Linwood Community Co-operative Limited
Trustees Report and Unaudited Financial Statements
For the year ended 31 March 2021
Charity number: 1102382
Company number: 04989222
(England and Wales)
Linwood Community Co-operative Limited Contents Page For the year ended 31 March 2021
| Report of the Trustees | 1 to 3 |
|---|---|
| Independent Examiner's Report to the Trustees | 4 |
| Statement of Financial Activities | 5 |
| Statement of Financial Position | 6 |
| Notes to the Financial Statements | 7 to 14 |
| Detailed Statement of Financial Activities | 15 to 16 |
Linwood Community Co-operative Limited Report of the Trustees
For the year ended 31 March 2021
The Trustees, who are also directors for the purposes of company law, have pleasure in presenting their report and the financial statements for the charitable company for the year ended 31 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 the Republic of Ireland (FRS 102) (effective 1 January 2019).
Chair's report
The 2021 financial year has been a challenging one for the charity; the coronavirus pandemic brought with it many difficulties to overcome. Due to national lockdowns and other social restrictions, the charity was unable to deliver the core support and services that it has worked so hard to build up over the last few years and the centre found itself having to close from the end of March 2020 to September 2020.
The cafe opened to offer take-a-way facilities but only managed to do this until October 2020; the facilities and halls are open to hire for limited numbers but parties cannot take place until government restrictions are lifted.
Government support and in particular grants through the job retention scheme has ensured that we have been able to protect jobs.
During the period of closure, the trustees were formulating ideas on how best to support the local community through this challenging time. At the end of November 2020, 'Kingswood Community Support', was set up, based at Kingswood Neighbourhood Centre. This was a project set up as a result of reports received from local residents, who were struggling with food and home energy poverty. The project was initially funded by way of a grant from NCF, from their emergency COVID fund, it provided funding for a paid youth worker and support for 5 volunteers. Twice weekly visits were made to the estate to hand out pack ups and engage with the young people of the estate, to try and ease the problems of anti-social behaviour, that was on the rise due to lockdown frustrations. Facilities were also opened so that food parcels and pack ups could be collected from, Kingswood Neighbourhood Centre, during the day.
Additional funding was provided by KHL Big Local and DEFRA, providing financial support which was expended solely on household and food items.
The charity hadn't anticipated the need for support to be so great and the project quickly expanded, helping residents throughout Corby, not just the local estate. Links were forged with several agencies in the Northamptonshire area, to help support the community as a whole, providing a range of items including food parcels, household cleaning parcels, men and women’s toiletry parcels, baby parcels and PPE parcels.
Donated goods and services were greatly received from local businesses, organisations and members of the public. Morrisons provided weekly food donations, clothes and toys were donated by members of the public and Kingswood Cornerstone Methodist Church. Further donations came from, The Udder Pre-school, Tayto, 7 Graphics and MMA 4 Kids.
In January 2021, Kingswood Community Support became a referral partner for the COVID winter grant scheme; this scheme was set up to help people on low incomes, struggling with food and home energy poverty during the coronavirus pandemic. The scheme ran until April 2021.
Plans are in place through the project, in conjunction with Kingswood Primary School, to set up youth club facilities for when lockdown restrictions fully lift. It will provide a safe warm environment for younger people offering activities such as sport, music and arts and crafts. Informal sessions are planned with career organisations and the police and educational sessions dealing with other social issues.
In conclusion, despite the challenges faced, I am very proud of the achievements of the co-operative, the support of the staff and trustees and our continued relevance to the life of the estate residents.
OBJECTIVES AND ACTIVITIES
Objectives and aims
The charity's main objective is the provision of community facilities which operate from a local community centre. The trustees aim is to make the community centre sustainable and provide a warm and welcoming environment to the local community and to forge links with the local authorities and council.
The trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'.
Social investments
The charity enables local residents and organisations to come together and through the provision of facilities and support to local groups enable the community to grow together and bring positive changes to their lives and futures.
