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← Kennet Furniture Refurbiz

2024-09-30-accounts

KENNET FURNITURE REFURBIZ LTD

Company number: 3213883 Charity number: 1056649

KENNET FURNITURE REFURBIZ LTD

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30[th] SEPTEMBER 2024

1

KENNET FURNITURE REFURBIZ LTD

CONTENTS

Page number
Company information 3
Trustees’ report 4 – 10
Independent Examiner’s report 11
Statement of financial activities 12
Balance sheet 13 – 14
Notes to the financial statements 15 – 22

2

KENNET FURNITURE REFURBIZ LTD

COMPANY INFORMATION FOR THE YEAR ENDED 30 SEPTEMBER 2024

Trustees/Directors Pamela Collier Paul Crerand Daniel Dickinson Patrick English Kevin Harrison Sebastiano Longo – Appointed 19 July 2023 Ian Poulton (Chair/Treasurer) – Appointed Chair of Trustees 1[st] February 2024 Yvonne Pearce Juliet Singer – Appointed July 17[th] , 2024 Sam Selman Christopher Shears Victoria Saunders Jeffrey Sutherland-Kay - Resigned May 19[th] , 2024 Company Secretary Christopher Shears - Resigned March 19[th] , 2025 Kevin Harrison – Appointed March 19[th] , 2025 Registered office Unit 6B (5) Hopton Industrial Estate London Road Devizes Wiltshire SN10 2EU Registration number 3213883 England and Wales Charity number 1056649 Independent examiner Monahans Statutory Auditors Hermes House Firefly Avenue Swindon Wiltshire SN2 2GA

3

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT FOR THE YEAR ENDED 30 SEPTEMBER 2024

We present our report and financial statements for the year ended 30 September 2024. We 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 Republic of Ireland (FRS 102 effective 1[st] January 2019), Charities SORP (FRS102) and the Companies Act 2006.

1. STRUCTURE, GOVERNANCE and MANAGEMENT

Kennet Furniture Refurbiz Ltd (KFR) is a company limited by guarantee and a charity registered in England with the Charity Commission.

Our governing documents are our Memorandum and Articles of Association. In the event of KFR being wound up the liability of each trustee and member is limited to a sum not exceeding £1.

As existing trustees, we elect new trustees in accordance with the Articles of Association. On appointment, all new trustees receive a copy of the Memorandum and Articles of Association and induction information, which includes their role as a trustee and the Charity Commission booklet ‘Essential Trustee.’ Training is made available to all trustees as required. As trustees we meet as a board on a regular basis to set strategy and business plans and to monitor performance. We delegate to the General Manager the task of day-to-day management of KFR, which he conducts to a high standard.

2. OBJECTIVES AND ACTIVITIES

KFR’s mission is to:

• Revive communities by removing unwanted items, reducing landfill and training people with new skills. Through this mission, KFR aims to improve the lives of people most in need in the region by offering for sale superior quality, second-hand furniture, and electrical items. To assist us in our mission we provide training and personal development opportunities to the young and unemployed.

During the year under review, KFR successfully continued with its main activities at the warehouse and showroom in Devizes, creating another record year for the organisation.

[Note: Re-use weights are calculated using the Reuse Network calculator; carbon savings are calculated using UK Government greenhouse gas (GHG) factors.]

4

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

KFR has a small number of industrious and enthusiastic staff and many willing volunteers. The volunteers comprise a wide range of people and have included some who are actively looking for employment, some with more complex needs who struggle with social inclusion and retired people giving their time and experience to

KFR. The total number of volunteer hours exceeded 5,300. If we had had to employ staff instead, it would have cost over £63,000.

3. PUBLIC BENEFIT

The Board keeps in mind the Charity Commission’s guidance on public benefit. The focus of our charitable activities during the year is set out above in our statements on “Objectives and Activities” and “Achievements and Performance” and these explain how as a charity we have delivered public benefit.

4. FINANCIAL PERFORMANCE AND RESERVES

The statement of financial activities on page 12 shows the incoming resources and the application of those resources. In the background, the economic climate of high interest rates and high inflation, and the pressure on the cost of living, have meant an increasing need for our services and we have reached a wider audience. KFR continues to respond well to the challenges with a continuation of adding new services and products to customers.

