COMPANY REGISTRATION NUMBER : 06774183
EAST COAST SAIL TRUST
COMPANY LIMITED BY GUARANTEE
FINANCIAL STATEMENTS
31 MARCH 2023
Charity Number : 1128353
Edmund Carr LLP
Chartered Accountants 146 New London Road Chelmsford Essex CM2 0AW
EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
TRUSTEES' ANNUAL REPORT
YEAR ENDED 31 MARCH 2023
The trustees, who are also directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 March 2023.
The report fulfils the requirements for a directors’ report as required by company law. The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered charity name East Coast Sail Trust Charity registration number 1128353 Company registration number 06774183 Registered office 146 New London Road Chelmsford Essex CM2 0AW
The trustees
The trustees who served the charity during the period were as follows:
M Keeling (Chairman) J W Keeble J C Carter (Resigned 10/08/2023) M H Pavey (Appointed 10/08/2023) J Scanlon (Appointed (10/08/2023) Independent examiner Colin Barker FCA Edmund Carr LLP 146 New London Road Chelmsford Essex CM2 0AW
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
TRUSTEES' ANNUAL REPORT (continued)
YEAR ENDED 31 MARCH 2023
OBJECTIVES AND ACTIVITIES
The objectives of the East Coast Sail Trust Ltd are that of maintaining and preserving the traditional Thames Sailing Barge, "Thalatta", or other similar barge as may be acquired, in sea-going order and using the vessel to benefit young people from all walks of life by the provision of educational cruises.
PUBLIC BENEFIT
The Trustees have had due regard to the Charity Commission's guidance on Public Benefit in carrying out the Charity's activities as described above.
The Trustees are aware of the guidance;
The Trustees will take into account when making a decision to which the guidance is relevant;
The Trustees will only decide to depart from the guidance when they have a very good reason for doing so.
Our charters are most beneficial to the young people who take part in them. The benefits they receive are easily identified by their comments, their written work, their artwork, and the increased self-esteem and personal confidence derived from working together as a team.
ACHIEVEMENTS AND PERFORMANCE
We entered the year ending 31 March 2023 (beginning 1[st] April, 2022) with a reasonably good bank balance of £27,365 and this was the start of the first full season following the various Covid lockdowns. It would be true to say that we entered the year with a degree of “combat fatigue” so it took a little while to get back up to speed.
Despite a relatively slow start we entered the year with all our maintenance objectives achieved leaving only some painting left to be completed during the 2023 season. We were helped that only an in-water survey was required to achieve our Exemption Certificate. This certification covers all areas of the hull, rigging and safety equipment. The certificate is renewed annually and is our licence to confirm that the vessel is maintained to the standard necessary to operate with passengers.
Looking ahead we are confident that the next year (ending 31[st] March 2024) will produce a number of new school groups, but we remain concerned that the high levels of inflation following Covid will increase our overhead costs and make life difficult. We are increasing our efforts to expand our customer base and make the barge work harder, particularly through the non-school holiday period. We are also seeking external commercial supporters to help us build up a reserve for the inevitable longterm maintenance projects.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
TRUSTEES' ANNUAL REPORT (continued)
YEAR ENDED 31 MARCH 2023
Our philosophy has always been that charters are for young people and those disadvantaged by medical conditions or other reasons, and these have always taken booking precedence. However, when not used in this way we would prefer to charter Thalatta out to various other (adult) groups rather than having her sitting alongside a dock. In this way we not only raise additional funds which help us keep charter rates low but also opens up the joy of sailing this historic vessel and raises the Trust’s profile to a wider audience.
We remain grateful for the continued unstinting support from everyone involved in the Trust, particularly Cyril & Cheryl Varley, Nick Hayward and everyone who helps maintain and crew Thalatta throughout the year.
The Trust is very grateful to our Friends of Thalatta for their considerable financial support and interest, including visits to the barge and participating in our day sails. Regrettably, pressure of running Thalatta has resulted in our regular Newsletter becoming rather fragmented. The Newsletters are intended to keep the Friends informed of all that is going on in the Trust and Thalatta. We intend to improve our performance in this area.
FINANCIAL REVIEW
Income for the year reduced to £31,937 (2022 - £51,338) due to a fall in grants and donations. Expenditure reduced to £56,468 (2022 - £65,168) due to lower maintenance costs, resulting in a deficit of £24,531 (2022 - £13,830).
Reserves Policy
It is our policy to maintain free reserves (being unrestricted funds excluding those represented by fixed assets) at a level that equates to between nine and twelve months of revenue expenditure. Currently this is an area of concern as we are unable to project forward income and expenditure with any degree of confidence.
