Company registration number: 07042873 Charity registration number: 1134486
## Friends of Milnrow Parish
(A company limited by guarantee) Annual Report and Financial Statements
for the Year Ended 31 October 2021
## **Friends of Milnrow Parish**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 3|
|Statement of Trustees' Responsibilities|4|
|Independent Examiner's Report|5|
|Statement of Financial Activities|6 to 7|
|Balance Sheet|8|
|Notes to the Financial Statements|9 to 16|
## **Friends of Milnrow Parish**
## **Reference and Administrative Details**
## **Trustees**
Ivis Collins Geoffrey Cowling Andrew Harrison Walter Tann Stephen Tansey (resigned 21 June 2021)
The charity is incorporated in England and Wales. 07042873
**Company Registration Number** 07042873 **Charity Registration Number** 1134486
**Independent Examiner** Shaw Mitchell Partnership Limited Bank House 71 Dale Street Milnrow Rochdale Lancashire OL16 3NJ
Page 1
## **Friends of Milnrow Parish**
## **Trustees' Report**
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 October 2021.
## **Objectives and activities**
## _**Objects and aims**_
Friends of Milnrow Parish is a registered charity (no. 1134486) and a company limited by guarantee (no. 07042873). Its objective is to assist in the care and preservation of Milnrow Parish Church buildings and to improve the provision of facilities available to benefit the wider community of Milnrow.
## _**Objectives, strategies and activities**_
The Trustees are pleased to report that the charity has continued to make sound progress during the year. The majority of this year’s income has continued to be generated through Village Treasures, our 'boutique style' charity shop, which retails quality donated goods. Leading items include ladies wear, shoes, bags and accessories, children’s wear and toys, electrical and household items.
Whilst we rightly celebrate our success, there remain challenges. We must continue to work on growing our income, despite the pressure from competing local charities and other worthy causes and the restriction imposed by the physical size of our shop. And whilst we are able to effectively control our costs, developing the numbers of volunteers to an adequate level will take further time.
We look forward to overcoming the challenges ahead and the benefits we can achieve by us working together.
## _**Fundraising disclosures**_
Income for the year was £53,272 which was an increase of £5,285 on on the 2020 amount of £47,987. Covid lockdown restrictions resulted in the shop being closed for 17 weeks leading to the reduced income.
Charity funds increased by £22,821 during the year to £75,840 as there was no significant grants made during the year.
## _**Grant making policies**_
The charity aims to fulfil its objectives by providing a sustainable availability of funds for providing grant support. The trustees apply the funds of Friends of Milnrow Parish at their discretion and in accordance with the charitable purposes and objectives of the charity.
Grants of £357 were made during the year to Milnrow St James PCC.
## _**Use of volunteers**_
The Trustees recognise the crucially important role our volunteers play. Volunteers operate at all levels within the organisation, without whom, success would not have been possible. In addition, special thanks are also given to the friends who have helped in many ways by providing their time and resources to assist with the management, administration and development of Village Treasures and the Charity itself.
## **Structure, governance and management**
## _**Nature of governing document**_
Friends of Milnrow Parish is a registered charity (no. 1134486) and a company limited by guarantee (no 07042873). The initial group of our five Trustees have continued to kindly volunteer their time and resources to further develop the charity into a long term, viable fundraising organisation from which we hope, the entire community of Milnrow can ultimately benefit.
The charity is governed by its Memorandum and Articles of Association, which were adopted on formation of the company on 14 October 2009.
Page 2
## **Friends of Milnrow Parish**
## **Trustees' Report**
## _**Recruitment and appointment of trustees**_
During the year, Mr Stephen Tansey retired as a Trustee. Friends of Milnrow Parish would like to thank Stephen for his valuable contribution as both a founding Trustee and a volunteer at Village Treasures from its opening in October 2009.
The annual report was approved by the trustees of the charity on 26 July 2022 and signed on its behalf by:
......................................... Andrew Harrison Trustee
Page 3
## **Friends of Milnrow Parish**
## **Statement of Trustees' Responsibilities**
The trustees (who are also the directors of Friends of Milnrow Parish for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of 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 apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping 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 the trustees of the charity on 26 July 2022 and signed on its behalf by:
......................................... Andrew Harrison Trustee
Page 4
## **Friends of Milnrow Parish**
## **Independent Examiner's Report to the trustees of Friends of Milnrow Parish**
I report on the accounts of the charity for the year ended 31 October 2021 which are set out on pages 6 to 16 .
## **Respective responsibilities of trustees and examiner**
The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:
- examine the accounts under section 145 of the 2011 Act;
- to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
- to state whether particular matters have come to my attention.
