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2023-09-30-accounts

REGISTERED COMPANY NUMBER: 05321038 (England and Wales) REGISTERED CHARITY NUMBER: 1110927

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

FOR

FAVOUR FOUNDATION LTD.

FAVOUR FOUNDATION LTD.

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

Page
Report of the Trustees 1 to 5
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 to 14

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 September 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Page 1

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

OBJECTIVES AND ACTIVITIES

Objectives and Aims

The objects of the Charity are to advance for the benefit of the community of Grimsby/ Cleethorpes and the surrounding area all such purposes as are charitable in accordance with the laws of England from time to time including but not limited to, the relief of all people in that area who by reason of their disability, age, infirmity, sickness, social or economic circumstances or caring responsibilities have a need of health, social care or other related community services or recreational facilities by the provision of information, advice, support, education and training and other services and facilities calculated to relieve those needs.

Your Place has been serving the people of East Marsh (an area identified as being in the top 2% most deprived areas in the country) for the past 23 years. It is a very busy community hub and a 'Friend in the Neighbourhood'. We are open Monday - Friday and, in partnership with local people provide a very wide range of creative, educational, social activities, horticultural activities and volunteering opportunities that are open to all.

Your place has a 'family' feel. It is a home from home and a bolt hole away from the pressures and difficulties that the people of our area have to cope with on a day-to-day basis. We do not have 'clients' we have 'friends' and our volunteer photos (which we proudly have on display) are called 'Family Photos'.

The need for our work:

The many challenges in our community include a very high proportion of unemployment, a high and rising drug culture, a rising crime level (often alcohol related), a high level of domestic violence and a very high level of teenage pregnancies. A person living in East Marsh has poorer health and is likely to live a shorter life than the average person in the UK. They are less likely to be employed and are more likely to suffer from depression, self-esteem problems and mental illness. If they are not the victim of crime, they will without doubt be subject to the fear of crime - which in our area is known by the police as being disproportionately high. They will often have low aspirations - not only for themselves but also for their children, who will be less likely to achieve either in school or in their work life. In the East Marsh almost 40% of adults are economically inactive. Lack of confidence, social isolation, learning disabilities, debt, drug and alcohol dependency are all too common.

Our weekly services and activities:

With the help of many local people who volunteer at Your Place we have developed a very wide range of services and activities, which are open to all, regardless of ability, confidence, situation, and motivation. People who begin by attending one activity often access other activities we offer and become part of the Your Place 'community'.

Our activities include:

We have also transformed a 1.5 acre piece of neglected and vandalised land which was a local eye-sore (and home to vermin) into a beautiful community area, and an extensive horticultural facility with a large polytunnel and vegetable garden. This work has developed greatly in recent years and with the help of a brilliant team of local volunteers, led by our dedicated Garden Manager provides plants and advice for local people. We have developed a large plant pot recycling scheme, a composting scheme and have been able to visit many other organisations to give horticultural talks and demonstrations. We are very proud of our environmental credentials: we grow our plants and vegetables organically from donated/collected seeds and from cuttings, use 100% peat free compost, never use any chemicals in the control of garden pests, use only recycled plant pots and seed trays, compost our garden waste (which we use in our garden as a mulch to eliminate the need for watering our flower beds/vegetable garden, recycle garden tools and equipment, whenever possible use recycled/sustainable material in building projects).

THE PEOPLE WE SERVE

The people who come to Your Place include those who would otherwise be socially isolated, have mental health problems/depression, low confidence/self-esteem; are long-term unemployed, ex-offenders; are caught up in drug/alcohol addiction; have physical problems including poor nutrition/obesity/lack of exercise, financial/benefit problems, poor literacy and numeracy skills or learning difficulties; people who feel they do not 'fit in' or feel excluded or on the 'fringe' of society.

We also work with local schools, who bring their children to do environmental/ gardening studies in our beautiful garden.

