REGISTERED COMPANY NUMBER: 06714819 {England and Wales) REGISTERED CHARITY NUMBER: 1126933 REPORT OF THE TRUSTEES AND AUDrrED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 FOR SWANSEA Ctri AFC FOUNDATION {A COMPANY LIIArrED BY GUARANTEE) (PREVIOUSLY SWANSEA CITY AFC COMMUNffY TRUST) *AB3PAD41' 1010512022 COMPANIES HOUSE #147 Gerakl Thomas Chartered Aecounlants and Slalulory Auditor 3 New Mill Court Swansea Enterpnse Parl( Swansea SA7 9FG SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 CONTENTS OFTHE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 Relerence and Adminislralive Details Chairman's ReKK)rt Report ol the Trustees Slatemenl ol Trustees, Responsits'lilies 13 ReF)Ort ol the Independent Audttors 14 Statement ol Financial Actiwties 8alance Sheet Cash FEOW Slatemenl 20 Notes lo the Financial Slalemenls 21 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REFERENCE AND ADMINISTRATIVE D￿All5 FOR THE YEAR ENDED 31 AUGUST 2021 Trustees H D C002e SJ McDonald S Dawes- appointed 29 March 2022 L A J Dineen R Edwards-symmons C Harris D R Jones J Morris A Rhodes- appointed 23 August 2021 C Staples L Trundle- appointed 29 March 2022 J Wilshire J Winter Secretary D R Jones Registered land prrn¢ipal} otlice CIO swansea.com Stadium Landore Swansea SA12FA Reglstered ¢ompany number 06714819 (England and Wales) Registered charity number 1126933 Independent Auditors Gerald Thomas Chanered Accountants and Slalulory Auditor 3 New Mill Court Swansea Enterprise Park Swansea SA7 9FG Bankers Barclays Bank Pk 262 Oxford Street Swansea SAI 38R SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 CHAIRMAN'S REPORT FOR THE YEAR ENDED 31 AUGUST2011 This is my first report as Chaii ol the nevAy named Swansea City AFC Foundation lor more informally. Swans Foundalionl. In August 2021, Leigh Dineen, who had Chaired the Trustee Board lor seven yeais, slepped down from the role. l am graielul to him lor continuing as a trustee until May 2022 to allow lor a smooth handover. Along with stall and trustees. l offer Leigh many thanks lor the work he has done in suppotting the Chaiity during his tenure. Succession planning lor the board Continues as other long standing trustees. lemis ol lenure expire. The other signili¢anl change in Augusl 2021, was that, as mentioned above. Swansea City AFC Community Trust became the Swansea Cily AFC Foundation, wth the new name giving the charily a clear idenlily distinct from olher, similarly named, organisalions. The change ol name also marked a recognrtion ol the charity's vital role alongsiiye the Club, whKh was also symbolised by the move ol 811 Foundation slaff into offices al Ihe swansea.com Siadium. 2020 -2021 has again been dominated by Ihe Covid-19 panclemic. The intermittent and exiended lockdowns made lor a difficutt operating environment. Alongside this. senior staff sickness because ol Covid-19 increased the pressure on the charrty. The charsty utr"lised the Furlough Scheme to support staff positions where possible. but unfortunately still lost four valued members ol ils team. Desprte these unprecedented challenges, careful planning and a superb team ellort enabled the Swans Foundation lo meet the output and outcome requirements ol lunders and were still able lo work in a sustained way with more than Six thousand Part￿Ipants. Stall commitment lo our organisation's values was very clear in the imaginative ways that services were adapted lo continue supporting young peop5e and those in the ￿MMunI1Y in particular need. The Board is proud of the culture and commitment across the Swans Foundation and its response to the Covid-19 crisis. Prudent linancial management ol its funds albwed Ihe charity to emerge from the year with a modest deticit. before exceptional items. There remains a healthy level ol ieserves, ol which we have decided to invest a Sum ol up to £70.000 into the running ol the core team (or (he coming year. This will allow us to recruil lor roles which wll supporl the charrty's long-term sustainability. In the coming year, we will increase our fundraising eftorts. ￿￿th the aim ol diversilwng our funding streams and avoiding over reliance on our major funder. the Premier League charrtab￿ Fund. In these difficutt limes, the work ol the Swans Foundation is more important than ever. l am conlident that, as we move out of the cur￿n1 crigs, we are strongly positj'oned lo play a vital ro18 in supporting ' our community. A Rhodes CHAIR, SWANSEA crry AFC FOUNDATION Page 12 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST2021 The Irustees, who are also directors ofthe charityforthe purposes ol the Companies Act 2006. present their report with the linanual slalements ol the charrty lorlhe year ended 31 Augus12021. The Iruslegs have adopted the provisions ol Accounb'ng and Reporting by Charities". Statement ol Recomrnended Pracb"ce applicable lo charities preparing their accounts in accordance wth the Financial Reporting Standard applicable in the UK and Republic ol Ireland (FRS ?021 leffective l January 20191. The report is also prepared in aCC￿danCe wrth the small company iegime {Seclion 419121 ol the Companies Act 20061. OBJECTIVES ANO AcTIV￿lEs Obleellves and alms The Foundation's objects, as set out in the hAemorandum ol Association, are lor the benelit of the public generally and the inhalylanls of South Wales and its surroun(Jing areas.. To promote community participation in healthy recreation by prowding facilities lor the playing ol association loolball and other spons capable ol improving health Iyaolilies" meaning land. buildings, equipmeni, and organising sports.ng activtliesl. To provide and assist in prowding facilities lor sport. recreation or othw leisure lime occupation ol such persons who have need lor such facilities by reason ol their youth, age, infirmity OT disablement, poverty or social and economic Circumstances or lor the public al large in the interests ol s¢xial welfare and vAth Ihe object ol impromng their conditions ol life. To advance ihe eéucation ol children and young ￿pIe through such means as the trustees think lit in accordance wrth the law of charity. and For the general purposes of such charitable bodies or lor such other exclusively charitable purposes in each case as the trusiees may from time lo time deude. The Foundation carlies out Ihese objectives by providing a WKle Tange ol acliwtses and promoting the community ethos ol Swansea City AFC in accordance with the Premier League Charitable Fund's programmes. lor community cohesion. educatioll. health and swrts participation. Slgnlflcanl activities The Foundation's core actiwlies indude after schod clubs, holKlay and hall-lerm courses and summer school camps. We prowde opportunities for Studenl volunteers lo gain Coaching experience across Ihe programmes that are deliveied. whth are summarised below. Premler League Kicks Targeted The aim ol the Kicks Targeted project is lo wort( with young people al risk ol becoming victsms or perpetrators ol serious youth violence. The inttiative looks to empower young people by delivering activities and workshops that are bespoke lo the individual's needs. This is an early intervention programme using a combination 011-2-1 mentoring and small group workshops lo promote positive behaviours and life choices. The project will also assist young people lo manage their emotions and leach them effective arxl relevant copng strategies. SWANSEA CITY AFC FOUNDATION {REGISTERED COMPANY NUMBER: 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 Now in ils second year, the project made signfficanl slrkyes during the season. Ouring September we were a￿e to meet wth participants lace-lo-face for the lirsl lime. This was a welcome change from the online sessions we'iy delivered prewously and allowed us to develop stronger relationships with participants. We continued to forge strong relationships wth our referring organisations including Halan, Nealh Youth Justice Team. Swansea and Carmarthenshire Pupil Relerrd Units IPFIU'S) and care htsmes. Despite the re-introduction of restrictions in January 2021, we continued to deliver workshops lalbeil online) on mental health and wellbeing. violent behaviours and conseouences and positive role modelling. ' Vibe youfh, delivered our violent behaviours and consequences. 