Charity registration number 11119196
Company registration number 05304299 (England and Wales)
SQUIRRELS DAY NURSERY (CORBY) LIMITED ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
SQUIRRELS DAY NURSERY (CORBY) LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees C L Tiley H A Reid K Y Blincowe Charity number 11119196 Company number 05304299 Registered office Hazelwood Neighbourhood Centre 154 Gainsborough Road Corby Northamptonshire NN18 0QF Independent examiner Moore Oakley House Headway Business Park 3 Saxon Way West Corby Northamptonshire NN18 9EZ
SQUIRRELS DAY NURSERY (CORBY) LIMITED
CONTENTS
| Page | |
|---|---|
| Chairman's statement | 1 |
| Trustee report | 2 - 3 |
| Independent examiner's report | 4 |
| Statement of financial activities | 5 |
| Balance sheet | 6 |
| Notes to the financial statements | 7 - 13 |
SQUIRRELS DAY NURSERY (CORBY) LIMITED
CHAIRMAN'S STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2022
The 2022 financial year has been a challenging one for the charity; the coronavirus pandemic brought with it many difficulties to overcome. Despite this the charity decided to remain open to provide childcare and support to vulnerable children and nursery care to the children of keyworkers. Like many organisations, some staff had to be furloughed, but through careful planning and risk assessment, services could still be offered through this difficult time.
Through careful monitoring of costs, the charity has achieved a surplus for this year and the prior year after suffering small deficits previously, this has helped increase reserves. It is hoped that this can now form a platform to build on over the coming year. Maintaining staff numbers is essential to provide the high standard of childcare and development that the charity has been well known for.
..............................
Chairman
Date: .........................
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
TRUSTEE REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 DECEMBER 2022
The trustees present their annual report and financial statements for the year ended 31 December 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Companies Act 2006 and "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
The charity's main aim is to advance the education and development of children under statutory school age; offer appropriate learning experiences and play facilities; to ensure the nursery offers opportunities for all children whatever their race, culture, religion, means and ability and encourage parents to become involved in the activities of the nursery.
The trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Achievements and performance
The company has built on the achievement of becoming a registered charity following its development through the Neighbourhood Nurseries Initiative. The nursery continues to focus on the development of the project to improve staff skills under the 'Every Child's a Talker' programme and promoting the work of the charity and the childcare facilities offered.
The trustees feel that the charity has been successful in delivering its core function of nursery provision and reaching all areas of the community, in such a demanding year.
It had become clear from questions raised by parents and carers that there was a lack of information available locally to explain the transition from nursery care into the state school system. The nursery has addressed this through arranging talks and sessions given by Northants County Council to parents and carers.
Financial review
The majority of funding continues to be derived from fees paid for nursery places. Total income from charitable activities including milk subsidies amounts to £381,574 (2021 £387,253). The charity received £0 (2021 £21,163) in Coronavirus Job Retention Scheme grants during the year. Salaries are the charities largest cost and total employment costs including pension cost amounted to £321,375 (2021 £331,263).
General charitable overheads have kept under close review and have decreased to £47,865 (2021 £57,678). There is a surplus for the year of £1,947 (2021 surplus £9,326).
Reserves
The charity holds general reserves at the year-end of £43,212 (2021 £41,265).
This is below the charity's objective to hold reserves of at least three months operating costs. The charity continues to formulate a more structured reserves policy and it is hoped that this level can be brought back in line through increased nursery places and potential grants and fund raising.
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
TRUSTEE REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
Structure, governance and management
Governing document
Squirrels Day Nursery (Corby) Limited is a charitable company limited by guarantee governed by its Memorandum and Articles of Association dated 3rd December 2004. It is registered as a charity with the Charity Commission.
Anyone over the age of 18 years can become a trustee or member of the company; currently there are three members, each of whom agree to contribute £1 in the event of the charity winding up.
Recruitment and appointment of trustees
The current trustees have been recruited from employees holding management positions and directors. Recruitment is advertised internally for vacancies and approaches made to parents.
