# **MOOR ALLERTON GOLF CLUB (LEEDS) Company Registration Number 09679570**
**Annual Report & Unaudited Accounts**
**Year ended 31 March 2021**
Moor Allerton Golf Club (Leeds)
## Contents
||Page|
|---|---|
|Trustees report|1 – 6|
|Independent Examiners report|7|
|Statement of financial activities including income||
|and expenditure account|8|
|Balance sheet|9|
|Statement of cash flows|10|
|Notes on the accounts|11 – 20|
Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
The Trustees present their annual report, together with the accounts of the Charity for the year ended 31 March 2021.
## **General**
Charity Name: Moor Allerton Golf Club (Leeds) Charity Number: 1165327 Company Number: 09679570 Registered Office: Coal Road, Wike, Leeds, LS17 9NH Bankers: Handelsbanken
The Charity commenced its charitable activities as of 1 April 2016 after receiving various assets and liabilities gifted for no consideration from Moor Allerton Golf Club Limited. Each company obtained separate legal advice leading to a sale and purchase agreement and a 25 year peppercorn lease for the land and buildings from Moor Allerton Golf Club Limited.
The Trustees have adopted the provisions of the Statement of Recommended Practice “Accounting and Reporting by Charities” published in October 2019 in preparing the annual report and accounts of the Charity.
## **Trustees and Directors of the Charity**
The Trustees are directors of the company for the purposes of company law and trustees for the purposes of charity law.
The Trustees who have served during the year and since the year end are as follows:
Jonathan Ellis – (resigned 28 June 2021) Stephen Mack Ian Land Carl Hegarty Kathleen Morrison Alan Tobias (resigned 23 May 2020) Joseph Dowling (appointed 29 June 2020) Aaron Selman (appointed 29 June 2020)
As required one third (2) of the trustees were required to stand down at the AGM. Stephen Mack and Ian Land resigned but stood for re-election; they were elected unopposed.
## **Structure, Governance and Management**
Type of governing document: Memorandum and Articles of Association
How the charity is constituted: Company Limited by Guarantee and not having a share capital
Trustees: Appointed by existing trustees and number at least 3 and no more than 6. One third of Trustees must retire at each Annual General Meeting, those longest in office resign first. Council Members: At least 5 and no more than 12, including the Chair, Treasurer, Secretary, President and Vice Presidents.
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Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
## **Trustee Induction and Training**
New trustees are provided with a copy of the Memorandum and Articles of Association. They meet with the Chairman for an explanation of operational procedures, and with the Finance Officer for an explanation of budgets and accounts. All trustees must be playing members of Moor Allerton Golf Club and will have a good understanding of how the club operates.
A comprehensive range of traditional business and legal skills are well represented on the board.
## **Operational Structure**
The Charity has an executive board known as the Council. The Council must comprise of at least 5 and no more than 12 council members. The Council is responsible for strategic direction and policy and it also monitors and oversees the operational activities of the Charity. Meetings are held monthly.
## **Objectives and Activities**
The objects are specifically restricted to the following, for the public benefit:
- the promotion of community participation in healthy recreation by the provision of facilities for playing golf or other amateur sports at the Moor Allerton Golf Club or such other golf centre as the trustees shall determine;
- the provision of facilities for recreation or other leisure time occupation for the benefit of the inhabitants of Leeds and the surrounding area in the interests of social welfare and with the object of improving the condition of the said inhabitants; provided in either case that persons of the Jewish faith cannot be excluded by reason of their faith or ethnicity from any such club or facilities; and
- such other exclusively charitable purposes in keeping with the Jewish faith as the trustees may from time to time determine.
## **Purpose and Public Benefit**
The purpose of the Charity is to operate Moor Allerton Golf Club (Leeds) for the benefit of the public, to enable the public to have access to the 27-hole golf course and other facilities. The aim is to promote golf as an amateur sport, including to encourage young players by helping them to discover golf as an affordable sport. The Charity provides facilities and coaching is made available by it.
The benefits afforded to the public are the promotion of healthy recreation and golf. The benefits of engaging in sport which provides fresh air and exercise are well recognised.
The course is located on the outskirts of the city of Leeds affording the charity a large area of benefit. It is unusual in having 27 holes and is one of the first in the UK to be designed by the renowned American golf architect Robert Trent Jones. The design is 3 separate loops of nine holes, all starting and finishing at the clubhouse, making it ideal for golfers of all abilities.