Page 2

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

ACHIEVEMENT AND PERFORMANCE

Achievements and Performance

Over the years we have become a trusted 'Friend in the Neighbourhood' and a 'Hub' of information and community activity. We have worked very hard to create a positive and non-judgemental culture, where all are treated with respect and compassion, and where people are 'listened to and valued'. By far, our main successes are the people whose lives have been changed through our work. It has been our privilege to work with people who have overcome things like drug/alcohol problems, mental health problems, low self-esteem or depression. It is a great privilege to see such people moving on and turning their lives around.

FINANCIAL REVIEW

Funders

This year Your Place has been generously funded by: The Henry Smith Charity, The National Lottery, Voluntary Action North East Lincolnshire, Lincolnshire Com and Orsted.

Reserves policy

The Trustees have examined the Charity's requirement for reserves in light of the main risks to the organisation. It has established a policy to keep this under review and ensure that the necessary steps can be taken when appropriate. The incoming resources for the year amounted to £101,781 (2022: £96,848) and the outgoing resources for the year amounted to £103,628 (2022: £90,376) resulting in a deficit of £1,847 (2022: surplus £6,472).

FUTURE PLANS

We plan to further develop the reach and effectiveness of Favour Foundation Ltd. by:

Financial sustainability/fundraising: We are very grateful to all our funders, who continue to support us in our mission to work with and for the people of the East Marsh. We are able to raise a small amount of money through the sale of plants (which are grown by our wonderful team of volunteers, under the supervision of our Garden Manager) and are committed to seeking the funding necessary to continue our work well into the future. This funding comes from National and Local funders who have a heart for the work we do.

Our staff, volunteers and beneficiaries : We have six committed members of staff and fifty three amazing volunteers, who make Your Place the success that it is, and have 1,174 beneficiaries who attend our activities, form our Gardening Community of Interest or attend our spe cial events.

Future activities : As has been our practice in the past, we will continue to develop and adapt our activities in partnership with the people w ho use the centre.

Existing/potential defined benefit pension liability : there are no such implications for us.

Reserves policy: While it is possible that we might have to use some of our reserves we feel it is unlikely.

FAVOUR FOUNDATION LIMITED- GRIMSBY NEIGHBOURHOOD CENTRE

Our conferencing and training facilities continue to be a popular facility for charitable organisations, voluntary groups and professional bodies. We have organisations and groups who continue to use the facility on a regular basis, and we continue to receive positive feedback from users of the facilities.

Staff:

Favour Foundation Limited does not employ staff to run Grimsby Neighbourhood Centre. As FFL is a project of Grimsby Neighbourhood Church the Centre is run by volunteers from the Church.

Page 3

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The organisation is a charitable company limited by guarantee, incorporated on 23 December, 2004 and charitable status for the company was granted with effect from 18 August, 2005. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up, all available funds shall go to a charitable cause.

Recruitment and appointment of new trustees

The directors of the company are also charity trustees for the purposes of charity law and under the company's Articles are known as directors. The directors appoint new trustees and recruit from people who have an interest in the objects of the charity.

Risk management

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

05321038 (England and Wales)

Registered Charity number

1110927

Registered office

289a Weelsby Street GRIMSBY DN32 7JW

Trustees

Miss. S. J. Boyle F. Blakeley (resigned 18.10.22) Mrs. P. Blakeley (resigned 18.10.22) F. Murphy (resigned 15.3.24) T Alexandra W Pendleton (appointed 24.10.23) J Roberts (appointed 24.10.23) L Smith

Independent Examiner

H. J. Spauls F.C.A 12 Abbey Road GRIMSBY DN32 0HL

Bankers

Santander Bridle Road BOOTLE GIR 0AA

Page 4

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

PUBLIC BENEFIT

We have referred to the guidance contained in the Charity Commission's general guidance on public benefit and complied with section 17(5) of the 2011 Charities act when reviewing our aims and objectives and in planning our future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set.

The public have benefitted from Favour Foundation Limited in many ways including:

Your Place provides: a community-based centre offering a variety of services, activities, and groups, an 'Information and Referral' service, educational and vocational activities, volunteer opportunities and community gardens.

