Sadler's Wells Foundation Limited Sadler's Wells Foundation Limited Company Number 08338605 Registered Charity Number 1150844 ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 March 2024
Sadler's Wells Foundation Limited Index Page Trustees, Officers and Administrative Inform*ion Trustèes, Report 7-10 Independent Auditors. Report statement of Financial Activities 12 Balance Sheet 13 statent of Cash Flows 14-24 Notes lo the Financial Slalemenls
Sadler's Wells Foundation Limited Trustees Paul Williams (Chairman) Nigel Higgins (Deputy chairman) Kathryn Firth Robert Glick Andrew Lerpiniere Roger Spen Rab Bennetts OBE Jennifer Beningfield Secretary isl8ir Spalding CBE Registered Ofllce Sadlerfs Wells Thealie Rosebery Avenue London EC1R 4TN Bankers Coutts & Co. 440 Strand London WC2R OQS AudStor Moore Kingston Smith LLP 6th Floor 9 Appdd Street London EC2A 2AP Sollcltors CliN¢rd chall LLP 10 Upper Bank Street London E14 5JJ
Sadler's Wells Foundation Limited Trustees, Report The Trustees. who are also the Directors of the company under the Cornponies Act 2006, subrnil their report and the financial statements of Sadlers Wells Foundation Limited for the year ended 31 March 2024 which have bègn propared in compliance wth current statutory requirements, The Ch$iilies SORP {FRS1021, and with the charity's governing document, ils Memorandum and Ariicles of Association. The company was inc(>rpoiated on th8 20th December 2012 and registered th the Charity Commission on 15 February 2013. The company wa3 formed to take over the activities ol the Ljnincorporaled charity of the same name. Under a Charity Commission schem8 dated 26 June 2013, all assets of the unincorporated charity were transferred lo the charitable company with the exptIOn of the ffeehold of the main theatre building and 179 Rosebery Avenue (land registry Telerences NGL700054, LN19345 and 3670891. These are considered lo be permanent endowment assets and therefore remained In the kJnineorporal8d ¢h8rily whith became a linked charity to the new charitable ¢omp8ny by virtue of the charktable company becoming the solè wrporale trustee of the unincorporated charity. The finandal stslerll8nts are presented as if both charities were a single entity and the permanent endowment property is induded in fixed assets at a nominal value of £100 in accordance with the accounting polw in note 1{91. ObJactlv8s, Prlnclpal Aetlvitiès and Future Development The object of the company is to apply the income of the company in or towards d&fraying the 6xpense¥ of providing performances al Sadlerfs Wells Theatres for recreation and education. The princ4pal activities of the Foundation are saleguardin9 of the a$sel$, supporting the charitable objectives of Sadle¢s Wells Trust and acting as guardian lo the original values and purpose of Sadlerfs Wells Theatrès as &nvi8aged by Lilian Baylis. This includes essential rep8irs and refurbishrnenls lo Sadlerfs Wells Theatres to serve theatre actimly while reducing environmental impact whenever possible. In May 2018 the eharity 8nt8r8d into an agreement for lease with the London Legacy Development Corporation. This agreement provides for the Foundation to Ontèr into 8 200 ye8r lease for Sadler's Wells East, a new theatre and studios in the Queèn Elizabeth Olympic Park as part of Ihe Easl Bank projèct. Opening in February 2025, Sadlerfs Wells East will support artist davÈlopmenl and training, and the creation ol new work. It is a resource lor the whole of the UK, offering a destination venue for dance comp8nies around Britain lo lour lo the caiital, and hostin9 the best work from international choreographers. Performances developed on the Slratford stage w1 lour the UK and the world, reathing new audiences. Publlc Beneflt Sadlerfs Wells Foundalion Limited recogniges and wel¢ome8 the need lo carry out ils charitable activtties for the benefit of the general public. To that end, and with regard to the guidanee of th8 charity eomrnission including the Charity Commission's guidance on publie benefit fpublic benefit. running a chorily IPB21'1, the Trustees consider that th6 following activities dernonstrate the way in which Ihè Foundation achieves its aims.. Repairs and refurt)ishm6nts undèrtaken ensure that Sadlerfs Wells continues to operate with appropriate systems and equipment lo support thoatrè opèrations and ellhance audience experien Investmant in project consultancy and legal advice has been madè lo ensure that the new venue can deliver fOra$1 benefits locally, nationally and Inlarn8tion8lly Revlew of Flnanclal Actlvltlès The Foundation rented the theatre to Sadlef s Wells Trust, with a rental income of £452k received duiing the period12022123.. £300kl. The current year included an addition81 £140k of rental income in relation to specific planned capital works al Sadlees Wtrlls Th8atre. £233,740 was spent durit¥J the year on èssential repairs and maintenance of the Sadle¢$ Wells theatre in Islington. capitalised and deproaaled in line with aecounling policies. £1,000,000 lor FF&E refurbishment at Slrafford East was fundraised in the current year12022r23 income.. £nill'. Ihis capital project rèprèsanls the sole current use of the FF&E refurbishment fund. Expenditure of £25,160 was rewrded under other resources maSnly against costs connected with the new theatre CUTf8nlty being built as part of East Bank. The delivery ol the new Sadler's Wells th68tr6 will require fixtures, fittings and equipm1 lo be purchased by the Foundation during the next financial year.
