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2020-10-31-accounts

Trustees’ ` Annual Report 2019/20

T: 01206 385071 E: sailing@offshore.org.uk www.offshore.org.uk T: 01206 385071 E: sailing@offshore.org.uk www. ~~offshore.org.uk Tolken,~~ Tolken, The Lane, West Mersea, Colcheste ~~r, Essex CO5 8N~~ T The Lane, West Mersea,

- Adventures Adventures Offshore Registered Charity Number 1035015

Contents

Our Mission **(page 3) ** Financial Review Financial Review (page 16)
Our Impact **(page 5) ** Governance (page 18)
Chairperson’s Statement **(page 7) ** Trustees’ Responsibilities (page 23)
Our Volunteers **(page 14) ** Examiner’s Report (page 25)
Our Supporters **(page 15) ** Annual Accounts (page 26)
Charity Registration:1035015

Trading Name:
OFFSHORE is the trading name of “Adventures
Offshore”.

Registered Address:
Adventures Offshore
Tolken, The Lane
West Mersea
Colchester
Essex CO5 8NT

Independent Examiner:
Community 360
Winsely’s House
High Street
Colchester
Essex
CO11UG
Bankers: Barclays		 Executive Trustees:
The Trustees who served on the Board during the
year were:
Adrian Slim1 (Chairperson)
Andrew Black2 (Chairperson)
Edward Harrison3 (Treasurer)
Freddie Crane4 (Interim Treasurer)
Mark Gowers5
Mark Rendle (Secretary)
Jessica Gozzet6
John Raine
Richard Pattison
Richard Walker7
Stephen Edwards8 (Treasurer)

1.
Adrian Slim resigned 19thMarch 2022.
2.
Andrew Black was appointed 19thMarch 2022.
3.
Edward Harrison resigned 20thOctober 2020.
4.
Freddie Crane was appointed 20thOctober 2020.
5.
Mark Gowers was appointed 30thSeptember 2020.
6.
Jessica Gozzett resigned 20thMay 2020.
7.
Richard Walker resigned 31stOctober 2020.
8.
Stephen Edwards was appointed 10thJanuary 2022.

Custodian Trustees:
The following people act as custodians of the charity’s
fixed assets. They do not attend Trustee meetings and
have no responsibilityfor the runningof the charity.
Peter Camper
Bernard Meadows
Reporting period:This report coversOFFSHORE’’s Financial Year 01/11/2019 to 31/10/2020.

E: sailing@offshore.org.uk Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

www.offshore.org.uk

T: 01206 385 071

Page 2

A bit about us

OFFSHORE was founded in 1964 and we have been providing life-changing sailing adventures for over 50 years. Our origins are to be found in scouting, and we are proud to remain part of The Scout Association; in fact, we are constituted as a District within Essex County Scouts.

Our two Oyster 49 purpose-built sail training yachts (‘ Offshore Scout’ and ‘ Ocean Scout’ ) have their home port in Ipswich, a town steeped in maritime tradition, but our voyages take participants all over Europe!

Our Aims

Since inception, our aim has been to provide opportunities for young and vulnerable people to discover their sense of adventure . At the same, we help them develop transferable skills to aid their social, personal, and professional development.

Our Beneficiaries

Our target age range is 10-25 years. Many of our voyages are with Scout groups from across the UK, but we are equally happy to take non-scout groups or solo sailors on voyages. Some voyages are quite deliberately more intrepid than others; we will always tailor the duration, the destination and the programme to the needs and expectations of our beneficiaries. As for the weather…

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 3

The Adventure

Participants sail as trainees aboard our purpose built, modern sail training ships under the supervision of our experienced and qualified sea staff.

Our offshore sailing trips are residential voyages, which range from weekends away to longer offshore passages, as far away as the Baltic. The ship and its crew might be at sea, out of sight of land and in varied conditions, for several days.

Participants work together to crew the yacht in rotating watches, assisting with the sailing and the domestic chores. This can be cold, wet and tiring, and serves to forge the team into a cohesive unit. After all, we may be isolated from immediate support so we need to know that we can absolutely rely on each other.

The Environment

Life at sea is unfamiliar and testing, helping to build personal resilience and broaden participants’ horizons, as well as the courage to push beyond one’s comfort zone.

Being in such a challenging environment breaks down boundaries, creates parity between people of different backgrounds, and enhances the sense of accomplishment at the end of any activity.

We find this gives participants a greater sense of self-belief and purpose as they discover what they are capable of. Even on a weekend voyage, the skipper will aim to develop sufficient skills in the crew such that they can, under close supervision, take control of the boat, supervise the lookout, trim the sails, and tack and gybe the boat.

