HON. TREASURER’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2024
I am pleased to present the income and expenditure accounts that have been submitted to our independent examiner (Smailes Goldie, Chartered Accountants), for which there is an excess of income over expenditure of £12,077.84. This amount includes the sales proceeds for the projector (£3,208.37) that we purchased for ‘Our House’, but even after this, a surplus of £8.869 on usual activities still represents a very strong financial year and achieved even without a pantomime.
In addition to the projector sales proceeds, the main contribution to income was a £5,763 surplus in the financial year from our fantastic Hull Truck production of ‘Grease,’ with an overall surplus of £3,307 after deducting costs from last year. We achieved an 80% box office, which in the current climate is no mean feat, and what an enjoyable show for all to be involved in.
Other main sources of income were our ‘Lip Sync’ fundraising evening which generated a magnificent £2,837; membership subscriptions at £3,190; and our outstanding ‘Crazy for You’ production at the New Theatre for which there was a surplus of £1,716 for the financial year, but with an overall loss of £1,767. This loss was lower than expected and assisted by our Director waiving his production fees and some of the production team not claiming their expenses, otherwise we would have ended closer to our projected £7k loss. It was also aided by a lot of hard work from so many to help reduce the costs of this production. In addition, sponsorship of £5k from MKM and £1.5k from John Moore again contributed in a huge way here. We achieved Box Office of 35% and lower box offices are still in line with theatres nationally during the current economic climate.
Other notable income was Gift Aid at £1,036; NS&I/NW bank interest of £638; the hire of costumes raised £825, and we also received a number of donations from individuals (many thanks), and we benefited once again from a donation of £500 from Lloyds Bank.
As for expenditure, the main costs were for our St Mark’s storage facility at £2,855 and costs for our future production of ‘Legally Blonde’ of £1,400 (rights and set deposits). In addition, the other main expenditure was Insurance at £1,659.
As a reminder, the Management Team will be reviewing the ‘Reserves Policy’ we established in 2013 and after the 2023/24 financial statements are finalised, an update will be handed out at the AGM. Good housekeeping and another considerable team effort ensures our balance sheet remains very strong. We must continue a cautious approach financially and continue to monitor costs, whilst looking for additional income streams such as sponsorship and fundraising to continue performing in the larger venues on a regular basis.
– Hessle Theatre Company (HTC) Reserves Policy (August 2024)
Introduction – Why a Reserves Policy?
As per communications from the Charity Commission and their ‘Statement of Recommended Practice’ (SORP), we formulated this policy in December 2012 (since revised and agreed at HTC Committee Meeting on Tuesday 20th August 2024). In putting this together, we have taken guidelines from a number of articles and information booklets written by the Charity Commission and various other professional bodies. We have also discussed and agreed the policy at length in HTC management meetings. By looking to identify risks and operational requirements, this has enabled us to determine the amounts of reserves required. This policy will form part of the ‘Treasurer’s Annual Report’ and the ‘Trustees Annual Report’, submitted annually to the Charities Commission for public viewing.
Reserves Policy for HTC
The guidelines on putting together a Reserves Policy state that “the level of reserves must be right for that charity”. HTC have decided on a range of reserves that are needed for the purposes described below, rather than a specific amount, due to the peaks and troughs we see in our type of business. The reserves we currently have enable us to perform at some of the region’s most prestigious venues, putting on quality, large scale productions with some financial confidence. Without these reserves, the likelihood is we wouldn’t have the resources or assurance to do this, due to the varied and often unknown amounts of income from productions. This policy will be reviewed at least annually after our year end (June 30[th] ) and before our AGM in September.
Current Reserves
As at our last financial year-end (30/06/2024), the total reserves were £58,525.00, split as follows: Nat West Liquidity Manager 35-day account = £30,185.59 Nat West Current Account = £5,669.13 Nat West Business Reserve Account = £22,670.28
Registered Charity No. 500483 Affiliated to NODA (National Operatic & Dramatic Association)
Range of Reserves and rationale
Nat West Liquidity Manager 35 day account – reserves range of £30k to £35k (currently £30,185.59). These could probably be considered as ‘Designated Funds’ as the main purpose of these savings is primarily to replace lost income from any main theatrical production. The net cost of the New Theatre production usually ranges from £30k to £50k, so this covers us for any unforeseen event that is uninsurable, for example, very low box office for whatever reason. However, if this was needed for any other emergency, the funds are readily available.
Nat West Current & Reserve Accounts – reserves range of £10k to £35k (30/6/24 year-end £28,339.41). These accounts reserves vary in amount over the course of the year dependent on ongoing productions. The interest-bearing Reserve Account feeds the Current account by transferring funds across as required depending on profit and loss projections for that production. It will usually pay for up-front costs of the production amounting to many thousands e.g. royalties, set, sound, costumes, props, orchestra etc. before any box office income is received. It will also fund any unforeseen day to day expenses that cannot be supported by funds in the current account and cover potential losses on productions.
