**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **HERITAGE OPERA LTD**
**(A Company Limited by Guarantee)**
## **REPORT OF THE TRUSTEES & FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 28 FEBRUARY 2023**
**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
||**C O N T E N T S**|
|---|---|
|**Page**||
|1|Legal and administrative information|
|2 - 4|Trustees' Report|
|5|Independent Examiner's Report|
|6|Statement of Financial Activities|
|7|Balance Sheet|
|8|Statement of Cash Flows|
|9 - 13|Notes to the Financial Statements|
**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|Company Number|7538418|
|---|---|
|Charity Number|1142447|
|Trustees|C Gill|
||M Strutt|
||B Whitehead|
|Registered Office|31 Sunningwell|
||Abingdon|
||Oxfordshire|
||OX13 6RD|
|Independent Examiner|K Gedd|
||84 Gawsworth Road|
||Macclesfield|
||Cheshire|
||SK11 8UF|
|Bankers|Barclays Bank PLC|
||Leicester|
||LE87 2BB|
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **Introduction**
The trustees, who are also directors, of Heritage Opera (a Company Limited by Guarantee) are pleased to present their annual report together with the financial statements of the charity for the year ending 28 February 2023. 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.
## **Reference and Administrative Details**
Heritage Opera is a registered charity (No. 1142447) and a company (No. 7538418) limited by membership guarantees. The charity has been set up to take over the business previously operated by Heritage Opera Entertainment Limited. Its registered office, the present trustees who served during the year, together with details of external advisers, are noted on page 1.
## **Structure, Governance and Management**
- **Governing Document**
- The charity, which was registered on 17 June 2011, is governed by its Memorandum and Articles of Association adopted on 22 February 2011, subsequently amended by special resolution registered on 25 May 2011.
- **Governing Bodies**
The board of trustees is responsible for the overall governance of the charity.
- **Recruitment and Training of Trustees**
The trustees are responsible for the appointment of new trustees. New trustees will only be appointed after due consideration is given to eligibility, personal competence and specialist skills. New trustees, when appointed, are inducted into the working of the charity by the existing trustees.
- **Risk Management**
- The trustees have assessed the major risks to which the charity is exposed, in particular those relating to the operations and finance of the charity, and are satisfied that systems are in place to mitigate the exposure to major risk.
## **Public Benefit, Aims and Intended Impact**
The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the aims and objectives of, and in planning future activities for, Heritage Opera. The nature of the charity's operations and principal activities are the provision of opera performances, concerts and workshops, which are taken to areas of the country not well supported by other professional touring companies, together with the development of operatic artistes and musicians.
Heritage Opera has the charitable aim to promote the arts, in particular, but not exclusively, the art of opera, in order to nurture and promote opera as a positive and inclusive art-form with wide ranging appeal and also to promote, maintain, improve and advance the education of the local community by the organising, managing and conducting of performances of opera including school workshops.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **Public Benefit, Aims and Intended Impact (continued)**
Heritage Opera has a commitment to:
- taking opera performance to areas of the country neglected by other professional touring companies
- providing professional development and employment for operatic artistes (including young and aspiring artistes) and musicians particularly from the Northwest
- providing workshops to introduce opera to people who otherwise would not be exposed to it
- setting affordable ticket prices with special reduced rates being offered to senior citizens, students, the unwaged, and children
## **Financial Review**
The results for the year are set out in detail on page 6 and in the attached notes.
Thankfully Heritage Opera is emerging from its tight, Covid-enforced, chrysalis. This year has seen one workshop based on the Magic Flute and a small tour of the Marriage of Figaro. The overall result for the year being a small contribution to reserves.
The short tour of the Marriage of Figaro included six performances of the production, one in each of the following locations Boston, Bristol, Oxford, Lamberhurst, Thirsk and Richmond.
The trustees are very grateful for the help offered to move sets, scenery, equipment and costumes when new storage arrangements had to be made at very short notice.
The trustees expressed their thanks to those who made loans available to support the charity following the impact of the non-payment of fees for three performances staged in Peterborough in July 2018. These thanks are further extended as each loan has been converted into a donation to the Company.
The company really appreciates the efforts of all those who so willingly give of their time on a voluntary basis - thank you.
## **Reserves Policy**
The trustees consider that the company should aim to provide the equivalent of three months' worth of operating expenditure by way of reserves. This level of reserve will provide a sound base for future operations and a greater confidence of sustainability.
This has been a tentative year following the enforced restrictions of Covid-19. The Company has reported a small contribution to reserves. However, the trustees anticipate that it will take several years to further rebuild reserves to their target level following the impact of Covid-19 on the performing arts and Heritage Opera in particular.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **Statement of Trustees’ Responsibilities**
The trustees, who are also directors of the company, are responsible for their annual report, and the preparation of the financial statements for each financial year which give a true and fair view of the incoming resources and application of those resources to the charity during the year, and of the state of affairs at the end of the financial year. In preparing these financial statements the trustees are required to:
- ensure that suitable accounting policies are established and applied consistently;
- make judgements and estimates which are reasonable and prudent;
- state whether the applicable accounting standards and statement of recommended accounting practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees have overall responsibility for ensuring that the charity has appropriate systems and controls, financial and otherwise. They are also responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2011. They are also responsible for safeguarding the assets of the charity and for their proper application as required by charity law, and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reasonable assurance that:
- the charity is operating efficiently and effectively;
- all assets are safeguarded against unauthorised use or disposition and are properly applied;
- proper records are maintained and financial information used within the charity, or for publication, is reliable;
- the charity complies with relevant laws and regulations.
