REGISTERED COMPANY NUMBER: 03763700 (England and Wales) REGISTERED CHARITY NUMBER: 1113773
Report of the Trustees and
Financial Statements for the Year Ended 31 August 2022
for
ALLIANCE FRANCAISE DE LONDRES LIMITED
ALLIANCE FRANCAISE DE LONDRES LIMITED
Contents of the Financial Statements for the Year Ended 31 August 2022
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Report of the Independent Auditors | 3 | to | 6 |
| Statement of Financial Activities | 7 | ||
| Statement of Financial Position | 8 | ||
| Statement of Cash Flows | 9 | ||
| Notes to the Statement of Cash Flows | 10 | ||
| Notes to the Financial Statements | 11 | to | 17 |
| Detailed Statement of Financial Activities | 18 |
ALLIANCE FRANCAISE DE LONDRES LIMITED (REGISTERED NUMBER: 03763700)
Report of the Trustees for the Year Ended 31 August 2022
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 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
The charitable company's objectives during the year were the advancement of the education of the public in French language, French literature, and French culture, aiming for an enriched dialogue between cultures and a sharing of values. These objectives are achieved by providing French language courses in London taught by qualified French nationals and by providing support and coordination to programmes of cultural activities around French or cross-cultural topics organised by affiliated cultural groups.
STRATEGIC REPORT
Achievement and performance
While it was an achievement to survive the pandemic on its own, with no staff furloughed and operations, wholly online at times, continuing, this year saw classes return to being in-person at the company's premises for scheduled group classes but private tuition is still mainly online. Company courses in particular are online as many people still work from home.
Financial review
The company continued to draw on reserves as activity has not yet returned to pre-pandemic levels.
Principal risks and uncertainties
There has been a slight recovery in demand, but inflation and its effects on household spending patterns continue to cause uncertainty.
Future plans
The Alliance will be keeping inflation and market conditions under review . Demand is picking up slowly.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company as defined by the Companies Act 2006.
Organisational structure
The board is closely involved in all policy decisions both at board level and in various ad-hoc committees.
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 Company number
03763700 (England and Wales)
Registered Charity number
1113773
Registered office
6 Porter Street London NW1 6PU
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ALLIANCE FRANCAISE DE LONDRES LIMITED (REGISTERED NUMBER: 03763700)
Report of the Trustees for the Year Ended 31 August 2022
Trustees
R M Fairbairn Dr C M L Gilling-Smith Dr C Hug G A Smith
Company Secretary
R M Fairbairn
Auditors
BDA Associates Limited Statutory Auditor Chartered Accountants Global House 1 Ashley Avenue Epsom Surrey KT18 5AD
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees (who are also the directors of Alliance Francaise De Londres Limited for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
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there is no relevant audit information of which the charitable company's auditors are unaware; and
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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
AUDITORS
The auditors, BDA Associates Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.
Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ............................................. and signed on the board's behalf by:
........................................................................ G A Smith - Trustee
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Report of the Independent Auditors to the Members of Alliance Francaise De Londres Limited
Opinion
We have audited the financial statements of Alliance Francaise De Londres Limited (the 'charitable company') for the year ended 31 August 2022 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, 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 (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the charitable company's affairs as at 31 August 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company 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 charitable company's ability to continue as a going concern for a period of at least twelve 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.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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the Report of the Trustees has been prepared in accordance with applicable legal requirements.
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Report of the Independent Auditors to the Members of
Alliance Francaise De Londres Limited
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees' remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
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Report of the Independent Auditors to the Members of Alliance Francaise De Londres Limited
Our responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations was as follows:
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the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
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we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of this company's particular sector;
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we focused on specific laws and regulations which we considered may have a material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment and pensions legislation;
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we assessed the extent of compliance with the laws and regulations identified above though making enquiries of management and inspecting legal correspondence; and
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identified laws and regulations were communicated within the audit team regularly and the team remained alert to the instances of non-compliance throughout the audit.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
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making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual suspected and alleged fraud; and
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considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
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performed analytical procedures to identify any unusual or unexpected relationships;
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tested journal entries to identify unusual transactions;
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assessed whether judgements and assumptions made in determining the accounting estimates, if any, were indicative of potential bias; and
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investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not linked to:
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agreeing financial disclosures to underlying supporting documentation;
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reading the minutes of meetings of those charged with governance;
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enquiring of management as to actual and potential litigation and claims; and
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reviewing correspondence with HMRC, relevant regulators and the company's legal advisors.
