**REGISTERED COMPANY NUMBER: 05096729 (England and Wales) REGISTERED CHARITY NUMBER: 1104608**
**REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2022**
## **FOR**
**CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
Bernard Rogers & Co Bank Gallery High Street Kenilworth Warwickshire CV8 1LY
**CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 31 July 2022**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|3|
|**Independent Examiner's Report**||4||
|**Statement of Financial Activities**||5||
|**Balance Sheet**|6|to|7|
|**Notes to the Financial Statements**|8|to|13|
|**Detailed Statement of Financial Activities**||14||
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **REPORT OF THE TRUSTEES for the Year Ended 31 July 2022**
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 July 2022. 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 Activities**
The object of the Charity is to enhance the development and education of children under statutory school age.
The sole charitable objective is achieved through the following activities:
- the provision of nursery education for pre-school children from the age of two years and six months to school age. Forty part time places are available.
- the provision of appropriate play, educational and care facilities to meet OFSTED and Early Years Alliance standards.
- the training of staff to the appropriate levels to meet the needs of the children.
The Trustees confirm that they have had regard to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Charity's objectives.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable Activities**
The last 12 months have required resilience and dedication to navigate the commercial landscape.
Like many other Early Years providers, the Covid-19 pandemic hugely impacted on the health and change in working practices of parents and children. The Nursery has weathered a highly turbulent period, that has seen the closure and significant demise in numbers in other local nurseries.
In order to create a sustainable service to our local community the focus has been on the financial scrutiny and continued business development activities to increase admissions.
This work by the Board of Directors has been fruitful and the Nursery has seen a steady rise in admissions from operating at 30% capacity on original takeover to a 100% capacity rate in September 2022 with a waiting list.
## **FINANCIAL REVIEW**
## **Reserves Policy**
The Board of Trustees continually review and discuss the Charity's need for reserves. It was decided in the prior year that it was sensible to have a contingency fund of £30,000 to cover the cost of closing the nursery, should the need arise in the future.
In addition, the Board of Trustees also decided that the Charity should hold £10,000 for potential maintenance costs. The charity has successfully built-up cash reserves over the past 12 months towards meeting these objectives, but the situation will be closely monitored going forward.
Page 1
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **REPORT OF THE TRUSTEES for the Year Ended 31 July 2022**
## **FUTURE PLANS**
Over the past 12 months we have seen a steady rise in numbers and are now showing as full in 100% of the sessions, with a healthy waiting list.
Due to Covid restrictions being lifted we have been able to hold more fundraising events which have been a welcome sight for staff, children and their families.
We have been successful in receiving two grants which will further enhance our provision. One for £12,500 for a new climbing frame from the Covid Grant Recovery Scheme and the second for £3,000 for staff training in Speech and Language, Personal, Social and Emotional and Outdoor Learning.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing Document**
Caterpillar Nursery (Leamington Spa) Limited is a company limited by guarantee and governed by its Memorandum and Articles of Association dated 6th April 2004. It is also registered with the Charity Commission.
## **Charity constitution**
On the following date: Tuesday 3rd December 2019; The following Special Resolution was passed: To change the membership section of the Caterpillar Nursery (Leamington Spa) Limited Memorandum and Articles of Association as follows: 1. To change the nursery membership from members being the parents of children at Caterpillar Nursery to the membership being the Governors of Brookhurst Primary School as a Relevant Legal Entity.
The Board of Trustees has been working during the year to update the official paperwork of the Nursery and has now gained permission from the Early Years Alliance to remove them from the Memorandum and Articles of Association and the Charity Commission has agreed to changes relating to the Dissolution Clause in said documentation.
To this end the Board of Trustees has opened discussions with the school with a view to hopefully enabling the Nursery to be taken over by the school to become part of Brookhurst School.
In conclusion, despite another challenging year, the Board of Trustees remain proud of the achievements and progress that the Nursery has made, both in operating environment, service provision and financial stability. It has been the overwhelming commitment of the staff teams, families, school partnerships, friends of Caterpillar's and each member of the Board of Trustees that has enabled the Nursery to not only survive, but thrive, in such unprecedented circumstances where sadly, many other providers have not.
## **Recruitment and Appointment of New Trustees**
As set out in the Articles of Association, Chairperson, Treasurer, Secretary and other Executive Committee Trustees are elected annually by those parents attending the Annual General Meeting and who have children at the nursery.
Trustees serve a period of one year, after which they may stand for re-election. The existing Trustees have the power to co-opt additional Trustees to fill vacancies as they become available.
The new Trustees may serve for the period up to the date of the next AGM when they may be formally elected. The Executive Committee has regard to the requirement for any specialist skills needed.
## **Organisational Structure**
The Executive Committee, which can consist of between five and twelve members, administers the Charity. Executive Committee meetings are normally held every half term. The Nursery Manager is appointed by the Trustees to manage the day-to-day operations of the Charity.
