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2021-01-31-accounts

Mass Extinction Monitoring Observatory

(A company limited by guarantee)

Annual Report and Financial Statements Year Ended 31 January 2021 Company registration number: 06087344 Charity registration number: 1122701

Mass Extinction Monitoring Observatory

Contents

Reference and Administrative Details 1
Trustees' Report 2 to 5
Statement of Trustees' Responsibilities 6
Independent Examiner's Report 7
Statement of Financial Activities 8
Balance Sheet 9 to 10
Notes to the Financial Statements 11 to 19

Mass Extinction Monitoring Observatory

Reference and Administrative Details

Trustees Sir Ghillean Prance FRS VMH (Chairman) Dame Julia Cleverdon DBE Peter Cruttwell Sue Lyons Andy Matthews Mr Matthew Moore Sir Tim Smit KBE Ms Raina Summerson (appointed 11 August 2020)

Secretary Peter Cruttwell Registered Office Towngate House 2-8 Parkstone Road Poole Dorset BH15 2PW

Company Registration Number 06087344 Charity Registration Number 1122701 Independent Examiner PKF Francis Clark Chartered Accountants Towngate House 2-8 Parkstone Road Poole Dorset BH15 2PW

Mass Extinction Monitoring Observatory

Trustees' Report

The Trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 January 2021.

Legal status & Objects

The Charity is a company limited by guarantee. The governing document is the Charity's Memorandum and Articles of Association dated 6 February 2007, as amended 7 February 2008. The Charity’s objectives are to advance the education of the public, including the promotion of study and research for the public benefit into the extinction of animals, flora and fauna and to promote the preservation and protection of the environment and of endangered species by the construction and operation of a new public education centre, with a specific focus upon biodiversity. HRH Prince Philip, Duke of Edinburgh KG is the Charity’s Royal Patron.

Vision

A future in which the sixth mass extinction - the first human-induced extinction - has been stopped and large-scale regeneration of biodiversity is delivered as a fundamental responsibility of society.

Mission

Review of Main Activities and Achievements

The Charity's objectives for 2020/2021 have been seriously affected by the Coronovirus epidemic. Specific fund-raising and presentation plans have been cancelled and there have been delays or a lack of clarity in areas of critical importance to the Charity's development particularly in respect of Government support for deprived areas as part of the "levelling-up" initiative.

Unfortunately, the position of Portland Island as one of the most disadvantaged areas in southern England seems to have been overlooked as mainland projects have been favoured. Nevertheless, the Trustees remain confident that the Charity has the means to continue to be able to seize and develop opportunities as they arise.

The Trustees intend to revive and pursue new and existing opportunities whilst maintaining and developing the partnership with the Eden Project through Eden Portland. The MoU with Eden remains the basis of our strategic plan as part of Eden's wider projects at home and overseas.

The Dorset County Council LEP - Local Enterprise Partnership - has continued its support by financing the carving by Sebastian Brooke, aided by numerous schoolchildren, of a Cycad tree. Our Chairman, Sir Ghillean Prance FRS, comments:

"The Cycads are one of the most ancient groups of plants that originated about 340 million years ago. They were around with the dinosaurs in the Jurassic Era. There are many fossils of extinct species of Cycads and 347 are still extant today, but two thirds of these are rare and listed as threatened with extinction. The Sebastian Brooke carving of a magnificent extinct cycad tree is a wonderful emblem for MEMO, situated on the Jurassic Coast of Dorset, that seeks to convey a message that will prevent further species from becoming extinct."

Page 2

Mass Extinction Monitoring Observatory

Trustees' Report

Below is a photo of the carving itself but superimposed by CGI on to one of the walls in the underground mine where MEMO/Eden Portland will actually be created.

Page 3

Mass Extinction Monitoring Observatory

Trustees' Report

Finally, here is a very timely endorsement of our mission in the form of a dedication by James Lovelock to MEMO of his seminal book The Vanishing Face of Gaia

Page 4

Mass Extinction Monitoring Observatory

Trustees' Report

Financial review and going concern

The financial results for the period and the position at the period end are shown in the attached financial statements.

