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2022-03-31-accounts

REGISTERED COMPANY NUMBER: CE022999 (England and Wales) REGISTERED CHARITY NUMBER: 1191220

Report of the Trustees and Unaudited Financial Statements for the Year Ended 31st March 2022

for

British Elbow & Shoulder Society

Bennett Brooks & Co Ltd Chartered Accountants 14 Grosvenor Court Foregate Street Chester Cheshire CH1 1HG

British Elbow & Shoulder Society

Contents of the Financial Statements for the year ended 31st March 2022

Page
Report of the Trustees 1 to 5
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 to 12
Detailed Statement of Financial Activities 13 to 14

British Elbow & Shoulder Society

Report of the Trustees for the year ended 31st March 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31st March 2022. The trustees have adopted the provisions of 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 trustees are pleased to present their report together with the British Elbow and Shoulder Society's ("the Society") Statement of Financial Activities for the year ended 31 March 2022.

OBJECTIVES AND ACTIVITIES

History aims and activities of the Society

The British Elbow and Shoulder Society was established on 28 March 1987 with the following aims:

1) To foster and advance the science and practice of elbow and shoulder care through scientific meetings, educational programs and by encouraging research.

2) To organise regular interdisciplinary scientific meetings.

3) To strive to standardise assessment, scoring of disability, and nomenclature relevant to the elbow and shoulder.

4) To improve quality of care by encouraging the national collection of scientific data and functional outcomes.

5) To function as an educational society to further learning through scientific meetings, educational fellowships, and both knowledge-based and skills-based educational courses.

6) To foster research through scientific meetings, fellowships and by encouraging research collaboration between members.

7) To cultivate international relationships in the field of elbow and shoulder care.

Review of activities and future developments

The Society holds an annual conference to which all members are entitled to attend.

The Society has prudently built up significant reserves which were transferred to the CIO on 1 April 2021 and has the intention in the future of providing research grants or other forms of assistance in the furtherance of its aims and objectives. These reserves are shown in the brought forward total funds.

Public benefit

The trustees have taken the Charity Commission's general guidance on public benefit into consideration in preparing their statements on public benefit contained within this Trustees' Report.

The trustees confirm they have complied with their duty in Section 17 of the Charities Act 2011 to have regard to the public benefit guidance published by the Charity Commission for England and Wales

Benefits and beneficiaries

As stated above, in accordance with its charitable objectives, the CIO strives to support education, research and clinical excellence in the speciality of elbow and shoulder surgery. the CIO's ultimate beneficiaries are therefore patients, and benefits to patients are provided though advancing knowledge of, practice in and setting standards for the speciality.

Page 1

British Elbow & Shoulder Society

Report of the Trustees for the year ended 31st March 2022

STRATEGIC REPORT

Achievement and performance

In 2021, with Covid restrictions in place and only easing gradually, the Society continued to use online delivery of services in order to maintain the Society's role as the key provider of education and professional development for doctors and allied health professionals working in the field of elbow and shoulder surgery.

Annual Scientific Meeting

The Annual Scientific Meeting is the largest event that the Society organises. It is usually held in person in June and was planned to be held in Brighton but in June 2021 it was held as a virtual online event. The Brighton booking was deferred to 2025 to avoid the loss of the deposit. Details of prizes awarded by the Education Committee can be viewed here https://bess.ac.uk/bess-2021-presentation-prizes/.

A total of 381 registrations were recorded for the virtual event, of which 174 related to full surgeon members.

Normally, medical equipment companies attend the medical and trade exhibition which runs in parallel with the Annual Scientific Meeting. Inevitably a virtual exhibition does not offer the same opportunities for interaction as exhibitors enjoy at a face to face meeting but the 2021 meeting offered virtual exhibition stands and the ability to run meetings with delegates.

In June 2022, the Annual Scientific Meeting moved back to an in person event and was held at the Liverpool ICC.

Page 2

British Elbow & Shoulder Society

Report of the Trustees for the year ended 31st March 2022

STRATEGIC REPORT Financial review

Financial position

This is the first full year that the Society has operated under its new CIO status (it previously operated as an unincorporated association for over 30 years).