5

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

KFR maintains a provision fund of £33,830 in accordance with our reserves policy. There is also £20,000 in reserves for property dilapidations, making total designated reserve of £53,830. Total funds, excluding designated reserves, are £382,448 of which £63,076 are held as fixed assets. Free reserves are £319,372. Our reserve policy is maintained at a level designed to protect the Charity’s work against risks related to :

Free reserves should cover 3-6 months of operating expenditures held and are within the required level.

5. INVESTMENT POLICY

As there is a low level of funds available for investment, we consider bank deposits provide a satisfactory return to KFR. In the year to 30[th] September 2024 these have been short term deposits with KFR’s banker and other UK regulated banks.

6. RISK MANAGEMENT

As trustees we review both the major and the minor risks that KFR faces on a regular basis, confirming that procedures are in place to mitigate, as far as is possible, any significant risks. We conduct periodic reviews of the controls over key financial systems, including the maintenance of adequate reserves, along with ensuring that the organisation’s insurance cover is fit for purpose. We also consider other financial, business, operational and compliance risks faced by KFR using a risk taxonomy developed specifically for this purpose.

KFR is facing increasing competition from other charities and commercial operators in the provision of our core products on the high street. We monitor the sales price in our warehouse and aim to keep our blue prices (see below), on average, below the market rate for second-hand goods.

We are aware that risk is not fixed and that everyone should be aware of their environment for changes as and when they may occur. For this reason, KFR continues to involve staff in developing future plans, ensuring risks of any nature are explained and understood. Training of staff continues to be a priority as does the recruitment of volunteers and trustees with the appropriate skills to cover roles as required.

6

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

7. ACHIEVEMENTS AND PERFORMANCE

Founded in 1996 as Kennet Furniture Exchange focused on the needs of low-income families just in Devizes, KFR now reaches out to low-income families across the whole of the county of Wiltshire. We have a simple but successful business model where donated items of reusable furniture, white goods, and small electricals, plus some bought-in goods such as new mattresses and pre-refurbished white goods, are offered for sale at a low price to low-income families and individuals. A mix of internal and external provision funding allows free goods to be provided to people in hardship or distress.

In recent years, KFR has reported outstanding year-on-year business growth, with revenue this year up by 34% on last year, and up 90+% since 2022. Whilst we have continued to benefit from strong relationships with our supply partners, such as Furniture Box, FCC Environment, Rework, Appliance Recycling Group and Hills Waste Solutions, we have also developed stronger relationships with our demand partners, such as Wiltshire Council,

Wiltshire Community Foundation, Voluntary Action Swindon, Swindon Emergency Assistance Fund, and several housing associations. We are incredibly grateful to all our business partners for their continued support.

We expect the demand for superior quality, re-usable furniture and, in particular, kitchen appliances to continue to grow and this has led us to review KFR’s sustainability over the medium to longer term. During the year we remodelled the customer office area to provide an improved staff working space, and customer service desk. We also expanded our fleet of vehicles and van crews. We now operate four vans servicing all of Wiltshire and Swindon.

The remodelled KFR Office & Customer Service Area

Over the last year, we have seen an increase in the demand for our services from other organizations who find our ability to provide a range of household goods from one source highly effective. This is a segment of revenue that has grown in the past year, with it now representing over 15% of all revenue. Similarly, provision-based funding also is over 15% of our annual revenue.

Free provisioning is in KFR’s DNA. In addition to funds managed by external organisations, KFR received grants of £144,581, including £117,581 from the Household Support Fund via Wiltshire Community Foundation. KFR’s own provision funding, formed by setting aside 4% of our KFR generated monthly income, totalled £31,420. We allocated over £140,000 from our provisioning funds to the free provision of household items, with over £55,000 carried forward to the new fiscal year.

We continued to use a dual pricing system. Our standard, green price is paid by lowincome families in receipt of state benefits and represents what we believe to be excellent value. All provisioning is deemed to be at the green price. Our blue price is 40% higher and is therefore closer to a second-hand market price. Blue prices are paid by the general public, with the additional income helping to fund our operations and to support KFR’s own provisioning. The value of green price discounting during the year was £189,000, benefiting over 6,870 customers.

