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2022-08-31-accounts

REGISTERED COMPANY NUMBER: 05304570 (England and Wales) REGISTERED CHARITY NUMBER: 1113659

REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

FOR

WARNING ZONE LIMITED

Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester Leicestershire LE1 7RU

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

WARNING ZONE LIMITED

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Page
Report of the Trustees 1 to 3
Independent Examiner's Report 4
Statement of Financial Activities 5
Balance Sheet 6 to 7
Notes to the Financial Statements 8 to 19
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WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2022

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 31 August 2022. 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).

The Trustees present their report with the financial statements of the Charity for the year ended 31 August 2022. The Trustees have adopted the provisions of the Financial Reporting Standard 102, the Charities Act 2011 and the requirements of the Statement of Recommended Practice, Accounting and Reporting by Charities.

OBJECTIVES AND ACTIVITIES Significant activities

Objectives

The charity strives to maintain its position as the leading organisation delivering safeguarding programmes to children and young people in the East Midlands.

Activities

With lockdown restrictions lifted, the team were able to resume activities and school visits began again from the beginning of the new academic year. There was still caution around Covid transmission and so the number of places available at any one session were reduced. However, schools had been keen to return to Warning Zone and all sessions were fully booked and attended throughout the year. This popularity continued and bookings for 2022/23 academic year stood at 75% by the end of the 2021/22 academic year.

There has also been an increased uptake in Road Crew sessions with safety sessions delivered to over 5,000 young people throughout AY 2021/22.

The charity recognises the critical importance of remaining current with regards to the ever-changing nature of risks which can have such a negative impact on children and young people and has been working to update some of the zones to reflect a more contemporary and reflective approach to dangers and risks, including a recent refreshment of the personal safety zone. This now allows for direct reference to issues such as County Lines involvement which is real and present threat to young people in our region.

The charity remains indebted to its volunteers without whose dedication and professionalism our programmes could not be delivered. Volunteer numbers have reduced as a result of Covid and, although many loyal individuals continue to give excellent service and despite regular and ongoing recruitment activity, there is a need to review the delivery model to see if any changes can be made to the large number of volunteers needed to run operations at its optimal rate.

Page 1

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2022

FINANCIAL REVIEW

Financial review

At the start of the period under review the charity held an outstanding debt of £100,000 in the form of an interest free, unsecured loan to be repaid over 5 years at £20,000 per year. Trustees were confident that the charity could continue to meet its repayment obligations.

Frog Island school visits were severely impacted during lockdown, but the new academic year brought fewer restrictions and the centre has been fully booked for the entire academic year.

Fundraising activity has resumed and some of the charity's traditional and well-attended fundraising events have taken place again. Corporate fundraising has continued to be slow to gain momentum but plans are in place to continue to work with the local business community in order to maintain an upward trajectory.

In June 2020 Warning Zone was successful in its application for a government Coronavirus Bounce Back loan of £50,000 and the charity is on target to meet its repayment obligations.

Whilst the net assets of the charity have increased it should be remembered that its main asset, namely the building it owns and occupies, is fully utilised to deliver the safeguarding programmes to visitors. In other words, it is designed and equipped with the sole purpose in mind of carrying out the business of the charity.

Reserves policy

The charity requires General Reserves, that is, funds that are freely available for the Trustees to spend in furtherance of the objects, in order to bridge the funding gap between spending on the operational activities and receiving resources through grants that provide funding.

The Trustees believe that an ideal level of General Reserves, excluding those designated for fixed assets, would be equivalent to approximately three months fixed expenditure which, based on existing budgets, will be approximately £90,000 but this figure is kept under review annually.

At 31 August 2022, the General Reserves were £168,242 which is sufficiently higher than the agreed reserves figure. The Trustees will continue to monitor the level of reserves to ensure that they remain adequate for the charity's needs.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity was incorporated on 3rd December 2004 as a company limited by guarantee, not having a share capital, and is governed by its Memorandum and Articles of Association of that date. It was registered as a charity by the Charity Commissioners for England and Wales on 6th April 2006.