Overall the Society made a surplus of £119,992 in the year (by way of comparison, in the year ended 31 March 2021, a surplus of £99,773 was generated by the unincorporated association). This was in part due to reduced conference costs. No Annual Scientific Meeting or other face-to-face meetings were held in the year with the summer 2021 conference held online only.

Incoming Resources

The Society's two principal income streams are membership subscriptions and the Annual Scientific Meeting.: - Membership income (including income relating to the Journal of Shoulder and Elbow) decreased slightly in 2022 as although memberships numbers increased from 740 to 764, the mix of membership changed.

Total incoming resources for the year ended 31 March 2022 was £357,848. This is in line with the prior year when the total income as reported in the final accounts of the unincorporated association (also a Covid-19 year) for the year ended 31 March 2021 was £367,139.

By way of comparison, "normal" annual incoming resources in years when a full in person Annual Scientific Meeting is held are in the region of £600k so we would expect to see an increase in income in the current year ending 31 March 2023 following the first full conference post Covid taking place in Liverpool in June 2022.

Income from bank interest deposits was £685 in 2022, lower than normal due to the lower rates of interest available in in bank savings accounts. The trustees will be considering other forms of investment in due course.

Resources expended

Overall, total resources expended for the year ended 31 March 2022 were £237,856. This was a slight decrease on the prior year's activity when total resources expended was £267,366, as reported in the final accounts of the unincorporated association. The main reasons for the decrease are:

In respect of the irrecoverable VAT charge in the Detailed Statement of Financial Activities, BESS makes both taxable and exempt supplies and is therefore "partially exempt" for VAT. Broadly, VAT on costs related (or ‘attributable’) to taxable supplies Annual Scientific Meeting activity) is recoverable whilst VAT incurred on costs related to exempt supplies (membership subscriptions) is irrecoverable. At the year end an adjustment is required (taking into account all the transactions in the year) to calculate the VAT which is irrecoverable and this is charged as an expense to the statement of financial activities.

Principal funding sources

The CIO therefore receives its funding from members in the form of annual subscriptions and from any surplus generated from running an Annual Scientific Meeting.

Current subscription rates may be viewed on the CIO's website at https://bess.ac.uk

Page 3

British Elbow & Shoulder Society

Report of the Trustees for the year ended 31st March 2022

STRATEGIC REPORT Financial review

Investment policy and objectives

The CIO's Constitution states that monies for investment shall be deposited or invested in the name of the CIO by the trustees in any investments permitted by law for the investment of Trust Funds under the Trustee Act 2000 https://www.legislation.gov.uk/ukpga/2000/29/2001-02-01?view=extent&timeline=true

The Trustees may at any time and from time to time vary such investments for others of like nature. We have investments held on varying timeframes to benefit from the best interest rates available. We have sufficient short-term funds available to be realised within a short space of time to meet unforeseen commitments incurred by the CIO, such as legal, other consultancy or professional expenses.

Our historic policy is for the funds to be deposited with a range if institutions so as to obtain best returns from bank interest. We have not engaged an investment adviser to date, although that is something the Trustees are considering.

The Trustees research available interest rates are compared with others in the marketplace to ensure they are competitive.

Reserves policy

The Trustees regard it as prudent to retain sufficient reserves to cover the costs of the Annual Scientific Meeting plus any future contractual commitments, and in addition covering about six months of operation expenditure under normal circumstances. On this basis, free reserves of at least £450,000 should be maintained.

The Trustees acknowledge that the CIO is holding additional reserves and there are a number of reasons for this as outlined below: - Increased staff costs with the need to professionalise under the new CIO structure and the recruitment of an additional staff member along with the need to rent occasional office space for the proper functioning of the Society

Fortunately, the levels of reserves that Society holds, which are for the most part, readily accessible, are such that Society will be able to continue to operate effectively notwithstanding the current economic uncertainties.

Going concern

The potential for disruption to the CIO from the pandemic, lockdowns, quarantine restrictions and social distancing measures has been considered by the trustees and a review of the finances undertaken accordingly. During 2021/22 we actively reviewed the conference budget on a regular basis to assess any changes in income or expenditure and our financial resilience in the face of further disrupted revenues and activities.