Sadler's Wells Foundation Limited Trustees, Report (continued) Reserves Policy The charity's reserve policy 1$ to accumulate sufficient unreslrid$d reserves lo enable il lo provide for a planned asset replacement, renewal and repair policy over the medium to long term. This is lo be achieved by renting out Sadler's Wells, seeking Arts Council grants and fundraising. £1,531,270 of unreslricled funds were held at year end. This fund is held as directed by the Trustees to b& expended in line wlh the SWF Pemianent Endowment Reserve, tsr any other expenditure which is charged against unieslricled income. Funds have been raised ftsr fixtures, fillings and equipment al Sadler's Wells Ea$l. As al the year end these funds were £1,703k. The expectation is that the majority of these funds will be expended during the year lo March 2025. Fundraising Sadlerfs Wells operates an internal fundraising team and is a member of the Fundraising Regulator. Our approach tskey account of the Code of Fundraising Pra¢lice and we have complied wlh the standards of the Regulator. We continue lo comply with the General Data Protection Regulations and our privacy pr>licy is available at www.sadlerswells.¢omlabout-uslprivacy-policy. No fundraising complaints were received during the year. Going Concern There are no material uncertainties lo be reported which QUId affect the charity's ability lo continue as going concern. Rlsk Management The risk register has been updated during the period. Responsibility for monitoring and mitigating risks is delegated to the appropriate Trustees or managers. The key risks identified are buildin9 compliance failu, fire and lack of funds for necessary capital works. Additional risks have been identified for Sadler's Wells East in particular insufficient handover and training period, imp8¢1 of construction delays on costs and reputation and in8ufficienl mobilisalion budget. Trustees The Trustees who served during the period under review were as follows.. Paul Williams Nigel Higgins Rab Bennells OBE Daniel Daw Kathryn Firth Robert Glick Andrew Lerpiniere Roger Spence Jennifer Beningfield (Chairman from 12 June 20241 (Deputy Chairman) {Chairman lo 12 June 20241 Resigned 28 November 2023 The Tru$lees are appointed by the members who are also the Trustees. A skills audll of the Trustees is conducted annually in order lo better inform decisions regarding the appolnlmenl of new Trustees. The Foundation provides an induction for neY appointed Trustees which informs them of their duties and responsibilities as directors of the company, and encourages Trustees lo keep abreast of emerging future developments through attendance al relevant sector events a8 well as wlh Charity Commission guidance updates. The Trustees delegate the day lo day running ol the Foundallon to the Artistic Director and Coknchief Executive. Alislair Spalding CBE, and Executive Director and C&Chief Executive, Britannia Morton. Th& Trustees approve the annual budget. and delegate responsibility for the day lo day management of the operating budgets lo appropiiate senior staff.
Sadler's Wells Foundation Limited Trustees, Report (continued) Statement of Trustees, Respon$lbllities The Trustees (who are also dir8¢tors of Sadlerfs Wells Foundation Limited for the purposes of company lawl are r6sponsible for pieparing the Trusteès, Report and the financial statemenly in accordance with applicable law and United Kingdom Accounting Standards {Uniled Kingdom Generally Accepted A¢¢ounling Pra¢lice.} Company law requlres the Ifuslees lo prepare financial slalemenls for each financial year which give a Irue and fair view of the slate of the affairs of the charitable ¢ompany and of the incoming resources and application of resources, including tho income and expendilure of Ihg charflable Company for that pertod. In preparing th&sa finan¢i81 slalements, the trLJs16es are required lo.. select suitable accounting poll¢ie8 and then apply them consislenlly., obsgrve the methods and principles in the Charitie5 SORP., make judgements and accounting eslimales that are re8son8ble and prudent., stalè v4helhtrr applicable UK Accounling Standards have been followed, subject lo any material departures disclosed and explained in the financial slalements.. and prepare thè fin8n¢ial slalemenls on tha going ¢oncern basis unless it is in3ppropri8le lo presume that tha Company will continue in business. The Iruslees are responsiblè for kÈeping adequate accounllng records that disclose with asonable accuracy at any lime the financial position of the chaiilable company and enable Ihtsm lo ensure that Ihe financial slalements comply with the Companies Act 2006. They are also responsible for safeguarding the assèts of the company and hence for taking reasonable steps for thè prevtrnlion and detection of fraud and other irregularities. Dl•¢lo$ure of information to Audltors So far as the Iruslees are aware, the 13 no relevant audit informots'on of which the company's auditors are unaware. The trustees have taken all the steps that they ought lo have taken as Iruslees in order lo make themselves aware of any relevant audit information and to Èstablish that the company's auditors ale aware of that information. Conn&ct8d Charities Sadlels Wells Foundation Limited is connected lo other charities, details of which are given in note 20 to the financial statements. For 8 fuller understanding of the operation and performanc6 of th8 Sadler's Wells group ol charities, copies of the a¢¢ounls of Sadlerfs Wells Trust can be obtained from Sadler's Well5, Rosebery Avenue, London EC1R 4TN. Audltor The auditor, Moore Kingston Smith LLP, are deemed lo be raapwinted under section 487 121 of the Companies Act 2006. Thi5 report has been prepared in a¢¢ordance wilh the special provisions relating lo small companies within Part 15 of the Companies Act 2006. roved b nd signed the members of the board on n their behalf by.. fl %¥Lf Paul Chair illiams
