COMPANY REGISTRATION NUMBER: 02772914
CHARITY REGISTRATION NUMBER: 1048090
Business Education Partnership (UK) Limited Company Limited by Guarantee
Financial Statements For the year ended
31 March 2021
CHEGWIDDEN & CO
Chartered accountants & statutory auditor Priestley House Priestley Gardens Chadwell Heath Romford Essex RM6 4SN
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Financial Statements
Year ended 31 March 2021
| Pages | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 to 5 |
| Independent auditor's report to the members | 6 to 8 |
| Statement of financial activities (including income and | |
| expenditure account) | 9 |
| Statement of financial position | 10 |
| Statement of cash flows | 11 |
| Notes to the financial statements | 12 to 20 |
| The following pages do not form part of the financial statements | |
| Detailed statement of financial activities | 22 |
| Notes to the detailed statement of financial activities | 23 |
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 31 March 2021
The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2021.
Reference and administrative details
Registered charity name Business Education Partnership (UK) Limited
Charity registration number 1048090 Company registration number 02772914 Principal office and registered Swan House, 9 Queens Road office Brentwood CM14 4HE Essex The trustees Mr S J Wilks Mr K A Byford Mr R A Turbefield Ms D Lagdon Company secretary Mr K Sims Auditor Chegwidden & Co Chartered accountants & statutory auditor Priestley House Priestley Gardens Chadwell Heath Romford Essex RM6 4SN
Structure, governance and management
Governing document
Business Education Partnership (UK) Limited is a charitable company limited by guarantee. The charity is constituted under a Memorandum of Association dated 12th June 1995
Recruitment and appointment of trustees
The management of the charity is the responsibility of the trustees, who are elected and co-opted under the terms of the Articles of Association.
Trustee induction and training
Where there is a requirement for new trustees, these would be identified and appointed by the existing trustees. The chair of the trustees ensures that new trustees are aware of their responsibilities, the governing documents, the history of the charity and its objects and activities. In addition to visiting the charity's offices to meet the employees and officers of the company, a new trustee will receive a copy of the previous year's annual report and accounts and a copy of the Charity Commission leaflet "The Essential Trustee: What you need to know".
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2021
Structure, governance and management (continued)
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure that appropriate controls are in place to provide reasonable assurance against fraud and error.
The significant external risk is the withdrawal or reduction in future funding and, in view of this, plans have been developed for the diversification of funding and activities.
Internal risks are minimised by the implementation of procedures for the authorisation of all transactions and projects and to ensure the consistent quality of delivery of all activities. These procedures are regularly reviewed to ensure that they continue to meet the needs of the charity.
Related parties
Where a trustee of the charity holds a senior position with any of its funders, there will be involvement with any discussions but not in the ultimate decision making.
Organisational structure
The board of trustees meet a minimum of 3 times per year. All resolutions are decided by a show of hands requiring a majority vote to be passed. In the event of a tie, the chairman has the casting vote.
The trustees delegate the day to day management of the charity to Kelly Sims, the company secretary. He gives feedback on the charity's activities at board meetings and iiaises regularly with the trustees to keep them informed.
Objectives and activities
Public Benefit Reporting Requirements
We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.
The trustees consider that the charity's prime objective, the advancement of education and employment, meets the Charity Commission's main principles for public benefit.
Objectives
The primary objectives of the charity are to bring businesses, education and the wider community together to help young people aged 14-19 to develop their employability skills and help 18-40 year olds develop skills to secure employment.
The charity provides these services across a wide area including Barking & Dagenham, Havering, Redbridge, Waltham Forest (in East London) and Essex (including Thurrock and Southend-on-Sea).
Achievements and performance
Significant activities
The charity invests all income, grants and donations into providing its services. The main projects and activities are:
Work experience
Due to the ongoing Covid-19 (Coronavirus) pandemic, work experience has been suspended for the last 13 months. The UK government require as many people as possible to stay at home. The charity has taken the decision to 'moth-ball' the work experience service until such time as is viable to restart the service. An assessment will be made when appropriate.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2021
Achievements and performance (continued)
Alternative Education
Due to the Covid-19 pandemic, the work experience element of children's education was suspended. On 23rd March 2020, all schools were required to close to most children as part of a national 'lockdown'. Like all schools, BEP Academy remained open throughout this, and subsequent lockdowns to children of Key Workers and for vulnerable young people and provided on-line and paper-based work for children required to stay at home.
