REGISTERED CHARITY NUMBER: 313755
REPORT OF THE TRUSTEES AND
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
FOR
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 4 |
| Trustees' Responsibility Statement | 5 | ||
| Independent Examiner's Report | 6 | ||
| Statement of Financial Activities | 7 | ||
| Statement of Financial Position | 8 | ||
| Notes to the Financial Statements | 9 | to | 16 |
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
The corporate trustee presents its report with the financial statements of the charity for the year ended 31 December 2020. The trustee has adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The Scheme was founded in 1932 to provide suitable instruments for promising music students, such instruments being frequently beyond their means. Owners of such instruments were invited to lend or donate them to the Scheme, which would then become a vehicle to care for and maintain them and lend them onwards to promising pupils. It was envisaged from the outset that would-be borrowers would be required to provide evidence of musical ability and promise from suitably qualified sources, and show inability to obtain or afford appropriate instruments from their own or family resources. Appropriate guarantees would also be sought for applicants below the age of 18.
The Scheme focuses mainly on stringed instruments, all of which with suitable maintenance may be expected to have indefinite lifetimes. It also has several harps and a small number of woodwind instruments. During the past decade the Scheme has more than doubled in size measured by instruments available (currently 850 instruments) divided approximately equally between instruments lent to the Scheme and instruments owned by it. There is no equivalent scheme of comparable size in the UK. Borrowers range from 7 years up to the age of 25, the average loan being in the order of 4 years.
Main activities
For most of its early existence the Scheme was run on a wholly voluntary basis until it was saved from collapse in the late 1980s by Benslow Music Trust. It continues to be a fundamental objective of the Scheme that it should be run on a low overhead basis to enable charges to borrowers to be minimised.
To maintain the flow of borrowers, lenders of instruments and supporters, the Scheme promotes itself to the music teaching profession and other musical institutions throughout the UK by contacts, word of mouth, participation in events and through social media. It is greatly aided in this by its connection and location on campus with Benslow Music Trust where there is a regular footfall of amateur musicians, professional tutors and the public through related musical events. It also maintains connections through instrument repairers country-wide.
The scope of the Scheme is limited by its stock variety and condition and to this end it maintains continuous and meticulous attention to instrument quality and condition whether in stock or borrowers' hands. It monitors changing requirements ensuring that valuations for the purposes of insurance are current. In recent years, continuous and incremental increases in market value of fine stringed instruments has resulted in higher insurance costs.
We continue to seek to ensure that each applicant borrows an instrument most suited to their needs and that our overall stock is appropriate to those needs. Considerable effort is made to reassure lenders of instruments to the Scheme that their instruments are well maintained, insured and contribute to our declared objectives.
Public benefit
When planning our activities for the year we have considered the Charity Commission's guidance on public benefit. Any potential borrower meeting the criteria of musical ability and need may apply either directly or through a parent or guardian. Every applicant is made aware of the availability of bursaries and we seek to encourage applications from a wide range of backgrounds.
Page 1
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
ACHIEVEMENT AND PERFORMANCE Charitable activities
The Scheme has managed to sustain its borrower base throughout this unprecedented year and continued to maintain and monitor the condition of existing instruments. Insurance valuations are constantly reviewed and adjusted with the help of our on-site luthier.
New Building
Final completion and handover of a new building for the Scheme was achieved in June 2020 enabling staff to move all stock into a secure, purpose-built storage facility and occupation of the office in August. A much improved and spacious workshop allows a far greater range of maintenance and repair work to take place on the premises.
Appointments for borrowers recommenced at the start of September following the lifting of lockdown restrictions due to the Coronavirus pandemic, although they ceased again at the subsequent lockdown.
We hope that once we are able to begin normal operations again we will be able to expand our services and extend our facilities to provide a unique on-site instrument centre with a wider range of instruments than currently available.
Tony Aston, Chairman of the Scheme's Governors, retired in July after over 14 years of dedicated service. He will be remembered for his vision and driving force enabling the scheme to develop significantly. The new building is to be named for him, thus becoming The Aston Building.
FINANCIAL REVIEW
Financial position
The Loan Scheme has survived the Covid-19 pandemic. We have heard from many students that they have been practising more and taking joy from their instruments during lockdown. Whilst some customers have asked to return instruments, there are an equal number of new students asking to join the scheme and we are confident that interest in the scheme remains unaffected. Numbers of students and new uptake is being constantly monitored.
