REGISTERED COMPANY NUMBER: 03363684 (England and Wales) REGISTERED CHARITY NUMBER: 1064202
Report of the Trustees and
Unaudited Financial Statements
for the Year Ended 31 March 2023
for
Keighley Community Nursery Ltd.
Stirk Lambert & Co Chartered Accountants Russell Chambers 61a North Street Keighley West Yorkshire BD21 3DS
Keighley Community Nursery Ltd.
Contents of the Financial Statements for the Year Ended 31 March 2023
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 3 |
| Independent Examiner's Report | 4 | ||
| Statement of Financial Activities | 5 | ||
| Statement of Financial Position | 6 | ||
| Notes to the Financial Statements | 7 | to | 13 |
| Detailed Statement of Financial Activities | 14 | to | 15 |
Keighley Community Nursery Ltd.
Report of the Trustees for the Year Ended 31 March 2023
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 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 Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The main objectives of Keighley Community Nursery Limited is to provide childcare for families in the Keighley and surrounding area.
The main activities of Keighley Community Nursery are nursery day-care for children aged 0 to 5 years, before and after school care for children aged 3 to 11 and holiday club day care for children in the Reception year of Primary school.
The Trustees have considered the guidance in Section 4 of the 2006 Charities Act and consider that the activities of the charitable company are for the Public Benefit as they are open to families from all backgrounds.
Public benefit
The charity's public benefit is providing facilities for the daily care, recreation and education of children who are below compulsory school age or who are of compulsory school age during out of school hours and holidays to children in Keighley and the surrounding areas.
The charity has regarded the Charity Commission's guidance on public benefit.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
The nursery had accumulated reserves of £150,659 as at 31 March 2023. During the year to 31 March 2023 there was a surplus of £23,461 (2022: a surplus of £12,441).
The surplus arose primarily due to an increase in fees received during the year to 31st March 2023.
The nursery remains sustainable with a substantial waiting list, remarkably few complaints received over the last 12 months and a robust continuous professional development program for staff is in place and ongoing.
FINANCIAL REVIEW
Investment policy and objectives
There are insufficient free reserves for long-term investment. The Trustees are satisfied that the gross interest applicable to the business account with the National Westminster Bank is satisfactory.
Reserves policy
The Trustees feel that it is reasonable to try and maintain unrestricted reserves equivalent to 3 months expenditure (£116,200) which are held to protect the organisation against the uncertainties of both trading and funding. At the year end reserves were £150,659 (2022: £127,198), which satisfies the Trustees' target.
The Trustees recognise that, like most organisations in the not-for-profit Childcare environment, Keighley Community Nursery will struggle to achieve this aim on a consistent basis, but they are constantly working hard to raise further funding to maintain this goal.
FUTURE PLANS
The nursery aims to maintain cash reserves of £100,000, with any surplus spent on further improving the quality of care provided as well as maintenance and improvements to the nursery building.
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.
Page 1
Keighley Community Nursery Ltd.
Report of the Trustees for the Year Ended 31 March 2023
STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees
The Memorandum and Articles of Association require the Trustees to be re-elected at the next Annual General Meeting.
To retain the original ethos of the organisation, the trustees will endeavour to ensure that new members are recruited primarily from service users, particularly the parents, as well as ensuring that relevant skills are represented e.g. business, finance, childcare, human resources.
Organisational structure
Keighley Community Nursery Limited Board of Trustees must consist, accordingly to the Articles of Association at least 3 members with no maximum number. The Management Committee meets 5 to 6 times per year.
Induction and training of new trustees
Following election new Trustees will be provided with the relevant information regarding the history, structure and governance of the Company as well as the financial position and strategic priorities.
In addition, new Trustees will be referred to relevant training courses for Committee Members that are available through the Joint Training Board.
Related parties
Keighley Community Nursery's service delivery is consistent with the aims of the National Childcare Strategy and the Every Child Matters agenda.
