2023-03-31-accounts - The Baca Charity

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investing hope, shaping futures THE BACA CHARITY ANNUAL REPORT 2022-23

TABLE OF CONTENTS REFERENfE AND ADMINISTrATIVE INFORhtATIO ABoiJf BACA- INCLUDING A MESSAGE FROM THE CHAIR OBJECTIVES AND ACTIVITIES STRUCTURE, GOVERNANCE AND MANAGEMENT 10 STRATEGIC GOALS 18 ACHIEVEMEKf AND PERFoR1NcE 19 ANANCIAL REVIEW 31 PLANS FOR FiTfuRE PERIOD 35 STATEMwf OF TRUSTEES, RESPONSIBILITIES 39 THANK YOU TO OUR SUPPORTERS Jk,.

Management	Management	Committee	Committee	J. Zachariah, Chief Executive	J. Zachariah, Chief Executive	J. Zachariah, Chief Executive
				A. Dando, Finance Director
				S. Smout, Business Development			Director
				M. Banister, Service Director
				I. Lowings, Operations		Director
Charity	Number			1124569
Company	Number			06510559
Principal	Address		Et Registered office	C/0 Duncan BToplis
				3 Princes Court
				Royal Way
				LOUGHBOROUGH
				LE11 SXR
Independent		Auditor		Niall Kingsley FCA
				Duncan BToplis
				3 Princes Court
				Royal Way
				LOUGHBOROUGH
				LE11 5XR
Bankers				The Co-Operative	Bank
				PO Box250
				Delf House
				Southway
				Skelmersadale
				WNB 6WT

41 I.

	~ - . ~
Respect	Treating everyone with dignity in aH circumstances.
Compassion	Serving sacrificially, rooted in an unwavering		zeal to seek the best			for
	those we serve and not self.
Grace	Costly additional opportunity for everyone,		to enable	us	to be our	best by
	being perpetual learners.
Integrity	Unexaggerated truth, expressed with humility, purity			of motive and
	sincerity of intention, in both our words and		deeds.
Passion	Embracing risk for the sake of the mission,		with courage		to take bold risks
	and to innovate despite adversity.
Wisdom	Finding a way through a challenge by listening, learning,				perceiving	what
	is at stake, applying insight and considering	diverse options.

Safeguarding of Young People		Weekly review of risks to personal safety
Baca works with highly vulnerable		across the organisation at different levels of
young people, who have been victims of exploitation and		responsibility. Holistic support service, providing a detailed picture of the vulnerabilities, needs and
trafficking. The risks to safety are		positive progress made by the young people.
also intensified due to the		Risks highlighted in monthly Trustee reports.
challenges posed by poor emotional		Critical incidents discussed at quarterly Trustee meetings with clear action plans
wellbeing, lack of trust, weak		agreed.
knowledge of English and unknown immigration status. In addition, our		As the demand for therapy has increased, our Art Therapist has been working at full capacity, so we have looked to expand our
care leavers are facing increased		provision.
vulnerability due to the rising patterns of exploitation by		In January, we received a placement student who is studying for an MA in Drama Therapy. She has been able to engage with some of the
organised criminal groups.		increasing numbers of young people who are
		accessing therapy. This involves delivering
		group sessions where multiple young people
		can access support at the same time.
		To further support the wellbeing of our young
		people, all our frontline staff are now
		accredited mental health first aiders.
Occupancy levels		Baca has contracts with multiple Local
Uncertainty over our occupancy		Authorities thereby reducing reliance on any
levels continues to be the key challenge we face as a Charity as it		single authority/contract. We have now set-up a new project in Cambridge which can accommodate up to
is not possible to plan when young		eight young people.
people might arrive (driven by several external factors outside	of	While we have purchased additional housing Loughborough, we have retained some rented property. This creates the option of reducing	in
our control). This makes it difficult		space if required.
to budget and plan for any		We are seeking to build partnerships with more local authorities who have a need for
significant period of time. On a		safely supporting Unaccompanied Asylum
wider level the Nationality and		Seeking Children (UASCs).
Borders Bill and the government's plans to send asylum seekers to		We are focused on ensuring our service delivery is of the highest quality whilst maintaining excellent cost effectiveness.
Rwanda, could impact the numbers		Baca continues to work closely with various
of young people that are placed		advocacy groups to positively influence the government's proposals.
with us.