Richard Carmichael Hon. Treasurer 20[th] August 2024
Charity Number: 500483
Hessle Amateur Operatic and Dramatic Society
Financial Statements
30th June 2024
SD-0215251-1-6
Hessle Amateur Operatic and Dramatic Society
| Contents | Page |
|---|---|
| Accountants’ report | 1 |
| Receipts and payments account | 2 |
| Statement of assets and liabilities | 3 |
Unaudited Financial Statements
for the year ended 30th June 2024
Chartered Accountants' Report to
Hessle Amateur Operatic and Dramatic Society
In accordance with our terms of engagement we have prepared for your approval the financial statements of The Hessle Amateur Operatic and Dramatic Society for the year ended 30th June 2024 on pages two to three from the accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at icaew.com/members handbook.
This report is made solely to you, in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of The Hessle Amateur Operatic and Dramatic Society and state those matters that we have agreed to state to you in this report in accordance with the guidance of ICAEW as detailed at icaew.com/compilation. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than you for our work or for this report.
You have approved the financial statements for the year ended 30th June 2024 and have acknowledged your responsibility for them, for the appropriateness of the financial reporting framework adopted and for providing all information and explanations necessary for their compilation.
We have not verified the accuracy or completeness of the accounting records or information and explanations you have given us and we do not, therefore, express any opinion on the financial statements. We have not been engaged to complete either an independent examination or audit of the financial statements and therefore our work does not provide any such assurance over the financial statements.
Smailes Goldie Chartered Accountants Regent's Court Princess Street Hull East Yorkshire HU2 8BA
20th September 2024
1
Hessle Amateur Operatic and Dramatic Society Receipts and Payments Account
for the year ended 30th June 2024
| Receipts and Payments Account for the year ended 30th June 2024 |
||
|---|---|---|
| 2024 | 2023 | |
| £ | £ | |
| Income | ||
| Subscriptions | 3,190 | 4,170 |
| Donations | 770 | 600 |
| Fundraising | 2,837 | 2,559 |
| Bank interest: | ||
| National Savings Bank | 356 | 30 |
| NatWest | 282 | - |
| Inland Revenue - tax recoverable | 1,036 | 867 |
| Sundries (net) | - | 383 |
| Hire | 825 | - |
| Surplus on productions: | ||
| “Shrek” | - | 245 |
| “Robin Hood Panto” | - | 5,234 |
| “Crazy for You” | 1,716 | - |
| “Grease” | 5,763 | - |
| “Dick Whittington” | 65 | - |
| ����� | ����� | |
| 16,840 | 14,088 | |
| ����� | ����� | |
| Expenditure | ||
| Marketing/website | 244 | 181 |
| Subscriptions – NODA | 245 | 190 |
| Insurance | 1,659 | 1,310 |
| Venue Hire – Meetings | 208 | 347 |
| Accountancy | 420 | 384 |
| Regent’s House – storage etc | - | 1,335 |
| Umber/St Marks – storage etc | 2,855 | 8,199 |
| Costumes | 121 | 10 |
| Sundries (net) | 250 | - |
| Social events | 318 | - |
| Bank charges | 50 | 230 |
| Deficit on productions: | ||
| “Urinetown” | - | 4,955 |
| “Our House” | 200 | 8,437 |
| “Crazy for you” | - | 3,482 |
| “Grease” | - | 2,455 |
| “Legally Blonde” | 1,400 | - |
| ����� | ����� | |
| 7,970 | 32,188 | |
| ����� | ����� | |
| Surplus/(Deficit) before asset and investment purchases | 8,870 | (18,100) |
| ����� | ����� | |
| Asset and investment purchases | ||
| Fixed assets - projector | (3,208) | 3,224 |
| ����� | ����� | |
| Surplus/(Deficit) for the year | 12,078 | (21,324) |
| Cash funds brought forward | 46,447 | 67,771 |
| ����� | ����� | |
| Cash funds carried forward | 58,525 | 46,447 |
| ����� | ����� | |
| All amounts relate to unrestricted funds |
2
Hessle Amateur Operatic and Dramatic Society Statement of Assets and Liabilities
at 30th June 2024
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Cash funds | ||
| National Savings Bank Investments Account | - | 31,985 |
| NatWest Community Current Account | 5,669 | 14,462 |
| NatWest Bonus Saver | 22,670 | - |
| NatWest Liquidity Manager | 30,186 | - |
| ����� | ����� | |
| Net assets | 58,525 | 46,447 |
| ����� | ����� | |
| Assets retained for the charity’s own use | ||
| Projector | - | 3,224 |
| ����� | ����� | |
| Net assets | 58,525 | 49,671 |
| ����� | ����� |
The above financial statements were approved by the board of trustees on 20th September 2024 and were signed on its behalf by:
………………………………………………………… N. Wilson (Chairman) ………………………………………………………… R. Carmichael (Hon. Treasurer) ………………………………………………………… M. Beaumont (Hon. General Secretary)
3
HON. TREASURER’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2024
I am pleased to present the income and expenditure accounts that have been submitted to our independent examiner (Smailes Goldie, Chartered Accountants), for which there is an excess of income over expenditure of £12,077.84. This amount includes the sales proceeds for the projector (£3,208.37) that we purchased for ‘Our House’, but even after this, a surplus of £8.869 on usual activities still represents a very strong financial year and achieved even without a pantomime.
