ANNUAL REPORT AND
FINANCIAL STATEMENTS
HEARTWOOD
HOUSE
FOR THEYEAR ENDING
31 AUGUST2024
HEARTWOOD HOUSE
112
11
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Registered number: 05385733
Charity number: 1109947

HEARTWOOD HOUSE
(A company limited by guarantee)
Registered number: 05385733
Charity number: 1109947
HEARTWOOD HOUSE
(A company limited by guarantee)
TRUSTEES, REPORT AND FINANCIAL STATEMENTS
FOR THEYEAR ENDED 31 AUGUST2024

HEARTWOOD HOUSE
(A company limited by guarantee)
CONTENTS
Page
Reference and administrative details of the Company, its Trustees and advisers
Trustees, report
2-12
Independent auditors, report on the flnanclal statements
13-16
Statement of flnanclal actlvltles
17
Balance sheet
18
Statement of cash flows
19
Notes to the financial statements
20-33

HEARTWOOD HOUSE
(A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF
THE COMPANY, ITS TRUSTEES AND ADVISERS
FOR THEYEAR ENDED 31 AUGUST2024
Trustees and Members
G A Norris, Chair
J I Storey
S Jones
A J Lenton
T Webster. Ifice Chair
S M Fishbum (Resigned 4 July 2024)
K Barr (appointed 30 November 2023)
R H Evans, Company Secretary
Company registered number
5385733
Charity registered number
1109947
Registered office
13 Kenton Road
Harrow
Middlesex
HA12BW
Company secretary
R H Evans
Executive Headteacher
C Haysom Bsc (Hons), PGCE, Msc
Bankers
CAF Bank Limited
25 Kings Hill Avenue
Kingshill
West Malling
Kent
ME19 4JQ

HEARTWOOD HOUSE
(A company limited by guarantee)
TRUSTEES, REPORT
FOR THEYEAR ENDED 31 AUGUST2024
The Trustees present their annual report together with the audited financial statements of the Company for the 1 September 2023
ro 31 August 2024. The Annual report ser+4es the purposes of both a Trusiees, report and a direciors, report under company law.
The Trustees confirm thai rhe Annual report and financial statements of the charitable company comply with the currenE sratutory
requirements, the requirements of the charitable company's governing documenE and the provisions of the Statement of
Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting
Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the Company qualifies as small under section 382 of rhe Companies Act 2006, the Srrategic reporr required of medium and
large companies under Ihe Companies Act 2006 (Strategic Report and Directors, Report) Regulations 2013 has been omitted.
Introduction from the chair
Having the privilege to be in my sixth year as Chair of the Board of Trustees, and ninth as a Trustee of this great organisation it
gives me greai pleasure in introducing our 19ih Trusiees Reporr and Financial Statemenrs for rhe year ended 31sr August 2024.
Firstly, I wish to formally record my grateful thanks to Sue Fishburn, who decided to step down as a Trusree after seven year's
service. During this time, she has provided a wealth of support and advice on education and special needs matters, for which we
are all very grateful.
should also like to formally welcome Kevin Barr, as a Trustee to our charity. Kevin brings significant
knowledge and experience of health & safety and risk across mulriple industries. Kevin's skills and empaihy wilh our charitable
aims will be invaluable.
This has been another extraordinary 12 months and much has been accomplished since my last report. Firstly, and most
importantly, we have continued to provide education and support to students who have suffered extreme emotional or mental
health rrauma. We have moved forward with Ihe opening of our second Cenire at Roxborough Road and our ofF-site provision is
now full. We have invested in our stafF to ensure that we both arcract and retain high-caliber teachers and supporr staff/
therapists. This has been essential to ensure that we can provide the very best support to our students, and so that we can
maintain and improve our organisation's impact and reach.
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HEARTWOOD HOUSE
(A company limited by guarantee)
Our hybrid offer, of Centre based tuition and support, combined with our off-site programme has been instrumental in helping our
students re-engage with educaEion through a wide range of activities many of which are tailored ro each individual student's
interests resulting in Ihe greatest impact on rhe quality of Iheir lives. It is a delighi and privilege to watch the progress our
students make whilst they are with us and I commend each and every one of our stafF for the role they play in this journey.
But what of our future strategy? The Trustees have worked very closely with Cathy Haysom, our Executive Headteacher, to reach
rhe goals sei five years ago. Following the successful purchase of rwo properties last year, one in Kenton Road and a second in
Roxborough Road, we can now provide permanenr facilities to support 60 students a year. Afrer this period of growrh our furure
straiegy is co enier a period of consolidation, and to rebuild our reserves whilst embarking upon the introduction of a new
metacognitive approach to education, which we feel is more suited to our students. We shall install new systems that will enable
us to track student progress more effectively and we shall continue to strive to offer the best possible resources for our staff and
students, building upon rhe success of recent years.
At an Extraordinary General Meeting of Ehe TrusEees of Red Balloon Learner Cenrre NW London, held on 4 July 2024, the Trustees
also decided it was in the best interest of our organisation to resign from The Association of Red Balloon Learner Centres. Whilst
strongly supporting the Association's original aims and ethos, we felt it no longer fulfilled the aspirations of our Centre. To ensure a
clean break, rhe Trustees passed a resolution, on 4th July 2024, to change our name to Heartwood House and to remove Red
Balloon's name from our chariiable objeccs.
Our ability to reach our strategic objective, to support 60 students a year in our own buildings, would not have been possible
without the generosity of a number of individuals and organisations that have supported us for a considerable number of years.
Their generosity has had a huge impact on boih our siudenis and siafF and for Ihis we are Iruly graieful.
Once again, fundamental to our success has also been the loyalty and selfless commitment of; my fellow Trustees who have been
fully committed to overcoming numerous challenges with a blend of humour and steely resolve; our Executive Headteacher and
Senior Leadership Team for their determination and commitment to continuous development and steady growth; our staff who
deploy their exiraordinary skills and experience to supporting our siudenis; and last but noi least, our donors for their incredible
support.
Our resolve and commitment to support and improve the lives of young people in our community is at the heart of what we do,
and I look forward to 2025 and beyond, with confidence and optimism at Heartwood House.
Geraldine Norris DL
Chair of Trustees