Sadler's Wells Foundation Limited Independent Auditor's Report to the Members of Sadler's Wells Foundation Limited Opinion We have audlted the flnancial ststements of Sadler's Wells Foundation Limited {the 'company'> for the year ended 31 March 2024 whlch comprise the Statement of Income and Retained Earnings, the Balance Sheet and notes to the financial statements, Including a summary of signlflcant accounting pollcles. The financial reportlng framework that has been applled In thelr preparation is applicable law and United Klngdom Accounting Stsndards, Includlng FRS 102 The Financial Reportlng Standard applicable In the UK and Republic of Ireland {Unlted Klngdom Generalty Accepted AcCOtIng Prartlce). In our oplnlon the financial statements.. glve a true and fair Mew of the state of the charitable company's affalrs a5 at 31 March 2024 and of its incomlng resources and appli¢aUon of resour5, Includlng Its Income and expenditure for the year then ended,. have been propedy prepared In accordance wlth Unlted Klngdom Generally ACpted Accountlng have LEen prepar8J In accordance wlth the quIrements of the Companie5 Act 2006. Basis for opinlon We conducted our alIt In accordan with Internatlonal Standards on Audltlng (UK) (ISAS (UK)) and appllcable law. Our responslbilitles under those standards are futher descrlW in the Auditor's responslblllties for the audit of the financial statements sethon of our report. We are independent of the company in accordance with the ethical requlrements thèt are relevant to our audit of the financlal ststements in the UK, IncludirvJ the FRC'S Ethlcal standard, and we have fulfllled our other ethical re5ponsibilitles in accordance wlth these requirements. We belleve that the audit eviden we have obtsined is sufflclent and appropriate to provide a basls for OLJr opinion. Conduslons relatlng to going concern In alIti the flnanclal ststements, we have conduded that the trustees, use of the going conrn basls of accountlng In the preparation of the financlal ststements is appropriate. Based on the work we have perfomied, we Iwve not identified any materlal uncertalnties rdating to events or condltlons that, Indlvldually or collectlvely, may cast 51gniflcant doubt on the company's abllity to contlnue as a going COnM for a perlod of at least twelve months from wl*n the finanrial statements are authorised for issue. Our responslbllltles and the respongbllities of the dlrertors wlth respect to going COrern are described n the relevant 5ettions of this report. Other Informatlon The other Informatlon comprises the information Included in the annual report, other than the financial statements and our auditor's report thereon. The dirertor5 are respOnsbIe for the other Infonllatlon contained within the annual report. Our oplnion on the flnanCa1 statements doe5 not cover the other nformatlon and, expt to the extent otherwlse explicldy stated in our report, we do not express any form of assuran conclusion thereon. Our responslbillty is to read the other Information and, in doir¥J so, conslder whether the other Infomiatlon Is materially inconsistent wlth the financial statements or our knowledge obtalned In the course of the audlt or otheise appears to be materially mlsstated. If we Identlfy such material Inconslstencles or apparent material misstatements, we are requlred to report that fact. We have nothlrvJ to report In thls regard.
Sadler's Wells Foundation Limited Independent Auditor's Report to the Members of Sadlerfs Wells Foundation Limited Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the alIt. the information given in the Trustees, Report for the flnandal year for whlch the flnandal statements are prepared Is consistent wlth the financlal statements,. and • the Trustees, Report has been prepared in accordance wlth appllcable legal requirements. Matters on which we are requlred to report by exceptlon In the Ilght of the knowledge and understandlng of the company and its environment obtalned in the course of the audit, we have not identlfled material misststements in the Trustees, ReporL We have nothing to report In respect of the following matters where the Companies Att 2006 requlres us to report to you If, In our oplnlon: adeqLJate accounting records have not been kept, or retums adequate for our audit have not been received from branches not VlSited by us; or the flnandal statements are not in agreement wlth the accountlng records aThJ returns; or rtain disclosures of trustees, remuneration speclfled by law are not made. or we have not recelved all the Informatlon and explanations we requlre for our audit. or the dlrectors were not entitled to prepare the financial statements In accordance with the small companies regime and take advantage of the small companles, exemptlon in preparing the Dlrectors, Report and take advantage of the small companles exemption from the requirement to prepare a Strategic Report. Responslbilities of Trustees As explalned more fully In the Trust, Responsibilities Statement, trustees are responslble for the preparation of the flnancial ststements and for being satisfied that they give a tr and falr vlew, and for such internal control as the trustees determine Is necessary to enable the preparatlon of flnanclal statements that are fe from material mlsstatement, whether due to fraud or error. Auditor'$ responsibilities for the aydit of the finanaal statements Our objectlves are to obtaln reasonable assuran about whether the financlal statements as a whole are free from materlal mlsstatement, whether due to fra or error, and to issue an audltorfs report that includes gur opinion, Reasonable assurance 15 a high level of assurance, but Ss not a guarantee that an audlt conductej in accordan wlth ISAS (UK) will always detect a materfal mlsststement when It exlsts. Misststements can arise from fraud or error and are considered materlal If, IrKllvldually or In the aggregate, they could reanablY be expected to Influen the economlc dedslons of users tsken on the basis of these finandal statemats.
