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2022-03-31-accounts

Charity registration number 1165519

CHEQUER MEAD ARTS AND COMMUNITY TRUST ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

CHEQUER MEAD ARTS AND COMMUNITY TRUST

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Cllr. F Obsorne (Chairman)
Cllr. J A Mockford
S G Cole (independent)
Cllr. H Farren
N S Gibson (independent)
Cllr D Duly (Appointed 25 May 2022)
Charity number 1165519
Registered office Chequer Mead Theatre
De La Warr Road
East Grinstead
RH19 3BS
Auditor Darren Harding ACA FCCA DChA
Richard Place Dobson Services Limited
1-7 Station Road
Crawley
West Sussex
RH10 1HT

CHEQUER MEAD ARTS AND COMMUNITY TRUST

CONTENTS

Page
Trustees' report 1 - 6
Statement of trustees' responsibilities 7
Independent auditor's report 8 - 10
Statement of financial activities 11 - 12
Balance sheet 13
Notes to the financial statements 14 - 26

CHEQUER MEAD ARTS AND COMMUNITY TRUST

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2022

The trustees present their annual report and financial statements for the year ended 31 March 2022.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements 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 (FRS 102) (effective 1 January 2019)".

Objectives and activities

The year 2021-2022 has been one of slow recovery and consolidation. The only period of lockdown was at the very start of the year, but the CIO has been operating with a greatly reduced staff roster following the previous year’s redundancies. The Trustees took the decision to re-open for shows and events from September onwards, effectively meaning the theatre was open for half of the reporting period. Initial show bookings and ticket sales were slow, as the theatrical and local communities slowly regained their confidence.

The rest of the report should be read in this context.

The Charity's objects are:

The main objectives each year are the promotion and fostering of artistic knowledge and the appreciation of the arts by the provision of facilities for the education and entertainment of the public in the fields of art, craft, music and drama.

The strategies employed to achieve the Charity's objects are to:

Activities

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

In normal circumstances the three major areas of activity are: concerts and stage performances; educational programmes, and studio hires for community group rehearsals and meetings.

page 1

CHEQUER MEAD ARTS AND COMMUNITY TRUST

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

The artistic programme seeks to combine amateur community events together with professional events including classical plays, light opera, music, ballet, and dramatic modern performances to suit a range of public tastes with the emphasis on maintaining a popular programme, which underpins the viability of a Chequer Mead that reaches out to the community.

Following the relative but short-lived (due to a cast member’s partner testing positive during the run) success of the previous year’s scaled-down pantomime, ‘Almost a Panto…”, the Trustees decided that we would mount a full pantomime production, to be produced in-house. The annual Christmas pantomime remains Chequer Mead’s flagship event, from both a financial and a community perspective.

This year’s production, ‘Jack and the Beanstalk’, was an absolute success, generating material revenues - higher than prepandemic Cinderella in 2019 - and a very high level of complimentary and positive feedback from the local community. We experimented with a slightly longer run and included a ‘quiet’ performance aimed at community members within the autism spectrum.

The Trustees decided to continue with in-house pantomime productions, and the December 2022 pantomime, ‘Aladdin’, is in rehearsal.

Other production highlights of the year included Cara Dillon, the Dads Army Radio Show, Josh Widdicombe, John Lydon, The Wind in the Willows, Fairport Convention and Mark Steel. We also continued with the highly successful evening cabaret events, West End Al Fresco and the East Grinstead Jazz Club, hosted in the garden and the atrium.

The Apron Bar and Coffee House was formed and started trading in September 2019 as an in-house subsidiary trading company to provide an integrated and informal structure for the provision of hot beverages, catering and bar operations, for events and as a community provision at other times. Profits generated by the trading company are gifted to the Trust as a charitable donation. The Trustees are delighted that the trading company finished the year with a trading profit of £22,922 (previous year a loss of £ 16,820). After allowance for taxes and retention of some profits to restore the trading company’s capital position, a donation of £ 9,565 has been made to the CIO by the trading subsidiary following the year end. Postdonation, the trading company's profit is now £13,357.

Despite commercial pressures to drive ticket sales from popular shows - our charitable objects dictate that we are required to provide a very wide and balanced programme of types and styles of events to suit the public needs. Therefore all programming is divided into eight different categories of: Music, Dance, Comedy, Musicals & Drama, Event Cinema, Family, Talks, Film.

