Company registration number: 02608644 Charity registration number: 1002909
Gilead Foundations Charity
(A company limited by guarantee) Annual Report and Financial Statements for the Year Ended 30 November 2021
Wortham Jaques Limited Chartered Accountants & Charity Advisers 130a High Street Crediton Devon EX17 3LQ
Gilead Foundations Charity
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Trustees' Report | 2 to 6 |
| Independent Examiner's Report | 7 |
| Statement of Financial Activities | 8 to 9 |
| Balance Sheet | 10 to 11 |
| Notes to the Financial Statements | 12 to 25 |
Gilead Foundations Charity
Reference and Administrative Details
| Trustees | Mr Chris Cole, Chair |
|---|---|
| Dr Clem Ferris | |
| Mr Andrew Piddington | |
| Mr Albert Sloman | |
| Mr Matthew Williams | |
| Charity Registration Number | 1002909 |
| Company Registration Number | 02608644 |
| The charity is incorporated in England and Wales. | |
| Registered Office | Risdon Farm |
| Jacobstowe | |
| Okehampton | |
| Devon | |
| EX20 3AJ | |
| Independent Examiner | Wortham Jaques Limited |
| Chartered Accountants & Charity Advisers | |
| 130a High Street | |
| Crediton | |
| Devon | |
| EX17 3LQ | |
| Solicitors: | Robinsons |
| 10-11 St James Court | |
| Friar Gate | |
| Derby | |
| DE1 1BT | |
| Bankers | NatWest |
| Okehampton | |
| Devon |
Page 1
Gilead Foundations Charity
Trustees' Report
The Trustees of Gilead Foundations Charity, who are directors for the purposes of company law, present their annual report and the unaudited financial statements of the charitable company for the year ended 30 November 2021.
Structure, Governance and Management
Gilead Foundations Charity (GFC) is a company limited by guarantee governed by its Memorandum and Articles of Association. The Trustees are appointed in accordance with the terms of the Memorandum and Articles of Association.
Gilead Trustee board currently comprises of five Trustees: Chris Cole; Clem Ferris; Andrew Piddington; Matthew Williams and Albert Sloman. Each Trustee has responsibility for various areas of the charity – finance, fundraising and marketing, project structure and strategy, as well as risk assessment and compliance. This is achieved through regular online meetings via internet conferencing media, regular onsite involvement particularly by the local Trustees.
Following deregistration from the Care Quality Commission (CQC) in 2017 a review of the operational activity was carried out and it was decided that it was in the best interests of both the Charity and the Samuel family that the charitable activity and the farm activity be separated, accordingly Risdon Enterprise Community Interest Company (RECIC) ceased its operational function in July 2018. So, with effect from August 2018 the day to day direct operations and activities have reverted back to GFC under the control of the Trustees.
GFC Trustees are chosen based on skill sets seen to be required by the Charity. Potential trustees are placed on a year probationary period prior to being adopted as an actual trustee. The period of probation acts to provide the probationary trustee with a year in which to understand the workings of the charity and the risks associated with it. It also acts to provide a time period in which existing trustees can satisfy themselves that the probationary trustee is suitable for the position required. From then on the trustees discuss the requirements as laid out in the Charity Commission Document CC3 concerning the legal requirement of individual trustees. Where it is seen that further training is required then the relevant trustees will attend appropriate training courses.
Chris Cole (GFC Chair and fund-raising trustee) has vast experience networking and being on the board of other charities and international organisations. This gives him the skill set required to advise and give guidance regarding the protocols, structure and legislation required as a charity.
The ongoing impact of Covid-19 has required the continuation of Andrew Piddington in the role of Interim CEO to ensure that management decisions were expedited on a timely basis ensuring that the Charity fully complied with Government guidelines and that any potential adverse impact on operational matters was kept to a minimum.