BEP Group deliver alternative education via our Independent School, BEP Academy. Approximately 40 schools and 5 Local Authorities across Essex and East London refer young people to our school every year. We have two sites - Romford and Basildon, with Romford having a slightly larger capacity. Children who, for whatever reason are not succeeding in main-stream school, may be referred to BEP Academy.
Students can spend part of the week studying for core GCSEs or Functional Skills (depending on their year group and/or level) in English, Maths and ICT. Personal and Social Development courses and vocational courses are also available, together with work experience (for up to two days-a-week) for those children who would benefit.
All young people on the programme are assigned a personal Key Worker who offers mentoring support, information, advice and guidance (IAG) and signposting to other support agencies/experts.
Without this provision some students would become disaffected, disengaged or NEET (Not in Education, Employment or Training) and fail to reach their potential.
Financial review
Reserves policy
At the 31st March 2021 the reserves of BEP equated to approximately 3 months of expenditure. The trustees have agreed a maximum level of reserves to be set at a maximum of 12 months of expenditure to ensure the charity can meet its contractual obligations to schools and particularly young people on programmes lasting one year.
Principal funding sources
Funding for Work Related Learning (including pre-16 work experience) was withdrawn by the Government in March 2011. Schools now meet the full cost of work experience provision. Schools also continue to meet the full cost of the alternative education provision.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2021
Financial review (continued)
Resources expended
Resources are allocated to direct charitable expenditure on a specific basis. Where no basis exists, or where costs are attributable to more than one activity, expenditure is apportioned across cost categories based on resources used on those activities.
Results for the year
The charity has made a significant deficit for the year, and has relied on the government's furlough scheme to part-support ongoing staff costs, specifically within the work experience team.
Plans for future periods
Future developments
The overall aims and objectives of the charity remain the same. Over the next year the charity will aim to:
-
Continue to provide a high-quality service to schools and students;
-
Engage schools and students in work experience;
Trustees' responsibilities statement
The trustees, who are also directors 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).
Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.
In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles in the applicable Charities SORP;
-
make judgments and accounting estimates that are reasonable and prudent;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 March 2021
Auditor
Each of the persons who is a trustee at the date of approval of this report confirms that:
-
so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
-
they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.
Small company provisions
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
The trustees' annual report was approved on 30 March 2022 and signed on behalf of the board of trustees by:
Mr S J Wilks Trustee
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of Business Education Partnership (UK) Limited
Year ended 31 March 2021
Opinion
We have audited the financial statements of Business Education Partnership (UK) Limited (the 'charity') for the year ended 31 March 2021 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, 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, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 March 2021 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
-
have been prepared in accordance with the requirements of the Companies Act 2006.
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 auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 charity'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.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of Business Education Partnership (UK) Limited (continued)
Year ended 31 March 2021
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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:
-
the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the trustees' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity 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 in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of trustees' remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit; or
-
the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the directors' report and from the requirement to prepare a strategic report.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of Business Education Partnership (UK) Limited (continued)
Year ended 31 March 2021
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors 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 charity'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 charity or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Examination of original documentation.
Checks with local authorities that compliance with laws and regulations has occurred. Discussion with management for procedures that ensure compliance.
Minimise risk that Government grants have been applied for correctly.
Use of our report
This report is made solely to the charity'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 charity's members those matters we are required to state to them in an auditor's 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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.