The aim is not necessarily to teach sailing, but to use sailing as a medium to develop values including resilience, teamwork, briefing, leadership, communication, and empathy. The changes in our beneficiaries can be quite remarkable and whether they ever sail again is almost beside the point – OFFSHORE will have achieved its goal in having developed transferable life skills in our beneficiaries, in a safe, fun yet challenging environment.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 4

Our Impact

This section of the annual report is where we would usually include the results from the feedback sheets that all voyagers complete. We are proud to find that those that sail with us step ashore leaving behind a positive, and possibly transformative, experience.

The abandonment of the 2020 season means that we have no conventional feedback to report upon. So instead, we want to share an inspiring story that concerns a member of our Young Sea Staff – after all this speaks to impact albeit of a different sort.

Young Sea Staff Scheme (YSS)

Peter Russell sailed with OFFSHORE as a young man and the skipper recognised a young man of clear potential. Accordingly, he was invited to join our Young Sea Staff Scheme. The scheme offers an opportunity to gain valuable sailing experience on bespoke courses, mentored by an experienced skipper. Young Sea Staff are supported through RYA accreditation, picking up useful certification to attest to their skills and experience.

After graduating from the scheme, Peter sailed as a mate on numerous voyages, using his youth and experience to good effect in supporting and developing our young beneficiaries, some of whom were in fact his age or perhaps older.

Peter likes a challenge; faced with Covid-19 and a gap year, he decided to fit out an old boat and sail around the UK. Setting sail from Ipswich, he completed his circumnavigation in two months, with 2,500 miles under the keel. Intrepid voyaging completed (he still dreams of solo circumnavigation, so let’s not pretend his restless spirit has found peace), he has set off to Plymouth University to study marine engineering.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT

Adventures Offshore – Registered Charity Number 1035015

Page 5

“I have so much to thank Offshore for. When I joined, I could sail a boat but I had so much left to learn. Under the guidance of the experienced skippers, I was given the skills and confidence to manage a boat, to manage a team, to get the most out of a crew when they’re cold and weary. Offshore didn’t teach me to sail, they gave me something far more valuable, they taught me to believe in myself and how to develop essential life skills in those I sail with.”

Peter Russell, Young Sea Staff

Maritime Pathways & Training Scheme (MPaTS)

Through these successes – and there are many like Peter – OFFSHORE has developed the concept of the Maritime Pathways and Training Scheme. This will take the learning from our Young Sea Staff Scheme and use it to help long term unemployed to develop skills, experience and insight that will help them secure a job in maritime industry. Some £30,000 of funding has so far been secured from our sponsors.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 6

“What a challenging year. But with the support of our volunteers, our supporters and Government programmes we have made it through 2020. We are not out of the woods, and certainly new challenges lie ahead, but I am confident we will emerge renewed and reinvigorated.”

Adrian Slim, Chairperson

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 7

Chairperson’s Statement

What a year! I pray we do not see the likes of this again. Covid-19 has brought disruption to bear across the world, and we acknowledge our pain is so much less than that which others have had to bear. Having said that, as Trustees we have a moral and statutory duty to manage the charity, not just when the sun shines but also when strong winds and a foul tide are driving us on to a lee shore.

Being forced to abandon the sailing season had a devastating impact on our finances, given that the majority of our funding comes from voyage fees. As income dried up many fixed costs remained.

Thankfully, our prudence in earlier years left us with reasonable reserves, sufficient to weather the storm in the early days.

As the situation worsened during 2020, more proactive steps were necessary, as the cash forecasts foretold a grim future. Therefore, we sadly let go two valued members of the team from Tolken through redundancy, as even usage of the furlough scheme was insufficient to stem unsustainable losses. We made a working assumption that in 2021 we would be able to generate 50% of the voyage fees received in 2019; as I write, it would

appear that assumption may yet prove unfounded, and so we continue to progress cost reduction initiatives.

And yet there’s cause to look forward with hope. Our volunteers have remained active and found new ways to support us. We have a super set of Trustees and are developing a new vision, where we work ever more closely with Essex Scouts,

whilst also continuing to develop our role with non-scout groups. The Marine Pathways Scheme seems an idea whose time has come and offers insights into future potential opportunities as we seek to strengthen the balance sheet and generate new income streams consistent with our founding principles.

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 8

Since we had no sailing in 2020 the 2019 report will feature here:

Beneficiaries

2019 saw a big increase from 292 to 402 beneficiaries joining us for an adventure. These were mostly young or vulnerable people, and they totted up 1,358 days at sea. For comparison, the world record for sailing round the world is just under 50 days… so you can imagine how much sailing that is!

Many of our beneficiaries spend at least five days on the boat at sea – and we think that is important. It takes that long for some people to come out of their shell and to break down the preconceptions people have about each other. A longer voyage also leaves people with a greater sense of accomplishment at the end and offers the opportunity to sail to places further from home.

