Registered number: 02688742 Charity number: 1018750
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report and financial statements for the year ended 31 March 2021
Drive Forward Foundation
(A company limited by guarantee)
Contents
| Page | |
|---|---|
| Reference and administrative details of the charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 8 |
| Independent auditor's report on the financial statements | 9 - 12 |
| Statement of financial activities | 13 |
| Balance sheet | 14 |
| Statement of cash flows | 15 |
| Notes to the financial statements | 16 - 30 |
Drive Forward Foundation
(A company limited by guarantee)
Reference and administrative details of the charity, its Trustees and Directors and advisers for the year ended 31 March 2021
| Trustees and Directors | Guy de Selliers de Moranville, Chair (resigned 8 October 2020) |
|---|---|
| Tracey Lee, Chair | |
| Helen McAnally (resigned 4 June 2020) | |
| Clive Pitts, Treasurer (appointed 7 January 2021) | |
| Maggie Collier | |
| Damian Dwerryhouse (resigned 28 May 2020) | |
| Jordan Morgan | |
| Marie Broad | |
| Oliver McTernan (appointed 6 June 2020) | |
| Anthony Simpson (appointed 9 April 2021) | |
| Company registered number 02688742 Charity registered number 1018750 Registered office 14-15 Lower Marsh London SE1 7RJ Chief executive officer Anton Babey Independent auditor Kreston Reeves LLP Chartered Accountants Montague Place Quayside Chatham Maritime Chatham Kent ME4 4QU Bankers HSBC Bank PLC 69 Pall Mall London SW1Y 5EY |
Page 1
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report for the year ended 31 March 2021
The Trustees present their annual report together with the audited financial statements of the charity for the 1 April 2020 to 31 March 2021. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the charity qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
Objectives and activities
a. Policies and objectives
The objectives of Drive Forward are to:
-
Increase the number of Care Leavers who have access to our service
-
Become the leading provider of employment services for Care Leavers in London with a sustainable business model in place that enables growth
-
Increase our reach to change more lives and develop a product that is replicable nationally
-
Influence and innovate within the care leaver arena
-
Continue to develop client-centred programmes and services
Policies are reviewed annually to assess their appropriateness for the Charity. This review also considers the relevant changes in legislation.
The activities of Drive Forward have remained true to the core mission, vision and purpose, to empower care leavers aged 16-26 in London to achieve their full potential, supporting them into sustainable employment, further education or training. Our approach is based on tailored 1-2-1 support, close relationships to employers and employability skills training. Underpinned by individual career guidance, our programmes cater for a broad spectrum of clients, having diverse needs and aspirations. Depending on the individual’s level of personal situation, experience and qualifications, we focus on building motivation and confidence, developing specific skills and building professional networks. Furthermore, our corporate partners enable us to offer exclusive, ring fenced work experience and employment opportunities to our clients. These partners also understand the benefits of recruiting young people who bring diverse skills and experience to their workplaces.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
Achievements and performance
a. Key performance indicators
Drive Forward continues to track engagement levels, young people into work, work placements, further education and training.
Page 2
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
Achievements and performance (continued)
b. Review of activities
Drive Forward worked with 471 young people during the course of the year. During this period, we have transitioned 114 into employment and another 29 into further education and training. Additionally, Drive Forward has placed 34 young people into work placements and internships.
We have worked with young people from 24 London boroughs, received support from 94 volunteers and have collaborated with 44 corporate partners.
c. Fundraising activities and income generation
Drive Forward has successfully delivered service contracts for local authorities in Lambeth, Enfield, West London Alliance, Haringey and for the Greater London Authority. In addition the Charity also continued to be funded by Trusts and Foundations during the year.
d. Review of operations
At Drive Forward Foundation, we believe in the potential for all young people to achieve their career goals and succeed in life. Our staff and partners are dedicated to creating opportunities for care-experienced young people that support their professional and personal growth, ensuring that they gain the skills and tools needed to fulfil their career ambitions.
This is why we put such an emphasis on 1-2-1 work with our young people and promote a relational working approach based on trust and understanding. We aim to create a real connection with the young people we work with, allowing us to better comprehend their needs, desires and aspirations.