Many of our Town and District primary and secondary schools have regularly used Chequer Mead Theatre for their plays and productions, at discounted hire rates. We look forward to their return.

We have hosted many amateur dramatic groups, and there are a host of amateur youth dance schools and groups that were hiring the theatre - quite often all day on a Sunday.

The East Grinstead Music & Arts Festival mounted a scaled-down event in 2022. This annual event usually takes place continuously for six whole weekends each April/May, hosting some 1,500 performing children in competition for playing instruments, singing, speech, drama, and every type of dance genre. We are planning with them for a full EGMAF event again for 2023.

The Trustees have observed different patterns of ticket sales following the return from the pandemic. Theatre-goers are now, in general, purchasing tickets for shows shortly before the event takes place: pre-pandemic we would see a much higher proportion of advance ticket sales. The new pattern makes it harder to gauge the success of an event until it takes place, although ticket sales generally are close to pre-pandemic levels.

Volunteers and Friends

The very loyal band of fifty core volunteers continue to provide a marvelous service to Chequer Mead operating the box office, as theatre stewards, working behind the bar and selling ice cream. Bar activities are now held within the trading subsidiary, and use of volunteers there has ceased.

Chequer Mead Premium Club was slowly growing pre-pandemic: for a modest yearly membership fee members enjoy a range of benefits such as ticket discounts, as well as organised coach visits to West End shows.

page 2

CHEQUER MEAD ARTS AND COMMUNITY TRUST

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

Achievements and performance

General Manager and staffing

The Trustees would like to extend their heartfelt thanks to the General Manager and all of the energetic current and former staff, for their efforts and dedication during the year. Following redundancies in 2020-2021, the CIO has operated for most of the year on skeleton staff levels (=3 FTE) whilst gradually re-opening for business. The recruitment process started towards the end of 2021 and four further staff have now been recruited (after the financial year-end) to bring the CIO back to normal operation.

Staffing for the trading company remains a continuing challenge, in common with the rest of the hospitality industry.

The General Manager and long-standing and new staff members continue to prioritise the safety and well-being of our staff and customers, whilst looking forward to building a new and engaging event schedule. With staffing now in place we can strengthen and restore our outreach to the community, as well as re-focusing on necessary improvements to the fabric of the building. During this challenging period the Trustees have continued to take a particular interest in the mental well-being of our staff, and continue to offer support.

Capital Investment and building works

The Trust remains a tenant at Chequer Mead, with the freehold being held by East Grinstead Town Council. The Trustees’ continuing objective is to improve or enhance the property where this either increases the attractiveness to community patrons (as with the upgraded toilets) or provides a clear cost benefit to the Trust (the previously installed solar panels), with the spinoff benefit that the community ultimately owns an asset of which the value is maintained and enhanced.

Marketing and Branding

The Trustees’ objective is to deliver more effective and innovative marketing in order to promote the brand further and to attract more agents, promoters, acts, hirers, community groups, amateur dramatic groups etc - as well as to drive this process into increased tickets sales and revenue.

Looking forward, Facebook, digital marketing and targeted emails have continued this year and will intensify however the two main traditional marketing tools remain the website and the Events Brochure of which three are produced each year (Jan to April/ May to August/ September to December). The Events Brochure for the September to December period has been produced and mailed to approximately 60,000 households within the broader catchment, not just to East Grinstead but now also to Crawley, Edenbridge, and Sevenoaks.

Online sales for the year reached a new high of 76% of all sales for the year, which seems a continuing trend post-pandemic.

page 3

CHEQUER MEAD ARTS AND COMMUNITY TRUST

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

Financial review

During the year the Trust made a loss of £26,267 (previous year’s loss £65,588). This reflects the situation where the theatre effectively hosted no events for the first half of the financial year.

The building has unavoidable base-line costs, whether or not revenue is generated from events, from mandatory maintenance to insurance. The installation of solar panels has helped to defray energy costs during the financial year and going forward, which is of some help in current circumstances. The Trustees are grateful to East Grinstead Town Council for their continued support and annual grant. Chequer Mead normally receives no other grants that support core running costs and has to earn income to enable the theatre to be self-supporting in normal times.

The Trust will continue to make applications to grant funding bodies to improve our existing facilities. Project funding will also be pursued to continue our programme of arts development and youth projects which were proving a popular addition to our work. During the year Chequer Mead received £68,125 in grant funding from Mid Sussex District Council for the toilet refurbishment project, which has now been completed to a high standard. The Trustees are grateful to MSDC for their continuing support.

