Charity Registration No. 1090090 Company Registration No. 4178817 (England and Wales)
KEIGHLEY FURNITURE PROJECT
TRUSTEES’ REPORT AND UNAUDITED ACCOUNTS
FOR THE YEAR ENDED 31 MARCH 2023
KEIGHLEY FURNITURE PROJECT LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Philip Hatton |
|---|---|
| Carol Wood – Treasurer | |
| John Edward Barfoot | |
| Carol Greenwood – Chair | |
| Company Secretary | Carol Greenwood |
| Finance Officer | Carol Greenwood |
| Staff: | |
| Project Manager | Gary O’Hara |
| Driver/Warehouse Persons | Angela Towell |
| Chris Dudman | |
| Francis Matley | |
| Jack Lee (appointed 25 April 2022) | |
| Office Administrator/Cleaner | Michelle O’Hara |
| Charity number | 1090090 |
| Company number | 4178817 |
| Registered office | Unit 1 |
| Springfield Mills | |
| Oakworth Road | |
| Keighley | |
| West Yorkshire | |
| BD21 1SL | |
| Independent examiner | Kevin J Meddings MAAT |
| Kevin Meddings Accountancy Services | |
| 55 Crowther Avenue | |
| Caverley | |
| Leeds | |
| West Yorkshire | |
| LS28 5SA |
KEIGHLEY FURNITURE PROJECT
LEGAL AND ADMINISTRATIVE INFORMATION
Bankers
Lloyds Bank plc 45 Hustlergate Bradford West Yorkshire BD1 1NT
CCLA Investment Management Ltd 80 Cheapside London EC2V 6DZ
Solicitors
James Dunn AWB Charlesworth Solicitors 12/16 North Street Keighley West Yorkshire
KEIGHLEY FURNITURE PROJECT
CONTENTS
| Page | |
|---|---|
| Trustees’ report | 1 – 4 |
| Independent accountants’ report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Statement of cashflows | 8 |
| Notes to the accounts | 9 - 12 |
KEIGHLEY FURNITURE PROJECT
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2023
The Trustees present their report and accounts for the year ended 31 March 2023.
The accounts have been prepared in accordance with accounting policies set out in note 1 to the accounts and comply with the charity’s Memorandum and Articles of Association dated 13 March 2001, the Companies Act 2006 and the Charities Act.
Structure, Governance and Management
The charity is a company limited by guarantee. The trustees are directors of the company for the purposes of the Companies Act. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per trustee of the charity.
The trustees, who are also officers for the purposes of company law and who served during the year, were:
Philip Hatton Carol Wood – Treasurer John Edward Barfoot Clive Sherratt (resigned 19 December 2022) Norman Ellis (resigned 14 November 2022) Carol Greenwood – Chair
Trustees Induction and Training
New trustees are given advice leaflets provided by the Charity Commission and Companies House about their roles and responsibilities. Keighley Furniture Project’s policies and procedures can be accessed. Trustees are introduced to the project’s staff and learn about their individual work. The Company Secretary is available to discuss things in more detail. Trustees are made aware of any training opportunities that are relevant.
Recruitment of Trustees
The Articles of Association states that trustees shall be no fewer than three, no more than twelve.
Trustees can be elected at the Annual General Meeting or at any time during the year on application to the board, giving details of relevant skills and experience.
One third of trustees shall retire annually by rotation. If no other trustee is elected to the vacancy the retiring trustee(s) shall be deemed to have been reappointed unless the meeting resolves not to fill the vacancy or the retiring trustee loses the vote to be re-elected.
Additional committee members with suitable knowledge or expertise may be co-opted by the trustees.
Structure, Governance and Management
The requirements, duties and responsibilities are listed in the Articles of Association.
Constitution and Objects
The charity is a charitable company limited by guarantee on 13 March 2001 and registered with the Charity Commission on 15 January 2002.
KEIGHLEY FURNITURE PROJECT
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
The objects of the charity are:
To relieve; either generally or individually, persons resident in the area of benefit who are in condition of need, hardship and distress arising there from by:
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The provision of furniture and other household accessories calculated to reduce the need, hardship or distress of such persons; and
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The provision of training, advice, and support in order to provide them with the skills to improve their employment opportunities.
Our charitable activities for the year are in accordance with the Charity Commission’s guidance on public benefit. These are outlined further in this report. Our services are available to any member of the public who needs information or support with a Keighley Furniture Project issue. We have an equal opportunities policy for users, staff, and volunteers.
