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2022-12-31-accounts

N A B S

(A charitable company limited by guarantee)

REPORT AND FINANCIAL STATEMENTS

Year ended 31 December 2022

Charity No. 1070556 Company Registration No. 03588945

N A B S (A charitable company limited by guarantee) CONTENTS

Page
Company Information 1
Trustees’ Report 2 – 10
Statement of Trustees’ Responsibilities 11
Independent Auditor’s Report 12 - 14
Consolidated Statement of Financial Activities 15
Balance Sheets – Consolidated and Charity 16
Consolidated Cash Flow Statement 17
Accounting Policies 18 – 21
Notes to the Financial Statements 22 – 33

N A B S (A charitable company limited by guarantee) COMPANY INFORMATION

TRUSTEES AND ADVISERS

S Daglish (Chair) P Hughes J Salinson K Fowler A Cook J Healy D Carter

H Nicklin N Patel M Bush N Pertwee (formerly Jasinski) J Peppiatt K Smith (Treasurer)

COMPANY SECRETARY B Lawson

REGISTERED OFFICE 10 Hills Place London W1F 7SD

INDEPENDENT AUDITOR RSM UK Audit LLP 25 Farringdon Street London EC4A 4AB

BANKERS The Royal Bank of Scotland 36 Andrew Square Edinburgh EH2 2YB

SOLICITORS Womble Bond Dickinson 4 More London Riverside London SE1 2AU

INVESTMENT MANAGERS Pocock Rutherford & Co 111-113 High Street Berkhamsted Hertfordshire HP4 2JF

Page 1

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

REFERENCE AND ADMINISTRATIVE INFORMATION

The Trustees (who are also company directors for the purposes of company law) are pleased to present their Report and Accounts for NABS for the year ended 31 December 2022.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and 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 October 2019).

NABS is registered with the Charity Commission under registration number 1070556 and with Companies House under registration number 03588945. NABS operates across the United Kingdom. Details of NABS’ trustees and senior staff who served during the year and since the year end are set out below.

Trustees and members of Executive Committee

K Fowler K Smith Treasurer J Salinson Trustee, Support Services P Hughes S Daglish Chairman N Patel M Bush A Cook H Nicklin N Pertwee (formerly Jasinski) J Peppiatt J Healy D Carter

Senior Staff

D Tickell Chief Executive (to 29[th] April 2022) S Todd Chief Executive (from 21[st] April 2022)

Page 2

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

STRUCTURE, GOVERNANCE AND MANAGEMENT

NABS was founded in 1913. NABS is a charitable company limited by guarantee incorporated on 26 June 1998 in England and Wales. The charity was established under a memorandum of association which established the objects and powers of the charitable company. NABS has a wholly owned trading subsidiary, NABS Trading Limited incorporated in England and Wales whose principal activity is the running of fundraising events. Part of the surpluses generated by NABS Trading Limited are distributed to NABS under the Articles of Association. NABS is governed by its Executive Committee which consists of elected Trustees and key senior management of NABS appointed as prescribed by the Articles of Association. Executive Committee meetings are held typically 4 times a year. They are used to review performance over the current year and agree key objectives for the next and longer term depending on the strategic planning cycle. Presentations and discussions in each meeting keep the Trustees informed about the work of NABS and all latest developments.

Responsibility for reviewing key areas of activity and policy are delegated to sub-committees that report back to the Executive Committee. The sub-committees monitor and scrutinise the work of NABS. The day-to-day running of NABS and NABS Trading Limited and the exercise of executive responsibility is delegated to the Chief Executive (CEO).

The current sub-committees are:

Third party indemnity provision for Directors

Qualifying third party indemnity provision is in place for the benefit of all directors of the company.

Trustee Recruitment, Induction and Training

Trustees are sought primarily by way of exploration of the field of potential suitable candidates through discussion by existing Trustees, other members of the Executive Committee and external recruitment advisors to ensure appropriate representation across NABS Beneficiary audiences and increase diversity.

Following the directives laid down by the Governance Committee, new Trustees have a comprehensive induction, receive a role description and briefing on the Charity Commission’s “The Essential Trustee: what you need to know, what you need to do”. Alongside the Trustee Inductions, Trustees also receive periodic raining, of which the last session took place on 21[st] September 2022, carried out by Womble Bond Dickinson. Governance has been further reviewed against the latest Charity Governance Code and an action plan drawn up that focuses on regular review and constant improvement is in action. Trustees are appointed by the Executive Committee of the Charity.

Management

The shape of the permanent team is structured within four core teams:

In September 2022 the core departments were restructured to reflect business needs as follows –

Page 3

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

Each team is led by a Director who reports directly into the CEO.

NABS’ Articles of Association set out the ability of the Trustees to delegate their authority to the CEO and other groups and committees as required. The terms of references for committees and delegated authorities were all reviewed and thoroughly updated during 2020.

The CEO reports to the Executive Committee. Specifically, the objectives of the CEO are set and monitored by the Finance Committee. The Finance Committee recommends the pay and remuneration for the CEO and other key management personnel to the Executive Committee using industry (advertising and media) and charity benchmarks and reviews and monitors the pay of the senior leadership team and other personnel through detailed budget reviews.

The CEO and management are in turn supported by operational sub-committees focusing on Finance which typically meets monthly, and a quarterly Governance Committee as noted above.

Fundraising

NABS is the benevolent society for the advertising, marketing and media industry and is funded primarily by industry organisations who provide the charity with voluntary, annual donations. Alongside corporate fundraising NABS runs a calendar of fundraising events and also receives donations from individuals and 3[rd] party and community fundraising events and raffles.

We do not approach the general public for donations and currently do not use professional partners or commercial fundraisers. We have not received any complaints regarding our fundraising (2021: none). We do not ask for donations from vulnerable people and should we receive an unsolicited donation that we would consider unusual from a beneficiary we have processes in place to assure us of their mental capacity in which to make any such donation.