## **Basis of independent examiner’s report**
My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.
## **Independent examiner's statement**
In connection with my examination, no matter has come to my attention:
- (1) which gives me reasonable cause to believe that in any material respect the requirements:
- to keep accounting records in accordance with section 386 of the Companies Act 2006; and
- to prepare accounts which accord with the accounting records, comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities
have not been met; or
- (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
...................................... Barry Shaw
Bank House 71 Dale Street Milnrow Rochdale Lancashire OL16 3NJ
26 July 2022
Page 5
## **Friends of Milnrow Parish**
## **Statement of Financial Activities for the Year Ended 31 October 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations and legacies
3
Other trading activities
4
Other income
6
Total Income
**Expenditure on:**
Raising funds
Grant funding of activities
7
Staff costs
7
Auditors' remuneration
7
Other governance costs
7
Total Expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
**Note**
**Income and Endowments from:**
Donations and legacies
3
Other trading activities
4
Investment income
5
Other income
6
Total Income
**Expenditure on:**
Raising funds
Charitable activities
7
Total Expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
Page 6|**Unrestricted**
**funds**
**£**
13,217
39,695
360
53,272
(161)
(357)
(780)
(300)
(28,853)
(30,451)
22,821
22,821
53,019
75,840
**Unrestricted**
**funds**
**£**
14,350
33,090
7
540
47,987
(703)
(35,464)
(36,167)
11,820
11,820
41,199
53,019|**Total**
**2021**
**£**
13,217
39,695
360|
|---|---|---|
|||53,272|
|||(161)
(357)
(780)
(300)
(28,853)|
|||(30,451)|
|||22,821|
|||22,821
53,019|
|||75,840|
|||**Total**
**2020**
**£**
14,350
33,090
7
540|
|||47,987|
|||(703)
(35,464)|
|||(36,167)|
|||11,820|
|||11,820
41,199|
|||53,019|
||||
## **Friends of Milnrow Parish**
## **Statement of Financial Activities for the Year Ended 31 October 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note .
Page 7
## **Friends of Milnrow Parish**
## **(Registration number: 07042873) Balance Sheet as at 31 October 2021**
|**Note**
**Fixed assets**
Tangible assets
15
**Current assets**
Cash at bank and in hand
**Creditors: Amounts falling due within one year**
16
**Net current assets**
**Net assets**
**Funds of the charity:**
**Unrestricted income funds**
Unrestricted funds
**Total funds**|**2021**
**£**
10
75,829
1
75,830
75,840
75,840
75,840|**2020**
**£**
60
53,217
(258)|
|---|---|---|
|||52,959|
|||53,019|
|||53,019|
|||53,019|
The financial statements on pages 6 to 16 were approved by the trustees, and authorised for issue on 26 July 2022 and signed on their behalf by:
......................................... Andrew Harrison Trustee
Page 8
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **1 Charity status**
The charity is a charity limited by guarantee 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 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) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
## **Basis of preparation**
Friends of Milnrow Parish 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.
## **Exemption from preparing a cash flow statement**
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
## **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 are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
## _**Grants receivable**_
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
## _**Investment income**_
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
Page 9
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
## _**Raising funds**_
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
## _**Charitable activities**_
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## _**Grant provisions**_
Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
## **Government grants**
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Tangible fixed assets**
Individual fixed assets costing £100.00 or more are initially recorded at cost.
## **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**
Fixtures and Fittings
**Depreciation method and rate** 20% on cost
Page 10
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **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.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.
## **Pensions and other post retirement obligations**
The charity operates a defined contribution pension scheme which 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 in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
## **3 Income from donations and legacies**
|Donations and legacies;
Donations from individuals
Grants, including capital grants;
Government grants
**4**
**Income from other trading activities**
Trading income;
Shop income from sale of donated goods and services
**5**
**Investment income**
Interest receivable and similar income;
Interest receivable on bank deposits|**Unrestricted**
**funds**
**General**
**£**
-
13,217
13,217
**Unrestricted**
**funds**
**General**
**£**
39,695
39,695|**Total**
**2021**
**£**
-
13,217
13,217
**Total**
**2021**
**£**
39,695
39,695
**Total**
**2021**
**£**
-|**Total**
**2020**
**£**
171
14,179|
|---|---|---|---|
||||14,350|
||||**Total**
**2020**
**£**
33,090|
||||33,090|
||||**Total**
**2020**
**£**
7|
Page 11
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **6 Other income**
||**Unrestricted**|||||
|---|---|---|---|---|---|
||**funds**|||||
|||**Total**||**Total**||
||**General**|**2021**||**2020**||
||**£**|**£**||**£**||
|Rental income|360||360||540|
## **7 Expenditure on charitable activities**
|**Note**
Grant funding of activities
Governance costs
8|**Unrestricted**
**funds**
**General**
**£**
357
29,933
30,290|**Total**
**2021**
**£**
357
29,933
30,290|**Total**
**2020**
**£**
828
34,636|
|---|---|---|---|
||||35,464|
£35,764 (2020 - £35,764) of the above expenditure was attributable to unrestricted funds and £Nil (2020 - £Nil) to restricted funds.
