Small s Gol REGISTERED COMPANY NUMBER: 04012143 (England and Wales) REGISTERED CHARITY NUMBER: 1094807 The Freedom Community Trust Limited Consolidated Financial Statements 31st March 2024 9)02155qfj.I rHARfE%EIJ ACeQVNfANTS
The Freedom Communlty Trust Llmlted Contents Rofence and AdministratNe Detalls Trustees, Report 2to6 Indepondont Audltors, Report 7t010 Consolidated Statement of Flnandal AcOvftle8 Consolidated Balance Sheet 12 Balance Sheet 13 Consolldaled Stalein&nt of Cash Flows 14 Note8 to the Financial Statemènts 15to31
The Freedom Communlty Trust Llmlted Reference and Adrnlnlstratlve Details Tru8tg98 S J Alttoft J Boyd H C Bridges H McConn611 R Norman Rev R P Phlllips S Sheppard S Gamfrti SoGr•tary Reg18t•red Offic• The Frèedom Cèntre 97 Pr881on Road Hull East York$hir6 HU9 3QB Company Regl8lratlon Numbor 04012143 Charlty Regl$trallon Numbof 1094807 Audltor Smalles Goldie Chartered Accountants Regenl's Court PTlncess Street Hull East Yorkshire HU2 8BA Virgln Mon8y 214 Holdemess Road Hull HU9 2AA Bankern Page 1
The Freedom Communlty Trust Llmited Trustees. Report Chalr's Statement We are here lo improve the quality of life for the people who liv8 in our comrnunities in east Hull. There are pleity of slalislics that show what the challenges are, from financial issues. fiiiding employment. getting the right skills, and the impacts that these issues have on people's heaEth. Whilst these issues hav8 a great impact on the Itves of our communities, it's not what defines theni. And as an integral part of the community. it's not what defines us. Our focus remains on being proactive, working as part of the community. to be a p08itive force, bringing people together, making great mernories and bringing loy to life. So, whilst many of Ihe tasks we undertake directly alleviate poverty, break down barriers, bring people out of isolation, Improve lif8 chances and benefit people's health, it is important io remember that we do this in celebration of the community we are part ol, as an integral part of the postlity and strength that can be found here in abundance. As over we dellv8r most of our Work through the Freedom Centre and we are grateful to Ihe leam for their continued conimilme+nt lo supporting Ihe community. In partlcular their hard work in developing new skills lo secure grant funding Irom a wide source of fundeiE and private partners has been much appreciated by Ir(Islees. In 8ddStion lo the day-l04ay work ol supportlng communlty groups to beat Isolallon and provlde lowc0St high-quality food, the team has delivered a nuinbBr of exGeptional projects that have made a r&al difference fof the communily, including.. Innovalive community events throughout the year, from Indoor carnplng and nature-based crafts, science events and animal encounters, the range of activities has been amazir¢g. All of our events include free food for the children, giving additional support particularly at challenging tim88 such as school holidays. Another gumm6r programme of events, wilh lols of free events lor famllies, includlng two free famlly fun days, wllh a pettirsg zoo and plenly to do for all the family. The unicorns that visiled will be long be remembered by all who saw them. Continued provisior? of free Items lo support adults, chlldren and familles including hygiene packs (toolhbruslies, toothpaste. shower gels and mu¢h more), women's sanilary products, sun protecllon kits (hats, Cream water and advice) for children arsd other items. A free uniform swapping servlce with hundreds of items sorted, cleaned and given away, saving the communily Ihousands. Staff l¢)ok many items and washed them themseFves al home. A comprehen51ve wiiitor support programme for older people, including free 9ym payses, a Iw¢>course meal with hot drink for £1, free energy advlce and free equlpment including blankets. Free flood support equipment is now available including pumps and absorbent mats so that we can help the communlty qulckly should Ihe need arise. Events over Christmas included a visit from the real Father Christmas, free gif15 for the childfen and a free letter from Father Christmas posted lo the homes of all children who Wfole to him via Dur post box. Provision of free public WIFI Extensive support for Hull's Truth and Poverty Commission We are grateful to Tess (Hull} Lld. Vic Coupland Ltd, MS3 Networks. Hull Cty Council, the Humbeiside Police and Crime CoTnmissioner. Cranswick Foods plc, the National Lotlery Community Fund, Power to Change and many others for their continued 5UPPOrt. Page 2
The Freedom Communlty Trust Limlted
Trustees. Report
As we look to the future the challenges that we fa, both as 8 communify 8nd an organisation,
continue to develop, we know that there will always be more to da. We are grateful for what we have
delivei'ed so far in such difficult times, and will continue our lourney, challenging ourselves to d81iver
more for our communlty In the years lo come.