During the previous year the government underwrote the offering of ‘bounce back loans’ through the High Street UK banks. We had successfully obtained loans of £50,000 each for the Charity and the trading company, which after an interest-free period, are now charging a very low rate of interest. We have been repaying approximately £850 per month, which is obviously reflected in the result for the period. The balance at the year-end for the Charity stands at £37,281 including interest.

The Trustees have established the level of reserves, which is those funds that are freely available, and consider that the ideal level of reserves would be £250,000. The actual reserves at 31 March 2022 were £128,374 and it is the Trustees' view that it is prudent to ensure that there are sufficient reserves to provide financial flexibility over the course of the forthcoming financial year.

The reserves policy is currently under review and will be amended as appropriate in the current financial year.

Whilst the Trustees are budgeting for a return to near-breakeven for the year 2022-2023, we face (in common with the rest of the country) uncertainties around costs, particularly in respect of energy and logistics: we also face uncertainty in respect of the potential impact of inflation and interest rates on the discretionary spending of the theatre-going public and room hirers. We remain comfortable that we have adequate reserves to cover the charity against unforeseen and indeterminate rises in costs and/or reductions in revenue for the coming year.

Plans for future periods

Going Concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

page 4

CHEQUER MEAD ARTS AND COMMUNITY TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Future Plans

Chequer Mead's objectives for 2022/23 include the following:

Structure, governance and management

It is important to emphasise that the Chequer Mead Arts and Community Trust (a Charitable Incorporated Organisation) is a totally separate and independent legal and trading entity from East Grinstead Town Council: the Town Council is the landlord and freehold site and building owner, and appoints the majority of Trustees.

Chequer Mead Arts and Community Trust is legally bound principally by the Charities Act 2011 - and is required to report directly to the Charities Commission with an Annual Report including yearly accounts - as well as periodically on other administrative matters.

The Trust’s affairs are overseen by the Board of Trustees. There is a mix of Council-appointed Trustees and Independent Trustees, and the Trust’s affairs are governed by its written Constitution which was revised and re-adopted shortly after the year-end. Changes were to revise governance, but not the charity’s objectives or operations. The Trustees meet monthly. Nominees appointed by East Grinstead Town Council are subject to the appointment process of this body and the guidelines on appointment to public office as they apply to local government nominees. Independent Trustees are nominated, vetted and interviewed by the Board prior to appointment. All appointments are for fixed terms.

The Trustees who served during the year and up to the date of signature of the financial statements were:

Cllr. F Obsorne (Chairman) Cllr R Whittaker (Resigned 21 July 2021) Cllr. J A Mockford S G Cole (independent) Cllr. H Farren N S Gibson (independent) Cllr. F Visser (Resigned 1 April 2022) Cllr D Duly (Appointed 25 May 2022)