Each of the members has agreed to contribute the sum of £1 in the event of the charity being wound up.

Recruitment and appointment of new trustees

Trustees are nominated from persons who through residence, occupation, employment or otherwise have special knowledge of the area of benefit, or who are otherwise able, by virtue of their personal or professional qualifications, to make a significant contribution to the pursuit of the objects or the management of the charity.

Induction and training of new trustees

New trustees are briefed on their legal obligations under charity and company law, the contents of the Memorandum and Articles of Association, the committee and decision making processes, the business plan and recent financial performance of the company. During the briefing they are also given a tour of the charity's premises and are introduced to the employees and other trustees. All trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

05304570 (England and Wales)

Page 2

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2022

Registered Charity number 1113659

Registered office 30 Frog Island off North Bridge Place Leicester Leicestershire LE3 5AG Trustees Mrs H L Johnson Mr A M Kapur Mr G D Arthur Mr C Mitchell Mrs L H Foulkes-Arnold Colonel R C J Martin

Independent Examiner Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester Leicestershire LE1 7RU

Bankers HSBC Bank plc 2-6 Gallowtree Gate Leicester LE1 1DA

Honorary Treasurer

Mr A M Kapur is the Honorary Treasurer of the charity.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 19 January 2023 and signed on its behalf by:

Mrs L H Foulkes-Arnold - Trustee

Page 3

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

Independent examiner's report to the trustees of Warning Zone Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 August 2022.

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

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of Institute of Chartered Accountants in England and Wales which is one of the listed bodies.

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.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our work, for this report, or for the opinions we have formed.

Mr P Bott FCA Institute of Chartered Accountants in England and Wales Mark J Rees LLP Chartered Accountants Granville Hall Granville Road Leicester Leicestershire LE1 7RU

9 February 2023

Page 4

WARNING ZONE LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2022

Notes
INCOME AND
ENDOWMENTS FROM
Donations and legacies
2
Charitable activities
5
Contribution Towards
Programme Delivery
Other trading activities
3
Investment income
4
Total
EXPENDITURE ON
Raising funds
6
Charitable activities
Programme Delivery
Total
NET
INCOME/(EXPENDITURE)
Transfers between funds
17
Other recognised gains/(losses)
Gains on revaluation of fixed
assets
Net movement in funds
RECONCILIATION OF
FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED
FORWARD		 Unrestricted
fund
£
216,436
99,058
57,248
27
372,769
5,855
340,332
346,187
26,582
2,000
-
28,582
139,660
168,242		 Designated
Funds
£
-
-
-
-
-
-
15,908
15,908
(15,908)
-
298,000
282,092
810,908
1,093,000		 Restricted
funds
£
68,517
-
-
-
68,517
-
104,339
104,339
(35,822)
(2,000)
-
(37,822)
59,810
21,988		 2022
Total
funds
£
284,953
99,058
57,248
27
441,286
5,855
460,579
466,434
(25,148)
-
298,000
272,852
1,010,378
1,283,230		 2021
Total
funds
£
310,772
17,482
30,757
7
359,018
790
353,878
354,668
4,350
-
-
4,350
1,006,028
1,010,378

The notes form part of these financial statements

Page 5

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

BALANCE SHEET 31 AUGUST 2022

Notes
FIXED ASSETS
Tangible assets
11
Investment property
12
CURRENT ASSETS
Debtors
13
Cash at bank and in hand
CREDITORS
Amounts falling due within one
year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS
CURRENT LIABILITIES
CREDITORS
Amounts falling due after more
than one year
15
NET ASSETS
FUNDS
17
Unrestricted funds:
General fund
Scenarios
Operational Freehold Property
Revaluation reserve
Fair value reserve
Restricted funds
TOTAL FUNDS		 Unrestricted
fund
£
10,178
-
10,178
57,728
150,008
207,736
(21,401)
186,335
196,513
(28,271)
168,242		 Designated
Funds
£
1,043,000
150,000
1,193,000
-
-
-
(20,000)
(20,000)
1,173,000
(80,000)
1,093,000		 Restricted
funds
£
21,988
-
21,988
-
-
-
-
-
21,988
-
21,988		 2022
Total
funds
£
1,075,166
150,000
1,225,166
57,728
150,008
207,736
(41,401)
166,335
1,391,501
(108,271)
1,283,230
168,242
-
774,392
293,608
25,000
1,261,242
21,988
1,283,230		 2021
Total
funds
£
835,254
125,000
960,254
151
206,606
206,757
(38,554)
168,203
1,128,457
(118,079)
1,010,378
139,660
741
789,559
20,608
-
950,568
59,810
1,010,378