Keighley Community Nursery has strong links with Bradford Early Years and Childcare Service, Sure Start Keighley, as well as with Local Schools, Colleges, Social Services and other professional agencies.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
03363684 (England and Wales)
Registered Charity number
1064202
Registered office
Braithwaite Grove Keighley West Yorkshire BD22 6JB
Trustees
L Powell M Hall J A Fenwick (resigned 30.11.22) R Simpson (resigned 30.11.22) S L Greenwood - chair R A Balson E L Garnett N Dent
Independent Examiner
Richard J Hudson FCA Stirk Lambert & Co Chartered Accountants Russell Chambers 61a North Street Keighley West Yorkshire BD21 3DS
Page 2
Keighley Community Nursery Ltd.
Report of the Trustees for the Year Ended 31 March 2023
REFERENCE AND ADMINISTRATIVE DETAILS Bank
National Westminster Bank Plc 63 North Street Keighley West Yorkshire
Approved by order of the board of trustees on 30 November 2023 and signed on its behalf by:
S L Greenwood - Trustee
Page 3
Independent Examiner's Report to the Trustees of Keighley Community Nursery Ltd.
Independent examiner's report to the trustees of Keighley Community Nursery Ltd. ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2023.
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:
-
accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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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
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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.
Richard J Hudson FCA
Stirk Lambert & Co Chartered Accountants Russell Chambers 61a North Street Keighley West Yorkshire BD21 3DS
30 November 2023
Page 4
Keighley Community Nursery Ltd.
Statement of Financial Activities (Incorporating an Income and Expenditure Account) for the Year Ended 31 March 2023
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 1,936 Charitable activities 3 Charitable activities 252,995 Nursery Fees 228,991 Other trading activities 2 3,306 Total 487,228 EXPENDITURE ON Raising funds 4 353 Charitable activities 5 Charitable activities 461,417 Nursery Fees - Other 1,984 Total 463,754 NET INCOME/(EXPENDITURE) 23,474 RECONCILIATION OF FUNDS Total funds brought forward 127,160 TOTAL FUNDS CARRIED FORWARD 150,634 |
Restricted funds £ - 1,084 - - 1,084 - 1,097 - - 1,097 (13) 38 25 |
31.3.23 Total funds £ 1,936 254,079 228,991 3,306 488,312 353 462,514 - 1,984 464,851 23,461 127,198 150,659 |
31.3.22 Total funds £ 2,943 221,924 173,407 1,990 |
|---|---|---|---|
| 400,264 | |||
| 461 386,809 553 - |
|||
| 387,823 | |||
| 12,441 114,757 |
|||
| 127,198 |
The notes form part of these financial statements
Page 5
Keighley Community Nursery Ltd.
Statement of Financial Position 31 March 2023
| Unrestricted fund Notes £ FIXED ASSETS Tangible assets 12 6,698 CURRENT ASSETS Debtors 13 15,297 Cash at bank and in hand 134,047 149,344 CREDITORS Amounts falling due within one year 14 (5,408) NET CURRENT ASSETS 143,936 TOTAL ASSETS LESS CURRENT LIABILITIES 150,634 NET ASSETS 150,634 FUNDS 15 Unrestricted funds Restricted funds TOTAL FUNDS |
Restricted funds £ 25 - - - - - 25 25 |
31.3.23 Total funds £ 6,723 15,297 134,047 149,344 (5,408) 143,936 150,659 150,659 150,634 25 150,659 |
31.3.22 Total funds £ 7,900 11,639 117,714 129,353 (10,055) 119,298 127,198 127,198 127,160 38 127,198 |
|---|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2023.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2023 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
-
(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
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(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
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 30 November 2023 and were signed on its behalf by:
S L Greenwood - Trustee
The notes form part of these financial statements
Page 6
Keighley Community Nursery Ltd.
Notes to the Financial Statements for the Year Ended 31 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.
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.
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.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Improvements to property - 15% on reducing balance Fixtures and fittings - 25% on reducing balance
Toys are written off in full in the year of purchase as their useful life is typically less than one year.
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.
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.
continued...
