Company Registration No. 07557678 (England and Wales)
LITTLE BEARS PRE SCHOOL
REPORT AND FINANCIAL STATEMENTS
31 AUGUST 2022
LITTLE BEARS PRE SCHOOL
CONTENTS
| Page | |
|---|---|
| Company information | 1 |
| Directors’ report | 2 - 6 |
| Independent examiner’s report | 7 |
| Statement of financial activities | 8 |
| Balance sheet | 9 |
| Statement of cash flows | 10 |
| Notes to the financial statements | 11 - 16 |
LITTLE BEARS PRE SCHOOL
COMPANY INFORMATION
| Directors and trustees | E Martch-Harry |
|---|---|
| G Peach | |
| Registered office | Little Bears Pre-School |
| Nursteed Community Primary School | |
| Brickley Lane | |
| Devizes | |
| Wiltshire | |
| SN10 3BF | |
| Accountant | B Dowdeswell |
| 76 Malmesbury Road | |
| Chippenham | |
| Wiltshire | |
| SN15 1QD | |
| Independent examiner | S Donovan |
| 3 Freeman Road | |
| Devizes | |
| SN10 3FF | |
| Charity Number | 1032470 |
| Company Number | 07557678 |
Page 1
LITTLE BEARS PRE SCHOOL
DIRECTORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2022
The directors present their annual report with the financial statements of the company for the year ended 31 August 2022.
Structure, Governance and Management
The company is limited by guarantee and is a charity registered in England and Wales. It is governed by its Memorandum and Articles of Association and is a public benefit entity.
The charity is managed by a committee of fourteen members, two of whom are trustees. The committee meets once every term and is chaired by the chairperson. Relevant papers are circulated before each meeting and minutes taken.
The trustees are responsible for the charity’s risk management and internal control systems.
Trustees are nominated and appointed by existing committee members for a period of one year and renewable by nomination for a further term of one year. It is the trustee’s intention to appoint new trustees to represent skills and interests that fully cover the scope of the nursery’s activities.
All trustees receive relevant company documentation as part of the induction programme and are kept up to date with policy news through board and trustee meetings. The trustees are responsible for the charity’s risk management and internal control systems.
Objectives and Activities
The aims of the pre-school are to enhance the development and education of children primarily under statutory school age and encouraging parents to understand and provide for the needs of their children through community groups and by;
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offering appropriate play, education and care facilities, family learning together with the right of parents 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;
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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;
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Supporting and furthering the aims and objects of the Pre-School Learning Alliance.
The Trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the future aims and objectives.
The Trustees measure the success of the year against the objectives set using financial and non-financial performance indicators. The benefits of the pre-school are assessed not only in terms of the number of places taken but also the positive impact on the children and parents themselves. The review of the year sets out the performance of the charity.
Page 2
LITTLE BEARS PRE SCHOOL
DIRECTORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2022
Review of the Year
Little Bears enjoyed another successful year. The principle objectives and activities undertaken during the year comprise:
-
Continuation of financial strength with secure contingencies in place.
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Securing all spaces available for children at the nursery to maximise local authority funding.
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Provide outstanding and ongoing play, care and education facilities to the children of the nursery.
Charitable Activities
Little Bears is a purpose built pre-school specialising in providing care, play and education facilities to preschool aged children (3 – 4 year olds). A member of the Pre-School Learning Alliance, the provision for the children’s development is guided by the Early Years Foundation Stage (EYFS). The charity is funded through the local authority, attendance fees and internal fundraising by committee members and volunteers. The website can be viewed at www.littlebearsdevizes.org.uk
The cost of providing pre-school services for the year ending 31[st] August 2021 was £80,490 which was a decrease compared with prior year costs of £85,661. 22 children attended throughout 2021-22 guided by a team of 7 qualified staff.
Ofsted have rated the quality of the provision as “outstanding”.
Helping the Wider Community
Little Bears continues to work in partnership with parents, encouraging volunteers to help with governance and various activities within the setting, working with the wider community to build relationships and help support the children and parents throughout their journey with Little Bears.
The Bristol Standard is used as a tool of continuous improvement involving staff, children and their families.
Volunteers
None of the activities of Little Bears would be possible without the help and unstinting support of our dedicated committee and volunteers. 12 volunteers engaged with Little Bears during the year.
Fundraising Activities
The committee were able to hold fundraising events during the year totalling gross income of £1,324. Fundraising is vital to the nursery as the money raised provides extra-curricular trips and activities for the children.
Page 3
LITTLE BEARS PRE SCHOOL
DIRECTORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2022
Planned fundraising for 2022-23 will include seasonal events as well as the highly successful annual sponsored sports day.
