2024-04-30-accounts - British American Drama Academy

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

Company number: 1828640

BRITISH AMERICAN DRAMA ACADEMY (Limited by Guarantee) Registered Charity No. 291796 Registered Company No. 1828640

Statement of accounts

for the year ended 30th April 2024

PAGE 1

BRITISH AMERICAN DRAMA ACADEMY

REPORT OF THE BOARD OF TRUSTEES

The Board of Trustees of the British American Drama Academy (which also operates under the name of BADA) presents its annual report and audited financial statements for the year ended 30 April 2023.

Reference and administrative details

Trustees

Trustees
	Z. Ashcroft
	L. Carlston
	L. Chantal (Resigned 2 October 2023)
	O. Ewedami
	V. Fitzpatrick
	D. Gelon
	R. Hogarth
	M. John
	R. Johnson (Chair, Appointed 26 June 2023)
	S. Joshi
	J. Lu
	M. Trueman
	M. Whittaker
Key management	Dr. L Franke - Managing Director
	B. Naylor – Dean (Appointed 1September 2023)
	E. Roberts – Dean (Resigned 31 August 2023)
	R. Paul FCCA – Finance Director
Registered and Principal office	14 Gloucester Gate
	Regents Park
	London
	NW1 4HG
Auditor	RSM UK Audit LLP
	Chartered Accountants
	Portland
	25 High Street
	Crawley
	West Sussex
	RH10 1BG
Bankers	Virgin Money
	154 – 158 Kensington High Street
	London
	W8 7RL
Solicitors
	Winston & Strawn London LLP
	100 Bishopsgate,
	London
	EC2N 4AG
	RLS law
	Suite 30-33
	The Hop Exchange
	24 Southwark Street
	London
	SE1 1TY

PAGE 2

BRITISH AMERICAN DRAMA ACADEMY

REPORT OF THE BOARD OF TRUSTEES

Structure, governance and management

The Academy is a company limited by guarantee, registered in England and Wales No. 1828640, governed by its Articles of Association dated 23[rd] April 2018. It is a registered charity in England and Wales No. 291796.

The Board of Trustees is responsible for the governance of the Academy. Its members act both as Trustees of the Charity and Directors of the Company. It meets at least every four months to fulfil its governance responsibilities. Management of the Academy is delegated to a small Executive team, under the leadership of the Managing Director working in close cooperation with the Dean and the Finance Director, reporting to the Trustees regularly.

The Board of Trustees has established three principal committees to discharge functions relating to the administration and management of the Academy:

Finance & General Purposes Committee which meets at least every four months. Members are Richard Johnson, Zoe Ashcroft, Ruth Hogarth and Wendy Lu. Malcolm John attends as required as Chair of Trustee Recruitment.
Academic and Artistic Committee which meets at least twice a year. Members are Louise Chantal (Resigned 2 October 2023), Ruth Hogarth, Matt Trueman, Victoria Fitzpatrick and Donna Vinter (External Advisor).
Fundraising Committee which meets at least every four months. Members are Lydia Carlston, Diane Gelon, Richard Johnson, Samir Joshi and Melanie Whittaker.

We also have a BADA Council which retains the wisdom and goodwill of our past Governors and Associate Artists.

Public benefit disclosures

Providing access to financial aid is seen as an integral part of the recruitment process and particular attention is paid to ensuring that gifted students are given assistance to enable them to attend the courses. The Trustees have considered the impact of the public benefit requirement including the guidance issued by the Charity Commission and believe that the Academy meets the tests. BADA has always sought to attract those who cannot afford the fees charged, by the provision of scholarships and financial aid.

The Fundraising Committee established in early 2022 aims to raise $1.7 million to fund 30 full scholarships for underprivileged students to study at BADA over the coming years. The Board actioned a formal research project undertaken by Helen Brown Group into individual donor prospects, which was completed in Autumn 2022. Additional identification of donor prospects through network mapping is ongoing. Additional staff have been hired to further develop the fundraising strategy and action plan, with a top priority of meeting the scholarship goals.