New trustees are given a copy of the Memorandum and Articles of Association together with the latest set of financial accounts and instructed on the duties and responsibilities of a charity trustee. All current trustees are familiar with the work of Squirrels Day Nursery (Corby) Limited as they are employees and directors.
Pay policy for senior staff
The board of trustees are responsible for the recruitment and setting pay policy. Pay and salaries are reviewed annually by the board and are set with reference to government and local authority guidance as budgets permit.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
C L Tiley
H A Reid
K Y Blincowe
The trustee report was approved by the Board of Trustees.
C L Tiley
Trustee
29 August 2023
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF SQUIRRELS DAY NURSERY (CORBY) LIMITED
I report to the trustees on my examination of the financial statements of Squirrels Day Nursery (Corby) Limited (the charity) for the year ended 31 December 2022.
Responsibilities and basis of report
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity 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 the charities financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1 accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements 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
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4 the financial statements 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 financial statements to be reached.
Dated: 29 August 2023
Oakley House Headway Business Park 3 Saxon Way West Corby Northamptonshire NN18 9EZ
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2022
| **Unrestricted ** | Unrestricted | ||
|---|---|---|---|
| funds | funds | ||
| 2022 | 2021 | ||
| Notes | £ | £ | |
| Income and endowments from: | |||
| Charitable activities | 2 | 381,574 | 387,253 |
| Other income | 3 | 385 | 21,163 |
| Total income | 381,959 | 408,416 | |
| Expenditure on: | |||
| Raising funds | 4 | 102,742 | 110,884 |
| Charitable activities | 5 | 277,270 | 288,206 |
| Total expenditure | 380,012 | 399,090 | |
| Net income for the year/ | |||
| Net movement in funds | 1,947 | 9,326 | |
| Fund balances at 1 January 2022 | 41,265 | 31,939 | |
| Fund balances at 31 December 2022 | 43,212 | 41,265 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2022
| 2022 Notes £ Fixed assets Tangible assets 9 Current assets Debtors 10 9,931 Cash at bank and in hand 22,043 31,974 Creditors: amounts falling due within one year 11 (10,529) Net current assets Total assets less current liabilities Income funds Unrestricted funds |
2021 £ £ 21,767 2,604 27,400 30,004 (14,052) 21,445 43,212 43,212 43,212 |
£ 25,313 15,952 |
|---|---|---|
| 41,265 | ||
| 41,265 | ||
| 41,265 |
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 December 2022.
The trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The trustees have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 29 August 2023
C L Tiley Trustee
Company registration number 05304299
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
Charity information
Squirrels Day Nursery (Corby) Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Hazelwood Neighbourhood Centre, 154 Gainsborough Road, Corby, Northamptonshire, NN18 0QF.
1.1 Accounting convention
The financial statements have been prepared in accordance with the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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 charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2 Going concern
Whilst the impact of coronavirus has dissipated to some degree, the legacy of its effect continues to be felt throughout most sectors of the economy. Other matters such as supply chain issues and rising prices, particularly fuel and energy, are impacting across all businesses. Going concern is therefore an important area that the trustees are keeping under close scrutiny. No immediate concerns in relation to the charity’s long term future have been identified, but this area continues to be monitored. The trustees are satisfied that the steps they have taken in the short term are appropriate and effective.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity.
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
1.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Leasehold land and buildings 4% straight line Fixtures and fittings 20% reducing balance Computers 33% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
1.7 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.8 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.