page 5

CHEQUER MEAD ARTSAND COMMUNITY TRUST TRUSTEES, REPORT (CONTINUED) FOR THE YE4R ENDED 31 MARCH 2022 Board decisions are usuallv wianimous. ID th¢ ¢v¢nt of a disagTEement d¢¢isioos Ire put to a vot¢ of a simple majority, wrth diss¢niing views tEcorded in the Minul¢S. The Chairman h8 th¢ &￿Ing vote. Th¢ day-to-day fti#ning of thc Tn18t is the ￿￿￿K)uSIb￿llV of the General Mawer. who ts accountable to the Board of TNsreE8 attd reports to the Board at ¢a¢h mODthly meetin8 Oll OP¢fionai and fJnaneia] i$$u¢$. Ea¢h l'ear the GcneTrJ Mw8¢r produces Dew.1￿ ￿11¢1¢5 are ID place frjr th"%barying ail mandatory r¢spxLsibiliti¢s {e.g. H¢atth and Saf¢ty. DiveTsity. Saf¢gUard￿￿ 1¢). A5sk Th¢ Board and Gencrnl Mana8¢rbas a risk Managw￿l str¢By c4)mprises'. . Identsfyw8 atmt the risksthat th¢ Chanty may fatt ID ad¢tsil¢d risk re8i8ter. . Th¢ ¢srablishm¢nt of policie& systems and pFocethires to miW¢ thos¢ ri5k5. . Th¢ impl¢MeD￿J0n of pro￿d￿r¢s designed to rninimis¢ any ffttsal impxt of the Chan"ty $I￿Uld kn risks rn1￿1￿. . Particular att¢Dtion has by the Th￿¢¢$ to rton.finatLcial risks arising from h¢aith atml safety and artisti¢ . A k¢y ¢l¢mcnt in the manawnt of the financial risk is the S¢tting of a T￿lVeS ￿l1¢Y and its re8ular review by #ll Tnh5knxs. . The risk ￿gIStEr￿S frqwdy reviewed Concknsiort FollowJn8 th¢ chailen8in8 year the CIO'5 history, a￿fj d¢spit¢ a fijrther chall¢tt8in8 first h￿f of 2021-22, now ell p)5rtiotted to tsk¢ fvll ￿vA￿lage of the curr¢w ¢thvirotLm¢nt. The theatre has an expandin8 pro8ramnw of ev￿ts. and Th¢ Ap￿￿ remains a p)pulat d¢stinatson forth¢ ¢ommunity.' clubs 8nd community owsatioJJ$ ar¢ bookiD8 ￿K)M5 88ain. The GeTheraJ Matlwr and the &aff have perf0m1￿ rEMa￿lY w¢ll in Unp￿cedented circumstall￿$. and have the B03rd'$ whokh¢art¢d thth. The iD*8rau4)n of DMV Staff into the folloThing the year wd puts us in a wsitiOD to at pre pand¢mic levels. and we welcome to the tean. Thg Th￿e¢S aTO Tralistic th4 it ￿111 take 8omo tun• bxk ki tho rxisitioti wen) iTI boforn th6 Strudt. but share a dcterniinatson to getthere whilst cootinuingto serve ourcommwiity and meettheirneeds. Th¢ Tru5tccs' rerAJrt w&$ appmved by the Board of Tntst¢¢s. N S Gib50n (uthrKod¢o11 Trustee

CHEQUER MEAD ARTS AND COMMUNITY TRUST

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2022

The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

page 7

CHEQUER MEAD ARTS AND COMMUNITY TRUST

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF CHEQUER MEAD ARTS AND COMMUNITY TRUST

Opinion

We have audited the financial statements of Chequer Mead Arts and Community Trust (the ‘charity’) for the year ended 31 March 2022 which comprise the statement of financial activities, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

page 8

CHEQUER MEAD ARTS AND COMMUNITY TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF CHEQUER MEAD ARTS AND COMMUNITY TRUST

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatements due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity’s operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud, the audit engagement team made enquiries of management, and those charged with governance, regarding the procedures relating to identifying, evaluating and complying with;

  1. laws and regulations and whether they were aware of any instances of non-compliance;

  2. detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;

  3. the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations;

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, General Data Protection Regulations, Charities Act 2011, Charities Statement of Recommended Practice and employment law and regulations. We performed audit procedures to detect non-compliance, which may have a material impact on the financial statements. These included reviewing financial statement disclosures and evaluating advice received from external advisors. There were no significant laws and regulations we deemed as having an indirect impact on the financial statements.

page 9

CHEQUER MEAD ARTS AND COMMUNITY TRUST

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF CHEQUER MEAD ARTS AND COMMUNITY TRUST

The audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments and evaluating the rationale in relation to any significant, unusual transactions and transactions entered into outside of the normal course of business.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/ auditorsresponsibilities. This description forms part of our auditor's report.

Other matters

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

This has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Richard Place Dobson Services Limited

.29 December 2022

Chartered Accountants

Statutory Auditor

1 - 7 Station Road, Crawley West Sussex RH10 1HT

Richard Place Dobson Services Limited are eligible for appointment as auditor of the charity by vitue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

page 10

CHEQUER MEAD ARTS AND COMMUNITY TRUST

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Current financial year
Unrestricted
Unrestricted
Restricted
funds
funds
funds
general
designated
2022
2022
2022
Notes
£
£
£
Income and endowments from:
Donations and grants
3
114,009
-
68,125
Charitable activities
In House Produtions
4
124,008
-
-
Theatre operations
4
8,586
-
-
Studio Hire
4
25,201
-
-
Tenant income
4
43,751
-
-
Investments
5
1,692
-
-
Other income
6
4,379
-
-
Total income
321,626
-
68,125
Expenditure on:
Raising funds
Charitable activities
Theatre operations
7
400,727
13,857
-
Total charitable expenditure
400,727
13,857
-
Other
11
1,434
-
-
Total resources expended
402,161
13,857
-
Net (outgoing)/incoming resources
before transfers
(80,535)
(13,857)
68,125
Net (outgoing)/incoming resources
before transfers
(80,535)
(13,857)
68,125
Gross transfers between funds
68,125
-
(68,125)
Net expenditure for the year/
Net movement in funds
(12,410)
(13,857)
-
Fund balances at 1 April 2021
150,349
534,140
123,054
Fund balances at 31 March 2022
137,939
520,283
123,054		 Total
2022
£
182,134
124,008
8,586
25,201
43,751
1,692
4,379
389,751
414,584
414,584
1,434
416,018
(26,267)
(26,267)
-
(26,267)
807,543
781,276		 Total
2021
£
224,497
9,515
1,252
8,638
20,982
1,692
242
266,818
332,406
332,406
-
332,406
(65,588)
(65,588)
-
(65,588)
842,041
776,453

