CNCL/86
10-424R
P
GOLDSMITHS STUDENTS' UNION
FINANCIAL STATEMENTS
for the year ended 31 July 2010
GOLDSMITHS STUDENTS' UNION
CONTENTS
Page
Trustee Board and Union Information
Trustees' report
Statement of Trustees' responsibilities
Auditors' report
1
1-6
7
8-9
Income and Expenditure Account
10
Balance sheet
11
Notes to the financial statements
12 - 21
GOLDSMITHS STUDENTS' UNION
UNION INFORMATION
CHIEF EXECUTIVE
Graham Gaskell
REGISTERED OFFICE
Dixon Road
New Cross
London
SE14 6NW
AUDITOR
Crowe Clark Whitehill LLP
49 - 51 Blagrave Street
Reading
Berkshire
RG1 1PL
TRUSTEE BOARD
2010/2011
Bindz Patel - President
James Haywood - Campaigns and Communications Officer
Francesca Bancarino - Welfare and Education Officer
Manoj Kerai - Activities and Services Officer
Alexandra Thorne - Student Trustee
Amy Pidwill - Student Trustee
Charlotte Eve - Student Trustee
Marc McCormick - Student Trustee
Paul Collier - External Trustee & Honorary Treasurer
Justine Stephens - External Trustee
Sharon Wagstaff - External Trustee
2009/2010
Jesse Fajemisin - President
Bindz Patel - Welfare and Education Officer
Rheem Al-Adhami - Student Activities Officer (resigned 26 March 2010)
Jennifer Jones - Campaigns and Communications Officer (resigned - 30 November 2009)
Ruth Bibby - Student Trustee
Emily Harthern - Student Trustee
Katherine Daish - Student Trustee
Sian Lapwood - Student Trustee
Justine Stephens (External Trustee)
Paul Collier (External trustee & Honorary Treasurer)
Page 1
GOLDSMITHS STUDENTS' UNION
TRUSTEES' REPORT
for the year ended 31 July 2010
Trustees' Report
The Students’ Union is pleased to present our Financial Statements for 2009-10, another year that saw
significant changes across the Students’ Union.
Overall, the Union had a good year. Despite difficulties with our entertainments we achieved a small surplus
of £2,202, and saw participation in clubs and societies increase significantly, with the number of members of
our sports teams growing from 386 in 2008-9 to 564 last year and the numbers of society members growing to
2,478.
However, despite the fact we have generated surpluses in six of the last seven years we recognize that
conditions for our commercial services will remain very challenging and that the Union will need to continue to
build its reserves to levels capable of dealing with an unexpected problem or further downturns in trading
turnover. We are still hugely dependant on the College for our grant funding and at a time when all Higher
Education institutions will be making cutbacks, it’s clearly important we diversify our income streams and
generate more of our own funds from fundraising and marketing.
Income
Overall income increased by over 12% (£65,401) due to the increased grant from the College, however much
of this was to offset the impact of their passing on the cost of University of London Union affiliation and the
loss of the grant we used to receive from HEACF.
Bar and entertainments
The SU bar followed the national students’ union trends and saw another decline in turnover. Despite a small
increase in overall student numbers at Goldsmiths turnover in the bar has now fallen from £318,764 in 2006/7
to £247,145 in 09/10 (i.e. a fall of over 20%). This was larger than we had projected and was compounded by
a number of problems experienced before and during a change of bars management, which led to the profit
margin achieved being well below that budgeted for. In the circumstances the deficit on the bar of £12,499 is
disappointing, but very understandable.
Once again entertainments performed significantly worse than had been budgeted for and the resulting deficit
of £51,840 is simply not acceptable. A varied entertainments programme is important to students at
Goldsmiths and it is recognised that some of our evenings will also run at a loss due to their providing
development opportunities for students, but deficits on this scale cannot and will not be tolerated in the future
by the Trustee Board. While certain factors outside of our control added to this deficit (eg the venue we had
booked for our summer ball suddenly went into administration and the ball, which had been planned on the
basis of generating money instead lost thousands of pounds) we cannot get away from the fact that
entertainments have performed significantly worse than budgeted for many years now. Lessons have been
learnt and the programme for 2010-11 has been scaled back and costs will be much more closely monitored
and controlled.
