ROYAL SOUTHERN YACHT CLUB TRUST (A company limited by guarantee)
Directors’ and Trustees’ Report and
Financial Statements for the year ended 31st March 2021
ROYAL SOUTHERN YACHT CLUB TRUST (A company limited by guarantee)
Contents of the Reports and Financial Statements for the year ended 31st March 2021
| Trustees’ and Directors’ Report | 2 |
|---|---|
| Independent Examiner’s Report | 5 |
| Statement of financial activities | 6 |
| (including Income & Expenditure Account) | |
| Balance Sheet | 7 |
| Notes to the financial statements | 8 |
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ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Trustees’ and Directors’ Report for the year ended 31st March 2021
Legal and administrative information
| CHARITY NAME: | Royal Southern Yacht Club Trust |
|---|---|
| CHARITY REGISTRATION | |
| NUMBER: | 1118889 |
| COMPANY REGISTRATION | |
| NUMBER: | 06156598 (England and Wales) |
| REGISTERED OFFICE: | Royal Southern Yacht Club |
| Rope Walk | |
| Hamble | |
| Southampton | |
| SO31 4HB | |
| TRUSTEES AND DIRECTORS | B L Mead FCA |
| Mrs L Rochford | |
| T M Fletcher – resigned 10thSeptember 2020 | |
| N J H Russell | |
| E W Stevens | |
| C J Gillingham | |
| R M Squire | |
| Mrs S S Robinson – appointed 20thJanuary 2021 | |
| COMPANY SECRETARY: | B L Mead FCA |
| INDEPENDENT EXAMINER: | Mark H Rogers |
| Fortus South Limited | |
| 3 Richfield Place | |
| Richfield Avenue | |
| Reading | |
| Berkshire | |
| RG1 8EQ | |
| BANKERS: | National Westminster Plc |
| 2 Portsmouth Road | |
| Woolston | |
| Southampton | |
| SO19 9RZ | |
| SOLICITORS: | Wilsons Solicitors LLP |
| Steynings House | |
| Summerlock Approach | |
| Salisbury | |
| Wiltshire | |
| SP2 7RJ |
Page 2
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
The Trustees’ and Directors’ Report
(continued)
Governing document
The organisation is a charitable company limited by guarantee. It was incorporated on 13[th] March 2007 and registered as a charity on 20[th] April 2007. Accordingly this is the eighth annual report.
The company was established under a Memorandum of Association, which details the objects and powers of the charitable company, and it is governed under its Articles of Association, currently unamended. The company is limited by guarantee. In the event of a winding up the liability of each member is limited to a contribution to the company’s assets of £10.
Appointment of Trustees
The directors of the company are also charity trustees for the purposes of charity law and under the company’s Articles are known as Trustees. Under the requirements of the Articles of Association one third of the Trustees must retire at each Annual General Meeting. The retiring Trustees may offer themselves for re-election. Four additional Trustees were appointed during the year.
The Trustees are familiar with the objectives of the charity and have been drawn from the sailing and local community. Additionally all new Trustees are supplied with all necessary information, for example, Memorandum & Articles of Association and other relevant documents.
Risk management
The Trustees have conducted a review of the major risks to which the charity is exposed. The major risks identified are the maintenance of the charity’s capital and related investment policy and to ensure that grants are only awarded to projects that are considered to be safe and achievable.
The management of the resources available to the charity is conducted solely by the Trustees as a group and a thorough consideration and examination of all applications for grants is considered by the board of Trustees as a body.
Organisational structure
The Trustees meet biannually and are responsible for both the strategic direction and policy of the charity as well as being responsible for the day to day management.
Related parties
The Trust was formed in anticipation of a very generous donation as a bequest from a former member of the Royal Southern Yacht Club Limited (the Club). The Club provides assistance in the day to day administration of the Trust. The Trust’s policy is, in general terms, to lend the principal sums donated to it to the Club and to apply the income received from these investments to the provision of grants to appropriate projects and causes, which are from a wide spectrum of applicants.
Objectives and activities
The objects of the Trust are:
-
The advancement of amateur sport and, in particular, the provision of facilities and assistance to enable and encourage participation in sailing or yachting.
-
The advancement of such other charitable purposes as the Trustees shall from time to time determine.
The Board had previously determined that grants should be made twice yearly from the income of the Trust whilst the capital is maintained and invested to provide the income. This policy continues. The income is supplemented by the annual subscriptions received from the Friends of the Trust who receive regular reports on the activities of the Trust. As of the date of this report there are over one hundred Friends. A further addition to the income is the occasional donation from visitors to the Club.
