GORSE COVERT COMMUNITY ASSOCIATION LTD (A Company Limited by Guarantee)
TRUSTEES REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
COMPANY NUMBER: 05174095 CHARITY NUMBER: 1108732
Cound & Co LLP Chartered Accountants 1 Princes Court Royal Way Loughborough Leics LE11 5XR Tel: 01509 214163
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2022
The trustees are pleased to present their report together with the financial statements of the charity for the year ended 31 March 2022.
REFERENCE AND ADMINISTRATIVE DETAILS
CHARITY NUMBER 1108732 COMPANY NUMBER 5174095 REGISTERED OFFICE Gorse Covert Community Centre Maxwell Drive Loughborough Leics LE11 4RZ
DIRECTORS AND TRUSTEES
The directors of the charitable company (the charity) are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees.
The trustees serving during the year and since the year end were as follows:
Val Watts (Chair) Emma Ward – resigned January 2022 Billy Wong – resigned June 2021 David Dobson – resigned August 2022 Havinder Poonian – appointed December 2021 Lee Bradley – appointed December 2021 and resigned June 2022 Craig Brown – appointed August 2022 Daryl Gough – appointed August 2022
Secretary: Sue Castleton
Governing Document
Gorse Covert Community Association Limited is a company limited by guarantee governed by its Memorandum & Articles of Association dated 7 June 2004. It is a charity registered with the Charity Commission. Membership is open to any not for profit group using the community centre, each of whom agree to contribute up to £10 in the event of the charity being wound up.
Appointment of Trustees
As set out in the Articles of Association, the Association must have a minimum of three trustees, but there is no maximum number. One trustee retires in rotation at each Annual General Meeting but may be re-appointed. The Current Trustees recognise the importance of maintaining their number but are also determined to regularly review the skills Trustees bring to the Association and increase their number to fill any gaps identified. The appointment of Trustees who share an enthusiasm for maintaining excellence in local facilities is a core criterion for any new appointments.
Trustees Induction and Training
New trustees are advised of their obligations under charity and company law, the content of the Memorandum and Articles of Association as well as the structure and decision-making process of the committee.
Related Parties
The charity has close relationships with Charnwood Borough Council, who has provided an annual grant towards the running costs of the community centre through a Strategic Partner agreement. Charnwood Borough Council owns the building leasing it to the association for forty years which commenced in 2009.
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2022
Risk Management
The trustees have a risk management strategy which comprises:
An annual review of the risks the charity might face; Systems and procedures to mitigate those risks identified in the plan; and Procedures in place to minimise any potential impact on the charity should those risks materialise.
Objectives and Activities
Gorse Covert Community Association Limited aims to provide and promote social, recreational, educational and community development support for local people. It recognises that society is diverse in race, culture and beliefs, and believes that no person should be discriminated against or lack opportunity because of their race, gender, sexuality, disability, age, class, beliefs or geographical location. The Association aims to encourage participation, challenge discrimination and promote social justice. We have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning future activities. The aims and objectives are achieved through the provision of a wide range of regular activities. Participants of these activities come from a variety of backgrounds and represent a broad spectrum of the local community. The programme is wide ranging and encourages participation from some of the most disadvantaged members of our community including single parents and people on low and fixed incomes. It is hoped that taking part in the programme encourages greater self confidence which may in turn lead them into training and employment. To support the continuation of community activities within the premises, the Association is expanding the use of the premises by local authority and corporate bodies.
Key Developments and Achievements
Covid 19
In many ways this has been a more difficult year than the previous one as the restrictions and support offered during 2020 have been removed throughout the year.
1. Lockdowns and restrictions
We started our gradual re-opening in May 2021. We utilised our garden space and maintained our restricted access and other covid-19 mitigations until spring 2022. We have been fortunate in that we have been able to replace some hirers that have not returned with new hirers and we offer a broader provision.
2. Publicity and promotion
We have maintained positive engagement with the local community through our newsletter and our social media platforms as well as welcoming people back into the coffee bar and garden.