Achieving our Objects
Through the year over 4,694 items have been sold, ensuring local people benefit from low-cost furniture and white goods which have been re-used and diverted from Landfill. A significant increase on last year, (2,674 items to March 2022)
There has been an increase in overall income this year of approx. £23k. Demonstrating much need for our organisation.
Popularity of the project remains high with donations of a high quality continuing to be received, despite the increase of other local charitable outlets.
Organisational Decision Making
The Project Manager reports on the work of the project to the Board of Trustees at regular meetings, usually every six weeks. The Finance Officer/Company Secretary and Treasurer regularly report on the financial position of the project. Any trustees may ask for further information on any matter.
Key legal and financial documents are signed by two officers/trustees.
All new staff are interviewed by the Chair of the Board (or another board member) and the Project Manager. Any staffing problems will be discussed by the Project Manager with the officers of the board. Written discipline and grievance procedures are in place. Pay and increments are agreed by the board. All policies and procedures are regularly reviewed as part of the new employees’ handbook.
Membership of Wider Networks
Keighley Furniture Project continues to liaise with other networks as appropriate. These networks have no impact on the day to day running of Keighley Furniture Project.
Relationship with other Organisations
Keighley Furniture Project has no subsidiaries and is not currently a member organisation. It does network with other agencies and organisations.
Funding received from grant making bodies is accountable and monitoring reports are supplied when required.
KEIGHLEY FURNITURE PROJECT
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Financial Review
The company had net outgoing resources for the year of £18,404 (2022 - net outgoing resources of £19,162). Unrestricted reserves at the end of the financial year amounted to £476,909 of which £467,655 relates to the freehold property. Income is received from donations of furniture, rental of rooms and storage bays.
Donations for furniture, white goods and rental income increased by £56,388. Other incoming resources decreased by £35,023 mainly due to the absence of local authority grants and the governments Job Retention Scheme support.
Plans for Future Periods
The overall project continuity remains our primary aim in the future. Increased public visibility is the key to achieving income sustainability and a variety of measures including social media are being taken to address the issue including Keighley News, Craven Life Magazine and Aire & Worth Valley Magazine entries.
The increase in popularity of white goods tested by our Technicians is benefiting the local community by supplying them with a much needed supply of refurbished electrical items and in turn, contributing to our increased income. After the development of units within the mill, we are now at virtually full capacity.
The card machine is still proving very popular, with card sales being very encouraging.
Reserves Policy
The charity aims to maintain unrestricted reserves equivalent to three months salaries and overheads. Reserves currently equate to less than three months salaries and overheads. Essential maintenance and repair of a large mill, along with hugely increased mill insurance costs, requires steady expenditure. To accommodate this, it is our intention is to continue building upon these reserves by increasing income as the company’s activities expand. This is slowly happening.
Risk Review
The company has examined the principal areas of its operations and set up a framework for assessing what major risks may arise in each of these areas. We have examined major risks, including fire, and because we have a unique sprinkler system including a back-up water system, the Fire Officer and Insurance Company are happy that fire represents a low risk. Governance, management, operational, financial, external and legal matters have all been examined. In the opinion of the trustees, the resources and monitoring systems set in place should allow the risks identified to be mitigated to an acceptable level in its day-to-day operations. Keighley Furniture Project is in the enviable position of owning its own building; Bradford Council had a charge on the building until 2013, but this is now spent or finalised and the building is now entirely owned by Keighley Furniture Project. The project itself is now virtually selffinancing. Any potential risks would be drawn to the attention of the board by the Project Manager, and preventative measures taken. Our future priorities will be to focus on the rising energy and insurance costs. We will monitor the situation and take action accordingly.
KEIGHLEY FURNITURE PROJECT
TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
Statement of Trustees’ Responsibilities
The trustees (who are also the directors of Keighley Furniture Project) are responsible for preparing the Trustees’ Annual Report and accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare accounts for each financial year. Under company law the Trustees must not approve the accounts unless they are satisfied that they 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 these accounts the Trustees are required to:-
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements that are reasonable and prudent;
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state whether UK accounting standards have been followed, subject to any departures disclosed and explained in the accounts; and
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prepare the accounts on a going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and disseminator of accounts may differ from legislation in other jurisdictions.
The Trustees are responsible for maintaining proper accounting records which disclose at anytime the financial position of the charitable company and to enable them to ensure that the accounts 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 .