STRATEGIC REPORT, OBJECTIVES AND ACTIVITIES

NABS is the support organisation for the advertising, marketing and media industry.

NABS’ vision is to see a UK advertising and media industry which truly believes and demonstrates that vital to success is the wellbeing of its people. NABS’ purpose is to improve and champion the wellbeing of everyone in advertising and media, to help them succeed and thrive.

2022 has been another challenging year for NABS and the advertising industry at large as the recovery from Covid-19 and the financial losses NABS experienced continue to impact its financial recovery plans.

The Covid-19 pandemic, the war in Ukraine and resulting food and energy crises, surging inflation, debt tightening, as well as the climate emergency all further impacted NABS’ income as well as demand on its services in 2022.

NABS finished the year with a £1,080k deficit position, together with a £585k net loss on investments resulting in a total decrease in NABS reserves of £1,666k, against a backdrop of increased year on year service demand of 35%.

NABS has increased expenditure in 2022 on marketing and fundraising activities in order to stimulate income growth in 2023 and future years, in order to try and address the increased deficit the organisation has faced in 2022.

Emotional support was the number one reason for calling NABS in 2022, with 66% of all emotional support callers citing poor mental health, up 31% on 2021.

Page 4

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

37% of NABS total calls, were related to financial support with the launch of NABS’ Cost of Living Grant in direct response to rising living costs and growing financial anxiety, job losses and increased redundancies across the sector.

The Trustees and the Management Team continued to work closely together in 2022 to ensure that NABS could respond to everyone who needed us, ensuring greater accessibility of our service provision to provide wellbeing and mental health support to individuals in a particularly challenging year, to help everyone thrive in their industry careers, at whatever life stage.

NABS Aims

The Trustees refined and revised NABS’ overarching aims in 2022, building on the aims laid out in 2021 as follows -

  1. To improve the take up of NABS services providing a relevant and accessible offer

  2. To transform NABS operating model for long term financial sustainability

  3. To influence positive change for greater levels of wellbeing for all

  4. NABS strategic approach to deliver theses aims has continued to be cemented in 3 main guiding principles-

  5. Putting wellbeing first – providing first rate services to the industry and ensuring that we continue to prove the case for wellbeing and its benefit on the business bottom line.

  6. Working together for change with our industry community, and recognising that we are stronger together and as a collective we can effect real and lasting change and draw on the expertise of our strategic partnerships.

  7. Providing the industry with expertise driven by insights. With access to unique data and insights NABS has many proof points that sit at the heart of its service development and influencing ability.

NABS’ Activities

NABS’ principal activities during 2022 to meet the needs of our audience and deliver public benefit were:

Page 5

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

Risk management

The Governance Committee of the Charity updates and reviews the risk register at regular committee meetings and reviews and formulates risk mitigation plans which it then recommends to the Executive Committee. All areas of the Charity are covered by a comprehensive risk assessment. In 2022 we consider our principal risks to be:

Achievements and Performance

The following objectives, were updated and revised on the previous years objectives to measure performance and success in 2022, as follows –

2022 Objectives –

  1. To strengthen the NABS brand positioning for increased levels of understanding, engagement, income and influence

  2. To evolve the service offering for greater inclusivity

  3. To model all NABS activity against updated ROI criteria for increased income and engagement

  4. Strengthen NABS internal operations for optimal, new ways of working

  5. To further build and nurture NABS’ internal culture and expertise so we can truly lead the industry, from the inside out.

During 2022 we achieved

Service provision across the sector -

Page 6

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

Mental wellness engagement, awareness, influence and fundraising -

Greater accessibility, inclusion and culture change -

Page 7

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

ROI, Internal operations and ways of working

New leadership structure and ways of working -

PLANS FOR FUTURE PERIODS

In Q4 2022 the NABS leadership team and board of trustees set out a 3 year plan to eradicate the annual deficit by the end of 2025, following significant income losses due to the slow Covid-19 recovery. It is essential that

Page 8

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

NABS increases its income in 2023 and beyond to reach a financially sustainable balance between fundraising income, expenditure and service provision.

The following areas are considered of critical importance over the coming years –

NABS is committed to using its pivotal role within the UK advertising, marketing and media industry to continue to help even more people to thrive, ensuring that mental health and putting people first is high on organisations’ agendas at a tough time for the industry and the country at large.

By the end of 2023 NABS expects to be back up to the income levels of £3 million, to deliver on the detailed ambitions above.

FINANCIAL REVIEW

The principal funding sources of the organisation are voluntary income and donations (£1.85m (2021: £2m)) and charitable trading activities (£0.6m (2021: £0.5m)). The consolidated results for the end of the year produced income of £2.5m (2021: £2.5m), against expenditure of £3.6m (2021: £3.2m). NABS Trading Limited, a wholly owned subsidiary of the Charity, is responsible for the organisation of the annual Stranger than Summer Charity Ball, Fast Forward training programme, timeTo training and the new NABS Training and earned a profit before taxation of £197,700 (2021: £170,507) and distributed £195,118 to NABS (2021: £167,756). The operating deficit of the consolidated accounts (including unrealised loss from investment assets of £585,428) was £1,665,570 (2021: £351,524 deficit). The year end net assets were £3.6m (2021: £5.3m).

GRANT MAKING POLICY

It is NABS’ aim, through the provision of financial assistance combined with practical support, to help improve and champion the wellbeing of those in our industry, put its beneficiaries in a better position for the future, allow its beneficiaries to take charge of their lives and enable its beneficiaries to live independently.

Applications for financial support are made by completing an application form and by providing supporting information. These are reviewed to assess the applicant’s career history and financial circumstances against NABS’ eligibility criteria. Those applicants who meet the criteria are agreed by the Support Team within their delegated amounts or referred up (to the Director, CEO or Trustee) as required.

