COMFAIYY REI CISTRATION NUMBER: 04101324 CHARITY REGISTRA'I'ION NUMBER: 10935.46 Zion Arts Centre Limited (TIA Z-Arts) Company Limited by Guarantee Consolidated Financial Statements 31 March 2023 Zioll Arts Centi"e Limited (TIA Z-Arts) Coinpany Limited by Guaraiitee FinaiieiRI Statements Year Elided 31 Lllarch 2023 PaTrgts Tiust¢es' Afjniial Report UncorpoKating the Dire¢tor's Report} Ato8 Independent Auditoi s Report to the M¢mbei3 gto12 Consolidated Statement of Finallcial Activities Iln¢luding Ii)coine aiid Expenditure A¢countl 13 Consolidated Statement of Fina￿cial Position 14 Ststenient of Casli Flows A5 Notes to tlie Financial Stateineiits 16to32 Zion Arts Celltre Limited (TIA Z-Arts) Company Limited by Guarantee Trustees, Annual Report (llleovporating the Directoy's Report) Year Elided 31 March 2023 The ts'llsttes, wlio ave also tlie directoi's foi. die purpose5 of coiiipany law, pi'esent their report and tl)e fiiiancial ststenleiits of the gi￿￿p foi. the year ended 31 Mar¢1) 2023. R¢fei'ence gild Administl'itlve DetAIIs Registej'ed ehaJiÈy Zion Arts C¢tttre Liimited (TIA Z-Artsl Chai'ity iYgistrAtLOn Jiuinbey 1093556 Compitty i'egi$ti'atlon numbei. 04101324 Pi'ineipal office amd registered office 335 Stretford Raad HLiliiie Mancliester M15 5ZA The Ti'ustees S Annitagc A Lone (resigned S Malrh 2023) A Gill G Listci. I￿sigiled 14 DeceJi)ber 20221 E Rallsome (Co-chair from 14 De¢embei' 2022) E Rowles F B¢nii¥ll-Nielstn L Green (resign¢d 8 Mairli 202]) N Noor (Lo-cliaii. from 14 Deceinber 2022) A Bai'katali RKapook' L Wallweit E K￿le (appoillled 8 Mar¢h 2023) M Kulld& (appointed 8 March 2023) Comp8iiy Secyetaj'y E Oyeill Auditor Beevcr and Strutliei's Chaitered acoiuntwit & stattitoiy aiiditor One Expi'ess l George Leigh St Mancheste¥ M4 5DL BHnker5 CAF Bank 25 Kings Hill Avenue Killgs HKII Westmalling Kent ME19 4JQ Solieitors DWF LLP S Castle Street Llverpool L2 4XE Zion Arts Centre Limited (TIA Z-Arts) Company Limited by Guai'antee Ti'ustees, Anniial Report (In¢oi'pott'atiJig Élle Directoi's Report) [ttriirtJMiérf) Year ei)ded 31 Mareh 2023 Objectives Aetlvities Z-arts 15 tlie UIC'S only dedicatcd ai'ts centre for chÈldTen and fan)ilies and is tlit ciiltural ep￿centre of the Hulme eomJnuDity. Itt 2022-23 we Welcol￿ed 66,349 visitors to tlie builditjg, and delivered 70,205 creativ¢ intei'actions. The Chai'ity's objectives ai'e'.- To proniote, maiiitaiji, improve, develop and advance public educatioll and ti'ailling ill the arts foi. the benefit of, but not limited Éo, young people, by opei'atuig é centre for the presentation for Ilie public of niiisic, opeL7, dance, drania, the visual aits, filnis, video, JTILiltimedia, sound, exhÈbitions of all kinds as are coiiduGive to the promotion, ii)aintenance, improveihent and participation in and advanGeinent of education tsi. to tlit encourageinent of the arts, whetliei. on piiniisc5 owiied oi. leased by die Company oi. elsewlieir. > Z-arts uses creativity to inspire, ¢nii¢l) and enable cliildrcn, young people attd fanlilies to r¢a¢li tl)eir potential aiid be the agenis of chaiige in their own lives. >b tn OurArts Centre iii Huline, in education, in comniiinities, at honie and a¢ross nctwoiks Developing Cliildirn, Young People, Educatois, Artists and Faniily.togetheriiess Tlie eliai'ity's maitt a¢tivitie8 are.. 'The pron)otion and facilitation of arts evernts and actLVjti¢s for ¢liildi'en* yoiing people and faniilies. Acliitvemeiits and Pei'foi'mante Z-&ts mis5Lon to make a differellee to die livcs ofsome of the most disadvantaged children inmaiicliester, tliereby llnproving tlieii. lives tliix>ugh inci'easing their inental and physical healtli and well-beitig. We do this tl?mugli'. PAI'ticipatioEL: In 2022123 we rethrned close lo pre-palldemic numbe¥s, ¥vith 27,017 participation engagements in die following pro8raii)Jiies'. Byiglxt Spai'lis After-scliool, weekend, holiday activities across all artfornis for age5 5-12+. plus pre- School ￿ld farnily activities 821 sessioiis witli 591 iiidividual mejiibers Scliool creative ¢utYiBulum and ellricl?ment activities irt scljools, incl￿d]jIg via MADE paikniership. We woik clostly with the 5 pi'ii￿ary schools and nursery schaols irt the ward, 85 well as local se¢ondary schoo15, NHS schools piDgrallunes and Martchestei. M¢liopolitan University, on our doorstep. iii a total of 63 scliools &cJDss Greater ManGhester and 3, 856 engagein¢i)ts. Clilldi'eIi's libi￿1'Y new library Witii i'epresentative diveise books aiid eveiits prograiii1￿¢ to suppoi'i literacy alid a love tsf reading I stori¢s.' 171 m¢mbeis wididi2wing 1,554 books since opening iii Octobei. 2022. Zxon Arts Centre Limited (TIA Z-Arts) Compally Limited by GuAraiitee Trustees, Annual Repoi't (Incorporating the Dii'eetoA.Is Report) (tO¥Jlliiiied) Year elided 31 March 2023 Performance: Clilldi'en's Theatre a liigli quality diverse, representative piDgratni)ie for children and faniilies iii Z- arts theatre ages 0-12+, pliis siipporting aiid a fa¢ilitatiiig a cliildren's theatve programme aciDss some of tlie Inost i'einote areas in tlie Norrli West (lii'oLigh our role in IiiAnaging tlje Big IinagiETrations Cliildren's Thcats'6 Network, whicli will celebi'ate it's ten yeav anniV￿￿alY in 2Q23. 6,285 audien￿8 in 2-aits. with a fllrtliej. 6,088 a￿05$ Big In)oginations veiiues. Discover exhRbition iiiimer5ive, inteiactive exhibÉtion based on childirn's literature, changi¥Lg aiinually ages 0-84. This year lias bgeii F&iiytales, with 19,996 public aiid school visitois. Commuiiity engagenjtnt: Cons￿1t￿tIon gi-oups The z-a￿ Fall Club and Fricn4Js of &aits influellcillg aGtivitie8. Community fi vents e.g. Hulille is Wliere The Art 15 aiid the Wintei. Festival each with att estiniated 500 people attendin8. Coiniiiuiiity iietworks., re-enEa8i￿g with diverse eomiiiunity networks in the aiu Ai'ilst Developiiiertt: Performei's developnient progi?iiiwe suppoi'ting artists Jnaking Work for young audiences widi a fo¢us (In divei¥e artists, this yeai. w¢ illvested ill 8 new pieces of work, woi'king w%di 85 artists oi. compaiiies and offering 345 days af artistdevclopment support. Ci'eative Facilitatoi. TrgltiÈng pi'ogi'ainme nurtui'ing 13 entry level artists to gain skills and begiTr cinployment os an ailist thiough siipporting our p￿.