Page 3
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
The Trustees’ and Directors’ Report
(continued)
Objectives and activities
(continued)
In accordance with the objects, and to comply with the Trustees’ duty to have due regard to public benefit, the Board has again invited applications for grants from local and other relevant organisations. There was only one meeting awarding grants during this financial year due to coronavirus. In January 2021 three awards were made amounting to £6,350. Total grants awarded for the year therefore amounted to £7,350. All the awards were made from the Trust’s income available at that time and a bequest of £50,000 in memory of Tony Chamberlain to be ring fenced for The Ocean Youth Trust South. Grants were awarded for assisting applicants to compete in world, international and national championships which in a number of cases very successful results were achieved. Grants were also awarded to assist disabled, disadvantaged, and vulnerable applicants to compete and benefit from sailing.
The income of the Trust for the year was £62,759 resources expended £8,876 resulting in an increase to the Funds of £53,883. On 31[st] March 2021 total funds amounted to £395,900.
The interest income on the loan to the Royal Southern Yacht Club Limited provided income which was used to fund both the charitable activities of the Trust and its operating costs. The policy is that grants should be made from income whilst capital is maintained and invested to provide continuing income for the future. The Trust has maintained sufficient available cash balances to fund approved grants and expected short term requirements.
Trustees’ responsibilities
Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charity company as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure, for the financial year. In preparing those financial statements, the Trustees should follow best practice and:
-
Select suitable accounting policies and then apply them consistently:
-
Make judgements and estimates that are reasonable and prudent:
-
Prepare the financial statements on the going concern basis unless it is inappropriate to assume that the company will continue on that basis.
The Trustees are responsible for maintaining proper accounting records which disclose accurately at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. The Trustees are also responsible for safeguarding the assets of the charity company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has 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 2018 (FRS102) - (Charities SORP (FRS102)), and in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
On behalf of the Board
B L Mead Director Date: 23[rd] December 2021
Page 4
Independent Examiner’s Report to the Trustees of ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
I report on the accounts of the company for the year ended 31[st] March 2021 which are set out on pages 6 to 11.
Responsibilities and basis of report
As the charity’s trustees of the Company (who are also the directors of the company 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 for this year under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (“the 2011 Act”). In carrying out my examination, I have followed the Directions given by the Charity Commission (under section 145(5)(b) of the 2011 Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention which gives me cause to believe that:
-
accounting records were not kept in accordance with section 386 of the Companies Act 2006; or
-
the accounts do not accord with such records; or
-
the accounts do not comply with relevant accounting requirements under section 396 of the Companies Act 2006 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
-
the accounts have not been prepared in accordance with the Charities SORP (FRS102).
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.
Mark H Rogers Fortus South Limited 3 Richfield Place Richfield Avenue Reading Berkshire RG1 8EQ
Date: 23[rd] December 2021
Page 5
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Statement of financial activities (including Income and Expenditure Account) for the year ended 31st March 2021
| Unrestricted funds Notes £ Incoming resources Donations received 2 2,777 Taxation receivable on donations - Interest receivable 9,982 12,759 Resources expended Charitable grants 2,000 Governance costs 3 1,526 3,526 Net incoming resources 9,233 Total Funds brought forward 335,595 Total Funds carried forward 344,828 |
Restricted funds £ 50,000 - - 50,000 5,350 - 5,350 44,650 6,422 51,072 |
2021 Total £ 52,777 - 9,982 62,759 7,350 1,526 8,877 53,883 342,017 395,900 |
2020 Total £ 2,740 - 10,025 |
|---|---|---|---|
| 12,765 | |||
| 2,150 1,549 3,699 |
|||
| 9,966 332,951 |
|||
| 342,017 |
The statement of financial activities includes all gains and losses in the periods. All incoming resources and resources expended derive from continuing activities
The notes on pages 8 to 11 form part of these financial statements
Page 6
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Balance Sheet at 31[st] March 2021
| Balance Sheet at 31st March 2021 | ||
|---|---|---|
| Notes Current assets Debtors (amounts falling due after more than one year £188,200 (2020 - £198,200)) 6 Cash at bank Creditors:amounts falling due within one year 7 Net assets Represented by: Unrestricted funds 8 Restricted funds 8 |
2021 £ 308,537 88,083 396,620 720 395,900 344,828 51,072 395,900 |
2020 £ 307,130 35,777 |
| 342,907 890 |
||
| 342,017 | ||
| 335,595 6,422 |
||
| 342,017 |
The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st March 2021.
The members have not required the company to obtain an audit of its financial statements for the year ended 31st March 2021 in accordance with Section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for:
-
(a) ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and
-
(b) preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.
These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
The financial statements were approved by the Board of Directors on 23[rd] December 2021 were signed on its behalf by:
B L Mead FCA
Director
The notes on pages 8 to 11 form part of these financial statements
Page 7
ROYAL SOUTHERN YACHT CLUB TRUST (A company limited by guarantee)
Notes to the financial statements for the year ended 31[st] March 2021
1. Accounting policies
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the period.
Basis of accounting .