The Charity’s unrestricted funds were in deficit by £37,992 at the balance sheet date. We are being supported by private donors and future grant funding is being negotiated with the LEP. In the longer term, the Trustees are confident that our fund-raising drive, which has been seriously delayed in 2020/21 by Covid-19, will be successful as the association with Eden International takes shape. On this basis the Trustees are satisfied that the Charity will be able to meet its liabilities and so continue to adopt the going-concern basis of preparation in these Accounts.

Reserves policy

The Trustees have not yet developed a reserves policy and cannot reasonably do so until the Project envisaged in the Memorandum of Understanding between MEMO and the Eden Project International Limited has been achieved.

Methods for the appointment of Trustees

The Board of Trustees includes a balance of commercial, scientific and educational expertise, along with a representative of MEMO’s partner organisation, The Eden Project. As the Charity’s operations develop and expand, the Trustees continue to monitor the skills required on the Board and will consider recruiting additional expertise as the need arises. In the longer run, close regard will be paid to the composition of both this Board and that of Eden Portland.

The annual report was approved by the Trustees of the Charity on 29 November 2021 and signed on its behalf by:

......................................... Peter Cruttwell Company Secretary and Trustee

Page 5

Mass Extinction Monitoring Observatory

Statement of Trustees' Responsibilities

The Trustees (who are also the directors of Mass Extinction Monitoring Observatory for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the Trustees of the Charity on 29 November 2021 and signed on its behalf by:

......................................... Peter Cruttwell Company Secretary and Trustee

Page 6

Mass Extinction Monitoring Observatory

Independent Examiner's Report to the Trustees of Mass Extinction Monitoring Observatory

Independent Examiner’s report to the Trustees of Mass Extinction Monitoring Observatory

I report to the Charity's Trustees on my examination of the accounts of the Company for the year ended 31 January 2021.

Responsibilities and basis of report

As the Charity’s Trustees (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

At the year-end there was a deficit in the Charity unrestricted funds of £37,992 and there is a degree of uncertainty regarding the financial outcome of future years. As stated in the Trustees' Report and going concern accounting policy, financial support is provided from private donors and future grant funding is being negotiated with the LEP. We understand from the Trustees that they have every reason to believe that this support will continue.

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:

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.

...................................... Anne-Marie Gates FCCA FCA (a partner of) PKF Francis Clark, Chartered Accountants Towngate House 2-8 Parkstone Road Poole Dorset BH15 2PW Date: 30 November 2021

Page 7

Mass Extinction Monitoring Observatory

Statement of Financial Activities

Year Ended 31 January 2021 (Including Income and Expenditure Account)

Note
Income and Endowments from:
Donations and legacies
2
Total Income
Expenditure on:
Charitable activities
3
Total Expenditure
Net expenditure
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
15
Note
Income and Endowments from:
Donations and legacies
2
Total Income
Expenditure on:
Charitable activities
3
Total Expenditure
Net expenditure
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
15
Unrestricted
funds
£
34,359
34,359
(39,215)
(39,215)
(4,856)
(4,856)
(33,136)
(37,992)
Unrestricted
funds
£
57,500
57,500
(73,860)
(73,860)
(16,360)
(16,360)
(16,776)
(33,136)
Total
2021
£
34,359
34,359
(39,215)
(39,215)
(4,856)
(4,856)
(33,136)
(37,992)
Total
2020
£
57,500
57,500
(73,860)
(73,860)
(16,360)
(16,360)
(16,776)
(33,136)

All of the Charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 15.

Page 8

Mass Extinction Monitoring Observatory

Balance Sheet

31 January 2021

Note
Fixed assets
Intangible assets
9
Tangible assets
10
Heritage assets
11
Current assets
Debtors
12
Cash at bank and in hand
Creditors: Amounts falling due within one year
13
Net current liabilities
Total assets less current liabilities
Creditors: Amounts falling due after more than one year
14
Provisions
Net liabilities
Funds of the Charity:
Unrestricted income funds
Unrestricted funds
Total funds
15
2021
£
60,001
1,349
59,493
120,843
2,734
9,919
12,653
(105,948)
(93,295)
27,548
(65,539)
(1)
(37,992)
(37,992)
(37,992)
2020
£
60,001
2,023
59,493
121,517
1,715
19,243
20,958
(110,071)
(89,113)
32,404
(65,539)
(1)
(33,136)
(33,136)
(33,136)