HEARTWOOD HOUSE
(A company limited by guarantee)
OBJECTIVES AND ACTIVITIES
Policies and objectives
The objects of the charity as set out in the governing document is 'to advance the education of students aged 9 to 18 being
students who are victims of bullying or by reason of other emotional trauma or illness are unable to attend mainstream school by
providing tuiiion and appropriate support for them in a safe learning environmenr until rhey are ready to return to mainstream
education and employmeni.,
The aim of the charity is the recovery of bullied children who have self-excluded from school because of severe bullying and/or who
have suffered extreme emotional or mental health trauma. We provide an 'intensive care, full time education and support
programme. Therapy and counselling are ofFered to studenis and families.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the
Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
b. Strategies for achieving objectives
Our straiegy 2020 2025 is to secure the existing premises out of which we operate
and 10 expand, increasing rhe number of studenrs we can support from 20 to 60.
During rhis financial year, we have refurbished our second premises in Roxborough
Road, which is close to our current operating base at Kenton Road, and our stafF and
students have moved from their temporary, rented, facilities into their permanent
home. The Trustees and Senior Leadership Team have made good progress with our
srraregic plan and we have ended Ihe year with 60 studenrs on roll; 20 students are
located in each of our two properties and 20 students are linked to our off-site provision.
Main activities undertaken to further the Company's purposes for the public
benefit
Heartwood House provides an 'intensive care, full-time education for children (9 Eo18) who have been so Eraumarised by severe
bullyin& physical violence, family breakdown, bereavement, rape etc. that they exclude themselves from school. There are few
other purpose-made schemes to recover this group of children. More than half of the students at Heartwood House have
artempted or'seriously considered, suicide. At Heartwood House they are provided with a safe environment with clear boundaries
of behaviour and an individual full-iime academic, pastoral and Iherapeuric programme.
Of the 6.1 million 10 to 17-year-olds in the UK, about three in one thousand is so anxious that slhe has left the mainstream
educational system. This represents 16,500 children. There is significant demand for the services and support that Heartwood
House provides.
Heartwood House improves the skills and life opportunities of a group of socially isolated, confidence-lacking and ignored children.
Heartwood House contributes to stronger communities by identifying and addressing the problem of seriously bullied children
with the help of the community and for the benefit of the community.

HEARTWOOD HOUSE
(A company limited by guarantee)
ACHIEVEMENTS AND PERFORMANCE
Achievements and performance
Achievement and performance at Hearrwood House is measured by rhe increase
in self-esteem and confidence of each student, in their understanding of
themselves and others and in their recovery and return to mainstream or further
education or employment.
°I'm at peace now as My 50n is at a school
that understands and cares for hirn. The last year
or so have been very difficult for hirn at his previous
school, as they did not help him. He now get5 UP
and wants to go to school each morning. He is so
much happier. Thank you..
Heartwood House operares from 08.30am - 4.30pm each day for 36 weeks of rhe year
for all students. Overall attendance has been good during 2023124 with an average of 81Y..
Several older students who have fragile mental health issues have struggled with attendance affecting the average total for the
year. All our students have shown significantly higher attendance figures than when they began attending our Centre and are now
progressing towards full time atiendance.
During the year the charity supported 60 (2022123: 58) students (27 boys and 33 girls), 22 students at Key Stage 3, 19 students at
Key Stage 4 and 19 students at Key Stage 5. Some students struggled to attend full-time and so attended part-time. From these
students 44 have remained with us for the 2024125 academic year, and 16 students have been successfully placed in further
educarion, training or employmeni.
Of our students, 15 students took a rigorous set of GCSE examinations. Almost all our students exceeded or
met their predicted grade.
"Thanks so much
for all your help rhis
week. You and the team
have been wonderful.
Today went really well. I think
it's going to be such a good
fit. It made me feel
rather teary."
15 studenrs took GCSE examinations in up to seven subjects, three srudenrs achieved five or more
GCSES at Grades 4 - 9 including English and Mathemarics. Five students achieved Grades 4 - 7 in both
Mathematics and English. One student gained Grade 9 in GCSE English Literature and one student
gained Grade 9 in English Language. Most students exceeded their predicted grades with three
students exceeding their predicted grade in GCSE English Literature, seven
studenis exceeding their predicted grades in English Language, 7 students
exceeding their predicted grades in GCSE in Mathematics, three students
exceeding their predicted grades in GCSE Combined Science, one student
exceeding their predicted grade in Physics one student exceeding their predicted grade in GCSE
Business Studies.
"Thank you for
making a difFerence
in the world. From
Ehe boEh of us."
Five students took NCFE Art and Design examinations with two students passing Level 3 and two
students also successfully passed Level l in Entry Level Certificate in Science. Five students passed
examinations in Functional Skills in English whilst six students passed examinations in Functional
Skills in Mathematics.
These resulrs represeni a huge amount of hard work by students, reachers and support stafF/therapists.
Heartwood House 15 not just about academic results and we provide a wide range of activities to encourage
exercise, creativity and wellbeing. We offer a range of therapeuiic interventions including ari, music, integraiive, or dance
movemenE by therapists who are also members of our stafF ream. On rhe ofF-sire programme we have an animal-assisted THRIVE
practitioner who works with her dog and our SEudents can attend Learning Eo Listen, which is based in Hitchen and ofFers animal
based therapy through a 1-2-1 coaching approach. Students benefit from the opportunity to access these therapies with their
confidence and self-esteem improving as a result. In addition, pupils have access to community therapists who offer other types of
rherapy such as lego, play, CBT eEC. Equine therapy is parEicularly good for students who have a diagnosis of ASD and high levels of
anxieiy. Our therapy ieam has worked hard rhis year to improve rhe qualiry of Iheir sessions, and we have begun to offer group
sessions and, where appropriate, family sessions.
Students receive timetabled wellbeing sessions, which include activities such as yoga, meditation and taught social skills
interventions. A comprehensive PSHE curriculum supports students in their understanding of key life issues and skills and equips
them to deal with everyday life in the community. Our ourdoor education programme is based in Apsley and orher venues and
occurs once a week. Activities include; climbin& canoein& bell-boating, map readin& building bee boxes and bird boxes, cooking
over a fire, camping, navigation and much, much more.

