Registered number- 01329092 Charity number: 274803 NORWICH ARTS CENTRE LIMITED (A company limited by guarantee) UNAUDITED TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
NORWICH ARTS CEP4TrE LIMITED (A company Ilmlted by guarnntsel CONTENTS Page Reference •nd admlnlstrative details of the ¢ampany, Its Trustees and advisers Trustee5' 1OPOrt Independent examin¢rf$ report statement of finan¢lal actNitios 10 Balan sh••t Statement of ¢a$h flows 13 Notes to the flnanclal statsments 14-31
NORWICH ARTS CENTRE LIMED IA company Ilmited by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2023 Trustees R Drury L Farranl M Figura S Forsler K Radley {ap[Inted 1 Seplember 20221 G Tucker M UZOT KJWenl L Wright {resNJned 5 December 2022) Company registered number 01329092 Charity rggist•r nUMr 274803 Registered offic• 51 Sl Benedi¢Vs Street Norwich Norfolk NR2 4PG Company secretary L Wright IreswJn8d 5 De¢emIr 20221 Accountants Larking Gowen LLP Chartered Accountants 1st Floor. Prospect House Rouen Road Norwch NR1 1RE Bankers Barcla Bank pk Small business banking Leicesler LE87 28R Page 1
NORWICH ARTS CENTRE LIMITED IA ¢ompany IlmSt by guarants•l TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2023 The Trustees pfesenl their 8nnu31 )rt t(NJether wih the finanrial statements of the company for the 1 April 2022 to 31 March 2023. The Annual report serves the purposes of both a Trustees, report and a directors, report under company law. The TnJstees confirffl that the Annual report and financial stslements of the charitable company comply wilh the currenl statutory iequirements. Ihe requirements of the charit8ble companls governing document and the provisions of thè Stslement of Re¢ommended Practice ISORPI applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicab in the UK and Republic of IreL4nd IFRS1021 leffeclive 1 January 20191. &nc6 thg company qualifies as small uThJer secb'on 382 of the Companies Act 2006. the Strategic report required of medium and large companies uThl8r Ihe Companies Act 2006 {Stralegic Report and Directors. Report) Regulat$ 2013 has bèen omilted. Objectives and a¢tlvltl•s a. Pollcles and obl•ctlv•s The principal activity of the company is the promotion, improvement and advancement of the arts, wlh particular relevance to the communty In Norfolk and N(Kwch. and the provision of fa¢ilities in the interest of social education for recreation or other leisure time ocrJJpation. Norwich Arts Cgnlr8 employs the Director. IrN3ether ¥Mth a number of full arKI part lime staff involved in education, promotion, catering and administralion. The subsidiary. NAC Cafe Bar Limited. was dorrnanl this year so made neither profit nor loss as the activities of the subsidiary have been incorporated into the activities of the parent charity. b. Roport from tho Chair for the year ended 31 March 2023 'this is one of the btst #rts ¢•ntr•'s in th• eounty Benjamin Zephaniah Du8 to the pandemic and ils h)ng tsil, this year represented the first full year of operation for Norwich Arts Cantre since 2018119, a gap of 4 years. 11 has be¢om& customary to talk about 'chalbenging trading climates. in these reports but this year land Ils successor. in which we are ¢urrenUy immersed), almost redefined the phrase. The much publicised '¢ost of living crisis, has affected almost everyon8 W0dlIe. This has seen unpre¢edenled rises in energy. fuel, food and other essential costs, puttir¥J grtsal pressures on a business such as ours. dependent on public leisure spending. This spending is of course amorBJsl the first to be restricted ty most peoplg whgn income is stretched to mget expenditure. Despite a strong and adventurous artistic programme the first few months of the year suffered from very disappointing lickel sales as people reigned in what was seen as rK)nossential S[ndIng. Management and staff were fast lo resw)d to this. amen¢Jing the aibstic offer and cutting costs where doing SO did not affect qualily and safety. This saw Ihe pattern reversed resulting in a significantly lower deficit than was realistically feared eadier in the year. Hand in hand with this was, of course. Ihe need to maintain staff wages al a realistic level lo ensure Ihat our valued staff themselves can weather the crisis. In common with the rest of the irKluslry, and as artist fees also struggled to cope with rising cosis, we were also forced to increase ticket and bar pri(ss to accommodate increased cosis. in lum a delerrenl lo some audiences. Page 2
NORWICH ARTS CENTRE LIMITED IA company Ilmlted by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2023 Objectives and a¢tivitres {contlnu•d) Other issues we faced included that due lo changing wsa requirements brought about by Brexit, some overseas arb'sts and performers were un¥ble lo enter the country lo fulfil louriro commitments causing cancellations. The ovefall outcome of all Ihese however is that although there has been sorne reduction in the overall levels of liquid reserves during the year il should be noted that these a still lSKler3bty above the pre pandemi¢ 2019 level. Our weddings offer ¢onlinued to provide valuable additional incixne and this has become a valued resource 10 many in our communities. One significant addition to our trading was the short-tem conlrad to prowde bar faciltties at The Halls from December. This did require some initial investment lo ensure thal the operation could run efficiently and inevitaL>ly there were some teething problems bLrt the operation setued down and was able to be run to generate welcome funds for NAC. That this was achieved largely ex6ting staff is yel another lestamenl to the dedication, loyalty and efficren¢y of our workforce. The Halls is due lo close for a period of invesbnent. refurbishment and renovation in 202314 so thi5 area of income will be $triCd during this time bul il is hoped that we can sucSsfUllY negotiate with Norwh City Council to c(Intinue this arrangement vthen the buildings reopen. We continued to Promote our ¢vm events in The Halls atthough the sheer cost of hosting a show in a venue with so little inthouse