Company no. 06789119 Charity no. 1127890 

## **CareTrade Charitable Trust** Creating opportunities for people with autism **Annual Report and Audited Financial Statements** 

## **31 January 2020** 



## **CareTrade Charitable Trust** 

## **Reference and administrative details** 

|**For theyear ended 31 January 2020**|**For theyear ended 31 January 2020**|
|---|---|
|**Company number**|06789119|
|**Charity number**|1127890|
|**Registered office and**|The Clarence Centre|
|**operational address**|6 St George's Circus|
||London|
||SE1 6FE|
|**Trustees**|Trustees, who are also directors under company law, who served|
||during the year and up to the date of this report were as follows:|
||Simon Eccles|
||Lucy Hammond|
||Alexandra Hone (resigned 4 February 2019)|
||Bruce McCombie (resigned 1 April 2019)|
||Frida Norman, Chair|
||Keval Shah (appointed 31 October 2019)|
||Paul Sparkes|
||Andrew Sweeting|
|**Chief executive officer**|Karen Edwards|
|**Bankers**|Barclays Bank PLC|
||1 Churchill Place|
||London|
||E14 5HP|
|**Auditors**|Godfrey Wilson Limited|
||Chartered accountants and statutory auditors|
||5th Floor Mariner House|
||62 Prince Street|
||Bristol|
||BS1 4QD|



1 



## **CareTrade Charitable Trust** 

## **Report of the trustees** 

## **For the year ended 31 January 2020** 

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2015). 

## **Introduction** 

Autism affects 1 in 100 children and adults in the UK. It is a lifelong developmental disability affecting the way a person communicates, understands and experiences life. Approximately half those with autism have additional learning difficulties and half do not. Autism is a spectrum disorder and no one person with autism is the same: 

- 70% of children with autism attend mainstream school; 

- Less than 25% of school leavers with autism access further or higher education beyond school; 

- Only 16% of adults with autism are in full time employment and a further 16% do some paid work _(NAS Employment Gap Report October 2016)._ This compares to 47% of the disabled population as a whole and 80% of the general population; and 

- 90% of adults with autism remain entirely dependent on care, or their families for the rest of their lives. 

## **Our vision: Everyone with autism can lead a purposeful life.** 

**Our mission: To create innovative opportunities and to change perceptions.** 

## **About CareTrade** 

Karen Edwards and Katharine Dore OBE, parents of young people with autism and Vice Presidents of Ambitious about Autism, founded the charity in 2009. Karen continues to lead the organisation as Chief Executive. 

CareTrade passionately believes that all young people with autism should have the opportunity to be part of their community, to have the support they need to access it and the opportunity to contribute to it. Our ambition is to lead the way forward in creating innovative opportunities that make a real difference and where possible to grow these into self-sustaining models that can be replicated. 

Being in employment is the biggest single factor that will transform the life of a person with autism. Beyond the economic benefits, employment increases individuals’ self-confidence and general sense of wellbeing; it helps us feel valued and a part of our community. In turn, this also delivers benefits to families and in the long term will help create greater acceptance of difference in our society. 

All CareTrade’s programmes are employment focused and London based. CareTrade’s first project was launched in 2010 and it has directly benefited over 200 young Londoners with autism to date. 

The trustees considered the Charity Commission’s guidance on public benefit when establishing the charity's aims and objectives. 

2 



## **CareTrade Charitable Trust** 

## **Report of the trustees** 

## **For the year ended 31 January 2020** 

## **Achievements and performance** 

FY2020 has been another year of strong growth for CareTrade, with a focus on The Autism Project, completing the Reach Study and developing new services aligned to CareTrade’s charitable objectives. Highlights during the year include: 

## Operational highlights include: 

- Ten TAP students (eight year 2 and two year 1 students) graduated in July 2019: 60% moved into paid employment or a paid apprenticeship; 10% went on to study for a BSc in Computer Science; 10% into voluntary work and 20% continue to seek employment and attend our alumni job-club; 

- 100% of TAP graduates gained City & Guilds Employability qualifications; 

- 100% of TAP students studying functional skills made gains and our retention rate was 100%; 

- Ten new students started TAP in September 2019 bringing the total students to nineteen for a second year; 

- Our partnership with Guys & St Thomas’ Hospitals is now in it’s 10th year and The Whittington Hospital have confirmed their ongoing commitment to working with us as we enter the 2nd year of our partnership with them; 

- Mark Finch joined CareTrade as Head of Education and Learning in September and will be leading The Autism Project moving forward, enabling our Development Director, Judith Kerem to focus on the growth of our other programmes and new pilot projects, which are already growing: 

   - In Work Support has been actively grown since September 2019 and client numbers have doubled in this time; 

   - Barclays Think Talent project ran for a third year; seven law firms participated benefiting 11 aspiring solicitors; 

   - Our Aspire school careers programme for students aged 16 that we piloted in 2019 with Holmewood School was commissioned by The Marylebone Bridge School in Westminster for 6 students at the beginning of 2020; and 

   - We have delivered ‘autism and neurodiversity awareness’ to over 300 people and developed a specifc ‘autism within the workplace’ training for Guys & St Thomas’ NHS Trust managers which is being moved to an online version in light of Covid-19. 