HEARTWOOD HOUSE
(A company limited by guarantee)
Our off-site provision has gone from strength to strength and we ofFer our students a wide and varied curriculum including maths,
English, Science, History, Geography, muliiple languages, social sciences, art, digiial art and politics. We have also done our besi to
accommodate individual inceresrs such as; asironomy, coding, game design and music. Our srudents can atrend colleges that offer
a 14+ programme for subjects such as animal care, outdoor education, hair and beauty, and horticulture on a day release basis.
Our PE activities last year included badminton, swimmin& tae-kwon-do, horse riding, horse care, gym membership, personal
rrainer, yoga, cycle clubs, fencing to name but a few.
Extra-curricular opportunities available to our students change on an annual
basis as we try to identify activities that our students will enjoy. This year
we offered trips to the science museum, art galleries, photography
exhibitions, a range of physical activities such as Ninja Warrior, outdoor
acriviiies ar Horsenden Hill, Go Ape, trampolining and some more culrural
activities such as the Brixton Cultural Archives, and a Pride Shakespeare
trip.
Heartwood House ofFers a very high level of pastoral intervention for all
srudenis.
All studenrs have a ruior whom Ihey see daily. SrafF are
empathetic and supportive.
This year, the focus of our School
Development Plan has been; to help students understand and apply
range of metacognitive techniques throughout their academic and personal
sessions; to improve our srafF access to a range of ICT learning
opportunities; to improve the progression and recording of non-academic
progress made by students as well as encouraging our students to
participate in sports within our community.
All studenrs receive timetabled weekly careers sessions with a Transition
Lead, who supporrs students wiih their Eransirion to furrher education
which is something our students find particularly challenging. This supporE
can range from a session exploring character attributes and suitable career
choices, to a visit to a college open day, to supporting students to attend
raster sessions at work experience placements. This year all of 15 of our
leaving studenis were placed in further education, training or employmenr.
When able, we also organised visits to museums, art exhibitions and the
theatre. These trips are both curriculum and extra-curricular related.
The success in achieving our aims can be aEEribuied ro rhe collaborative
work of the Board of Trustees, the excellent leadership of the Headteacher
and the outstanding teaching and support given by the stafF.

HEARTWOOD HOUSE
(A company limited by guarantee)
b. Financial review and key performance indicators
KPI summary:
2024 (Q
2023 (£)
Total income
2,520,471
2,163,495
Charitable expenditure
2.639,443
1,902,734
(Deficit)/Surplus for the year
{118,971)
260,761
Net current (liabilities)lassets
(290.902)
{131,495}
Cash bank
250,736
283,182
Total reserves
1.103.285
1,222.258
Trading income £2,436,816 (2023: £2,090,086) comprises fees received from Local Authorities, schools and parents to fund those
studenis out of mainsiream education. Money from Local Authoriries is used to provide educarion in subjecrs of siudents, choice,
therapy, wellbeing acriviEies, exiracurricular activities, meals, and adminisiration. All fees received support rhe Chariiable objecrives
of Heartwood House.
Total unrestricted donations received in the period were £60,715 (2023 £33,922).
Toral resrricied donarions in the year were £nil (2023: £28,050)
Fundraising activities and income
generation
Heartwood House is grateful to all those organisarions and
individuals who have donated and volunteered time during the
year. We should also like to express our appreciation to
organisations, based in the area, who have helped us by allowing
us 10 use their facilities.
Fundraising activities are undertaken to supporr growth and
non-academic activities.
Finally, we should like to thank the funders and supporters who
have coniributed to our strategy for growth. In particular we,
should like to thank:
The Leri Foundation
The John Lyon's Foundation
d. Investment policy and performance
The Trustees, policy on investment is to retain the reserves in an interest bearing bank deposit account.

HEARTWOOD HOUSE
(A company limited by guarantee)
FINANCIAL REVIEW
. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation
that the Company has adequare resources ro coniinue in operarional exisrence
for the foreseeable fuiure. For this reason, they continue to adopt the going
concern basis in preparing the financial statements. Further details regarding the
adoption of the going concern basis can be found in the accounting policies.
b. Reserves policy
The policy of Heartwood House is to maintain reserves of six months operating costs. This year we have achieved a reserve of
seven (2023: 8) months. At the year end the charity had restricted reserrfes of £1,103,285 (2023: £1,222,258). The Trustees plan to
increase the level of liquid assets supporting the reserves figure over the next three years.
The policy of Heartwood House is to maintain a level of reserves that should be sufFicient to:
Sustain activity in the event of an unexpected short-term drop in income
Allow orderly reorganisation of activities to cope with any long-term drop in income
Provide for a reasonable risk of increased costs
Ensure Heartwood House has sufficienr resources ro meer legal liabiliries
b)
d)
These requirements are not cumulative, and the reserves necessary to meet one scenario may well be sufFicient to meet another.
The Reserves Policy has been set to establish a level of reserves which minimizes the risk of serious disruption to Heartwood
House's work whilst funding as much charitable activity as possible. It is therefore assumed thai the last of the requirements will
be met Ihrough achievemeni of the orher Ihree.
Principal risks and uncertainties
Heartwood House has a Risk Register which is reviewed annually by Trustees. The top five key risks have been identified as:
Health & Safety risk in our Centres. Mitigated by regular reviews of risk assessments which are version controlled and dared. Risk
Assessmenis are checked againsc accidenr and incident data co ensure Ehe potential for recurrence of injuries is addressed within
the Risk Assessment itself to remain current and relevant. Any significant injury or dangerous occurrence will trigger a review.
Strate8ic/fianncial risk, such as loss of major source of income via EHCP placements. Mitigated by investigating alternative
methods of funding. Scaling back services / possible redundances. Headieacher to ensure funding is continually drawn for a
selection of difFerenc Local Authorities to prevent reliance on one funding source.
Operational risk, such as insufficiently robust cyber security. Mitigated by ensuring securiry, encryption and backup procedures
are adhered to. Ensuring no data is stored offline on devices and all data is stored on Google Drive. Passwords are secured and
changed regu larly.
Human Resources risk such as the loss of key staff. Mitigated by succession planning wirh trained deputies in place for key roles
(particularly HR, Centre Business Managers and SENCO).
Human Resources risk such as loss of key knowledge. Mitigated by sharing knowledge Ihrough regular team meetings. Work filed
regularly and correcrly. Written procedures keep up to date and succession planning.

