Cornwall Theatre Company Limited (A Company Limited by Guarantee) Legal and Administrative Inforn)ation The full namt of the charity 18 Cornw811 Theatre Company Limited. The Gharity is also known by the names The Apom, Penzance and The Acom. Directors Paul Mullin (resigned 31103120241 (Chairperson to 3110312024) Paul Inman (appointed 1510312023) (Chairperson from D110412024) Andrew Edmonds Dave Hunter Alex Sowerby Jo Willsher Alastair Johnston Alva Davey Independent Examlner: Dick Maule The Cross House South Woodchester GL5 SEL Bankers: Lloyds TSB Market House Penzance TR18 2TN Dat8 of Incorporatlon: 23rd September 1981 Company reglstratlon no: 1587249 Registered office: The Acom Parade Street Penzan Cornwall TR18 4BU Charity registration no: 283545 THE REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2023 1. Introduction and context 2023 was a year when audience numbers at The Acorn recovered to pre-pandemic 18vels. There is still of course roorn for improvement. but we remain Dptimistic about the future. Many live arts performance venues in the UK ar8 in a very different position. Covid, of course. has not gone away-. il is now endemic in the 8nvironment and continues lo mutate. Thankfully, though. the v2tcines have all but gliminated serious illness requiring hospit21 admission. We are now dealing with how tli8 'pandemic wodd. has changed human behaviours. Thè purpose of this report is to describe in aeneral iems how the charity has fared during 2023. 2. Operating Perforniance In 2023.The Acorn has been fullyfunctioning, and numbers attending events have been good. Thanks to our relatively healthy financial reserves and the annual support grant from Cornwall Council. the Charity was able to negotiate 2023 in good shape. It should be noted, however, that tho ongoing cost of living crisis presents challenges. Our audiences have been feeling the pinch. and finding suitably priced accommodation for acts as well as other added expenses has by necessity needed to be ￿flected in ticket pricing. We have continued to focus on fundraising with Ihe dual aims of staying viable and completing the theatre capilal refurbishment pro9ramme. Thanks to the generosity of local people in making donations and supporting our Crowdfunder- core funding from Cornwall Council and Penzance Town Council., central government funding ¥ia the Culture Recovery Fund (CRF) administered by the Arts Council for England jACEI,' and the tireless work of our fundraising partner, Two Green Magpies, in finding and securing grants from charitable bodies, The Acorn's future continues to look dynamic and positive. Our Theatre Manager, Richard Cawley. continu8s to work long and extremely hard keeping Ihe theatre running, project managing the adaptations and renovation works and generally keeping all concemed in order. We owe him a large thank you along with thanks to Hannah Temme, our brillianl Theatre Assistsnt, and social media guru, Nicola Venn, who also provide much needed and efficient support whilst also contributing much from their wealth of experience. Likewise, the freelance sound technician, Steve Warhurst, who works to keep the awe and wonder, side of productions in order. Many mportanl things happen behind the s￿neS at the theatre- our bookkeeper Sue Rushforth. and Steve Revill ensuring Ihe efficient payment of payroll and pensions are just of our long-serving freelance and voluntary gt2ff. M8ntion must also be made of the S0+ dedicated and highly competent volunteers, without whom we would not be able to function. Wa owe them a huge debt of gratitude, Even Ihroughout these still Somewhat uncertain limes, The Acorn Thas endeavoured to remain true to a commitment to provide a diverse programme of live arts entertainment and activities for local people at affordable prices. To this end we have implemented a 'pay what you ar8 able, ticket pricing scheme on a regular basis for èvents, whereby less financially able audience members can pay what they can afford. We have also focused spend on the upkeep of the fabric of our building in the heart of Penzance. Old buildings require ongoing care and attention, aspecially when providing for Ihe diverse needs of audiences in the 21sl Century. To this 2nd. work is currently in hand to refurbish the cabaret bar ané toilets, replace the existing lift. and provide a new gtaircase between the performance spaces. 3. Governance In 2023, the process of developing our 8oard of Trustees and maintaining our pool of volunteers continued, focusing on specific skills gaps and the ability to contribute time and energy to meet the Charity's Objects and Mission. A few trustees Game and went, Paul Inman joined the board and is n¢)w Chairperson. All the directors of the company are also Irustees of the Charity. and their responsibilities include all th8 responsibilities of directors under the Companies Acts, and as trustees under the Charities Act. The directors receive no remuneration Dr expenses and are the only members of the company. We r&vi8W8d our Business Plan in 2023 in light of Ihe Covid pandemic and with a particular emphasis on suslainability, both environmental and financial and now have a clear and concise vision for th8 next four years. 