Moor Allerton GC was originally established by Moor Allerton Golf Club Limited to ensure that people of the Jewish faith were able to play golf, having experienced exclusion from other members’ golf clubs in the region. With the establishment of the Charity the aim is to continue to ensure that anyone who wants to play golf can have access to excellent facilities without discrimination on any grounds, irrespective of their creed, faith or ethnicity. The Charity aims to benefit all inhabitants of Leeds and the surrounding area, encouraging people to play golf and become members.
Coaching programmes are made available to schools and youth organisations, as well as the Club’s members, throughout the year. Young people are encouraged to see golf as a sport they can access and enjoy. The fee structure for junior golfers under 18 has been set so that access to a top quality golf course in North Leeds is affordable.
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Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
The aim of the Charity is to encourage wider access to golf by all age groups and anyone can apply to play on the course or become a playing member of the Club. There is a significant cost to maintaining the facility, however the charging structure is varied and flexible to enable players to have as much access to the course as possible. The Charity aims to cover its running costs and looks to break even, so charges are kept as low as possible to encourage wide access.
Individuals do not have to be fee-paying members of the Club to access the facilities. They may play by paying a reasonable daily rate, 7 days a week, providing there is availability.
The club also considers offering reduced rates in cases of hardship with conditions varying according to individual circumstances.
Reduced rates are also offered to members’ guests with the restriction that a member may only invite the same guest three times in any single financial year.
Access is available to all the facilities during the opening hours of the club. Other charities may use the course for fund-raising charity days for which they are charged preferential rates. A number of annual events are well established and raise significant funds for their charity. These charities are St Gemma’s Hospice Leeds, RNLI and The Richard Goldberg Foundation.
The board have had regard to the Charity Commission’s guidance on public benefit and confirm that this guidance forms the basis of planning decisions at both strategic and operation levels.
## **Summary of Main Achievements**
The start of our reporting year coincided with the start of the national lockdown related to the COVID19 pandemic causing the plans detailed in last year’s report to be put on hold (holiday camps, junior lessons, adult beginner programmes and community outreach initiatives). An immediate financial impact would be the loss of society revenue and a negative impact on visitor fees for the financial year, and uncertainty regarding the impact the pandemic will have on the membership base.
Following the lifting of the first lockdown in May 2020 the club re-opened in accordance with government rules and the guidelines detailed by England Golf. Social and competitive golf resumed. Along with many other golf clubs Moor Allerton also experienced a sudden and welcome increase in membership applications, which helped to offset the loss of income from visitors and societies.
During the various lockdowns the club took the opportunity to address several issues which would provide an improvement to the club’s facilities, and an enhanced members’ experience. Most significant was the move of the professional’s shop from within the clubhouse into the existing café area (The Waterhole). This allowed the club to support golf-related activities during lockdown without breaching any rules. Initially seen as a temporary move it soon became obvious that the new location worked much better for both the Pro Shop and the members and has become permanent. As a result, all club catering is now within the clubhouse on the first floor utilising the restaurant and the various function rooms when necessary.
Other changes have been the refurbishment of the bag store and, in line with Health and Safety recommendations, the removal of the battery re-charging facility. The area to the rear of the clubhouse has been completely re-fashioned – flagstones which were becoming hazardous have been removed, along with a staircase to the first-floor balcony. This area is now tarmacked and provides a very open space resulting in a resolution to the congestion in this area on busy days. The opportunity has also been taken to re-decorate large areas within the clubhouse.
A further major change in October 2020 was the employment of Mark Moore as Director of Golf. Previously Mark worked as Golf Professional at a neighbouring golf club and over the past four years has studied for a degree in business management with special emphasis on managing golf operations. In January 2021, Jonathan Pearson, the Club Professional, left Moor Allerton to take up a post at another club.
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Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
The Board decided to move the operation of the golf retail outlet in-house instead of continuing with the traditional outsourcing model within the golf industry of outsourcing the head professional and golf retail operation. Employees working for Jonathan Pearson were duly transferred to the club under TUPE regulations in January 2021. Lewis Clarke, who had worked under the last two head professionals at the golf club was appointed as Head Professional and is responsible for the day-to-day running of the golf retail outlet alongside his other duties. The club also employed Charlotte Austwick as Assistant Professional. Both are very popular with members and visitors, and are building a strong teaching base.