(iCIpatIon progrnmm¢. In sli&ping oui. objectives foi. the year aniE planning out. activities, the tnistees have considei'ed the Charity Cotninission's 8uidanceoJJ publi¢ benefit, siicliiding the guidan¢e ot) public beiiefit alld fee charging. The cliarity I'elies oll the voltlllt&ry sci'viees of tlie tiiistees, and oll giunts and the inconie froEn fees and chai'ges to covei. its operating costs. In Setting die level of fees and cbarges the trustees give consideration to tlie a¢cessibility to activities for tliose otj low iiiconie5. Based in Huliiie, we ait eomtnitted to supporting oui. local Goinmunttie8 as well a8 Eeachillg out across Gi'eakn. Man¢hestei' aiid the Nortli We5t.W¢ opei'atc fro1￿ a large Edwai"di&n build&iLg whioli includes a 230-seat theatre, galleiy, i'ecordit)g studio, Inusic room, dance studio, cafe and nuilleibus other reli¢arsal / meeti￿g I￿01115. Buttl]trc is mucli nioJE to what we do that is outside of the building. W¢ lead netwoi'ks.. Big Itllagiiiatioiis children's tbeats'e netwoj'k, bYingii)g brilliant cliildr¢ii's theatt'e to all airas of tlie North West MADE {Manclic5t¢i' Cllltui?l Edueation paitrtership) with &visioti to mak6 Man¢hest¢i & beacon foi. creative edvcatioll, wlicir thc arts add magic to life experiences And learning for everyone. Man¢liester Fainily A]ts Netwovk, iinproving f￿nilY provision across cultural vcnuc5 in Manchester. We engage with coininunities,. Scliool communities a¢iDss giEater MAtt¢hester, bi'inging CJf*Ltivity into education in both creatÉve subjects and ST£M subjects In oui. con)muiiityi Wlth lavge scale outdooi. events like Hulme Is Where The Art is and the Wintei. Festival in Hulme Park Zion Arts Centre Limited (TIA Z-Arts) Company Limited by Guai'antee Trustees, Alliiual Report Oncoi'poratiiig the Directoi.Is Report) {coiilliiiiei) Year ended 31 March 2023 Our valiies cut tl)rougli eveiythiiig tliat ive do, witli oui. cliildreii, ytsui)g people, faii)ilies, visito¥s and staff tealll.. Welcolliillg, Iiiclusive, Vibi'aiit, Forwarnl-tliinking, Engaging attd Fun. Oui. Flve Airns Pi'imary Alm.. Childi'en ClJ%ldren> yoiing people and fatn%li¢s acioss Greater MaA¢l)ester and the widei'North will liaye girat￿. influellce ovei.. attd gain nioi'e ¢rnative ski115 through a widtrreaching niulti-ajt-form ei)ri¢hinent progr*unnie. Second8ry i)Im5'. Ptrfui'ni#nces More, ex¢ellent pei'forii)antes foT cliildirn aiid Faniilies will be available for audiences a¢r05S the Nortli Audiences ond pxrticipallts We will IEbuild [￿d grow existirtg aiidiences, wilh a gi'eater nutllbEr of divei¥e audiences engagirtg with and benefiting frojii our wid¢-iinging pro81￿mMe Artists More diverse aitists will be nurtured and supported to Inake ex¢ellcnt contetnpoi'ary theatt'e, perfOrm￿lCe alld arts activittes for cliiidiEn and f8niilies, with more opporttjrtities to share tile work and learning Irgiollally, nationally and in¢ci'iialioiially. Oi'gauisRtio To gl'ow as d irs%lieAt, llatioaally respected, sknEtegic lead delivering best ￿'actICe in p¢i'foriiiancE and participatory ails actiYÉties and events for childiEn and families Tcrnis of oc¢up4tioii aiid sub-letting of pi'em5ses The wmpany occupies pi'en)ises owned by MoiJch¢st¢r City Couijcil. TlTre conipany has bBnefited frojn its o¢cupation tl)rougkn its own us¢ of tlie pi'eillises and throiEgh sub-letting part of the prcJnis¢5. We provide an affordable b&8e foreme¥ging artists and Cjrative SME.'s to base tlieiiiselves and piDdii¢¢ iiew work. Ollrpriniaiy tenant is Siistained Th¢alit IIp Nojtli (STUN) who illhab%toui' studio Ilieali'e ot* a ten-yeai. sub-lease, supported by Arts Council England, until lstbtovember 2023. FiriAncial Review Tile Company has experienced i satssfaGtory yeai. financially iii line witli budgets set out al tlie slaTt of tlie yeai.. Total funds decreased by £21,820. Restricted funds iiicreased by £41,088 but tliis is largely dut to unspent capital grants at yeai. end with the 8inounts retnailliiig iii ITstii¢ted pi'ojecÉ 8ixttls deci'tasing as PTojecls weiE Cal￿p1¢t¢d wiÉliin the yeai.. Unirsti'i¢ted fullds de¢Kas¢d by £62,9a8 in tl)e yeai. £26.438 1)f tliis depreciation of Capital iniprovei?)ents and tlie reM&ining £36,470 was due to a budgeted inGr¢a5e in speading on charitable activ*ties, utilising free i'e5erves biiilt up in the piwious yeai.. Total income increased by 19.6 /0 to £1,444,793 (2022. £1,208,164) Donations 8nd lega¢ies iiici'eased as 2 result of all Ai'ls Council ¢apit&l giwit. Eariied iiicorne fi'om box office, room liire and tcnanl inco]n¢ ill￿￿&Sed by 55.5/0 to £303,379 (2022: £195,184) reflectitig greatei. activity as audiences i'elurn¢d afier the pandejitic. It)ClE&sed footfall in tlie buildiiig contributed to an ithci'ease of48•/0 in iii¢ome fi'on) the tradiE]g subsidiary w111¢￿7 operates the Z-arts G&fé at]d llJei'cliandising. InG0￿C lose fi￿lI) £54,114 in 2022 to £80,217 this y¢*'. Zion Arts Centre Limited {T/A Z-Arts) Compaiiy Limited by Guai'antee Trustees, Annual Report {Incorporating the Director's Report) (coiJliiiMEdJ Year ended 31 Mgrch 2023 Expenditure increased by just ovei. 18/0 to £1,466,613 {2022'. £1,241,460). The two tt)ain drivers of tl)e inGltase wei'e incirased pinperty costs diie to an incY¢ase in gas ￿ld electi'i¢ity bills and art increasc in Staffing ¢osts. Gas a￿ld elects'icity bi115 ii)¢reased by 121.50/0 sn the year (£51,138 in 2022, £113,634 in 20231 despite a decrease in a¢tu&l eneiEY usage frotn environmental ii)Iproveinei)t> and upgrod¢s. Staffillg costs rose by 230/0 {£574.233 in 2022, £705,382 IE) 2023) paiiially #s a i'esult of retumiiig to a full complemciit of staff aftei. the pandemic biit a150 upward pi'tssure on wages fiDlli inflation and a commitiiient to payi2)g all staff living wage. Gas and electricity prices liave modei'ated significatttly wstyear end all4J look set to fall furtlier as tlie elects'icity fixed cot)tvact ends in Octobd 23. Prlneiple Ri5115 and UncertaiMti¢s The trustees l)avc a i'isk n)anagell)eiit sts'ategy which coniprises a irgular ieview of die risks tlie Comp&ny rnay face, tlie establishnient of systems and prowses desigtied to mitigate tliose tisks and tlic itt)pl¢ment&tion of pi'occduirs inteiided to miniii)ise the illipact on tli¢ Company should