Financial aid awards made in the year were £168,182 (2023: £203,183).

Objectives and activities

The objects, as detailed in the Articles of Association, include: the advancement of education and the benefit of the community by stimulating and giving instruction in all aspects of the performing and theatrical arts; to establish, maintain and support courses for those who meet the Academy’s criteria for participation; and to provide financial assistance to enable attendance.

The Academy seeks to achieve these aims through its short residential programs in London and Oxford and its Fall and Spring Term courses in London, the London Theatre Program (LTP), which is co-sponsored by Sarah Lawrence College in New York. A formal agreement between the Academy and Sarah Lawrence College sets out the sharing and distribution of the program resources. Links with major universities and colleges in the United States of America, together with a policy of auditioning all prospective students ensure a high standard of those attending the courses. Particular attention is paid to the overall experience enjoyed by the students. This also serves to encourage word of mouth promotion by alumni and teachers which is seen as one of the Academy’s strengths, evidenced by the high level of interest in the programs encountered by our representatives as they visit colleges in the USA.

Achievements and performance

In May 2023 we welcomed the first students and theatre practitioners, 15 in total, to our Black British Theatre (BBT) program, a monthlong summer program. This program provided an overview of contemporary Black British theatre and performance. Play texts by major Black British Writers such as Roy Williams, Winsome Pinnock and debbie tucker green, were analysed from social and cultural contexts framed by theories of identity, representation, nationalism, race, gender, sexuality and class. Twice weekly theatre trips combined with masterclasses from major influencers in contemporary theatre broadened the contexts of the program. Across the 15 students, £11,350 was awarded in financial aid.

In July 2023, we welcomed a total of 95 students to our Midsummer in Oxford (MIO) residential summer programs in Oxford as well as 22 students to our Midsummer Conservatory Program (MCP) program, which was held for the first time at St Mary’s University, Twickenham.

We again hosted two cohorts of Students on the London Theatre Program (LTP); 42 in the Fall, and 34 in the Spring.

PAGE 3

BRITISH AMERICAN DRAMA ACADEMY

REPORT OF THE BOARD OF TRUSTEES

Financial review

Income from our programs for the year was £2,671,546 (2023: £2,729,561). The Academy made a healthy surplus for the year of £323,290 (2023: £442,287). Total unrestricted reserves at 30[th] April 2024 were £1,346,951 (2023: £1,018,277) representing a return to the levels seen prior to the Covid-19 pandemic.

Key risks and uncertainties disclosures

The major risks to the Academy are kept under frequent review and addressed as necessary. As most of the Academy’s students are from the United States of America, international events and economic downturns could adversely affect student numbers. The risk of a significant and unforeseen reduction in student numbers is the primary risk, brought into sharp focus by the impact of the COVID-19 pandemic, reinforced the need for very focussed risk management.

The Trustees consider that the principal risks and uncertainties facing the Academy are as follows:

unforeseen reduction in student numbers;
maintenance of reputation;
effect of exchange rate changes.

The Academy’s financial risk management objectives are to ensure funding resources and to continue to monitor costs and student numbers. The Board regularly reviews budgets, forecasts and currency exposure. The Board continues to work closely with the BADA management to ensure detailed and robust financial planning.

Plans for future periods

The Fall semester of the LTP is starting imminently and we have 42 students in attendance, including 2 transferring from University of the Arts, Philadelphia, following its sudden closure. Applications are now open for the Spring 2025 semester, with 33 students currently enrolled.

In June 2024, we ran our second Greek Theatre Program, a month-long summer three centre (London, Greece, Oxford) program, dedicated to exploring the performance and reception of ancient drama. This intense, interdisciplinary course not only combines performance and academic research to immerse participants in the world of the classical Greek theatre but also includes the unique opportunity to explore multiple ancient sites and to visit archives and exhibits normally reserved for scholars. The program was extremely successful both from feedback received from the participants and financially.

Supporting students through the provision of scholarships remains a key focus of BADA’s activities. The Fundraising Committee, as a formal subcommittee of the Board, aims to provide resource and support as BADA moves forwards in its ambitions for fundraising on a larger scale.

