THE HYDROGRAPHIC SOCIETY UK TRUSTEES REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2009
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1 THE HYDROGRAPHIC SOCIETY UK TRUSTEES REPORT AND FINANCIAL STATEMENTS Charity no: Company Number:
2 THE HYDROGRAPHIC SOCIETY UK CONTENTS Page Report of the trustees and directors 1-4 Independent auditors report 5 Statement of financial activities 6 Balance Sheet 7 Notes to the financial statements 8-12
3 THE HYDROGRAPHIC SOCIETY UK Page 1 REPORT OF THE TRUSTEES AND DIRECTORS _ Legal and administrative information Chairman Honorary Treasurer Honorary Secretary Company Secretary Principal Bankers Solicitors Auditors W S Heaps BSc (Hons) P J L Kelly M Tranah BSc H L Atkinson BSc (Hons) The Royal Bank of Scotland plc 2 Old Town Street Plymouth PL1 1DP Foot Anstey Solicitors Senate Court Southernhay Gardens Exeter Devon EX1 1NT Simpkins Edwards Michael House Castle Street Exeter Devon EX4 3LQ Charity Number Company Number Registered Office Senate Court Southernhay Gardens Exeter Devon EX1 1NT
4 THE HYDROGRAPHIC SOCIETY UK Page 2 REPORT OF THE TRUSTEES AND DIRECTORS _ The Management Committee presents its report and the financial statements for the year ended 31 March The legal and administration information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice Accounting and Reporting by Charities (SORP 2005). Constitution The Hydrographic Society UK is a company limited by guarantee and a registered charity. The Society s governing document is its Memorandum and Articles of Association as adopted by a special resolution dated 5 August Management Committee Members and their interests The Management Committee Members are the Society s trustees for the purpose of charity law. The trustees serving during the year and since the year end were as follows:- Chairman Vice Chairman W S Heaps BSc (Hons) (Director/Trustee) No appointment Honorary Secretary: M Tranah BSc (Director/Trustee) (appointed 1 April 2009) S Johns BSc (Hons) (Director/Trustee) (resigned 1 April 2009) Honorary Treasurer P J L Kelly (Director/Trustee) Regional Representatives East Anglia: North West: Southern: South West: The Hydrographic Society of Ireland The Hydrographic Society of Scotland UK Student Chapter International Chapter Middle East M Tranah BSc (Director/Trustee) I Holden BSc (Hons) (Director/Trustee) W S Heaps BSc (Hons) (Director/Trustee) D Parker BSc (Hons) (Director/Trustee) S Cullen BSc (Hons) (Director/Trustee) M Flaherty BA (Director/Trustee) J Williams BSc (Director/Trustee) A Ali (Director/Trustee) A Ali (Director/Trustee) None of the Members of the Executive Committee has any financial interest in the Society that requires disclosure under the Companies Act 1985.
5 THE HYDROGRAPHIC SOCIETY UK Page 3 REPORT OF THE TRUSTEES AND DIRECTORS _ New Honorary Secretaries and Honorary Treasurers must be nominated by at least two of the society s members and where the number nominated exceeds the number of vacancies, new appointments are determined by a vote of the members. Regional Representatives are elected from within the membership of that Region. Objects of the Society and principal activities The objects of the Society are to promote the science of surveying at sea and related sciences. The Society also serves to provide a channel for the exchange of information between those engaged or interested in hydrography and related sciences. The objectives are met by providing members with regular newsletters, and by the arranging of seminars, conferences and other events so that members can learn of new developments and exchange ideas. Organisation of the Society The day to day administration of this company is managed by an employee of the International Federation, which charges this company for this service. Strategic decisions affecting the company are made by the Management Committee members at their regular meetings. Investment policy Under the memorandum and articles of association the charity has the power to make any investment which the trustees see fit. Surplus funds are at present held on short term deposit. Reserves policy and risk management The trustees plan to maintain reserves at a level sufficient to provide working capital for the promotion of educational activities for its members and the administration of the society. Financial results The net surplus for the year was 19,917 (2008: 208 deficit). After adding this to the accumulated funds brought forward of 69,704 ( 57,460 unrestricted funds and 12,244 restricted funds), there is a balance of reserves of 89,621 to carry forward within the Society. This consists of 77,008 unrestricted funds and 12,613 restricted funds.