The Finance Committee receive an overview of NABS grants on a monthly basis.

INVESTMENT POLICY AND PERFORMANCE

The Finance Committee manages the Charity’s investments together with an appointed professional advisor on behalf of the Charity. The application of the investment assets is reviewed regularly with a desire to achieve improved investment performance without exposing the charity’s assets to unreasonable investment risks. In accordance with the investment policy, investments are held in a discretionary managed portfolio.

Page 9

N A B S (A charitable company limited by guarantee) TRUSTEES’ REPORT

The NABS listed portfolio has decreased from £3,633,115 to £2,547,517 during the year which included a drawdown of £514,150 to aid cashflow. The markets have continued to be volatile in 2022 due to many economic factors with a decrease of £571,448 (18.32%) in value shown at the year-end. No targets were set for 2022 nor have been for the year ahead but a regular update on cashflow is key to pinpoint if further drawdown is needed to aid cashflow.

RESERVES POLICY

Consideration for the reserves strategy is normally made in three ways:

Based on the risks to income as set out in this report and accounts, reserves are held in case of any sudden decline in income and to ensure that commitments to providing services for financial support and grants to beneficiaries can be made with some confidence whilst ensuring reserves are not held at unnecessarily high levels. As at 31 December 2022, the Group’s free reserves (excluding restricted and designated funds, and tangible fixed assets) amounted to £3.1m (2021: £4.7m). With estimated annual net expenditure of £3.2 million per the 2023 Q1 reforecast budget, this means 11.9 months forward unrestricted expenditure would be covered at the year-end.

The focus continues to be on a sustainable future through technology and innovation to expand NABS’ reach and bringing cultural change focusing on diversity and inclusion. Due to Covid-19 the Trustees reviewed the reserves policy in 2021. Based on the severity of a significant medium-term loss like the one experienced due to Covid19, the Trustees have agreed a policy of between 6 to 11 months as their longer term goal to enable NABS’ Reimagination programme to continue and protect from further income shock.

The designated reserves are currently for the use of benefitting NABS’ beneficiaries living at Peterhouse upon request with no current time limit on their use. Two of the three restricted reserves are donations made and spent annually with any balance carried forward to the next year. The David Pilton award is a one-off donation that has been reducing gradually each year, currently being used to support NABS’ Ambassador Programme.

PUBLIC BENEFIT

The Trustees have complied with their duty to have due regard to the guidance on Public Benefit published by The Charity Commission in exercising their power or duties. NABS’ ‘public’ is anyone who has spent a large proportion of their career working in the marketing services industry (“the Industry”) and suppliers whose businesses specialise in providing services to the Industry and any persons who have or have at any time been dependent upon any person engaged in the Industry. The ‘benefit’ offered to this community includes the provision of crisis grants, advice, support, career coaching, promotion of physical and mental health and wellbeing, the advancement of education in the marketing, advertising and creative industries and high professional standards and the promotion of equality and diversity in the Industry.

AUDITOR

RSM UK Audit LLP has indicated its willingness to continue in office.

Approved by the board of trustees on 19 July 2023 and signed on its behalf by

Karla Smith Trustee

Page 10

N A B S (A charitable company limited by guarantee) STATEMENT OF TRUSTEES’ RESPONSIBILITIES

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

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

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the income and expenditure, of the charitable group for that period. In preparing these financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company 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 charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO THE AUDITOR

The Trustees (who are also directors for the purposes of company law) in office on the date of this report have confirmed, as far as they are aware, that there is no relevant audit information of which the auditor is unaware. Each of the Trustees has confirmed that they have taken all the steps that they ought to have taken as Trustees in order to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor.

Page 11

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF NABS

Opinion

We have audited the financial statements of NABS (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 December 2022 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Company Balance Sheets, the Consolidated Cash Flow Statement and notes to the financial statements, including 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:

Basis for opinion

We have been appointed auditors under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts.

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 group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

The other information comprises the information included in the Trustees’ Report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the Trustees’ Report. 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.

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 course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 12

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report or the Strategic Report included within the Trustees’ Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Act 2011 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ responsibilities set out on page 11, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

The extent to which the audit was considered capable of detecting irregularities, including fraud Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

Page 13

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team:

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities Act 2011, the parent charitable company’s governing document, and tax legislation. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Trustees’ Report, and remaining alert to any new or unusual transactions which may not be in accordance with the governing documents.

The group audit engagement team identified the risk of management override of controls and as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to any significant, unusual transactions and transactions entered into outside the normal course of business and challenging judgments and estimates.

A further description of our responsibilities for the audit of the financial statements is provided on the Financial Reporting Council’s website at http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an 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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

NICHOLAS SLADDEN (Senior Statutory Auditor) For and on behalf of RSM UK AUDIT LLP, Statutory Auditor Chartered Accountants 25 Farringdon Street London EC4A 4AB Date 27 July 2023

RSM UK Audit LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Page 14

N A B S (A charitable company limited by guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including the Income and Expenditure Account) For the year ended 31 December 2022

Notes
Unrestricted
Funds
2022
£
Restricted
Funds
2022
£




Income from:
Donations and legacies
1
1,784,019
62,500
Other trading activities
1
634,607
-
Investments
1
18,909
-


Total income
2,437,535
62,500
__
_
Expenditure on:
Raising funds
2
2,195,525
-
Charitable activities:
Grant making
3
185,582
74,239
Careers Counselling/Advice Line
3
1,124,831
-
_
_
Total expenditure
3,505,938
74,239
Net (loss)/gain on investments
9
(585,428)
-
_
_
Net expenditure
7
(1,653,831)
(11,739)
_
___
Net movement in funds
(1,653,831)
(11,739)
Fund balances brought forward at 1 January
5,213,226
96,711
_
Fund balances carried forward at 31 December
14a
3,559,395
84,972