7

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

To satisfy customers’ expectations for prompt delivery in all parts of the county, and to support requests for

house clearances and for home visits for white goods maintenance, it was necessary to review our van fleet. We added a fourth van on 5-year leases, along with a new van crew. Unfortunately, the weight of goods transported in our vans along with the distances travelled meant that electric vehicles remain not viable. The activity levels, and frequency of deliveries, has led to the full fleet of vans being fully utilised. Currently we do not expect to add an additional van, but if certain segments of business

expand in the coming years, then an additional van may be warranted. Our delivery policy remains unchanged, we charge £20 (incl. VAT) for a delivery in total, and collection of donated goods is free.

As part of our aim to put management and delivery of the charity’s objectives in the most effective manner, we made some staffing changes, with the addition of a part tine finance professional, additional van crews, and increased operational staff to give KFR the maximum flexibility and resource to facilitate the current service and activity levels. We also recognized that as KFR has grown, so have the demands on the general managers time, so some activities like health & safety management have been outsourced to a professional health and safety service, who have streamlined our health and safety process, training, and compliance.

At board level, we have appointed one new trustee, Paul Crerand, an experienced businessperson who brings a wealth of global business management experience including people development expertise. In February 2024, a new chair of the trustee’s (Ian Poulton) was elected, he had been a member of the board for a couple of years

prior acting as the board treasurer. He is now fulfilling that role, and board chair, and has helped facilitate several new initiatives in conjunction with the board, and KFR team, to increase the impact of KFR in the community, and make a difference. This has included a more intensive marketing program, including the now famous Facebook Wednesday walkabouts, and Reuse Revolution branding. Advertising on local radio has also been started, and KFR is seeing a significant increase in activity from customers visiting the showroom.

Dan being interviewed by Shirley from local radio Swindon 105.5

Jeff Sutherland-Kay decided to resign from the board of trustees in 2024, after helping shape KFR into a more robust charity, through the introduction of a series of robust management controls and systems, that KFR is now reaping the benefits of as it continues to make a difference. KFR appreciates the contribution Jeff made during his tenure and extends their thanks for all his efforts.

8

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

8. FUTURE PLANS

The Board of Trustees recognises that KFR has a significant role to play in the support of low-income families in the region. This carries both challenges and risks for the organisation, as we continue to focus on our core activities of generating the supply of donated furniture from both personal and corporate donors and meeting the demands of our customers. KFR undertakes a 3-year planning process each year. This includes developing a detailed plan for the new fiscal year, with the sale of both refurbished and purchased white goods forecast to rise in the 2024/2025 fiscal year, although more modestly than in previous years. We plan to add a new range of white goods (Willow) to help provide some feedstock for our in house engineered Retisé Shop

white goods, but also to provide customers with high quality low-cost new white good options. Some of this growth will come from the continued growth of our business partners in Swindon, where we believe there will be a strong demand for our services. We also continue to develop our house clearance services and will be partnering with Age UK Wiltshire’s shops to ensure the maximum reuse opportunities are attained from house clearances. We expect the partnership with FCC Environmental will also grow with the addition of a reuse shop inside of KFR to further the reuse revolution.

Growth in revenue also comes with increased costs, and in the forth coming budget, KFR expects to increase all staff wages by the same percentage as the real living wage growth. We will continue to pay at a minimum the

real living wage, to our staff and contractors. In addition, we will continue the staff surplus share program. Plans are underway to also increase the KFR pension contribution for staff. Marketing has been identified as an area that yields a great return, so through a series of marketing programs, targeting the various generational media outlets we are increasing our investment. While we are maximizing our staff productivity, we also recognize that the volume increases also require staffing additions, so positions are being added with caution, when those threshold levels are reached. Our capital investment plans for the coming year include the construction of the Reuse shop, and associated storage space, along with a remodel of the employee break area, and some minor exterior building upgrades. The only owned van will be sold , and will be replaced by a new leased van, in line with the KFR van strategy.

9

KENNET FURNITURE REFURBIZ LTD

TRUSTEES’ REPORT (Continued) FOR THE YEAR ENDED 30 SEPTEMBER 2024

9. INDEPENDENT EXAMINERS

Monahans have indicated their willingness to act in this capacity for year ending September 30[th] , 2025, and will be proposed for appointment at the Annual General Meeting.

For and on behalf of the Trustees Ian J. Poulton Director and Chair of Trustees

April 16[th] , 2025

10

Independent Examiner's Report to the Trustees of Kennet Furniture Refurbiz Ltd

Independent examiner's report to the trustees of Kennet Furniture Refurbiz Ltd ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 September 2024.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.