In addition to the projector sales proceeds, the main contribution to income was a £5,763 surplus in the financial year from our fantastic Hull Truck production of ‘Grease,’ with an overall surplus of £3,307 after deducting costs from last year. We achieved an 80% box office, which in the current climate is no mean feat, and what an enjoyable show for all to be involved in.
Other main sources of income were our ‘Lip Sync’ fundraising evening which generated a magnificent £2,837; membership subscriptions at £3,190; and our outstanding ‘Crazy for You’ production at the New Theatre for which there was a surplus of £1,716 for the financial year, but with an overall loss of £1,767. This loss was lower than expected and assisted by our Director waiving his production fees and some of the production team not claiming their expenses, otherwise we would have ended closer to our projected £7k loss. It was also aided by a lot of hard work from so many to help reduce the costs of this production. In addition, sponsorship of £5k from MKM and £1.5k from John Moore again contributed in a huge way here. We achieved Box Office of 35% and lower box offices are still in line with theatres nationally during the current economic climate.
Other notable income was Gift Aid at £1,036; NS&I/NW bank interest of £638; the hire of costumes raised £825, and we also received a number of donations from individuals (many thanks), and we benefited once again from a donation of £500 from Lloyds Bank.
As for expenditure, the main costs were for our St Mark’s storage facility at £2,855 and costs for our future production of ‘Legally Blonde’ of £1,400 (rights and set deposits). In addition, the other main expenditure was Insurance at £1,659.
As a reminder, the Management Team will be reviewing the ‘Reserves Policy’ we established in 2013 and after the 2023/24 financial statements are finalised, an update will be handed out at the AGM. Good housekeeping and another considerable team effort ensures our balance sheet remains very strong. We must continue a cautious approach financially and continue to monitor costs, whilst looking for additional income streams such as sponsorship and fundraising to continue performing in the larger venues on a regular basis.
– Hessle Theatre Company (HTC) Reserves Policy (August 2024)
Introduction – Why a Reserves Policy?
As per communications from the Charity Commission and their ‘Statement of Recommended Practice’ (SORP), we formulated this policy in December 2012 (since revised and agreed at HTC Committee Meeting on Tuesday 20th August 2024). In putting this together, we have taken guidelines from a number of articles and information booklets written by the Charity Commission and various other professional bodies. We have also discussed and agreed the policy at length in HTC management meetings. By looking to identify risks and operational requirements, this has enabled us to determine the amounts of reserves required. This policy will form part of the ‘Treasurer’s Annual Report’ and the ‘Trustees Annual Report’, submitted annually to the Charities Commission for public viewing.
Reserves Policy for HTC
The guidelines on putting together a Reserves Policy state that “the level of reserves must be right for that charity”. HTC have decided on a range of reserves that are needed for the purposes described below, rather than a specific amount, due to the peaks and troughs we see in our type of business. The reserves we currently have enable us to perform at some of the region’s most prestigious venues, putting on quality, large scale productions with some financial confidence. Without these reserves, the likelihood is we wouldn’t have the resources or assurance to do this, due to the varied and often unknown amounts of income from productions. This policy will be reviewed at least annually after our year end (June 30[th] ) and before our AGM in September.
Current Reserves
As at our last financial year-end (30/06/2024), the total reserves were £58,525.00, split as follows: Nat West Liquidity Manager 35-day account = £30,185.59 Nat West Current Account = £5,669.13 Nat West Business Reserve Account = £22,670.28
Registered Charity No. 500483 Affiliated to NODA (National Operatic & Dramatic Association)
Range of Reserves and rationale
Nat West Liquidity Manager 35 day account – reserves range of £30k to £35k (currently £30,185.59). These could probably be considered as ‘Designated Funds’ as the main purpose of these savings is primarily to replace lost income from any main theatrical production. The net cost of the New Theatre production usually ranges from £30k to £50k, so this covers us for any unforeseen event that is uninsurable, for example, very low box office for whatever reason. However, if this was needed for any other emergency, the funds are readily available.
Nat West Current & Reserve Accounts – reserves range of £10k to £35k (30/6/24 year-end £28,339.41). These accounts reserves vary in amount over the course of the year dependent on ongoing productions. The interest-bearing Reserve Account feeds the Current account by transferring funds across as required depending on profit and loss projections for that production. It will usually pay for up-front costs of the production amounting to many thousands e.g. royalties, set, sound, costumes, props, orchestra etc. before any box office income is received. It will also fund any unforeseen day to day expenses that cannot be supported by funds in the current account and cover potential losses on productions.
Richard Carmichael Hon. Treasurer 20[th] August 2024