Educational Trustees Meeting Nov 2017

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ET Meeting Papers

Educational Trustees Meeting

8 th November 2017

How to find us

Easily reached by either road or rail (or by air from East Midlands airport just 30 minutes away), Quorn Grange Hotel is a useful base for guests wishing to visit the attractions in the area. In addition, the cities of Leicester and Nottingham are only a short distance away.

BY ROAD From the North : Leave the M1 at junction 23 (Loughborough) following signs for the A6 south (Leicester). Shortly after leaving Loughborough, turn off the A6 dual carriageway into Quorn. Go straight through Quorn. Wood Lane is a right turn, at the far end of the village, at the third mini roundabout. Quorn Grange Hotel is about a quarter of a mile further on, on the left. From the South : Leave the M1 at junction 21a and take the A46 Leicester western bypass (Newark). Turn left from the A46 onto the A6 dual carriageway, turning left at a small roundabout signposted Quorn/Mountsorrel. At the next roundabout, turn right towards Quorn. After about one mile, turn left into Wood Lane at a mini roundabout. Quorn Grange Hotel is about a quarter of a mile further on, on the left.

BY RAIL There are Midland Mainline services from London St Pancras to Sheffield which stop at Loughborough and Leicester.

BUS

The number 2 kinchbus, 126 and 127 bus runs from Leicester bus station to Quorn. The number 2 kinchbus, 126 and 127 bus runs from Loughborough town centre to Quorn.

Number 2 bus information

Number 126 / 127 bus information

Quorn Grange Hotel 88 Wood Lane Quorn Leicestershire LE12 8DB

Tel: 01509 412167 Fax: 01509 415621

ET Management Accounts YTD Sep 17

Budget YTD Sep 17

Actual YTD Sep 17

Income source

Variance

Notes

Accounts Processing Services

- - -

Recharge for services provided- QGH

Contributions

1,100 AEP Donation 1k

Sponsorship/Commission Bank Interest Received

1,100

- -

Misc Income- intercompany recharge

Gift Aid-GFTU Gift Aid- Albion Gift Aid-QGH

75,000

(75,000)

- -

Hotel contributions to ET

36,000 36,000 45,375

36,000 32,000 64,213

(4,000) Nursery contributions to ET 18,838 All courses are held for TSSA

Gift Aid-QGH Nursery Customised Course Fees

Core Courses

Trade Union Management Programme Grant/Arts Festival/Spon'ship/Project

15,000

(15,000)

Poland OPZZ £4,141, Ethical Shop Commission £97, Nursery recharge DBS check £172, Stripe £1,225.77

Other Income

- -

6,730

Total income

207,375

140,043

(67,332)

Expenditure

Staffing Salary+ NIC+Pension

177,950

119,426

(58,525)

Redundancy & Severance

- -

Staff Welfare

Staff Travel and Subs

1,800 1,125

2,627 1,125 5,600

827

Essential Car user Allowance

GS Travel HOE Travel

375

5,225

3,300

(3,300)

Leicester Mercury Job advertise charges & Sian Moore expenses

Other employment costs- Agency

1,021

760 Ana & Shamil AAT course & exam fees£2,034, First Aid Training £160, Wendy training £65

Training and development

1,500 3,000

2,260

Agency

(3,000)

Pensions Recovery Payments

- -

Staffing total

189,050

132,108

(56,942)

Premises Rent and Rates

1,125

(1,125)

124 Oil Radiator & Toilet Seat

Repair and maintenance

188

312

Utilities

2,400

(2,318)

Health and Safety

Insurance

975

1,210

235 Includes Business Travel Insurance

Depreciation

5,400

11,509

6,109

Premises total

10,087.50

13,113

3,026

Administration Stationery, Postage Courier & delivery cost

(1,833) Postage £4,053, Stationery £2,779

8,667 1,667

6,834

(1,667)

This includes monthly charges Jan-sep 17 £5,251 & yearly maintenance contract charges £1,050 Sage Payroll cover & Online support, ACT annual subscription, Flipping page Licence, Adobe monthly fee, Recharges been done to Hotel & nursery for their propotions

Telephone & mobile

2,333

6,301

3,968

IT, website, maintainence

6,000 1,000

2,368 1,066

(3,632)

66 Konica Minolta - Monthly Meter Charge

Printing & Copying Office relocation

- -

Administration total

19,667

16,569

(3,098)

Management fees Trustees Expenses

2,250 6,000 1,500 7,500 1,500 1,500

1,759

(491)

Conference expenses (BGCM/EC) Conference expenses (other)/Speakers

(6,000) (1,500)

499 Accrual for accountancy & audit fee Jan-Sep 2017

Accountancy and audit

7,999 1,536

Legal & Profession DDA Compliance

(1,500)

Investment management fee Management fees total

20,250

11,294

(8,956)

Programme and Event Gift Aid Payment/Grants

3,750

(3,750)

London Recruits Film Project Donation £1000, Hazard Sponsorship £300 540 Journalistic Feature £300, 3 Days of Fred Wisdom's time working on the Song Book £240 162 Design of Full Colour A5 Leaflet marketing the Ethical Shop, New Statesman Feb 2017, Seminar fee for Doug (Westminster Business forum)

