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2024-03-31-accounts

CHARITY NUMBER: 1196368

FABRIC CIO

FABRIC CIO

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 31 MARCH 2024

1

FABRIC CIO

CONTENTS PAGE
Reference and Administrative Details of the Charity, its Trustees and Advisors 3
Trustees' Report 4-9
Independent Auditors' Report on the Financial Statements 10-12
Statement of Financial Activities 13
Balance Sheet 14
Statement of Cash Flows 15
Notes to the Financial Statements 16-28

2

FABRIC CIO

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE PERIOD ENDED AT 31 MARCH 2024

Trustees John Houlden (Co-Chair) Richard Woods (Co-Chair) Peter Shenton Monique Morgan Dr Farai Pfende Jerrel Jackson (resigned February 2024) Ann-Marie Pugh (joined June 2023) Shirley Lundstram (joined June 2023) Eva Martinez (joined September 2023) Charity registered number 1196368 Registered office Birmingham Hippodrome Thorp Street Birmingham B5 4TB Independent auditors PWH Accountancy Limited The Counting House High Street Lutterworth LE17 4AY Bank CAF Bank Ltd

3

FABRIC CIO

REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

The charitable company is governed by its Constitution as a Charitable Incorporated Organisation.

Its unpaid trustees exercisecontrol and supervision ofactivities and establish policies and priorities, including agreeing budgets and spending plans, through full trustee meetings and meetings of sub-committees.

Recruitment and appointment of new trustees

Qualified, interested and committed individuals are recruited to the FABRIC Board of Trustees primarily through advertising and advocacy to relevant contacts and networks, in order to reach individuals from diverse backgrounds and attract professionals with specific expertise, thereby ensuring a broad base ofskills and experience at Board level. Birmingham City Council have the right to nominate council representatives.

Induction and Training of Trustees

Initially, potential candidates areinvited to meet with the FABRIC Senior Leadership and Trustees, in order to discuss the work and vision of the organisation and ascertain what they have to offer and how they hopeto develop through their involvement. The Board of Trustees then votes to make a formal appointment.

Trustees arekept up to datewith changes in charity law and receivetraining and relevant Charity Commission documentation as and when necessary.

Organisational Structure

The day-to-day operational activities of thecharitable company in this period weredelegated by the Board of Trustees to a staffteam, led by ChiefExecutive& Artistic Director, Paul Russ, and Deputy Chief Executive, Clare Lewis, along with a management team working across programmes, finance and operations.

Pay Policy for Senior Managers

TheTrustees and theSenior Leadership Team comprisethe key management personnel of thecharity in charge ofdirecting and controlling, running and operating the charity on a day-to-day basis. All Trustees give oftheir time freely and no Trustee received remuneration in the year.

Staff pay is reviewed annually by the Trustees, normally in April, and pay increases are applied evenly to all staff at the charity's discretion. Pay reviews for individuals are also considered in line with roles and responsibilities, and, where appropriate, recommendations are made by the CEO to the Trustees.

In view ofthenatureofthecharity, theTrustees benchmark against pay levels in other regional dance and arts organisations of a similar size to ensure salaries are competitive.

i k The trustees have a risk management strategy which comprises:

This work identified that all risks were actively managed, and regularly reviewed by the Senior Leadership Team and Board.

4

FABRIC CIO

REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2024 STRUCTURE, GOVERNANCE AND MANAGEMENT

Objectives and Activities

The charitable company’s objects and powers are such that the charitable company is established:

(i) To advance the education of the public in the subject of the arts of dance and related arts; and

(ii) For the benefit of the public, to foster and promote the maintenance, development, knowledge, understanding, appreciation and opportunity to enjoy these arts.

Public Benefit Statement

The trustees confirm that:

-In theexercise oftheir powers as charity trustees, they have had due regard to thepublished guidancefrom the charity commission on the operation of the public benefit requirement; and

5

FABRIC CIO REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2024 - CONTINUED REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR

ABOUT FABRIC

FABRIC is a strategic dance development organisation based in Birmingham and Nottingham, formed in August 2022. FABRIC was created from the formal merger of DanceXchange and Dance4, bringing together over 60 years of combined experience.

Our vision is to inspire people through dance, transforming lives, communities and places. We believe dance is remarkable and is vital in shaping the future.

We aim to inspire, increase and diversify engagement, co-create with the extraordinary people of the region, encourage creative leadership, develop talent, and celebrate the impact of dance and its place in public life.