those risks tbaterialise. This I'isk stt'ategy is i'evi¥wed on a qiiaiterly basis a¢ boai'd level. The latest i'eview liighlightcd.. a) Loss of ￿l]dirtg, recession and reduced earned in¢ome- mitigated by pKo¢ecting Jrseiv¢5 whei'e possible,. fociis fiindraising on col'e costs. operate pwojed bud£ets at full cost recovery. niaiTrtai affoiylability options foi'th05e facing socio-economEc disadvaTht&ge. b) The buildin% still h&s some areas wl)i¢h gre liigii i'i5k- such a£ tttll&pscd di'auis and daTiiP ingKess causijig dan)age to w&lls alld floots. and ()cca%innal power outages, but these risks are Ihitigated by Close lia￿0￿ with Corpoiyte Pvi)p£ity and liaving an fvtcc Exeo the boaTd of tiwtees. Going Concern The trustees have considered, inflationary pJEssure5 on both wages ond utilities, and the effect the ongoing cost of living crisis could have on futsiir aiidicncrs, wl)en considering wlieth¢i' the Con)paiiy is able to op¢i'ate as J going concern. After e&"efully considering tlie Coinpany's financial positioii ￿)d forecasts, the trustees have concluded that it is appiopi'iate to adopt tlie going collccrn ba5ig af pt'eparatio#. This y)sition has been infomied by a number of fa¢lo¥s, including.. Tlie continued suppoit of Art8 Coull¢il F,llglRiid througli NPO fiinding, MCC tliiDLtgkn its ievellue graTht funding aDd conlitslled GMCA funding. Tlie oiigoing p&itncrsliip witli Moiintview the&tre school which is incitasillg in size this year. The new children's library wliicli opened in October and a family friendly e5capc room which opened o the fitstof April this ye￿. wliTcli has incrcased both footfall and vÈsibility. A irselves policy wliicSJ h&% eaabled rc5¢rvcs to inci'ease to auow for &lly sliort tcrn) downtums in income or supporL A conslderable iedu¢tion in e￿￿'gY ilsage following enviJDrllnental upgrades inclLiding soI&L' panels ittstalled in 2022 alld new LED theatlE lightiiig installed in Feb￿ary 23 alongside a sizeable iEduclion iii energy costs. Zion Arts Centre Limited (TIA LArts) Company Limited by Guai'antee Trustees, Annual Report (Incoi'poyating the Directoi s Report) Y&qr ended 31 Mai'ch 2023 Reserves Policy ai'ts fite reserves target figuj'e should fall between 8 and 12 weeks of pre-pathdemic allttual ttaiDovei'. The tai'get figure &lld this policy wtll be i'eviewed aiinually at boa1￿ level. Fl'ee Irserves are calculated as ui)re8tricted I￿serveS Lllinus Uiireslri¢ted fixed assets book value n)ittus any otlitt stated de8Ègi)ated I'eseNu. arts Rcserve Poli¢y pi'ioritises tl)t closure eontingency of £215,516 rillgfenci￿g this amouttt first. A fui'tl)ei' Icsetve ctsjitiiigency of £50,000 sliould be lield as a) a contingeiicy in case of unfoir5een loss oi. i'ediictioji of any i'eveoiie streaiii, b) funding heing lost for any key pi'ojects to allow tliai project to continue foi. 6 Illollths wh￿[St altEimat4ve f￿ndIng is SOLight atEd c) a sllin to be used as mat¢li fltnding to advantage of aiiy fufjdillg oppoitrinities that ￿aY ai'ise that would dlow future Creative pJ'oje¢ts. Ti)¢5e fi￿llEs give a total Y¢serve trdrget of £265,516. It is d¢eii)ed ]Jecessary lo liold a ¢losui'e contingettBy to allow foi die winding dowii of thc chaiity should the organisation be forced to closc for unseett LirGunistances. 1.lie closuir roiitingency figui'e %$ ircalculated each year but follows tlie Same metliodology. Wind down stalTcalLulati0115 liave been calculated &t x3 11)ontl)s £0s]imitllient to seiiior managcjneiit %taff salaries £ind statutory redundancy payments. for otliei. staff. A fuYihEI' r￿Ure accoynts fot. 3 nionths of the atttkual ovei'lieads budget (excluditTrg $Al&riesl to allow the buildi1￿￿ to veiT)ain open to lacilitate an ordeAy wind down. Any reseives held over the target fiRuve will allow for a IKg&tive budget to be set for the following y¢8r 8llowiiig Inofc sy¢lld on key creative piDje¢ts whicli further the ch&i'ities cbaritable aiins. Z-arts ¢oiitinue to diversify thei]. funding streams tlirougb eamed ineome. publ¥c badies and ptivate spot￿)rS￿ip to rediice reli&iice on iny sinule source of in¢oine. Oui. free I'eseives i)ow sland at £250.577, £14,979 ujidei. die resej'ves tai'get figiiye. A balanccd budget lias beei? set foi. 202312024 however any suiylus aclTricved in tlic year will be used to bring tlie IEservcs bdck to tlie target figure. Plans foi. Flltuyt Pei'iods Z-arts ¢nteiE a new thi'ee yeai. plan for 2023-2026, whicli is forecast as period of stability foi. Z-ait4 witli onfiTI)ied fijndittg froni tltree core funders Arts Couiicil Bngland, m￿lCheSter City Council and Gi'eater Manchestsr Coinbined Authorilies. We receive shategic funding fi'otn Nlan¢li¢stei' City Coutlctl, to lead on bestpra¢ti¢e for eiigaging cliildreii and young people in arts and culttire. We aTe an Aits Coiin¢il England National Potrtfolio Organis&tion, leading and deliv¢ring tlie Big Imaginatioiis I'egional netwoi'k of cliildren's tljeatie, progT'amming aiid commissioiiing r61¢vant, dIV￿.9e th¢atr¢ foi. the in0d￿71 family. Our GMCA fiinding enables lis to contribute to the GM Ciiltural Sti'&tegy. Activities, aiidiences ￿ld pailicip42tits have returlled to number5 tliat cotnparable to pi'e-pandemic, so we are aiming foi. only sliglit anttual InGIEa5cs in ourKPI twEets. Oiii. total intei"actions in 2022123 weir 44k. and we intrnd to incvease tlies¢ to 70k by 2026, Zion Arts Centre Limited (TIA Z-Arts) Compajiy Limited by Guai'aiitee Trustees, Aiinual Rep(>i't (Ineoi'poi'atiiig the Dii'ector'g Repoi't) (coNlliirie Ye2r ended 31 Mai'ch 2023 Oiii. priorities are to offer ci'eative opportuiiities to children ￿)d fatnilies wl)o nced it 1110sL iiicluding irfiecting and vepresenting tlie divei'se cominutiities tliat Yurround us. New Inodels wbich we¥e explored durin£ attd post-paiideiiiic wtll be I￿tegrated into core delivery, in¢ludinE children's libr￿y, a family escape rooni and more flexible opening tiii)es. Specifi¢ ai'eAS of developiitellt will be: F#mlly Escape Room cliildrtll's liiei?ture-tliellied imtnerslvt challenge activily for fomilies fiY>iM aged A children's IlbrAry pyogigmme to en¢ourag¢ yout)8 readers and supw>it local diverse authors Artists DeYelopm2XEt Pl'ogi'ammé, dianks to incirased investment fiom ACENPO to support diverse artists making performan¢¢ or partÈcipatory work foi'youiig audiett¢es. Z-arts will ¢ontinue to play a role as a majoi. contrib(Itor to the culttii'al sectoi., by facilitating CiE&tive and iiltui'al networks ai)d partner.