4. Events & Audlences 2023 saw us being able to increase our number of shows from 124 to 172, with a trjtal audience of 20,800 ,,'see table below). We are planning to iricrease the number of events to around 200 in 2024. 5. Flnances A comparison wtth 2022 key financial metrics shows our recovery from Ihe Covid4epressed years. The Balance Sheet improved by 6 % to £413.000 over the Gourse of 202312022.. £390.720) with the net book value of fixed assets increasing L)y 12.40/0 lo E359,83912022: £320,106), thanks to grants and reserves expended contributs'ng to the refurbishment programme. Income from Charitable Activities increased by a staggering 62°/o, year on year - d real indicator of our rate of recovery from the pandemic. Our liquid cash position fell from £96,042 lo a still healthy £41,886 as we spent grant income on building works ane equipment. Finally, Advance Tick81 sal85 increased by 39 % over 2022 10 £8,643, indicating a recovery in confidence of local people after the pandemic. The figures above include £10.000 support from Comwall Council as 8 Strategic arts partner to support core costs and maintaining the theatre as an architectural and cultural asset. During 2023. we also received grants from Ihe Culture Recovery Continulty Fund Imanaged by Arts Council England) and The Penzance Towns Deal Fund. We are extremely grateful for their generosity in supporting our cause. We are indebted to Ihe people of Penzance and Penwith and lo Ihe oroanisations listed above for their support - and especially to Penzance Town Council and Comwall Council, for both theirfunding and strategic support. 6. Structure, Govemance and Management The charity is a company limited by guarantee and incorporated under the Companies Acts. Its governing document is its Memorandum and Articles of Association. The trustees continue to keep the governance of the charity under review, and endeavour to demonstrate best practice in all their actions. After careful consideration, we are confident that the charity's assets are adequate to fulfil ils Dbligalions and risks in the coming year. We also continue to look ahea(i to )e as prepared as we can be to deal with rirr.1im.qlxnr.p.8 beyond Dur control. OBJECTIVES AND ACTIVITIES OF THE CHARITY 7. A summary of the mission and objectives of the charity Comwall Theatre Company's mission is to provide and support life-enriching 8xperiences for the community of Penzance and West Pomwall. through a diverse range of live performance arts that are exGiling, inspiring and of high quality at affordable prices, whether as a participant or audience member, The objectives of the charity include the promotion. improvement, advancement, education and encouragement of the performing arts in Penzance and West Cornwall. This Is achieved by arranging and facilitating events within the venue lo promote and advance the arts within local communities and by offering to the general public the opportunity to participate in and benefit from events and classes. 8. Statement of public benefll The Trustees of the Acorn are satisfied that they have complied with the duty in section 4 of the Charities Act 2006 to have due regard to publi¢ benefit guidance published by the Commission and that the directive of public benefit has been observed in all activities undertaken by the charity. 9. Summary of activities, participation and audience numbers The charitable remit of The Acom is to provide aGcess to the arts to the1ocal community of Penzance and West Cornwall, both as audience members and as participants. During 2023, 172 events were Staged and total audience figures for the yEar recorded as 20,800. By comparison, during Covid in 2021 the Iheatre hosted 72 ?vents with a little over 7.000 attendees. For 2023, audienc8 figures broken down by art form were as follows: Number of Event5 Genre Actual Sales Theatre Music Comedv Circus 31 2685 105 12988 860 458 Craft Fund Raiser 140 Family spoken Word Private Hlre 468 12 2219 50 Oance Total Èvents 322 20800 172 The following weekly classes were also held at The Acorn for at least 10 w8eks each during the year.. Circus Skills- okler teens and adults Shallal - a dance and drama class for people with a leaming disability ears in the Park- pre-school group Distant Dances- inclusive dance group The average number of weekly participants across each weekly class was approx. 20. Through the number and variety of events staged at The Acom. we met our charitable objectives to promote and increase the provision of a broad range of perfomiing arts in Penzance and West Comwall and support local artists and companies. We also mel our objective of providing a venue for arts-based community activities and offering opportunities for participation in arts activitles at all levels. 10. The contribution of volunleers The Acorn Board of Trustees is very grateful for the fantastic support Df our volunteers who enable the day-to-day operation of the charity by helping with activities SLJch as selling tickets, stewarding. marketing and publicity, and Ihe Maintenan￿ of our premises. The Trustees are also volunteers of the charity, of course, and have received neither reimbursement nor expenses for their time and service. During 2023, we had 50 active volunleers at The Acorn (including trustees). At a conservative valuation, over 2900 voluntary hours were donated to The Acorn, during the year through @vent siaffing, maintenance. meetings and other activities. Valued at minimum wage, this amounts to a Gash equivalent of around £30,000. 