Sue Shoppard- Chalr
AGHIEVEMENT$. AN_D_-P.ERFQRMANCE
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The Freedom Communlty Trust Limlted
Truste8s' Report
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The Freedom Community Trust Llmlt8d Trustees. Report slate whether applicable accounting standards. comprising FRS 102 have been followed. subject to ar¢y material departures dlsclosed and explalned in me financial slalements.. and prepare the financial statemènts on the going conrn basis unless it is inappropriate to presume that the charitable company will cor)tinue in business. The Iruslees are responsible for keeping propgr accounting records that can dlsclose with roasonable accuraty at any time the financial posiliori of the charilable company and enable them lo ensure that the nnancial statements comply with the Companles Act 2006. They ar& also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps fo¥ the prevention and dete¢lion of fraud and other irregul8ritles. The trustees are responslble for Ihe maintenance and Inlegrity of the corporate and flnancial information included on the chadtable companls website. Legislation governing the preparation and dissemination of financial statemenis may differ from legislation in other lurisdictions. Dlsclosufe of Informatlon to •udllor Each trustee has taken steps that they ought to have taken as a trustee in order to mak6 themselves awa of any relevant audlt Information and to estsblish that the charlty's auditor 1$ aware of that infomialion. The trustees confirm Ihat Ihere 1$ no relevant information that they know of and of which they know the auditor is unaware. Reappolnlment of audltor The auditors, Smailes Goldie, wlll be proposed for re-appolntmenl at the forthcoming Annual Genoral Meeting. The annual report Was appraved by the trustees of the charlty on bahalf by.. and slgned on its S Sheppard Trustee Page 6
The Freedom Community Trust Limlted Independent Auditofs Rèport to the Members of The Freedom Communlty Trust Llmited Opinlon We have audiled the flnancial statements of The Freedom Communily Trust Limlted (the 'charitable parent companl) and its SLtbsidiaries (the 'group'} for the year ended 31 March 2024. which comprise the CDnsolidated Slalement of Financial Activikn'es, Consolidatsd Balance Sheet, Balance Sheet. Consolidated Stalemenl of Cash Flows and Notes to the Financial Slalements, including a summary of signilicanl accounting policies. The financial feporling Iramework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charltiès SORP - FRS 102 'The Finarbcial Reporting Standard applicable iii the UK and Reptsbli¢ of Irelaiid, and applicable18w {Uniled Kingdom Genertilly ACpted A¢Gounling Praclice}. In our oplnlon the financlal statements: glve a Irue and fair vi6w of the state of Ihe group's and parènt ¢harlty'$ affairs as al 31 March 2024 and of its incomlng resources and application of resources. includlng ils income and expenditure. for the year then ended., have bgen property prepar8d in accordance with United Klngdom Geiieralty Accepted Accoiinling Practice. and have been prepared In accordance wlth the requlrements of the Companies Act 2006. Bas1$ for oplnlon We conduclert our audit in accordance wllh International Standards AEJditing IUKI IISAS {UKI) and applicable law. Our responsibllities under those standards are further described In the audltor responsibllitles for the audit of the ftnancial slalements sectlon of our repoTt. We are independent of the group in accordance wilh the ethical requiremenls that are relevant lo our audil of the ftnanclal st81ements In the UK. Includlng the FRC'S Ethlcal Standard. and we have fulfllled our other ethical responsibillties in accordance with these requirements. We believe thal the audit evldence we have obtained is sufficlent and appropflale to provtde a basis lor our opinion. Con¢lu8lon8 r6latlng to golng concern In auditing the finanoial slatemenls. we have concluded that the trustees use of the going concern basis of accounting in the pr¶kn'on ol the financial slatements is apprr)pi'iate. Based on the work we have performed, we have not identified any material uncertainties relating lo events or conditions thal, indivldually or collecllv8ly, may cast significant doubt on Ihe group's ability to continue as a going concem for a p8riod of at least twelve months from when th8 original financial statemenls were authorised for issue. Our responsibilities and th8 responsibilitiÈs of the trustees with respect tr) going concern afe described in the relevant sections of this repDrt. Other Information The trustees are fesponsible for the other information. The other informab'on comprises the Information included in the annual report. othgl than the financial stalenienls and our auditor's report thereon. Our opinion ¢)n the financlal statements does not cover the other infomialion and. except to the extent otherwise expiicilly slated in Our report, we do nol express any form ol assurance conclusion theon. Page 7