The contrasting backgrounds of our beneficiaries is astonishing. We had some people for whom a stormy passage across the North Sea was nothing compared to hardships they had experienced previously. Others came expecting a holiday and really had to dig deep to pull their weight as part of the crew. We are particularly proud of our Young Sea Staff programme – with several of our programme graduates coming back and taking responsibility for leading the crew at sea!

Programme Review

The programme for 2019 remained relatively like 2018 – the year was a mix of UK based sailing as well as some voyages abroad.

The mainstay of the longer trips was, as usual, the Tall Ships Race, in which young people from the UK compete in the prestigious event against young people from other countries. This brings a variety of experiences and some challenging sailing conditions for the crews to contend with. This is one of the unique benefits of these journeys, which teach the young people self-reliance and team work as well as how to work under pressure.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 9

Our Vision & Mission

2019 saw us introduce a new brand, OFFSHORE , and a new tagline, ‘ #It’s Your Adventure’ . For us, this was part of ensuring that the experiences we offer remain relevant to the generation we want to help.

It is easy to imagine that a new brand means a new strategy, but we are very clear that the brand exists to support the strategy, not define it. At our core, we are still all about “developing life skills though adventurous activity” and our vision and mission remain very much the same.

Offshore as part of The Scout Association (TSA)

We are proud to be part of scouting. The Scout Association believe in preparing young people with skills for life. They encourage young people to do more, learn more and be more. Each week, they give over 460,000 young people the opportunity to enjoy fun and adventure while developing the skills they need to succeed, now and in the future. We’re talking about teamwork, leadership and resilience – skills that have helped Scouts become everything from teachers and social workers to astronauts and Olympians. They believe in bringing people together. TSA celebrate diversity and stand against intolerance, always. They are a worldwide movement, creating stronger communities and inspiring positive futures. #SkillsForLife

Although Offshore has an exclusively maritime focus, it is clear that our vision and mission are underpinned by the same core values as those held by The Scout Association. In addition, Scouting provides much of the governance and structure on which we rely, the training on important matters such as Safeguarding Children and Data Protection are first class, and voyage fees from Scout groups contribute significantly to our annual income.

T: 01206 385 071

www.offshore.org.uk

E: sailing@offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 10

The Need for What We Do

This is perhaps best illustrated by an anecdote. One young beneficiary joining a voyage aboard Offshore Scout shared that he struggled at interviews for lack of credible evidence to support his application.

During the voyage he was mentored to develop some essential transferable skills.

He learnt, for example, not just how to mobilise his team to change a foresail during the hours of darkness in pouring rain, but also how to express that accomplishment in terms of transferable skills; operational communication, problem solving, effective listening and feedback. Prospective employers may not recognise the context of the example, but they would recognise the usefulness of the skills this young person claimed as his own. We do not teach people to sail; we aim to develop transferable life skills through the medium of sail training.

Given that youth unemployment is predicted to rise to historic levels[1] , the need for our offer will prove increasingly important.

Government statistics show that there are at least 0.63 million young Not in Education, Employment or Training (NEET) in the UK[2] . This doesn’t tell the whole story either – many of the groups or individuals we work with are from disadvantaged backgrounds or have had difficult upbringings, but wouldn’t be included in these figures. The Marine Pathways Scheme, where we will take unemployed youths, offer them a short training programme offering RYA accreditation and insights into the maritime industries with the intention of assisting the transition to paid work, is an example of where we can meet a pressing social need whilst remaining true to our mission, vision and values.

1 https://www.theguardian.com/society/2020/oct/07/covid-generation-uk-youth-unemployment-settotriple-to-80s-levels

2 https://explore-education-statistics.service.gov.uk/find-statistics/neet-statistics-annual-brief/2020

T: 01206 385 071

www.offshore.org.uk

E: sailing@offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 11

Plans for the Future

Plans expressed in our 2019 report were consciously put on hold. Plans for revenue growth were of course unattainable and the focus for the Trustees shifted to ensuring they met their statutory obligations to secure the long-term future of OFFSHORE in light of an unparalleled economic crisis. We cannot know whether there will be any sailing in 2021, and indeed whether we might be forced to operate a restricted program in 2022. Such decisions are not in our gift as we are constrained by the judgements and guidance issued by The Scout Association/National Youth Agency and HM Government. We intend to continue strategic development across the four previously identified workstreams, but progress may be delayed if current difficulties continue beyond mid-2021.

Capacity

We need to expand the pool of volunteer sea staff; otherwise too great a burden is placed on a small cohort and we risk burnout amongst key volunteers. A small team of volunteers is looking to develop a training and development program for sea staff; this will develop essential skills in our current volunteers and incentivise other qualified sailors to join.