11. Future Plans There is much to do to realise and secure the Acorn's financial and artistic potential. In 2023, we have continued to experience a number of cancellations of events due to Covid or somewhat depressed ticket sales from the cost-of-living squeeze. The workload for Dur Theatre Manager and Theatre Assistant remains heavy and is added lo by the chum caused by Ihese cancellations. Our immediate priority is therefore to secure SLrfficient long-terrn funding for a further administrative post to reduce his workload to Sustainable levels. Programming events for diverse, live perfomiance arts is at tlne ieart of OLJr mission and we are now programming proactively, aboul nine months ahead. Whilsl we mugt always be financially secure, we are in a position where we can begin to take some programming risks and by working with Dur sister venue5 across Comwall, we hope to increase otjr theatre offering, and encourage larger, national and regional ariists I companies lo the south-western tip of (he UK. We )elieve that participating in and consuming live Jerformance arts is a life enhancing and community building experience, so we will work with our Local ?artners to extend iheatre and performance access to socially 01 economically excluded groups. We have completed aboul 80010 of thè current refurbishment programmè, but still need to raise around £100,000 to complete the renovation of the building and its equipment, so will continue to work with oui fundraising partner lo secure addits-onal granl income. Having replaced our antiquated and inefficient boilers and converted the entire building lo LED lighting, we will continue to look for ways to reduce our environmental impact and carbon footprint. The refurbished toilets will offer far better aGcess and double the number of female cubicles. Furthermore, the upgraded lechnical equipment should help us to attract higher calibre acts. Other fundraising priorilies includè a iew PA syslem, a cloakroom area, replacement of the aged sealing. clil upgraded lire alarm system, intruder alarms, improvements to the stage and storage, and a iiew ￿cTv will rtnsure increased comfort, safety and security. We are currently investigating solar panels and heat pumps which would allow us lo be carbon neutral L)y 2030, together with the possibility of replacing the lift for improved accessibility. We will continue to refresh our pool of Trustees and volunteers in 2024, focusing on specific skills gaps and the ability to contribule time and energies to the enterprise. We will also review our operating policies, key risks and mitigations. FINANCIAL REVIEW 12. Policies on reseNes As a result of Covid. the charity needed grant funding to continue operating. which the trustees recognise carries some risk. Ouraim is to maintain a Risk Reserve ofaround £36.000- around 3 months operating costs - to cover seasonal dips in Income, unforeseen operating losses., uninsured emergency repairs and equipmenl lailures. The charity has in past years increased the percentage of ghared income events (splits) as opposed to flat rate hire fees. Each event is assessed for the risks attached, but inevitably, not all events are as successful as we forecast. 13. Forward look The operating environrnent will be uncertain and challenging 2024 and 2025 as the new government attempts to build the economy and improve public services and confKlence. Our aim is to continue to increase the range and number of events with additional marketing to enable us to deliver a surplus again as we had done In the Ihree years preceding ihe pandemic. We will control discretionary expenditure tightly to match Ihe improving financial performanc& in r)rdp.r to avoid increasing financial risks. Based c)n this trajectory, the trustèes have set a budget for 2024 aimed at continuing financial viability and self-sufficiency. This will enable us to continue to extend our arts activities, to rebuild our reserves, and, with the help of specific grants, (o invest in increasing community arts engagement. The charity currently benefits from an annual grant of £10.000 from Cornwall Council to support staff and core running cosls until 2024 and the trustees are extremely grateful lo the Council for this support. All other recurrent income is generated from the activities of the charity. Tho primary objectlV8 at th8 outset of each year is to run the charily in a business-like manner and achieve a surplus. while continuing to meel our charitable Dbjective of Iow-COSt a￿esS to live performance arts for local people. The trustees are of the opinion that sufficient lunds are available to Cary out the planned activities in the future. 