'Plafforrf mental health charity delivered our mental health and wellbeing talk and we have been fortunate enough to get first team players io deliver Posrtive role modelling talks. In Augusl, alongside a national Premier League iniliatwe, we suc¢essfully delivered. Youth Voice'activilies Mth participants who were able to provide inswJht and input into the lulure (firection of the programme. Premier League Primary *ars Available to every primary seh¢JoI across South West Wales. this project inspires girfs and boys aged 5 - 11 in the classroom. the playground and on the sports tield. We aim to increase engagement ot primary school pupils through innovabve literacy and numeracy lessons alongside high-quality PE sessions. all closely linked lo the national currrculum. All ol our delivery has a strong emphasis on leadership, resilience and problem solving with a locus on the four Premier League values.. Be Ambitious, Be Inspiring, Be Fair & Be Connected. During the autumn term. in addrtion to regular PE and classroom sessions. tournaments and compelitions, the project also delivered several collapsed curriculum days wth iopics varwng to coincide with seasonal campaigns. One such example was ou¥ PHSE intervention I(￿￿$ed on anti- bullying week, where pupils took part in a Q&A wilh Swans first team player Jake Bidwell. As schools moved lo remote learning at the beginning 012021. we continued to support our partner schools through the combination of pre-recorded and live lessons. Despite its limitations. wrtual delivery allowed lor larger groups of puwls io access activities at any given time. In thi5 vein. we teamed up with local aulhor David Btayley io deliver a live inieTactive World Book Day event, where 8 partner primary schools and around 200 pU￿lS joined tss to learn how David's love lor sport sparked his career and the importance ol reading in the professional game wilh first team player Liam Cullen. Despite the Covid related challenges seveiely impacting delivery during the 2021V21 season,. (lockdown, staff and pupil absen¢e due to isolationtinleclion, school hesitancy in bringing in outside agencies), the project still managed to rneet all its outcomes delivering 670 sesstons. working with 50 partner schools and suprx)rting 75 teachers through PE related CPD. Premler Lèague Inspires Premier League InsK¥'res is Ihe Foundation's mwn project lor secondary school age children across the Swansea region. Our aim is to use the sy)wer ol Swansea City AFC as a positive force to inspire young people lo develop Ihe personal skills and positive atlitudes to succeed in life. We are delighted to be partnering wlh the Princes Trusl to deliver this project. There are two main elements to Premier League Inspires., a hearth and wellbeing course ar￿ delivery of units trom the Princes Trust Achieve qualification. Page 14 SWANSEA CITY AFC FOUNDATIOP4 IREGisfERED COMPANY NUMBER.. 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 Al the beginning 012021, vAth the Teintroduction ol ￿ckdO￿￿. much of Ihe delivery was moved online. The delivery was a mixture of live and pre-recorded materials, Trmlh learning materials being sent to schools in advance lor pupils lo complele. Based on reports of the negative impact ol Covid-19 on young people's mental health, we developed a number ol new workshops to support our participants with their mental health. These included sessions on bcdy image. digrtal wellbeing and a menial health session. The project also supported pupils through a digital wellness soci81 action p¥ojeet. We worked alongside Pentrehalod School over foLrr workshops in March. It was 4Yesigned to help pupiLs coftsider what healthy social media use Fooked like. how they could improve their engagement with digrtal media and how they could encourage their peers lo do the same. School stall selected pupils had particularly slruggled with their meniJ heanh during lod(dovm. The reslriclions imposed acTOSS the 2020121 season were panicularly burdensome lor the PL Inspires project. Schools were closed and stall and pupils were isolating with prolonged r*rsods ol pupils learning frorn horne. This, coupled wth lack of stadium access (to deliver io larger groups), required additional staff resource and ca¥elul planning to ensure Ihe outcomes of the projecl could be mel. Despite the Iruncated delivery schedule. the project had considerable impa¢l on pupils and their outlook on life. with 70Yo ol participants feeling oplimislic ab(yJl the lulure lolkswing complelion of the programme, compared lo just 38% at the start. Premier League Kicks Universal Swansea City AFC Foundation's Kicks iniliative is a national prograrnme that uses the power ol loolball and sport to regularly engage chikjren and young people ol all backgrounds and abilities in football. sport and personal development. prO￿dIng a truste(J, posilive influence in high-need areas across Wales. The project delivers free weekly sessions, grving young perjple befvleen Ihe ages of 8-18 across South Wesl Wates the opportunities to play, coach and officiate in football and a Tange of sports. Although the immediate emphasis ol the programme is football, Foundation coaches work in partnership to support the younger geneTation with societal challenges and improve community salety. As we returned lo in-person delivery in September 2020. we abo expanded our work alongside the Police Crime and Cofflrnissioner's Ottice lo encompass sessions in Pemlyoke. The success ol the partnership led lo a lurther expansion of the project later in Ihe year. wilh the commissioner agreeing lo invesi £100,000 per year lo conlinue the sessions al Seaside and Pembiokeshire and expand to include sessions at Newtown, Carmarthen and Aberystwyth. The sessions wll begin al the start of the 2021122 season. Attendance across sessions was strong during the auturnn 012020. however with the re-introduction of lockdown in January 2021. we again haLI to re-evaluate our ofter lo continue lo serve the eommunily. The lirst half of 2021 saw the Introduction ol, what would become a very successful inilialive, Kicks online. These online sessions, whth look place at Ihe same lime as in- person sessions would have occurred. incorwraled lun games, inleraclive aclivilies and quizzes inlerspersed wlh more seiious workshops covering iopics including menlal health, knife Crime and county lines. The weekly sessions were also attended by special guests who could offer insighl and tirsi-hand experience ol some the topics Ilor example. Freddie Woodman - knife ¢rime', Marc Guehi and Ali Al-Hamadi racism". DavKI Cotterril and Dai Greene metal health in sport). During the 2020121 season, Ihe Premier League Kicks pri)Jramme engaged wlh 1,874 partiapanls. delivering 288 sessions across 19 ¢Jifferent I￿allOnS. Incluslon One ol the core aims ol the Foundation is lo promote inclusNity. We have several p¥ojects that look lo off er opportunities for underrepresented groups from across Swansea and South West Wales to lake part in sport. Page 15 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REPORT OFTHE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 We have a number ol sessions encourage temale parttipation in loolball. particularly in aieas where thefe 15 a lack ol prowsion. Ouring the 2020121 season. we workeé alongside the FAW Trust lo develop a slralegy lor encouraging female participation in loolball in PembrcA(eshire. We also work alongside the FAW Trust lo deliver Ihe ' We Wear the Same Shirt'initiative. which is aimed at adults ol all ages and abilities seeking to improve their physical and mental wellbeing. Despite delays due lo Covid, 2020121 saw the L4unch ol a new project aimed at supporbng veterans. The 'ln the Squ8d initiative is delivered In partnership. wtth Ospreys in The ComfflunAlyand backed by the Armed Forces Covenant FLjr￿ Trust. The project sees both organisalions use the power ol sport and their brands lo engage with veterans and ex-semce personnel of all ages across the communily, wth the aim ol supporting Iheii wellbeing and combating social isolation. The Foundation also delivers the EFL Trust funded programme, Every Player Counts %thich provides opportunities lor young peop￿ wth disabililies lo lake part in sporl. The 2020r21 season was a particularly chaI￿nging season lor some ol our inclusion-based projects. A significant proportion of partI￿panIS are vulnerable and so were more cautious when returning lo sessions. Employability Al the start ol Ihe 2020121 season. the Foundation embarked on a new proje¢l. Aclive Inclusion, which looked to provide employabilrty skills to Ihose lurthesi from ihe job mad(el, and whose employment opportunilies were adversely impacted by the pandemic. However. despite pockets ol success, the project failed lo attract largef numbers ol pafli¢ipants and the project came to an end in January 2021. With no further emFAoyabilily funding available. regrettably. all ol our employability team were made redundant or accepted a settlement agreement on the ￿nclUsion ol ihe project. Wilh the lurbulenl, short-teim nalure of employability related lunding. Ihe Foundation did not pursue further funding in this area al the lime. The Foundation coniinues to monitor opportunrties in this space. however. ¢urrentlythere are no known funding streams that meet our strategic aims that aLso otter the signifi.cant levels ol investment required to successlully deliver such a ¢offlplex proje¢l_ Fundraising actlvltoes As h￿hlighte￿ earlier in the report. due to the pandemic. tt)e Foundation was unable lo deliver much ol the incorne generating activities wtlined bek)w. The Foundation delbvers Soccer Camps during Schools Holidays across the South Wesl Wales. There is a lee lor children to lake part. to cover venue. staff and other assocjated costs with the airn ol generating a SUr￿￿S to contribute to core costs. The Foundation manages the Family Zone lor the loolball ¢kJb lor an agreed annual lee, albeit no recharges have been made since the onset ol Covtd., however. this wll resume lor the 2021122 season. On match days at the swansea.com Stadium. Trust Stall oversee the activilTres ITI the Family