We are excited to have secured funding for our innovative Marine Pathways and Training Scheme. To deliver the program we have always recognised we may need to bring in some outside support – launching this initiative may exceed current organizational capacity.

Affordability & Accessibility

This had been the biggest area of progress in recent years. Almost 50% of our funding was raised externally in 2019, compared to 20% or less in previous years. This has allowed us to give out more bursary funding than ever before.

Fundraising has been dashed by the pandemic. When we return to ‘business as usual’ we will need to repair damaged finances and establish depleted reserves. Only when bursary funding and reserves are restored can we hope to support funding for all those unable to meet the voyage fees (through bursaries).

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 12

Safety & Sustainability

Any adventurous activity can be a high-risk activity. The Trustees want OFFSHORE to be leading the way for the sector in safety and welfare. We made big strides in 2019-2020, including a full review of our policies and setting up a Health and Safety Oversight committee.

In 2021 and beyond, the challenge is to fully embed the new policies and ensure they become business as usual, whether at sea, working on the boats ashore, or sitting in the office.

Enjoyment & Personal Development

Given that a core part of our offer is the development of transferable life skills amongst our beneficiaries we see the need to ensure consistency of approach across our volunteers.

We intend to develop a ‘beneficiary mentoring model’ identifying and developing best practice across our volunteer sea staff.

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 13

Volunteer Led… and Proud of it

Our volunteers are the real Crown Jewels of OFFSHORE - people who have volunteered countless hours and stuck by the organisation through 56 years of highs and lows.

Offshore is a volunteer led organisation, something which is unusual within the sail training sector, and we are proud of the contribution our volunteers make to the charity. We utilise volunteers wherever possible as it helps to keep the fees we charge our beneficiaries to a minimum. It takes a network of about 70 people to keep us afloat.

Goin Afloat g

Whenever they go to sea, our vessels are managed by volunteer sea staff, with each voyage having a skipper and one or two mates. Our team collectively volunteered over 500 days of their time in 2020 to take our beneficiaries sailing.

Looking after a group of young people in an unfamiliar environment is a truly enormous responsibility, so it is no surprise that our sea staff all have professional qualifications and go through a rigorous assessment and induction process with us.

Kee in Us Afloat p g

Our packed programme takes its toll on the boats, so we are lucky to have the support of a strong shore support team to help maintain them over the winter, ensure they remain in good working order, and keep us afloat – literally.

Most of our maintenance is carried out on a volunteer basis and, between them, those volunteers contributed about 1,000 hours in 2019. Support in 2020 has been constrained by Covid-19 regulations but a small team of volunteers has continued to deliver essential maintenance to ensure the boats remain in good order and can be brought back into service at very short notice.

E: sailing@offshore.org.uk Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

www.offshore.org.uk

T: 01206 385 071

Page 14

The Trustees would like to thank the following who have either directly or indirectly contributed to our 2020 season:

The Association of Sail Training Organisations (ASTO)

Adventures Offshore is a full member of ASTO, the Association of UK Sail Training Organisations.

We are grateful for the annual support ASTO provides to us, and the rest of the UK sail training community, through its Hammond Innes Fund (£11k). We use this funding to help young people have an adventure they could otherwise not afford.

We are also particularly thankful for its ‘Lifeboat’ grant to help us through the pandemic (£26k).

Mackman Full Service Branding & Marketing Agency

Mackman are the company behind our incredible new look. They donated a package that included designing our logo, brand tool kit, and website. They have also been fantastic at helping train the Trustees and office team to help us get the most out of our brand.

Their work was so good, it also led to Offshore being nominated for a Maritime Media Award – for best use of digital media.

The TK Foundation and Orange County Community Foundation

In August 2019, the engine on one of our boats suffered a serious failure which took the boat out of action for the rest of the season.

We are very grateful to the Orange County Community Foundation (funded by the TK Foundation) for a £14k donation enabling the replacement of the engine.

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 15

Finance Review

Treasurer’s Overview

Following three years of consecutive growth and improved financial performance, with income more than doubling from £66k in 2016 to £135k in 2019, the organisation experienced severe disruption due to the Covid-19 pandemic.

The result for the year was a deficit of £47k, which was £51k worse than last year (2019: £4k surplus). The negative result was driven by the reduction in sailing opportunities caused by Covid-19 restrictions, which adversely affected cruise fee income.

The Trustees have taken steps to mitigate these consequences and protect the charity as a going concern by minimising discretionary expenditure, but also ensuring that the boats are well maintained in anticipation of the resumption of sailing in 2021. This prudent approach means that the organisation is in a reasonable financial position given the current environment.

Income

Total income in 2020 of £83k was £52k worse than last year. The fall was driven by the lack of sailing caused by Covid-19 restrictions, with cruise fees declining to £2k compared to £69k last year.