Shop
2009-10 was a very good year for the SU shop, with sales rising by 5% to £390,655. The restructuring of
commercial services staffing led to a reduction in salary costs of over £5,000 and the shop generated £22,407
in net profit. The shop plays an essential role in the College - in total 180,000 customers were served over
the course of the year. After a number of years of growth approaching 10% per annum we believe over the
counter sales are now likely to rise more slowly, however there are opportunities in growing on-line sales of
memorabilia to alumni.
Page 2
GOLDSMITHS STUDENTS' UNION
TRUSTEES' REPORT
for the year ended 31 July 2010
Expenditure
Expenditure overall increased broadly in line with income, with the greatest growth seen in Representation,
core to the overall Union’s mission (though much of this was due to the SU now paying over £40,000 in
affiliation towards ULU which had previously been paid by the College).
A number of difficulties within the Trustee Board, which have been well documented and analysed elsewhere,
were responsible for the higher than expected legal costs incurred over the year.
Balance Sheet
The Union added a total of £23,387 in tangible fixed assets in 2009-10, the majority of which was the
investment in a new alarm and CCTV system. Overall depreciation meant that the value of the Union’s
tangible fixed assets fell from £67,835 to £49,452 and the state of the building means that capital investment
will be required soon if the quality of the services we offer is not to fall.
Cash balances fell slightly, partly due to our holding higher levels of stock than usual, and the Students’
Union’s capital and reserves now stand at £205,225
Reserves
The Finance Committee have set a reserves policy which aims to generate reserves equivalent to six months
running costs for the Union’s commercial services within the medium term. While we are still some way off
this - at current levels it would require reserves of £360,000 – it’s clear that important progress has been
made when one considers that the Union’s net current assets have risen from £76,222 in 2007 to £155,713
this year.
Key Achievements in 2009-10
•
•
•
•
•
•
•
•
A campaign to persuade the College to introduce 24hr access to library was successful
Large numbers of students took part in actions against the BNP, and they lost every seat they held on
Newham Council in the 2010 elections
A dramatic increase in the number of students participating in sports clubs and societies
A record number of members of sports teams helped with victory (again) in the annual Varsity
competition against the University of the Arts
We now have 54 societies, with 2,478 members overall, the highest ever!
Silver in Sound Impact Awards (which recognizes environmentally friendly unions)
Bronze in the Best Bar None awards
We witnessed a dramatic improvement in the representation Departmental Student Coordinators
provide, with action taken by the College in response to reports they wrote
Page 3
GOLDSMITHS STUDENTS' UNION
TRUSTEES' REPORT
for the year ended 31 July 2010
Membership figures (taken from the Higher Education Statistics Agency)
2008/09 (most recent figures available)
Student numbers
Total 7,815
Undergraduate
Postgraduate
Further education
5,500 (of which 4,905 are studying FT, 595 are PT)
2,155 (1330 FT, 825 PT)
160 (70 FT, 90 PT)
International Students
EU Students
680
Non EU Students 720
(295 Postgraduate, 385 Undergraduate)
(400 PG, 320 UG)
Total of 1,470 out of 7,815 Students
Over 19% of total student numbers are international
Looking to the future
2010-11 will see the Students’ Union registering with the Charities Commission.
We are very aware that the SU Building has suffered from years of under-investment and are determined to
play a central role in the discussions around a long term estates strategy for Goldsmiths and to carefully
review our own organisational needs, recognising that the requirements of a 21st Century students’ union are
very different from those of previous generations.
As a Students’ Union we believe our future lies in the effective representation of all our members, we continue
to focus on the development of diverse services and projects that offer significant opportunities to our
members and ultimately have a positive and measurable impact on their lives.
The current strategic plan outlines a series of projects and initiatives designed to meet the challenges facing
Goldsmiths Students’ Union.
Four strategic themes are common to these initiatives:
Strategic Theme One - Financial sustainability
This is the most critical area. Without ensuring our financial sustainability we will have to cut services,
activities and staff. In some instances, in other students’ unions around the country, this has led to bankruptcy
(Aberdeen) or resulted in the College or University taking over part of their students’ union (Queen Mary and
Portsmouth) or all of their students’ union (London Met).
