Registered number: 6535999 Charity number: 1133631
THE COTTAGE NURSERY
(A company limited by guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023
THE COTTAGE NURSERY
(A company limited by guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Company, its Trustees and advisers | 1 |
| Trustees' report | 2 - 7 |
| Independent examiner's report | 8 - 9 |
| Statement of financial activities | 10 |
| Balance sheet | 11 |
| Statement of cash flows | 12 |
| Notes to the financial statements | 13 - 24 |
THE COTTAGE NURSERY
(A company limited by guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 AUGUST 2023
Trustees
Vyvyan Attwood (appointed 23 June 2023) Ella Biggs David Russell (resigned 17 August 2023) Aideen Harold Clare Thomas (resigned 27 April 2023)
Company registered number
6535999
Charity registered number
1133631
Registered office
Alexander Hall Watchfield Swindon Wiltshire SN6 8TS
Senior Management
Clare Olden, Joint Manager Trudi Krzywiec, Joint Manager
Accountants
James Cowper Kreston Chartered Accountants Reading Bridge House George Street Reading Berkshire RG1 8LS
Page 1
THE COTTAGE NURSERY
(A company limited by guarantee)
TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2023
The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annual report together with the financial statements of The Cottage Nursery (the company) for the year ended 31st August 2023. The Trustees confirm that the annual report and the financial statements of the company comply with the current statutory requirements, the requirements of the company’s governing document and the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” issued in January 2015.
Since the company qualifies as ‘small’ under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Directors Report) Regulations 2013 is not required.
Objectives and activities
The Cottage Nursery offers day care, sessional care and pre-school education to children aged from 3 months to 5 years. This year over 60% of the nursery’s membership were families working or studying at the Defence Academy, a number of whom were international families. The remainder were children from the local communities of Watchfield and Shrivenham.
The aim of the nursery is to enhance the development and education of the children in its care by providing the best childcare available to the local community with a safe, secure and stimulating environment in which the children are encouraged to reach their full potential and where staff feel valued and engaged.
The nursery follows the Early Years Foundation Stage (EYFS) with its planning and children take part in activities that are both age and stage appropriate.
The Nursery keeps chickens (that provide a source of fresh eggs as well as having an educational benefit), and maintain planters that the children help to look after. There are regular walks into the locality of the Nursery which have provided an opportunity for children to see and learn more about nature. During the summer term, we offer a sports club facilitated by TA Sports Stars for our Lions and Panthers Room.
All children are treated equally, and British Values are embedded in the way the nursery runs, with all staff undertaking Prevent Duty training.
Page 2
THE COTTAGE NURSERY (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
Objectives and activities (continued)
Public benefit
The Cottage Nursery provides care for children from both the local community and the military families attending the Defence Academy. In so doing it welcomes children from all backgrounds and nationalities and supports children and families for whom, in some cases, their first language is not English.
The nursery supports any child with special education needs and has strong links with outside agencies provided by the local council. It also liaises with the local schools to aid the transition of children into the school system.
The nursery actively promotes a Healthy Eating Policy providing healthy snacks and a ‘home-cooked’ lunch. Help and support is offered to parents to develop their children’s eating habits.
The nursery will assist any parent who finds it hard to pay their nursery bill with a personalised payment plan, and will also offer support to vulnerable families.
The nursery offers 2-year old funded places and also offers places to all children eligible for the 3 and 4-year-old funding, both the statutory 15 hours and the extended 30 hours where parents meet the criteria.
It should be noted that the funding received for such places falls well short of the cost of actually providing those places.
No Trustee received any private benefit or any other remuneration from the Charity.
The Trustees have had regard to the Charity Commissions’ guidance on public benefit.
Page 3
THE COTTAGE NURSERY
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
Achievements and performance
The year ended 31st August 2023 saw the nursery keeping its own books and records for the 20th year running. The bookkeeping services are the responsibility of the nursery Managers.