Donations and gifts held up at £67k (2019: £63k), which included a Covid-19 relief grant from Colchester Borough Council (£10k), a ‘Lifeboat’ grant from the Association of Sail Training Organisations (£26k) and a grant from the Orange County Community Foundation to fund an engine replacement (£14k).

£13k of support towards salaries of £46k was received from the government’s Coronavirus Job Retention Scheme (2019: £nil).

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 16

Expenditure

Discretionary expenditure was minimised in order to weather the pandemic. Food, fuel and cruise expenses and travel expenses were £9k and £16k better than last year respectively. Equipment, sails, repairs and maintenance was £11k worse than last year due to the replacement of an engine; excluding the engine, maintenance costs have remained relatively constant thanks to favourable rates from suppliers and cost control by the refit-team.

Balance Sheet

The balance sheet remains relatively strong. The organisation wholly owns the two boats and the long-term leasehold on the office space, whilst continuing to operate without any loans, mortgages, or other long-term liabilities.

Cash reserves fell by £13k during the year due to the lack of sailing caused by the Covid-19 pandemic. However, the balance of £84k is considered enough for the organisation to meet its financial commitments even if sailing does not return for another twelve months.

Bursary Funding

In addition to cash expenses, each year bursary subsidies are provided to allow young people and vulnerable adults to take part in a life changing voyage they couldn’t otherwise afford.

This money is targeted at longer voyages (7 days or more) where the Trustees think beneficiaries gain the most. Bursary funding is also used to subsidise the “Young Sea Staff” programme, which offers beneficiaries who engage well with our programme to gain maritime qualifications and leadership skills.

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 17

Charity Structure

OFFSHORE is a trading name of Adventures Offshore – an educational charity. Adventures Offshore was registered with the Charities Commission on 16[th] March 1994 (registered charity no. 1035015).

Adventures Offshore is governed by its constitution. It is structured as an unincorporated association and a District of Essex Scouts, overseen by a board of Trustees including a District Commissioner. The members of the association are the volunteer sea staff.

Adventures Offshore began as “Scouts Offshore”, the provider of offshore sailing to The Scout Association (TSA). Working within TSA offers considerable benefits. The governance and safeguarding arrangements provided by TSA ensure we operate only to the highest standards.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 18

Who Governs Adventures Offshore?

Trustees

The Board of Trustees has ultimate responsibility for Adventures Offshore. The Board of Trustees is responsible for setting the strategic direction of the charity and the governance framework within which authority is delegated. Trustees are appointed annually at the AGM or co-opted as required by the Board of Trustees. Online training for new Trustees is provided by The Scout Association.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 19

Operations Director

The day to day running of Adventures Offshore is delegated by the governance framework to an Operations Director, who manages the office and organises the volunteers. The day to day running breaks down into two elements:

In late 2020, two members of the office were sadly made redundant as part of our cost cutting endeavours. This reduced the office staff to the Operations Director (0.8 full time equivalent) and the Operations Manager (0.6 full time equivalent).

Board Committees

During 2019 the Trustees began setting up sub-committees to consider areas of responsibility not delegated to the Operations Director. Terms of reference have been drawn up for the following:

Development of the Board structure faltered in 2020, but Trustees will push on as soon as normal operations can resume.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT

Adventures Offshore – Registered Charity Number 1035015

Page 20

Policies

This section covers some of the policies that affect the way Adventures Offshore is run. Investment Policy Pay Policy (continued)

The Trustees have the authority to invest the bursary fund and free assets as needed to support our objectives. The present investment policy is outlined below.

The free reserves are held as cash in accounts with minimal notice periods for withdrawal. Although the returns available in such accounts are poor, the Trustees have assessed the risks we face and believe that it is necessary to be able to make immediate calls on the whole reserve fund.

Circa 50% of the bursary fund is invested in the COIF Charities Ethical Investment fund, managed by CCLA Investment Management. This is a diversified fund, investing circa 50% in overseas equities, 20% in U.K. equities, and the remainder distributed equally across other asset classes. The Trustees do not anticipate calls on this fund in the near term. The remaining bursary funds are held as cash in an immediate access current account.

Pay Policy

The pay of all staff members is reviewed annually as part of the budgeting process. Pay for senior staff is set by the Board of Trustees, using benchmarking from equivalent roles in the sector. There are no employees earning over £60k p.a reporting threshold.

Adventures Offshore complies with the workplace pension requirements. Eligible staff are automatically enrolled in a defined contribution pension and receive an employer’s contribution in line with the legal minimum requirement.

The administration of payroll and pensions is outsourced to Community 360.

Risk Management Policy

The Board of Trustees is committed to the effective management of risk throughout the charity. The Trustees consider the top-down risks to Adventures Offshore at each Trustee meeting, via a dashboard of the key areas. A risk register is maintained, which considers bottom-up risks and any appropriate mitigation. Delegated committees and the operations director are responsible for bringing new risks to the attention of the Trustees.