Independent examiner's statement

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

fo

James Gare

Monahans Chartered Accountants Hermes House Fire Fly Avenue Swindon Wiltshire SN2 2GA

Date: .25[th] April 2025...

11

Kennet Furniture Refurbiz Ltd

Statement of Financial Activities

(Incorporating an Income and Expenditure Account) for the Year Ended 30 September 2024

2024
Unrestricted
funds
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
3
23,670
Charitable activities
5
Provision of recycled furniture
884,611
Investment income
4
2,184
Other income
6
-
Total
910,465
EXPENDITURE ON
Raising funds
7
2,295
Charitable activities
8
Provision of recycled furniture
851,188
Total
853,483
NET INCOME
56,982
RECONCILIATION OF FUNDS
Total funds brought forward
379,296
TOTAL FUNDS CARRIED FORWARD
436,278		 2023
Total
funds
£
2,748
664,963
1,604
7,294
676,609
-
666,092
666,092
10,517
368,779
379,296

The notes form part of these financial statements

12

Kennet Furniture Refurbiz Ltd (Registered number: 03213883)

Balance Sheet
30 September 2024 30 September 2024
2024 2023
Unrestricted Total
funds funds
Notes Notes £ £
FIXED ASSETS
Tangible assets 15 15 63,076 56,888
CURRENT ASSETS
Stocks 16 16 21,298 9,732
Debtors 17 17 76,437 58,713
Cash at bank and in hand 328,687 335,916
426,422 404,361
CREDITORS
Amounts falling due within one year 18 18 (53,220) (81,953)
NET CURRENT ASSETS 373,202 322,408
TOTAL ASSETS LESS CURRENT LIABILITIES 436,278 379,296
NET ASSETS 436,278 379,296
FUNDS 20 20
Unrestricted funds 436,278 379,296
TOTAL FUNDS 436,278 379,296

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2024 in accordance with Section 476 of the Companies Act 2006.

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on April 22[nd] 2025. and were signed on its behalf by:

Ian J. Poulton ACMA CGMA Chair of Board of Trustees

The notes form part of these financial statements

13

Kennet Furniture Refurbiz Ltd

Cash Flow Statement
for the Year Ended 30 September 2024
2024
Notes
£
Cash flows from operating activities
Cash generated from operations
1
13,514
Interest element of hire purchase or finance
lease rental payments paid
-
Net cash provided by operating activities
13,514
Cash flows from investing activities
Purchase of tangible fixed assets
(22,927)
Sale of tangible fixed assets
-
Interest received
2,184
Net cash used in investing activities
(20,743)
Cash flows from financing activities
Capital repayments in year
-
Net cash provided by/(used in) financing activities
-
Change in cash and cash equivalents in the
reporting period
(7,229)
Cash and cash equivalents at the beginning of
the reporting period
335,916
Cash and cash equivalents at the end of the
reporting period
328,687		 2023
£
32,423
(1,159)
31,264
(40,156)
6,250
1,604
(32,302)
(8,150)
(8,150)
(9,188)
345,104
335,916

The notes form part of these financial statements

14

Kennet Furniture Refurbiz Ltd

Notes to the Cash Flow Statement

for the Year Ended 30 September 2024

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

2024 2023
£ £
Net income for the reporting period (as per the Statement of Financial
Activities) 56,982 10,517
Adjustments for:
Depreciation charges 16,739 10,279
Profit on disposal of fixed assets - (6,250)
Interest received (2,184) (1,604)
Interest element of hire purchase and finance lease rental payments - 1,159
Increase in stocks (11,566) (4,755)
Increase in debtors (17,724) (27,698)
(Decrease)/increase in creditors (28,733) 50,775
Net cash provided by operations 13,514 32,423
2. ANALYSIS OF CHANGES IN NET FUNDS
At 1.10.23 Cash flow At 30.9.24
£ £ £
Net cash
Cash at bank and in hand 335,916 (7,229) 328,687
335,916 (7,229) 328,687
Total 335,916 (7,229) 328,687

The notes form part of these financial statements

15

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements

for the Year Ended 30 September 2024

1. STATUTORY INFORMATION

Kennett Furniture Refurbiz Ltd is a charitable company limited by guarantee, without share capital, incorporated in England and Wales. The registered office address, nature of the charity's operations and principal activities can be found in the Trustees' Report.

2. 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.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest pound.

There are no significant areas of judgements or key sources of estimation uncertainty.