The most recent Ofsted inspection was in June 2018 when the Nursery was assessed as ‘Good’. Since then the Nursery management and staff have continued to develop resources and best practice within the Nursery. This has been recognised by Oxfordshire County Council who now use the Nursery as an example of best practice for other providers.
It goes without saying that the Trustees are delighted with the continued progress of the Nursery which we recognise is down to the hard work and diligent efforts of the management and all of the staff. Whilst it would be a great achievement for the Nursery to be assessed as Outstanding it is our aim to ensure that ‘Good’ is maintained and that the Nursery continues to aim for best practice and a safe and caring environment for the children.
2022-23 have seen large investments into both the main play area and the Lions area. We were thrilled to be in a position to invest back into the nursery and see this as significant benefit to all the children.
In place of our usual Christmas concert, we were thrilled to be able to hold a Christmas art morning for our preschool children (Lions and Panthers). This was throughly enjoyed by all children, parents and staff. We also held an event at Easter and Sport’s day in the summer term followed by a family picnic.
The Lending Library and our ‘activity at home’ bags have continued throughout the year. We continue to grow and develop the library with parents encouraged as part of the ‘Parents in Partnership’ ethos to ensure that children take the opportunity to borrow the books in the library. The lending library for parents has also been available and readily used throughout the year.
The nursery has provided charitable support to a family who suffered a significant bereavement and again, we are pleased that we were in a position to help.
Thanks to the generosity of parents and others who have taken part in the various fundraising activities we have continued to develop the outdoor play and activity areas and also purchased more outside play equipment.
We continue to display the Recognition Board which provides the opportunity for parents and staff to thank and recognise staff who have gone over and beyond what might be expected. All parents are encouraged to add their comments to this Board when passing through the Nursery.
Unfortunately, due to power cuts across the Defence Academy, we had to fully close the nursery on two separate occasions, both for 24 hours. The power cuts render the fire alarms inactive which goes against our safety policy and risk assessments for both children and staff.
Financial review
A statement of the financial position and details of income and expenditure is provided to each Trustee meeting where it is reviewed by trustees and management. Reserves have been built up over previous financial years to cover redundancy and closure costs should the need ever arise to wind up the nursery. We also have £86,000 on deposit with the Charity Bank which not only diversifies our bank accounts but also pays a small amount of interest.
During the course of the year, to take advantage of current interest rates and to protect the overall assets of the Nursery we are looking to open a number of high interest accounts.
Fees are reviewed annually and are fixed at a level that is expected to raise sufficient revenue to cover all necessary expenditure whilst remaining competitive within the local area.
Page 4
THE COTTAGE NURSERY
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
The nursery receives Nursery Education Funding for qualifying 2, 3- and 4-year olds, however, as stated earlier the level of funding received, which is set by local government, is significantly below the nursery’s hourly rate. This is a matter which is beyond the nursery’s control.
The nursery is fully compliant with both the National Living Wage and Pension Auto-Enrolment. The significant increase in the National Living Wage has put an additional strain on the Nursery but we are delighted to report that a consistency in child numbers throughout the year at the Nursery, and prudent management of expenses has enabled the Nursery to once again make a operating surplus this year which the Trustees would like to see invested back into the nursery.
Although the encroachment status of the nursery continues to be reviewed annually, the Trustees remain grateful for the continued support of the Defence Academy with the provision of its building and main utilities. The Defence Academy has also been responsive to our maintenance needs and as a result we have well maintained buildings and facilities.
The nursery is run as a self-funding body.
Structure, governance and management
Constitution
The nursery is registered as a charitable company limited by guarantee (number 6535999).
The nursery is constituted under its Memorandum and Articles of Association dated 28th April 2008 (amendments made January 2011 and November 2018) and is a registered charity (number 1133631).
Organisational structure
The nursery is run jointly by two Managers, a Deputy Manager, a Supervisor and four Room Supervisors. All bookkeeping functions continue to be conducted in house however the payroll continues to be prepared by an outside Payroll Agency and a firm of Accountants is responsible for preparing the year end accounts.