HEARTWOOD HOUSE
(A company limited by guarantee)
STRUCTURE, GOVERNANCE AND MANAGEMENT
Constitution
HearEwood House is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.
Company Number $385733
The Company is constitured under a Memorandum of Association dared 8ih March 2005 and Articles of Association dated 9ih
February 2005.
Heartwood House is also a standard charity. Charity Number1109947.
The Charity is governed by the same Memorandum and Articles of Association incorporated on 8th March 2005. The charity was
registered on 9rh June 2005.
The charity changed its name to Heartwood House from Red Balloon Learner Centre NW London on 4th July 2024.
b. Methods of appointment or election of Trustees
The management of Heartwood House is the responsibility of rhe Trusiees who are elected under Ihe terms of rhe Arricles of
Association.
The Board seeks potential Trustees whose relevant experience such as human resources, finance or education is required, using an
external agency. In some cases a person will approach the organisation expressing an interest to become a Trustee. Potential
Trustees are invired 10 interview with at least Iwo Trusiees and Ihe Executive Headreacher. These Trusiees will rhen make a
recommendation about rhe appoincmenE at a full Trustee meeEin& when all Trustees are asked 10 approve the recommendation.
No person, company or external body other than the Trustees is entitled to appoint a Trustee.
Trusrees are inducied in accordance with Deparcmeni for Educaiion recommendarions. Safeguarding rraining is mandatory and all
Trustees review and approve CenEre policies.

HEARTWOOD HOUSE
(A company limited by guarantee)
Organisational structure and decision-making policies
The Charity operates from two locations 13 Kenton Road, and 39 Roxborough Road in Harrow, NW London. The Execuiive
Headteacher oversees stafF with responsibility for education, wellbein& administration and housekeeping.
Day-to-day decisions are made by the Executive Headteacher, who will refer to the Chair of Trustees, the Finance Trustee, the
Safeguarding Trusree or oiher Trustees for advice and guidance if necessary.
The Board ofTrustees meet formally at least twice a term (every six - eight weeks), when they receive and discuss written reports
from the Executive Headteacher, Finance Trustee and other Trustees responsible for matters of compliance. Strategy and major
project proposals are brought to the attention of the Trustees, discussed and decisions made.
At each meeting rhe Chair asks the Trustees to identify any potential conflict of interest.
d. Pay policy for key management personnel
The Trustees have developed a pay policy that identifies a set of pay bands taking into account level of responsibility, qualifications
and experience. Pay is set with respect to prevailing market rates for education and charities; thereafter the Trustees decide on pay
change taking into accounr performance of Ihe individual and of the charity, inflation levels, London living and any changes in their
responsibility or in their working week.
Performance reviews take place for all staff every year and areas of professional development agreed and subsequently
implemented.
. Membership of Heartwood House
The Articles of Association siaie thai by holding rhe role of a Director all current Direcrors are also Members.
Three Members are required for a quorum. Every Member - person or organisation - only has one vote. Any organisation who is a
member may nominate a representative and provide written notice to the charity providing evidence that they have the authority
ro vole on behalf of the organisaiion. There are no 'organisaiion' Members of Heartwood House.
FUNDS HELDAS CUSTODIAN
The charity does not hold and does not intend to hold any funds as custodian.
MEMBERS, LIABILITY
The Members of the Company guarantee to contribute an amount not exceeding £10 to the assets of the Company in the event of
winding up.
MANAGEMENT
The Board of Trustees, in consultation with the Executive Headteacher, make decisions on stafFin& budgeting and professional
development.
Trustees and stafF participaie in fundraising with the annual aim of raising berween £IOK 10 £20K per year, wirh any monies raised
being used to support the provision of ex-curricular aciivities, to buy resources, equipmenE and to cover the cosr of essential
repairs and maintenance.
Trustees and staff need to raise local awareness of the need for children who have been so severely bullied that they cannot attend
mainsiream school. The aim is ro draw aiieniion to the fact rhat such children should be provided wirh full-rime educarion and
Hearrwood House offers this service. This is addressed through engaging wiEh local authoriries, schools, businesses and through
volunteers who fundraise for us.
10

HEARTWOOD HOUSE
(A company limited by guarantee)
This year Ihe school has been full our capacity is 60 full-rime equivalent
students. The Trustees ideniified Ewo areas of concern and for Ehese
reasons the Executive Headteacher and Trustees have worked hard to
meet the needs of our community whilst exploring how to expand the
provision of the Centre:
The Centre is currently full and demand for places is significant.
The Executive Headteacher presented a business plan to the Trustees for
the creation of a second Centre in 2020 and with Trustee approval
suirable property was identified in spring 2021. An ofFer was accepced by
the vendor in June 2021 and planning approval for change of use was
obtained in October 2022. The global Covid-19 pandemic impacted this
project and a temporary second Centre was secured through the leasing
of a second properry, 3 Churchill Court, in Norih Harrow. Purchase of Ihe
second properry, based in Roxborough Road, was compleied on 31sr Augusi 2023. A fii-our commenced in Seprember 2023 and
students and stafF moved into Ihe new permanent building in January 2024.
Provision during the year:
This year 60 students were on roll ai the sta￿ of rhe academic year, wirh 20 arrending Ehe Cenrre in person at 13 Kenton Road and
20 students attended in person at 3 Churchill Court before moving to Roxborough Road. 20 students supported via outreach.
The Executive Headteacher is responsible for all aspects of the organisation's work. She is supported by a Centre Head at both
Kenton Road and Roxborough Road, an off-siie provision lead, an adminisiraior and a ream of teachers, therapists, and support
srafF. Both Centre Heads are supporred by a depuiy and a Eeam of teachers, rherapisrs, and support staff.
This provision is continuously reviewed to ensure the level of stafFin8 is appropriate for the number of students.
All roles including Trustees and volunteers are DBS checked.
"I'm so happy with what you
have all done with her. She is
a changed person and
actually wants to come
into school."
"I want you to know how happy I
am that he's in this position,18 months
ago he was not attending school and doing a
small amount of English and Maths - having
the opportunity to realise his
potential is a gift and I'm
grateful for everything
'I'd like to thank you and Ed
for all your support since my
son started with you, I
finally feel settled
knowing that he is
getting the support
he needs and
especially as he's
taken to it all so
well."
"Well done to you. Someone
doing everything they can to look out
for my daughter means the absolute
world to me."
11

