2023-03-31-accounts - Gorse Covert Community Association Limited

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GORSE COVERT COMMUNITY ASSOCIATION LTD (A Company Limited by Guarantee)

TRUSTEES REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

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 2023

The trustees are pleased to present their report together with the financial statements of the charity for the year ended 31 March 2023.

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) David Dobson – resigned August 2022 Havinder Poonian – resigned June 2023 Lee Bradley –resigned June 2022 Craig Brown – appointed August 2022 Daryl Gough – appointed August 2022 Tom Marshall – appointed January 2023 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 2023

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

1. Activities Programme

We have developed a number of support groups and activities of our own as part of the work of the Activities Coordinator and increased use of volunteers

The Tuesday Social Group Kids Club Bingo Subsidised lunches to support Cost of Living Crisis

2. From Centre to Community Hub

National lottery Awards for All funding to enable us to pilot extending our opening hours, staffing and activities. This has included subsidised lunches on Thursdays, longer opening hours and afterschool social club.

3. UK Shared Prosperity Fund

We have been successful in our bid to the UKSPF in Charnwood and have been awarded funding to develop a youth project at the community centre until March 2025.

Financial Report

Our finances are in a stronger position than we had expected as we move on from the disruption of the pandemic. The Minimum Wage increased in April 2023, we awarded an above cost of living pay increase to staff. We have taken on additional staff as we grow our room hire and catering offers. Our annual increase for room hire and Coffee Bar prices was approximately ten percent but they remain very competitive and affordable.

Trustees will need to rebuild reserves over the next few years and keep spending on the building and facilities to a minimum.

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

TRUSTEES REPORT FOR THE YEAR ENDED 31 MARCH 2023

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 expenses.

Development Plan

Develop provision for young people.
Improve the effectiveness of staff in signposting members of the community to services they may need.
Develop community engagement in the governance of the Association.

………………………………………. Val Watts Chair of Trustees

25 July 2023

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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 2023 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:

examine the accounts under section 45 of the 2011 Act;
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
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:

1 which gives me reasonable cause to believe that, in any material respect, the requirements:
to keep accounting records in accordance with section 386 of the Companies Act 2006; and
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

25 July 2023

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

STATEMENT OF FINANCIAL ACTIVITES FOR THE YEAR ENDED 31 MARCH 2023

Restricted Designated Unrestricted Fund Fund Fund Note 2023 2023 2023 INCOME Donations and Legacies Grants 2 1000 16100 27872 Donations - - 586 Charitable Activities 3 - - 79198 Other Trading Activities 4 - - 48931 Investment 5 - - 153 _ _ TOTAL INCOME 1000 16100 156740 __ _ EXPENDITURE AND CHARITABLE ACTIVITIES Project Costs - - 1189 Operation of café - - 12393 Staff costs 6 - 8384 92519 Pension Contributions - - 2131 Rates and water - - 4780 Insurance - - 4445 Light and heat - - 11292 Cleaning - - 3489 Repairs and maintenance 1000 - 18300 Printing, postage, stationery and photocopying - - 1092 Advertising - - 867 Telephone and internet - - 1046 Miscellaneous - - 2452 Depreciation - - 3722 Bank charges and interest - - 456 Legal and Professional Fees - - 3397 Governance Costs - - 6353 Training - - 242 IT Support - - 4987 Equipment Hire - - 975 __ _ TOTAL EXPENDITURE 1000 8384 176127 __ _ NET (EXPENDITURE) INCOME - 7716 (19387) __ _ NET MOVEMENT IN FUNDS - 7716 (19387) RECONCILIATION OF FUNDS: Total funds brought forward - 7500 66196 __ _ TOTAL FUNDS CARRIED FORWARD - 15216 46809 __ ____	Total 2023 44972 586 79198 48931 153 __ 173840 _ 1189 12393 100903 2131 4780 4445 11292 3489 19300 1092 867 1046 2452 3722 456 3397 6353 242 4987 975 *185511* *(11671)* (11671) 73696 *62025* ___	Total 2022 46048 252 48837 6594 34 __ 101765 _ 389 6261 75861 1297 2890 2325 9503 2166 9703 1482 2065 881 1196 4963 284 2848 6084 72 6793 1721 *138784* *(37019)* (37019) 110715 *£73696* ___

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

BALANCE SHEET AS AT 31 MARCH 2023

_	_	14851 58845 ______
_	_
_	_
		73696 ______
		£73696 ______
		73696 ______

For the year ending 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006, relating to small companies.

Directors’ responsibilities:

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 directors 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 of the Companies Act 2006.

