Company registration number: 06616666 Charity registration number: 1128162
Emmaus Salford
(A company limited by guarantee)
Annual Report and Financial Statements
for the Year Ended 30 June 2023
Gortons Chartered Accountants Stanmore House 64-68 Blackburn Street Radcliffe Manchester M26 2JS
Emmaus Salford
Contents
| Trustees' Report | 1 to 6 |
|---|---|
| Independent Examiner's Report | 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 to 22 |
Emmaus Salford
Trustees' Report
The Trustees who are directors for the purposes of company law, present the annual report together with the financial statements and Independent Examiner's Report of the charitable company for the year ended 30 June 2023.
Objectives and activities
Objects and aims
The principal objectives of the charity are:
The alleviation and relief of poverty, hardship and distress arising therefrom, in conformance with the principles of the Emmaus Movement.
The provision of accommodation, or assistance in such provision, for homeless people in the Salford area and such other places as may seem appropriate from time to time (the “beneficiaries”).
The rehabilitation of the beneficiaries, as appropriate, and the provision of education, training (including, without limitation, employment training) and work opportunities. Satisfaction for the beneficiaries, with the purpose of developing their skills to enable them to gain employment in the future and thereby develop a sense of self-worth and dignity through having a self-supporting life.
The support of the work of other Emmaus communities and groups or other agencies in the relief of poverty and homelessness, whether in the United Kingdom or elsewhere in the world, and in particular (without limitation) by the exchange of resources, information and expertise with other Emmaus projects world-wide.
The primary objective is the development of a self-sufficient community providing accommodation and a meaningful voluntary work environment, with an appropriate level of support for previously homeless people, and others who may be socially disadvantaged. The community provides a welcoming and supportive place to live and work and for each person to develop within it.
On admission to the community, companions (our residents) relinquish welfare benefits, however Housing Benefit is claimed as companions are entitled to such claims. The community remains reliant on this income stream to provide the support services and homes for companions. The charity’s long term focus is to increase the income from the social enterprise in such a way as to have a surplus, thus reducing reliance on claims for statutory benefits, however, Trustees acknowledge that for the foreseeable future it is not feasible to set a timescale for achieving this.
The charity’s business and income generating activities are the key focus for development over the next 5 years. Additionally, the charity operates two strands of Solidarity work, the broader traditional Solidarity activity of an Emmaus Community, led by companions in supporting those less fortunate than themselves and since 2017 the charity has also operated and is developing a Solidarity Outreach Programme for the wider Salford community. This includes Lucie’s Pantry (a social supermarket), a school uniform recycling hub and the charity operates the People’s PODs that are part of the A Bed Every Night programme (ABEN) in Greater Manchester.
Public benefit
The Trustees have had regard to the Charity Commission’s guidance on public benefit in determining the activities conducted by the Charity, and all existing and development of services continue to benefit the people who live in the administrative borough of Salford.
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
Emmaus Salford
Trustees' Report
Achievements and performance
Our principal achievements this year have been as follows:-
-
To continue our work with companions and to increase the occupancy of the community home. We have had a steady occupancy rate of 88% throughout the year (because one room is not fit for use). The maximum number of people we can accommodate is 21, one of whom is a ‘solidarity’ place (a companion who has no recourse to public funds or Housing Benefit).
-
We have encouraged companions to undertake training in a variety of courses, including manual handling, banksman and customer service. We have had significant support from We Are Footprint, a recruitment agency who support people who have previously experienced homelessness. Through them, a number of companions have been able to access work placements and work experience. Support has been given in writing CV's and job and interview coaching. One companion has volunteered in the retail arm of another charity to gain more experience and boost her confidence, another has been supported in a digital technology course enabling him to acquire enhanced computer skills. One companion found full time employment and he has been supported until such a time as his job was made permanent and independent accommodation was found for him. Our friends at BOC held mock interviews with companions to offer support as they prepare to move towards independence.
-
Membership of Lucie’s Pantry has significantly increased, supporting the local community and special efforts have been made by staff and companions to source more stock. A special initiative was completed to support members over 65 throughout the winter thanks to the generosity of the Local Authority and other donors.
-
The school uniform hub has been a great success, run entirely by our volunteers, whose support is immeasurable.
-
The Warm Wednesday Initiative finally started in Autumn 2022 at the local church hall, providing warmth, lunch and companionship to a number of local people. This project will continue, provided the church community continues to make the facility open to us.