Clem Ferris has been a Trustee since 1999 and brings guidance on the strategic vision of the Charity. Matthew Williams works as an Operational Manager within the Social Care sector and brings to the charity much needed specialist knowledge around the supported living legislation. Andrew Piddington is responsible for the financial and operational management of the charity. All income and expenditure is approved by Andrew who is supported by the Finance Manager, Maria Ward, who covers the day to day financial management. Any payments that fall outside of the budgeted expenditure are authorised individually by Andrew Piddington on behalf of Trustees. Albert Sloman is responsible for the overseeing any Pastoral aspects of the Charity including designating Mentors\Life Coaches to residents for the duration of their stay.
Risk Management
All risk management is carried out by the Charity. During each year, the Trustees and operational staff assess the charity’s major risks and then undertake to address them as soon as it practicable, finances allowing. GFC is responsible to carry out relevant Health and Safety Audits, which are made available to the GFC trustees and reviewed at the AGM.
Page 2
Gilead Foundations Charity
Trustees' Report
The greatest risk for GFC continues to be in maintaining funding for the supported living costs. Government policy and funding opportunities are being monitored and researched on a regular basis, by GFC trustees.
GFC lease, at a peppercorn rent, just over 5 acres of land at Risdon Farm, upon which the new accommodation block, Grace Lodge, stands and two more are built up to their foundations. The buildings and contents are owned by GFC and now provide the charity with a strengthened balance sheet which has assisted the charity in going forwards and proving the solvency of the charity.
1. Objectives and Activities
GFC is established for the following objectives:
“To promote the mental and physical rehabilitation of persons recovering from drug and alcohol abuse or similar problems by providing therapy in connection therewith by teaching them the principles and values of the Christian faith and advancing their education – including the teaching of life skills – so as to better enable them to cope with the business of life.”
GFC’s principle activities involve supported accommodation and living incorporating skills training and work therapy including farm related activity supplied by the Samuel Partnership who own and operate Risdon Farm near Okehampton in Devon. The farm helps to provide an excellent environment for GFC residents to learn basic work ethics and life skills ready for when they re-integrate back into society.
GFC is a residential service which provides support through the extended family structure within which the residents (clients of the programme) live. The residents are under the care and supervision of the management team and support workers. From the 1st April 2020 the Charity changed its emphasis from male to female residents due to the identified lack of such facilities for women. The Charity currently employs seven support workers on either full-time or part-time contracts. It has been the aim to keep Grace Lodge full at all times. The lodge can accommodate up to 10 female residents at any time.
Residents come to GFC on a voluntary basis and are free to leave at any time. A will and determination to change their life is one of the key motivational factors in students entering and continuing on the programme.
The primary aims and objectives set by the charity are:
“Unlocking people from the effects of addiction, fear and pain, releasing them into their true potential, by teaching them to understand why they do things they don’t want to do and how to do only what will bring real success and fulfilment, so that relapse is something of the past.”
The success of Gilead’s approach to helping individuals recovering from life controlling issues is accomplished by people coming and living together within a community structure on an extended family basis. Work experience and skill learning gives the residents a sense of achievement and value. The support workers provide weekly one-to-one support as well as a relapse prevention programme one-on-one basis. Activities such as group devotions and evening family gatherings are set up to impart family values, basic catering, domestic and life skills, as well as social activities. This community environment functions in a grace-based environment, working and training together so that all needs are met.
The Charity provides work therapy in practical areas such as farm, maintenance and building, horticulture, catering and domestics, administration and office work, for which the students receive certificates of competence. In addition to this there are scheduled creative crafts and leisure activities.
Page 3
Gilead Foundations Charity
Trustees' Report
The charity continues to receive support from personal donations and gifts in-kind to complement its operational costs to maintain the services being provided. This is promoted through letters to supporters outlining current needs for their donations. The applications team is in a monthly contact with referral agencies and there are some regional centres that regularly provide students. However, it is an ongoing challenge to secure funded student on a consistent basis.
2. Social Benefit
GFC has been providing services that are of social and public benefit since 1991.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
GFC aims to reach homeless and vulnerable adults recovering from drug and alcoholic compulsive behaviours and related problems of society. GFC has helped hundreds of people over the years. The charity has been recording the success rate of students who have left our service since 2005, keeping in touch with those leaving our service for up to 2 years, and longer in some cases.
