THE LONGHORN CATTLE SOCIETY
REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 AUGUST 2021
Charity No: 1159780
THE LONGHORN CATTLE SOCIETY
FINANCIAL STATEMENTS 31 AUGUST 2021
| Contents | ||
|---|---|---|
| Page | ||
| Report of the Trustees | 1-3 | |
| Financial report | 4 | |
| Independent examiner’s report | 5 | |
| Statement of financial activities | 6 | |
| Balance sheet | 7 | |
| Notes to the financial statements | 8-11 |
THE LONGHORN CATTLE SOCIETY
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021
The trustees present their report together with the financial statements for the year ended 31 August 2021. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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 published in October 2019.
Reference and administration information
Charity name: The Longhorn Cattle Society Charity registration number: 1159780 Operational address: East Lodge Stoneleigh Park Kenilworth CV8 2LH
Council members / Trustees
D Blockley resigned 17.10.20 P W Close B Facon resigned 17.10.20 S Gurton B M Llewellyn appointed 17.10.20 T Mills P Stanley G Walker M Wheeler B T Wragg appointed 17.10.20 S Zentis
Secretary
D Dann
Bankers
HSBC Bank plc, 126 The Parade Leamington Spa Warwickshire CV32 4AJ
Accountants and Independent Examiners
Dafferns LLP, One Eastwood, Harry Weston Road, Binley Business Park, Coventry, CV3 2UB
THE LONGHORN CATTLE SOCIETY
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021
Activities and charitable objects
The objectives for which the Society is established are to encourage, promote and improve the breeding of Longhorn cattle and to maintain their purity. To maintain a Herdbook of Longhorn cattle in furtherance to the above objects but not further or otherwise the Society shall have the following powers:
i) To promote shows and/or sales of Longhorn Cattle ii) To do all things necessary for the attainment of the above objects.
The Society depends on the support of its members for its continuing success.
Public benefit
The Council consider they have complied with their duty to have due regard to the guidance on public benefit, as published by the Charity Commission, in exercising their powers and duties.
Achievements and performance
Herdbook activity for the financial year was 1,265 females registered, 945 animals birth notified, 95 males registered and 1,353 transfers. Excluding deaths, a total of 3,660 individual transactions took place in order to maintain an accurate registry.
The Society’s programme of shows, member events and herd visits was cancelled in 2020 and much of 2021 due to the COVID-19 pandemic. As physical gatherings were not permitted, the Society supported it’s members by organizing online events. An online show took place over the summer and an online virtual timed auction gave members the opportunity to buy and sell Longhorn Cattle in a COVID-19 secure manner. One physical sale was able to be held when restrictions were eased.
These events were heavily publicized across social media platforms which promoted the breed to an unlimited domestic and international audience and enabled members to market their herds, animals for sale and Longhorn beef during a time when face to face gatherings were not permitted.
The Society continued with the Type Classification scheme when COVID-19 restrictions permitted. This independent assessment scheme assists members with selection of cattle and herd improvement and helps fulfil the Society’s obligation for breed improvement.
The Society continued to DNA test and parent verify selected females and all bulls submitted for registration in order to maintain the purity of the breed and to comply with the Zootechnical Regulations 2020
Financial review
The Society’s finances show a surplus on ordinary activities of £11,591 in the year ended 31 August 2021. Unrestricted funds carried forward at 31 August 2021 total £131,966.
THE LONGHORN CATTLE SOCIETY
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021
Reserves policy
The Council has examined the Society’s requirements for reserves in the light of the main risks to the organisation. The Society aims to hold financial reserves that cover one year’s budgeted expenditure. The Society has budgeted to spend £91,879 in the year to 31 August 2022. At 31 August 2021 the Society held reserves amounting to £131,966.
Structure, governance and management
Governing document
The Society is governed by its constitution. The Society was registered as a charity on 5 January 2015 (No: 1159780).
Recruitment and appointment of Council
The Longhorn Cattle Society is run by the Society Council. All Council members are also trustees of the Society. Nominations are invited for election to Council and both an online and a paper ballot are distributed prior to the AGM to determine their election should sufficient nominations be received. Council members are elected by the membership for a three year term and then retire by rotation. After their second consecutive three year term Council members cannot stand for re-election for one year. The Council elect their own Chairman at the first meeting after the AGM.
Council meetings follow a formal agenda and minutes are taken. There is an Annual General Meeting to which all members are invited. This meeting includes an adoption of the accounts and the presentation of the Chairman’s report for the year.
The Council of the Society appoint a secretary/treasurer to carry out the daily administration of the Society and maintain the account records.
Risk review
The uncertainty over the COVID-19 pandemic presents risks to the Society’s operations and income streams. The Society Trustees review and monitor these on an ongoing basis.