There are inherent limitations in our audit procedures described above, the more removed the laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
Material misstatements that arise due to fraud can be harder to detect that those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
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Report of the Independent Auditors to the Members of Alliance Francaise De Londres Limited
Use of our report
This report is made solely to the charitable company'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 charitable company's members those matters we are required to state to them in an auditors' 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Rajesh Amin (Senior Statutory Auditor) for and on behalf of BDA Associates Limited Statutory Auditor Chartered Accountants Global House 1 Ashley Avenue Epsom Surrey KT18 5AD
Date: .............................................
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Statement of Financial Activities for the Year Ended 31 August 2022
| Notes INCOME AND ENDOWMENTS FROM Charitable activities 3 Promoting French language and culture Investment income 2 Total EXPENDITURE ON Charitable activities 4 Promoting French language and culture NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds £ 398,830 2,488 401,318 723,593 (322,275) 1,988,303 1,666,028 |
Restricted fund £ - - - - - - - |
31.8.22 Total funds £ 398,830 2,488 401,318 723,593 (322,275) 1,988,303 1,666,028 |
31.8.21 Total funds £ 517,124 8,740 525,864 814,415 (288,551) 2,276,854 1,988,303 |
|---|---|---|---|---|
The notes form part of these financial statements
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ALLIANCE FRANCAISE DE LONDRES LIMITED (REGISTERED NUMBER: 03763700)
Statement of Financial Position 31 August 2022
| Notes FIXED ASSETS Tangible assets 11 CURRENT ASSETS Debtors 12 Cash at bank and in hand CREDITORS Amounts falling due within one year 13 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 14 Unrestricted funds TOTAL FUNDS |
Unrestricted funds £ 1,118,440 19,194 604,837 624,031 (76,443) 547,588 1,666,028 1,666,028 |
Restricted fund £ - - - - - - - - |
31.8.22 Total funds £ 1,118,440 19,194 604,837 624,031 (76,443) 547,588 1,666,028 1,666,028 1,666,028 1,666,028 |
31.8.21 Total funds £ 1,127,286 16,729 902,995 919,724 (58,707) 861,017 1,988,303 1,988,303 1,988,303 1,988,303 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. G A Smith - Trustee
The notes form part of these financial statements
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Statement of Cash Flows for the Year Ended 31 August 2022
| Notes Cash flows from operating activities Cash generated from operations 1 Net cash used in operating activities Cash flows from investing activities Purchase of tangible fixed assets Interest received Net cash provided by/(used in) investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period |
31.8.22 £ (299,167) (299,167) (1,479) 2,488 1,009 (298,158) 902,995 604,837 |
31.8.21 £ (275,790) (275,790) (9,108) 8,740 (368) (276,158) 1,179,153 902,995 |
|---|---|---|
The notes form part of these financial statements
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Statement of Cash Flows for the Year Ended 31 August 2022
1. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES
| Net expenditure for the reporting period (as per the Statement of Financial Activities) Adjustments for: Depreciation charges Interest received (Increase)/decrease in debtors Increase/(decrease) in creditors Net cash used in operations |
31.8.22 £ (322,275) 10,325 (2,488) (2,465) 17,736 (299,167) |
31.8.21 £ (288,551) 14,748 (8,740) 11,703 (4,950) (275,790) |
|---|---|---|
2. ANALYSIS OF CHANGES IN NET FUNDS
| At 1.9.21 | Cash flow | At 31.8.22 | |
|---|---|---|---|
| £ | £ | £ | |
| Net cash | |||
| Cash at bank and in hand | 902,995 | (298,158) | 604,837 |
| 902,995 | (298,158) | 604,837 | |
| Total | 902,995 | (298,158) | 604,837 |
The notes form part of these financial statements
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Financial Statements for the Year Ended 31 August 2022
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
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 & equipment - 33% on reducing balance
Depreciation has not been provided on the freehold property on the grounds of immateriality due to a long useful economic life and a high residual value. The company has a policy of regular repair and maintenance, charged to the profit and loss account, so that the asset maintains its performance standards. Where depreciation has not been charged, and in accordance with FRS 15, the trustees carry out an impairment review at the end of each accounting period.
