Company registration number: 06701980 Charity registration number: 1127048
## Kea Pre School Limited
(A company limited by guarantee) Annual Report and Financial Statements for the Year Ended 31 December 2023
## Kea Pre School Limited
## Contents
**----- Start of picture text -----**
||||||||
|---|---|---|---|---|---|---|
|Trustees|Report|1|to5|
|Reference|and|Administrative|Details|5|
|Independent|Examiner's|Report|6 to7|
|Statement|of|Financial|Activities|8|
|Balance|Sheet|9|
|Notes|to the|Financial|Statements|10|to|18|
**----- End of picture text -----**
## Kea Pre School Limited
## Trustees Report
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 December 2023.
## Objectives and activities
## Objects and aims
The objects of the charity are to enhance the development and education of children under the Statutory school age by encouraging parents to understand and provide for the needs of their children through community groups, and to provide the necessary facilities for quality day care, recreation and education of children during the school day, out of school hours and during the holidays. The aims of the charity are to provide childcare at a modest price to allow parents to continue in their work. Childcare should be of the utmost importance and we aim to deliver this.
## Public benefit
Kea Pre School Ltd provides nursery activities for young children.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Page 1
## Kea Pre School Limited
## Trustees Report
## Achievements and performance
Kea Preschool is situated in the curtilage of Kea CP School in the Parish of Kea in Cornwall. The Charity manages the preschool for children aged two to five years and also provides breakfast facilities and after school facilities for the preschool children and for the primary children from the adjoining primary school.
The aim is to provide high quality care and education for our children at the most economic and affordable price. The area is not recognised as being economically deprived, but there are many parents in the locality whose circumstances are difficult at this time, and we strive to provide our service at the lowest possible price commensurate with excellent quality and imaginative objectives. Our aim is to serve the children, their families and the wider community by providing the best service that we can for the benefit of all concerned.
The day to day management of the preschool is in the hands of the preschool Manager, Tracey Kemp, the Office Manager, Jo Polkinghorne, and three senior nominated staff.
The preschool is currently rated overall “Good” by Ofsted, with a number of “Outstanding” markings.
Staff members are all well qualified and training is continually kept up to date with regular training events and courses. The staff always strive to ensure that all children are dealt with individually and their personal development is stressed at all times.
Contact and interaction with parents is extremely important for all concerned.
## Safeguarding of children, information and personal circumstances is a high priority.
The preschool has a building for the main activities, and there is separate annex for use by our two year old children. There is a spacious outside area with a good selection of stimulating play equipment. Outdoor learning is an integral part of our preschool day with regular Forest School sessions that take place in our outdoor classroom and on the grounds of Kea CP School.
There are currently 48 preschool children enrolled, with space for 30 on site each day. We also have 82 children on roll for breakfast club and afterschool club wraparound care.
We provide the only preschool facilities on the parish of Kea and are appreciated by the local community and Parish Council, with whom we enjoy excellent relationships.
Financial review The attached financial statements show the finances for the nursery for the period ended 31 December 2023. The accounts show net income of £13,801. We have endeavoured to keep control of our running costs and maintain affordable fees in order to maintain reserves for the purchase of potential equipment in the future.
## Policy on reserves
The charity's reserves policy is to build up sufficient reserves to cover all liabilities as and when they fall due. The minimum level of reserves required for this will be continually reviewed by the board of Trustees. We have maintained a reserve of finance to ensure we comply with Charity Commission recommendations, and currently hold unrestricted, free reserves of £88,005 which are considered adequate.
Page 2
## Kea Pre School Limited
## Trustees Report
## Structure, governance and management
## Nature of governing document
The charity is limited by guarantee and governed by the Memorandum and Articles of Assocation. The company was incorporated on 18 September 2008 and commenced trade on 1 January 2009 upon the transfer of activities and funds from Kea Pre School (charity registration number 1029216). The company was registered as a charity on 4 December 2008.