3. Staffing
We have taken the opportunity to review of staffing and have re-employed some staff that we had to lose in 2020 and recruited new roles – including an Activities Coordinator to develop our community provision. This rebuilding of our teams is enabling us to move forward with the plans that were interrupted in 2020.
4. Facilities and Equipment
We have utilised our outdoor space for activities including events for local groups during the colder months of winter 2021. The garden furniture and developing gardening project will add more value to our overall offer from the Association.
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2022
Financial Report
Funding continues to be a concern for trustees particularly given the disruption caused by the events of the last year severely restricting income. There is still much uncertainty and but we have worked hard to rebuild our services and bring back user groups and members of our community both current and new.
Trustees will need to rebuild reserves over the next few years and keep spending on the building and facilities to a minimum.
However, fortunately we ended the financial year 21/22 solvent.
Reserve Policy
It is a requirement of the Charities Commission and prudent management to have a reserves policy. As such the Community Association has cash reserves set aside to respond to any unforeseen funding difficulties or unexpected expenditure.
Development Plan
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Consolidate the financial position of the Association after a period of disruption and closure.
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Continue to develop our user base. Welcome back current users and attract new groups and individuals to extend and vary the services we offer.
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Increase our range of provision for local children 5-11 years. Establish a partnership with an organisation to provide holiday and term time activities for local children in this age group.
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Develop a database to enable all staff to signpost members of the community to services they may need.
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Develop the membership of the Association with the intention of increasing community engagement in the governance of the Association.
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Recruit new Trustees and other volunteers
2 August 2022
………………………………………. Val Watts Chair of Trustees
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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF
GORSE COVERT COMMUNITY ASSOCIATION LIMITED
I report on the accounts of the company for the year ended 31 March 2022 which are set out on pages 5 to 11.
Respective responsibilities of trustees and examiner
The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to an audit under company law and is eligible for independent examination, it is my responsibility to:
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examine the accounts under section 45 of the 2011 Act;
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follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the 2011 Act, as amended); and
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state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
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1 which gives me reasonable cause to believe that, in any material respect, the requirements:
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to keep accounting records in accordance with section 386 of the Companies Act 2006; and
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to prepare accounts which accord with the accounting records, comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities
have not been met; or
- 2 to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
D R Gradon Cound & Co LLP Chartered Accountants 1 Princes Court Royal Way Loughborough Leics LE11 5XR
2 August 2022
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
STATEMENT OF FINANCIAL ACTIVITES FOR THE YEAR ENDED 31 MARCH 2022
