2023-03-31-accounts - The Heatons Animal Rescue Group

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REGISTERED CHARITY NUMBER: 1072091

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

FOR

THE HEATONS ANIMAL RESCUE GROUP

Moss & Williamson Limited Chartered Accountants

3 Mellor Road Cheadle Hulme Cheadle Cheshire SK8 5AT

THE HEATONS ANIMAL RESCUE GROUP

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
Balance Sheet	6
Cash Flow Statement	7
Notes to the Cash Flow Statement	8
Notes to the Financial Statements	9 to 13
Detailed Statement of Financial Activities	14

THE HEATONS ANIMAL RESCUE GROUP

REPORT OF THE TRUSTEES for the Year Ended 31 March 2023

The trustees 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

We are an independent charity based in Manchester Road in Stockport. Our mission statement is to receive stray, abandoned and unwanted domestic animals, to provide food, shelter and veterinary care for these animals where required, and to rehome where possible to responsible owners. As long as the quality of life is acceptable, we will endeavour to look after the animal regardless of age or cost of treatment for the charity. We have a charity shop, and our income is from the shop, direct donations, fundraising and from rehoming fees from our cats.

As stated in our Constitution, we are committed to rescuing domestic animals (cats), and take in stray or unwanted cats, ensuring they receive the best possible care in terms of food and shelter, and thorough vet checks and treatment. We ensure that each cat is fully vaccinated, has flea and worm treatment and is neutered if old enough. We have a carefully crafted rehoming policy, which involves a face to face interview with the potential adoptee, ID checks and a homecheck. We also undertake post adoption checks by phone to ensure the cat is well settled. We offer a full Rescue back up following adoption, and we are committed to maintaining this high level of care in the future through staff training, and maintenance and repair of our cat rooms and pens.

We would never put a healthy cat to sleep, and euthanasia is a very last resort if the cat has no chance of recovery, and strictly on the advice of our vet.

In order to deliver this, our focus is very much on the financial picture, and how we can close the current gap between income and expenditure.

Significant activities

We would never put a healthy cat to sleep, and euthanasia is a very last resort if the cat has no chance of recovery, and strictly on the advice of our vet.

In order to deliver this, our focus is very much on the financial picture, and how we can close the current gap between income and expenditure.

Page 1

THE HEATONS ANIMAL RESCUE GROUP

REPORT OF THE TRUSTEES for the Year Ended 31 March 2023

ACHIEVEMENT AND PERFORMANCE The challenges of 2022/23

Although we did not have any Covid related enforced closures of our shop, the effects of Covid continued to have an impact on our business. Sales through the shop were erratic, with traditionally busy Saturdays becoming noticeably more quiet. The focus from the majority of shoppers was securing a bargain, and anything in the slightly higher price range simply did not sell.

In line with all Rescues, there has been a marked increase in demand for rehoming. There are many more strays, and a significant increase in requests for rehoming of family cats citing the cost of living as the main factor. There has been an increase in the number of unspayed and un neutered cats, and those who are abandoned. Aside from elderly people being admitted into nursing care, the most frequent reason given is that people are moving and the new landlord will not accept pets.

Clearly, we have a finite number of pens, and regrettably have to turn away people desperate to rehome their pets.

We recognise the need for further education on the necessity of neutering cats at a young age: we encounter multiple examples of families with an un neutered mixed pair where the female has already produced one litter, and is pregnant again.

Achievement and Performance

Financial Performance

Income for 22/23 was £71, 835 (excluding legacies, £71,535). 21/22 was £59,878 excluding legacies and grants.

Our vet bill was significantly higher year on year, as a result both of increased costs and a higher number of cats needing specialist treatment or tests.

We did not have any refurbishment in this reporting year, but had bills for new air conditioners and electrical work relating to their installation. The cost of medication, cat food and litter has increased enormously. We used to pay £5.99 for a 30 litre bag of litter, and it is now almost £12. We use almost 400 bags of litter each year, so the cost increase in litter alone is £2400. Equally, some cat food has doubled in price, and our utility bill cost shows a big increase.

The higher salary figure is largely down to one member of staff on Mat leave, the increase in the national wage, and more staff hours to cater for the increased number of cats and kittens needing more attention through the day and evening.

FUTURE FINANCIAL PLANS AND STRATEGIES

From previous legacies, we planned to refurbish the large downstairs cat area which houses our Mother cats and their kittens. To undertake this, we need to have the cubicles unoccupied, and this has not been possible this year so far as demand for space has been so high.

We have actively tried to help families who cannot afford to neuter their cat or even feed it, by supplying food and a neuter and return to owner scheme, which is still very much in its infancy.