Health & Safety is looked after jointly by the two Managers and the Senior Room Supervisor, all fire related checks and PAT testing are carried out by Serco.
There are four Safeguarding Officers, but all staff are trained on Safeguarding and Prevent.
The Managers report to the Trustees who meet regularly; minutes of these meetings are kept and are available to all staff and parents as they act as a record of the nursery’s official business. Nursery staff are represented at Trustee meetings by the nursery Managers, this ensures a good and open flow of communication. Declarations of Interest are recorded when applicable.
Training & induction of Trustees and staff
The responsibilities of the Trustees are documented in the constitution. Trustees are expected to serve a minimum of two years to a maximum of six years in post and are generally appointed from within the local community. Their appointment is ratified at the annual AGM. Trustees are expected to spend time during the working day at the nursery to familiarise themselves with the day to day operation and to meet the members of staff. Copies of the policies and procedures are made available to them. All Trustees are subject to the same level of checks, including DBS checks, as members of staff.
The majority of staff are qualified to a minimum of NVQ level 3 in childcare (or equivalent). However, staff are chosen not just for their qualifications but also for their individual caring skills. All staff are actively encouraged to continue to obtain new qualifications and further their learning. Safeguarding and first aid training are mandatory.
Page 5
THE COTTAGE NURSERY
(A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
Structure, governance and management (continued)
Risk Management
Regular risk assessments are carried out by the Managers, daily checks are done by the staff in all areas of the nursery.
The Trustees have assessed the major risks to which the nursery is exposed, in particular those related to the operations and finances, and are satisfied that systems and procedures are in place to mitigate exposure to major risks.
There are five lead Safeguarding Officers. Safeguarding and Prevent training is mandatory to level one for all staff. All staff must have a current DBS which is renewed every three years, they must also declare their suitability each term, this extends to ‘suitability by association’.
All outside agencies working regularly within the nursery are required to have a current DBS and must declare their on-going suitability. They must also have suitable insurance cover.
Both Managers and the Chair of the Trustees have completed ‘Safer Recruitment’ training and SR practice is followed with every new recruitment of both staff and Trustees.
Plans for the future
The management structure has worked well during the year and there are no plans to alter this.
In 2023-24 the plan is to consolidate the progress that has been made during the past few years and to continue to develop the outdoor facilities wherever possible.
Building work, which began on the nursery building in 2023-24, will continue. During the year we will refresh some of the décor both internally and externally and will also enhance the facilities and equipment in the rooms.
The kitchen will also get some attention to ensure it continues to be safely equipped to deliver the number of meals that are now required on a daily basis.
We will continue to invest in Training and development of staff so that they are not only fully equipped to meet statutory requirements but also in aspects of child development and care that extend the reach of the Nursery.
Page 6
THE COTTAGE NURSERY (A company limited by guarantee)
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
Statement of Trustees' responsibilities
The Trustees (who are also the directors of the Company for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the Trustees to prepare financial statements for each financial . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgements and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of Trustees and signed on their behalf by:
................................................................ Ella Biggs Trustee Date:
Page 7
THE COTTAGE NURSERY (A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 AUGUST 2023
Independent Examiner's Report to the Trustees of The Cottage Nursery ('the Company')
I report to the charity Trustees on my examination of the accounts of the Company for the year ended 31 August 2023.
Responsibilities and Basis of Report
As the Trustees of the Company (and 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 the Company's accounts 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
Since the Company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of The institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
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:
-
accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
-
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
-
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.
Page 8
THE COTTAGE NURSERY
(A company limited by guarantee)
INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023
This report is made solely to the Company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Company's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Company and the Company's Trustees as a body, for my work or for this report.