Affiliations, Donations, Subscriptions,

6,000

1,300

(4,700)

Communications & Campaigning

540

Advertising and promotion

1,875

2,037

Room hire

GFTU Education Course Brochures, Your Right at Work - A TUC Guide 5th Edition , Liberating Arts Festival Leaflets & Flyers, Photographic Repro - Education for Action April 17-July18, Education Leaflets

Publicity leaflets

11,250

10,204

(1,046)

Educational officers' meeting

1,875

878

(997) EC Meeting, Education Officers Interview

Tutors' meeting

938

(938)

International Study Visit

7,500

(7,500) (9,304)

Youth Festival History Festival

15,000

5,696

Arts & Cultural Festival

9,000 7,500 2,250

9,175

175

ESNA Visist Other events

(7,500)

5,168 Kurdish Festival & Liberting Art

7,418

Open College Network Panel Fees+Membership

E learning

11,250

(11,250) (5,250)

Trade Union Management Programme

5,250

Links with Universities

Finance, HR & IT Officers Meeting, New Rep Training by Doug @ QGH

Core Course -Student hotel & Travel

7,500 3,750 7,500

4,782 2,430

(2,718) (1,320) (7,235)

Core Course - Tutor Fees

Core Course - Tutor Travel & Sub

265

Northern College : GFTU Health & Safety Stage 1, GFTU Shop Stewards Stage 1 These charges have been recharged to TSSA for their courses. 15k worth of charges are expected in next month as waiting for credit card statements to be processed

Core Course- Resource, books, printing, certificates Customised Course -Student hotel & Travel

20,250

7,128

(13,122)

14,726

Customised Course- Tutor fees

18,000

5,640 1,656 5,130

(12,360)

Customised Course- Tutor Travel and sub

- -

1,656 5,130

Customised Course- Resource, books, printing, cert.

Bank charges Miscellaneous

150 375

(84)

1,279

904

Programme and Event total

140,963

80,349

(60,613)

Ground Investigation & Pilling ltd charges

New Build

23,508 276,941

Total Expenditures

380,017

(103,076)

Surplus/deficit before Capital Expenditure

(172,642)

(136,898)

35,744

GFTU ET Balance Sheet

Year to Date Sep 2017

Fixed Assets

Office Equipment

7,687 1,141

Furniture and Fixtures

Investments

2,091,532

2,100,360

Current Assets Debtors

45,967

Intercompany (Hotel, Nursery & Albion)

732,567

Bank Account

60,898

VAT

7,239

846,672

Current Liabilities Creditors Short term

32,875

Intercompany (GFTU & Pension)

1,416,611

1,449,486

Current Assets less Current Liabilities:

-602,814

Total Assets less Current Liabilities:

1,497,546

Capital & Reserves Reserve

1,634,444

P & L Account

-136,898

1,497,546 -

QUORN GRANGE HOTEL FINANCIAL OVERVIEW (Jan 17 to Dec 17)

HOTEL SALES 2014-2017

January 75,891 71,508 65,457 69,680

February

March 99,170 101,137 104,534 86,334

April

May

June

July August September

Totals

2014 2015 2016 2017

75,521 83,912 78,246 88,225

92,463 90,480 87,556 130,696

117,353 112,281 127,392 116,905 87,970 904,946 144,565 125,722 93,968 148,952 142,374 1,002,618 112,411 104,985 124,536 115,457 122,170 915,352 128,433 130,683 155,763 146,436 147,266 1,083,516

HOTEL NET PROFIT/(LOSS) PRIOR YEAR COMPARISONS 2014-17 January February March

April 6,875

May

June

July August September

Totals 70,330 67,484

2014 2015 2016 2017

(7,522) (20,621) (50,664) (51,566)

(13,452) (7,539) (27,882) (32,308)

2,999 7,896

22,940 19,123 23,347 18,510

(2,490)

(3,918) (23,395) (2,221)

37,149 18,504

(14,559)

30,546 20,027

(14,172) (25,000)

(6,470) (2,149)

(14,549) (16,489) (6,215) (3,286)

11,036

(6,698)

(149,282) (111,159)

2,066

9,519

HOTEL BUDGET v ACTUAL NET PROFIT/(LOSS) 2017 January February

March 8,465

April 3,863

May

June

July August September

Totals 4,157

2017 BUDGET 2017 ACTUAL

(22,552) (51,566) (29,014)

(14,339) (32,308) (17,969)

6,874

3,631 6,079 6,953

5,183 9,519 4,337

(25,000) (33,465)

(2,221) (6,084)

(2,149) (9,023)

(6,215) (9,846)

(3,286) (9,365)

2,066

(111,160) (115,317)

(4,887)

Variance

YTD OVERALL PRIOR YEAR ANALYSIS HOTEL NET PROFIT/(LOSS) 2014 2015 2016

2017

Hotel

70,329.70

67,484.26

(149,281.76)

(111,159.42)

