REGISTERED COMPANY NUMBER: 04256196 (England and Wales) REGISTERED CHARITY NUMBER: 1093661
REPORT OF THE TRUSTEES AND
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST MARCH 2021
FOR
HADLEY UNDER AND OVER 5'S LIMITED
D E Ball & Co Limited Chartered Accountants 15 Bridge Road Wellington Telford Shropshire TF1 1EB
HADLEY UNDER AND OVER 5'S LIMITED
CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 31st March 2021
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Independent Examiner's Report | 3 | ||
| Statement of Financial Activities | 4 | ||
| Balance Sheet | 5 | to | 6 |
| Notes to the Financial Statements | 7 | to | 12 |
| Detailed Statement of Financial Activities | 13 |
HADLEY UNDER AND OVER 5'S LIMITED
REPORT OF THE TRUSTEES for the Year Ended 31st March 2021
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 31st March 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES Objectives and aims
The Charitable objects are:
-
to advance the education of children through the provision of nursery and pre-school care, and, after school provision which stimulates their growth and development through the safe and stimulating play,
-
in the interest of social welfare, to promote and provide recreational facilities and leisure time activities for children so their conditions of life may be improved.
Public benefit
The main activity is undertaken to further our charitable objective for the public benefit.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
The charity continues to provide a nursery to meet its charitable objectives.
FINANCIAL REVIEW
Financial position
The Trustees recognise that it is a challenging financial environment, made worse by Covid, that the charity is in and that there is a continual need to have close monitoring of the financial position, especially of the level of fees received compared to wages.
The current situation remains satisfactory.
Reserves policy
The trustees have established a policy where the general fund "free reserves" should hold at least the equivalent of the cost of three months (and ideally six months) overheads to enable the charity to continue if there was a short term significant drop in income or donations.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered Company number
04256196 (England and Wales)
Registered Charity number
1093661
Registered office
The Old School Buildings Hadley Park Road Telford Shropshire TF1 6PW
Page 1
HADLEY UNDER AND OVER 5'S LIMITED
REPORT OF THE TRUSTEES
for the Year Ended 31st March 2021
Trustees
Mrs S E Smith Retired Mrs S J Phillips Independent consultant Mrs J A Olliver Employed
Independent Examiner
D E Ball & Co Limited Chartered Accountants 15 Bridge Road Wellington Telford Shropshire TF1 1EB
Approved by order of the board of trustees on 27th January 2022 and signed on its behalf by:
Mrs S J Phillips - Trustee
Page 2
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HADLEY UNDER AND OVER 5'S LIMITED
Independent examiner's report to the trustees of Hadley Under and Over 5's Limited ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31st March 2021.
Responsibilities and basis of report
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
Independent examiner's statement
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of ICAEW which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or
-
the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
-
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Russell Ball ICAEW D E Ball & Co Limited Chartered Accountants 15 Bridge Road Wellington Telford Shropshire TF1 1EB
27th January 2022
Page 3
HADLEY UNDER AND OVER 5'S LIMITED
STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31st March 2021
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 300 Charitable activities Nursery 259,632 Other trading activities 2 21,589 Investment income 3 45 Total 281,566 EXPENDITURE ON Raising funds 38,323 Charitable activities Nursery 251,446 Total 289,769 NET INCOME/(EXPENDITURE) (8,203) RECONCILIATION OF FUNDS Total funds brought forward 174,287 TOTAL FUNDS CARRIED FORWARD 166,084 |
Restricted fund £ - - - - - - - - - 55,363 55,363 |
31.3.21 Total funds £ 300 259,632 21,589 45 281,566 38,323 251,446 289,769 (8,203) 229,650 221,447 |
31.3.20 Total funds £ - 246,756 68,284 150 315,190 45,568 280,816 326,384 (11,194) 240,844 229,650 |
|---|---|---|---|
The notes form part of these financial statements
Page 4
HADLEY UNDER AND OVER 5'S LIMITED
BALANCE SHEET
31st March 2021
| Unrestricted fund Notes £ FIXED ASSETS Tangible assets 8 87,209 CURRENT ASSETS Debtors 9 2,954 Cash at bank and in hand 80,494 83,448 CREDITORS Amounts falling due within one year 10 (4,573) NET CURRENT ASSETS 78,875 TOTAL ASSETS LESS CURRENT LIABILITIES 166,084 NET ASSETS 166,084 FUNDS 11 Unrestricted funds Restricted funds TOTAL FUNDS |
Restricted fund £ 55,363 - - - - - 55,363 55,363 |
31.3.21 Total funds £ 142,572 2,954 80,494 83,448 (4,573) 78,875 221,447 221,447 166,084 55,363 221,447 |
31.3.20 Total funds £ 152,264 1,998 80,128 82,126 (4,740) 77,386 229,650 229,650 174,287 55,363 229,650 |
|---|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st March 2021.
