2022-08-31-accounts

Annual Report

September 2021 – August 2022

As we come out of COVID, life at the music centre has started to return to some sense of normality. We have managed to return to our old location and have all the different ensembles running under the same roof, inspired by our dedicated team of staff.

Our team of trustees has changed during this year along with a change in Chair. This is largely due to natural wastage as the majority of trustees are parents of members. We have been focussing on recruiting more trustees to share the work of overseeing South East Derbyshire Music Trust.

We are experiencing difficulties in the number of members returning to pre COVID levels. We continue to explore ways of recruiting more members. This has included a number of open mornings at the main centre.

Throughout the year, our cycle of concerts, performances at festivals and carnivals got back into swing, culminating in our delayed (because of COVID) tour to Salzburg and Austria. Once again, this is an amazing opportunity for our young members and will be remembered by them for many years to come. Opportunities for members to play in public this year have included:-

• End of term concerts

• Local carnivals

• Christmas carolling

• Christmas concert in conjunction with a local mail voice choir.

• Austrian tour

We have also arranged trips for senior members to concerts by Nottingham Philharmonic Orchestra and the CBSO.

A number of higher level members have also attended City and County events.

Despite the difficulties of the post COVID environment our financial situation remains secure. Please see attached accounts.

Annual Finance Report

Registered charity, number 1180960 For the period ended 31 August 2022

Prepared by Steven Hardy

Prepared on

17 December 2023

This financial statement has been prepared to comply with cash accounting method.

1

Table of Contents

Treasurer’s report …………………………………………………………………………………………. 3 Independent examiner’s report …………………………………………………………………….….... 4 SEDMC Finance Statement ……………………………………………………………………………... 5 Bank balances …………………………………………………………………………………………….. 6 Notes to the accounts ……………………………………………………………………………………. 7 Glossary of terms ………………………………………………………………………………………..... 8

2

Treasurer’s report

The principal funding sources for the charity have remained to be from membership subscriptions and the Arts Council England grant administered by the Derby and Derbyshire Music Partnership.

This year has seen a decrease in total funds held.

Total income this year was £64.3k and total expenses was £78.8k.

The financial statement for year-end August 2022 therefore displays a deficit of £14,466.93.

Whilst the pandemic was still an ongoing problem affecting membership and finances, the year 2021-22 saw notable improvements in concert income (£7,357, up from £1,648), and membership fees income from both the main centre and satellite clubs (£15,786, up from £9,787). A gift of £1,500 from a local company towards the tour was also received during the period.

Several factors have contributed to the deficit during the year:

• The first was a total of £1,604 of outstanding rental costs for the previous period, during a pandemic-affected year, paid within 2021-22.

• The second was the £6,727 difference between tour income (£3,183.27) and tour expenditure (£29,614.64) during the period. This difference arises from receipts in earlier years to support the expenditure.

• Gift Aid of more than £3,200 on membership fees during 2020-22 was also not received during the period and this is now expected early in 2022-23.

• Membership numbers, in recovery post-pandemic, remained below optimum levels and this is reflected in lower than budgeted fees income.

• The tuck shop also continued to make a loss (of £1,494) although measures have subsequently been put in place to maximise tuck shop income.

The Trust accounts closed with a cash reserve of £30,016.96 (of which £5,768.42 is restricted for future tours). These are in line with the amount identified in the Trust’s Reserves Policy, which is that reserves should equal two terms worth of essential operating costs (i.e. salaries and rental). Whilst for 2021-22, this equates to approximately £27,300, it is expected that this will increase in the short- to medium-term with the filling of staff vacancies and inflationary pressures on costs.

It is the Trustees view that they will continue to seek to stabilise the finances in 2022-23 and then look to grow the reserves in the medium-term at the expected level in line with the Policy. The sustained growth of fee-paying members and control of potentially loss-making activities are key factors in maintaining stable finances going forward and increasing reserves in line with expected increases in costs.

The Trust’s independently verified accounts are attached to this Report.

3

Independent examiner's report on the accounts

          

 

   

   

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Independent  examiner's statement  

  

•  

• 

•     

  

  

 

    

 24 Longmoor Road, Breaston, Derbys, DE72 3BB

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



		Total
	Sep 2021 to	Sep 2020 to
	Aug 2022(£)	Aug 2021(PY) (£)
INCOME
Concerts income	7,357.20	1,648.00
Donations and legacies	17,145.38	29,846.61
Instrument Hire	12.50	15.00
Interest Received	13.57	6.52
Music Centre Fee	15,297.00	8,431.00
Raffle Ticket Sales		68.00
Sales	29.00
Sales of Instrument		64.85
Satellite Clubs	489.20	1,355.50
Tour income	23,183.27	2,295.00
Tuck Shop Sales	741.08
Total Income	64,268.20	43,730.48
COST OF SALES
Cost of sales	0.00
Reed Purchases	15.19
Tuck Shop costs	2,234.95	1,344.18
Total Cost of Sales	2,250.14	1,344.18
TOTAL	62,018.06	42,386.30
EXPENDITURE
Advertising/Promotional	316.34
Computer Costs	838.92	543.60
Concert Expenses	894.80	222.50
Instrument Insurance	725.44	663.72
Instrument Purchases	30.99	7.21
Miscellaneous Expenses	532.53	157.35
Music Purchases	300.68	530.78
Office/General Administrative Expenses	26.88	193.82
PayPal Commission		6.54
Phone Costs	51.52	47.88
Printing, Postage and Stationery	71.79	235.78
Rent - All venues	9,976.50	375.00
Salaries	33,103.96	35,739.49
Tour Payments	29614.64	3,910.00
Trailer		204.80
Total Expenditure	76,486.99	42,838.47
NET OPERATING INCOME/(EXPENDITURE)	(14,466.93)	(452.17)
NET INCOME/(EXPENDITURE)	(14,466.93)	(452.17)

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



Cash Held PayPal Saving / Reserve account Current account Total Current liabilities Tax & NI Cash funds are split between Restricted Unrestricted Total Cash movement over the financial year Opening Bank Balances Income and Expenditure result (page 5) Closing Bank Balance	2022 2021 £ £ 0.00 0.00 126.37 126.37 27,670.09 43,656.52 2,220.50 701.00 30,016.96 44,483.89 0.00 0.00 5,768.42 11,253.43 24,248.54 33,230.46 30,016.96 44,483.89 44,483.89 44,936.06 (14,466.93) (452.17) 30,016.96 44,483.89

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1) Donations, Grants & Subsidies Derbyshire County Council Gift aid received Other income Payroll Furlough Scheme SLA Grant Received TOTAL	2022 2021 0.00 1,275.00 0.00 1,479.16 145.38 88.25 0.00 10,004.20 17,000.00 17,000.00 17,145.38 29,846.61

2) Assets for own use

SEDMC own a variety of instruments which are used in the delivery of our music programme throughout the year. These are insured to the value of £81k.

3) Creditors

None for the period

4) Debtors

Gift aid claimed and due to be received in 2022-23 £3.2k

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  

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  

 

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

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

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 

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    

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