Long Buckby Community Centre
Annual Finance Report
Income
With £1,717 in the Current Account and £20,318 in the Project Account the Centre started the accounts year in Oct 2020 a strong bank balance, however we must bear in mind £10,000 received in Jul 2020 under the Covid Hospitality and Leisure (CH&L) grant scheme and £6,140 received up to the end of October under the Coronavirus Job Retention Scheme (CJRS) [Furloughing] towards wages.
Hire charges received in 2020-21 amounted to £8,030, 35% of hire income in part Covid affected 2019-20 and only 18% of hire income in pre-Covid 2018-19.
Also on the income side were further CH&L grants - £11,807 – and the Covid Restart grant of £8,000. Together with funds under the CJRS - £5,605 – these have helped to ensure the Centre re-opened fully as a viable community asset.
Also under income was the balance of the Daventry District Council Capital Grant for th First Floor Refurbishment Project.
Expenditure
On the expenditure side many items continued to be necessary such as lift maintenance, building insurance, BT, General Maintenance (includes fire, electrical and gas safety checks and certification) and licensing/subscriptions The last expenditure item is made up of our alcohol licence which could not be suspended for parts of the year in lockdown, together with the £40 subscription to the charity ACRE (Action with Communities in Rural England). This proved a subscription of excellent value. Not only did ACRE give Centre managers
valuable distilled guidance on Covid procedures but pointed the Treasurer in the direction of all available grant assistance.
There were obvious savings in electricity and gas whilst the Centre was closed for long periods.
We go into the next financial year in a much healthier situation than expected. There are a number of areas where we need to address which impact on finances.
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With the return of many hirers planning hybrid Zoom/Teams etc meetings the Centre’s Wifi must be improved and there would be a cost implication.
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The reports of damp in certain areas of the building will need to be addressed, investigated and any work funded.
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Investigation regarding the life of the lift need to be carried out and an action plan decided if necessary.
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Some roofing work is needed and will need to be costed in.
Report submitted
David Cadd
Trustee & Treasurer
Long Buckby Community Centre
Nov 2021
LONG BUCKBY COMMUNITY CENTRE STATEMENT OF ACCOUNT 2020/21
INDEPENDENT FINANCIAL INSPECTION 2020-21 EXAMINED BY (PRINT) M Fellowes EXAMINED BY (SIGNED) DATE -
| Bank (Current) @ 1 Oct-20 1,717.57 £ Bank (Project Fund) @ 1 Oct-20 20,318.95 £ PayPal @ 1 Oct-20 4.36 £ |
Bank (Current) @ 1 Oct-20 1,717.57 £ Bank (Project Fund) @ 1 Oct-20 20,318.95 £ PayPal @ 1 Oct-20 4.36 £ |
|---|---|
| TOTAL AT BANK | 22,040.88 £ |
| HIRE INCOME |
| TOTAL AT BANK | **PayPal @ 1 ** | Oct-20 | £ £ |
4.36 22,040.88 |
DATE - | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| HIRE INCOME | OUTGOINGS | ||||||||||
| Booking Credits per bank | £ | 7,530.50 |
General Maintenance | £ | 1,634.85 |
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| SCHOOL WRAP | Stationery | £ | 41.88 |
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| The Stables | £ | 500.00 |
Electricity | £ | 2,017.78 |
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| Water | £ | 1,843.86 |
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| Gas | £ | 1,891.35 |
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| Insurance | £ | 1,971.05 |
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| BT | £ | 2,008.41 |
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| Waste & Cleaning | £ | 607.80 |
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| Wages | £ | 14,011.51 |
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| PAYE/NIC | £ | 1,674.14 |
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| Staff Expenses | £ | - |
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| Project | £ | 961.18 |
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| Lift | £ | 1,586.64 |
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| Equipment | £ | 116.40 |
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| Licences and Subs | £ | 220.00 |
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| TOTAL HIRE INCOME | £ | 8,030.50 |
RUNNING COSTS IN ABOVE | £ | 29,625.67 |
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| NON-HIRE INCOME | |||||||||||
| LOTTO | £ | 41.60 |
Balances @ end | Sep-21 | |||||||
| COVID Hospitality Grants | £ | 11,807.42 |
BANK (CURRENT ACCOUNT) | £ | 2,053.03 |
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| BANK (PROJECT) | £ | 23,347.77 |
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| CJRS | £ | 5,605.68 |
PAYPAL | £ | - |
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| COVID RESTART GRANT | £ | 8,000.00 |
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| DDC Capital Grant | £ | 461.57 |
Sub Total | £ | 25,400.80 |
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| TOTAL NON- HIRE INCOME | £ | 25,916.27 |
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| TOTAL | £ | 55,987.65 |
TOTAL | £ | 55,987.65 |
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| Prepared | - D Cadd - Treasurer |
Prepared - D Cadd - Treasurer
Long Buckby CC
Annual accounts review
Nov 2021
Review notes -
I confirm that I have reviewed the accounts platform with access provided by David Cadd and carried out the annual review (2020/ 2021) of the L B C C financial information.