Hotel Sales 2015-2017

180,000.00

160,000.00

140,000.00

120,000.00

100,000.00

2015

2016

80,000.00

2017

60,000.00

40,000.00

20,000.00

January

February

March

April

May

June

July

August

September

October

November

December

January

February

March

April

May

June

July

August

September 142,373.92 122,170.00 147,266.32

October

November 98,422.34 107,437.55

December 123,528.38 128,105.29

Total

2015 2016 2017

71,507.97 65,457.00 69,680.00 4,223.00

83,912.22 78,246.12 88,225.00 9,978.88

101,136.75 104,533.56 86,334.00 18,199.56

90,479.69 87,556.48 130,695.90 43,139.42

144,564.76 112,411.00 128,433.00 16,022.00

125,722.33 104,985.00 130,683.21 25,698.21

93,968.18 124,536.00 155,762.51 31,226.51

148,952.40 115,397.00 146,436.32 31,039.32

116,747.35 93,994.20

1,341,316.29 1,244,829.20 1,083,516.26 161,312.94

Variance

25,096.32

93,994.20 -

107,437.55 -

128,105.29 -

Hotel Budget V Actual Net Profit by Month January

February (32,308)

March

April

May

June

July

August

September

October

November

December

Total

2017 Actual Net Profit

(51,566)

(25,000)

(2,221)

(2,149)

(6,215)

(3,286)

2,066

9,519

(111,160)

2017 Budget Net Profit

(22,552)

(14,339)

8,465

3,863

6,874

3,631

6,079

6,953

5,183

3,686

(2,874)

7,099

12,069 123,229

Variance

29,014

17,969

33,465

6,084

9,023

9,846

9,365

4,887

(4,337)

3,686

(2,874)

7,099

2017 Hotel Budget vs Actual Net Profit/(Loss)

20,000

10,000

January

February

March

April

May

June

July

August

September

October

November

December

(10,000)

2017 Actual Net Profit

(20,000)

2017 Budget Net Profit

(30,000)

(40,000)

(50,000)

(60,000)

Budget v ACTUAL Sales

January

February

March

April

May

June

July

August

September

October

November

December

Total

2017 Budget 2017 Sales

81,373 69,680

87,894 88,225

122,601 86,334 (36,267)

121,190 130,696

133,652 128,433 (5,219)

113,444 130,683 17,239

140,385 155,763 15,378

148,043 146,436 (1,607)

143,034 147,266

118,166

104,256

117,069

1,431,107 1,083,516 (347,591)

Variance

(11,693)

331

9,506

4,232 (118,166)

(104,256)

(117,069)

2017 Hotel Sales vs Budget

180,000

160,000

0 0 1,083,516 (347,591)

140,000

120,000

100,000

2017 Budget

80,000

2017 Sales

60,000

40,000

20,000

January

February

March

April

May

June

July

August

September

October

November

December

QUORN GRANGE HOTEL

REVIEW OF ACCOUNTS AS AT Sep 30, 2017

Accounts Review- Hotel

QUORN GRANGE HOTEL SUMMARY

Sep

YTD -Sep

YTD - Aug

Hotel

Net Profit/(loss)

9,519

(111,160)

(120,679)

Adjust for Expenses not budgeted: Gift Aid GFTU

4,000

36,000

32,000

Trading Profit/(Loss) Budgeted Profit/(loss)

13,519

(75,160)

(87,539) (1,026)

5,183

4,157

The hotel occupancy for January through to September in comparison to budget and to 2016 can be summarised as follows:

Quorn Grange Hotel HOTEL OCCUPANCY 2017

JAN FEB MAR APR MAY JUN JUL AUG SEP

Available Rooms

1,178

1,064

1,178

1,126

1,178

1,140

1,178

1,140

Occupancy 2016 Actual 2017 Actual 2017 Budget

44% 56% 54% 65% 68% 68% 68% 61% 73% 59% 62% 65% 74% 70% 79% 77% 69% 82% 55% 58% 60% 65% 68% 68% 70% 74% 72% 4% 4% 5% 9% 2% 11% 7% -5% 10%

Variance

Rooms Sold 2016 Actual 2017 Actual 2017 Budget

506 691 636

600 655 617

609 729 771 842 707 741

767 766 788 699 833 825 900 909 809 933 801 775 825 872 821

Variance

9% 6% 9% 14% 3% 16% 10% -7% 14%

Average Room Rate 2016 Actual

61.7 61.2 61.0

62.8 65.7 62.0

65.6 62.3 58.0 55.0 66.5 60.0 63.9 63.8 61.9 63.87 63.15 65.13 63.34 66.52 65.0 66.0 66.0 66.0 66.0 66.0 70.0

2017 Actual 2017 Budget

Variance

0.2% 6% -2% -6% -3% -4% -1% -4% -5%

Turnover & Gross Profit

The total turnover for the hotel is £4.2k higher than budget for Sep 17 and (£8.1k) below year to date.

Occupancy is 10% higher the budget. The average room rate 5% lower than budget.

The Hotel recorded a Net Profit of £13.5k for Sept and (£75.2k) loss YTD after adjusting for the GFTU Gift Aid.