Sland, engaging and supporting young fan5 to enjoy the activities,. including mulliple games consoles, B81ak machine, etc. Through the Education programmes that are defivered. schools pay a partnership lee which supports project running costs and has potential lo generate a surplus to contribute lo core costs. In partnership wilh Universlty ol Soulh Wales. the Foundation facilitates the delivery ol a Community Football Coaching arTrd Development Foundation Degree programme. siudents aii¢na lècturès al thè Swansea.C¢)m Stadium an¢J gaifi experience supporting the various progiammes delivered by Ihe Foundation and attend residential sessions. The Foundab"on receives an agreed lee from the University ol South Wales lor each student enrolled on the programme. A specific fundraising inrtiaiive, The Chnsimas Hamper Campaign, commenced in the year to raise funds lor hampers lo donate to struggling families over the Christmas period. £67,189 01 funds were raised and unspent monies of £16.937 have been car15e(I forward to Chrislmas 2021. Page 16 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REPORT OF THE TRiISTEES FOR THE YEAR E14DED 31 AUGUST2021 Publlc benefit The truslees confirm that they have had regard lo the guidance contained in the Charty Commission's general guidance on public benelil when reviewng the Foundation's aims. objectives and in planning its aclivilies. Grant making No grants were dislribLrted under the Swans Aid programme to community organisations, charities and grass roots sports teams across South Wesl Wales.12020 . £1.9201 Volunteers The Foundation recognises Ihe imwrtance ol offering voKJnleering opportunities. However. because of the vulnerabililies ol many ol our participants. the Foundalion has decided, lor saleguarding reasons, lo reslrict the number ol volunteer places it olleis. ACHIEVEPAENT AND PERFORMANCE Charilable actlvwlies Monitoring of achievement is an ongoing process Connected to each project and we have systems in place to capture and safeguard the data. The figures below outline the achievements ol Ihe FourKlation for the year ended 31 August 2021: Number of participants engaged Sessions delivered MalelFemale Split Number of participants with disability Schools engaged Teachers engaged in our CPD prograrnmes 6,437 4.394 65135 59 75 Targets are agreed wih the Premier League ar￿ English Football League lor each season. Wirus control measures aftected the charrty's aetivrties schools and partÈcipanls mowng lo online delivery. Page 17 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST2021 FINANCIAL REVIEW Results for the period The Foundation reported an overall operational delicil of £24,34012020- surplus of £133,914). before exceptional items. The variance from the prior period was led by the impacts ol the COVID.19 pandemic. namely.. The Foundation received £47.580 {2020'. £95.6811 in Coronavirus Job Retention Scheme grants lo cover the costs ol furloughed employees- The PL SUTS programme (previously £125.0001 came to an end- and Expenditure on charitable aclivities was higher due lo the return to activity levels lor projects previously in lockdown pellods. The above conlribulors towards the reported delicil were offset sornewhal by the reduction in charitable activity income. such as soccer camps arKI aftei schools. clubs. The Foundation was unable to spend all ol tts PL Kicks Universal grant carried forward from 2019120, due lo Ih"e limilalions on activities arising from Cowd restriclions and lockdowns and £74,984 01 grant was repaid to the Premier League. This cost has been highlighted as an exceptional item. The overall nel delicil lor the period after exceptional items was £99,324. Cash generation The Foundation reported a delicit. Telerred to above. There were also some movements in debtors and creditors. The impact on this on Ihe reported deli¢ti can be seen in note 17 lo the accounts. A mode51 irkvestmenl in fixed assets. as well as other balance sheet movements, resulted in the reduction in cash of £45,698. Flnancial position The Foundation's net assels are represented by cash hJnds, albeit that £106,179 01 cash is held in relation lo reslricted funds. As explained in more deiail in the reserves note. the level of unrestricted lunds has been compared the reserves poI￿Y and the Irustees consider that the peri(xJ end linancial situation ol the Foundats"on to be satistaclory. Principal fundlng sources The Foundation's principal funding sources a￿ the Premier League, the English Football League, schools in the area and a range of local partners. Reserves The trustees have identified Ihe risks lo Ihe FourKJalbJn's income stream5. which could lead lo insolvency. They consider thatto Mit￿ale such events. a suilable ReseNe Fund should be established and mainlained. The trustees recognise that they have a legal. regulatory and moral obligation to establish a reserves policy. and a right under the Constitulion lo do so. The reserves policy is deleimined by an analysis ol likely future needs, opportunities. contingencies or risks and the assessment of the likelihi)od of the charity not being able to meet the financial onsequences of those events. This policy will be reviewed on an on-going basis with the involvement of staff lo ensure il is tailored lo the needs of Ihe Foundalion and ils acbvilies. A cash reserve is maintained by adjusling the level ol income TeL4tNe to expendiluTe as lar as is reasonably possible. Management is also exercised over the levels ol discretionary expendilure as appropriate. Additional income streams are sought as and when necessary. Page 18 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 The trustees consider il prudent to rewew their underlying di)cumenls and financial forecasts to re- calculate the reserve liguie on an annual basis. or more trequenlly rf circumslances ¢hange sionilicantly. The IrLJStees are informed by frequent management accounts, reporting recent performance and lorecasling lulure levels ol income and expenditure, and annual audiled accounts. 11 is re￿rnrnended that.. Reserves should be subject lo an annual review; Reserv8s should not be over-promded for- Reserves shoul(J be used for the purpose lor which they are wovided,. and Designated resetves should be created lo ring fence unrestricted funds lor specific purposes. This policy will be reviewed annvally. Total resetves at 31 August 2021 were £738,31812020- £837.6421. this is split as follows= Reslricted funds £90.25012020- £322,768) Designated unreslricled lunds £326.91312020- £281,998} Unrestricted funds £321.15512020 - £232,876) Designated funds represent monies ring fenced lor the Swans AKJ grants of £81,913 and a contingency fund of £245.000. The contingency tund is held lo cover unforeseen loss ol grant income, redundancy costs, to guard against future operating cost increases and to cover lulure capital expenditure requirements lor the replacemenl ol equipment. The reserves policy is unchanged as a resutt of Covid-19. The level ol reserves is sufliuent and the quanlilication ol thg contingency lund 15 deemed to remaÉn adequate. Closed Projecls Where suiplus funds Temwn on restricted reseNes ￿ closed projects, the following steps are considered.. Slep 1 ConsKJeratKJn is given to transferring the fund to a simiLqr funtl Step 2- Where a specrfic budget carry-torward has been agreed lunders and there is an additional hislorical surplus on Ihat reserve. then any surplus over and above the agreed carry-forward may be transferred lo Ihe unrestricted reserve or the Swans ￿'d Reserve. The primary lundeT may also agree to a transfer ol ihis nalure lor continuing projects. Step 3- 11 no similar fund can be identrfied Irom Step l above. Ihen that surplus may be transferred to the unrestricted fund or Ihe Swans Aid reserye Going concern The trustees consider that it is appropriate lo prepare the accounts on a going co￿eM basis. The business pkn lor the next years is formulated in the light ol ongoing grants and income generation. They have reviewed any financial uncertairhtie5 regarding the charily's financial sustainability and consideration of going concern and the sleps being taken to address these uncertainties with the continued support ol the English Foolball League and Premier League. Future plans The cole activities and the Foundation's invofvemenl ￿th the Education and Youth Engagernenl projecls are funded by the Premier League and the English Foolball League. We will also explore ways ol ensuring that. despite the expansion ol our services. our Provision retains the highest quality, Page 19 5WAN5EA CITY AFC FOUNDATION {REGISTERED COMPANY NUMBER.. 