Again this year Covid has had an impact on LBCC and it’s finances in a number of ways. Bookings and turnover levels continue to be reduced, some runnings costs are lower and government / council grants have each had an impact -
- The ‘software based’ financial management and record keeping continues to be utilised and appears fully established.
As previously suggested, this platform (or similar) could be effectively utilised to provide a valuable digital record of non financial items such as H&S and maintenance. Given the voluntary nature of the committee this may prove valuable / helpful over the longer term.
As yet not aware if capturing these elements has been considered? .
- A random sample of specific transaction’s has been examined to identify the appropriate records and an audit trail was evident via the system.
The records and audit trail appear in order
- The previous recommendation to amend the presentation of the hire revenues has been adopted so as to show donations and / or non hire revenues separate from hire income.
This is helpful in identifying this years low level of income, partly Covid effected, and the possible impact on future finances.
The total balance for the year shows c- £56,000, of which actually c- £22,000 is money at bank and c- £26,000 is from grants. The remainder is hire income which is c- £8,000, whilst Covid has had an impact on hire income the underlying trend may indicate an ongoing reduced level which will need consideration.
- The operating costs for the year have been c - £30,000. These are running at c- £2,500 a month which when set against current income levels and faced with no further ‘Covid grants’ could signal operating losses for a period.
With actual hire income being c- £8,000, the costs for the year show the level of operating losses incurred.
Given the nature of most of these costs it can not have been expected to reduce them fully in line with the impact of Covid and reduced revenues and if it were not for the grants and donations received the finances would have been more adversely effected.
In looking at the cost areas, one expenditure makes up approaching 50% of all running costs, namely wages at c - £14,000. Given the reduced level of activity (and revenues) it is perhaps questionable why wage costs have not reflected a larger reduction in line with trading levels?.
The next tier of costs is perhaps more difficult to reduce given their nature, costs including BT, Lift, Insurance and utilities which may prove harder to reduce and flex with lower income levels. This being the case may requires more attention be placed on variable costs, wages , cleaning etc.
Long Buckby CC
Annual accounts review
Nov 2021
A few observations -
- The Project fund is holding c- £20,000 and a number of repair / upgrade projects have been
It has been mentioned previously that a ‘life cycle fund’ be established so as to provide planned funds for future project spend areas. Given the possible reduced trading levels going forward, at least for a period, it may be necessary to priorities spend areas.
Two items raised previously, roof repairs and lift, are now identified as needing work to be undertaken or at least provided for. Identifying this as a priority is recommended.
The need to investigate and possible remedy areas of damp may also need attention and the aim to invest in improvements in the WiFi system (to support zoom etc) have also been identified. Investigating and estimating these will assist planning.
Budgeting for any of these and providing for any future projects should be considered in line with the forecasted trading expectations.
- Like the majority of venues that suffered a loss of regular users due to Covid, post Covid user levels may take time to return to the pre Covid levels.
The impact of lockdown on preventing bookings led many users to seek alternatives, use of zoom etc. Some of which may become the established norm and / or deter users from returning or booking as often.
If this is to be the case -
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a. A pro active campaign to attract new or returning users may be advisable and beneficial b. A review of cost areas and where savings can be made may reduce potential losses
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c. A review of hire charges may stimulate new bookings
Mike Fellowes