__		 Total
Funds
2022
£




1,846,519
634,607
18,909
2,500,035
_

2,195,525
259,821
1,124,831
______

3,580,177
(585,428)
___

(1,665,570)
_

(1,665,570)
5,309,937
______
3,644,367
___		 Total
Funds
2021
£
1,977,630
498,954
16,987
2,493,571
_
1,756,154
237,600
1,201,857
_
3,195,611
350,516
_
(351,524)
_
(351,524)
5,661,461
_
5,309,937
_

Page 15

N A B S (A charitable company limited by guarantee) BALANCE SHEETS – CONSOLIDATED AND CHARITY

At 31 December 2022 Company Registration No: 03588945


Notes
FIXED ASSETS
Tangible assets
8
Investments
9


CURRENT ASSETS
Debtors
10
Cash at bank and in hand

CREDITORS: Amounts falling due
within one year
11
NET CURRENT ASSETS
TOTAL NET ASSETS

Represented by:
FUNDS
Restricted Funds
12
Unrestricted funds:
Designated funds
13
General funds
14

TOTAL FUNDS
 Group
2022
£
2021
£
235,046
277,287
2,561,971
3,647,569
2,797,017
3,924,856
738,222
1,036,213
577,306
808,149
1,315,528
1,844,362
(468,178)
(459,281)

847,350
1,385,081
3,644,367
5,309,937
_
_
84,972
96,711
197,264
205,337
3,362,131
5,007,889
3,644,367
5,309,937		 Charity
2022
£
2021
£
235,046
277,287
2,561,973
3,647,571
_
_
2,797,019
3,924,858
_
_
633,780
1,153,531
532,658
635,210

1,166,438
1,788,741
(341,583)
(424,048)

824,855
1,364,693
_
_
3,621,874
5,289,551
_
_
84,972
96,711
197,264
205,337
3,339,638
4,987,503
_
_
3,621,874
5,289,551
_
_		 Charity
2022
£
2021
£
235,046
277,287
2,561,973
3,647,571
_
_
2,797,019
3,924,858
_
_
633,780
1,153,531
532,658
635,210

1,166,438
1,788,741
(341,583)
(424,048)

824,855
1,364,693
_
_
3,621,874
5,289,551
_
_
84,972
96,711
197,264
205,337
3,339,638
4,987,503
_
_
3,621,874
5,289,551
_
_
1,364,693
_
5,289,551
__
96,711
205,337
4,987,503
_
5,289,551
_

The Charity’s deficit for the year was £1,667,677 (2021: £353,746 deficit).

19 July 2023 and signed on its behalf by

Karla Smith Trustee

Page 16

N A B S (A charitable company limited by guarantee) CONSOLIDATED CASH FLOW STATEMENT for the year ended 31 December 2022

OPERATING ACTIVITIES
Notess
Cash (used in) operations
15a
Corporation taxes paid

Net cash (used in) operating activities
INVESTING ACTIVITIES
Purchase of investments
Sale of investments
Interest received
Dividends received
Net cash generated by investing activities
FINANCING ACTIVITIES
Repayment of borrowings
Net cash (used in)/generated by financing activities
Net (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
15b		 _
 2022
£
2021
£
(749,447)
(930,663)
(475)
(11,951)
_ ___
(749,922)
(942,614)

(13,980)
(15,507)
514,150
1,528,115
9,638
7,715
9,271
9,272
_
_
519,079
1,529,595
-
(1,100,000)
_
_
-
(1,100,000)

(230,843)
(513,019)
808,149
1,321,168

577,306
808,149
 2021
£
(930,663)
(11,951)
__
(942,614)
_
(513,019)
1,321,168
808,149

Page 17

N A B S (A charitable company limited by guarantee) ACCOUNTING POLICIES

NABS is a charitable company limited by guarantee incorporated in England and Wales. The registered office can be found on page 1.

BASIS OF ACCOUNTING

The financial statements have been prepared in accordance with 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 October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

NABS meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

GROUP FINANCIAL STATEMENTS

The financial statements are prepared in sterling, which is the functional currency of the group. Monetary amounts in these financial statements are rounded to the nearest £1. The financial statements consolidate the results of the charity and its wholly owned subsidiary NABS Trading Limited on a line-by-line basis. A separate Statement of Financial Activities and Income and Expenditure Account for the charity has not been presented because the Trust has taken advantage of the exemption afforded by section 408 of the Companies Act 2006.

GOING CONCERN

The company’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Trustees’ Report.

The Charity continues to have a good level of reserves and some of these are planned to continue being deployed in 2023 to ensure demand for services from our beneficiaries is met at this critical time, to ensure the organisation invests in projects that focus on its long term sustainability with a view to breakeven by 2025. These reserves are readily realisable via the investment portfolio. During 2022 £514,150 was drawn down from the portfolio to aid cashflow.

Despite an industry that was substantially hit by the pandemic, the annual commitments from the Marketing, Communications and Advertising Sector, who are both the chief source of donations and form our main beneficiary group, remain positive. The annual budgeting and quarterly reforecasting process are input into a longer term, 5 year financial planning model to identify risk points. The fundraising team review and research the market re media and corporate donations and hope to breakeven by 2025 and be in profit thereafter. Cashflow forecasting (generated from the budget/reforecasts) ensures funds are available to support NABS as a going concern. Long term financial planning scenarios also look at likelihood and impact of risks and determine a timeline for key decision making ie stop/start of Transformation projects, cost cutting measures and investment drawdown to aid cashflow. With these processes in place the Trustees believe the group is well placed to manage its business risk successfully.