Working with and for artists, audiences, and communities, our new approach will breathe new life into dance, creating unique, thrilling and ambitious programmes, and contributing to the international arts offer through a rich and diverse programme grown in the Midlands.

We are driven by a desire to positively disrupt, to bring about change that ensures a more sustainable and resilient future for dance. For dance to play a greater civic role in the lives of communities across the Midlands. Together, as FABRIC, we are creating a new possible for dance.

OUR WORK

FABRIC has a strategic role in developing the artform and growing the market for dance, supporting dance artists and choreographers to create and develop their practice, whilst building sustainable dance careers.

FABRIC nurtures talented young performers, choreographers and leaders; runs an extensive outreach and education programme; leads the Midlands Centre for Advanced Training (CAT) programmes; and produces a range of multi-partner community, health and inclusion projects.

FABRIC provides local, national and international leadership, working in partnership with venues, local authorities, education, creative industries and other providers to connect the most extraordinary dance and choreographic practices to the widest possible audience.

ACHIEVEMENTS

This has been a important developmental year for our new organisation, as we build new systems and working practices, embed fruitful new collaborations and partnerships, and shape plans to support the future growth and development of the organisation and sector.

The FABRIC team continued to deliver an extensive range of work across our Engagement, Producing & Programmes, and Sector Development activities, resulting in:

6

FABRIC CIO REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2024 - CONTINUED REVIEW OF ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR

OUR VALUES

Our organisation, work, people, and processes are driven and hallmarked by our values:

Curiosity

We are interested in what dance can be and how it can be made. We support creative risk taking, encourage artists to be curious and explore the boundaries of their practice.

Inclusivity & Diversity

We involve different perspectives in our decision-making. We work authentically and with care to ensure our organisation reflects the communities we serve. By reaching out and inviting in, we actively engage with diverse communities, seeking out new and undiscovered talent and inspiring engagement in dance.

Leadership

We acknowledge responsibility for striving to be leaders in our field, being ambitious for the development of the art form and developing a new generation of creative leaders. We will positively develop, encourage and enable all who work with us: staff, communities, young artists through to the most experienced, to fulfil their potential and ambitions and to flourish.

Openness

We are willing to listen, learn, and improve our offer for the dance sector and the public, through being approachable and always acting with integrity. We are willing to be challenged intellectually on our practices and approaches and are keen to change and adapt according to the future needs of the art form and our audiences. Our most powerful tool is our continuing relevance.

Partnership

We are passionate about our local contribution to creative civic life; a willing partner, working in the interests of our locations, audiences, dance artists and the dance sector, by seeking to add value. We trust and respect the people we work with to progress the new possible. We are alive to external influences, actively allowing our work and evolution to be influenced by the realities of our operating environment and those we work with.

7

FABRIC CIO

REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2024 - CONTINUED

FINANCIAL REVIEW

2023-24 is the first full operating year of FABRIC, a new organisation created in August 2022 from the merger of The DanceXchange Ltd and Dance4 Ltd. The comparative figures in these accounts reflect a transitional part-year from August 2022 to March 2023.

At the forming of FABRIC, ‘donations’ of £2,352,260 from DanceXchange and Dance4 were transferred to form the opening balance of the new charity. These donations were made up of restricted, designated and unrestricted reserves held by DanceXchange and Dance4 at the point of the merger, to support ongoing development and activity.

The charitable company’s principal funding sources comprise core revenue grants from Arts Council England and Birmingham City Council as detailed at note 2 to thefinancial statements. In addition, the charitablecompany is in receipt ofa significant amount ofgrant funding someofwhich is restricted in natureand this is detailed at note 3. The charitable company also generates its own income through studio hire and class/workshop/training activities and dance-related related commissions and services.

Total incoming resources for the period April 2023 to March 2024 were £2,702,301 - comprising £585,349 Restricted; £778,410 Designated; £1,338,541 Unrestricted. Total resources expended (detailed at notes 6 to 9) were £2,533,617.

At March 2024, the Funds Balance carried forward was £2,323,544 - comprising £532,565 Restricted; £1,400,488 Designated, and £390,492 Unrestricted reserves.

RESERVES POLICY

The income and expenditure ofFABRIC fluctuates according to the pattern of grant and project income obtained. As FABRIC employs a number ofstaff, theBoard ofTrustees considers that reserves are needed to providefor an orderly wind down in theevent ofan unexpected reduction in funds obtained. FABRIC is also required, on occasion, to incur thecosts ofdeveloping and researching work before thegrants which have been awarded, and other related income, is actually received; the charity therefore needs a level of reserve for cashflow reasons.