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

page 11

CHEQUER MEAD ARTS AND COMMUNITY TRUST

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Prior financial year
Unrestricted
Unrestricted
Restricted
funds
funds
funds
general
designated
2021
2021
2021
Notes
£
£
£
Income and endowments from:
Donations and grants
3
173,547
-
50,950
Charitable activities
In House Produtions
4
9,515
-
-
Theatre operations
4
1,252
-
-
Studio Hire
4
8,638
-
-
Tenant income
4
20,982
-
-
Investments
5
1,692
-
-
Other income
6
242
-
-
Total income
215,868
-
50,950
Expenditure on:
Raising funds
Charitable activities
Theatre operations
7
311,147
21,259
-
Total charitable expenditure
311,147
21,259
-
Total resources expended
311,147
21,259
-
Net (outgoing)/incoming resources before
transfers
(95,279)
(21,259)
50,950
Gross transfers between funds
(11,468)
67,418
(55,950)
Net expenditure for the year/
Net movement in funds
(106,747)
46,159
(5,000)
Fund balances at 1 April 2020
257,095
487,981
128,054
Fund balances at 31 March 2021
119,259
534,140
123,054		 Total
2021
£
224,497
9,515
1,252
8,638
20,982
1,692
242
266,818
332,406
332,406
332,406
(65,588)
-
(65,588)
842,041
776,453

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

page 12

CHEQUER MEADARTSAND COMMUNITY TRUST BALANCE SHEET ASA T31 ,1£4RCH 2022 2022 2021 Fixtd Tan8ibl¢ a$8¢ts In￿st￿ents 12 IJ 514.267 10.(KK> 540,490 iO.(M)O 524.267 550,4 Currtnt Alxts t￿6￿[5 Cth at bank aDd th band 14 47.847 421,314 282.956 469,161 319.9Y)3 Crtditors: f￿13￿% due within one 16 (174.8711 (47.489) Netcwr¢trtass¢ts 294,25Y> 272.414 Total ￿ets less ￿rrent liAbilili 818.557 822.9 Creditors: all1￿l￿ts fAlliD8 d¥¢ afttr more than one yur J7 {37.281) 146.451) 781.276 776,453 Income fund8 Restricted 18 123.054 123.054 Iksignated 19 520283 137,939 534.140 119.259 6511.222 653.3W 781.276 776,453 Th¢ finattcial statcm¢nts appTov¢d by th¢ Thw¢¢s on ..... .... ....... ..... N S th'bson lind¢p¢nd¢nt) Tnistee Ptr8¢ 13

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

Charity information

Chequer Mead Arts and Community Trust is a registered Charitable Incorporated Organisation (CIO).

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's [governing document], the Charities Act 2011, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.

The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

Preparation of Consolidated Financial Statements

The financial statements contain information about Chequer Mead Arts and Community Trust as an individual charity and do not contain consolidated financial information as the parent of a group. The Charity is exempt from the requirement to prepare consolidated accounts on the basis it qualifies as a small group.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Designated Funds are unrestricted funds earmarked by the trustees for particular purposes.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

page 14

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Grant income provides funding to support performance activities and is recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability. Income is deferred when admission fees or performance related grants are received in advance of the performance or event to which they relate.

Income from bar and ice cream sales is recognised as earned (as the related goods and services are provided).

Investment income is recognised on a receivables basis.

Activities in furtherance of charitable objects includes theatre operations, studio hire, in-house productions and tenant income. Charitable income is recognised on the date of the performance or as the room is hired.

Donations and similar incoming resources are included in the year in which they are receivable, which is when the charity becomes entitled to the resource.