While the board is acutely aware this will bring a significant increase to the salaries at the club during the financial year starting 1[st] April 2021, the board believes that bringing the retail operation in house and having a director of golf responsible for increasing sales in all golf related areas of the operation we will deliver a better level of service and professionalism to our members and generate enough additional income to cover the increased salary base. In addition, having no external influences on the operation means our team can work even more closely together, fully aligned with the same objectives and goals. Our projections forecast the club will make a net gain on the shop operation vs the previous model of paying a retainer to the head professional. Overall, this falls in line with the clubs objectives to see some growth within the company, further increasing revenue as organically as possible.
During the last quarter of the financial year the club acquired Safe Golf accreditation, an England Golf requirement going forward. SafeGolf helps provide a safe and enjoyable environment for all those working, volunteering, and playing golf. Holding the accreditation shows that the club has the highest standards in safeguarding children and vulnerable people. The process to secure the status included creating unique safeguarding policies, specific to Moor Allerton Golf Club, tailored to children and vulnerable adults. The safeguarding policies were ratified by the Board of Directors and made visible on notice boards around the club as well as being displayed on our website. Furthermore, the club appointed a ‘Club Welfare Officer’ as a point of contact for any individual who wishes to report any welfare concerns they may have. The details of the Club Welfare Officer have also been displayed on notice boards and the club’s website. The instructors who deliver all coaching at the club, and who would liaise with children when they are on site have up to date DBS checks, as well as attending various safeguarding courses. There is a staff register that contains information on the relevant courses attended and certification held.
A further step forward was taken by the club as we started to implement one of our most important externally facing objectives from a charitable perspective and that is to develop relationships / partnerships with other charities or organisations where Golf can be used as a tool for engaging with vulnerable groups to help, inspire or provide therapy to individuals.
The project is Headed up by Mark Moore. A risk assessment was carried out for the driving range with a view to conducting group classes for disadvantaged children in a safe environment ahead of our plans to link up with other charitable organisations, and subsequently we approached ‘Positive Futures Leeds’ to engage with disadvantaged young adults. Positive Futures works closely with some of the most deprived communities and with under-represented groups in the Leeds area. It was a great success and below is the feedback from the organiser, Libby Cotter.
_“I just wanted to send a quick email to say a huge thank you from myself and Luke for Friday's session._
_Upon arrival numerous of the students were a little apprehensive about how much they would enjoy the golf session. They had the perception that the sport would be boring. But you both proved them wrong!!!_
_Every student expressed how much fun they had, and it was clear to see how much every student developed in such a short space of time._
_Both myself and Luke discussed how your session aligned so well with the aim of our programme. The young people were so inspired watching your demonstrations, they were all challenged and their confidence was beaming by the end when they were all hitting balls!!_
_A few students requested information about how they could take part again, so fingers crossed we can support them in this and get more young people into the sport. Thank you for the opportunity to add something so great into our programme. For our future programmes we think your venue would be a great fit for our Inspirations programme”._
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Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
Lockdown meant that no other external charitable events were run during this financial year. During the year the club has engaged with Oakland Golf & Leisure to assess the viability of implementing an inert landfill project to bring much needed improvements to the course and club facilities. As of the 31[st] March 2021, a planning application has been submitted and we are awaiting a decision from the council which we expect sometime during Q2 of the financial year 2022.
## **Financial Review and Policy on Reserves**
The Charity’s reserves policy is to ensure that reserves are maintained at such a level so as to enable it to continue to meet its objectives. This has been incredibly challenging as we continued to deal with club closures on various occasions due to the Coronavirus pandemic. With the onset of the pandemic during the financial year ending March 2020, the directors developed an emergency plan to deal with any financial and operational scenarios that may occur because of the pandemic.
With no revenue through this period the Club mitigated any losses through the following actions:
- 1) Seven members of staff were placed on furlough with the only exception being three greenkeepers who continued to work full time to maintain the course as best condition possible within the guidelines of permitted operation set out by England Golf.
- 2) The Club took advantage of the ‘three-month payment holidays’ available from the leasing companies.
- 3) Handelsbanken, the Club’s banking provider converted the remaining balance of the loan for the Greenkeepers Sheds into overdraft (Circa £42k).
- 4) Non-essential contracts were cancelled or paused wherever possible.
- 5) Unfortunately, the Club could not take advantage of government support funding because of the rateable value of the property exceeding the threshold for being eligible for funding.
During this period many golf societies, corporate days and charity events were either cancelled or rescheduled to financial year 2021 further impacting revenue forecast for the forthcoming year, and the club continued to face other periods of closure due as directed by government.