Strategic Theme Two – Delivering diverse opportunities
The Students’ Union believes there is no single ‘Student Experience’, but many student experiences. The
Union has the capacity to have significant impact on the lives of students through the delivery of diverse
opportunities, enabling our students to make the most of their time at Goldsmiths. We believe we are able to
do this by placing equality and diversity at the heart of organisation’s culture and activity.
Strategic Theme Three –Representing students effectively
Our mission stipulates that representation is at the heart of all that we do. If we are not representing all
students effectively then we simply will not be fulfilling our raison d’etre. This is especially important at a time
when students will be expecting more of their College and will need mechanisms to channel their criticisms.
This is particularly true of under-represented and minority groups.
Page 4
GOLDSMITHS STUDENTS' UNION
TRUSTEES' REPORT
for the year ended 31 July 2010
Strategic Theme Four – Professional, ethical services
We operate in a competitive environment where students enter into higher education with increasingly higher
expectations. For the Union to remain sustainable it must deliver excellent services across the organisation
that measurably impact on students lives. Our belief in collectivism ensures we embrace our responsibilities
beyond the walls of Goldsmiths. The Union believes that the pursuit of ethical and environmental excellence
throughout the organisation and active lobbying for it beyond we will ensure meet our responsibilities and
become a sustainable organisation.
Key Performance Indicators (KPIs)
Our key performance indicators are those areas that are critical to our success as an organisation and, as
such, these will be constantly monitored.
Our key performance indicators are:
Increasing participation and involvement
•
Election Turnout (%) and no. of candidates
•
No. of students involved in clubs, societies, volunteering, media
•
No. of NUS Extra cards sold
Being effective campaigners and representatives
•
Campaigning objectives are achieved
•
Students recognise campaigns made a difference to their lives
•
Number of students seen through our advice centre
High levels of Membership Satisfaction
•
Students see the Students’ Union as having made a positive difference to their lives
Achieving our financial targets
•
Generating surpluses
The targets for these areas are detailed in the 2008-2013 strategic plan.
Projects for 2010/11
The most significant projects for the Union in 2010/11 are:
•
•
•
•
•
•
•
•
•
A new website for the Union and greatly improved levels of engagement with our members
Running our elections on-line for the first time ever
Fighting cuts in Higher Education and against higher tuition fees
Agreeing a revised Memorandum of Understanding with the College and registering with the Charity
Commission
Work towards accreditation under the Students’ Union Evaluation Initiative
Working to achieve a Gold in the Sound Impact Awards
Reviewing our governance and procedures related to officer misconduct
Developing a new Strategic Plan
Reviewing our staff handbook and benefits for staff
Page 5
GOLDSMITHS STUDENTS' UNION
TRUSTEES' REPORT
for the year ended 31 July 2010
We will also aim to achieve the targets in Union-led campaigns for 2010/11, which are broadly grouped
around:
•
•
•
Union ethos: Promoting Union policy, supporting campaigns linked to our beliefs and values and having
a zero tolerance approach to sexual harassment.
Goldsmiths not for profit: This is a campaign against private companies making profits providing
services which the College could run themselves.
Support our students: Lobbying the College to provide accessible, excellent support for all students.
RESULTS
The surplus for the year, after taxation, amounted to £2,202 (2009 - £5,144).
PRESIDENT
The president who served during the year was:
J Fajemisin
PROVISION OF INFORMATION TO AUDITOR
Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:
•
so far as that Trustee is aware, there is no relevant audit information of which the Union's auditor is
unaware, and
•
that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of
any information needed by the Union's auditor in connection with preparing its report and to establish
that the Union's auditor is aware of that information.
AUDITOR
On 1 October 2010, Horwath Clark Whitehill LLP changed its name to Crowe Clark Whitehill LLP. Crowe
Clark Whitehill LLP has indicated its willingness to be reappointed as statutory auditor.
This report was approved by the board on
and signed on its behalf.
Bindz Patel
President
Page 6
GOLDSMITHS STUDENTS' UNION
STATEMENT OF TRUSTEES' RESPONSIBILITIES
for the year ended 31 July 2010
Charity law 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 Union and of the surplus or deficit for that year.
In preparing the financial statements the Trustees' are required to select suitable accounting policies, as
described on page 7, and then apply them on a consistent basis, making judgments and estimates that are
prudent and reasonable. The Trustees' must also prepare the financial statements on the going concern basis
unless it is inappropriate to presume that the Union will continue to operate.