Other Income

Other income consists of Spektrix commissions, income from marketing and postage and income from the premium club. It is recognised in the accounts when the charity has earned entitlement to the income, it is probable the income will be received and the amount can be reliably measured.

Legacy Income

For Legacies entitlement is taken at earlier of:

Receipt of a legacy, is whole or in part, is only considered probable when the amount can be reliably measured and the charity has been notified of the executor's intention to make distribution. Where legacies have been notified to the charity, or the charity is aware of granting probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Liabilities are recognised as expenditure as soon as there is 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.

Allocation and apportionment of costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include governance costs. These costs have been allocated between the different charitable activities on a percentage basis. The bases on which support costs have been allocated are set out in note 8.

page 15

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

All assets costing more than £1,000 are capitalised at cost.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Leasehold improvements Over the term of the lease Fixtures, fittings & equipment 10-33% p.a. straight line Computers 10-33% p.a. straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

A subsidiary is an entity controlled by the charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Debtors

Trade and other debtors are recognised at the settlement amount due after any discount offered. Prepayments are valued at the amount prepaid net of any trade discount offered.

Basic financial liabilities

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured reliably. Creditors and provisions are normally recognised at their settlement value after allowing for any discounts offered.

page 16

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

(Continued)

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Taxation

The charity is not subject to corporation tax or any other taxes on income or gains arising from its charitable objectives.

1.11 Employee benefits

The costs of short term employee benefits are recognised as a liability and an expense.

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

1.12 Retirement benefits

Post costs and other post-retirement benefits

The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

1.13 Irrecoverable VAT

All resources expended are classified under activity headings that aggregate all costs related to the category. Irrecoverable VAT is charged against the category of resources expended for which it was incurred.

1.14 Operating Leases

Rentals payable under operating leases are charged against income on a straight line basis over the period of the lease.

Donated assets

Goods donated for on-going use by the charity in carrying out its activities are recognised as tangible fixed assets with the corresponding gain recognised as income from donations when goods are above the charities capitalisation limit of £1,000. Donated goods are measured at their fair value.

Volunteer time

The charity makes use of volunteers in carrying out the charitable activities. It is impractical to value the costs of the volunteer involved. No amount for volunteer time are included within the accounts.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

page 17

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

3 Donations and grants

Unrestricted
Restricted
Total
Unrestricted
Restricted
funds
funds
funds
funds
general
general
2022
2022
2022
2021
2021
£
£
£
£
£
Donations and gifts
39,176
-
39,176
3,022
1,000
Grants
74,833
68,125
142,958
170,525
49,950
114,009
68,125
182,134
173,547
50,950
Grants receivable for core
activities
EGTC Grant
-
-
-
74,000
-
MSDC Toilet refurbishment
grant
-
-
-
-
49,950
MSDC National restriction
Grant
-
-
-
3,000
-
Other
74,833
68,125
142,958
93,525
-
74,833
68,125
142,958
170,525
49,950
Charitable activities
In House
Produtions
Theatre
operations
Studio Hire
Tenant income
Total
2022
2022
2022
2022
2022
£
£
£
£
£
Income from charitable
activities
124,008
8,586
25,201
43,751
201,546
For the year ended 31 March 2021
In House
Produtions
Theatre
operations
Studio Hire
Tenant income
£
£
£
£
Income from charitable activities
9,515
1,252
8,638
20,982
Analysis by fund
Unrestricted funds - general
9,515
1,252
8,638
20,982		 Total
2021
£
4,022
220,475
224,497
74,000
49,950
3,000
93,525
220,475
Total
2021
£
40,387
Total
2021
£
40,387
40,387

4 Charitable activities

page 18

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

5 Investments

Unrestricted Unrestricted
funds funds
general general
2022 2021
£ £
Deposit account interest 1,692 1,692
6 Other income
Unrestricted Unrestricted
funds funds
general general
2022 2021
£ £
Postage 3,377 142
Premium Club 1,002 100
4,379 242
7 Charitable activities
Theatre Theatre
operations operations
2022 2021
£ £
Staff costs 137,226 172,827
Depreciation and impairment 32,561 34,756
Production & Events management 53,629 37,065
Advertising 31,866 4,692
IT, Repairs & Maintenance 28,799 28,961
Daily running costs 113,827 35,695
397,908 313,996
Share of governance costs (see note 8) 16,676 18,410
414,584 332,406
Analysis by fund
Unrestricted funds - general 400,727 311,147
Unrestricted funds - designated 13,857 21,259
414,584 332,406

page 19

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

8 Support costs

Support costs
Support costs
Governance
costs
£
£
Audit fees
-
2,750
Accountancy
-
8,735
Legal and professional
-
5,191
-
16,676
Analysed between
Charitable activities
-
16,676		 2022
£
2,750
8,735
5,191
16,676
16,676		 2021
£
5,000
9,625
3,785
18,410
18,410

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration during the year and none of them were reimbursed any expenses (2021- no expenses were reimbursed).