Financial year ending 2021 continued to see the club closed due to the pandemic, however where possible we did whatever we could to maximise revenues. Golf remained one of the only sports that could be played during the year.
The club thanks the membership base for its continued loyalty to the club during this financial year. Income from the revenue streams that make up the club’s ‘Charitable Activities’ which is broadly made up from membership subscriptions, members guests, visitors, societies and buggy hire (note 4 in the accounts) revenue was up slightly at £677,325 (2020: £670,752). Buggy hire took a significant hit in revenue during this period due to Covid restrictions on buggy usage and society revenue was also significantly lower. This was offset by increased membership subscriptions and an increase in revenues generated from members guests, and general visitors resulting in revenues being broadly in line with the previous financial year.
With a fall in other trading activities but a significant increase in donations and grants, overall total income for the year was £775,093 (2020: £696,830), total revenues vs the previous year were £80,263 higher.
The Charity while continuing to place a strong emphasis on controlling costs, has seen an increase in our costs for the financial year. Repairs and renewals (including redecoration as stated) combined with a considerable increase in costs for breakdowns and equipment maintenance of our greenkeeping equipment and fleet have contributed significantly to the increase. Overall total expenditure for the financial year was £732,719 (2020: £696,911; 2019: £743,803).
As set out on page 8, the Charity had a net income for the year of £42,374 (2020: £(81)) and at the year end its reserves stood at £207,968 (2020: £165,594).
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Moor Allerton Golf Club (Leeds)
Trustees Annual Report Year ended 31 March 2021
## **Accounting Adjustment**
In 2018, a number of members took out debentures with Moor Allerton Golf Club Limited (“Old Co”) which were to be written off over an agreed period in lieu of paying membership fees to Moor Allerton Golf Club (Leeds) (“New Co”) At the time, the accounting treatment adopted was that the membership fees foregone should be recognised as income in “New Co” and shown as being due from “Old Co”. It has recently come to light that “New Co” had actually given a formal covenant to waive the membership fees and, because of this, it had no expectation or action regarding the perceived reimbursement from “Old Co”. It was therefore concluded that “New Co” should ignore the membership fees that had been waived i.e. not to account for them as income. To correct the earlier years, we have done a prior year adjustment and restated the comparative income figures for 2020 to reflect the correct treatment.
## **Connected Organisations**
The Charity was established to take over the running of the Moor Allerton Golf Club from the existing Moor Allerton Golf Club Limited (MAGC) which it did on 1 April 2016. MAGC is not a charity but had been operating on a not-for-profit basis, and its shares are held on trust to ensure that persons of the Jewish faith are not prohibited from playing at the club.
On 1 April 2016, MAGC granted a 25-year lease at a peppercorn rent to the Charity and gifted various assets and liabilities relating to golfing activities to the Charity. MAGC continues to undertake noncharitable activities, such as managing catering, functions and events which are non-ancillary to the Charity’s purposes and it is intended that it will gift any profits to the Charity.
In preparing this report advantage has been taken of the small companies exemption.
Approved by the Board on 7 October 2021 and signed on its behalf by:
C Hegarty Trustee
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Moor Allerton Golf Club (Leeds)
Independent Examiner’s Report to the Trustees of Moor Allerton Golf Club (Leeds)
I report to the charity trustees on my examination of the accounts of the company for the year ended 31 March 2021.
## **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 – matter of concern identified**
Since the company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Chartered Association of Certified Accountants which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention that give 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 your attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
M M Dearnley FCCA Brown Butler Chartered Accountants Leigh House 28-32 St Paul’s Street Leeds LS1 2JT
12 October 2021
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## Moor Allerton Golf Club (Leeds)
Statement of Financial Activities (incorporating an Income and Expenditure Account) For the year ended 31 March 2021
|||||(As restated)|
|---|---|---|---|---|
||||Total|Total|
|||Unrestricted|2021|2020|
||Note|£|£|£|
|Income from:|||||
|Donations and grants|3|93,116|93,116|11,681|
|Charitable activities|4|677,325|677,325|670,752|
|Other trading activities|5|4,652|4,652|14,397|
|||─────|─────|─────|
|Total||775,093|775,093|696,830|
|||─────|─────|─────|
|Expenditure on:|||||
|Raising funds|6|6,658|6,658|24,449|
|Charitable activities|6|724,554|724,554|668,910|
|Interest payable||1,507|1,507|3,552|
|||─────|─────|─────|
|Total||732,719|732,719|696,911|
|||─────|─────|─────|
|Net income/(expenditure)||42,374|42,374|(81)|
|||═════|═════|═════|
|Reconciliation of funds|||||
|Funds at 1 April 2019 as previously stated||||199,275|
|Prior period adjustment||||(33,600)|
|||||─────|
|Opening funds as restated||165,594|165,594|165,675|
|Net income/(expenditure)||42,374|42,374|(81)|
|||─────|─────|─────|
|Funds at 31 March 2021||207,968|207,968|165,594|
|||═════|═════|═════|
The notes on pages 11 to 20 form part of these accounts.