The ongoing work of GFC is multidimensional and is included with parts of its mission statement – “Unlocking People, Releasing Potential”.
The purpose of GFC is to continue to work with vulnerable individuals – homeless or recovering from addictions, such as drug and alcohol abuse, duel diagnosis and learning difficulties, self-harm, family breakdown, criminal backgrounds, parenting difficulties and related problems.
Our aim is to see people released from such things moving into their true potential of having successful, fulfilled lifestyles, with career and personal domestic opportunities within society.
Whilst the charity bases its programme on Christian principles, there are no restrictions on accepting clients because of race, religion or gender.
Though the Trustees have sought to be financially accountable by increasing the number of funded residents, GFC has always had a guiding principle to take in people who have not been able to receive Local Authority funding nor have access to private funding.
With the aims of “Unlocking People, Releasing Potential”, the social benefit of the charity can clearly be identified.
3. Acheivements and Performance
Gilead finds its main purpose in supporting the residents through a transitional period enabling them to fully reintegrate into being purposeful participants in society. Since changing the operation to support females from April 2020, resident numbers have started to increase once awareness of the redefined purpose have been circulated to agencies and supporters.
Page 4
Gilead Foundations Charity
Trustees' Report
4. Financial Review
Incoming resources this year were £246,104 compared with £224,333 in the year to 30th November 2020. Our resources expended were £268,598 compared with £190,728. Our overall result was therefore a surplus\deficit for the year of £22,494 compared with a surplus of £33,605 in the previous year. Our funds at the year amounted to £399,951 of which £15,830 was held in restricted funds and £384,121 in unrestricted reserves. However, about £356k of this represents the value of Grace Lodge (net of related borrowing), leaving free reserves of about £44k.
Within the year a review of the historical trading activity between the charity and Risdon Enterprises Community Interest Company (RECIC) was carried out to ensure that there were no outstanding or unresolved matters. It was agreed with the directors of RECIC that there were no outstanding or unresolved matters and accordingly Companies House were informed that the RECIC had ceased trading on the 1st February 2022.
5. Covid-19
As a consequence of the Covid-19 pandemic the charity had to implement actions and strategies to ensure that the well-being of staff, volunteers and beneficiaries was the first priority at all times. With this in mind vulnerable staff and volunteers were furloughed and required to comply with the government guidelines in respect of self-isolation.
Due to the location of the charity operation on a remote farm, we have been able to function using the “Bubble Principle” and thankfully have not had any positive cases of Covid. When any new beneficiaries have arrived at the charity they are firstly tested and then accommodated in a self-contained flat for a minimum period of seven days.
To ensure that we could continue to deliver the core service to the beneficiaries all “non-essential” staff and volunteers were placed on the HMRC JRS Furlough scheme until such a time as the charity was in a position to re-engage their services. The charity continues to operate within the Government defined COVID parameters, which does impose some limitations on our ability to deliver the full range of activities however due to our location beneficiaries can enjoy a reasonable level of recreational activity around the farm environment.
There has been a significant impact on the reserves due to limitations on the charity’s ability to promote our activities to the wider community during 2021 however we do not see the need to revise our reserves policy or to reassign designated funds.
6. Future Plans
As indicated above Gilead Foundations Charity has now been set up as an Exempt Accommodation provision which can apply to the local authority for additional housing benefit to cover support costs for service users. The programme will therefore look to provide support and restoration to service users rather than a rehabilitation programme. The accommodation and programme will therefore be structured as “support accommodation” rather than a “care home”.
In order for these changes to be successful the following plans have been put in place:
6.1 A fundraising and marketing strategy has been developed under the direction of the board of trustees and Lois Samuel, General Manager, to ensure medium to long term stability. This includes presentations to organisations including testimonials from residents.