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Linwood Community Co-operative Limited Report of the Trustees Continued
For the year ended 31 March 2021
Volunteers
The charity is grateful for the support and effort of its volunteers who have given valuable time in managing the centre, organising activities , gardening and ensuring that the centre is a valuable community asset. All of our staff and volunteers hold food hygiene Level 2 qualifications providing excellent service to our users. We are always looking for volunteers to support our staff and training plans are subsidised to enable more formal qualifications to be gained.
ACHIEVEMENTS AND PERFORMANCE
The coronavirus pandemic has affected the charity's ability to carry out its planned objectives and had to close for part of the year. This time was used by the trustees to reflect on how the charity could best serve the local community and from this 'Kingswood Community Support' was established
Significant activities
Through support from volunteers and funding from NCF's emergency COVID fund and KHL Big Local, the charity was able to engage a youth worker and with the support of the volunteers visited the estate twice weekly to hand out food pack ups and engage with the young people in an attempt to provide emotional support to deter antisocial behaviour. Facilities were also opened so that food parcels could be picked up from Kingswood Neighbourhood Centre throughout the day.
The charity hadn't anticipated the need to be so great and the project quickly expanded to help residents throughout Corby. Links were forged with several agencies in Northamptonshire to support the community as a whole and as well as food packages, this was extended to household cleaning parcels, baby parcels and PPE parcels. This couldn't have been achieved without donated goods and services from local businesses, local organisations and the general public.
Achievements against objectives
Despite the challenges of the coronavirus pandemic, the trustees feel that the charity has been successful in the support of its local residents through such a difficult time.
Plans are in place to set up youth club facilities to provide a warm and safe environment for younger people when restrictions are fully lifted. Activities that are planned are sports, music, arts and crafts and support through workshops.
FINANCIAL REVIEW
The community centre, for a great part of the year has been shut; cafe and facility use has reduced dramatically, mainly through social distancing restrictions. Core funding is received from Corby Borough Council and the contribution received in the current year amounted to £17,200 (2020: £23,957). Other grant funding has seen a decline from regular contributors also, the amounts received in the current year amounted to £5,157 (2020: £16,907). Funding was obtained through grants from Defra and NCF to help with COVID support
Income from cafe sales and facility hire amounted to £23,115 (2020: £107,523). Specific coronavirus support was received through the job retention scheme and other local authority COVID grants totalling £58,077.
Through careful control of costs the trustees are pleased to report a surplus for the year of £25,229 (2020: £43,361).
The coming year will be a testing time as society recovers from the COVID-19 pandemic. The charity has benefited from a range of government supported financial measures to ensure that staff levels are maintained and services are still available to the community.
Reserves
The charity holds £271,676 unrestricted reserves at the year-end (2020: £246,627).
It is the aim of the charity to hold reserves representing six months operating costs. At 31 March 2021 the trustees are pleased to report reserves held in excess of this amount.
The charity also holds £20,000 in a restricted fund, this has been earmarked by the charity to help local groups to get established and become sustainable.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
Linwood Community Co-operative Limited is a company limited by guarantee governed by its Memorandum and Articles of Association dated 9 December 2003 (updated 3 August 2011). It is registered as a charity with the Charity Commission. Anyone over the age of 18 can become a member of the company; at the year-end there were five members.
The charity has five trustees, the majority of who are also directors. Collectively they form a management committee together with other members; they will make the final decisions with regard to staffing, recruitment, policy making and finance. they meet on a monthly basis.
Mrs Lynn Johnston trustee and director is responsible for the day to day management of the charity.
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Linwood Community Co-operative Limited Report of the Trustees Continued
For the year ended 31 March 2021
Recruitment and appointment of trustees
The current trustees and directors have been recruited from volunteers within the local community. recruitment is advertised internally for vacancies and approaches made to community user groups.
All new trustees are given a copy of the memorandum and articles of association and instructed on the duties and responsibilities of a charity trustee. All the trustees are familiar with the work of the charity as they all are or have been members.
Pay policy for senior staff
The management committee are responsible for recruitment and setting pay policy. Pay and salaries are reviewed annually by the committee and are set with reference to government and local authority guidance as budgets permit.