Sadler's Wells Foundation Limited Independent Auditor's Report to the Members of Sadler's Wells Foundation Limited (continued) Auditor's responsibilities for the audit of the financial statements {continued) A5 part of an audit in accordance wlth ISA5 (UK) we exercise professlonal Judgement and malntaln professlonal ptI¢l$M throughout the audlt. We also.. Identify and assess the rlsks of material mi5Statement of the flnanclal ststements, whether due to fraud or error, design and perform audlt procedures responsive to those risks, and obtain aud6t evldence that Is sufficlent and appropriate to PrOde a basls ft>r ow oFH'nion. The risk of not detethng a material mlsstatement resultlng from fraud is higher than for one resulting from error, as fraud may nvolve collusion, forgery, intentional omlsslons, mlsrepresentations, or the override of Internal control. Obtaln an understanding of internal contr(A relevant to the audit in order to deslgn audfit procedure5 that are approprlate In the circUmstans, but not for the purposes of expressiThJ an opinlon on the effertiveness of the company's Internal control. Evaluate the approprlateness of accountlng policie5 used and the reasonableness of ac(J)unting estimates related dlsclosures made by the directors. Condude on the approprlateness of the dlrettors, use of the goiThJ concern basls of accounvng and, based on the audr( evldence obtained, whether a materlal uncertainty exists related to events or conditions that may cast signlffcant doubt on the company's ablllty to ctInUe as a golng concern. If we conclude that a materlal urKertalnty exlsts, we are requlred to draw attention in our auditor's report to the related disclosures In the financial statements or, If such dlsclosures are inadequate, to modify our opinion. Our conclusions are based on the audit eVIden obtalned up to the date of our audltor's report, However, future events or condltlons may cause the compary to ase to contlnue as a golng COnrn. Evaluate the overall presentation, structure and content of the flnancial statements, Indudlng the di5cIosures, and whether the flnanclal Statements represent the underfylng transactions and events In a manner that achieves fair presentation. We communlcate with those charged wlth govemance ard1Thj, among other matters, the planned scope and timlng of the audlt and significant audlt findlngs, including any significant deficlencles In internal control that we identify durlng our audlL Explanation as to what extent the audit was considergd capable of detectlng irregularitlos, including fraud IrregUlarleS, including fraud, are instsnces of non-compliance with laws and regulatlons. We design prOdureS in Ilne wlth our responsibllities, outllned above, to detect materlal mlsstatements In respert of Irregularitles, Indudlno fraud. The extent to which our prOdreS are cèpable of detecting Irregularftles, IKludlng fraud Is detailed below. The objectlves of our audlt In ct of fraud, are,. to Identify and assess the risks of material misstatement of the flnanclal ststements due to fraud; to obtain suffiaent appropriate audlt evldence regarding the assessed risks of materlal mlsstatement due to fraud, through designing and Implementlng approprfate responses to those assessed rlsks. and to respond approprlately to nstances of fraud or suspected fraud Identlfied during the audit. However, the pAmary responsibility for the prevention and detecbon of fraud rests wlth both management an(1 those charged wlth governance of the company.