technical equipment led lo a redu¢tion in number of events lovrards the end of the year. Al the same time, and with an eye lo the coming temporary dosure of The Halls. we are looking lo promote events in other larger venues in the cty. We also worked wrth partners in areas around the county with traditionally lower involvement in the arts. The year saw NAC reappty for National PorttolK) Organisab"on INPOI status lo Arts Coun¢il England. l am pleased lo say the application was Su$$fUl although yet again wth no fin8nual upscaling. This means that by the end of this three-year agreement (in 20261 there will have been no increase in core funding for 14 years, itself a considerable cut in real terms. Inewtabty this could resum in artist cuts, especially in commissioning and supporting exlemal companies. During 2022123 however we conbnued to support artists including the continuation of support for Th8 F8nland Players. Cambridge based digital arlists CollUsn providirvJ work in Norfolk. Norwich community theatre company The Cornmon Lot, no le5S than five female associate artists and the spoken word element of First Light festival amtsngst others. Artistically NAC continued to programme ever more diverse and varied events. The music programme is one of the most adventurous in the county while also maintaining a strong levd of tter known. establrshed and up and coming acts while new initiatives have fvrther expanded the diversty of the shows on offer and intrTrlu¢ed new audiences. That we have continued to attract high calibre performers who would nomalty play much bigger venues is lestamenl lo the high regar(l NAC is held in by many in the industy. Adam Buxlon continued lo use us as his 1ry out. venue of choice wlh a number of apt>earances. Beth Orton came lo us for a warrTTr-up show prK)r to a UK tour of large scale venues and Wel Leg hOrired a rearranged date tmjoked k)ng before their hug? succe5S. The venue enjoyed con5iderabk nalional exp)sure and visibilily lor Independent Venue Week when BBC6 Music broadcast ts Steve Lama¢q show Iwe from NAC . This was followed by a selkoul concert by Young Fathers, excerpts of which were reated across the nehvork in the following weeks. That Ihe technical inlraslructure installed al NAC was sulficienl for the BBC'S demanding broadcasting and transf9r standards is testament to the foresight and value of the work undertaken duriThJ the capital scheme. Pag8 3
NORWICH ARTS CENTRE LIMITED (A company limited by guarantee) TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2023 ObJ•ctlv•s and activities Icontinuedl We continue io see the benefits of that ¢8FMtsI project. This gave us a l)uikling that offers unrivald access for performers and audiences alike, is one of the most sust8inable in the country in lemis of energy use and carbDn footprint reduction while providing technical standards that are the envy of many of not only our peers bul many larger facilities too. N(Thi¢h Arts Centre maintains a strong commitment lo what we see as our most valuable asset, our committed, enlhusiaslic. knowledg8able and loyal workforce. Under the adership of Director Pasco Q Kevlin and his senior management team (Bradley GL3sspole and Jayrbe Stewardl, the stsffing structure ha$ remained stable and able lo grow and adapt lo change sm(K)thly and seamlessly. whi we a¢¢ept we cannot pay salaries lo a level we would ideally like to, as a carirvJ employer we are committed to pay the INing wage as a minimum to casual staff and increase Salar as much as we prudently can. I strongty belleve that by doing all we can to create a safe and weknming enwronment for staff with fair pay and conditions we have fostergd a degree of commitment that has reaped rewards for both the organisalion and the èmployees. The patrons who agreed kgsl year lo lend theii names and regularty support us in various wayB has been maintained. l offer s6ncere thanks to comedian, actor and wril8c Adam Buxton, musician and composer Roger Eno, mulli award winning theatre makers Shll Theatre, screenwriter and creator Helen Serdfinowicz and artist David Shenlon. I shtyjld also like to thank my fdk)w Irustees for Iheir continuèd commitment. support. foresight and efforts throughout the year. The enviable reputation that has been generated by NAC over the past 40+ years continues to be signrficanlly strengthened and it continues to be a pleasure lo gieel both retumir4J and new audiences who continue to be ovetwhelmingly enlhusiaslic and appreciative. At the year's end. I feel Ihal NAC is in g¢Jod shat* to face the fulure and the challenges it offers Mlh an efficient monitoring process in place to aleri the management and board to any potential issu8s. Of ¢ourse, 202314 will prU¢e furthw opèrational and financial chaIngeS. But in the arts we have bec(¥ne ac¢ustom8d to thatl stephen A Forster. Chalr a. Fundraising activltl•s and income generation Nonmch Arts Centre doe5 not undertake conventional charitable fundraising aclivilies, il does not have any third- party fundraisers acting on 115 behalf and has not received any complaints about ils fundraising activity over the last year. Financial review a. Going concern After making appropriate enquiries. Ihe Trnslees have a reasonabbe expeciation that the company has adequate resources to continue in operational existence for the foreseeable fulure. For this reason, they continue lo adopt the going concern basis in preparing the financkol statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. Page 4
