**REGISTERED COMPANY NUMBER: 03699609 (England and Wales) REGISTERED CHARITY NUMBER: 1073860**
## **REPORT OF THE TRUSTEES AND**
**AUDITED FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2020**
## **FOR**
**SPECTRUM NORTHANTS LIMITED (A COMPANY LIMITED BY GUARANTEE)**
**CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## **SPECTRUM NORTHANTS LIMITED**
**----- Start of picture text -----**
Page
Chairman's Report 1
Report of the Trustees 2 to 6
Report of the Independent Auditors 7 to 9
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14 to 22
**----- End of picture text -----**
## **SPECTRUM NORTHANTS LIMITED**
## **CHAIRMAN'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2020**
This year has been like no other with closures due to Coronavirus affecting our service delivery and charity shop. It was also the start of our new five year contract with the County Council which required us to develop a two pronged approach to offer life skills activities and education opportunities.
To meet the new needs we were able to recruit a member of staff who has a strong educational background and has been able to introduce clear objectives and structure. Our plans for the future include achieving accreditation for some of our courses.
There were periods of the year when we could not safely open and during those times we continued to support our service users by providing home based activities. Opening for in person services was possible between July and September and parts of November and December but required vigilant attention to social distancing and limiting attendance to separate "bubble" groups of 15. This imposed many challenges, but staff and service users adapted.
The impact of closures meant that we needed to make full use of the space we have at both centres to maintain suitable social distancing. As a consequence, our plans to add to the building at Berrywood Road were postponed. Nevertheless we were able to use the time when service users were absent to build a new disabled toilet unit and to redesign the area which handles stock for the shop to much improve our sorting facility.
In the first 6 months of 2021 we again faced lockdown and had to stop opening our charity shop and again reverted to on-line services. Thankfully (July 2021) we are now able to operate at near normal levels.
We very much appreciate the support we have received from our staff who have coped well with the additional complexities created by the impact of Covid. We have managed our finances effectively and plan for the prospect of better days ahead. Support throughout the year from Social Services, Commissioning and others in the County Council has been a great help and the grant provided since the year end for infection control has given us the funds needed to implement best practice protective procedures for all.
Page 1
**SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020**
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 December 2020. 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**
## **Purpose and aims**
We provide day centre facilities for up to 100 service users. These facilities are set up to provide life education experience and preparation, where appropriate, for employment or volunteering. They are managed to provide practical skills, emotional support and to assist with personal development to enable users to achieve their potential.
## **Ensuring our work delivers our aims**
Staffing is structured to meet our aims. Support Workers are employed who are qualified at the appropriate level in Social Care and Health. Where appropriate we have written policies which are consistent with the standards contained in the Health and Social Care Act.
Care plans are agreed and regularly reviewed for each service user.
A Management Board meets at regular intervals to receive reports on activities, service user numbers and changes to these, staffing and finance. The Board regularly reviews what has been achieved in relation to our aims and revises our plans to ensure we maintain focus on the key issues.
## **The focus of our work**
We look for ways of supporting our service users to achieve their own personal goals so that they can manage their lives as independently as possible. This is based on the development of social and living skills through organised activities both inside and out, outings, health programmes, music and a range of educational sessions.
## **How our activities deliver public benefit**
Our activities are approved by Northamptonshire County Council and the NHS PCT who support us financially. We provide part of their programme of support for vulnerable adults.
Our service is well used and offers respite for carers and positive benefits for users. Referrals are received from a wide range of agencies including Social Services and the Community Mental Health teams.
The environment we provide is both safe and reliable leading our service users to be more self confident and self sufficient. A noticeable improvement in the behaviour and well being of service users is apparent.
## **Who used and benefited from our services**
The average number of clients who attended during 2020 was 69 of whom 75% had learning difficulties and 25% mental illness.
## **Significant activities**
The charity exists to provide day care services and ancillary activities for adults with mental illness or learning difficulties. The operations are currently limited to the town of Northampton. The charity works in conjunction with statutory bodies and aims to offer a quality day care service to as many clients as possible within the confines of available funds.
