## SOUTHAMPTON MUSICAL SOCIETY 

Trustee’s Report and 

Independently Examined Accounts 

for the period 

01 January 2023 - 31 December 2023 

Registered Charity No. 299426 

TRUSTEES’ ANNUAL REPORT 

2 

REPORT OF THE INDEPENDENT EXAMINER 

5 

STATEMENT OF FINANCIAL ACTIVITIES 6 

BALANCE SHEET 

NOTES TO THE FINANCIAL STATEMENTS 

7 

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## Southampton Musical Society 

## Trustees’ Annual Report for the period 01 January 2023 to 31 December 2023 

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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 published on 16 July 2014. 

## Objectives and Activities 

The objects of the society are: 

- i. to educate the public in the dramatic and operatic arts; and 

- ii. to further the development of public appreciation and taste in the said arts; and 

- iii. to assist and further such charitable institutions and charitable purposes as the committee shall from time to time determine. 

The trustees, in making decisions about activities throughout the year, have had due regard to the commission's guidance on public benefit. 

The Society aims to stage 2 productions over the course of a year as well as social events for it’s members along with their friends and family. 

## Achievements and Performance 

In line with the SMS constitution, the Trustees and other members of the committee met formally 12 times during the year to discuss the running of the society. At the Annual General Meeting on 4th May, Claire Meehan and Micheal Kurn were re-elected to their respective positions of Secretary and Business Manager. Lauren Wilson resigned with a year of her General Committee tenure remaining, meaning there were 3 General Committee positions to fill. Jon Chalkley was re-elected, Dotty Evens was elected to the other 2 year position and Dan Ferrett to the 1 year position, with Billie Edge stepping down. 

New member auditions were held on 1st March and 6th September/10th October resulting in 28 people being invited to join SMS. Total membership of the society at the end of 2023 consequently grew to 79 paying members and 6 life members. 

During the year, the Society put on two shows at The Point theatre in Eastleigh, with 9-5 The Musical (20th - 22nd April) and Bonnie & Clyde (4th - 7th October) both receiving excellent reviews. Unfortunately, financial results were disappointing. Whilst our target is to break even on major shows like these, the rising cost of theatre and rehearsal venue hire makes this very difficult. As a result, we budget to make up the shortfall from the surplus generated on non-show activities (sponsorship and membership fee income is considerably in excess of our small non-show-related outgoings). Whilst the result for 9-5 was only just below target, audience numbers attending Bonnie & Clyde were very disappointing leading to a heavy loss on this production - perhaps because it is a less well-known show with a relatively small cast. This necessitated using some of our cash reserves to cover the shortfall, meaning that cash in the bank fell to £9,305 at the end of December, compared to £14,609 at the end of 2022. Plans were therefore put in place for 2024 to expand our number of sponsors and to select shows likely to perform better financially. We also decided to launch 

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"SMS Studios" to provide additional performance opportunities by putting on lower-cost smaller-scale productions which might generate a profit. 

## Financial Review 

During 2023 Southampton Musical Society achieved a loss of £3,999. 

Total cash at the bank and in hand on 31 December 2023 was £9,305. 

## Reserves Policy 

The Society’s reserve policy for the period ending 31 December 2023 is that enough reserves should be maintained to cover fixed annual expenditure (currently £1,157) and a contingency for a loss of up to £3,500 on the next production. The reserves on this date are £10,577, all of which are unrestricted. 

## Structure, Governance and Management 

The Society is an unincorporated association and its governing document is the Constitution adopted April 1985 with the latest amendment dated 18 May 2021. 

Trustees are elected by the members at the Annual General Meeting for a term of 2 years. The 4 Trustees serve as Executive Officers on the Committee and hold the posts of Chairman, Treasurer, Business Manager and General Secretary. 

## Reference and Administrative Details 

## Charity Name 

Southampton Musical Society (also known as SMS) 

## Registered Charity Number 

299426 

## Registered address: 

1 Park View, The Crescent, Netley Abbey, Southampton SO31 5HW 

Trustees, role and dates (if not for the full year) 

Richard Adrian Jones Chairman David Christopher Brown Treasurer Michael Kurn Business Manager Claire Meehan General Secretary 

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## Declaration 

The trustees declare that they have approved the trustees’ report above. Signed on behalf of the charity’s trustees: 


**Richard Adrian Jones** Chairman Date: 24 October 2024 


**David Christopher Brown** Treasurer Date:    24 October 2024 

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## **Independent examiner’s report** 

I report to the trustees of my examination of the accounts of the above charity (the “Trust”) for the year ended 31 December 2023. 

## **Responsibilities and basis of report** 

As the charity’s trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (“the Act”). 

I report in respect of my examination of the Trust’s accounts carried out under section 145 of the Act. In carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. 