NORWICH ARTS CENTRE LIMITED (A ¢ompany limit by guarantsel TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MAJICH 2023 b. Rgs8rv•s poll¢y The notes to the financial statements show the assets and liabiliiies attributsble to the various funds by type. Al the 31 March 2023 lolal funds amounted to £556,41612022= £704,211). The charity has UnstrICted reserves of £72,201 12022.. £119,901) and restricted reserves of £484.215 12022.. £584,310). The free reserves of the charity at 31 March 2023 Ibeing the unrestricted current assets kss unrestricted current Ik?bilTtiesl amount to £39,48012022.. £83,988). The trustee's ongoing poli¢y is to mainlain a sufficient level of reserves so as to 6nabl8 the Arts Centre lo meet ils commitments as they f811 due. In additi'on the tmstees have CogniSed that Sufflent reserves need to be maintained to meet any potential redundancy payments that may be needed for employees should the Centre be forced to dose. The free reserves tsrg8t is £50k - £70k whKh is in line wrth the NPO forecast for the next three years. The trustees are comfortable the year end level of free reserves and are proje¢ting re¢overy of reserves over the NPO period lo meet the target e1. c. Flnanclal revlew Total incorne for the year ended 31 March 2023 was £973.878 compared to £851.596 for the previoLJS year. Included wthin other income in the Prev5 year was £63,359 of COVID funding, largely being from the Coronaviru5 Job Relenlion Scheme. Expenditure 01 £1.121,673 was incurred in this financial year 12022.. £877,6461. This has decreased the total funds held by the charity lo £556.416 at 31 March 2023. compared to £704,211 at 31 March 2022. Structur8* govèmance and management a. Constltutlon NOn1¢h Arts Centre Limited is gIStered as a charitable comp8ny limited by guarantee and w8s sel up by a Memor8ndurn of K8sttiation on 19 May 1977. The company is eonstiluted under a Memorandum of Associat dated 19 May 1977 and is a registered charty number 274803. The charitable objects are to promote. mainlain, improve and advance the arts. especially those activities which seek lo make th¢ arts relevant lo the community with particular ference to the county of Norfolk and the city of NonNich and the provision of facilities in the interest of S?1 edU¢all with the object of improving the ¢onditions of life of those persons for whom such facilities arg primarity intended. b. Methods of appointment or election of Trustees The management of the company is the responsibiltty ol the Trustees are elected and co-opled under the terms of the Trust deed. The members of the Company appoint the Council of Management. One third of the board relIS annually, on a roiatson basis. ReliriThJ memkrs may stand for reryelection. Page 5
NORWICH ARTS CENTRE LIMITED {A ¢ompany limlted by guarante?) TRUSTEES. REPORT (CONTINUED} FOR THE YEAR ENDED 31 AIARCH 2023 Structure. govemanc• and management l¢ontinu•dl c. Poll¢l8s adopted for the induction and training of Trust•es The ¢harty trustees wll make availate to each new chwity trustee. on or before his or her first appointment.. lal a copy of the currenl verston of Ihe Articles of Association: Ibl a copy of the lalesl Tnjsteès, Annual Rèrx)rt and statement of accounts.. and Icl are made aware of the guidance availab * Charity CommissN)n in¢luding CC3'The essential trustee,. d. Pay pollcy for key management pernonn•l Salaries for all NAC empk)yees are decided by a wages sub cDmmittee consisting of the Chair. Treasurer and one other board member. Advised by the Oire¢tor. General Manager and Finance Manager. Factors considered by the sub Committee include trading px)sth and reseNes. current inflationlcost of living and market forcgs in our industry. e. Risk managem•nt The Trustees have assessed the major risks to which Ihe company is exposed, in particular those related lo the operaliofts and finances of the company. and are satisfied that systems and procedures are in place to mitigate exposure to the major risk$. Key risks are identified in our business plan as= Lower than forecast ticket income is managed %Mth weektylmonthly and quarterfy monitoring, increasing efficiency and adjusting staffing levels as appropriate. Grant income from Arts Council England and olhef regular funding t*)dies falling below expected levels, managed by ongoing earch into other sources of funding. investigations into diversi1lg into new markets and close monitoring ol income expeclations. CUTnty ACE income Is deuded on a 3 year basis via their National Portfolio Organisation prograrnme. Insufficient reserves at end of financial year, managed with quarterfy a¢counls forecasts, monitoring actuals against budget forecast. Re-forcasting where ngcessary and adjusting expendtture as a result. Increasirbg efficiency and adjusling staffing levels as appropriate. ResignatK)nlloss for other reason of Directorlkey personnel managed by or¥Joing strength of staff structure and ensuring thal a deputising arKI Successi plan is in place. Boartl is SLrfficienlly Ybet of foot, to acl quickly on recruitment. National emergency lie Covidl managed by swft acth)n by Senior Management Team and Board to react to ¢hanging circumstances and folbw govemment adw¢e. Maximising use of government assistan¢9 lie furlough schemes). Adjusting trading pL4ns as required by govemmenl and bkjdgetary forecasts and business plan as approwate. Pa6
NORWICH ARTS CENTRE LIMITED (A company Ilmited by guarantee} TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2023 Plans for future period$ Norwich Arts Centre is a good rx)sition lo face Ihe nexl Ihree year5 Imlh some level of confiden¢e. we have secured our National Portfolio Organisation investsnent from Art5 Counal England. our eXrienCed core team remains in place, the bUIj1ng is in excellent condition, relatK)nships with artists and the creative community are strong, our audiences continue to Irust us and we all have Ihe passion to conlinue lo do what we love. Finance will ¢ontinue to be the central focus for every small cultural organisation in the country, but we have experiènced personnel and lesled systems in place to albw us to move forward with a level of confidence. We are in the process of taking on thè $)nsIbIlity to run anothw evenls-bas8d bar in a venue In the city, which will help our contributed income generation. We have retained our sponsorship retiOnship wth a local brewery. We wll continue in all areas of our aStiC talent development to regulaty supwrt new work to be Created. produced. toured, and enjoyed by audiences. Oui programme of events will ¢onts"nue lo be amongst the most excthng in OUT region, alw8y3 trying to ensure on a month by month there is