Financial Review
Little Bears reported a surplus of £3,210 on income of £83,700 for the year ended 31[st] August 2022 compared to a prior year surplus of £1,309. Fundraising income was lower than the previous year and attendance fees had fallen by £797.
Expenditure decreased by 7% from £80,077 to £85,661 due to non recurring costs in the previous year.
Reserves for Little Bears continues to show strength with the balance sheet showing net assets of £74,115 (unrestricted reserves).
Reserves policy
Restricted funds are specific to the purpose presented by the donor and are ring-fenced as such for charitable projects. The balance of restricted funds at 31[st] August 2022 is £nil (2021: £nil).
The reserves policy states a requirement of at least three months of staff costs in unrestricted reserves which currently equates to approximately £14,000. At 31[st] August 2022, the charity had unrestricted funds of £74,115.
Principle risks
The charity’s trustees have given consideration to the major risks to which the charity is exposed and satisfied themselves that systems or procedures are established in order to manage those risks. The principle risks of the charity are identified and reviewed, falling under the headings of Governance, Operations, Finances, Environmental / External, Compliance.
A brief summary of major risks identified by the nursery include (but not exhaustive):
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Ensuring a quorum of committee members and suitable individuals to take on the role as Chair.
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Changes in government funding for working parents giving uncertainty to income.
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Incremental increases in overheads.
The risks have been reviewed and appropriate mitigation and management systems put in place.
Page 4
LITTLE BEARS PRE SCHOOL
DIRECTORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2022
Future Plans
Little Bears will continue to provide outstanding nursery care, education and support to the local children and their families whilst ensuring solid and continued financial stability. This will be made possible from the continued hard work and training of the Little Bears team.
Recruitment for volunteers and new members of the committee is an ongoing factor to the success of the nursery.
There will be a focus on marketing the setting and the fantastic work the team does. By increasing our profile in the local area more parents and families will be aware of the facilities and the opportunities for their children.
Directors
The Directors in office during the period were as follows:
E Martch-Harry G Peach
Directors’ Responsibilities
The trustees 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 year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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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 proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 5
LITTLE BEARS PRE SCHOOL
DIRECTORS’ REPORT FOR THE YEAR ENDED 31 AUGUST 2022
The directors have prepared this report in accordance with the special provisions of the Companies Act 2006 relating to small companies.
On behalf of the trustees
…………………………..
E Martch-Harry Director 30 May 2023
Page 6
LITTLE BEARS PRE SCHOOL
INDEPENDENT EXAMINER’S REPORT FOR THE YEAR ENDED 31 AUGUST 2022
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed.
It is my responsibility to:
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examine the accounts under section 145 of the Charities Act,
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to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and
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to state whether particular matters have come to my attention.
Basis of independent examiner’s statement
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention
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which gives me reasonable cause to believe that in, any material respect, the requirements:
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to keep accounting records in accordance with section 130 of the Charities Act; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act
have not been met; or
- to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
………………………………. S Donovan Independent Examiner
30 May 2023
Page 7
LITTLE BEARS PRE SCHOOL
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2022
| Notes Income from: Donations Charitable activities 2 Other trading activities Other Total Expenditure on: Raising funds Fundraising costs Charitable activities 3 Total Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward |
Unrestricted Funds £ - 82,209 1,491 - 83,700 413 413 80,077 80,490 3,210 70,905 74,115 |
2022 Total £ - 82,209 1,491 - 83,700 413 413 80,077 80,490 3,210 70,905 74,115 |
2021 Total £ 270 83,006 3,564 130 |
|---|---|---|---|
| 86,970 | |||
| - | |||
| - | |||
| 85,661 | |||
| 85,661 | |||
| 1,309 | |||
| 69,596 | |||
| 70,905 |
The notes on pages 11 to 18 form part of these financial statements.
Page 8
LITTLE BEARS PRE SCHOOL
BALANCE SHEET AS AT 31 AUGUST 2022
| Notes Current assets Debtors 5 Cash at bank and in hand Liabilities Creditors: amounts falling due within one year 6 Net current assets Total assets less current liabilities The funds of the charity Unrestricted funds Restricted funds |
2022 Unrestricted £ 532 73,958 74,490 375 74,115 74,115 74,115 - 74,115 |
2022 Total £ 532 73,958 74,490 375 74,115 74,115 74,115 - 74,115 |
2021 Total £ 522 72,113 |
|---|---|---|---|
| 72,635 1,730 |
|||
| 70,905 | |||
| 70,905 | |||
| 70,905 - |
|||
| 70,905 |
The notes on pages 11 to 16 form part of these financial statements.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime and FRS102.