## **Independent examiner’s statement** 

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in any material respect: 

1. the accounting records were not kept in in accordance with section 130 of the Charities Act; or 

2. the accounts did not accord with the accounting records; or 

3. the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a “true and fair” view which is not a matter considered as part of an independent examination. 

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. 

**Signed:** 


**Name:** R. Earnshaw 

**Relevant professional qualification(s) or membership of professional bodies:** FCCA 

**Address:** Fairlawn, Bull Lane, Waltham Chase, SO32 2LS **Date:** 28 October 2024 

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## Statement of Financial Activities for the period 01 January 2023 – 31 December 2023 

||**Notes**||**2023 funds**||**2022 funds**|
|---|---|---|---|---|---|
|**Income**|||**£**||**£**|
|Donations & Membership|2.1||6,898||5,085|
|Production Sales|2.2||21,137||22,992|
|Fundraising|2.3||1,665||363|
|Sponsorship|2.4||650||800|
|Other Income|2.5||198||-|
|**Total Income**|||**30,547**||**29,240**|
|||||||
|**Expenditure**||||||
|Production Expenditure|3.1||32,299||28,081|
|FundraisingExpenditure|3.2||1,090||64|
|Administration|3.3||1,157||940|
|Other Expenditure|3.4||-||20|
|**Total Expenses**|||**34,546**||**29,104**|
|||||||
|**Net income/ (expenditure)**|||**(3,999)**||**136**|
|||||||
|Total funds brought forward|||14,576||14,440|
|**Total funds carried forward**|||**10,577**||**14,576**|



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## Balance Sheet as at 31 December 2023 

||||**2023**||**2022**|
|---|---|---|---|---|---|
|**Current assets**|**Notes**||**£**||**£**|
|Debtors|4||4,655||1,865|
|Cash at bank and in hand|||9,305||13,243|
|**Total Current Assets**|||**13,961**||**15,108**|
|||||||
|**Creditors**|5|||||
|Amounts fallingdue within oneyear|||3,384||1,897|
|||||||
|**Net Current Assets/ (Liabilities)**|||**10,577**||**13,211**|
|||||||
|Unrestricted Funds|||10,577||13,211|
|||||||
|**Total Funds**|||**10,577**||**13,211**|



The financial accounts were approved by the trustees on 21 August 2024 and were signed on behalf of the charity’s trustees by: 


**Richard Adrian Jones** Chairman 


**David Christopher Brown** Treasurer 

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Notes to the Financial Statements for the period 01 January 2023 to 31 December 2023 

## 1. Accounting Policies 

## 1.1. Basis of accounting 

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. 

The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and with the Charities Act 2011. 

## 1.2. Going Concern 

The trustees have a reasonable expectation that the charity has adequate resources to continue in existence for the foreseeable future. They continue to believe the going concern basis of accounting is appropriate in preparing the financial statements. 

## 1.3. Fund Accounting 

Unrestricted funds are spent or applied at the discretion of the trustees to further any of the charity’s purposes. 

Funds held on specific trusts under charity law are classed as restricted funds. The specific trusts may be declared by the donor when making the gift or may result from the terms of an appeal for funds. 

The charity currently holds no restricted funds. 

## 1.4. Recognition of income 

All income is recognised once the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources, and the monetary value can be measured with sufficient reliability. 

## 1.5. Tax reclaims on donations and gifts 

Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise. 

## 1.6. Liability recognition 

Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty. 

## 1.7. Creditors 

The charity has creditors which are measured at settlement amounts less any trade discounts. 

## 1.8. Provision for liabilities 

A liability is measured on recognition at its historical cost and then subsequently measured at the best estimate of the amount required to settle the obligation at the reporting date. 

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## 1.9. Debtors 

Debtors are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received. 

## 1.10. Related party transactions 

During the year, the charity has transacted with related parties, being individual trustees, in carrying out its normal activities. All related party transactions are subject to formal approval by the committee and are documented at the time of decision. 

## 2. Analysis of Total Income 

## 2.1. Donations & Membership 

||**Total**<br>**2023**||**Total**<br>**2022**|
|---|---|---|---|
||**£**||**£**|
|Member Subscriptions|3,347||3,095|
|Production Fees|2,173||1,391|
|Donations|62||1|
|Gift Aid|1,316||599|
|**Total**|**6,898**||**5,085**|
|2. Production Sales||||
||**Total**<br>**2023**||**Total**<br>**2022**|
||**£**||**£**|
|Ticket Sales|19,712||21,340|
|Programme Sales|951||1,547|
|Raffle/Merchandise Sales|390||-|
|Programme Adverts|85||105|
|**Total**|**21,137**||**22,992**|
|3. Fundraising||||
||**Total**<br>**2023**||**Total**<br>**2022**|
||**£**||**£**|
|Fundraising /Social Events|524||-|
|Tuck ShopSales|35||59|
|Cast Merchandise Sales|449||106|
|Production Photos Sales|605||142|
|Easyfundraising /Amazon Smile|52||57|
|**Total**|**1,665**||**363**|