An analysis of relevant liabilities is carried out annually to determine an appropriate level of reserves for the organisation’s scale of operation; this is then approved by the Board of Trustees. This ‘specific stability reserve’ is currently set at £250,000.

Any unrestricted reserves over and above this amount will bedirected into the organisation’s activity, or will beset aside for specific projects, refurbishment and purchase of capital items as agreed with the Board of Trustees on an annual basis.

GOING CONCERN STATEMENT

The Trustees take into account the guidance issued by The Financial Reporting Council on Going Concern and Liquidity Risk, Guidance for Directors of UK Companies (October 2009) in respect of assessing liquidity risk, other uncertainties and key assumptions sufficient to indicate why a going concern basis has been adopted.

FABRIC CIO was formed from themerger ofDanceXchangeand Dance4 on 8 August 2022, at which timeall assets and liabilities of both organisations were transferred to FABRIC.

FABRIC is supported by regular corefunding secured from Arts Council England and Birmingham City Council, along with other income. At the balance sheet date the charity held significant cash balances, and has significant reserves which are sufficient to absorb short-term in-period deficits if required.

At the time of signing the accounts, the Trustees have considered the going concern position, and this indicates that the charity will continue to operate for a period of at least 12 months from the date of signing these account, based on the level of funds secured.

8

FABRIC CIO

REPORT OF THE TRUSTEES YEAR ENDED 31 MARCH 2023 - CONTINUED Statement of Directors’ and Trustees’ Responsibilities

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

Charity Law requires trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources,including the income and expenditure,of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

In so far as the trustees are aware:

there is no relevant audit information of which the charitable company’s auditors are unaware; and

the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

Signed on behalf of the Board on 8 January 2025

Clare Lewis Company Secretary

9

FABRIC CIO

YEAR ENDED 31 MARCH 2024

Independent Auditors’ Report to the members of FABRIC CIO

Opinion

We have audited the financial statements of FABRIC CIO (the ‘charitable company’) for the period ended 31 March 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of 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 society 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

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Trustees' Report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are

We have nothing to report in this regard.

(continued)

10

FABRIC CIO

YEAR ENDED 31 MARCH 2023

Independent Auditors’ Report to the members of FABRIC CIO (continued)

Opinion on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of the Trustees

As explained more fully in the Trustees' responsibilities statement the Trustees (who are also directors of the charitable company for the purposes of company law) 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 they 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 charitable company’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 Directors' either intend to liquidate the society or to cease operations, or have no realistic alternative but to do so.

(Continued)

11

FABRIC CIO

YEAR ENDED 31 MARCH 2023

Independent Auditors’ Report to the members of FABRIC CIO (continued)

Auditor’s responsibilities for the audit of the financial statements

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.

We design procedures in line with our responsibilities, outlined above, to detect irregularities, including fraud. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment, for example, forgery or intentional misrepresentation, or through collusion. The extent to whcich our procedures are capable of detecting irregularities, including fraud is detailed below.

We obtained an understanding of the legal and regulatory frameworks that are applicable to the organisation.

The organisation operates locally and is not significantly impacted by international law or regulations. Taxation law and regulations apply but the organisation is not involved on any complex matters that raise the risk of noncompliance.

We understood how the credit union is complying with those frameworks through discussions with the directors and review of the directors meeting minutes and the credit union’s documented policies and procedures.

We assessed the susceptibility of the organisation’s financial statements to material misstatement, including how fraud might occur by considering the key risks impacting the financial statements.

Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved review of the directors’ reporting to the organisation with respect of the application of the documented policies and procedures and review of the financial statements to ensure compliance with the reporting requirements of the organisation.

Out pre-audit review specifically makes reference to fraud risk and this is supported by audit documentation. We also review board minutes to identify any matters of concern or risk. None was identified.

The organisation is small, its activities are regular and consistent and are not complex and no special audit considerations apply, nor is external specialist assistance required.

However, the primary responsibility for the prevention and detection of fraud rests with both of those charged with governance of the credit union and management.