6 THE HYDROGRAPHIC SOCIETY UK Page 4 REPORT OF THE TRUSTEES AND DIRECTORS _ Trustees responsibilities in relation to the financial statements The trustees (who are also directors of The Hydrographic Society UK for the purposes 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 that give a true and fair view of the state of affairs of the charitable company 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 judgements and estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards 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 the charitable company will continue in its activities. 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 The trustees 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. Auditors In accordance with Section 385 of the Companies Act 1985 a resolution proposing that Simpkins Edwards be reappointed as auditors of the company will be put to the Annual General Meeting. Statement of disclosure to auditor (a) so far as the trustees are aware, there is no relevant audit information of which the company s auditors are unaware, and (b) they have taken all the steps 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 auditors are aware of that information. SIGNED ON BEHALF OF THE TRUSTEES W S Heaps Chairman Dated:
7 THE HYDROGRAPHIC SOCIETY UK Page 5 INDEPENDENT AUDITORS REPORT TO THE MEMBERS THE HYDROGRAPHIC SOCIETY UK _ We have audited the financial statements of The Hydrographic Society UK for the period ended 31 March 2009 shown on pages 6 to 12. The Financial Statements comprise the Statement of Financial Activities, the Balance Sheet and the related notes. The financial statements have been prepared in accordance with the accounting policies set out therein and the Financial Reporting Standards for Smaller Entities (effective January 2007). This report is made solely to the charitable company s members, as a body, in accordance with Section 235 of the Companies Act 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 its members as a body, for our audit work, for this report, or for the opinions we have formed. Respective responsibilities of the trustees and auditors As described in the Statement of Trustees (who include the directors of The Hydrographic Society UK for the purposes of company law) Responsibilities on page 4 the charitable company s trustees are responsible for the preparation of the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). We report to you our opinion as to whether the financial statements give a true and fair view and are properly prepared in accordance with the Companies Act We also report to you whether in our opinion the information given in the trustee s report is consistent with the financial statements. In addition we report to you if, in our opinion, the charitable company has not kept proper accounting records, if we have not received all the information and explanations we require for our audit, or if information specified by law regarding trustee s remuneration and other transactions is not disclosed. We read the trustee s report and consider the implications for our report if we become aware of any apparent misstatements within it. Basis of opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates and judgments made by the trustees in the preparation of the financial statements, and of whether the accounting policies are appropriate to the charitable company s circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion we also evaluated the overall adequacy of the presentation of information in the financial statements. Opinion: In our opinion: the financial statements give a fair and true view, in accordance with United Kingdom Generally Accepted Accounting Practice applicable to Smaller Entities, of the state of the charitable company s affairs as at 31 March 2009 and of its net incoming resources and application of resources, including its income and expenditure for the year then ended; the financial statements have been properly prepared in accordance with the Companies Act 1985; and the information given in the trustee s report is consistent with the financial statements. Simpkins Edwards Dated: Chartered Accountants Registered Auditor Michael House Castle Street Exeter EX4 3LQ
8 THE HYDROGRAPHIC SOCIETY UK Page 6 STATEMENT OF FINANCIAL ACTIVITIES _ Note Unrestricted Restricted Total Total Funds Funds Incoming resources Incoming resources from generated funds Voluntary income 3 38, ,170 47,211 Activities for generating funds 4 1,077-1,077 4,077 Investment income ,057 Incoming resources from charitable activities 5 169, ,575 8,050 Total incoming resources 210, ,769 61,395 Resources expended Costs of generating funds Fundraising costs ,325 Charitable activities 7 185, ,303 53,991 Governance costs 8 3,755-3,755 2,287 Total resources expended 190, ,852 61,603 Net incoming/(outgoing) resources 13 19, ,917 (208) Total Funds: Brought Forward 57,460 12,244 69,704 69,912 Carried Forward 77,008 12,613 89,621 69,704 The notes on pages 8 to 12 form part of these financial statements.
9 THE HYDROGRAPHIC SOCIETY UK Page 7 BALANCE SHEET AS AT 31 MARCH 2009 Fixed assets Note Tangible assets 9 1,205 1 Current assets Debtors 11 32,365 74,848 Cash at bank and in hand 117,334 53, , ,899 Creditors: amounts falling due within one year 12 61,283 58,196 _ Net current assets 88,416 69,703 Net assets 89,621 69,704 Funds Unrestricted funds 14 77,008 57,460 Restricted funds 14 12,613 12,244 89,621 69,704 The financial statements have been prepared in accordance with the special provision of Part VII of the Companies Act 1985 relating to small companies and with the Financial Reporting Standard for Smaller Entities (effective January 2007) except to the extent that it is overridden by the Statement of Recommended Practice applicable to charities. Approved by the board of trustees and directors on and signed on its behalf by W S Heaps Chairman The notes on page 8 to 12 form part of these financial statements Company Registration no:
10 THE HYDROGRAPHIC SOCIETY UK Page 8 NOTES TO THE FINANCIAL STATEMENTS _ 1. Accounting Policies a) Basis of preparation The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP 2005), the Financial Reporting Standard for Smaller Entities (effective January 2007), except to the extent that this conflicts with the SORP in which case the SORP is followed, and the Companies Act These financial statements are compiled from the Society s records maintained at its headquarters in the United Kingdom and incorporates the accounts and returns received from its Regions. b) Incoming Resources Donations, grants, etc are recognised when received. Membership subscriptions comprise the appropriate proportion of subscriptions received for the year by The Hydrographic Society UK relating to the period commencing 1 April. Subscriptions received in advance of the year to which they relate are carried forward as deferred income. Interest is included when receivable by the Society. Income received in respect of advertising in newsletters, events or similar income is recognised within incoming resources in the period in which the newsletter is published, the event takes place or on such other basis as is applicable to the income concerned. c) Resources Expended Resources expended are included in the Statement of Financial Activities on an accruals basis. Grants payable are recognised when paid. Operating lease rentals are charged to the Statement of Financial Activities as incurred over the terms of the lease. Charitable expenditure includes all expenditure directly related to the supply of newsletters to members, plus the costs of arranging conferences, seminars and other events at which members can learn about new developments and exchange ideas. It also includes expenditure relating to the administration of the charity. d) Fund Accounting Funds held by the Society are either: Unrestricted funds funds to be used in accordance with the charitable objects at the discretion of the trustees. Restricted funds funds to provide assistance specifically for student hydrographic surveyors and those at the outset of their careers.