The instalment payment plan offered by the scheme accounts for over 90% of payments, ensuring cash flow into the scheme has remained constant. Fewer than 1% of borrowers have defaulted over the year. The recent appointment of a Finance Officer for the scheme has helped to bring customer accounts up to date and has enabled clear budget monitoring and cash flow reports.
The scheme has benefited particularly from a large donation from our former Chairman Tony Aston, for which we are enormously grateful. However overall numbers of donations are down, with the Friends' scheme only ticking over.
Although the scheme has ended the year with a good cash position, this will be carefully monitored during 2021 to assess potential delayed impact from the pandemic.
Impact of the coronavirus pandemic
The effect of a prolonged lockdown resulted in a 50% drop in applications and new borrowers in 2020, although the total number of borrowers on the books remained steady. In September and December the Scheme was able to run a limited number of Covid-compliant appointments and applications picked up. However, any further future lockdowns may create a backlog of students wishing to borrow or return an instrument which will result in loss of revenue. Instrument loans and donations also reduced by 75%.
The impact of the pandemic was felt by all staff in the Scheme as the site shut down and staff were placed on furlough. Sadly it also led to losing our Marketing and Development Co-ordinator Hazel Bliss through redundancy. Hazel was a valued member of staff to whom thanks and appreciation are extended, particularly for her work creating and maintaining the Scheme's website and social media platforms.
Reserves policy
It remains our policy to maintain reserves at least equivalent to twelve months running cost as well as providing the ability to acquire worthwhile instruments which become available to us.
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The Scheme is structured as an unincorporated trust registered as a charity with Benslow Music Trust as its sole corporate trustee. It is supervised by a committee of Governors appointed annually by Benslow Music Trust. The Governors elect their own Chairman who must also be a Trustee of Benslow Music Trust.
The Scheme has no formal Trust document but its primary objectives remain substantially as set out by its original founders in a letter published in 'The Times' edition dated 23 January 1932 (see Objectives and Activities above).
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
313755
Principal address
Benslow Music Benslow Lane Hitchin Hertfordshire SG4 9RB
Trustees
Benslow Music Trust
Registered Company Number: 00408404 Registered Charity Number: 313663
Trustees of Benslow Music Trust at 31 December 2020 Peter Neville - Chairman Michael Taylor - Vice-Chairman Bhagwant Singh - Hon. Treasurer
Andrew Baruch, Colin Bates, Anne Conchie, Tim Gillott, Norma King, John Witchell, Susan Sturrock, Katherine Hamilton and Sadasivam Selvakumar
Mark Bowen - Hon. Secretary
Governors of Loan Scheme
John Witchell - Acting Chairman of the Governors Rosalind Hedley Miller Joely Koos Peter Neville Sandra Saunders (Kyriakides) Michael Taylor
Independent Examiner
Bradshaw Johnson Chartered Accountants Croft Chambers 11 Bancroft Hitchin Hertfordshire SG5 1JQ
Page 3
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
REFERENCE AND ADMINISTRATIVE DETAILS Bankers Barclays Bank plc 5/6 High Street Hitchin Herts SG5 1BJ CCLA Fund Managers Limited Senator House 85 Queen Victoria Street London EC4V 4ET
Scheme Manager - Alison Palmer Approved by order of the board of trustees on 8 May 2021 and signed on its behalf by:
John Witchell Trustee – Benslow Music Trust
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
TRUSTEES' RESPONSIBILITY STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 5
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
Independent examiner's report to the trustees of Benslow Musical Instrument Loan Scheme
I report to the charity trustees on my examination of the accounts of Benslow Musical Instrument Loan Scheme (the Trust) for the year ended 31 December 2020.
Responsibilities and basis of report
As the charity trustees of the Trust 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 and 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
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of Institute of Chartered Accountants in England and Wales which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do 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.