At an operational level, sailing volunteers receive a “sailing manual”, which sets out the key expectations and policies to follow. The practical application of these policies is taught as part of volunteer inductions and assessments. Compliance is monitored by the Operations Director, who provides formal training to volunteers to improve practices as needed.

The operating policies that form the “sailing manual” are intended for review in 2021.

T: 01206 385 071

E: sailing@offshore.org.uk

www.offshore.org.uk

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 21

Reserves Policy and Going Concern Status

The Trustees aim to ensure that the charity works within its means and maintains a prudent level of reserves, sufficient to allow it to withstand unforeseen operational issues or cash flow disruption.

An updated cash reserves policy was agreed by the Trustees last year. This policy considers the level of restricted and un-restricted reserves separately.

The table below compares Offshore’s year end 2020 reserves to the range set out in the reserves policy.

Free reserves Restricted reserves
Upper Limit £104.628 £38,258
Lower Limit £85,971 £28,694
Actual Reserves £74,315 (2019: £84,347) £35,657 (2019: £37,047 )

Overall, the Board of Trustees consider that the charity has sufficient available financial resources to support operations for the coming financial year. As such the Trustees believe that the charity is a going concern and have prepared the accounts on that basis.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT

Adventures Offshore – Registered Charity Number 1035015

Page 22

Trustees’ Financial Responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations. Charity law requires the Trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice. In preparing those statements, the Trustees are required to:

Under charity law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the situation of the charity and the group, and of its, and the group’s, surplus or deficit for that period.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, and any applicable Charities (Accounts and Reports) Regulations. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 23

Statement of Disclosure to Auditors

In so far as the Trustees are aware at the time of approving our Trustees’ Annual Report:

Signed by order of the Board of Trustees:

Andrew Black (Chairperson)

Stephen Edwards (Treasurer)

E: sailing@offshore.org.uk

www.offshore.org.uk

T: 01206 385 071

Tolken, The Lane, West Mersea, Colchester, Essex, CO5 8NT Adventures Offshore – Registered Charity Number 1035015

Page 24

ADVENTURES OFFSHORE

INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 OCTOBER 2020

I report on the accounts of Adventures Offshore for the year ended 31 October 2020 which are set out on pages 26 to 33.

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 (2) of the Charities Act 2011 (The Act) but that an independent examination is needed. It is my responsibility to:

Basis of independent examiner’s Statement

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. 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 considerations of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the view given by the accounts.

Independent examiner’s statement

In the course of my examination, no material matters have come to my attention which gives me cause to believe that in, any material respect:

I 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.

Shelley-Marie Rudling FMAAT AATQB for and on behalf of: Community360

Winsley’s House, High Street, Colchester, Essex

Date 24th May 2022

25

ADVENTURES OFFSHORE

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2020

Notes
Incoming resources
Donations and legacies
2
Investment income
3
Incoming resources from charitable activities
4
Total incoming resources
Resources expended
5
Cost of generating funds
Cost of generating donations and legacies
Charitable activities
Sail training scheme expenditure
6
Total resources expended
Net (outgoing)/incoming resources
Gain on investments
7
Net movement in funds
Fund balances at 1 November 2019
Fund balances at 31 October 2020		 Unrestricted
funds
£
64,948
110
2,039		 Restricted
funds
£
15,538
-
-		 2020
2019
Total
Total
£
£
80,486
62,986
110
230
2,039
71,455
82,635
134,671
2,669
954
127,758
132,882
130,426
133,835
(47,791)
836
1,240
2,886
(46,551)
3,722
283,032
279,310
236,481
283,032
67,097 15,538
2,669
109,590		 -
18,168
112,258 18,168
(45,161)
-		 (2,630)
1,240
(45,161) (1,390)
245,985 37,047
200,824 35,657

The notes on pages 29 - 33 form an integral part of these financial statements.