Membership income has remained broadly stable. We have worked hard to provide our members with support, guidance and alternatives to the key benefits from membership, including the Annual Scientific Meeting and to date this has proved successful. Course delivery moved online in summer 2021 as it had in the previous year, with positive feedback from the delegates, and the Trustees are confident that the Annual Scientific Meeting can operate successfully on that basis if needed in the future. A full in person Annual Scientific Meeting was held at the ICC in Liverpool in June 2022.

The trustees are satisfied that our income and demand for services are broadly stable, and can be delivered in an effective way to meet the needs of the members.

BESS has cash reserves and has no requirement for external funding. The Trustees have a reasonable expectation that the BESS has adequate resources to continue in operational existence for the foreseeable future and, therefore, there are no material uncertainties over the Charity's financial viability. They continue to consider the going concern basis of accounting is appropriate in preparing the annual financial statements.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The CIO is governed by its constitution and constitutes a Charitable Incorporated Organisation.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

CE022999 (England and Wales)

Page 4

British Elbow & Shoulder Society

Report of the Trustees for the year ended 31st March 2022

Registered Charity number

1191220

Registered office

Royal College of Surgeons of Eng 35-43 Lincoln's Inn Fields London WC2A 3PE

Trustees

Prof Jonathan Rees President Prof Amar Rangan Immediate Past President Prof Peter Brownson Past President Mr Steve Drew Vice President Mr Jaime Candal-Couto Secretary Elect Mr David Clark Honorary Treasurer Mr Paul Jenkins Honorary Treasurer Elect Mr Vijay Bhalaik Membership Secretary (appointed 26.6.21) Mr Steve Gwilym Research (appointed 26.6.21) Mr Adam Watts Education Committee (appointed 26.6.21) Mr Ananth Ebinesan Webmaster (appointed 26.6.21) Mr Ian Horsley AHP Representative (appointed 26.6.21) Mr Chris Peach Research Committee Chairman (resigned 26.6.21) Mrs Anju Jaggi AHP Representative (resigned 26.6.21)

Independent Examiner

Bennett Brooks & Co Ltd Chartered Accountants 14 Grosvenor Court Foregate Street Chester Cheshire CH1 1HG

COMMENCEMENT OF ACTIVITIES

The application from the British Elbow and Shoulder Society to the Charity Commission to become a Charitable Incorporated Organisation (CIO) was approved with the Charity Commission on 9 September 2020. Due to issues relating to the ongoing Covid-19 pandemic, the Society was unable to obtain a working current bank account with its banker of 30 years, NatWest plc, until April 2021 and therefore continued to operate via its former structure, as an unincorporated association, until 31 March 2021. This accounting period ending 31 March 2022 therefore represents the first full year of operating as a CIO. The CIO became registered for VAT on 1 April 2021.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ............................................. and signed on the board's behalf by:

.............................................................................. Prof Jonathan Rees - Trustee

Page 5

Independent Examiner's Report to the Trustees of British Elbow & Shoulder Society

Independent examiner's report to the trustees of British Elbow & Shoulder Society ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31st March 2022.

Responsibilities and basis of report

As the charity's 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 charity'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

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of ICAEW (membership number 8233366) which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  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 attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Claire Hills ICAEW (membership number 8233366) Bennett Brooks & Co Ltd Chartered Accountants 14 Grosvenor Court Foregate Street Chester Cheshire CH1 1HG Date: .............................................

Page 6

British Elbow & Shoulder Society

Statement of Financial Activities (Incorporating an Income and Expenditure Account) for the year ended 31st March 2022

Period
9.9.20
Year Ended to
31.3.22 31.3.21
Unrestricted Total
fund funds
Notes £ £
INCOME FROM MEMBERS FROM
Income from Members 2 174,618 -
Conference Income 3 167,348 -
Investment income 4 685 -
Other income 15,197 -
Total 357,848 -
EXPENDITURE ON
Charitable activities 5
BESS conference and runnning costs 233,654 -
Other 4,202 -
Total 237,856 -
NET INCOME 119,992 -
Transfers between funds 14 599,721 -
Net movement in funds 719,713 -
RECONCILIATION OF FUNDS
Total funds brought forward - -
TOTAL FUNDS CARRIED FORWARD 719,713 -

