Registered number 06978781
## Court Theatre Limited
Annual Report of The Directors and Trustees and
Financial Statements for the Year Ended 31 August 2022
Charity No: 1147983 Company Limited by Guarantee no: 06978781
## **Court Theatre Limited Report and Financial Statements Contents**
||**Page**|
|---|---|
|Company information|1|
|Trustees' and Directors' report|2|
|Independent Examiner's report|5|
|Income and Expenditure account|6|
|Statement of Financial Activities|7|
|Balance sheet|8|
|Notes to the Financial Statements|9|
## **Court Theatre Limited Company Information**
## **Directors**
S P Berry R W Brown J Farrow I G Muirhead
## **Secretary**
J Farrow
## **Independent Examiner**
D R Kerins FCCA Ad Valorem Accountancy Services Ltd Chartered Certified Accountants 2 Manor Farm Court Old Wolverton Milton Keynes Bucks MK12 5NN
## **Bankers**
HSBC Bank plc 2 Walton Road Aylesbury Bucks HP21 7SS
## **Registered office**
66 Mortimer Hill Tring Herts HP23 5JU
**Registered number** 06978781
## **Registered Charity Number**
1147983
1
**Court Theatre Limited Registered number: 06978781 Trustees' and Directors' Report**
The trustees and directors present their report and financial statements for the year ended 31 August 2022
## **Structure, Governance and Management**
The charity is a company with charitable aims, limited by guarantee and not having a share capital. It was registered as a charity with the Charity Commission on 6 July 2012.
Membership is open to both individuals and hiring organisations; both have rights to vote at general meetings.
The trustees who have acted during the year are shown on page 1 of this report. New trustees may be appointed by members in a general meeting or by the existing trustees. New trustees are invited to attend board meetings and are advised of their responsibilities as trustees under the charity regulations before accepting the appointment. The Trustees have due regard to guidance published by the Charity Commission on public benefit.
Any major risks to operations have been reviewed and systems or procedures have been established to manage those risks
Day to day running of the theatre is undertaken by volunteers known internally as "directors"; their roles cover programming, marketing, event management, technical issues, pantomime, grants, bar, front of house and youth development. These directors attend meetings of the trustee board but are not legal trustees of the charity.
## **Objectives and Activities**
The charity's objects are to support the operation of The David Evans Court Theatre, Tring, a community theatre run entirely by volunteers, for the purpose of advancing education, to the benefit of the general public, in the performing arts, theatrical productions and artistic excellence.
The first half of the period covered by this report continued to be impacted by the Covid Pandemic. Although Government restrictions were being relaxed in the latter half of 2021 there was still uncertainty over the infectiousness of new Covid strains which led to speculation that lock downs might be reintroduced. This coupled with the inability of dramatic societies to meet and rehearse during the Pandemic meant that there were fewer shows ready to perform at the start of the period.
It was not until calendar 2022 that any sense of a real relaxation appeared and the charity was able to more fully return to its normal activities in support of its objects. This was done by enabling a programme of events throughout the year, which included a variety of performing arts, both amateur and professional. It also provided an opportunity for volunteers to be trained in and to gain practical experience of a number of theatrical skills and operational support areas.
It has encouraged the participation of young people by providing affordable theatrical experience as audience and active participation through workshops and performances, both musical and theatrical. It continued to support the Court Youth Theatre programme.
2
**Court Theatre Limited Registered number: 06978781 Trustees' and Directors' Report**
## **Achievements and Performance**
The following statistics and financial review need to be interpreted in the light of the gradual return to normal levels of activity as the year progressed.
The theatre has a large and varied programme, during the year there were 42 (2021:38, 2020: 53, 2019: 57) shows involving 135 (2021:53, 2020: 117, 2019: 158) separate performances. A big increase on 2021, albeit from a small base and still below previous peak years. The events were presented by 24 (2021:5 , 2020: 23, 2019: 30) user hirers including Court Theatre Ltd (CTL) itself which promoted 6 (2021:1, 2020: 7, 2019: 9) shows. Events promoted by CTL saw a return of the fundraising Pantomime and Murder Mystery Dinner Theatre and live music intended to broaden the theatre's programme. Other shows included professional comedy and amateur shows from local groups which covered dramatic plays, comedies and musicals. Youth was well represented with ten local groups putting on shows including the Court Youth Theatre workshops. Total audience numbers for the year bounced back to 18,220 (2021: 4,539, 2020: 15,540, 2019: 21,150).