Sadler's Wells Foundation Limited Independent Auditor's Report to the Members of Sadler's Wells Foundation Limited (continued) Explanation as to what extent the audlt wa$ consldered capable of detectlng Irregularities, includlng fraud {continued} Our approach was as follows.. We obtained an understanding of the legal and regulatory requirements applicable to the company and considered that the most significant are the Companies Act 2006 and UK financial reporting Standards as issued by the Financial Reporting Council. • We obtained an understanding of how the company CLxnplies with these requirements by discussions wlh managemgnl and those charged with governance. We assessed the risk of material misstatement of the financial statements, including the risk of m81erial misslatemenl due lo fraud and how it might occur, by holding discussions with mana9emenl and those Charged with govemance. We inquired of management and those Charged with governance as to any known instances of non- compliance or suspected non-compliance with laws and regulations. Based on this understanding, we designed specific appropriate audit procedures lo identify instances of non- Compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining addillonal corrobDralive evKlence as required. There are inherent limitations in tho audit procedures described above. We are less likely lo become aware of instances of non-compliance wlh laws and regulations that are not closely related lo events and transactions reflected in the financial statements. Also, the risk of not deleeling a material misslalemenl due lo fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or inl8nlional misrepresentations, or through ¢dlusion. Use of our Report This report is made solely lo the 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 for no purpose other than lo draw to the attention of the company's members those mallers we are required lo include in an auditor's report addressed lo them. To the fUlst extent perrnilled by law, we do not accept or assume responsibility to any party other than the company and the company's members as a body, for our work, for this report, or for the opinions we have formed. K, LCP 16 December 2024 James Cross (Senior Statutory Auditor) for and on behalf of Moore Kingston Smlth LLP, Chartered Accountants Statutory Auditor 6th Floor 9 Appold Street London EC2A 2AP 10
Sadler's Wells Foundation Limited Statement of Financial Activities for the year ended 31 March 2024 Unrestrlcted R&strleted Total Totsl Funds Funds Funds Funds for the Yèar lor thè Year for the Year for the Year ended ènded ended ondgd 31 March 31 Mar¢h 31 March 31 March 2024 2024 2024 2023 Incom• Income from Donations and legacies Sponsorship and donations Rtrnl ieceivable Inveslrnenl income Other income Not• I,OOLI,000 1,000,000 452,000 49,367 452,000 49,367 300,000 4,353 30,172 Total In¢ome 501,367 1,000.000 1.501,367 334.525 Expenditure Raising funds 7,999 Charilable activities Depreaalion Other Totsl Expenditure 137,984 30,716 168,700 9,113 2,519 11,632 147,097 33.235 180,332 147,681 64,358 220,038 3&4 Net Incomè b•f¢r• Investment10sses 332.867 988,368 1,321,035 114,487 Unrèalisad loss on investment property 140,000) 140,0001 Net Income 292.667 988,368 1.281.035 114,487 Net Funds at 1 Aprll 2023 1.238.603 917,497 2,156,100 2,041,613 N&t Funds at 31 March 2024 15 1.531,270 1,905 865 3,437,135 2.156,1(10 None of the company's aolimlles were acquired or discontinued during thtr above finanaal peiiods. The company has no recognised gains and losses other than those dealt with in the above Statement of Financial Acliwlies.
Sadler's Wells Foundation Limited Balance Sheet as at 31 March 2024 2024 2024 2023 2023 Notg Flxed Assets Tangible assets Investment property 548.007 110,000 658,007 461,364 150,000 611,364 Curront Assets Debtors Cash al knk and in hand 591,583 2,269,336 2,860,919 317,973 1,260,743 1,578,716 Creditors.. Amounts Falling Due Wlthln One Year 81,791 33,980 Net Current Assets 2,779,128 1.544,736 Total Assets Less Current Liabilities 3,437,135 2,156,100 Funds Restricted Unreslricled 15 1,905,865 1.531.270 3,437,135 917,497 1,238,603 2,156,100 These financial ststements have been prepared in accordance with the provisions applicable lo companies subject lo the small companies regime. The nci are sig I slalements were approved by the board of trustees and authorised for issue on od on its behalf by: Paul illiams {Chairmanl Company number 08338605 12
Sadler's Wells Foundation Limited Statement of Cash Flow for the year ended 31 March 2024 Year ended 31 March 2024 Year ended 31 March 2023 Irestatedl Noto Nel cash flows provided by operating activities 12 1,192,966 505,448 Cash flows from investing activities 13 1184,373} {121,3451 Net change In cash and cash equlvalents in the period 1.008,593 384,103 Rgconclllatlon of Net Cash Flow to movement in Net C)$h Change in Cash and cash equivalents in the period 1,008,593 384.103 Movement in nel cash In the period Net eash and cash equivalonts at 1 Aprll 2023 Net cayh and Cash equivalents at 31 March 2024 1.008.593 384,103 1,260,743 2,269,336 876,640 1,260,743 14 13