- Our Reach programme for unemployed autistic adults aged over 25, finished in April 2019: of the 18 that completed the programme, 6 gained paid employment. All participants reported gains in self confidence. The study was completed independently by Stephen Beyer, and data has been shared with Trust for London and CareTrade has submitted a paper to present at the Autistica conference in the summer; and 

- The Weekend Café Traineeship in partnership with Spa School House Café re-opened in January 2020. Within four weeks the programme was fully subscribed with eight autistic adults benefiting from this. They are all working towards industry standard NCASS Food Hygiene certificates. 

## Internal changes during the year include: 

- Welcoming Frida Norman as our new Chair of Trustees; 

- The recruitment of our new Treasurer, Keval Shah; 

- Completing a remuneration review and introducing a reward policy and revised appraisal system; and 

- Recruiting seven new staff since September 2019 bringing our total to fifteen. 

Financial highlights include CareTrade FY2020 income up by 25% on prior year and CareTrade has strengthened its free reserves enabling it to be in a strong financial position which is especially fortunate at these times of uncertainty brought about by Covid-19 pandemic. 

3 



## **CareTrade Charitable Trust** 

## **Report of the trustees** 

## **For the year ended 31 January 2020** 

CareTrade would like to recognise the support of its employment partners and all the mentors from those organisations that enable our students to gain meaningful work experience and interview practice. Without their support, CareTrade would not be able to provide its services through these unique and highly valued opportunities. Special thanks goes to Guys & St Thomas’ Hospitals, The Whittington Hospital, Kings College Hospital, London South Bank University, Barclays and Spa School. 

In addition, we would like to say a special thanks to: Martin Galton for his advice and support with our website development; Ben Slivnik for volunteering at the Café to support new trainees; and all alumni students who have given peer talks and supported our information days. 

## **FY2021 outlook** 

To build on the successes during FY2020, the outlook for FY2021 includes priorities to: 

- Further enhance service delivery for our learners on The Autism Project; 

- Increase learner numbers and build a wider network of employer partners; 

- Raise funds to extend the Café Traineeship programme and look to merge this with The Autism Project; 

- Finalise and start to implement our new five-year strategy; and 

- Manage the impact of the ongoing COVID-19 pandemic (as discussed further below). 

## **Financial review and reserves policy** 

CareTrade reports total income of £681,750 (2019: £543,674). Of this, fee income is £667,710 (2019: £496,138) and reflects a growth of 34.6% on prior year. CareTrade values this strong growth, the majority of which is secured contractual income over a fixed period for places on The Autism Project. The visibility this affords the charity has significantly increased our sustainability. 

Alongside fee income, CareTrade has attracted £14,024 (2019: £47,520) in grants and donations. In FY2020, these comprise both restricted and unrestricted funds, which are properly segregated in accordance with the charity’s aims. 

CareTrade reports an in year surplus of £136,912 for 2020 (2019: £123,270). Net assets at 31 January 2020 are £354,999 (2019: £218,807). The unrestricted in year surplus for 2020 is £128,988 (2019: £155,172). 

The charity’s aim is to hold free reserves equal to three months or more of operating costs (minimum of £150k) at any measurement date. Unrestricted free reserves (excluding tangible fixed assets) at 31 January 2020 were £291k (2019: £170k) representing 6 months of total costs. Reserves are managed in accordance with CareTrade’s Investment Policy (March 2020). Free reserves held provide stability and will assist CareTrade to manage planned growth and unexpected consequences of COVID-19. 

## **COVID-19** 

The trustees have considered the impact that the COVID-19 pandemic will have on the CareTrade’s current and future financial position. The charity is taking the following steps to mitigate the threats that COVID-19 may pose to the organisation: 

- Steps taken to deliver education and other services remotely enabling both staff and students to work from home, wherever possible; 

- Making use of the government Covid Job Retention Scheme as appropriate; and 

- ▪ Talking with stakeholders regarding activities post September 2020 and making plans accordingly. 

4 



## **CareTrade Charitable Trust** 

## **Report of the trustees** 

## **For the year ended 31 January 2020** 

The trustees consider that the charity will continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved for the following reasons: 

- The charity has robust reserves; and 

- Our key funders have confirmed that funding will continue. 