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 as would be expected of any Organisati￿ associated vrith the Premier League and the English Football League. We will give eareful consideiation to the generation ot unrestricted income vAth the aim ol increasing this more flexible facet ol our funding. There may be an impact on delNery of serv￿$ beyond August 2021 as a result ol Covid-19. Future capital woiects are fonnulated in conjun¢t￿)n vAlh Ihe Football Foundation and othei local partners. In the lighl ol Covid-19, we conlinue lo work with key stskehokJers- the Welsh Governmeni. Swansea Council, the English Football League. the Piemier League. and other lunders. STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document The charity is controlled by its governing document, a deed ol trust, and constilules a limited company. limited by guarantee, as defined by the Companies Act 2006. Swansea City AFC Foundation was incorporated on 3 Oclober 2008 in Wale5 and registered as a charity on 25 November 20Q8. The company was established under a MeMorar￿um ol Associalion which established the objects and powers ol the charitable company and is governed under ils Articles of Association. In the eveni ol the company being wound up members are required to contribule an amounl not exceeding £10. The name ol the charitable company was changed from Swansea City AFC Community Trusi on 11 August 2021. Recrultment and 8ppointmenl ol new trustees New trustees ale appointed Ljpon the recommendation of existing Irustees. One third ol the Iruslees musl retire al each annual general meeb'ng aNI offer theMse￿eS lor re-election. Induciion #nd training of new trusiees Training is provided following appointment and is in Ihe forrn ol a ￿cOMe pack" along wth brieling by the Chairman and members ol the Senior Management Tearn. Formal training is reviewed on an annual basis lor all trustees. Organisalional Structure Day lo day responsibility lor Ihe prowsion ol service rests with the Head ol Community. Helen Elton. as supporled by a ieam of coaches and suwrt staff. Decision making rhe trustees have a policy on delegated decision making which is rewewed regulady. In accordance wth the Board's role as the ultimate decision.making body %wthin the charsty. the charity has a wrrtlen schedule of matlers reserved lo the Board. or decisions that are lo be taken only by the Board and which may not be delegated to any individual. group, commrtee orthe Senior Manaoemenl Team. The matters reserved lo the Board include as a minimum., Setting the charity's vision, mission and values.. Development ol the strategy and approval ol the bugness ￿an. Approval ol the financial plan and annual budgel. finance and lundino., Ultimate iespons*Jility lor the overgghl ol risk mana9ement' bl d) Page 110 SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 06714819) REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST2021 Review, approval and adoplion ol Folcies and kwocedures {save where Specrf1￿1IY delegated in writing io a particular person. position. working group, committee 01 the managemenl team).. Perfom)ance rnanagemenl IKPls}'. and Legislabve compliance. gi The board will meet to receive information on and to discuss Ihe lollowng.. All decisions requiring expenditure alxjve £15.000. Decisions that involve the signing ol contracls valued al above £15.000. Sirategic decisions about the direction of Iiavel lor the charity. Policy changes. including: HR, linance and governance. rhe charrty has an agreed mechanism recorded in WTiting by wh￿h the Board (artd WOfl(ing groups and committees) may make decisions oulside ol meetings.. Where possible decisions will be made al truslee board meetings. which happen 5 or 6 limes a year. When additional tnlormalion is needed. it may be requested by email lo arrive between meetings. and, rf a majority decision is able to be made that way, such decisions are bindiThJ. The decision wll ￿ minuled al the next quorale meeting. The Swans Aid subgroup will convene tvAce a year {May and December usually) lo decKle on the allocatson ol Swans Aid funding. O￿aS1onally, where expert advice is soughl on a comFlex matter and there is some urgency in reaching a deeision, e.g. a grievance procedure, then a task and finish group will be formed ol no fewer than three trustees. bl Timelrames fof decisions will vary. depending on their nature Key management remuneration Key fflanayement personnel are considered lo be those personnel who are not Iiuslees bul sit within key operational and Strategic roles. Key management remuneration is remewed by trustees on an annual basis and consideration is given lo bwl madtel rates lor $￿IfiC job roles. Related parties The trustees COn￿der that there are no related parties. olheT than the board of Iruslees and key management personnel. Rlsk management Oeveloping a strategy for managing risk is an essential part of risk control. The risk strategy correlales th the organisation's slralegic business plans and is rewewed when changes to these documents lake place and where major changes in our operating environment become evident, or al the very minimum on an annual basis. As having in place good effective wlicies and procedures is the key lo prevention all such documents will also be ieassessed and resigned at minimum on an annual basis. As part ol the strategy a iisk register will be kepl which= Lists and ranks previously identified and analysed risks Slates what action will be taken lo manage risks and identrfy resourees allocated lo manaoing risks Assigns roles and responsibilities lor managing risks Sets out how and when risks will be monitored and wewed This risk management document wll be remewed annually. Page 111 SWANSEA CITY AFC FOUNDATION IREGISTEREO COMPANY 14UMBER: 067148191 REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2021 The tiustees have considered the impact on the tinancial statements as a result ol the changing activities ol Ihe charity itself under ihe resliiclions of CovKI-19. This has allected.. al Fundraising - Projects have lo adapt lo delivery onkne as a resull ol k>ckdown. bl The changing circumstances ol staff and volunleers and staff working from home. Operations have returned to more normal levels as restrictions have eased. cl Changes nol controlled by Ihe charity such as the demand for chariiable serwces and the changing sftualion regarding schoob and participants. The v￿ve of the charities. assets and liabililies due lo changes to the economy. inclLpdino fixed assets. Flnanclal Instruments The Foundation's principal financial assets are bank balances, cash and Irade debtorslcreditors. Credit risk is primarily attributable to trade debtors. The amounts presented in the balance sheet are net ol allowances lor doubtful debts. The Foundation actively monitors a￿1 manages the credit risk associated wlh the trade debtors. The Foundation also actively manages ils liquidity risk by maintaining suff icienl cash reseNes as noted in the reserves sKbon. lo ensure Ihat the charity has sufficient available funds lor ils operations, and lulure plans. The Foundalion does not have any borrowng and is therefore not affecled by interest rate rises. Page 112 SWANSEA CITY AFC FOUNOATION {REGISTERED COMPANY NUMBER: 067148191 STATEMENT OF TRUSTEES. RESPONSIBILITIES FOR THE YEAR ENDED 31 AUGUST 2021 The trustees {who are alsothediiectors ol Swansea Cty AFC Fourthlion Iorthe kxjiposes ol company lawl are responsible lor preparing the linancial slalements in accordan¢e with appI￿able law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Ac¢ounling Practicel, including FinanciJ Reporting Standard 102 The Financial Rewrting Standard applicable in the UK and RerAJblic ol IrelarKI". Company law requires Ihe truslees to prepare financial staiemenls for èach financial year wh￿h give a true and lair view of the slate of affairs of the charilable company and ol the incoming resources and applicatitsn ol resources. including ihe income and expenditure. ol the charitable cornpany lor that p8riod. In piepariw those linanciaj stalgments, the trustees ale required to Select suitable accounting polues and then apply them consistently. Observe the methods and prinuples in the Charity SORP-, Make judgements and estimaies Ihat are reasonable and prudent- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that ihe charitable ￿MpanY will continue in txjsiness. The trustees are responsible lor keeping propeT accounting records which disclose with reasonable accuracy at any trme the linancial position of the charitable company and lo enable them to ensurè that ihe financial slatements comply wth the Companies Act 2006. They are also responsible lor safeguarding the assets of the charitable company and hence for taking reasonable steps lor ihe prevention and detection ol Iraud and other irregularities. In so lar as the trustees are aware.. There is no relevant audit inlormalK)n ol which the Chwitable companws auditors are unawaie.. and The trustees have taken all Sieps that they oughi io have taken to make themselves aware ol any relevant audit inloimation and to establish that the auditors are aware ol that information. Small company exemptions This report has been prepared in accordance the provisions applicabk lo companies subject to the small Companies. regime within Part 15 01 the Companies Act 2006. AUDITORS The auditors. Geiald Thomas, wll t* woposed lor re-appoinlmenl al the lothoming Annual General Meeting. Approved by order ol the board ol trustees on 28* April 2022 and swJned on its behalf by". SJ IKcDonakl Truslee Page 113 REPORT OF THE INDEPENDENT AUDITORSTOTHETRUSTEES OF SWANSEA CITY AFC FOUNDAnoN {REGISTERED COMPANY NUMBER: 067148191 Opinion We have audited the linancia siatemenls ol Swansea City AFC Foundat￿￿n Ithe'charrtable company'l for Ihe