%hip iiiod¢ls' artd by providing training and d¢velopiiit]it for cliildren, youtlg people, artd artists at tlie St￿'t of their ¢aY¢er. 2023 2026 will see lis continue to busld this recogjiitioll both within Mancliester, atkd nalionally. Sti'ucture, Govertk#ttce, 211d Man&gement z.arts is goveriied by a boai'd of voluntary tl'U5tees, who einploy a Chief Executive. Theye is a Seiiiur Mana2ement Team (Jf fftui.. Dcc£sions niade at Executive level, witli d￿1810￿8 tbat liave an iijipact on the business oi. a financial eost of over £2,000 being taken to trustee level. Tlie CEO Reports to the t￿￿tee$ on a quarLe￿1Y liasi%, i addition there is a qu2rterly fillanLE 5u&coJiiJnittee and focus gI￿upS irporLing to tlie trustccs on spe¢iftc init*ative5 as requit'ed. All li￿Stee and staff roles follow safe and inclusivc I'ccj'uitfftelll pl￿Ced￿l'e9. All salaries liavv been benLlJmarked against othei. Alts OlEalli511tions to etL8iilf tliat tbey are Comparable alld appropriate for the oi'ganisation. Tliere ss a thoiY)ugh Te17ns of Reftttn¢e foi. trustees and induction proceduiE wlii41i was iipdated Èn Augiist 2020. Related Parties No1￿C of tlie Irustees receive remuneration or any odier benefit5 fLDm tlictr trustecsliip. Eadi year trustees caniplek a Conflict of Intei'<%t Statement and a Dwlaratioii of Coiiiiiiitmemt Statement. Ally ¢oim¢ctioN betwee attustee oi. a senior ￿&￿ag￿. and a ¢c)mpany, institution aitist that Z-arts Engages with iniist be stated IA diss foi'in, oi. at a meeting if it occul3 dLU'ing the year, CllrEinily Rowles is ati'ustee appoiiited by Manchester City Couiicil. Maiicl)estei. City ¢oiincil lease die building to Z-arts, and also provide strategi¢ ¢ore fuiiding. Cllr Rowles also sits on tlie board of One Manchestei.. Ti'ustee5' Re5pothsibilities State￿ent 11ie trustees, wlio are also dir¢¢tors for tile purposes of cojiipany law, *L'e responsible for pitparing tlie trustecs, r¢poil and tlje f￿a￿e1a1 stateinents it) acco1'd￿let with applicable law artd United Kiiigdoin Accounti￿￿ Standards (United Kingdoiii Generally Accepted AccoLintirtgPractice). Coinpany law iwuires the chai'ity trustees to prepare f￿ancIal statements for each year whicli give a trne fair view of the state of aff&irs of the cliai'itable coinpaiiy and tlie iTheomiiig vesources and application of re8ource5, including th£ illcome and exp¢nditutE, for that pei'iod. i prepari]ig diese financial slateim¢nts, tlie trustees air required to.. sel¢ct suitable acccunting policies and tlien apply them consistently; Zion Arts Centre Limited {TIA Z-Arts) Coinpany Limited by Guarantee Ti'ustees, Annual Repoi't (Incot'poi'ating the Directoi's Report) (Colilliiiie Year elided 31 Mai'cli 2023 obseive the iiicthods and principles in tlie applicable Cliarities SORP,. make judgtnents and a¢eounting estimates that aye reasonable aiEd prndent. prepare the fjnancial statemeiits on tlie going coii¢ettt b&gis iinless it j5 iiiappix>priate to PLtsume that tlie cliarity will continue in business Tlie ti"ustees are iEspoiisible for keeping adquate accouttting records diaL are suffi¢icnt to show attd explain tl)e chat'ity's traDsaLlions and dise105¢ With reasonable acci￿7CY at any tiAEe tkne fJnan¢ial position of the cliarity and enable tli¢ni to ensiiiy that tlie finaiicial 5tateJiienls Coniply witlt the Conipanie5 Act 2006. They ait also re5pollsible for sa*eguarditlR tlie assets of tl)e charity alld lietice foi. taking reasoEJable steps for the pKeventiotk and deteGtion of fraud 8nd o￿l¢l. irregularities. Audltor Each of tl)e per8oiis wlio is a trustee attlie date of approval of tljis report confiims that.. so fai. as tli¢y arc aware, there is no r¢levant &udit infotiiiation of whiGh the ch&r(ty's auditor is unawai'e. and tliey have taken all steps that they ought to liave takell as a trustee to inake dietnselv¢s aware of any iYlev&ni audil informatioll aiid io establish tliat tl)e ¢barity's auditor is awaTe of tl)at intonllation. The auditoi. is deenied to liave beeji re-appoillted in a¢cordaiice witl) section 487 of tlie Compani¢s Act 2006. Small Coinpany Provisions Yiis repoit l)as been prepared in accordance with the provisions applicable to con)panies etttit]ed to tkne small ¢trmpanies' exejiiption. The tTUSt¢¢s' allnu21 report was appi'oved on l ! lld sigiied on behalf of tlje IM)ard of ti'ustees by.. Amy Bai'lcatali Tr¢asureF Eli£abeth O'Ntill Company Secretsry ## **Zion Arts Centre Limited (T/A Z-Arts)** ## **Company Limited by Guarantee** ## **Independent Auditor's Report to the Members of Zion Arts Centre Limited (T/A Z- Arts)** ## **Year ended 31 March 2023** ## **Opinion** We have audited the group and the parent charity group financial statements of Zion Arts Centre Limited (T/A Z- Arts) (the 'charity') for the year ended 31 March 2023 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the charity's affairs as at 31 March 2023 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - have been prepared in accordance with the requirements of the Companies Act 2006. ## **Basis for Opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions Relating to Going Concern** In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or parent charitable company’s ability to continue as a going concern for a period of least 12 months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ~ 9 ~ Zion Arts Centre Limited {T/A Z-Arts) Company Limited by Guarantee Independent Auditoy's Repoi't to the Members of Zioll Arts Centi'e Limited {TIA Arts) (eoftiliniied) Year ended 31 Mai'ch 2023 Other lllformgtio The other infortllation comprises d?e iiiformRtioi? iiicluded iii Iht annual report, ottier tlian the financial statements and oui. auditor'sreportthereon. The trustees ale Irsponsible forthe othei-infortllatioii. Oui'opinioii Oll tliefJnan¢ial statemetkts does ttot Govei. the ottLeJ' iTrfoiJiialion and, exc¢ptto the extent otherwis¢ explicitly stated in OiLL' Irport, we do not expirss ai?y fomi of assurance conclusion tliereoii. In coiiiietttoii ivitli aur audit of tlie fjnancial stateiments, our Tesponsibility