The Trustees' are responsible for keeping accounting records which disclose with reasonable accuracy at any
time the financial position of the Union. It is also responsible for safeguarding the assets of the Union and
hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Risk Management
The Trustees have undertaken to examine the major risks that the Union faces. That review is an integral part
of the annual planning cycle. The Union has, and continues to develop, systems to monitor and control these
risks in order to mitigate any impact that they have on the Union and its operations.
The Trustees are responsible for preparing the Trustees' report and the in accordance with applicable law and
regulations.
Charity law requires the Trustees to prepare for each financial year. Under that law the Trustees have elected
to prepare the in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom
Accounting Standards and applicable law). Under company law the Trustees must not approve the unless
they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or
loss of the company for that period. In preparing these, the Trustees are required to:
•
select suitable accounting policies and then apply them consistently;
•
make judgments and estimates that are reasonable and prudent;
•
prepare the on the going concern basis unless it is inappropriate to presume that the company will
continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain
the company's transactions and disclose with reasonable accuracy at any time the financial position of the
company and enable them to ensure that the comply with the Companies Act 2006. The Trustees are also
responsible for safeguarding the assets of the company and hence for taking reasonable steps for the
prevention and detection of fraud and other irregularities.
Page 7
GOLDSMITHS STUDENTS' UNION
INDEPENDENT AUDITOR'S REPORT TO THE SHAREHOLDERS OF GOLDSMITHS STUDENTS' UNION
We have audited the financial statements of Goldsmiths Students' Union for the year ended 31 July 2010, set
out on pages 9 to 19. The financial statements have been prepared under the accounting policies set out
therein.
This report is made solely to the Union's members as a body. Our audit work has been undertaken so that we
might state to the Union'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 Union and the Union's 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
The trustees’ responsibilities for preparing the Annual Report and the financial statements in accordance with
applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting
Practice) are set out in the Statement of Trustees' Responsibilities.
We have been appointed as auditors under section 43 of the Charities Act 1993 and report in accordance with
regulations made under that Act. 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 Charities Act 1993. We also report to you if, in our opinion, the information
given in the Trustees’ Annual Report is not consistent with those financial statements, if the charity has not
kept sufficient accounting records, or if we have not received all the information and explanations we require
for our audit.
We read the Trustees’ Annual Report and consider the implications for our report if we become aware of any
apparent misstatements within it.
BASIS OF AUDIT 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 judgements made by the trustees in the preparation of the financial statements, and of whether
the accounting policies are appropriate to the charity'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.
Page 8
GOLDSMITHS STUDENTS' UNION
INDEPENDENT AUDITOR'S REPORT TO THE SHAREHOLDERS OF GOLDSMITHS STUDENTS' UNION
OPINION ON FINANCIAL STATEMENTS
In our opinion the financial statements:
•
give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice,
of the state of affairs of the charity as at 31 July 2010 and of its incoming resources and application of
resources, for the year then ended; and
•
have been properly prepared in accordance with the Charities Act 1993.
CROWE CLARK WHITEHILL LLP
Statutory Auditor
Reading
Page 9
GOLDSMITHS STUDENTS' UNION
INCOME & EXPENDITURE ACCOUNT
for the year ended 31 July 2010
Note
2010
£
2009
£
INCOME
Grants receivable
Net trading deficit
Sundry income
Investment income
2
3
4
5
620,679
(53,087)
10,804
141
519,272
(16,276)
8,568
1,572
578,537
513,136
289,090
161,411
60,728
53,184
11,922
235,230
156,147
33,697
52,393
30,525
576,335
507,992
SURPLUS FOR THE YEAR BEFORE ALLOCATION TO FUNDS
2,202
5,144
SURPLUS FOR THE YEAR TO INCOME AND EXPENDITURE
ACCOUNT
2,202
5,144
EXPENDITURE
Representation
Central services
Clubs and societies
Building costs
Student activities
6
7
8
9
10
The notes on pages 11 to 19 form part of these financial statements.