The Freedom Community Trust Llmlted Independent Audltor's Report to the Members of The Freedom Community Trust Llmited In connection with our audit of the financial statements, our responsibllity 18 lo read th6 Other information 8nd, in doing so, consider whether the other Informalion is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially mi.451ated. If we identify sijch material inconsistencies or apparent materi81 misststements. we are required to determine whether there is a material rnlsstatement In the financial statements or a material misstatement of the other informalion. If. based on the work we have performed, we conclude that thère is a material misstatemenl of this other Information. we are required to report that lact. We have nothing lo report in this Tegard. Oplnlon on other matter pre5crlbod by the Companles Act 2006 our opinion, based on the work undertaken in the course of the audlt: the informalion given in the and Trustees, Report fof the financial yÈar for which the llnancial slaleinenls are prepared is cons151eFIt wfth the ftnancial slalem8nts', and the and Trustees, Report have been prepared in accordanGe wlth applicable legal requirements. Matters on whlch we are requlrad to rgport by oxceptlon In the light of our knowledge and und8rstanding of the group and the parent charitable company and its environment obtalned in the course of the audlt. we have not idenfIed mat&rial mlsslalemenls in the and the Trustees, Report. 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.. adeqliate accounting records have nDI been kept by the parent charitable company, or returns adequate for our audll hav& not bE)eii received from bfanches not V151t8d by us,. or the parent charllable company financial statements are not in agreement with the accounting records and relurns., or certain disclosures of trustees remunerallon Specifled by law are not made., or we have not received all the ii)formalion 8nd 8xplanation5 we require for our audil. R•$ponsibllltl•8 of trustoe$ As exp18ined more fully In the Statemenl of Irustees, responsibililles (set out on page 6), the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. and for such int6rnal control as the trustees determine is necessary lo enable the preparation of financial staternenls that are free Irom material mlsstat8menl, whether due to fraud or error. In preparing the financial slat&menls. the tfUStee8 are responsib18 for assessing Ihe charity's ability to continue as 8 going concern, disclosing, as applicable. malteis rglated to goiiig Concerti and using the going Goncem basts of accounting unless Ihe trustees either intehd to liquidate the charity or lo cease operations, or have no realistic altgrnative but to do so. Page 8
The Freedom Communlty Trust Llmlted Independent Audltor's Report to thè Members of The Freedom Community Trust Llmited Audltof re8ponslbllltles for the audlt of the ftnancial statements Our objectiv&s are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misslalement, whether due lo fraud or error, and lo Issue an auditor's report that indudes our opinion. Reasonable assurance Is a high level of assurancè, but is not a guaranltse that an audit conducted In accordance with ISAS (UK) will always delect 8 material misstatement when It exists. Misstatements can arise from fraud or error and are considered rnalerial if, individually or in the ciggregale, they could reasonably be expected to InfÉuenc6 the economic decislons of users taken on the basis of these financial statements. The extent to which our procedures are capable of detecting legUlatIeS. including fraud is detailed below: Irreguladties, includlng fraud. are instances of non-compliance wllh laws and regulations. We design procedures in line with our r05pon5ibililies, outlined above. lo delect malerial misstatements in respect of irregularities. including fraud. The extent to which our procedures ore capable of d6tocling rregulai'ilies, including fraud is detailed below: Our 9pproach lo idenllfying arid assessin9 the risks of material misstatement in respect Df iire9ularitles. including fraud and non-complian(x with laws gnd regulatlons, was focused on specilic laws and regulations which we considered may have 8 direct niaterlal elfect on the charity only and consolidated fi174ncial stgt8meiits or the operallons of IPie Lharilable company and the group, Including the Companies Act 2006. the Charilies Act 2011, data protection, anti-bribery, employm&nt. fundraislng regulation5, health and safely legislation, health and social care regijlations and cliildcare regulations. An understanding of these laws and regulations and the extent of compliance was oblained through discussion with rnanagement and In5pectsng leg81 and regulatory correspondence. We assessed the susc6Ptlbility of the chafllab16 companys and consolidated financial statements to material mlsstatement, including oblalning an underslandlng of how fraud might occur, by maklng enquirie5 of management and considering the int8rnal controls in place lo mitigate fisks ol fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and overi'lde of wntrols, we.. performed 8n8lytical procedures lo identify any unusual . unexpected relationshlps; tested journal entries to identify unusual transactions; assessed whether judgements and assumplions made in determining Ihe a¢cL)unling e3timat8s were indicative of potential bl8s', ai)d investigated the rationale behind slgnlficant or unusual transactions. In response to the rlsk of irregularlties and non-compliance with laws and regulatlons, we d6slgned procedLfres which inGluded, bul were not limFled lo.. agreging financial statomenl disclosures to underlying supportiiig docuinentsllon., reading the minutes of meetings of those charged with governance., enqulring of management as to actual and potential litigation and claim5; and Page 9