We understand how important it is to acknowledge and understand the entirety of a person’s character and circumstances in order to be able to give them the most effective form of support and help. By creating and developing connections, our Employment Consultants can harness their energy and time into pathways and opportunities that can lead to substantial outcomes.
With the commitment to provide the best possible support to each young person, our Employment Consultants take the time to identify suitable training and job opportunities that match each individual’s personal and career plans. That could be anything from taking part in one of Drive Forward’s activities or applying to go to university.
We understand that the needs of young care leavers are often complex, therefore we aim to eliminate delays in support so that their circumstances are clear and opportunities available. To facilitate young people’s access to tailored 1-2-1 support and to encourage more active engagement in the activities we offer, we have established four highly successful service delivery hubs across London. Young people in Enfield, Haringey, Camden, Lambeth, and Hillingdon are able to access, at the same time, services from Leaving Care Teams, JobCentre Plus, and Drive Forward, all combined under one roof. This model has allowed us to work more efficiently and create a valuable and accessible support network around each individual. We are attempting to make it so all of their needs can be addressed in one visit.
Page 3
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
Achievements and performance (continued)
Corporate Partnerships
Strong corporate partnerships have always been a strong element of Drive Forward’s approach to helping careexperienced individuals successfully move into sustainable employment. Whilst our Employment Consultants can provide young people with the knowledge and the tools they need to get a foot in the door, it is the tremendous efforts and support of the businesses working with us that truly enable individuals to succeed in the world of work.
By providing quality work experience and ring-fenced job opportunities for beneficiaries, our partners enable them to experience diverse workplaces and environments, as well as gain exposure to a range of different career paths available across industries.
We’re proud to have established a highly diverse network of partnerships spanning across sectors and industries; and our network is still growing. The opportunities they provide, from work experience, to full time jobs, to skilled volunteer support and industry insight days, are pivotal in helping individuals succeed in their careers.
We know that all our partners have the best interests of the young people at heart and are eager to provide them with the best possible experience and support. To help them achieve this, we’ve developed a bespoke training package aimed at increasing their understanding of care experience and what measures they can put in place in order to provide the best possible support to young people going into their businesses.
Furthermore, to support our goal of creating a shift in how employers approach recruitment and enable a more diverse range of people to access opportunities, we have built a care leaver and diversity friendly business community. To this purpose, we hold a minimum of three networking and learning events per year.
In an effort to deliver more ring-fenced opportunities for our young people, we have collaborated with the civil service to offer ring-fenced internships across multiple departments. From the Department of Education, to the Ministry of Defense, to the Department for Digital, Culture, Media and Sport, all of them share the government’s ambition to become the most inclusive and diverse employer in the UK. To make these opportunities more accessible, individuals don’t need to have any previous qualifications to apply.
Last year, over 50 young people working with Drive Forward were offered 12-months paid internship opportunities within the civil service. Whilst some of them were recent graduates, the majority of them had limited or no qualifications at all. These young people succeeded not because of their outstanding grades, above average talent or distinguished connections; they succeeded because they put in the time and energy to understand the opportunity in front of them, tailor their written applications to the job and practice their interview skills in order to impress a critical panel. They succeeded because they had the drive to succeed and progress in their lives.
Early Intervention
In 2019, Drive Forward further embarked on an exciting new journey of expanding its reach, working with lookedafter children aged 13+. With the support of two London livery companies, we were able to introduce two bespoke programmes aimed at children aged 13-14 (Compass) and 15-16 (Breakthrough). Both programmes have been designed to work with about 100 individuals in total over a period of three years. Compass began the three year period supporting children aged 13-14 to develop key personal and practical skills to successfully pursue their aspirations. By the same token, Breakthrough worked with 14-16-year olds to foster self-belief, aspiration and an understanding of thinking patterns enabling them to create positive futures for themselves. Both programmes are further supported by our corporate engagement team looking at developing strategic business partnerships to offer project participants exclusive experiences and opportunities.
It is our intention that these programmes will help mitigate the issues we so often see in our young people as they transition from the care system.