By order of the board
M Strutt Date: 24 November 2023
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF**
## **HERITAGE OPERA LTD FOR THE YEAR ENDED 28 FEBRUARY 2023**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 28 February 2023 , which are set out on pages 6 to 13.
## **Respective responsibilities of the trustees and the examiner**
The charity's trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. They consider that an audit is not required for this year (under section 144(2) of the Charities Act 2011 (the Act)) and that an independent examination is needed.
It is my responsibility to:
- examine the accounts (under section 145 of the 2011 Act);
- follow the procedures laid down in the General Directions given by the Charity Commission (under section 145(5)(b) of the 2011 Act); and
- state whether particular matters have come to my attention.
## **Basis of independent examiner's report**
My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair' view and the report is limited to those matters set out in the statement below.
## **Independent Examiner's statement**
In the course of my examination, no matter has come to my attention:
1. which gives me reasonable cause to believe that in any material respect the requirements
- to keep accounting records in accordance with section 130 of the 2011 Act; and
- to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met; or
2. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
K Gedd 84 Gawsworth Road Macclesfield Cheshire SK11 8UF
Date: 24 November 2023
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 28 FEBRUARY 2023**
|Notes
**Income from:**
Donations and legacies
Charitable activities
Other trading activities
Investments
**Total income**
3
**Expenditure on:**
Raising funds
Charitable activities
Other
**Total expenditure**
4
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward at 1 March 2022
**Total funds carried forward at 28 February 2023**|Total
Total
2023
2022
£
£
1,674
-
32,346
-
-
-
-
-|Total
Total
2023
2022
£
£
1,674
-
32,346
-
-
-
-
-|
|---|---|---|
||34,020|-|
||-
-
33,849
151
-
-||
||33,849|151|
||||
||171|(151)|
||(171)
(20)||
||-|(171)|
The notes on pages 8 to 13 form part of these accounts
The statement of financial activities includes all gains and losses arising in the year. All income and expenditure derives from continuing activities.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **BALANCE SHEET FOR THE YEAR ENDED 28 FEBRUARY 2023**
|Notes
**Current Assets**
Debtors
7
Cash at Bank
Creditors: amounts falling due
within one year
8
Net Current Assets
Creditors: amounts falling due
after more than one year
9
**Net Assets/(Liabilities)**
**Funds of the Charity**
Unrestricted funds brought forward
Unrestricted funds generated in period
**Total funds**|Total
Total
2023
2022
£
£
-
-
-
1,503|Total
Total
2023
2022
£
£
-
-
-
1,503|
|---|---|---|
||-|1,503|
||-
-||
||-|1,503|
||-
1,674||
||-|(171)|
||(171)
(20)
171
(151)||
||-|(171)|
The notes on pages 8 to 13 form part of these accounts
For the year ending 28 February 2023, the company was entitled to exemption from audit under s477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small companies regime and in accordance with FRS102 SORP.
Approved by the trustees and signed on their behalf by:
M Strutt
Date: 24 November 2023
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 28 FEBRUARY 2023**
|Cash Flow from operating activities
Cash flow from investing activities
Interest received
Net increase/(decrease) in cash and cash equivalents
Cash and cash equivalents at 1 March 2022
Cash and cash equivalents at 28 February 2023
Cash and cash equivalents consist of:
Cash at bank in in hand at 28 February 2023
Reconciliation of net income to net cash flow from operating activities
Net income for year
(details per SoFA)
Interest receivable
(Gains) on investments
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash flow from operating activities|Total
Total
2023
2022
£
£
(1,503)
(151)
-
-|Total
Total
2023
2022
£
£
(1,503)
(151)
-
-|
|---|---|---|
||(1,503)|(151)|
||1,503
1,654||
||-|1,503|
||||
||-|1,503|
||171
(151)
-
-
-
-
-
-
(1,674)
-||
||(1,503)|(151)|
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **1. Basis of preparation**
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note to these accounts.
- The accounts have been prepared in accordance with:
- the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014
- and with the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
The accounts 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 accounts are prepared in sterling, which is the functional currency of the charity, rounded to the nearest £1.
The charity 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.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Where designation has been made, the aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. Where there are restricted funds, the aim and use of each restricted fund is set out in the notes to the financial statements.
Based upon these specifications all funds of the Charity are unrestricted and undesignated.