Page 10
GOLDSMITHS STUDENTS' UNION
BALANCE SHEET
as at 31 July 2010
2010
Note
FIXED ASSETS
Tangible fixed assets
Fixed asset investments
CURRENT ASSETS
Stocks
Debtors
Cash at bank
CREDITORS: amounts falling due within
one year
£
12
13
14
15
16
2009
£
£
£
49,452
67,835
60
60
49,512
67,895
54,923
48,142
111,533
41,462
36,511
156,185
214,598
234,158
(58,885)
(99,030)
NET CURRENT ASSETS
155,713
135,128
TOTAL ASSETS LESS CURRENT LIABILITIES
205,225
203,023
CAPITAL AND RESERVES
Development reserve
Income and expenditure account
205,225
203,023
205,225
203,023
18
FUNDS
The financial statements were approved and authorised for issue by the board and were signed on its
behalf on
G Gaskell
Chief Executive
Bindz Patel
President
The notes on11 to 19 form part of these financial statements.
Page 11
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
1.
ACCOUNTING POLICIES
1.1 Basis of accounting
The financial statements have been prepared under the historical cost convention.
1.2 Cash flow statement
The Trustee Board has taken advantage of the exemption in Financial Reporting Standard No 1
from including a cash flow statement in the financial statements.
1.3 Turnover
Turnover comprises revenue recognised by the company in respect of goods and services
supplied, exclusive of Value Added Tax and trade discounts.
1.4 Depreciation
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates
calculated to write off the cost of fixed assets, less their estimated residual value, over their
expected useful lives on the following bases:
Bar extension & Entertainment
Union Bar
Shop refurbishment
Union equipment
-
25% straight line
25% straight line
25% straight line
10-33% straight line
1.5 Operating leases
Rentals under operating leases are charged on a straight line basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a
straight line basis over the period until the date the rent is expected to be adjusted to the prevailing
market rate.
1.6 Stocks
Stocks are valued at the lower of cost and net realisable value after making due allowance for
obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of
fixed and variable overheads.
1.7 Pensions
Since February 2009, the Union has participated in the Universities Superannuation Scheme, a
defined benefit scheme which is externally funded and contracted out of the State Second Pension
(S2P). The liabilities are valued every three years by a professionally qualified independent
actuary using the projected unit method, the rates of contribution payable being determined by the
trustee on the advice of the actuary, based on the latest actuarial valuation of the scheme, and are
accounted for on the basis of charging the cost of providing pensions over the period during the
institution benefits from the employees' services.
Page 12
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
1.
ACCOUNTING POLICIES (continued)
1.8 Accounting by charities - Statement of Recommended Practice (SORP)
As a result of its exempt charitable status the Union is not required to adopt the SORP in the
presentation of the Financial Statements. However, in accordance with the establishment of best
practice, where appropriate the Union will make disclosures in accordance with the broader
principles of the SORP.
1.9 Taxation
No provision is made in these accounts for corporation tax as the Union is exempt from such taxes
as a result of having derived its charitable status from its parent governing body, Goldsmiths
College.
2.
GRANTS RECEIVABLE
Block Grant
3.
2009
£
519,272
2009
Turnover
2009
Surplus
/ (Deficit)
£
NET TRADING INCOME
2010
Turnover
£
Retail operations
Other trading activities
4.
2010
£
620,679
2010
Surplus
/ (Deficit)
£
£
639,506
83,477
9,909
(62,996)
683,425
109,751
4,465
(20,741)
722,983
(53,087)
793,176
(16,276)
SUNDRY INCOME
Other income
Sponsorship Smiths
Pension income
2010
£
747
1,272
8,785
2009
£
6,854
1,714
-
10,804
8,568
Pension income represents pension costs paid for on behalf of Goldsmiths College.
Page 13
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
5.
INVESTMENT INCOME
2010
£
80
61
2009
£
1,572
-
141
1,572
Bank deposit interest
NUSSL Deposit
6.
REPRESENTATION
2010
£
Conference fees and expenses
Elections
Executive Council expenses
NUS affiliation fee
Wages and salaries
Bad debts
Welfare
Diversity support
Pension
Course Rep scheme
Other affiliation fees
Campaigns
Additional projects
2009
£
10,284
1,735
11
25,916
160,355
(170)
2,928
1,833
8,786
25,988
43,124
5,989
2,311
10,276
2,286
24,955
170,935
2,093
1,271
2,372
16,155
189
4,698
-
289,090
235,230
Page 14
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
7.
