Company registration number: 05328774 Charity registration number: 1112256
Headstart4Babies
(A company limited by guarantee)
Unaudited Annual Report and Financial Statements
for the Year Ended 31 December 2020
Headstart4Babies
| Contents | ||
|---|---|---|
| Reference and Administrative Details | 1 | |
| Strategic Report | 2 | |
| Trustees' Report | 3 to 4 | |
| Statement of Trustees' Responsibilities | 5 | |
| Independent Examiner's Report | 6 | |
| Statement of Financial Activities | 7 | |
| Balance Sheet | 8 | |
| Notes to the Financial Statements | 9 to 19 |
Headstart4Babies
Reference and Administrative Details
Chief Executive Officer
Mr P Saich
Trustees
Mr P Saich Mrs K Saich Mrs S E Laflin Mrs R Meade
Secretary
Mrs K Saich
Principal Office
54 Woodfield Lane Lower Cambourne Cambridge Cambridgeshire CB23 6DS
Company Registration Number
05328774
Charity Registration Number
1112256
Independent Examiner
Weir Associates Ltd Allia Future Business Centre Kings Hedges Road Cambridge CB4 2HY
Page 1
Headslart4Bableg Strategk Rert for the Year Ended 31 Dettmber 2020 31 D¢tr 21r20. in compliantt with 8414C ofthe coll41 Act 21th. During 2020, the cLMt1nu w SUNKrt fnilies with arJ- iti sornc cases- fundu¥ if they wue hble to cottm)W ¢(lAU¢ with treatm¢nL CovwJ.19 pthic gffe£d the ability of clitiie5 to offer fAce-lf&C¢ ¢(1ti but w¢ wut nevatheleJs •ble th help • Dumber of low-irme familiu to fwMtrw'5Tng As ev, the trustecs were eOral see rIlle5 tsym8 w fith'se for their ow IM1 whil¢ aloo Ipptymg ts us for assiswK¢. We a thp tTh our own fvndrnising to 8om¢ fnilies &8 px¥ibl¢ to pr(¢ed with bebnet tre4thKDt whe¥e it 18 tttded. . . and yd its bdwlfby.. Mr P Sai¢h
Headstart4Babies
Trustees' Report
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 December 2020.
Objectives and activities
Objects and aims
Headstart4Babies is a charitable organisation which aims to raise awareness of plagiocephaly and brachyycephaly. As well as increasing the profile of both conditions, we offer support, advice and, where required, funding towards treatment to families whose babies are affected. We also aim to work with NHS professionals to educate parents about ways in which plagiocephaly and brachycephaly can be alleviated and to introduce both health workers and parents to the benefits of helmet therapy for babies with severe asymmetry. Our longer-term objective is to persuade the NHS to embrace and offer free treatment across the UK
Public benefit
The trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Structure, governance and management
Nature of governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
Major risks and management of those risks
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
Financial instruments
Objectives and policies
The charity's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the charity’s policies approved by the board of trustees, which provide written principles on the use of financial derivatives to manage these risks. The charity does not use derivative financial instruments for speculative purposes.
Cash flow risk
The charity’s activities expose it primarily to the financial risks of changes in interest rates. Interest bearing assets and liabilities are held at fixed rate to ensure certainty of cash flows.
