14,755
2,458
3,250
2,915
2,721
97,223
73,919

Support costs, included in the above, are as follows:

11. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2020 2019
£ £
Independent Examiner's fee 2,246 2,145
Independent Examiner other fees 234 1,082

Page 10

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

12. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 October 2020 nor for the year ended 31 October 2019.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 October 2020 nor for the year ended 31 October 2019.

13. STAFF COSTS

Wages and salaries
Social security costs
The average monthly number of employees during the year was as follows:
Administration
2020
£
42,384
-
42,384
2020
2
2019
£
43,939
456
44,395
2019
3

No employees received emoluments in excess of £60,000.

Key management personnel

The total amount of employee benefits received by key management personnel is £32,556 (2019: £36,589). The charity considers its key management personnel comprise the Trustees and the Creative Director and General Manager.

14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
149,803
Charitable activities
Concerts and stage productions
139,547
Other trading activities
4,918
Investment income
688
Other income
17,520
Total
312,476
EXPENDITURE ON
Raising funds
31,501
Charitable activities
Concerts and stage productions
276,434
Total
307,935
NET INCOME
4,541
Restricted
fund
£
14,425
-
-
-
-
14,425
-
-
-
14,425
Total
funds
£
164,228
139,547
4,918
688
17,520
326,901
31,501
276,434
307,935
18,966

Page 11

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

14.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
funds
£
RECONCILIATION OF FUNDS
Total funds brought forward
28,441
TOTAL FUNDS CARRIED FORWARD
32,982
15.
TANGIBLE FIXED ASSETS
COST
At 1 November 2019 and 31 October 2020
DEPRECIATION
At 1 November 2019 and 31 October 2020
NET BOOK VALUE
At 31 October 2020
At 31 October 2019
16.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Other debtors
Tax
Prepayments and accrued income
17.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Social security and other taxes
Other creditors
Accruals
Restricted
fund
£
-
14,425

2020
£
-
-
-
20,605
20,605
2020
£
2,363
775
676
8,710
12,524
Total
funds
£
28,441
47,407
Fixtures
and
fittings
£
1,641
1,641
-
-
2019
£
1,605
2
17,520
5,115
24,242
2019
£
981
661
-
6,342
7,984

Page 12

continued...

Iford Arts Limited

Notes to the Financial Statements - continued

for the Year Ended 31 October 2020

18. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans (see note 19)
LOANS
An analysis of the maturity of loans is given below:
Amounts falling between one and two years:
Bank loans - 1-2 years
Amounts falling due between two and five years:
Bank loans - 2-5 years
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by instal
ANALYSIS OF NET ASSETS BETWEEN FUNDS
Unrestricted
funds
£
Current assets
107,436
Current liabilities
(12,524)
Long term liabilities
(50,000)
44,912
MOVEMENT IN FUNDS
At
1.11.19
£
Unrestricted funds
General fund
32,982
Restricted funds
CEO and Artistic Director Appeal
14,425
TOTAL FUNDS
47,407
Restricted
fund
£
15,675
-
-
15,675
Net
movement
in funds
£
6,930
6,250
13,180
2020
£
50,000
2020
£
9,470
29,968
10,562
2020
Total
funds
£
123,111
(12,524)
(50,000)
60,587
Transfers
between
funds
£
5,000
(5,000)
-

19. LOANS

20. ANALYSIS OF NET ASSETS BETWEEN FUNDS

21.

Page 13

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

21. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Iford Arts New Generation Artists Programme
Restricted funds
CEO and Artistic Director Appeal
TOTAL FUNDS
Comparatives for movement in funds
Incoming
Resources
Movement
resources
expended
in funds
£
£
£
136,093
(129,163)
6,930
1,440
(1,440)
-
137,533
(130,603)
6,930
17,250
(11,000)
6,250
154,783
(141,603)
13,180
Unrestricted funds
General fund
Restricted funds
CEO and Artistic Director Appeal
TOTAL FUNDS
Net
At
movement
At
1.11.18
in funds
31.10.19
£
£
£
28,441
4,541
32,982
-
14,425
14,425
28,441
18,966
47,407

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Iford Arts New Generation Artists Programme
Restricted funds
CEO and Artistic Director Appeal
TOTAL FUNDS
Incoming
Resources
Movement
resources
expended
in funds
£
£
£
305,386
(300,845)
4,541
7,090
(7,090)
-
312,476
(307,935)
4,541
14,425
-
14,425
326,901
(307,935)
18,966

Iford Arts New Generation Artists Programme - The Programme has been devised in order to provide training and creative opportunities for young singers and production artists at the start of their careers.

CEO and Artistic Director Appeal - These are funds which the Trustees have raised in order to be able to employ a CEO and Artistic Director for the charity.

Page 14

continued...

Iford Arts Limited

Notes to the Financial Statements - continued for the Year Ended 31 October 2020

21. MOVEMENT IN FUNDS - continued

Transfers between funds

A transfer of £5,000 was made from the CEO & AD fund to general funds due to identification of a donation that had no restrictions.

22. RELATED PARTY DISCLOSURES

There were no related party transactions for the years ended 31 October 2020 and 31 October 2019.

Page 15