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2023-08-31-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 2023

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 2023

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 18
Detailed Statement of Financial Activities 19 to 20
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WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 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 31 August 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).

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

The new academic year began with a full order book and all places at the safety centre filled. The number of bookings for Road Crew had risen. The charity saw 9,977 young people pass through the Zones and receive instruction and guidance on safety matters.

There has also been an increased uptake in Road Crew sessions with safety sessions delivered to 5,840 young people throughout AY 2022/23.

The charity remains indebted to its volunteers without whose dedication and professionalism our programmes could not be delivered. Volunteer numbers remain lower than pre-Covid and the volunteer recruitment team have gone to great effort to reach potential new members. This appears to be consistent with a national picture of volunteer shortage and not specific to Warning Zone. The older volunteers, in particular, seem harder to engage which is perhaps an understandable reaction to the issues raised by Covid-19. Although the charity has remained committed to the volunteer model for delivery, the Trustees have explored a range of alternative options which have included a paid model. The discussion remains open, but to date, the increased cost of a paid or hybrid paid/volunteer model remains an obstacle and also goes counter to the spirit of volunteering that the charity has always felt was at its core. Volunteer numbers were increasing towards the end of the academic year and staff were deployed throughout the year to cover gaps. Trustees keep the volunteer numbers under constant review.

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. The first £20,000 was paid in March 2023. Trustees were confident that this charity could continue to meet its repayment obligations.

Frog Island school visits have remained popular with schools and every available session has been taken.

Corporate fundraising has continued to be slow to gain momentum but we continue to work with the business community to engage them with our message. We have been fortunate in a number of significant donations, some of which have supported much needed capital improvements.

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.

Page 1

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2023

FINANCIAL REVIEW

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 £125,000 but this figure is kept under review annually.

At 31 August 2023, the General Reserves were £227,750. The Trustees will continue to monitor the level of reserves to ensure that they remain both appropriate and 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)

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

Page 2

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2023

REFERENCE AND ADMINISTRATIVE DETAILS 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 5 December 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 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

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 member of the 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

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

11 December 2023

Page 4

WARNING ZONE LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2023

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
£
319,737
114,665
54,453
942
489,797
10,655
399,634
410,289
79,508
(20,000)
-
59,508
168,242
227,750		 Designated
Funds
£
-
-
-
-
-
-
16,800
16,800
(16,800)
20,000
-
3,200
1,093,000
1,096,200		 Restricted
funds
£
-
-
-
-
-
-
13,236
13,236
(13,236)
-
-
(13,236)
21,988
8,752		 2023
Total
funds
£
319,737
114,665
54,453
942
489,797
10,655
429,670
440,325
49,472
-
-
49,472
1,283,230
1,332,702		 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

The notes form part of these financial statements

Page 5

WARNING ZONE LIMITED (REGISTERED NUMBER: 05304570)

BALANCE SHEET 31 AUGUST 2023

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
Operational Freehold Property
Revaluation reserve
Fair value reserve
Restricted funds
TOTAL FUNDS		 Unrestricted
fund
£
14,888
-
14,888
10,534
241,779
252,313
(21,236)
231,077
245,965
(18,215)
227,750		 Designated
Funds
£
1,026,200
150,000
1,176,200
-
-
-
(20,000)
(20,000)
1,156,200
(60,000)
1,096,200		 Restricted
funds
£
8,752
-
8,752
-
-
-
-
-
8,752
-
8,752		 2023
Total
funds
£
1,049,840
150,000
1,199,840
10,534
241,779
252,313
(41,236)
211,077
1,410,917
(78,215)
1,332,702
227,750
777,592
293,608
25,000
1,323,950
8,752
1,332,702		 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

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 August 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 August 2023 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 2023

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 5 December 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

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

WARNING ZONE LIMITED

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 exemption 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

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

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		 2023
£
202,374
95,170
22,193
319,737		 2022
£
114,743
151,080
19,130
284,953

continued...

Page 9

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

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
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
31.8.23
£
15,589
6,200
404
22,193		 Year Ended
31.8.23
£
15,589
6,200
404
22,193		 Year Ended
31.8.23
£
15,589
6,200
404
22,193		 Year Ended
31.8.22
£
14,412
4,250
468
14,925		 Year Ended
31.8.22
£
14,412
4,250
468
14,925
2023
£
50,000
30,000
15,170
-
-
95,170
2023
£
26,133
28,320
54,453
2023
£
942		 2022
£
50,000
-
16,080
68,517
16,483
151,080
2022
£
29,223
28,025
57,248
2022
£
27

continued...