The trustees therefore consider it appropriate to adopt the going concern basis of preparation of the accounts, as detailed in note 1(b) to the financial statements. 

## **Structure, governance and management** 

CareTrade Charitable Trust is a charitable company limited by guarantee, incorporated on 12 January 2009 (company number 06789119) and as a registered charity on 4 February 2009 (charity number 1127890). The company was set up under Articles and Memorandum of Association, which established the objects and powers of the charitable company. 

CareTrade is governed by a board of trustees, who also act as the directors of the company. They formally delegate a variety of functions to management to enable the effective day-to-day operation of the company. The board retain oversight and meet quarterly. Serving trustees at the date of signing are listed on page 1. 

CareTrade continued to build a robust board governance. At the beginning of the year CareTrade had seven trustees and at the close there are six. Changes during the year: two trustees stood down, Alexandra Hone (February 2019) and Bruce McCombie (April 2019); one new trustee was appointed, Keval Shah (November 2019); Keval is Treasurer. Frida Norman was appointed as Chair (July 2019). 

The board of trustees has three sub-committees:- Finance and Risk Committee; Development Committee and Education Advisory Panel.  The sub-committees report formally to the board. 

CareTrade’s main programme, The Autism Project, is in its own right a Special Post 16 Institution as recognised by the Secretary of States Section 41 list of approved educational providers (since August 2016). The Autism Project reports to the Education Advisory Panel and externally comes under Ofsted (Office for Standards in Education, Children's Services and Skills). 

## **Recruitment and appointment of trustees** 

The board of trustees of the charity are all volunteers and no remuneration is paid for their services. There were six trustees at 31 January 2020 and presently. There is no maximum number of trustees but there must be no less than three. 

The board of trustees continually review their composition, in particular to ensure that the mix of trustee members bring the necessary skill to provide appropriate oversight and support to the company and management. The board includes financial, operational, marketing and entrepreneurial expertise across a diversity of sectors. 

The board are comfortable that the current mix of members is appropriate. However, the board are currently considering the addition of new members to provide additional support as the charity looks toward the future. 

5 



## **CareTrade Charitable Trust** 

## **Report of the trustees** 

## **For the year ended 31 January 2020** 

## **Internal control and risk management** 

The board is responsible for the charity’s system of internal control and for reviewing its effectiveness. It acknowledges that such a system can only manage and mitigate risk, rather than fully eliminate the risk of failure, to achieve the charity’s objectives. 

The board delegates day-to-day operations to management. The Chief Executive Officer, Karen Edwards, leads management. 

Management work to budgets that are approved by the board of trustees in advance of each financial year. Regular consideration is given to monitoring the actual performance against the budget and to the appropriateness of the formal delegations given to management to spend within clearly defined limits. 

The board and management have made considerable progress in strengthening the charity's risk management systems and processes during the financial year.  It is intended that this work is ongoing to continue to improve the controls basis. 

## **Statement of responsibilities of the trustees** 

The trustees (who are also directors of the charity 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, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the Charities SORP; 

- make judgements and accounting estimates that are reasonable and prudent; 

- state whether applicable UK accounting standards and statements of recommended practice 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 charity will continue in operation. 

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

In so far as the trustees are aware: 

- there is no relevant audit information of which the charitable company's auditors are unaware; and 

- ▪ the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information. 

6 



CarèTrado Charltable Trust
R•port of the trustees
For th•
ear ended 31 Janua
2020
The Iruslees are responsibl8 for the maintenance and integrity of the corpor418 and financial
information included on the charrtable companls websita. Legislat￿n in the Unil8d Kingd¢Jm
gov&rning the preparation and disseminalK)n ol financial statamenls may drffer from legislation In
other jurisdictions.
Mémbers of the charity guarante8 to contnljute an am¢)unt not exceeding £1 to thg assets ol the
charity in the evonl of winding up. The Iruslees are members of the charity but this 6ntitl8$ them onty
lo voting rights. The tru8tees hava no benefici* interest in tho ¢harity.
Audltors
Godfrey Wilson Limit•d were appointed as auditors to the charitable wnpany during th8 year.
Approved by tho trustees on 11 June 2020 and signed on th8ir bohaw by
Kèval Shah - Treasurer

## **Independent auditors' report** 

## **To the members of** 

## **CareTrade Charitable Trust** 

## **Opinion** 

We have audited the financial statements of CareTrade Charitable Trust (the 'charity') for the year ended 31 January 2020 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion, the financial statements: 

- give a true and fair view of the state of the charity's affairs as at 31 January 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Companies Act 2006. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where: 

- the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or 

- the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. 

## **Other information** 

The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

8 



## **Independent auditors' report** 

## **To the members of** 

## **CareTrade Charitable Trust** 

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. 

