**REGISTERED CHARITY NUMBER: 1025777** **REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS YEAR ENDED 6 AUGUST 2020 LEVEN PRE-SCHOOL** Southgates Chartered Certified Accountants Owthorne Manor 2 Hubert Street Withernsea East Yorkshire HU19 2AT **LEVEN PRE-SCHOOL** ## **CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 6 August 2020** ||**Page**| |---|---| |**Report of the Trustees**|1 to 2| |**Independent Examiner's Report**|3| |**Statement of Financial Activities**|4| |**Balance Sheet**|5| |**Notes to the Financial Statements**|6 to 9| |**Detailed Statement of Financial Activities**|10| **LEVEN PRE-SCHOOL** ## **REPORT OF THE TRUSTEES for the Year Ended 6 August 2020** The trustees present their report with the financial statements of the charity for the year ended 6 August 2020. The trustees have adopted the provisions of 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). ## **OBJECTIVES AND ACTIVITIES** The objective of the pre-school is to enhance the development and education of children from the age of 2 years old until they start primary school. This is open to all children within the local community, regardless of race, culture, religion, means or ability. The strategy for doing this is to employ trained staff and provide suitable equipment which allows the pre-school to work within the regulations and guidelines set by Ofsted. ## **ACHIEVEMENT AND PERFORMANCE** During the past year the pre-school has had a large intake of children with some leaving this year to start their education at the local primary schools. These children have left having already started to achieve many of the early learning goals. All children have been given the opportunity to learn through play, one to one learning and exploration in the enclosed nature park. The coronavirus hit at the start of 2020, and this stopped the pre-school being able to carry out the usual fundraising activities as the pre-school closed and group gatherings were not possible. We were able to carry out some fundraising events prior to this such as the photography sessions and Christmas concert. ## **FINANCIAL REVIEW** The policy of the Trustees is to aim to keep between 3 and 6 months expenditure in reserve at all times. This will enable the pre-school to keep running during the first term of the year when finances are always a struggle due to numbers of children falling. The principle funding sources are fees received from parents, ERYC early years funding for 2, 3 and 4 years old up to 5 sessions per week, fundraising by the committee and occasionally grants that are available. In 2019 it became apparent a large financial loss had been made due to fraudulent activity over several years by the previous treasurer. This treasurer was removed at the start of 2019 and extra financial policies were put in place to ensure this does not happen again. The current police investigation is still ongoing and once the outstanding debt is repaid the charity will replenish the reserves. ## **FUTURE PLANS** The Trustees plan to continue the activities outlined above in the forthcoming years subject to satisfactory funding arrangements and continued demand by the local community. The pre-school will continue to work within Ofsted Regulations. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document** The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity. The constitution, which is the governing document, specifies the aims and powers of the pre-school and states the requirements for the election and running of a committee, when the AGM should be held and ensures that proper accounting records are kept, which comply with current legislation. The Trustees are appointed at the AGM and can be parents/relatives of children who attend the pre-school, or anybody within the local community, who is not in paid employment by the pre-school. No other person can appoint a trustee. The pre-school employs a manager who is not a trustee or member of the committee and therefore cannot vote on any decisions made. ## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number** 1025777 ## **Principal address** Leven Sports Hall North Street Leven East Yorkshire HU17 5NF Page 1 **LEVEN PRE-SCHOOL** ## **REPORT OF THE TRUSTEES** ## **for the Year Ended 6 August 2020** ## **Trustees** Mrs G Barugh Mrs F Nicholson (resigned 31/8/2020) Mrs E Hutchinson B Bates (appointed 12/9/2019) (resigned 7/9/2020) Mrs H Wilkinson (appointed 