Charity number: 1028370
BEACHES PRE-SCHOOL
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2022
BEACHES PRE-SCHOOL
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 4 |
| Independent examiner's report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the financial statements | 8 - 17 |
BEACHES PRE-SCHOOL
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2022
Trustees Rachael Herne, Chair Elaine Tyrer, Secretary Catherine Wilson, Treasurer Sian Edwards Charity registered number 1028370 Principal office c/o Westlands CP School Beeches Close Chelmsford Essex CM1 2SB Independent examiner MHA MacIntyre Hudson Chartered Accountants Colchester Business Park Colchester Essex CO4 9YQ
Page 1
BEACHES PRE-SCHOOL
TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2022
The Trustees present their annual report together with the financial statements of the Charity for the year 1 September 2021 to 31 August 2022.
Objectives and activities
Purpose and objectives
The purpose and objective of the Pre-School, as per its Constitution, is to advance the development and education of children primarily under statutory school age by:
a) encouraging parents to understand and provide for the needs of their children through community groups b) offering appropriate play, education and care facilities, family learning and extended hours groups, together with the right of parents to take responsibility for and to become involved in the activities of such groups, ensuring that such groups offer opportunities for all children whatever their race, culture, religion, means or ability
c) encouraging the study of the needs of such children and their families and promoting public interest in and recognition of such needs in the local areas
d) instigating and adhering to and furthering the aims and objects of the early years learning alliance
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)'.
Main activities undertaken to acheive objects and to further the Charity's purposes for the public benefit
The Charity provides a Pre-School environment to enable the development and education of the children that attend. This is acheived by:
a) offering appropriate play facilities and training courses, ensuring opportunities for all chlidren, regardless of race, culture, religion or means.
b) encouraging the study of the needs of such children and their families and promoting public interest in and recognition of such needs in the local area.
c) instigation and adhering to and furthering the aims of the early years learning alliance.
Achievements and performance
Main achievements of the Charity
During the period the Charity operated a Pre-School group on five days a week during term times, offering a choice of three different session times.
These sessions enable parents and carers access to childcare in a stimulated environment.
The sessions are run by employed, qualified staff and are supervised by an employed Pre-School supervisor.
A total of 75 children attended the Pre-School in the period across one academic year.
Volunteers on the committee held a number of fundraising activities throughout the school calendar year to raise money for improving the Pre-Schools facilities.
Page 2
BEACHES PRE-SCHOOL
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2022
Financial review
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.
Reserves policy
Reserves are held to meet the future commitments of the Pre-School and to ensure any gap in funding can be managed effectively, ensuring the activities of the Pre-School can continue as required.
It is the policy of the Pre-School to look to establish reserves that would equate to three months' running costs, this being approximately £55,000, with the level of reserves monitored by Trustees regularly.
The reserves of the Pre-School shall only be used for the purposes of the Pre-School and no payment shall be made to any member, except:
a) if that member is employed by the Pre-School b) as repayment of expenses properly incurred on behalf of the Pre-School
c) as interest at a reasonable rate on money lent to the Pre-School
One Trustee is remunerated as an employee of the Pre-School. No Trustees are remunerated for their role as a Trustee.
Financial review
Nursery grants are received from Essex County Council in respect of children over the age of 3 years. Parents of children under 3 years pay fees on a per session basis. Monies made from fundraising activities are used to provide additional facilities for the Pre-School.
During the year, the Pre-School recognised income of £195,332 (2021: £204,317). Expenditure on charitable activities of £248,156 (2021: £217,006) was incurred, resulting in a net deficit of £52,824 (2021: £12,689).
At the year-end, unrestricted funds of £61,687 (2021: £114,511) were held.
Structure, governance and management
Constitution
Beaches Pre-School is a registered charity, number 1028370, and is constituted under a Pre-School Constitution.
Methods of appointment or election of Trustees
The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Pre-School Constitution.