8
Moor Allerton Golf Club (Leeds) Company Number 09679570
## Balance Sheet as at 31 March 2021
||||(As restated)|
|---|---|---|---|
|||2021|2020|
||Note|£|£|
|Fixed assets||||
|Tangible assets|11|482,517|514,309|
|Current assets||||
|Stocks|12|4,524|3,671|
|Debtors|13|14,921|17,807|
|Cash at bank and in hand||14,344|3,005|
|||─────|─────|
|||33,789|24,483|
|Current liabilities||||
|Creditors – amounts falling due within one year|14|274,198|313,304|
|||─────|─────|
|Net current liabilities||(240,409)|(288,821)|
|||─────|─────|
|Total assets less current liabilities||242,108|225,488|
|Creditors – amounts falling due after one year|15|34,140|59,894|
|||─────|─────|
|Net assets||207,968|165,594|
|||═════|═════|
|The funds of the Charity||||
|Unrestricted funds|17|207,968|165,594|
|||─────|─────|
|Total funds||207,968|165,594|
|||═════|═════|
For the year ended 31 March 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Trustees’ responsibilities:
- The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; and
- The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts were approved and signed for issue by the Board on 7 October 2021 and signed on its behalf by:
C Hegarty Trustee
I Land Trustee
The notes on pages 11 to 20 form part of these accounts.
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Moor Allerton Golf Club (Leeds)
Statement of Cash Flows For the year ended 31 March 2021
|||2021|2020|
|---|---|---|---|
||Note|£|£|
|Net cash flow from operating activities|21|121,855|40,671|
|Cash flow from investing activities:||||
|Disposal proceeds on sale of fixed assets||-|15,500|
|Payments to acquire tangible fixed assets||(22,662)|(581)|
|||─────|─────|
|Net cash flow from investing activities||(22,662)|14,919|
|||─────|─────|
|||99,193|55,590|
|Cash flow from financing activities:||||
|Bank loan repayments||(48,307)|(23,812)|
|Repayment of finance leases||(32,547)|(42,265)|
|Interest paid||(1,507)|(3,552)|
|||─────|─────|
|Net cash flow from financing activities||(82,361)|(69,629)|
|||─────|─────|
|Net increase/(reduction)||16,832|(14,039)|
|Cash at bank and in hand at 1 April 2020||(47,104)|(33,065)|
|||─────|─────|
|Cash at bank and in hand at 31 March 2021||(30,272)|(47,104)|
|||═════|═════|
The notes on pages 11 to 20 form part of these accounts
10
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 1. General information
Moor Allerton Golf Club (Leeds) is a company limited by guarantee and has no share capital. The liability of each member in the event of a winding up is limited to £1.
The charity is incorporated in England and Wales, is registered as a charity with the Charity Commissioners and is also a public benefit entity as defined by Financial Reporting Standard 102 the “Financial Reporting Standard Applicable in the UK and Republic of Ireland” (FRS 102).
Its registered office and principal place of business is:-
The Club House Wike Leeds LS17 9NH
2. Summary of significant accounting policies
## 2.1
- Basis of preparation
The accounts have been prepared in accordance with applicable accounting standards including FRS 102, the 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) issued in October 2019 (SORP (FRS102)) and the Companies Act 2006.
The accounts have been prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The presentation currency is £ sterling and the accounts have been rounded to the nearest £1.
The significant accounting policies applied in the preparation of these accounts are set out below. These policies have been consistently applied to all years presented, unless otherwise stated.
## 2.2 Funds
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.
## 2.3 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 these require 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.
Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable, they can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity. For example the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure.
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Moor Allerton Golf Club (Leeds) Notes to the Accounts For the year ended 31 March 2021
## 2. Summary of significant accounting policies - continued
No amount is included in the accounts for volunteer time in line with the SORP (FRS 102).
For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised. On occasion legacies will be notified to the charity however it is not possible to measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed.