The significant accounting policies applied in the preparation of these financial statements are set out on the following pages. These policies have been consistently applied to all years presented unless otherwise stated.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **2. Accounting policies**
## **(a) Income recognition**
All incoming resources are included in the Statement of Financial Activities (SoFA) 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 to be recognised, the charity will have been notified of the amounts and the settlement date in writing. 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.
There has been no offsetting of assets and liabilities, or income and expenses, unless required or permitted by the FRS 102 SORP or FRS 102.
Contractual income is only included in the SoFA once the charity has provided the related goods or services or met the performance related conditions.
The value of any voluntary help received is not included in the accounts but is described in the trustees’ annual report.
Membership subscriptions received in the nature of a gift are recognised in Donations and Legacies.
## **(b) Expenditure and Liabilities**
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Governance costs comprise all costs involving public accountability of the charity and its compliance with regulation and good practice.
The charity is not registered for VAT. Activity expenditure includes the associated VAT element.
Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.
Where the charity has creditors, these are measured at settlement amounts less any trade discounts.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2023**
## **2. Accounting policies (cont.)**
## **(c) Assets**
Tangible fixed assets for use by the charity costing more than £1,000 are capitalised and then depreciated on a straight line basis over four years. Items costing less than £1,000 are written off in year of purchase.
Debtors (including trade debtors) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.
|**3. Analysis of income**
Donations and legacies
Donations
Charitable Activities
Ticket sales
Programme sales
Other trading activities
Advertising and sponsorship
Total income|Total
Total
2023
2022
£
£
1,674
-|Total
Total
2023
2022
£
£
1,674
-|
|---|---|---|
||1,674|-|
||30,700
-
1,646
-||
||32,346|-|
||-
-||
||-|-|
||||
||34,020|-|
## **Serious Incident reported**
In July 2018 the company was engaged to stage performances of Carmen and Madame Butterfly at the Broadway Theatre in Peterborough. It was only after the production run had finished that Heritage Opera were informed that they would not be paid because the venue's operator, Performance Art Ventures, had ceased trading.
The financial loss amounted to £16,500, which was the agreed fee for the three performances. This loss has had a significant financial effect on the Charity. It turned what should have been a year when the reserves would be consolidated into one where those reserves were drained.
Loan support was offered to ensure all commitments were met. Over the past few years those loans have been converted into donations and this year has seen the last of those loans so converted. The trustees are very grateful for this dynamic support.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2023**
|**4. Analysis of expenditure**
Charitable activities
Artistes, Orchestra and Production team
Stage costs - sound, lighting, set, transport
Publicity
Administration costs
Wardrobe
Credit card system
Rehearsal rooms and storage
Royalties, scores and scripts
Theatre hire
Travel & Accommodation
Printing, stationery and postage
Sundries
Governance costs included within administration costs, above
**5. Details of certain items of expenditure**
Independent Examiner's Remuneration paid during the year
Remuneration received by trustees
Number of trustees who had expenses reimbursed
Total amount of expenses reimbursed|Total
Total
2023
2022
£
£
18,937
-
4,440
-
495
-
-
151
1,474
-
-
-
873
-
-
-
-
-
7,105
-
525
-
-
-|Total
Total
2023
2022
£
£
18,937
-
4,440
-
495
-
-
151
1,474
-
-
-
873
-
-
-
-
-
7,105
-
525
-
-
-|
|---|---|---|
||33,849|151|
||||
||-|-|
||2023
2022||
||-|-|
||-|-|
||-|-|
||-|-|
No trustees receive expenses for their role as a trustee. However, all verifiable expenditure, paid by individuals on behalf of Heritage Opera, is reimbursed to those individuals.
## **6. Employees**
During the period to 28 February 2023, the Company had no paid employees, as was the case for the period to 28 February 2022. Administrative functions are carried out on a voluntary basis.
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**HERITAGE OPERA Charity Number: 1142447 Company Number: 7538418**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2023**
|**7. Debtors and prepayments**
Debtors
Prepayments
Total
**8. Creditors: Amounts falling due within one year**
Advance receipts
Creditors and accruals
Total|Total
Total
2023
2022
£
£
-
-
-
-|Total
Total
2023
2022
£
£
-
-
-
-|
|---|---|---|
||-|-|
||-
-
-
-||
||-|-|
Advance receipts are for booking deposits paid to Heritage Opera for performances which will take place during the next financial period.
## **9. Creditors: Amounts falling due after more than one year**
|**Creditors: Amounts falling due after more than one year**|||
|---|---|---|
|Loans received
Total|-
1,674||
||-|1,674|
The Trustees had secured loans to help carry the charity through this difficult period following the non-payment of fees in Peterborough, which reduced income by £16,500 and seriously impacted the cash position. These loans offered by supporters of the Charity, have now been changed to outright donations, for which we are extremely grateful.
## **10. Classification of funds**
During the period to 28 February 2023, Heritage Opera had no endowment or restricted income funds, as was the case for the period to 28 February 2022.
## **11. Related parties**
Heritage Opera made no transactions with related parties during the periods to 28 February 2023 and 28 February 2022.
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