Approved by the trustees and signed on their behalf by:-
Carol Susan Greenwood
Trustee
Dated: 21 September 2023
KEIGHLEY FURNITURE PROJECT
INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS ON THE UNAUDITED ACCOUNTS OF KEIGHLEY FURNITURE PROJECT
I report on the accounts of the Charity for the year ended 31 March 2023 which are set out on pages 6 to 12.
Respective responsibilities of directors and examiner
The directors who also act as trustees of Keighley Furniture Project are responsible for the preparation of the accounts. The directors consider that an audit is not required for this year under Section 144(2) of the Charities Act 2011, (the 2011 Act) and that an independent examination is needed. The charity’s gross income exceeded £100,000 and I am qualified to undertake the examination being a Member of the Association of Accounting Technicians.
Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination it is my responsibility to:
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(i) examine the accounts under section 145 of the 2011 Act;
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(ii) to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
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(iii) to state whether particular matters have come to my attention.
Basis of independent examiner’s report
My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below.
In connection with my examination, no matter has come to my attention;
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a. which gives me reasonable cause to believe that in any material respect the requirements
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(i) to keep accounting records in accordance with section 386 of the Companies Act 2006; and (ii) to prepare accounts which accord with the accounting records, comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice; Accounting and reporting by Charities.
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have not been met; or
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b. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Kevin J Meddings MAAT
Kevin Meddings Accountancy Services 55 Crowther Avenue Calverley Leeds West Yorkshire LS28 5SA
Dated: 30 September 2023
KEIGHLEY FURNITURE PROJECT
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023
| Unrestricted fund Notes £ Income Incoming resources from Charitable activities2 232,506 Other incoming resources 3 1,745 Total income 234,251 Expenditure 4 Charitable activities 252,655 Total expenditure 252,655 Net (expenditure) and net movement in funds (18,404) Reconciliation of Funds Total funds brought forward 495,313 Total funds carried forward 476,909 |
Total 2023 £ 232,506 1,745 234,251 252,655 252,655 (18,404) 495,313 476,909 |
Total 2022 £ 174,549 36,768 211,317 230,479 230,479 (19,162) 514,475 495,313 |
|---|---|---|
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
KEIGHLEY FURNITURE PROJECT
BALANCE SHEET AS AT 31 MARCH 2023
| Unrestricted fund Notes £ Fixed assets Tangible assets 7 467,655 Current assets Debtors 8 15,040 Cash at bank and in hand 35,556 50,596 Creditors: amounts falling due within one year 9 (41,342) Net current assets 9,254 Total assets less current liabilities 476,909 The funds of the charity Unrestricted funds: General 9,254 Freehold Property 467,655 Total charity funds 476,909 |
Total 2023 £ 467,655 15,040 35,556 50,596 (41,342) 9,254 476,909 9,254 467,655 476,909 |
Total 2022 £ 474,617 12,266 58,503 70,769 (50,073) 20,696 495,313 20,696 474,617 495,313 |
|---|---|---|
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2023. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these accounts.
The directors acknowledge their responsibilities for:
- (a) ensuring that the company keeps accounting records which comply with section 386 of the Act; and (b) preparing accounts which give a true and fair view of the state of affairs of the company at the end of the financial year, and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of section 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006, so far as applicable to the company.
These accounts have been prepared in accordance with the provisions applicable to companies subject to small companies regime.
The accounts were approved by the trustees on 21 September 2023
Carol Susan Greenwood
Trustee
Company Registration No: 4178817
KEIGHLEY FURNITURE PROJECT
STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 31 MARCH 2023
| Notes Cash (used) in operating activities 10 Cash equivalents at the beginning of the year Total cash equivalents at the end of the year |
2023 £ (22,947) 58,503 35,556 |
2022 £ (38,526) 97,029 58,503 |
|---|---|---|
KEIGHLEY FURNITURE PROJECT
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023
1 Accounting policies
1.1 Basis of preparation
The accounts are prepared under the historical cost convention, unless otherwise stated.
The accounts have been prepared in accordance with the Companies Act 2006, Charities Act 2011, 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) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102).
The charity constitutes a public benefit entity as defined by FRS 102.
Having considered future planned activities and the reserves available to the charity, the trustees are satisfied that the financial statements should be prepared on the going concern basis.
1.2 Incoming resources
Donations and furniture are accounted for when received by the charity. Other income is accounted for on an accruals basis as far as is prudent to do so.
Revenue grants are recognised on receipt, subject to any required conditions being met or services provided. Capital grants are written off in line with the charity’s depreciation policy.
1.3 Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for beneficiaries.