CENTRAL SERVICES
2010
£
Administration Costs
Audit and accountancy
Bad debts
Bank charges
Depreciation
Insurance
Legal
Salaries and wages
Staff expenses
Staff recruitment
Stationery, photocopying, publications and postage
Telephone
Training
Loss on disposal of fixed assets
8,500
(1,679)
2,407
5,709
17,830
18,068
77,991
2,116
6,889
3,717
8,933
9,818
1,112
161,411
2009
£
8,715
816
1,616
2,199
20,537
380
89,205
2,501
9,330
4,548
6,364
9,936
156,147
Page 15
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
8.
CLUBS AND SOCIETIES
2010
£
Sports Clubs income
Fitness gym income
Annual membership fees
External Venue Hire
Society income
TQEF grant
2009
£
(28,717)
(5,582)
(10,133)
(37,268)
(4,093)
(8,609)
(44,432)
(49,970)
-
(28,657)
Sports Clubs Expense
Affiliations
Club Venues
Health & Safety / First aid
Varsity
Salaries and wages
Transport (including Minibus)
AU Dinner
Club activities
Societies Expense
Volunteering projects expenditure
Wired FM
Smiths Magazine
Grants
Membership expenditure
Salaries and wages
TOTAL
3,725
720
34,024
1,696
522
20,107
3,651
11,479
58
1,033
35,665
2,141
198
14,802
60,794
69,027
56
2,658
9,382
32,270
32,950
2,510
7,208
1,150
(522)
-
44,366
43,296
60,728
33,696
Page 16
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
9.
BUILDING COSTS
2010
£
Maintenance and repair of premises
Salaries and wages
Cleaning
2009
£
12,497
16,711
23,976
6,998
21,122
24,273
53,184
10.
52,393
STUDENT ACTIVITIES
Induction and enrolment project
Membership Services Salaries
Pre-enrolment project
Made in Goldsmiths
Student development
2010
£
6,569
4,881
472
2009
£
10,275
12,519
860
6,871
-
11,922
30,525
Membership services salaries are now shown within 'other trading expenditure'.
11.
STAFF SALARIES AND WAGES
2010
£
2009
£
Gross salaries
Pension contributions
567,522
8,785
586,884
2,372
Total
576,307
589,256
Page 17
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
12.
TANGIBLE FIXED ASSETS
Bar extension
£
Union bar
£
Shop
refurbishment
and Union
equipment Entertainment
£
£
Total
£
COST
At 1 August 2009
Additions
Disposals
Transfer between classes
599,744
-
62,338
5,979
(1,914)
-
139,602
14,844
6,647
71,532
2,564
(6,647)
873,216
23,387
(1,914)
-
At 31 July 2010
599,744
66,403
161,093
67,449
894,689
DEPRECIATION
At 1 August 2009
Charge for the year
On disposals
599,744
-
51,939
5,733
(957)
118,116
22,769
-
35,582
12,311
-
805,381
40,813
(957)
At 31 July 2010
599,744
56,715
140,885
47,893
845,237
NET BOOK VALUE
13.
At 31 July 2010
-
9,688
20,208
19,556
49,452
At 31 July 2009
-
10,399
21,486
35,950
67,835
INVESTMENTS
£
COST:
At 1 August 2009 and 31 July 2010
60
NET BOOK VALUE:
At 31 July 2010
60
At 31 July 2009
60
At 31 July 2010 the Union held investments in the following companies which are incorporated in the
United Kingdom.
Name of Company
NUS Services Limited
A Shares
B Shares
Main Trading Activity
Purchasing Services
Equity Held
0.33%
1.83%
Page 18
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
14.
STOCKS
Bar and shop
15.
2010
£
13,382
18,892
15,868
2009
£
23,952
20
12,539
48,142
36,511
2010
£
21,447
8,184
5,260
23,994
2009
£
44,378
6,598
31,116
16,938
58,885
99,030
CREDITORS:
AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Social security and other taxes
Other creditors
Accruals and deferred income
17.
2009
£
41,462
DEBTORS
Trade debtors
Other debtors
Prepayments and accrued income
16.