something that is affordable ft)r everyone in the community we serve. Statement of Trustee$. responsibilitios The Truslees Iwho are also the directors of the company for Ihe purposes of company lawl are responsible for preparing the Trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingth>m Generalty Accepted Ac¢ounts"ng Practi¢el. Company law requires the Trustees to prepare financial $18temenls for each finanual Under company law, the Trustees musl not approve the financial statements unles5 they are satisfied that ihey give a true and fair view of the slate of affairs of the company and of ils incoming resources and application of resources, including its income and expenditu. lor Ihal period. In preparing these financial statements, the Truslee$ are required to.. Sglecl suitsble accounting pol18$ and then apply thgm cons61enty. observe the melFKMJs and prin¢iples of the charib.es SORP IFRS 1021,- make judgments and accounting eslimales that are reasonable and prudent., slate whether applicable UK Accounting Standards IFRS 1021 have been followed, subject to any material departures disclosed and explained in the financial stalemenls; prepare the financial statements on the going concem basis unless it is inappropriate lo presume that the ¢ompany will ntinUe in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the companls transactions and disclose wth reasonable accuracy al any lime the financial F)OSition of the company and enable them to ensure that Ihe financial statements comply bwth the Companies Act 2006. They are also responsible for safeguarding the assets of the wmpany and hence for iaking rea50nabfe steps for the prevention and detection of fraud and other irregularities. Approved by order of the memb8rs of the board of Trustees and signed on their behalf by. Stephen A Forster Chair D81e'. 301L-T Pag8 7
NORWICH ARTS CENTRE LIMITED {A company limited by guarantee) INOEPENOENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2023 Indopandent examlner's report to the Trustws ol Nonwkh Arts Centr¢ Llmlt•d1lhe company'l I report to the charity Trustees on my eXaminab. of the accounts of the company for Ihe year endetl 31 Malch 2023. Responslblllts and basls of report As the Trustees of the c¢xnpany {and its directors for the purwses of company lawl you are responsible for the preparation of the accounts in accordance the quIrements of the Companies Act 20061.the 2006 Acl'l. Having satisfied myseK that the accounts of the (x)mpany are not required to be audiled under Part 16 of the 2006 Act and are el)ible for independent examin8b"¢)n, I report in respect of my examination of the companls accounts ¢arried out under section 145 of Ihe Charities Act 2011 1.the 2011 Acfl. In carrwng out my examination I have followed the Di¢t10n$ given by the Charity Commission under section 145{Sllbl of 2011 Act. Independent èxamln•rfs statsm•nl Since the company's gro55 income eX¢èed £250,000 your examiner must be a mefflber of a L*)dy listed in section 145 of the 2011 Act. I confirrrh that l am qualrfied lo undertake the examir¢ation because l am a member of Institute of Chartered Accountants in EngLgnd Wales. which is on8 of th8 listed bodies. I hav8 completed my examination. I confim that no matters have c(xne to my attention in connection with Ihe examination givi me cause to believe= accounting rec(Kds were not kept in respect of the company as required by sgction 386 of the 2006 Acl.. the accounts do not accord wtth those records., or the accounts do not compty with the accounting requiremerbts of se¢th)n 396 of the 2006 Act other than any requir8m8nl that the accounts give a Irue and fairf view which is not a matt6r considered as part of an iJependent examination. or the accounts have not been prepared in acCOrdar with the methods and principles of the Statement of Recommended Practice for acuntirj and reporting by charitses lapplicable to charities preparing their a¢coun(s in accordance with Ihe Finan¢ial ReFth'ng starard applicable in the UK and Republic of Ireland IFRS 10211. I have no con¢ems and have come across no other mallers in c4)nne¢lion wth Ihe examination lo which allenlion should be drawn in this feport in order to enable a proper undersianding of the 8¢¢ounts to be aChed. Page 8
NORWICH ARTS CENTRE LIMITED (A company Ilmlted by guarantee) INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 This report is made solely to the companls Trustees. as a body. in acrnrdance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken $0 that l rnighl stale to the companls Trusle8s those matters l am required lo state to them in an Independent examinerfs report and for no other purpose. To the fullest gxlent pemiitted by law. I do not accept or assume responsibility to anyone other than the company and the ¢ompanls Truslees as a Lxjdy, for my w(Kk or for this report. ¢(LL Giles Kerkham FCA DChA (Senior statulory auditor) Larking Gow•n LLP Chartered A¢¢ounlants Norwich Date.. 10 October 2023 Page 9
NORWICH ARTS CENTRE LIMITED {A company Ilmlted by guardnteel STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEJJI ENDED 31 MARCH 2023 Unrnstricted funds 2023 Rèstricted funds 2023 Total funds 2023 Total funds 2022 Note Incom• from: Donab'ons and legacies.. Granis Other donations and legaCS Charitsble aclivili8s other trading ath"vits"es Other income 229.858 22,477 433.423 285,228 2.892 232,750 22.477 433.423 285.228 339. 107 79.290 274.518 155,322 63.359 Total income 970.986 2,892 973,878 851,596 Expendlture on- Raising funds Charitable activities 256,352 762.334 256,352 865,321 716,657 760,989 102.987 Total expenditure 1.018,686 102.987 1.121,673 877,646 Ngt mov•m•nt in funds {47,700) {100.0951 {147.795} (26.050J Rèconciliation of funds.. Total funds brought forward Nel movement in fun¢Js 16 119.901 147,7001 584,310 1100.095) 704.211 {147.7951 730.261 (26.050) Total funds carrled forward n.201 484215 556,416 704,211 The Statement of financ1 activities indudes all gains and losses rec4)gnised in the year. The notes on pages 14 to 31 form part of these financial slatements. Page 10