11 THE HYDROGRAPHIC SOCIETY UK Page 9 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) _ e) Foreign Currencies Wherever practicable, transactions in foreign currencies are converted to sterling at the rate of exchange ruling at the date of the transaction. Assets and liabilities in foreign currencies are expressed in sterling terms at rates of exchange ruling on the balance sheet date. All exchange differences are included in the statement of financial activities. 2. Legal status of the society The Society is a company limited by guarantee and has no share capital. The liability of each member in the event of a winding up is limited to Voluntary income Membership subscriptions 38,438 46,581 Donations to education fund Activities for generating funds 39,170 47,211 UK newsletter sponsorship and advertising - 2,710 Social events 1,077 1,074 Sundry Incoming resources from charitable activities 1,077 4,077 Conferences/seminars/workshops: Hydrofest - Scotland 6,900 - Annual Members Dinner 8,341 7,014 Meeting collections 779 1,036 Hydro8 Liverpool 153, ,575 8,050
12 THE HYDROGRAPHIC SOCIETY UK Page 10 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) 6. Fundraising costs Society newsletter - 4,050 Social events 794 1, Charitable activities 794 5,325 Hydrofest - Scotland 1,955 - Annual Members Dinner 7,399 5,135 Meeting costs 1,531 1,393 Grants/donations IFHS levy 33,313 33,269 Management charges 12,500 10,200 Bank charges Insurance 1,070 1,038 Legal fees Sundry costs Postage, stationery, telephone & internet Rent Travel & accommodation 419 1,138 Marketing & promotion Website costs Depreciation Hydro8 - Liverpool 109,499 - Share of surplus re Hydro8 payable to the Federation 14, ,303 53,991 Management charges payable comprise charges from the International Federation of Hydrographic Societies for the work of its employee and for office overheads in respect of the management and administration of the company. 8. Governance costs Management committee & AGM expenses Accountancy 2,223 1,287 Audit 1,000 1,000 3,755 2,287
13 THE HYDROGRAPHIC SOCIETY UK Page 11 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) 9. Tangible assets Office and Computer Equipment Cost at 1 April ,711 Additions 1,530 Disposals (5,510) Cost at 31 March ,731 Depreciation at 1 April ,710 Charge for the year 326 On disposals (5,510) Depreciation at 31 March Net book value At 31 March ,205 At 31 March Trustees expenses and remuneration None of the trustees (or any persons connected with them) received any expenses or remuneration during the year. 11. Debtors Accrued income 3, VAT recoverable 1,747 2,290 Other debtors 10,498 29,207 Prepayments 16,930 32,445 Loans - 10,000 32,365 74,848
14 THE HYDROGRAPHIC SOCIETY UK Page 12 NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) 12. Creditors: Amounts falling due within one year Accruals 2,400 2,200 Deferred income 6,987 30,450 Other creditors 51,896 25, Movement in total funds for the year 61,283 58,196 This is stated after charging: Depreciation Auditor s remuneration in respect of external audit 1,000 1,000 Auditors remuneration in respect of other services 2,223 1, Analysis of net assets between funds Fund balances at 31 March 2009 are represented by: Unrestricted Restricted Funds Funds Total Fixed assets 1,205-1,205 Current assets: Debtors 32,365-32,365 Cash 104,721 12, ,334 Current liabilities (61,283) - (61,283) Total Net Assets 77,008 12,613 89,621 Sufficient funds are held in an appropriate form to enable each fund to fulfill its objectives. Cash balances (held at bank and in hand) at 31 March 2009 are held as follows: Southern region 722 South West region 103 Scottish region 17,869 Scottish region Education fund restricted 2,121 UK Society 40,047 UK Society Education fund restricted 7,967 Cash balance held at 31 March 2009 in respect of Hydro8 48, Related party transactions 117,334 A sum of 10,000 was advanced in a previous year to the International Federation of Hydrographic Societies in order to provide financial assistance. This has been fully repaid during the year. Management charges of 12,500 (2008: 10,200) were paid during the year to the International Federation of Hydrographic Societies, along with a levy of 33,313 (2008: 33,269).
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