The notes form part of these financial statements

Page 7

British Elbow & Shoulder Society

Balance Sheet 31st March 2022

2022
Unrestricted
fund
Notes
£
FIXED ASSETS
Tangible assets
11
670
CURRENT ASSETS
Debtors
12
230,154
Cash at bank
673,235
903,389
CREDITORS
Amounts falling due within one year
13
(184,346)
NET CURRENT ASSETS
719,043
TOTAL ASSETS LESS CURRENT LIABILITIES
719,713
NET ASSETS
719,713
FUNDS
14
Unrestricted funds
719,713
TOTAL FUNDS
719,713
2021
Total
funds
£
-
-
-
-
-
-
-
-
-
-

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31st March 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

.............................................

Prof Jonathan Rees - Trustee

David Clark

David Clark (Jan 15, 2023 18:43 GMT)

.............................................

Mr David Clark - Trustee

The notes form part of these financial statements

Page 8

British Elbow & Shoulder Society

Notes to the Financial Statements for the year ended 31st March 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Financial reporting standard 102 - reduced disclosure exemptions

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computer Equipment - 20% reducing balance

Taxation

No corporation tax liability arises on ordinary membership activity and primary purpose trading.

Fund accounting

The Society is not in receipt of any donations or legacies which need to be operated as separate funds.

Income comprises subscriptions received from members or generated from the running of an annual conference (the Annual Scientific Meeting) and is set towards the general objectives of the Society and as such is unrestricted.

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

2. INCOME FROM MEMBERS

Year Ended
31.3.22
£
Subscriptions from members
133,362
Journal of Shoulder and Elbow allocation from subscriptions
41,256
174,618
Period
9.9.20
to
31.3.21
£
-
-
-

continued...

Page 9

British Elbow & Shoulder Society

Notes to the Financial Statements - continued for the year ended 31st March 2022

3. CONFERENCE INCOME

Year Ended
31.3.22
£
Conference Income - delegates
51,970
Conference income - industry
115,378
167,348
4.
INVESTMENT INCOME
Year Ended
31.3.22
£
Deposit account interest
685
5.
CHARITABLE ACTIVITIES COSTS
Support
Direct
costs (see
Costs
note 6)
£
£
BESS conference and runnning costs
1,222
232,432
6.
SUPPORT COSTS
Information
Journal
Management
Finance
technology
Expenses
£
£
£
£
BESS conference and runnning
costs
110,342
29,231
15,289
77,570
7.
NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
Year Ended
31.3.22
£
Depreciation - owned assets
168
Period
9.9.20
to
31.3.21
£
-
-
-
Period
9.9.20
to
31.3.21
£
-
Totals
£
233,654
Totals
£
232,432
Period
9.9.20
to
31.3.21
£
-

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31st March 2022 nor for the period ended 31st March 2021.

continued...

Page 10

British Elbow & Shoulder Society

Notes to the Financial Statements - continued for the year ended 31st March 2022

8. TRUSTEES' REMUNERATION AND BENEFITS - continued

Trustees' expenses

Trustees' travel and subsistence expenses were paid in accordance with the Society's expense policy.

9. STAFF COSTS

The Society had one member of staff, the office manager, during the financial year with the addition of a new administrative assistant from 1 February 2022. The existing staff member is currently employed by a sister Society, the British Association of Plastic, Reconstructive and Aesthetic Surgeons (BAPRAS), and they are allocated to the Society on a full time basis. Staff costs are included as a recharge from BAPRAS within office expenses.

The average monthly number of employees during the year was as follows:

Period
9.9.20
Year Ended to
31.3.22 31.3.21
BESS Office 1 -
No employees received emoluments in excess of £60,000.

10.

COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

NET INCOME Total
funds
£
-
TOTAL FUNDS CARRIED FORWARD -

11. TANGIBLE FIXED ASSETS

COST Computer
equipment
£
Computer
equipment
£
Additions 838
DEPRECIATION
Charge for year 168
NET BOOK VALUE
At 31st March 2022 670
At 31st March 2021 -

continued...