Hotel Costs vs Budget

The following summarises the main YTD cost variances for discussion  Wages & Salaries Wages & Salaries (34.7k) higher than budget YTD. (4.3k) higher for the month of Sept 17  Cleaning & Laundry Cleaning & Laundry YTD favourable variance of £7.7k  Marketing The Marketing costs are £22.2k below the budget as Tim is trying to keep all the cost under control.  Garden Expenditure Garden Expenditure Costs are (£6k) higher than budget for YTD. The budget for Garden expenditure does not include Alison’s salary who left in Jan 17. New Gardeners invoices go under this code hence garden costs are likely to be higher than budget in next coming months. In September 17 garden expenditure included an unexpected cost to clear away fallen branches of cedar due to high winds  Rates & Insurance Rates & Insurance costs are in line with the budget for Sept 17  Commissions Due to increase in occupancy the commissions are (£6k) higher than expected YTD  Heat, Light & Power Heat Light & Power costs are £3.5k lower than the budget for Sept and £9.8k lower than budget YTD.  Donation Hotel pays £4k to GFTU on monthly basis as a gift aid. There was no budget for this item. IT Expenses are overspent by (£12.8k) for YTD this is partly due to IT issues that Hotel had been facing i.e. final rewiring & cabling works, Entegraty SLA and Installation of 2 new cameras  Repairs & Maintenance Repair & Maintenance overspent by (£4.2k) due to costs incurred such as fire extinguisher maintenance, pat testing and room maintenance items such as bulbs. However Kitchen Repairs & replacement underspent by £2.4k compare to YTD  Telephone & Internet Telephone & internet costs are higher than budget by (£3.1k) YTD. GFTU and Nursery reimbursed Hotel for their share of BT fibre broadband bills thus £1.1k credit in the month of Sep 17.  Kurdish Festival There is a credit of £6k in Sep month as ET has subsided for Kurdish festival deficit.  GFTU Salary Contribution GFTU Salary contribution is in line with the budget.  Professional fees Professional fees are in line with the budget for Sept 17  IT Expenses

Quorn Grange Hotel HOTEL OCCUPANCY 2017

JAN FEB MAR APR MAY JUN JUL AUG SEP TOTAL (YTD)

Available Rooms

1,178

1,064

1,178

1,126

1,178

1,140

1,178

1,140

1,153

Occupancy 2016 Actual 2017 Actual 2017 Budget

44% 56% 54% 65% 68% 68% 68% 61% 73% 59% 62% 65% 74% 70% 79% 77% 69% 82% 55% 58% 60% 65% 68% 68% 70% 74% 72% 4% 4% 5% 9% 2% 11% 7% -5% 10%

63% 91% 65% 26%

Variance

Rooms Sold 2016 Actual 2017 Actual 2017 Budget

506 691 636

600 655 617

609 771 707

729 842 741

767 766 788 699 833 825 900 909 809 933 801 775 825 872 821

711

1048 746 40%

Variance

9% 6% 9% 14% 3% 16% 10% -7% 14%

Average Room Rate 2016 Actual

61.7 61.2 61.0

62.8 65.7 62.0

65.6 62.3

58.0 55.0 66.5 60.0 63.9

62.2 82.1 66.3 24%

2017 Actual 2017 Budget

63.8 61.9 63.87 63.15 65.13 63.34 66.52

65.0 66.0

66.0 66.0 66.0 66.0 70.0

Variance

0.2% 6% -2% -6% -3% -4% -1% -4% -5%

Quorn Grange Hotel HOTEL OCCUPANCY 2017

JAN FEB MAR APR MAY

Available Rooms

1,178

1,064

1,178

1,126

1,178

Occupancy 2016 Actual 2017 Actual 2017 Budget

44% 56% 54% 65% 68% 59% 62% 65% 74% 70 55% 58% 60% 65% 68% 4% 4% 5% 9% 6932%

Variance

Rooms Sold 2016 Actual 2017 Actual 2017 Budget

506 691 636

600 655 617

609 771 707

729 767 842 825 741 801

Variance

9% 6% 9% 14% 3%

Average Room Rate 2016 Actual

61.7 62.8 65.6 62.3 58.0 61.2 65.7 63.8 61.9 63.87 61.0 62.0 65.0 66.0 66.0 0.2% 6% -2% -6% -3%

2017 Actual 2017 Budget

Variance

Page:

Date: 18/10/2017

Quorn Grange Hotel

Time: 10:46

Profit & Loss by Department (Advanced Budget and Variance)

All

Period From:

2017 Month 9, September Year:

Department:

Period To:

Month 9, September

Chart of Accounts: Detailed Layout of Accounts

Actual

Budget

Variance

Sales Food & Beverages Miscellaneous Sales

34,086.85 1,518.32 62,533.38 3,638.33 37,401.50

11,104.45 1,018.32 5,077.38 (1,861.67) (7,598.50) (2,500.00)

22,982.40

500.00

Accomodation Conferences

57,456.00 5,500.00 45,000.00 2,500.00 5,745.60 2,600.00

Weddings

Hotel Events

0.00

Breakfast Sales Nursery Meals Gym Membership

5,919.51 1,752.85

173.91

(847.15) (329.87) (37.88)