-
The Pods Project has proved to be very challenging, and despite our best efforts we do not have the staff or resources to make this a viable option.
-
The ethos of the Emmaus Movement is to support those less fortunate. We call this solidarity. A companion has volunteered to be our solidarity representative to identify and develop solidarity opportunities in and outside the community home.
-
RHS Bridgewater has given us opportunities to do a basic gardening course and support gardening projects at the community home.
-
Salford University kindly donated 66 reconditioned laptops enabling every companion to receive their own.
-
Staff have received training in equality and diversity, financial management, work ready, autism, ADHD, wellbeing apprenticeship and mental health first aid.
-
Our volunteers continue to give us their time and energy, for which we are very grateful and without whom we would not be able to function and maintain the high standards to which we aim.
-
Financially our sales have been much improved as a result of the diligence and dedication of the staff. Two members of staff have been appointed to support the business aspect of the charity, one with specific responsibility for internet sales and the other to support the companions in the shops. We are confident that the previous year’s deficit has been turned into a significant profit, making a realistic contribution to the running cost of the charity as a whole. The decision was taken to increase the weekly membership fee for the Pantry to £3 to reflect the increase in food costs, yet at the same time providing good quality and more diverse range of food available.
Page 2
Emmaus Salford
Trustees' Report
Financial review
The financial statements for the year to 30 June 2023 show a profit of £47,651 compared with a deficit of £121,677 in the previous year.
Sales of donated goods increased from £156,686 in 2022 to £188,125 this year, an increase of 20%. Income from housing benefit and rental income increased by £25,727 from £116,837 in 2022 to £142,564 this year. Costs decreased by £25,594 from £460,317 in 2022 to £434,723.
During the year the charity received grants and donations totalling £146,629 (2022 - £58,022). The Trustees wish to record their gratitude for all grants and donations received.
Plans for future periods
Policy on reserves
The trustees consider that Emmaus Salford should hold sufficient reserves to:
-
Support the welfare of Companions
-
Maintain Emmaus House and surrounding buildings
-
Support Lucie's pantry
The charity's reserves will help to ensure that we can continue to provide accommodation and work for our beneficiaries.
The Trustees currently consider the appropriate level of reserves to be in a range between £65,000 and £85,000. As at 30 June 2023 free reserves amounted to £40,143 being unrestricted income funds of £67,772 less fixed assets of £27,629 (2022 - £18,585 being unrestricted income funds of £58,593 less fixed assets of £40,008). Total restricted funds amounted to £73,429 (2022 - £34,957).
The Trustees regularly review the Charity’s Reserves policy. During the financial year reserves have improved consistently, and although the figure has not necessarily remained at the target level, the trading figures show a marked improvement strengthening the general performance.
The policy of actively encouraging companions into employment and independent living, although slow, has worked with a number of success stories. To complement this, new procedures to take on new companions to ‘fill the gaps’ in the community have provided an increase in numbers, resulting in a constant occupation level and people able to actively engage in the work of the Charity.
The Trustees are confident that the system is working well and that the reserves are at a safe operational level.
The Trustees are conscious of the need to maintain a strong reserves policy. A rigorous review of expenditure has been undertaken and is maintained during the day to day operation of the Charity. Staff are alert to the need to be financially prudent in a difficult financial climate. Financially cautious management is the order of the day, mindful of the need to ensure that reserves are preserved.
Structure, governance and management
Nature of governing document
Emmaus Salford was registered as a non-profit making company on 11 June 2008 (ref no. 6616666) and was registered as a UK charity (reg no. 1128162) by the Charity Commissioners with effect from 19 February 2009.
The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association.
In the event of the company being wound up Trustees are required to contribute an amount not exceeding £1.
The charity is a limited company, limited by guarantee, as defined by the Companies Act.
Page 3
Emmaus Salford
Trustees' Report
Recruitment and appointment of trustees
Trustees are elected in accordance with the Memorandum of Association. The Trustees retire by rotation. The board has an agreed procedure for the appointment of Trustees and all Trustees are appointed following open advertisement.
Two new Trustees were recruited last year to support the board; both have a health and safety background and have made a significant contribution to the decisions made by the Board.
Two Trustees who are specialists in IT, have developed an IT and digital strategy for the charity enabling our systems both administratively and commercially to be used for the benefit of the organisation as a whole and much time has been spent in providing the companions, staff and Trustees with training and understanding of the systems. This is expertise which is invaluable for the smooth and modern running of the organisation as a whole, for everyone concerned which would otherwise be financially unattainable.