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 August 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 August 2022 in accordance with Section 476 of the Companies Act 2006.

The notes form part of these financial statements

continued...

Page 6

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

BALANCE SHEET - continued 31 AUGUST 2022

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 19 January 2023 and were signed on its behalf by:

Mrs L H Foulkes-Arnold - Trustee

Mr A M Kapur - Trustee

The notes form part of these financial statements

Page 7

WARNING ZONE LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

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) '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, as modified by the revaluation of certain assets.

Financial reporting standard 102 - reduced disclosure exemptions

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

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

Expenditure of a capital nature is capitalised at cost (or at value to the charity in the case of donated assets) as fixed assets within the relevant fund. Depreciation is provided on a straight-line basis so as to write off fixed assets over their anticipated useful economic lives and is charged to the relevant fund as follows:

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||| |---|---| |Operational freehold property|At 2% per annum| |Scenarios|At 20% per annum| |Fixtures & fittings|At 20% per annum| |Office and I.T. equipment|At 33% per annum| |Motor vehicles|At 20% per annum|

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Scenarios includes all expenditure incurred, including the purchase of equipment, in creating life like simulations to educate visitors to the safety centre in personal safety and social responsibility issues in the home and the community.

No depreciation is provided on assets which are in the course of construction, prior to being brought into operational use, or on freehold land.

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in market value is included within the SOFA and a fair value reserve as part of unrestricted funds.

Taxation

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

continued...

Page 8

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

1. ACCOUNTING POLICIES - continued

Fund accounting

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

Designated funds are unrestricted funds which the Trustees have earmarked for particular purposes.

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.

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

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Creditors

Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Going Concern

The trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.

Government Grants

Government grants received under the job retention scheme are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate.

2. DONATIONS AND LEGACIES

Donations
Grants
Donated services and facilities
Government Grants		 2022
£
114,743
151,080
19,130
-
284,953		 2021
£
113,027
131,921
14,925
50,899
310,772

continued...

Page 9

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

2. DONATIONS AND LEGACIES - continued

Donated services and facilities, included in the above, are as follows:

Services of a seconded Fire Officer
Notional interest on interest-free/preferential loans
Miscellaneous
Grants received, included in the above, are as follows:
Office of the Police and Crime Commissioner
Leicester, Leicestershire and Rutland Road Safety Partnership
The Rank Foundation
St Philip's Centre
Randal Charitable Foundation
Other grants
3.
OTHER TRADING ACTIVITIES
Fundraising events
Rental income
4.
INVESTMENT INCOME
Deposit account interest		 Year Ended
31.8.22
£
14,412
4,250
468
19,130		 Year Ended
31.8.22
£
14,412
4,250
468
19,130		 Year Ended
31.8.21
£
12,170
2,600
155
14,925		 Year Ended
31.8.21
£
12,170
2,600
155
14,925
2022
£
50,000
-
-
16,080
68,517
16,483
151,080
2022
£
29,223
28,025
57,248
2022
£
27		 2021
£
50,000
12,500
43,199
19,250
-
6,972
131,921
2021
£
9,036
21,721
30,757
2021
£
7

continued...

Page 10

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

5.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Direct income from schools
Contribution Towards Programme Delivery
6.
RAISING FUNDS
Raising donations and legacies
Fundraising events
7.
NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
Independent examiners remuneration
Depreciation - owned assets		 2022
£
99,058
2022
£
5,855
2022
£
3,575
36,468		 2021
£
17,482
2021
£
790
2021
£
3,402
61,560

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 August 2022 nor for the year ended 31 August 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 August 2022 nor for the year ended 31 August 2021.

9. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Employees		 2022
£
237,498
7,455
4,053
249,006
2022
14		 2021
£
198,663
13,765
3,509
215,937
2021
12

No employees received emoluments in excess of £60,000.

Included within staff costs is £14,412 (2021: £12,170) being the deemed expense in relation to the donated services of the seconded Fire Officer(s).

continued...

Page 11

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

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10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - 31 AUGUST 2021
Unrestricted Designated Restricted Total
fund Funds funds funds
£ £ £ £
INCOME AND ENDOWMENTS FROM
-
Donations and legacies 290,772 20,000 310,772
Charitable activities
- -
Contribution Towards Programme Delivery 17,482 17,482
- -
Other trading activities 30,757 30,757
Investment income 7 - - 7
Total 339,018 - 20,000 359,018
EXPENDITURE ON
Raising funds 790 - - 790
Charitable activities
Programme Delivery 270,217 42,756 40,905 353,878
Total 271,007 42,756 40,905 354,668
NET INCOME/(EXPENDITURE) 68,011 (42,756) (20,905) 4,350
Transfers between funds 6,252 - (6,252) -
Net movement in funds 74,263 (42,756) (27,157) 4,350
RECONCILIATION OF FUNDS
Total funds brought forward 65,397 853,663 86,968 1,006,028
TOTAL FUNDS CARRIED FORWARD 139,660 810,907 59,811 1,010,378
----- End of picture text -----

continued...

Page 12

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

11. TANGIBLE FIXED ASSETS

COST OR VALUATION
At 1 September 2021
Additions
Revaluations
At 31 August 2022
DEPRECIATION
At 1 September 2021
Charge for year
Revaluation adjustments
At 31 August 2022
NET BOOK VALUE
At 31 August 2022
At 31 August 2021
COST OR VALUATION
At 1 September 2021
Additions
Revaluations
At 31 August 2022
DEPRECIATION
At 1 September 2021
Charge for year
Revaluation adjustments
At 31 August 2022
NET BOOK VALUE
At 31 August 2022
At 31 August 2021		 Freehold
property
£
875,000
-
175,000
1,050,000
89,833
15,167
(98,000)
7,000
1,043,000
785,167
Motor
vehicles
£
7,800
-
-
7,800
6,240
1,560
-
7,800
-
1,560		 Scenarios
£
405,693
-
-
405,693
368,731
14,457
-
383,188
22,505
36,962
Computer
equipment
£
45,578
2,708
-
48,286
43,780
2,095
-
45,875
2,411
1,798		 Fixtures
and
fittings
£
56,130
672
-
56,802
46,363
3,189
-
49,552
7,250
9,767
Totals
£
1,390,201
3,380
175,000
1,568,581
554,947
36,468
(98,000)
493,415
1,075,166
835,254

continued...

Page 13

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

11. TANGIBLE FIXED ASSETS - continued

Cost or valuation at 31 August 2022 is represented by:

Valuation in 2022
Cost
Valuation in 2022
Cost		 Freehold
property
£
1,050,000
-
1,050,000
Motor
vehicles
£
-
7,800
7,800		 Scenarios
£
-
405,693
405,693
Computer
equipment
£
-
48,286
48,286		 Fixtures
and
fittings
£
-
56,802
56,802
Totals
£
1,050,000
518,581
1,568,581

Operational freehold property consists of the commercial premises at Frog Island, Leicester which the charity purchased in December 2009 for £418,695, including professional fees of £4,045 which were paid for by a benefactor. Subsequent capital expenditure has been incurred in the redevelopment of the premises into a state of the art centre and operational headquarters for the charity. Alongside this redevelopment, the property has been fitted out with a series of interactive safety Scenarios.

The property is occupied in the main by the charity for charitable purposes, however 12.5% of the property is also rented out to a third party. The freehold property on the balance sheet represents the part of the property occupied by the charity.