26

ADVENTURES OFFSHORE

DETAILED PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 OCTOBER 2020

Income
Donations and gifts
Cruise fees
Sundry sales and courses
Annual scheme dinner receipts
CJRS scheme
Interest receivable
Expenditure
Salaries
Equipment, sails, repairs and maintenance
Food, fuel and cruise expenses
Travel expenses
Insurance - boat and travel net
Insurance - general
Rates, light and heat
Administration
Annual scheme dinner expenditure
Fundraising expenses
Bank charges
Net operational (deficit)/surplus before
depreciation
Depreciation
Gain on investments
Deficit for the year after depreciation		 £
£
£
£
67,328
62,986
1,646
69,420
273
498
120
1,537
13,158
-
110
230
82,635
134,671
45,712
37,872
35,227
23,810
8,661
17,221
2,388
18,667
6,996
6,591
3,464
3,607
972
727
7,110
5,558
98
1,311
2,669
954
348
491
,
113,644
116,809
(113,644)
(116,809)
(31,009)
17,863
(16,782)
(17,027)
1,240
2,886
(46,551)
3,722
2020
2019		 £
£
£
£
67,328
62,986
1,646
69,420
273
498
120
1,537
13,158
-
110
230
82,635
134,671
45,712
37,872
35,227
23,810
8,661
17,221
2,388
18,667
6,996
6,591
3,464
3,607
972
727
7,110
5,558
98
1,311
2,669
954
348
491
,
113,644
116,809
(113,644)
(116,809)
(31,009)
17,863
(16,782)
(17,027)
1,240
2,886
(46,551)
3,722
2020
2019
134,671
(116,809)
113,644
17,863
(17,027)
2,886
3,722

The notes on pages 29 - 33 form an integral part of these financial statements.

27

ADVENTURES OFFSHORE

BALANCE SHEET AS AT 31 OCTOBER 2020

Notes
Fixed assets
Tangible assets
11
Current assets
Debtors
12
Investments
Cash at bank and in hand
Creditors: amounts falling due within one year
13
Net current assets
Total assets less current liabilities
Net assets
Funds
Restricted funds
14
Unrestricted funds		 £
£
141,429
7,830
25,705
84,267
117,803
(22,750)
95,053
236,481
236,481
35,657
200,824
236,481
2020		 £
£
158,211
16,463
24,465
96,929
137,857
(13,036)
124,821
283,032
283,032
37,047
245,985
283,032
2019		 £
£
158,211
16,463
24,465
96,929
137,857
(13,036)
124,821
283,032
283,032
37,047
245,985
283,032
2019
283,032
283,032
37,047
245,985
283,032

The accounts were approved by the trustees on …………………………………………………….

Signed
Signed		 Date
A Black - Chairman
Date
S Edwards - Treasurer		 22/02/2022
22/02/2022

The notes on pages 29 - 33 form an integral part of these financial statements.

28

ADVENTURES OFFSHORE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

1 Accounting policies

1.1 Basis of accounting

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement on Recommended Practise 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)- (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The financial statements do not include a cash flow statement because the charity, as a small reporting entity, is exempt from the requirement to prepare such a statement under Financial Reporting Standard 1 "Cash flow statements".

1.2 Incoming resources

Donations, legacies and other forms of voluntary income are recognised as incoming resources when receivable, except insofar as they are incapable of financial measurement. Voluntary income also includes income tax recoverable.

The charity receives the benefit of work carried out by volunteers, and receives the use of facilities and equipment without charge. No value is placed on these items.

Revenue grants are credited to the income and expenditure account as received unless related to a specific purpose, when they are placed in restricted funds until used.

1.3 Resources expended

Expenditure is included in the accounts on an accruals basis.VAT is recoverable by the charity and is included with the expenditure to which it relates.

Support costs which could not be attributed directly to activities are apportioned equally between activities.

1.4 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life as follows:

Freehold land is not depreciated Freehold buildings 2% straight line Yachts 3% straight line Office equipment/Other equipment 20% straight line

1.5 Taxation

The organisation is a registered charity and, as such is exempt from corporation tax.

1.6 Investments

Realised gains and losses are taken to the Income and Expenditure Account. Investment income has been taken in to account on the basis of the due date of payment.

Short term investments shown within current assets are invested in COIF Funds Accumulation Units and are included at market value at the year end. The difference from the value at the start of the period is reflected in unrealised profit and loss during the year.

29

ADVENTURES OFFSHORE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

1.7 Foreign currency translation

Transactions denominated in foreign currencies are recorded at the rate ruling at the date of the transaction.

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. All differences are included in net outgoing resources.

2
Donations and legacies
Unrestricted
Funds
£
Donations and gifts
51,790
CJRS Scheme
13,158
64,948
3
Investment income
Unrestricted
Funds
£
Interest receivable
110
110
4
Incoming resources from charitable activities
Unrestricted
Funds
£
Cruise fees
1,646
Sundry sales and courses
273
Annual scheme dinner receipts
120
2,039
5
Total resources expended
Staff
Depreciation
Other
costs
costs
£
£
£
Costs of generating funds
Costs of generating
donations and legacies
-
-
2,669
Charitable activities
Sail training scheme -
expenditure
Activities undertaken directly
45,712
16,782
47,095
Grant funding of activities
-
-
-
45,712
16,782
49,764
6
Grants payable
Sail training scheme expenditure
Young volunteers training
Engine repair		 Restricted
Funds
£
15,538
-
15,538
Restricted
Funds
£
-
-
Restricted
Funds
£
-
Grant
Funding
£
-
-
18,168
18,168		 2020
Total
£
67,328
13,158
80,486
2020
Total
£
110
110
2020
Total
£
1,646
273
120
2,039
2020
Total
£
2,669
109,590
18,168
130,426
2020
£
4,233
-
13,935
18,168		 2019
Total
£
62,986
-
62,986
2019
Total
£
230
230
2019
Total
£
69,420
498
1,537
71,455
2019
Total
£
954
98,005
34,876
133,835
2019
£
27,190
200
-
27,390