The forecast for the 2022/23 financial year indicates a strong return to almost pre-Pandemic levels of utilisation of the theatre and activity.
## **Financial Review**
The charity generated an income for the year of £30,253 following significant losses in 2021 (£32,617) and 2020 (£30,938).
The results largely reflect a bounce back from the Pandemic. Operating expenses doubled over 2021 (£92,363 vs £47,653) but this was offset by increased hire of the theatre and CTL promoted shows. To save costs a decision was taken not to re-instate the printed brochure as evidence suggested sales were increasingly driven by social media and our website, which was relaunched during the year. The large increase in utilitity rates has meant our landlord could no longer afford to waive them, so for the first time this cost was partly borne in the period, with a full year effect coming in for the year 2022/23. Against this background of economic uncertainty and the long-term future of the theatre, covered in the next section, only essential maintenance was carried out and refurbishment plans were put on hold.
On the plus side we received a Government Covid Grant of £4,000 and acknowledge donations from patrons of £3369 to our Covid Recovery Fund and our bar, CTCL, was able to donate £14,314 (2021:£2,760).
The financial outlook for 2022/23 is for a lower income as there is no grant income and the full impact of inflation becomes apparent.
3
**Court Theatre Limited Registered number: 06978781 Trustees' and Directors' Report**
## **Future of the Theatre and CTL**
In June 2022 our landlord IPL served a formal two years notice to terminate CTL's lease, originally granted 2 April 2020, with effect from 14 June 2024.
At the time of preparing this Trustees' Report it remains unclear what the landlord's plans are for the theatre building and its continued operation.
Various legal structures have been postulated and there does appear to be a strong desire for the building to continue as a theatre after June 2024. However to date, whilst there are no definitive plans as to how it might be managed, it is unlikely that CTL would continue to play a role in its future operation.
Against this background it is becoming increasingly difficult for the Trustees to operate. What is fundamental is that CTL can not take any bookings beyond 13 June 2024 as we will not be able to fulfil a booking contract.
The landlord has intimated that a new operating structure will be made clear in sufficient time for hirers to secure licences for shows and make a booking. But it remains completely uncertain with which legal body that booking might be made.
If CTL has no role after June 2024 with the Court Theatre then the Trustees will have to decide a course of action to determine the future of the charity and the disbursement of its assets and funds.
## **Reserves Policy**
In the 2020/21 period the Trustees resolved to effectively freeze any distribution of reserves to protect the charity's financial viability against a background of uncertain trading. That decision was further vindicated by new concerns over inflation and the landlord's decision to terminate the lease.
The reported period's positive net income reversed the decline in total reserves of the previous Pandemic years; £30,253 was transferred to General Reserves.
The Trustees consider it unlikely they will be in a position to make any grants in the 2022/23 period.
The total postion is explained in Note 10 to the Accounts.
## **Small company provisions**
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies
This report was approved by the board on 9 May 2023 and signed on its behalf.
IG Muirhead Director
4
## **Court Theatre Limited**
## **Independent Examiner's report to the trustees of Court Theatre Limited**
I report on the financial statements of the company for the year ended 31 August 2022 which are set out on pages 6 to 12.