Page 4
Emmaus Salford
Trustees' Report
Reference and Administrative Details
Charity Registration Number: 1128162 Company Registration Number: 06616666 The charity is incorporated in England and Wales. Registered Office: Emmaus House 101 Fitzwarren Street Salford M6 5RQ Independent Examiner: Gortons Chartered Accountants Stanmore House 64-68 Blackburn Street Radcliffe Manchester M26 2JS
Trustees and officers
The trustees and officers serving during the year and since the year end were as follows:
Trustees: Mrs P L Lewis (resigned 31 December 2022) Mr I D Cottam Mrs H Dunn Dr M Griffiths Ms E J Portsmouth Mr S Hindley Mrs J E Davies Ms L Carney Mr A M E Minnis (resigned 12 December 2022) Mr M Stanton (appointed 12 December 2022 and resigned 16 October 2023)
Secretary: Ms E J Portsmouth Senior Management / Leadership Mrs R Richardson, Community Director (Ceased employment 26 August 2022) Team: Mrs J Smith, Chief Operating Officer
Page 5
Emmaus Salford Trustees, Report Statsmont of trustees. responslbllltles The trustees (who ar8 also the directors of EmmaLKS Saword for the purposes of company lawl are responsible for preparing the trustees, rert and the financial statements in accordan wth applicable law and United lQngd Accounting Standards (United Kingdom Generalty Accepted Atx(wJnting Practi), incILing FRS 102 'The Financial Reporting Standard applicable in the UK arKI Rgpublic of Irelan(r. Company law requires the trustees lo prepare financial statements for each finan81 year. Under company law the trustees must not approve the financaal slatements unless they are satisfie(l that they give a true and fair view of the state of affair3 of the charttable company and of the incoming resources a1 application of resources. including ils income and expendttuo. of the charttable company for that period. In preparing these finanaal ststements, the trustees are required to.. select suitsble accounting pKAia8s and appty them consislenty. observ8 the methods arKI prindples in tho Charibes SORP. make Sudgements and estimates that are reaSonae and prudent state wh8ther applicable accwnting standards. comprising FRS 102 have b8en fotlowéd. Subject to any material departures disclosed and ealn in the fin8ncral statements.. and prepare the financial statements on the gcrfng ccwm basis vns it Is inappropriate to presume that the charitable c£mpany wll continue in business. The trustees are re5pon$ibl8 for keeping proper actsjunting records that can discbse wth reasonable araCY at any time the financAal position of the Charitab company and enable them lo ensure that the financial stslemenls comply the Companies Ad 21x16. They are Jso re5ponsibl8 f(Y Safeguarding the assets of the charitabl8 company and hence for taking reasonab steps for the pr8venlK)n and detethon of fraud and other irregutarilies. The tru$lees are responsible for the rnaintenan and Writy of the rpOrate aTrJ ffinana81 infonnation includgd on the charitable companls w8bsits. Legislation govemirwJ the k¥eparation and disseminat of financial statements may drffer from legislation in other 1urisdiclics. The annual report was approwj by the trustees ofthe tharity on 27 March 2024 8fKI signwj on its behalf by. Mrs H Dunn Tnjslee Page 6
should be draivn In this report In or
Emmaus Salford
Statement of Financial Activities for the Year Ended 30 June 2023 (Including Income and Expenditure Account)
| Unrestricted | Restricted | Total | ||||
|---|---|---|---|---|---|---|
| funds | funds | 2023 | ||||
| Note | £ | £ | £ | |||
| Income and Endowments from: | ||||||
| Donations and legacies | 4 | 52,327 | 94,302 | 146,629 | ||
| Charitable activities | 5 | 330,689 | - | 330,689 | ||
| Investment income | 6 | 432 | - | 432 | ||
| Other income | 4,624 | - | 4,624 | |||
| Total income | 388,072 | 94,302 | 482,374 | |||
| Expenditure on: | ||||||
| Charitable activities | 7 | (378,893) | (55,830) | (434,723) | ||
| Total expenditure | (378,893) | (55,830) | (434,723) | |||
| Net income | 9,179 | 38,472 | 47,651 | |||
| Net movement in funds | 9,179 | 38,472 | 47,651 | |||
| Reconciliation of funds | ||||||
| Total funds brought forward | 58,593 | 34,957 | 93,550 | |||
| Total funds carried forward | 24 | 67,772 | 73,429 | 141,201 | ||
| Unrestricted | ||||||
| funds | Restricted | Total | ||||
| General | funds | 2022 | ||||
| Note | £ | £ | £ | |||
| Income and Endowments from: | ||||||
| Donations and legacies | 4 | 23,599 | 34,423 | 58,022 | ||
| Charitable activities | 5 | 273,523 | - | 273,523 | ||
| Investment income | 6 | 100 | - | 100 | ||
| Other income | 6,995 | - | 6,995 | |||
| Total Income | 304,217 | 34,423 | 338,640 | |||
| Expenditure on: | ||||||
