Chapeltown Community Nursery
Charity number 1011670
A company limited by guarantee number 02704190
Annual Report and Financial Statements
for the year ended 31 March 2021
Chapeltown Community Nursery
Annual Report and Financial Statements for the year ended 31 March 2021
| Contents | Page |
|---|---|
| Trustees' report | 2 to 4 |
| Examiner's report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the accounts | 8 to 12 |
Prepared by West Yorkshire Community Accounting Service
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Chapeltown Community Nursery
Trustees' report for the year ended 31 March 2021
Reference and administrative details of the charity, its trustees and advisors
The trustees during the financial year and up to and including the date the report was approved were: Name Position Dates
Stuart Hodkinson Chair Megan Waugh Vice chair Nicholas Oakshett Trustee Nikolai Berkoff Trustee / Treasurer Joanne Kiernan Trustee Ruth Matthews Trustee/Vice Chair Lisa Labate Trustee Angela Daniel Trustee Rebecca Thompson Trustee Geraldine Montgomerie Trustee / Secretary Esta Yemaya Edwards Trustee Charity number 1011670 02704190
Charity number
Company number
Resigned November 2020
Appointed 12 November 2020
Appointed 16 April 2021 Appointed 12 April 2021
Appointed 13 July 2021 Registered in England and Wales Registered in England and Wales
Registered and principal address
Bankers
Reginald Street CAF Bank Ltd Chapeltown 25 Kings Hill Avenue Leeds Kings Hill LS7 3HL West Malling Kent ME19 4JQ
Independent examiner
Claire Welling West Yorkshire Community Accounting Service Stringer House 34 Lupton Street Leeds LS10 2QW
Structure, governance and management
The charity is a company limited by guarantee and was formed on 6 Apr 1992. It is governed by a memorandum and articles of association. The liability of the members in the event of the company being wound up is limited to a sum not exceeding £1.
Method of recruitment and appointment of trustees
The trustees of the charity are also the directors for the purposes of company law and are appointed by the members at the AGM.
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Chapeltown Community Nursery
Trustees' report (continued) for the year ended 31 March 2021
Objectives and activities
The charity's objects
To promote the physical mental and social well being of children resident in the area of benefit.
The charity's main activities
We provide day care facilities for children aged 20 months to 5 years in Chapeltown and its vicinity. Apart from providing full day childcare 5 days a week from 8am to 6pm, the nursery also has on-site catering facilities and outdoor play spaces.
We offer opportunities to stimulate the growth and development of children through play as well as providing facilities for recreation and other leisure time occupation which will improve their conditions of life.
We work in partnership with parents, community members and local organisations to promote good community relations; for example offering our facilities to benefit people in our locality, including offering out-of-hours use of our kitchen to a local parent since May 2020.
We offer our facilities to benefit people in our locality including offering our kitchen to a local parent since May 2020-2021.
Public benefit statement
In setting our objectives and planning our activities our Trustees have given serious consideration to the Charity Commission’s general guidance on public benefit and in particular the advancement of education and the relief of those in need, by reason of youth, age, ill-health, disability, financial hardship or other disadvantage.
Achievements and performance
We have remained open and available to every parent that needed nursery provision within the restrictions we have needed to operate within.
During the pandemic we have explored new approaches to engaging children in play remotely such as through creating mini play boxes to benefit local children in addition to those attending our nursery.
We have supported donation drives with Freedom for Girls, food parcel delivery with Leeds Dads and The Real Junk Food Project and engaged local artists in our activities such as Rasta Claus' appearance at our Christmas celebrations.
We have continued to consult with our families and key stakeholders about our activities such as our organisational restructure and redesign of our outdoors play area with Hyde Park Source.
Despite the challenges of the pandemic we have been able to reduce costs and secure a range of grants to ensure that we did not make a loss and have been in a position to rebuild our reserves.
Financial review
The net income for the year was £26,918, including net income of £13,712 on unrestricted funds and net income of £13,206 on restricted funds.
As part of our Management Committee meetings, we carry out a monthly assessment of the nursery's financial position. This process involves examining an itemised income/expenditure list and profit and loss statement for each month. We use comparison documents to compare to the same month of the previous year and use a cashflow forecast tool.
As is always the case our biggest item of expenditure is our staff wage costs. As a result of our consultation and restructure process in October 2020, we now employ three staff members on a term-time-only contract to minimise costs where possible, whilst still meeting our current childcare demand.