Due to the above reasons the Trustees have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

FUND ACCOUNTING

General funds are unrestricted funds which are available for use at the discretion of the Trustees in the furtherance of the general objectives of the charity and have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of the designated funds is set out in the notes to the financial statements. The funds are used at the discretion of the Executive Committee.

Restricted funds comprise of funds that have been given to NABS on condition that they are expended on purposes specified by the donor.

Page 18

N A B S (A charitable company limited by guarantee) ACCOUNTING POLICIES

INCOME

Voluntary income is included in the accounts on the basis of amounts notified to the charity as a probable receipt or more likely than not to be received for the financial year. The income from activities including fundraising events for generating funds is included in the accounts on a receivable basis. Investment income is credited as income on a receivable basis. Media donations are recognised when the sale of the advertising space is certain. All other income is included on an accruals basis, once there is sufficient certainty over entitlement and measurement and it is probable that the income will be received. Where income has been received in advance, or conditions for receipt have not been met, this is treated as deferred income.

LEGACIES

Legacies are credited as income on the basis of amounts notified to the charity at the period end as receivable. This is on an accruals basis, once there is sufficient certainty over entitlement and measurement and it is probable that the income will be received.

LISTED INVESTMENTS

Investments are all single priced funds. Realised and unrealised gains and losses on investments are added to or deducted from the general unrestricted funds. Realised gains and losses in the year represent the difference between the disposal proceeds and in year purchase cost or the market value at the beginning of the year. Realised and unrealised gains and losses are dealt with in the Statement of Financial Activities. Investment income is treated on initial recognition and subsequent measurement then credited to income on an accruals basis, using dates of payments for dividends and daily accrual for interest. Investments are initially recognised at cost and are subsequently measured at fair value at each reporting date.

VALUE ADDED TAX

Value added tax is not recoverable by the charity, and as such is included within the relevant costs in the Statement of Financial Activities. The wholly owned subsidiary is registered for VAT, which is recovered/accrued for as required.

OPERATING LEASES

Rentals applicable to operating leases where substantially all the benefits and risks of ownership remain with the lessor are reflected in the Statement of Financial Activities on a straight line basis over the lease term.

EXPENDITURE

The areas in which resources are expended are in Charitable Activities (as per the charitable objectives); Fundraising (expenditure incurred in inducing people and organisations to contribute financially to the charity’s work; this includes the cost of staging of special fundraising events); and Governance (all expenditure relating to constitutional and statutory costs, including the cost of external audit).

ALLOCATION OF COSTS

Direct costs are recorded under the appropriate heading. Indirect support costs include overhead costs, finance, personnel, payroll and governance costs allocated on a time apportionment and square footage basis. Governance costs include audit fees and legal and professional fees as direct costs plus indirect costs on the same basis as support costs.

Wages and salaries have been allocated between appropriate cost headings according to the duties and responsibilities of the individual staff.

WELFARE GRANTS AND LOANS

Grants and loans are made by the charity in furtherance of its aims. Grants are charged as resources expended on an accruals basis. Loans advanced are included as an asset of the charity and included as Programme Related Investments held at cost less accumulated impairment. Interest receivable on the loans advanced, where applicable, is credited as incoming resources in the Statement of Financial Activities on an accruals basis.

TANGIBLE FIXED ASSETS

Tangible fixed assets are stated at historical cost less depreciation. Individual fixed assets costing £1,000 or more are capitalised at cost.

Page 19

N A B S (A charitable company limited by guarantee) ACCOUNTING POLICIES

Depreciation is provided on all tangible fixed assets other than freehold land at rates calculated to write each asset down to its estimated residual value evenly over its expected useful life, as follows:-

Furniture and equipment 10-20% straight line Computer equipment 20-33⅓% straight line Office furniture and equipment 20% straight line

PENSION SCHEME ARRANGEMENTS

The charity operates a defined contribution pension scheme which is funded by contributions partly from the employees and partly from the charity. Such contributions are held in trustee-administered funds completely independent of the charity’s finances. The amount charged to the Statement of Financial Activities in respect of pension costs is the contributions payable in the period. Unpaid amounts at the year end are included in other creditors.

DEBTORS

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

CASH AT BANK AND IN HAND

Cash at bank and 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 company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

BASIC FINANCIAL ASSETS

Basic financial assets, which include trade and other receivables, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost being the transaction price less any amounts settled and impairment losses.

IMPAIRMENT OF FINANCIAL ASSETS

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Page 20

N A B S (A charitable company limited by guarantee) ACCOUNTING POLICIES

DERECOGNITION OF FINANCIAL ASSETS

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

CLASSIFICATION OF FINANCIAL LIABILITIES

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

BASIC FINANCIAL LIABILITIES

Basic financial liabilities, which include trade and other payables, amounts owed to group undertakings and accruals, are initially recognised at transaction price and subsequently measured at amortised cost, being transaction price less any amounts settled.

DERECOGNITION OF FINANCIAL LIABILITIES

Financial liabilities are derecognised when, and only when, the company’s contractual obligations are discharged, cancelled, or they expire.

EQUITY INSTRUMENTS

Equity instruments issued by the company are recorded at the fair value of proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results.