12/9/2019) (resigned 16/9/2020) ## **Independent Examiner** Southgates Chartered Certified Accountants Owthorne Manor 2 Hubert Street Withernsea East Yorkshire HU19 2AT ## **FUNDS HELD AS CUSTODIAN FOR OTHERS** There are no funds held as custodian trustees on behalf of others. Approved by order of the board of trustees on 21 June 2021 and signed on its behalf by: Mrs G Barugh - Trustee Page 2 ## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF LEVEN PRE-SCHOOL** ## **Independent examiner's report to the trustees of Leven Pre-School** I report to the charity trustees on my examination of the accounts of Leven Pre-School (the Trust) for the year ended 6 August 2020. ## **Responsibilities and basis of report** As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act'). I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the 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 Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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. 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. Antony Rookes FCCA Southgates Chartered Certified Accountants Withernsea 21 June 2021 Page 3 **LEVEN PRE-SCHOOL** ## **STATEMENT OF FINANCIAL ACTIVITIES** ## **for the Year Ended 6 August 2020** |**2020**
**Unrestricted**
**fund**
Notes
**£**
**INCOME AND ENDOWMENTS FROM**
Other trading activities
2
**71,579**
**EXPENDITURE ON**
**Charitable activities**
Pre-school
**66,319**
**NET INCOME/(EXPENDITURE)**
**5,260**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**(11,336)**
**TOTAL FUNDS CARRIED FORWARD**
**(6,076) **|2019
Total
funds
£
56,207
60,933
(4,726)
(6,610)
(11,336)| |---|---| The notes form part of these financial statements Page 4 **LEVEN PRE-SCHOOL** ## **BALANCE SHEET** ## **6 August 2020** |**2020**
**Unrestricted**
**fund**
Notes
**£**
**FIXED ASSETS**
Tangible assets
6
**2,070**
**CURRENT ASSETS**
Stocks
7
**141**
Debtors
8
**750**
Cash at bank and in hand
**11,293**
**12,184**
**CREDITORS**
Amounts falling due within one year
9
**(20,330)**
**NET CURRENT ASSETS/(LIABILITIES)**
**(8,146) **
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**(6,076)**
**NET ASSETS/(LIABILITIES)**
**(6,076) **
**FUNDS**
10
Unrestricted funds
**(6,076) **
**TOTAL FUNDS**
**(6,076) **|2019
Total
funds
£
3,072
60
481
5,473
6,014
(20,422)
(14,408)
(11,336)
(11,336)
(11,336)
(11,336)| |---|---| The financial statements were approved by the Board of Trustees and authorised for issue on 21 June 2021 and were signed on its behalf by: G Barugh - Trustee The notes form part of these financial statements Page 5 **LEVEN PRE-SCHOOL** **NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 6 August 2020** ## **1. ACCOUNTING POLICIES** ## **Basis of preparing the financial statements** The financial statements of the charity, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. ## **Income** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. ## **Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. ## **Tangible fixed assets** Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |Equipment|- Straight line over 5 years| |---|---| |Fixtures and fittings|- Straight line over 10 years| |Furniture|- Straight line over 5 years| |Computer equipment|- Straight line over 5 years| ## **Stocks** Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. ## **Taxation** The charity is exempt from tax on its charitable activities. ## **Fund accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. ## **Pension costs and other post-retirement benefits** The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. ## **2. OTHER TRADING ACTIVITIES** |Fundraising events
Fees from parents
ERYC funding
Uniform sales
Job Retention Scheme grant income|**2020**
**£**
**1,357**
**9,422**
**58,592**
**277**
**1,931 **
**71,579**|2019
£
1,029
16,041
39,041
96
-
56,207| |---|---|---| Page 6 **LEVEN PRE-SCHOOL** ## **NOTES TO THE FINANCIAL STATEMENTS - continued** ## **for the Year Ended 6 August 2020** ## **3. TRUSTEES' REMUNERATION AND BENEFITS** There were no trustees' remuneration or other benefits for the year ended 6 August 2020 nor for the year ended 6 August 2019. ## **Trustees' expenses** There were no trustees' expenses paid for the year ended 6 August 2020 nor for the year ended 6 August 2019. ## **4. STAFF COSTS** The average monthly number of employees during the year was as follows: ## **5.** |Pre-school wages
No employees received emoluments in excess of £60,000.