370.13

700.00

Bank Interest Kurdish Event

12.12 33.33

50.00

33.33

0.00

147,266.32

143,034.00

4,232.32

Purchases Food & Beverages Purchases Miscellaneous Purchases

20,000.91

5,187.33

25,188.24

0.00

100.00

Function Purchases

2,347.48 1,234.42 6,023.02

(2,347.48) (1,234.42) (6,023.02)

0.00 0.00 0.00

Hotel Room Consumables

Movement in Stock

29,605.83

25,288.24

(4,317.59)

Direct Expenses Operating Gross Wages

38,839.49

18,374.11

57,213.60 1,430.34

Operating Employer Pension

511.18

919.16

Admin Gross Wages

16,804.69

(16,804.69)

0.00 0.00 0.00

Agency Staff

766.72 269.29

(766.72) (269.29)

Admin Employers Pension

57,191.37

58,643.94

1,452.57

Gross Profit (Loss):

60,469.12

59,101.82

1,367.30

Overheads Bar & Restaurant Consumables Cleaning & Laundry

163.40

(163.40)

0.00

6,198.01 (6,531.46) 3,294.17

696.71

6,894.72

Events

7,246.63 2,427.19

715.17

Marketing

5,721.36

Recruitment Advertising

0.00

60.00

IT Expenses

4,508.45 2,376.95

(3,508.45) (1,726.95)

1,000.00

Printing & Stationery

650.00

Postage

118.00

(83.00) (935.23)

35.00

Garden Expenditure Gym Expenditure Repairs & Maintenance

4,007.23

3,072.00

70.10

79.90

150.00

4,094.63 2,550.59 (40.76)

(2,083.67)

2,010.96 2,298.24

Kitchen Repairs & Maintenance Uniforms

(252.35)

240.76

200.00 350.00

Licences

266.10

83.90

Commissions

3,606.77

(1,308.53)

2,298.24

Page:

Date: 18/10/2017

Quorn Grange Hotel

Time: 10:46

Profit & Loss by Department (Advanced Budget and Variance)

All

Period From:

2017 Month 9, September Year:

Department:

Period To:

Month 9, September

Chart of Accounts: Detailed Layout of Accounts

Actual

Budget 6,436.53 8,582.04

Variance

Rates and Insurance Heat, Light and Power

5,874.53 5,050.66

562.00

3,531.38

Unpaid Bills Staff Drinks

0.00

30.00 22.50

30.00 75.00 50.00

52.50

Travel Expenses

329.80 222.12

(279.80)

Management Allowances Hotels & Subsistence Telephone & Internet

177.88

400.00

0.00

50.00

(1,135.17)

1,735.17

600.00 750.00 250.00 600.00

Professional Fees

225.00 170.77 519.45

525.00

Flowers & Xmas Decorations

79.23 80.55 85.00

Waste Management

Pest Control

0.00

85.00

Card Processing Charges

1,165.39 6,485.51

(165.39) (485.51)

1,000.00 6,000.00

Depreciation

Staff Training & Support

0.00

175.00

175.00 550.00

TV Subscriptions

716.93

(166.93)

Gifts

0.00

10.00

Donations

4,000.00 2,211.33

(4,000.00)

0.00

GFTU Salary Contribution

138.67 390.15

2,350.00

Directors Expenses

59.85

450.00

Bank Charges Till Variances

233.33

(233.33) (65.87)

0.00

85.87

20.00

50,950.05

53,919.26

2,969.21

Net Profit (Loss):