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 1. Accounting Policies {a) Basis of accounting The financial slalemenls have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. The Charitable Company is a public benefit entity for the purposes of FRS 102 and threfore the Charity also prepared ils financial statements in accordance with the Slalemenl of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (The FRS 102 Charities SORPI, the Companies Act 2006 and The Charities Act 2011. The financial statements are prepared in slerlitYJ, which is the functional currency of the charity. Monetary amounts in the financial statements are rounded to the nearest pound. The financial statements havo been prepared under the historical cost convention, modified to includ8 investment properties at fair value. The piincipal accounting policies adopted are sel out below. Ibl Golng concèrn The financial slatem@nls are prepared on a going conrn basis which assumes that the charitable company will continue in operational existence for the foreseeable fulure.There are no material uncertainties lo be reported which would affect the charitable company's ability lo continue as a going concern. (¢1 RQgnItIOn of Income (il Donations are creililed lo the Statement of Financial Activities when receivable wilhoul conditions. lill Interest incom& is credited to the Slalemenl of Financial Aclivf(ies when receivable. liiil Reslricled funds are used for the spe¢ifi'c purpose laid down by the donor. livl Rent is Ciedited to the Statement of Financial tIVitIeS when receivable. Iv) The income recognition principles of FRS102 are adopted., Evidence of enlillemenl lo income. Receipt is probable and the amount can be measured reliably. Id) Expenditure All direct charitable expenditure 1$ accounted for on an accru8ls basis. Support costs are allocated based on the use of reserves where appropriate. le) Tanglblè flxed assets Fixed assets are slated al cost. Depreciation 18 provided on a straight line basis lo write d¢)wn the book value over the estimated useful lives of the assets as follows.. Freehold properties Leasehold properties Fixtures, fittings and equipment Specialist Equipment Construction and Building8 work Assets in the course of construction 50 year8 Over the period of the lease- 125 years Over 3 years Over 3 years Over 3 years Not depreciated until brought into praelical uso 14
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 1. Accounting Policies {con't} A review of depreciation rates. useful lives of assets, residual value and impaim)ent lakes place on an annual basis. {fj Investment proportles Investment propety, which is propety held lo earn rentals andlor for capital appreciation, 18 initially recognised at cost, which includes the purchase cost and any directly allribulable expenlliture. Subsequently i( is measured al fair value al the reporting end date. The surplus or delicil on revaluation is recognised as nel gainslllossesl on investments in the 8tatemenl of financial aclivilies. Ig} Froehold and leasehold land and building$ The Foundation owns the freehold and leasehold interests in land and buildings comprising the Sadler's Wells Theatre redevelopment sile. These are leased to Sadler's Wells Theatre Trust Limited which operates the theatre in fulfilmenl of the Foundation's principal objective lo support the theatre aclivilie8 and ale therefore recognised as functional properties al cost less accumulated depreciation. The freehold of the original land is held on permanent endowment trusts as described at the start of the Trustees, Report at a nominal value of £100. The Foundation also owns the freehold interest in 1 Arlington Way which is leased lo Sadler's Wells mIted, a related party. al a peppercorn rent. Sadlerfs Wells Limited has now granted a sublease lo a commercial tenant and accordingly the freehold interest has now been recognised at fair value as an investment property. Ihl Flnanclal Instruments The charity has elected lo apply the provisions of section 'basic financial instruments. of FRS102 to all of ils financial inslrumenls. They are recognised in the charity's stalement of financial position when the charity becomes paty to the conlraclual provisions of the inslrumenl. a. Cash and cash equlvalents Cash and Cash equivalents include cash at banks and in hand and short term deposits wf(h original maturities of three months or less. and investments capable of immediate cash realisalion. b. Debtors and creditors Debtors and creditors receivable or payable within ono yoar of the reporting dale are carried al their transaction price and subsequently al selllemenl value. Debtors and credbtors that are receivable or payable in more than one year and not subject lo a market rale of interest are measured al the present value of the expected future receipts or payment discounted al a market rale of interest. 15