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

Roger Platt

Roger Platt (Jan 9, 2025 08:54 GMT)

Roger A Platt FCA (Senior Statutory Auditor) for and on behalf of

PWH Accountancy Limited, Chartered Accountants and Statutory Auditors

The Counting House High Street Lutterworth Leicestershire LE17 4AY

Date 09/01/25

12

FABRIC CIO

STATEMENT OF FINANCIAL ACTIVITES FOR THE YEAR ENDED 31 MARCH 2024

Note No.
Income from:
Donations and legacies on formation
2
Grants and other donations
2
Charitable activities
3
Investments
4
Other income
5
Total income:
Expenditure on:
Charitable activities
6-11
Total expenditure:
Net Income/(expenditure)
Transfers between funds
17
Net movement in funds
Reconciliation of funds
Total funds brought forward
17
Total funds carried forward
17		 Unrestricted
Restricted
Total
Total
Funds
Funds
Funds
Funds
31-Mar-24
31-Mar-24
31-Mar-24
31-Mar-23
£
£
£
£
-
-
-
2,352,260
1,396,242
-
1,396,242
696,398
600,760
553,459
1,154,219
524,863
33,326
-
33,326
5,043
86,624
31,890
118,514
58,802
2,116,952
585,349
2,702,301
3,637,367
(1,903,172)
(630,445)
(2,533,617)
(1,482,507)
(1,903,172)
(630,445)
(2,533,617)
(1,482,507)
213,780
(45,096)
168,684
2,154,860
98,855
(98,855)
(0)
312,634
(143,951)
168,683
2,154,860
1,478,345
676,516
2,154,861
-
1,790,979
532,565
2,323,544
2,154,860

13

FABRIC CIO BALANCE SHEET FOR THE YEAR ENDED AT 31 MARCH 2024

Note
Fixed assets
Tangible asset
13
Fixed asset investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one year
16
Net current assets
Total net assets
Charity funds
Restricted funds
17
Unrestricted funds
17
Total funds		 385,199
1,910,218		 31-Mar-24
£
348,239
4,630		 168,794
1,883,636		 31-Mar-23
£
380,068
4,630

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preperation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Trustee John Houlden (Jan 8, 2025 18:08 GMT)John Houlden Date: 08/01/25

14

FABRIC CIO

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED AT 31 MARCH 2024

Note
Cash flows from operating activities
Net cash used in operating activities
19
Cash flows from investing activities
Interest received
Purchase of tangible assests
13
Net cash used in investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
25
Cash and cash equivalents at the end of the year
25		 31-Mar-24
31-Mar-23
£
£
(5,372)
1,881,617
33,326
5,043
(1,372)
(3,023)
31,954
2,020
26,581
1,883,637
1,883,637
-
1,910,218
1,883,637

15

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED AT 31 MARCH 2024

1. Basis of preparation of financial statements

The financial statements 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 2015), and the Companies Act 2006. FABRIC CIO meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The financial statements are prepared in sterling which is the functional currency of the charity.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

1.1 Fund Accounting

Unrestricted funds are expendable at the discretion of the Directors in furtherance of the objects of the Charity.

The Directors may, for administrative purposes or to comply with best accounting practice, treat part of unrestricted funds as separate designated funds. This does not legally restrict the use of the designated funds; discretion to apply the funds as they see fit rests with the Directors.

Restricted funds can, because of the wishes of funders and donors, only be expended in accordance with the grant application and in the furtherance of that particular project for which the funding was received.

1.2.Going Concern

The Triustees consider that the going concern basis is applicable.

16

FABRIC CIO

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1.3 Incoming Resources

All incoming resources are included in the statement of financial activities when the charity is entitled to the incomeand theamount can bequantified with reasonable accuracy. The following specific policies are applied to particular categories of income.

Voluntary income received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on thedelivery ofa specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

Income for projects which is conditional on delivery and meeting targets is recognised when entitlement to the income has arisen, largely through spending or progressing the project. In such instances, incomenot received is accrued and carried forward as a debtor and income received in advance is deferred and carried forward as a creditor, for example, where funding is received for a future period it is all deferred.

Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.

Grants, including grants for the purchase of fixed assets, are recognised in full in the statement of financial activities in the year in which they are receivable.

Income from investments is included in the year in which it is receivable.

1.4 Resources expended

Expenditureis recognised on an accruals basis as a liability is incurred. Expenditureincludes any VAT which cannot be fully recovered, which is reported as part of the expenditure to which it relates.

Charitable expenditure comprises those costs incurred directly because of its activities and services for its beneficiaries. It includes both costs that can beallocated directly to such activities and those costs of an indirect nature necessary to support them. Costs are allocated to activities on an actual basis or the best available allocation of shared costs.