Going Concern

In terms of exposure to the impact of inflation on our overheads, the Academy’s most significant overheads are salary and property costs. Any increases in salary costs will be managed internally. The five year lease of the premises at Gloucester Gate was renewed in December 2021 with a leading childcare provider who sublet part of the premises renewing their sublease in June 2022. We therefore have security of tenure and confirmed rent payments as well as rental income until December 2026. In addition, in July 2023, whilst the BADA Team were in Oxford for the summer programs, we entered into a two month sublease with a summer language school. This yielded and additional £56,000 in rental income which has helped to offset the increases in overheads we have seen across all areas of the organisation.

Exposure to the exchange rate fluctuation is one of Academy’s key risks as identified by the Board with fees for our programmes being invoiced and received in US dollars. The current trajectory of the US dollar to sterling exchange rate, has given rise to significant exchange gains as well as making the UK more attractive to students as a place of study.

The Board has always taken a cautious view when considering the financial outlook for the Academy, a view which has served it well and has ensured that the Academy finds itself emerging from the pandemic with a sound reserve base. Looking forward to 2024/25 the same cautious view of the outcomes of the key contributors to the Academy’s finances have been applied. These forecasts indicate that the Academy has sufficient cash and general unrestricted reserves to meet its financial obligations going forward. The Board is therefore of the opinion that the Academy has the ability to continue as a going concern for the foreseeable future.

PAGE 4

BRITISH AMERICAN DRAMA ACADEMY

REPORT OF THE BOARD OF TRUSTEES

Reserves

The Academy’s unrestricted reserves at 30 April 2024 were £1,346,951 (2023 - £1,018,277) including £3,422 (2022: £28,422) designated funds, representing approximately six months of the Academy’s general overheads. Unrestricted reserves pre pandemic stood at £877,576, a sound base which enabled the Academy to meet its financial obligations over the intervening period.

Equal opportunities

The Academy is deeply committed to equality of opportunity for staff and students alike. Its vision is to enable US and other international students to participate fully in our courses, irrespective of barriers they may face linked to ethnicity, class, disability, gender, sexuality, socioeconomic or any other.

In response to the Black Lives Matter movement in June 2020 the Academy established a Diversity Action Group comprising staff, members of faculty and alumni to review all current policies and practices to ensure that BADA is at the forefront of change and inclusion. Since then, the Academy has taken steps towards fulfilling this commitment including, but not limited to, introducing mandatory and ongoing unconscious bias diversity training for trustees, staff and faculty; the successful appointment of eight new trustees to the Board increasing the diversity of voices governing the organisation; reviewing and updating our offer to students on existing courses and creating the new Black British Theatre program; developing fruitful relationships with external JEDI (Justice, Equity, Diversity and Inclusion) consultants and diverse theatre organisations to advise us and to inform the changes we are making.

BADA continues to invest in maintaining and upgrading its premises to improve access.

Statement of Trustees’ responsibilities

The Trustees (who are also directors of the British American Drama Academy for the purpose of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the 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:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgments and estimates that are reasonable and prudent;
state whether applicable UK accounting standard have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The Trustees are responsible for keeping proper 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.

Disclosure of information to auditor

The Trustees confirm that so far as they are aware, there is no relevant audit information of which the company’s auditor is unaware. They have taken all the steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that the company’s auditor is aware of that information.

Auditor

RSM UK Audit LLP is deemed to be re-appointed under section 487(2) of the Companies Act 2006.

Small companies’ exemptions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies’ exemption.

Approved by the Board of Trustees on ………………………. and signed on their behalf by

R Johnson Chair

PAGE 5

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF BRITISH AMERICAN DRAMA ACADEMY

Opinion

We have audited the financial statements of British American Drama Academy (the ‘charitable company’) for the year ended 30 April 2024 which comprise the Statement of Financial Activities (including the Summary Income and Expenditure Account), the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

give a true and fair view of the state of the charitable company’s affairs as at 30 April 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.