2010
£
54,923
RELATED PARTY TRANSACTIONS
The Union is an exempt charity for the purposes of the Charities Act 1993 deriving charitable status
from its governing parent body, the Goldsmiths College. The Union is in receipt of a recurrent grant
from the parent body of £ 620,679 (2009: £ 519,272). The amount due from Goldsmiths College at the
year end was £18,869 (2009: £14,910 due to the college).
At the year end, the Union owed Goldsmiths College £nil (2009: £13,444) in relation to a loan. Loan
interest was charged at 5% on the capital outstanding. The loan has been repaid in full during the year.
In addition the Union occupies its building on a rent free basis under an informal license subject to the
union maintaining the building in a good state of repair.
The Sabbaticals of the Union are the members of the Trustee Board and receive remuneration for their
services as provided for within the Constitution. The aggregate amount payable under such contracts in
the year was £80,082 (2009: £85,713). The total board expenses paid during the year to the Trustees
were £11 (2009: £52).
Page 19
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
18.
19.
INCOME AND EXPENDITURE ACCOUNT
2010
£
2009
£
At 1 August 2009
Transfer from Development reserve
Retained surplus for the financial year
203,023
2,202
197,880
5,143
At 31 July 2010
205,225
203,023
2010
£
2009
£
11,555
CAPITAL COMMITMENTS
At 31 July 2010 the company had capital commitments as follows:
-
Contracted for but not provided in these financial statements
20.
OPERATING LEASE COMMITMENTS
At 31 July 2010 the company had annual commitments under non-cancellable operating leases as
follows:
Land and buildings
2010
2009
£
£
EXPIRY DATE:
Within 1 year
21.
-
Other
2010
£
-
1,673
2009
£
1,173
AFFILIATIONS
NUS
BUCS / BUSA
Jitsu Foundation
NCVO
ULU
2010
£
25,916
1,605
200
146
43,124
2009
£
29,455
1,895
200
139
-
Page 20
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
22.
PENSION SCHEME
The Union is a participating employer of the Universities Superannuation Scheme, a defined benefit
scheme which is externally funded and contracted out of the State Second Pension Scheme (S2P).
The assets of the scheme are held in a separate trustee-administered fund. It is not possible to identify
each institution's share of the underlying assets and liabilities of the scheme and hence contributions to
the scheme are accounted for as if it were a defined contribution scheme. The cost recognised within
the surplus/deficit for the year in the income and expenditure account being equal to the contributions
payable to the scheme in the year.
The latest actuarial valuation of the scheme was at 31 March 2008. The assumptions which have the
most significant effect on the result of the valuation are those relating to the rate of return on
investments (i.e. the valuation rate of interest) and the rates of increase in salary and pensions. In
relation to the past service liabilities the financial assumptions were derived from market yields
prevailing at the valuation date. It was assumed that the valuation date of interest would be 6.4% per
annum, salary increases would be 4.3% per annum and pensions would increase by 3.3% per annum.
In relation to the future service liabilities it was assumed that the valuation rate of interest would be
6.1%, salary increases would be 4.3% per annum and pensions would increase by 3.3% per annum.
The valuation was carried out using the projected unit method.
At the valuation date, the market value of the assets of the scheme was £28,842.6M. The assets were
sufficient to cover 103% of the benefits which had accrued to members after allowing for expected
future increases in earnings.
The institution contribution rate required for future service benefits alone at the date of the valuation
was 16% of salaries.
Surpluses or deficits which arise at future valuations may impact on the future contribution
commitment. The next formal actuarial valuation is due as at 31 March 2011 when the above rates will
be reviewed. The total pension cost for the Union was £8,785 (2009 - £2,372).
23.
CONTROLLING PARTY
The Union is controlled by the Trustees' which is subject to democratic election by the voting
membership of the Union. The ultimate control of the Union is vested under the constitution in the
membership in General meeting. As such no single person or entity controls the Union as defined by
Financial Reporting Standard 8.
Page 21
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
The following pages do not form part of the audited financial statements
which are the subject of the auditors' report on page 8.
Information is provided for the use of the executive committee
and senior management team of Union of Goldsmiths Students' Union.