Going concern

The trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concern.

Legal status of the Charity

The charity is a company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Donations are recognised when the charity has been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank.

The sale of donated and new goods, whether to the general public or provided under agreements with local authorities, is recognised on point of sale.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost 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.

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

continued...

16

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued

for the Year Ended 30 September 2024

2. ACCOUNTING POLICIES - continued

Tangible fixed assets Motor vehicles - Straight line over 3 years

Tangible fixed assets are recorded at cost and depreciation is calculated to write off the cost, less estimated residual value over their expected useful lives.Fixed assets costing more than £500 are capitalised.

Stocks

Stocks are valued at the lower of cost and net realisable value.

The charitable company does not value donated second hand goods where it is impractical to do so.

Taxation

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

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Donated goods

Donated goods, services and facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised and refer to the trustees’ annual report for more information about their contribution.

On receipt, donated goods, services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Estimating the fair value of donated goods for resale is impractical. Therefore donated goods for resale are not recognised on receipt. Instead, the value to the charity of the donated goods sold is recognised as income when sold.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

continued...

17

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued

for the Year Ended 30 September 2024

3.
DONATIONS AND LEGACIES
Donations and grants
4.
INVESTMENT INCOME
Interest
5.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Grants
Provision of recycled furniture
Sales and fees
Provision of recycled furniture
Grants received, included in the above, are as follows:
Refugee Resettlement and Migration Service
6.
OTHER INCOME
Gain on sale of tangible fixed assets
Kickstarter funding
7.
RAISING FUNDS
Raising donations and legacies
Grant writing fee
8.
CHARITABLE ACTIVITIES COSTS
Provision of recycled furniture		 Direct
Costs (see
note 9)
£
817,425		 2024
£
23,670
2024
£
2,184
2024
£
19,526
865,085
884,611
2024
£
19,526
2024
£
-
-
-
2024
£
2,295
Support
costs (see
note 10)
£
33,763		 2023
£
2,748
2023
£
1,604
2023
£
16,066
648,897		 2023
£
2,748
2023
£
1,604
664,963
2023
£
16,066
2023
£
6,250
1,044
7,294
2023
£
-
Totals
£
851,188		 2023
£
16,066
2023
£
6,250
1,044
7,294
2023
£
-

continued...

18

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued

for the Year Ended 30 September 2024

9. DIRECT COSTS OF CHARITABLE ACTIVITIES

Staff costs
Operating lease - rent
Purchases
Insurance
Light and heat
Telephone
Advertising and sundry
Workshop/property expenses
Fuel
Vehicles costs including hire
Volunteer mileage
Volunteer allowances
Training costs and conferences
Protective clothing
Provision funding
Staff recognition
Depreciation
Interest payable and similar charges
10.
SUPPORT COSTS
Provision of recycled furniture
Support costs, included in the above, are as follows:
Management
Office expenses
Bank charges
Professional fees
Depreciation of office equipment
11.
NET INCOME/(EXPENDITURE)		 2024
2023
£
£
409,791
315,135
55,600
52,547
221,250
139,211
5,955
3,974
4,395
7,972
3,677
3,161
19,655
12,150
18,797
12,441
12,087
10,320
39,577
33,357
3,994
3,634
3,274
2,986
1,814
1,271
2,510
1,860
-
28,000
1,515
-
13,534
9,416
-
1,159
817,425
638,594
Management
£
33,763
2024
2023
Provision
of
recycled
Total
furniture
activities
£
£
9,334
3,559
3,887
3,478
17,337
19,598
3,205
863
33,763
27,498

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

2024 2023
£ £
Depreciation - owned assets 16,739 10,279
Other operating leases 55,600 52,547
Surplus on disposal of fixed assets - (6,250)
Independent examination 2,500 1,030
Operating leases - other 19,259 11,979

continued...

19

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued

for the Year Ended 30 September 2024

12. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 September 2024 nor for the year ended 30 September 2023.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 September 2024 nor for the year ended 30 September 2023.

13. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Employees		 2024
£
374,125
25,746
9,920
409,791
2024
17		 2023
£
291,971
16,323
6,841
315,135
2023
16

No employees received emoluments in excess of £60,000.

Key management personnel for the charity comprises the Trustees and the general manager. The total employee benefits for key management personnel of the charity were £52,783 (2023 - £46,265).