1.9 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
(Continued)
Basic financial liabilities
Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
1.10 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.11 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2 Nursery fees
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Nursery fees | 381,574 | 387,253 |
3 Other income
| CJRS income SSP rebate scheme |
2022 £ - 385 385 |
2021 £ 21,163 - |
|---|---|---|
| 21,163 |
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
4 Raising funds
| 4 | Raising funds | Raising funds |
|---|---|---|
| 5 | Unrestricted Unrestricted funds funds 2022 2021 £ £ Trading costs Support costs 102,742 110,884 102,742 110,884 Charitable activities 2022 2021 £ £ Staff costs 266,498 278,057 Food costs 10,772 10,149 277,270 288,206 277,270 288,206 |
|
| 110,884 | ||
| 2021 £ 278,057 10,149 |
||
| 288,206 | ||
| 288,206 |
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
| 6 Support costs Staff costs Depreciation Sundry expenses & subscriptions Advertising Rent and rates Light and heat Cleaning Bank charges Insurance Training Trips and activities Toys and equipment Artwork materials Accountancy fees Legal and professional Clothing Telephone and postage Repairs and renewals Printing and stationery Computer expenses Analysed between Trading |
Support costs Governance costs £ £ 54,877 - - 3,546 - 1,505 - 590 - 13,502 - 5,834 - 3,064 - 148 - 1,385 - 895 - 72 - 4,700 - 546 - 3,286 - 1,320 - 772 - 2,495 - 2,596 - 54 - 1,555 54,877 47,865 54,877 47,865 |
2022 £ 54,877 3,546 1,505 590 13,502 5,834 3,064 148 1,385 895 72 4,700 546 3,286 1,320 772 2,495 2,596 54 1,555 102,742 102,742 |
Support costs Governance costs £ £ 53,206 - - 3,645 - 625 - 369 - 15,579 - 5,231 - 1,768 - 439 - 1,137 - 396 - 163 - 9,756 - 1,763 - 2,728 - 990 - 1,167 - 2,731 - 8,249 - 22 - 920 53,206 57,678 53,206 57,678 |
2021 £ 53,206 3,645 625 369 15,579 5,231 1,768 439 1,137 396 163 9,756 1,763 2,728 990 1,167 2,731 8,249 22 920 |
|---|---|---|---|---|
| 110,884 | ||||
| 110,884 |
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
7 Trustees
C Tiley, K Blincowe and H Reid are related to the charity due to their position as trustees. During the year the trustees worked within the charity and received remuneration as follows:
C Tiley trustee and director £25,620 (2021: £25,176), K Blincowe trustee and director £23,956 (2021: £23,111) and H Reid trustee £28,864 (2021 £28,262)
8 Employees
The average monthly number of employees during the year was:
| Employment costs Wages and salaries Social security costs Other pension costs |
2022 Number 20 2022 £ 295,294 18,370 7,711 321,375 |
2021 Number 17 |
|---|---|---|
| 2021 £ 306,727 17,477 7,059 |
||
| 331,263 |
There were no employees whose annual remuneration was more than £60,000.
9 Tangible fixed assets
| Leasehold land and buildings Fixtures and fittings Computers £ £ £ Cost At 1 January 2022 71,595 22,517 5,077 At 31 December 2022 71,595 22,517 5,077 Depreciation and impairment At 1 January 2022 48,672 21,692 3,512 Depreciation charged in the year 2,864 165 517 At 31 December 2022 51,536 21,857 4,029 Carrying amount At 31 December 2022 20,059 660 1,048 At 31 December 2021 22,923 825 1,565 |
Total £ 99,189 |
|---|---|
| 99,189 | |
| 73,876 3,546 |
|
| 77,422 | |
| 21,767 | |
| 25,313 |
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SQUIRRELS DAY NURSERY (CORBY) LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
10 Debtors
| Debtors | ||
|---|---|---|
| Amounts falling due within one year: Trade debtors Prepayments and accrued income |
2022 £ 5,582 4,349 9,931 |
2021 £ 1,967 637 |
| 2,604 |
11 Creditors: amounts falling due within one year
| Creditors: amounts falling due within one year | ||
|---|---|---|
| Other taxation and social security Trade creditors Other creditors Accruals and deferred income |
2022 £ 3,596 2,507 1,526 2,900 10,529 |
2021 £ 4,831 6,291 20 2,910 |
| 14,052 |
12 Related party transactions
There were no disclosable related party transactions during the year (2021 - none).
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