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 charitable company 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 opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the Trustees’ Report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the Trustees’ Report. 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.

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 course of 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

the information given in the Trustees’ Report, which includes the Directors’ prepared for the purposes of company law for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Directors’ Report included within the Trustees’ Report has been prepared in accordance with applicable legal requirements.

PAGE 6

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF BRITISH AMERICAN DRAMA ACADEMY (continued)

Matters on which we are required to report by exception

In the light of the 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 Directors’ Report included within the Trustees’ Report.

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

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of trustees’ remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the Trustees were not entitled to prepare the financial statements in accordance with the small companies’ regime and take advantage of the small companies exemption from the requirement to prepare a Strategic Report in preparing the Trustees’ Report.

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ responsibilities set out on page 4, the trustees (who are also the 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 the trustees 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 trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

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.

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected noncompliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the audit engagement team:

obtained an understanding of the nature of the sector, including the legal and regulatory framework that the charitable company operates in and how the charitable company is complying with the legal and regulatory framework;
inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud;
discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities Act 2011 and the charitable company’s governing document. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Trustees’ Report, remaining alert to new or unusual transactions which may not be in accordance with the governing documents.

PAGE 7

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF BRITISH AMERICAN DRAMA ACADEMY (continued)

The audit engagement team identified the risk of management override of controls and income recognition (cut off) as the areas where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business, challenging judgments and estimates and substantive tests of detail over income.

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

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

ZOË LONGSTAFF-TYRRELL (Senior Statutory Auditor) For and on behalf of RSM UK AUDIT LLP, Statutory Auditor

Chartered Accountants Portland 25 High Street Crawley West Sussex RH10 1BG

Date 06/01/25

PAGE 8

BRITISH AMERICAN DRAMA ACADEMY

(Limited by Guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30th April 2024

Notes Income and Endowments from: Charitable Activities: Fees received Investment income 3 Other income Total incoming resources Expenditure on charitable activities: Advancement of education 4 Total resources expended Net income/(expenditure) and net movement in funds for the year 6 Reconciliation of funds: Total funds brought forward Total funds carried forward 13,14	Unrestricted General £ Designated £ 2,671,546 - 204,892 - 798 14,000 2,877,236 14,000 2,523,561 39,000 2,523,561 39,000 353,674 (25,000) 989,855 28,422 1,343,529 3,422	Restricted £ - - 5,385 5,385 10,769 10,769 (5,384) 11,085 5,701	Total 2024 £ 2,671,546 204,892 20,183 2,896,621 2,573,330 2,573,330 323,290 1,029,362 1,352,652	Total 2023 £ 2,729,561 138,082 32,284
				2,899,927
				2,457,640
				2,457,640
				442,287 587,075
				1,029,362

PAGE 9

BRITISH AMERICAN DRAMA ACADEMY (Limited by Guarantee)

BALANCE SHEET AT 30th April 2024

2024
Notes
£
£
£
FIXED ASSETS
Tangible assets
7
77,509
Intangible assets
8
32,445
------------------------
109,954
CURRENT ASSETS
Debtors
9
516,402
Cash at bank and in hand
1,308,508
1,824,910
CREDITORS:
amounts falling due
within one year
10
(427,212)
(730,319)
------------------------
------------------------
NET CURRENT ASSETS
1,397,698
--------------------
TOTAL ASSETS LESS CURRENT
LIABILITIES
1,507,652
CREDITORS:
amounts falling due
within one year
11
-
PROVISION FOR LIABILITIES
13
(155,000)
------------------------
NET ASSETS
1,352,652
==========
FUNDS OF THE CHARITY:
Unrestricted Funds:
Unrestricted general fund
1,343,529
Designated Scholarship Fund
3,422
Restricted Funds:
Restricted Scholarship Fund
5,701
TOTAL FUNDS
14, 15
1,352,652

2023
£
51,320
-
------------------------
51,320
754,811
1,078,550
1,833,361
1,103,042
--------------------
1,154,362
(30,000)
(95,000)
------------------------
1,029,362
==========
989,855
28,422
11,085
1,029,362

These accounts are prepared in accordance with the special provisions of Part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

The notes at pages 11 to 18 form part of these accounts.