REFERENCE AND ADMINISTRATIVE INFORMATION
| Name of Charity | Linwood Community Co-operative Limited |
|---|---|
| Charity registration number | 1102382 |
| Company registration number | 04989222 |
| Principal address | Kingswood Community Centre |
| Alberta Close | |
| Corby | |
| Northamptonshire | |
| NN18 9HU | |
| Trustees | |
| The trustees and officers serving during the year and since the year end were as follows: | |
| B B Massie | |
| L E Johnston | |
| J Wood | |
| S J Ford | |
| J M Freeman | |
| Independent examiners | McIntyre & McIntyre |
| 6A Ryder Court | |
| Saxon Way East | |
| Corby | |
| Northamptonshire | |
| NN18 9NX | |
| Bankers | Barclays Bank plc |
| 1 Queens Square | |
| Corby | |
| Northamptonshire | |
| NN17 1PD |
Approved by the Board of Trustees and signed on its behalf by
J Wood
23 August 2021
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Linwood Community Co-operative Limited Independent Examiners Report to the Trustees
For the year ended 31 March 2021
I report to the trustees on my examination of the accounts of the charitable company for the year ended 31 March 2021.
Responsibilities and basis of report
As the charity Trustees, who are also directors for the purposes of company law, 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 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 examiners statement
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 that in any material respect:
-
accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the 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.
David McIntyre FMAAT
McIntyre & McIntyre
6A Ryder Court Saxon Way East Corby Northamptonshire NN18 9NX
23 August 2021
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Linwood Community Co-operative Limited Statement of Financial Activities (including Income and Expenditure Account) For the year ended 31 March 2021
| Notes Income and endowments from: Donations and legacies 2 Charitable activities 3 Investments 4 Other income 5 Total Expenditure on: Charitable activities 6/7 Total Net income/expenditure Reconciliation of funds Total funds brought forward Total funds carried forward |
Unrestricted funds £ 37,986 23,115 32 58,077 119,210 (94,161) (94,161) 25,049 226,627 251,676 |
Restricted funds £ - - - - - - - - 20,000 20,000 |
2021 £ 37,986 23,115 32 58,077 119,210 (94,161) (94,161) 25,049 246,627 271,676 |
2020 £ 40,864 107,523 76 - |
|---|---|---|---|---|
| 148,463 | ||||
| (105,102) | ||||
| (105,102) | ||||
| 43,361 203,266 |
||||
| 246,627 |
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Registered Number :
04989222
Linwood Community Co-operative Limited Statement of Financial Position
As at 31 March 2021
| Notes Fixed assets Tangible assets 13 Current assets 14 Debtors Cash at bank and in hand Creditors: amounts falling due within one year 15 Net current assets Total assets less current liabilities Net assets The funds of the charity Restricted income funds Unrestricted income funds 16 Total funds |
£ 2021 3,375 3,375 5,227 268,479 273,706 (5,405) 268,301 271,676 271,676 20,000 251,676 271,676 |
£ 2020 4,226 |
|---|---|---|
| 4,226 | ||
| 12,794 231,702 |
||
| 244,496 | ||
| (2,095) 242,401 |
||
| 246,627 | ||
| 246,627 | ||
| 20,000 226,627 |
||
| 246,627 |
For the year ended 31 March 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476,
The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.
The financial statements were approved and authorised for issue by the Board and signed on its behalf by:
J Wood Trustee
23 August 2021
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Linwood Community Co-operative Limited Notes to the Financial Statements
For the year ended 31 March 2021
1. Accounting Policies
Basis of accounting
The financial statements have been prepared under the historical cost convention, except for investments which are included at market value and the revaluation of certain fixed assets and 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 (FRS 102), and the Companies Act 2006.
Linwood Community Co-operative Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).
Going concern
The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
Statement of cash flows
The Trustees have taken advantage of the exemption in SORP FRS 102 from including a cash flow statement in the financial statements on the grounds that the charitable company is small.
Change in accounting policy
In preparing the accounts, the trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 the restatement of comparative items was required. The trustees believe that no adjustments are required.
Funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general activities of the charity and which have not been designated for other purposes.
Restricted funds are subject to restrictions on their expenditure imposed by the donors through the terms of the grant.