Page 9

Mass Extinction Monitoring Observatory

Balance Sheet

31 January 2021

For the financial year ending 31 January 2021 the Charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements on pages 8 to 19 were approved by the Trustees, and authorised for issue on 29 November 2021 and signed on their behalf by:

......................................... Peter Cruttwell Company Secretary and Trustee

Company Registration Number: 06087344

Page 10

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

1 Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

The financial statements have been prepared on the going concern basis 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 (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Basis of preparation

Mass Extinction Monitoring Observatory meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Going concern

The financial statements have been prepared on a going concern basis. As explained in the Trustees' Report, the board have considered the uncertainty relating to the coronavirus pandemic and the impact on the Charity’s operations and finances in the short to medium term. In the opinion of the board, with the support of the Eden Project, concessionary loans from current and past board trustees, donations received from trustees and proactively managing cash-flow the Charity has sufficient working capital to continue to meet its financial obligations and pay its liabilities as they fall due for the foreseeable future and therefore the financial statements have been prepared on a going concern basis. The Board have considered the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of additional support received for the Charity to be able to continue as a going concern.

Exemption from preparing a cash flow statement

The Charity adopted Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.

Income and endowments

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.

Page 11

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

Donations and legacies

Donations are recognised when the Charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the Charity before the Charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the Charity and it is probable that these conditions will be fulfilled in the reporting period.

Grants receivable

Grants are recognised when the Charity has an entitlement to the funds and any conditions linked to the grants have been met. Where unconditional entitlement has been met but funds have not yet been received, the balance is recognised as accrued income. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

Charitable activities

Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs

These include the costs attributable to the Charity’s compliance with constitutional and statutory requirements, including audit, strategic management and Trustees’ meetings and reimbursed expenses.

Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Intangible assets

Intangible assets are stated in the Balance Sheet at cost less accumulated amortisation and impairment. They are amortised on a straight line basis over their estimated useful lives.

Page 12

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

Tangible fixed assets

Individual fixed assets costing £100.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Depreciation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class Depreciation method and rate Fixtures and Fittings 33% Reducing balance

Heritage assets

Heritage assets are held at cost. The assets are deemed to have an indefinite life and are therefore not depreciated. Impairment is considered when there are signs of physical deterioration. The assets are maintained and are intended to be preserved to the standard at which they were acquired.

Heritage assets held are a permanent collection of carvings and bells, which will form part of the Charity's display collection.

These assets are significant to the Charity because the Charity's objects are to advance the education of the public, including the promotion of study and research for the public benefit into the extinction of animals, flora and fauna and to promote the preservation and protection of the environment and of endangered species by the provision and maintenance of the Mass Extinction Monitoring Observatory. The assets are used by the Charity for these purposes.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Concessionary loans

Concessionary loans are recognised at the amount received, adjusted to reflect interest payable where applicable, and are not discounted.

Page 13

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

Fund structure

Unrestricted income funds are general funds that are available for use at the Trustees' discretion in furtherance of the Objects of the Charity.

Pensions and other post retirement obligations

The Charity operates a defined contribution pension scheme. Contributions are charged in the statement of financial activities as they become payable in accordance with the rules of the scheme.

2 Income from donations and legacies

Donations and legacies;
Donations from individuals
Gift aid reclaimed
Grants, including capital grants;
Local authority grants
Unrestricted
funds
General
£
29,350
5,009
-
34,359
Total
2021
£
29,350
5,009
-
34,359
Total
2020
£
-
-
57,500
57,500

Page 14

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

3 Expenditure on charitable activities

Travel and subsistence
Wages and Salaries
Governance costs (see separate note)
Other consultancy fees
Insurance
Office expenses
Printing, postage and stationery
Bank charges
Depreciation of office equipment
Advertising
Sundry
Events
Staff Expenses
Irrecoverable VAT
Total
2021
£
273
-
2,320
33,841
1,807
-
-
87
674
200
13
-
-
-
39,215
Total
2020
£
1,783
33,694
11,705
16,377
2,084
1,100
532
65
1,012
-
13
4,500
2,059
(1,064)
73,860