Support costs arethosecosts incurred directly in support ofexpenditure on the objects of thecharity and include project management.

Governance costs include audit and legal fees and a proportion of appropriate salaries and other costs. This includes timespent by corestaffon applying for coreand specific project funding, in theopinion ofthe trustees it is not cost effective to quantify these costs and disclose as costs of generating funds.

1.5 Research and Development

Research expenditure is written off in the year in which it is incurred.

1.6 Tangible fixed assets and depreciation

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

Leasehold improvements - over the lease-term of 25 years straight line Dance equipment, office equipment and computer equipment- 25% straight line

17

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

1.7 Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

1.8 Recognition of liabilities

Liabilities are recognised when an obligation arises to transfer economic benefits as a result of past transactions or events.

1.9 Employee benefits

When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in for that service.

The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

1.10 VAT

VAT is only partially recoverable by the charitable company. Any irrecoverable VAT is included within the relevant costs in the Statement of Financial Activities.

1.11 Tax

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

1.12 Operating leases

Assets acquired under finance leases are capitalised and depreciated over the shorter of the lease term and expected useful life of the asset. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding lease liability using the effective interest method. The related obligations, net of future charges, are included in creditors.

Rentals payable and receivable under operating leases are charged to the SoFA on a straight-line basis over the period of the lease.

18

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

2 Donations and legacies
DanceXchange Limited
Dance4 Limited
Birmingham City Council
Arts Council - Core
Other donations
Total
3 Charitable Activities
Income for charitable activities
Birmingham International Dance Festival
Other Grant income
Critical Mass & legacy activity (including DLG)
Centre for Advanced Training (CAT) - DfE
Dance Hub Birmingham
Birmingham Pro Class
Dance Class/Workshop Income
Festival 23
Outreach/Educational income
Performances – Box Office
Centre for Advanced Training (CAT) - Parent Contributio
Partner contributions
Subscriptions
Miscellaneous Income
4 Investment Income
Bank interest		 Unrestricted
Restricted
Total
Total
funds
funds
funds
funds
31-Mar-24
31-Mar-24
31-Mar-24
31-Mar-23
£
£
£
£
-
-
-
1,293,356
-
-
-
1,058,904
19,731
-
19,731
7,892
1,376,004
-
1,376,004
688,000
507
-
507
505
1,396,242
-
1,396,242
3,048,657
Unrestricted
Restricted
Total
Total
funds
funds
funds
funds
31-Mar-24
31-Mar-24
31-Mar-24
31-Mar-23
£
£
£
£
-
-
-
114,794
8,253
60,000
68,253
403,366
-
403,366
55,554
-
227,597
227,597
245,254
-
150,000
150,000
12,328
-
2,302
2,302
3,397
56,672
-
56,672
48,196
19,195
-
19,195
19,550
-
19,550
12,250
6,150
867
7,017
1,948
n
-
102,118
102,118
-
86,954
-
86,954
30,287
-
10,200
10,200
-
621
375
996
856
600,760
553,459
1,154,219
524,863
Unrestricted
Restricted
Total
Total
funds
funds
funds
funds
31-Mar-24
31-Mar-24
31-Mar-24
31-Mar-23
£
£
£
33,326
-
33,326
5,043

19

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

5 Other Income

Services and other income
Studio Hire
6 Cost of Charitable Activities
Engagement
Producing & Programmes
Other charitable activities
Governance costs		 Unrestricted
Restricted
funds
funds
31-Mar-24
31-Mar-24
£
£
-
-
86,624
31,890		 Total
Total
funds
funds
31-Mar-24
31-Mar-23
£
-
5,225
118,514
53,578
118,514
58,803
Activities
Support
undertaken
costs
31-Mar-24
31-Mar-23
directly
(note 7)
Total
Total
£
£
£
£
897,753
-
897,753
174,153
423,084
-
423,084
326,428
360,281
681,285
1,041,566
831,604
-
171,213
171,213
150,321
86,624
31,890
Note 7
Note 8
1,681,119
852,499
2,533,617
1,482,506

Of the above expenditure £1,406,401 was attributable to unrestricted funds, £630,445 was attributable to restricted funds and £496,771 was attributable to designated funds.