The members have not required the company to obtain an audit of its financial statements for the year ended 31st March 2021 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
-
(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
-
(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The notes form part of these financial statements
Page 5
continued...
HADLEY UNDER AND OVER 5'S LIMITED
BALANCE SHEET - continued
31st March 2021
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue on 27th January 2022 and were signed on its behalf by:
J A Olliver - Trustee
S J Phillips - Trustee
The notes form part of these financial statements
Page 6
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 31st March 2021
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
| Improvements to Freehold Property | - at varying rates on cost |
|---|---|
| Tenants Improvements | - 10% on cost |
| Fixtures and fittings | - 25% on reducing balance |
| Computer equipment | - 20% on reducing balance |
Freehold property is not depreciated. The Trustees are of the view that the level of ongoing repair and maintenance of the property will result in the residual value of the property at the end of its useful life being greater than its original cost. This is reviewed annually by the Trustees.
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Pension costs and other post-retirement benefits
The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
continued...
Page 7
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2021
2. OTHER TRADING ACTIVITIES
3.
4.
| OTHER TRADING ACTIVITIES | ||
|---|---|---|
| 31.3.21 | 31.3.20 | |
| £ | £ | |
| Shop takings | 21,589 | 68,284 |
| INVESTMENT INCOME | ||
| 31.3.21 | 31.3.20 | |
| £ | £ | |
| Deposit account interest | 45 | 150 |
| NET INCOME/(EXPENDITURE) | ||
| Net income/(expenditure) is stated after charging/(crediting): | ||
| 31.3.21 | 31.3.20 | |
| £ | £ | |
| Depreciation - owned assets | 9,692 | 10,428 |
5. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31st March 2021 nor for the year ended 31st March 2020.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31st March 2021 nor for the year ended 31st March 2020.
6. STAFF COSTS
The average monthly number of employees during the year was as follows:
| Nursery staff No employees received emoluments in excess of £60,000. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted fund £ INCOME AND ENDOWMENTS FROM Charitable activities Nursery 246,756 Other trading activities 68,284 Investment income 150 Total 315,190 EXPENDITURE ON Raising funds 45,568 |
31.3.21 17 Restricted fund £ - - - - - |
31.3.20 18 Total funds £ 246,756 68,284 150 315,190 45,568 |
|---|---|---|
7. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
continued...
Page 8
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2021
| 7. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued | ||
|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | |||
| fund | fund | funds | |||
| £ | £ | £ | |||
| Charitable activities | |||||
| Nursery | 280,816 | - | 280,816 | ||
| Total | 326,384 | - | 326,384 | ||
| NET INCOME/(EXPENDITURE) | (11,194) | - | (11,194) | ||
| RECONCILIATION OF FUNDS | |||||
| Total funds brought forward | 185,481 | 55,363 | 240,844 | ||
| TOTAL FUNDS CARRIED FORWARD | 174,287 | 55,363 | 229,650 | ||
| 8. | TANGIBLE FIXED ASSETS | ||||
| Improvements | |||||
| to | |||||
| Freehold | Freehold | Tenants | |||
| property | Property | Improvements | |||
| £ | £ | £ | |||
| COST | |||||
| At 1st April 2020 and 31st March 2021 | 56,966 | 175,301 | 13,700 | ||
| DEPRECIATION | |||||
| At 1st April 2020 | - | 93,129 | 8,167 | ||
| Charge for year | - | 6,795 | 1,370 | ||
| At 31st March 2021 | - | 99,924 | 9,537 | ||
| NET BOOK VALUE | |||||
| At 31st March 2021 | 56,966 | 75,377 | 4,163 | ||
| At 31st March 2020 | 56,966 | 82,172 | 5,533 |
continued...