Taxation
The charity is exempt from corporation 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.
Pension costs and other post-retirement benefits
The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
continued...
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Financial Statements - continued for the Year Ended 31 August 2022
| 10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL INCOME AND ENDOWMENTS FROM Charitable activities Promoting French language and culture Investment income Total EXPENDITURE ON Charitable activities Promoting French language and culture NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD 11. TANGIBLE FIXED ASSETS COST At 1 September 2021 Additions At 31 August 2022 DEPRECIATION At 1 September 2021 Charge for year At 31 August 2022 NET BOOK VALUE At 31 August 2022 At 31 August 2021 |
10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL INCOME AND ENDOWMENTS FROM Charitable activities Promoting French language and culture Investment income Total EXPENDITURE ON Charitable activities Promoting French language and culture NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD 11. TANGIBLE FIXED ASSETS COST At 1 September 2021 Additions At 31 August 2022 DEPRECIATION At 1 September 2021 Charge for year At 31 August 2022 NET BOOK VALUE At 31 August 2022 At 31 August 2021 |
ACTIVITIES Unrestricted funds £ 517,124 8,740 525,864 814,415 (288,551) 2,276,854 1,988,303 Freehold property £ 1,100,000 - 1,100,000 - - - 1,100,000 1,100,000 |
Restricted fund £ - - - - - - - Fixtures & equipment £ 263,134 1,479 264,613 235,848 10,325 246,173 18,440 27,286 |
Total funds £ 517,124 8,740 525,864 814,415 (288,551) 2,276,854 1,988,303 Totals £ 1,363,134 1,479 1,364,613 235,848 10,325 246,173 1,118,440 1,127,286 |
||
|---|---|---|---|---|---|---|
continued...
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ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Financial Statements - continued for the Year Ended 31 August 2022
12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Course debtors Other debtors and prepayments 13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Social security and other taxes Accruals and deferred income 14. MOVEMENT IN FUNDS At 1.9.21 £ Unrestricted funds General fund 1,988,303 TOTAL FUNDS 1,988,303 Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 401,318 TOTAL FUNDS 401,318 Comparatives for movement in funds Net movement At 1.9.20 in funds £ £ Unrestricted funds General fund 1,276,854 (288,551) Building reserve fund 1,000,000 - 2,276,854 (288,551) TOTAL FUNDS 2,276,854 (288,551) |
|
|---|---|
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continued...
ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Financial Statements - continued for the Year Ended 31 August 2022
14. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 525,864 525,864 |
Resources Movement expended in funds £ £ (814,415) (288,551) (814,415) (288,551) |
Resources Movement expended in funds £ £ (814,415) (288,551) (814,415) (288,551) |
|---|---|---|---|
| (288,551) |
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund Building reserve fund TOTAL FUNDS |
At 1.9.20 £ 1,276,854 1,000,000 2,276,854 2,276,854 |
Net movement in funds £ (610,826) - (610,826) (610,826) |
Transfers between funds £ 1,000,000 (1,000,000 ) - - |
At 31.8.22 £ 1,666,028 - |
|---|---|---|---|---|
| 1,666,028 | ||||
| 1,666,028 |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming Resources Movement resources expended in funds £ £ £ 927,182 (1,538,008 ) (610,826) 927,182 (1,538,008 ) (610,826) |
Incoming Resources Movement resources expended in funds £ £ £ 927,182 (1,538,008 ) (610,826) 927,182 (1,538,008 ) (610,826) |
|---|---|---|
| (610,826) |
Included in total funds are nine £1 ordinary shares in issue. The trustees have no beneficial interest in the issued share capital.
The trustees believe that due to changed circumstances additional premises is no longer required. Accordingly the building reserve fund has been transferred to the general fund.
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continued...
ALLIANCE FRANCAISE DE LONDRES LIMITED
Notes to the Financial Statements - continued for the Year Ended 31 August 2022
15. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 August 2022.
16. CORONAVIRUS AND THE COVID-19 PANDEMIC
In March 2020, the World Health Organization declared coronavirus COVID-19 a global pandemic. This contagious disease outbreak has continued to spread and has adversely affected workforces, customers, economies, and financial markets globally, potentially leading to an economic downturn. It has also disrupted the normal operations of many charities, including ours. It is not possible for us to predict the duration and magnitude of the adverse results of the outbreak and its effects on our charity or results of operations at this time.
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