HEARTWOOD HOUSE
(A company limited by guarantee)
STATEMENT OF TRUSTEES, RESPONSIBILITIES
The Trustees (who are also the directors of the Company for the purposes of company law) are responsible for preparing the
Trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United
Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees 10 prepare financial staiements for each financial . Under company law, the Trustees musr not
approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company
and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these
financial statements, the Trustees are required to:
select suirable accounting policies and then apply them consistenrly;
obser+4e the methods and principles of the Charities SORP (FRS 102);
make judgments and accounting estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed
and explained in the financial statements;
prepare the financial SEarements on the going concern basis unless ir is inappropriare ro presume Ihat the Company will coniinue
in business.
The Trustees are responsible for keeping adequare accounring records rhar are sufficient ro show and explain Ihe Company's
transactions and disclose with reasonable accuracy aE any time rhe financial position of che Company and enable them to ensure
that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the
Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
DISCLOSURE OF INFORMATION TOAUDITORS
Each of the persons who are Trustees at the time when this Trustees, report is approved has confirmed that:
So far as thar Trusree is aware, there is no relevant audit information of which rhe charity's audirors are unaware, and
that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit
information and to establish that the charity's auditors are aware of that information.
AUDITORS
The auditors, MWS, have indicated their willingness ro continue in office. The designated Trustees will propose a motion
reappointing the auditors at a meeting of the Trustees.
Approved by order of Ihe members of the board of Trustees on l May 2025 and signed on rheir behalf by:
L Nbms
Geraldine Norris DL
Chair of Trustees
12

HEARTWOOD HOUSE
(A company limited by guarantee)
Opinion
We have audited the financial siarements of Heartwood House (the 'charitable company,) for the year ended 31 August 2024
which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes,
including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation
is applicable law and United Kingdom Accounting Standards, including Financial Reporting Siandard 102 'The Financial Reporting
Siandard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepied Accounting Practice).
In our opinion the financial statements:
give a true and fair view of the state of the charitable company's affairs as at 31 August 2024 and of its incoming resources and
application of resources, including irs income and expendirure for Ihe year then ended;
have been properly prepared in accordance with Uniced Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our
responsibilities under those standards are furiher described in the Auditors, responsibilities for the audit of the financial
siatements secrion of our reporr. We are independent of Ihe charitable company in accordance with the erhical requirements that
are relevant Eo our audii of the financial statements in Ehe United Kingdom, including the Financial ReporEing Council's Ethical
Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit
evidence we have obtained is sufFicient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the
preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that,
individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a
period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant secEions of
this report.
13

HEARTWOOD HOUSE
(A company limited by guarantee)
Other information
The other information comprises the information included in the Annual report other than the financial statements and our
Auditors, report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion
on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our
report, we do noi express any form of assurance conclusion thereon. Our responsibiliry is 10 read the oiher informaiion and, in
doing so, consider whether the other information is materially inconsisrent with the financial starements or our knowledge
obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or
apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial
statements themselves. If, based on the work we have performed, we conclude that there is a material misstaiemenr of this other
information, we are required 10 report rhat fact.
We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008
requires us to report to you if, in our opinion:
the information given in Ihe Trustees, report is inconsistent in any material respecr with che financial siarements; or
sufficient accounting records have not been kept; or
the financial statements are not in agreement with the accounting records and returns; or
we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Trusiees, responsibilities siatement, the Trusiees (who are also the direcrors of the charitable
company for Ihe purposes of company law) are responsible for rhe preparation of rhe financial sraiements and for being sarisfied
thaE they give a crue and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of
financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charitable company's abiliiy ro continue as a
going concern, disclosin& as applicable, matters related to going concern and using the going concern basis of accounring unless
the Trustees either intend to liquidate the chariiable company or to cease operations, or have no realistic alternative but to do so.
Auditors, responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant
regulations made or having effect thereunder.
Our oblectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an Auditors, report that includes our opinion. Reasonable assurance is a
high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material
misstatemeni when it exisrs. Missiatements can arise from fraud or error and are considered maierial if, individually or in the
aggregate, they could reasonably be expected to influence Ihe economic decisions of users taken on the basis of these financial
statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our
responsibiliries, ourlined above, to deteci material missrarements in respeci of irregulariiies, including fraud. The exienr to which
our procedures are capable of detecting irregularities, including fraud is detailed below:
We obtained an understanding of the legal and regulatory frameworks applicable to the Company and the industry in which it
operates. We determined that the following laws and regulations were most significant: the Companies Act 2006, Safeguarding
(including statutory guidance Keeping Children Safe in Education), employment law and public secior pay and condiiions. We
enquired of management to obtain an understanding of how rhe Charity is complying with Ehose legal and regulatory frameworks
and whether they had any knowledge of actual or suspected fraud. We corroborated the results of our enquiries through our
14

HEARTWOOD HOUSE
(A company limited by guarantee)
review of the board minures for Ehe year. We did not ideniify any mailers relating 10 maierial non compliance with laws and
regulation or matters in relation to fraud; as non-material breaches would not normally be communicated within this reporr.
We obtained an understanding of how the Company is complying with those legal and regulatory frameworks by making inquiries
of management and those responsible for legal and compliance procedures;
In assessing the potential risks of material misstatement, we obtained an understanding of the Company's operations, including its
objectives and strategies to understand the expected financial statement disclosures and business risks that may result in risks of
material misstatement;
In assessing the appropriateness of the collective competence and capabilities of the engagement team, the engagement partner
considered the engagement team's:
understanding of, and practical experience with, audit engagements of a similar nature and complexity through appropriate training
and participaiion rhe specialisr skills required and knowledge of the industry in which Ihe clieni operates.
We assessed the susceptibility of the Company's financial statements to material misstatement, including how
fraud might occur. Audit procedures performed by the engagement team included:
assessing the design effectiveness of controls management has in place to prevent and detect fraud;
challenging assumptions and judgements made by managemenc in its significant accounting estimates;
identifying and testing journal entries, in particular manual journal entries made at year end for financial statement preparation;
and
assessing the extent of compliance with the relevant laws and regulations as part of our procedures on the related financial
srarement item.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a
material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance
with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely
ro become aware of insrances of noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather rhan
error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial siatements is located on the Financial Reporting Council's
websiie at: www.frc.org.uk/auditorsresponsibilities. This descripiion forms parr of our Audiiors, report.
15

Docusign Envelope ID: FA8BED56-29DE-43EE-9B5F-E418C76AF064 



Jonathan Gorridge FCA MWS Chartered Accountants Registered Auditors 4 Chester Court, Chester Hall Lane Basildon, Essex SS14 3WR 