NORWICH ARTS CENTRE LIMITED IA company Ilmtted by guarantee) REGISTERED NUMBER.. 01329092 BALANCE SHEET AS AT 31 MARCH 2023 2023 2022 Note Flxed assets Tangible assets Investsnents 12 516.934 620,221 13 516.936 620.223 Current assets Stocks Debtors 18.770 24,664 130,909 8,091 26,512 203, 754 14 Cash at bank and in hand 174.343 238,357 Creditors.. amounts falling due within one year 15 1134.863) (154,369J Net Current assets 39.480 83.988 Total assets less current liabilities 556.416 704,211 Total net as$gts $56,416 704,211 Page11
NORWICH ARTS CENTRE LIMITED IA company limited by guaranteel REGISTERED NUMBER: 01329092 BALANCE SHE (CONTINUED} AS AT 31 MARCH 2023 2023 2022 Not• Charlty funds Restricted funds Unceslricted funds 16 16 484,215 72,201 584,310 119,901 Total funds 556,416 704.211 The company was entitled to exempts.on fr1 audit under t)n 477 of th& CpanIeS Act 2006. The members have not required the company lo obtain an audit for the year in questK)n in accordance with secb'on 476 of Companies Act 2006. The Trustees acknovrtedge their responsibilities for complying wilh Ihe requirements of the Act with respect lo accounting records and pfeparalion of financial statements. The financial slalements have been prepared in a¢cordance with Ihe provisN)ns applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the TnJslees and signed on their behalf by. S Forster Chair Date.. 3 0,LL- CJII The notes on pages 14 to 31 form part of these financial statements. Page12
NORWICH ARTS CENTRE LIMITED (A ¢ompany limited by guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2023 2023 2022 Cash flows from operatSng actlvStles Nel cash used in operating activitses {63.4491 726,219 Cash flows from Investing activities Purchase of tangible fixed assels (9,3961 (36,815) Net cash used in investing a¢tivities 19,396> {36,8151 Change in cash and cash equivalents In the year Cash and cash equivalents al the beginning of the year (72,845} 203,754 89,404 114.350 Cash and cash equivalents at th* end of the y••r 130,909 203, 754 The notes on pag8s 14 10 31 fomi part of these financial ststements Page 13
NORWICH ARTS CENTRE LIMITED {A ¢ompany limited by guarant••} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 General Infom)atlon The company is a company limited by guarantee, incorporated in Englar and Wales. The registered office is 51 Sl Benedi¢Vs Street, Norwich. Norfolk, NR2 4PG. The registe Company number is 01329092. The members ol the company are the Trustees named on page 1. In the event of the company being wound up. the liability in respect of the guaranlee is limitod to £1 per member of the Company. Accounting pollcles 2.1 Basi$ of pr¢paratlork of financial $lat6ments The financial statements have been prepared in aCCdanCe wth the Charities SORP IFRS 102} - Accounting and Reporting by Charities.. Slaiement of Recommended Practice applicable lo charitie5 preparing their accounts in accordance with the Financial Re[)n9 Standard applKable in Ihe UK and Republic of Ireland IFRS 1021 leffectNe 1 January 20191, the Financial Reporting Standard applicable in the UK and Republic of Iand IFRS 1021 and the Cc¥npanies Act 2006. Norwch Arts Centre Limited meets the definition of a public benefft enb.ty under FRS 102. Assets and liabilities are initialty rec(unised at historical cost or transaction value unless otherwise stated in the relevant 8¢¢ounting policy. 2.2 Company status The company is a company limited by guarantee. the members of the company are the Trustees named on page 1. In the event of the company being wound up, the liability in respecl of the guarantee is limited to £1 per member of the company. 2.3 Going ¢onc•m The Trustees have consMlered the Chartys position at the time of signing the financial stalemenls, and in particular the effects of ecorK)mic uncertainty and inflation. a5 de5criL)ed in more detail in the Trustges, Report. Having considered a range of scenarios, together wth the range of measures the Trustees Could lake to further manage costs should the need arise, the Trustees are confident that Ihe Charity is well positioned lo weather any ftjrthef challenges presented and to continuè lo deliver its setvices. The Charity contsnues to receive the NPO grant amounting lo £185k pgr annum which is in pla¢e for the next three years from April 2023 to March 2026. Based on this. the Trustees have that they are nfident that the Charity will have adequale resources lo continue in operational existence for the loreseeable future. being al least Iwelve months from the date of sKJnirKJ these Iinancial ststements, and they therefore Continue to adopt the goirvJ ¢oncem basis of a¢¢ounting in prepariw these financial ststements. Page 14
NORWICH ARTS CENTRE LIMED IA company Ilmtted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Accountlng pollcl•$ (¢ontlnuedl 2A Income All inwm8 is recognised once the company has enliuemenl lo the incom8. it is probable that the inwme will be received and the amount of income receiwdble can be measured reliabty. Grants are include¢J in the Stalemwt of financial aclNities on a receivable basis. The balance of income re¢eived for specrfic purposes but rrt)t expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of enlillemtrnl of receipt. ils recognilK)n Is deferred and included in creditors as ¢Jeferred income. Where enlillement occurs befo income is re1ved. the irorne is a¢crued. Donated se¥vic8s or facilities are recognised the company has control over the item, any conditions associated with the donated item have been meL the receipt of economic benefit from the use of the company of the item is Probable and that econom benefit can be measured reliably. In accord8nce with the Charities SORP IFRS 102}, the general volunteer time of the Friends is not recognised and refer lo the Trustees. report for more information aut their conlribulion. On r8¢eipt, donated prof8ssthal seMc8s 8nd facilities are recognised on the basis of the value of the gift to the company vthich is the amount il would have been wlling lo pay lo obtain services or facilibes of equivalent economic bènefrt on the open markèt- a CoespOndIng amount is thon recognised in expendilure in the period of receipt. Other irorne is recognised in the rIOd in whith it is recwvable and lo the extent the goods have been prowded or on completM)n of the service. 