The company has taken advantage of the transitional arrangements and adopted the valuation of the property as cost for the future. No further revaluations, other than any required for impairment, will be recognised in the accounts. The recent valuation in 2022 undertaken by Andrew Granger & Co Limited at an open market value of £1,200,000 has been adopted.

No depreciation is provided on the cost of land included within the freehold property. The estimated cost of land attributable to the freehold portion is £210,000.

If no revaluation had been undertaken the portion attributable to freehold property would show at the following historical cost.

Cost
At 1st September 2021 and 31 August
2022
Depreciation based on cost
At 1st September 2021
Charge for the year
At 31 August 2022		 £
904,814
144,080
14,596
158,676

continued...

Page 14

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

11. TANGIBLE FIXED ASSETS - continued

12. Net book value
At 31 August 2022
At 1st September 2021		 746,138
760,734
INVESTMENT PROPERTY
FAIR VALUE
At 1 September 2021
Revaluation
At 31 August 2022
NET BOOK VALUE
At 31 August 2022
At 31 August 2021		 £
125,000
25,000
150,000
150,000
125,000

Investment property comprises the tenanted area of the freehold building owned by the charity. In accordance with FRS 102 this building has been split into its two parts and the investment property on the balance sheet represents the part of the property that is rented out.

Fair value at 31 August 2022 is represented by:

Valuation in 2022
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
Prepayments and accrued income		 2022
£
4,200
53,528
57,728		 £
150,000
2021
£
63
88
151

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

continued...

Page 15

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank loans and overdrafts (see note 16)
Other loans (see note 16)
Other creditors
Social security and other taxes
Other creditors
Accruals and deferred income		 2022
£
9,808
20,000
2,633
4,469
-
4,491
41,401		 2021
£
9,566
20,000
257
4,494
817
3,420
38,554

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans (see note 16)
Other loans (see note 16)		 2022
£
28,271
80,000
108,271		 2021
£
38,079
80,000
118,079

16. LOANS

During 2019 the charitable company received an interest free loan of £100,000 from the Everard Foundation, for which repayments are due at £20,000 per annum over a 5 year period. No repayments have yet been made. Notional interest on the loan, calculated at 2.5% above the Bank of England Base Rate, has been included as a resource expended and as an incoming resource within Donated services and gifts in kind.

17. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Scenarios
Operational Freehold Property
Revaluation reserve
Fair value reserve
Restricted funds
Aviva
Water Zone
WZ Roadcrew
Bruce Wake Charitable Foundation
TOTAL FUNDS		 At 1.9.21
£
139,660
741
789,559
20,608
-
950,568
750
34,667
22,393
2,000
59,810
1,010,378		 Net
movement
in funds
£
26,582
(741)
(15,167)
273,000
25,000
308,674
(750)
(13,000)
(22,072)
-
(35,822)
272,852		 Transfers
between
funds
£
2,000
-
-
-
-
2,000
-
-
-
(2,000)
(2,000)
-		 At
31.8.22
£
168,242
-
774,392
293,608
25,000
1,261,242
-
21,667
321
-
21,988
1,283,230

continued...

Page 16

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

17. MOVEMENT IN FUNDS - continued

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

Unrestricted funds
General fund
Scenarios
Operational Freehold Property
Revaluation reserve
Fair value reserve
Restricted funds
Aviva
Water Zone
WZ Roadcrew
Randal Roof Fund
TOTAL FUNDS
Comparatives for movement in funds
Unrestricted funds
General fund
Scenarios
Operational Freehold Property
Revaluation reserve
Restricted funds
Aviva
Water Zone
WZ Roadcrew
National Lottery Funding
Bruce Wake Charitable Foundation
TOTAL FUNDS		 Incoming
resources
£
372,769
-
-
-
-
372,769
-
-
-
68,517
68,517
441,286
At 1.9.20
£
65,397
29,496
803,559
20,608
919,060
7,751
47,667
24,597
4,953
2,000
86,968
1,006,028		 Resources
expended
£
(346,187)
(741)
(15,167)
-
-
(362,095)
(750)
(13,000)
(22,072)
(68,517)
(104,339)
(466,434)
Net
movement
in funds
£
68,011
(28,755)
(14,000)
-
25,256
(749)
(13,000)
(2,204)
(4,953)
-
(20,906)
4,350		 Gains and
losses
£
-
-
-
273,000
25,000
298,000
-
-
-
-
-
298,000
Transfers
between
funds
£
6,252
-
-
-
6,252
(6,252)
-
-
-
-
(6,252)
-		 Movement
in funds
£
26,582
(741)
(15,167)
273,000
25,000
308,674
(750)
(13,000)
(22,072)
-
(35,822)
272,852
At
31.8.21
£
139,660
741
789,559
20,608
950,568
750
34,667
22,393
-
2,000
59,810
1,010,378