Page 3
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He4dstsrt4B•bles Statement of Trusteu. RespoDslbllltl Th¢ trust¢¢s {wkn ue 0190 th¢ of Het8wI4B•bKs the ofcanF•ry law) are respwible Th¢ Inte<S •ff ff6p(ffj8ibk for kttpib)8 t suffi¢ieDt to SIKNV aud exptsin the 2(KlS. Thty reyiKwibk for safed th¢ of the L*xitAbk ¢ornpwy •rd h¢n¢¢ for tskiDS I iipd its btbalf by: Mr P S•ickn
Hedstart4BAbkJ IDdepeRdent Eumlner'i Report to the trnsteos of HeAdstsrt4B•bles I ryrt the OUnts Of clwrity fty the J%•tendtyJ 31 2020wbidh tt£ F•8cs 7 to 19. The tnJst¢es {who also the th'rrct(W5 of the company fw thc of comPY law) are reapTrulJk for the of the gK(rtmts. The ¢(s an wyjit is required fL thi% yelr uth I**1 144(2) of the Cban'tses Act 20111th 2011 Akx) examin1( is Having wisfied myself that thc cbarity is to adit unts c(QDpany l•w •Dd is ir•ktvtht ¢xWDinatio li is my It4)S1b111ty to.. examin¢ th¢ under ge£tioo 145 of the 2011 A¢ 14515Nb) of the 2011 Ac¢ 8Dd pru¢nte4 with w¢cor¢A. It •kn bb>JeS CIWKlcratTh of any unusual item6 or disclosures in the ton 396 of the Comp1¢5 Ad 2(WJ6 11 with the methLth d winciples of th¢ Ststemrnt of b¢ belI Ugw L41 . 2 Hagg¢¥s Cl¢ Kings HcdBes Roul CB4 2HY
Headstart4Babies
Statement of Financial Activities for the Year Ended 31 December 2020 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Unrestricted funds £ Total 2020 £ 54,124 54,124 297 297 54,421 54,421 (2,815)) (2,815)) ( (75,693)) ( (75,693)) (78,508)) (78,508)) (24,087) (24,087) (24,087) (24,087) 138,937 138,937 114,850 114,850 Unrestricted funds £ Total 2019 £ 84,901 84,901 529 529 85,430 85,430 (5,840)) (5,840)) (86,068) (86,068) (91,908) (91,908) (6,478) (6,478) (6,478) (6,478) 145,415 145,415 138,937 138,937 |
|
|---|---|
| Note | |
| Income and Endowments from: | |
| Donations and legacies 3 |
|
| Investment income 4 |
|
| Total Income | |
| Expenditure on: | |
| Raising funds | |
| Charitable activities 5 |
|
| Total Expenditure | |
| Net expenditure | |
| Net movement in funds | |
| Reconciliation of funds | |
| Total funds brought forward | |
| Total funds carried forward 13 |
|
| Note | |
| Income and Endowments from: | |
| Donations and legacies 3 |
|
| Investment income 4 |
|
| Total Income | |
| Expenditure on: | |
| Raising funds | |
| Charitable activities 5 |
|
| Total Expenditure | |
| Net income | |
| Net movement in funds | |
| Reconciliation of funds | |
| Total funds brought forward | |
| Total funds carried forward 13 |
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 13.
Page 7
(Re8lthtlon Dumber: 05328774) BalAnce Shttt $ at 31 De¢ember 2020 2•19 Tawble sets CMrreD¢ C4sh at tyj ID bllld li 116.627 I41,j 12 Net ¢urremt wets 138937 13 937 Totsl IqAd• 13 937 477 of Conyniu Act 2(th relw tt) •)TI . The directro xkDowled8e thew wibiliti&4 fwCthY)D8 the [equu of the Act with rewt 1.414h..i ttmbdulfby.. Mr P s4h
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
1 Charity status
The charity is a charity limited by guarantee and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
2 Accounting policies
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The 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 (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Basis of preparation
Headstart4Babies meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Exemption from preparing a cash flow statement
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Investment income
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
Page 9
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Grant provisions
Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’ meetings and reimbursed expenses.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Tangible fixed assets
Individual fixed assets are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
Asset class Depreciation method and rate Plant & Machinery 25% Reducing balance
Page 10
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees' discretion in furtherance of the objectives of the charity.
Designated Unrestricted income funds are general funds that have been earmarked for use against a particular project in furtherance of the objectives of the charity. The designation has an administrative purpose only, and does not legally restrict the trustees’ discretion to apply the fund.
Financial instruments
Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
Page 11
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
Page 12
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
Debt instruments
Debt instruments which meet the following conditions are subsequently measured at amortised cost using the effective interest method:
(a) The contractual return to the holder is (i) a fixed amount; (ii) a positive fixed rate or a positive variable rate; or (iii) a combination of a positive or a negative fixed rate and a positive variable rate.