Unrestricted free reserves at 31 March were £6,992 (2022 - £21,267): see note 18. These reserves are lower than ideal and we intend to keep close control of our costs to increase them over the next 2 years to provide a greater cushion for the future. Increased maintenance costs are inevitable over the forthcoming years and our marketing objectives are geared towards meeting this need.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
TRUSTEES' ANNUAL REPORT (continued)
YEAR ENDED 31 MARCH 2023
STRUCTURE, GOVERNANCE AND MANAGEMENT
HOW THE TRUST IS RUN
The Trust is registered as a company limited by guarantee and the Directors are regarded as Trustees by the Charity Commission.
The organisation remains a small one with the Trustees supported by a Management Team which includes the Skipper of "Thalatta", who has overall responsibility for the maintenance and operation of the vessel when at sea and throughout the year.
Trustees continue to donate their services and receive no form of remuneration. Their contribution and that of part time accountant, Rasa Dalton, to the smooth running of the trust is acknowledged and greatly appreciated as is that of the Skipper, Cyril Varley.
The Trustees are mindful of the obligations imposed as a registered charity. They periodically review overall policy. A quorum of three members must be present at the meetings of the Trustees which are held regularly throughout the year. The Trustees are responsible for promoting the objects of the Trust, its conduct and management and day-to-day running. Proposed new Trustees are initially invited to attend trustee meetings to meet the other Trustees and ensure they have a good understanding of the trust and its objectives and will be able to contribute. They may then be elected.
Finances are carefully controlled, and projections and cash flow reviewed on a regular basis.
Crew are paid on a weekly or daily basis according to bookings and other work required.
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies’ exemption .
Approved by the Trustees on 13 December 2023 and signed on their behalf by:
.............................
Michael Keeling Chairman
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES
YEAR ENDED 31 MARCH 2023
I report to the charity trustees on my examination of the accounts of the company for the year ended 31 March 2023 which are set out on pages 6 to 14.
Responsibilities and basis of report
As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
..................................
Colin Barker FCA
146 New London Road Chelmsford CM2 0AW
13 December 2023
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)
YEAR ENDED 31 MARCH 2023
| Unrestricted Funds Note £ INCOME from: Donations and legacies 2 4,110 Grants 3 - Charitable activities 4 19,510 Other trading activities 5 8,216 Investments 6 101 TOTAL INCOME 31,937 EXPENDITURE ON: Charitable activities 7 51,207 Other trading activities 8 4,066 TOTAL EXPENDITURE 55,273 NET INCOME/(EXPENDITURE) (23,336) Transfers between funds 2,000 NET MOVEMENT IN FUNDS (21,336) RECONCILIATION OF FUNDS Total funds brought forward 271,823 Total funds carried forward 250,487 |
Restricted Funds £ - - - - - - 1,195 - 1,195 (1,195) (2,000) (3,195) 13,241 10,046 |
Total Funds 2023 £ 4,110 - 19,510 8,216 101 31,937 52,402 4,066 56,468 (24,531) - (24,531) 285,064 260,533 |
Total Funds 2022 £ 10,826 12,600 18,400 9,509 3 51,338 61,308 3,860 65,168 (13,830) - (13,830) 298,894 285,064 |
|---|---|---|---|
The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.
All of the above amounts relate to continuing activities.
The notes on pages 8 to 14 form part of these financial statements.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
BALANCE SHEET
AS AT 31 MARCH 2023
| Note FIXED ASSETS Tangible assets 12 CURRENT ASSETS Stock Debtors 13 Cash at bank and in hand LIABILITIES Creditors: Amounts falling due within one year 14 NET CURRENT ASSETS NET ASSETS FUNDS OF THE CHARITY Restricted income funds 16 Unrestricted funds 17 TOTAL CHARITY FUNDS |
£ £ 250,646 2,390 17,037 23,766 43,193 (33,306) 9,887 260,533 10,046 250,487 260,533 2023 |
£ £ 258,502 2,868 7,600 27,365 37,833 (11,271) 26,562 285,064 13,241 271,823 285,064 2022 |
|---|---|---|
For the year ended 31 March 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Trustees' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and with the special provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the Trustees on 13 December 2023 and are signed on their behalf by:
….........................................
M KEELING
Chairman
Company Registration Number: 06774183
The notes on pages 8 to 14 form part of these financial statements.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31 MARCH 2023
1. ACCOUNTING POLICIES
Basis of accounting
The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), 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 (effective 1 January 2019) (Charities SORP FRS102) and the Companies Act 2006.
Legal Status
The charity is a company limited by guarantee and meets the definition of a public benefit entity under FRS102. It is incorporated in England and Wales and its registered address is 146 New London Road Chelmsford, Essex, CM2 0AW.
Going Concern
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
Income
Income from donations and grants, including capital grants, is included in incoming resources when these are receivable, except as follows:
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when donors specify that donations and grants given to the charity must be used in future accounting periods, the income is deferred until those periods.