| Restricted Designated Unrestricted Fund Fund Fund Note 2022 2022 2022 INCOME Donations and Legacies Grants 2 - 7500 38548 Donations - - 252 Charitable Activities 3 - - 48837 Other Trading Activities 4 - - 6594 Investment 5 - - 34 Insurance Claim - - - _ _ TOTAL INCOME - 7500 94265 __ _ EXPENDITURE AND CHARITABLE ACTIVITIES Project Costs - - 389 Operation of café - - 6261 Staff costs 6 - - 75861 Pension Contributions - - 1297 Rates and water - - 2890 Insurance - - 2325 Light and heat - - 9503 Cleaning - - 2166 Repairs and maintenance - - 9703 Printing, postage, stationery and photocopying - - 1482 Advertising - - 2065 Telephone and internet - - 881 Miscellaneous - - 1196 Depreciation - - 4963 Bank charges and interest - - 284 Legal and Professional Fees - - 2848 Governance Costs - - 6084 Training - - 72 IT Support - - 6793 Equipment Hire - - 1721 __ _ TOTAL EXPENDITURE - - 138784 __ _ NET (EXPENDITURE) INCOME - 7500 (44519) __ _ NET MOVEMENT IN FUNDS - 7500 (44519) RECONCILIATION OF FUNDS: Total funds brought forward - - 110715 __ _ TOTAL FUNDS CARRIED FORWARD - £7500 £66196 __ ____ |
Total Total 2022 2021 46048 161148 252 383 48837 9168 6594 73 34 34 - 2418 __ _ 101765 173224 389 565 6261 1222 75861 69981 1297 1029 2890 1170 2325 2778 9503 9516 2166 3806 9703 8321 1482 331 2065 283 881 1638 1196 3005 4963 6222 284 125 2848 3590 6084 5910 72 36 6793 4009 1721 1894 138784 125431 (37019) 47793 (37019) 47793 110715 62922 £73696 £110715 ___ |
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
BALANCE SHEET AS AT 31 MARCH 2022
Fixed Assets Tangible Assets Current Assets Stocks Debtors Cash at Bank and in Hand Creditors Amounts falling due within one year Net Current Assets Total Assets Less Current Liabilities NET ASSETS The Funds of the Charity: Unrestricted Funds: General Funds Designated Fund |
Notes 7 8 9 10 12 12 |
_ |
2022 824 7599 57485 _ 65908 7063 __ 66196 7500 _____ |
14851 58845 __ 73696 _ £73696 73696 ___ |
2021 18619 599 11936 88773 __ 101308 _ 9212 __ 92096 __ 110715 _ £110715 110715 - 110715 ___ |
18619 92096 ______ |
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| 110715 ______ |
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| 110715 ______ |
For the year ending 31 March 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006, relating to small companies.
Directors’ responsibilities:
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The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;
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The directors’ acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
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These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime of the Companies Act 2006.
These financial statements were approved by the Board on 2 August 2022 and signed on its behalf by
…………………………………
V Watts Trustee
The information on pages 7 to 11 form an integral part of these financial statements.
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1 ACCOUNTING POLICIES
The principal accounting policies adopted in the preparation of the financial statements are set out below and have remained unchanged from the previous year and also have been consistently applied within the same accounts.
a) Basis of Preparation of Financial Statements
These financial statements have been prepared in accordance with 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102), the Companies Act 2006 and the Charities Act 2011 and UK Generally Accepted Accounting Practice.
The Church constitutes a public benefit entity as defined by FRS102.
The financial statements are prepared on a going concern basis under the historical cost convention. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest pound. The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
b) Company Status
The Association is a company limited by guarantee. The trustees of the company are named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity.
c) Fund Accounting
Undesignated general funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The aim of each restricted fund is set out in the notes to the financial statements.
d) Incoming Resources
All incoming resources are included in the SOFA when the charity is legally entitled to the income the amount can be measured reliably and it is probable that the income will be received.
No amount is include in the financial statements for volunteer time, in line with SORP (FRS102),
e) Resources Expended
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs to that category.
f) Tangible Fixed Assets and Depreciation
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life as follows:
Fixtures, Fittings and Equipment - 25% Reducing Balance
g) Stock
Stock is valued at the lower cost and net realisable value.
h) Redundancy Costs
The costs incurred by the company due to making staff redundant are included in the year the staff members leave.