## Organisational structure
The running of the pre school is overseen by the board of trustees. There are three trustees. We have endeavoured to apply succession management unsuccessfully, it is an ongoing situation. The day to day running of the pre school is the responsibility of the manager, but strategic decisions are dealt with by the board of trustees.
## Arrangements for setting key management personnel remuneration
Pre school manager remuneration is set at the current average for a similar position. Administrator remuneration is set at current average for similar position.
## Statement of trustees' responsibilities
The trustees (who are also the directors of Kea Pre School Limited for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". The report and accounts have been prepared in accordance with the provisions in the Companies Act 2006 relating to small companies.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and apply them consistently;
- * observe the methods and principles in the Charities SORP; * make judgements and estimates that are reasonable and prudent; * State whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements; and
- * prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other[jurisdictions.]
Page 3
## Kea Pre School Limited
## Trustees Report
Small companies provision statement This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
The annual report was approved by the trustees of the charity on QU and signed on its
**----- Start of picture text -----**
/)
**----- End of picture text -----**
“Stuart Anthony Pearson ( Trustee
Page4
## Kea Pre School Limited
## Trustees Report
## Reference and Administrative Details
Charity Registration Number 1127048
## Company Registration Number 06701980
The charity is incorporated in England . Registered Office Kea Truro Cornwall TR3 6AY Accountants Francis Clark LLP Lowin House Tregolls Road Truro TR1 2NA
## Trustees and officers
The trustees and officers serving during the year and since the year end were as follows: Trustees: Janine Vicky Allen
David Charles Gibson Clewlow Stuart Anthony Pearson
Page 5
## Kea Pre School Limited
## Independent Examiner's Report to the trustees of Kea Pre School Limited (‘the Company’)
| report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2023.
## Responsibilities and basis of report
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, | report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination | have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## Independent examiner’s statement
Since the Company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. | confirm that | am qualified to undertake the examination because | am a member of Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.
- | have completed my examination. | confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 1. accounting records were not kept in respect of Kea Pre School Limited as required by section 386 of the 2006 Act; or
- 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view' which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
| have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Page 6
## Kea Pre School Limited
Independent Examiner's Report to the trustees of Kea Pre School Limited (‘the Company’)
A bom, Darren Perry BA (Hons) ACA DChA Institute of Chartered Accountants in England and Wales (ICAEW)
Francis Clark LLP Lowin House Tregolls Road Truro Cornwall TR1 2NA
Date: Z2/MA2QU.......
Page 7
Kea Pre School Limited
Statement of Financial Activities for the Year Ended 31 December 2023 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
|||Unrestricted
funds|Restricted
funds|Total
2023|Total
2023|Total
2022|
|---|---|---|---|---|---|---|
||Note|£|£||£|£|
|Income and Endowments|from:||||||
|Donations and legacies||1,813|-|1,813||2,131|
|Investment income||131|-|131||6|
|Charitable activities||254,559|-|254,559||222,050|
|Total income||256,503|-|256,503||224,187|
|Expenditure on:
Charitable activities|6|(242,530)|(172)|(242,702)||(231,530)|
|Total expenditure||(242,530)|(172)|(242,702)||(231,530)|
|Net income/(expenditure)||13,973|(172)|13,801||(7,343)|
|Net movement in funds||13,973|(172)|13,801||(7,343)|
|Reconciliation offunds|||||||
|Total funds broughtforward||99,938|852|100,790||108,133|
|Totalfundscarriedforward|44|113,911|680|114,591||100,790|
All of the charity's activities derive from continuing operations during the above two periods. All transactions in the comparative period related to unrestricted funds. The funds breakdown for 2022 is shown in note 14.