The Freedom Community Trust Llmlted Independent Auditor's Report to the Members of The Froedom Comrnunlty Trust Llmited Due to the Inherènt limitations ol an audit, there is a risk that we will not detect all irregularits'es, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more thal compliance with a law or regulation Is removed from the events and transactions reflect6d in the flnancial statements. as we will b& les.8 likely to become awarè of instances of non-compliance. Auditlng standards also limll the audit procedures required to Identrfy non-compliance with laws and regulations lo enquiry of the directors and other management and the inspeclon of regulatory and legal correspondence, If any. The risk is also greater regarding irregulariti8s accurring due to fraud rather than error, as fraud involves intèntional Goncealmenl, forgery, collusion, omission, or misrepresentation. A further descriptlon of our respon$lbllities for the audit of the financial statements is located on the Finan¢lal Reporting Council's webslte at www.frG.org.ukJauditorsresponslbllities. ThSs descrlptlon torms part of our Report of the Independent Auditors. Usg of our report This report is made solely to the charitabl8 parenl company's trijstees, as a body, In accordance with Chapter 3 of Part 16 of the Companies Act 2008. Our audit work has been undertaken 50 that we might state to the group's trustees those matters we are required to state lo them in an auditor's report and for no other purpose. To the fullest exleni permitted by law, we do not accept or assume responslbllity to anyone other than the charitable p8r8nt Company and its trustees as a bDdy. for our audlt work. for Ihls report. or for the oplnions we have formed. Luke Taer Bsc {Honsj, FCA (Senior Statutory Auditor) For and on behalf of Smalles Goldie, Slalulory Auditor Regent's Court Princess Street Hull East Yorkshire HU2 8BA Date.. Page 10
The Freedom Communlty Trust Limitod Consolidated Statement of Flnanciat Activltfes for the Year Ended 31 March 2024 (Includlng Consolldated Income and Expenditure Account and Statement of Total Recognfsed Galns and Losses) Unrestrlcted funds Restrlcted fund$ Total 2024 Total 2023 Note Income and Endowments from: Charitable activitles Trading activities Investment Income Oth6r income 2,698 225,678 484.563 18.489 54,327 57,025 225,678 484,583 18,489 64,400 237.791 485,472 5,942 Total Income 731,428 54,327 785,755 793,605 Expèndlture on: Raising funds Charitable activities 1128,405> 1,055,532> 1,183,937 {128,405> {1.109,059 1131.9591 1.089.586) (53,527) (53.527 Total expenditure Nel (expenditurellincome Net movement in funds {1,237,4641 1,221,$4S {452,509) 800 457,709 {427,940 (452,509) 800 (451.709) {427,940) Reconclllatlon of funds Total funds brought forward Total funds carried forward 21 7,972,722 7,520.213 17,606 7,990,328 8,418,268 18,406 7,538,819 7,990,328 All of the group's activities derlve from conlinulng operations during the above two periodg. The funds breakdown for 2023 is shown in nole 21. The notes on pages 15 to 31 form an inlegral part of these financial stalemenls, Page 11
Th6 Freedom Communlty Trust Limlted (Reglstratlon number: 04012143) Consolldated Balance Sheet as at 31 March 2024 2024 2023 Note Flxed assats Tangible assets 12 7,070.852 7.535,437 Current as8•tS Stocks Debtors Cash at bank and in hand 14 15 1,365 63,801 557,624 1.837 60,110 500,665 822,79Q 155,023 562,612 Crndllors: Amounli falllng dua wlthln one yèar Not ¢urrent assets 107.721 467,767 454,891 Net assets 7,538,619 7,990,328 Fund$ of th• group: R98trlcted Incom• funds Restricted funds 18,40e 17,606 Unrèstrl¢t•d Incom• fund$ Unrestricted funds 7,520,213 7,972,722 Total funds 21 7,538,619 7,990.328 Th8 financial slatemenl8 on p8ges 11 to 31 were approved by the trustees, and aiithorfsed lor issue on and signgd on tl)eir behalf by.. S Shepp85é1 Trustee The notes on pages 15 to 31 form an inte.gral part of these financial statements. Page 12
Tho Freedom Communlty Trust Llmlted (Reglstratlon number: 040121431 Balance Sheet as at 31 March 2024 2024 2023 Note Flxed assets Tangible assets Investments 12 7,050,602 10 7.516,994 io 7,050.612 7.517,004 Current as$6ts Debtors Cash at bank and in hand 15 31.284 474.477 33.239 366.035 505,761 399,274 Credltors.. Amounts falllng du• wlthln one yaar Nèt curront a8¥et$ 16 73.708 31,881 432,053 367,393 Net as861s 7.482,665 7.884,397 Fundg of the charlty: Restrlcted Income fund8 Restricted funds 18,408 17.606 Unrn$trlcted Income funds Unrestiicl&d funds 7,484,259 7.866,791 Totsl fvnds 21 7,482,665 7,884,397 The financial statements on pages 1110 31 were approved by the Iruslees. and aLJlhorlsed for i8sue on............ and signed on Iheir behalf by.. S Sheppard Truslee The notes on pages 15 to 31 form an integral part of these financial statements. Page 13
The Freedom Communlty Trust Limlted Consolidated Statement of Cash Flows for the Year Ended 31 March 2024 2024 2023 Not Cash flows from oparatlng actlvltles Net cash expenditure 1451,709) (427,940} Adjusimants to cash flows from non-cash Items Depreciation Investment income 474,602 484,563 1461,670) 476,767 485,4721 (436.6451 Worklng capltal adjustments Decrease In stocks Ilncreaseydecrease in debtors Increase in cr8dltors 14 15 472 (3,691) 47,302 250 5,008 9.187 Nel cash nows from operating a¢livitles Cash flows from Invgstlng actlvltles Interest receivable and slmilar income Purchase of tangible flxed assets Nel cash flows from investing activllies Net increase in cash and cash equivalenls Ca8h and cash equivalents al 1 April Cash and cash equlvalents at 31 March 417,587 422,200 484,563 10,017 485,472 114,170 12 474,546 471,302 56,959 49,102 500,665 451,563 557.624 500,865 All of the cash flows are derived from conlinulng operation8 dudng the above tsvo periods. The notes on page5 15 to 31 form an integr81 part of these financial statements. Page 14