Grants are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.
Grants received for the acquisition of fixed assets are accounted for as restricted funds. The restricted fund is reduced by the depreciation or amortisation charges made over the expected useful life of the asset concerned. Other grants are treated as income and, where applicable, they are accounted for as restricted funds. Where the grant covers future accounting periods, the amount relating to future periods is deferred and recognised in the correct period.
## 2.4 Expenditure recognition
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 the settlement will be required and the amount of the obligation can be measured reliably.
## 2.5 Support costs allocation
Support costs are those costs that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, and administrative payroll costs. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in note 7.
## 2.6 Tangible fixed assets
The donation of the leasehold interest on 1 April 2016, was initially measured at fair value and has subsequently been measured at amortised cost.
Other tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.
Depreciation is provided on tangible fixed assets on a straight line basis, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:
|expected useful life as follows:||
|---|---|
|Leasehold interest|4% straight line|
|Workshop machines & golf course equipment|10% straight line|
|Office equipment|20% straight line|
|Sheds & pro shop|5% straight line|
|Shop and other equipment|20% straight line|
## 2.7 Impairment of fixed assets
Fixed assets are assessed to each reporting date to determine whether there is any indication that the assets are impaired. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared to its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised in the statement of financial activities. The reversal of an impairment loss is recognised immediately in the statement of financial activities.
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Moor Allerton Golf Club (Leeds) Notes to the Accounts For the year ended 31 March 2021
## 2. Summary of significant accounting policies - continued
## 2.8 Debtors
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are subsequently measured at amortised cost using the effective interest method, less any impairment.
## 2.9 Creditors
Short term creditors are measured at transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are subsequently measured at amortised cost using the effective interest method.
## 2.10 Leases
Fixed assets acquired under finance leases and hire purchase agreements are included in the balance sheet at cost and an appropriate provision made for depreciation. The outstanding liabilities under such agreements less interest not yet due are included in creditors. Interest attributable to each period is charged to the profit and loss account.
Operating lease rentals are charged to the profit and loss account as incurred.
## 2.11 Taxation
The charity considers that it meets the definition of a charitable company for UK corporation tax purposes and is accordingly potentially exempt from tax in respect of its income and gains.
## 2.12 Pension contribution
The company has a defined contribution pension scheme. The pension costs charged to the statement of financial activities are the contributions payable in respect of the accounting period.
## 2.13 Going concern
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 accounts. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
## 2.14 Critical accounting estimates and assumption
The charity makes estimates and assumptions concerning the future and the resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The main area of estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year relate to the estimates used in valuing the leasehold interest, which, as explained in note 11, was professionally valued on behalf of the charity.
## 2.15 Prior period adjustment
The prior year accounts have been restated due to incorrectly recognising income regarding membership fees thought to be due from Moor Allerton Golf Club Limited.
## 3. Donations and grants
|Donations and grants||||
|---|---|---|---|
|||Total|Total|
||Unrestricted|2021|2020|
||£|£|£|
|Donations|21,205|21,205|11,681|
|Job retention scheme grants|50,697|50,697|-|
|LCC support grants|21,214|21,214|-|
||─────|─────|─────|
||93,116|93,116|11,681|
||═════|═════|═════|
13
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 4. Charitable activities
|4.|Charitable activities||||||
|---|---|---|---|---|---|---|
|||||||As restated|
||||||Total|Total|
||||Unrestricted||2021|2020|
|||||£|£|£|
||Golfing activities|||677,325|677,325|670,752|
|||||═════|═════|═════|
|5.|Other trading activities||||||
||||||Total|Total|
||||Unrestricted||2021|2020|
|||||£|£|£|
||Tournaments and competitions|||3,135|3,135|5,059|
||Advertising and sponsorship|||1,321|1,321|3,487|
||Food sales|||-|-|2,801|
||Hire of equipment|||-|-|3,050|
||Sundry income|||196|196|-|
|||||─────|─────|─────|
|||||4,652|4,652|14,397|
|||||═════|═════|═════|
|6.|Expenditure||||||
|||Direct||Support|Total|Total|
|||costs||costs|2021|2020|
||Costs of raising funds|£||£|£|£|
||Raising funds|2,396||4,262|6,658|24,449|
|||═════||═════|═════|═════|
||Charitable activities||||||
||Golfing activities|643,344||81,210|724,554|668,910|
|||═════||═════|═════|═════|
|7.|Support cost allocation||||||
||||Raising|
Golfing|Total|Total|
|||Note|funds|
activities|2021|2020|
||||£|
£|£|£|
||Salaries and wages||1,760|
33,435|35,195|31,296|
||Establishment costs||93|
1,764|1,857|5,210|
||Computer expenses||502|
9,544|10,046|7,824|
||House sundries||497|
9,437|9,934|11,621|
||Telephone, stationery and subscriptions||704|
13,374|14,078|15,100|
||Legal fees||-|
235|235|2,251|
||Governance|8|706|
13,421|14,127|15,362|
||||─────|
─────|─────|─────|
||||4,262|
81,210|85,472|88,664|
||||═════|
═════|═════|═════|
The above support costs are allocated on a “time spent” basis.