These financial statements were approved by the Board on 25 July 2023 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 2023

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 2023

2	GRANTS Restricted Designated Unrestricted Funds Funds Funds 2023 2023 2023 Charnwood Borough Council Core Grant - - 19922 Discretionary Grants - - 3450 JRS Grant - - - National Lottery Grant - 9100 - Leicestershire County Council Grant - 7000 - Toilet Refurbishment Grant 1000 - 3000 Intelligent Energy Grant - - 1500 _ 1000 16100 27872 _	Total 2023 19922 3450 - 9100 7000 4000 1500 __ 44972 ____	Total 2022 20432 10917 7199 - 7500 - - __ £46048 ____

3 4 5	CHARITABLE ACTIVITIES Restricted Designated Unrestricted Funds Funds Funds 2023 2023 2023 Café income - - 33479 Non-Corporate Room Hire - - 42952 Other income - - 1709 Sales of donated goods - - 901 Equipment Hire - - 157 _ _ - - 79198 __ _ OTHER TRADING ACTIVITIES Restricted Designated Unrestricted Funds Funds Funds 2023 2023 2023 Corporate Room Hire - - 48931 INVESTMENTS Restricted Designated Unrestricted Funds Funds Funds 2023 2023 2023 Interest received - - 153 _____		Total 2023 33479 42952 1709 901 157 _ 79198 Total 2023 48931 __ Total 2023 153 _____	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 __
		_		_
			_		_

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

6 STAFF COSTS

Restricted Designated Unrestricted Funds Funds Funds 2023 2023 2023 Wages and salaries - 8384 92519 National insurance - 85 4752 Employment Allowance received - (85) (4752) __ _ - 8384 92519 ___	Total 2023 100903 4837 (4837) __ 100903 ____	Total 2022 75861 2860 (2860) __ 75861 ____

No trustees received any remuneration during the year (2022: none). No trustees received any expenses during the year (2022: none). The average number of employees during the year was 8 (2022: 8). No employee earned in excess of £60,000 (2022: none).

7 FIXED ASSETS

8	Tangible Assets Cost (or Valuation) At 1 April 2022 Additions Less: Disposals At 31 March 2023 Depreciation At 1 April 2022 Charge for the Year Less: On Disposals At 31 March 2023 Net Book Value At 31 March 2023 At 31 March 2022 STOCKS Café and Cleaning Stock	Fixtures Fittings & Equipment Total 88188 £88188 - - - - _ 88188 £88188 _ 73337 £73337 3722 3722 - - 77059 £77059 _ 11129 £11129 _ 14851 £14851 2023 2022 £1177 £824 _ _

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

9	DEBTORS– All Receivable within one year Trade Debtors Prepayments Other Debtors	2023 4593 2625 - _ £7218 ___	2022 1647 5952 - _ £7599 ___

10	CREDITORS– Amounts falling due within one year Accruals Membership Liabilities Pension Liabilities Other Taxes Other Creditors	2023 6980 140 388 827 1109 _ £9444 ___	2022 5025 140 173 680 1045 _ £7063 ___

11	STATEMENT OF FUNDS a). Total Funds At 31 March 2022 Income Unrestricted Funds 66196 156740 Designated Funds 7500 16100 Restricted Fund - 1000 __ _ Total Funds £73696 £173840 b). Designated Funds At 31 March 2022 Income Activities Coordinator 7500 7000 National Lottery Support - 9100 Total Designated Funds £7500 £16100 ___	At 31 March Expenditure 2023 (176127) 46809 (8384) 15216 (1000) - __ _ £(185511) £62025 At 31 March Expenditure 2023 (8272) 6228 (112) 8988 £(8384) £15216 ___

The designated fund comprises the £7000 grant received from Leicestershire County Council to support the cost of an Activities Coordinator and £9100 from the National Lottery to support the cost of extending the opening hours of the cafe.

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GORSE COVERT COMMUNITY ASSOCIATION LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

12	ANALYSIS OF NET ASSETS BETWEEN FUNDS Designated Unrestricted Funds Funds Fund balances at 31 March 2023 are represented by: Tangible Fixed Assets - 11129 Current Assets 15328 45012 Current Liabilities - (9444) __ _ Total Net Assets 15328 46697 Fund balances at 31 March 2022 are represented by: Tangible Fixed Assets - 14851 Current Assets 7500 58408 Current Liabilities - (7063) Total Net Assets 7500 66196 ___	Total Funds 11129 60340 (9444) __ £62025 _ 14851 65908 (7063) *£73696* ___

13 CONTROL AND RELATED PARTY TRANSACTIONS

The charity is controlled by its members.

There have been no transactions with related parties during the year (2022: none).

14 GUARANTEES AND OTHER FINANCIAL COMMITMENTS

The charity had total guarantees and commitments at the balance sheet date of £Nil (2022: £320).