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 2 | GRANTS Restricted Designated Unrestricted Funds Funds Funds 2022 2022 2022 Charnwood Borough Council Core Grant - - 20432 Discretionary Grants - - 10917 Small Business Grant - - - JRS Grant - - 7199 National Lottery Grant - - - Leicestershire County Council Grant - 7500 - Garden Project Grant - - - _ - 7500 38548 _ |
Total Total 2022 2021 20432 20432 10917 19836 - 10000 7199 29631 - 70000 7500 6488 - 4761 __ _ £46048 £161148 ___ |
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| 3 4 5 |
CHARITABLE ACTIVITIES Restricted Designated Unrestricted Funds Funds Funds 2022 2022 2022 Café income - - 13097 Non-Corporate Room Hire - - 33745 Other income - - 621 Sales of donated goods - - 910 Equipment Hire - - 464 _ _ - - 48837 __ _ OTHER TRADING ACTIVITIES Restricted Designated Unrestricted Funds Funds Funds 2022 2022 2022 Corporate Room Hire - - 6594 INVESTMENTS Restricted Designated Unrestricted Funds Funds Funds 2022 2022 2022 Interest received - - 27 _____ |
Total 2022 13097 33745 621 910 464 __ £48837 _ Total 2022 £6594 Total 2022 £27 __ |
Total 2022 13097 33745 621 910 464 __ £48837 _ Total 2022 £6594 Total 2022 £27 __ |
Total 2021 646 8499 13 - 10 _ £9168 Total 2021 £73 __ Total 2021 £34 _____ |
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
6 STAFF COSTS
| Restricted Designated Unrestricted Funds Funds Funds 2022 2022 2022 Wages and salaries - - 75861 National insurance - - 2860 Employment Allowance received - - (2860) __ _ - - 75861 ___ |
Total 2022 75861 2860 (2860) __ 75861 ____ |
Total 2021 69981 2543 (2543) __ £69981 ____ |
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No trustees received any remuneration during the year (2021: none). No trustees received any expenses during the year (2021: none).
The average number of employees during the year was 8 (2021: 8). No employee earned in excess of £60,000 (2021: none).
7 FIXED ASSETS
| 8 | Tangible Assets Cost (or Valuation) At 1 April 2021 Additions Less: Disposals At 31 March 2022 Depreciation At 1 April 2021 Charge for the Year Less: On Disposals At 31 March 2022 Net Book Value At 31 March 2022 At 31 March 2021 STOCKS Café and Cleaning Stock |
Fixtures Fittings & Equipment Total 86993 £86993 1195 1195 - - _ 88188 £88188 _ 68374 £68374 4963 4963 - - 73337 £73337 _ 14851 £14851 _ 18619 £18619 2022 2021 £824 £599 _ _ |
Fixtures Fittings & Equipment Total 86993 £86993 1195 1195 - - _ 88188 £88188 _ 68374 £68374 4963 4963 - - 73337 £73337 _ 14851 £14851 _ 18619 £18619 2022 2021 £824 £599 _ _ |
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 9 10 |
DEBTORS– All Receivable within one year Trade Debtors Prepayments Other Debtors CREDITORS– Amounts falling due within one year Accruals Membership Liabilities Pension Liabilities Other Taxes Other Creditors |
2022 2021 1647 2521 5952 7145 - 2270 _ £7599 £11936 _ 2022 2021 5025 5353 140 140 173 148 680 471 1045 3100 £7063 £9212 _ ___ |
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| 11 | STATEMENT OF FUNDS At 31 March 2021 Income Unrestricted Funds 110715 94265 Designated Fund - 7500 __ _ Total Funds £110715 £101765 ___ |
At 31 March Expenditure 2022 (138784) 66196 - 7500 __ _ £(138784) £73696 ___ |
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The designated fund comprises the £7500 grant received from Leicestershire County Council to support the cost of an Activities Coordinator.
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GORSE COVERT COMMUNITY ASSOCIATION LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 12 | ANALYSIS OF NET ASSETS BETWEEN FUNDS Designated Unrestricted Total Funds Funds Funds Fund balances at 31 March 2022 are represented by: Tangible Fixed Assets - 14851 14851 Current Assets 7500 58408 65908 Current Liabilities - (7063) (7063) __ _ Total Net Assets 7500 66196 £73696 Fund balances at 31 March 2021 are represented by: Tangible Fixed Assets 4657 13962 18619 Current Assets (4657) 105965 101308 Current Liabilities - (9212) (9212) Total Net Assets - 110715 £110715 ___ |
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13 CONTROL AND RELATED PARTY TRANSACTIONS
The charity is controlled by its members.
There have been no transactions with related parties during the year (2021: none).
14 GUARANTEES AND OTHER FINANCIAL COMMITMENTS
The charity had total guarantees and commitments at the balance sheet date of £320 (2021: £1280).