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2023-03-31-accounts

REGISTERED COMPANY NUMBER: 02845852 (England and Wales) REGISTERED CHARITY NUMBER: 1037084

Trustees' Report and

Audited Financial Statements for the Year Ended 30 March 2023

for

THE JERICHO FOUNDATION

THE JERICHO FOUNDATION

Contents of the Financial Statements FOR THE YEAR ENDED 30 MARCH 2023

Page
Trustees' Report 1 to 6
Report of the Independent Auditors 7 to 8
Statement of Financial Activities 9
Statement of Financial Position 10
Statement of Cash Flows 11
Notes to the Statement of Cash Flows 12
Notes to the Financial Statements 13 to 20
Detailed Statement of Financial Activities 21

THE JERICHO FOUNDATION

Trustees' Report

FOR THE YEAR ENDED 30 MARCH 2023

The Trustees, who are also directors for the purposes of company law, have pleasure in presenting their report and the financial statements for the charitable company for the year ended 30 March 2023. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland (FRS 102) (effective 1 January 2019).

STRATEGIC REPORT

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

02845852 (England and Wales)

Registered Charity number

1037084

Registered office

196-198 Edward Road, Balsall Heath Birmingham West Midlands B12 9LX

Trustees

The Trustee and officers serving during the year and since the year end were as follows:

Graham Cook (resigned 18/05/23) Martin Warner (resigned 21/07/22) Eleanor Searley Zac Dixon Colin Marsh (appointed 21/07/22) David Wickens (appointed 21/07/22) Uniqua Brown (appointed 21/07/22) James Crystal (appointed 21/07/22) Martin Robertson (appointed 18/05/23)

Banker

Unity Trust Bank 9 Brindley Place Brimingham B1 2HB

Auditors

Copia Wealth & Tax Limited Chartered Accountants Statutory Auditors 8 Pendeford Place Pendeford Business Park Wobaston Road Wolverhampton WV9 5HD

Page 1

THE JERICHO FOUNDATION

Trustees' Report FOR THE YEAR ENDED 30 MARCH 2023

PERFORMANCE FOR THE YEAR 2022/23

The 22/23 financial year was a reasonably successful year for Jericho. Whilst the impact of Covid was much less than the previous three years, we faced the new challenges of spiralling fuel and energy costs, the cost of living crisis and inflation. Despite this we achieved or exceeded most of our objectives.

Our social impact was similar to the previous year. We supported 136 beneficiaries (compared with 131 in FY21/22), of whom 100 worked in our social enterprises completing over 5700 days of supported work experience. Around 70% of all beneficiaries progressed into a positive outcome including 85% of completers and we evidenced a total social value of £1.31m (albeit we estimate we actually achieved over £2m).

Financially we performed broadly in line with budget albeit with fundraising exceeding target, whilst social enterprises were all a little behind. However overall, following the revaluations of our capital projects, we are posting a modest surplus for the year of approximately £70k which is a fantastic achievement considering all of the economic challenges of this season.

This year we are particularly proud to have successfully completed 2 major capital projects; Phase 1 at our property which has created 5 self-contained 1 bedroom flats for female survivors of domestic violence, and the Change (the) Kitchen project which provides an amazing new kitchen and café/takeaway facility to underpin Change Kitchen's expansion plans. Both projects are the result of many years of visioning, planning, fundraising and prayer. We are truly delighted with the excellent high quality spaces that Jericho Construction have created and excited about all of the people who will be helped in these facilities in the years ahead. We are also hugely grateful for our funders Severn Trent Water, Postcode Investment Trust and Edward Cadbury Trust who were the main supporters of these projects.

Much of fundraising success this year is due to the restructure of our fundraising team. We now have a team of five people, of which two are full time, including a new fundraising assistant who is funded for a year via the Rank Foundation 'Time to Shine' programme. This expanded team is enabling us to diversify our income streams to include corporate fundraising and individual giving in addition to our existing expertise with grant making trusts and Lottery. This is particularly timely as our current three year funding programmes for both Equiano Plus project working with survivors of modern slavery and our Supported Apprenticeship programmes will be coming to an end during the 23/24 financial year.

Our social enterprises mostly achieved record levels of turnover in the year but most struggled to maintain budgeted levels of profitability due to increasing operating costs and wage bills. As a result they delivered a total of approximately £100k of contribution, somewhat below last year's level of £180k, but not unreasonable given the wider economic challenges.