Paul Harris FCA (Senior Statutory Auditor)
For and on behalf of Chegwidden & Co Chartered accountants & statutory auditor Priestley House Priestley Gardens Chadwell Heath Romford Essex RM6 4SN
25 March 2022
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 31 March 2021
| 2021 | 2021 | 2020 | ||
|---|---|---|---|---|
| Unrestricted | ||||
| funds | Total funds | Total funds | ||
| Note | £ | £ | £ | |
| Income and endowments | ||||
| Charitable activities | 5 | 1,301,943 | 1,301,943 | 1,456,620 |
| Investment income | 6 | 81 | 81 | 154 |
|
|
|
||
| Total income | 1,302,024 | 1,302,024 | 1,456,774 | |
|
|
|
||
| Expenditure | ||||
| Expenditure on charitable activities | 7,8 | 1,355,283 | 1,355,283 | 1,460,741 |
|
|
|
||
| Total expenditure | 1,355,283 | 1,355,283 | 1,460,741 | |
|
|
|
||
|
|
|
||
| Net expenditure and net movement in funds | (53,259) | (53,259) | (3,967) | |
|
|
|
||
| Reconciliation of funds | ||||
| Total funds brought forward | 394,274 | 394,274 | 398,241 | |
|
|
|
||
| Total funds carried forward | 341,015 |
341,015 |
394,274 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 12 to 20 form part of these financial statements.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Statement of Financial Position
| 31 | March 2021 | ||||
|---|---|---|---|---|---|
| 2021 | 2020 | ||||
| Note | £ | £ | £ | £ | |
| Fixed assets | |||||
| Tangible fixed assets | 13 | 48,464 | 53,172 | ||
| Current assets | |||||
| Debtors | 14 | 185,985 | 247,711 | ||
| Cash at bank and in hand | 458,281 | 427,941 | |||
|
|
||||
| 644,266 | 675,652 | ||||
| Creditors: amounts falling due | |||||
| within one year | 15 | 301,715 | 334,550 | ||
|
|
||||
| Net current assets | 342,551 | 341,102 | |||
|
|
||||
| Total assets less current liabilities | 391,015 | 394,274 | |||
| Creditors: amounts falling due after | |||||
| more than one year | 16 | 50,000 | – | ||
|
|
||||
| Net assets | 341,015 | 394,274 | |||
|
|
||||
| Funds of the charity | |||||
| Unrestricted funds | 341,015 | 394,274 | |||
|
|
||||
| Total charity funds | 20 | 341,015 |
394,274 |
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the board of trustees and authorised for issue on 30 March 2022, and are signed on behalf of the board by:
Mr S J Wilks Trustee
The notes on pages 12 to 20 form part of these financial statements.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Statement of Cash Flows
Year ended 31 March 2021
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net expenditure | (53,259) | (3,967) |
| Adjustments for: | ||
| Depreciation of tangible fixed assets | 14,913 | 15,509 |
| Other interest receivable and similar income | (81) | (154) |
| Accrued (income)/expenses | (33,450) | 95,714 |
| Changes in: | ||
| Trade and other debtors | 61,726 | (151,704) |
| Trade and other creditors | 615 | (5,120) |
|
|
|
| Cash generated from operations | (9,536) | (49,722) |
| Interest received | 81 | 154 |
|
|
|
| Net cash used in operating activities | (9,455) | (49,568) |
|
|
|
| Cash flows from investing activities | ||
| Purchase of tangible assets | (10,205) | (56,862) |
|
|
|
| Net cash used in investing activities | (10,205) | (56,862) |
|
|
|
| Cash flows from financing activities | ||
| Proceeds from borrowings | 50,000 | – |
|
|
|
| Net cash from financing activities | 50,000 | – |
|
|
|
| Net increase/(decrease) in cash and cash equivalents | 30,340 | (106,430) |
| Cash and cash equivalents at beginning of year | 427,941 | 534,371 |
|
|
|
| Cash and cash equivalents at end of year | 458,281 | 427,941 |
|
|
The notes on pages 12 to 20 form part of these financial statements.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 31 March 2021
1. General information
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Swan House, 9 Queens Road, Brentwood, CM14 4HE, Essex.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
In the case of the Charity, the only key judgement is the consideration given to the useful life of tangible fixed assets and related rates of depreciation.
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.
Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
3. Accounting policies (continued)
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
-
income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
-
legacy income is recognised when receipt is probable and entitlement is established.
-
income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
-
income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
Resources expended
Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Expenditure includes any VAT which cannot be recovered and is reported as part of the expenditure to which it relates.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management undertaken at head office.
Governance costs comprise those costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to the strategic management of the charity.