Incoming resources
All incoming resources are included in the statement of financial activities when the Charity is legally entitled to the income after any performance conditions have been met and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:
Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received from the provision of cafeteria facilities and hiring community facilities in order to raise funds and is recognised when entitlement has occurred.
Income from local government grants and other grants, whether capital grants or revenue grants, are recognised when the charity has entitlement to the funds and any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably.
Donated services and facilities
The value of services provided by volunteers are not incorporated into these financial statements. Further details can be found in the Trustees' report.
Resources expended
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably.
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued
For the year ended 31 March 2021
Costs of generating funds
Expenditure is classified under the following activity headings:
Expenditure on charitable activities includes the costs of supplies to the cafeteria facilities, salaries and employer's costs of the provision of community centre facilities and other governance costs.
Other expenditure represents those items not falling into any other heading.
Charitable activities
Expenditure on charitable activities includes the costs of supplies to the cafeteria facilities, salaries and employer's costs of the provision of community centre facilities and other governance costs.
Allocation and appointment of costs
Support costs are those costs that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs; they are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings, they have been allocated to expenditure on charitable activities on a basis consistent with the use of the resources.
Taxation
The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in paragraph 1 schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.
Tangible fixed assets
Tangible fixed assets, other than freehold land, are stated at cost or valuation less depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:
Fixtures and fittings 20% Reducing balance Computer Equipment 33% Reducing balance
Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered.
Pensions
The charity operates a defined contribution scheme for the benefit of its employees. Contributions payable are recognised in the Statement of Financial Activities when due.
Operating leases
Costs of operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.
Irrecoverable VAT
Irrecoverable VAT is included in the Statement of Financial Activities and is reported as part of the expenditure to which it relates.
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities.
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued For the year ended 31 March 2021
2. Income from donations and legacies
| Unrestricted funds Donations received Grants received Analysis of grants received Corby Borough Council Defra and NCF Others 3. Income from charitable activities Unrestricted funds Kingswood Community Centre Cafe sales Income from facilities Corby Old Village Community Centre Other income 4. Investment income Unrestricted funds Bank interest receivable |
2021 £ 629 37,357 37,986 2021 £ 17,200 15,000 5,157 37,357 2021 £ 3,056 15,908 18,964 4,151 23,115 2021 £ 32 32 |
2020 £ - 40,864 |
|---|---|---|
| 40,864 | ||
| 2020 £ 23,957 - 16,907 |
||
| 40,864 | ||
| 2020 £ 37,841 49,087 |
||
| 86,928 20,595 |
||
| 107,523 | ||
| 2020 £ 76 |
||
| 76 |
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued For the year ended 31 March 2021
5. Other income
| Unrestricted funds HMRC JRS Grants Local Authority COVID-19 Grants osts of charitable activities by fund type Unrestricted funds Kingswood Community Centre Support costs osts of charitable activities by activity type Support costs Kingswood Community Centre Corby Old Village Community Centre |
Activities undertaken directly £ 36,560 - 36,560 |
Support costs £ 48,437 9,164 57,601 |
2021 £ 33,950 24,127 58,077 2021 £ 36,560 57,601 94,161 2021 £ 84,997 9,164 94,161 |
2020 £ - - |
|---|---|---|---|---|
| - | ||||
| 2020 £ 51,573 53,529 |
||||
| 105,102 | ||||
| 2020 £ 99,156 5,946 |
||||
| 105,102 |
6. Costs of charitable activities by fund type
7. Costs of charitable activities by activity type
8. Analysis of support costs
| Kingswood Community Centre Management Governance costs |
2021 £ 25,799 31,802 57,601 |
2020 £ 25,926 27,603 |
|---|---|---|
| 53,529 |
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued
For the year ended 31 March 2021
9. Net income/(expenditure) for the year
This is stated after charging/(crediting):
| Depreciation of owned fixed assets Independent examiners fees Trustees' remuneration Staff pension contributions Staff costs Total staff costs for the year ended 31 March 2021 were: Salaries and wages Pension costs Direct charitable work Trustees |
2021 £ 851 1,560 25,799 546 2021 £ 46,098 546 46,644 2021 3 1 4 |
2020 £ 1,067 1,260 25,926 721 2020 £ 49,997 721 |
|---|---|---|
| 50,718 | ||
| 2020 3 1 |
||
| 4 |
10. Staff costs
Staff costs include remuneration paid to trustees.