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BEACHES PRE4CHOOL TRUSTEES. REPORT IGONTINUEDI FOR THE YEAR ENDED 31 AUGUST 2022 Structur•• gov•rnan¢• and manag•m•nt Icontlnued) • Fln•n¢ll rl¥k manag•m•nt The Trustees hava assessed th8 major risk6 lo whi¢h the Charfty18 exposed, In particular those relatod to the operations and financfjs of thè Charlty, aThJ aro Satisfied Ihal syst8ms and procedur6$ arg In place lo milgate exposyrg lo the major risks. Statèm•nt olTru$t••' r•8n11bilII1•1 Th8 Truste are responsible for preparing the Tru$tees' report and the financial stalem8nl# in accordance applbcab law and Unlted KIn0J Atcounling Standards Iunhed Kingdom Generally Acceptsd Aceounung Praclicel. The law appllcabfe lo chariU8s tn England & Walés roqulres the Trustees to prepare finanty81 slatemgnls for ach firkinual year which give 8 true and fair view of tho stal8 of affairs of Charity and of lis nmIng re8Our and applicalSon of resources, induding its Income and 8xperKlrture, lor that perfod. In proparing tho80 financtal statements. the Trustees aro requSred to.. Sèlect Sultsblg accounting policies and then apply them wnslstenlly. obseM Ihfr methods and prIne5 of the Charities SORP IFRS 1021.. mak8 judgments and accounting estimates tha18r8 reasonable and prudont.. st8t8 whether applicable UK Accounting Standards IFRS 1021 have bgen followed, subject lo any matèrial departures disclosed and explained in the Ilnancial slalem8nls.' prepare tho financlal statoments on thè golng concam ba$ unl8 it Is InappfOPriatO to presumè that Ihe Chanty will coniinue in opfjration. The Trustees afa rèsponsib for keeping adgquale acc4)unting records that are 8ufficienl to show and explain the Charitys transactlons and dSsdose wth reasonable accuracy al any timo finaneld p0sOn of Ihe Charlty and gnablo them lo ensure Ihat tha financial statements comply wtth the Charities Act 2011, the Charity (Accounts and Reports) Regul8tOon$ 2008 and the provlsbns of the Pr&School Conslibjlion. They are also re$ponsibb for safeguarding the assets of Ihe Charity and hèn¢0 for takin9 r¢asonabl& steps for th8 prevention and doleclion of fraud and olhgr Irregularitl68. Approved ty ordor of the members of the board of TrustO8$ and signed on thefrr beham by. Slan Edw8rds Trustee Date. 2- 3_ 1023 Pag8 4
BEACHES PRE-SCHOOL
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 AUGUST 2022
Independent examiner's report to the Trustees of Beaches Pre-School ('the Charity')
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 August 2022.
Responsibilities and basis of report
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or
-
the accounts do not accord with those records; or
-
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.
Signed:
Cara Miller ACCA
Dated:
910 The Crescent, Colchester Business Park, Colchester, Essex, CO4 9YQ
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BEACHES PRE-SCHOOL
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2022
| Note Income from: Donations Charitable activities 3 Other trading activities Total income Expenditure on: Charitable activities 4 Total expenditure Net movement in funds Reconciliation of funds: Total funds brought forward 10 Net movement in funds 10 Total funds carried forward 10 |
Unrestricted funds 2022 £ 179 193,822 1,331 195,332 248,156 248,156 (52,824) 114,511 (52,824) 61,687 |
Total funds 2022 £ 179 193,822 1,331 195,332 248,156 248,156 (52,824) 114,511 (52,824) 61,687 |
Total funds 2021 £ 248 202,077 1,992 204,317 217,006 217,006 (12,689) 127,200 (12,689) 114,511 |
|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 8 to 17 form part of these financial statements.
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BEA¢HE8 PRE4CHOOL BALANCE SHEET AS AT 31 AUGUST 2022 2022 2021 Not• Flx•d as••t Tangiblo assets 18.112 18.112 Cury•nt a•ts Debtors Cash at bank and in hand 1,403 66,D95 225 IIXI.249 67,498 100,474 Credttors: amounts falling due wllhin on8 ar (5,811) (4,075) Not Currnnl aéts 61.687 96,399 Total fi•t a•s•ts 61.687 714.511 Charlty fund# Unrestriclod frjnds 10 61,687 114.511 Total fund• 61,687 174.511 The financlal 8tatem8nts wore approv and aulhorised for186u8 by the TNstee6 and nèd on thglr behaff by. Slan Edwards Trustee 2-3~ 2023 The notes ¢)n pages 8 to 17 form part of Ihesé financial 8talements. Pw7
BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
1. General information
The Charity is an unincorporated charity registered with the Charity Commission in England and Wales (Charity Registration Number 1028370) and constituted under a Pre-School Constitution, adopted 12th November 1991, and amended on 5th October 2009 and 14th October 2011.
The address of the registered office is given on the Charity information page 1 of these financial statements. The nature of the Charity's operations and principal activities are listed in the Trustees Report.
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) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Beaches Pre-School 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 financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expeniture is sufficient with the level of reserves for the Charity to be able to continue as a going concern.
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.
Grants, including government 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 investment income is recognised at the time the investment income is receivable.
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
2. Accounting policies (continued)
2.4 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 charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
2.5 Tangible fixed assets and depreciation
Tangible fixed assets are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
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, using the straight-line method.
Depreciation is provided on the following basis:
Building improvements
20% straight line
2.6 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.
2.7 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.
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
2. Accounting policies (continued)
2.8 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.
2.9 Financial instruments
The Charity does not have a material holding in complex financial instruments. The Charity only holds basic Financial Instruments. The financial assets and financial liabilities of the Charity are as follows:
Debtors - Trade debtors are basic financial instruments and are debt instruments measured at amortised cost as detailed in Note 8. Prepayments are not financial instruments.
Cash at bank – is classified as a basic financial instrument and is measured at face value.
Liabilities – grants accrued, accruals and other creditors will be classified as financial instruments, and are measured at amortised cost as detailed in Note 9. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is simply an obligation to deliver charitable services rather than cash or another financial instrument.
2.10 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.
2.11 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.