Tangible assets
All fixed assets are initially recorded at cost. Items costing less than £500 are not capitalised.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
3. Accounting policies (continued)
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Computers - 33% reducing balance Plant and equipment - 15% reducing balance
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cashgenerating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.
For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.
Government grants
Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the company will comply with the conditions attaching to them and the grants will be received.
Where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
3. Accounting policies (continued)
Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the amount receivable or payble including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.
When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.
4. Limited by guarantee
Every member of BEP undertakes to contribute an amount not exceeding £1 to the assets of the company if it is wound up during the time that he is a member, or within one year afterwards, for debts and liabilities of BEP contracted before the time at which he or she ceases to be a member and of the costs, charges and expenses of winding up, and for the adjustment of the rights of the contributories among themselves.
5. Charitable activities
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2021 | Funds | 2020 | |
| £ | £ | £ | £ | |
| Work related experiences | 985,206 | 985,206 | 1,456,620 | 1,456,620 |
| Government grants received | 316,737 | 316,737 | – | – |
|
|
|
|
|
| 1,301,943 | 1,301,943 | 1,456,620 | 1,456,620 | |
|
|
|
|
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
6. Investment income
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
|---|---|---|---|---|---|
| Funds | 2021 | Funds | 2020 | ||
| £ | £ | £ | £ | ||
| Bank interest receivable | 81 | 81 | 154 | 154 | |
|
|
|
|
||
| 7. | Expenditure on charitable activities by fund type | ||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2021 | Funds | 2020 | ||
| £ | £ | £ | £ | ||
| Work related experiences | 1,096,696 | 1,096,696 | 1,158,973 | 1,158,973 | |
| Support costs | 258,587 | 258,587 | 301,768 | 301,768 | |
|
|
|
|
||
| 1,355,283 | 1,355,283 | 1,460,741 | 1,460,741 | ||
|
|
|
|
||
| 8. | Expenditure on charitable activities by activity type | ||||
| Activities | |||||
| undertaken | Total funds | Total fund | |||
| directly Support costs | 2021 | 2020 | |||
| £ | £ | £ | £ | ||
| Work related experiences | 1,096,696 | 251,575 | 1,348,271 | 1,454,586 | |
| Governance costs | – | 7,012 | 7,012 | 6,155 | |
|
|
|
|
||
| 1,096,696 | 258,587 | 1,355,283 | 1,460,741 | ||
|
|
|
|
||
| 9. | Net expenditure | ||||
| Net expenditure is stated after charging/(crediting): | |||||
| 2021 | 2020 | ||||
| £ | £ | ||||
| Depreciation of tangible fixed assets | 14,913 | 15,509 | |||
|
|
||||
| 10. | Auditors remuneration | ||||
| 2021 | 2020 | ||||
| £ | £ | ||||
| Fees payable for the audit of the financial statements | 5,400 | 4,800 | |||
|
|
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Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
11. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 672,743 | 716,127 |
| Social security costs | 43,547 | 51,447 |
| Employer contributions to pension plans | 11,355 | 12,686 |
|
|
|
| 727,645 | 780,260 | |
|
|
The average head count of employees during the year was 36 (2020: 37). The average number of full-time equivalent employees during the year is analysed as follows:
| 2021 | 2020 | |
|---|---|---|
| No. | No. | |
| Charitable activities | 21 | 22 |
| Administrative | 6 | 6 |
| Health & safety | 9 | 9 |
|
|
|
| 36 | 37 | |
|
|
No employee received employee benefits of more than £60,000 during the year (2020: Nil).
12. Trustee remuneration and expenses
No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.
No trustee expenses have been incurred.