Page 2
## **SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020**
## **STRATEGIC REPORT**
## **Achievement and performance**
## **Fundraising activities**
The charity does not actively fundraise, but relies predominantly on fees charged for the care services that it offers to users of it's day centres, and charity shop sales.
## **Financial review**
## **Principal funding sources**
Aside from the income generated by the charity trading, the principal funding sources for the charity are currently from Northamptonshire Teaching Primary Care Trust and Northamptonshire County Council.
The trustees are satisfied that the charity's assets are available and adequate to fulfil its obligations.
## **Investment policy and objectives**
The trustees, having regard to the liquidity requirements of operating the charity and to the reserves policy, have operated a policy of investing surplus funds in short and medium term investments. Such investments are made with a view to optimising income at a proportionate level of risk, as determined by the Trustees. External independent financial advice is obtained when considered appropriate by the Trustees.
## **Reserves policy**
It is the policy of the charity to maintain unrestricted funds not committed or invested in tangible fixed assets ('the free reserves') at a level which equates to between 3 and 6 months of the resources expended. In the event of a significant drop in funding, this policy will enable the charity to continue its activities until such time alternative funding can be secured. The charity's free reserves were maintained at this level throughout the year and at 31 December 2020 stood at £344,552 (2019 - £315,462).
## **Incoming resources and expenditure**
The Board of Trustees report net incoming resources for the year of £22,530 (2019 - £81,126). The Board remains most grateful for the financial support received to date from NHNT and Northamptonshire County Council Social Services Department.
## **Future plans**
We still plan to extend our building at Berrywood Road to accommodate service users who will be relocated from William Street and to offer wider services. This will be funded in part by the sale of William Street and is likely to be completed in 2022.
When the development of our educational programme is complete we will apply for accreditation for our courses. This will confirm that our standards consistently meet approved levels and should attract a younger age profile.
We realise that we must plan for succession and a plan to encourage role extension is being developed to enable a structured replacement for our CEO who expects to retire in the foreseeable future.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The charity is controlled by its governing document, its Memorandum & Articles of Association, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. The company was incorporated on 22 January 1999. The directors of the charity are its Trustees for the purposes of charity law and throughout this report are collectively referred to as Trustees.
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**SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Recruitment and appointment of new trustees**
The Northamptonshire Healthcare NHS Trust (NHNT) can appoint a director of the NHNT Board of Directors as a Trustee. The number of Trustees shall not be less than five (of whom at least one shall be a Northampton Junior Chamber (NJC) director and at least one shall be an NHNT director) but shall not be more than twelve of whom up to five shall be appointed by the NJC and up to six Trustees shall be private individuals or employees or duly authorised representatives of Organisational Members.
The NJC Trustees shall each serve a three year term of office and on the expiration of such term, each NJC Trustee shall be eligible for re-election. At every Annual General Meeting, one third of the individual Trustees shall retire from office.
## **Organisational structure**
The Board of Trustees administers the governance of the Charity. The Board meets approximately six times a year and reviews all aspects of the operation. Day to day management is carried out by a Chief Executive Officer supported by a full time assistant. Officers of the Board are available to staff at any time.
## **Induction and training of new trustees**
New trustees are recruited via recommendation from existing trustees. They are invited to attend several of the organisation's Board Meetings as guests to give them an overview of the charity itself and an understanding of the responsibilities associated with being a trustee. A copy of the organisations constitution is also made available. After a suitable period and provided the Board and the individual agree he or she will be appointed to the Board. Trustees are able to attend training courses should they feel the need to.
## **Related parties**
In so far as it is complimentary to the charity's objects, the charity is assisted by the Northamptonshire County Council (NCC) and the NHS PCT
## **Risk management**
The trustees have assessed the major risks to which the charity is exposed, in particular those related to operations and finances and are satisfied that systems are in place to mitigate the significant risks.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number**
03699609 (England and Wales)
## **Registered Charity number**
1073860
## **Registered office**
Berrywood Road Duston Northampton Northamptonshire NN5 6XD
Page 4
**SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020**
**Trustees Elected Trustees** N H Mabey - Chairman R Cross - Treasurer **Appointed by Northampton Junior Chamber** R G Allinson G P W Willis - Secretary C N Willis **Individual Directors** B D Hancock R G Williams G T Brough A J Robinson S P Merriman M E Slaymaker
N H Mabey, B D Hancock and A J Robinson retire by rotation and being eligible offer themselves for re-election.