Volatility of Income and rising	~	We are working to limit the impact of
costs		fluctuations in the numbers of young people,
Baca's income is primarily from contracts with the Local		and the level of income we receive by increasing the proportion of income we generate from alternative sources such as
Authorities, most of whom are now		donors.
under increased pressure to reduce	~	Baca is also engaging with local authorities
		and foundations to understand their needs and
their expenditure following the		provide realistic solutions for delivering a
pandemic and the ongoing cost of		service that is both affordable and
living crisis. Within each contract, income is only guaranteed at the	~	sustainable. Baca has rigorous processes for budgeting, management reporting and monitoring of
point of placement of a young		financial performance through the Trustees
person with Baca. Budgeting for		and the Leadership Team. This has meant that we have been able to build the six months'
variable income remains a		liquid reserves needed to meet operational
challenge, as we cannot predict		expenditure in line with our loan covenant
how many young asylum seekers		with Social and Sustainable Capital (SASC). In addition to this we are currently building
will be placed with us, and the level		funds to repay the loan in seven years.
of funding we will receive per
placement. While we have started
to develop our donor support, this
income source will take time to
gr ow.
External environment	~	Baca's vision encourages us to seek positive
The past year has seen extremes of		solutions to this challenging situation. Baca
opinion and behaviours towards individuals seeking refuge in the		works proactively with young people to ensure they know their rights, responsibilities and how they can seek heip in an unfriendly
UK. The reporting of young people		situation.
arriving in Kent on boats and use of unsuitable accommodation such as	~	We are also committed to sharing stories of hope, highlighting the positives of each individual's life and how that contributes to
hotels, has only compounded this		the wider community to ensure barriers and
issue. This poses a risk to the young people in Baca's care and the		myths are broken down. To help achieve this aim, Baca has increased our community engagement this year. We are also finalising	a
overall support received by the		new communication strategy.
Charity from the local community.

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FOR THE YEAR ENDED 31M	ARCH 2	023
						2023	2022
			Unrestricted	Designated	Restricted	Total	Total
			funds	funds	funds	funds	funds
		Notes	5	E	E	E	5
INCOME AND ENDOWMENTS
FROM
Donations and legacies		3	25,191			25,191	36,763
Charitable activities
Grants towards house deposits							330,000
Grants &Trusts Income			133,663		393,108	526,771	413,259
Accommodation &Support	Work		1,428,214			1,428,214	907,774
Investment income			10,847			10,847	3,339
Total			1,597,915		393,108	1,991,023	1,691,135
EXPENDITURE ON
Raising funds			58,207		12,274	70,481	108,440
Charitable activities
Accommodation &support	work		1,099,314		367,850	1,467,164	946,789
Other			64,305		14,036	78,341	40,366
Total			1,221,826		394,160	1,615,986	1,095,595
NET INCOME/(EXPENDITURE)			376,089		(1,052)	375,037	595,540
Transfers between funds		23	504,000	(174,000)	(330,000)
Net movement In funds			880,089	(174,000)	(331,052)	375,037	595,540
RECONCILIATION OF FUNDS
Total funds brought forward			826,258	420,000	380,555	1,626,813	1,031,273
TOTAL FUNDS CARRIED FORWARD			1,706,347	246,000	49,503	2,001,850	1,626,813