| Charitable activities | 7 | (402,779) | (57,538) | (460,317) | ||
| Total Expenditure | (402,779) | (57,538) | (460,317) | |||
| Net expenditure | (98,562) | (23,115) | (121,677) | |||
| Net movement in funds | (98,562) | (23,115) | (121,677) | |||
| Reconciliation of funds | ||||||
| Total funds brought forward | 157,155 | 58,072 | 215,227 | |||
| Total funds carried forward | 24 | 58,593 | 34,957 | 93,550 |
The notes on pages 10 to 22 form an integral part of these financial statements. Page 8
Emmaus Salford (Registration number: 06616666) Balance Sheet as at 30 June 2023 2023 2022 Flxed assets Tangib19 assets 13 27.629 40.008 Current assets Stocks Debtors Cash at bank and in hand 14 15 16 2,720 35,903 182,066 2,120 33.457 132,070 220.689 167,647 Creditors: Amounts falllng du• wlthln one year N•t current ats•ts 17 94.117 101.105 126.572 68,542 Total asmts less current Ilabllltlos 154.201 106.550 Credltor8: knounts falllng du• aft•r morn than one year Not assets 18 13.000 13,O¢X) 141.201 93,550 Fund¥ of the ¢h•rlty: Restrlcted Income fund8 Restrictsd funds 73.429 34,957 Unrestrlcted Income funds Unrestricted funds 67,772 58,593 Total funds 24 141,201 93,550 For the financial year erKling 30 June 2023 the charity was entitled to exernptiC frcrfn audit under section 477 of the Companies Act 2006 relating lo small companies. Directors, r8sponsibillties.' The members have not required the tharity to obtain an audll of accounts for the year in question Sn accor(lance with section 476.. and The dir8Ctors acknowledge their resporribililies for CoMrj wth the requirements of the Act with respect to accountiNJ records and the preparation of acccwnts. The financlal statements on pages 8 to 22 were 8pproved by the Irustees. and authorisad ky issue on 27 Marc* 2024 and signed on their behalf by. Mis H Dunn Trustee The rbjtes on pagas 10 to 22 fonn an integral part of these financial statements. Page 9
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
1 Charity status
The charity is a company limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
2 General information
The charity was incorporated as a company in the United Kingdom and the registered office is Emmaus House, 101 Fitzwarren Street, Salford, M6 5RQ.
3 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
Emmaus Salford 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.
Volunteers
Volunteers give their time and skills to support the charity and social enterprise to help even more people move on from being homeless.
Summary of disclosure exemptions
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, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations and gifts are recognised as income when the charity has control over the item or has received the service, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably, in accordance with the Charities SORP (FRS 102).
Page 10
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
Grants receivable
Income from grants are recognised when the charity has entitlement to the funds and it is probable that the income will be received and the amount can be measured reliably and is not deferred.
Charitable activities
Income on the sale of donated goods and house clearances is recognised when the charity has control over the item or received the service.
Income on housing benefits and rents are recognised on an accruals basis.
Expenditure
All 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.
Charitable activities
Expenditure on charitable activites includes the costs of delivering services undertaken to further the purposes of the charity and their associated support costs.
Other expenditure
Other expenditure represents those items not falling into any other heading.
Support costs
All support costs are allocated to the charitable activities.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including an Independent Examination, strategic management and trustees' meetings and reimbursed expenses.
Irrecoverable VAT
Irrecoverable VAT is charged against the category of resources expended for which it was incurred.
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.
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
Leasehold alterations Fixtures and fittings Motor vehicles
Depreciation method and rate Straight line over 8 years Straight line over 5 years Straight line over 5 years
Page 11
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
Stock
Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks.
Trade debtors
Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid.
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
Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably.