## **Company Secretary**
G P W Willis
## **Auditors**
Phipps Henson McAllister Chartered Accountants and Statutory Auditors 22-24 Harborough Road Kingsthorpe Northampton NN2 7AZ
## **Bankers**
CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
The trustees (who are also the directors of Spectrum Northants Limited for the purposes of company law) are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
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## **SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued**
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
- there is no relevant audit information of which the charitable company's auditors are unaware; and
- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
## **AUDITORS**
The auditors, Phipps Henson McAllister, will be proposed for re-appointment at the forthcoming Annual General Meeting.
Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 9 September 2021 and signed on the board's behalf by:
N H Mabey - Trustee
Page 6
**REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SPECTRUM NORTHANTS LIMITED**
## **Opinion**
We have audited the financial statements of Spectrum Northants Limited (the 'charitable company') for the year ended 31 December 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company's affairs as at 31 December 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 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 trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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.
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Report of the Trustees has been prepared in accordance with applicable legal requirements.
Page 7
**REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SPECTRUM NORTHANTS LIMITED**
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees' remuneration specified by law are not made; or
-
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities, 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 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 charitable company or to cease operations, or have no realistic alternative but to do so.
## **Our 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 a Report of the Independent Auditors 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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- We obtained an understanding of the legal and regulatory frameworks applicable to the Charitable Company and the sector in which they operate. We determined that the following laws and regulations were most significant: the Companies Act 2006, the Charities Act 2011, and UK corporate taxation laws.
- We obtained an understanding of how the Company is complying with those legal and regulatory frameworks by making inquiries to the management. We corroborated our inquiries through our review of board minutes and other papers.
- We assessed the susceptibility of the Charitable Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:
- identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
- understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;
- challenging assumptions and judgments made by management in its significant accounting estimates;
- identifying and testing journal entries, in particular any journal entries posted with unusual account combinations; and
-
- assessing the extent of compliance with the relevant laws and regulations.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
Page 8
**REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF SPECTRUM NORTHANTS LIMITED**
## **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 auditors' 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.
Ross Phipps FCA (Senior Statutory Auditor) for and on behalf of Phipps Henson McAllister Chartered Accountants and Statutory Auditors 22-24 Harborough Road Kingsthorpe Northampton NN2 7AZ
9 September 2021
Page 9
## **SPECTRUM NORTHANTS LIMITED**
## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2020**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
Voluntary Income
2
**27,198**
**Charitable activities**
5
Charitable activities
**571,714**
Other trading activities
3
**50,362**
Investment income
4
**2,151**
Other income
**1,837**
**Total**
**653,262**
**EXPENDITURE ON**
Raising funds
6
**996**
**Charitable activities**
7
Charitable activities
**630,887**
**Total**
**631,883**
Net gains on investments
**1,151**
**NET INCOME**
**22,530**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**948,727**
**TOTAL FUNDS CARRIED FORWARD**
**971,257**|Restricted
fund
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**2020**
**Total**
**funds**
**£**
**27,198**
**571,714**
**50,362**
**2,151**
**1,837**
**653,262**
**996**
**630,887**
**631,883**
**1,151**
**22,530**
**948,727**
**971,257**|2019
Total
funds
£
5,586
553,700
99,423
2,401
-
661,110
1,606
620,799