We have nothing to report in this regard. 

## **Opinion on other matters prescribed by the Companies Act 2006** 

In our opinion, based on the work undertaken in the course of the audit: 

- the information given in the trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- the trustees’ report  have been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: 

- adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; 

- the financial statements are not in agreement with the accounting records and returns; 

- certain disclosures of trustees’ remuneration specified by law are not made; or 

- we have not obtained all the information and explanations necessary for the purposes of our audit. 

## **Other matter** 

The financial statements for the year ended 31 January 2019 were not audited because the charity was below the statutory audit threshold. 

## **Responsibilities of the trustees** 

As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so. 

9 



Independent audltors. report
To thè membgr8 of
CareTrade Charltable Trust
Our responsibllltles for the audit of the financial statements
Our objectives are 1¢ obtain reasonable assuranc& about whether the financial statements as a whole
ar8 frèè fr¢Jm material mi3slat8m8nl, whether due to fraud or error, and to issue an audrtorfs report
that includes our oplnion. Reasonab￿ a¥$urance is a h(oh level of assurance. bLrt is not a guarante8
that an audrt conducted in accordance wi(h ISAS (UK} wl always delect a mat8rial mis81alemanl
whan il exists. Misslalomenls can arise from fraud or e￿or and are consider8d malorial if, individuauy
or in Ihg aggregatè, they coukl reasonabty ba eycied lo influènce the economic decisions of usèrs
takèn on the basis of these financial statem￿t8.
A further description ol our responsibilitEs for the audit of tha finan¢ial stalom8nts is located on thè
Flnancial Reporting Council's website al-. wvM.fr¢.org uklauditorsresponsibiliti85. This de8criptK)n
forms part ol our audllorfs report.
Us• ol Dur r8port
This report 18 mad8 solely lo tha charills member8. as a body, in accordance with Chap19r 3 ot Part
18 of thè Companies Act 2006. Our audit work has been undertaken so that we m4hl slalo lo the
charitls members thos8 matters we are fequired lo Stalg lo IhFJm in an audilorfs report and for no
olhor purpo￿. To the fullest extgnl pemiitted by law. we do not accept or assum8 responsibilty to
anyont othgr then the charity's memberg as a body. for our audit woth, for thi8 report, or for tho
opinions wo have lormed.
Dale.. 11 June 2020
Rob Wll8on FCA
(Sonlor Ststutory Audltorl
For and on behaff of..
GOOFREY WILSON LIMITED
Chartered accountants and statutory 3udit¢XS
5th Floor Mariner House
62 Prince Street
Brisl
8SI 4QD
10

## **CareTrade Charitable Trust** 

**Statement of financial activities** _(incorporating an income and expenditure account)_ 

## **For the year ended 31 January 2020** 

|Note<br>**Income from:**<br>Donations<br>3<br>Charitable activities<br>4<br>Investments<br>**Total income**<br>**Expenditure on:**<br>Raising funds<br>Charitable activities<br>**Total expenditure**<br>6<br>**Net income**<br>Transfers between funds<br>**Net movement in funds**<br>7<br>**Reconciliation of funds:**<br>Total funds brought forward<br>**Total funds carried forward**|Restricted<br>£<br>9,380<br>7,386<br>-<br>16,766<br>-<br>4,758<br>4,758<br>12,008<br>(4,804)<br>7,204<br>21,687<br>28,891|Unrestricted<br>£<br>4,644<br>660,324<br>16<br>664,984<br>5,382<br>535,418<br>540,800<br>124,184<br>4,804<br>128,988<br>197,120<br>326,108|**2020**<br>**Total**<br>**£**<br>**14,024**<br>**667,710**<br>**16**<br>**681,750**<br>**5,382**<br>**540,176**<br>**545,558**<br>**136,192**<br>**-**<br>**136,192**<br>**218,807**<br>**354,999**|2019<br>Total<br>£<br>47,520<br>496,138<br>16|
|---|---|---|---|---|
|||||543,674|
|||||5,599<br>414,805|
|||||420,404|
|||||123,270<br>-|
|||||123,270<br>95,537|
|||||218,807|



All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 15 to the accounts. 