Reserves policy
The charity's free reserves, excluding fixed assets, at the year end were £37,969.
The charity trustees have not adopted a formal reserves policy.
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Chapeltown Community Nursery
Trustees' report (continued) for the year ended 31 March 2021
Covid 19 and going concern
As we have achieved some significant successes with regards to grant funding, we have sufficient reserves to be able to last for the next 12 months based on our projected income and expenditure. Unfortunately, as our income is dependent on demand for the nursery, this can be difficult to predict. However, we are confident based on previous years that we will have sufficient demand for us to be able to break even. We are also exploring new ways to increase our income, such as renting rooms of the nursery out to different businesses and groups for their own use.
Statement of trustees' responsibilities
The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees report and the financial statements in accordance with the applicable law and UK Accounting Standards.
Company law requires the trustees to prepare financial accounts for each financial year which 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 the income and expenditure, of the charitable company for the year. In preparing these financial statements, the trustees are required to:
select suitable accounting policies and apply them consistently;
observe the methods and principles in the Charities SORP;
make judgements and estimates that are reasonable and prudent;
state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the accounts on a going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (Charities SORP (FRS102)), and in accordance with the special provisions of the Companies Act 2006 relating to small companies.
Signed on behalf of the board of trustees on 25/11/2021
Nikolai Berkoff (Trustee)
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Chapeltown Community Nursery
Independent examiner's report to the trustees of Chapeltown Community Nursery
I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 March 2021, which are set out on pages 6 to 12.
Responsibilities and basis of report
As the charity's trustees of the charitable 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 charitable 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 ('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.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
1 accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or 2 the accounts do not accord with those records; or
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3 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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4 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 [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
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.
Claire Welling
10/1/2022
West Yorkshire Community Accounting Service
Stringer House 34 Lupton Street Leeds LS10 2QW
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Chapeltown Community Nursery
Statement of Financial Activities
(including summary income and expenditure account) for the year ended 31 March 2021
| Notes 2021 Unrestricted funds £ Income from: Grants and donations (2) 85,236 Fee income 44,109 Other earned income 4,738 Bank interest 323 Insurance claim 5,233 Total income 139,639 Expenditure on: Salaries NI and pensions (3) 92,392 Payroll charges 1,019 Agency staff 4,949 Staff travel and other staff costs 8,567 Staff training 760 Food and subsistence 1,096 Toys and materials 1,839 Trips and activities - Photography - Advertising and publicity 113 Memberships and subscriptions 796 Rates and insurance 2,199 Heat and light 4,579 Cleaning and waste 2,412 Security and fire protection 644 Repairs and maintenance 2,175 Office and other costs 685 Phone, internet and website 611 Independent examination 660 Legal and professional fees - Bank charges 69 Depreciation 362 Total expenditure 125,927 Net movement in funds 13,712 Fund balances brought forward 25,342 Fund balances carried forward (4) 39,054 |
2021 Restricted funds £ 51,864 - - - - 51,864 29,738 - - - - 920 1,900 - - 345 - 214 2,490 728 - 663 475 765 - 420 - - 38,658 13,206 997 14,203 |
2021 Total funds £ 137,100 44,109 4,738 323 5,233 191,503 122,130 1,019 4,949 8,567 760 2,016 3,739 - - 458 796 2,413 7,069 3,140 644 2,838 1,160 1,376 660 420 69 362 164,585 26,918 26,339 53,257 |
2020 Total funds £ 83,864 66,152 3,197 163 - 153,376 150,623 1,189 19,771 93 1,404 5,176 4,437 86 86 80 656 3,464 6,926 2,492 1,225 4,955 1,168 1,333 660 1,980 76 483 208,363 (54,987) 81,326 26,339 |
|---|---|---|---|
All incoming resources and resources expended derive from continuing activities.
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Chapeltown Community Nursery
Balance sheet
| as at 31 March 2021 2021 Unrestricted £ Fixed assets Tangible assets (5) 1,085 Total fixed assets 1,085 Current assets Debtors and prepayments (6) 2,820 Cash at bank and in hand (7) 36,053 Total current assets 38,873 Current liabilities: amounts falling due within one year Creditors and accruals (8) 904 Total current liabilities 904 Net current assets 37,969 Net assets 39,054 Funds Unrestricted funds 39,054 Restricted funds - Total funds 39,054 |
2021 Restricted £ - - 307 13,896 14,203 - - 14,203 14,203 - 14,203 14,203 |
2021 Total £ 1,085 1,085 3,127 49,949 53,076 904 904 52,172 53,257 39,054 14,203 53,257 |
2020 Total £ 1,447 1,447 2,342 23,210 25,552 660 660 24,892 26,339 25,342 997 26,339 |
|---|---|---|---|
For the year ending 31 March 2021 the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the charitable company to obtain an audit of its accounts for the year in question in accordance with section 476. The trustees (who also the directors for the purposes of company law) acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime and with FRS 102 (effective January 2019).