## 2.2. Production Sales 

## 2.3. Fundraising 

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## 2.4. Sponsorship 

|2.4. Sponsorship||||
|---|---|---|---|
||**Total**<br>**2023**||**Total**<br>**2022**|
||**£**||**£**|
|Production Sponsorship|-||-|
|General Sponsorship|650||800|
|**Total**|**650**||**800**|
|2.5. Other Income||||
||**Total**<br>**2023**||**Total**<br>**2022**|
||**£**||**£**|
|Misc|170||-|
|SMS ShopSales|28|||
|**Total**|**198**||**-**|



All income in the year was unrestricted. 

3. Analysis of Total Expenditure 3.1. Production Expenditure 

|alysis of Total Expenditure<br>1. Production Expenditure||||
|---|---|---|---|
||**Total**<br>**2023**||**Total**<br>**2022**|
||**£**||**£**|
|Royalties/PRS|5,815||4,309|
|Theatre Hire & Staff|12,186||10,794|
|Orchestra/BackingTracks|2,700||3,535|
|Lighting& Sound|2,902||2,450|
|SceneryHire|3,157||2,280|
|Rehearsal Venue Hire|2,595||2,022|
|Programme Costs|774||853|
|Advertising|299||362|
|Wardrobe|482||320|
|Properties|585||284|
|Make-up|-||18|
|TicketingCharge|804||852|
|Other Production Expenses|-||-|
|**Total**|**32,299**||**28,081**|



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## 3.2. Fundraising Expenditure 

|3.3. Administration<br>3.4. Other Expenditure<br>Debtors<br>Fundraising& Social Event Costs<br>Cast Merchandise Expenses<br>Production Photos Expenses<br>SMS ShopExpenses<br>**Total**<br>NODA Membership<br>Website Costs<br>Insurance<br>Venue Hire<br>Accounting<br>Card ProcessingFees & Related Expenses<br>Bank Charges<br>**Total**<br>Postage & Stationary<br>Miscellaneous Expenses<br>**Total**<br>**Debtors**<br>Prepayments<br>Trade Debtors<br>**Total**||**Total**<br>**2023**||**Total**<br>**2022**|
|---|---|---|---|---|
|||**£**||**£**|
||Fundraising& Social Event Costs|75||64|
||Cast Merchandise Expenses|376||-|
||Production Photos Expenses|604||-|
||SMS ShopExpenses|35||-|
||**Total**|**1,090**||**64**|
||||||
|||**Total**<br>**2023**||**Total**<br>**2022**|
|||**£**||**£**|
||NODA Membership|179||72|
||Website Costs|85||80|
||Insurance|611||529|
||Venue Hire|-||52|
||Accounting|49||45|
||Card ProcessingFees & Related Expenses|172||96|
||Bank Charges|62||65|
||**Total**|**1,157**||**940**|
||||||
|||**Total**<br>**2023**||**Total**<br>**2022**|
|||**£**||**£**|
||Postage & Stationary|-||20|
||Miscellaneous Expenses|-||-|
||**Total**|**-**||**20**|
||||||
|||**2023**||**2022**|
|||**£**||**£**|
||**Debtors**||||
||Prepayments|4,070||1,837|
||Trade Debtors|585||28|
||**Total**|**4,655**||**1,865**|



4. Debtors 

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## 5. Creditors 

|Creditors||||
|---|---|---|---|
||**2023**||**2022**|
||**£**||**£**|
|**Creditors: Amounts falling due within oneyear**||||
|Receipts in advance|3,379||1,892|
|Uncleared Cheques|-||-|
|Trade creditors|5||5|
|**Total**|**3,384**||**1,897**|



## 6. Transactions with related parties 

During the year, there has been one transaction with a related party as follows: 

|**Name of**<br>**the**<br>**related**<br>**party**|**Relationship**<br>**to charity**|**Description**<br>**of services**|**Amount**<br>**(£)**|**Balance**<br>**at period**<br>**end (£)**|**Provision**<br>**for bad**<br>**debts at**<br>**period**<br>**end (£)**|**Amounts**<br>**written**<br>**off during**<br>**reporting**<br>**period (£)**|
|---|---|---|---|---|---|---|
|Desire<br>Dream<br>Vision<br>Limited|A Trustee is<br>sole director<br>of the<br>limited<br>company|Provision<br>of set<br>materials|836|Nil|Nil|Nil|



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