Approved and authorised for issue by the Board of Trustees on …………………….. and signed on their behalf by

R Johnson Chair

Company number: 1828640

PAGE 10

BRITISH AMERICAN DRAMA ACADEMY (Limited by Guarantee)

STATEMENT OF CASHFLOWS AT 30th April 2024

			2024			2023
		£	£	£		£
Cash flows from operating activities:
Net income for the reporting period			323,290		442,287
Adjustments for:
Depreciation		23,193		13,762
Interest and rental income		(204,892)		(138,082)
(Increase) in debtors		238,409		(203,108)
(Decrease) / Increase in creditors		(293,107)		(192,053)
Increase / (Decrease) in provision		60,000		60,000
		------------------------		------------------------
		(176,397)		(459,481)
			----------------------------		--------------------
Net cash used in operating activities			146,893		(17,194)
Cash flows from investing activities:
Interest receivable		4,485		1,788
Rental income		200,407		136,294
Purchase of tangible fixed assets	7	(49,382)		(18,551)
Purchase of intangible fixed assets	8	(32,445)		-
		----------------------------		--------------------
Net cash provided by investing activities			123,065		119,531
			------------------------		------------------------
Cash flows from financing activities:
Repayment of Bounceback loan		(40,000)		(10,000)
		----------------------------		----------------------------
Net cash provided by financing activities			(40,000)		(10,000)
			----------------------------		----------------------------
Change in cash and cash equivalents in the reporting period			229,958			92,337
Cash and cash equivalents at 1st May		(i)	1,078,550		986,213
			------------------------		------------------------
Cash and cash equivalents at 30th April		(i)	1,308,508		1,078,550
			==========		==========
(i) Analysis of changes in net debt
	At 1 May	Cashflows	Non	At 30	April
	2023		Cashflows		2024
	£	£	£		£
Cash and Cash Equivalents
Cash	1,078,550	229,958	-	1,308,508
	1,078,550	229,958	-	1,308,508
Borrowings
Debt due within one year	(10,000)	10,000	-		-
Debt due after one year	(30,000)	30,000	-		-
	(40,000)	40,000	-		-
Total	1,038,550	269,958	-	1,308,508

PAGE 11

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS

FOR THE YEAR ENDED 30th April 2024

1 . Constitution

British American Drama Academy, a registered charity, is a company limited by guarantee not having a share capital. Each of the members is liable to contribute an amount not exceeding £1 towards the assets of the company in the event of its winding up.

2 . Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

(i) Basis of accounting

The financial statements have been prepared in accordance with 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) (second edition effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

British American Drama Academy 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 note.

(ii) Going concern

The year to 30th April 2024 commenced very more positively, seeing strong student numbers on both the LTP as well the Oxford programmes. The positive outcome of increased student numbers and a return to a more normal post pandemic world is evident from our results for the financial year under review.

Property and staffing are the Academy’s most significant overhead costs . Any increases in staffing costs will be managed internally. The leading childcare provider who sublet part of the premises renewed their sublease in June 2022. The Academy therefore has security of tenure with confirmed rent payments as well as rental income until December 2026. In addition, the Academy entered into a summer sublease whilst the Oxford programmes were underway, yielding additional rental income.

Fees for all our programmes are invoiced in US dollars and therefore the current trajectory of the US dollar to sterling exchange rate, will give rise to significant exchange gains as well as making the UK more attractive to students as a place of study.

(iii) Income

Income including fees received from programmes, donations, investment income and rental income is recognised in the period in which it is earned and expenditure in the period in which it is incurred. Fees received for courses held in the following period are shown as fees received in advance. Non-redeemable application fees are recognised on a receipt basis. All income relates to activities taking place in the UK. Income in respect of fees is shown gross of scholarships granted. Fees received from programmes includes funding due from Sarah Lawrence College in accordance with the agreement for the co-sponsorship of the London Theatre Program.