The financial statements have been prepared under the historical cost convention and 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 (FRS102) (effective 1 January 2019) - (Charities SORP (FRS102)) the Financial Reporting Standard applicable in the UK and Republic of Ireland 2018 (FRS102) and the Companies Act 2006.
Fund accounting.
Unrestricted funds comprise those funds which the Trustees are free to use in accordance with the charitable objectives of the charity. Restricted funds are funds which have been given for particular purposes. Each restricted fund must be used wholly to provide resources for the purpose for which the funds have been granted.
Incoming resources
Incoming resources are included in the Statement of Financial Activities on the following basis: Donations - when received. Taxation recoverable - when receivable based on the date of receipt of the applicable donation Interest - when receivable
Resources expended
Grants payable are recognised on agreement of amounts payable by the directors.
2. Donations
| Donations received comprised: General donations Friends of the Trust Resources expended Resources expended on governance costs comprises Management charges Legal Accountancy Bank charges Insurance |
2021 £ 50,000 2,777 52,777 2021 £ 600 13 720 2 191 1,526 |
2020 £ 60 2,680 3,740 2020 £ 600 13 720 60 156 1,549 |
|---|---|---|
3. Resources expended
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ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Notes to the financial statements for the year ended 31[st] March 2021
(continued)
4. Directors’ remuneration and average number of employees
The directors received no remuneration in the period. The average number of employees during the year was nil (2020 nil).
5. Taxation
The charity is exempt from corporation tax on its charitable activities.
6. Debtors
| Due within less than one year Amounts due from Royal Southern Yacht Club Limited Due after more than one year Amounts due from Royal Southern Yacht Club Limited Other debtors |
2021 £ 120,027 188,200 310 308,537 |
2020 £ 108,800 198,200 130 307,130 |
|---|---|---|
The amounts due from Royal Southern Yacht Club Limited include loans of £307,000 (2020 - £307,000) which are subject to interest at one quarter of one percent above base rate subject to a minimum of 3.25 per cent per annum. Repayments are calculated annually at 20% of the net profits of Royal Southern Yacht Club Limited based on the audited accounts, with a minimum of £10,000. The terms of the loans are as per agreements dated 28[th] September 2010 and 25[th] March 2011. Loans included in the total loans which are repayable on demand are £118,800 (2020 - £108,800).
7. Creditors: amounts due within one year
| Other creditors | 2021 £ 720 720 |
2020 £ 890 890 |
|---|---|---|
Page 9
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Notes to the financial statements for the year ended 31[st] March 2021
(continued)
8. Funds
Restricted funds are in respect of donations received for the benefit of any person, activity or equipment directly connected with the Royal Southern Yacht Club Academy, Madin fund for coaching any young sailors aged 16 to 25 be they able bodied or disabled, and the Ocean Youth Trust Southern awarded to assist disabled, disadvantaged, and vulnerable applicants to compete and benefit from sailing.
Analysis of movements in funds
| Balance at 1stApril 2020 £ Unrestricted funds General fund 335,595 Restricted funds Academy 2,847 Madin 3,575 Ocean Youth Trust - 6,422 Analysis of movements in funds – previous year Balance at 1stApril 2019 £ Unrestricted funds General fund 325,629 Restricted funds Academy 2,847 Madin 4,475 7,322 |
Income Expenditure Funds at 31stMarch 2021 £ £ £ 12,759 (3,526) 344,828 - - 2,847 - (350) 3,225 50,000 (5,000) 45,000 50,000 (5,350) 51,072 Income Expenditure Funds at 31stMarch 2020 £ £ £ 12,765 (3,799) 335,595 - - 2,847 - (900) 3,575 - (900) 6,422 |
|---|---|
Page 10
ROYAL SOUTHERN YACHT CLUB TRUST
(A company limited by guarantee)
Notes to the financial statements
for the year ended 31[st] March 2021
(continued)
9. Analysis of net assets between funds
Analysis of net assets between funds is as follows:
Current assets Current liabilities |
Unrestricted Restricted funds funds £ £ 345,548 51,072 (720) - 344,828 51,072 |
Total £ 396,620 (720) 395,900 |
|---|---|---|
Analysis of net assets between funds – previous year:
Current assets Current liabilities |
Unrestricted Restricted funds funds £ £ 336,685 6,422 (890) - 335,595 6,422 |
Total £ 342,907 (890) 342,017 |
|---|---|---|
10. Related parties
The Royal Southern Yacht Club Limited is considered to be a related party. Interest receivable on loans during the year amounted to £9,977 (2020- £10,004) and management fees payable to Royal Southern Yacht Club Limited in the year amounted to £600 (2020 - £600).
11. Legal status of the Trust
The Royal Southern Yacht Club Trust is a company limited by guarantee and has no share capital. In the event of a winding up the liability of each member is limited to a contribution to the company’s assets of £10.
Page 11