The Freedom Community Trust Llmlted Notes to the Flnanclal Statements for the Year Ended 31 March 2024 1 Accounting policles Statement of compllance The financial slalemenls have b8en prepared in accA)rdance with Accounting and Reporting by Charities- Statement of Recommended Practlc6 {applicabl6 to charitles preparing thelr accounts in accordance with the Flnancial Reporing Standard applicable in the UK and Republic of Ireland (FRS 102}) (issued in October 2019) - (Charlties SORP IFRS 102}I, the Financlal Reportr'ng Stsndard applicable in the UK and Republ1¢ of Ireland (FRS 1021 and the Companies Act 2006. Basls of preparatlon The Freedom Community Trust Limited meets Ihe definillon of a publlc benefit entity under FRS 102. Assets and liabllllles are initially recognlsed at histortcal cost or transactlon value unless olherwlse stated in the relevant accounting pollcy noles. 88815 of consolldatlon Th8 consolidaled financial statements consolidate the fin8ncial statements of the charity and Its subsidiary undertaklngs drawn up 10 31 March 2024. No stalemenl of f nanclal acllvitles is Presented for th8 charlly as permltted by section 408 of the Companles Act 2006. The charity made net outgoing resources for the financial year of £401.732 {2023 - deficit of £441,415). Page 15
The Freodom Communlty Trust Limlted Notes to the Financlal Statements for the Year Ended 31 March 2024 A subsidiary 1$ an entity contrtslled by the charity. Control is achieved wh6re the charity has tlie power to govem the financial and operating policies of an entity so as to oblain beneflts from its activities. The resLtIts of subsidiaries acquired or disposed of durtng the year are inGluded in the statement ol financial activities from the effective date of acquisition or up to the effective dale of disposal. as appropriale. Where necessary. adjustments are made to the financial ststernents of subsldiaries to bring thelr accounling policies into line with those used by the group. The purchase method of accounting is used to account for buslness combinations that resull in the acquisition of subsidiaries by the group. The c061 of a buslness combination is measured as the fair value ol the assets given, equlty instruments" issued and liabilitles incurr&d or assumed at the dale of exchange. pliis (A)sts dlfeclly atlributabl& ID the business combiiiation. Identifiable assels acquifed and liabllities and contingent liabilities assumed in a business combination are measured initially at thelr lair values al Ihe acquisition date. Ai)y exSS ol the cost of Ihe business combination OV8f the acquirer's inl8fest in Ihe net fair value of the identifiable assèls. liabilities and contingent liabllltÈes recognised is recorded as goodwill. Inler-company transactions, b8lan¢e$ and unrealised gains on transactions between the charity and Its subsidiarles, whlch ar8 related parties, are aliminaled in full. Intra-group losses are also ellminated but May indicate an Impairment Ihat requlres recognition In the con801idaled financlal statements. Accountlng pollcies of subsldiarles have been changed where necessary lo ensure consistency wilh the pollcies adopted by the group. Nonwcontrolling inlerosts In Ihe nel assets of consolidated Subsidiaries are identtf16d geparately from the group's equlty therein. Non-conlrolling interesis consist of the amount of those interesls at the date of lh8 original business comblnation and the non-controlling shareliolder's share of chang6s in equity since the datè of the combinatlon. Total compraheiisive income is altributed to non-conlrolllng intefes18 even if this results In the nonkncontrolling interests having a deficit balance. Golng concern The trustees consider that there are no material uncertainties about the group's ability to continue as a going concern nof any significant areas of uncertalnly thal affect Ihe carrying value of assets held by Ihe group. Income and endowments AJI income is recognised in the Statement of FinAnclal Aclivities once the tharity has entloement to the funds, it is probable that the Income will be received and the amount can be measured reliably. Donatlons and kg8Cle8 Voluntary income is recognised once the Charity has been able lo establish certainty as to the ts'ming and amount of the income. InVestnn¢ Income Investm&nt income received in resp8cl of the letting of premises is re¢ognised in the Slatemenl of Flnancial Adjvitses in the period to which it relates. Page 16
The Freedom Community Trust Limlted Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Expendlture Resources expended are induded in the Siatem8nl of Financial Activities on an accrLials basis, inclusive of any value added tax whlch cannot be recovefed. Costs associated wth the provision of the premls6s from which the Charity derives Its inveslment income are classified as costs of rdising lunds, whilst all remaining c08ts, excluding govemance costs, are treated as supporting the grant Making aclivilies gnd classified as appropriate. Grants in fiJrtheran¢e of the Charitvs objectives are worded on the basis of th& liablllty arising In the period. Taxatlon The company, as a registsred Chartty, has obtained 8xemption Irom CoOration tax. Charitsble tax exemplktns can theretore be claimed lo the extent that income andlor gain are applicable and applied for charitable purposes only. Value added tax is absorbed as part of the operational costs of the company to the exlent that it is not able lo be recovered under the terms of its registration. Tanglble flxed a8S•t8 Fixed assets are inith'ally recorded al cost. AJI land and buildings are c18ssifi8d as mixed motive investments h&ld for a combination of the financial retum they generate and the contribution their use by ihe subsldiary and other parties m8kes to Ihe investlng Charftvs own purposes. However the trustees consider it Impractical to apportjon the properties tse6eft tsngible