Page 21

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

1
INCOME FROM DONATIONS AND LEGACIES
Donations
Legacies
Restricted donations
INCOME FROM OTHER TRADING ACTIVITIES
Fundraising events
Sponsorship
Training
INCOME FROM INVESTMENTS
Income from listed investments - dividends
- interest
Bank interest receivable
2
EXPENDITURE ON RAISING FUNDS
Fundraising costs
Brand relevance/marketing costs
3
EXPENDITURE – ALLOCATION OF SUPPORT COSTS
2022
Direct
Costs
£
2022
Indirect
Support costs
£
2022
Total
£
Grant making
259,821
-
259,821
Careers/counselling/
Advice Line
381,973
594,282
976,255
Governance
53,957
94,619
148,576
695,751
688,901
1,384,652		 2022
£
1,773,131
10,888
62,500

1,846,519

2022
£
461,970
58,523
114,114

634,607

2022
£
9,271
4,709
4,929

18,909

2022
£
1,418,848
776,677

2,195,525

2021
Direct
Costs
£
2021
Indirect
Support costs
£
237,600
-
448,679
594,295
57,376
101,507
743,655
695,802		 2021
£
1,867,630
30,000
80,000
1,977,630
2021
£
322,679
82,850
93,425
498,954
2021
£
9,272
5,708
2,007
16,987
2021
£
1,131,454
624,700
1,756,154
2021
Total
£
237,600
1,042,974
158,883
1,439,457		 2021
£
1,867,630
30,000
80,000		 2021
£
1,867,630
30,000
80,000
1,977,630
2021
£
322,679
82,850
93,425
498,954

Page 22

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

Charitable grants are made solely to individuals on a case by case basis. No grants given were material in size and all related solely to welfare. The total number of beneficiaries in both years was in excess of 100.

4
INDIRECT SUPPORT COSTS
Provisions, catering and utility costs
Property and equipment maintenance
Other operating costs and depreciation
5 ANALYSIS OF STAFF COSTS AND THE COST OF KEY
MANAGEMENT PERSONNEL
The average number of staff employed by the charity was:
Fundraising
Welfare and counselling
Administration and management
Their total remuneration was:
Wages and salaries

Social security costs
Pension costs
Temporary staff

 2022
£
50,370
84,711
553,820
_
688,901
__

2022
No
12
14
11

37

2022
£
1,744,230

187,478
73,328
-

2,005,036

 2021
£
57,952
105,054
532,796
_
695,802
__
2021
No
10
11
14
35
2021
£
1,515,071
160,448
65,115
4,500
1,745,134

The amounts above include ex gratia payments as a result of redundancies for 2 members of staff of £41,931 in 2022 only – none in 2021.

The key management personnel of the group and parent charity comprise the Chief Executive Officer, Corporate Services Director and the Department Directors. The total employee benefits of the key management personnel of the charity were £659,943 (2021: £591,101) including employer’s NI of £75,759 (2021: £58,369).

The number of employees whose emoluments (salaries, wages and benefits in kind) fell within the following bands is:

bands is:
2022 2021
No No
£60,000 - £70,000 1 2
£70,001 - £80,000 3 3
£90,001 - £100,000 - 1
£110,001 - £120,000 2 -
£140,001 - £150,000 - 1

Page 23

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

During the year pension contributions on behalf of these staff amounted to £19,665 (2021: £23,669).

6 PAYMENTS TO TRUSTEES

No remuneration was paid to the trustees in the period (2021: £nil). Reimbursed expenses (i.e. travel and stationery) amounted to nil (2021: nil). The number of trustees reimbursed expenses was nil (2021: nil).

7 NET EXPENDITURE

The net expenditure for the group is stated after charging:
Depreciation
Operating lease costs - land and buildings
- other
Auditor’s remuneration - Statutory Audit - current year
- Corporation tax		 2022
£
42,239
223,317
5,654
33,925
3,450
_		 2021
£
42,241
223,317
6,415
29,500
3,060
_

The net expenditure for the group is stated after charging:

8 TANGIBLE FIXED ASSETS -

GROUP AND CHARITY

GROUP AND CHARITY
Office
refurbishment
£
Furniture
and
equipment
£
Computer
equipment
£
Cost
1 January 2022
362,455
29,063
13,649

31 December 2022
362,455
29,063
13,649

Depreciation
1 January 2022
98,730
15,501
13,649
Charged in the period
36,428
5,813
-
_
_
31 December 2022
135,158
21,314
13,649
Net book value
31 December 2022
227,297
7,749
-

31 December 2021
263,725
13,562
-
Total
£
405,167

405,167

127,880
42,241

170,121

235,046

277,287
_

Page 24

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

9 INVESTMENTS – GROUP AND CHARITY 2022 2021
£ £
Listed in the UK 2,547,517 3,633,115
Unlisted (charity only) 2 2
Programme related investments 14,454
 14,454
2,561,973
 3,647,571
Investments listed in the UK
Market value as at 1 January 3,633,115 4,795,734
Disposal of investment during the year (514,150) (1,528,115)
Income re-invested 13,980 14,980
Net loss on investments (585,428)
 350,516
Market value at 31 December 2,547,517
 3,633,115
All the charity’s listed investments are held in a single investment account.
The market value of these investments as at 31 December 2022 comprises:
2022 2021
£ £
Listed UK Investments
____2,547,517 ____3,633,115
Unlisted investments
NABS holds more than 20% of the equity of the following undertaking:
Subsidiary undertaking
Class of holding		 Proportion held Nature of business
NABS Trading Limited
Ordinary		 100% Fundraising events
Programme related investments
These represent principal and accrued interest on welfare loans made by the charity in furtherance of its objectives.
The rates of interest previously chargeable on each loan, where levied, varied but ranged generally between 6½%
and 8%. Interest has been waived so is no longer being charged on these loans. Most loans are secured by a charge
over the borrower’s property. The loans have no specific repayment terms.
£
Amounts brought forward from prior year 14,454
Amounts repaid in the year -
______
Amounts carried forward 14,454

Page 25

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

10 DEBTORS
Amounts due from group undertakings
Event debtors
Other debtors
Prepayments and accrued income
11 CREDITORS: Amounts falling due within one
year
Amounts due to group undertakings
Trade creditors
Other taxation & social security
Other creditors
Corporation tax
Accruals and deferred income		 Group
2022
£
-
278,088
-
460,134
738,222
Group
2022
£
-
23,036
89,120
4,510
475
351,037
468,178		 Group
2021
£
-
470,115
5,440
560,658
1,036,213
Group
2021
£
-
27,015
65,344
5,512
521
360,889
459,281		 Charity
2022
£
-
173,646
-
460,134
_
633,780

Charity
2022
£
2,979
22,021
65,693
4,510
-
246,380

341,583		 Charity
2021
£
140,615
452,258
-
560,658
_
1,153,531
Charity
2021
£
-
20,045
65,344
5,512
-
333,147		 Charity
2021
£
140,615
452,258
-
560,658
_
1,153,531
Charity
2021
£
-
20,045
65,344
5,512
-
333,147
424,048

Included in other taxation & social security is an amount of £12,015 (2021: £13,551) in respect of outstanding pension contributions.