Grimsby Neighbourhood Centre provides: a welcoming and well-equipped meeting and training facility.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of Favour Foundation Ltd. for the purposes of company law) are responsible for preparing the Report of the Trustees 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 to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by order of the board of trustees on 6 June 2024 and signed on its behalf by:

Miss. S. J. Boyle - Trustee

Page 5

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

Independent examiner's report to the trustees of Favour Foundation Ltd. ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 September 2023.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or

  2. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

  3. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Helen Spauls

H. J. Spauls F.C.A 12 Abbey Road GRIMSBY DN32 0HL

6 June 2024

Page 6

FAVOUR FOUNDATION LTD.

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2023

Unrestricted
funds
Notes
£
INCOME AND ENDOWMENTS FROM
Charitable activities
Core
7,538
EXPENDITURE ON
Charitable activities
Core
11,956
NET INCOME/(EXPENDITURE)
(4,418)
Transfers between funds
8
3,300
Net movement in funds
(1,118)
RECONCILIATION OF FUNDS
Total funds brought forward
19,068
TOTAL FUNDS CARRIED FORWARD
17,950		 Restricted
funds
£
94,243
91,672
2,571
(3,300)
(729)
34,109
33,380		 30.9.23
Total
funds
£
101,781
103,628
(1,847)
-
(1,847)
53,177
51,330		 30.9.22
Total
funds
£
96,848
90,376
6,472
-
6,472
46,705
53,177

The notes form part of these financial statements

Page 7

FAVOUR FOUNDATION LTD. (REGISTERED NUMBER: 05321038)

BALANCE SHEET

30 SEPTEMBER 2023

30.9.23 30.9.22
Unrestricted Restricted Total Total
funds funds funds funds
Notes £ £ £ £
FIXED ASSETS
Tangible assets 6 3,210 - 3,210 -
CURRENT ASSETS
Cash at bank and in hand 18,329 33,380 51,709 55,688
CREDITORS
Amounts falling due within one year 7 (3,589) - (3,589) (2,511)
NET CURRENT ASSETS 14,740 33,380 48,120 53,177
TOTAL ASSETS LESS CURRENT LIABILITIES 17,950 33,380 51,330 53,177
NET ASSETS 17,950 33,380 51,330 53,177
FUNDS 8
Unrestricted funds 17,950 19,068
Restricted funds 33,380 34,109
TOTAL FUNDS 51,330 53,177

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2023 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 6 June 2024 and were signed on its behalf by:

S. J. Boyle - Trustee

The notes form part of these financial statements

Page 8

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102 updated by bulletin 1) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 33% Straight Line

Fixed assets are stated at cost less accumulated depreciation. The cost of minor additions under £200 are not capitalised.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Designated funds have been allocated by the Trustees for specific purposes. The funds have arisen due to the use of volunteers instead of salaried staff to carry out projects which were supported by restricted funding. Each fund that has been designated has been agreed with the original funder.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

30.9.23 30.9.22
£ £
Independent examiners fee 1,562 1,257
Depreciation - owned assets 90 -

Page 9

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

3. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 September 2023 nor for the year ended 30 September 2022.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 September 2023 nor for the year ended 30 September 2022.

4. STAFF COSTS

The average number of employees during the year was 6 (2022 - 5).

There are no employees with emoluments in excess of £60,000 per annum.

5.

COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted
Restricted
funds
funds
£
£
INCOME AND ENDOWMENTS FROM
Charitable activities
Core
10,373
86,475
EXPENDITURE ON
Charitable activities
Core
11,980
78,396
NET INCOME/(EXPENDITURE)
(1,607)
8,079
RECONCILIATION OF FUNDS
Total funds brought forward
20,675
26,030
TOTAL FUNDS CARRIED FORWARD
19,068
34,109		 Total
funds
£
96,848
90,376
6,472
46,705
53,177