5,182.56

4,336.51

9,519.07

Nursery Budget 2017

Jan

Feb

Mar

Apr

Income Fees- including grant

20,000.00

21,000.00

Total

20,000.00

21,000.00

Expenses Staffing

15,000.00 1,500.00

15,000.00 1,200.00

Meals Food

150.00 150.00 250.00 250.00

Petty cash

Utilities: Gas

Utilities: Electricity

Utilities: Water

50.00 50.00

Telephone

Maintenance

100.00 100.00 100.00

Printing

Stationery Art supplies

50.00 80.00

50.00 50.00

50.00

Technology: Softwear Marketing: New Brochure

50.00 38.00

Pest control

38.00 50.00

Cleaning Supplies Waste Management

100.00 200.00 150.00 500.00 200.00 150.00 250.00 100.00 200.00

200.00 150.00 500.00 200.00 150.00 250.00 100.00 200.00

IT expenses

Business Rates & Insurance

Professional Fees

Depreciation

Technology: Nursery Management Software Marketing: Website

Health and Safety / First Aid

Staff Training GFTU Gift Aid

4,000.00 1,800.00

GFTU salary contribution

Total

25,488.00

25,168.00

25,350.00

24,838.00

Net profit/loss

5,488.00

5,168.00 -

4,350.00 -

3,838.00 -

May

Jun

Jul

Aug

Sept

Oct

Nov

21,000.00

19,000.00

18,000.00

19,000.00

20,000.00

21,000.00

19,000.00

18,000.00

19,000.00

20,000.00

15,000.00 1,500.00

15,000.00 1,200.00

15,000.00

15,000.00 1,000.00

15,000.00 1,100.00

900.00 150.00 150.00 250.00 250.00

150.00 150.00 250.00 250.00

50.00 50.00

100.00 100.00 100.00

100.00 100.00 100.00 100.00

50.00 80.00

50.00

800.00

100.00

50.00 38.00

38.00 50.00

38.00

38.00 50.00

100.00 200.00 150.00 500.00 200.00 150.00 100.00 250.00 100.00 200.00

50.00

100.00 200.00 150.00 500.00 200.00 150.00 100.00 250.00 100.00 200.00

200.00 150.00 500.00 200.00 150.00 100.00 250.00 100.00 200.00

4,000.00 1,800.00

25,450.00

26,068.00

25,288.00

24,650.00

24,938.00

24,688.00

25,238.00

4,450.00 -

5,068.00 -

6,288.00 -

6,650.00 -

5,938.00 -

5,688.00 -

5,238.00 -

Dec

Total

20,000.00

239,000.00

20,000.00

239,000.00

15,000.00 1,100.00

180,000.00 14,900.00

150.00 150.00 250.00 250.00

1,800.00 1,800.00 3,000.00 3,000.00

50.00 50.00

600.00 600.00 600.00 600.00 900.00 410.00 800.00 300.00 342.00 900.00

50.00

38.00 50.00

200.00 150.00 500.00 200.00 150.00 100.00 250.00 100.00 200.00

2,400.00 1,800.00 6,000.00 2,400.00 1,800.00 3,000.00 1,200.00 2,400.00 48,000.00 21,600.00 800.00

4,000.00 1,800.00

24,788.00

301,952.00

4,788.00 -

62,952.00

Nursery Budget 2018 Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sept

Oct

Nov

Dec

Total

Income

Actual 2017 Actual 2017 Actual 2017 Actual 2017 Actual 2017 Actual 2017 Actual 2017 Actual 2017 Budget 2017 Budget 2017 Budget 2017 Budget 2017

Fees- including LCC grant

20,600.00

22,900.00

25,400.00

25,200.00

26,200.00

29,452.00

19,000.00

20,000.00

268,952.00

Total

20,600.00

22,900.00

25,400.00

25,200.00

26,200.00

29,452.00

19,000.00

20,000.00

268,952.00

Expenses Staffing

15,000.00 1,500.00

15,000.00 1,600.00

15,000.00 2,200.00

15,000.00 1,200.00

15,000.00

15,000.00 1,000.00

15,000.00 1,100.00

180,000.00 18,100.00

Meals

900.00 150.00 250.00 250.00

Food

300.00 250.00 250.00

400.00 250.00 250.00

500.00 250.00 250.00

400.00 250.00 250.00

300.00 250.00 250.00

150.00 250.00 250.00

3,250.00 3,000.00 3,000.00

Utilities: Gas

Utilities: Electricity

Utilities: Water

50.00 50.00

600.00 600.00 600.00

Telephone

Repairs & Maintenance Printing & Stationery Art supplies (creative supplies)

100.00 250.00

250.00

3,000.00

200.00

1,400.00

Advertising/ Marketing: New Brochure, Website

150.00

1,800.00

Pest control

38.00

342.00 900.00

Cleaning Supplies Waste Management

150.00 200.00 125.00 500.00 200.00 200.00

150.00 400.00 125.00 500.00 200.00 200.00

150.00 500.00 125.00 500.00 200.00 200.00

150.00 200.00 125.00 500.00 200.00 200.00

200.00 125.00 500.00 200.00 200.00 125.00 150.00 100.00

300.00 125.00 500.00 200.00 200.00 125.00 150.00 100.00

200.00 125.00 500.00 200.00 200.00 125.00 150.00 100.00

3,100.00 1,500.00 6,000.00 2,400.00 2,400.00

IT expenses

Business Rates & Insurance

Professional Fees

Depreciation

Technology: Nursery Management Software

125.00 150.00

1,500.00 1,800.00

General Expenses

Staff Training GFTU Gift Aid

600.00

4,000.00 1,800.00

48,000.00 21,600.00

GFTU salary contribution

Total

25,588.00

25,338.00

26,550.00

26,238.00

26,650.00

26,038.00

25,288.00

24,450.00

24,838.00

24,588.00

25,038.00

24,888.00

305,492.00

Net profit/loss

4,988.00

4,738.00 -

5,950.00 -

3,338.00 -

1,250.00 -

838.00

912.00

5,002.00

5,838.00 -

5,588.00 -

5,038.00 -

4,888.00

36,540.00

Gift Aid

48,000.00 21,600.00

GFTU salary contribution

Assumpations

Fees income will be same as 2017

33,060.00

Garden expenses Budget ?????