The notes on pages 10 to 18 form an integral part of these financial statements. Page 8
## Kea Pre School Limited
## (Registration number: 06701980) Balance Sheet as at 31 December 2023
|||2023|2022|
|---|---|---|---|
||Note|£|£|
|Fixed assets||||
|Tangible assets|10|25,906|40,180|
|Current assets||||
|Debtors|11|12,181|7,990|
|Cash at bank and in hand|12|87,358|59,486|
|||99,539|67,476|
|Creditors: Amounts falling due within one year|13|(10,854)|(6,866)|
|Net current assets||88,685|60,610|
|Net assets||114,591|100,790|
|Funds ofthe charity:||||
|Restricted income funds||||
|Restricted funds||680|852|
|Unrestricted income funds||||
|Unrestricted funds||113,911|99,938|
|Totalfunds|14|114,591|100,790|
For the financial year ending 31 December 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
## Directors' responsibilities:
- The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
The financial statements on pages 8 to 18 were approved by the trustees, and authorised for issue on 21/4 diz... and signed on they betel by:
Stuart Anthony Pearson Trustee
The notes on pages 10 to 18 form an integral part of these financial statements. Page 9
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
1 Charity status The charity is limited by guarantee, incorporated in England , and consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation.
The address of its registered office is: Kea Truro Cornwall TR3 6AY
## 2 Accounting policies
Summary of significant accounting policies and key accounting estimates The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
## Basis of preparation
Kea Pre School Limited meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
## Income and endowments
All income is recognised once the charity has entitlement to the income, itis probable that the income will be received and the amount of the income receivable can be measured reliably.
Page 10
## Kea Pre School Limited
## Notes to the Financial Statements for the Year Ended 31 December 2023
## Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period. Grants receivable Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised asa liability and included on the balance sheet as deferred income to be released.
## Investment income
Income from investments is included in the year in which it is receivable.
## Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category.
## Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## Government grants
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
## Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## Tangible fixed assets
Individual fixed assets costing £250 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
Page 11
.
## Kea Pre School Limited Notes to the Financial Statements for the Year Ended 31 December 2023
## Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows: Asset class Depreciation method and rate Land & Buildings 10% Straight line Furniture & Equipment 25% Reducing balance
Trade debtors Trade debtors are amounts due from customers for services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
## Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Fund structure General funds are unrestricted funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
## Financial instruments
## Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities are classified according to the substance of the contractual arrangements entered into.
Page 12
## Kea Pre School Limited
## Notes to the Financial Statements for the Year Ended 31 December 2023
## Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
## 3 Income from donations and legacies
|||Unrestricted|Total|Total|
|---|---|---|---|---|
|||Funds|2023|2022|
|||£|£|£|
|Donations||1,813|1,813|381|
|Government|grants|-|-|1,750|
|||1,813|1,813|2,131|
Page 13
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
## 4 Income from charitable activities
|||Unrestricted
Funds|Total
2023|Total
2022|
|---|---|---|---|---|
|||£|£|£|
|School fees||137,343|137,343|127,798|
|NEG/EYP funding||114,289|114,289|93,422|
|Misc income||2,927|2,927|830|
|||254,559|254,559|222,050|
|5
Investment income|||||
|||Unrestricted
Funds|Total
2023|Total
2022|
|||£|£|£|
|Interest receivable||131|131|6|
|6
Expenditure on charitable|activities||||
||Unrestricted
Funds|Restricted
funds|Total
2023|Total
2022|
||£|£|£|£|
|Depreciation, amortisation and|||||
|other similar costs|18,579|-|18,579|14,761|
|Staff costs|177,156|-|177,156|165,696|
|Nursery activities|29,206|172|29,378|29,659|
|Support costs|17,589|-|17,589|21,414|
||242,530|172|242,702|231,530|
## 7 Trustees remuneration and expenses
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
David Clewlow was reimbursed £nil (2022: £331) for the purchase of equipment on behalf of the pre school. No other trustees have received any reimbursed expenses or any other benefits from the charity during the year.