Creditors are normally recognised at their settlement amount after allowing for any trade discounts due.
Fund structure
Unrestricted income funds are general 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.
Hire purchase and finance leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Rentals payable under operating leases are charged in the Statement of Financial Activities on a straight line basis over the lease term.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Page 12
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
4 Income from donations and legacies
| Unrestricted | |||||||
|---|---|---|---|---|---|---|---|
| funds | Restricted | Total | |||||
| General | funds | 2023 | |||||
| £ | £ | £ | |||||
| Grants, including capital grants: | |||||||
| Grants from other charities | - | 89,440 | 89,440 | ||||
| Regular giving and capital donations | 52,327 | 4,862 | 57,189 | ||||
| 52,327 | 94,302 | 146,629 | |||||
| Unrestricted | |||||||
| funds | Restricted | Total | |||||
| General | funds | 2022 | |||||
| £ | £ | £ | |||||
| Grants, including capital grants: | |||||||
| Grants from other charities | - | 32,444 | 32,444 | ||||
| Regular giving and capital donations | 23,599 | 1,979 | 25,578 | ||||
| 23,599 | 34,423 | 58,022 | |||||
| 5 | Income from charitable activities | ||||||
| Unrestricted | |||||||
| funds | Total | Total | |||||
| General | 2023 | 2022 | |||||
| £ | £ | £ | |||||
| Sale of donated goods and house clearances | 188,125 | 188,125 | 156,686 | ||||
| Housing benefit and rents | 142,564 | 142,564 | 116,837 | ||||
| 330,689 | 330,689 | 273,523 | |||||
| 6 | Investment income | ||||||
| Unrestricted | |||||||
| Total | Total | ||||||
| General | 2023 | 2022 | |||||
| £ | £ | £ | |||||
| Interest receivable on bank deposits | 432 | 432 | 100 |
Page 13
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
7 Expenditure on charitable activities
| 7 Expenditure on charitable activities |
|||||
|---|---|---|---|---|---|
| Activity | Activity | ||||
| undertaken | support | ||||
| directly | costs | 2023 | 2022 | ||
| £ | £ | £ | £ | ||
| Administrative salary costs | 144,968 | - | 144,968 | 136,852 | |
| Companion costs | 72,125 | - | 72,125 | 74,574 | |
| Rent, rates and insurance | 37,550 | 243 | 37,793 | 43,648 | |
| Shop supplies and equipment | 22,875 | - | 22,875 | 23,604 | |
| Repairs and renewals | 33,836 | - | 33,836 | 44,829 | |
| Light and heat | 43,955 | - | 43,955 | 39,395 | |
| Vehicle costs | 13,310 | - | 13,310 | 18,188 | |
| Health and safety | 1,496 | - | 1,496 | 3,966 | |
| Cleaning and waste | 10,699 | - | 10,699 | 13,084 | |
| Telephone and internet | 11,386 | - | 11,386 | 11,322 | |
| Miscellaneous expenses | 9,031 | - | 9,031 | 15,969 | |
| Legal and professional fees | 16,990 | - | 16,990 | 12,089 | |
| Bad and doubtful debts | 1,978 | - | 1,978 | - | |
| Bank and credit card charges | 1,706 | 196 | 1,902 | 1,976 | |
| Depreciation and profit on sale of fixed assets | 12,379 | - | 12,379 | 20,821 | |
| 434,284 | 439 | 434,723 | 460,317 |
£378,893 (2022 - £402,779 of the above expenditure was attributable to unrestricted funds and £55,830 (2022 - £57,538) to restricted funds. Included in the above are governance costs of £5,050 (2022 - £6,150) which relate directly to charitable activities. See note 8 for further details.