STATEMENT OF FINANCIAL POSITION 31MARCH 2023
					2023	2022
		Unrestricted	Designated	Restricted	Total	Total
		funds	funds	funds	funds	funds
	Notes	6	E	6	E	E
FIXED ASSETS
Intangible assets	16	8,463			8,463	4,997
Tangible assets	17	3,208,523		18,057	3,226,58D	3,145,7D1
		3,216,986		18,057	3,235,043	3,150,698
CURRENT ASSETS
Debtors	18	22D,357			220,357	126,792
Cash at bank		754,031	246,000	136,046	1,136,077	1,345,403
		974,388	246,000	136,046	1,356,434	1,472,195
CREDITORS
Amounts falling due within one year	19	(173,038)		(104,604)	(277,642)	(307,677)
NET CURRENT ASSETS		801,350	246,000	31,442	1,078,792	1,164,518
TOTAL ASSETS LESSCURRENT
LIABILITIES		4,018,336	246,000	49,499	4,313,835	4,315,216
CREDITORS
Amounts falling due after more
than one year	20	(2,311,985)			(2,311,985)	(2,688,403)
NET ASSETS		1,7D6,351	246,000	49,499	2,001,850	1,626,813
FUNDS	23
Unrestricted funds					1,952,351	1,246,258
Restncted funds					49,499	380,555
TOTALFUNDS					2,001,850	1,626,813

FOR THE YEAR ENDED 31	MARCH 20	23
				2023	2022
			Notes	6	E
Cash flows from operating	activities
Cash generated from operations Interest paid				321,632 ~46 850)	787,132 (14,644)
Net cash provided by operating activities				274,782	772,488
Cash flows from investing	activities
Purchase of intangible fixed assets				(10,199)	(5,000)
Purchase oftangible fixed	assets			(105,638)	(2,195,945)
Interest received				9,032	3,339
Net cash used in investing	activities			(106,805)	(2,197,606)
Cash flows from financing	activities
New loans in year					1,731,069
Loan repayments in year				(377,303)	(10,104)
Net cash (used in)/provided	by financing		activities	(377,303)	1,720,965
Change in cash and cash equivalents		in the
reporting period				[209,326)	295,847
Cash and cash equivalents	at the beginning of
the reportIng period				1,345,403	1,049,556
Cash and cash equivalents	atthe end	of	the
reporting period				1,136,077	1,345,403

RECONCILIATION	OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES	OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
			2023	2022
			6	6
Net income forthe reporting		period (as per the Statement ofFinancial Activities)	375,037	595,540
Adjustments for:
Depreciation charges			31,491	25,722
Interest received			(9,032)	(3,339)
Interest paid			46,850	14,644
(Increase)/decrease	in debtors		(93,565)	57,465
(Decrease)/increase	in creditors		(29,149)	97,100
Net cash provided	by operations		321,632	787,132
ANALYSIS OF CHANGES IN NET DEBT
		At 1.4.22	Cash flow	At 31.3.23
		E	6	6
Net cash
Cash at bank		1,345,403	(2D9,326)	1,136,077
		1,345,403	~209,326)	1,136,077
Debt
Debts falling due within 1year		(14,109)	886	(13,223)
Debts falling due after 1year		(2,688,403)	376,418	(2,311,985)
		(2,702,512)	377,304	(2,325,208)
Total		(1,357,109)	167,978	(1,189,131)

DONATIONS	AND LEGACIES	AND LEGACIES	AND LEGACIES
				2023	2022
				6	E
Donations				22,472	35,820
Gift aid				2,719	943
				25,191	36,763
ACCOMMODATION			gr SUPPORT WORK
				2023	2022
				6	E
Accommodation		and support work		1,409,799	897,499
ESOLteaching				18,415	10,275
				1,428,214	907,774
INVESTMENT	INCOME
				2023	2022
				f	f
Rents received				1,815
Deposit account		interest		9,032	3,339
				10,847	3,339

FOR	THE YEAR E	NDED 3	1MARCH 20	23
6.	INCOME	FROM	CHARITABLE	ACTIVITIES
							2023	2D22
				Activity			E	E
	Grants			Grants	towards	house deposits		330,000
	Grants			Grants	&Trusts	Income	526,771	413,259
							526,771	743,259

Raising donations	Raising donations
		2D23	2D22
		E	E
Staff costs		66,650	21,296
Administration	costs	3,831	87,144
		70,481	108,440