11 



areTradg Charitable Trust
Balanc• shoet
As at 31 Janua
2020
2020
2019
Flxad assets
Tangible assets
10
36.067
26,684
Current assets
Debtors
Cash at bank in hand
11
230,002
261,48S
173,2D4
179,849
491.487
353,053
Llabllltles
Creditors.. arncunls falling dué within 1 year
12
172.065
160,910
Not curr•nt assets
319,432
192.143
14
218,807
Fund¥
Reslriclad funds
Unrestricted funds
Gèneral fund8
15
28.891
21,687
326 108
197120
Total charlty lund*
3S4,999
218,807
These accounts have been prepared in accordance with th& spa¢ial pmi$lon8 applkable lo
compan¢8$ subject lo the small Gcvnpanie8' regime.
Approvéd by thè Iruslees on 11 June 2020 and Signed on their behalf by
Keval Shah - Treasurer
12

## **CareTrade Charitable Trust** 

## **Statement of cash flows** 

## **For the year ended 31 January 2020** 

|**Cash used in operating activities:**<br>Net movement in funds<br>Adjustments for:<br>Depreciation charges<br>Interest from investments<br>Loss on the disposal of fixed assets<br>Increase in debtors<br>Increase in creditors<br>**Net cash provided by operating activities**<br>**Cash flows from investing activities:**<br>Interest from investments<br>Purchase of tangible fixed assets<br>**Net cash used in investing activities**<br>**Increase in cash and cash equivalents in the year**<br>Cash and cash equivalents at the beginning of the year<br>**Cash and cash equivalents at the end of the year**|**2020**<br>**£**<br>**136,192**<br>**10,248**<br>**(16)**<br>**-**<br>**(56,799)**<br>**11,146**<br>**100,771**<br>**16**<br>**(19,151)**<br>**(19,135)**<br>**81,636**<br>**179,849**<br>**261,485**|2019<br>£<br>123,270<br>5,224<br>(16)<br>110<br>(113,061)<br>65,844|
|---|---|---|
|||81,371|
|||16<br>(21,673)|
|||(21,657)|
|||59,714<br>120,135|
|||179,849|



The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements. 

13 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **1. Accounting policies** 

## **a) Basis of preparation** 

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. 

CareTrade Charitable Trust 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. 

## **b) Going concern basis of accounting** 

The accounts have been prepared on the assumption that the charity is able to continue as a going concern. 

However, the COVID-19 pandemic is likely to have a profound impact on the global economy, and is already affecting the charity, who have taken steps to deliver education and other services remotely during the lockdown period, and have made use of the Job Retention Scheme where possible to reduce costs. 

The trustees have considered the impact of this issue on the charity’s current and future financial position. On the basis that the charity holds unrestricted, general reserves of £326,108, a cash balance of £261,485 and key funders have confirmed that their funding will continue, the trustees consider that the charity has sufficient reserves to continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved. 

## **c) Income** 

The charity earns income from grant income (donations) and fee income (charitable activities). 

Grant income comprises funding from private or government funding sources which has been applied for. The grant income always provides funds for a future use, albeit that use may be restricted to an activity specified in the grant application request (restricted grant income) or unrestricted (unrestricted grant income). 

Grant income (including private and government capital or revenue grant funding) is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. 

Fee income comprises fees for education provision delivered by the charity which are contracted in advance from local authorities. TAP fee income is invoiced termly in advance and is deferred to the period to which it relates. 

Other fee income may be invoiced in advance or arrears and is recognised on an accruals basis over the life of the relevant contract to reflect the delivery and time period of that service. The accrual basis is determined on the terms of the relevant contract and reflects any performance or termination provisions contained therein. 

14 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **1. Accounting policies (continued)** 

## **d) Donated services and facilities** 

- Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised. 

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt. 

## **e) Interest receivable** 

- Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank. 

## **f) Funds accounting** 

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. 

Restricted funds for the purpose of purchasing fixed assets are transferred to unrestricted funds if the restriction has been discharged by the purchase of the asset. 

## **g) Expenditure and irrecoverable VAT** 

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. 

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. 

## **h) Allocation of support and governance costs** 

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities on the following basis, which is based on the proportion of direct costs: 

||**2020**|**2019**|
|---|---|---|
|Raising funds|1.0%|1.3%|
|Charitable activities|99.0%|98.7%|



15 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **1. Accounting policies (continued)** 

## **i) Tangible fixed assets** 

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows: Office equipment 4 years straight line Computer equipment 4 years straight line Website costs 4 years straight line 

Items of equipment are capitalised where the purchase price exceeds £1,000. 

## **j) Debtors** 

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 

## **k) Cash at bank and in hand** 

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 

## **l) Creditors** 

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 

## **m) Financial instruments** 

The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method. 

## **n) Pension costs** 

The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA. 

## **o) Accounting estimates and key judgements** 

In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. 

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are depreciation as described in note 1(i). 