Signed:
Dated:
Alexander Peal BSc(Hons) FCA DChA
James Cowper Kreston Chartered Accountants Reading Bridge House George Street Reading Berkshire RG1 8LS
Page 9
THE COTTAGE NURSERY
(A company limited by guarantee)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 AUGUST 2023
| Note Income from: Donations and legacies 2 Charitable activities 3 Other trading activities Investments 4 Other income 5 Total income Expenditure on: Charitable activities 6 Total expenditure Net income Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted funds 2023 £ 50 530,240 350 887 96 531,623 497,407 497,407 34,216 34,216 378,481 412,697 |
Total funds 2023 £ 50 530,240 350 887 96 531,623 497,407 497,407 34,216 34,216 378,481 412,697 |
Total funds 2022 £ - 472,822 555 618 92 |
|---|---|---|---|
| 474,087 | |||
| 421,762 | |||
| 421,762 | |||
| 52,325 | |||
| 52,325 | |||
| 326,156 | |||
| 378,481 |
The notes on pages 13 to 24 form part of these financial statements.
Page 10
THE COTTAGE NURSERY (A company limited by guarantee) REGISTERED NUMBER: 6535999
BALANCE SHEET AS AT 31 AUGUST 2023
| Note Fixed assets Tangible assets 11 Current assets Debtors 12 Cash at bank and in hand Creditors: amounts falling due within one year 13 Net current assets Net assets Charity funds Unrestricted funds 14 Total funds |
40 316,724 316,764 (32,289) |
2023 £ 128,222 128,222 284,475 412,697 412,697 412,697 |
40 366,146 366,186 (10,997) |
2022 £ 23,292 |
|---|---|---|---|---|
| 23,292 355,189 |
||||
| 378,481 | ||||
| 378,481 | ||||
| 378,481 |
The Company was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
................................................
Ella Biggs Trustee Date:
The notes on pages 13 to 24 form part of these financial statements.
Page 11
THE COTTAGE NURSERY
(A company limited by guarantee)
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2023
| Note Cash flows from operating activities Net cash used in operating activities 17 Cash flows from investing activities Interest Purchase of tangible fixed assets Net cash used in investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 18 The notes on pages 13 to 24 form part of these financial statements |
2023 £ 68,048 887 (118,357) (117,470) (49,422) 366,146 316,724 |
2022 £ 57,756 618 (12,660) (12,042) 45,714 320,432 366,146 |
|---|---|---|
Page 12
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
1. Accounting policies
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (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 (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Cottage Nursery 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.
1.2 Company status
The charity is a private company limited by guarantee and incorporated in England and Wales. The address of its registered office and principal place of business is Alexander Hall, Watchfield, Swindon, Wiltshire, SN6 8TS. The members of the company are the parents who elect the Trustees named on page 1, to run the company on their behalf. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.
1.3 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Company and which have not been designated for other purposes.
1.4 Income
All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
The Nursery receives a grant each term from Oxfordshire County Council which pays for some children to receive up to 15 or 30 hours of care at the Nursery each week. The grant is applied for on a termly basis and is recognised in the financial statements when the Nursery becomes entitled to receive the income.
1.5 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity.
Expenditure on raising funds includes all expenditure incurred by the Company to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.
Page 13
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
1. Accounting policies (continued)
1.5 Expenditure (continued)
Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.
1.6 Donated services
The Defence Academy of the United Kingdom bears certain costs on behalf of the Cottage Nursery. These costs are not separate and identifiable from those of the Academy itself and have therefore not been recognised in the accounts as donated services but are disclosed here as such. Fundraising costs included in costs of activities to generate funds are included in donated services.
1.7 Value added tax
The Nursery is currently not registered for VAT therefore all VAT is written off to the Statement of Financial Activities as incurred.
1.8 Tangible fixed assets and depreciation
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives.
Depreciation is provided on the following bases:
- Fixtures and fittings 20% Straight Line - Computer equipment 20% Straight Line - Playground equipment 20% Straight Line
1.9 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.10 Cash at bank and in hand
Cash at bank and 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.