Deferred income:
Deferred income brought forward
Amounts deferred in the year

Amounts released in the year
(

Deferred income carried forward

 2022
2021
£
£
48,988
244,601
156,175
48,988
48,988)
(244,601)

156,175
48,988

Deferred income relates to WACL (Women in Advertising and Communications, London) funds (raised at their Christmas Gala using NABS’ Zettle machines as a payment option) repaid in January 2023; Stranger than Summer tables and donations, Ride Adland teams, NABS Golf teams, Media donations billed in 2022 deferred to 2023. Also timeTo and NABS training income has been deferred as training is not due to take place until 2023.

Page 26

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

12 RESTRICTED FUNDS

NABS holds three funds, for encouragement of excellence in the industry, which give awards for training.

The first is the Talent Awards (previously known as Future Leaders Fund), established in 2005, with funding from WACL (Women in Advertising and Communications, London). The purpose of the fund is to provide vocational training in the marketing and communications industry.

The second fund is for an award established in the memory of David Pilton, who died in 1996. David founded the Soho-based agency David Pilton Advertising (DPA) in 1960. DPA and the agency’s former chairman, John Duncombe, have chosen to donate a sum of money to be used to support and inspire people in the first five years of their communications careers.

The third fund is for an initiative called timeTo established in 2018. NABS has partnered with WACL and the Advertising Association (AA) in working towards eradicating sexual harassment in the advertising and marketing industry.

Future Leaders Fund
As at 1 January 2022
Received
Expended
As at 31 December 2022
David Pilton Award
As at 1 January 2022
Expended
As at 31 December 2022
timeTo donation
As at 1 January 2022
Received
Expended
As at 31 December 2022
Total Restricted Funds		 £
86,966
40,000
(54,690)
_
72,276
9,745
-
_
9,745
-
22,500
(19,549)
_
2,951
_
84,972
_

Page 27

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

13 UNRESTRICTED FUNDS – DESIGNATED

The funds of the group and charity include the following designations which have been set aside out of unrestricted funds for specific purposes.

Age related Peterhouse Total
Fund Beneficiary Funds
Fund
£ £ £
As at 1 January 2022 203,023 2,314 205,337
Expended (5,759) (2,314) (8,073)
_ _
As at 31 December 2022 197,264 - 197,264

The Peterhouse Beneficiary fund is from Billie Dyson legacy whose wishes were for it to be used for the benefit of Peterhouse so will be used to benefit beneficiaries of NABS living at Peterhouse. The Age related fund was to use part of the monies from the sale of Peterhouse to continue to do work around the older industry community and benefit the beneficiaries of NABS living at Peterhouse when the Billie Dyson fund ran out. These plans have been delayed.

14a ANALYSIS OF MOVEMENT BETWEEN FUNDS - GROUP

Unrestricted
General
Funds
2022
£
Unrestricted
Designated
Funds
2022
£
Restricted
Funds
2022
£
At 1 January 2022
5,007,889
205,337
96,711
Income
2,437,535
-
62,500
Expenditure
(3,497,865)
(8,073)
(74,239)
Realised/unrealised losses
(585,428)
-
-
_
_
____
At 31 December 2022
3,362,131
197,264
84,972
_
_
____
Unrestricted
General
Funds
2021
£
Unrestricted
Designated
Funds
2021
£
Restricted
Funds
2021
£
At 1 January 2021
5,377,271
215,343
68,847
Income
2,413,571
-
80,000
Expenditure
(3,133,469)
(10,006)
(52,136)
Realised/unrealised gains
350,516
-
-
_
_
____
At 31 December 2021
5,007,889
205,337
96,711
_
_
____		 Total
2022
£
5,309,937
2,500,035
(3,580,177)
(585,428)
_
3,644,367
_
Total
2021
£
5,661,461
2,493,571
(3,195,611)
350,516
_
5,309,937
_		 Total
2022
£
5,309,937
2,500,035
(3,580,177)
(585,428)
_
3,644,367
_

Page 28

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

14b ANALYSIS OF MOVEMENT BETWEEN FUNDS - CHARITY

Unrestricted
General
Funds
2022
£
Unrestricted
Designated
Funds
2022
£
At 1 January 2022
4,987,503
205,337
Income
2,106,476
-
Expenditure
(3,168,913)
(8,073)
Realised/unrealised losses
(585,428)
-
_
_
At 31 December 2022
3,339,638
197,264
_
_
Unrestricted
General
Funds
2021
£
Unrestricted
Designated
Funds
2021
£
At 1 January 2021
5,359,115
215,343
Income
2,167,435
-
Expenditure
(2,889,563)
(10,006)
Realised/unrealised gains
350,516
-
_
_
At 31 December 2021
4,987,503
205,337
_
_		 Restricted
Funds
2022
£
96,711
62,500
(74,239)
-
_
84,972
_
Restricted
Funds
2021
£
68,847
80,000
(52,136)
-
_
96,711
_		 Total
2022
£
5,289,551
2,168,976
(3,251,225)
(585,428)
_
3,621,874
_
Total
2021
£
5,643,305
2,247,435
(2,951,705)
350,516
_
5,289,551
_