is to It&d tl)e otlier infojination and, ill dtsi￿g so, considei. wliether the othel. infoimatien is niateiially inconsisteiit with tlic financial ststements oi. oiu. knowledge obtained in the audit oi- otheIwise appears to be iiiat¢riAlly 1)]￿Sstated. If we identify sueh lliatei'ial in¢ollsisteiicies oi. apparent iiiaterial Misstatel￿ent$, we arc requii'e(f lo deterniiile whether there is a niatcrlal misstatenient ill the fJn8n¢ial statenients or a rnaterial tnisstatement of the oilier itlfoi'mation. If, based on tlie woi'lc we liave perf4)tnJed, we eonclude diat there is a niaterial niis5tatem&it of this othei. iiifui'niation, we are I'equired to Y¢port tliat fa¢t. We have tsothin8 to report in this regard. Opimlons Other MAtteTr's Prescribed by tlie CompxttlÈs Act 2006 In our opinioll, based on th¢ work undeitaken in the coul￿e of the audit.. the infoi'illatioii given in tl)e trustee5' re￿>rt for the firtancial year for wliich the financial staleinents ore pi'epai'ed is coiisistent witli tlie financial slatements,. and the ¢tikst¢es' rwrt has been pi'epared in accoixlanGe with appli¢able legal 1rquiir￿cnts. MAtter& on Whitlh We arc RequlEed to Repoi't by Eixeeption Its the l(ght of tbe knowledge alld ￿nderstanding of the chai'ity and its ellvirorÈment obtailled irn the couiEe of the audÉt, we have not identified niatei'ial n)i8stateinenls in tbe trustees, report. We have notliing to repoil ill Irspect ofthe followiiig iiiatters 1]] reletion to whichtlie Companies Act 2Q06 irquires us to report to you if, our opinion.. adequate ac¢ouiitirtg rethrds liave iiot beta kept, or I"etuiYJs adequate foi. our audit liave not been Teeeived fram brat)Ghc5 Ilot visited by lis. oi. the fJi)an¢ial statellie#ts are not in agreemeiit witli Ilie accouiitii)g I'ecoi'd8 ￿ld return5. 01. ¢ertaÈii disclosures of trt￿tee$, veniuneration specified by law are not made,. or we liave notreceived all th¢ infoJThation and explanations we i'equire for our audit., oi. the trustee$ were not Etititled to prepait the fjnanoial st&teinents in accordaiice with the small Co￿panieS JEgiiiie and t&ke advaiitage of the sn)all compall1¢5' exemptiot)s in preparing the du'ectors, report and froo) the Yeguii'enient to prepare a strategic i'eport. 10 Zion Arts Centre Limited (TIA Z-Arts) Company Limited by Guxi'alltee Illdependent Auditov's Report to the Members of Zion Ai'ts Cellti'e Limited (TIA Z- Arts) (toijlliiiiedj Year ended 31 Mai'ch 2023 Responsibilities of Trustees As explallied tnore fully iii the tt'ustets, respoi)sibiSitie8 Statenieiit, the trllstee5 {who al'e also tlie dÈrectors for tlie purposes of conipany law) are i'esFrf)t]sible for the prepaj'ation of the f*nanci81 ststeinents artd foi being %ati8fied tiiattliey giv¢ atrLie and fail. view, and foi. such Èntemal contiol os tlit liiistte5 dcteJ7nine is i)ecessaiy to enable the preparation of finaiicial statemeiits that al-e free frol￿ &iiatcrial Inisst8t¢ineJit, wlietlier due ¢0 fraud ol. errol. In prepariiig tlie fillan¢ial stat¢mellts, tile tswstees art rcspoiisible for assessiThg tlie c]￿rIty,5 ability to ¢otitinue as a going concertsi, disclosing) as ai)plicable, Ii)atters I'elated to going comcei'n and using the goillg eon¢¢i'n b&sis of aecountit]g iinless the tiwtees citlier intend to l*quid8te tli¢ charity oi. to cease op￿.atiOns, oi. l)ave lla realistic teinative but to do so. Audittsi's Responsibilities for the Alldlt of the Finarteial Statemwjts Ow'objectives ale to obtain reasonable a5suran¢e about wliether the stat¢nients as a wliole are free fi￿[ll malerial Jiiisstatenietlt, whethei. due to fiaiid oi. error, and to iss￿¢ an auditor's iEport that includ¢s our opiijion. Reasonable 8s8uronce is a IiiEh level nf ￿su12￿Ce, but is not a guarantee tliat an audit conducted in aicvrd21)ce witii ISAS IUI<) will always detect a material inisstaten)ent when it exi8ts. Misslateinenls Lan arise fioni fraud or eiyoi'alld ￿.¢ coiisidei'ed material if, iiidividuallyor in tlie aggregate, tliey Lollld i'eagonably be expected lo iEffluenGe the economic decisiolls of usti's t&ken on tlie basis of th¥se financial statcinents. As part of an audit in a¢¢ordance with ISAS (U(), we exercis¢ professional judgllieiit and maintsin prof￿$10￿al s¢¢pticisin tliix)ugboiit the audit. We &lso' Identify and assess the tisks of illateri￿ misstateniellt of tli¢ financial statements. whethei. due to fi'aud or ei'n)J', desigo and perfDiTh audit procedures J'L81)oJisive to those Yisks, atid obtaii) audit evideiice tliat is sufficient and appi￿p1.1atetn provide a basisfoi'oui'opittioJJ. The i'isk of not detecting a mata'ial sni5514teinent r&%ultiiig fi'i)m fraud i8 liighei. tlian foi. one i'esulting from eri'oi., as fraud n)ay involve collusion, foiEeiy, itet]tional omissions, niisrepirsentations, oi. the override uf intttnal cOnts￿l. Obtsin gn i10d￿1.￿lartdlllg of intti'nal conti￿[ relevallt to tlie audit in oidei. to desigi) audit procedures that ar¢ appJ'opi'iat¢ in the csrciinistances, biit not foi. th¢ PUiFose of expyessing sn opinion okn the effectivenESS of tlie internd control. Evaluatethe appTopriateiie&s of aceountiiig policies used and the re4s0nableiiess of aGcounting estimate5 aiid related disclosiires ni&de by tlie truste&4. Concliide on tlie Rppropriateness of the trustees, use of tlie going ron¢eiM basi5 of accolint￿n8 dnd, based o the audit evidence obtained, whethei. & matcrial unceitainty e￿5¢S ielatd to evei)ts or conditions tliat inay cast signifjcant doubt oil tlie ¢h8rity'5 ability to continue as a going con¢eni. If we conclude that a malei'ial ui)certainty exists, we al'e required to di?w atteiition in our auditoi s i'epoit to the reloted di8closures in die fiiiallcial statements or, if such dis¢losuies are inadequate, to ii)odify QUT OPlI)ioI). Oui. ¢onclLlSiQt15 aTe based oji tlie aiidit evidence obtained up to tlIE date of our auditoi s report. However, future gvents ol. conditions Lnay cause tile diaiity to ¢¢ase to cantittue as a going conceni. EvalLTrate thc ove1?11 piesentation, 5ti'uGlure and ￿)ntentOr tlie finan¢ial statements, iiicludingtliedisclosures, and whether tl)e fillancial statements represent the underlyillg ti'ansa¢lions and events in a nianiier tbat achA¢ve5 fail. pirsentatiott. We comniullicate witli