8 Analysis of governance and support costs
Support costs allocated to charitable activities
| Support costs allocated to charitable activities | ||||||||
|---|---|---|---|---|---|---|---|---|
| Finance | Administration | Total | Total | |||||
| costs | costs | 2023 | 2022 | |||||
| £ | £ | £ | £ | |||||
| Trustee indemnity insurance | - | 243 | 243 | 272 | ||||
| Bank charges | 136 | - | 136 | 96 | ||||
| 136 | 243 | 379 | 368 | |||||
| Governance costs | ||||||||
| Unrestricted | ||||||||
| Total | Total | |||||||
| General | 2023 | 2022 | ||||||
| £ | £ | £ | ||||||
| Independent examination | 1,650 | 1,650 | 2,000 | |||||
| Accounts preparation | 3,400 | 3,400 | 4,150 | |||||
| 5,050 | 5,050 | 6,150 |
Page 14
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
9 Net incoming/outgoing resources
Net outgoing/(incoming) resources for the year include:
| Net outgoing/(incoming) resources for the year include: | |||
|---|---|---|---|
| 2023 | 2022 | ||
| £ | £ | ||
| Operating leases - plant and machinery | 11,117 | 10,788 | |
| Operating leases - other assets | 17,000 | 34,000 | |
| Other non-audit services | 3,400 | 4,150 | |
| Profit on disposal of tangible fixed assets | - | (19,500) | |
| Depreciation of fixed assets | 12,379 | 40,321 |
10 Staff costs
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:
| during the | year expressed as full time equivalents was as follows: | |||||
|---|---|---|---|---|---|---|
| 2023 | 2022 | |||||
| No | No | |||||
| Charitable | Activities | 6 | 5 | |||
All of the above employees participated in the Defined Contribution Pension Schemes.
Contributions to the employee pension schemes for the year totalled £6,121 (2022 - £5,919).
These payments are allocated to charitable expenses within unresticted funds.
No employee received emoluments of more than £60,000 during the year.
The total employee benefits of the key management personnel of the charity were £2,773 (2022 - £39,835).
The chief executive officer, as the highest paid member of staff, received benefits totalling £43,733 (2022 - £27,690).
11 Independent Examiner's remuneration
| 2023 | 2022 | |||
|---|---|---|---|---|
| £ | £ | |||
| Independent | examination | 1,650 | 2,000 | |
| Accountancy | services | 3,400 | 4,150 | |
| 5,050 | 6,150 |
12 Taxation
The charity is a registered charity and is therefore exempt from taxation.
Page 15
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
13 Tangible fixed assets
| 13 Tangible fixed assets | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Leasehold | Fixtures and | Motor | |||||||||
| Alterations | fittings | vehicles | Total | ||||||||
| £ | £ | £ | £ | ||||||||
| Cost | |||||||||||
| At 1 July 2022 | 196,481 | 17,798 | 61,004 | 275,283 | |||||||
| At 30 June 2023 | 196,481 | 17,798 | 61,004 | 275,283 | |||||||
| Depreciation | |||||||||||
| At 1 July 2022 | 196,247 | 8,288 | 30,740 | 235,275 | |||||||
| Charge for the year | 234 | 3,560 | 8,585 | 12,379 | |||||||
| At 30 June 2023 | 196,481 | 11,848 | 39,325 | 247,654 | |||||||
| Net book value | |||||||||||
| At 30 June 2023 | - | 5,950 | 21,679 | 27,629 | |||||||
| At 30 June 2022 | 234 | 9,510 | 30,264 | 40,008 | |||||||
| 14 Stock | |||||||||||
| 2023 | 2022 | ||||||||||
| £ | £ | ||||||||||
| Finished goods | 2,720 | 2,120 | |||||||||
| 15 Debtors | |||||||||||
| 2023 | 2022 | ||||||||||
| £ | £ | ||||||||||
| Trade debtors | 5,491 | 10,471 | |||||||||
| Prepayments | 13,232 | 7,586 | |||||||||
| Accrued income | 4,206 | 2,947 | |||||||||
| Other debtors | 12,974 | 12,453 | |||||||||
| 35,903 | 33,457 | ||||||||||
| 16 Cash and cash equivalents | |||||||||||
| 2023 | 2022 | ||||||||||
| £ | £ | ||||||||||
| Cash on hand | 2,945 | 1,901 | |||||||||
| Cash at bank | 179,121 | 130,169 | |||||||||
| 182,066 | 132,070 |
Page 16
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
17 Creditors: amounts falling due within one year
| 17 Creditors: amounts falling due within one year | |||
|---|---|---|---|
| 2023 | 2022 | ||
| £ | £ | ||
| Trade creditors | 5,797 | 575 | |
| Loan from Emmaus UK | 1,500 | 1,500 | |
| Other taxation and social security | 1,453 | 3,870 | |
| Other creditors | 14,321 | 13,918 | |
| Accruals | 71,046 | 81,242 | |
| 94,117 | 101,105 |
18 Creditors: amounts falling due after one year
| 2023 | 2022 | |||||
|---|---|---|---|---|---|---|
| £ | £ | |||||
| Loan | from | Emmaus | UK | 13,000 | 13,000 |
In 2013/14 Emmaus UK made a loan of £30,000 to Emmaus Salford. £23,000 of this loan was repaid early in 2014/15. The balance of £7,000 was due to be repaid in 2022/23 and 2023/24. This loan is interest free.