Page 10

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

6. TANGIBLE FIXED ASSETS

6. TANGIBLE FIXED ASSETS
Fixtures
and
fittings
£
COST
At 1 October 2022 10,848
Additions 3,300
At 30 September 2023 14,148
DEPRECIATION
At 1 October 2022 10,848
Charge for year 90
At 30 September 2023 10,938
NET BOOK VALUE
At 30 September 2023 3,210
At 30 September 2022 -
7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
30.9.23 30.9.22
£ £
Tax 1,896 1,420
Other creditors 1,693 1,091
3,589 2,511
8. MOVEMENT IN FUNDS
Net Transfers
At movement between At
1.10.22 in funds funds 30.9.23
£ £ £ £
Unrestricted funds
General fund 19,068 (4,418) 3,300 17,950
Restricted funds
Other 3,494 4,172 (3,300) 4,366
Grants for salaries 10,876 (251) - 10,625
Grants for garden expenditure 18,185 (817) - 17,368
Grants for your place 421 (324) - 97
Grants for carers events 1,133 (209) - 924
34,109 2,571 (3,300) 33,380
TOTAL FUNDS 53,177 (1,847) - 51,330

Page 11

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

8. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Other
Grants for salaries
Grants for garden expenditure
Grants for your place
Grants for carers events
TOTAL FUNDS
Comparatives for movement in funds
Unrestricted funds
General fund
Restricted funds
Other
Grants for salaries
Grants for garden expenditure
Grants for your place
Grants for carers events
TOTAL FUNDS		 Incoming
resources
£
7,538
10,802
69,203
14,238
-
-
94,243
101,781
At
1.10.21
£
20,675
748
11,605
11,857
320
1,500
26,030
46,705		 Resources
Movement
expended
in funds
£
£
(11,956)
(4,418)
(6,630)
4,172
(69,454)
(251)
(15,055)
(817)
(324)
(324)
(209)
(209)
(91,672)
2,571
(103,628)
(1,847)
Net
movement
At
in funds
30.9.22
£
£
(1,607)
19,068
2,746
3,494
(729)
10,876
6,328
18,185
101
421
(367)
1,133
8,079
34,109
6,472
53,177

Page 12

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

8. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 10,373 (11,980) (1,607)
Restricted funds
Other 7,205 (4,459) 2,746
Grants for salaries 65,655 (66,384) (729)
Grants for garden expenditure 13,514 (7,186) 6,328
Grants for your place 101 - 101
Grants for carers events - (367) (367)
86,475 (78,396) 8,079
TOTAL FUNDS 96,848 (90,376) 6,472

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Restricted funds
Other
Grants for salaries
Grants for garden expenditure
Grants for your place
Grants for carers events
TOTAL FUNDS		 Net
Transfers
At
movement
between
At
1.10.21
in funds
funds
30.9.23
£
£
£
£
20,675
(6,025)
3,300
17,950
748
6,918
(3,300)
4,366
11,605
(980)
-
10,625
11,857
5,511
-
17,368
320
(223)
-
97
1,500
(576)
-
924
26,030
10,650
(3,300)
33,380
46,705
4,625
-
51,330		 Net
Transfers
At
movement
between
At
1.10.21
in funds
funds
30.9.23
£
£
£
£
20,675
(6,025)
3,300
17,950
748
6,918
(3,300)
4,366
11,605
(980)
-
10,625
11,857
5,511
-
17,368
320
(223)
-
97
1,500
(576)
-
924
26,030
10,650
(3,300)
33,380
46,705
4,625
-
51,330
33,380
51,330

Page 13

FAVOUR FOUNDATION LTD.

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

8. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Other
Grants for salaries
Grants for garden expenditure
Grants for your place
Grants for carers events
TOTAL FUNDS		 Incoming
resources
£
17,911
18,007
134,858
27,752
101
-
180,718
198,629		 Resources
Movement
expended
in funds
£
£
(23,936)
(6,025)
(11,089)
6,918
(135,838)
(980)
(22,241)
5,511
(324)
(223)
(576)
(576)
(170,068)
10,650
(194,004)
4,625

Grants for salaries are from Henry Smith and The National Lottery.

Grants for garden expenditure are from Voluntary Action North East Lincolnshire.

Other grants are from Voluntary Action North East Lincolnshire, Lincolnshire Com and Orsted. These are for themed workshops and computer/ cookery classes and a wood working skills hub, and for CCTV equipment in Grimsby Neighbourhood Centre.

Transfers between funds

Transfers into the general fund of £3,300 (2022: £Nil) are in relation to assets that have been purchased from restricted income where the restrictions have been met.

9. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 30 September 2023.

Page 14