This year The ReUsers made its biggest ever sale, a World War Two watch that sold at auction for £3,200. We are very grateful to our excellent EBay sales supervisor who spotted this treasure amongst a bag of dozens of old watches. We are also delighted with our new recruits in Wood Shack, particularly our new retail supervisor who has taken yard sales to previously unimaginable heights. We have also built a new workshop in Wood Shack, thanks to a grant from Sutton Town Council and the support of our corporate partner Equans. This will enable us to increase our production activity as well as offer wood work training courses to local residents. Meanwhile Jericho Cleaning continued to benefit from the Commonwealth Games where they we responsible for cleaning a number of the key venues and Miracle Laundry has taken on its first survivor of modern slavery as core staff member.

Finally we are pleased to report that our new board members have settled in well during the year and have all made excellent contributions at our bi-monthly board meetings. We are also delighted to announce the appointment of Martin Robertson who joined the board as treasurer following the departure of Graham Cook who completed the financial year but stood down in May 2023 following 6 years' service. We continue to be hugely grateful for the hard work, wisdom and expertise that all of our past and current trustee board and executive team bring to Jericho. We are blessed with a truly exceptional team.

Objectives and Activities

The objects and mission statement as set out in the Memorandum of Association are:-

  1. To promote the relief of those in need, hardship, distress or other disadvantage due to youth, age, financial hardship, poverty, illness, disability or homelessness.

  2. To promote social inclusion for the public benefit by preventing people from becoming socially excluded, relieving the needs of those people who are socially excluded and assisting them to integrate into society.

For the purpose of this clause 'socially excluded' means being excluded from society, or parts of society, as a result of one of more of the following factors: unemployment; financial hardship; youth or old age; ill health (physical or mental); substance abuse or dependency including alcohol and drugs; poor educational or skills attainment; relationship and family breakdown; poor housing; crime (either as a victim of crime or as an offender rehabilitating into society).

Page 2

THE JERICHO FOUNDATION

Trustees' Report FOR THE YEAR ENDED 30 MARCH 2023

  1. The relief of unemployment for the benefit of the public in such ways as may be thought fit, including assistance to find employment.

  2. To provide facilities in the interests of social welfare for recreation and leisure time occupation, with the object of improving the conditions of life for the inhabitants of the said city.

  3. To pursue any other charitable purpose which the charity thinks fit for pursuit, in conjunction with any of the charitable purposes aforesaid which are pursued under a Christian ethos.

Mission Statement

Jericho gives the people who need it most, the break they need to feel and be more employable.

How our activities deliver public benefit

The Trustees confirm that they have complied with the duty in section 4 of the Charities Act 2006 to have due regard to the Charity Commission's general guidance on public benefit, 'Charities and Public Benefit'. Our main activities and who we try to help are described above. Our charitable activities focus on helping disadvantaged people to find solution to the problems they face and are undertaken to further our charitable purposes for the public benefit.

Strategies for achieving aims

In order to achieve our aims Jericho offers voluntary and paid work experience placements and/or apprenticeships in our social enterprise businesses (and partner enterprises) in the following vocational areas:

We also offer the following services, both to clients working in our social enterprise businesses, and to others who come to us through drop-in or outreach activities:

Advice and guidance

In addition, we train and equip churches and other faith/community groups to run employability training courses and job clubs to help unemployed people in their local areas through the Ignition Pathways Programme.

We also support start-up businesses, social enterprises and charities through our co-working and business incubation facility called Jericho Workspace.

Financial Review

Income for the year amounted to £2,312,264 (2022: £1,910,564), whilst expenditure amounted to £2,242,457 (2022: £1,831,766). This gave rise to a surplus of £69,807 (2022: £78,798) and an increase in unrestricted funds for the year to £717,244, as shown on the Statement of Financial Activities.

Total funds carried forward at 30 March 2023 are £908,438 (2022: £838,631).

Page 3

THE JERICHO FOUNDATION

Trustees' Report

FOR THE YEAR ENDED 30 MARCH 2023

Reserves Policy

The Trustees have agreed a policy to aim towards maintaining reserves at a minimum level of 3 months' essential expenditure and a maximum of 6 months' expenditure. This will allow the charity to be resilient, properly manage its finances and deal with future funding issues. This means the required level of reserves is between £422,000 and £844,000. The Trustees have also decided that the best measure of reserves for the Charity is the unrestricted funds which amounted to £717,244.

Principal Funding Sources

During the year we received £966,543 (2022: £761,987) to provide focussed support for our clients. This funding used to be primarily from statutory sources, but is now mainly grant making trusts.

Social Enterprise / trading income amounted to £1,345,721 (2022: £1,148,577), which included Wood Recycling, ReUse, and Cleaning activities. These operations provide the supported work placements for clients.