4 Analysis of governance and support costs

Governance costs

Independent Examiner's fees
Examination of the financial statements
Examiner's fees understated/(overstated) in prior
year
Accountancy fees
Unrestricted
funds
General
£
4,000
(2,100)
420
2,320
Total
2021
£
4,000
(2,100)
420
2,320
Total
2020
£
5,000
4,635
2,070
11,705

Page 15

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

5 Net incoming/outgoing resources

Net outgoing resources for the year include:

Depreciation of fixed assets
Examiner's fee
Examiner's fee understated in prior year
2021
£
674
4,000
(2,100)
2020
£
1,012
5,000
4,635

6 Trustees' remuneration and expenses

During the year the Charity made the following transactions with Trustees:

Peter Cruttwell

During the year £123 (2020: £1,165) of expenses were reimbursed.

No other Trustees have received any reimbursed expenses or any other benefits from the Charity during the year.

7 Staff costs

The aggregate payroll costs were as follows:

Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs
2021
£
-
-
-
-
2020
£
30,000
2,170
1,524
33,694

The monthly average number of persons (including senior management team) employed by the Charity during the year was as follows:

Average No of Employees 2021
No
-
2020
No
1

The number of employees whose emoluments fell within the following bands was:

The total employee benefits of the key management personnel of the Charity were £Nil (2020 - £31,524).

Page 16

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

8 Taxation

The Company is a registered charity and its activities are exempt from taxation.

9 Intangible fixed assets

Cost
Development costs B/FWD
At 31 January 2021
Amortisation
At 31 January 2021
Net book value
At 31 January 2021
At 31 January 2020
10 Tangible fixed assets
Cost
Fixtures and fittings cost b/fwd
At 31 January 2021
Depreciation
At 1 February 2020
Charge for the year
At 31 January 2021
Net book value
At 31 January 2021
At 31 January 2020
Intellectual
property
rights
£
60,001
60,001
-
60,001
60,001
Furniture
and
equipment
£
5,178
5,178
3,155
674
3,829
1,349
2,023
Total
£
60,001
60,001
-
60,001
60,001
Total
£
5,178
5,178
3,155
674
3,829
1,349
2,023

Page 17

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

11 Heritage assets
Cost
At 1 February 2020
At 31 January 2021
Depreciation
At 31 January 2021
Net book value
At 31 January 2021
12 Debtors
Prepayments
VAT recoverable
13 Creditors: amounts falling due within one year
Trade creditors
Other creditors
Accruals
14 Creditors: amounts falling due after one year
Other creditors
Carvings
and bells
£
59,493
59,493
-
59,493
2021
£
1,660
1,074
2,734
2021
£
100,660
1,288
4,000
105,948
2021
£
65,539
Carvings
and bells
£
59,493
59,493
-
59,493
2021
£
1,660
1,074
2,734
2021
£
100,660
1,288
4,000
105,948
2021
£
65,539
Total
£
59,493
59,493
-
59,493
2020
£
1,475
240
2021
£
1,660
1,074
2,734
2021
£
100,660
1,288
4,000
105,948
2021
£
65,539
1,715
2020
£
103,906
1,165
5,000
110,071
2020
£
65,539

Page 18

Mass Extinction Monitoring Observatory

Notes to the Financial Statements

Year Ended 31 January 2021

15 Funds

Unrestricted funds
Unrestricted general funds
Unrestricted funds
Unrestricted general funds
Balance at 1
February
2020
£
(33,136)
Balance at 1
February
2019
£
(16,776)
Incoming
resources
£
34,359
Incoming
resources
£
57,500
Resources
expended
£
(39,215)
Resources
expended
£
(73,860)
Balance at
31 January
2021
£
(37,992)
Balance at
31 January
2020
£
(33,136)

16 Related party transactions

Peter Cruttwell

(Peter Cruttwell is a trustee) The amount due to Peter Cruttwell at the balance sheet date is £1,288 (2020: £1,165)

Sue Lyons

(Sue Lyons is a trustee)

During the year, Sue Lyons donated £10,000 (2020: £nil) to the charity. The amount due to Sue Lyons relates to an interest free loan which is included in other creditors. At the balance sheet date, the amount due to Sue Lyons was £58,883 (2020 - £58,883).

Page 19