## **Responsibilities and basis of report**
As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
D R Kerins FCCA
For and on behalf of: Ad Valorem Accountancy Services Ltd Chartered Certified Accountants
2 Manor Farm Court Old Wolverton Milton Keynes Bucks MK12 5NN
18 May 2023
5
## **Court Theatre Limited Income and Expenditure Account for the year ended 31 August 2022**
|**Notes**
**Income**
3
Hire of theatre
Ticket income
Marketing expenses recharged
Box Office expenses recharged
Other income
Donations received
**_Total Income_**
**Expense**
3
Theatre rent
Event expenses
Marketing expenses
Box Office expenses
Artistic Support Grants
Administrative expense
Depreciation
**_Total Expense_**
**Operating Income / Deficit**
4
**Income / Deficit on ordinary activities before taxation**
Tax on income / deficit on ordinary activities
**Income / Deficit for the financial year**|**2022**
**£**
36,691
48,472
3,600
8,975
8,195
17,683
123,616
40,800
9,185
3,314
13,137
-
22,066
4,861
93,363
30,253
30,253
-
30,253|**2021**
**£**
10,299
722
-
-
560
3,455
15,036
31,000
-
346
1,019
-
10,427
4,861
47,653
(32,617)
(32,617)
-
(32,617)|
|---|---|---|
6
## **Court Theatre Limited Statement of Financial Activities for the year ended 31 August 2022**
|||**Unrestricted**|**Restricted**|**Total**|**Total**|
|---|---|---|---|---|---|
|||**Funds**|**Funds**|**2022**|**2021**|
||**Notes**|**£**|**£**|**£**|**£**|
|**Income and endowments from**||||||
|Donations and legacies||17,683||17,683|3,455|
|Charitable activities||105,933||105,933|11,581|
|**Total income and endowments**|3|123,616|-|123,616|15,036|
|**Expenditure on**||||||
|Charitable activities||92,763||92,763|47,053|
|Other|14|600||600|600|
|**Total expenditure**|3|93,363|-|93,363|47,653|
|_Net Income /Expenditure_||30,253|-|30,253|32,617)
(|
|Tax on activities||-|-|-|-|
|_Net movement in funds_||30,253|-|30,253|32,617)
(|
|**Reconciliation of Funds**||||||
|Total funds brought forward||77,002|-|77,002|109,619|
|_Total funds carried forward_||107,255|-|107,255|77,002|
The notes form part of these financial statements
7
## **Court Theatre Limited Balance Sheet Reg. No. 06978781 as at 31 August 2022**
|**Notes**
**Fixed assets**
Tangible assets
6
Investments
7
**Current assets**
Debtors
8
Cash at bank and in hand
**Creditors: amounts falling due**
**within one year**
9
**Net current assets**
**Net assets**
**The funds of the charity**
Unrestricted income fund
10
**Total charity funds**|**2022**
**£**
-
1
1
18,284
105,742
124,026
(16,772)
107,254
107,255
107,255
107,255|**2021**
**£**
4,861
1
4,862
10,598
71,601
82,199
(10,059)
72,140
77,002
77,002
77,002|
|---|---|---|
The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit in accordance with section 476 of the Act.
The directors acknowledge their responsibilities for:
(a) ensuring that the company keeps accounting records which comply with sections 386 and 387 of the Act and
(b)preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies
The financial statements were approved by the Board of Directors on 9 May 2023 and were signed on its behalf by:
RW Brown Director
8
## **Court Theatre Limited Notes to the Accounts**
## **for the year ended 31 August 2022**
## **1 Statutory Information**
Court Theatre Limited is a charitable organisation limited by guarantee, registered in England and Wales.
The charity's registered office address can be found on the company information page. The charity's place of business is The David Evans Court Theatre, Pennyroyal Court, Station Road, Tring, HP23 5QY.
The presentation currency of the financial statements is the Pound Sterling (£).
## **2 Statement of Compliance**
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.
## **3 Accounting policies**
## _**Basis of preparation**_
The financial statements have been prepared under the historical cost convention.
## _**Incoming resources / Turnover**_
Income has been recognised on the following basis:
• Donations and grants are generally recognised when received. The primary donor is Court Theatre Catering Ltd, donations from this source are accrued to the period declared by the donor.
• Invoiced income is accrued monthly.
• Interest income is recognised on receipt.
## _**Resources expended**_
Expenditure is recognised on an accruals basis.
## _**Depreciation**_
Depreciation has been provided at the following rates in order to write off the assets over their estimated useful lives.
Leasehold Improvements 33% straight line Fixtures and Fittings 33% straight line
## _**Preparation of consolidated financial statements**_
The financial statements contain information about Court Theatre Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company has taken the option under Section 398 of the Companies Act 2006 not to prepare consolidated statements.
9
## **Court Theatre Limited Notes to the Accounts for the year ended 31 August 2022**
## _**Fund accounting**_
Funds held by the charity are either:
Unrestricted funds - these are funds which can be used in accordance with the charitable objects at the discretion of the trustees. Income is recognised as unrestricted income when the charity becomes entitled to the income as a result of activities already performed and any pre-conditions have been met. Where this is not the case the income is deferred and not included in incoming resources until the activities have been performed.