We would like to thank all of the many individuals, churches, companies and grant making trusts that funded our work during the course of the year. This includes the following:

Arnold Clark Community Fund Baron Davenport's Charity British and Foreign School Society (BFSS) Charles Brotherton Trust Communities and Housing Investment Consortium Limited Esmee Fairbairn Foundation Goldieslie Lodge Benevolent Fund Grantham Yorke Trust Greater Birmingham & Solihull Local Enterprise Partnership Harper PR H E & E L Botteley Charitable Settlement Herefordshire Community Foundation IM Properties Plc Miss Albright Grimley Charity National Lottery Community Fund - Reaching Communities Northfield Baptist Church Paul Hamlyn Foundation Postcode Innovation Trust Severn Trent Water Shoosmiths LLP Sutton Coldfield Baptist Church Sutton Coldfield Charities Team ITG The Balcombe Charitable Trust The Beatrice Laing Trust The Bernard Piggott Charitable Trust The Edward Cadbury Trust The Eric W Vincent Trust Fund The Eveson Charitable Trust The George Henry Collins Charity The Hedley Foundation The Hosking Charitable Trust The Joseph Hopkins & Henry James Sayer Charity The Lillie C Johnson Charitable Trust The Michael Marsh Charitable Trust The Rank Foundation The Roger & Douglas Turner Charitable Trust The Rowlands Trust The Saintbury Trust The Sparkhill Trust

Page 4

THE JERICHO FOUNDATION

Trustees' Report FOR THE YEAR ENDED 30 MARCH 2023

Risk Management

All significant activities undertaken are subject to a risk review as part of initial project assessments and implementation. Major risks are identified and their potential impact and likelihood evaluated. These risks are kept under regular review by the Executive Management Team and the Trustees to satisfy themselves that adequate system and procedures are in place to manage the identified risks. Where appropriate, the risks are covered by insurance.

The following framework is central to ensuring adequate risk assurance:-

o Regular monitoring of major risks and development of action plans o Embedding risk identification and assessment within operating procedures

o A clear structure of delegated authority and control o Review of key systems and procedures

o Regular summary reports on risk management to the Trustees.

In assessing risk, the Trustees recognise that some areas of our work require the acceptance and management of risk if our key objectives are to be achieved.

Principal risks and uncertainties

The 3 main risks identified last year and the mitigating actions taken are:

Cost of living' crisis

Our biggest risk during the year was the cost-of-living crisis which put pressure on all of our costs including utility bills, wage costs and materials costs. We managed this through careful forecasting and tight financial management and were also able to access several cost-of-living related grant programmes.

Covid 19 related business risks

Covid continued to impact on our business during the year with the Omicron variant effecting around 40% of our staff. We continued to mitigate these risks through good infection control procedures, strict adherence to government guidance and where appropriate accessing Covid related grants and support.

Health and Safety risks

Health and Safety became a much bigger risk during the pandemic so in the last year we have continued to mitigate these risks by increased health and safety manager hours, intensive staff training and provision of 'best in class' Covid safety measures on all of our sites.

Future Plans

During the year we have continued to implement the strategic plan that was developed at the strategy day held in September 2021 and is based on the following principals:

Replicate where possible some of our existing social enterprises into nearby geographic locations. Broaden the offer of existing SE's to include new goods and services

Focus on growing social impact - not turnover, headcount or outputs - use the Social Value Portal to measure success.

Invest in the right people in the right places to build a more resilient staffing structure and trustee board ESG focus - we will seek to maximise the benefit to Jericho of the increasing prioritisation of Environmental, Social and Governance issues in the corporate/business worlds through a targeted corporate engagement and fundraising programme

We anticipate undertaking a more comprehensive 3-5 year strategic planning process in FY23/24 once our new board members are fully inducted and some of the current economic uncertainty caused by Covid and the cost of living crisis has subsided

Structure, Governance and Management

Governing Document

The organisation is a charitable company limited by guarantee, incorporated on 18 August 1993 and registered as a charity on 28 April 1994. The company was established under a Memorandum of Association that established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up, members are required to contribute an amount not exceeding £10 per member.

Page 5

THE JERICHO FOUNDATION

Trustees' Report FOR THE YEAR ENDED 30 MARCH 2023

Method of appointment of Directors and members

The Directors of the charity are the charity's trustees as defined by section 177 of the Charities Act 2011. The minimum numbers of directors is three. One third of the Directors come up for re-election every three years. The voting takes place at the AGM.

Any person wishing to become a member of the charity may apply to the charity in the form required by the Directors and must be approved by the Directors. The Directors may only refuse an application for membership if, acting reasonably and properly, they consider it to be in the best interests of the charity to refuse the application. If membership is granted to individuals or organisations which are not also Directors, an amendment to the Articles of Association of the charity will be required.

Induction and Training of Directors

New Directors are briefed on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the Board of Directors and its decision-making processes, future plans and recent financial performance. All Directors are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.

Organisational Structure & Decision Making

The Directors manage the business of the charity and may exercise all the powers of the charity unless they are subject to any restrictions imposed by the Companies Act, or the articles, or any special resolution. The Directors meet a minimum of four times a year to consider major decisions of the charity. There are currently no sub-committees of the Board of Directors.