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when donors impose conditions which have to be fulfilled before the charity becomes entitled to use such income, the income is deferred and not included in incoming resources until the pre-conditions have been met.
When donors specify that donations and grants, including capital grants, are for particular restricted purposes, which do not amount to pre-conditions regarding entitlement, this income is included in incoming resources of restricted funds when receivable.
Expenditure
Expenditure is recognised on an accruals basis. Support costs which relate to the day to day running of the charity and governance costs are included as costs of charitable activities.
Fund accounting
Funds held by the charity are either:
Unrestricted general funds - these are funds which can be used in accordance with the charitable objects at the discretion of the trustees.
Restricted funds - these are funds that can only be used for particular restricted purposes within the objects of the charity.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2023
1. ACCOUNTING POLICIES (continued)
Fixed assets
All fixed assets are initially recorded at cost.
Depreciation
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Sailing Barge - Depreciated over 50 years Equipment - 10% Reducing Balance
Stocks
Stocks are valued at the lower of cost and net realisable value.
Debtors
Trade and other debtors are recognised at the settlement amount due.
Creditors
Creditors are recognised when the charity has a present obligation arising 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 are normally recognised at their settlement amount.
2. DONATIONS AND LEGACIES
| Legacies Other donations 2022 |
Unrestricted Funds £ - 4,110 4,110 8,226 |
Restricted Funds £ - - - 2,600 |
Total Funds 2023 £ - 4,110 4,110 10,826 |
Total Funds 2022 £ - 10,826 10,826 |
|---|---|---|---|---|
3. GRANTS
| National Lottery Heritage Fund 2022 INCOME FROM CHARITABLE ACTIVITIES Fees from school and youth group sailings 2022 |
Unrestricted Funds £ - - - Unrestricted Funds £ 19,510 18,400 |
Restricted Funds £ - - 12,600 Restricted Funds £ - - |
Total Funds 2023 £ - - 12,600 Total Funds 2023 £ 19,510 18,400 |
Total Funds 2022 £ 12,600 12,600 Total Funds 2022 £ 18,400 |
|---|---|---|---|---|
4. INCOME FROM CHARITABLE ACTIVITIES
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 MARCH 2023
5. INCOME FROM OTHER TRADING ACTIVITIES
| Sale of Goods Day Sails and Charters 2022 INVESTMENT INCOME Bank interest receivable 2022 |
Unrestricted Funds £ 424 7,792 8,216 9,509 Unrestricted Funds £ 101 3 |
Restricted Funds £ - - - - Restricted Funds £ - - |
Total Funds 2023 £ 424 7,792 8,216 9,509 Total Funds 2023 £ 101 3 |
Total Funds 2022 £ 676 8,833 9,509 Total Funds 2022 £ 3 |
|---|---|---|---|---|
6. INVESTMENT INCOME
7. EXPENDITURE ON CHARITABLE ACTIVITIES
| Barge maintenance and running costs Depreciation Support costs Governance costs (note 9) 2022 |
Unrestricted Funds £ 40,034 7,062 727 3,384 c 51,207 45,225 |
Restricted Funds £ 400 795 - - 1,195 16,083 |
Total Funds 2023 £ 40,434 7,857 727 3,384 52,402 61,308 |
Total Funds 2022 £ 45,720 7,790 4,678 3,120 61,308 |
|---|---|---|---|---|
8. EXPENDITURE ON OTHER TRADING ACTIVITIES
| Fundraising - sale of goods Day Sails Costs 2022 |
Unrestricted Funds £ 2,267 1,799 4,066 3,860 |
Restricted Funds £ - - - - |
Total Funds 2023 £ 2,267 1,799 4,066 3,860 |
Total Funds 2022 £ 659 3,201 3,860 |
|---|---|---|---|---|
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 MARCH 2023
9. GOVERNANCE COSTS
| Accounts Preparation Fees Independent Examiner Fees Other Professional Fees Total paid to Independent Examiner Bookkeeping |
Unrestricted Funds £ 1,250 450 143 1,843 1,541 3,384 |
Restricted Funds £ - - - - - - |
Total Funds 2023 £ 1,250 450 143 1,843 1,541 3,384 |
Total Funds 2022 £ 1,030 440 136 1,606 1,514 3,120 |
|---|---|---|---|---|
10. STAFF AND TRUSTEES' COSTS AND EMOLUMENTS
No salaries or wages have been paid to employees, including the members of the committee, during the year. During the year, Trustees were reimbursed expenses of £Nil (2022: £Nil).