fixed assets and inveslment properlies such that all properties are classed as tanglble fixed assets. Depreclallon and amortlsatlon Depr&c¢alion is provlded on tangible fixed 85sel8 so as to wrrte off the cost or valustlon, less any estiniated residual value, over thelr expected useful economic life as follows.. Asset class Freehold Bijildings Freehold Land Leaséhold 8uildlngs Flxtui'es & Flttings Depreclatlon method and rate Straight line over 25 or 50 years Stralght line over the term of ihe lease Straight line over 310 5 years Flxod asset Invostments Fixed asset investments are induded at cost less any provision for perrnanent diminution In value. Stock Slocks are slated at the lower of cost or estimated selling price less costs lo complete and sell. At each reporting date an asse5smenl is made for impairment. Any excess of Ihe carrying amount ol stocks over tts eslimaled selling price less costs to complete and sell Is recogrsised as an impairment k>ss in the Statement of Financial Acttvitles. Reversals of impairment losses are also recognised in the Statement of Financial Aclivilies. Page 17
Tho Freedom Communlty Trust Limited Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Trade debtor8 Trade debtors arB amounts due from cuslomers for merchandlse sold or services performed in Ihe ordirlary course of business. Trade debtors are recogni89d initially at the transaction priLe. They are subsequeiitly measured at amortised cost Using the effective interest method, less pfDvision for impairment. A provision for the impairment of trade dBbtors is established wh&n there is oblective evidence that the charity will nol be able to collect all amounts due according to the original terms of the receivables. Cash and ¢a$h gqulvalents Cash and cash eqLiivalents comprise cash on hand and call deposits, and otheT short-lerm highly liquid inveslm6nts that are readily convertible to a known aniount of cash and are subject to an Insignificant risk of change in value. Trado cr6dltor8 Trade credilois are obligations to pay for go¢xls or seiCe8 Ih8t have been acquired In the ordinary course of business from supplier8. Accounts payable are classlfied as curr8nt Ilabililies if the charity does not have an unconditional right, at the 8nd of the repornng period, to defer setllemenl of the creditor for at least twelve nionths after the reporting dale. If there is an ijnconditional right lo defer settlement foi at least Iwelve month5 after the reporting dale, they are presented as non.current liabilities. Trade credltors are recognised inltially at the transactlon price and subsequently measured at amortised cost Lising the effective Interest method. Fund $tru¢ture Unrestricted income funds are general ftsnds that are available for use al tha Iruslees discretion in rtherance of the objectlves of the group. Designated funds comprlse unreslricled funds that have b8en set aside by Ihe trustees lor particular purposes. Reslricted Income lunds are those donaled for use in a particiilar area OT for specific purpose8. Ihe use of which is restricted to that area or purpose. Oporatlng leases Leases which do not transfer substantially all the risks and rewards incidental to ownership are cla8slfied as operatlng leases. Incoih6 Trom opei'ating leases 15 recognised in the Statement of Financial Activities on a stfaight line basis over the lease term. Costs incuffed In earning the lease incom8 are recognised as costs of raising funds. Op6rating lease expenses are recognised as an expense over the lease term on a straight lin6 basis. Page 18
The Fr8edom Community Trust Limited Notes to tha Financial Statements for the Yaar Ended 31 March 2024 Ponslons and othar post retlT6mènt 4)bllgatlon$ The subsidlary undertaking Preston Road Enterprises Limited makes paymenls lo a mon&y purchase pension scheme. Conlributlons are charged lo the profit and loss account as they become payable in accordance with the tules of the scheme. Flnanclal Instrumènts Cla$slfltatlon The Charity only has financi81 assets and financial liablllties of 8 kind that qualrfy as basic financial Instruments. Recognltlon and measuromant Basic flnancial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Employee bgneflts The costs of short-term employee benefits are recognised as a Ilability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee's servlces are received. Terminatton ben&fils are recogni8ed immediately 8s an expense wlien the company is d6monstrabty committed lo terminate the &mployment of an employee or lo provide termination benefits. 2 Income Irom chorftablo actlvltl68 Unrestrlcted fund8 Ggneral Re8lrlcted fund8 Total 2024 Total 2023 Big Lottery - Fr8edom Fresh Food Big Lottery - Fire Alarni Panel Office of the Police and Crime Commissioner HERCT Funding Other donatlons 52,248 52,248 48,458 9,500 5,211 2,079 2,079 2,698 2.698 1,231 2,698 54,327 57,025 64.400 3 Investment Income Total 2024 Total 2023 Rents and servlGe charges receivable 484,563 485,472 Page 19
The Freedom Communlty Trust Limited Notas to the Financlal Statements for the Year Ended 31 March 2024 4 Expondlture on ralslng funds a) Cosli of trading actlvltle8 G•n8ral funds R•$lrlctod funds Total 2024 Tolal 2023 Cost$ of goods sold Prop9rty management costs 60,149 68,256 60.149 88.256 61.884 70,075 131,959 128,405 128,405 S Expondlture on charftablo acllvllles Aetlvlty undertaken dlroclly Actlvlly support CO8t8 2024 2023 Community services & facllltles 481,047 628.012 1.109,059 1,089,586 Page 20