## **8 Analysis of governance and support costs**
## **Governance costs**
||**Unrestricted**|||||
|---|---|---|---|---|---|
||**funds**|||||
|||**Total**||**Total**||
||**General**|**2021**||**2020**||
||**£**|**£**||**£**||
|Staff costs||||||
|Pension costs|780||780||780|
|Audit fees||||||
|Other fees paid to auditors|300||300||300|
Page 12
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
|Wages and salaries
Staff welfare
Rent
Rates
Light, heat and power
Insurance
Repairs and renewals
Telephone and fax
Printing, postage and stationery
Trade subscriptions
Sundry expenses
Cleaning
Travel and subsistence
Bank charges
Depreciation of fixtures and fittings|**Unrestricted**
**funds**
**General**
**£**
13,200
164
10,055
95
2,237
729
348
20
377
-
121
78
137
1,243
49
29,933|**Total**
**2021**
**£**
13,200
164
10,055
95
2,237
729
348
20
377
-
121
78
137
1,243
49
29,933|**Total**
**2020**
**£**
14,337
109
10,586
22
3,261
698
906
60
715
584
171
185
120
1,751
51|
|---|---|---|---|
||||34,636|
Page 13
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **9 Grant-making**
## **Analysis of grants**
**----- Start of picture text -----**
Grants to institutions
2021 2020
£ £
Analysis
Milnrow St James PCC 357 828
The support costs associated with grant-making are £Nil (31 October 2020 - £Nil).
Below are details of material grants made to institutions by the
2021 2020
Name of institution Activity £ £
St James Parish Church PCC 357 828
10 Net incoming/outgoing resources
Net incoming resources for the year include:
2021 2020
£ £
Audit fees (300) (300)
Depreciation of fixed assets (50) (50)
11 Trustees remuneration and expenses
12 Staff costs
The aggregate payroll costs were as follows:
2021 2020
£ £
Staff costs during the year were:
Pension costs 780 780
The monthly average number of persons (including senior management team) employed by the charity during the year
expressed as full time equivalents was as follows:
2021 2020
No No
Average number of persons employed during the year 1 1
**----- End of picture text -----**
No employee received emoluments of more than £60,000 during the year.
Page 14
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **13 Auditors' remuneration**
|**Other fees to auditors**
The auditing of accounts of any associate of the charity|**2021**
**£**
300|**2020**
**£**
300|
|---|---|---|
## **14 Taxation**
The charity is a registered charity and is therefore exempt from taxation.
## **15 Tangible fixed assets**
|**Cost**
At 1 November 2020
At 31 October 2021
**Depreciation**
At 1 November 2020
Charge for the year
At 31 October 2021
**Net book value**
At 31 October 2021
At 31 October 2020
**16 Creditors: amounts falling due within one year**
Other taxation and social security
Other creditors||**Furniture and**
**equipment**
**£**
5,951||**Total**
**£**
5,951
5,951
5,891
50
5,941
10
60
**2020**
**£**
259
(1)|
|---|---|---|---|---|
|||5,951|||
|||5,891
50|||
|||5,941|||
|||10|||
|||60|||
|||**2021**
**£**
-
(1)
(1)|||
|||||258|
## **17 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 £780 (2020 - £780).
Page 15
## **Friends of Milnrow Parish**
## **Notes to the Financial Statements for the Year Ended 31 October 2021**
## **18 Analysis of net assets between funds**
|Tangible fixed assets
Current assets
Current liabilities
Total net assets|**Unrestricted**
**funds**
**General**
**£**
10
75,829
1
75,840|**Total funds**
**£**
10
75,829
1
75,840|
|---|---|---|
## **19 Analysis of net funds**
|**19 Analysis of net funds**||||
|---|---|---|---|
|Cash at bank and in hand
Net debt|**At 1 November**
**2020**
**£**
53,217
53,217|**Cash flow**
**£**
22,612
22,612|**At 31 October**
**2021**
**£**
75,829|
||||75,829|
Page 16