8.	CHARITABLE	ACT	IVITI	ES C	O	STS
								Support
							Direct	costs (see
							Costs	note 9)	ToteIs
							6	6	E
	Accommodation		&support			work	1,358,725	108,439	1,467,164
9.	SUPPORT COSTS
								Governance
							Other	cost's	Totals
							6	6	6
	Accommodation		&support			work	93,439	15,000	108,439
	Support costs,	included		ln	the abave, are as follows:
	Other
								2023	2022
								Accommodation
								& support	Total
								work	activities
								6	6
	Trustees' expenses							1,038	526
	Wages							20,448	16,952
	Social security							5,3D3	3,429
	Pensions							3,132	2,259
	Finance charges							4,599	596
	Legal and professional			fees				1,248	6,897
	Support costs	—office						39,444
	Consultancy							3,945	792
	HR consultancy							8,911	3,333
	DBSchecks							748
	Recruitment							4,623
								93,439	34,784
10.	NET INCOME/(EXPENDITURE)
	Net income/(expenditure)				is	stated after charging/(crediting):
								2023	2022
								6	6
	Depreciation-	owned assets						24,816	17,903
	Computer software amortlsatlon							6,733	7,819
	Auditors' remuneration							15,000	12,540
	Operating lease rentals							124,034	103,825

AUDITORS' REMUNERATION
			2023	2022
			6	6
Fees payable to the charity's	auditors for the audit ofthe charity's	fina ncia I
statements			15,000	12,540

			2023	2022	2023	2022
			Number	Number	6	6
Travel	8	Subsistence			1,038	525
					1,038	525

STAFF	COSTS
		2023	2022
		6	E
Wages	and salaries	739,226	552,802
Social	security costs	53,021	34,293
Other	pension costs	31,316	15,358
		823,563	602,453

			2023	2022
Management		and Admin	9	8
Charitable	Activities		27	24
Directors			8	7
			44	39

						2023	2022
						6	6
Bank loan interest	payable					46,850	14,644
						46,850	14,644
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
				Unrestricted	Designated	Restricted	Total
				funds	funds	funds	funds
				E	6	E	E
INCOME AND ENDOWMENTS			FROM
Donations and legacies				36,763			36,763
Charitable activities
Grants towards house deposits						330,000	330,000
Grants &Trusts Income				95,259		318,000	413,259
Accommodation &	Support	Work		907,774			907,774
Investment income				3,339			3339
Total				1,043,135		648,000	1,691,135
EXPENDITURE ON
Raising funds				65,764		42,676	108,440
Charitable activities
Accornrnodation &	support	work		715,620		231,169	946,789
Other				20,804		19,562	40,366
Total				802,188		293,407	1,095,595
NET INCOME				240,947		354,593	595,540
Transfers between	funds			(120,000)	120,000
Net movement in funds				120,947	120,000	354,593	595,540
RECONCILIATION OF FUNDS
Total funds brought	forward			705,313	300,000	25,960	1,031,273
TOTAL FUNDS CARRIED FORWARD				826,260	420,000	38D,553	1,626,813

INTANGIBLE FIXED ASSETS
				Computer
				software
				6
COST
At 1April 2022				47,740
Additions				10,199
At 31March 2023				57,939
AMORTISATION
At 1April 2022				42,743
Charge for year				6,733
At 31March 2023				49,476
NET BOOK VALUE
At 31March 2023				8,463
At 31March 2022				4,997
TANGIBLE FIXEDASSETS
	Freehold	Long		Leasehold
	property	leasehold		improvements
	6	E		f
COST
At 1April 2022	3,035,269	92,254
Additions	47,769			17,419
At 31March 2023	3,083,038	92,254		17,419
DEPRECIATION
At 1April 2022			167
Charge for year		1,001		5,806
At31March 2023		1,168		5,806
NET BOOK VALUE
At31March 2023	3,083,038	91,086		11,613
At 31March 2022	3,035,269	92,087