13. Tangible fixed assets
| Fixtures and | |||
|---|---|---|---|
| fittings | Equipment | Total | |
| £ | £ | £ | |
| Cost | |||
| At 1 April 2020 | 47,517 | 44,873 | 92,390 |
| Additions | 10,205 | – | 10,205 |
|
|
|
|
| At 31 March 2021 | 57,722 | 44,873 | 102,595 |
|
|
|
|
| Depreciation | |||
| At 1 April 2020 | 30,558 | 8,660 | 39,218 |
| Charge for the year | 9,481 | 5,432 | 14,913 |
|
|
|
|
| At 31 March 2021 | 40,039 | 14,092 | 54,131 |
|
|
|
|
| Carrying amount | |||
| At 31 March 2021 | 17,683 | 30,781 | 48,464 |
|
|
|
|
| At 31 March 2020 | 16,959 | 36,213 | 53,172 |
|
|
|
- 17 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
14. Debtors
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Trade debtors | 138,228 | 208,558 |
| Amounts owed by undertakings in which the charity has a | ||
| participating interest | 8,323 | 169 |
| Prepayments and accrued income | 13,675 | 21,286 |
| Other debtors | 25,759 | 17,698 |
|
|
|
| 185,985 | 247,711 | |
|
|
|
| Creditors: amounts falling due within one year | ||
| 2021 | 2020 | |
| £ | £ | |
| Trade creditors | 10,872 | 5,709 |
| Accruals and deferred income | 279,513 | 312,963 |
| Social security and other taxes | 11,330 | 15,878 |
|
|
|
301,715 |
334,550 |
15. Creditors: amounts falling due within one year
16. Creditors: amounts falling due after more than one year
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Bank loans and overdrafts | 50,000 |
– |
17. Deferred income
Income is deferred according to the term in which the placement occurs. Monies received in March 21 relate to the following Summer Term: £264,515 (2020: 271,489).
18. Pensions and other post retirement benefits
Defined contribution plans
The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £11,355 (2020: £12,686).
19. Government grants
The government grants received in the year related to COVID-19 help during the period:
Job retention scheme: £306,737 Council grants: £10,000
- 18 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
20. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | |||||
| At | 31 | March 202 | |||
| 1 | April 2020 | Income | Expenditure | 1 | |
| £ | £ | £ | £ | ||
| General funds | 394,274 | 1,302,024 | (1,355,283) | 341,015 | |
|
|
|
|
||
| At | |||||
| At | 31 | March 202 | |||
| 1 | April 2019 | Income | Expenditure | 0 | |
| £ | £ | £ | £ | ||
| General funds | 398,241 | 1,456,774 | (1,460,741) | 394,274 | |
|
|
|
|
21. Analysis of net assets between funds
| Unrestricted | Total Funds | |||
|---|---|---|---|---|
| Funds | 2021 | |||
| £ | £ | |||
| Tangible fixed assets | 48,464 | 48,464 | ||
| Current assets | 644,266 | 644,266 | ||
| Creditors less than 1 year | (301,715) | (301,715) | ||
| Creditors greater than 1 year | (50,000) | (50,000) | ||
|
|
|||
| Net assets | 341,015 | 341,015 | ||
|
|
|||
| Unrestricted | Total Funds | |||
| Funds | 2020 | |||
| £ | £ | |||
| Tangible fixed assets | 53,172 | 53,172 | ||
| Current assets | 675,652 | 675,652 | ||
| Creditors less than 1 year | (334,550) | (334,550) | ||
| Creditors greater than 1 year | – | – | ||
|
|
|||
| Net assets | 394,274 | 394,274 | ||
|
|
|||
| 22. | Analysis of changes in net debt | |||
| At | ||||
| At 1 Apr 2020 | Cash flows | 31 Mar 2021 | ||
| £ | £ | £ | ||
| Cash at bank and in hand | 427,941 |
30,340 |
458,281 |
- 19 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 March 2021
23. Operating lease commitments
The total future minimum lease payments under non-cancellable operating leases are as follows:
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Not later than 1 year | 60,000 | 60,000 |
| Later than 1 year and not later than 5 years | 240,000 | 240,000 |
| Later than 5 years | 150,000 | 210,000 |
|
|
|
| 450,000 | 510,000 | |
|
|
The operating lease refers to the property 62-64 Western Road, Romford. The lease period is 10 years from 1st October 2018.
24. Related parties
Mr Kelly Sims, the company secretary, has operational managerial control of the charity. He is involved in a partnership, National Link Foundation, which has dealings with BEP whereby NLF provides management, consultancy and support services, together with associated costs, to the charity. The total value of such services during the year was £94,415 (2020: £141,165).