We are constantly exploring new opportunities to expand our sales from just the shop with car boot sales, jumble sales, one off sales outside our shop and using both Ebay and Vinted.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.

Charity constitution

The Heatons Animal Rescue Group was founded in June 1998, and registered with the Charity Commission as an unincorporated charity. There are currently six trustees: our constitution sets out that there are a minimum of five and a maximum of eight.

Decision making

All our trustees are fully aware of their duties and obligations in the role of trustee. Upon appointment, they are trustees until they submit an official resignation, and we constantly re evaluate the skill set of existing board members so, if the opportunity arises, we can recruit to fill in any gaps in areas of expertise.

We meet as a board at least once a quarter, and are all updated on financial status and key issues relating to the running of the charity shop or Sanctuary. All decisions are made jointly following a consultation with all trustees.

Page 2

THE HEATONS ANIMAL RESCUE GROUP

REPORT OF THE TRUSTEES for the Year Ended 31 March 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT Risk management

We have the following policies, which are updated annually. The Covid policy is updated in line with Government policy changes:

Safeguarding
Health and Safety
Equality and Diversity
Volunteer obligations and conduct
MAT leave
Rehoming and adoption policy

Risk assessments are done regularly where necessary. We organise several fundraising events each year, and a formal risk assessment is carried out at the time of booking each event.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1072091

Principal address

406A Manchester Road Stockport Cheshire SK4 5BY

Trustees

A Bold Y Wilkes A Wright S Blundell A Churchley A Rumble

Independent Examiner

Moss & Williamson Limited Chartered Accountants 3 Mellor Road Cheadle Hulme Cheadle Cheshire SK8 5AT

Approved by order of the board of trustees on 25 January 2024 and signed on its behalf by:

A Wright - Trustee

Page 3

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE HEATONS ANIMAL RESCUE GROUP

Independent examiner's report to the trustees of The Heatons Animal Rescue Group

I report to the charity trustees on my examination of the accounts of The Heatons Animal Rescue Group (the Trust) for the year ended 31 March 2023.

Responsibilities and basis of report

As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.

Independent examiner's statement

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

accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
the accounts do not accord with those records; or
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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.

Andrew E Booth FCA

Moss & Williamson Limited Chartered Accountants 3 Mellor Road Cheadle Hulme Cheadle Cheshire SK8 5AT

25 January 2024

Page 4

THE HEATONS ANIMAL RESCUE GROUP

STATEMENT OF FINANCIAL ACTIVITIES

for the Year Ended 31 March 2023

2023 Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 2 2,256 Other trading activities 3 69,016 Investment income 4 2,276 Total 73,548 EXPENDITURE ON Charitable activities 5 Animal rescue and re-homing 154,162 NET INCOME/(EXPENDITURE) (80,614) RECONCILIATION OF FUNDS Total funds brought forward 581,061 TOTAL FUNDS CARRIED FORWARD 500,447	2022 Total funds £ 596,797 56,368 31
	653,196
	118,269
	534,927 46,134
	581,061

The notes form part of these financial statements

Page 5

THE HEATONS ANIMAL RESCUE GROUP

BALANCE SHEET 31 March 2023

2023 Unrestricted fund Notes £ CURRENT ASSETS Cash at bank 500,447 NET CURRENT ASSETS 500,447 TOTAL ASSETS LESS CURRENT LIABILITIES 500,447 NET ASSETS 500,447 FUNDS 9 Unrestricted funds 500,447 TOTAL FUNDS 500,447	2022 Total funds £ 581,061 581,061 581,061 581,061 581,061 581,061

The financial statements were approved by the Board of Trustees and authorised for issue on 25 January 2024 and were signed on its behalf by:

A Wright - Trustee

The notes form part of these financial statements

Page 6

THE HEATONS ANIMAL RESCUE GROUP

CASH FLOW STATEMENT
for the Year Ended 31 March 2023
2023
Notes
£
Cash flows from operating activities
Cash generated from operations
1
(82,890)
Net cash (used in)/provided by operating activities
(82,890)
Cash flows from investing activities
Interest received
2,276
Net cash provided by investing activities
2,276
Change in cash and cash equivalents
in the reporting period
(80,614)
Cash and cash equivalents at the
beginning of the reporting period
581,061
Cash and cash equivalents at the end
of the reporting period
500,447

2022
£
534,896
534,896
31
31
534,927
46,134
581,061

The notes form part of these financial statements

Page 7

THE HEATONS ANIMAL RESCUE GROUP

NOTES TO THE CASH FLOW STATEMENT

for the Year Ended 31 March 2023

1. RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net (expenditure)/income for the reporting period (as per the Statement of Financial Activities) Adjustments for: Interest received Net cash (used in)/provided by operations ANALYSIS OF CHANGES IN NET FUNDS At 1.4.22 £ Net cash Cash at bank 581,061 581,061 Total 581,061	2023 £ (80,614) (2,276) (82,890) Cash flow £ (80,614) (80,614) (80,614)	2022 £ 534,927 (31) 534,896 At 31.3.23 £ 500,447 500,447 500,447

2. ANALYSIS OF CHANGES IN NET FUNDS

The notes form part of these financial statements

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THE HEATONS ANIMAL RESCUE GROUP

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 charity, 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 Charities Act 2011. 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.