Neil Harding FCA Institute of Chartered Accountants in England and Wales Bradshaw Johnson Chartered Accountants Croft Chambers 11 Bancroft Hitchin Hertfordshire SG5 1JQ
Date: 12 May 2021
Page 6
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies Other trading activities 2 Other income Total EXPENDITURE ON Raising funds Charitable activities Benslow Musical Loan Scheme Total Net gains on investments NET INCOME/(EXPENDITURE) Transfers between funds 9 Net movement in funds RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds £ 127,528 559 127,982 256,069 (8) 185,875 185,867 381,988 452,190 (12,788) 439,402 3,106,960 3,546,362 |
Restricted fund £ - - - - - 12,788 12,788 - (12,788) 12,788 - - - |
31.12.20 Total funds £ 127,528 559 127,982 256,069 (8) 198,663 198,655 381,988 439,402 - 439,402 3,106,960 3,546,362 |
31.12.19 Total funds £ 170,348 2,967 153,339 |
|---|---|---|---|---|
| 326,654 2,197 189,039 |
||||
| 191,236 125,044 |
||||
| 260,462 - |
||||
| 260,462 2,846,498 |
||||
| 3,106,960 |
The notes form part of these financial statements
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
STATEMENT OF FINANCIAL POSITION 31 DECEMBER 2020
| Notes FIXED ASSETS Tangible assets 6 CURRENT ASSETS Debtors 7 Cash at bank CREDITORS Amounts falling due within one year 8 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 9 Unrestricted funds: General fund Designated Musical instruments Designated Buckley fund Aston Development Fund TOTAL FUNDS |
Unrestricted funds £ 3,334,957 98,565 180,225 278,790 (67,385) 211,405 3,546,362 3,546,362 |
Restricted fund £ - - - - - - - - |
31.12.20 Total funds £ 3,334,957 98,565 180,225 278,790 (67,385) 211,405 3,546,362 3,546,362 753,560 2,692,802 - 100,000 3,546,362 3,546,362 |
31.12.19 Total funds £ 2,806,966 55,242 334,954 390,196 (90,202) 299,994 3,106,960 3,106,960 592,280 2,241,550 273,130 - 3,106,960 3,106,960 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 8 May 2021 and were signed on its behalf by:
John Witchell Trustee – Benslow Music Trust
The notes form part of these financial statements
Page 8
BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
Benslow Musical Instrument Loan Scheme meets the definition of a public benefit entity under FRS 102.
Income
Income is included in the Statement of Financial Activities when:
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the Scheme becomes entitled to the donation, legacy or similar income and any conditions for receipt are met;
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the Scheme is virtually certain that it will receive it; and
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the Scheme is reasonably certain that the value can be reliably measured.
Donated instruments are included in the accounts in the year in which the instrument is received. The Scheme's policy is only to dispose of instruments where they are unsuitable for the Scheme's objectives.
Income from tax claims is included in the accounts at the same time as the gift to which it relates. Income from legacies is included when the Scheme has been notified of an impending distribution or the legacy being received.
Administration charges (from lending instruments) represent amounts invoiced in the year for the rental of musical instruments.
All income is stated gross and is wholly derived in the United Kingdom.
Expenditure
Expenditure is recognised in the year in which it is incurred.
Charitable expenditure comprises those costs incurred by the Scheme in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature to support them. This includes those incurred in connection with administration of the Scheme and compliance with constitutional and statutory requirements.
Tangible fixed assets
Fixed assets are stated at cost less accumulated depreciation. Minor additions of less than £50 are not capitalised.
Musical Instruments donated to the Scheme are initially valued professionally and included on that basis. Instruments purchased are included at cost. The individual values of all instruments are continuously reviewed on a rolling basis - primarily for insurance purposes - and adjustments made where necessary.
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:
Freehold property - 2% straight line Musical Instruments - Not depreciated Instrument cases and equipment - 10% straight line Office equipment - 20% straight line
Depreciation is not provided on musical instruments individually but an annual adjustment is made to reflect value changes arising from reviews during the year and acquisitions and disposals. A view is also taken at the time of the overall reserve provided against the aggregate musical instrument stock valuation (see Note 6).
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
1. ACCOUNTING POLICIES - continued
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Scheme and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Scheme for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Pension costs and other post-retirement benefits
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
2. OTHER TRADING ACTIVITIES
| 31.12.20 | 31.12.20 | 31.12.19 | |
|---|---|---|---|
| £ | £ | ||
| Deposit account interest | 559 | 2,967 |
3. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2019.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2020 nor for the year ended 31 December 2019.