The Chief Executive is responsible for the day-to-day management of the charity and for implementing policies agreed by the Directors. The Chief Executive is assisted by a group of senior managers (the Senior Management Team).

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of The Jericho Foundation for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

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 those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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.

In so far as the trustees are aware:

AUDITORS

The auditors, Copia Wealth & Tax Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Trustees' report, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 20 November 2023 and signed on the board's behalf by:

........................................................................ C Marsh - Trustee

Page 6

Report of the Independent Auditors to the Members of The Jericho Foundation

Opinion

We have audited the financial statements of The Jericho Foundation (the 'charitable company') for the year ended 30 March 2023 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Page 7

Report of the Independent Auditors to the Members of The Jericho Foundation

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

S D Philpott

Shaun Philpott FCA (Senior Statutory Auditor) for and on behalf of Copia Wealth & Tax Limited Chartered Accountants Statutory Auditors 8 Pendeford Place Pendeford Business Park Wobaston Road Wolverhampton WV9 5HD

Date: 20 November 2023

Page 8

THE JERICHO FOUNDATION

Statement of Financial Activities FOR THE YEAR ENDED 30 MARCH 2023

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Income from charitable activities
3
Total
EXPENDITURE ON
Raising funds
Raising donations and legacies
4
Charitable activities5/6
Total
NET INCOME/(EXPENDITURE)
Transfers between funds
20
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
104,506
1,345,721
1,450,227
87,074
87,074
1,273,089
1,360,163
90,064
10,000
100,064
617,180
717,244		 Restricted
funds
£
862,037
-
862,037
-
-
882,294
882,294
(20,257)
(10,000)
(30,257)
221,451
191,194		 2023
Total
funds
£
966,543
1,345,721
2,312,264
87,074
87,074
2,155,383
2,242,457
69,807
-
69,807
838,631
908,438		 2022
Total
funds
£
761,987
1,148,577
1,910,564
80,772
80,772
1,750,994
1,831,766
78,798
-
78,798
759,833
838,631

The notes form part of these financial statements

Page 9

THE JERICHO FOUNDATION

Statement of Financial Position

30 MARCH 2023

Notes
FIXED ASSETS
Tangible assets
11
Social investments
12
CURRENT ASSETS
Stocks
13
Debtors
14
Cash in hand
CREDITORS
Amounts falling due within one year
15
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
CREDITORS
Amounts falling due after more than one year
16
NET ASSETS
FUNDS
20
Unrestricted funds:
General fund
Revaluation reserve
Restricted funds
TOTAL FUNDS		 2023
£
653,358
750,000
1,403,358
174,905
165,709
231,846
572,460
(285,627)
286,833
1,690,191
(781,753)
908,438
599,612
117,632
717,244
191,194
908,438		 2022
£
588,930
660,379
1,249,309
162,783
171,773
379,629
714,185
(384,941)
329,244
1,578,553
(739,922)
838,631
495,729
121,451
617,180
221,451
838,631

The financial statements were approved by the Board of Trustees and authorised for issue on 20 November 2023 and were signed on its behalf by:

............................................. C Marsh - Trustee

The notes form part of these financial statements

Page 10

THE JERICHO FOUNDATION

Statement of Cash Flows
FOR THE YEAR ENDED 30 MARCH 2023
2023
Notes
£
Cash flows from operating activities
Cash generated from operations
1
151,886
Interest paid
(36,228)
Net cash provided by operating activities
115,658
Cash flows from investing activities
Purchase of tangible fixed assets
(114,243)
Purchase of social investments
(197,915)
Sale of tangible fixed assets
18,000
Net cash used in investing activities
(294,158)
Cash flows from financing activities
Loan repayments in year
(94,283)
Loan draw downs in year
125,000
Net Cash provided by/(used in) financing activities(30,717)
Change in cash and cash equivalents in
the reporting period
(147,783)
Cash and cash equivalents at the
beginning of the reporting period
379,629
Cash and cash equivalents at the end of
the reporting period
231,846		 2022
£
313,163
(30,918)
282,245
(72,202)
(139,821)
-
(212,023)
(50,423)
-
(50,423)
19,799
359,830
379,629