14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies 2,748
Charitable activities
Provision of recycled furniture 664,963
Investment income 1,604
Other income 7,294
Total 676,609
EXPENDITURE ON
Charitable activities
Provision of recycled furniture 666,092
NET INCOME 10,517
RECONCILIATION OF FUNDS
Total funds brought forward 368,779
TOTAL FUNDS CARRIED FORWARD 379,296

continued...

20

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued

for the Year Ended 30 September 2024

15. TANGIBLE FIXED ASSETS

Improvements Fixtures
to
and
property
fittings
£
£
COST
At 1 October 2023
47,489
-
Additions
12,290
10,637
At 30 September 2024
59,779
10,637
DEPRECIATION
At 1 October 2023
6,537
-
Charge for year
10,143
925
At 30 September 2024
16,680
925
NET BOOK VALUE
At 30 September 2024
43,099
9,712
At 30 September 2023
40,952
-
16.
STOCKS
Stocks
17.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Prepayments and accrued income
18.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Social security and other taxes
VAT
Other creditors
Accruals and deferred income
Deferred income
Deferred Income at 1 October 2023
Resources deferred in the year
Amounts released from previous years
Deferred Income at 30 September 2024		 Motor
Office
vehicles
equipment
£
£
34,365
18,922
-
-
34,365
18,922
27,782
9,569
2,467
3,204
30,249
12,773
4,116
6,149
6,583
9,353
2024
£
21,298
2024
£
15,205
61,232
76,437
2024
£
11,268
10,985
2,884
4,522
23,561
53,220
£
36,974
5,953
(36,974)
5,953		 Totals
£
100,776
22,927
123,703
43,888
16,739
60,627
63,076
56,888
2023
£
9,732
2023
£
14,017
44,696
58,713
2023
£
12,235
7,018
-
1,350
61,350
81,953

Deferred income relates to funding received in advance of the provision of furniture.

continued...

21

Kennet Furniture Refurbiz Ltd

Notes to the Financial Statements - continued for the Year Ended 30 September 2024

19. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

20.

Within one year
Between one and five years
In more than five years
MOVEMENT IN FUNDS
At
1.10.23
£
Unrestricted funds
General fund
247,896
Contingency fund
131,400
Provision funding
-
379,296
TOTAL FUNDS
379,296
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
TOTAL FUNDS
Comparatives for movement in funds
At
1.10.22
£
Unrestricted funds
General fund
239,779
Contingency fund
129,000
368,779
TOTAL FUNDS
368,779		 Net
movement
in funds
£
56,982
-
-
56,982
56,982
Incoming
resources
£
910,465
910,465
Net
movement
in funds
£
10,517
-
10,517
10,517		 2024
2023
£
£
82,782
55,600
210,596
180,700
3,602
-
296,980
236,300
Transfers
between
At
funds
30.9.24
£
£
77,570
382,448
(111,400)
20,000
33,830
33,830
-
436,278
-
436,278
Resources
Movement
expended
in funds
£
£
(853,483)
56,982
(853,483)
56,982
Transfers
between
At
funds
30.9.23
£
£
(2,400)
247,896
2,400
131,400
-
379,296
-
379,296		 2023
£
55,600
180,700
-
236,300
At
30.9.24
£
382,448
20,000
33,830
436,278
436,278
56,982
At
30.9.23
£
247,896
131,400
379,296
379,296

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
TOTAL FUNDS		 Incoming
resources
£
676,609
676,609		 Resources
Movement
expended
in funds
£
£
(666,092)
10,517
(666,092)
10,517		 Resources
Movement
expended
in funds
£
£
(666,092)
10,517
(666,092)
10,517
10,517

continued...

22

Kennet Furniture Refurbiz Ltd

for the Year Ended 30 September 2024

Notes to the Financial Statements - continued

20. MOVEMENT IN FUNDS - continued

Contingency fund

The contingency fund has been reduced to £20,000 which relates to a reserve fund for dilapidation.

Provision fund

Surplus charity funds are allocated to the provision fund which is used to provide free goods to those in crisis.

21. EMPLOYEE BENEFIT OBLIGATIONS

The pension cost charge represents contributions payable by Kennet Furniture Refurbiz to the fund and amounted to £9,920 (2023: £6,841). At 31 March 2024 £4,522 (2023: £1,350) of contributions were payable.

22. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 30 September 2024.

23