6.2 Accommodation - it is still our aim to complete the two remaining accommodation blocks and we continue to raise funds for the 2nd lodge, Faith Lodge, for which the foundations have been completed.
Page 5
Gilead Foundations Charity
Trustees' Report
6.3 Resident Numbers - there are currently six residents on site, with pending applications in the advanced stages of the process. The goal is to build towards having a waiting list in place to ensure occupancy levels can be held at the highest level possible. The new Supported Accommodation programme will continue to offer practical restoration and support to people who have had “life controlling” problems.
Small companies provision statement
This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
Statement of Trustees' Responsibilities
The trustees (who are also the directors of Gilead Foundations Charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". The report and accounts have been prepared in accordance with the provisions in the Companies Act 2006 relating to small companies.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The annual report was approved by the trustees of the charity on 23 September 2022 and signed on its behalf by:
......................................... Mr Andrew Piddington Trustee
Page 6
Gilead Foundations Charity
Independent Examiner's Report to the trustees of Gilead Foundations Charity ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 November 2021.
Responsibilities and basis of report
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company 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 your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no opinion as to whether the accounts present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement.
Independent examiner’s statement
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:
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accounting records were not kept in respect of Gilead Foundations Charity as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts 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
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
...................................... Charlotte Chapman Gibbs BFP ACA Wortham Jaques Limited Chartered Accountants & Charity Advisers
130a High Street Crediton Devon EX17 3LQ
28 September 2022
Page 7
Gilead Foundations Charity
Statement of Financial Activities for the Year Ended 30 November 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Note Income and Endowments from: Donations and legacies 3 Charitable activities 4 Other trading activities 5 Investment income 6 Total income Expenditure on: Charitable activities 7 Total expenditure Net (expenditure)/income Transfers between funds Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 17 |
Unrestricted funds £ 53,180 130,296 193 5 183,674 (223,407) (223,407) (39,733) 29,972 (9,761) 393,882 384,121 |
Restricted funds £ 3,362 59,068 - - 62,430 (45,191) (45,191) 17,239 (29,972) (12,733) 28,563 15,830 |
Total 2021 £ 56,542 189,364 193 5 |
|---|---|---|---|
| 246,104 | |||
| (268,598) | |||
| (268,598) | |||
| (22,494) - |
|||
| (22,494) 422,445 |
|||
| 399,951 |
The notes on pages 12 to 25 form an integral part of these financial statements. Page 8
Gilead Foundations Charity
Statement of Financial Activities for the Year Ended 30 November 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Note Income and Endowments from: Donations and legacies 3 Charitable activities 4 Investment income 6 Other income Total income Expenditure on: Charitable activities 7 Total expenditure Net income Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 17 |
Unrestricted funds £ 84,621 118,457 28 7,733 210,839 (189,586) (189,586) 21,253 21,253 372,629 393,882 |
Restricted funds £ - 13,494 - - 13,494 (1,142) (1,142) 12,352 12,352 16,211 28,563 |
Total 2020 £ 84,621 131,951 28 7,733 |
|---|---|---|---|
| 224,333 | |||
| (190,728) | |||
| (190,728) | |||
| 33,605 | |||
| 33,605 388,840 |
|||
| 422,445 |
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 and 2020 is shown in note 17.