24 May 2025 



HEARTWOOD HOUSE
(A company limited by guarantee)
STATEMENT OF FINANCIALACTIVITIES
(INCORPORATING INCOME AND
EXPENDITURE ACCOUNT)
FOR THEYEAR ENDED 31 AUGUST2024
Restricted
funds
2024
Unrestricted
fvnds
2024
Total
funds
2024
Total
funds
2023
Note
Income from:
Donations and legacies
14,212
60.715
74,927
71.301
Charitable activities
2.436.816
7.868
2.444.684
2,090,897
Investments
861
861
1.294
Total income
Expenditure on:
Charitable activities
2.639.443
2.639,443
1,902,734
Total expenditure
Net (expenditure)fincome
(188.415)
69.444
{118.971)
260,758
Transfers between funds
15
69.443
(69,443)
Net movement in funds
Reconciliation of funds:
Total funds brought forward
1.222.257
1.222.257
961,499
Net movement in funds
{118.972)
(118,971)
260,758
Total funds carried forward
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 19 to 34 form part of these financial statements.
17

HEARTWOOD HOUSE
(A company limited by guarantee)
BALANCE SHEET
ASAT AUGUST 2024
2024
2023
Note
Fixed assets
Tangible assets
11
2,310,335
2.297,715
2.310.335
2,297,715
Current assets
Debtors
12
79.015
525,274
Cash at bank and in hand
250.736
283.182
329.751
808.456
Creditors: amounts falling due within one year
13
(620.653)
(939.951)
Net current liabilities
(290,902)
(131,495)
Total assets less current liabilities
Creditors: amounts falling due after more than
one year
2.019.433
2.166.220
14
(916.148)
(943,963)
Net assets excluding pension asset
1.103.285
1,222.257
Total net assets
Charity funds
Restricted funds
15
1.103.285
1,222.257
Unrestricted funds
15
Total funds
The entity was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the entity to obtoin an audit for the year in question in accordance with section 476 of the Companies Act
2006.
However. an audit is required in accordance with section 144 of the Charities Act 2011.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and
preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies
regime.
The financial statements were approved and authorised for issue by the Trustees on 01 May 2025 and signed on their behalf by:
"WL Nbms
Geraldine Norris DL
Chair of Trustees
The notes on pages 19 to 34 form part of these financial statements.
18

HEARTWOOD HOUSE
(A company limited by guarantee)
STATEMENTOF CASH FLOWS
FOR THEYEAR ENDED 31 AUGUST2024
2024
2023
Cash flows from operating activities
Net cash used in operating activities
29,403 1.849.139
Cash flows from investing activities
Purchase of tangible fixed assets
(83,885) (1,342,300)
Net cash used in investing activities
(83.885) (1.342,300)
Cash flows from financing activities
Cash inflows from new borrowing
(966,000)
Repayments of borrowing
83.285
Loan interest
(61.248)
Net cash provided by/(used in) financing activities
22.037 (966.000)
Change in cash and cash equivalents in the year
(32,445) (459.161)
Cash and cash equivalents at the beginning of the year
283.181
742,342
Cash and cash equivalents (rt the end of the year
The notes on pages 19 to 34 fonn part of these financial statements
19

HEARTWOOD HOUSE
(A company limited by guarantee)
General Information
Heartwood House is a company limited by guarantee and incorporated in England. It is also a registered charity, number1109947.
Its registered address is 13 Kenton Road, Harrow, Middlesex, HAI 2BW.
Accounting policies
2.1 Basis of preparation of financial statements
The financial statements 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 rhe UK and Republic of Ireland (FRS 102) (efFective l January 2019), the Financial Reporring
Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Heartwood House meets the definiiion of a public benefir entity under FRS 102. Assers and liabiliiies are inirially recognised at
historical cost or transaction value unless otherwise stated in the relevant accounting policy.
2.2 Going concem
The charity had a deficit on its available restricted funds at 31 August 2023 of £109,457. After making appropriate en9uiries the
Trusrees have a reasonable expectarion rhat Ihe Company has adequare resources ro continue in operational exisrence for the
foreseeable future. The Company has guaranteed income from Local Authorities for the provision of services and has a full
complement of students for Ehe 2023124 academic year and is currently 90% full for che 2024125 academic year. TheTrustees have
also considered Cash Flow Forecasis for Ihe current and next financial year. For this reason, rhey coniinue ro adopt Ihe going
concern basis in preparing the financial statements. Further details regarding the adoption of the going concern masis can be
found in Ihe accounting policies.
2.3 Income
All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the
amount of income receivable can be measured reliably.
Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific
purposes bur not expended during rhe period is shown in the relevant funds on Ihe Balance sheei. Where income is received in
advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where eniiilement
occurs before income is received, the income is accrued.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on
com pletion of the service.
2.4 Expenditure
Expenditure is recognised once Ihere is a legal or constructive obligation to Iransfer economic benefir to a third party, ir is
probable that a transfer of economic benefits will be required in seitlement and the amount of the obligation can be measured
reliably. Expenditure is classified by aciivity. The costs of each acrivity are made up of Ehe Eotal of direct costs and shared costs,
including support cosrs involved in undertaking each acriviry. Direci costs atrriburable ro a single acrivity are allocated direcrly to
that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single
acEivity are apportioned between those activities on a basis consistent with the use of resources. Central srafF costs are allocated
on the basis of time spent, and depreciation charges allocated on the portion of the asset's use.
Expenditure on charitable activities is incurred on direcrly undertaking the activities which further the Company's objectives, as
well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
2.5 Government grants
Government grants relating to tangible fixed assets are treated as deferred income and released to the Statement of financial
actiVlEies over the expected useful lives of Ihe assets concerned. Other grants are credited to the Siaiement of financial acrivities
as the related expenditure is incurred.
20