10 Employees

The average monthly number of employees during the year was:

2022 2021
Number Number
Theatre management 1 2
Technical staff 6 7
Administration 4 4
Total 11 13
Employment costs 2022 2021
£ £
Wages and salaries 126,449 160,758
Social security costs 7,914 8,981
Other pension costs 2,395 3,088
136,758 172,827

There were no employees whose annual remuneration was more than £60,000.

page 20

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

11 Other

Unrestricted
funds
general
2022
Net loss on disposal of tamgible fixed assets
1,434
1,434		 Total
£
2021
-
-

12 Tangible fixed assets

Leasehold
improvements
Fixtures, fittings
& equipment
Computers
£
£
£
Cost
At 1 April 2021
486,210
198,188
13,274
Additions
-
6,634
1,137
Disposals
-
(20,320)
-
At 31 March 2022
486,210
184,502
14,411
Depreciation and impairment
At 1 April 2021
26,179
102,961
9,338
Depreciation charged in the year
32,561
17,173
1,531
Eliminated in respect of disposals
-
(18,887)
-
At 31 March 2022
58,740
101,247
10,869
Carrying amount
At 31 March 2022
427,470
83,255
3,542
At 31 March 2021
387,738
95,227
3,936		 Total
£
697,672
7,771
(20,320)
685,123
138,478
51,265
(18,887)
170,856
514,267
540,490

13 Fixed asset investments

Other
investments
Cost or valuation
At 1 April 2021 & 31 March 2022 10,000
Carrying amount
At 31 March 2022 10,000
At 31 March 2021 10,000

page 21

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

13
Fixed asset investments
Other investments comprise:
Notes
Investments in subsidiaries
24
14
Debtors
Amounts falling due within one year:
Trade debtors
Amounts owed by subsidiary undertakings
Other debtors
Prepayments and accrued income
15
Loans and overdrafts
Other loans
Payable within one year
Payable after one year		 (Continued)
2022
2021
£
£
10,000
10,000
2022
2021
£
£
6,593
7,272
9,565
12,775
5,892
6,027
25,797
10,873
47,847
36,947
2022
2021
£
£
46,857
50,000
9,576
3,549
37,281
46,451		 (Continued)
2022
2021
£
£
10,000
10,000
2022
2021
£
£
6,593
7,272
9,565
12,775
5,892
6,027
25,797
10,873
47,847
36,947
2022
2021
£
£
46,857
50,000
9,576
3,549
37,281
46,451
2021
£
7,272
12,775
6,027
10,873
36,947
2021
£
50,000
3,549
46,451

The bounce back loan with Natwest bank was taken out during the Covid-19 pandemic. The amount borrowed was the max available of £50,000 at a fixed interest rate of 2.5%.

The loan which is repayable fully within 5 years had no interest charged in the first year and thereafter charged at the applicable rate above.

page 22

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

16 Creditors: amounts falling due within one year

Borrowings
Other taxation and social security
Trade creditors
Amount owed to parent undertaking
Amounts owed to subsidiary undertakings
Other creditors
Accruals and deferred income
Creditors: amounts falling due after more than one year
Borrowings
Restricted funds
The income funds of the charity include restricted funds comprising the following unexpended
grants held on trust for specific purposes:
Movement in funds
Movement in
Balance at
1 April 2020
Income
Transfers
Balance at
1 April 2021
Income
£
£
£
£
£
EGTC Bulding
project
123,054
-
-
123,054
-
Community
Toilet Sceme
5,000
1,000
(6,000)
-
-
MSDC Toilet
Refurbishment
-
49,950
(49,950)
-
68,125
128,054
50,950
(55,950)
123,054
68,125		 2022
2021
£
£
9,576
3,549
192
2,176
48,219
4,402
-
(4,436)
16,733
-
411
-
99,740
41,798
174,871
47,489
2022
2021
£
£
37,281
46,451
balances of donations and
funds
Transfers
Balance at
31 March
2022
£
£
-
123,054
-
-
(68,125)
-
(68,125)
123,054

17 Creditors: amounts falling due after more than one year

18 Restricted funds

Community Toilet Scheme Fund - This represents a grant from Mid Sussex District Council towards the community Toilet Scheme Fund.