7 Cost of Charitable Activities: Support costs

Staff costs
Rent and rates
Light, heat and service charges
Repairs and maintenance
Insurance
Motor and travelling costs
Communication and information technology
Printing, postage and stationery
Hire of Equipment
Depreciation and loss on disposal of fixed assets
Other costs
Legal expenses
Bank charges
Increase/Decrease in doubtful debt provision
Marketing costs
Governance (note 8)		 31-Mar-24
31-Mar-23
Total
Total
£
£
324,392
558,236
37,504
(10,051)
126,722
79,120
16,270
2,075
15,736
2,612
32,453
6,543
39,863
8,930
6,159
2,572
7,838
-
33,200
19,136
44,734
4,316
-
1,674
4,626
3,424
(8,212)
(32,384)
-
72,419
171,213
150,321
852,499
868,943

The breakdown of Support Costs and Direct Costs has been revised in this period to give a more accurate reflection of expenditure. Therefore, direct Staffing and Marketing costs for 23/24 are included under 'Activities undertaken directly' (Note 6) rather than Support Costs (Note 7). Also note, the 22/23 comparative figures reflect a transitional part-year (August 2022 to March 2023) so are not a like-for-like comparison.

20

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

8 Governance Costs
Wages and salaries
Auditors’ remuneration
Legal and professional fees
Insurance
Other costs
Telephone
Printing, postage and stationery
Computer costs
Hire of equipment
Depreciation and loss on disposal of fixed assets		 Total
Total
funds
funds
31-Mar-24
31-Mar-23
£
£
118,983
118,838
3,683
6,345
48,548
13,854
-
871
-
2,969
-
1,057
-
857
-
3,439
-
487
-
1,605
171,213
150,322
-

Costs are allocated as governance costs on the following basis: Audit, accountancy, legal and professional - 100% Admin and management salaries - 75% for Chief Executive and Deputy Chief Executive; 25% Director of Producing & Programmes and Director of Engagement.

9 Net Outgoing resources for the year
Net outgoing resources is stated after charging:
Depreciation
Auditor's remuneration
10 Employees
Employment costs
Wages and Salaries
Social security costs
Pension costs
Redundancy Payments		 31-Mar-24
31-Mar-23
£
£
33,201
20,741
3,683
6,345
31-Mar-24
31-Mar-23
£
£
832,041
558,715
78,081
53,480
17,462
12,014
26,042
-
953,626
624,209

One employee received emoluments of more than £60,000.

No trustee received any remuneration for services.

No of Employees

No of Employees No of Employees
The average number of employees (excluding trustees) during the period, calculated on basis
of full time equivalent, was as follows: 31-Mar-24 31-Mar-23
No. No.
Artistic 12 13
Management 4 7
Administration 9 7
25 27

21

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

11 Trustees and Key management and personnel remuneration and expenses

No trustee received any remuneration in respect of services as a trustee during the period. Travel and accommodation expenses totalling £102 (2023 - £161) were reimbursed to 2 Trustees during the period.

The total amount of employee benefits received by key management personnel in this period is £216,191 (2023 - £238,057)

Based on the organisational structure at the formation of FABRIC, the charitable company considered its key management personnel, for the year to 31 March 2024 to be 4: the Chief Executive & Artistic Director; Deputy Chief Executive; Director of Engagement and Director of Producing & Programmes.

12 Taxation

The charitable company’s activities fall within the exemptions afforded by the provisions of the Income and Corporation Taxes Act 1988. Accordingly, there is no taxation charge in these accounts.

13 Tangible fixed assets

Cost
As at 1 April 2023
Additions
As at 31 March 2024
Depreciation
As at 1 April 2023
Charge for the year
As at 31 March 2024
Net book value
As at 31 March 2024
As at 31 March 2023		 Long-term
leasehold
Dance
Furniture &
Computer
property
equipment
fixtures
equipment
Total
£
£
£
£
£
278,105
65,381
25,601
31,722
400,809
-
-
-
1,372
1,372
278,105
65,381
25,601
33,094
402,181
9,565
4,758
1,726
4,692
20,741
14,855
7,391
2,681
8,274
33,201
24,420
12,149
4,407
12,966
53,942
253,685
53,232
21,194
20,128
348,239
268,540
60,623
23,875
27,030
380,068
14 Fixed asset investments
Cost
At 1 April 2023
At 31 March 2024		 Shares in other
undertakings
£
4,630
4,630

The charity held 25% of the share capital of the following company:Ticketing Network East Midlands Limited (TNEM)