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 1. Accountlng Pollcle8 Icon'¢l 111 Crltlcal a¢countlng ar8a5 and use ofludgements In pparIng financial 51atern8n18 It is ne¢e$sary to mako ¢8rtain judgements, 8Stimatss and assumptions that affect the amounts recognised in the financial ststements." InGluding ests'rnale5 of useful lives of assets and deprecialqon and Impaiimenl pley&s. $our¢o$ of ostlmatlon uncertalnty The estimates and a55umptions which have a $ignrfi¢anl risk of causing a Materi adju8tmenl to the ¢arrying wnounl of asset$ and liabilities ar8 Outllned below.. Fair value of Investment property Thg company's inv8Stmenl prop8rty is Included in the fin8ncial statements at valuation as de$¢ribed in note 8 to the financial slalemenls. Thls 1$ ¢onsid8r8d to b8 8 critical accounting e8timate in view of the amounls involved and the judgements applied in their valuation. An independent valuation wa5 cenducl8d In 2024 and the trust895 have since reviewed the po$iUon and consider that the valuations preSentS the st estimate of fair value at the balance shael date. 2. Taxatio The company is a registered charity and 88 such, B entltled to &xenwllon fr¢)m taxation under the Cotporalion Tax Act 2010. 3. Expendlture Year Ended Year Ended 31 March 31 March 2024 2023 ¢harltablè a¢tlvltl¢s Depreciation other Future capltal prole¢l costs . Support sts Inole 41 147,097 147,681 25.160 8.075 50,820 13,538 4. Support Cost$ Year Ended Year En(led 31 March 31 March 2024 2023 Bank and Ctsdil card charges Governance costs 560 7.515 432 13.106 Auditor remuneration of £9,500 for CL•rr8nl year fees 12023.. £8.4851, £15 for prior year fees12023.' £1,771), £nil for current year non-audlt fees12023.. £2,000) and-É2.000 released overaccrual for prior year non-audil fee$12023". £8501 is included in governance costs for the current year. 5. Employe05 Th8 company ernployèd no stsff durin9 tho y8ar12023.' none). Admini$trallv* 8UPPOrt is prowded by Sadlers Wells Trust Limited. The TrleeS received no remuneration for the services they prowd8d to the ¢ompany12023'. none), and no 8xponse$ were reimbutsed 12023.. nonè). Th$ company ha5 an insurance policy in respect of claims against the Trustees of the company. 16
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 {continued) 6 Intangible Flxed Assets Rg¥trl¢tod Restricted Intangiblg assets Total Cost As at 1 April 2023 and al 31 MaTeh 2024 216,376 216,376 Amortisation As al 1 April 2023 and at 31 March 2024 216,376 216.376 Net Book Value at 1 Aprll 2023 and 31 March 2024 Total Net Intangiblg Flxed Assets 7 Tanglble Flxed Assets Restricted Restrlcted Fr9&hold Land and Bulldings R8strlcted Flxtures, Fittings & Equipment Total Cost As at 1 April 2023 Add((ions Disposals As at 31 March 2024 2,742,181 3.788,361 6,530,542 2,742,181 3,788.361 6,530,542 Depreclatlon As al 1 April 2023 Charge for the year Disposals As at 31 March 2024 2.505,100 9,113 3,788,361 6,293,461 9,113 2.514,213 3,788,361 6,302,574 Net Book Value Al 31 March 2024 Al 31 March 2023 227.968 237.081 227,968 237.081 17
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 7 Tanglble Flxed Assets Icontinuadl Unrestrictod Unr9$trlcted Deslgnated Unrestricted Leasehold Fixtures Fixtures Land and Flttlngs & Fittings & Bullding$ Equipment Equipment Total Cost As at 1 April 2023 Additions Disposals As al 31 March 2024 8S,750 459,977 973,880 233,740 1.519,587 233,740 85,750 459,977 1.207.600 1,753,327 Depreciation As al 1 April 2023 Charge for the year Disposals As at 31 March 2024 48,368 693 459,977 786,959 137,291 1.295,304 137,984 49.061 459.977 924,250 1,433,288 Net Book Value Al 31 Malch 2024 Al 31 March 2023 36,689 37,382 283.350 186,901 320,039 224,283 Total Not Tanglblg Flxgd Assets 548,007 Restricted freehold land and buildings comprises.. the book value of the sile of the theatre complex. 28 Arlington Way and 181 Rosebery Avenue. Unrestricted leasehold land and buildings comprfses.. 1 S parking spaces al 177 Rosebery Avenue. 8 Investment property Investment property comprises the freehold interest of the Shakespeare's Head Public House at 1 Artinglon Way, London. The fair value of the investment property has been arrived al on the basis of a valuation carried out as al 31 March 2024 by Fleurols Limited Chartered Sutveyors, who are not connected with the company. The valuation was made on an open market value basis by reference lo market evidence of transaction prices for similar properties. 2024 2023 Fair value As al 1 April 2023 Revaluation loss As at 31 March 2024 150,000 40,000 110,000 150,000 150,000 18
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 9 Debtor$ 31 March 2024 31 March 2023 Trade debtors Taxation and social security Prepayments and acerued income 93,350 3,226 22,564 292.183 317,973 498,233 591,583 10 Credltors 31 March 2024 31 March 2023 Trade creditors Taxation and Social security Accruals 57,856 14,435 9,50LI 81,791 495 33,485 33,980 19
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 11 Analysls of Net Assets between Funds Tanglblg Investment Fixed Assets propertles Nat Current Assets al Current year Total Restrlcled funds Arlington Way Redevelopment Fund Restricted Fixed Assets Thealre Redevelopment Fund FF&E Refurbishment 10,540 25,437 191,991 10.540 125,437} 191,991 1,703,334 1,905,865 1.703,334 1,677.897 227,968 Unrostrl¢ted funds SWF Permanent Endowment Reserve INO. 11 $0844-1) 320,039 320 039 110,000 110,000 1.101,231 1.101 231 1,531.270 1,531,270 Net Funds 548,007 110,000 2,779,128 3,437,135 Tangible Investment Fix9d Assets propertle5 Net Current Assets b) Prlor year Total Restricted funds Arlington Way Redevelopment Fund Capital Project Reserve Theatre Redevolopment Fund FF&E Refurbishment 10.979 25,437 200,665 10.979 125,4371 200,665 705,853 917,497 705,853 680,416 237 081 Unrestrictgd funds SWF Permanent Endowment Reserve (No. 1150844-11 224,283 224.283 150,000 150,000 864,320 864,320 1,238,603 1.238,603 Net Funds 461,364 150.000 1,544,736 2,156,100 20