## **Induction and Training of New Trustees**
New Trustees are briefed on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the Executive Committee, the decision-making processes and the recent financial performance of the charity. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.
Page 2
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **REPORT OF THE TRUSTEES for the Year Ended 31 July 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Wider Network**
The Charity is a member of the Early Years Alliance from whom it obtains guidance on a number of issues including legal and educational guidance.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number**
05096729 (England and Wales)
## **Registered Charity number**
1104608
## **Registered office**
Ullswater Avenue Leamington Spa Warwickshire CV32 6NH
## **Trustees**
T Brittain J Cannon L A Coles A Foster E Pride
## **Independent Examiner**
D Rogers Bernard Rogers & Co Bank Gallery High Street Kenilworth Warwickshire CV8 1LY
## **Nursery Manager**
J D Byrne
Approved by order of the board of trustees on 31 May 2023 and signed on its behalf by:
E Pride - Trustee
Page 3
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **Independent examiner's report to the trustees of Caterpillar Nursery (Leamington Spa) Limited ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 July 2022.
## **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**
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:
1. 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
3. 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
4. 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.
D Rogers
Bernard Rogers & Co Bank Gallery High Street Kenilworth Warwickshire CV8 1LY
31 May 2023
Page 4
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31 July 2022**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Nursery
120,417
Other trading activities
2
-
**Total**
120,417
**EXPENDITURE ON**
**Charitable activities**
Nursery
107,497
**NET INCOME/(EXPENDITURE)**
12,920
**RECONCILIATION OF FUNDS**
Total funds brought forward
17,744
**TOTAL FUNDS CARRIED FORWARD**
30,664|Restricted
funds
£
-
-
-
-
-
-
-|2022
Total
funds
£
120,417
-
120,417
107,497
12,920
17,744
30,664|2021
Total
funds
£
69,689
852
70,541
77,857
(7,316)
25,060
17,744|
|---|---|---|---|
The notes form part of these financial statements
Page 5
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **BALANCE SHEET 31 July 2022**
|Unrestricted
Restricted
fund
funds
Notes
£
£
**CURRENT ASSETS**
Debtors
8
519
-
Cash at bank
50,810
12,500
51,329
12,500
**CREDITORS**
Amounts falling due within one year
9
(7,840)
(12,500)
**NET CURRENT ASSETS**
43,489
-
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
43,489
-
**CREDITORS**
Amounts falling due after more than one year
10
(12,825)
-
**NET ASSETS**
30,664
-
**FUNDS**
12
Unrestricted funds
**TOTAL FUNDS**|2022
Total
funds
£
519
63,310
63,829
(20,340)
43,489
43,489
(12,825)
30,664
30,664
30,664|2021
Total
funds
£
-
41,728
41,728
(7,058)
34,670
34,670
(16,926)
17,744
17,744
17,744|
|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 July 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 July 2022 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 6
continued...
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
**BALANCE SHEET - continued 31 July 2022**
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 31 May 2023 and were signed on its behalf by:
T Brittain - Trustee
The notes form part of these financial statements
Page 7
**CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 31 July 2022**
## **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.
Short leasehold - 20% on cost Fixtures and fittings - 25% on cost Equipment - 25% on cost
## **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.
## **Going concern**
The financial statements have been prepared on a going concern basis, which assumes that the company will continue to operate. If this were not the case adjustments would be required so that assets reflect their recoverable amount, so that provision is made for any further liabilities that might arise and so that fixed assets are reclassified as current assets.
continued...
Page 8
**CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 July 2022**
## **2. OTHER TRADING ACTIVITIES**
## **3.**
|**OTHER TRADING ACTIVITIES**|||
|---|---|---|
||2022|2021|
||£|£|
|Fundraising events|-|852|
|**NET INCOME/(EXPENDITURE)**|||
|Net income/(expenditure) is stated after charging/(crediting):|||
||2022|2021|
||£|£|
|Independent examiner's fees|785|750|
## **4. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 July 2022 nor for the year ended 31 July 2021.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 July 2022 nor for the year ended 31 July 2021.
## **5. STAFF COSTS**
The average monthly number of employees during the year was as follows:
|Manager
Other staff
No employees received emoluments in excess of £60,000.
**6.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Nursery
69,689
Other trading activities
852
**Total**
70,541
**EXPENDITURE ON**
**Charitable activities**
Nursery
77,857|2022
1
4
5
Restricted
funds
£
-
-
-
-|2021
1
3
4
Total
funds
£
69,689
852
70,541
77,857|2021
1
3
4
Total
funds
£
69,689
852
70,541
77,857|
|---|---|---|---|
|||||
|||||
||||70,541|
||||77,857|
continued...