Governance costs includes those costs associated with meeting the constitutional and statutory requirement of the charity.
All costs are allocated between the expenditure categories on the (Statement of Financial Activities) SOFA on a basis designed to reflect the use of the resource.
1.4 Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of each asset over its expected useful life as follows:-
Freehold property 2% straight line on the building Motor vehicles 25% reducing balance
1.5 Fund accounting
Unrestricted funds can be used in accordance with the charitable objects at the discretion of the trustees.
1.6 Pensions
The company administers and contributes to individual stakeholder arrangements on behalf of specific employees. The pension cost charge represents amounts paid during the year in respect of these defined contribution schemes.
KEIGHLEY FURNITURE PROJECT
NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
2 Incoming resources from charitable activities
| Donations for furniture and white goods Rent and licence fees Electricity generated Employment Allowance 3 Other incoming resources Other income Rates refund Job retention scheme City of Bradford MDC – Rates grant 4 Charitable activities Wages and salaries Pension costs Pension administration fees Payroll costs Agency staff Training costs Telephone Legal and professional fees Accountancy Accountancy (Overprovision 2021) Rates and water Light and heat Insurance Stationery and Postage Repairs and renewals and PPE costs Computer software and maintenance Advertising Transport Van leasing charges Volunteer expenses Materials, tipping and testing Bank charges Merchant card fees Loan interest Sundries Depreciation |
2023 £ 131,228 84,136 12,142 5,000 232,506 2023 £ 852 893 - - 1,745 2023 £ 131,037 2,431 1,024 495 - 225 2,018 2,963 900 - 5,015 28,277 39,130 1,326 13,548 2,205 1,940 5,605 2,809 380 534 916 1,239 929 747 6,962 252,655 |
2022 £ 66,871 92,105 11,573 4,000 174,549 2022 £ 568 - 32,200 4,000 36,768 2022 £ 109,805 2,822 1,004 789 2,452 336 1,922 2,929 900 (584) 4,312 27,208 38,387 891 14,827 2,378 1,759 2,899 4,529 433 1,435 713 314 951 106 6,962 230,479 |
|---|---|---|
KEIGHLEY FURNITURE PROJECT
NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
5 Trustees
None of the trustees (or any persons connected with them) received any remuneration or was paid expenses in the year (2022: None). One Trustee was paid £11,100 (2022: £7,993) for financial support and consultancy.
We can confirm that there are no other related party transactions that require disclosure in the financial statements.
6 Employees
Number of employees
The average monthly number of employees during the year was:-
| Staff Employment costs Wages and salaries Social security costs Pension costs Agency staff |
2023 Number 6 2023 £ 122,651 8,386 2,431 - 133,468 |
2022 Number 6 2022 £ 102,914 6,891 2,822 2,452 115,079 |
|---|---|---|
There were no employees whose annual emoluments were £60,000 or more.
The charity considers that the key personnel of the organisation are the Board of Trustees and the Project Manage Gary O’Hara.
7 Tangible fixed assets
| Freehold Property £ Cost At 1 April 2022 And 31 March 2023 595,969 Depreciation At 1 April 2022 121,352 Charge for Year 6,962 At 31 March 2023 128,314 Net book value At 31 March 2023 467,655 At 31 March 2022 474,617 |
Total £ 595,969 |
|---|---|
| 121,352 6,962 |
|
| 128,314 | |
| 467,655 | |
| 474,617 |
KEIGHLEY FURNITURE PROJECT
NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023
8 Debtors
| Debtors VAT repayable Prepayments Creditors: amounts falling due within one year Creditors Accruals Bank loan |
2023 £ 10,858 4,182 - 15,040 2023 £ 900 8,775 31,667 41,342 |
2022 £ 11,063 871 332 |
|---|---|---|
| 12,266 2022 £ 900 7,506 41,667 |
||
| 50,073 |
9 Creditors: amounts falling due within one year
10 Reconciliation of net movement in funds to net cashflow from operating activities
| Net movement in funds Add back depreciation charge (Increase) in debtors (Decrease) in creditors Net cash(used) in operating activities |
2023 £ (18,404) 6,962 (2,774) (8,731) (22,947) |
2022 £ (19,162) 6,962 (8,055) (18,271) (38,526) |
|---|---|---|
11 Commitments under finance leases
At 31 March 2023 the Company had annual commitments under non-cancellable operating leases as follows:
| Expiry date Within one year Between two and five years |
2023 £ 678 678 |
2022 £ 4,529 |
|---|---|---|
| 4,529 |