Page 4
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
Achievements and performance (continued)
Policy Forum
The Policy Forum was established in 2016/17 in response to the repeated neglecting of care-experience in the development and implementation of relevant policies. Made up of passionate individuals eager to drive positive policy change for all looked-after children and care leavers in the UK, the group has since built valuable relationships with organisations around the country. The group currently counts over 60 members, including those located outside London in other parts of the UK.
The group represents the voices of care-experienced people regularly in meetings, focus groups and consultations with MPs, Ministers, and relevant decision-makers. Key results for this year was the campaign which led to changes in legislation to prevent criminalization of young people in care.
The Forum has also decided upon its next key campaign, as the members continue their work to imbed mental health professionals into local authority leaving care teams.
Over the next year, the group aims to engage more members across the country, develop their own public identity, deliver bespoke training to barristers and guidance for the CPS on working with care-experienced young people, whilst developing their own skills and knowledge around community organising, storytelling and effective policy influencing.
Counselling and Advocacy
Based on our experience with young people having limited or no access to statutory services, Drive Forward introduced an advocacy and counselling service in September 2019 so that care-experienced young people can take control over their lives, overcome the challenges they face and move towards a meaningful career and ultimately independence.
After a successful pilot spearheaded by a care-experienced qualified social worker and counsellor, we have expanded the project and recruited an additional volunteer to develop the service and provide additional support.
Financial review
a. Financial
With the onset of the pandemic, the charity sought to reduce its reliance upon payment by results funding, as it was not certain that the organisation would be able to continue to sustain young people in employment due to the instability of the labour market. However, we were still able to achieve impressive results, with our contract in Lambeth Local Authority delivering above target based upon pre-pandemic levels of outcomes.
We retained all of our staff, with only one person furloughed for a period of 3 months due to their role and the difficulty in remote delivery. We were also able to secure new sources funding and importantly, secured a grant to have our services evaluated over the next 2 years to prove our model as a best practice example of transitioning disadvantaged young people into sustainable employment.
We enter the next financial year in a strong position, and now have strong cash reserves to protect the charity from market and environment uncertainty, whilst being able to recruit more employment consultants to increase the numbers of beneficiaries supported. We also plan to change our database to increase efficiency of reporting and aid our evaluation and monitoring needs.
Page 5
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
b. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
c. Principal risks and uncertainties
The principal risk and uncertainty surrounding the Charity is concerned with its business development and the funding transition from Trust and Foundation to Statutory funding.
The other risk is the ability of the organisation to successfully deliver statutory contracts, which will also present challenges to managing cash flow and balancing the delivery of service and achievement of outcomes with the delays in payment. This will require careful negotiation of contracts and operational management.
d. Reserves policy
Drive Forward is currently dependent on a wide number of sources of funding, both statutory and Trust and Foundations to sustain its activities. This reduces risk in terms of potential lost funds, however, there is still a risk involved. To avoid closure if funding difficulties were to happen the Trustees believe the minimum level of reserves should be the equivalent of 6 months operating costs. This has been increased from 3 months during the year to reflect the uncertainty and risks related to the pandemic. The purpose of maintaining this level of reserves is to ensure the continuity of our programmes and services to our existing clients should there be delays in payment by public sector funders or the transfer of anticipated donations.
The main concerns of the board are to ensure:
-
that staff can continue working, whilst the charity secures funding
-
that our clients are supported
The level of reserves should be calculated and monitored every month by the Treasurer and CEO. This policy will be reviewed yearly and whenever there are significant changes.
Structure, governance and management
a. Constitution
Drive Forward Foundation is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 18 February 1992. The charity is a registered charity, number 1018750.
The principal object of the charity is to assist young people leaving the care system to achieve sustainable living through sustainable employment.
b. Methods of appointment or election of Trustees
The governance of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association. A regular audit is carried out to ensure that the charity maintains the correct skills in order to gain maximum benefit. The last skills audit took place in July 2020.
Page 6
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
Structure, governance and management (continued)
c. Organisational structure and decision-making policies
The Governance of the organisation is broken down into two core bodies, the Board of Trustees and the Management Team.