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
**INCOME AND ENDOWMENTS FROM**
Other trading activities
**EXPENDITURE ON**
**Charitable activities**
Pre-school
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**TOTAL FUNDS CARRIED FORWARD**|**2020**
2019
**6**
6
Unrestricted
fund
£
56,207
60,933
(4,726)
(6,610)
(11,336)| |---|---| ## **6. TANGIBLE FIXED ASSETS** |Equipment
£
**COST**
At 7 August 2019
**6,116**
Additions
**100**
At 6 August 2020
**6,216**
**DEPRECIATION**
At 7 August 2019
**5,967**
Charge for year
**94 **
At 6 August 2020
**6,061 **
**NET BOOK VALUE**
At 6 August 2020
**155**
At 6 August 2019
149|Fixtures
and
Computer
fittings
Furniture
equipment
£
£
£
**13,404**
**1,016**
**1,076**
**-**
**-**
**-**
**13,404 **
**1,016**
**1,076**
**10,481**
**1,016**
**1,076**
**1,008**
**-**
**-**
**11,489**
**1,016**
**1,076**
**1,915**
**-**
**-**
2,923
-
-|Totals
£
**21,612**
**100**
**21,712**
**18,540**
**1,102 **
**19,642**
**2,070**
3,072| |---|---|---| Page 7 **LEVEN PRE-SCHOOL** ## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 6 August 2020** ## **7. STOCKS** |**7.**|**STOCKS**|||| |---|---|---|---|---| ||||**2020**|2019| ||||**£**|£| ||Stocks||**141**|60| |**8.**|**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||| ||||**2020**|2019| ||||**£**|£| ||Other debtors||**246**|-| ||Prepayments||**504 **|481| ||||**750**|481| |**9.**|**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**|||| ||||**2020**|2019| ||||**£**|£| ||Trade creditors||**1,800**|1,560| ||Taxation and social security||**17,744**|18,237| ||Other creditors||**786**|625| ||||**20,330**|20,422| |**10.**|**MOVEMENT IN FUNDS**|||| ||||Net|| ||||movement|At| |||At 7.8.19|in funds|6.8.20| |||£|£|£| ||**Unrestricted funds**|||| ||General fund|**(11,336)**|**5,260**|**(6,076)**| ||**TOTAL FUNDS**|**(11,336) **|**5,260**|**(6,076) **| ||Net movement in funds, included in the above are as follows:|||| |||Incoming|Resources|Movement| |||resources|expended|in funds| |||£|£|£| ||**Unrestricted funds**|||| ||General fund|**71,579**|**(66,319)**|**5,260**| ||**TOTAL FUNDS**|**71,579**|**(66,319) **|**5,260**| ||**Comparatives for movement in funds**|||| ||||Net|| ||||movement|At| |||At 7.8.18|in funds|6.8.19| |||£|£|£| ||**Unrestricted funds**|||| ||General fund|(6,610)|(4,726)|(11,336)| ||**TOTAL FUNDS**|(6,610)|(4,726)|(11,336)| Page 8 **LEVEN PRE-SCHOOL** ## **NOTES TO THE FINANCIAL STATEMENTS - continued** ## **for the Year Ended 6 August 2020** ## **10. MOVEMENT IN FUNDS - continued** Comparative net movement in funds, included in the above are as follows: ||Incoming|Resources|Movement| |---|---|---|---| ||resources|expended|in funds| ||£|£|£| |**Unrestricted funds**|||| |General fund|56,207|(60,933)|(4,726)| |**TOTAL FUNDS**|56,207|(60,933)|(4,726)| A current year 12 months and prior year 12 months combined position is as follows: |Net
movement
At 7.8.18
in funds
£
£
**Unrestricted funds**
General fund
(6,610)
534
**TOTAL FUNDS**
(6,610)
534|At
6.8.20
£
(6,076)
(6,076)| |---|---| A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows: ||Incoming|Resources|Movement| |---|---|---|---| ||resources|expended|in funds| ||£|£|£| |**Unrestricted funds**|||| |General fund|127,786|(127,252)|534| |**TOTAL FUNDS**|127,786|(127,252)|534| ## **11. RELATED PARTY DISCLOSURES** There were no related party transactions for the year ended 6 August 2020. ## **12. GOING CONCERN** The going concern of the charity is dependent on upon the continued financial support of it's creditors. There is no indication this will not continue in the future. Page 9 **LEVEN PRE-SCHOOL** ## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES** ## **for the Year Ended 6 August 2020** ||2020|2019| |---|---|---| ||£|£| |**INCOME AND ENDOWMENTS**||| |**Other trading activities**||| |Fundraising events|**1,357**|1,029| |Fees from parents|**9,422**|16,041| |ERYC funding|**58,592**|39,041| |Uniform sales|**277**|96| |Job Retention Scheme grant income|**1,931 **|-| ||**71,579**|56,207| |**Total incoming resources**|**71,579**|56,207| |**EXPENDITURE**||| |**Charitable activities**||| |Wages|**56,192**|50,955| |Pensions|**586**|109| |Rent|**3,068**|3,250| |Insurance|**732**|625| |Subscriptions|**431**|433| |Telephone|**641**|843| |Administration|**244**|73| |Advertising|**145**|135| |Fruit|**-**|99| |Consumables|**560**|324| |Equipment|**510**|319| |Uniforms|**350**|174| |Training|**100**|112| |Cleaning|**139**|177| |Activities|**275**|638| |Repairs and renewals|**60**|-| |Depreciation of tangible fixed assets|**1,103**|1,083| ||**65,136**|59,349| |**Support costs**||| |**Governance costs**||| |Accountancy|**600**|1,224| |Professional fees|**-**|360| |Payroll expenses|**583**|-| ||**1,183**|1,584| |Total resources expended|**66,319**|60,933| |**Net income/(expenditure)**|**5,260**|(4,726)| This page does not form part of the statutory financial statements Page 10