continued...

Page 17

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

17. MOVEMENT IN FUNDS - continued

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

Unrestricted funds
General fund
Scenarios
Operational Freehold Property
Restricted funds
Aviva
Water Zone
WZ Roadcrew
National Lottery Funding
TOTAL FUNDS		 Incoming
resources
£
339,018
-
-
339,018
-
-
20,000
-
20,000
359,018		 Resources
Movement
expended
in funds
£
£
(271,007)
68,011
(28,755)
(28,755)
(14,000)
(14,000)
(313,762)
25,256
(749)
(749)
(13,000)
(13,000)
(22,204)
(2,204)
(4,953)
(4,953)
(40,906)
(20,906)
(354,668)
4,350

Unrestricted funds comprise those funds which the Trustees are free to use in accordance with the charity's objects.

Designated funds are unrestricted funds which have been earmarked for particular purposes as follows: Expenditure on the purchase and redevelopment of Operational Premises and the creation of Scenarios, which have in whole or in part been funded out of restricted funds (see below), is transferred to separate designated funds, net of the loans secured on the assets. These funds are reduced over the useful economic lives of the assets in line with their depreciation.

Water Zone

Whilst the charity has always had a zone specifically relating to the dangers of being in or near water it had become outdated and did not cover certain risks. Thanks to a £50,000 grant from The Mick George Community Fund with added support from the Everard Foundation and The Santander Foundation the charity was able to have a new Water Zone designed, built and installed in March 2019. Funds from the aforementioned donors was specifically used for the new zone. In addition to the historic risks covered in this zone the charity now also covers the dangers of exposure to the sun, tombstoning, cold water shock and a broader coverage of dangers relating to the seaside. All the aforementioned funds were specifically used to develop the new water Zone.

WZ Roadcrew

In 2019 the Rank Foundation awarded the charity a grant of £55,000 over three years (£15k, £20k & £20k) which is to be used only for the purposes of developing Road Crew. The first tranche was received in August 2019 followed by £20K in August 2020 and £20K in August 2021 and is being used in accordance with the terms and conditions required by The Foundation.

National Lottery

The funding was to enable Warning Zone to use our expertise and experience to work directly with social workers, school Designated Safeguarding Leads (DSLs), school nurses, police personnel and parents facing online crime affecting children and young people, on a case by case basis, providing advice, information and support on specific cases or issues involving criminal online coercion of children.

continued...

Page 18

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022

17. MOVEMENT IN FUNDS - continued

Costs broken down: Communications and marketing £1,500; Online Crime Expert - contribution to costs £5,000; Office supplies and online platform subscriptions £200.

Bruce Wake Charitable Trust

£2,000 contribution to a mobility lift to be installed at Warning Zone when the full cost has been raised.

18. EMPLOYEE BENEFIT OBLIGATIONS

The charity operates a pension scheme. The assets of the scheme are held separately from those of the charity within independently administered funds. The charge for the year was £4,053 (2021: £3,509). Contributions of £nil (2021: £818) were unpaid at the year end.

19. RELATED PARTY DISCLOSURES

During the period the company purchased goods and services from Signum Corporate Communications Limited, amounting to £12,850 (2021: £7,072. An amount of £708 (2021: £nil) was owed to Signum Corporate Communications Limited at the year end.

Mr AM Kapur, trustee, is a director of Signum Corporate Communications Limited.

Page 19