(b) The contract may provide for repayments of the principal or the return to the holder (but not both) to be linked to a single relevant observable index of general price inflation of the currency in which the debt instrument is denominated, provided such links are not leveraged.
(c) The contract may provide for a determinable variation of the return to the holder during the life of the instrument, provided that (i) the new rate satisfies condition (a) and the variation is not contingent on future events other than (1) a change of a contractual variable rate; (2) to protect the holder against credit deterioration of the issuer; (3) changes in levies applied by a central bank or arising from changes in relevant taxation or law; or (ii) the new rate is a market rate of interest and satisfies condition (a).
(d) There is no contractual provision that could, by its terms, result in the holder losing the principal amount or any interest attributable to the current period or prior periods.
(e) Contractual provisions that permit the issuer to prepay a debt instrument or permit the holder to put it back to the issuer before maturity are not contingent on future events, other than to protect the holder against the credit deterioration of the issuer or a change in control of the issuer, or to protect the holder or issuer against changes in levies applied by a central bank or arising from changes in relevant taxation or law.
(f) Contractual provisions may permit the extension of the term of the debt instrument, provided that the return to the holder and any other contractual provisions applicable during the extended term satisfy the conditions of paragraphs (a) to (c).
Debt instruments that are classified as payable or receivable within one year on initial recognition and which meet the above conditions are measured at the undiscounted amount of the cash or other consideration expected to be paid or received, net of impairment.
With the exception of some hedging instruments, other debt instruments not meeting these conditions are measured at fair value through profit or loss.
Commitments to make and receive loans which meet the conditions mentioned above are measured at cost (which may be nil) less impairment.
Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment.
Investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.
Page 13
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
Derivative financial instruments
Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to their fair value at each reporting date. The resulting gain or loss is recognised in statement of financial activities immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in statement of financial activities depends on the nature of the hedge relationship.
The charity does not hold or issue derivative financial instruments for speculative purposes.
Fair value measurement
The best evidence of fair value is a quoted price for an identical asset in an active market. When quoted prices are unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time since the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a good estimate of fair value, the fair value is estimated by using a valuation technique.
3 Income from donations and legacies
| 3 Income from donations and legacies |
|||
|---|---|---|---|
| Unrestricted | |||
| funds | |||
| Total | Total | ||
| General | 2020 | 2019 | |
| £ | £ | £ | |
| Donations and legacies; | |||
| Donations from individuals | 54,124 | 54,124 | 84,901 |
| 54,124 | 54,124 | 84,901 |
4 Investment income
| 4 Investment income |
|||||
|---|---|---|---|---|---|
| Unrestricted | |||||
| funds | |||||
| Total | Total | ||||
| General | 2020 | 2019 | |||
| £ | £ | £ | |||
| Interest receivable and similar income; | |||||
| Interest receivable on bank deposits | 297 | 297 | 529 |
Page 14
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
5 Expenditure on charitable activities
| Unrestricted | |
|---|---|
| funds | |
| General Total 2020 Total 2019 |
|
| Note £ £ £ |
|
| Grant funding of activities | 66,910 66,910 79,210 |
| Allocated support costs | 6 8,086 8,086 6,161 |
| Governance costs | 6 697 697 697 |
| 75,693 75,693 86,068 |
|
| Grant funding of Activity support Total Total |
|
activity costs 2020 2019 |
|
£ £ £ £ |
|
| Raise awareness of plagiocephaly and | |
| brachycephaly | 66,910 8,086 74,996 85,371 |
£74,996 (2019 - £85,371) of the above expenditure was attributable to unrestricted funds and £Nil (2019 - £Nil) to restricted funds.