tlios¢ chai'ged with goverrtance ￿￿al'ding, ainong othei. nIatte￿.s, the platkned s¢ope artd ti11iing of th¢ aiidit and signKficant audit findillg5, including any significant defi¢ieo¢ies in internal ¢oiitiDI tliat we identify duriiig our audit. **Zion Arts Centre Limited (T/A Z-Arts)** # **Company Limited by Guarantee** ## **Independent Auditor's Report to the Members of Zion Arts Centre Limited (T/A Z-** **Arts)** _**(continued)**_ ## **Year ended 31 March 2023** ## **Use of Our Report** This report is made solely to the charity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed. Sue Hutchinson FCCA SENIOR STATUTORY AUDITOR For and on behalf of Beever and Struthers, Statutory Auditor One Express 1 George Leigh Street Manchester M4 5DL Dated: 05 December 2023 ~ 12 ~ Zion Arts Centre Limited (TIA Z-Arts) Company Limited by Guarantee Coiisolidated Statement of Fiiiancial Activitie8 (including ineoine 2nd expcnditUR'e aceount) 31 March 2023 Unre5ti'icted fuJ]ds Re8ti'icted funds l otal fuiids 2023 Total funds 2022 Note Income endowments Donations and le8aoies Cli￿*table activities Investment iftconie Trading activities Co)mznercial ti2ding opcixtions Other ltscome 5IO,760 378,829 6,145 127,549 334,489 638,309 713,318 6,145 525.513 627.353 608 80217 6,804 80,217 6,804 54,114 576 982,75S 402,038 ,444,793 1,208,164 Expenditure Expenditure on charitable activities Expendituie oil i?isin£ fiiDds'. Commercial trading operations Total expenditure 10,11 965,550 420,950 lJ86,500 1.188,155 80,113 80,113 S3,305 1,241.460 1,045,663 420,950 1,466,613 Ilet (txpei)dituroylTheomÈ llet rnovenient iii fund$ {62,908) 41,088 (21,820) {33,2961 Transfers between funds Net illovememt futids (62,908) 41,088 (21,820) (33,296) ReconeiliAtion of ftEMds Total funds btDught foiivai'd Total flliids cari'ied foi'w#i'd 515,366 266,34 781,712 759,893 8 L5,008 452,459 307,434 781,712 The statement of f￿anGLa1 activitics iiicludes gains aijd 1055es itcognised in the year. All inconie and expenditure derive frotn ¢otttinu£ng actiwsties. 13 Zion Arts Centre Limited {TIA Z-Arts) Company Limited by Guarantee Con501idated aiid Chai'ity Statemeiit of FinAneial Positio 31 Mai'eli 2023 Ci'oup ClIAI'lty 2023 2022 2023 2022 Flxed a58ets Tangible fixed assets I￿VeS￿lents 16 l7 514,166 258,913 514,116 loo 258,629 100 5A4,166 258,913 514,216 258,729 Cuj'iynt Ilssets Stocks Debtois Invesoiients Cash at bank and in band 18 19 21) 2D 4,814 78.418 306J24 53,112 6,580 86,106 593.808 15.%,419 841,913 88,989 306,824 40,298 92,819 593,808 150,891 443.168 436,111 837,518 Cred&tO￿.. ￿Mounts fallÈng due within oiie yenr 21 197,441 319,114 192,044 244,067 316,040 521,478 Net cuyi'ent 8ssets 245,727 759,891 522,799 781,712 TotAI assets less clln'ent liabiliti 758,283 780,207 Net 08sets 7S9,893 781,712 758,283 780,207 of the ohaiuty Resti'ioted fund5 Unrestricted funds., 307,434 266,346 307,434 266,346 General funds Designated fund 22 259,727 192,732 258,117 192,732 299,062 214,799 214,799 Total chai'ity fullds 759,893 781,712 758,283 780,207 The Trustees have prepayedgi'oup accounts accord8n¢e widi Section 398 of the Cot)ipaiiies Acl2006 atsdsectioll 138 of tije Cliai'iti¢s Act 201 l. Tliese accounts arc pj'epaved ill accoi'daii¢e with tlie special provisioElS of Part 15 of the Companies Act relating lo sinall companies ￿]d constitute tlie annual accounts icquir¢d by tlie Coiupanies A¢t 2006 alld al'e foi. circulation to Jnetnbeil of the cotnpary. These fiiiancial statements were approved by tl)e board of trnstees 8nd autliori5ed foi. issue on 11.QF19¥p[.2023 8nd are signed on belia]f of tl)e board by.. A Bai'katali Trustee 14 Zion Arts Centre Limited (TIA Z-Arts) Company Limited by GuaR'antee Statemeiit of Cash Floivs aiid Consolidated Statemeiit of Casli Flows Year ended 31 MaY¢h 2023 Gi'oup 2023 2022 2023 2022 CAsli flows fyoin operAtiMg RcÉiviti¢y Nct illCOEnel(expenditurel (2l,820) (33,2961 {2l,924) (33,414) Adjiisliiienfsfoi" Depreciation of tangible flxed assets Other interest i'e¢eiYable and similaE' incomr Pi'ofil on sale of assets 75,894 16,145) 66.919 {608) {158) 75,657 (6,145) 66,228 (608) 11581 Changey IFI.. Stocks Trade and otliej. debtoi% Tizde and ntliei. crcditors 1,766 7,688 (121,669) {64,286) 14,725) 28,879 54,210 3,830 {L23,991) 37,736 44,132 113,917 Cash generated from op¢rations 111.222 (72,573) Interest received Proceeds froiii fixed assei disposals Net cash used in operating activities 6,145 608 158 6,145 608 158 (58,141) 111,988 (66,428) 114,683 Cash flaws fi'om investing 4e¢lvities Puithase of taiigible assets Net ¢asl? Used irt investing activities (331,148) {93,629) (331,148) (331,148) (93,629) (331,148) {93.629) 193,629) Net decrease in L'8xh And cAsh equivaleiits CR$lJ aiid cash equlvalents 8t beginning of ye#i' CA5h and cash tqulvglents Rt eiid of yeav (389289) 749,227 18,358 730,869 (397A76) 744,699 21,053 723,646 20 359,938 749,227 347,123 744,699 15 Zion Arts Celltre LimÈted (TIA ￿Arts} Company Limited by Guai'antee Not￿ to the Financial Stateinents Year ended 31 Marcli 2023 Genei'AI Inforiiiatio The ¢hai'ity is a private collipany limited by guaixntee, vegISt￿Ed ill England and Wales 2nd a registered ¢barity in ￿lgIa￿d and Wales. 171¢ address oftlie i'egistered office is 335 StvetfoTd Road, 14ulnie, Mallcliestei., M15 SZA. Stfiteillent of Coiiipli%nce The fmancial statetneats have beeth prepaird in &ccovdan¢e with Accounting arnd Repoiting by Charities.. Statetn¢llt of Recomiii¢llded Pi'actjce dPI)licable to ch81'1tie5 prepari]ig theii. accounts in acco1.daii￿ witli the Finallcial Reportlng Stalldard applicable in the UK and Republic of Ireland (FRS 102) leffectiwe l I￿liary 2019)- (Cliarities SORP (FR8 102)). tlie Cholities Act 2011, tlie Finanuial Repoitillg Standai'd applicable in the UK and Republic of Ireland IFRS 102) aud tEie Conpanies Act 2006. Actoiintlng Policies Ba515 of PrepAI'atlOM Zion ArL% Caitre Limited (TIA Z-Arts) meets the def￿ltiOn of a publiG benefi( entity ynderFRS102. Assets and liabilities arc ijiitially i'ecog￿1Sed at histoi'ical Cost or tIBnsaciioll value ullless otherwise stated in tlie I'elevant accountiiig policy Jiotelsl. PiYpai'atioR of the nocouNt8 on 2 goÉng ooiieern bgsÉ5 Tlithr are no inaterial uncertainties about the cliarity's ability to coiitii)ue, therefoft, the accounts have beet) Pl'epaird on a going coftcei'n basis. Basis of Con801idatio ie Stateiiient of Finallcial Activ2ties (SOPA) aiid balance slieet consolidatc tlic finan¢ial 5tatetnents of tlie Cliarity 8nd its subsidittry undej'iaking. Ilie re5ultsof tlie Subsidiary are consolidated oil a lii)e-by-lin¢ basis. Tlie Charity lias availed itselfof Pai?graph4(1) of S¢hediile l of Élle Sinall Co£npanies and GI￿llp5 (Accoiints and DiJe¢toi¥' Kepoi%)Regulatior15 2008 and adapted the Con)panies Act forniats to JEflEcI the special natur¢ of d)e Chai'ity's activities. A sepai'a(e Statemetjtof Fiiiancial A¢tivitres and incoineand expei)diture account foi. tlie Cliai'iLy ljas not been presented be¢ause the Tixjst has tsken advantage of the ¢xeinytiou affoi'ded by S¢ctioii 408 of th¢ ComyartEes Act 2006. 