In 2015/16 Emmaus UK made a further loan of £15,000 to Emmaus Salford. This loan is repayable in equal instalments over 10 years. Interest is charged at 1% per annum.
There has been a capital repayment holiday for both loans since 2021 and the situation since has been under discussion together with any interest due.
19 Obligations under leases and hire purchase contracts
Operating lease commitments
Total future minimum lease payments under non-cancellable operating leases are as follows:
| 2023 | 2022 | ||
|---|---|---|---|
| £ | £ | ||
| Land and buildings | |||
| Within one year | 29,770 | 42,519 | |
| Other | |||
| Within one year | - | 1,575 | |
| Between one and five years | 6,630 | 3,888 | |
| After five years | 42,908 | 42,930 | |
| 49,538 | 48,393 |
Page 17
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
20 Pension and other schemes
Defined contribution pension scheme
The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £6,121 (2022 - £5,919).
Contributions totalling £485 (2022 - £471) were paid after date to the scheme and are included in creditors.
21 Contingent liabilities
There is a contingent liability for grants, and also loans received, from Emmaus UK in prior years, that will all be repayable if Emmaus Salford leaves the Emmaus UK Federation.
22 Trustees remuneration and expenses
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
23 Related party transactions
There were no related party transactions in the year.
Page 18
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
| 24 Funds | |||||||
|---|---|---|---|---|---|---|---|
| Balance at 1 | Incoming | Resources | Balance at 30 | ||||
| July 2022 | resources | expended | June 2023 | ||||
| £ | £ | £ | £ | ||||
| Unrestricted funds | |||||||
| General | |||||||
| General funds | 58,593 | 388,072 | (378,893) | 67,772 | |||
| Total unrestricted funds | 58,593 | 388,072 | (378,893) | 67,772 | |||
| Restricted funds | |||||||
| RBS Charitable Trust, Pendleton Together | |||||||
| Co-operative, Lush Charity Pot and Semble | 2,288 | - | (558) | 1,730 | |||
| Emmaus UK | 660 | 705 | (849) | 516 | |||
| Edward Holt Trust | 5,290 | - | (5,290) | - | |||
| Nationwide Building Society via Community | |||||||
| Foundations | 868 | 32,750 | (22,489) | 11,129 | |||
| Martin Lewis, High Sherrifs Office, Salford | |||||||
| CVS, Neighbourly, ESF, Manchester | |||||||
| Guardian Society, Duchy of Lancaster, | |||||||
| Food recovery, CAF deliveries, Charity | |||||||
| Service deliveries, Clarion Food | 8,927 | - | (8,927) | - | |||
| Tesco, Salford CVS, B&Q | 13,417 | 410 | (288) | 13,539 | |||
| Salford CVS, Yorkshire Building Society | 211 | - | - | 211 | |||
| Salford CVS | 931 | - | (931) | - | |||
| Guinness Partnership | 433 | - | - | 433 | |||
| The Charity Service | 522 | 3,750 | (623) | 3,649 | |||
| Neighbourly | 1,410 | - | - | 1,410 | |||
| Emmaus UK | - | 1,300 | (1,300) | - | |||
| Booth, Emmaus UK and The Lottery Fund | - | 33,800 | (2,937) | 30,863 | |||
| J H Rausing Trust | - | 4,560 | (4,560) | - | |||
| Salford CVS | - | 5,900 | (5,900) | - | |||
| Salford CVS | - | 8,250 | - | 8,250 | |||
| Volunteers, ticket sales | - | 1,877 | (953) | 924 | |||
| Aldi | - | 1,000 | (225) | 775 | |||
| Total restricted funds | 34,957 | 94,302 | (55,830) | 73,429 | |||
| Total funds | 93,550 | 482,374 | (434,723) | 141,201 |
Page 19
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
| Balance at 1 | Incoming | Resources | Balance at 30 | ||||
|---|---|---|---|---|---|---|---|
| July 2021 | resources | expended | June 2022 | ||||
| £ | £ | £ | £ | ||||
| Unrestricted funds | |||||||
| General | |||||||
| General funds | 157,155 | 304,217 | (402,779) | 58,593 | |||
| Total unrestricted funds | 157,155 | 304,217 | (402,779) | 58,593 | |||
| Restricted | |||||||