HEARTWOOD HOUSE
(A company limited by guarantee)
2.6 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Company; this is
normally upon notificarion of the interest paid or payable by the institution with whom Ihe funds are deposited.
2.7 Tangible fixed assets and depreciation
Tangible fixed assets costing £3,000 or more are capitalised and recognised when future economic benefiES are probable and the
cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised ar cost. After recognirion, under the cost model, tangible fixed assets are measured at
cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into
its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives,
using che straight-line meihod.
Depreciation is provided on the following basis:
Freehold property
2 % straight line
Fixtures and fittings
25 % straight line
2.8 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the
amouni prepaid net of any trade discounts due.
2.9 Cash at bank and in hand
Cash at bank and in hand includes cash and shorr-rerm highly liquid investmenrs wilh a short maturity of three monEhs or less from
rhe dare of acquisition or opening of the deposit or similar account.
2.10 Liabilities and provisions
Liabiliiies are recognised when there is an obligation ar rhe Balance sheer dare as a resuli of a past event, it is probable rhat a
transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabiliiies are recognised ai Ihe amount thar Ihe Company anricipates ir will pay ro serrle the debi or the amounr ir has received as
advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value
of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that
reflects the risks specific to the liability. The unwinding of the discount is recognised in the Staiement of financial activiiies as a
finance cost.
2.11 Financial instruments
The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial
instruments are initially recognised at transaction value and subsequently measured ar their settlement value with Ehe exception of
bank loans which are subsequently measured ai amorrised cost using the effective inierest method.
2.12 Pensions
The Company operates a defined contribution pension scheme and Ehe pension charge represenis Ehe amounts payable by the
Company to the fund in respect of the year.
2.13 Fund accounting
General funds are unrestricred funds which are available for use ai rhe discretion of Ihe Trustees in furtherance of the general
objectives of the Company 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 Company for particular purposes. The costs of raising and administering such funds are charged against the specific
fund. The aim and use of each resiricted fund is set out in Ihe notes ro the financial staiemenis.
Receipcs from local authoricies are Ireated as restricted funds as Ihey are paid in relation to specific siudents, alrhough Ehey are
non-refundable in the event a siudent leaves the school. These receipts are provided on the basis that rhey are available to fund
any activities in furtherance of the charity's objects.
Investment income, gains and losses are allocated to the appropriate fund.
21

HEARTWOOD HOUSE
(A company limited by guarantee)
Income from donations and legacies
Restricted
funds
2024
Unrestricted
funds
2024
Total
funds
2024
Donations
60,715
60,715
Government grants
14.212
14.212
Total 2024
Restricted
funds
2023
Unrestricted
funds
2023
Total
funds
2023
Donations
28.050
33,923
61.973
Government grants
9,329
9,329
Total 2023
Income from charitable activities
Restricted
funds
2024
Unrestricted
funds
2024
Total
funds
2024
Income from charitable activities
Restricted
funds
2023
Unrestricted
funds
2023
Total
funds
2023
Income from charitable activities
22

HEARTWOOD HOUSE
(A company limited by guarantee)
Investment income
Unrestricted
funds
2024
Total
funds
2024
Investment income
Unrestricted
funds
2023
Total
funds
2023
Investment income
Analysis of expenditure on charitable activities
Summary by fund type
Restricted
funds
2024
Total
2024
Education
Unrestricted
funds
2023
Restricted funds
2023
Total
2023
Education
23

HEARTWOOD HOUSE
(A company limited by guarantee)
Analysis of expenditure by activities
Activities
undertaken
directly
2024
Support
costs
2024
Total
funds
2024
Educcrtion
Activities
undertoken
directly
2023
Support
costs
Total
funds
2023
2023
Educcrtion
Analysis of direct costs
Total
funds
2024
Education
2024
Staff costs
1.249,323
1,249,323
Direct educational costs
1,013.293
1.013.293
Training and recruitment
32.150
32,150
Total 2024
Total
funds
2023
Education
2023
Staff costs
926,594
926,594
Direct educational costs
663,396
663,396
Training and recruitment
22,655
22,655
Total 2023
24

HEARTWOOD HOUSE
(A company limited by guarantee)
Analysis of expenditure by activities (continued)
Analysis of support costs
Education
2024
Total funds
2024
Staff costs
53,465
53,465
Depreciation
69,091
69,091
Bank charges
60
60
Accountancy
7,990
7,990
Repairs and maintenance
54,902
54,902
Utilities
13,999
13,999
Legal and professional fees
19,134
19.134
Insurance
3,384
3,384
Rent and rates
46,996
46.996
Bookkeeping
16,801
16,801
Loan interest
58,855
58.855
Total 2024
During the year the charity incurred govemance costs of £7.990 (2023: £7.260).
Education
2023
Total funds
2023
Staff costs
45,844
45,844
Depreciation
18.498
18,498
Bank charges
1,472
1,472
Sundry expenses
714
714
Accountancy
7,260
7,260
Repairs and maintenance
15.452
15,452
Utilities
10,860
10,860
Legol and professional fees
99.530
99,530
Insurance
14,079
14,079
Rent and rates
60.787
60.787
Bookkeeping
13,200
13.200
Loon interest
2.393
2,393
Total 2023
25

HEARTWOOD HOUSE
(A company limited by guarantee)
Auditors renumeration
2024
2023
Fees payable to the Company's auditor for the audit of the Company's annual
accounts
StafF costs
2024
2023
Wages and salaries
1,031,018
875.116
Social security costs
95.223
78,242
Contribution to defined contribution pension schemes
176,547
19.080
One payment of £1,232 was made for redundancy during the year and has been accounted for in
full.
The average number of persons employed by the Company during the year was as follows:
2024
2023
No.
Management
Teaching and education
28
26
Admin and premises
The number of employees whose employee benefits (excluding employer pension costs) exceeded
£60,000 was:
2024
2023
In the band £60,001- £70,000
Remuneration paid to Key Management Personnel due the year amounted to £226.522 (2023:
£176,716) including £197,508 {2023: £172.677) of gross pay and £29,044 (2023: £4,039) of
employer's pension contributions.
26

HEARTWOOD HOUSE
(A company limited by guarantee)
10.
Trustees, renumeration and expenses
During the year, no Trustees received any remuneration or other benefits (2023- £NIL-).
During the year ended 31 August 2024. expenses totalling £79 were reimbursed or paid directly to 2 Trustees (2023 £11 to 1
Trustee). Expenses related to travel and postage.
11.
Tangible fixed assets
Freehold
property
Fixtures and
fittings
Total
Cost or valuation
At I September 2023
2.291,948
50,535
2.342,483
Additions
83.885
83.885
At 31 August 2024
2.291,948
134.420
2.426.368
Depreciation
At I September 2023
14.000
30.768
44,768
Charge for the year
45.839
25.426
71.265
At 31 August 2024
59,839
56.194
116.033
Net book value
At 31 August 2024
At 31 August 2023
12.
Debtors
2024
2023
Due within one year
Trade debtors
60.544
468,292
Other debtors
170
170
Prepayments and accrued income
18.301
56,812
27