The notes on pages 12 to 25 form an integral part of these financial statements. Page 9
Gilead Foundations Charity
(Registration number: 02608644) Balance Sheet as at 30 November 2021
| Note Fixed assets Tangible assets 14 Investments 15 Current assets Debtors 21 Cash at bank and in hand 23 Creditors: Amounts falling due within one year 22 Net current assets Total assets less current liabilities Creditors: Amounts falling due after more than one year 20 Net assets Funds of the charity: Restricted income funds Restricted funds Unrestricted income funds Unrestricted funds Total funds 17 |
2021 £ 508,114 150 508,264 11,651 27,737 39,388 (37,207) 2,181 510,445 (110,494) 399,951 15,830 384,121 399,951 |
2020 £ 497,067 150 |
|---|---|---|
| 497,217 | ||
| 18,131 81,224 |
||
| 99,355 (46,846) |
||
| 52,509 | ||
| 549,726 (127,281) |
||
| 422,445 | ||
| 28,563 393,882 |
||
| 422,445 |
For the financial year ending 30 November 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
The notes on pages 12 to 25 form an integral part of these financial statements. Page 10
Gilead Foundations Charity
(Registration number: 02608644) Balance Sheet as at 30 November 2021
The financial statements on pages 8 to 25 were approved by the trustees, and authorised for issue on 23 September 2022 and signed on their behalf by:
......................................... Mr Andrew Piddington Trustee
The notes on pages 12 to 25 form an integral part of these financial statements. Page 11
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
1 Charity status
The charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
The address of its registered office is: Risdon Farm Jacobstowe Okehampton Devon EX20 3AJ
2 Accounting policies
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The financial statements have been prepared in accordance with 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)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Basis of preparation
Gilead Foundations Charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Page 12
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
Grants receivable
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
Deferred income
Deferred income represents amounts received for future periods and is released to incoming resources in the period for which, it has been received. Such income is only deferred when:
- The donor specifies that the grant or donation must only be used in future accounting periods; or - The donor has imposed conditions which must be met before the charity has unconditional entitlement.
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses.
Government grants
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Tangible fixed assets
Individual fixed assets costing £100.00 or more are initially recorded at cost.
Page 13
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
Asset class Depreciation method and rate Long-leasehold poperty 4% reducing balance basis Office and computer equipment 25% reducing balance basis
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
Page 14
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
Pensions and other post retirement obligations
The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Financial instruments
Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
Page 15
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
3 Income from donations and legacies
| Donations and legacies; Donations from individuals Gift aid reclaimed Grants, including capital grants; Government grants Grants from other charities Total for 2021 Total for 2020 |
Unrestricted funds General £ 28,003 2,660 2,017 20,500 53,180 84,621 |
Restricted funds £ 3,362 - - - 3,362 - |
Total funds £ 31,365 2,660 2,017 20,500 |
|---|---|---|---|
| 56,542 | |||
| 84,621 |
4 Income from charitable activities
| Student support Total for 2021 Total for 2020 5 Income from other trading activities Trading income; Sales of goods and services Total for 2021 |
Unrestricted funds General £ 130,296 130,296 118,457 |
Restricted funds £ 59,068 59,068 13,494 Unrestricted funds General £ 193 193 |
Total funds £ 189,364 |
|---|---|---|---|
| 189,364 | |||
| 131,951 | |||
| Total funds £ 193 |
|||
| 193 |
Page 16
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
6 Investment income
| Interest receivable and similar income; Interest receivable on bank deposits Total for 2021 Total for 2020 |
Unrestricted funds General £ 5 5 28 |
Total funds £ 5 |
|---|---|---|
| 5 | ||
| 28 |
Page 17
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
7 Expenditure on charitable activities
| Note Student support Depreciation, amortisation and other similar costs Staff costs Governance costs 8 Total for 2021 Total for 2020 |
Unrestricted funds General £ 92,868 19,243 106,787 4,509 223,407 189,586 |
Restricted funds £ 15,952 - 29,239 - 45,191 1,142 |
Total funds £ 108,820 19,243 136,026 4,509 |
|---|---|---|---|
| 268,598 | |||
| 190,728 |
8 Analysis of governance and support costs
Governance costs
| Independent examiner fees Examination of the financial statements Trustees remuneration and expenses Other governance costs Total for 2021 Total for 2020 |
Unrestricted funds General £ 2,088 2,024 397 4,509 5,147 |
Total funds £ 2,088 2,024 397 |
|---|---|---|
| 4,509 | ||
| 5,147 |
Page 18
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
9 Net incoming/outgoing resources
Net (outgoing)/incoming resources for the year include:
| Depreciation of fixed assets | 2021 £ 19,243 |
2020 £ 15,282 |
|---|---|---|
10 Trustees remuneration and expenses
During the year the charity made the following transactions with trustees:
Mr Chris Cole
£Nil (2020: £136) of expenses were reimbursed to Mr Chris Cole during the year.