Page 10

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

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
8.
TRUSTEES' REMUNERATION AND BENEFITS		 2023
£
114,665
2023
£
10,655
2023
£
4,644
36,852		 2022
£
99,058
2022
£
5,855
2022
£
3,575
36,468

There were no trustees' remuneration or other benefits for the year ended 31 August 2023 nor for the year ended 31 August 2022.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 August 2023 nor for the year ended 31 August 2022.

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		 2023
£
243,177
12,816
4,566
260,559
2023
12		 2022
£
237,498
7,455
4,053
249,006
2022
14

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

Included within staff costs is £15,589 (2022: £14,412) 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 2023

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10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - 31 AUGUST 2022
Unrestricted Designated Restricted Total
fund Funds funds funds
£ £ £ £
INCOME AND ENDOWMENTS FROM
-
Donations and legacies 216,436 68,517 284,953
Charitable activities
- -
Contribution Towards Programme Delivery 99,058 99,058
- -
Other trading activities 57,248 57,248
Investment income 27 - - 27
Total 372,769 - 68,517 441,286
EXPENDITURE ON
- -
Raising funds 5,855 5,855
Charitable activities
Programme Delivery 340,332 15,908 104,339 460,579
Total 346,187 15,908 104,339 466,434
NET INCOME/(EXPENDITURE) 26,582 (15,908) (35,822) (25,148)
Transfers between funds 2,000 - (2,000) -
Other recognised gains/(losses)
Gains on revaluation of fixed assets - 298,000 - 298,000
Net movement in funds 28,582 282,092 (37,822) 272,852
RECONCILIATION OF FUNDS
Total funds brought forward 139,660 810,908 59,810 1,010,378
TOTAL FUNDS CARRIED FORWARD 168,242 1,093,000 21,988 1,283,230
----- End of picture text -----

continued...

Page 12

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

11. TANGIBLE FIXED ASSETS

COST OR VALUATION
At 1 September 2022
Additions
At 31 August 2023
DEPRECIATION
At 1 September 2022
Charge for year
At 31 August 2023
NET BOOK VALUE
At 31 August 2023
At 31 August 2022
COST OR VALUATION
At 1 September 2022
Additions
At 31 August 2023
DEPRECIATION
At 1 September 2022
Charge for year
At 31 August 2023
NET BOOK VALUE
At 31 August 2023
At 31 August 2022
Cost or valuation at 31 August 2023 is represented by:
Valuation in 2022
Cost		 Freehold
property
£
1,050,000
-
1,050,000
7,000
16,800
23,800
1,026,200
1,043,000
Motor
vehicles
£
7,800
-
7,800
7,800
-
7,800
-
-
Freehold
property
£
1,050,000
-
1,050,000		 Scenarios
£
405,693
4,678
410,371
383,188
14,294
397,482
12,889
22,505
Computer
equipment
£
48,286
2,776
51,062
45,875
2,505
48,380
2,682
2,411
Scenarios
£
-
410,371
410,371		 Fixtures
and
fittings
£
56,802
4,072
60,874
49,552
3,253
52,805
8,069
7,250
Totals
£
1,568,581
11,526
1,580,107
493,415
36,852
530,267
1,049,840
1,075,166
Fixtures
and
fittings
£
-
60,874
60,874

continued...

Page 13

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

11. TANGIBLE FIXED ASSETS - continued

Valuation in 2022
Cost		 Motor
vehicles
£
-
7,800
7,800		 Computer
equipment
£
-
51,062
51,062		 Totals
£
1,050,000
530,107
1,580,107

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 2022 and 31 August
2023
Depreciation based on cost
At 1st September 2022
Charge for the year
At 31 August 2023
Net book value
At 31 August 2023
At 1st September 2022		 £
904,814
158,676
14,596
173,272
731,542
746,138

continued...

Page 14

WARNING ZONE LIMITED

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

12. INVESTMENT PROPERTY

FAIR VALUE
At 1 September 2022
and 31 August 2023
NET BOOK VALUE
At 31 August 2023
At 31 August 2022		 £
150,000
150,000
150,000

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 2023 is represented by:

Valuation in 2022
13.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
Prepayments and accrued income
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
Accruals and deferred income		 2023
£
8,888
1,646
10,534
2023
£
10,056
20,000
2,551
4,935
3,694
41,236		 £
150,000
2022
£
4,200
53,528
57,728
2022
£
9,808
20,000
2,633
4,469
4,491
41,401

continued...