14c ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted
General
Funds
2022
£
Unrestricted
Designated
Funds
2022
£
Restricted
Funds
2022
£
GROUP
Fixed assets
235,046
-
-
Investments
2,561,971
-
-
Net current assets
565,114
197,264
84,972
_
_
3,362,131
197,264
84,972
_
_

CHARITY
Fixed assets
235,046
-
-
Investments
2,561,973
-
-
Net current assets
542,619
197,264
84,972
_
_
3,339,638
197,264
84,972
__
_
_		 Total
Funds
2022
£
235,046
2,561,971
847,350
3,644,367
235,046
2,561,973
824,855
3,621,874
__

Page 29

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

Unrestricted
General
Funds
2021
£
Unrestricted
Designated
Funds
2021
£
Restricted
Funds
2021
£
GROUP
Fixed assets
277,287
-
-
Investments
3,647,569
-
-
Net current assets
1,083,033
205,337
96,711
_
_
5,007,889
205,337
96,711
_
_

CHARITY
Fixed assets
277,287
-
-
Investments
3,647,571
-
-
Net current assets
1,062,645
205,337
96,711
_
_
4,987,503
205,337
96,711
__
_
_		 Total
Funds
2021
£
277,287
3,647,569
1,385,081
5,309,937
277,287
3,647,571
1,364,693
5,289,551
__
15a
GROUP
CASH FLOWS
2022
£
Reconciliation of net expenditure to cash used in operations
Net (expenditure)
(1,665,570)
Adjustments for:
Depreciation on tangible fixed assets
42,241
Dividends and interest receivable
(18,909)
Loss on investments
585,428
Taxation
475
Operating cash flow before movements in working capital
(1,056,335)
Decrease/(increase) in trade and other debtors
101,753
Increase/(decrease) in trade and other creditors
205,135
_
Cash used by operations
(749,447)
15b
Analysis of net funds and net debt
reconciliation
At
1 January
2022
£
Cash
flow
£
31
Cash at bank and in hand
808,149
(230,843)

Total
808,149
(230,843)		 2021
£
(351,524)
42,241
(16,987)
(350,516)
521
(676,265)
(73,296)
(181,102)
_
(930,663)
At
December
2022
£
577,306
577,306

Page 30

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

16a COMMITMENTS UNDER OPERATING LEASES

At 31 December the company had commitments under non-cancellable operating leases as follows:

Land and buildings
within one year
two to five years		 2022
£
223,317
223,317

446,634
 2021
£
223,317
446,633
669,950

16b OTHER FUTURE COMMITMENTS

Pension contributions

The charity makes contributions to an individual’s pension scheme, subject to a maximum of 5% of the employee’s annual salary. The assets of the scheme are held separately from the assets of the charity. Contributions to the scheme are charged to the Statement of Financial Activities on an accruals basis. Pension costs amounted to £73,328 (2021: £65,115) and are included within salary costs. The charity expects to pay £75,415 in 2023.

17 RELATED PARTY TRANSACTIONS

The charity has a wholly owned subsidiary, NABS Trading Limited. NABS Trading Limited transferred £195,118 to NABS as a distribution (2021: £167,756). As at the year-end, NABS Trading Limited owed £195,118 (2021: £167,756) to the Charity. Amounts owed by the charity were £2,979 (2021: owed to the Charity £140,615), this being payments received being transferred between NABS Trading Limited and the Charity bank accounts. NABS receives donations from various companies to support its activities. M Bush, S Daglish, H Nicklin, N Pertwee (Jasinski), Karla Smith, Dominic Carter & Jennifer Healy were Trustees of NABS and also connected to companies that have made donations to NABS in the year totalling £502,683 (2021: £491,794). The balances due from these companies at the year end was £53,972 (2021: £206,100).

Page 31

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

18 SUBSIDIARY UNDERTAKING

A summary of the results of NABS Trading Limited is shown below:

NABS Trading Limited (company no: 03834446), 10 Hills
Place, London. W1F 7SD
Turnover
Other operating expenses
Operating profit
Profit on ordinary activities before taxation
Taxation
Retained profit/(loss) for the year
Profit and loss reserve at 1 January
Gift Aid distribution paid
Profit and loss reserve at 31 December
The aggregate of the assets, liabilities and funds was:
Current assets
Creditors: Amounts falling due within one year
Net assets		 2022
£
526,176
(328,476)
_
197,700
_
197,700
(475)
_
197,225
20,384
(195,118)
_
22,491
_
153,074
(130,581)
_
22,493
_		 2021
£
413,892
(243,385)
_
170,507
_
170,507
(521)
_
169,986
18,154
(167,756)
_
20,384
_
223,375
(202,989)
_
20,386
_

Page 32

N A B S (A charitable company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2022

19 TAXATION ON PROFIT FOR THE YEAR
Current tax – UK corporation tax		 2022
£
475
_____		 2021
£
521
_____

The tax assessed for the period is equivalent to the standard effective rate of corporation tax in the UK for the year ended 31 December 2022 of 19% (2020 : 19%) as shown below:

2022 2021
£ £
Profit on ordinary activities before tax 197,700 170,497
Profit on ordinary activities before tax multiplied
by the standard rate of corporation tax for small 37,563 32,394
companies 19% (2021 : 19%)
Less gift aid (non-taxable) (37,088) (31,873)
______ ______
Current tax charge 475
______		 521
______

No provision has been made for deferred tax as there were no capital allowances claimed in the year or any timing differences.

There are no specific factors that affect future tax charges. The tax charge arises in NABS Trading Limited.

20 FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS
Group Group Charity Charity
2022 2021 2022 2021
The carrying amounts of financial instruments were £ £ £ £
As follows:
Financial assets:
Financial Assets held at fair value 2,547,517 3,633,115 2,547,517 3,633,115

Page 33