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met, and the grants will be received. A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

(iv) Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

Governance costs comprise all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These costs include the audit fee.

PAGE 12

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS

FOR THE YEAR ENDED 30th April 2024

(v) Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of Academy. Designated funds are unrestricted funds of the Academy which the Trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the Academy's work or for specific projects being undertaken by the Academy.

(vi) Tangible and Intangible fixed assets and depreciation and amortisation

All fixed assets are initially recorded at cost. Depreciation is provided on all assets at rates calculated to write off the cost of each asset, less their residual values, over its expected useful life as follows:

Equipment, furniture and fittings - 25% straight line Leasehold costs - over the term of the lease Branding and website - 25% straight line

Assets are reviewed for impairment if events or changes in circumstances indicate that the carrying amount may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of net realisable value and valuein-use, are recognised as impairments in the SOFA. A full year of depreciation is provided in the year of acquisition and none in the year of disposal.

(vii) Assets in the course of construction

Assets in the course of construction are stated at cost. These assets are not depreciated until they are available for use and are reviewed for impairment at each reporting date.

(viii) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due.

(ix) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Bank borrowings are initially recognised at the fair value net of any transaction costs directly attributable to the issue of the borrowing instrument. They are then subsequently measured at amortised cost.

(x) Financial instruments

The Academy only has financial assets and financial liabilities of a kind that qualify as basic financial instruments under Section 11 of FRS 102. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

(xi) Operating leases

Rentals paid under operating leases are charged to income on a straight line basis over the lease term.

(xii) Foreign currency transactions

Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction, all differences being taken to the income and expenditure account. All balances at the year-end are translated at the rate ruling at the balance sheet date.

(xiii) Pension scheme

The company operates a defined contribution scheme. Contributions to the scheme are charged to the Statement of Financial Activities in the accounting period to which they relate.

PAGE 13

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

(xxiv) Termination benefits

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

(xxv) Critical judgment and estimates

Estimates, assumptions and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Significant areas of estimates and judgements includes provisions, and these have been established for the cost of returning the building back to its original condition and for the redecoration costs as required by the lease agreement. These are estimated based on the best information available, and historical information where available.

Investment income	2024	2023
	£	£
Bank interest receivable	4,485	1,788
Rental income	200,407	136,294
	--------------------	--------------------
	204,892	138,082
	========	========

Of the investment income received in the year £nil (2023: £nil) was in respect of restricted funds and £nil (2023: £nil) in respect of designated funds.

Charitable activities	2024	2023
	£	£
Direct costs
Scholarships and grants	168,182	203,183
Accommodation	815,965	761,650
College fees and rebates	13,462	13,077
Teachers	261,953	298,906
Productions	99,392	100,709
Excursions	31,303	46,163
Other course expenses	24,662	35,277
Administrative staff costs	376,509	327,547
Property expenses	530,119	487,098
Travel expenses	26,690	16,327
Office costs	23,503	24,593
Professional fees	12,974	14,939
Marketing	114,557	80,096
Depreciation	23,193	13,762
Bank & credit card charges	30,177	25,846
Foreign exchange gain	(17,155)	(29,373)
Other expenses	13,244	11,480
	-------------------------------------	-------------------------------------
	2,548,730	2,431,280
	-------------------------------------	-----------------------------------
Governance costs
Professional fees	-	3,860
Audit fees	24,600	22,500
	--------------------------	-------------------------------------
	24,600	26,360
	--------------------------	-------------------------------------
Advancement of education costs	2,573,330	2,457,640
	==========	==========

Of the total expenditure on the advancement of education for the year of £2,573,330 (2023: £2,457,640), £10,769 (2023: £22,538) was from restricted funds and £39,000 (2023: £46,000) was from designated funds.

PAGE 14

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

5. Staff costs and Trustees’ remuneration

Staff costs and Trustees’ remuneration
	2024	2023
	£	£
Salaries	343,871	317,982
Social security costs	34,202	29,652
Pension costs	14,236	12,105
	------------------------------------	-------------------------
	392,309	359,739
	=========	=========

There were 1 (2023 -2) employees with emoluments greater than £80,000 but less than £90,000, for whom pension costs of £4,093 (2023 - £8,194) were paid.