Core functions of the Board of Trustees are:
-
To ensure that the charity remains true to its mission and values
-
To support the determination of its strategy
-
To act as the point of final accountability for its actions and those of its representatives and staff
-
• To safeguard its assets
-
Liaison between the organisation and the outside world: providing a conduit for information and ideas, representing it and acting as an ambassador for it
-
Act as a pool of expertise and advice, making this available to staff and volunteers
-
• Line manage the CEO
In the exercise of this responsibility, the authority for day to day management and control of the charity, and the establishment of policies and procedures and other operations of the organisation, are delegated to the CEO and Senior Management Team. This delegation of authority requires that the Board relies on the judgment and decisions of those who operate under its authority.
Plans for future periods
The next year will see the start of our two-year evaluation and monitoring project funded by Youth Futures Foundation, which will enable the charity to prove its model of work. We will need two new employment consultants to deliver this work, and we will also be hiring a communications manager to increase our visibility and build relationships with different audiences. We also plan to hire a care-experienced young person as part of the government Kickstart initiative into a role within the corporate engagement team. Our data capture needs have changed as an organisation over the past few years, and our growth has necessitated purchase of a new database which is fit for the future, which is hoped to be in place by October 2021.
We are also going into our final year of our Early Intervention project pilots, Breakthrough and Compass, and we will be looking at consolidating our offer based on what has worked in the respective programmes before we seek funding for this part of our work.
COVID-19
At the time of signing the accounts the Trustees are aware of the potential economic and social effects of the COVID-19 virus outbreak. The full impact of the pandemic on the UK economy is yet to be seen, but the Charity will continue to seek to mitigate this risk by following the UK Government’s guidelines and adapting/developing its own internal strategy.
Page 7
Drive Forward Foundation
(A company limited by guarantee)
Trustees' report (continued) for the year ended 31 March 2021
Statement of Trustees' responsibilities
The Trustees (who are also the directors of the 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).
Company law requires the Trustees to prepare financial statements for each financial . 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 charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgments and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Disclosure of information to auditor
Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:
-
so far as that Trustee is aware, there is no relevant audit information of which the charity's auditor is unaware, and
-
that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
Auditor
The auditor, Kreston Reeves LLP, has indicated his willingness to continue in office. The designated Trustees will propose a motion reappointing the auditor at a meeting of the Trustees.
Approved by order of the members of the board of Trustees and signed on their behalf by:
Tracey Lee Chair of Trustees
Date: 14/10/2021
Page 8
Drive Forward Foundation
(A company limited by guarantee)
Independent auditor's report to the Members of Drive Forward Foundation
Opinion
We have audited the financial statements of Drive Forward Foundation (the 'charity') for the year ended 31 March 2021 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charitable company's affairs as at 31 March 2021 and of its incoming resources and application of resources, including its income and expenditure for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
Page 9
Drive Forward Foundation
(A company limited by guarantee)
Independent auditor's report to the Members of Drive Forward Foundation (continued)
Other information
The other information comprises the information included in the Annual report other than the financial statements and our Auditor's report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the Trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements.
-
the Trustees' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' report.
We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of Trustees' remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit; or
-
the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' report and from the requirement to prepare a Strategic report.
Responsibilities of trustees
As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
Page 10
Drive Forward Foundation
(A company limited by guarantee)
Independent auditor's report to the Members of Drive Forward Foundation (continued)
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
-
Discussions with management and assessment of known or suspected instances of non-compliance with laws and regulations (including health and safety) and fraud; and
-
Assessment of identified fraud risk factors; and
-
Challenging assumptions and judgements made by management in its significant accounting estimates; and
-
Performing analytical procedures to identify any unusual or unexpected relationships, including related party transactions, that may indicate risks of material misstatement due to fraud; and
-
Confirmation of related parties with management, and review of transactions throughout the period to identify any previously undisclosed transactions with related parties outside the normal course of business; and Reading minutes of meetings of those charged with governance; and
-
Review of significant and unusual transactions; and
-
Identifying and testing journal entries, in particular any manual entries made at the year end for financial statement preparation.