The notes form part of these financial statements

Page 11

THE JERICHO FOUNDATION

Notes to the Statement of Cash Flows FOR THE YEAR ENDED 30 MARCH 2023

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
2023 2022
£ £
Net income for the reporting period (as per the Statement of Financial
Activities) 69,807 78,798
Adjustments for:
Depreciation charges 38,608 113,091
Impairments 108,294 -
Profit on sale of tangible fixed asset (6,793) -
Interest paid 36,228 30,918
Increase in stocks (12,122) (63,076)
Decrease in debtors 6,064 32,111
(Decrease)/increase in creditors (88,200) 121,321
Net cash provided by operations 151,886 313,163
2. ANALYSIS OF CHANGES IN NET DEBT
At 31.3.22 Cash flow At 30.3.23
£ £ £
Net cash
Cash at bank and in hand 379,629 (147,783) 231,846
379,629 (147,783) 231,846
Debt
Debts falling due within 1 year (82,110) 11,114 (70,996)
Debts falling due after 1 year (739,922) (41,831) (781,753)
(822,032) (30,717) (852,749)
Total (442,403) (178,500) (620,903)

The notes form part of these financial statements

Page 12

THE JERICHO FOUNDATION

Notes to the Financial Statements FOR THE YEAR ENDED 30 MARCH 2023

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.

Going concern

The financial statements have been prepared on a going concern basis as the trustee believe that no material uncertainties exist. The trustee have considered the level of fund held and the expected level of income and expenditure for 12 month from authorizing these financial statement. The budgeted income and expenditure is sufficient with the level of reserve for the charity to be able to continue as a going concern.

Tangible fixed assets

Tangible fixed assets, other than freehold land, are stated at cost or valuation less depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the followings basis:

Freehold Property 2.5% Straight line
Equipment 25% Straight line

Taxation

The charity is exempt from corporation tax on its charitable activities.

2. DONATIONS AND LEGACIES

Donations received
Grants received
INCOME FROM CHARITABLE ACTIVITIES
Unrestricted funds
Social Enterprise activities
Income from charitable activities
Activity 3
Income from charitable activities		 Unrestricted
funds
£
3,821
100,685
104,506		 Restricted
funds
£
9,637
852,400
862,037		 Restricted
funds
£
9,637
852,400
862,037		 2023
£
13,458
953,085
966,543
2023
£
1,267,186
78,535
1,345,721		 2023
£
13,458
953,085
966,543
2023
£
1,267,186
78,535
1,345,721		 2022
£
32,770
729,217
761,987
2022
£
1,076,959
71,618
1,148,577
2023
£
1,267,186
78,535
1,345,721

3. INCOME FROM CHARITABLE ACTIVITIES

Page 13

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

4. RAISING DONATIONS AND LEGACIES

Unrestricted funds
Donations		 2023
£
87,074
87,074		 2022
£
80,772
80,772

5. COSTS OF CHARITABLE ACTIVITIES BY FUND TYPE

Grants and contracts
Social enterprise activities
Support costs		 Unrestricted
Funds
£
-
752,961
520,128
1,273,089		 Restricted
Funds
£
310,204
395,631
176,459
882,294		 2023
£
310,204
1,148,592
696,587
2,155,383		 2022
£
227,912
914,174
608,908
1,750,994

Costs of charitable activities by activity type

Grants and contracts
Social enterprise activities		 Activities
undertaken
directly
£
310,204
1,148,592
1,458,796		 Support
costs
£
148,125
548,462
696,587		 2023
£
458,329
1,697,054
2,155,383		 2022
£
349,422
1,401,572
1,750,994

6. SUPPORT COSTS

Finance
Staff salaries & Related
Communication costs
Office costs
Premises costs
Deprecation
Legal and professional
Governance costs		 Grants and
contracts
£
8,181
55,326
1,056
5,084
13,175
38,068
15,632
18,548
155,070		 Social
enterprise
activities
£
30,294
204,856
3,911
18,824
48,780
108,294
57,879
68,679
541,517		 2023
£
38,475
260,182
4,967
23,908
61,955
146,362
73,511
87,227
696,587		 2022
£
34,147
258,433
5,326
23,981
41,223
113,091
84,153
48,554
608,908

Page 14

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

Depreciation - owned assets 2023
£
38,068		 2022
£
33,649

Auditors' remuneration £8,000 (£7,000 in 2022).

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 March 2023 nor for the year ended 30 March 2022.

Trustees' expenses

During the year no transactions have taken place between the charity and the trustees and senior management team. The trustees consider that in certain circumstances it is in the interests of the charity for the trustees to use the services of the charity's social enterprises rather than alternative suppliers.

9. STAFF COSTS AND EMOLUMENTS

Totals staff costs for the period ended 30 March 2023 were:

Salaries and wages
Social security costs
Pension costs		 2023
£
1,396,846
98,967
50,039
1,545,852		 2022
£
1,167,559
78,833
44,335
1,290,727

The average number of employees for the year were 98 (86 in 2022).

There was one member of staff with the salary in the band range £60,001 to £70,000.