17.	TANGIBLE FIXED ASS	ETS	- continued
				Fixtures
				and	Computer
				fittings 6	equipment 6	Totals f
	COST
	At 1April 2022 Additions			69,640 38,145	4,159 2,362	3,201,322 ~105695
	At 31March 2023			107,785	6,521	3,307,017
	DEPRECIATION
	At 1April 2022			52,047	3,407	55,621
	Charge for year			16,806	1,203	24,816
	At 31March 2023			68,853	4,610	80,437
	NET BOOK VALUE
	At 31March 2023			38,932	1,911	3,226,580
	At 31March 2022			17,593	752	3,145,701
18.	DEBTORS:AMOUNTS	FALLING DUE WITHIN ONE YEAR
					2023	2022
					6	f
	Trade debtors				167,361	80,108
	Other debtors				11,841	6,055
	Prepayments and accrued income				41,155	40,629
					220,357	126,792
19.	CREDITORS: AMOUNTS		FALLING DUE WITHIN ONE YEAR
					2023	2022
					6	E
	Bank loans and averdrafts (see note 21)				13,223	14,109
	Trade creditors				15,309	23,583
	Social security and other		taxes		12,023	9,630
	Other creditors				8,498	4,543
	Accruals and deferred	income			228,589	255,812
					277,642	307,677

Deferred Income
			2023	2022
			E	E
Deferred income is included within:
Creditors due within one year			157,937	203,968
			157,937	203,968
Movement in the year was as follows:
Grants received:
Total deferred income at 1April	2022		203,968	129,566
Amounts received in the year			651,484	817,661
Amounts credited to statement	offinancial activities		(697,515)	(743,259)
Grants - deferred income at 31	March 2023		157,937	203,968
Rent for use of community Hub:
Total deferred income at 1April	2022
Amounts received in the year Amounts credited to statement	offinancial activities		2,720 ~1,815)
Rent - deferred income at 31March 2023			905
Income has been deferred in relation to grant income when performance		conditions	have not been met.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
			2023	2022
			E	E
Bank loans (see note 21)			600,916	977,334
Other loans (see note 21)			1,711,069	1,711,069
			2,311,985	2,688,403
LOANS
An analysis ofthe maturity of loans is given below:
			2023	2022
			6	6
Amounts falling due within one year on demand:
Bank loans			13.223	14,109
Amounts falling due between two and five years:
Bank loans - 2-5years			64,475	125,029
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by inst			536,441	852,305
Repayable otherwise than by instalments:
Other loans more Syrs non-inst			1,711,069	1,711,069

The following
	2023	2022
	E	E
Bankloans	614,139	991,443
Otherloans	1,711,069	1,711,069
	2,325,208	2,702,512

MOVEMENT IN FUNDS	MOVEMENT IN FUNDS
							Net	Transfers
							movement	between	At
						At 1.4.22	in funds	funds	31.3.23
						f	f	f	f
Unrestricted funds
General fund						826,254	376,097	504,000	1,706,351
The Henry Smith Charity						4	(4)
Baca Housing Fund						320,000		(74,000)	246,000
Underfunded Strategic		Projects				50,000		(50,000)
Property Maintenance		Fund				SD,OOO		(50,000)
						1,246,258	376,D93	330,000	1,952,351
Restricted funds
BBCChildren in Need						2,813	(323)		2,490
The Clothworkers' Foundation						1,314	(2,314)
Intelligent Energy Charitable			Trust			4	(4)
Other Restricted Funds						(904)	3,209		2,305
The Swire Charitable	Trust- Volunteer				project	17	(900)		(883)
Paul Hamlyn Foundation							(850)		(850)
Big Lottery —Core						(4,837)	4,153		(684)
CAF Main Grant						15,084	1,931		17,015
CAF Resilience Grant						10,000	(10,000)
CHK Foundation Grant						17,704	(5,040)		12,664
Paul Hamlyn Covid Grant						4,724	(1,399)		3,325
Leslie Aldridge House	setup fund					4,636	9,481		14,117
Leslie Aldridge House	Fund					330,000		(330,000)
						380,555	(1,056)	(330,000)	49,499
TOTALFUNDS						1,626,813	375,037		2,001,850
Net movement in funds,		included		in the above are as follows:
							Incoming	Resources	Movement
							resources f	expended f	in funds f
Unrestdcted funds
General fund							1,496,252	(1,120,155)	376,097
The Henry Smith Chanty							34,996	(35,000)	(4)
Samworth Foundation							66,667	(66,667)
							1,597,915	(1,221,822)	376,093
Restricted funds
BBCChildren in Need							32,074	(32,397)	(323)
The Clothworkers' Foundation								(1,314)	(1,314)
Intelligent Energy Charitable			Trust				14,475	(14,479)	(4)
Other Restricted Funds							20,691	(17,482)	3,209
The Swire Charitable	Trust- Volunteer				project		15,000	(15,900)	(900)
Paul Hamlyn Foundation							33,000	(33,850)	(850)
Big Lottery -Core							66,217	(62,064)	4,153
CAF Main Grant							116,944	(115,013)	1,931
CAF Resilience Grant								(10,000)	(10,00D)
CHK Foundation Grant							63,898	(68,938)	(5,040)
Paul Hamlyn Covid Grant							15,000	(16,399)	(1399)
Leslie Aldridge House	setup fund						15,809	(6,328)	9,481
							393,108	(394,164)	l1,056)
TOTAL FUNDS							1,991,023	(1,615,986)	375,037