30

ADVENTURES OFFSHORE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2020
Draft as at 18th March 2021
7 Gain on investments
COIF Investment fund - bursary		 2020
£
1,240
1,240		 2019
£
2,888
2,888

8 Trustees

None of the trustees received any remuneration during the year, but some of the trustees were reimbursed a total of £767.87 for travelling, office and cruise expenses (2019 £2,403.53).

9 Employees

Number of employees

The average monthly number of employees during the year was:

Full time employees
Part time employees
Total
Employment costs
Wages and salaries
There were no employees whose annual remuneration was £60,000 or more.		 2020
Number
-
3
3
2020
£
45,712		 2019
Number
1
2
3
2019
£
37,872

10 Key management personnel

During the year, total remuneration of £19,514.70 (2019 £18,708.38) was paid to key management personnel. The remuneration of key management personnel is decided upon and authorised by the trustees.

Tangible fixed assets
Cost
At 1 November 2019
Additions
Disposal
At 31 October 2020
Depreciation
At 1 November 2019
Charge for the year
Disposal
At 31 October 2020
Net book value
At 31 October 2020
At 31 October 2019		 Land and
buildings
£
50,000
-
-		 Yachts
£
478,624
-
-		 Office
equipment
£
2,353
-
(1,829)		 Other
equipment
£
9,037
-
(1,920)		 Total
£
540,014
-
(3,749)
50,000 478,624 524 7,117 536,265
23,833
1,000
-		 352,274
14,359
-		 2,353
-
(1,829)		 3,343
1,423
(1,920)		 381,803
16,782
(3,749)
24,833 366,633 524 2,846 394,836
25,167
26,167		 111,991
126,350		 -
-		 4,271
5,694
141,429
158,211

11 Tangible fixed assets

The building 'Tolken' was last valued by the trustees as at 1 January 1996 at £50,000.

31

ADVENTURES OFFSHORE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

12 Debtors
Other debtors
Prepayments and accrued income
13 Creditors: amounts falling due within one year
Other creditors
Deferred income
Accruals		 2020
£
6,878
952
7,830
2020
£
691
17,516
4,544
22,750		 2019
£
13,430
3,033
16,463
2019
£
-
3,328
9,708
13,036

14 Restricted Funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes.

Balance at 1
Income
ExpenditureGains/losses
November
on
2019
investments
£
£
£
£
Bursary fund
34,247
1,603
(4,233)
1,240
Young vol. training
2,800
-
-
-
Engine repair
-
13,935
(13,935)
-
37,047
15,538
(18,168)
1,240
Movements in funds		 Balance at
31 October
2020
£
32,857
2,800
-
35,657

During the year a £13,935 grant was received from Orange County and was spent on the engine repair.

15 Related parties

During the year, the operations manager, who is the charity's most senior employee, is a relation to one of the trustees. This trustee has resigned in this financial year.

The total amount paid to this employee was £19,514.70 (2019: £18,708.38) and no outstanding amounts are owed.

The trustees put conflict of interest management procedures into place in June 2017 and are confident these are still effective.

16 Going concern

The charity is operating on a going concern basis.

32

ADVENTURES OFFSHORE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2020

17 Previous Year Statement of Financial Activities

Incoming resources
Incoming resources from generating funds:
Donations and Legacies
Investment Income
Incoming resources from charitable activities
Total incoming resources
Resources expended
Cost of generating funds
Cost of generating Donations and Legacies
Charitable Activities
Sail Training Scheme Expenditure
Total resources expended
Net outgoing resources
Other recognised gains and losses
Previous year adjustments
Gains (Losses) on investment assets
Net movement in funds
Transfer between funds
Fund balances at 1 November 2018
Fund balances at 31 October 2019		 Unrestricted
funds
£
32,953
228		 Restricted
funds
£
30,033
-
30,034
-
30,034
-
34,876
34,876
(4,841)
-
2,888
(1,953)
(3,278)
42,279
37,047		 2019
Total
£
62,986
228
33,181
71,455		 63,216
71,455
104,636 134,670
954
98,006		 954
132,882
98,960 133,836
5,676
-
-		 834
-
2,888
5,676
3,278
237,031		 3,722
-
279,310
245,984 283,032

This note shows you the statement of financial activities as it was in the accounting year 31 October 2019 for comparative purposes.

33