The trustees present their annual report and financial statements for the year ended 30 September 2021.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's deed of trust, the Companies Act 2006 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 (FRS 102) (effective 1 January 2019)".
Mission Statement
Our mission is to maintain excellence in education and service provision. To pay attention to the detail of our student’s needs, in the design and delivery of our courses, and the needs of our clients, in the set up and execution of our services. To afford our students, and our clients, every advantage and opportunity in the realisation of their goals. We value our clients, and we love film. Our mission is to honour both.
LFAET Aims
The charity is a company limited by guarantee. The charity's objects are to provide professional media, digital and creative training, personal development, professional and personal mentoring, guidance, advocacy and group educational activities to young and old people on Merseyside regardless of any social, financial or geographical restrictions.
The Educational Trust aims to provide quality industry standard training and personal development to each of the participants on our courses. The trust will play its full part in the economic, cultural and social life of Merseyside through its development plan to deliver a quality service by contributing and subsidising leisure facilities, advocacy services and training support to the local community.
The Educational Trust also hosts and subsidises Liverpool start up creative businesses in an effort to nurture an impressive cluster of skills and talent here in North Liverpool and in response feed directly back into local life and economy here in the Northwest with a particular focus on the sub-region of North Liverpool.
The Liverpool Film Academy Educational Trust (LFA ET ) is a charitable educational trust that was established 20 years ago and has a long established history of providing education and training programmes tailored to the film and television industry with a view of developing the creative talent pool
LFAET Objectives
• embrace all forms of diversity
• develop new creative talent for film and television
• create real world learning opportunities for students and trainees on professional productions
• provide a parallel academic experiences that allows students to reflect on their practice
• provide a friendly, professional working environment that treats everyone with dignity and respect
• provide opportunities for students to development key communication and networking skills that enhance their professional opportunities and standing
Competitive advantage
• commitment to the local community/region and the youth of the community
• high quality of education and training working alongside three times Emmy, BAFTA (2018) and numerous regional and national RTS award winning sister company LA Productions
• working on live productions mentoring by industry professionals
• working at the centre of the film and television industry provides numerous professional and networking opportunities
• development of critical and reflective skills working academic staff employed by the Academy
Unique Selling Point
The USP for LFAET is i ts relationship with LA Productions and the opportunities that provides to trainees for real employment opportunities in the film and television industry. In addition LFAET staff have access to the wealth of expertise and resources LA Productions make available to their trainees. From the point of view of a trainee they get an outstanding experience in that they are supported in their educational development by professional educations in LFAET and are able to access mentors working at the top of their profession in film and television.
Partnerships
Our successes with all levels of educational and community agencies have been documented in previous reports. In 2019 /20 pre-covid we documented some 50 training and placement opportunities ranging from one day to three months BBC/LA Productions funded bursary placements on film productions. BBC commended the quality of the work of the Academy in supporting the bursary funded placement. We continue to offer this range of placements but experience tells us that longer term training and placements are more productive so we have broadened the in this direction and in collaborative community projects we will report on below.
Schools:
Script to Screen is our longest standing training programme that remains available to schools with LFAET and LA Production staff go into schools and workshop pupils to develop short stories and films about social issues.
University:
We continue to work with all four the local universities and this year we have been
Liverpool John Moores University
Edge Hill University
Liverpool University
Liverpool Hope University
With our Masterclass and Industry Talk’s programmes we have been active this year with Edge Hill University and Liverpool John Moores University. These events generally comprise half a day or a day with a group of senior staff including the CEO attending the University for workshop and talks. They will concluding by engaging informally with students for advice and guidance on working in the industry and always with the offer of hosting interested students who would like to visit LA Productions and the offer of placements to the right candidates. Following a highly successful placement from the Business School at Edge Hill University that resulted in full time employment we are now working with the School to offer another accounts placement. What is not often appreciated by students is the breath of roles in the film and television industry.
We are also active with the local Colleges:
This year we have been particularly with Hugh Baird Creative and Media Departments. Staff from Media have visited LA Productions and LFAET staff have attended Hugh Baird Open Evenings and exhibitions. Currently we have two student placements working in administration. Following our recent negotiations we have also agreed with staff that students can email us requesting visits and taster session with potential placement opportunities for the right candidates.
Other Partnerships:
BBC Bursary Scheme
LA Productions have been awarded a paid bursary from the BBC for BAME trainees/students to be paid to work on all productions. The experience is invaluable. Again the time, resources and energy afforded to managing and properly monitoring these projects is substantial on the staff at LA Productions and LFA responsible for the development of the trainee.
Projects
Anthony TV Film:
The bursary allowed people from various backgrounds to work on the production written by Jimmy Mcgovern about Anthony Walker a local boy killed in a racially motivated attack. One of the trainees was referred to LFA/LA from The Anthony Walker Foundation, which is a local charity established after the racially motivated murder of Anthony in 2005. Other trainees were placed in wardrobe, make-up, locations.
Moving On Series:
These placements were for five episodes of the whole series working with a different director and cast on every episode. BBC also provided a similar bursary for series 10 in 2018 with three trainees working in Directing, Camera and Costume and feedback from trainees was that they had an outstanding experience.