year ended 31 August 2021 %thich compnse the Statemeni of Financial Actiwties. the Balance Sheet, the Cash Flow Statement and noles lo Ihe financial statements. Including a summary ol significant accounting policies. The financial reporting framework that ha5 b&en aptAied in their preparation is applicable law and United Kingdom Accounting Standards (Uniled Kingdom Generally Accepted Accounting Practice). including Financial Repotting Standard 102'The Fina￿1& Reporting Standard aFplicable in the UK and Republic of Ireland.. In OUT opinion the financial statements.. Give a true and fair view of the state ol the chariL2ble companls affairs as at 31 August 2021 and ol its incoming resources and appl￿tion of resourees, including its income and expendiluTe. lor the year then endèd- Have been properfy prepared in accordance vmth United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporling Standard applicable in Ihe UK and the RepUt￿lC ol Ireland.: and Have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance Intemational Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under Ihose siandards are lurther described in the Auditors responsibilities lor the audit of the finanual statements section ol our rewrt. We are independent ol the charitable corllpany in accordance the ethical requirements that are relevant lo our audit ol the financial statements in the UK, including the FRC'S Ethical Standard. and we have lulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained Is sufficient and appropriate to provrde a basis lor our opinion. Conclusions relating to going concern In auditing the financial slatemenls, we have concluded that the trustees. use ol the going concern basis ol accounting in the preparation of the linancial statements is appropriate. Based on the work we have performed. we have not identified any malerial ￿￿ertaInlieS ielating lo events or eonditions that, individually or collectively, may casl significant doubl on the charitable company's ability to conlinue as a going concern lor a Feriod ol ai least twelve months from when the financial statements are aulhorised lor i&sue. Our reswnsibilities and the Tesponstjilities ol the trU￿eeS wth respect lo going eoncern are éescribed in the relevant sections of this report. Other infomiatlon The trustees are responsible lor the other intomialion. The other information comprises the inlorrnation tncluded in the annLtal rep)rt, other Ihan Ihe financial statements and oui Report ol Ihe Independent Auditors thereon. Our opinion on the financi￿ slalernenls does not ci)ver the other information and, except to the exlenl otherwise expliotly slated in our repon. we do not exwess any form of assurance conclusion thereon. Page | 14 REPORT OFTHE INDEPENDENT AUDITORSTO THE TRUSTEES OF SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 In connection with our audit of Ihe financial slalements. our responsibility is lo read the olher information and, in doing so, consider whether the other ￿nforMation is materially inconsistent wth Ihe linancial statements or our knowledge obtained in the audit or otherwise appears lo be materially misslaled. 11 we identify such material inconsislencies or apparent rnaterial rnisslalements. we are required lo determine whether there is a malerial misstalemenl in the financial slatements or a malerial misstatement ol the other information. 11. based on the work we have performed, we conclude Ihal there is a material misslalement of Ihis other inlormatson, we are required to Teport that lact. We have nothing lo report in ihis Tegard. Matters on which we are required to report by exception We have nothing to report in respect ol the followng mattels where the Charities IAccounts and Reports) Aegulalions 2008 reqvires us to report to you il. in our opinion: The infomation given in the Report ol the Trustees is inconsislenl in any material respect with the financial slalements.. or The chariiable company has not kept adequate accounting records- or The financial stalemenls are not in agreement h￿th the accounting records ané returns- or We have not received all the information arKI explanalions we require for our audit. Responsibilities of trustees As explained more lully in the Slalement ol Trustees. Responsibilities, the trustees {who are also the directors ol the charitable company lor the purposes of company lawl are responsilJe lor the preparation ol the financial statements and lor being satisfied that they give a true and lair view. and lor such internal control as the trustees determine is necessary to enable the preparation ol financial statements thal are free from material misslatemenl. whether due to fraud or error. In preparing the financial statements. the trustees are responsible lor assess>ng the charitable company's ability lo continue as a going concern, disclosing. as applicable, matters related lo going concern anLI using the going concern basis ol accounting unless the Iruslees either intend lo liquidate Ihe charitable company or to cease operations, or have no realisti¢ altemative but to (*) so. Our Tesponsibilities for the audit ot the linan¢ial statements We have been appointed as auditors under Section 144 01 the Charities Act 2011 and report in accordanee with the Act and relevant regulations made or having effect Ihereunder. OUT obj'eetives are to obiain reasonable assurance aboLrt whether the financial slalements as a whole are free from material misslalement, whether due to fraud or error. and to issue a Fleport ol the Indepenéenl Auditors that includes our opinion. Reasonable assurance is a high ￿Ve1 ol assurance, but is not a guarantee thal an audit conducted in accordance wth ISAS IUKI will always delect 8 material misslalemenl when il exisis. Misslalements can arise from fraud or error and are considered malerial if. individually or in the aggregate, they could ieasonably b& expected to influence the economic decisions of users laken on the basis ol these financial statements. Iiregularities, including fraud, are instances of non -compliance vAlh laws and regulations. We design procedure in line with our responsibilities, outlined above. to Llelecl material misslalemenls in respect ol irregularities, including fraud. The extent to which our pr<￿edureS are capable of detecting irregularities. including fraud is detailed below= REPORT OF THE INDEPENDENT AUDITORS TO THE TRusfEES OF SWANSEA CITY AFC FOUNDATION IREGisfERED COMPANY NUMBER: 067148191 Detecting Irregularities The objectives of our audit in ￿latIon to fraud are as follows.. To idenlily and assess the risks ol material mis-statement of the thnan¢ial statements due to fraud., To obtain sufficienl appropiiale audit evkyence regarding the assessed risks of material mis- statement due to fraud, through designing and implemènting 8ppropriate responses. And lo respond atproprialely lo IraLKI or suspected fraud identified during the audit. However, the prirnary responsibility lor Ihe prevention and deie¢tK)n ol fraud rests vrith both those charged with goveinance ol the enltty and management. Audltor's approach to assessing the rlsks of material mis-statement due to irregularilies, including fraud We obtained an unéerslanding of the legal and regulatory frameworks that are applicable to the entity and delemiined that the most signrficant frameworks which are directly relevant to specitic assertTrons in Ihe financial stalemenls are those that relale lo the reporting Iramewoth IFRS 102 arKI Companies Acl 20061 and the relevant tax ¢ompliance regulations in the UK. We assesse(S Ihe risks of material misstatement in respect ol Iraud and considered the extenl lo which non- comrAiance tsrilh laws and regulations might have a malerial effect on Ihe h"nancial stalements. Audit procedures deslgned to respond to the risks ol nonaeornpliance with laws and regulations Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above. We made er@uiries ol management to understand how the company is complying with Ihose frameworks. Audit procedures performed by the engagement team also inck￿eLl a rewew of thè linancial statements disclosures lo untJet1ying surv>rting documentation. Audit procedures designed to respond to the risks ot fraud We assessed the susceplibilily ol the compan¥s financial stslements to maierial mis-statement. including how fraud might occur by meeting W￿(h management to understand vthere they cons*Yered there was susceplibility to fraud. Based on the results ol wr risk assessment we desKJned our audr( procedures lo identify and to adéress material misstatements in relation to Iraud. The COVID-19 w0￿1ng environment iweases Ihe inherent risk ol fraud. Our audit yocedures have been tailored to address this risk. wtth areas of au¢Jil locus Ndent-rfie(J as_. Going concern risk., Govemment supports schemes fraUdu￿ntlY being claimed- Potentially more opportunities lor Iraud with more remote ¥votking. As well as aoopb'ng an allilude ol professional sceplicism, we have obtained infomation lor use in identifying the risk ol traud when performing ri%k assessmenl procedures, and perfomed the following piocedures in light ol the risk ol fraud.. REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF SWANSEA CITY AFC FOUNDATION (REGISTERED COMPANY NUMBER: 067148191 Di￿y$s1on amongst the engagement team regarding ihe susceptibility of the client to fraud. Consider the risk of fraL¥J when documenling and lesling inlemal controls- Enquiring ol management how they= assess the risk of fraud; identify and resKX)nd to the risks of fraud., ar Enquiring ol management whether they have any knowlèdge ol actual or suspected frauds. Management override of controls We considered Ihe risk ol through management override and. in response. we incorporated lesling ol manual joumal enlries into our audit approach. The audit engagement team performed journal entry lesbng using a risk-based approach and evaluating whether Ihere was evidence of bias, with a locus on any journals induiing large or unusual transactions based on our understaThJing of the ¢harity. Censideratlons around likellhood of detectlon However, owing to the inherent limitations of an audit, there is an unavoidable risk that we may nol have detected some material mis-stalements in the financial slalements. even though we have properly planned and performed our audrt in acCOrdar￿ with audits.ng standards. For exafflple, the further removed non- compliance with laws and fegulalions lirregulariliesl is Irom the evenis and transactions reflected in the linaneial statements. the less likely the inherently limited procedures fequired by auditing standards woul¢J ioenlily it. In addition, as wth any audit, there remained a higher risk ol non-deteclion ol irregularities, as these may involve collusion, loigery, inlenlional omissions. misrepresentations. or the override ol internal controls. We are not responsible for wevenb.ng nOn-￿mplian¢e and cannot be expe¢led lo detect non- compliance wth all laws and regulations. A further description of our reswnsi￿litles1orIhe audit of the financial slatemenls is located on the Financial Reporting Council's website al www.frc.org.uklaudblorsresrK)nsibilities. This description forms part of our Report ol the Indepentjent Audrtors. Use of our report This report is made solely to the charitable companYs Iruslees, as a body. in accordance with Part 4 of the Charities (Accounts aniy Reports) Regulalions 2008. Our audit work has been undertaken so that we might stste lo the charitable ¢ompanYs Irustees those matters we are required to state lo them in an auditors. report and lor no other purpose. To the lullesl exlenl perrnitted by law. we do not a¢¢ept or assume responsibility to anyone other Ihan the charilable company and the Cha¥[tab￿ company's trustees as a body, lor our audit work. lor this report. or for the opinions we have formed. For on behalf ol Gerald Thomas Chartered Accountants and Statutory AL￿ltor Eligible to act as an audilor in tems ol Section 1212 01 the Companies Act 2006 3 New Mill Court Swansea Enterprise Park Swansea SA7 9FG Dale.. 26￿ April 2022 Page 117 SWANSEA CITY AFC FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 AUGUST 2021 Notes Restricted funds Unrestricted funds 2021 Tolal funds 2020 Total funds Income and endowmants from Donations and legacies Charitable actwrties Investment income Total Income 34.571 559.863 100.C4XI 115.317 260 215,57T 134,571 675,180 260 810.011 141,538 792,889 900 935,327 594,434 Expenditure on Charitable a¢livilies Other Total expenditure 607.359 211.604 15,388 226,992 818,963 15.388 834.351 789.468 607,359 801.413 Net {expenditure)lincome betore exceptlonal items {12.925) {11,4151 {24,340) 133.914 Exceptional Cost 19 {74.9841 174.9841 Transfers be￿een funds {144,6091 144,609 Re¢on¢iliation of funds Total funds brought forward 322.768 514.874 837.642 703.728 Total funds carrled forward 90,250 648.068 738.318 837.642 The statement of finaneial activities includes all gains and losse5 recognised in the year and all income and expenditu¥e derive from continuing activities. The statemenl ol finanr.iAI adivilies dso complies with the requirements lor an income and exFenditure account under the Companie5 Act 2006. SWANSEA CITY AFC FOUNDATION 8ALANCE SHEET 31 AUGUST 2021 Notes 2020 Tangible fixed assets 10 32.557 25,625 Current assets Debtors Cash at bank and in harKI 57.759 764.298 822.057 50,080 809,996 860,076 Creditors Amounts falling due wlhin one year 12 104,796 41,059 Net current assets 717.261 819,017 Accruals and deferred ir￿$Me 13 11.500 7.000 Net assets Funds Unrestricted funds Restricted funds Tolal funds 15 15 648.068 90,250 738.318 514,874 322,768 837.642 The charitable company is entitled lo exemption from audtt under secb.on 4T/ ol the Companies Act 2006 lor the period ended 31 August 2021. although an audit has been Carried out under section 144 01 the Charities Act 2011. The rnembers have not deposited notice, pursuant to Seclion 476 of the Companies Act 2006 requiring an audit ol these financial slalemenls. The trustees acknowledge their responsibilities lor lal ensuring Ihal the charrtable company keeps accounting records that comply wth Seciions 386 and 387 of the Companies Acf 2006 and preparing financial statements which give a Irue and fair wew ol the stale of affairs ol the charitatle company as al Ihe end of each linancial year ar¥J ol its surplus or delicil lor each linancial year in aecordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements ol Ihe Companies Act 2006 relating lo finar￿la1 statements. so far as applicable lo Ihe charitable company. These linan¢i* stalements have been prepared in accordance ¥￿th the prowsions applicable to charitable companies subject lo Ihe small companies, regime. The linanual statements were aFproved bythe Board ol Trustees and aulhorised lor issue on 28 April 2022 and were signed on ils behalf by". Ibl SJ McDonald Trustee Page 119 SWANSEA CITY AFC FOUNDATION CASH FLOW STATEMENT 31 AUGUST 2021 Notes 2021 2020 Cash flows from operating activities 123.5761 1102,5571 Cash flows from Investmenl activitles Interest received Purchase ol tangible fixed assets 260 22.382 900 12,017 Net cash used in invesling activities 122.1221 111.1171 Change in cash and cash equlv•lent$ In the reportlng period (45.6981 1113,6741 Cash and equivalent at the beginning ol Ihe reporting period 809.996 923,670 Cash and cash equlvalents at the end ol the reporting period 764.298 809.996 Cash and cash equwalents are representetl by bank balances and cash in hand. Page 120 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 1. Statutory infomation Swansea City AFC Foundation is a charitable company, limiled by guaranlee. incorporated in England and Wales. The company's registered number and registered office address can be found on page 1. 2. Accounting policles Basis of preparation ot the financial statements The financial statements ol Ihe charitable cornpany. which is a public benefit enlily under FRS 102, have been prepared in accoidance wilh the Charilies SORP IFRS 1021 'Accounting and Reporting by Charities.. Slalemenl ol Recommended Practice applieable to charities preparing theii accounts in accordance with the Financial Reporting Standard ap￿ICable in the UK and Republic ol Ireland IFRS 1021 lellective I January 20191.. Financial Reporting Standard 102'The Financial ReFX)rting Standard applicable in the UK arvj Republic ol Ireland. and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. The Charitab￿ company's lunctKJnal and pvesentational cuirenl is the pound sterling 1£) and balances are rounded lo the nearesi £1. Going coneern The Iruslees have considered the level ol funds held and the expected level ol income and expenditure lor twelve months Irom aulhorising these financial statements. The projeeteé income and expenditure is sufficient, along wlh the level of reserves. tor the charty to be able lo continue as a going concem. The charity is inherently reliant on the conlFnuing support ol its grant lunders. bul the trustees have no reasons to believe that continued support and funding will nol continue. The trustees have a reasonable expgctation that the charity will have adequate resources lo continue in operational existence for the foreseeab￿ future. Accor¢Jingfy. Ihe trU￿ee$ continue lo adopt the going concern basis in preparing the linanual statements. signifi￿nt judgements and estimates made The trustees make eslimales and assumptions Cor￿ern1rrtJ the future. The resurting accountsng estsmates will, by definition, seldom equal the related actual resuhs. The eslimales and assumptions that have a significant risk ol causing material adjustmenls to the carwr¥J amounts of assets and liabilities wilhin Ihe next year are aisdressed bebw.. il A review ol doubttul debts is undertaken on a reguL4r basis and promsions are made tl Ihe balance has been dormant for more than one year. Provisions are made only when recoverknlity is considered remote. ill The income Tecogntfion policy resurts in judgements being made wilh regard to project performance. Conlraclual largels and detailed KPIS are selected as appropriate in order lo recognise income earned during the year. iiil The Iruslees carry oul annual reviews ol lixed assets to assess whether there are any indications ol impairment. Where indications of Impaiiment exist. the trustees consider the recoverable amount ol the relevant asset. based upon either value in use or net realisable