22

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

15 Debtors: Amounts falling due within one year
Trade debtors
Other debtors
Prepayments & Accrued income
16 Creditors: Amounts falling due within one year
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income		 31-Mar-24
31-Mar-23
£
£
217,808
89,978
149,865
58,666
17,527
20,150
385,199
168,794
31-Mar-24
31-Mar-23
£
£
154,202
142,684
27,275
19,373
501
501
142,762
119,709
324,741
282,267

23

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

17 Statement of Funds

Statement of Funds
UNRESTRICTED FUNDS
General
Designated Funds
Stability Reserve
Birmingham Intern'l Dance Festival / Bham Dance Season
Birmingham Festival 2023
Critical Mass & Legacy activity (including DLG)
International Showcasing
Participation
Future Business Development
Organisational Development
Workspace Fund (Capital fund re repairs)
RESTRICTED FUNDS
Centre for Advanced Dance Training (CAT)
Dance Hub Birmingham
Birmingham Pro Class
International Showcasing
Organisational Development
Re-Framing Dance
Selfhood practices
Capital Development (FABRIC Nottingham Premises)
Jerwood Choreographic Research Project
UK Dance Network (Managed Fund)		 At 1 April 2023
Income
Expenditure
Transfer between
funds
At 31 March
2024
£
£
£
£
£
412,961
1,338,541
(1,406,401)
45,390
390,492
250,000
-
-
-
250,000
341,276
180,000
(11,140)
(18,897)
491,239
-
19,195
(38,092)
18,897
(0)
55,179
403,366
(343,632)
-
114,913
249,581
175,850
(80,261)
18,029
363,198
8,210
-
-
(8,210)
-
28,919
-
-
-
28,919
60,000
-
(23,646)
43,646
80,000
72,219
-
-
-
72,219
1,065,384
778,410
(496,771)
53,464
1,400,488
187,749
330,947
(402,082)
(44,000)
72,614
99,347
181,900
(192,892)
-
88,355
3,696
2,302
(6,716)
-
(718)
38,029
-
(38,029)
-
1,117
-
-
-
1,117
15,706
-
-
(15,706)
-
1,120
-
-
(1,120)
0
324,397
-
(20,825)
-
303,572
-
60,000
-
-
60,000
5,355
10,200
(7,929)
-
7,626
676,516
585,349
(630,445)
(98,855)
532,565
2,154,861
2,702,301
(2,533,617)
(0)
2,323,544

24

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

17 Statement of Funds - continued

Purpose of restricted funds

Centre for Advanced Training (CAT)

Led by FABRIC in partnership with Sampad (South Asian Arts), the Centre for Advanced Dance Training for South Asian and Contemporary Dance is the Midlands hub for the national CAT network, operating in Birmingham and Nottingham, funded by the Department for Education’s (DfE) Music and Dance Scheme. The scheme provides high quality tailored dance tuition for young people aged 11-18 years who show exceptional talent and potential in Contemporary and South Asian styles.

Dance Hub Birmingham

The Dance Hub Birmingham Investment Programme is coordinated by FABRIC on behalf of the Dance Hub Birmingham Steering Group. The Investment Programme invests in a diverse range of strategic projects (selected through an open call process) that seek to create a step change for dance in Birmingham and the West Midlands.

Birmingham Pro Class

Birmingham Pro Class is a non-profit sector-led membership scheme, administrated by DanceXchange on behalf of local dance artists, companies and organisations, with all membership fees directly funding a programme of regular professional classes.

International Showcasing

FABRIC previously received support from cultural agencies to promote international exchange of dance artists and touring work.

Capital Development (FABRIC Nottingham Premises)

This fund allocates the capital project income received in 2014-16 against the depreciation of assets in several categories of between 4 and 25 years useful life.

UK Dance Network (UKDN)

UKDN is a network of venues, producers and programmers with the aim of developing the promotion of dance in the UK. FABRIC holds the membership fee income as a restricted fund on behalf of the network.

Organisational Development

Organisational development and consultation, supported with funding from Arts Council England, resulting in the succesful merger of DanceXchange and Dance4 to become a new Charitable Incorported Organisation FABRIC.

Selfhood Practices

A project developed through partnership work with Nottingham City Care Partnership’s (NCC) MOSAIC Pain Service, using dance/choreographic methods and techniques to enable patients with Fibromyalgia to explore ways of dealing with their condition.