Page 9
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2021
| 8. TANGIBLE FIXED ASSETS - continued Fixtures and fittings £ COST At 1st April 2020 and 31st March 2021 54,835 DEPRECIATION At 1st April 2020 51,514 Charge for year 672 At 31st March 2021 52,186 NET BOOK VALUE At 31st March 2021 2,649 At 31st March 2020 3,321 9. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Prepayments 10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Accrued expenses 11. MOVEMENT IN FUNDS At 1.4.20 £ Unrestricted funds General fund 174,287 Restricted funds Building 55,363 TOTAL FUNDS 229,650 Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 281,566 TOTAL FUNDS 281,566 |
Computer equipment Totals £ £ 14,519 315,321 10,247 163,057 855 9,692 11,102 172,749 3,417 142,572 4,272 152,264 31.3.21 31.3.20 £ £ 2,954 1,998 31.3.21 31.3.20 £ £ 4,573 4,740 Net movement At in funds 31.3.21 £ £ (8,203) 166,084 - 55,363 (8,203) 221,447 Resources Movement expended in funds £ £ (289,769) (8,203) (289,769) (8,203) |
|---|---|
continued...
Page 10
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2021
11. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| At 1.4.19 £ Unrestricted funds General fund 185,481 Restricted funds Building 55,363 TOTAL FUNDS 240,844 Comparative net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 315,190 TOTAL FUNDS 315,190 |
Net movement At in funds 31.3.20 £ £ (11,194) 174,287 - 55,363 (11,194) 229,650 Resources Movement expended in funds £ £ (326,384) (11,194) (326,384) (11,194) |
At 31.3.20 £ 174,287 55,363 |
|---|---|---|
| 229,650 | ||
| (11,194) |
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund Restricted funds Building TOTAL FUNDS |
At 1.4.19 £ 185,481 55,363 240,844 |
Net movement in funds £ (19,397) - (19,397) |
At 31.3.21 £ 166,084 55,363 |
|---|---|---|---|
| 221,447 |
continued...
Page 11
HADLEY UNDER AND OVER 5'S LIMITED
NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2021
11. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 596,756 596,756 |
Resources Movement expended in funds £ £ (616,153) (19,397) (616,153) (19,397) |
|---|---|---|
The Restricted Fund represents amounts donated specifically towards the purchase of the nursery building.
12. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31st March 2021.
Page 12
HADLEY UNDER AND OVER 5'S LIMITED
DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31st March 2021
| 31.3.21 | 31.3.20 | |
|---|---|---|
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Donations and legacies | ||
| Donations and grants | 300 | - |
| Other trading activities | ||
| Shop takings | 21,589 | 68,284 |
| Investment income | ||
| Deposit account interest | 45 | 150 |
| Charitable activities | ||
| Fees received | 197,377 | 246,756 |
| CJRS - Furlough receipts | 41,255 | - |
| Council Covid Grants | 21,000 | - |
| 259,632 | 246,756 | |
| Total incoming resources | 281,566 | 315,190 |
| EXPENDITURE | ||
| Other trading activities | ||
| Shop rent, service charge and insurance | 26,954 | 27,672 |
| Shop other expenses including wages | 11,369 | 17,896 |
| 38,323 | 45,568 | |
| Charitable activities | ||
| Wages | 186,468 | 200,457 |
| Pensions | 2,721 | 2,847 |
| Rates and insurance | 3,991 | 3,330 |
| Premises expenses | 15,121 | 13,567 |
| Light and heat | 4,362 | 8,204 |
| Telephone | 4,958 | 3,905 |
| Post, stationery and cleaning | 7,775 | 8,086 |
| Training and courses | 324 | 860 |
| Sundries | 8,679 | 11,596 |
| Catering expenses | 3,855 | 14,106 |
| Rent | 900 | 930 |
| Accountancy and payroll support | 2,600 | 2,500 |
| Depreciation - improvements to freehold | ||
| property | 6,795 | 6,795 |
| Depreciation - fixtures and fittings | 672 | 1,195 |
| Depreciation - tenants improvements | 1,370 | 1,370 |
| Depreciation - computers | 855 | 1,068 |
| 251,446 | 280,816 | |
| Total resources expended | 289,769 | 326,384 |
| Net expenditure | (8,203) | (11,194) |
This page does not form part of the statutory financial statements
Page 13