Page 15
Notes to the Financial Statements for the Year Ended 31 December 2020
Headstart4Babies
6 Analysis of governance and support costs
Charitable activities expenditure
| Charitable activities expenditure | Charitable activities expenditure | |
|---|---|---|
| Unrestricted | ||
| funds | ||
| Basis of | Total Total |
|
| General 2020 2019 |
||
| allocation | £ £ £ |
|
| Raise awareness of plagiocephaly and | ||
| brachycephaly | 8,783 8,783 6,858 |
|
| Support costs allocated to charitable activities | ||
| Basis of | Governance Administratio Other support Total Total |
|
| costs n costs costs 2020 2019 |
||
| allocation | £ £ £ £ £ |
|
| Raise awareness of plagiocephaly and |
||
| brachycephaly | 697 6,106 1,980 8,783 6,858 |
Basis of allocation
Reference Method of allocation
Governance Cost Governance Administration Costs Time Spent Other Support Costs Time Spent
Governance costs
Unrestricted funds
| Unrestricted funds | |||
|---|---|---|---|
| Total | Total | ||
| General | 2020 | 2019 | |
| £ | £ | £ | |
| Allocated support costs | 697 697 697 |
||
| 697 697 697 |
Page 16
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
7 Grant-making
Analysis of grants
| Analysis of grants | |
|---|---|
| Grants to individuals | |
| 2020 2019 |
|
| £ £ |
|
| Analysis | |
| Support given to Families | 66,910 79,210 |
Assistance given to families on low incomes to proceed with treatment for children with plagiocephaly or brachycephaly.
8 Net incoming/outgoing resources
Net (outgoing)/incoming resources for the year include:
| 8 Net incoming/outgoing resources Net (outgoing)/incoming resources for the year include: |
||||
|---|---|---|---|---|
| 2020 | 2019 | |||
| £ | £ | |||
| Other non-audit services | 648 | 648 | ||
| Depreciation of fixed assets | 3 | 4 | ||
| 9 Trustees remuneration and expenses |
||||
| During the year the charity made the following transactions with trustees: | ||||
| Mrs K Saich | ||||
| Mrs K Saich received remuneration of £4,800 (2019: £4,800) during the year. | ||||
| At the balance sheet date the amount due to Mrs K Saich was £Nil (2019: £Nil). |
10 Taxation
The charity is a registered charity and is therefore exempt from taxation.
11 Tangible fixed assets
| 11 Tangible fixed assets |
|
|---|---|
| Furniture and | |
| equipment Total |
|
£ £ |
|
| Cost | |
| At 1 January2020 | 465 465 |
| At 31 December 2020 | |
| 465 465 |
Page 17
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
| Furniture and equipment Total |
Furniture and equipment Total |
|---|---|
£ £ |
|
| Depreciation | |
| At 1 January 2020 454 450 |
|
| Charge for theyear 3 4 |
|
| At 31 December 2020 457 454 |
|
| Net book value | |
| At 31 December 2020 8 11 |
|
| At 31 December 2019 11 15 |
|
| 12 Creditors: amounts falling due within one year |
|
| 2020 2019 |
|
| £ £ |
|
| Trade creditors | - 1,200 |
| Accruals | 1,785 1,364 |
| 2,160 1,364 |
|
| 13 Funds |
|
| Balance at 1 Incoming Resources Balance at 31 |
|
| January 2020 resources expended December 2020 |
|
£ £ £ £ |
|
| Unrestricted funds | |
| General | |
| (138,937) (54,421) 78,508 (114,850) |
|
| Balance at 1 Incoming Resources Balance at 31 |
|
| January 2019 resources expended December 2019 |
|
£ £ £ £ |
|
| Unrestricted funds | |
| General | |
| (145,415) (85,430) 91,908 (138,937) |
Page 18
Headstart4Babies
Notes to the Financial Statements for the Year Ended 31 December 2020
| 14 Analysis of net assets between funds |
|
|---|---|
| Unrestricted | |
| funds | |
| General Total funds |
|
| £ £ |
|
| Tangible fixed assets | 8 8 |
| Current assets | 116,627 116,627 |
| Current liabilities | (1,785) (1,785) |
| Total net assets | 114,850 114,850 |
| 15 Analysis of net funds |
|
| At 1 January At 31 December |
|
| 2020 Cash flow 2020 |
|
| £ £ £ |
|
| Cash at bank and in hand | 141,085 (24,458) 116,627 |
| 141,085 (24,458) 116,627 |
|
| Net debt |
Page 19