Dr Clem Ferris
£Nil (2020: £1,000) of expenses were reimbursed to Dr Clem Ferris during the year.
Mr Andrew Piddington
£824 (2020: £985) of expenses were reimbursed to Mr Andrew Piddington during the year.
Mr Matthew Williams
£Nil (2020: £164) of expenses were reimbursed to Mr Matthew Williams during the year.
Mr Albert Sloman
£Nil (2020: £452) of expenses were reimbursed to Mr Albert Sloman during the year.
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any other benefits from the charity during the year.
Donations made by the trustees without any conditions attached totalled £240 for the year (2020 - £Nil).
11 Staff costs
The aggregate payroll costs were as follows:
| Staff costs during the year were: Wages and salaries Pension costs |
2021 £ 135,155 871 136,026 |
2020 £ 75,558 534 |
|---|---|---|
| 76,092 |
The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was as follows:
| 2021 | 2020 | |||
|---|---|---|---|---|
| No | No | |||
| Charitable activities | 14 | 10 |
No employee received emoluments of more than £60,000 during the year.
Page 19
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
12 Independent examiner's remuneration
| 12 Independent examiner's remuneration | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Examination of the financial statements | 2,088 | 1,980 |
13 Taxation
The charity is a registered charity and is therefore exempt from taxation.
14 Tangible fixed assets
| Cost At 1 December 2020 Additions At 30 November 2021 Depreciation At 1 December 2020 Charge for the year At 30 November 2021 Net book value At 30 November 2021 At 30 November 2020 |
Land and buildings £ 588,535 9,726 598,261 107,007 11,047 118,054 480,207 481,528 |
Furniture and equipment £ 158,190 11,281 169,471 146,026 5,032 151,058 18,413 12,164 |
Motor vehicles £ 6,000 9,284 15,284 2,625 3,165 5,790 9,494 3,375 |
Total £ 752,725 30,291 |
|---|---|---|---|---|
| 783,016 | ||||
| 255,658 19,244 |
||||
| 274,902 | ||||
| 508,114 | ||||
| 497,067 |
Included within the net book value of land and buildings above is £Nil (2020 - £Nil) in respect of freehold land and buildings and £480,208 (2020 - £481,528) in respect of leaseholds.
15 Fixed asset investments
| 15 Fixed asset investments | ||||
|---|---|---|---|---|
| 2021 | 2020 | |||
| £ | £ | |||
| Other investments | 150 | 150 |
Page 20
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
Other investments
| Other investments | ||
|---|---|---|
| Cost or Valuation At 1 December 2020 At 30 November 2021 Net book value At 30 November 2021 At 30 November 2020 |
Unlisted investments £ 150 150 150 150 |
Total £ 150 |
| 150 | ||
| 150 | ||
| 150 |
16 Pension and other schemes
Defined contribution pension scheme
The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £871 (2020 - £534).