622,405
42,421
81,126
867,601
948,727|
|---|---|---|---|
The notes form part of these financial statements
Page 10
## **SPECTRUM NORTHANTS LIMITED (REGISTERED NUMBER: 03699609)**
## **BALANCE SHEET 31 DECEMBER 2020**
|Notes
**FIXED ASSETS**
Tangible assets
14
Investments
15
**CURRENT ASSETS**
Debtors
16
Cash at bank
**CREDITORS**
Amounts falling due within one year
17
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**NET ASSETS**
**FUNDS**
18
Unrestricted funds
**TOTAL FUNDS**|Unrestricted
fund
£
**318,440**
**308,265**
**626,705**
**45,147**
**310,265**
**355,412**
**(10,860)**
**344,552**
**971,257**
**971,257**|Restricted
fund
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**2020**
**Total**
**funds**
**£**
**318,440**
**308,265**
**626,705**
**45,147**
**310,265**
**355,412**
**(10,860)**
**344,552**
**971,257**
**971,257**
**971,257**
**971,257**|2019
Total
funds
£
325,151
308,114
633,265
48,184
281,997
330,181
(14,719)
315,462
948,727
948,727
948,727
948,727|
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 9 September 2021 and were signed on its behalf by:
N H Mabey - Trustee
R N Cross - Trustee
The notes form part of these financial statements
Page 11
## **SPECTRUM NORTHANTS LIMITED**
## **CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash provided by operating activities
**Cash flows from investing activities**
Purchase of tangible fixed assets
Sale of tangible fixed assets
Sale of fixed asset investments
Interest received
Net cash used in investing activities
**Change in cash and cash equivalents in the**
**reporting period**
**Cash and cash equivalents at the beginning**
**of the reporting period**
**Cash and cash equivalents at the end of**
**the reporting period**|**2020**
**£**
**52,626**
**52,626**
**(29,426)**
**1,917**
**1,000**
**2,151**
**(24,358)**
**28,268**
**281,997**
**310,265**|2019
£
99,781
99,781
(34,108)
-
-
2,401
(31,707)
68,074
213,923
281,997|
|---|---|---|
The notes form part of these financial statements
Page 12
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2020**
## **1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income for the reporting period (as per the Statement of Financial**
**Activities)**
**Adjustments for:**
Depreciation charges
Gain on investments
Profit on disposal of fixed assets
Interest received
Decrease in debtors
(Decrease)/increase in creditors|**Net income for the reporting period (as per the Statement of Financial**
**Activities)**
**Adjustments for:**
Depreciation charges
Gain on investments
Profit on disposal of fixed assets
Interest received
Decrease in debtors
(Decrease)/increase in creditors|**2020**
2019
**£**
£
**22,530**
81,126
**36,057**
37,699
**(1,151)**
(42,421)
**(1,837)**
-
**(2,151)**
(2,401)
**3,037**
23,491
**(3,859)**
2,287|
|---|---|---|
|**Net cash provided by operations**||**52,626**
99,781|
|2.
**ANALYSIS OF CHANGES IN NET FUNDS**
**Net cash**
Cash at bank|At 1/1/20
£
**281,997**|Cash flow
**At 31/12/20**
£
**£**
**28,268**
**310,265**|
||**281,997**|**28,268**
**310,265**|
|**Total**|**281,997**|**28,268**
**310,265**|
The notes form part of these financial statements
Page 13
**SPECTRUM NORTHANTS LIMITED**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## **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 (FRS102) (effective 1 January 2015)', 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 historical cost convention with the exception of investments which are included at market value.
## **Critical accounting judgements and key sources of estimation uncertainty**
A key judgement made is that of allocation of indirect costs. Estimations include residual values and useful lives of fixed assets.
## **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. All income is recognised at point of receival.
Income relating to donations of goods for sale in the charity shop are not accounted for until the goods are sold.
Intangible income by way of donated services is recognised as an incoming resource where the provider of the service has incurred a financial cost. The value of volunteer time is not included in the financial statements.
## **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**
Tangible fixed assets are stated at cost, net of depreciation.
Depreciation of fixed assets is calculated to write down the cost less estimated residual value of all tangible fixed assets held for charity use other than the freehold land by equal annual instalments over their expected useful lives as follows:
Freehold property - Straight line over 50 years Plant and machinery - Straight line between 3 - 8 years
## **Taxation**
The charity is exempt from corporation tax on its charitable activities.
## **Fund accounting**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Restricted funds are subject to restrictions on their expenditure or through the terms of an appeal.