value. depending upon the function ol Ihe asset in queslion. Irnpairment provi&ons are recognised in the slalement ol linanaal actiwties, within Ihe relevant cost category lo which the asset relales. iv) The annual depreciation eharge for tangible fixed assets is sensilive lo changes in the eslimaled useful economic lives ol the assets. The useful economic lives are reassessed annually and are arnendecs when necessary Io Tellect currenl est¢maies ol econom￿ ulilisalion and physical condition ol the assets. Pa8e 121 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANOAL STATEMENTS FOR THE YEAR ENOED 31 AUGUST 2021 2. A¢countlng policies vl Where the Charity Incurs costs or is entrt￿l to income which the trustees consider are either outside the S¢OP8 01 normal activities or unusually material lo the accounts in terms ol size or incidence, then such amounls are classified as exceptional items and disclosed separately on the lace ol the statement ol financial activities and described further in a separate note lo the accounis. Income All incoming resources are included in the statement ol financial actNlties when the charity is entitled lo the income and the amount can be quantified vthh reasonable accuracy. The lolkswng specifi¢ policies are applied to particular categories of income= Investment income is included when receivable., Income fr￿ charitable activities are accounted lor when eamed., Income from grants. where related lo performance and specific deliverables. are accounted for as the charity earns the right to consideration by its pertormance. This will take account ol contractual targets, KPIS and claw backs agreed during the cotjrse ol the year. and Income trom non-performanee related granis and donations are recognised when Ihe charity becomes entitled to Ihe income. it ean be m&isured rel'ably an(J receipt ol the income is proba￿e. Expenditure and irrecoverable VAT Liabilities are recognised as expenditure as soon as there is a legal or conslruclive obligalion coming the charity lo that expenditure. it is probable that a transfer ol eConorn￿ benefits will be required in settl&ment and the amount ol the obligation can t* measure(1 reliably. Expendittjre is accounted lor on an accruals basis and has been classitied under headings thai aggregate all costs related lo the category. Where costs cannot be directly attributable lo particular headings. they have been allocated lo actiwlies on a basis Consistent wrth the tjse ol Tesour¢Ès. Grants ollered subject lo conditions wh￿h havg not been met at the yearend dale are noted as a commitment but not accrued as expenditure. Expendiluie includes any VAT wh￿h cannot be lully recovered, and is reported as part of the expenditure io which it relates.. Charitable expenditure Comprises those costs ir￿￿Tred by Ihe charity in the delivery ol its activities and services for its beneficiaries. It includes both costs that can allocated directly to such activities and those costs ol an indirect nature necessary to support them- Governance costs include those Costs aSs￿lated with rneeting the constitutional and statutory requirernents ol the charity and include the audii lees artl costs linked lo the strategic management ol the chaiily- All eosis are allocated between the expenditure eategories ot the SOFA on a basis designed to reflect Ihe use ol the resource. Costs relating to an activity are a1￿cated directly. others are apy)rlioned on an appropriate basis. Tangible flxed assets and depreciation Tangible fixed assets are measured al cost less accumulated depreciation. Assets costing more than £500 are capitalised. Depreciation is provided at Ihe I￿loW1n9 annual rates in order to write off each asset over ils eslimated useful lrfe.. Plant and fvjachinery etc. 25% straight line All fixed assels are employed in the furtherance ol the charity's objectives. Page 122 SWANSEA CITY AFC FOUNDATION NOTESTO THE FINANOAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST2021 2. Accounting policies Taxation The charity is exempl from corporation lax on its charitable aclivilies. Fund accounling Unrestricted funds are available for use at the discretion ol the trustees in the furtherance of Ihe general objectives ol the charity. Reslricled funds can only be Ljsed lor particular restricted purposes wtthin the objects ol the charity. Reslriclions arise when specified by Ihe donor or when lunds are raised lo¥ particular restricted purposes. Gifts in kind and donated assets and services Gifts In kind are logged in a Central register and quantified as a donation lor signilunl conlribulions. Donated assets and services worth more than £500 wll be included wherever ielevanl, il the value can be reliably estimated. Financial instruments The Foundation only has financial assets arKJ financial liabilities of a kind Ihat qualrfy as basic financial instruments. Basic financial instruments are Tecognised ai Iransacbon value and subsequently measured al their settbernent value. Operating leases Expenditure relating to operating leases is recognised in the Statement ol Financtal Aets"vrties in the period lo which it relates. Pension costs and other post-retiremeni benefrts The charity operates a delined contribution pension scheme. The pension cost charge represents contr*yJtions payable by the charily to the fund, in accordance wlh the rules ol the scheme. 3. Donallorbs and legacles Restr￿ted lurKIs Unrestricted furKIs 2021 Total 2020 Total Core funding EFL-Core PL- Core EFL- Infrastructure EFL- Other 35.000 65.000 35.000 65.000 35.000 65.000 5.217 2.500 Other Income Swansea City AFC - Kil PFA- Fair Play Award FAW Trust PolKe Crime Commissioner 17.339 17,339 13.920 7,500 7,400 5,001 17.232 17,232 Total 34.571 100,000 134.571 141,538 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDEO 31 AUGUST2021 3. Donations and legacies For the year ended 31 August 2020 Restricted funds Unreslricl ed funds 2020 Total Cole funding Other income 107.717 19.901 107,717 33,821 13.920 Total 13.920 127,618 4. Incomfj from charitable activities Reslricled lun(Is Unreslricled lunds 2021 Total 2020 Tol Premler League projects PL Kieks Universal PL Primary Stars PL Sign up lor Success PL InsFNres PL Kicks Targeted 183.436 141,500 183.436 141,500 2CK),3(K) 140.000 125.000 70,150 45,000 65.947 27.567 65.947 27.567 Other charitable activities ACT Traineeships Amed Forces Covenant Fund Trust Funding Active In¢kJsion Cily & County ol Swansea Degree Programme Every Player Counts You vs Train FurloLJgh ICJRS Scheme I Courses, soccer camps & after school clubs Hampers Project Fundraising Other 21.948 33.250 33.250 28,974 28.974 13,500 13,950 10.000 10,0 8.000 4,000 47,580 55,031 8.000 4.000 2.500 95.681 43.8¢XI 47,580 55,031 67,189 67.189 102 2,604 102 2.604 11,919 5.141 Total 559.863 115317 792.889 Government grants During the year the charity receNed amounts lotalling £47.580 12020 £95,681 in relation to the Coronavifus Job Retention Scheme. For the year ended 31 August 2020 Reslricled funds Unreslricled lunds 2020 Total Premier League projects Other charitable actwities 580,450 20,100 580,450 212,439 192,339 Total 600.550 192,339 792.889 Page 124 SWANSEA CITY AFC FOUNDAnON NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDEO 31 AUGUST 2021 5. Analysis ol expenditure Restricted funds Unrestricted funds 2021 Total 2020 Total Govemance Costs directly allocated to ¢haritable aetivilies Wages and coaching Training Kil and equipment Motor, travel and subsistence Advertising Venue hire Vehicle hire ComF)etitions and events Harnpers Projecl Fundraising expenses Swans Aid grants and disbursements Total direct costs 432,401 4,091 35.713 68,976 1.236 511 501,377 5.327 36.224 503,934 19.730 30.461 7,063 724 214 7,277 1.273 29,652 22.065 21,457 1.565 21.409 19.869 549 20,881 22.065 8.771 1.025 50.252 274 1.299 50.252 532 3.022 574.215 80.531 654.746 623,899 Support costs allocated to charitable a¢tivities Administrative salaries Pensions Audit and accountancy Insurance Equipmeni hire Telephone Printing, slalionery ar publicalion5 Postage Computer and software Depreciation Sundry Bank and credit charges Total support costs 103,189 4.280 103,189 14.324 10,893 8.501 1,733 9.265 104,746 16,328 8,027 5.093 2.486 8.937 10.044 10,B93 4.495 4.006 753 6.558 980 2.707 862 573 1.435 249 816 121 7,264 1.751 15.450 62 9,015 15,450 3,368 10.170 17,429 2.916 288 1,895 131,073 2,183 179,605 445 33,144 15,388 1TI,514 Tolal expenditure 211,604 Page 125 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 S. Analysis ol expendllure For the period ended 31 August 2020 Restricted fu￿lS Unrestricted funds 2020 Total Govemance Costs direclly alocated to chaTit*Ae aclivilies Support costs allocated lo charilatAe activities Total 425.488 198.411 623.899 26.830 452.318 138.739 1,945 177,514 801 413 6. Net incomellexpenditure) Net incomelexpenditure is slated after charging.. 