Taxation

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

2. DONATIONS AND LEGACIES

Donations Gift aid Legacies Grants Grants received, included in the above, are as follows: Other grants		2023 £ 1,956 - 300 - 2,256 2023 £ -	2022 £ 2,378 1,101 587,530 5,788	2022 £ 2,378 1,101 587,530 5,788
			596,797
				2022 £ 5,788

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THE HEATONS ANIMAL RESCUE GROUP

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 March 2023

3. OTHER TRADING ACTIVITIES Fundraising events Shop, direct donations etc 4. INVESTMENT INCOME Deposit account interest 5. CHARITABLE ACTIVITIES COSTS Animal rescue and re-homing 6. TRUSTEES' REMUNERATION AND BENEFITS Trustees' salaries Trustees' social security Trustees' pensions paid	2023 £ 50 68,966 69,016 2023 £ 2,276 2023 £ 39,406 1,341 1,058 41,805	2022 £ 2,557 53,811 56,368 2022 £ 31 Direct Costs £ 154,162 2022 £ 31,354 1,753 857 33,964

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2023 nor for the year ended 31 March 2022.

7. STAFF COSTS

Wages and salaries Social security costs	2023 £ 75,264 1,341 76,605	2022 £ 56,719 1,753 58,472

The average monthly number of employees during the year was as follows:

2023 6	2022
	5

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

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THE HEATONS ANIMAL RESCUE GROUP

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 March 2023

8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

INCOME AND ENDOWMENTS FROM
Donations and legacies
Other trading activities
Investment income
Total
EXPENDITURE ON
Charitable activities
Animal rescue and re-homing
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
9.
MOVEMENT IN FUNDS
At 1.4.22
£
Unrestricted funds
General fund
581,061
TOTAL FUNDS
581,061
Net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
73,548
TOTAL FUNDS
73,548

Unrestricted
fund
£
596,797
56,368
31
653,196
118,269
534,927
46,134
581,061
Net
movement
At
in funds
31.3.23
£
£
(80,614)
500,447
(80,614)
500,447
Resources
Movement
expended
in funds
£
£
(154,162)
(80,614)
(154,162)
(80,614)

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THE HEATONS ANIMAL RESCUE GROUP

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 March 2023

9. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds General fund TOTAL FUNDS	At 1.4.21 £ 46,134 46,134	Net movement in funds £ 534,927 534,927	At 31.3.22 £ 581,061 581,061

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

Unrestricted funds General fund TOTAL FUNDS	Incoming resources £ 653,196 653,196	Resources Movement expended in funds £ £ (118,269) 534,927 (118,269) 534,927

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds General fund TOTAL FUNDS	At 1.4.21 £ 46,134 46,134	Net movement in funds £ 454,313 454,313	At 31.3.23 £ 500,447 500,447

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 TOTAL FUNDS	Incoming resources £ 726,744 726,744	Resources Movement expended in funds £ £ (272,431) 454,313 (272,431) 454,313

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THE HEATONS ANIMAL RESCUE GROUP

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 March 2023

10. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 March 2023.

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THE HEATONS ANIMAL RESCUE GROUP

DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31 March 2023

INCOME AND ENDOWMENTS Donations and legacies Donations Gift aid Legacies Grants Other trading activities Fundraising events Shop, direct donations etc Investment income Deposit account interest Total incoming resources EXPENDITURE Charitable activities Trustees' salaries Trustees' social security Trustees' pensions paid Wages Vet fees Cat food, meds & cleaning Sundries No description Total resources expended Net (expenditure)/income	2023 £ 1,956 - 300 - 2,256 50 68,966 69,016 2,276 73,548 39,406 1,341 1,058 35,858 42,173 26,653 - 7,673 154,162 154,162 (80,614)	2022 £ 2,378 1,101 587,530 5,788 596,797 2,557 53,811 56,368 31 653,196 31,354 1,753 857 25,365 28,194 13,435 1,336 15,975 118,269 118,269 534,927

This page does not form part of the statutory financial statements

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