The remuneration was paid under the authority of the charity's Memorandum and Articles of Association to reflect the time and commitment given.
No employee received remuneration of more than £60,000.
11. Trustee remuneration and related party transactions
Mrs L Johnston is related to the charity due to her position as a trustee and director of the company.
During the year Mrs L Johnston worked within the charity and received remuneration as follows: -
Salary as director and trustee £25,799 (2020: £25,926).
The trustees did not have any expenses reimbursed during the year.
12. Comparative for the Statement of Financial Activities
The comparative year values on the Statement of Financial Activities are for unrestricted funds.
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued For the year ended 31 March 2021
13. Tangible fixed assets
| Cost or valuation At 1 April 2020 At 31 March 2021 Depreciation At 1 April 2020 Charge for year At 31 March 2021 Net book values At 31 March 2021 At 31 March 2020 |
Computer Equipment £ 9,175 9,175 4,987 838 5,825 3,350 4,188 |
Office Equipment £ 1,120 1,120 1,082 13 1,095 25 38 |
Total £ 10,295 |
|---|---|---|---|
| 10,295 | |||
| 6,069 851 |
|||
| 6,920 | |||
| 3,375 | |||
| 4,226 |
14. Debtors
| Amounts due within one year: Trade debtors Prepayments and accrued income Creditors: amounts falling due within one year Other creditors Accruals and deferred income |
2021 £ 4,693 534 5,227 2021 £ 3,845 1,560 5,405 |
2020 £ 12,405 389 |
|---|---|---|
| 12,794 | ||
| 2020 £ 835 1,260 |
||
| 2,095 |
15. Creditors: amounts falling due within one year
16. Movement in funds
Unrestricted Funds
| General General |
Balance at 01/04/2020 £ 226,627 226,627 |
Incoming resources £ 119,210 119,210 |
Outgoing resources £ (94,161) (94,161) |
Balance at 31/03/2021 £ 251,676 |
|---|---|---|---|---|
| 251,676 |
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued For the year ended 31 March 2021
Unrestricted Funds - Previous year
| Balance at 01/04/2019 £ General 183,266 General 183,266 Purpose of unrestricted Funds General This fund is maintained to provide community facilities. Purpose of restricted funds Community Support Reserve To support local groups to get established and become sustainable. Analysis of net assets between funds Unrestricted funds General General Restricted funds Community Support Reserve |
Incoming resources Outgoing resources Balance at 31/03/2020 £ £ £ 148,463 (105,102) 226,627 148,463 (105,102) 226,627 Tangible fixed assets Net current assets / (liabilities) Net Assets £ £ £ 3,375 248,301 251,676 - 20,000 20,000 3,375 268,301 271,676 |
Incoming resources Outgoing resources Balance at 31/03/2020 £ £ £ 148,463 (105,102) 226,627 148,463 (105,102) 226,627 Tangible fixed assets Net current assets / (liabilities) Net Assets £ £ £ 3,375 248,301 251,676 - 20,000 20,000 3,375 268,301 271,676 |
Balance at 31/03/2020 £ 226,627 |
|---|---|---|---|
| 226,627 | |||
| 3,375 268,301 271,676 |
17. Analysis of net assets between funds
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Linwood Community Co-operative Limited Notes to the Financial Statements Continued
For the year ended 31 March 2021
Previous year
| Unrestricted funds General General Restricted funds Community Support Reserve |
Tangible fixed assets Net current assets / (liabilities) Net Assets £ £ £ 4,226 222,401 226,627 - 20,000 20,000 |
|---|---|
| 4,226 242,401 246,627 |
18. Commitments
Pension commitments
The charity operates a defined contributions pension scheme in respect of employees automatically enrolled into a work place pension. The assets of the scheme are held separately from those of the charity in an independently administered fund.
19. Company limited by guarantee
Linwood Community Co-operative Limited is a company limited by guarantee and accordingly does not have a share capital.
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