The key management personnel of the charity during the year comprised the Managing Director, the Dean and the Finance Director. The total employee benefits of the key management personnel of the charity were £249,856 (2023 - £239,845). The employer’s national insurance contributions in respect of the key management personnel were £25,785 (2023 - 25,983).

In addition, travel costs of £517 (2023 - £354) were reimbursed to 3 (2023 – 3) Trustees.

5a. Staff numbers

There were 8 employees (2023 – 7) to whom retirement benefits were accruing under a money purchase scheme.

The average number of full time equivalent employees during the year were as follows:

6.

	2024	2023
	No.	No.
Administrative	8	7
Net income/(expenditure) for the year
Net income/(expenditure) for the year is stated after charging;	2024	2023
	£	£
Operating leases – property rentals	328,968	304,670
Depreciation	23,193	13,762
Auditor’s remuneration – external audit	24,600	22,500
Auditor’s remuneration – non audit services	-	2,340
	==========	==========

PAGE 15

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

7 . Tangible fixed assets

	Leasehold	Equipment,	Total
	costs	furniture &
		fittings
	£	£	£
Cost:
At 1st May 2023	49,522	61,445	110,967
Additions	-	49,382	49,382
Disposals	-	(4,920)	(4,920)
	--------------------	-----------------------	--------------------
At 30th April 2024	49,522	105,907	155,429
	========	==========	========
Depreciation:
At 1st May 2023	19,808	39,839	59,647
Charge for the year	9,906	13,287	23,193
Disposals	-	(4,920)	(4,920)
	--------------------	-----------------------	--------------------
At 30th April 2024	29,714	48,206	77,920
	========	==========	========
Net book values:
At 30th April 2024	19,808	57,701	77,509
	========	==========	========
At 30th April 2023	29,714	21,606	51,320
	========	==========	========

8 . Intangible fixed assets

	Rebranding	Total
	and Website
	£	£
Cost:
At 1st May 2023	-	-
Additions	32,445	32,445
	--------------------	--------------------
At 30th April 2024	32,445	32,445
	========	========
Depreciation:
At 1st May 2023	-	-
Charge for the year	-	-
	--------------------	--------------------
At 30th April 2024	-	-
	========	========
Net book values:
At 30th April 2024	32,445	32,445
	========	========
At 30th April 2023	-	-
	========	========

Costs incurred in the year included under the heading rebranding and website are held as assets under the course of construction.

PAGE 16

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

9. Debtors: amounts receivable within one year


Debtors: amounts receivable within one year	2024	2023
	£	£
Sarah Lawrence College	275,917	165,394
Prepayments and accrued income	240,239	588,664
Fee debtors	246	753
	--------------------	--------------------
	516,402	754,811
	========	========

Sarah Lawrence College accredits the London Theatre Programme and administers the applications process.

Creditors: amounts falling due within one year	2024	2023
	£	£
Bank loans	-	10,000
Trade creditors	47,415	468,166
Taxation and social security	15,727	5,586
Fees invoiced in advance (see note 12)	255,448	160,241
Accruals and deferred income	106,430	77,830
Other creditors	2,192	8,495
	--------------------	--------------------
	427,212	730,319
	========	========

Included within other creditors are amounts totalling £1,009 (2023 £1,966) in respect of outstanding pension contributions. Deferred income represents rent received in advance and totals £20,125 (2023: £18,688).

11. Creditors: amounts falling due after one year


11.	Creditors: amounts falling due after one year	2024	2023
		£	£
	Bounceback loan – 2 to 5 years	-	30,000
		--------------------	--------------------
		-	30,000
		========	========
	The loan was repaid in full on 27thSeptember 2023.
12.	Fees invoiced in advance	2024	2023
		£	£
	Balance at 1st May	160,241	426,153
	Fees invoiced in respect of following year	255,448	160,241
	Released to Statement of Financial Activities	(160,241)	(426,153)
		--------------------	--------------------
	Balance at 30thApril	255,448	160,241
		========	========

Fees invoiced in advance represent fees received from students prior to the year end for the following summer’s residential programmes.