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
3. Income from charitable activities
| Unrestricted funds 2022 £ Provision of Pre-School education 193,822 Total 2021 202,077 |
Total funds 2022 £ 193,822 202,077 |
Total funds 2021 £ 202,077 |
|---|---|---|
Included in the above are government grants of £172,522 (2021: £180,193), received from Essex County Council. There were no unfulfilled commitments associated with this income at the year-end date.
4. Analysis of expenditure by activities
| Charitable activities Charitable activities |
Activities undertaken directly 2022 £ 196,133 Activities undertaken directly 2021 £ 176,271 |
Support costs 2022 £ 52,023 Support costs 2021 £ 40,735 |
Total funds 2022 £ 248,156 |
|---|---|---|---|
| Total funds 2021 £ 217,006 |
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
4. Analysis of expenditure by activities (continued)
Analysis of direct costs
| Staff costs Rent Educational toys and resources Small equipment and materials Refreshments Training Clothing Events |
Total funds 2022 £ 177,286 5,550 548 5,771 3,897 983 939 1,159 196,133 |
Total funds 2021 £ 157,212 7,400 468 4,121 3,836 1,089 1,339 806 |
|---|---|---|
| 176,271 |
Analysis of support costs
| Depreciation Cleaning Repairs and maintenance Internet and telephone Printing, postage and stationery Sundries Legal and professional Fees Subscriptions Insurance Governance costs - Independent examiners remuneration Office costs Rates |
Total funds 2022 £ 18,112 768 11,271 928 2,497 2,954 6,291 1,161 1,769 3,000 1,083 2,189 52,023 |
Total funds 2021 £ 18,112 1,028 3,723 964 1,982 1,894 5,137 1,240 1,590 2,880 60 2,125 |
|---|---|---|
| 40,735 |
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
5. Staff costs
| Wages and salaries Social security costs Contribution to defined contribution pension schemes |
2022 £ 168,825 5,135 3,326 177,286 |
2021 £ 152,187 2,857 2,168 |
|---|---|---|
| 157,212 |
The average number of persons employed by the Charity during the year was as follows:
| 2022 | 2021 | |
|---|---|---|
| No. | No. | |
| Employees | 12 | 11 |
No employee received remuneration amounting to more than £60,000 in either year.
The Trustees are considered to be the Key Management Personnel of the Charity. Further details of Trustee remuneration have been provided in Note 6 to the accounts.
6. Trustees' remuneration and expenses
During the year, no Trustees received remuneration or other benefits in fulfilling their duties as a Trustee (2021 - £NIL) .
One Trustee, Sian Edwards, received remuneration from their employment with the Charity for their role as Pre-School Manager. This remuneration was authorised by the Trustees and was allowable under the governing Constitution. The total remuneration for the period was £29,654 ( 2021: £26,041 ), with pension contributions of £711 ( 2021: £594 ).
During the year ended 31 August 2022, no Trustee expenses have been incurred (2021 - £NIL) .
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
7. Tangible fixed assets
| Cost or valuation At 1 September 2021 At 31 August 2022 Depreciation At 1 September 2021 Charge for the year At 31 August 2022 Net book value At 31 August 2022 At 31 August 2021 |
Building improve- ments £ 90,560 |
|---|---|
| 90,560 | |
| 72,448 18,112 |
|
| 90,560 | |
| - | |
| 18,112 |
8. Debtors
| Due within one year Trade debtors |
2022 £ 1,403 1,403 |
2021 £ 225 225 |
|---|---|---|
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
9. Creditors: Amounts falling due within one year
| Other taxation and social security Other creditors Accruals |
2022 £ 1,553 1,258 3,000 5,811 |
2021 £ 1,195 - 2,880 |
|---|---|---|
| 4,075 |
10. Statement of funds
Statement of funds - current year
| Unrestricted funds General Funds Statement of funds - prior year Unrestricted funds General Funds |
Balance at 1 September 2021 £ 114,511 1 September 2020 £ 127,200 |
Income £ 195,332 Income £ 204,317 |
Expenditure £ (248,156) Expenditure £ (217,006) |
Balance at 31 August 2022 £ 61,687 |
|---|---|---|---|---|
| Balance at 31 August 2021 £ 114,511 |
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
11. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Unrestricted funds 2022 £ Current assets 67,498 Creditors due within one year (5,811) Total 61,687 |
Total funds 2022 £ 67,498 (5,811) |
|---|---|
| 61,687 |
Analysis of net assets between funds - prior year
| Tangible fixed assets Current assets Creditors due within one year Total |
Unrestricted funds 2021 £ 18,112 100,474 (4,075) 114,511 |
Total funds 2021 £ 18,112 100,474 (4,075) |
|---|---|---|
| 114,511 |
12. Operating lease commitments
At 31 August 2022 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:
| Premises Not later than 1 year Later than 1 year and not later than 5 years |
2022 £ 7,400 35,150 42,550 |
2021 £ 5,550 - |
|---|---|---|
| 5,550 |
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BEACHES PRE-SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
13. Related party transactions
Other than the disclosures in Notes 5 and 6, there have been no related party transactions in either reporting period.
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