4. STAFF COSTS
The average monthly number of employees during the year was as follows:
| 31.12.20 | 31.12.19 | |
|---|---|---|
| Lending instruments / administration | 3 | 4 |
No employees received emoluments in excess of £60,000.
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
| 5. 2019 COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted Restricted funds fund £ £ INCOME AND ENDOWMENTS FROM Donations and legacies 170,348 - Other trading activities 2,967 - Other income 153,339 - Total 326,654 - EXPENDITURE ON Raising funds 2,197 - Charitable activities Benslow Musical Loan Scheme 172,129 16,910 Total 174,326 16,910 Net gains on investments 125,044 - NET INCOME/(EXPENDITURE) 277,372 (16,910) Transfers between funds (16,910) 16,910 Net movement in funds 260,462 - RECONCILIATION OF FUNDS Total funds brought forward 2,846,498 - TOTAL FUNDS CARRIED FORWARD 3,106,960 - |
Total funds £ 170,348 2,967 153,339 |
|---|---|
| 326,654 2,197 189,039 |
|
| 191,236 125,044 |
|
| 260,462 - |
|
| 260,462 2,846,498 |
|
| 3,106,960 |
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
6. TANGIBLE FIXED ASSETS
| COST OR VALUATION At 1 January 2020 Additions Disposals Revaluations At 31 December 2020 DEPRECIATION At 1 January 2020 Charge for year At 31 December 2020 NET BOOK VALUE At 31 December 2020 At 31 December 2019 |
Freehold property £ 420,253 227,997 - - 648,250 - 12,965 12,965 635,285 420,253 |
Instrument cases £ 36,749 - - - 36,749 32,295 781 33,076 3,673 4,454 |
Musical instruments £ 2,381,514 19,400 (90,100) 381,988 2,692,802 - - - 2,692,802 2,381,514 |
Office equipment £ 8,419 3,218 - - 11,637 7,674 766 8,440 3,197 745 |
Totals £ 2,846,935 250,615 (90,100) 381,988 3,389,438 39,969 14,512 54,481 3,334,957 2,806,966 |
|---|---|---|---|---|---|
Musical Instruments - the Scheme only sells or disposes of instruments where they are deemed unsuitable for purpose. Occasionally this may include instruments which prove unappealing to borrowers, when they may be disposed of or returned to the owner as appropriate. The overall instrument stock forms no part of any collateral given or contemplated.
As noted above the total owned instrument stock reflects the aggregate of individual valuations under constant review. The market for instruments is a highly specialised one and much distorted in recent years by the perception of 'named' musical instruments as a pure investment asset. To keep our aggregate book value within bounds we have applied a discount of 20% to the insurance valuation and the discounted figure is the figure of £2,692,802 included above.
7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 31.12.20 | 31.12.19 | |
|---|---|---|
| £ | £ | |
| Trade debtors | 45,697 | 53,518 |
| Other debtors | 52,868 | 1,724 |
| 98,565 | 55,242 |
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 31.12.20 | 31.12.19 | |
|---|---|---|
| £ | £ | |
| Trade creditors | 57,830 | 60,123 |
| Other creditors | 9,555 | 30,079 |
| 67,385 | 90,202 |
Trade creditors represents the deposits held for instruments out on loan.