PAGE 17

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

Provision for liabilities and charges	2024	2023
	£	£
Balance at 1st May	95,000	35,000
Charged to Statement of Financial Activities during the year	60,000	60,000
	---------------------	--------------------
Balance at 30th April	155,000	95,000
	========	========

The external redecorations provision relates to quinquennial repainting work required to be undertaken by the Academy under the terms of the lease, arising over the period of the tenancy and relating to general wear and tear.

During the prior year, a dilapidations provision was established to cover refurbishment costs should BADA relocate at the end of its lease.

	External	Dilapidations	Total
	redecorations
	£	£	£
At 1st May 2023	70,000	25,000	95,000
Charged to Statement of Financial Activities	35,000	25,000	60,000
	--------------------	--------------------	--------------------
At 30th April 2024	105,000	50,000	155,000
	========	========	========

14 . Reconciliation of movements on funds

conciliation of movements on funds
		Movements in resources
	Balance 1st	Income	Expenditure	Balance at 30th
	May 2023			April 2024
	£	£	£	£
Unrestricted funds:
Unrestricted General Fund	989,855	2,877,235	(2,523,561)	1,343,529
Designated Scholarship fund	28,422	14,000	(39,000)	3,422
Restricted Funds:
Restricted Scholarship Fund	11,085	5,385	(10,769)	5,701
	--------------------	--------------------	--------------------	--------------------
Total	1,029,362	2,896,620	(2,573,330)	1,352,652
	========	========	========	========

Designated Scholarship Fund

This is an unrestricted designated fund comprising funds the Trustees have set aside from the General Fund to contribute to the cost of scholarships awarded and supporting specific programmes. Scholarships are awarded to individuals at the discretion of the Academy.

Restricted Scholarship Fund

This is a restricted fund containing donations made to the Academy specifically to fund scholarships to students.

PAGE 18

BRITISH AMERICAN DRAMA ACADEMY

NOTES FORMING PART OF THE ACCOUNTS (CONTINUED)

FOR THE YEAR ENDED 30th April 2024

15 . Analysis of net assets between funds

	General	Scholarship	Restricted	Total
	Fund	Fund	Fund	Funds
	£	£	£	£
Fixed assets	109,954	-	-	109,954
Current assets	1,815,787	3,422	5,701	1,824,910
Current liabilities	(427,212)	-	-	(427,212)
Provisions and long term liabilities	(155,000)	-	-	(155,000)
	--------------------	-----------------------	------------------------	--------------------
Net assets at 30th April 2024	1,343,529	3,422	5,701	1,352,652
	========	==========	==========	========
	General	Scholarship	Restricted	Total
	Fund	Fund	Fund	Funds
	£	£	£	£
Fixed assets	51,320	-	-	51,320
Current assets	1,793,854	28,422	11,085	1,833,361
Current liabilities	(730,319)	-	-	(730,319)
Provisions	(125,000)	-	-	(125,000)
	--------------------	-----------------------	------------------------	--------------------
Net assets at 30th April 2023	989,855	28,422	11,085	1,029,362
	========	==========	==========	========

16 . Operating lease commitments


Operating lease commitments	2024	2023
	£	£
The total future minimum lease payments under non-cancellable operating leases for
land and building are:
within one year	350,000	333,334
between one and five years	583,333	933,333
	==========	========
The total future minimum rental income under the sub-lease of the building are:
within one year	112,700	107,333
between one and five years	187,833	300,533
	==========	========

The license to sublease a portion of the premises runs in conjunction with the primary building lease.

17 . Taxation

The company is a registered charity and as such its income and gains falling within Sections 471 to 489 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 are exempt from corporation tax to the extent that they are applied to its charitable objectives.

18 . Capital commitments.

There are capital commitments of £13,904 as at 30[th] April 2024 (2023: £nil).