Page 15

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted Funds Restricted Funds

Income and endowments from
Donations and legacies
Charitable activities
Total
Expenditure on:
Raising funds
Charitable Activities
Total
Transfer between funds
Net Movement in funds
Reconciliation of fund
Total Funds brought forward
Total fund carried forward
11.
TANGIBLE FIXED ASSETS
Cost or Valuation
At 31st March 2022
Additions
Revaluations
At 30th March 2023
Depreciation
At 31st March 2022
Charge for year
Eliminated on disposal
At 30th March 2022
Net Book Value
At 30 March 2023
At 30 March 2022		 £
132,699
1,148,577
1,281,276
(80,772)
(1,098,618)
1,179,390
10,000
111,886
505,294
617,180
Freehold
Property
£
550,000
101,389
-
651,389
41,250
13,750
-
55,000
596,389
508,750		 £
629,288
-
629,288
-
(652,376)
(652,376)
(10,000)
(33,088)
254,539
221,451
Equipment
£
427,569
12,854
(18,795)
421,628
347,490
24,318
(7,048)
364,659
56,969
80,180

2022
£
761,987
1,148,577
1,910,564
(80,772)
(1,750,994)
(1,831,766)
--
78,798
759,833
838,631
Total
£
977,569
114,243
(18,795)
1,073,017
388,639
38,068
(7,048)
419,659
653,358
588,930

The Freehold Property was professionally revalued by Chivers Chartered Surveyors on 24 September 2019 on an open market basis £550,000.The Charity installed a commercial kitchen and takeaway frontage in the year at a cost of £101,389. The trustees regard the current carrying value of the property at £596,389 reflects the additional value added by the investment.

Page 16

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

11. TANGIBLE FIXED ASSETS - continued

In respect of freehold property stated at valuation, the comparable historic cost and depreciation values were as follows:

Historic cost
Accumulated deprecation
Net Book Value		 2023(£)
2022(£
681,129
681,129
(269,060)
(252,031)
412,069
429,098

12. SOCIAL INVESTMENTS

MARKET VALUE
At 31 March 2022
Additions
Impairments
At 30 March 2023
NET BOOK VALUE
At 30 March 2023
At 30 March 2022		 Programme
Related
Investment
£
140,000
-
(10,000)
130,000
130,000
140,000
Mixed
Motive

Investments
£
520,379
197,915
(98,294)
620,000
620,000
520,379
Totals
£
660,379
197,915
(108,294)
750,000
750,000
660,379

The mixed motive investment was professionally valued by Chivers Chartered Surveyors on 4th June 2021 on an open market basis at £620,000.

13. STOCKS

Donated goods for resale
14.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Other debtors
Prepayments and accrued income		 2023
£
174,905
2023
£
93,998
1,341
70,370
165,709		 2022
£
162,783
2022
£
115,683
1,209
54,881
171,773

Page 17

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

15.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 17)
Trade creditors
Social security and other taxes
Other creditors
Accruals and deferred income
16.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Bank loans (see note 17)
17.
LOANS
An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank loans
Amounts falling due between two and five years:
Bank loans - 2-5 years
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by instal
18.
SECURED DEBTS
The following secured debts are included within creditors:
Secured Loan
The bank loan is secured on the fixed assets of the charity.
19.
ANALYSIS OF NET ASSETS BETWEEN FUNDS
Unrestricted
Restricted
funds
funds
£
£
Fixed assets
653,358
-
Investments
620,000
130,000
Current assets
511,266
61,194
Current liabilities
(285,627)
-
Long term liabilities
(781,753)
-
717,244
191,194		 2023
£
70,996
28,338
32,098
21,204
132,991
285,627
2023
£
781,753
2023
£
70,996
175,795
605,958
2023
£
774,096
2023
Total
funds
£
653,358
750,000
572,460
(285,627)
(781,753)
908,438		 2022
£
82,110
19,473
39,033
20,728
223,597
384,941
2022
£
739,922
2022
£
82,110
328,440
411,482
2022
£
678,686
2022
Total
funds
£
588,930
660,379
714,185
(384,941)
(739,922)
838,631