PAGE
Net trading income - summary
23
Union Bar
24
Union Shop
25
Entertainments
26
Other trading
27
Page 22
GOLDSMITHS STUDENTS' UNION
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 July 2010
TRADING OUTLET
2010
Turnover
£
Union bar
Union shop
Entertainments
Other
2009
Surplus/
(deficit)
£
Turnover
£
Surplus/
(deficit)
£
247,145
392,361
72,916
10,561
(12,498)
22,407
(51,839)
(11,157)
305,146
378,279
93,853
15,899
7,947
(3,482)
(29,025)
8,284
722,983
(53,087)
793,177
(16,276)
SUMMARY OF FUNCTIONS
£
£
£
£
Bars
Shops
Other
247,145
392,361
83,477
(12,498)
22,407
(62,996)
305,146
378,279
109,751
7,947
(3,482)
(20,741)
Total
722,983
(53,087)
793,176
(16,276)
Page 23
GOLDSMITHS STUDENTS' UNION
DETAILED TRADING ACCOUNTS - UNION BAR
for the year ended 31 July 2010
2010
£
SALES
Sales
COST OF SALES
Opening stock
Purchases
Closing stock
GROSS SURPLUS
Retrospective discount
GROSS SURPLUS AFTER RETROSPECTIVE DISCOUNTS
OPERATING EXPENSES
Consumables
Credit card charges
Depreciation
Repairs and maintenance
Security
Stocktaking fees
Student staff
Sundry expenses
Travel expenses and staff uniforms
Wages and salaries
Gases
NET (DEFICIT)/SURPLUS
2009
£
247,145
305,146
247,145
305,146
9,041
96,358
(11,020)
7,975
122,327
(9,041)
94,379
121,261
152,766
183,885
4,966
1,208
157,732
185,093
4,460
1,650
5,733
5,587
33,874
2,550
57,644
832
9,901
46,938
1,062
5,695
2,292
6,340
2,239
38,401
6,050
59,586
1,004
9,869
45,670
-
170,231
177,146
(12,499)
7,947
Page 24
GOLDSMITHS STUDENTS' UNION
DETAILED TRADING ACCOUNTS - UNION SHOP
for the year ended 31 July 2010
2010
£
TURNOVER
Sales
Pay for display
COST OF SALES
Opening stock
Purchases
Closing stock
GROSS SURPLUS
OPERATING EXPENSES
Depreciation
Student staff
Sundry expenses
Wages and salaries
Repairs and renewals
Travel expenses
Bank charges
Interest on loan
Uniform
Bad debts
390,655
1,706
376,953
1,326
392,361
378,279
32,421
274,897
(43,903)
30,697
269,305
(32,421)
263,415
267,581
128,946
110,698
16,905
23,280
822
62,478
486
2,200
1,650
150
(1,432)
106,539
NET SURPLUS/(DEFICIT)
2009
£
22,407
16,662
23,419
351
67,574
553
2,254
2,292
1,075
114,180
(3,482)
Page 25
GOLDSMITHS STUDENTS' UNION
DETAILED TRADING ACCOUNT - ENTERTAINMENTS
for the year ended 31 July 2010
2010
£
INCOME
Bands and disco tickets
Space and hall hire
Sundry income
2009
£
52,763
21,268
(1,115)
55,820
26,262
11,771
72,916
93,853
31,056
7,532
22,376
19,529
38,588
41,905
GROSS SURPLUS
34,328
51,948
OPERATING EXPENSES
Depreciation
PPL Licence
Security
Student staff
Sundry expenses
Wages and salaries
Repairs and Maintenance
12,311
656
14,637
9,957
1,159
41,370
6,078
11,725
4,251
16,586
22,765
1,180
23,044
1,422
86,168
80,973
(51,840)
(29,025)
COST OF SALES
Groups, bands, disc jockeys and other entertainment
Summer ball expenditure
NET (DEFICIT)
Page 26
GOLDSMITHS STUDENTS' UNION
DETAILED TRADING ACCOUNTS - OTHER TRADING
for the year ended 31 July 2010
2010
£
TURNOVER
Sales
NUS extra
Freshers Fair
2009
£
1,497
2,046
7,018
4,108
3,407
8,384
10,561
15,899
OPERATING SURPLUS
10,561
15,899
OPERATING EXPENSES
Fresher's Fair expenditure
Fresher's printing costs
Communications and PR
Marketing and advertising
Salaries
4,707
610
6,375
10,026
1,193
350
985
5,087
-
21,718
7,615
(11,157)
8,284
NET (DEFICIT) / SURPLUS
Page 27