Nursery Budget 2019

Double -current actual

New Build

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sept

Oct

Nov

Dec

Total

Income Fees- including grant School holiday club

40,000.00

40,000.00 1,512.00 2,100.00 2,100.00

42,000.00

42,000.00 2,419.20 1,400.00 1,400.00

42,000.00

40,000.00 3,024.00 1,540.00 1,540.00

40,000.00 4,838.40

38,000.00

38,000.00 1,512.00 2,380.00 2,380.00

40,000.00

484,000.00

604.80

14,515.20

Breakfast Club After School Club

2,520.00 2,520.00

3,220.00 3,220.00

2,660.00 2,660.00

2,800.00 2,800.00

840.00 840.00

2,940.00 2,940.00

3,080.00 3,080.00

1,960.00 1,960.00

27,440.00

Total

45,040.00

45,712.00

48,440.00

47,219.20

47,924.80

48,204.80

46,104.00

46,518.40

43,880.00

44,272.00

46,160.00

43,920.00

553,395.20

Expenses Staffing

32,000.00 3,500.00

32,000.00 2,900.00

32,000.00 3,500.00

32,000.00 2,900.00

32,000.00 2,300.00

32,000.00 2,700.00

384,000.00 35,600.00

Meals

Food

300.00 500.00 500.00 100.00 100.00 200.00 300.00 100.00

300.00 500.00 500.00 100.00 100.00

300.00 500.00 500.00 100.00 100.00 200.00 300.00

300.00 500.00 500.00 100.00 100.00

300.00 500.00 500.00 100.00 100.00 200.00 300.00

300.00 500.00 500.00 100.00 100.00

300.00 500.00 500.00 100.00 100.00 200.00 300.00

300.00 500.00 500.00 100.00 100.00

300.00 500.00 500.00 100.00 100.00 200.00 300.00 100.00

300.00 500.00 500.00 100.00 100.00

300.00 500.00 500.00 100.00 100.00 200.00 300.00 200.00

300.00 500.00 500.00 100.00 100.00

3,600.00 6,000.00 6,000.00 1,200.00 1,200.00 1,200.00 3,600.00

Utilities: Gas

Utilities: Electricity

Utilities: Water

Telephone

Maintenance

Printing & Stationery

300.00 160.00

300.00 100.00

300.00 160.00

300.00

Art supplies

820.00

Advertising/ Marketing: New Brochure Website

100.00

- -

200.00

100.00

600.00 684.00

Pest control

76.00

Cleaning Supplies Waste Management

200.00 400.00 300.00

100.00 400.00 300.00

200.00 400.00 300.00

100.00 400.00 300.00

200.00 400.00 300.00

100.00 400.00 300.00

200.00 400.00 300.00

100.00 400.00 300.00

200.00 400.00 300.00

100.00 400.00 300.00

200.00 400.00 300.00

100.00 400.00 300.00

1,800.00 4,800.00 3,600.00 12,000.00 4,800.00 3,600.00 1,800.00 2,400.00 4,800.00 48,000.00 21,600.00

IT expenses

Business Rates & Insurance

1,000.00

Professional Fees

400.00 300.00

Depreciation

Technology: Nursery Management Software

150.00 200.00 400.00

General Expense

Staff Training GFTU Gift Aid

4,000.00 1,800.00

GFTU salary contribution

Total

46,926.00

46,586.00

46,650.00

45,926.00

46,650.00

46,586.00

46,326.00

45,350.00

45,626.00

45,226.00

46,226.00

45,626.00

553,704.00

Net profit/loss

1,886.00

874.00

1,790.00

1,293.20

1,274.80

1,618.80

222.00

1,168.40

1,746.00 -

954.00

66.00

1,706.00

308.80

Gift Aid

48,000.00 21,600.00

GFTU salary contribution

69,291.20

Assumpations Fees income will be double

9 children

9 children 9 children 9 children 9 children 9 children

9 children

School holiday club

Half day plus 2 additional hours at 4.30/hr = £33.60 5 days

8 days

2 days

10 days

16 days

5 days

Income

1,512.00

Breakfast Club 7 children x £20 each session

140.00

1,680.00

Term days

196

Income

2,520.00

2,100.00

3,220.00

1,400.00

2,660.00

2,800.00

1,540.00

840.00

2,940.00

2,380.00

3,080.00

1,960.00

27,440.00

After School Club 7 children x £20 each session

140.00

1,680.00

Term days

196.00

Income

2,520.00

2,100.00

3,220.00

1,400.00

2,660.00

2,800.00

1,540.00

840.00

2,940.00

2,380.00

3,080.00

1,960.00

27,440.00

GFTU Educational Trust.

November 8 th meeting 2017.

Secretary’s Report.

Private and Confidential to Trustees only.

Introduction.

Firstly a warm welcome to Maddy, Charlotte and Antoinette our new Trustees.

2 For the benefit of our new members and really all of us, could I just remind us all that the Charity Commission has excellent guidance on being a charity Trustee on its website. This should be considered required reading. 3 All Trustees should have copies of the Trust deed which guide our work and set our legal boundaries and purpose.

Our main focus is the provision of adult and trade union education.

5 Our principles underpinning this work are contained in the booklet Education for Action which can be seen on the GFTU website.

We have an emphasis at present on arts and culture and history.