Page 18

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

19. ANALYSIS OF NET ASSETS BETWEEN FUNDS - continued

Movement on Funds

Revaluation Reserve
General Fund
Total Unrestricted Funds
Restricted Funds
Salisbury Road
Arnold Clark Community Fund
Baron Davenport's Charity
British and Foreign School Society
(BFSS)
Charles Brotherton Trust
Esmee Fairbairn Foundation
Goldieslie Lodge Benevolent Fund
Grantham Yorke Trust
H E & E L Botteley Charitable
Settlement
IM Properties Plc
Miss Albright Grimley Charity
National Lottery Community Fund -
Reaching Communities
Paul Hamlyn Foundation
Postcode Innovation Trust
Richard Kilcuppe's Charity
Severn Trent Water
Shoosmiths LLP
Sutton Coldfield Baptist Church
Sutton Coldfield Charities
Sutton Coldfield Town Council
The Balcombe Charitable Trust
The Bernard Piggott Charitable Trust
The Beatrice Laing Trust
The Edward Cadbury Charitable Trust
The Eric W. Vincent Trust Fund
The Eveson Charitable Trust
The George Henry Collins Charity
The Hedley Foundation
The Joseph Hopkins & Henry James
Sayer Charity
The Lillie C Johnson Charitable Trust
The Michael Marsh Charitable Trust
The Rank Foundation
The Roger & Douglas Turner Charitable
Trust
The Rowlands Trust
The Saintbury Trust
The Sparkhill Trust
Other
Total Restricted Funds
Total Funds		 At 31st
March 2022
Income
121,451
495,729
1,450,227
617,180
1,450,228
140,000
-
-
1,000
-
1,000
-
9975
-
150
44,641
76,961
-
750
-
6,000
-
500
-
2,200
-
1,000
26,811
95,695
-
145,000
-
125,00
-
1,000
-
74,999
-
62,113
-
7,125
-
113,212
-
10,000
10,000
20,000
-
1,500
-
5,000
-
25,000
-
500
-
50,000
-
2,000
-
3,000
-
750
-
500
-
2,000
-
6,555
-
3,000
-
5,000
-
2,000
-
1,410
-
313
221,451
862,037
838,631
2,312,264		 Expenditure
(1,360,163)
(1,360,613)
-
(1,000)
(1,000)
(9,975)
(150)
(70,238)
(750)
(6,000)
(500)
(2,200)
(1,000)
(122,506)
(145,000)
(125,000)
(1,000)
(74,999)
(62,113)
(7,125)
(113,212)
(10,000)
(20,000)
(1,500)
(5,000)
(25,000)
(500)
(50,000)
(2,000)
(3,000)
(750)
(500)
(2,000)
(6,555)
(3,000)
(5,000)
(2,000)
(1,410)
313
(882,294)
(2,242,457)		 Transfer
(3,819)

13,819

10,000
(10,000)

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-


-

-

-

-

-
-
(10,000)

-		 At 30th March
2023

117,632
599.612
717,244

130,000
-
-
-
-
51,194
-
-
-
-
-
-
-
-
-
-
-
-
-
-
10,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-

191,194
908,438

Page 19

continued...

THE JERICHO FOUNDATION

Notes to the Financial Statements - continued FOR THE YEAR ENDED 30 MARCH 2023

20. MOVEMENT IN FUNDS

Unrestricted Funds

Balance at
31/03/2022
Incoming
resources
General
General
495,729
1,450,227
495,729
1,450,227
Unrestricted Funds- Previous year
Balance at
31/03/2021
Incoming
resources
General
General
380,024
1,281,276
380,024
1,281,276
Restricted Funds
Balance at
31/03/2022
Incoming
resources
General
General
221,451
862,037
221,451
862,037
Restricted Funds- Previous year
Balance at
31/03/2021
Incoming
resources
General
General
254,539
629,288
254,539
629,288		 Outgoing
resources
(1,360,163)
(1,360,163)
Outgoing
resources
(1,179,390)
(1,179,390)
Outgoing
resources
(882,294)
(882,294)
Outgoing
resources
(652,376)
(652,376)		 Transfer
Balance at
30/03/2023

13,819
599,612
13,819
599,612
Transfer
Balance at
30/03/2022

13,819
495,729
13,819
495,729
Transfer
Balance at
30/03/2023

(10,000)
191,194
(10,000)
191,194
Transfer
Balance at
30/03/2022

(10,000)
221,451
(10,000)
221,451

21. RELATED PARTY DISCLOSURES

Mr Zac Dixon a Trustee, is a Director in Jericho Enterprises CIC, a company which was paid £197,915 for refurbishment works. Mr Nick Wallace and Mr Richard Beard are members of the senior management team, and are Directors of Jericho Enterprises CIC.