HEARTWOOD HOUSE
(A company limited by guarantee)
13.
Creditors: Amounts falling due within one year
2024
2023
Other loans
27,815
22,037
Trade creditors
21.266
20,221
Other toxation and social security
24.037
21.919
Pension creditor
18.733
4,153
Other creditors
564
1.360
Accruals and deferred income
528.238
870,261
2024
2023
Deferred income at I September 2023
801,316
597,781
Resources deferred during the year
(801.316)
801,316
Amounts released from previous periods
519,948
(597.781)
Deferred income comprises fees raised in advance of entitlement
14.
Creditors: Amounts falling due after more than one year
2024
2023
Bank loans
Of the above loans, £522.000 is secured upon the Kenton Road proprty
28

HEARTWOOD HOUSE
(A company limited by guarantee)
15.
Statement of funds
Statement of funds - current year
Balance at I
September
2023
Income
Expenditure
Transfers tn/
out
Balance at
31 August
2024
Unrestricted funds
Generol Funds - all funds
Restrirted funds
Fee income
(109.459)
1436.816
(2.492.719)
(97.727)
(263.089)
Pupil premium and gov grants
14.212
(14.212)
Property and other assets
2,297.716
(71.264)
83.885
2.310.337
Property loans
(966,000)
(61,248)
83,285
(943,963)
1,222.257
1451.028
(2,639.443)
69.443
1,103,285
Total of funds
Restricted fee income fund is for income raised for the purposes of education in line with the charitable objects.
Property and other assets relates to assets held by the charity.
Property loans are the value of long term loans to fund the property purchases.
Statement of funds - prior year
Balance at
1 September
2022
Income
Expenditure
Transfers in/
out
Balance at
31 August
2023
Unrestricted funds
General Funds - all funds
Balonce ot
I September
2022
Income
Expenditure
Tronsfers in/
out
Balance at
31 Au9USt
2023
Restricted funds
Restricted donations
28,050
(28,050)
Fee income
957,589
2,090,086
(1,864,642)
(1,292,491)
(109,458)
Pupil premium and gov grants
9,329
(9,329)
Property and other assets
2,297.715
2,297,715
Property loans
(966.000)
(966.000)
957,589
2,127,465
(1.902,021)
39,224
1,222.257
Total of funds
29

HEARTWOOD HOUSE
(A company limited by guarantee)
16.
Income from charitable activities
Summary of funds - current year
Balance at I
September
2023
Income
Expenditure
Transfers in/ Balance at 31
out
August 2024
General funds
69.443
(69.443)
Restricted f unds
1,222,257
2,451,028
(2,639,443)
69,443
1,103,285
Summary of funds - prior year
Balance at
I September
2022
Income
Expenditure
Transfers in/
out
Balance at
31 August
2023
General funds
3,910
36,027
(713)
(39,224)
Restricted f unds
957.589
2.127,465
(1,902.021)
39.224
1.222,257
17.
Transfers between funds
£83,885 was transferred from restricted fee income funds to the restricted asset fvnd representing purchases of asset during the year.
£83.285 was transferred from the restricted fee income fund to the restricted loan fund representing repayment of loans during the
year.
£69,443 was transferred from the unrestricted fund to the restricted fee income fund to cover costs ultimately covered by this fvnd.
30

HEARTWOOD HOUSE
(A company limited by guarantee)
18.
Analysis of net assets between funds
Analysis of net assets between funds ~ current period
Restrirted
funds
2024
Total
funds
2024
Tangible fixed assets
2.310.335
2,310,335
Current assets
329.751
329.751
Creditors due within one year
(620,653)
(620.653)
Creditors due in more than one year
(916, 148)
(916.148)
Total
Analysis of net assets between funds - prior period
Restricted
funds
2023
Total
fvnds
2023
Tangible fixed assets
2,297.715
2,297,715
Current assets
808.455
808,455
Creditors due within one year
(939,951)
(939,951)
Creditors due in more than one year
(943,963)
(943,963)
Other
Total
19.
Reconciliation of net movement in funds to net cash flow from operating activities
2024
2023
Net incomelexpenditure for the period (as per Statement of Financial Activities)
(118,971)
260,758
Adjustments for
Depreciation charges
71,264
18,497
Decrease in debtors
446.260
323,118
Increase/(decrease) in creditors
{347.113)
1.246,766
Loan repayments
(83.285)
Loan interest
61,248
Net cash provided by operating activities
31

HEARTWOOD HOUSE
(A company limited by guarantee)
20.
Analysis of cash and cash equivalents
2024
2023
Cash in hand
250.736
283,181
Total cash and cash equivalents
21.
Analysis of changes in net debt
Atl
September
2023
Other
non-cash
changes
At31
August 2024
Cash flows
Cash at bank and in hond
283.182
(32.446)
250,736
Debt due within l year
(26,190)
(20.357)
{46,547)
Debt due after l year
(943,963)
61,248
(33,433)
(916,148)
22.
Pension commitments
The group operates a defined contribution pension scheme. The assers of the scheme are held separarely from Ihose of the group
in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and
amounted to £176,546 (2023: £19,080. £18,732 (2023: £4,153) were payable to the fund at the balance sheet date and are included
in cred itors.
23.
Operating lease Commitments
At 31 August 2024 the Company had commitments to make future minimum lease
payments under non-cancellable operating leases as follows:
2024
2023
Not later than l year
894
48,370
Later than l year and not later than 5 years
2.529
43,815
The following lease payments have been recognised as an expense in the Statement of
financial activities:
2024
2023
Operating lease rentals
27.395
14,814
32

HEARTWOOD HOUSE
(A company limited by guarantee)
24.
Members, Liability
Each member of the charitable company undertakes to contribute to che assets of the company in the evenr of it being wound up
while he/she is a member, or within one year after helshe ceases to be a member, such amount as may be required, not exceeding
£10 for the debts and liabilities contracted before he/she ceases to be a member.
Related party transactions
The Company has not entered into any related parry transaciion during the year, nor are there any outstanding balances owing
between related parties and the Company at 31 August 2024.
33