14
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
|8.|Governance costs|||
|---|---|---|---|
|||2021|2020|
|||£|£|
||Independent examiner’s fee|3,800|3,600|
||Management accountant’s fees|10,327|11,762|
|||─────|─────|
|||14,127|15,362|
|||═════|═════|
|9.|Total expenditure|||
||Total expenditure is stated after charging:|||
|||2021|2020|
|||£|£|
||Depreciation|54,454|40,030|
||Machine hire and leasing|13,727|27,530|
||Independent examiner’s fee|3,800|3,600|
|||═════|═════|
|10.|Staff costs and numbers|||
|||2021|2020|
|||£|£|
||Salaries and wages|267,444|263,755|
||Social security costs|18,004|18,892|
||Pension contributions|4,850|5,209|
|||─────|─────|
|||290,298|287,856|
|||═════|═════|
No employees were paid in excess of £60,000.
No remuneration was paid during the year to any Trustee, nor were there any expenses reimbursed to them.
The average number of employees during the year, analysed by function, was:
|Number of employees|2021|2020|
|---|---|---|
|Golfing activities|10|9|
|Support costs|2|3|
||─────|─────|
||12|12|
||═════|═════|
15
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 11. Tangible fixed assets
|||||||Shop||
|---|---|---|---|---|---|---|---|
||Leasehold|Workshop|Sheds &|Golf course|Office|and other||
||interest|machines|pro shop|equipment|equipment|equipment|Total|
||£|£|£|£|£|£|£|
|Cost/valuation||||||||
|At 1 April 2020|250,000|534|26,753|417,951|4,507|-|699,745|
|Additions|-|-|9,175|795|5,667|7,025|22,662|
||─────|────|─────|─────|────|────|─────|
|At 31 March 2021|
250,000|534|35,928|418,746|10,174|7,025|722,407|
||─────|────|─────|─────|────|────|─────|
|Depreciation||||||||
|At 1 April 2020|40,000|213|2,785|140,438|2,000|-|185,436|
|Charge for year|10,000|54|1,383|41,802|972|243|54,454|
||─────|────|─────|─────|────|────|─────|
|At 31 March 2021|
50,000|267|4,168|182,240|2,972|243|239,890|
||─────|────|─────|─────|────|────|─────|
|Net book value||||||||
|At 31 March 2020|
210,000|321|23,968|277,513|2,507|-|514,309|
||═════|════|═════|═════|════|════|═════|
|At 31 March 2021|
200,000|267|31,760|236,506|7,202|6,782|482,517|
||═════|════|═════|═════|════|════|═════|
|Assets held under|finance lease and hire purchase agreements|||||||
|||||||2021|2020|
|||||||£|£|
|Net book value||||||137,395|161,511|
|||||||═════|═════|
The tangible fixed assets have been pledged as security for liabilities of the charity.
The leasehold interest was granted on 1 April 2016 for a period of 25 years at a peppercorn rent. Given that it formed part of the donation from Moor Allerton Golf Club Limited, it has no historical cost.
The leasehold interest at 1 April 2016, was professionally valued by Malcolm Stuart Property Consultants, taking account of recent transactions in the locality and current market and economic conditions.
16
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 12. Stocks
|Stocks|||
|---|---|---|
||2021|2020|
||£|£|
|Raw materials|4,524|3,671|
||═════|═════|
The stocks have been pledged as security for liabilities of the charity.
|13.|Debtors|||
|---|---|---|---|
||||As restated|
|||2021|2020|
|||£|£|
||Other debtors|192|383|
||Prepayments|14,729|17,424|
|||─────|─────|
|||14,921|17,807|
|||═════|═════|
The debtors have been pledged as security for liabilities of the charity.