16 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **2. Prior period comparatives** 

|**Income from:**<br>Donations<br>Charitable activities<br>Investments<br>**Total income**<br>**Expenditure on:**<br>Raising funds<br>Charitable activities<br>**Total expenditure**<br>**Net income / (expenditure)**<br>Transfers between funds<br>**Net movement in funds**<br>**3.**<br>**Income from donations**<br>Voluntary income and grants<br>**Prior period comparative**<br>Voluntary income and grants<br>Gift aid<br>Gifts in kind<br>**Total income from donations**|Restricted<br>£<br>£<br>40,000<br>7,520<br>2,687<br>493,451<br>-<br>16<br>42,687<br>500,987<br>-<br>5,599<br>85,323<br>329,482<br>85,323<br>335,081<br>(42,636)<br>165,906<br>10,734<br>(10,734)<br>(31,902)<br>155,172<br>Restricted<br>£<br>£<br>9,380<br>4,644<br>Restricted<br>£<br>£<br>40,000<br>4,422<br>-<br>98<br>-<br>3,000<br>40,000<br>7,520<br>Unrestricted<br>Unrestricted<br>Unrestricted|2019<br>Total<br>£<br>47,520<br>496,138<br>16|
|---|---|---|
|||543,674|
|||5,599<br>414,805|
|||420,404|
|||123,270<br>-|
|||123,270|
|||**2020**<br>**Total**<br>**£**<br>**14,024**|
|||2019<br>Total<br>£<br>44,422<br>98<br>3,000|
|||47,520|



Gifts in kind in 2019 represented pro bono legal services. 

17 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **4. Income from charitable activities** 

|The Autism Project fees<br>Access to Work fees<br>Education and Skills Funding Agency<br>Other training and fees<br>**Total income from charitable activities**<br>**Prior period comparative**<br>The Autism Project fees<br>Access to Work fees<br>Education and Skills Funding Agency<br>**Total income from charitable activities**|Restricted<br>£<br>£<br>-<br>457,269<br>-<br>14,676<br>7,386<br>181,343<br>-<br>7,036<br>7,386<br>660,324<br>Restricted<br>£<br>£<br>-<br>359,761<br>-<br>1,764<br>2,687<br>131,926<br>2,687<br>493,451<br>Unrestricted<br>Unrestricted|**2020**<br>**Total**<br>**£**<br>**457,269**<br>**14,676**<br>**188,729**<br>**7,036**|
|---|---|---|
|||**667,710**|
|||2019<br>Total<br>£<br>359,761<br>1,764<br>134,613|
|||496,138|



## **5. Government grants** 

The charitable company receives funding from local authorities and government organisations to carry out training and deliver commissioned services. CareTrade also occassionally receives government grants. The total value of such grants in the year ending 31 January 2020 was £9,380 (2019: £nil). There are no unfulfilled conditions or contingencies attaching to these grants. 

18 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **6. Total expenditure** 

|Direct project costs<br>Staff salaries (note 8)<br>Fundraising<br>Rent<br>Travel<br>Computer expenses<br>Insurance<br>Office expenses<br>Bank fees<br>Accountancy<br>Professional fees<br>Depreciation<br>Subscriptions<br>**Sub-total**<br>Allocation of support and governance costs<br>**Total expenditure**|Raising funds<br>£<br>-<br>3,683<br>699<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>4,382<br>1,000<br>**5,382**|Charitable activities<br>£<br>18,647<br>402,481<br>-<br>-<br>1,482<br>5,745<br>34<br>11,097<br>-<br>-<br>1,493<br>-<br>193<br>441,172<br>99,004<br>**540,176**|Support and<br>governance costs<br>£<br>1,312<br>33,145<br>-<br>25,769<br>211<br>4,229<br>1,811<br>4,999<br>80<br>10,810<br>5,062<br>10,248<br>2,328<br>100,004<br>(100,004)<br>**-**|**2020 Total**<br>**£**<br>**19,959**<br>**439,309**<br>**699**<br>**25,769**<br>**1,693**<br>**9,974**<br>**1,845**<br>**16,096**<br>**80**<br>**10,810**<br>**6,555**<br>**10,248**<br>**2,521**|
|---|---|---|---|---|
|||||**545,558**<br>**-**|
|||||**545,558**|



Total governance costs were £5,400 (2019: £3,240). 