Page 20

THE JERICHO FOUNDATION

Detailed Statement of Financial Activities FOR THE YEAR ENDED 30 MARCH 2023

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Grants
Income from charitable activities
Social Enterprise activities
Other
Total incoming resources
EXPENDITURE
Raising donations and legacies
Donations
Charitable activities
Social Enterprise activities
Grants and contracts
Support costs
Management
Wages (Grants and contracts)
Wages (Social enterprises activities)
Finance
Bank charges and loan interest (Grants and contracts)
Bank charges and loan interest (Social enterprises activities)
Communication costs
Telephone (Grants and contracts)
Telephone (Social enterprises activities)
Office costs
Office costs (Grants and contracts)
Office costs (Social enterprises activities)
Premises costs
Premises costs (Grants and contracts)
Premises costs (Social enterprises activities)
Legal and professional
Legal and professional (Grants and contracts)
Legal and professional (Social enterprises activities)
Other costs
Governance costs (Grants and contracts)
Governance costs (Social enterprises activities)
Depreciation of tangible fixed assets (Grants and contracts)
Impairment of investment (Social enterprises activities)
Total resources expended
Net income		 2023
£
13,459
953,084
966,543
1,267,186
78,535
1,345,721
2,312,264
87,074
1,148,592
310,204
1,458,796
55,326
204,856
8,181
30,294
1,056
3,911
5,084
18,824
13,175
48,780
15,632
57,879
18,548
68,679
38,068
108,294
233,589
2,242,457
69,807		 2022
£
32,770
729,217
761,987
1,076,959
71,618
1,148,577
1,910,564
80,772
914,174
227,912
1,142,086
51,572
206,861
6,814
27,333
1,063
4,263
4,785
19,197
8,226
32,997
16,793
67,360
9,689
38,864
22,568
90,523
161,644
1,831,766
78,798

This page does not form part of the statutory financial statements

Page 21

Issuer Copia Wealth & Tax Document generated Wed, 22nd Nov 2023 11:45:10 UTC

Document fingerprint 936531e00921cf167964fb7a597c49bb

Parties involved with this document

Document processed

Party + Fingerprint

Wed, 22nd Nov 2023 12:23:40 UTC Wed, 22nd Nov 2023 15:34:25 UTC Wed, 22nd Nov 2023 15:34:25 UTC

Reverend Dr Colin Arthur Marsh - Signer (223d5e024ded3312d217b211033b4d19) Shaun Philpott - Signer (5727ee661c31fad224596315f02e71e0) Anil Mandair - Copied In (313d1a61ef2eea5cefa848729b8ec4d0)

Audit history log

Date

Action

Wed, 22nd Nov 2023 15:34:26 UTC Wed, 22nd Nov 2023 15:34:26 UTC Wed, 22nd Nov 2023 15:34:26 UTC Wed, 22nd Nov 2023 15:34:26 UTC Wed, 22nd Nov 2023 15:34:25 UTC Wed, 22nd Nov 2023 15:33:27 UTC Wed, 22nd Nov 2023 12:33:57 UTC Wed, 22nd Nov 2023 12:23:41 UTC Wed, 22nd Nov 2023 12:23:40 UTC Wed, 22nd Nov 2023 12:23:40 UTC Wed, 22nd Nov 2023 12:23:40 UTC Wed, 22nd Nov 2023 12:22:43 UTC Wed, 22nd Nov 2023 12:18:31 UTC Wed, 22nd Nov 2023 12:03:30 UTC Wed, 22nd Nov 2023 11:45:22 UTC Wed, 22nd Nov 2023 11:45:12 UTC

Wed, 22nd Nov 2023 11:45:12 UTC

Document emailed to party email (3.10.19.211) Shaun Philpott viewed the envelope (89.255.134.156) This envelope has been signed by all parties (89.255.134.156) Sent the envelope to Anil Mandair for signing (89.255.134.156) Shaun Philpott signed the envelope (89.255.134.156) Shaun Philpott viewed the envelope (89.255.134.156) Reverend Dr Colin Arthur Marsh viewed the envelope (86.156.44.13) Reverend Dr Colin Arthur Marsh viewed the envelope (86.156.44.13) Document emailed to party email (18.132.17.131) Sent the envelope to Shaun Philpott for signing (86.156.44.13) Reverend Dr Colin Arthur Marsh signed the envelope (86.156.44.13) Reverend Dr Colin Arthur Marsh viewed the envelope (86.156.44.13) Reverend Dr Colin Arthur Marsh viewed the envelope (86.156.44.13) Reverend Dr Colin Arthur Marsh viewed the envelope (86.156.44.13) Document emailed to party email (35.177.223.156) Sent the envelope to Reverend Dr Colin Arthur Marsh for signing. (18.168.153.36)

Anil Mandair has been assigned to this envelope. (18.168.153.36)

Wed, 22nd Nov 2023 11:45:12 UTC Shaun Philpott has been assigned to this envelope. (18.168.153.36) Wed, 22nd Nov 2023 11:45:12 UTC Reverend Dr Colin Arthur Marsh has been assigned to this envelope. (18.168.153.36) Wed, 22nd Nov 2023 11:45:12 UTC Envelope generated. (18.168.153.36) Wed, 22nd Nov 2023 11:45:12 UTC Document generated with fingerprint 936531e00921cf167964fb7a597c49bb. (18.168.153.36) Wed, 22nd Nov 2023 11:45:10 UTC Envelope generated with fingerprint e759849fb1287624e4b7cb9b23add46d (35.176.231.177)