Page 14
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **1. ACCOUNTING POLICIES - continued**
## **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.
## **Government grants**
Grants are accounted for under the accruals model as permitted by FRS102. Grants of a revenue nature are recognised in the Statement of Financial Activities in the same period as the related expenditure.
## **2. VOLUNTARY INCOME**
|Donations
Grants|**2020**
**£**
**7,759**
**19,439**
**27,198**|2019
£
5,586
-
5,586|
|---|---|---|
Donated goods are recognised on the date of the donation and are valued at a reasonable market rate value.
Included in Grants income is £19,439 in respect of Coronavirus Job Retention Scheme grants.
## **3. OTHER TRADING ACTIVITIES**
## **4.**
|Trading income
Charity shop sales
**INVESTMENT INCOME**
Deposit account interest|**2020**
**£**
**2,846**
**47,516**
**50,362**
**2020**
**£**
**2,151**|2019
£
10,430
88,993
99,423
2019
£
2,401|
|---|---|---|
Page 15
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **5. INCOME FROM CHARITABLE ACTIVITIES**
|Activity
Attendance fees
Charitable activities
Food income
Charitable activities
Social services funding
Charitable activities
Sundry income
Charitable activities
**6.**
**RAISING FUNDS**
**Other trading activities**
Purchases
Charity shop expenses
**7.**
**CHARITABLE ACTIVITIES COSTS**
Charitable activities
**8.**
**DIRECT COSTS OF CHARITABLE ACTIVITIES**
Staff costs
Rates and water
Light and heat
Telephone
Printing, postage & stationery
Advertising
Workwear
Non work activities
Staff & client training
Staff travel
Food expenditure
Canteen supplies
IT expenses
Plant & machinery repairs
Buildings insurance
Building repair & maintenance
Depreciation|Direct
Costs (see
note 8)
£
**588,515**|**2020**
**£**
**16,150**
**2,556**
**552,766**
**242**
**571,714**
**2020**
**£**
**40**
**956**
**996**
Support
costs (see
note 9)
£
**42,372**
**2020**
**£**
**463,295**
**675**
**11,241**
**3,040**
**10,175**
**-**
**2,909**
**5,008**
**3,426**
**6,938**
**1,621**
**7,096**
**8,039**
**291**
**7,057**
**21,647**
**36,057**
**588,515**|2019
£
35,004
10,605
505,661
2,430
553,700
2019
£
-
1,606
1,606
Totals
£
**630,887**
2019
£
465,877
672
12,257
2,667
9,342
298
550
9,542
5,760
8,008
5,863
6,554
5,053
1,103
6,444
26,220
37,699
603,909|
|---|---|---|---|
Page 16
**SPECTRUM NORTHANTS LIMITED**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **9. SUPPORT COSTS**
|**SUPPORT COSTS**|||
|---|---|---|
|Charitable activities||Governance
costs
£
**42,372**|
|Support costs, included in the above, are as follows:
**Governance costs**
Auditors' remuneration
Accountancy fees
Legal fees|**2020**
Charitable
activities
**£**
**4,535**
**2,490**
**35,347**|2019
Total
activities
£
**3,673**
**2,808**
**10,409**|
||**42,372**|**16,890**|
|**NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
Auditors' remuneration
Depreciation - owned assets
Surplus on disposal of fixed assets|**2020**
**£**
**4,535**
**36,057**
**(1,837)**|2019
£
3,673
37,699
-|
## **10. NET INCOME/(EXPENDITURE)**
## **11. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2019.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 December 2020 nor for the year ended 31 December 2019.
Page 17
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **12. STAFF COSTS**
Remuneration of Key Management Personnel totalled £107,937 (2019 : £105,222).
|The average monthly number of employees during the year was as follows:
Charitable activities
Management & administration
No employees received emoluments in excess of £60,000.