19 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **6. Total expenditure** 

|**Prior year comparative**<br>Direct project costs<br>Staff salaries (note 8)<br>Fundraising<br>Rent<br>Travel<br>Computer expenses<br>Insurance<br>Office expenses<br>Bank fees<br>Accountancy<br>Professional fees<br>Depreciation<br>Loss on disposal of fixed assets<br>Subscriptions<br>Gifts in kind / pro bono services<br>**Sub-total**<br>Allocation of support and governance costs<br>**Total expenditure**|Raising funds<br>£<br>-<br>3,588<br>924<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>4,512<br>1,087<br>5,599|Charitable activities<br>£<br>16,707<br>307,681<br>-<br>3,375<br>1,027<br>2,175<br>-<br>956<br>5<br>-<br>343<br>-<br>-<br>-<br>-<br>332,269<br>82,536<br>414,805|Support and<br>governance costs<br>£<br>623<br>24,614<br>-<br>24,466<br>84<br>5,921<br>1,771<br>7,645<br>78<br>8,371<br>548<br>5,224<br>110<br>1,168<br>3,000<br>83,623<br>(83,623)<br>**-**|2019 Total<br>£<br>17,330<br>335,883<br>924<br>27,841<br>1,111<br>8,096<br>1,771<br>8,601<br>83<br>8,371<br>891<br>5,224<br>110<br>1,168<br>3,000|
|---|---|---|---|---|
|||||420,404<br>-|
|||||420,404|



20 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

**7. Net movement in funds** 

This is stated after charging: 

|Depreciation<br>Trustees' remuneration<br>Trustees' reimbursed expenses<br>Auditors' remuneration:<br>Statutory audit (incl. VAT)<br>Independent examination (incl. VAT)<br>Other services|**2020**<br>**£**<br>**10,248**<br>**Nil**<br>**86**<br>**5,400**<br>**-**<br>**5,958**|2019<br>£<br>5,224<br>Nil<br>Nil<br>-<br>3,240<br>5,028|
|---|---|---|



One trustee was reimbursed £86 (2019: £nil) for subsistence expenses incurred on behalf of the charity. 

## **8. Staff costs and numbers** 

Staff costs were as follows: 

|Salaries and wages<br>Social security costs<br>Pension costs<br>Freelance staff|**2020**<br>**£**<br>**363,360**<br>**32,854**<br>**29,080**<br>**14,015**<br>**439,309**|2019<br>£<br>276,822<br>24,182<br>11,388<br>23,491|
|---|---|---|
|||335,883|



One employee earned more than £60,000 during the year (2019: 1). 

The key management personnel of the charitable company comprise the Trustees, Chief Executive Officer, Development Director and the Head of Education (current year only). The total employee benefits of the key management personnel were £142,465 (2019: £103,740). 

|Average head count|**2020**<br>**No.**<br>**12.25**|2019<br>No.<br>10.25|
|---|---|---|



## **9. Taxation** 

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes. 

21 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **10. Tangible fixed assets** 

|**Cost**<br>At 1 February 2019<br>Additions in year<br>At 31 January 2020<br>**Depreciation**<br>At 1 February 2019<br>Charge for the year<br>At 31 January 2020<br>**Net book value**<br>**At 31 January 2020**<br>At 31 January 2019<br>**11. Debtors**<br>Trade debtors<br>Accrued income<br>Prepayments<br>Other debtors<br>**12. Creditors : amounts due within 1 year**<br>Trade creditors<br>Accruals<br>Other taxation and social security<br>Deferred income (see note 13)<br>Other creditors|Office<br>equipment<br>£<br>3,518<br>4,805<br>8,323<br>967<br>1,285<br>2,252<br>**6,071**<br>2,551|Computer<br>equipment<br>£<br>36,681<br>5,946<br>42,627<br>12,568<br>8,613<br>21,181<br>**21,446**<br>24,113|Website<br>costs<br>£<br>-<br>8,400<br>8,400<br>-<br>350<br>350<br>**8,050**<br>-<br>**2020**<br>**£**<br>**221,409**<br>**6,946**<br>**708**<br>**939**<br>**230,002**<br>**2020**<br>**£**<br>**3,907**<br>**15,318**<br>**17,653**<br>**97,982**<br>**37,195**<br>**172,055**|**Total**<br>**£**<br>**40,199**<br>**19,151**|
|---|---|---|---|---|
|||||**59,350**|
|||||**13,535**<br>**10,248**|
|||||**23,783**|
|||||**35,567**|
|||||26,664|
|||||2019<br>£<br>168,762<br>4,442<br>-<br>-|
|||||173,204|
|||||2019<br>£<br>5,890<br>34,298<br>8,251<br>103,173<br>9,298|
|||||160,910|



22 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **13. Deferred income** 

|**2020**<br>**£**<br>At 1 February 2019<br>**103,173**<br>Amounts released to income<br>**(312,514)**<br>Amounts deferred during the year<br>**307,323**<br>At 31 January 2020<br>**97,982**<br>Deferred income relates to The Autism Project fee income received in advance.|2019<br>£<br>53,317<br>(296,434)<br>346,290|
|---|---|
||103,173|
|||