2.5 Expendlture Expenditure is recognised on an accnJals basis once there is a al or construclive obligation lo transfer economic benefit to 8 third paty. it is probable that a transfer of economic benefits will be required in selllement and the amount of the obligation can be measured reliably. Expenditure is cLg55ified by activity. The costs of ea¢h activity are made vp ol the total of direct costs and shared costs, including support cosls involved in undertaking each acliwty. Direct costs allributable lo single actrvity are all(Kated direclty lo that actimty. Share¢J costs which contribute lo more than one activily and support costs which are not attriltable lo a single activity are apportioned been those activities on a basis consislenl wilh the use of resources. Central staff costs are allocated on the basis of lime spent, and deprgciation charges alk)¢ate(l on the porlion of the asset's use. Fundraising costs a those incurred in seeking voluntary contribulions and do not include the costs of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expendItsj on the 0"ects of the company and include project management carried out 81 Headquarters. Governance costs are those incurred in connection with administration of the company and comlance with constitutional 8nd ststutory requirements. CharitaNe activities and Governan costs are costs irKurTed on the companys educational operations, including suprth costs and costs relats.ng to the govemance of the company apportioned lo charitable a¢tivitr"es. Page 15
NORWICH ARTS CENTRE LIMITED (A c¢)mpany Ilmfted by guarantèe) NOTES TO THE FINANcL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Accounting policies IcontlnuÈdl 2.6 Tanglble flxed assets and deprèclatlon Tangle fixed assets costing £500 or more are capitali58d and recognised when future economic benefits are probab and the cosl or value of the asset can be measured lIablY. TanglIe fixed assets are inib.ally recognised al cost. After recognition. under the ¢osl model, tangible rixed assets a measured al cost less acDJmulate¢J 4Jepre¢iation and any accumulated impairment losses. All costs incurred to bring a iangible fixed assel into ils inlonded working condition should be included in the measuremgnt of cost. A review foi impairment of a fixed asset is carried out if events or ¢hanyes in circumstances indicale Ihat the Cang value of any fixed asset may not be recoverable. Shortfalls between the ¢arryng vakje of fixed assets and their recoverable amounis are recognised as impairments. Impaiment losses arg recognised in the Statement of financial actimties incorporatiryj income and expenditure account. Depreciation is charged so as to alknate the cost of tangible fixed 8ssels less their residual value over their estimated useful lives. Depreciation is provided on the following bases.. Freehold propety Long-term leasehold propety Freehold L4nd General equipment 31 years straight line 31 years straight line Not depreciated 1-7 years straight line 2.7 Investments Investments in subsidiaries are Va at cost $$ prOvtsic for impairrnent. 2.8 Stocks Stocks are valued at the lower of cost and nel realisable value after making due allowance for obsolete and sk)w-moving stocks. Cost indudes all direct cx)sts and an appropriate proportion of fixed and variable overheads. 2.9 Debtors Trade and other debtors are Tecognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.10 Cash at bank and In hand Cash al bank and in hand indudes cash and short-t8mi highly liquid investments with a short maturity ol three months or less from the date of acquisition or opening of the deposit or similar account. Page 16
NORWICH ARTS CENTRE LIMITED {A Company limited by guarnnt••} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Accounting policies {contlnued) 2.11 Liabilities and provisions Liabilities are recognised there is an obligats.on al the Balance sheet date as a result of a past event. il is probable that a transfer of economic benefit wll be required in setuemenl, and the amounl of the 5ettlemenl can be estimated reliably. Liabilities are recognised at the amount that the company anticipates tt wll pay to settle the debt or the arnounl il has received as advanced payments for the gocrfjs or services il musl provide. Provisions are measured at Ihe best eslimate of Ihe aMjnIS required to settle the obligation. Where the effecl of the time value of money is material. the provision is based on the present value of those amounts, discounted al the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount 15 recognised in the Ststernent of financial activtties as a finance cost. 2.12 Financial instruments The CnpanY onty has financial assets aThJ fina131 liabilities of a kind that qualify as basic financial instrumènts. Basi¢ financial irkstruments are intb'alty rec<yJnisÈd at transa¢tion value and subsequently measured at their settlement value wth the excepb.on of bank bans whi¢h are subsequently measured al amortised cost using the effective inlerest method. 2.13 Opgratlng l•as•s Rentals paid under operakn.ng leases are charged to the Slalement of financial actiwlies on a straight line basis over the lease term. 2.14 P8n$lons The company operates a defined contribution penSn scheme and Ihe pension charge reprtrsents the amounts pardble by the company to the fund in respect of the year. 2.15 Fund a¢countlng General funds are unrestricted funds vthich are available for use al the discretion of the Trustees in furtherance of the general objectives ol the company and %thich have not been designated for other purposes. Restrted funds are funds which are to be used in accordance wtih spec(fic reslnclions imposed by donors or which have been raised by the company for parb¢ular purposes. The costs of raising and administering such funds are Charged against the spectfi¢ fun¢J. The aim and use of each restricted fund is sel out in the notes to the finanaal statements. Page 17