EGTC Building Project fund- This fund represents monies granted to the charity to carry out redevelopment work on the theatre.

Mid Sussex District Councile have give the Charity a grant to be used for the purpose of refurbishing the toilets. Work was carried out on this during the year.

page 23

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

19 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Balance at
1 April 2020
Expenditure
£
£
Donated Equipment
59,445
(7,430)
Leasehold improvements
387,738
(13,829)
Boiler
20,000
-
Theatre Seats
20,798
-
487,981
(21,259)		 Transfers
Balance at
1 April 2021
Expenditure
Balance at
31 March
2022
£
£
£
£
-
52,015
-
52,015
67,418
441,327
(13,857)
427,470
-
20,000
-
20,000
-
20,798
-
20,798
67,418
534,140
(13,857)
520,283		 Transfers
Balance at
1 April 2021
Expenditure
Balance at
31 March
2022
£
£
£
£
-
52,015
-
52,015
67,418
441,327
(13,857)
427,470
-
20,000
-
20,000
-
20,798
-
20,798
67,418
534,140
(13,857)
520,283
520,283

Theatre Seats Fund, Room Chairs Fund and Screen Projector fund all represents assets purchased with designated fund income. The balances are in line with the Net Book Value of these assets.

Leasehold improvements fund represents amounts that have been spend on leasehold improvements out of the EGTC building project grant including the annual depreciation charge.

The boiler fund is funds set aside by the Trustees to upkeep the boilers on a regular basis.

page 24

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2022

20
Analysis of net assets between funds
Unrestrcited
Funds
Designated
Funds
Restricted
Funds
2022
2022
2022
£
£
£
Fund balances at 31 March 2022 are represented by:
Tangible assets
86,797
427,470
-
Investments
10,000
-
-
Current assets/(liabilities)
78,423
92,813
123,054
Long term liabilities
(37,281)
-
-
137,939
520,283
123,054		 Total
Unrestrcited
Funds
Designated
Funds
Restricted
Funds
2022
2021
2021
2021
£
£
£
£
514,267
47,148
493,342
-
10,000
10,000
-
-
294,290
102,562
40,798
129,054
(37,281)
(46,451)
-
-
781,276
113,259
534,140
129,054		 Total
2021
£
540,490
10,000
272,414
(46,451)
776,453

page 25

CHEQUER MEAD ARTS AND COMMUNITY TRUST

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

21 Financial commitments, guarantees and contingent liabilities

Contingent Liability

The S106 grants received from Mid Sussex District Council is potentially repayable if within 14 years the theatre facility ceases to be used for leisure activities or if any other conditions of the grant are not complied with.

22 COVID 19

At the reporting date the trustees have assessed the impact of Covid-19 on the results reported for the financial year ended 31 March 2022 and consider that the results reflect any adverse conditions as at that date.

23 Related party transactions

Remuneration of key management personnel

The remuneration of key management personnel is as follows.

2022 2021
£ £
Aggregate compensation 47,740 41,804

The charity has a close working relationship with East Grinstead Town Council. This body nominates the majority of trustees (see the trustees report) and provides funding to enable the charity to carry out its charitable activities. Grant income received in the year totalled £74,000 (2021: £74,000).

A subsidiary trading company Chequer Mead Trading Limited was incorporated on 15 May 2019 and began trading in September 2019. A donation of £9,565 (2020: £0) was made from the trading subsidiary to the charity during the year. At 31 March 2022 £7,168 was owed to the trading subsidiary from the charity.

24 Subsidiaries

These financial statements are separate charity financial statements for Chequer Mead Arts and Community Trust

Details of the charity's subsidiaries at 31 March 2022 are as follows:

Name of undertaking Registered Nature of business Class of % Held
office shares held Direct Indirect
Chequer Mead Trading Limited De La Warr Road, Hot beverages, food & catering Ordinary 100.00
East Grinstead, and bar service to benefit the
West Sussex, image of the Chequer Mead
RH19 3BS Theatre brand.

The aggregate capital and reserves and the result for the year of subsidiaries excluded from consolidation was as follows:

Name of undertaking Profit/(Loss) Capital and Reserves £ £

page 26