## **14. Analysis of net assets between funds** 

|**Analysis of net assets between funds**||||
|---|---|---|---|
|Tangible fixed assets<br>Current assets<br>Current liabilities<br>**Net assets at 31 January 2020**<br>**Prior period comparative**<br>Tangible fixed assets<br>Current assets<br>Current liabilities<br>**Net assets at 31 January 2019**|£<br>-<br>28,891<br>-<br>**28,891**<br>£<br>-<br>27,227<br>(5,540)<br>**21,687**<br>Restricted<br>funds<br>Restricted<br>funds|£<br>35,567<br>462,596<br>(172,055)<br>**326,108**<br>£<br>26,664<br>325,826<br>(155,370)<br>**197,120**<br>Unrestricted<br>funds<br>Unrestricted<br>funds|**Total**<br>**funds**<br>**£**<br>**35,567**<br>**491,487**<br>**(172,055)**|
||||**354,999**|
||||**Total**<br>**funds**<br>**£**<br>**26,664**<br>**353,053**<br>**(160,910)**|
||||**218,807**|



23 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **15. Movements in funds** 

|**Restricted funds**<br>Baily Thomas<br>London Catalyst<br>ESFA student support<br>ESFA capital funding<br>**Total restricted funds**<br>General funds<br>**Total unrestricted funds**<br>**Total funds**<br>**Unrestricted funds**|£<br>15,000<br>4,000<br>2,687<br>-<br>21,687<br>197,120<br>197,120<br>218,807<br>At 1<br>February<br>2019|Income<br>£<br>-<br>-<br>7,386<br>9,380<br>16,766<br>664,984<br>664,984<br>681,750|£<br>(730)<br>(670)<br>(882)<br>(2,476)<br>(4,758)<br>(540,800)<br>(540,800)<br>(545,558)<br>Expenditure|£<br>-<br>-<br>-<br>(4,804)<br>(4,804)<br>4,804<br>4,804<br>-<br>Transfers<br>between<br>funds|**£**<br>**14,270**<br>**3,330**<br>**9,191**<br>**2,100**<br>**At 31**<br>**January**<br>**2020**|
|---|---|---|---|---|---|
||||||**28,891**|
||||||**326,108**|
||||||**326,108**|
||||||**354,999**|



## **Purposes of restricted funds** 

## **Baily Thomas** 

This is towards re-opening the Weekend Café Traineeship programme at Spa School in the coming financial year. 

## **London Catalyst** 

This is towards re-opening the Weekend Café Traineeship programme at Spa School. 

## **ESFA student support** 

This is funding received from the Education & Skills Funding Agency (ESFA) for providing meals, discretionary bursaries and other support to students. 

## **ESFA capital fund** 

This is funding received from the Education & Skills Funding Agency (ESFA) to be spent on capital for refurbishments, repairs or improvements to buildings and other facilities. 

## **Transfers between funds** 

Transfers out of restricted funds represent the transfer of capital grants to unrestricted funds after restricted terms are fulfilled by the purchase of the fixed asset. 

24 



## **CareTrade Charitable Trust** 

## **Notes to the financial statements** 

## **For the year ended 31 January 2020** 

## **15. Movements in funds (continued)** 

## **Prior period comparative** 

|**Restricted funds**<br>Local Sustainability Fund<br>DCLG<br>Trust for London<br>Baily Thomas<br>London Catalyst<br>ESFA student support<br>**Total restricted funds**<br>General funds<br>**Total unrestricted funds**<br>**Total funds**<br>**Unrestricted funds**|£<br>500<br>1,701<br>32,388<br>15,000<br>4,000<br>-<br>53,589<br>41,948<br>41,948<br>95,537<br>At 1<br>February<br>2018|Income<br>£<br>-<br>-<br>40,000<br>-<br>-<br>2,687<br>42,687<br>500,987<br>500,987<br>543,674|£<br>(500)<br>(1,701)<br>(83,122)<br>-<br>-<br>-<br>(85,323)<br>(335,081)<br>(335,081)<br>(420,404)<br>Expenditure|£<br>-<br>-<br>10,734<br>-<br>-<br>-<br>10,734<br>(10,734)<br>10,734<br>-<br>Transfers<br>between<br>funds|**£**<br>**-**<br>**-**<br>**-**<br>**15,000**<br>**4,000**<br>**2,687**<br>**At 31**<br>**January**<br>**2019**|
|---|---|---|---|---|---|
||||||**21,687**|
||||||**197,120**|
||||||**197,120**|
||||||**218,807**|



## **16. Operating lease commitments** 

The charity had operating leases at the year end with total future minimum lease payments as follows: 

|Amount falling due:<br>Within 1 year<br>Within 1 - 5 years|**2020**<br>**£**<br>**1,631**<br>**-**<br>**1,631**|2019<br>£<br>2,175<br>1,631|
|---|---|---|
|||3,806|



## **17. Related party transactions** 

There were no related party transactions during the current or prior reporting period. 

25