16 Zion Arts Centre Limited {TIA &Arts) Company Liinited by Guai'antee Notes to tlie Fiiiancial Statements fcoMtiNiierf) Year elided 31 Mai'cli 2023 Aecouiiting Policles (Col￿111￿e￿ Fll￿d A£eoullti￿g The cliarity has a ijumbu of rc511'icted fiinds to accoiint ftsj. in $itiwtions wlier¢ a dDnoi' IEquireg that a grant or doi?Htion inust be speat Oll a pai*i¢ular putpos& All other funds al'e urllrstii¢t¢d income fut)ds. Designated funds are funds wliich liave been allocated or dcsigrLated for specific pui'poses by tlie compat)y out ofthe unY¢stricted fun&, The fui)ds lield iii eadi of tliese categories are disclosed note 22. Stock Sto¢ks are valued at the low¢r of cost or ￿tt i'ealisable value, after niaking due allowall¢e foi. obsolets oi. Slow moving it¢nis. Incoming Resourees All incoming JYsowce5 are included in dic slatallent of financial activitie5 when ¢ntitleinent has passed to the C[￿rity- it is prubable that the economic benefits Bssociated with tSic transactioi) will flow to the Gharity and the aiiioui)te&i be i'elia(7ly Jiie85ureil. I'he following spccÈfic policies are applied to particulai. categories of income.. income from donations or gi'8nt8 is recogni$ed when thert is eviden¢e of enlitLement to th¢ gift, receipt is probable, alld its amowit can be nieasui'td reltably. legacy iiicotne 15 re¢ognised when receipt is probable, alld tl)titlement Is established. incoine ftDm don8ted goods is ittegsured at Élle fair va]ue of the goods unless this is iinpractical to measure i'eliablys iii whicli case the valu¢ is deyived from the c05t to the donor or tl)e estinlated i'esale valiie. Donated faC￿litIeS and services ￿'t recogniqed in thc aCcol￿ts wlien received if the valiie can be reli&bly Iiieasured. No ainoutlts air included for tkne ¢ontr*bution of gtneral volunt¢ers. in¢ome from contract5 for tlie supply of services is recogiiised witli the deliV￿Y of the ¢onth'acted 5ervioe. This is classified a5 ittire5tricted fiinds unless tliere is a coniraGtual requii'ejiiellt foi. it to be speJJt on a particular plliyose alld IrtuiTred if unspeiit, in which case it tnay be regayded as resti'icted. Resouree8 Kxpended Expendituie is ircognised when & liability in inclin'ed. Cl￿rEtable activities include the exp¢nditlli'e associated witli tlie opei'ation of the cliarity a]id include both tl)e dirtct costs aiid suppoit costs relating to these actiyities. Govei'EvAn¢e costs it]clude those incllrred in the govevnance of the Gharity 8nd its &88ets and are piimai'ily as50ciat¢d witli colisti￿tIOnal and statutory requirciiients. Support costs iiiclude the centtxl functions that are not attributable to & s%ngle activity, I'*tliei' providing tlie ii)frastru¢ture tliat enable5 the attivities to take place. 17 Zion Arts Celltre Limited (TIA Z-Arts) Company Limited by Guarantee Notes to the FiiianciAI Statements {eoiJ#nNerf) Year ended 31 Marcl) 2023 TAngible Asyets All fixed assets air inEtially ircorded at etsst. Any fjxed assets costing less than £500 nol ¢apit&lis¢d but written off to revenue Èn the y¢*r of acquisition. Depieciation is provided on the cost of taiigible fjxed assets iii order to write off tlie ovei. tlie expected ￿Seful life of the *L8set's lif¢ on a straiglit-litte basis. Depi'eeixtion Drpre¢iation is cal¢ulated so as lo wi'ite off tlie cost or Valuatio￿ of an asset, less its tE5idual value, over the useful econoiiiic life of that asset as follaws.. Major Capital impiDvemenl8 and tlieatTe seats Coiiiputcr equtpineiit All otliei. fixed assetsl es¢apE iY>om IOYO stiaight line 33Q/o straight lii)e 25Q/ts straight line Investments u￿]Sted equity inveslmeiits are initially recorded at cost. alld SUbseq￿entlY Tneasured at fair value. If fair valu¢ Ganllot be i'eliably nieasured, a55ets are ineasured at cost less impairment. FinAneial [￿trI[￿ne￿￿t8 A financial assetOraf￿AucIaj liability is Lecognised only wlien flie charity becoines aparty to the contractuai provisions L)f tlie instrunienl. Basic finaneial in%truiM¢nt5 are illitially recognised at tlie amowit ieceiv8iile or payable iii¢luding any rel&ted 2nsa¢tioii costs. Cui'i'ent assets and cuiyent liabiliti￿ subsequently nieasured at the casli ￿ othei. Consid￿?110￿ ¢xpected lo be paid oi. received ond not discounted. Debt instruments are Subsequently measured at aniort15ed cost. Signlfltant Aceouiitlllg J£stimates %nd Judgeinejits In the application of tlic entity's accoiintirtg poli¢ies tiie TTUStees ape irquired to niake judge]i)ents, eslimates and assumptions about the caiiying val￿e of as.%ets aiid liabiliti¢s that t)ot weadily apparent from otliei. sources. The estitnates and undulying assiimptions are based oll historical exp¢ri¢llCt and other factois that al'e considcred to be lE[ev￿t. Actual results may differ fiDni these estimates. The t5tiinates and iindei.Iyill8 assumptiot]s are reviewed on an on-gosng basis. Revisions to accountiiig e5tiinates are recogt)i5ed in the pei'iod in wthich tlie estiinate ffts JEvised if the irvisiott affects only that pejiod or in tlie pcriod of die irvision and futtii'e periods if tlie i'evision aff¢Gts the cwrent and ￿ttli.e pei'iods, In tlie view of tlje Trustees no I￿￿111ptIOn5 ¢oncerniJig tlie fvture oi. estimalioll uneertaiilty affecting assets and liabilities at the balance sjied date air likely Éo result in a matej'ial adjustnient to tlieir cairying amounts in the t)ext financial yeai. 18 Zion Arts Centre Linjited (TIA Z-Arts) Compaiiy Limited by Gu&¥antee Notes to the Fillaiicial Statemeiits (eojtllmiieh) Year elided 31 MAreh 2023 Limited by Guaraiitce The chai'ity ig a cainpany liEnited by ￿larantee ￿ld 15 governEd by its Memorandum and Articles of Associatioji dated 2nd Novetnbei. 