Re-Framing Dance

A choreographic action research project, supporting residencies for independent producers to invite curators, artists and FABRIC into a process to explore and create new work that invites audiences to see, experience and potentially participate

Jerwood Choreographic Research Project

A partnership project, supported by Jerwood Arts, which invests in research to investigate new ideas and thinking in choreography, to expand knowledge and practice in the UK and beyond.

25

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

17 Statement of Funds - continued

Purpose of Designated Funds

Stability Reserve

To enable efficient winding down of the charity, should this need arise.

Birmingham International Dance Festival (BIDF)

BIDF was a major biennial festival which took over the city’s theatres, streets and squares with a dynamic mix of international and UK dance, delivered from 2008 to 2022. ACE NPO funds were designated annually to cover the costs of biennial delivery. With the end of BIDF, due to removal of vital match funding, this designated resource is being re-focused to deliver new programmes that continue to have ambition for dance.

Critical Mass and Legacy Activity (including Dance Leaders Group)

Critical Mass was a £1million inclusive youth dance participation project funded by Spirit of 2012, working in close collaboration with Birmingham Commonwealth Games and the Dance Leaders Group (DLG). Ongoing legacy activity has continued to grow and embed inclusive participation practices through partnership working across the region.

Festival 2023

Commissioning funds for delivery of a public programme, celebrating dance and inclusive performance as part of Festival 2023, an event that marked the first anniversary of the Birmingham 2022 Commonwealth Games Cultural Festival .

International Showcasing

Funds to support FABRIC's work on the international showcasing of independent dance artists from England. As spending varies each year, any un-used allocation is designated for future spending on this area of the programme.

Artist Development

These designated funds were to further the Artist Development programme, and have supported a range of activity in the year.

Participation

These funds set side for Participation have supported engagement capacity in the year.

Future Business Development

These funds are to support the future business development of FABRIC, creating new opportunities.

Organisational Development

These funds are designated to support the organisational development of FABRIC as we continue the work of the merger. This includes consultancy support and implementation of new systems, fit for the scale and scope of FABRIC's work and operations.

Workspace Fund (Capital fund re. Repairs)

This fund is designated for the future repairs, replacements and refurbishments, ensuring our dance spaces remain of a high standard, fit for purpose.

26

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

18 Analysis of net assets between funds

Fixed assets
Fixed asset investments
Net current assets		 General
Restricted
31-Mar-24
31-Mar-23
funds
funds
Total
Total
£
£
£
£
348,239
-
348,239
380,068
4,630
-
4,630
4,630
1,438,111
532,565
1,970,676
1,770,163
1,790,980
532,565
2,323,545
2,154,861

19 Cashflow from operating activities

Net income for the year
Interest received
Depreciation
Loss on disposal of fixed assets
(Increase)/Decrease in debtors
(Decrease)/Increase in creditors
Other non-cash adjustments
Net cash flow from operating activities		 31-Mar-24
31-Mar-23
£
£
168,684
2,154,860
(33,326)
(5,043)
33,201
20,741
-
-
(216,405)
(168,794)
42,474
282,267
(402,414)
(5,372)
1,881,617

27

FABRIC CIO NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

20 Operating lease commitments

At 31 March 2024, the charity had future minimum lease payments under non-cancellable operating leases as follows:

Amounts payable:
Within 1 year
Between 1-5 years
After more than 5 years		 Land &
Buildings
£
33,700
148,830
618,669
801,199		 Other
£
25,564
38,416
-
63,980

21 Related party transactions

The company was formed to take over the assets, liabilities and operations of Dance4 Limited and The DanceXchange Limited. At the start of of operations in August 2022, the company accepted net donations of £1,058,904 from Dance4 Limited and £1,293,904 from The DanceXchange Limited. These donations were made up of the restricted, designated and unrestricted reserves held by both organisations at the point of the merger.

22 Organisation not limited by share capital

FABRIC CIO is a Charitable Incorporated Organisation and accordingly does not have a share capital.

Members of the CIO have no liability to contribute to the organisation and take on no personal responsibility for settling its debts or liabilities.

As of 31 March 2024, there were 8 members (2023 - 6 members).

28

FABRIC CIO Accounts to 31 March 2024 v7.4

FINAL

Final Audit Report 2025-01-09 Created: 2025-01-08 By: Clare Lewis (clare@fabric.dance) Status: Signed Transaction ID: CBJCHBCAABAAb4v7Q8eeoKyY2xQzW-TpITo96Sxvk48J

"FABRIC CIO Accounts to 31 March 2024 v7.4 FINAL" History

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