Page 14
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
## 8 Staff costs
The aggregate payroll costs were as follows:
|The aggregate payroll costs were as follows:|||
|---|---|---|
||2023|2022|
||£|£|
|Staff costs during the year were:|||
|Wages & Salaries|164,348|154,412|
|StaffNIC (Employers)|5,775|9,280|
|Staff pensions|7,033|2,004|
||177,156|165,696|
|The monthly average number of persons (including senior management / leadership team) employed
by the charity during the year expressed as full time equivalents was as follows:|The monthly average number of persons (including senior management / leadership team) employed
by the charity during the year expressed as full time equivalents was as follows:|The monthly average number of persons (including senior management / leadership team) employed
by the charity during the year expressed as full time equivalents was as follows:|
|---|---|---|
||2023|2022|
||No|No|
|Averagenumberofemployees|12|13|
No employee received emoluments of more than £60,000 during the year.
The total employee benefits of the key management personnel of the charity, comprising the trustees, pre school manager and office manager were £45,327 (2022: £42,349).
## 9 Taxation
The charity is a registered charity and is therefore exempt from taxation.
Page 15
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
## 10 Tangible fixed assets
|10 Tangible fixed assets||||
|---|---|---|---|
||Land and|Furniture and||
||buildings
£|equipment
£|Total
£|
|Cost||||
|At 1 January2023|139,391|15,946|155,337|
|Additions|-|4,305|4,305|
|At31 December 2023|139,391|20,251|159,642|
|Depreciation||||
|At 1 January2023|113,461|1,696|115,157|
|Charge forthe year|13,939|4,640|18,579|
|At31 December 2023|127,400|6,336|133,736|
|Net book value||||
|At 31 December2023|11,991|13,915|25,906|
|At 31 December2022|25,930|14,250|40,180|
|11 Debtors||||
|||2023|2022|
|||£|£|
|Trade debtors||9,032|7,760|
|Prepayments||973|230|
|Other debtors||2,176|-|
|||12,181|7,990|
|12 Cash and cash equivalents||||
|||2023|2022|
|||£|£|
|Cash on hand||80|156|
|Cash at bank||87,278|59,330|
|||87,358|59,486|
Page 16
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2029
## 13 Creditors: amounts falling due within one year
||||2023|2022|
|---|---|---|---|---|
||||£|£|
|Trade creditors|||4,405|1,326|
|Other taxation and social security|||2,168|1,995|
|Other creditors|||1,581|845|
|Accruals|||2,700|2,700|
||||10,854|6,866|
|14 Funds|||||
|||||Balance at 31|
||Balance at 1|Incoming|Resources|December|
||January 2023|resources|expended|2023|
||£|£|£|£|
|Unrestricted funds|||||
|General|||||
|General|99,938|256,503|(242,530)|113,911|
|Restricted funds|||||
|Tesco Community Grant|852|-|(172)|680|
|Total funds|100,790|256,503|(242,702)|114,591|
|||||Balance at 31|
||Balance at 1|Incoming|Resources|December|
||January 2022|resources|expended|2022|
||£|£|£|£|
|Unrestricted funds|||||
|General|||||
|General|108,133|223,187|(231,382)|99,938|
|Restricted|||||
|Tesco Community Grant|-|1,000|(148)|852|
|Totalfunds|108,133|224,187|(231,530)|100,790|
Page 17
## Kea Pre School Limited
Notes to the Financial Statements for the Year Ended 31 December 2023
## 15 Analysis of net assets between funds
**----- Start of picture text -----**
|||||||
|---|---|---|---|---|---|
|Total|funds|
|Unrestricted|at|31|
|funds|Restricted|December|
|General|funds|2023|
|£|£|£|
|Tangible|fixed|assets|25,906|-|25,906|
|Current|assets|98,859|680|99,539|
|Current|liabilities|(10,854)|-|(10,854)|
|Total|net|assets|113,911|680|114,591|
|Total|funds|
|Unrestricted|at|31|
|funds|Restricted|December|
|General|funds|2022|
|£|£|£|
|Tangible|fixed|assets|40,180|-|40,180|
|Current|assets|66,624|852|67,476|
|Current|liabilities|(6,866)|-|(6,866)|
|Total|net assets|99,938|852|100,790|
**----- End of picture text -----**
## 16 Related party transactions
There were no related party transactions in the year.
Page 18