## 14. Creditors
|Creditors|||
|---|---|---|
|||As restated|
||2021|2020|
||£|£|
|Amounts falling due within one year:|||
|Obligations under finance lease and hire purchase|35,473|42,266|
|Bank loan|-|48,307|
|Bank overdraft|44,616|50,109|
|Trade creditors|21,342|21,711|
|Other creditors|89,075|77,331|
|Social security and other taxes|6,962|11,219|
|Accruals and deferred income|76,730|62,361|
||─────|─────|
||274,198|313,304|
||═════|═════|
|Deferred income|||
||2021|2020|
||£|£|
|Deferred income at 1 April 2020|41,989|47,207|
|Amounts deferred in current year|50,736|41,989|
|Amounts released from previous year|(41,989)|(47,207)|
||─────|─────|
|Deferred income at 31 March 2021|50,736|41,989|
||═════|═════|
Deferred income relates to subscriptions received in the current year which relate to the following year.
17
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 15. Creditors – amounts falling due after one year:
|Creditors – amounts falling due after one year:|||
|---|---|---|
||2021|2020|
||£|£|
|Finance lease and hire purchase creditors|34,140|59,894|
||═════|═════|
## 16. Security
Finance lease and hire purchase liabilities totalling £69,613 (2020: £102,160) are secured by the assets to which they relate, which have a carrying value of £137,395 (2020: £161,511).
Bank loans and bank overdrafts totalling £44,616 (2020: £98,416) are secured by a fixed and floating charge over all the assets of the company.
## 17. Unrestricted funds
|Unrestricted funds|||||
|---|---|---|---|---|
||Balance|Incoming|Outgoing|Balance|
||01.04.2020|funds|funds|31.03.2021|
||£|£|£|£|
|General funds|165,594|775,093|732,719|207,968|
||─────|─────|─────|─────|
||165,594|775,093|732,719|207,968|
||═════|═════|═════|═════|
## 18. Leasing commitments
Total leasing commitments which are not included in the balance sheet are set out below:
## Operating leases
The total of future minimum operating lease payments is as follows:
||2021|2020|
|---|---|---|
||£|£|
|Within one year|30,384|30,384|
|Between one and five years|24,348|54,733|
||─────|─────|
||54,732|85,117|
||═════|═════|
## 19. Related party transactions
There were no related party transactions during the period.
## 20. Corporation tax
The company is a registered charity and is exempt from income tax and corporation tax.
18
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 21. Reconciliation of net expenditure to net cash flow from operating activities
|||||As restated|
|---|---|---|---|---|
||||2021|2020|
||||£|£|
||Net income/(expenditure) for the year||42,374|(81)|
||Interest paid||1,507|3,552|
||Depreciation and amortisation charges||54,454|40,030|
||Increase in stock||(853)|(527)|
||Decrease in debtors||2,886|3,694|
||Increase/(decrease) in creditors||21,487|(5,997)|
||||─────|─────|
||Net cash flow from operating activities||121,855|40,671|
||||═════|═════|
|22.|Analysis of changes in net debt||||
|||As at|Cash|As at|
|||01.04.2020|flows|31.03.2021|
|||£|£|£|
||Bank loan|48,307|48,307|-|
||Lease liabilities|102,160|32,547|69,613|
||Cash at bank and in hand||||
||Bank overdraft|50,109|5,493|44,616|
||Cash at bank|(2,198)|10,756|(12,954)|
||Cash in hand|(807)|583|(1,390)|
|||─────|─────|─────|
||Total net debt|197,571|97,686|99,885|
|||═════|═════|═════|
19
Moor Allerton Golf Club (Leeds)
Notes to the Accounts For the year ended 31 March 2021
## 23. Non adjusting events after the financial year
By the start of the new financial year (FY2021), the government lifted some restrictions, permitting golfers to return to the course. Other restrictions remained in place following guidelines set by government which have been slowly phased out. The golf club is now fully functional. The club’s membership base remains healthy due to an increase in new members. Revenues from all other areas is positive as many people have returned to golf. Societies, which remain one of our strongest revenue generators from a visitor perspective is on course to beat our forecasted figures. The move to bring the golf retail operation in-house (traditionally outsourced to the head professional) has delivered revenues in excess of forecast over the first half of 2021. The board will continue to apply strict controls in respect of managing costs while remaining cautious regarding income as we are aware the economic outlook could hurt the clubs finances as we head towards a post-covid economy. 2023 will be the club’s centenary year so we are already planning ahead to ensure it will be a year to remember for the club.
20