Page 15

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

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

Bank loans (see note 16)
Other loans (see note 16)		 2023
£
18,215
60,000
78,215		 2022
£
28,271
80,000
108,271

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. The first repayment was paid in March 2023. 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
Operational Freehold Property
Revaluation reserve
Fair value reserve
Restricted funds
Water Zone
WZ Roadcrew
TOTAL FUNDS
Net movement in funds, included in the above ar
Unrestricted funds
General fund
Operational Freehold Property
Restricted funds
Water Zone
WZ Roadcrew
TOTAL FUNDS		 At 1.9.22
£
168,242
774,392
293,608
25,000
1,261,242
21,667
321
21,988
1,283,230
e as follows:		 Net
movement
in funds
£
79,508
(16,800)
-
-
62,708
(13,000)
(236)
(13,236)
49,472
Incoming
resources
£
489,797
-
489,797
-
-
-
489,797		 Transfers
between
funds
£
(20,000)
20,000
-
-
-
-
-
-
-
Resources
expended
£
(410,289)
(16,800)
(427,089)
(13,000)
(236)
(13,236)
(440,325)		 At
31.8.23
£
227,750
777,592
293,608
25,000
1,323,950
8,667
85
8,752
1,332,702
Movemen
in funds
£
79,508
(16,800)
62,708
(13,000)
(236)
(13,236)
49,472

continued...

Page 16

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

17. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.9.21
£
Unrestricted funds
General fund
139,660
Scenarios
741
Operational Freehold Property
789,559
Revaluation reserve
20,608
Fair value reserve
-
950,568
Restricted funds
Aviva
750
Water Zone
34,667
WZ Roadcrew
22,393
Bruce Wake Charitable Foundation
2,000
59,810
TOTAL FUNDS
1,010,378
Comparative net movement in funds, included in the above are as
Incoming
resources
£
Unrestricted funds
General fund
372,769
Scenarios
-
Operational Freehold Property
-
Revaluation reserve
-
Fair value reserve
-
372,769
Restricted funds
Aviva
-
Water Zone
-
WZ Roadcrew
-
Randal Roof Fund
68,517
68,517
TOTAL FUNDS
441,286		 Net
movement
in funds
£
26,582
(741)
(15,167)
273,000
25,000
308,674
(750)
(13,000)
(22,072)
-
(35,822)
272,852
follows:
Resources
expended
£
(346,187)
(741)
(15,167)
-
-
(362,095)
(750)
(13,000)
(22,072)
(68,517)
(104,339)
(466,434)		 Transfers
between
funds
£
2,000
-
-
-
-
2,000
-
-
-
(2,000)
(2,000)
-
Gains and
losses
£
-
-
-
273,000
25,000
298,000
-
-
-
-
-
298,000		 At
31.8.22
£
168,242
-
774,392
293,608
25,000
1,261,242
-
21,667
321
-
21,988
1,283,230
Movement
in funds
£
26,582
(741)
(15,167)
273,000
25,000
308,674
(750)
(13,000)
(22,072)
-
(35,822)
272,852

continued...

Page 17

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2023

WARNING ZONE LIMITED

17. MOVEMENT IN FUNDS - continued

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.

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 £4,566 (2022: £4,053). Contributions of £nil (2022: £nil) 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 £9,861 (2022: £12,850). An amount of £nil (2022: £708l) was owed to Signum Corporate Communications Limited at the year end.

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

Page 18

WARNING ZONE LIMITED

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2023

INCOME AND ENDOWMENTS
Donations and legacies
Donations
Grants
Donated services and facilities
Other trading activities
Fundraising events
Rental income
Investment income
Deposit account interest
Charitable activities
Direct income from schools
Total incoming resources
EXPENDITURE
Raising donations and legacies
Fundraising events
Charitable activities
Wages
Social security
Pensions
Rates and water
Insurance
Light and heat
Telephone and IT
Postage and stationery
Advertising
Sundries
Travel and subsistence
Training
Cleaning
Subscriptions
Repairs and maintenance
Freehold property
Carried forward		 2023
£
202,374
95,170
22,193
319,737
26,133
28,320
54,453
942
114,665
489,797
10,655
243,177
12,816
4,566
1,369
12,739
20,453
2,629
4,787
1,216
1,061
7,971
639
16,511
2,759
38,951
16,800
388,444		 2022
£
114,743
151,080
19,130
284,953
29,223
28,025
57,248
27
99,058
441,286
5,855
237,498
7,455
4,053
2,081
14,274
18,472
11,600
3,463
1,152
1,966
9,428
585
16,987
1,681
78,621
15,167
424,483

This page does not form part of the statutory financial statements

Page 19

WARNING ZONE LIMITED

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2023

Charitable activities
Brought forward
Scenarios
Fixtures and fittings
Motor vehicles
Computer equipment
Bank charges
Loan interest
Support costs
Governance costs
Independent examiners remuneration
Legal fees
Total resources expended
Net income/(expenditure)		 2023
£
388,444
14,294
3,253
-
2,505
988
7,040
416,524
4,644
8,502
13,146
440,325
49,472		 2022
£
424,483
14,459
3,189
1,560
2,094
1,043
5,332
452,160
3,575
4,844
8,419
466,434
(25,148)

This page does not form part of the statutory financial statements

Page 20