| RBS Charitable Trust, Pendleton Together | |||||||
| Co-operative, Lush Charity Pot and Semble | 1,975 | 1,045 | (732) | 2,288 | |||
| Emmaus UK | 385 | 3,839 | (3,564) | 660 | |||
| Edward Holt Trust | 10,023 | - | (4,733) | 5,290 | |||
| Nationwide Building Society via Community | |||||||
| Foundations | 11,994 | 18,875 | (30,001) | 868 | |||
| Martin Lewis, High Sherrifs Office, Salford | |||||||
| CVS, Neighbourly, ESF, Manchester | |||||||
| Guardian Society, Duchy of Lancaster, | |||||||
| Food recovery, CAF deliveries, Charity | |||||||
| Service deliveries, Clarion Food | 12,240 | 7,525 | (10,838) | 8,927 | |||
| Tesco, Salford CVS, B&Q | 17,493 | - | (4,076) | 13,417 | |||
| Salford CVS, Yorkshire Building Society | 1,229 | - | (1,018) | 211 | |||
| Salford CVS | 1,425 | 250 | (744) | 931 | |||
| Guinness Partnership | 433 | - | - | 433 | |||
| Charities Aid Foundation | 875 | - | (875) | - | |||
| The Charity Service | - | 980 | (458) | 522 | |||
| Lidl | - | 499 | (499) | - | |||
| Neighbourly | - | 1,410 | - | 1,410 | |||
| Total restricted funds | 58,072 | 34,423 | (57,538) | 34,957 | |||
| Total funds | 215,227 | 338,640 | (460,317) | 93,550 |
Page 20
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
Description of nature of restriction by fund
The specific purposes for which the funds are to be applied are as follows:
RBS Charitable Trust, Pendleton Together Co-operative, Lush Charity Pot and Semble - for a greenhouse, gardening equipment and work to the garden area of Emmaus House
Emmaus UK - for companion training
Edward Holt Trust - for costs of employing a manager for the social supermarket
Nationwide Building Society via Community Foundations - for the costs of employing a key worker
Martin Lewis, High Sherriffs Office, Salford CVS, Neighbourly, ESF, Manchester Guradian Society, Duchy of Lancaster, Food recovery, CAF deliveries, Charity Service deliveries, Clarion Food - to assist the social supermarket in responding to COVID-19
Tesco, Salford CVS, B&Q - for emergency accommodation
Salford CVS, Yorkshire Building Society - for IT equipment
Salford CVS - for emergency food parcels
Guinness Partnership - for the school hub
Charities Aid Foundation - for salaries and companion training
The charity service - for a community barbecue and seating
Lidl - for a cookery book for the social supermarket
Neighbourly - IT equipment to be used by the social supermarket
Emmaus UK - hampers for the social supermarket
Booth, Emmaus UK and The Lottery - for salary costs
J H Rausing Trust - for the social supermarket
Salford CVS - food and fuel to help cost of living
Salford CVS - for the social supermarket
Volunteer, event sales, donations - companion wellbeing fund - day trips for companions
Aldi - winter fund warm Wednesday - food for Warm Wednesday
Page 21
Emmaus Salford
Notes to the Financial Statements for the Year Ended 30 June 2023
25 Analysis of net assets between funds
| 25 Analysis of net assets between funds | |||||
|---|---|---|---|---|---|
| Unrestricted | Total funds | ||||
| funds | Restricted | at 30 June | |||
| General | funds | 2023 | |||
| £ | £ | £ | |||
| Tangible fixed assets | 27,629 | - | 27,629 | ||
| Current assets | 146,710 | 73,979 | 220,689 | ||
| Current liabilities | (94,117) | - | (94,117) | ||
| Long term creditors | (13,000) | - | (13,000) | ||
| Total net assets | 67,222 | 73,979 | 141,201 | ||
| Unrestricted | Total funds | ||||
| funds | Restricted | at 30 June | |||
| General | funds | 2022 | |||
| £ | £ | £ | |||
| Tangible fixed assets | 40,008 | - | 40,008 | ||
| Current assets | 132,690 | 34,957 | 167,647 | ||
| Current liabilities | (101,105) | - | (101,105) | ||
| Long term creditors | (13,000) | - | (13,000) | ||
| Total net assets | 58,593 | 34,957 | 93,550 |
Page 22