14. Statement of Directors, and Trustees, ResponsibilltSes Charity law and the Companies Acts requir8 the Board to preparg financial ststements for each financial year which give a true and fair view of Ihe state of affairs of the charity as at the end of the financial year and of the surplus Ejr deficit of the charity. In preparing those financial statements Ihe Board is required to.. select suitable accounting policies and ihen apply them consistently,. make judgements and &stimates that are .'easonable and prudenl., prepare the financial statements on the going Loiicern basis unless it is inappropriate lo presume thal the charity will continue ¥n business., stale whether applicable accounting standards and statements of recommended practice have been followed. subject to any material departures disclosed and explained in the financial statements. The Trustees are also responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time thg financial position of (he charity and which are sufficient lo show and explain the charity's transactions and ènable them to ensure Ihat the financial statements Gomply with the Companies Act 2006. They are also responsible for Safeguarding the assets of the charity and hence for taking raasonable steps for the prevention and detection of fraud and other irregularilies. TheTrustees are also responsible for the contents r)f the trustees. report. and Ihe responsibility of the independent examiner in relation to Ihe trustees, report s limited to examining the report ané ensuring that, on the face of the report, (here are no inconsistencies with the figures disclosed in the financial statements. 1 S. Mathod of preparation of accounts The Trustees, in their capacity as directors, state that the accounts have been prepared in accordance with the special provisions of Ihe Companies Act 2006 relating (o small companies. In so far a5 the trustees are aware, there is no relevant information of which the charitable company's examiner is unawarFJ,' and the trustees have taken all steps that they Dught to have taken to make themselves aware of any relgvant information. and Io establish Ihat the examiner is aware of thal information. Slgned: Paul Inman Director and Chair. Board of Trustees Cornwall Theatre Company Limitod ('The Acorn Theatre,) Date: 0410912024 Independ•nt Examlnerfs Report to tho Trnstaes of CORNWALL THEATRE COMPANY LIMITED I report on the accounts of the company for the year ended 31•1 December 2023 which are set out on pages 10 to 17. A••po￿Obll1￿￿ •nd b••l• of r•port As the charity try$toe$ ofthe ￿MpanY (and also its dire(a0￿forth8 pxjrposes ofc¥ynpany lawl you are responsible lor the preparatKJn of the accounts In accDr(Jance wrfh Ihe requirements of thg Compan*$ Act 20[￿ I'lhe 2LX)6 Ad.). Having satisf￿d my8elfthal the a￿ount$ of the company ore not r•quired to be a￿lIted undèr Part 18 of the 2tsJ6 Aet and are el￿1b1& for independent examination. I féport in respect of my examination of your company's ac¢ounl¥ as carried out under section 145 of the Charities Act 2011 Cthe 2011 Adl. In Carrying oul my examinalKJn I have frAloweil the DIre(l￿fi8 grven by the Chanty ccMnmissi￿ sec*on 145(51(bl ofthe 2011 Ara. Indwnd•nt •x•mln•rf• •t*t•m•nt l have ¢)Jmplettd my èxamination. I confirm that no mattèrn have c(rfne to my attention in connKtion w¢th Ihg examination 9N¢ng me (¥u8e tg believe that in any matwial respect." acc4Junting records were not kept in respect of the company as required by seclion 386 of thè Act,. oi th8 actthjnts do not accord with those records., or the ￿wJnts do not CoM￿Y witti the gccountirvJ requIrnM￿ts of olth• 2Cth Act other Ihan any requirement th8t the 8tt0unts gNe a 'tn* and fair which is not a matter ￿ns￿le(0d a$ part of on independent examination,. or the aeeounts havo not bèèn pmparéd in aeeordartè with thè mèthtyY$ ond principl￿ of the StOtem6nt of Recommended Pract¢ce for accounting and reporting by tharit￿S [ap￿t￿tsIe lo ¢hanb"es prep8ring their accoutrts in accordanc8 wtth thè Finaniial Re￿rti[¥3 Standard in the UK and Republic of Ireland IFRS 10211. I have no coneems and have Come acrtsss no other mattèrs in connection with ¢x¥mination to which attention should be drawn in this rgport in order lo enable a proper understsndirKd of th& a(fp)unls lo bts re&hed. l)ck M8ule FCA Th¢ FIou8e, South HtodGhest&rGL5 SEL ],. F4K(c f CA D8te 12,q.2olLI CORNWALL THEATRE COMPANY LIMITED Balance sheet as at 31st. December 2023 2023 2022 Notes Flxed assets Tangible assets 359,838 320,106 Curfent asset5 Stock Debtors and prepayments Cash at Eiank and on hand 5.0 16.707 41.886 63,593 5.000 96,042 101,047 Current liabilltle5 Creditors.. amounts falling due within 12 months im,4311 130,4321 Net Current assets Creditors.. amounts falling due after 12 months 53,162 70,614 Net assets 413.000 390.720 Restrlrted funds Unrestricted funds General fund5 Designated funds 18,211 161,488 132,665 122,967 L35,695 Revaluation Reserve 118,847 113,847 Total funds 413,000 390,720 For the year ended 31st December 2023 The ¥onipany was entitled to the exemption from audit under &ection 477121 of the Companies Act 2006 The members have not requested the company to obtain an audit in accordance with section 476 of the Companies Act 2006. The director5 acknowledge their responsibility for complying with the requirements of the act with respect to accountinE records and for the Dreparation of the account5. The financial statements h3ve been prepared in accordance with the provisions applicable to companies subject to the small companies regime. These financial statements were approved by the Trustees ori. On behalf of the Trustees (P8DLfNJM cMkiL tr-rfLU S