Page 7
Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
| 2. OTHER TRADING ACTIVITIES Fundraising 3. INCOME FROM CHARITABLE ACTIVITIES Activity Grants Charitable activities Fees Nursery Fees Grants received, included in the above, are as follows: Bradford Council NEF Milk Grant HMRC Coronavirus job retention scheme 4. RAISING FUNDS Raising donations and legacies Publicity Fundraising costs 5. CHARITABLE ACTIVITIES COSTS Direct Costs (see note 6) £ Charitable activities 449,226 |
31.3.23 £ 3,306 31.3.23 £ 254,079 228,991 483,070 31.3.23 £ 252,995 1,084 - 254,079 31.3.23 £ 70 283 353 Support costs (see note 7) £ 13,288 |
31.3.22 £ 1,990 31.3.22 £ 221,924 173,407 |
|---|---|---|
| 395,331 | ||
| 31.3.22 £ 219,700 742 1,482 |
||
| 221,924 | ||
| 31.3.22 £ 99 362 461 Totals £ 462,514 |
continued...
Page 8
Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
6. DIRECT COSTS OF CHARITABLE ACTIVITIES
| Staff costs Nursery supplies and food Repair and refurbishment Sundries Cleaning costs Telephone, stationery and office Minibus expenses Bad debts Depreciation 7. SUPPORT COSTS Other resources expended Charitable activities 8. NET INCOME/(EXPENDITURE) Net income/(expenditure) is stated after charging/(crediting): Depreciation - owned assets |
31.3.23 £ 411,613 20,628 4,465 3,702 2,801 3,376 50 1,041 1,550 449,226 Governance Other costs £ £ 1,984 - 11,203 2,085 13,187 2,085 31.3.23 £ 1,550 |
31.3.22 £ 342,726 14,033 3,942 3,665 2,247 3,398 4,246 524 1,822 |
31.3.22 £ 342,726 14,033 3,942 3,665 2,247 3,398 4,246 524 1,822 |
|---|---|---|---|
| 376,603 | |||
| Totals £ 1,984 13,288 15,272 31.3.22 £ 1,822 |
Totals £ 1,984 13,288 |
||
| 15,272 |
9. TRUSTEES' REMUNERATION AND BENEFITS
During the year one of the charities trustees was remunerated through their employment as a member of key personnel and management.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 March 2023 nor for the year ended 31 March 2022.
10. STAFF COSTS
The average monthly number of employees during the year was as follows:
| 31.3.23 | 31.3.22 | |
|---|---|---|
| Nursery staff | 27 | 26 |
No employees received emoluments in excess of £60,000.
continued...
Page 9
Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
| 11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted fund £ INCOME AND ENDOWMENTS FROM Donations and legacies 2,943 Charitable activities Charitable activities 221,182 Nursery Fees 173,407 Other trading activities 1,990 Total 399,522 EXPENDITURE ON Raising funds 461 Charitable activities Charitable activities 386,054 Nursery Fees 553 Total 387,068 NET INCOME/(EXPENDITURE) 12,454 RECONCILIATION OF FUNDS Total funds brought forward 114,706 TOTAL FUNDS CARRIED FORWARD 127,160 12. TANGIBLE FIXED ASSETS Improvements to property £ COST At 1 April 2022 11,621 Additions - At 31 March 2023 11,621 DEPRECIATION At 1 April 2022 6,465 Charge for year 773 At 31 March 2023 7,238 NET BOOK VALUE At 31 March 2023 4,383 At 31 March 2022 5,156 |
Restricted funds £ - 742 - - 742 - 755 - 755 (13) 51 38 Fixtures and fittings £ 50,724 373 51,097 47,980 777 48,757 2,340 2,744 |
Total funds £ 2,943 221,924 173,407 1,990 |
|---|---|---|
| 400,264 | ||
| 461 386,809 553 |
||
| 387,823 | ||
| 12,441 114,757 |
||
| 127,198 | ||
| Totals £ 62,345 373 62,718 54,445 1,550 55,995 6,723 7,900 |
continued...
Page 10
Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
| 13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade debtors Prepayments & accrued income 14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Social security and other taxes Accrued expenses 15. MOVEMENT IN FUNDS At 1.4.22 £ Unrestricted funds General fund 127,160 Restricted funds OFSTED fund 38 TOTAL FUNDS 127,198 Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 487,228 Restricted funds OFSTED fund - Milk Grant 1,084 1,084 TOTAL FUNDS 488,312 |
31.3.23 31.3.22 £ £ 14,838 11,159 459 480 15,297 11,639 31.3.23 31.3.22 £ £ 2,145 2,675 1,463 5,534 1,800 1,846 5,408 10,055 Net movement At in funds 31.3.23 £ £ 23,474 150,634 (13) 25 23,461 150,659 Resources Movement expended in funds £ £ (463,754) 23,474 (13) (13) (1,084) - (1,097) (13) (464,851) 23,461 |
|---|---|
continued...