Page 9
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 July 2022**
|**6.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
Unrestricted
Restricted
fund
funds
£
£
**NET INCOME/(EXPENDITURE)**
(7,316)
-
**RECONCILIATION OF FUNDS**
Total funds brought forward
25,060
-
**TOTAL FUNDS CARRIED FORWARD**
17,744
-
**7.**
**TANGIBLE FIXED ASSETS**
Fixtures
Short
and
leasehold
fittings
Equipment
£
£
£
**COST**
At 1 August 2021 and 31 July 2022
7,649
21,829
46,844
**DEPRECIATION**
At 1 August 2021 and 31 July 2022
7,649
21,829
46,844
**NET BOOK VALUE**
At 31 July 2022
-
-
-
At 31 July 2021
-
-
-
**8.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
2022
£
Prepayments and accrued income
519|Total
funds
£
(7,316)
25,060
17,744
Totals
£
76,322
76,322
-
-
2021
£
-|
|---|---|
continued...
Page 10
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 July 2022**
## **9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
||||2022|2021|
|---|---|---|---|---|
||||£|£|
||Bank loans and overdrafts (see note 11)||4,075|3,974|
||Trade creditors||913|-|
||Accruals and deferred income||15,352|3,084|
||||20,340|7,058|
|**10.**|**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**||||
||||2022|2021|
||||£|£|
||Bank loans (see note 11)||12,825|16,926|
|**11.**|**LOANS**||||
||An analysis of the maturity of loans is given below:||||
||||2022|2021|
||||£|£|
||Amounts falling due within one year on demand:||||
||Bank loans||4,075|3,974|
||Amounts falling between one and two years:||||
||Bank loans - 1-2 years||4,177|3,974|
||Amounts falling due between two and five years:||||
||Bank loans - 2-5 years||8,648|12,535|
||Amounts falling due in more than five years:||||
||Repayable by instalments:||||
||Bank loans more 5 yr by instal||-|417|
|**12.**|**MOVEMENT IN FUNDS**||||
||||Net||
||||movement|At|
|||At 1.8.21|in funds|31.7.22|
|||£|£|£|
||**Unrestricted funds**||||
||General fund|17,744|12,920|30,664|
||**TOTAL FUNDS**|17,744|12,920|30,664|
continued...
Page 11
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 July 2022**
## **12. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
120,417
120,417|Resources
Movement
expended
in funds
£
£
(107,497)
12,920
(107,497)
12,920|Resources
Movement
expended
in funds
£
£
(107,497)
12,920
(107,497)
12,920|
|---|---|---|---|
||||12,920|
## **Comparatives for movement in funds**
|||Net||
|---|---|---|---|
|||movement|At|
||At 1.8.20|in funds|31.7.21|
||£|£|£|
|**Unrestricted funds**||||
|General fund|25,060|(7,316)|17,744|
|**TOTAL FUNDS**|25,060|(7,316)|17,744|
Comparative net movement in funds, included in the above are as follows:
||Incoming|Resources|Movement|
|---|---|---|---|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|70,541|(77,857)|(7,316)|
|**TOTAL FUNDS**|70,541|(77,857)|(7,316)|
A current year 12 months and prior year 12 months combined position is as follows:
|||Net||
|---|---|---|---|
|||movement|At|
||At 1.8.20|in funds|31.7.22|
||£|£|£|
|**Unrestricted funds**||||
|General fund|25,060|5,604|30,664|
|**TOTAL FUNDS**|25,060|5,604|30,664|
continued...
Page 12
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 July 2022**
## **12. 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
£
190,958
190,958|Resources
Movement
expended
in funds
£
£
(185,354)
5,604
(185,354)
5,604|
|---|---|---|
## **13. CAPITAL COMMITMENTS**
During the year ended 31 July 2020, the charity completed repairs on the roof of the premises which were expected to cost in the region of £44,000 in total. A sum amounting to £13,000 of the cost had been included in the accounts. In the following year a £15,000 grant was received from Warwickshire County Council towards the remaining cost, leaving the balance of £16,000 outstanding, which is currently still in dispute.
## **14. RELATED PARTY DISCLOSURES**
The Trustees, where applicable, pay fees in respect of their children on the same basis as other parents.
Page 13
## **CATERPILLAR NURSERY (LEAMINGTON SPA) LIMITED**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31 July 2022**
|**INCOME AND ENDOWMENTS**
**Other trading activities**
Fundraising events
**Charitable activities**
Parental fees
Grants
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Salaries
Social security
Other staffing costs
**Support costs**
**Management**
Premises costs
Administrative costs
Bank loan interest
**Governance costs**
Accountancy and legal fees
Total resources expended
**Net income/(expenditure)**|2022
£
-
62,937
57,480
120,417
120,417
74,609
135
2,436
77,180
20,094
8,211
452
28,757
1,560
107,497
12,920|2021
£
852
26,493
43,196
69,689
70,541
52,979
604
3,314
56,897
13,894
5,710
-
19,604
1,356
77,857
(7,316)|
|---|---|---|
This page does not form part of the statutory financial statements
Page 14