2021 2020 Auditors, rernunerat￿n 5,000 5,000 7. Staff costs 2021 2020 Salaries and Vdges Social securily costs Pension costs 560.124 44.442 14.324 567.488 41,192 16,328 The pension scheme Contributions are defined contributions payable by the charity to funds, the assets ol which are held separately Irorn those ol the company. The amount owed lo Ihe pension scheme at the year end was £2,48212020'. £3.111). There were no emtyoyees whose annual emoluments were over £60,000. The aveiage weekly number ol employees by lunclion were as follows= 2021 2020 31 Charitable activities Adminislrative 33 Key management personnel are consideied to be those personnel who are not truslees but Sit within key operational and strategic roles. The lolal cosl ol the senior management team was as follows: 2021 2020 Key management personnel 143.633 145,405 Page 126 SWANSEACITY AFC FOUNDATION NOTES TO THE FINANCIAL sTATEmE￿s FOR THE YEAR ENDEO 31 AUGUST 2021 There wefe 1012020 - 41 vohJnteers. The benefit io the charity of v¢Junleers' time has not been quantified nor has any amounl been recognised in the accounts. During the year the charily made the fdlowng ex-gratia pawnenls. The costs relate lo Ihe Foundalion's voluntary decision lo support lurbughed employees by paying them their lull salaries. 2021 2020 Ex-gratia payinents 14,266 24.207 8. Trustees. remuneration and benefits There were no Iruslees. remuneration or other benelils lor the year ended 31 August 2021 nor IOT the year ended 31 August 2020. Charity expenses tolalling £1,233 were ieimbursed lo one trustee wlhin the year and at 1he balance sheet date. the charity owed £565 to one trustee in respect ol charitable expenditure. There were no trustees. expenses paid lor the year ended 31 Augusl 2020. 9. Cornparatives lor the ststement of financlal activitles Resiricled lunds Unreslricled funds Total 2020 Income and endowments from Donations and legacies Charitable aclivities Investment income Total income 13,920 600,550 127.618 192.339 900 320.857 141.538 792,889 900 935,327 614.470 Expendlture on Charitable actwilies Other Tolal expenditure 452.318 337.150 11.945 349.095 789,468 11,945 801.413 452.318 Net incom•llexpenditurel 162.152 133914 Transfers bets¥een lunds {78.812) 78.812 Reconciliation ol lunds Total funds brought forward 239.428 703,728 Total tunds carried forward 514 874 837.642 Page 127 SWANSEA crry AFC FOUNDATION NOTES TO THE FINANCIAL STATEMEp¥rs FOR THE YEAR ENDED 31 AUGUST 2021 10. Tangible fixed assets Plant & Machinery etc Cosl At 1 September 2020 Additions At 31 August 2021 51,915 22.382 74,297 Deprecialion At 1 September 2020 Charge in period Al 31 August 2021 26.290 15,450 41.740 Net book value at 31 Augusl 2021 32.557 Net book Value at 31 Augusl 2020 25,625 11. Debtors 2021 2020 Accrued income Trade debtors Other éeblors and prepayments 24,000 20.752 13.007 57,759 24,0(K) 2.052 24.028 50,080 12. Creditors: amounls falNng due wllhln one year 2021 2020 Trade creditors Accrued expenses Granl repayable 7.086 22.724 74.984 104,794 13.456 27,603 41,059 The balances above are payable wtthin c￿e year and are not interest bearkng. Page 128 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 13. Deferred Income 2021 2020 Oeleired Income 11.500 7,000 Reconciliation of deferred income movements 2021 2020 Balance brought forward Released during the year Deferred during the year Balance carried torward 7.000 {7.0001 11.50CI 11.500 246,250 1246.2501 7,000 7.000 14. Analysis ot net assets between lunds Restr￿ed funds Unrestricted lunds Total funds Tangible fixed assets Current assets (excluding cash at bank and in handl Current assets (cash al bank and in handl Currenl liabilities 25.669 45,256 32.557 57.759 12.503 106.179 186.854) 658.119 {17.9421 764.298 1104,7961 Deferred Income Nel assets 111.5001 648,068 111,5001 738,318 90,250 14. Analysis of net assets between funds For the year ended 31 August 2020 Restricted funds Unreslricled funds Total funds Tangible fixed assets Current assets {excluding cash al bank and in handl Current assets (cash at bank and in handl Current liabilities Deferred in¢ome Net assels 6.295 41.808 25,625 8.272 5Ct.080 293,169 131,539} 516,827 19,5201 7.000 514.874 809,996 141,0591 7,000 837,642 322.768 Page 129 SWAN5EACITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMETr¥rs FOR THE YEAR ENDEO 31 AUGUST 2021 15. Fund movements Movements Fn unrestricted funds (including designated lundsl= 01109r20 Income Expenditure Transfers 31108121 General fund SwansAid fund Idesignaledl Conlingency Idesvjnaledl 232,876 81,998 200.000 514.874 215.573 1226.9031 1891 99.609 321,155 81,913 245.000 648,068 45.000 144.609 215,577 226 992 ovements in unrestricted funds (including designated lundsl lor the year ended 31 August 2020.. 01109119 Income Expenditure Transfers 31108120 General lund SwansAid fund Idesignatedl Contingency Idesignatedl 182.563 81.737 200.OCrtJ 464.300 315.641 5,216 {344.1401 {4.955} 78.812 232.876 81,998 200,000 514,874 320 857 349,095 Movements in restricted funds.. 01109f20 Income ExperKliture Transfers 31108121 Continuous Improvemenl Fund PL Kicks Universal PL Kicks Targeted Sign Up To Success PL Primary Stars PL Inspires Other Kit 11,438 133.199 48.544 40,000 13,759 51.826 114.7321 {247,8161 136.5851 (76.2201 1149,5511 164,92n {75.172) 17.340 682.343 3,294 163,8191 137.2761 7,247 17081 153,3461 183.436 27.567 28,973 141,500 69.947 125.672 17.339 594.434 2.250 5,000 3.500 50,500 24,000 90.250 24.002 322.768 144,609 Page 130 SWANSEA CITY AFC FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST2021 15. Fund movements Transfers befvleen funds relate lo unspent fflonies on various PL proje¢ts, some ol which have accumulated over a number ol years. Following agreement with the Premier League on the treatment ol unspent monies and Ihe amount to be paid back las set out in note 19). transfers have been made to unrestricled reserves as necess*y. with carried forward resiricted reserve balances agreed ihe main lundw. The trustees also decided lo increase the designated Contingen￿ fund via a transfer from Ul￿es1gnated unrgstricled reserve. Movements in restricted furKJs for the year ended 31 Augusl 2020.. 01109119 Incorne Expenditure Transfers 31108120 Continuous Improvement Fund PL Kicks Unwersal PL Kicks Targeted Sign Up To Success PL Primary Stars PL Inspires Other 124.5621 1120,416} 121.6411 1105.8951 1126,2411 148,0231 13631 5,177 452.318 11,438 133,199 48.544 40,000 13.759 51,826 53.215 25,185 82.570 200.4(KS 45.000 138.500 140.000 72,650 4.000 13.920 614.470 175,1751 27.199 13.6371 15.259 239.428 24.002 322,768 78.812 Restricted and designaled lunds have the following purposes-. PL Continuou$ Improvement Fund Premier League funding lor the improvemenl of ihe govemance and administration ol the Foundation. PL Klcks Universal PL Kicks Universal and Targeted are projects funded by the Premier League Charitable Fund which use tt)e power of loolball and value ol sports parlicipation io help hard lo reach youngsters and reduce anti- social behaviour. Sign Up To Success This project was delivered in partnership %wth a number ol Housing Associations. 11 aimed to engage individuals who have multiple barriers to work and helps them overcome the barriers so that they can gain meaningful empkjyment. This [￿je¢l finished in August 2020. PL Primary Stars A programme lo replace Sehool Sports. vthich delivers English and Malhs sessions in schools with the aim ol inspiring children in ieamwork and sports. SWANSEA ciry AFC FOUNDATION NOTES TOTHE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021 15. Fund movements PL Inspires Premier League Inspires is a pilot programme being funded and run in partnership between Preffliei League Charitable Fund. The Princes Trust and 9 club community organisalwins. The project aims to work wilh young people in a sehools-based Fyogramme, where they complete 2 modules ol a GCSE equivalent qualilicalion. Other reslricted funds This encompasses a number of diflerenl programmes and projects. as described in more detail in Ihe ReF)Ort ol the Trustees, where the funding is restricted. Swans Aid Funds designated by the Foundation lor distribuhon to smaller local community groups. Contingency fund Funds designated by the Foundation as a contingencyagair61 future costs or reductions in income streams. 16. Related parties There were no related party transactions during the year, olher Ihan as discknsed in notes 7 and 8. 17. Reconciliation of net movements to nel cash flow from oper81ing aclivities 2021 2020 Net lexpendilureifiwme lor the reporting period as per Ihe SOFA Add back depreciatlDn charge Deduct investmeni income Increase in debtors IncreasellDecreasel in Cieditors Decrease in deferred income 199.3241 133.914 15.450 12601 17,6791 63.737 4,500 123.5761 17,429 {9001 112.0791 11,6711 1239,2501 1102,5571 18. Operaling leasfj comrnitments Al Ihe balance sheet date. the charity had commitrnents under non-cancellable opera11￿ leases lotalling £34,97912020 - £49,5241- 19. Exceptional cost Limitations on actiwties. in the first year ol the PL Kicks Universal Programme, arose due lo Covid restrictions. Aesulling unspent Premier League grant funding ol t74.984 received in 2019-20 was not ulilised in 2020-21 and was therefore repayable to the lunder. Due lo ihe size and incidence ol this liability, the trustees considei that it should be shown as an exceptional r(em. 20. Contlngent assets Al the balance sheet date, the charity had been awarded grants of £35.000 which are subject to certain conéilions which predude income iecognilion.