The Freedom Community Trust Llmlted Notes to the Flnanclal Statèments for the Year Ended 31 March 2024 6 Anaty818 of support costs Charltabl8 8Ctlvltl08 8xpendlture Total 2024 Tolal 2023 Management Finance Infomation technology Human resources Premises costs Governance costs Depreciation 38,876 30,988 372 69,174 31,967 30,857 469 72.571 14,949 13,175 476,767 14.000 474,602 628.012 640,755 7 Net Incomlngloutgolng rn8ource8 Nat Olltgoing resources for the year include- 2024 2023 Audit fees Depreciatson of fixed assets 14,000 474,602 13,175 478,767 8 Tru8tèes romuneratlon and expèn$•s Durlng the year the group made the following transactlons with trusiee8'. S Shèppard £300 (2023.. £3001 of expenses w8r& reimbursed to S Sheppard during ihe year. These were for telephone, internet and olher expens8S. No trustees, nor any persons connected with Ihem, have received any remuneration from the group durlng the year. Page 21
The Freedom Communlty Trust Limlted Notes to the Flnanclal Statements forthe Year Ended 31 March 2024 9 Staff c08t8 The aggregate payroll costs were as follows.. 2024 2023 Staff cost8 durlng tho year wére: Wages and salarigs Social 8ecurlty costs Penslon costs 390.920 25,692 9,146 351.499 23,370 8,511 383,380 425,758 No employee recelved emolumenls ol more than £60,000 during the year, Page 22
The Freedom Community Trust Llmlted Notas to the Flnanclal Statements for the Year Ended 31 March 2024 10 Taxatlon The company is a registered charity and15 Ih8refore exempl trom taxation. 11 Comparatlve Statoment of Flnanclal Actlvlty Unr•$trlcted funds Restrlctod funds Total 2023 Note Income and Endowmonts from: Charitable activities Trading activities Investment income Othèr income 1,231 237,791 485,472 5.942 63,169 64.400 237,791 485,472 5,942 Tolal inrne 730,436 63,169 793.605 Exp•ndlturn on: Ralsing funds Charitable 8clivities (131,9591 1,024.191 (131.9591 {1,089,5861 165,395 Total expendilure 1,156,150 165,395 2,226 1,221,545) Net expenditure 425,714 427,940 Nel movement in funds (425,714) 12,226> (427,940) Rgconclllallon of funds Total funds brought forward Tolal funds carried foNard 8,398,436 19,832 8,418,268 7,990,328 21 7,972,722 17,606 Page 23
The Freedom Communlty Trust Limlted Notes to the Flnanclal Statements for th8 Year Ended 31 March 2024 12 Tanglble flxed a$$et3 Group Freehold property Long leasehold Fixturès and Flttlngs Plant and Machlnery Total Cost At 1 April 2023 Additions Disposals At 31 March 2024 12,975,971 3,843,682 71.083 276,229 17,166,985 10,017 10,017 1171,383) {198,550} 114,863 16,978,432 127,167 12.975,971 3,843,682 43,916 Dopr•¢latlon At 1 April 2023 Charge lor the year Ellminated on disposals Al 31 March 2024 6.759,925 2,552,154 81,668 257,783 9,631,528 312,979 148,125 7.288 8,210 474,602 27,1671 171.3t13 198,550 7,072,904 2,698,279 41.787 94,610 9,907,580 Net l)ook valuo At 31 March 2024 5,903,067 1,145,403 2.129 20,253 7,070,852 At 31 March 2023 6.216,046 1,291,528 9,417 18.446 7,535.437 Charlty Froehold PfQPOrty Long loasohold Flxturo8 and Fittlng$ Total Cost Al l Apdl 2023 Disposals 12.975,971 3,843,682 71,083 16,890.736 27,167 27,167 At 31 March 2024 12,975,971 3,843,682 43,916 16,883,569 Deproclatlon At l April 2023 Charge for the year Eliminated on disp0581s Al 31 March 2024 8.759,921 312,979 2,552,154 146,125 61.667 9,373,742 7,288 466.392 27,167 27,167 7,072.900 2.698.279 41,788 9,812,967 Net book value At 31 March 2024 5,903.071 1.145.403 2,128 7.050.602 At 31 March 2023 6,216,050 1,291,528 9,416 7.516.994 Page 24
The Freedom Communlty Trust Llmlt8d Notes to the Flnancial Statements tor the Year Ended 31 March 2024 I leasèhold and freehold land and bulldings are considered to be mixed motive investments held for a combination of their financial return and contribution Ihey make to the objectives of the Charlly. Howev&r. the trustees consider it impractical to make an apportionment between functional property and Investment property such that all properties are classed as tanglble fixed assets. 13 Flxed a88et Invpstmont8 Chaflty Shares In group und&rtAklngs and partlelpatlng Interesls Subsldiary undertakings Tot•1 Cost Al 1 April 2023 At 31 March 2024 10 10 10 10 Not book value Al 31 March 2024 10 10 At 31 March 2023 10 10 Detalls ot undertaklng8 Delails of the investments in which the charity holds 20% or more of the nomlnal value of any class of share capitsl are as follows., Country of incorporatlon Proportlon of voting rlghtg and sharos hold 2024 2023 Prlnclpal actlvlty Undertaklng Holdlng Subsldlary und6rtaklng5 Preslon Road England and Enterprises Limitgd Wales Functionlmeetlng facllities In the opinion of the directors, the value of the companys inveslmant in ils subsidiary undertaking is not less than the amount at which it is slated in Ihe balance sheet. Ordinary 100Y• 2024 2023 Tumover Expenditure Net profiV{loss} Reserves 779,401 748,553 803,274 711,510 30,848 91.764 55.961 105,938 Page 25
The Freedom Community Trust Llmlted Notas to the Financial Statements for the Year Ended 31 March 2024 14 Stock Group Charity 2024 2023 2024 2023 Stocks 1,365 1,837 15 DebtopJ Group Charlty 2024 2023 2024 2023 Trdde debtors Other debtors 38,777 25.024 39,354 20,756 25.285 6.019 33,239 63,801 60,110 31,284 33,239 16 Crodltors: amount8 falllng duo wlthln ong y•ar Group Charlty 2024 2023 2024 2023 Trade creditors Other taxation and social Security Other creditors Accruals and deferred income 31,776 36.708 16,167 18,571 17.456 15,631 90,160 20,169 3.871 47,173 1,396 15,631 40,514 73.708 1,888 3.671 7.751 155.023 107,721 31.881 Page 28