7 In addition I thought it may be helpful at the start of this report to just outline some of the key issues and structures as we have some technical as well as developmental issues to deal with at this meeting. 8 Until 2012 the Trust was more or less exclusively funded by the GFTU. There were some additional occasional EU funded schemes, but in the main the GFTU provided the core funding. When it sold its property in 2007 the GFTU gave the Trust in addition £3m to hold in Trust to further its educational purpose. As GFTU funds came under pressure, a strategy was agreed whereby the Trust should create its own funding streams and diversify its funding to relieve the pressure on GFTU resources. 9 The main investment the Trust made to increase its independent funding was the hotel and nursery purchased in 2012. 10 In addition the Trust started to develop smaller additional funding streams which were congruent with its purpose and which could slowly build up new income streams. These were, the Ethical Shop, Workable Books, commission on a range of GFTU services, events, a double CD of songs, grant applications, partnerships with higher education, alternative sources of funding. 11 While it is fair to say that these are all embryonic developments, they are important ones and need to grow to create more income. Meetings will be held with the Operations Manager and others to promote these effectively. These activities also create a high and positive profile for the Trust.

12 In 2017/18 we have been able to make our most comprehensive education offer ever.

13 The existing income from Quorn Grange Hotel and the nursery is not sufficient to meet our long term needs and sustainability. 14 Therefore over the last few years we have been carefully considering other ways of generating income. 15 We have settled on an expansion of the Quorn site with 25 new hotel bedrooms, a new nursery and new houses for rent. The business models for these and the target income streams on which these are based are £200k, £70k and £85k respectively. If these figures were achieved by way of surplus each year the Trust, and therefore the GFTU would be in a stronger position. 16 Planning permission for this development has been granted and relevant professional appointed. Project management meetings are held monthly for the new build project with all relevant professionals and a cost plan, cash flow etc have been prepared. 18 Inevitably in a project of this size issues have arisen and the Trustees will need to tackle some of these at this meeting and be aware of their impact. 19 Trustees will see that the nursery now separated as a new legal identity with its own accounts is not as profitable as we thought. Furthermore the budget plan, also attached for 2018 showed a potential deficit and the Directors have asked for it to be re designed. Further still I asked for a group to meet to consider the future nursery revenue post new build to again test the model of £70k profit per annum. No convincing analysis of this has yet returned and I have asked the Senior Finance Officer to now undertake a new study. Finally there has been a considerable problem of aged debtors at the nursery and special measures are now being taken by the Head of Finance and Finance Officer to address this. 20 The legal issue explored by our lawyers in terms of the status of the nursery as an entity can be put on hold until questions of financial viability going forward. 21 Whether the planned nursery building can be re-designated for alternative use is being explored. 22 Our next issue concerns the adequacy of the building designs in the hotel. As reported previously I moved us away from our original new build architect. One of the problems was there was insufficient detail in relation to the Goodacre Suite and meeting rooms. In effect the cost of expanding these as we had intended was not built into the cost plan. This has incurred further time in undertaking the budget planning and further costs to undertake a feasibility into expanding this area. At this stage a round estimate of extra costs is £150k and this will be assessed against future use. 23 Our neighbouring farmer Tom Duffin is an excellent neighbour and he and the hotel have worked together in a spirit of co-operation. Tom owns the track to the east of our land. He has kindly by verbal agreement granted access for plant to the new build site along his track. However we have a consideration that more than this could be needed long term and would ideally want a legally binding agreement, an easement, for some access. Informal discussions with Tom will have started prior to the Trustees’ meeting. 17 The funding for the new build, some £5.5m will be further gift aid from the GFTU to the Trust.

24 Extra costs will also be incurred during the new build on the following items. The first is not an option. The water storage reservoir for waste water will have to be bigger than anticipated, in fact it will go under most of the car park. 25 Extra costs will be entailed if we extend the Goodacre suite because hotel offices will have to be constructed in the reception area. 26 The Trust has no written agreements with either the GFTU, Hotel or Nursery for their occupation of our property. There will be a need for proper leases to be put in place upon completion of the new build to guarantee income to the Trust and clarify terms. These have been drafted by our lawyers and should considered in detail next year. 27 As you will see the lawyers have identified an anomaly in ownership. The land and property were purchased by the GFTU Educational Trust. Our lawyers say that this was incorrect as the Trust is not incorporated and they suggest a couple of solutions. Subject to further discussion with them and the views of the Trustees I would propose that we transfer ownership in the name of 2-4 Trustees. 28 These structural and tenancy issues, coupled with any resulting financial implications are the big ones we face to discharge our responsibilities. 30 We have proposed two further Service Level Agreements to one union at their request to generate further income through the finance team. No response has yet been received. 31 We have carefully analysed the income generated by our management of education courses for one union and this is satisfactory. 32 We have tendered for the whole financial services work, accountancy and audit for another union. We have been shortlisted and will present our case on November 9th. This tender will be worth £68k per annum and will require the employment of another finance officer. Commission will come to the Trust. 33 Further meetings on marketing our other new services, the ethical shop, publishing house and so on will need to be held with the Operations Manager. 34 The new housing on the Quorn site could be potentially managed in house, saving costs, and this will be explored. 35 We are dissatisfied with the services we have received by hotel and accommodation companies and are actively considering forming our own company. 36 We have discussed kitting out our new classrooms with support from the Leeds Beckett University. 29 We have been successful in generating new income from shared services.

37 We are considering grant applications for our future International Study visit for the GFTU EC.

38 We are supporting a number of grant applications for educational and history related projects.

Staffing.

39 This has been a difficult period staffing wise with a great deal of attention to HR being needed and perhaps a disproportionate amount of my time spent on it. Relative to our success over

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