**13.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
Voluntary Income
5,586
**Charitable activities**
Charitable activities
553,700
Other trading activities
99,423
Investment income
2,401
**Total**
661,110
**EXPENDITURE ON**
Raising funds
1,606
**Charitable activities**
Charitable activities
620,799
**Total**
622,405
Net gains on investments
42,421
**NET INCOME**
81,126
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
867,601
**TOTAL FUNDS CARRIED FORWARD**
948,727|**2020**
**19**
**3**
**22**
Restricted
fund
£
-
-
-
-
-
-
-
-
-
-
-
-|2019
20
3
23
Total
funds
£
5,586
553,700
99,423
2,401
661,110
1,606
620,799
622,405
42,421
81,126
867,601
948,727|
|---|---|---|
Page 18
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **14. TANGIBLE FIXED ASSETS**
|**COST**
At 1 January 2020
Additions
Disposals
At 31 December 2020
**DEPRECIATION**
At 1 January 2020
Charge for year
Eliminated on disposal
At 31 December 2020
**NET BOOK VALUE**
At 31 December 2020
At 31 December 2019
**15.**
**FIXED ASSET INVESTMENTS**
**MARKET VALUE**
At 1 January 2020
Disposals
Revaluations
At 31 December 2020
**NET BOOK VALUE**
At 31 December 2020
At 31 December 2019|Freehold
property
£
**406,919**
**-**
**-**
**406,919**
**167,761**
**8,138**
**-**
**175,899**
**231,020**
239,158|Plant and
machinery
Totals
£
£
**258,816**
**665,735**
**29,426**
**29,426**
**(38,039)**
**(38,039)**
**250,203**
**657,122**
**172,823**
**340,584**
**27,919**
**36,057**
**(37,959)**
**(37,959)**
**162,783**
**338,682**
**87,420**
**318,440**
85,993
325,151
Listed
investments
£
**308,114**
**(1,000)**
**1,151**
**308,265**
**308,265**
308,114|
|---|---|---|
There were no investment assets outside the UK.
The historical cost of the fixed asset investments is £245,000
Page 19
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade debtors
VAT
Prepayments and accrued income
**17.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
Accrued expenses
**18.**
**MOVEMENT IN FUNDS**
**Unrestricted funds**
General fund
**TOTAL FUNDS**
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
**653,262**
**TOTAL FUNDS**
**653,262**|At 1/1/20
£
**948,727**
**948,727**
Resources
expended
£
**(631,883)**
**(631,883)**|**2020**
2019
**£**
£
**5,652**
16,954
**757**
637
**38,738**
30,593
**45,147**
48,184
**2020**
2019
**£**
£
**3,084**
4,251
**7,776**
10,468
**10,860**
14,719
Net
movement
At
in funds
31/12/20
£
£
**22,530**
**971,257**
**22,530**
**971,257**
Gains and
Movement
losses
in funds
£
£
**1,151**
**22,530**
**1,151**
**22,530**|
|---|---|---|
Page 20
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **18. MOVEMENT IN FUNDS - continued**
## **Comparatives for movement in funds**
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|At 1/1/19
£
867,601
867,601|Net
movement
in funds
£
81,126
81,126|At
31/12/19
£
948,727
948,727|
|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
661,110
661,110|Resources
expended
£
(622,405)
(622,405)|Gains and
Movement
losses
in funds
£
£
42,421
81,126
42,421
81,126|
|---|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|At 1/1/19
£
867,601
867,601|Net
movement
in funds
£
103,656
103,656|At
31/12/20
£
971,257
971,257|
|---|---|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
1,314,372
(1,254,288)
**TOTAL FUNDS**
1,314,372
(1,254,288)|Gains and
Movement
losses
in funds
£
£
43,572
103,656
43,572
103,656|
|---|---|
The general reserve represents the free funds of the charity which are not designated for particular purposes.
Page 21
## **SPECTRUM NORTHANTS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **19. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31 December 2020.
## **20. LIMITED BY GUARANTEE**
The Charitable Company has no share capital and is limited by guarantee.
The Trustees are members of the charitable company and each one undertakes to contribute £1 to the assets of the charitable company in the event of it being wound up while he or she is a member or within one year after he or she ceases to be a member.
At 31 December 2020 the number of members of the charitable company was 11 (2019: 11).
Page 22