9. MOVEMENT IN FUNDS
| Unrestricted funds General fund Designated Musical instruments Designated Buckley fund Aston Development Fund Restricted funds Bursary fund TOTAL FUNDS |
At 1.1.20 £ 592,280 2,241,550 273,130 - 3,106,960 - 3,106,960 |
Net movement in funds £ (29,798) 381,988 - 100,000 452,190 (12,788) 439,402 |
Transfers between funds £ 191,078 69,264 (273,130) - (12,788) 12,788 - |
At 31.12.20 £ 753,560 2,692,802 - 100,000 3,546,362 - 3,546,362 |
|---|---|---|---|---|
Net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Designated Musical instruments Aston Development Fund Restricted funds Bursary fund TOTAL FUNDS |
Incoming resources £ 156,069 - 100,000 256,069 - 256,069 |
Resources expended £ (185,867) - - (185,867) (12,788) (198,655) |
Gains and Movement losses in funds £ £ - (29,798) 381,988 381,988 - 100,000 381,988 452,190 - (12,788) 381,988 439,402 |
|---|---|---|---|
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
9. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| Unrestricted funds General fund Designated Musical instruments Designated Buckley fund Restricted funds Bursary fund TOTAL FUNDS |
At 1.1.19 £ 359,767 2,184,390 302,341 2,846,498 - 2,846,498 |
Net movement in funds £ 275,638 - 1,734 277,372 (16,910) 260,462 |
Transfers between funds £ (43,125) 57,160 (30,945) (16,910) 16,910 - |
At 31.12.19 £ 592,280 2,241,550 273,130 |
|---|---|---|---|---|
| 3,106,960 - |
||||
| 3,106,960 |
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Designated Buckley fund Restricted funds Bursary fund TOTAL FUNDS |
Incoming resources £ 324,920 1,734 326,654 - 326,654 |
Resources expended £ (174,326) - (174,326) (16,910) (191,236) |
Gains and Movement losses in funds £ £ 125,044 275,638 - 1,734 125,044 277,372 - (16,910) 125,044 260,462 |
|---|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund Designated Musical instruments Designated Buckley fund Aston Development Fund Restricted funds Bursary fund TOTAL FUNDS |
At 1.1.19 £ 359,767 2,184,390 302,341 - 2,846,498 - 2,846,498 |
Net movement in funds £ 245,840 381,988 1,734 100,000 729,562 (29,698) 699,864 |
Transfers between funds £ 147,953 126,424 (304,075) - (29,698) 29,698 - |
At 31.12.20 £ 753,560 2,692,802 - 100,000 |
|---|---|---|---|---|
| 3,546,362 - |
||||
| 3,546,362 |
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
9. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Designated Musical instruments Designated Buckley fund Aston Development Fund Restricted funds Bursary fund TOTAL FUNDS |
Incoming resources £ 480,989 - 1,734 100,000 582,723 - 582,723 |
Resources expended £ (360,193) - - - (360,193) (29,698) (389,891) |
Gains and Movement losses in funds £ £ 125,044 245,840 381,988 381,988 - 1,734 - 100,000 507,032 729,562 - (29,698) 507,032 699,864 |
|---|---|---|---|
General
This fund represents the accumulated surplus arising from the general activity of the Scheme after allocating income and expenditure to other funds where appropriate and is consistent with the policy of the Governors.
Designated fund - Musical instruments
This fund represents the total value of musical instruments owned by the Scheme, although it should be noted the operational stock includes substantial numbers of instruments placed in the Scheme by supporters. As noted in 9 above the Scheme only parts with instruments if they are deemed unsuitable for purpose, and the Governors therefore consider that for accounting clarity the proportion of general reserves representing the net aggregate value should be shown as a separate item.
Designated fund - Buckley fund
This fund represented the sale proceeds of an antique cello originally donated in 2007. During the year the funds held were used to help fund the new purpose built building built for use by the Scheme. All funds have been transferred to the general fund in the year.
Designated fund - Aston Development Fund
This fund represents a donation to the Scheme by Tony Aston, former Governor and Chair of the Scheme and former trustee of Benslow Music Trust. The fund is to allow the Scheme to continue to develop in the future.
Bursary fund
The Scheme maintains its charges to borrowers at a low level and these primarily reflect only the direct cost of maintaining and insuring the instruments. To meet cases of extreme hardship however, bursaries are given that further reduce these charges and in 2020 awards totalling £12,788 were given. These are shown separately on the Statement of Financial Activities, being effectively a reduction in the year's income.
Transfers between funds
The transfer from the unrestricted funds to the bursary fund has been made as no designated funds are currently held for this purpose.
continued...
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BENSLOW MUSICAL INSTRUMENT LOAN SCHEME
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
10. RELATED PARTY DISCLOSURES
A management charge of £22,000 was paid to Benslow Music Trust, the sole Trustee, for the year ended 31 December 2020 (2019: £22,000). This covered premises, facilities and other support activities. At the end of the year Benslow Music Trust owed £33,456 (Owed by BMT 2019: £398) principally due to funds having been received into BMT on behalf of BMILS late in the financial year as part of Tony Aston's generous donation, but which had not been transferred to BMILS at the year end.
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