1.11 Liabilities
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company anticipates it will pay to settle the debt or the amount it as received as advanced payments for the goods or services it must provide.
Page 14
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
1. Accounting policies (continued)
1.12 Pensions
The Comapny operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.
The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance Sheet. The assets of the plan are held separately from the Company in independently administered funds.
1.13 Financial instrument
The 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.
1.14 Critical accounting estimates and areas of judgement
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Critical accounting estimates and assumptions:
The company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial tear are discussed below.
All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.
Tangible fixed assets:
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as the remaining life of the asset and the projected disposal values.
Page 15
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
2. Income from donations and legacies
| Unrestricted | Total | Total | |
|---|---|---|---|
| funds | funds | funds | |
| 2023 | 2023 | 2022 | |
| £ | £ | £ | |
| Donations | 50 | 50 | - |
3. Income from charitable activities
| Unrestricted funds 2023 £ Fees and deposits 433,598 Grants 96,642 530,240 Total 2022 472,822 Investment income Unrestricted funds 2023 £ Bank interest received 887 Total 2022 618 |
Total funds 2023 £ 433,598 96,642 530,240 472,822 Total funds 2023 £ 887 618 |
Total funds 2022 £ 365,515 107,307 |
|---|---|---|
| 472,822 | ||
| Total funds 2022 £ 618 |
||
4. Investment income
Page 16
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
5. Other incoming resources
| Other income Total 2022 |
Unrestricted funds 2023 £ 96 92 |
Total funds 2023 £ 96 92 |
Total funds 2022 £ 92 |
|---|---|---|---|
6. Analysis of expenditure on charitable activities Summary by fund type
| Unrestricted funds 2023 £ Nursery costs 494,154 Governance costs 3,253 497,407 Total 2022 421,762 |
Total 2023 £ 494,154 3,253 497,407 421,762 |
Total 2022 £ 418,361 3,401 |
|---|---|---|
| 421,762 | ||
Page 17
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
7. Analysis of expenditure by activities
| Nursery costs Governance costs Total 2022 |
Activities undertaken directly 2023 £ 494,154 - 494,154 418,361 |
Support costs 2023 £ - 3,253 3,253 3,401 |
Total funds 2023 £ 494,154 3,253 497,407 421,762 |
Total funds 2022 £ 418,361 3,401 |
|---|---|---|---|---|
| 421,762 | ||||
Analysis of direct costs
| Staff costs Depreciation Staff training and recruitment Nursery consumables Insurance Premises expenses Printing, postage, stationery and advertising Computer expenses Clothing costs Subscriptions Sundry expenses Bank charges Payroll charges Consultancy fees |
Total funds 2023 £ 427,512 13,427 1,782 32,144 2,678 3,078 490 322 651 1,308 8,008 145 1,409 1,200 494,154 |
Total funds 2022 £ 367,333 4,760 4,677 24,677 2,405 2,748 514 605 532 1,272 5,784 226 1,441 1,387 |
|---|---|---|
| 418,361 |
Page 18
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
7. Analysis of expenditure by activities (continued)
Analysis of support costs
| Governance costs 8. Independent examiner's remuneration Fees payable to the Company's independent examiner for the independent examination of the Company's annual accounts 9. Staff costs Wages and salaries Social security costs Other pension costs |
Total funds 2023 £ 3,253 2023 £ 3,445 2023 £ 389,277 28,860 9,375 427,512 |
Total funds 2022 £ 3,401 |
|---|---|---|
| 2022 £ 3,401 |
||
| 2022 £ 341,559 16,728 9,046 |
||
| 367,333 |
The average number of persons employed by the Company during the year was as follows:
| 2023 | 2022 |
|---|---|
| No. | No. |
| 19 | 22 |
No employee received remuneration amounting to more than £60,000 in either year.
During the year the remuneration and benefits received by key management personnel totalled £114,809 (2022: £106,816).
Page 19
THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
10. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).
During the year ended 31 August 2023, no Trustee expenses have been incurred (2022 - £NIL).