The financial statements were approved by the board of trustees on 25/11/2021
Nikolai Berkoff (Trustee)
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Chapeltown Community Nursery
Notes to the accounts
for the year ended 31 March 2021
1 Accounting policies
Basis of accounting
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) and with the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102. There has been no change to the accounting policies since last year. No other changes have been made to the accounts for previous years.
Going concern
The trustees are satisfied that there are no material uncertainties about the charity's ability to continue.
Incoming resources
All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.
Grants and donations
Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
Where grants are related to performance and specific deliverables, they are accounted for as the charity earns the right to consideration by its performance.
Expenditure and liabilities
Expenditure is recognised on an accrual basis as a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out the resources and the amount of the obligation can be measured with reasonable certainty.
Taxation
As a charity the organisation benefits from rates relief and is generally exempt from income tax and capital gains tax but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates.
Tangible fixed assets
Tangible fixed assets costing more than £1,000 are capitalised and included at cost including any incidental expenses of acquisition. Gifted assets are shown at the value to the charity on receipt. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a reducing balance basis over their expected useful economic lives as follows: Equipment: 25%
Pensions
The charity operates a defined contribution scheme for the benefit of its employees. The costs of contributions are recognised in the year they are payable.
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Notes to the accounts continued
Chapeltown Community Nursery
for the year ended 31 March 2021
1 Accounting policies continued
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.
Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal.
Further explanation of the nature and purpose of each fund is included in the notes to the accounts.
| Grants and donations Leeds City Council Nursery Education Grant Deprivation uplift Milk subsidy Other smail grants National Lottery Community Fund Leeds Community Foundation Aviva Community Fund Sylvia Adams Charitable Trust HMRC Coronavirus Job Retention Scheme Donations |
2021 Unrestricted funds £ 79,974 4,425 412 - - - - - - 425 85,236 |
2021 Restricted funds £ - - - 1,010 10,000 21,106 1,156 3,000 15,592 - 51,864 |
2021 Total funds £ 79,974 4,425 412 1,010 10,000 21,106 1,156 3,000 15,592 425 137,100 |
2020 Total funds £ 74,791 5,746 899 - - - - - - 2,428 83,864 |
|---|---|---|---|---|
2 Grants and donations
| Staff costs and numbers Gross salaries Social security costs Pensions |
2021 £ 116,855 3,671 1,604 122,130 |
2020 £ 140,978 6,559 3,086 150,623 |
|---|---|---|
3 Staff costs and numbers
The average number employees during the year was 6.6, being an average of 5.5 full time equivalent (2020: 6.3, 4.8 FTE). There were no employees with emoluments above £60,000.
Defined contribution pension scheme
Costs of the scheme to the charity for the year
| 2021 | 2020 |
|---|---|
| £ | £ |
| 1,604 | 3,086 |
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Chapeltown Community Nursery
Notes to the accounts continued
for the year ended 31 March 2021
| 4 Restricted funds National Lottery grant 2018 National Lottery grant 2020 Jimbo's Fund MICE grant Leeds Inspired Grant Aviva Crowdfunder Sylvia Adams Leeds Community Resilience grant Job Retention Scheme |
Balance b/f £ 997 - - - - - - - - 997 |
Incoming £ - 10,000 12,106 200 810 1,156 3,000 9,000 15,592 51,864 |
Outgoing £ - 10,000 - - - 1,066 3,000 9,000 15,592 38,658 |
Balance c/f £ 997 - 12,106 200 810 90 - - - 14,203 |
|---|---|---|---|---|
Fund name
National Lottery grant 2018
National Lottery grant 2020
Jimbo's Fund MICE grant
Leeds Inspired Grant
Aviva Crowdfunder
Sylvia Adams
Leeds Community Resilience grant
Job Retention Scheme
Purpose of restriction
For the Making Space project to increase opportunities for the nursery to be used by a wider range of age groups and community members, including improving facilities for younger children and outof-hours bookings.