Page 21
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
17 Funds
| Unrestricted funds General Unrestricted funds Restricted funds Training grants New residential development Church & Living Free Computers New office Horticultural project Renewables Toilet block Awards for All Residents Food Leisure Fund Residents Allowance Christian Traiing Motor vehicles Residents Fund for Human Need Connecting Families Support Staff Wages Art and Craft Project Cooking for Life PPE Total restricted funds Total funds |
Balance at 1 December 2020 £ 393,882 3,540 1,467 6,177 500 20 10,673 20 3,793 785 8 500 - 1,000 - 80 - - - - - 28,563 422,445 |
Incoming resources £ 183,674 - - - 10,000 - 10,952 - 1,000 - - 1,588 160 1,000 8,633 - 500 17,000 1,450 9,787 360 62,430 246,104 |
Resources expended £ (223,407) (1,320) - - (1,300) - (15,994) (20) - - (8) (1,474) - (424) - (80) - (17,000) (712) (6,499) (360) (45,191) (268,598) |
Transfers £ 29,972 - - (6,177) (9,200) (20) - - (4,793) (785) - (364) - - (8,633) - - - - - - (29,972) - |
Balance at 30 November 2021 £ 384,121 2,220 1,467 - - - 5,631 - - - - 250 160 1,576 - - 500 - 738 3,288 - |
|---|---|---|---|---|---|
| 15,830 | |||||
| 399,951 |
Page 22
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
| Unrestricted funds General Unrestricted funds Restricted Training grants New residential development Church & Living Free Computers New office Horticultural project Renewables Toilet block Awards for All Residents Food Leisure Fund Christian Traiing Residents Fund for Human Need Total restricted funds Total funds |
Balance at 1 December 2019 £ 372,629 - 1,467 6,177 - 20 2,299 20 3,793 1,927 8 500 - - 16,211 388,840 |
Incoming resources £ 210,839 3,540 - - 500 - 8,374 - - - - - 1,000 80 13,494 224,333 |
Resources expended £ (189,586) - - - - - - - - (1,142) - - - - (1,142) (190,728) |
Balance at 30 November 2020 £ 393,882 3,540 1,467 6,177 500 20 10,673 20 3,793 785 8 500 1,000 80 |
|---|---|---|---|---|
| 28,563 | ||||
| 422,445 |
Transfers from the following funds represent capital expenditure funded by restricted income: Computers, Toilet Block, Awards for All and Motor Vehicles.
18 Analysis of net assets between funds
| 18 Analysis of net assets between funds | |||
|---|---|---|---|
| Tangible fixed assets Fixed asset investments Current assets Current liabilities Creditors over 1 year Total net assets |
Unrestricted funds General £ 508,114 150 23,558 (37,207) (110,494) 384,121 |
Restricted funds £ - - 15,830 - - 15,830 |
Total funds at 30 November 2021 £ 508,114 150 39,388 (37,207) (110,494) |
| 399,951 |
Page 23
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
| Tangible fixed assets Fixed asset investments Current assets Current liabilities Creditors over 1 year Total net assets 19 Analysis of net funds Cash at bank and in hand Bank overdraft Net debt Cash at bank and in hand Net debt 20 Creditors: amounts falling due after one year Other loans 21 Debtors Trade debtors Other debtors |
Unrestricted funds General £ 497,067 150 70,792 (46,846) (127,281) 393,882 |
Restricted funds £ - - 28,563 - - 28,563 At 1 December 2020 £ 81,224 (22,330) 58,894 58,894 At 1 December 2019 £ 29,595 29,595 2021 £ 110,494 2021 £ 10,545 1,106 11,651 |
Total funds at 30 November 2020 £ 497,067 150 99,355 (46,846) (127,281) |
|---|---|---|---|
| 422,445 | |||
| At 30 November 2021 £ 81,224 (22,330) 58,894 58,894 At 30 November 2020 £ 29,595 29,595 2020 £ 127,281 |
|||
| 2020 £ 17,477 654 |
|||
| 18,131 |
Page 24
Gilead Foundations Charity
Notes to the Financial Statements for the Year Ended 30 November 2021
22 Creditors: amounts falling due within one year
| 22 Creditors: amounts falling due within one year | ||
|---|---|---|
| Bank overdrafts Bank loans Trade creditors Other loans Other taxation and social security Other creditors Accruals Deferred income |
2021 £ 9,596 - 7,755 13,962 - 2,541 2,076 1,277 37,207 |
2020 £ 22,330 1,207 2,410 13,068 950 2,000 1,968 2,913 |
| 46,846 |
23 Cash and cash equivalents
| Cash on hand Cash at bank Bank overdrafts Cash and cash equivalents in statement of cash flows |
2021 £ 110 27,627 27,737 (9,596) 18,141 |
2020 £ 221 81,003 |
|---|---|---|
| 81,224 (22,330) |
||
| 58,894 |
Page 25