Page 11

British Elbow & Shoulder Society

Notes to the Financial Statements - continued for the year ended 31st March 2022

12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade debtors
Conference expenses in advance
13.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
VAT
Conference income in advance
14.
MOVEMENT IN FUNDS
Net
movement
At 1.4.21
in funds
£
£
Unrestricted funds
General fund
-
119,992
TOTAL FUNDS
-
119,992
Net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
357,848
TOTAL FUNDS
357,848
2022
2021
£
£
141,121
-
89,033
-
230,154
-
2022
2021
£
£
14,889
-
10,712
-
158,745
-
184,346
-
Transfers
between
At
funds
31.3.22
£
£
599,721
719,713
599,721
719,713
Resources
Movement
expended
in funds
£
£
(237,856)
119,992
(237,856)
119,992

15. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st March 2022.

Page 12

British Elbow & Shoulder Society

Detailed Statement of Financial Activities for the year ended 31st March 2022

Period
9.9.20
Year Ended to
31.3.22 31.3.21
£ £
INCOME FROM MEMBERS
Income from Members
Subscriptions from members 133,362 -
Journal of Shoulder and Elbow allocation from
subscriptions 41,256 -
Conference Income 174,618 -
Conference Income - delegates 51,970 -
Conference income - industry 115,378 -
Investment income 167,348 -
Deposit account interest 685 -
Other income
Royalty income (journal) 15,197 -
Total incoming resources 357,848 -
EXPENDITURE
Charitable activities
Sundries 1,222 -
Other
Awards and Fellowships granted 4,202 -
Support costs
Management
Wages 3,600 -
Office Expenses 44,911 -
Insurance 164 -
Telephone 108 -
Meeting Expenses 4,993 -
Conference Expenses 51,789 -
Travel & Subsistence 4,777 -
Finance 110,342 -
Bank charges 1,859 -
Disallowed VAT 27,204 -
Computer equipment 168 -
29,231 -
Information technology
IT running costs 15,289 -

This page does not form part of the statutory financial statements

Page 13

British Elbow & Shoulder Society

Detailed Statement of Financial Activities for the year ended 31st March 2022

Period
9.9.20
Year Ended to
31.3.22 31.3.21
£ £
Information technology
Journal Expenses
BESS Journal Editorial fees 22,000 -
BESS Journal Expenses 26,000 -
American Journal Costs 29,570 -
77,570 -
Total resources expended 237,856 -
Net income 119,992 -

This page does not form part of the statutory financial statements

Page 14

1.2a Accounts for signature 310322

Final Audit Report

2023-01-15

Created: 2023-01-15 By: Claire Hills (claire.hills.dc@bennettbrooks.co.uk) Status: Signed Transaction ID: CBJCHBCAABAA27SPD4PE1scoqUHIs3S4tnfIRGOGkJpb

"1.2a Accounts for signature 310322" History

Document created by Claire Hills (claire.hills.dc@bennettbrooks.co.uk) 2023-01-15 - 11:43:50 AM GMT

Document emailed to Jonathan Rees (jonathan.rees@ndorms.ox.ac.uk) for signature 2023-01-15 - 11:45:53 AM GMT

Email viewed by Jonathan Rees (jonathan.rees@ndorms.ox.ac.uk) 2023-01-15 - 11:53:50 AM GMT

Document e-signed by Jonathan Rees (jonathan.rees@ndorms.ox.ac.uk) Signature Date: 2023-01-15 - 11:58:29 AM GMT - Time Source: server

Document emailed to clarkfamily100@btinternet.com for signature 2023-01-15 - 11:58:30 AM GMT

Email viewed by clarkfamily100@btinternet.com 2023-01-15 - 6:43:14 PM GMT

Signer clarkfamily100@btinternet.com entered name at signing as David Clark 2023-01-15 - 6:43:43 PM GMT

Document e-signed by David Clark (clarkfamily100@btinternet.com) Signature Date: 2023-01-15 - 6:43:45 PM GMT - Time Source: server

Agreement completed.

2023-01-15 - 6:43:45 PM GMT