Restricted funds - these are funds that 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. The Trustees monitor and discuss the restricted funds at meetings to ensure the restricted expenditure is allocated accordingly. The charity currently has no restricted fund.
## _**Debtors and creditors receivable/payable within one year**_
Debtors and Creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the statement of financial activities.
|**4**
**Operating deficit**
This is stated after charging:
Depreciation of owned fixed assets|**2022**
**£**
4,861|**2021**
**£**
4,861|
|---|---|---|
## **5 Taxation**
The company is a registered charity and is exempt from corporation tax on its income.
## **6 Tangible fixed assets**
|**Cost**
At 1 September 2021
At 31 August 2022
**Depreciation**
At 1 September 2021
Charge for the year
At 31 August 2022
**Net book value**
At 31 August 2022
At 31 August 2021|**Leasehold**
**Improvts**
**£**
4,968
4,968
3,312
1,656
4,968
-
1,656|**Fixtures &**
**Fittings**
**£**
9,615
9,615
6,410
3,205
9,615
-
3,205|**Total**
**£**
14,583
14,583
9,722
4,861
14,583
-
4,861|
|---|---|---|---|
10
## **Court Theatre Limited Notes to the Accounts**
## **for the year ended 31 August 2022**
## **7 Investments**
|**7**|**Investments**|||||
|---|---|---|---|---|---|
||||||**Investments in**|
||||||**subsidiary**|
||||||**undertakings**|
||||||**£**|
||**Cost**|||||
||At 1 September 2021||||1|
||At 31 August 2022||||1|
||The company holds 20% or more of the share capital of the following|||company:||
||**Company**|**Shares held**||**Capital and**
**reserves **|**(Loss)**
**for the period**|
|||**Class**|**%**|**£**|**£**|
||Court Theatre Catering Ltd|Ordinary|100|4,870|(2,087)|
||Company No: 07625341|||||
|**8**|**Debtors**|||**2022**|**2021**|
||Trade debtors|||**£**
3,970|**£**
1,350|
||Amounts owed by group undertakings and undertakings in which|||||
||the company has a participating interest|||14,314|8,663|
||Prepayments|||-|585|
|||||18,284|10,598|
|**9**|**Creditors: amounts falling due within one year**|||**2022**|**2021**|
||Accruals|||**£**
1,150|**£**
600|
||Advance Ticket Sales|||11,422|535|
||User Group/Hirers Deposits|||1,800|1,400|
||User Group/Hirers|||2,400|7,524|
|||||16,772|10,059|
11
## **Court Theatre Limited Notes to the Accounts for the year ended 31 August 2022**
## **10 Movement on Unrestricted Reserves Fund**
|At 1 September 2021
Transfer between Funds
Income in year
At 31 August 2022
At 1 September 2021
Income in year
At 31 August 2022|Contingency
Fund
35,000
-
35,000
Total Funds
77,002
30,253
107,255|Developmt
Fund
5,538
-
5,538|Artistic
Support
20,000
-
20,000|General
Reserves
16,464
-
30,253
46,717|
|---|---|---|---|---|
## **11 Post balance sheet events**
The landlord's decision to terminate the charity's lease on 13 June 2022, giving two years notice, has had a major impact on the charity's continued operation.
As covered in the Trustee's report the future direction of the charity is unclear. The charity will continue to operate the theatre until June 2024 and the Trustees are confident that it will remain financially viable due to its level of reserves.
## **12 Trustees**
No trustee received any remuneration or claimed any expenses during the year. (2021: £nil)
## **13 Employees**
The charity is run entirely by volunteers and so employed nil staff during the year (2021:nil).
|**14 Governance Costs**
Cost of Independent Examination|**2022**
**£**
600|**2021**
**£**
600|
|---|---|---|
## **15 Related party transactions**
During the year the company recognised a donation of £14,314 (2021:£2,760) due from Court Theatre Catering Limited, its trading subsidiary.
As at the balance sheet date £14,314 (2021: £8,663) from CTCL was unpaid.
12