BBC also provided a bursary similarly in 2017
This Scheme is highly successful and feedback from students indicates it is invaluable in gaining professional training and again requires substantial work and commitment from both LA Productions/LFA.
Manchester Metropolitan University (MMU)/Industry Partners
Partnership with MMU on 2018 Arts and Humanities Research Council (AHRC) creative industries bid to work in partnership with the University. Success for the bid would have led to a wide range of education and collaborative projects
National Educational Networks include:
• National Film and Television School (NFTS)
• London Film School
International Networks include:
• New York Film Academy (NYFA): Colin McKeown, CEO of LA Productions visited the School in New York early 2018 and currently in collaboration for ongoing projects
• Film Academy of Miroslav Ondreick (FAMO): agreed to take placements from this School to LFA.
• Current director of the School has served on the Polish National Theatre, Film and Television School annual Film Festival jury, Hong Kong and Chinese Region Film Festival jury and The Russian National Film and Television School (VGIK) jury and relationships exist with all of these Schools and others internationally.
*Please note that all international activity is on hold due to COVID-19
As required by Section 17(5) of the Charities Act. The Trust, in shaping the objectives for the year and planning the Trust's activities, the trustees have considered the Charity Commission's guidance on public benefit and fee charging, The Company provide subsidised office space for Liverp0ol start up creative businesses.
As the Trust operates from the same site as Liverpool Academy Productions Limited, it continues to benefit from the various members of the LA Productions team who volunteer their time and the use of space and equipment. This allows for an exceptional quality of volunteer that would not be available if based elsewhere.
The Charity's reserves (excluding restricted funds) held as at the balance sheet date are £129,837 (2020: £233,120).
Unrestricted funds, where available, can be used in accordance with the charitable objectives at the discretion of the Trustees.
Restricted funds, where available, can be used for the ongoing maintenance and upkeep of the property.
We continue to pursue funding from various sources including The National Lottery and The Morgan Foundation, with the expert help and guidance of Sedulo Liverpool Limited.
The trustees have assessed the major risks to which the trust is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
This report reflects LFA for the relevant year 2020/21 but also includes an historical overview. The reason is that we intend to recruit additional trustees for the next meeting of the Trustees and we would like this report to also act as an information document to the new trustees.
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
I take this opportunity to thank all trustees who have served on the Board during the past year.
At the Educational Trust we are always eager to recruit trustees to the board and new members to the Trust. None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and contribute £10 in the event of a winding up. The Board of trustees may appoint any person nominated by any member of the Association as a member of the Board of trustees.
No person who is not a member of the Association shall in any circumstances be eligible to hold office as a member of the Board of trustees
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
Our mission is to maintain excellence in education and service provision.
To pay attention to the detail of our student’s needs, in the design and delivery of our courses, and the needs of our clients, in the set up and execution of our services. To afford our students, and our clients, every advantage and opportunity in the realisation of their goals.
We value our clients, and we love film. Our mission is to honour both.
The trustee r eport was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of The Liverpool Film Academy Educational Trust (the trust) for the year ended 30 September 2021.
As the trustees of the trust (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the trust are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the trust’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the trust as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Creative Skillset - Script to Screen
Investment income
Other income
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The Liverpool Film Academy Educational Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Old St Lawrence School, Westminster Road, Liverpool, Merseyside, L4 3TQ, United Kingdom.
The financial statements have been prepared in accordance with the Charities SORP (FRS 102), the Companies Act 2006 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 (FRS 102) (effective 1 January 2019)". The trust is a Public Benefit Entity as defined by FRS 102.
The trust has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling , which is the functional currency of the trust . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the trust has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .
At each reporting end date, the trust reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The trust has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the trust 's balance sheet when the trust becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the trust ’s contractual obligations expire or are discharged or cancelled.
In the application of the trust’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Creative Skillset - Script to Screen
Investment income
Creative Skillset - Script to Screen
Investment income
Other income
General fund
Building fund
Creative Skillset - Script to Screen
General fund
Building fund
Creative Skillset - Script to Screen
Wages
Rent and rates
Insurance
Postage and stationery
Repairs and renewals
Sundries
Establishment expenses
Travel expenses
Administration expenses
The average monthly number of employees during the year was:
The bank loan has been secured in line with the following security schedule:
Security Type |
Granted By |
Security Address/Description |
|
|
|
1. 1st Legal Charge |
Liverpool Film Academy |
Old St. Lawrence School, |
|
Educational Trust |
Westminster Road, Liverpool |
|
|
and the associated assets |
|
|
|
2. Guarantee for £236,000 |
Liverpool Academy Productions |
|
|
Limited |
|
Supported by: |
|
|
(a). Debenture |
Liverpool Academy Productions |
|
|
Limited |
|
Deferred income is included in the financial statements as follows:
Included in other creditors is an amount of £ 425,872 (20 20 : £ 273,708 ) owed to LA Productions Limited, a company in which one of the trustees Colin McKeown is a director. This amount has arisen due to the financial support provided by LA Productions Limited over the years.