For the year ending 31 August 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors’ responsibilities:
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The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476,
-
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts
-
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.
Approved by the trustees on 30 May 2023 and signed on their behalf by:
……………………………… L Martch-Harry, Director
Company number - 07557678
Page 9
LITTLE BEARS PRE SCHOOL
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2022
| Note Cash used in operating activities 11 Increase / (decrease) in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Total cash and cash equivalents at the end of the year |
2022 £ 1,845 1,845 72,113 73,958 |
2021 £ |
|---|---|---|
| 978 | ||
| 978 | ||
| 71,135 | ||
| 72,113 |
Page 10
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
1 Accounting policies
- a) Basis of preparation
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Little Bears 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 note(s).
b) Going concern
These financial statements have been prepared on a going concern basis. Based on a review of expected income and cash flows over the forthcoming year the trustees are satisfied that the going concern basis is a suitable basis on which to draw up the accounts.
- c) Fund accounting
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.
Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal.
d) Incoming resources
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.
- e) Resources expended
Expenditure is included on an accruals basis and includes VAT which cannot be recovered.
- f) Fundraising
This includes those services directly attributable to the costs of generating funds plus an appropriate proportion of overheads.
g) Charitable Activities
This includes those items incurred by the charity in the delivery of its activities and services for its beneficiaries.
Page 11
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
- h) Allocation of support costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include office costs, finance, personnel, payroll and governance costs which support Little Bear’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities.
- i) Debtors
Debtors are measured at their recoverable amounts.
Page 12
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
2 Incoming resources from charitable activities
| Local authority funding Attendance fees 3 Charitable activities Staff costs Equipment and food Building repairs / improvements Trips/ activities Insurance Utilities Rates Staff training Fire alarm / safety checks Clothing OFSTED Accountancy fees IT Bank charges Advertising Rent |
2022 £ 76,551 5,658 82,209 2022 £ 63,447 5,281 1,318 626 902 3,639 267 401 185 1,364 75 475 543 64 290 1,200 80,077 |
2021 £ 77,456 5,550 |
|---|---|---|
| 83,006 | ||
| 2021 £ 60,770 7,660 6,043 908 895 3,986 37 933 185 574 75 275 853 64 1,203 1,200 |
||
| 85,661 |
4 Taxation
No provision for taxation is required as the company is a Registered Charity and all funds are applied for charitable activities.
Page 13
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
| 5 Debtors Prepayments and accrued income 6 Creditors Accruals and deferred income |
2022 £ 532 532 2022 £ 375 375 |
2021 £ 522 |
|---|---|---|
| 522 | ||
| 2021 £ 1,730 |
||
| 1,730 |
7 Related party disclosure
One trustee received remuneration for their duties as treasurer of the charity with total gross pay totalling £2,345 (2020-21: £2,197)
No other trustees have received any benefits or remuneration as consideration for their duties to the charity. There have been no trustee expenses.
8 Company limited by guarantee
The company is limited by guarantee and has two members whose liability is limited to £1 each.
Page 14
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
9 Analysis of total expenditure
| Expenditure on raising funds Fundraising events Expenditure on charitable activities Provision of pre-school services Total Support costs Wages and salaries Governance Overheads |
2022 Direct Costs 413 413 9,996 9,996 10,756 |
2022 Support Costs - - 70,081 70,081 **70,081 ** |
2022 Total 413 413 80,077 80,077 80,490 2022 £ 63,447 627 6,007 **70,081 ** |
2021 Total 396 |
|---|---|---|---|---|
| 396 85,265 |
||||
| 85,265 | ||||
| **85,661 ** | ||||
| 2021 £ 60,770 427 6,118 |
||||
| 67,315 |
Page 15
LITTLE BEARS PRE SCHOOL
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
10 Staff Costs
| Wages and salaries Other pension The average number of persons, including Executive Directors, employed by the company during the year was: Charitable activities |
2022 £ 62,651 796 63,447 2022 No's 7 7 |
2021 £ 60,085 685 |
|---|---|---|
| 60,770 | ||
| 2021 No's 6 |
||
| 6 |
No employee received employee benefits (excluding employer pension costs) of more than £60,000 during the year.
The aggregate staff cost of key personnel for the year was £27,776 (2020-21: £27,239) which include management personnel.
There were no volunteers engaged during the year.
11 Reconciliation of net movement in funds to net cash flow from operating activities
| Net movement in funds Decrease / (increase) in debtors (Decrease) / increase in creditors Net cash used in operating activities |
2022 £ 3,210 (10) (1,355) 1,845 |
2021 £ 1,309 - (331) |
|---|---|---|
| 978 |
Page 16