NORWICH ARTS CENTRE LIMITED {A company limited by guarantee) NOTES TO THE FINANCIAL STATEAIENTS FOR THE YEAR ENDED 31 MARCH 2023 Incom8 from donations and legacies Unrestrlcted Restrlct•d funds funds 2023 2023 Total fund$ 2023 Arts Council England - National Portfolio Organisation Oonalions Local authority grants Arts Council England - Other 185.421 22.477 44,437 185,421 22.477 44,437 2,892 2,892 Total 2023 252.335 2,892 255,227 unrestn.cted funds 2022 Restiycled funLIs 2022 rolal funds 2022 Arts CiyJncil England- Nabonal Portfol Organisation D(atIOnS 185,421 19,290 44.437 49.738 185,421 79,290 44,43T 109.249 Local authority grants Atts Council England - Other 59.511 Total 2022 298.886 59.511 358,397 Income from Charitab a¢tlvltJ•s Unrestrl¢t•d funds 2023 Total funds 2023 Box office income 388.704 20,425 24.294 388.704 20.425 24.294 Premises hire Other income Total 2023 433.423 433,423 Page 18
MORcH ARTS CENTRE LIMITED {A company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Income from ¢harltsbl• a¢tlvltles Icontlnuedl Unrestricted fvnds 2022 Total funds 2022 Box office income Premises hire Insurance- loss of earnings Other income 240,059 12,460 3.170 18,829 240,059 12,460 3.170 18,829 Total 2022 274,518 274,518 Incomè from other trading a¢tlvttie3 Unre$trlcted funds 2023 Total funds 2023 Cafe Bar sales Corporate swnsorship Other fundraising income The Halls Bar sales 233,862 13,500 8,795 29.071 233,862 13,500 8,795 29,071 285.228 285.228 Unrestricted funds 2022 Total funds 2022 Cafe Bar sales Olher fundraising income 149, 137 6,185 149, 137 6,185 155.322 155.322 Page19
NORWICH ARTS CENTRE LIMITED IA ¢ompany limited by guarnnts¥} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Oth•r Incoming re50ur¢¢$ Total funds 2023 Covid-19 Grant Coronavirus Job Rèt6ntion Scheme incL¥ne Total 2023 Unrestricted funds 2022 Total funds 2022 Covkl-19 Grdnl Coronavirus Job Relenbon Scheme Income 27,500 35.859 27,500 35.859 Total 2022 63,359 63.359 During the prevKJUS financial year. the Charity received excepbonal govemment funding as part of the Coronavirus Job Retents)n Scheme. Funding represents the (x)sts of empbwng certain staff unable to CBrry out their ¢Juties as a result of the coronawrus crisis. Exp¢ndltura on raising fvnds Fundraislng trading expenses Unr•strlcted funds 2023 Total funds 2023 Cafe Bar purchases The Halls Bar purchases Staff costs 92.507 18,595 145,250 92.507 18.$95 145.250 256.352 2S6.352 Page 20
NORWICH ARTS CENTRE LIMITED IA company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Exynditurg on ralslng funds Icontlnued) Fundraising trading expens•$ {contlnu•d) Unrestricted funds 2022 Total funds 2022 Cafe Bar purthases Staff costs 60,249 56,408 60,249 56,408 11 6.651 116,657 Analys1$ of expendlturè by actlvltles Activltles undertaken directly 2023 Support ¢o$ts 2023 Total funds 2023 Charitable activities 484.111 381.210 865,321 Actsvitigs undertaken thTrcfly 2022 Support costs 2022 Tolal funds 2022 Charitable activities 408.087 352.902 760.989 Page 21
NORWICH ARTS CENTRE LIMITED IA ¢ompany limitod by guarantso) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Analysis of expenditure by actlvhl•s Icontlnu•d) Anatysls ot direct costs Total funds 2023 Dlr¢ct costs 2023 Stsff costs Technical costs 155,188 11.088 12.546 17,638 965 8,388 246,413 5,540 12,787 13.558 155,188 11,088 12,546 17,638 965 Equipment & materials Security Training Travel & sijbsistence Perfomier fees & eXnSeS Performer Rights Society Bank charges Online bckel sales expenses 8,388 246,413 12,787 13.558 484.111 484,111 Total funds 2022 Direcl costs 2022 Staff costs Technical costs 149.349 12.383 10.933 21.253 5,038 10,8T4 169, 100 6.808 11,184 11.165 149.349 12,383 10,933 21,253 5,038 10, 874 169. 100 6,808 11,184 11,165 Equipment & materials Se¢urty Training Travel & subsi5ten¢e Perfomier fees & expenses Perfomer Rights Society Bank cha¥ges Online lickel sales expenses 408,087 408,087 Page 22
NORWICH ARTS CENTRE LIMITED IA company limited by guarante•l NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Analysls of expenditure by activities Icontlnuedl Analysls of support co$t$ Support costs 2023 Total funds 2023 staff costs Clèaning R8nl and rates Insurances 114.221 11,272 25.069 114,221 11,272 25.069 b il 10.731 29,149 26,092 3.720 10.875 12,922 124,571 12.588 10.731 29,149 26.092 3,720 10,875 12,922 124.571 12,588 Heal, light and water Office costs and admin Legal and professional Advertlsing Other buildiThJ charges Irrecoverable VAT Depreciation 381.210 381.210 Support ¢0sls 2022 Total funds 2022 Stsff costs Cleaning Rent and rates Insurances Heat, light and Wdler Officg costs and admir7 Legal and professional Advertising Other buildir¥J charges Irrecoverable VAT Depreciation 110, 742 8,677 23.356 9,008 17.427 76,502 7.419 9, 149 24.932 113.919 11,777 110, 742 8,677 23,356 9,008 17,421 16,502 7,419 9, 149 24.932 113,919 11,777 352.902 352.902 Page 23
NORWICH ARTS CENTRE LIMITED {A company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Independent ¢xamln•rfs remuneration 2023 2022 Fees payable lo the company5 independent examiner for the irKleF*ndent examination ol the cornpanys annual aG¢ounts l other serwces not included above 3.300 1.670 3,0( I,OC 10. Staff costs 2023 2022 Wages and salaries Social security costs Contribution to defined contribulh)n pension schemes 384.259 26.554 3.846 290,979 21,759 3, 761 414,659 316.499 The average number of persons empbyed by the company duriNJ the year was as follDWS.' 2023 No. 2022 Employees 22 No employee receiv8(I remuneration amounting to more than £60,000 in erther year. Key management personnel includes the Trustees, the Director, the General Manager and the Finance Manager. The total amount of employee benefits received by key management personnel for their seNices was £l32.(912022.' £126.2991. 11. Trustees. remuntratlon and expensts During the year, no Tru51ees re¢eNed any rernUnerat or other benefits (2022- £NIL). During the year ended 31 March 2023. expenses lotalling £T8 were reimbjrsed or paid direcuy lo 1 Trustee (2022- £NILI. Page 24