11. NET OUTGOING RESOURCES FOR THE YEAR
| This is stated after charging: Depreciation TANGIBLE FIXED ASSETS COST As at 1 April 2022 Additions At 31 March 2023 DEPRECIATION As at 1 April 2022 Charge for the period At 31 March 2023 NET BOOK VALUE At 31 March 2023 At 31 March 2022 |
Equipment £ 33,752 - 33,752 15,249 1,857 17,106 16,646 18,502 |
2023 £ 7,857 Thames Sailing Barge £ 300,000 - 300,000 60,000 6,000 66,000 234,000 240,000 |
2022 £ 7,790 Total £ 333,752 - 333,752 75,249 7,857 83,106 250,646 258,502 |
|---|---|---|---|
12. TANGIBLE FIXED ASSETS
The Thalatta is insured for £470,600. The sailing barge was revalued in the year-ended 31st March 2012 at the net realisable value of £300,000 which has now been treated as the base cost and is being depreciated over 50 years. The Trustees consider the value as continuing to be appropriate and no impairment review is necessary. As part of the HLF funding it took a legal charge over Thalatta which is only exercisable should the Trust be unable to continue to operate for any reason.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 MARCH 2023
| 13. DEBTORS Trade debtors Prepayments and accrued income Other debtors - gift aid VAT 14. CREDITORS: Amounts falling due within one year Trade creditors Accruals Deferred income VAT |
2023 £ 11,891 4,594 552 - 17,037 2023 £ 1,253 2,247 29,775 31 33,306 |
2022 £ 2,030 4,502 583 485 7,600 2022 £ 1,589 1,965 7,717 - 11,271 |
|---|---|---|
Deferred income relates to fees received in advance for sailing trips that took place after the year end. All deferred income brought forward was released in the current year.
15. CONTINGENT LIABILITY
As is usual practice were Thalatta to be sold, or in certain other circumstances, restoration grants previously made by HLF could become repayable. In the event of a sale it is likely that the sum becoming repayable could absorb, but be limited to, the whole sale proceeds. As stated in Note 12, HLF has a charge over Thalatta to secure any sums which might become payable.
16. RESTRICTED FUNDS
| a) Schools promotion and assistance b) Barge fixed asset fund c) Hedley Fund |
Balance at 1 Apr 2022 £ 965 7,946 4,330 13,241 |
Incoming Outgoing £ £ - - - (795) - (400) - (795) Movement in res |
Transfers £ - - (2,000) (2,000) ources: |
Balance at 31 Mar 2023 £ 965 7,151 1,930 10,046 |
|---|---|---|---|---|
a) Bursaries may be awarded to assist schools meet the costs of sailing courses.
b) Fixed assets purchased from restricted grants and donations. Depreciation is charged to the fund over the life of the assets.
c) The Hedley Fund awarded a grant of £4,330 towards the cost of two new life rafts for the sailing barge.
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2023
16. RESTRICTED FUNDS (cont'd) - PRIOR YEAR
| a) Schools promotion and assistance b) Barge fixed asset fund c) National Lottery Heritage Fund d) Hedley Fund e) Other restricted donations |
Balance at 1 Apr 2021 £ 965 8,829 - 4,330 - 14,124 |
Incoming Outgoing £ £ - - - (883) 12,600 (12,600) - - 2,600 (2,600) 15,200 (16,083) Movement in resou |
Transfers £ - - - - - rces: |
Balance at 31 Mar 2022 £ 965 7,946 - 4,330 - 13,241 |
|---|---|---|---|---|
a) Bursaries may be awarded to assist schools meet the costs of sailing courses.
- b) Fixed assets purchased from restricted grants and donations. Depreciation is charged to the fund over the life of the assets.
c) The National Lottery Fund was provided to support the turst for the loss of income during the pandemic.
d) The Hedley Fund awarded a grant of £4,330 towards the cost of two new life rafts for the sailing barge. e) A donation was received in the year for the purchase of a new foresail.
17. UNRESTRICTED FUNDS
| General unrestricted funds 2022 |
Balance at 1 Apr 2022 £ 271,823 284,770 |
Incoming Outgoing Transfers £ £ £ 31,937 (55,273) 2,000 36,138 (49,085) - Movement in funds: |
Balance at 31 Mar 2023 £ 250,487 271,823 |
|---|---|---|---|
18. ANALYSIS OF NET ASSETS (between restricted and unrestricted funds)
| Current year Restricted Unrestricted Prior year Restricted Unrestricted |
Tangible fixed assets £ 7,151 243,495 250,646 Tangible fixed assets £ 7,946 250,556 250,712 |
Other net assets £ 2,895 6,992 9,887 Other net assets £ 5,295 21,267 34,352 |
Total £ 10,046 250,487 260,533 Total £ 13,241 271,823 285,064 |
|---|---|---|---|
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EAST COAST SAIL TRUST COMPANY LIMITED BY GUARANTEE
NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 MARCH 2023
19. RELATED PARTIES TRANSACTIONS
There were no related parties transactions requiring disclosure during the year.
20. COMPANY LIMITED BY GUARANTEE
The company is limited by guarantee and does not have share capital. In the event of the company being wound up the liability of the members is limited to £10.
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