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
-
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
-
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion of the effectiveness of the charitable company's internal control.
-
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees.
-
Conclude on the appropriateness of the Trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charitable company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in my Auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of my Auditor's report. However, future events or conditions may cause the charitable company to cease to continue as a going concern.
-
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we
Page 11
Drive Forward Foundation
(A company limited by guarantee)
Independent auditor's report to the Members of Drive Forward Foundation (continued)
identify during our audit.
Use of our report
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.
Susan Robinson BA FCA MCMI FCIE DChA (Senior statutory auditor) for and on behalf of
Kreston Reeves LLP Chartered Accountants Statutory Auditor Chatham Maritime
Date:
Page 12
Drive Forward Foundation
(A company limited by guarantee)
Statement of financial activities (incorporating income and expenditure account) for the year ended 31 March 2021
| Note Income from: Donations and legacies 3 Investments 4 Total income Expenditure on: Raising funds 5 Charitable activities 6 Total expenditure Net income before other recognised gains/(losses) Net gains / (losses) on investments Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2021 £ 707,151 33 707,184 7,557 253,791 261,348 445,836 42 445,878 232,798 445,878 678,676 |
Restricted funds 2021 £ 472,003 - 472,003 - 443,002 443,002 29,001 - 29,001 184,552 29,001 213,553 |
Total funds 2021 £ 1,179,154 33 1,179,187 7,557 696,793 704,350 474,837 42 474,879 417,350 474,879 892,229 |
Total funds 2020 £ 989,038 30 989,068 11,439 719,676 731,115 257,953 (32) 257,921 159,429 257,921 417,350 |
|---|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 16 to 30 form part of these financial statements.
Page 13
Drive Forward Foundation
(A company limited by guarantee) Registered number: 02688742
Balance sheet as at 31 March 2021
| Note Fixed assets Tangible assets 11 Investments 12 Current assets Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total net assets Charity funds Restricted funds 15 Unrestricted funds 15 Total funds |
42,806 880,859 923,665 (36,113) |
2021 £ 3,694 983 4,677 887,552 892,229 213,553 678,676 892,229 |
54,832 394,240 449,072 (37,455) |
2020 £ 4,792 941 |
|---|---|---|---|---|
| 5,733 411,617 |
||||
| 417,350 | ||||
| 184,552 232,798 |
||||
| 417,350 |
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Tracey Lee Chair of Trustees
Date: 14/10/2021
The notes on pages 16 to 30 form part of these financial statements.
Page 14
Drive Forward Foundation
(A company limited by guarantee)
| Statement of cash flows for the year ended 31 March 2021 Note Cash flows from operating activities Net cash used in operating activities 18 Cash flows from investing activities Dividends, interests and rents from investments Purchase of tangible fixed assets Net cash used in investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 19 The notes on pages 16 to 30 form part of these financial statements |
2021 £ 487,409 33 (823) (790) 486,619 394,240 880,859 |
2020 £ 285,278 31 (1,549) (1,518) 283,760 110,480 394,240 |
|---|---|---|
Page 15
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
1. General information
Drive Forward Foundation is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 18 February 1992. The charity is a registered charity, number 1018750.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Drive Forward Foundation 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.
2.2 Going concern
The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the Charity's ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.
Whilst the impact of the COVID-19 pandemic has been assessed by the Trustees, so far as is reasonably possible, due to its unprecedented impact on the worldwide economy it is difficult to evaluate with any certainty the potential outcomes on the Charity's future activities. However, taking into consideration the Charity's level of reserves, the Trustees believe that the Charity will be able to continue in operational existence for the foreseeable future.
Page 16
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
2. Accounting policies (continued)
2.3 Income
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 income receivable can be measured reliably.
The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the charity, can be reliably measured.
Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
2.4 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
2.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on raising funds includes all expenditure incurred by the charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the charity's objectives, as well as any associated support costs.
Page 17
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
2. Accounting policies (continued)
2.6 Tangible fixed assets and depreciation
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of financial activities incorporating income and expenditure account.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, on the following basis:
- Office equipment 5 - 10 years
2.7 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of financial activities.