Trustees will be conducting some meetings and discussions via online conferencing to reduce the need to meet face to face. Registration and membership income have been reviewed and should remain stable in the short term. Ongoing marketing, sales and promotion of the breed will focus on online and social media platforms in order to replace some of the exposure the breed would normally have had from attendance at shows and events. Trustees monitor Government guidelines to ensure members can sell their animals in a COVID secure manner. Online conferencing is being offered to members for the AGM and is being considered by Trustees to deliver educational and management information to members in lieu of organised workshops and farm visits.
Approved by order of the board of trustees on 16 October 2021 and signed on its behalf by:
T Mills
Chairman of Trustees
THE LONGHORN CATTLE SOCIETY
FINANCIAL REPORT FOR THE YEAR ENDED 31 AUGUST 2021
Much of 2021 was dominated by the ongoing COVID-19 pandemic with many normal activities outside of maintaining the Herdbook cancelled. Activity on the Herdbook remained stable.
Herdbook activity for the financial year was 1265 females registered (1,286 in 2020), 945 (1063) animals birth notified, 97 (73) males registered and 1353 (1214) transfers. Excluding deaths, a total of 3,660 (3568) individual transactions took place in order to maintain an accurate registry.
As a membership based organisation the Society’s main income streams remained subscriptions, registrations and transfers.
Secretarial salary, social security and occupational pension expenditure were the Society’s largest single outgoing.
Printing, stationery and postage expenditure was reduced in this financial year as no Journal was produced.
The Longhorn Cattle Society is a Charity and the Trustees of the Society are entrusted with the role of ensuring the monies held are well managed and that there is a prudent reserve, and then ensure that funds are used to carry out the principal objectives of the Society. It is Council policy to ensure that the routine running costs of the Society are self-funding and that the Society has reserves roughly equivalent to a year’s annual expenditure. A budget of £91879 has been approved by Council.
Deborah Dann Society Treasurer and Breed Secretary
16 October 2021
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF THE LONGHORN CATTLE SOCIETY
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 August 2021, which are set out on pages 6 to 11.
Responsibilities and basis of report
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the charity as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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.
Richard Miller MA (Oxon) FCA, For and on behalf of Dafferns LLP Chartered Accountants, One Eastwood, Harry Weston Road, Binley Business Park Coventry, CV3 2UB 18 October 2021
THE LONGHORN CATTLE SOCIETY
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2021
Income from: Members subscriptions Gift aid Donations Registration fees Transfer fees AI Receipts Society meeting income Handbook and newsletter adverts Breed development Sale of merchandise Interest received Other income Total income Expenditure on: Shows and demonstrations Breed development Cost of meetings Printing and stationery Cost of merchandise AI costs Subscriptions payable Secretary’s salary and social security costs Secretary’s expenses Office expenses Website and other computer expenses Independent examination Legal fees Depreciation Other costs (including bank charges) Total expenditure Net income Fund balance at 1 September 2020 Fund balance at 31 August 2021 |
2021 2020 Unrestricted funds £ £ 22,030 22,722 1,578 2,008 106 313 44,780 40,307 10,863 9,519 623 1,180 - 3,054 917 5,608 1,618 1,975 889 281 11 319 1,159 1,145 84,574 88,431 3,353 1,751 8,003 8,570 342 5,005 3,573 10,818 698 359 2,255 2,368 285 274 38,334 39,305 108 338 12,138 12,685 1,589 967 1,650 1,600 346 413 159 159 150 78 72,983 84,690 11,591 3,741 120,375 116,634 131,966 120,375 |
2021 2020 Unrestricted funds £ £ 22,030 22,722 1,578 2,008 106 313 44,780 40,307 10,863 9,519 623 1,180 - 3,054 917 5,608 1,618 1,975 889 281 11 319 1,159 1,145 84,574 88,431 3,353 1,751 8,003 8,570 342 5,005 3,573 10,818 698 359 2,255 2,368 285 274 38,334 39,305 108 338 12,138 12,685 1,589 967 1,650 1,600 346 413 159 159 150 78 72,983 84,690 11,591 3,741 120,375 116,634 131,966 120,375 |
|---|---|---|
| 120,375 |
The notes on pages 8 to 11 form part of these financial statements
THE LONGHORN CATTLE SOCIETY
BALANCE SHEET AS AT 31 AUGUST 2021
| Notes Fixed assets Tangible assets 5 Investments 6 Current assets Stock Debtors 7 Bank balances and cash 8 Creditors: amounts falling due within one year 9 Net current assets Net assets Reserves General fund - Unrestricted 10 |
2021 £ £ 195 1,651 1,846 2,196 7,228 139,432 148,856 18,736 130,120 131,966 131,966 |
2020 £ £ 354 1,651 2,005 2,280 8,518 123,364 134,162 15,792 118,370 120,375 120,375 |
2020 £ £ 354 1,651 2,005 2,280 8,518 123,364 134,162 15,792 118,370 120,375 120,375 |
£ 354 1,651 |
|---|---|---|---|---|
| 120,375 | ||||
| 120,375 |
The financial statements were approved by the Board of Trustees on 16 October 2021 and were signed on its behalf by:
T Mills Chairman of Trustees
The notes on pages 8 to 11 form part of these financial statements.