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 12 Reconclllatlon of Net Income from Operating Activities to Net Cash Flows Year ended 31 March 2024 Year ended 31 March 2023 Irgstated) Net income for the reporting period Losses on inveslm$nls Dividends, interest and rents from investments Depreciation Decreaselllncreasel in debtors IDecreasellln¢rea8e in creditors 1,281,035 40.000 149,3671 147,097 1273.610} 47,811 114.487 14,3531 147,681 318,875 171,2421 Net cash inflow fiom operating activities 1.192,966 505,448 13 Analy$l$ of Cash Flows for Heading$ In Cash Flow Statement Year ended 2024 Year ended 2023 (restated) Cash flows from Investlng activities.. Dividends, intere51 and rent from investments Purchase of property, plant and equipment 49,367 233,740 184,373 4,353 125,698 127,345 14 Analy$i$ of Net Cash 31 March 2023 Cash Flow 31 March 2024 Cash at bank and in hand 1,260,743 1,008,593 2,269,336 21
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 15 Movement on Funds At 1 Aprll 2023 Incomo Expendlture Transfersl At 31 Mah Gains 2024 al current year Unrestrlcted funds SWF Permanent Endowment Fund (No. 1150844-11 1,238,603 501,367 1168.7001 140.000) 1,531,270 1,238,603 501,367 168,700 40,000 1.531,270 Restricted funds Arlington Way Redevelopment Fund Theatre Redevelopm8nl Fund FF&E Refurbishment 10.979 1439} 10,540 200.665 (8,6741 191,991 705.853 1,000,000 917 497 1000 000 2,519 1,703,334 1905 865 Total Funds 2 156100 1501367 180 332 3437 135 bl prior year At 1 Aprll 2022 Income Transfersl At 31 Mah Gains 2023 Expenditure Unrestricted funds SWF Perman@nl Endowment Fund INO. 1150844-1) 1,107,022 332,755 {201.1741 1,238,603 1 107022 332 755 201 174 1.238,603 Regtrlcted funds Arlington Way Redeveloprnenl Fund Theatre Redevelopment Fund FF&E Refurbishment 11,418 1439) 10,979 209,341 18.6761 200,665 713.832 934 591 1,770 9,749 705,853 917 497 Total Funds 2041613 334 525 220 038 2 156 100 The Arlington Way Redevelopment Fund and the Theatre Redevelopment Fund represent the net book value of certain fixed assets purchased using monies donated lo Sadler's Wells Foundation specifically for those purchases. Expenditure on those funds ropresenl the depciall0n charge on those assets. The FF&E Refurbishment Fund represents funds received and expended towards Ihg current capital project. being the new theatre opening in Strattord in February 2025. In addition il represents the nel book value of assets purchased using monies donated towards the current capital project. The Trustees have also designated an unrestricted fund. The SWF Pemanenl Endowment Resetve (No. 1150844-11 represents funds transferred from Sadler's Wells Foundation. These funds are held in trust by Sadler's Wells Foundation Limited and are lo be applied in meeting the costs of administering the charity. managing ils assets and furtherfng the objects of the charity. 22
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 16. Comparatlve Fund and Statement of FSnanclal Actlvlties Unrestricted Rgstrlcted Total Funds Funds Funds for the Yoar for the Year for the Year ended ended ended 31 March 31 March 31 March 2023 2023 2023 Note Income Income from Donations and legacies Sponsorship and donations Rent receivablè Investment income Other income 300.000 4,353 28,402 300,000 4,353 30,172 1,770 Total Income 332,755 1,770 334,525 Exponditure Raising funds 7,999 7,999 Charitsbl6 activities Depreciation other Total Expendlture 138,567 62,607 201,174 9,114 1,751 18,864 147,681 64,358 220,038 Net Income 131.581 117,094} 114.487 Net Fund$ at 1 Aprll 2022 1,107,022 934,591 2,041,613 Transfers between funds Net Funds at 31 March 2023 1,238,603 917,497 2,156,100 23
Sadler's Wells Foundation Limited Notes to the financial statements for the year ended 31 March 2024 (continued) 17. Contingent Liabilty The assets of the company are subject lo a fixed and floaling charge by the Arts Council of England. As al 31 March 2024 the liabilities in respect of these balances amounted lo £46,917,380 12023.. £46,917.380} The liabilities would fall due if the theatre complex was no longer usèd for ils primary purpose. 18. Liability of Membors The company is limited by guarantee and the liability of members is limited to £1 each. At 31 March 2024 there were 8 members {2023.' 9}. 19. Capital Commitments At 31 March 2024 Sadler's Wells Foundalh)n Limited had £nil 12023.. £nill contracted capital ommilments. 20. Connected Charltles During the year Sadlerfs Wells Foundation Limited received ntaI income of £452,00012023'. £300.000) from Sadler's Wells Trust Limited, of which £218,000 was unpaid al year-end 12023.. £150,000 deblorl. Sadlerfs Wells Foundation Limited was owed £29 by Sadler's Wells Trust Limited 12023.. £29) at the 31 March 2024. Sadler's Wells Foundation Limited is a member of S8dleVs Wells Trust. 21. Relatod party transactlons Nigel Higgins is also a trustee and chaimian of Sadler's Wells TrLtsl Limited. There were no Trustee related party transactions lo disclose in the reporting period. 22. Amounts rg¢9ivable under operating loasgs At the reporting dale the company had conlraded wlh tenants for the following minimum lease payments. 31 March 2024 31 March 2023 Within 1 year 2-5 years over 5 years Total 320,374 1,369,826 1,126 934 2,817,134 312.000 1,377,693 1,611,939 3,301,832 24