2.8 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
2.9 Cash at bank and in hand
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
2.10 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.
Page 18
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
2. Accounting policies (continued)
2.11 Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
2.12 Pensions
The charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the charity to the fund in respect of the year.
2.13 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
3. Income from donations and legacies
| Unrestricted funds 2021 £ Donations 98,475 Grants 606,768 Similar incoming resources 1,908 707,151 Total 2020 541,228 |
Restricted funds 2021 £ - 472,003 - 472,003 447,810 |
Total funds 2021 £ 98,475 1,078,771 1,908 1,179,154 989,038 |
Total funds 2020 £ 83,033 902,835 3,170 |
|---|---|---|---|
| 989,038 | |||
Page 19
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
4. Investment income
| Unrestricted funds 2021 £ Bank interest 33 Total 2020 30 |
Total funds 2021 £ 33 30 |
Total funds 2020 £ 30 |
|---|---|---|
5. Expenditure on raising funds
Fundraising trading expenses
| Unrestricted funds 2021 £ Travel, accommodation and general expenses 23 Advertising and publicity including website 1,777 Wages and salaries 5,000 Social security costs 530 Pension costs 227 7,557 Total 2020 11,439 |
Total funds 2021 £ 23 1,777 5,000 530 227 7,557 11,439 |
Total funds 2020 £ - 4,444 6,000 709 286 |
|---|---|---|
| 11,439 | ||
Page 20
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
6. Analysis of expenditure on charitable activities
Summary by fund type
| Unrestricted funds 2021 £ Charitable activities 253,791 Total 2020 412,222 |
Restricted funds 2021 £ 443,002 307,454 |
Total funds 2021 £ 696,793 719,676 |
Total funds 2020 £ 719,676 |
|---|---|---|---|
7. Analysis of expenditure by activities
| Charitable activities Total 2020 Analysis of direct costs Wages and salaries Youth programme Other programme costs Advertising and publicity Travel and entertainment General administrative expenses Telephones Consultancy and training Rent, rates and services |
Direct costs 2021 £ 615,187 605,026 |
Support costs 2021 £ 81,606 114,650 |
Total funds 2021 £ 696,793 719,676 Total funds 2021 £ 539,249 50,133 - 1,777 23 3,171 4,650 5,444 10,740 615,187 |
Total funds 2020 £ 719,676 |
|---|---|---|---|---|
| Total funds 2020 £ 521,079 41,482 45 4,444 - 7,968 4,010 9,009 16,989 |
||||
| 605,026 |
Page 21
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
7. Analysis of expenditure by activities (continued)
Analysis of support costs
| Wages and salaries Depreciation Rent, rates and services Storage charges Advertising and publicity Travel and entertainment General administrative expenses Bank charges and interest Telephones Insurance Auditors' remuneration Payroll costs Legal and professional charges Medical insurance |
Total funds 2021 £ 34,711 1,921 25,904 1,753 395 30 7,205 154 821 950 3,240 - - 4,522 81,606 |
Total funds 2020 £ 39,316 1,756 40,721 1,879 988 - 18,418 426 708 874 3,780 936 166 4,682 |
|---|---|---|
| 114,650 |
8. Auditor's remuneration
The auditor's remuneration amounts to an auditor fee of £3,780 ( 2020 - £3,500 ) , and payroll services of £936 (2020 - £780).
9. Staff costs
| Wages and salaries Social security costs Contribution to defined contribution pension schemes |
2021 £ 518,750 48,306 12,661 579,717 |
2020 £ 508,119 48,470 10,801 |
|---|---|---|
| 567,390 |
Page 22
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
9. Staff costs (continued)
The average number of persons employed by the charity during the year was as follows:
| 2021 | 2020 | |
|---|---|---|
| No. | No. | |
| Employees | 16 | 16 |
| The number of employees whose employee benefits (excluding employer pension costs) exceeded | The number of employees whose employee benefits (excluding employer pension costs) exceeded | |
|---|---|---|
| £60,000 was: | ||
| 2021 | 2020 | |
| No. | No. | |
| In the band £60,001 - £70,000 | - | 1 |
The total employment benefits including employer pension contributions of the key management personnel were £115,991 (2020: £126,640).
10. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2020 - £NIL).
During the year ended 31 March 2021, no Trustee expenses have been incurred (2020 - £NIL).
Page 23
Drive Forward Foundation
(A company limited by guarantee)
| Notes to the financial statements for the year ended 31 March 2021 11. Tangible fixed assets Cost or valuation At 1 April 2020 Additions At 31 March 2021 Depreciation At 1 April 2020 Charge for the year At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 12. Fixed asset investments Cost or valuation At 1 April 2020 Revaluations At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 |
Office equipment £ 8,772 823 |
|---|---|
| 9,595 | |
| 3,980 1,921 |
|
| 5,901 | |
| 3,694 | |
| 4,792 | |
| Unlisted investments £ 941 42 |
|
| 983 | |
| 983 | |
| 941 |
Page 24
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
12. Fixed asset investments (continued)
All the fixed asset investments are held in the UK.
The charity's investment is comprised of IM CAF Fixed Interest Fund B Income shares managed by Charities Aid Foundation.
13. Debtors
| Due within one year Trade debtors Other debtors Prepayments and accrued income |
2021 £ - 17,091 25,715 42,806 |
2020 £ 37,741 17,091 - |
|---|---|---|
| 54,832 |
14. Creditors: Amounts falling due within one year
| Other taxation and social security Pension fund loan payable Other creditors Accruals and deferred income |
2021 £ 14,193 1,990 440 19,490 36,113 |
2020 £ 30,519 1,262 680 4,994 |
|---|---|---|
| 37,455 |
Page 25
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
15. Statement of funds
Statement of funds - current year
| Unrestricted funds General Funds Restricted funds Lloyds Foundation Drapers Charitable Trust Salters City of London The London Community Foundation Clothworkers Mercers Segelman Swire CHK Foundation DfE Allen & Overy Total of funds |
Balance at 1 April 2020 £ 232,798 - 5,596 1,250 - 10,928 11,828 131,238 - 15,892 7,820 - - 184,552 417,350 |
Income £ 707,184 30,200 - - 48,250 - 51,000 125,825 35,000 31,784 40,000 99,944 10,000 472,003 1,179,187 |
Expenditure £ (261,348) (30,200) (5,596) - (32,000) (10,928) (46,601) (109,113) (35,000) (29,135) (41,153) (99,944) (3,332) (443,002) (704,350) |
Gains/ (Losses) £ 42 - - - - - - - - - - - - - 42 |
Balance at 31 March 2021 £ 678,676 |
|---|---|---|---|---|---|
| - - 1,250 16,250 - 16,227 147,950 - 18,541 6,667 - 6,668 |
|||||
| 213,553 | |||||
| 892,229 |
Page 26
Drive Forward Foundation (A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
15. Statement of funds (continued)
Statement of funds - prior year
| Unrestricted funds Restricted funds CLSA Lloyds Foundation Drapers Charitable Trust Berkeley Foundation Salters Listening Fund Carey Haslam City of London The London Community Foundation Clothworkers Mercers Segelman Swire CHK Foundation Total of funds |
Balance at 1 April 2019 £ 115,233 16,904 - 5,674 5,425 - 16,107 86 - - - - - - - 44,196 159,429 |
Income £ 541,258 - 25,000 23,616 - 5,000 - - 15,750 19,473 49,000 218,187 35,000 31,784 25,000 447,810 447,810 |
Expenditure £ (423,661) (16,904) (25,000) (23,694) (5,425) (3,750) (16,107) (86) (15,750) (8,545) (37,172) (86,949) (35,000) (15,892) (17,180) (307,454) (731,115) |
Gains/ (Losses) £ (32) - - - - - - - - - - - - - - - (32) |
Balance at 31 March 2020 £ 232,798 |
|---|---|---|---|---|---|
| - - 5,596 - 1,250 - - - 10,928 11,828 131,238 - 15,892 7,820 |
|||||
| 184,552 | |||||
| 417,350 |
Page 27
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
16. Summary of funds
Summary of funds - current year
General funds Restricted funds |
Balance at 1 April 2020 £ 232,798 184,552 417,350 Balance at 1 April 2019 £ 115,233 44,196 159,429 |
Income £ 707,184 472,003 1,179,187 Income £ 541,258 447,810 989,068 |
Expenditure £ (261,348) (443,002) (704,350) Expenditure £ (423,661) (307,454) (731,115) |
Gains/ (Losses) £ 42 - 42 Gains/ (Losses) £ (32) - (32) |
Balance at 31 March 2021 £ 678,676 213,553 |
|---|---|---|---|---|---|
| 892,229 | |||||
| Balance at 31 March 2020 £ 232,798 184,552 |
|||||
| Summary of funds - prior year | |||||
| General funds Restricted funds |
|||||
| 417,350 |
Lloyds Foundation - Funding to cover staff costs.