								Net	Transfers
								movement	between	At
							At 1.4.21	in funds	funds	31.3.22
							E	6	E	6
Unrestricted funds
General fund							705,313	240,941	(12D,OOO)	826,254
The Henry Smith Charity								4		4
Baca Housing Fund							250,000		70,000	320,000
Underfunded Strategic		Projects					50,00D			50,00D
Property Maintenance		Fund							SO,ODO	50,00D
							1,005,313	240,945		1,246,258
Restricted funds
BBCChildren in Need								2,813		2,813
The National Lottery	Community				Fund		11,443	(11,443)
The Clothworkers' Foundation							7,747	(6,433)		1,314
Intelligent Energy Charitable				Trust						4
Big Lottery Fund-Awards			for	All- Post		18	459	(459)
Other Restricted Funds							6,313	(6,624)		(311)
The Randal Charitable		Foundation					13	(13)
CHK Foundation- Cambridgeshire							(15)	15
The Swire Charitable	Trust- Volunteer					Project		17		17
Big Lottery - Core								(4,837)		(4,837)
CAF Main Grant								14,491		14,491
CAF Resilience Grant								10,000		10,000
CHK Foundation Grant								17,704		17,704
Paul Hamlyn Covid Grant								4,724		4,724
Les)ie Aldridge House	setup fund							4,636		4,636
Leslie Aldridge House	Fund							330,000		330,000
							25,960	354,595		380,555
TOTALFUNDS							1,031,273	595,54D		1,626,813

					Incoming	Resources	Movement
					resources	expended	in funds
					E	E	6
Unrestricted funds
General fund					948,131	(707,190)	240,941
The Henry Smith Charity					35,004	(35,000)	4
Samworth Foundation					60,000	(60,000)
					1,043,135	(802,190)	240,945
Restricted funds
BBCChildren in Need					8,011	(5,198)	2,813
The National Lottery	Community		Fund		102,288	(113,731)	(11,443)
The Clothworkers' Foundation						(6,433)	(6,433)
Intelhgent Energy Charitable		Trust			4,825	(4,821)	4
Big Lottery Fund- Awards for		AB-	Post	18		(459)	(459)
Other Restricted Funds					41,185	(47,809)	(6,624)
The Randal Charitable	Foundation				1,000	(1,013)	(13)
CHK Foundation- Cambridgeshire					10,417	(10,402)	15
The Swire Chantable	Trust- Volunteer			Project	15,000	(14,983)	17
Paul Hamlyn Foundation					12,500	(12,500)
Big Lottery - Core					10,111	(14,948)	(4,837)
CAF Main Grant					58,472	(43,981)	14,491
CAF Resilience Grant					10,000		10,000
CHK Foundation Grant					25,000	(7,296)	17,704
Paul Hamlyn Covid Grant					5,000	(276)	4,724
Leslie Aldridge House	setup fund				14,191	(9,555)	4,636
Leslie Aldridge House	Fund				330,000		330,000
					648,000	(293,405)	354,595
TOTALFUNDS					1,691,135	(1,095,595)	595,540