2QOO afid as amended by two spe¢ial ¥esolutions dated 5th August 2010 and 15th Mai'cli 2016. It 15 registered &8 8 cliarity with the Chayity Con)nii&%ion. P￿sOllS are adtnitted to meinbeisliip by tbe unani1￿oi1S approval of ilie existing tnefftbers. Membej's Lnay ¢¢ase to be inembers of th¢ COlDP&iy by servillg i)oti¢e of theii. iiitention to IEsigJi. Thcr¢ art Currently elevet] iiieniber5 of tlie cOMp￿7y, eacli of whoni agi'ees to contribute a sum iiotexceeding £1 iii the evciitof the th￿lty being wouiid up. Doiiations and LegAcie5- Cliai'ity Unrestricted Fuiids Restricted Total Ifllnds Funds 2023 Don&tlOTJ5 Monetary doijations t)onation fi￿M fradilig Subsidialy 12,630 4,20Q 16,830 12,630 4,200 16,830 GrAnts Manchester City Council Greatei. Maiichexter CoMbi￿ed Authority Arts Couiicil 184,488 49,750 259,692 184,488 49,750 387,241 127,549 493,930 127,549 621,479 Total 5 lQ,760 127.549 638,309 Unir5tiicted Fuiids Restricted Tot41 Fullds Fullds 2022 Donation5 Monetary donations Doiiation fiDm Ti'ading Subsidiai'y 10,186 3,000 10,186 3,000 13,186 13,186 Gronts Manclie8t¢i' City Council Greatei Manc11¢5tcr Combined Authority Arts Couiicil Covid-19 furlougli graiit 184,488 49,750 259,692 18,397 184,488 49,750 259,692 18,397 512,327 512,327 Total 525,513 525,513 19 Zion Arts Centre Limited (TIA Z-Ai'ts) Company Limited by Guarantee Notes to tlie Financial Statements Year ended 31 March 2023 ChAI'itxble ActivÈties Uni'esti'idcd Funds Restl'L¢ted TotAI Fllnds Fiinds 2023 Vertue hiir, shared ]30 and gallery Project 8121ils Rents receivable 222,066 75,450 81,313 222,066 409,939 81,313 334,489 378,829 334,489 713,318 Utllrstricted Fwids Resti'icted Total Funds Fulld8 2022 Venue Iiiie, shai'ed BO 8nd gallciy Proje¢t ￿.￿ntS R¢nts i'eceivable 146,817 108,948 48,367 J46,X17 432,169 48,367 323,221 304,132 323,221 627J53 Investment Income- ChHTity Uniestt'icted Tot21 Funds Funds 2023 ULiresti'icted Total Fuiids Funds 2022 Bank interest receivable 6,145 6,145 608 608 Coniillercial Tradljig OpcEAtions Coiiiinertial ti'ading opej'ations irlate5 to tlie tradifjg siibsidiary ¢ompaTry Z-Arts Trading Liniited, coiiipany numbei. 8468095. The profit duLlll8 tlie year ¢nded 31 March 2023 was £104 (2022.. £118}. Other liieome- Cb&riÉy ijjiresti'icted Total Funds Funds 2023 Ui?restri¢ted Total Fuiids F,Iinds 2022 ProfIt on Sale of fixed asset Ti'adiiig Jmeome-Piesentation fee Covid insurance claim Consultancy 158 418 158 4l8 3,500 3J04 3,304 20- Zion Arts Centre LAmited (TIA Z-Arts) Company Liinited by Guai'antee Notes to tlie Fiilaneial Statemeiits Year elided 31 Morch 2023 10. ExpeJidlttsi'¢ Cb81'iÉAble ActKvitips by Fund Type Un]'esti'iGted Flliids R¢stTiCted Total ITunds Fund5 2023 Salai'i¢s and eDiployuJs NIC Activities costs oilier direet costs PIN)motiollal cosls Tyaijiiiig, i'eci-uitillent, travel, attd iiiotoi. Pyofesssonal fte5 Bank c112rges &nd S￿b5(rIptIonS PTopeYty cnsts Dcpfcciatio Suppoit costs 488,530 196,466 11,104 36,709 7,103 8.362 8,178 160,764 35,375 12,759 965,550 143,657 147,253 4,466 13,278 833 632,187 343,719 15,570 49,987 8,136 S,362 8,178 230,940 75,6S6 13,759 7Q,182 4Q.281 1,000 420,950 1,386,500 Uttrestl'lLled Fuiids Restricted Tot%1 F￿lidS E',ullds 2022 Salarics and eniployels Nie Activities costs Otller dtrect costs Pmtnotional costs Ti'ainillg, reciuitniellt, ts?vel arld fiiotor Professional fees Bank cliai'ge8 and subs¢r¥ptions Pix)perLy costs Depreciation Suppoit costs 420,728 167,339 9,500 14,360 8,525 20,988 6,715 101,947 26,673 11.206 111.194 183,575 loo 6.967 1,238 531,922 350,914 9,6110 21,327 9,763 20,988 6,715 158001 66,919 11,206 56,854 40,246 787,981 400,174 1,188,155 11. Expendltui'e on Charitable Aetlvlties by Actkvity Type Activities und¢i*akern directly Suppoj't costs Totgi fund5 2023 Total funds 2022 Salai'ies and employer's Ntc Activities costs Otlie]' direct costs PTOlllOtional Costs Ti21￿l￿g, re¢iuitnient, travel motor Pi'ofessional fees Bink cliarges subscriptions Property costs Depreciation GoveJ3Jaiice costs 632,187 343.719 R5,570 49,986 8,136 8,362 8,178 230,946 75,657 632,187 343,719 IS,S70 49,986 8,136 8J62 8,178 230,946 75,657 13,759 531,g22 350,914 9,600 21,327 9.763 20,988 6,715 158,801 66,919 11,206 13,759 1,372,741 13,759 1,386,500 1,188,155 21 Zion Arts Centre Limited (f/A Z-Ai*s) Company Limited by Guarantee Note5 to the FillaJi¢ial Statements {eoJNftiiiie&J Year ejided 31 MaA'eli 2023 12. Net IncoThel(Expendilui'e) Net {expendituir)Ilncome'. 2023 2022 Depre¢iatioJi of t81)gible fixed assets Gains oil disposal of tangible fixed assets Operating Ikase rentals 75,894 66,919 158 43,33 L 45,790 13. Auditoi's Remunei'ation 2023 2022 Fee5 pay&ble to th¢ exteinal tuditors foi. tlie audit of th¢ fin&iiciRI ststcnicnts Fees payable to the ¢xt¢rnal auditoi's for othei. sciv%ces- actounts pr¢paratiOEI 7,625 6,625 2,065 1,875 Y,69 8,51>0 14. Staff Costs Tlie total staff costs and employee b¢n¢fils for th¢ irwititTr8 p¢riod are analysed gs follows.. 2023 2022 Wages and ￿l￿rieS Social $ccurity Gosts Penston costs 643,275 51,174 10,933 705,382 523,230 41,752 9,250 574.233 The average l)ead count of einployees dllriog tl)e year was 4S (2022- 32). Tlie avei?ge nulliber of full-tinie cquivaleiit employees during tlie yeai. is analysed as follows: 2023 2022 Numb¢i' of OPErational staff NU1￿be1. of citative staff Number of management staff Nutllber of admittists'atlQLI Staff ii 10 25 21 No ￿lIplOyee r¢c¢ived eillployee benefits of ]]iOJE tlian £60,000 during tlie yeai. 2023 {2022.. Nill. During the ye￿. thei'e were 5ettleinent paym¢i)ts of £nil (2022 - £4,32U). There was £nil (2022 - £4,320) oiitst&nding at the ye4t' end. IfessionJl or other service8. 26. Capital commitments Th¢ total aniount colltt'acted for but not provÉded Éli tlie fttJan¢ial statenient8 was £Nil (2022. £Nil) 27. AThAlysis of clkanges in Net Debt At l April 2022 Cashflow At 31 MAI'oh 2023 Cdi at b￿k Short-teiin deposits Total FuiEds 155,419 593,808 1102.305) 12116.984) 1389,289) 53,IL4 306,824 749,227 359,938 32