Towards advertising and marketing, play boxes, running costs and staff costs during Covid 19.
To redesign nursery outdoor area.
To design, build and create a little free library to keep on the nursery grounds.
To offer a community photography day as well as a photo workshop with children attending the nursery on another day.
To purchase and improve variety of resources offered at the nursery both indoors and outdoors.
To provide funding for core costs to increase sustainability over initial lockdown period.
To support general running costs as well as staff costs, in particular those of our Nursery Manager and Deputy Manager to explore ways of becoming more sustainable in the future.
For staff who have been furloughed due to Covid-19.
5 Tangible assets
| Tangible assets Cost At 1 April 2020 At 31 March 2021 Depreciation At 1 April 2020 Charge for year At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 |
£ 31,734 31,734 30,287 362 30,649 1,085 1,447 Equipment |
£ 31,734 31,734 30,287 362 30,649 1,085 1,447 Total |
|---|---|---|
In recent years the land and buildings have been stated as nil value on the Balance sheet. The trustees are seeking to establish the correct value of the land and buildings owned by the charity.
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Chapeltown Community Nursery
Notes to the accounts continued
for the year ended 31 March 2021
| 6 Debtors and prepayments Debtors Prepayments 7 Cash at bank and in hand Cash at bank Cash in hand 8 Creditors and accruals Creditors Accruals |
2021 £ 2,395 732 3,127 2021 £ 49,872 77 49,949 2021 £ 244 660 904 |
2020 £ 1,521 821 2,342 2020 £ 23,132 78 23,210 2020 £ - 660 660 |
|---|---|---|
9 Related party transactions
Trustee expenses
No trustee received any expenses during this year or the previous year.
Trustee remuneration and benefits
No trustee received any remuneration or benefit during this or the previous year.
Remuneration and benefits received by key management personnel
The key management personnel of the charity comprises the Nursery Manager only. The total employee benefits received by the Chief Officer were £32,975 (previous year: £20,485).
No trustee received any remuneration or benefit in this capacity during this or the previous year.
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Chapeltown Community Nursery
Statement of Financial Activities including comparatives for all funds (including summary income and expenditure account) for the year ended 31 March 2021
| 2021 2020 Unrestricted Unrestricted funds funds £ £ Income Grants and donations 85,236 83,864 Fee income 44,109 66,152 Other earned income 4,738 3,197 Bank interest 323 163 Insurance claim 5,233 - Total income 139,639 153,376 Expenditure Salaries NI and pensions 92,392 150,623 Payroll charges 1,019 1,189 Agency staff 4,949 19,771 Staff travel and other staff costs 8,567 93 Staff training 760 1,404 Food and subsistence 1,096 5,176 Toys and materials 1,839 826 Trips and activities - 86 Photography - 86 Advertising and publicity 113 80 Memberships and subscriptions 796 656 Rates and insurance 2,199 3,464 Heat and light 4,579 6,926 Cleaning and waste 2,412 2,210 Security and fire protection 644 1,225 Repairs and maintenance 2,175 60 Office and other costs 685 1,168 Phone, internet and website 611 1,333 Independent examination 660 660 Legal and professional fees - 1,980 Bank charges 69 76 Depreciation 362 483 Total expenditure 125,927 199,575 Net movement in funds 13,712 (46,199) Fund balances brought forward 25,342 71,541 Fund balances carried forward 39,054 25,342 |
2021 Restricted funds £ 51,864 - - - - 51,864 29,738 - - - - 920 1,900 - - 345 - 214 2,490 728 - 663 475 765 - 420 - - 38,658 13,206 997 14,203 |
2020 Restricted funds £ - - - - - - - - - - - - 3,611 - - - - - - 282 - 4,895 - - - - - - 8,788 (8,788) 9,785 997 |
2021 Total funds £ 137,100 44,109 4,738 323 5,233 191,503 122,130 1,019 4,949 8,567 760 2,016 3,739 - - 458 796 2,413 7,069 3,140 644 2,838 1,160 1,376 660 420 69 362 164,585 26,918 26,339 53,257 |
2020 Total funds £ 83,864 66,152 3,197 163 - 153,376 150,623 1,189 19,771 93 1,404 5,176 4,437 86 86 80 656 3,464 6,926 2,492 1,225 4,955 1,168 1,333 660 1,980 76 483 208,363 (54,987) 81,326 26,339 |
|---|---|---|---|---|
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