The Freedom Communlty Trust Limited Notes to the Flnanclal Statements for the Year Ended 31 March 2024 17 Obllgatlons undèr leasès and hlr8 purchasè contracts Operatlng ase commltments Total future mlnimum lease payments under non4ancellable operating leases are as folk)ws: Group Charlty 2024 2023 2024 2023 Vvithin one year Between one and five years Aller five years 3,672 9,079 211,342 224,093 5.656 10,668 213,425 2,083 8,332 211,342 221,757 2,083 8.332 213,425 229,749 223,840 Minimiim lease payments due to the charitable ¢ompany and the group under non-cancellable operating leases fall due as follows- 2024 Group 2023 Group 2024 Charlty 2023 Charlty Within on8 year Beleen one and fivo years Over five years 224,267 352.147 55,383 336,258 813,138 673.150 138,462 466,500 45.225 247,453 889,487 699.906 631,797 1,822,548 650,187 1,836,846 18 Employoe nalIt obllgatlons From 31 March 2010, all staff are employed by the subsidiary undertaking. Preston Road Enlefpfis8S Limitsd, which Is rosp¢)nsible for all slaff pension contrtbutions. 19 Contlngent ass6ts Group Dsjriiig 2005 the company successfully defended an employment tribunal case brought by 8 former employee. The cornpany was awarded costs of £10.197 which Ihe cEain)ant wa5 IKIt Immediately able to pay. The amount of costs plus accrued inlerest at 8% per annum is now secured against the Claimant's private resldence 8nd will be settled when the property is sold. Page 27
The Freedom Communlty Trust Limlted Notes to the Flnanclal Statements for the Year Ended 31 March 2024 20 Contlngont Ilabllltles Group The terms of the company's original funding agreement with Govemment offiGe provide that if fixed assets are sold or their ownership transferred whlle they have any economic value, Govemment Office must be notified as soon as possible and they may require the proc.eeds or an appropriate proportion thereof lo be repaid. The Village Childcare Centre was in part funded by the National Lottery. In the event that the building is sold 6.6DA of the mcirket value Ibelng the proportlon ol the original corsslruction costs funded by the donor) will be iepayable to the donor tjnder the lerms of the grant. 21 Fund3 Group Balancg at 1 Aprll 2023 In¢omlng r•8ourc80 Rosourc•s oxpond8d Balan¢• at 31 March 2024 Unre8trlct•d funds General 7,972,722 731,428 (1,183,937) 153,527 7.520,213 18,406 Rostrlctod fund$ 17,606 $4,327 Total fund$ 7,990,328 785,755 {1,237,464 7,538,619 Balaneo at I Aprll 2022 Incomlng rasources Resources expendgd Balancè at 31 March 2023 Unr08trlcted funds General 8,398.436 730,436 63,169 (1,156,150) 65,395 7,972,722 RtrIcted funds 19,832 17,606 Total funds 8,418.268 793,605 1,221,545 7.990,328 Page 28
The Freedom Community Trust Llmlted Notes to the Financial Statements for the Year End8d 31 March 2024 Charlty Balance at 1 Aprll 2023 In¢omlng resources Resources expended Balance at 31 March 2024 Unrestrlcted funds General 7,866,791 504,151 (906.683) 153.527 7,464,259 Restrlcted funds 17,606 54.327 18,406 Total funds 7,8t54,397 558.478 960,210 7,482.665 Balanc8 at I Aprll 2022 Incomlng resourcBs Rosour¢ès gxpendgd Balance at 31 Mah 2023 Ilnrestrlcted funds General 8,305,980 478,028 1917,217) 65,395 7,866,791 Reslrlctod lunds 19,832 63,169 17,606 Total funds 8.325.812 541,197 982,612 7,884,397 Page 29
The Freedom Communlty Trust Limited Notes to the Flnanclal Statemènts for the Year Ended 31 March 2024 22 Analysls of net asséts betweon funds Group Unrestrlcted tunds General Total funds Tolal funds at at 31 March 31 March 2024 2023 Restrletèd funds Tanglble fixed assets Curfent assels Current liabilities 7,070,852 604.384 155,023 7,Q)70,852 622,790 1155,023 7,535.437 562,612 {107,721 7,990,328 18,406 Total net assets 7,520,213 18,406 7,538,619 Charity Unrfr8trlcted lunds Gengral Total funds Total fundg al at 31 March 31 March 2024 2023 R•8trlcted funds Tanglble fixed assets Fixed asset investments Current assets Current liabllitles 7.050.602 10 487,355 73,708 7,050,602 10 5Q5,761 73,708 7.516.994 io 399.274 31,881 7,884,397 18,406 Total net assets 7,464,259 18,406 7,482,865 23 R6latod party tran8actlons Group The board members n8med in the directors. report as Residenl or Independerit Trusle8s live in the PreSn Road neighboui'hood. As such they are likely lo have derived some benefit from the pro}ects and initiatives und&rt8ken by the CDmpany. However apart from the matter noted below the Board is of the opinion that such benefits are unlikely to influence the said members In pursuing the sepaial& Interests of the Charity. Accordingly in accordance with paiagraph 9.1B SORP 2015 no disclosure is considered necessary. Page 30
The Freedom Communlty Trust Limited Notes to the Flnanclal Statements for the Year Ended 31 March 2024 Charity During the year the charity made the following related party transacllons.. Chlld Dynamix Ltd (The Iruslee Janel Boyd is 8 director of this company.) In the course of the year Ihe Charlly charged rent, service charges and insurance totalling £45,622 (2023= £47,796) and paid £nil {2023-. £1,729) to Child Oynamix Ltd. At the balance sheet dote the amount due from Child Dynamix Ltd was £7,500 (2023 - £7,500). Envlronmental and Management Solutlons (The tfLfslees Janel Boyd and Rebecca Norman are officers of this company.) In the Course of the year the Chariiy paid Environmental and Management Solutions Ltd £41.679 (2023.. £39,257). In the course of the y8ar the Charity charged rent. service charges, insurance & ulililies lolalling £8.605 (2023.. £14.113). At the balance sheel date the amounl due Irom Envlronmental and Management Solutions was £2.274 (2023 - £4.0991. 24 Memb•e8 Ilablllty The company wag incorporated as a company limiled by gu8rontee and therefore has no sharo capilal and is also regislered as a Charlty. The Ilability of the members 16 lirnltsd on the winding up ol Ihe company. Each mBmber is only Ilable whilst being a m6mber. Al the balance sheet dale Ih8re were g members. Page 31