Mr Kelly Sims and Mrs Jo Green, principle of BEP (UK) Ltd, are joint directors in BEP Appointments. Management, consultancy and support services, together with associated costs are provided to the charity. The total value of services from BEP Appointments during the year amounted to: £192,415 (2020: £110,338). BEP Appointments owed £6,814 (2020: (£155)) to BEP (UK) Ltd at the statement of financial position date.
Mr Kelly Sims is a director of London EBP Network. At the year end, London EBP Network owed £214 (2020: £14) to BEP (UK) Ltd at the statement of financial position date.
- 20 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Management Information Year ended 31 March 2021
The following pages do not form part of the financial statements.
- 21 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Detailed Statement of Financial Activities
Year ended 31 March 2021
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Income and endowments | ||
| Charitable activities | ||
| Work related experiences | 985,206 | 1,456,620 |
| Government grants received | 316,737 | – |
|
|
|
| 1,301,943 | 1,456,620 | |
|
|
|
| Investment income | ||
| Bank interest receivable | 81 | 154 |
|
|
|
|
|
|
| Total income | 1,302,024 | 1,456,774 |
|
|
|
| Expenditure | ||
| Expenditure on charitable activities | ||
| Wages and salaries | 672,743 | 716,127 |
| Employer's NIC | 43,547 | 51,447 |
| Pension costs | 11,355 | 12,686 |
| Rent | 110,312 | 102,204 |
| Light and heat | 68,703 | 64,994 |
| Repairs and maintenance | 35,602 | 46,811 |
| Insurance | 6,065 | 6,502 |
| Vehicle leasing/hire | 246 | 3,970 |
| Other motor/travel costs | 162 | 8,080 |
| Legal and professional fees | 171,193 | 214,716 |
| Telephone | 18,938 | 17,814 |
| Other office costs | 23,516 | 45,432 |
| Depreciation | 14,913 | 15,508 |
| Cleaning | 16,988 | 31,989 |
| Staff training and welfare | 9,527 | 11,812 |
| Staff recruitment costs | 151,195 | 110,406 |
| Bank charges | 278 | 243 |
|
|
|
| 1,355,283 | 1,460,741 | |
|
|
|
|
|
|
| Total expenditure | 1,355,283 | 1,460,741 |
|
|
|
|
|
|
| Net expenditure | 53,259 |
3,967 |
- 22 -
Business Education Partnership (UK) Limited
Company Limited by Guarantee
Notes to the Detailed Statement of Financial Activities
Year ended 31 March 2021
| 2021 | 2020 | |
|---|---|---|
| £ | £ | |
| Expenditure on charitable activities | ||
| Work related experiences | ||
| Activities undertaken directly | ||
| Staff costs-Wages and salaries | 672,743 | 716,127 |
| Staff costs-Employers NIC | 43,547 | 51,447 |
| Staff costs-Pension costs | 11,355 | 12,686 |
| Direct overheads | 53,622 | 51,921 |
| Travel and subsistence | 89 | 8,007 |
| Consultancy fees | 164,181 | 208,561 |
| Bad debts | 36 | 182 |
| Staff recruitment and agency costs | 151,195 | 110,406 |
|
|
|
| 1,096,696 | 1,158,973 | |
|
|
|
| Support costs | ||
| Rent and rates | 110,312 | 102,204 |
| Lighting, heating and power | 15,081 | 13,073 |
| Repairs and maintenance | 35,602 | 46,811 |
| Insurance | 6,065 | 6,502 |
| Leasing of office equipment | 246 | 3,970 |
| Sundry costs | 73 | 73 |
| Telephone and internet | 18,938 | 17,814 |
| Other office costs | 23,516 | 45,432 |
| Depreciation | 14,913 | 15,508 |
| Cleaning | 16,988 | 31,989 |
| Staff training & welfare | 9,563 | 11,994 |
| Bank charges | 278 | 243 |
|
|
|
| 251,575 | 295,613 | |
|
|
|
| Governance costs | ||
| Governance costs - audit fees | 5,400 | 5,640 |
| Governance costs - legal and other professional fees | 1,612 | 515 |
|
|
|
| 7,012 | 6,155 | |
|
|
|
|
|
|
| Expenditure on charitable activities | 1,355,283 |
1,460,741 |
- 23 -