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Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
15. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| At 1.4.21 £ Unrestricted funds General fund 114,706 Restricted funds OFSTED fund 51 TOTAL FUNDS 114,757 Comparative net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 399,522 Restricted funds OFSTED fund - Milk Grant 742 742 TOTAL FUNDS 400,264 A current year 12 months and prior year 12 months combined position is as follows: At 1.4.21 £ Unrestricted funds General fund 114,706 Restricted funds OFSTED fund 51 TOTAL FUNDS 114,757 |
Net movement At in funds 31.3.22 £ £ 12,454 127,160 (13) 38 12,441 127,198 Resources Movement expended in funds £ £ (387,068) 12,454 (13) (13) (742) - (755) (13) (387,823) 12,441 Net movement At in funds 31.3.23 £ £ 35,928 150,634 (26) 25 35,902 150,659 |
|---|---|
continued...
Page 12
Keighley Community Nursery Ltd.
Notes to the Financial Statements - continued for the Year Ended 31 March 2023
15. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Restricted funds OFSTED fund Milk Grant TOTAL FUNDS |
Incoming resources £ 886,750 - 1,826 1,826 888,576 |
Resources Movement expended in funds £ £ (850,822) 35,928 (26) (26) (1,826) - (1,852) (26) (852,674) 35,902 |
|---|---|---|
The restricted fund represents assets that were acquired with a grant from OFSTED. The grant was only to be spent on things that would improve the nurseries facilities and staff training for the nursery to gain a better OFSTED inspection result in the future. These assets are being depreciated over their useful life.
16. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 March 2023.
Page 13
Keighley Community Nursery Ltd.
| Detailed Statement of Financial Activities | |||
|---|---|---|---|
| for the Year Ended 31 March 2023 | |||
| 31.3.23 | 31.3.22 | ||
| £ | £ | ||
| INCOME AND ENDOWMENTS | |||
| Donations and legacies | |||
| Donations and other income | 1,936 | 2,943 | |
| Other trading activities | |||
| Fundraising | 3,306 | 1,990 | |
| Charitable activities | |||
| Fees | 228,991 | 173,407 | |
| Grants | 254,079 | 221,924 | |
| 483,070 | 395,331 | ||
| Total incoming resources | 488,312 | 400,264 | |
| EXPENDITURE | |||
| Raising donations and legacies | |||
| Publicity | 70 | 99 | |
| Fundraising costs | 283 | 362 | |
| 353 | 461 | ||
| Charitable activities | |||
| Wages | 391,122 | 326,882 | |
| National insurance | 15,384 | 11,535 | |
| Pensions | 5,107 | 4,309 | |
| Nursery supplies and food | 20,628 | 14,033 | |
| Repair and refurbishment | 4,465 | 3,942 | |
| Sundries | 3,702 | 3,665 | |
| Cleaning costs | 2,801 | 2,247 | |
| Telephone, stationery and office | 3,376 | 3,398 | |
| Minibus expenses | 50 | 4,246 | |
| Bad debts | 1,041 | 524 | |
| Improvements to property | 773 | 910 | |
| Fixtures and fittings | 777 | 912 | |
| 449,226 | 376,603 | ||
| Support costs | |||
| Other | |||
| Insurance | 1,952 | 1,946 | |
| Premises costs | 8,266 | 4,234 | |
| Recruitment & training | 1,984 | 1,937 | |
| Bank charges | 985 | 757 | |
| 13,187 | 8,874 |
This page does not form part of the statutory financial statements
Page 14
Keighley Community Nursery Ltd.
Detailed Statement of Financial Activities for the Year Ended 31 March 2023
| 31.3.23 | 31.3.22 | |
|---|---|---|
| £ | £ | |
| Other | ||
| Governance costs | ||
| Accountancy and legal fees | 1,890 | 1,800 |
| Legal fees | 195 | 85 |
| 2,085 | 1,885 | |
| Total resources expended | 464,851 | 387,823 |
| Net income | 23,461 | 12,441 |
This page does not form part of the statutory financial statements
Page 15