THE LONGHORN CATTLE SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021
1. Accounting policies
Basis of preparing the financial statements
The Longhorn Cattle Society is a charitable incorporated organisation (CIO) in England and Wales. The operational address is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are stated on page 2.
The financial statements of the charity, 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) published in October 2019. Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities when 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.
Investment
The investment in the subsidiary is stated at cost.
Stocks
Stocks are valued at the lower of cost and net realisable value. Cost is defined for this purpose as the expenditure incurred in the normal course of business. Stock of AI is not included as this is written off when extracted.
Depreciation
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Computer equipment - 25% on cost Fixtures and fittings - 15% on reducing balance
THE LONGHORN CATTLE SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 (continued)
1. Accounting policies (continued)
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 expenditure.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
All the charity’s funds are unrestricted.
2. Trustees’ remuneration and benefits
There were no trustees’ remuneration or other benefits for the year ended 31 August 2021 nor for the year ended 31 August 2020.
Trustees’ expenses
Expenses reimbursed to trustees’ during the year amounted to £86 (2020: £522).
3. Independent examiners remuneration
The independent examiners remuneration amounts to an independent examination fee of £1,650.
4. Staff costs
| 2021 The average monthly number of employees during the year was as follows: Administration 1 £ Staff costs were: Salaries 37,265 Social security costs - Pension costs 1,069 38,334 |
2020 1 £ 37,265 922 1,118 |
|---|---|
39,305 |
No employees received emoluments in excess of £60,000.
THE LONGHORN CATTLE SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 (continued)
5. Tangible fixed assets
| 5. Tangible fixed assets | |||
|---|---|---|---|
| Computer | Fixtures & | ||
| Equipment | Fittings | Total | |
| £ | £ | £ | |
| Cost | |||
| At 1 September 2020 and at 31 August 2021 | 596 | 547 | 1,143 |
| Depreciation | |||
| At 1 September 2020 | 298 | 491 | 789 |
| Charge for the year | 149 | 10 | 159 |
| At 31 August 2021 | 447 | 501 | 948 |
| Net book value | |||
| At 31 August 2021 | 149 | 46 | 195 |
| At 31 August 2020 | 298 | 56 | 354 |
| 6. Investments | |||
| Shares in subsidiary, at cost | 2021 | 2020 | |
| £ |
£ | ||
| Cost | |||
| At 1 September 2020 and at 31 August 2021 | 1,651 | 1,651 |
The charity owns 100% of the ordinary shares of £1 each in the Longhorn Meat Marketing Company Limited. This subsidiary was used for non-primary purpose trading activities, namely the marketing of longhorn beef and retail of hides. The company is currently dormant.
The latest available accounts are for the year ended 31 August 2021. A summary of the results of the subsidiary for the year ended 31 August 2021 is shown below:
Assets Liabilities Share capital (A & B shares) Profit and loss account |
£ 1,051 - 1,051 1,651 (600) 1,051 |
|---|---|
Consolidated accounts are not prepared, as the trustees consider that the results are not material.
| 7. Debtors Trade debtors Prepayments |
2021 £ 5,097 2,131 7,228 |
2020 £ 6,370 2,148 |
|---|---|---|
| 8,518 |
THE LONGHORN CATTLE SOCIETY
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 (continued)
8. Bank balances and cash
| ank balances and cash | |||
|---|---|---|---|
The following balances are included: COIF Charities Deposit Fund HSBC - Deposit account - Current account reditors: amounts falling due within one year Trade creditors PAYE and social security Value added tax Amount owed to subsidiary Deferred income Accruals |
2021 £ 68,441 6,221 64,770 139,432 3,755 25 4,319 1,051 7,816 1,770 18,736 |
2020 £ 68,441 6,220 48,703 |
|
123,364 |
|||
| 3,512 - 2,070 1,051 7,439 1,720 |
|||
15,792 |
9. Creditors: amounts falling due within one year
10. Funds
All funds are unrestricted.
11. Related party transactions
The Society owns the shares in the Longhorn Meat Marketing Company Limited which is a commercial company established to promote the marketing and sale of Longhorn beef and hides.
Details regarding the accounts of the Longhorn Meat Marketing Company Limited are stated in note 6.