NORVIICH ARTS CEfvifRE LIMITED IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 12. Tangible fixod assets Long4èmi Ioasèhold property Freehold property FMhold land Goneral •qulpm•nt Total Cost At 1 April 2022 Additions 381.034 254,384 7.033 969,154 9,396 1,611,605 9,396 Al 31 March 2023 381,034 2S4.384 7.033 978.5S0 1,621.001 Dgpreciatlon Al 1 April 2022 Charge lor the ye8r 282,706 12.291 207.522 5,857 501,156 94,535 991,384 112.683 Al 31 March 2023 294,997 213,379 595,691 1.104,067 Net book value Al 31 March 2023 86.037 41,005 7.033 382,859 516,934 At 31 March 2022 98,328 46.862 7,033 467,998 620,221 Pagè 25
NORWICH ARTS CENTRE LIMITED IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 13. Flxod a$s•t In¥•$tmonts Shares in group undertaking Co$t At 1 April 2022 At 31 March 2023 Prlnclpal subsldlarles The f01thn9 was a subsidiary undertaking of th6 company. Name Company number Prln¢lpal actlvlty Hokllng Includad In ¢on$o1idation NAC Cafg Bar Limited 03716749 Dormant 1% Yes The financial results of the subsidiary for the year were.. Name Nèt asset$ NAC Cafe Bar knmtted 14. Debtors 2023 2022 Due within one year Trade debtors 12.251 6,235 3,320 16.957 Olher debtors Prepayments and acrxued income 12.413 24,664 26.512 Page 26
NORWICH ARTS CENTRE LIMITED IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 15. Creditors: Amounts falling due within onè year 2023 2022 Trade creditors Other taxation and social securrty Other ¢redilors Accruals and deferred intt)mÈ 14.039 14,807 19, T88 10.862 1,319 122,400 106,017 134,863 154,369 2023 Deferred income at 1 April 2022 Resources deferred during the year Amounts released from preuS PrS 117.009 104.179 {117,009} 104.179 Defefred inujme is in relation to advance ticket sales 8fKI events taking place after the financial year end. Page 27
NORMCH ARTS CENTRE LIMITED (A company limited by guarant¢¥l NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 16. Stat•m•nt of funds Statement of funds- current year Balance at 31 March 2023 Balance at 1 April 2022 Income Expenditure Unrestricted funds General funds 119.901 970.986 (1.018.686) 72,201 RtrICtsd funds Restricted funds 584.310 1892 1102.9871 484,215 Total of funds 704,211 973.878 {1.121.6731 556,416 Statom¢nt of fvnd$ - prlor year Balance al 37 March 2022 Balance at 1 Apiil 2021 Transfers in/out In¢ome Expenditure Unr•strict•d lund$ General funds 94.250 792,085 (786.735) 20,301 119,901 R•strictod funds Restricted lunds 636.011 59,511 (90.911) (20,301) 584.310 Totsl of fvnds T30,261 851.596 (877,646) 704,211 Reslricled funds represent funds received from the lottery and Arts Council lor improvements lo buildings and facilities. Page 28
NORWICH ARTS CEKfRE LIMITED {A company Ilmited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 17. Anatysl$ of net assèts betw••n ndS Analysls of net assets between fund$ - current year Unrestricted funds 2023 Restricted funds 2023 Total funds 2023 Tangible fixgd assets Fixed asset investments Current assets Credilors due thIn one year 32.719 484.215 516.934 174.343 (134.8631 174.343 1134.8631 Total 72.201 484.215 556.416 Anatysls ol net assèts betw8en funds - prlor year Unrnslricted fvnds 2022 ReStted funds 2022 Totsl funds 2022 Tangib18 fixed assets Fixed asset investmgnls Current assets Creditors due wlhin one year 35,911 584.310 620,221 238.357 (154.369) 238.357 (154,369? Total 7 19.901 584,310 704,211 Page 29
NORWICH ARTS CENTRE LIMITED IA company limited by guaranlw) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 18. R•conclliation of net mo¥•m•nt In fvnds to net ¢a$h flow from operatlng a¢tlvltles 2023 2022 Net expenditure for the year {&8 per Statement of Finanaal Activities) 1147.7951 (26,050) Adjustments for. Depreciation charges Increase in stocks Decrease in debtors In¢reaselldecrease) in credilors 112.683 110.6791 1.848 119,5061 102.688 (3.701) 9,797 43,497 N•t $h provided byl(ustd Inl operating activitie5 163,4491 126.219 19. Analysis of ¢ash and cash equivahnts 2023 2022 Cash in hand 130, 203. 754 Total cash and eash equivalents 130,909 203, 754 20. Analysis of chang•$ In net debt At 1 April 2022 Ca$h flows At 31 March 2023 Cash al bank and in hand 203.754 {72,8451 130.909 21. Pension Commitments The company operates a defined Lxjnlribution penSn scheme. The assets of the scheme are held separately from those of the company in an independentty administered fund. The pension Cost charge represents contributions payaNe by the company lo the fund and amounted to £3,846 12022= £3,761). Contributions lotslling £Nil 12022.. £1.3191 were payabk lo the fund at the balance sheet dale and are included in other fftdil(xs. Pa9e 30
NORWICH ARTS CENTRE LIMITED IA company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE VEAR ENDED 31 MARCH 2023 22. Operatlng lease commltmonts At 31 March 2023 th& mmpanY had commitments to make future minlmum lease payments under rA)n- Cancellable operating leases as folbws= 2023 2022 Not later than 1 year Laler than 1 year and not later than 5 years 17,000 17,000 17,313 34,000 17,313 23. Related party transactions During the year, the company made sales of £570 {2022.. £494} and incurred purchases of £3.660 {2022.. £3,650) in relation to services provided lo and from LJ Hope Production5, of which Lucy Farrant is sole proprietor. The balance due at the year end was £Nil12022= £Nil}. The company also made purchases of £Nil {2022.. £1001 from Lucy Farranl. During the year. the company incurred purchases of £Nil (2022: £2.900) Luke Wright. The balance due al the ygar and Was £Nil (2022= £Nil). During the year, the company incurred purchases of £2,150 {2022= £5751 in rel81ion to seTwces provided from Maria Uzor. The balance due al the year end was £Nil {2022'. £Nill. I transa¢lions were made at an 0 market basis. During thé year, the Director received an unse¢ured interest free loan of £1,000 from the company. At th8 finanaal year end, the balance due to the company from the Director amounted lo £1.481 12022= £4611. Page 31