Drapers Charitable Trust - A one-off grant of £15,700 toward the head of Youth Engagement, working with young people leaving the care system in London to help them find sustainable careers. Berkeley Foundation - Funding for a mentoring project.
Salters - Lunch club project funding.
Listening Fund - Funding towards mentoring and ambassador projects. Carey Haslam - Donation to be spent on staff costs.
City of London - A grant towards employment consultant costs.
The London Community Foundation - a fund for an early intervention project. Clothworkers - Funding towards early intervention compass programme and salaries. Mercers - Funding towards early intervention compass programme Segelman - A grant towards employment costs and policy forum. Swire - A fund to cover corporate engagement salary.
CHK Foundation - Funding for Strategic Partnerships manager salary.
Department for Education - Funding for various projects, counselling, advocacy, mentoring, corporate engagement, communications and employement consultants.
Allen & Overy - A grant towards employment consultant costs.
Page 28
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
17. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Unrestricted funds 2021 Restricted funds 2021 £ £ Tangible fixed assets 3,694 - Fixed asset investments 983 - Current assets 710,112 213,553 Creditors due within one year (36,113) - Total 678,676 213,553 Analysis of net assets between funds - prior year Unrestricted funds 2020 Restricted funds 2020 £ £ Tangible fixed assets 4,792 - Fixed asset investments 941 - Current assets 264,520 184,552 Creditors due within one year (37,455) - Total 232,798 184,552 18. Reconciliation of net movement in funds to net cash flow from operating activities 2021 £ Net income for the year (as per Statement of Financial Activities) 474,837 Adjustments for: Depreciation charges 1,921 Dividends, interests and rents from investments (33) Decrease in debtors 12,026 Increase/(decrease) in creditors (1,342) Net cash provided by operating activities 487,409 |
Total funds 2021 £ 3,694 983 923,665 (36,113) 892,229 Total funds 2020 £ 4,792 941 449,072 (37,455) 417,350 2020 £ 257,953 1,756 (30) 2,061 23,538 285,278 |
|---|---|
Page 29
Drive Forward Foundation
(A company limited by guarantee)
Notes to the financial statements for the year ended 31 March 2021
19. Analysis of cash and cash equivalents
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Cash in hand | 880,859 | 394,240 |
20. Analysis of changes in net debt
| Cash at bank and in hand Debt due within 1 year |
At 1 April 2020 £ 394,240 (1,262) 392,978 |
Cash flows £ 486,619 (728) 485,891 |
At 31 March 2021 £ 880,859 (1,990) |
|---|---|---|---|
| 878,869 |
21. Operating lease commitments
At 31 March 2021 the charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:
| Not later than 1 year Later than 1 year and not later than 5 years |
2021 £ 51,000 - 51,000 |
2020 £ 51,000 51,000 |
|---|---|---|
| 102,000 |
22. Related party transactions
The charity has relationships with a large number of organisations and individuals who contribute funds either to support objectives or as general funding to support the administration of the charity to enable it to carry out its charitable objectives.
There were no related party transactions during the year.
23. Controlling party
In the view of the charity's legal status, the charity Trustees consider that there was no ultimate controlling party to be disclosed.
Page 30