11. Tangible fixed assets
| Cost or valuation At 1 September 2022 Additions Disposals At 31 August 2023 Depreciation At 1 September 2022 Charge for the year On disposals At 31 August 2023 Net book value At 31 August 2023 At 31 August 2022 Debtors Due within one year Other debtors |
Fixtures and fittings £ 11,049 482 - 11,531 10,446 184 - 10,630 901 603 |
Computer equipment £ 2,056 - - 2,056 1,765 125 - 1,890 166 291 |
Playground equipment £ 70,805 117,875 (39,391) 149,289 48,407 13,118 (39,391) 22,134 127,155 22,398 2023 £ 40 |
Total £ 83,910 118,357 (39,391) 162,876 60,618 13,427 (39,391) 34,654 128,222 23,292 2022 £ 40 |
|---|---|---|---|---|
12. Debtors
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THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
13. Creditors: Amounts falling due within one year
| Trade creditors Other taxation and social security Other creditors Accruals |
2023 £ 19,940 7,958 1,841 2,550 32,289 |
2022 £ 486 7,877 - 2,634 |
|---|---|---|
| 10,997 |
14. Statement of funds
Statement of funds - current year
| Unrestricted funds General Funds - all funds Statement of funds - prior year Unrestricted funds General Funds - all funds |
Balance at 1 September 2022 £ 378,481 Balance at 1 September 2021 £ 326,156 |
Income £ 531,623 Income £ 474,087 |
Expenditure £ (497,407) Expenditure £ (421,762) |
Balance at 31 August 2023 £ 412,697 |
|---|---|---|---|---|
| Balance at 31 August 2022 £ 378,481 |
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THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
15. Summary of funds
Summary of funds - current year
| Balance at 1 September 2022 £ General funds 378,481 Summary of funds - prior year Balance at 1 September 2021 £ General funds 326,156 16. Analysis of net assets between funds Analysis of net assets between funds - current year |
Income £ 531,623 Income £ 474,087 |
Expenditure £ (497,407) Expenditure £ (421,762) |
Balance at 31 August 2023 £ 412,697 |
|---|---|---|---|
| Balance at 31 August 2022 £ 378,481 |
|||
| Unrestricted funds 2023 £ Tangible fixed assets 128,222 Current assets 316,764 Creditors due within one year (32,289) Total 412,697 Analysis of net assets between funds - prior year Unrestricted funds 2022 £ Tangible fixed assets 23,292 Current assets 366,186 Creditors due within one year (10,997) Total 378,481 |
Total funds 2023 £ 128,222 316,764 (32,289) |
|---|---|
| 412,697 | |
| Total funds 2022 £ 23,292 366,186 (10,997) |
|
| 378,481 |
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THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
17. Reconciliation of net movement in funds to net cash flow from operating activities
| Net income for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges Interest Decrease/(increase) in debtors Increase in creditors Net cash provided by operating activities 18. Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents 19. Analysis of changes in net debt At 1 September 2022 £ Cash at bank and in hand 366,146 366,146 |
2023 2022 £ £ 34,216 52,325 13,428 4,760 (887) (618) - (40) 21,291 1,329 68,048 57,756 2023 2022 £ £ 316,724 366,146 316,724 366,146 Cash flows At 31 August 2023 £ £ (49,422) 316,724 (49,422) 316,724 |
|---|---|
20. Related party transactions
There were no related party transactions in the year or the prior year.
21. Controlling party
The ultimate controlling party is the charity's Trustees as detailed on page 1 of the financial statements.
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THE COTTAGE NURSERY
(A company limited by guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023
22. Pension commitments
The charity operates a Stakeholder Pension Scheme for its employees. This is a money purchase or defined contribution scheme. The employer's contribution is 3% of the gross pay, and for the year totalled £9,375 (2022: £9,046). At the balance sheet date £1,841 (2022: £1,679) of contributions (employees and employers) were outstanding.
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