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2021-02-28-accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE) REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE) Reach ANNUAL REPORT AND ACCOUNTS 2020-21 Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Contents

Annual Report 3
Purpose and Impact 3
Highlights of 2019-20 3
Resources 6
Values and Principles 9
Governance and Decision-Making 10
Trustees’ Responsibilities 12
Administrative Details 14
Accounts 14
Independent Examiner’s Report 15
Statement of Financial Activities 17
Balance Sheet 18
Notes on the Financial Statements 19

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

ANNUAL REPORT 2020-21

The Trustees, who are also Directors of the charity for the purposes of the Companies Act 2006, are pleased to present their annual report, together with the financial statements for the charity for the year ending 28 February 2021.

Purpose and impact

Reach was set up to provide support for children with upper limb differences , to help them feel comfortable in their own skin and to live their lives without limits. The wording of our charitable purposes in our Articles of Association is: ‘the relief of children with upper limb deficiencies’.

The main activities we carry out in support of these charitable purposes are:

In shaping our objectives and activities, the Trustees have considered the Charity Commission’s guidance on public benefit, including the guidance ‘Public Benefit: running a charity’ (PB2).

Highlights of 2020-21

Reach activities were severely impacted by the COVID 19 virus and lockdown rules imposed. We have therefore had to look at new ways to serve our beneficiaries. The board is extremely grateful to the hard work and creativity of our Head Office staff, our network of branch coordinators and our wider group of volunteers for the effort and dedication they have displayed to ensuring that Reach can continue to operate – albeit mostly virtually – during 2020-21.

Organising events that bring children with upper limb differences together

Branch activities

In-person branch activities were unable to happen this year because of the lockdown rules. Instead, Head Office staff and local Branch Coordinators worked hard to ensure contact with members was regular. A number of branches put on virtual Christmas parties. These went down a storm and members really appreciated the extra effort put in to making them happen and the ability to ‘meet’ other Reach children and families.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Reach Buddies

We recognise that, for our beneficiaries, one of the most important services Reach provides is an opportunity to meet up with others with similar limb differences, to know that they are not alone. With this being impossible during lockdown, a Reach ‘Buddies’ project was set up to link pairs of children so that they would be able to engage with each other on a one to one basis, in whatever fun way they can, through letters, Zoom, emails, or phone. Initially built around age and interest, we have now buddied over 100 children, and many have met up as the lock down restrictions have reduced.

Reach Activity Week

Reach Activity week was delivered virtually via a private Facebook group. Each child received a ‘Challenge pack’ with details of the week’s challenges and some goodies. Each day the challenges and activities were posted up for children to take part in. Including: Design a RAW logo! , Film Night, Design a RAW T shirt competition, Tuesday challenge 20 repetitions of a physical activity, a Talent Show (15 second video clips, TikTok style), Art Challenge, Dragon’s Den Challenge, a mini self-reflection story, Q&A with Claire Cashmore, Paralympian and Reach Ambassador. Claire also announced the winners of all the competitions.

Mentors included Joanna Neal, Claire Hermon, Julie Dethridge, Tony Addison, Jess Potts, Rebecca Hooley and Tom Crow. Each one was DBS checked and undertook safeguarding training.

Reach oRchestRa

Taking advantage of the ‘new normal’ of virtual operations, Reach founded its own virtual orchestra this year, bringing together musicians with upper limb differences from across the country (together with a few friends and family hangers on). As well as contributing impressively to our annual fundraising (raising more than £1,800 as part of the 2.6 Challenge), the oRchestRa has showcased musical talent, ably busting the myth that those with upper limb differences struggle to play musical instruments to a high standard. The oRchestRa achieved wider recognition at the end of the reporting period, being shortlisted in the ‘Excellence in SEND’ category of the national Music and Drama Awards 2021, a title they went on to win in March 2021. You can see the Reach oRchestRa’s performances on our YouTube channel. https://youtu.be/cjdlsquk8xE

Annual Family Weekend/Day

Reach’s traditional Annual Family Weekend became Reach Annual Family Day. We worked with Reach member James Jones to create a bespoke password-protected virtual platform. Over 1,000 Reach members joined us on the day, the most inclusive event we have ever held, making our Annual General Meeting more accessible to members than it has been before. Speakers included: Reach Ambassador Alex Brooker, Lauren Steadman, withinReach editor Max Swinhoe, leadership consultant Miles Harrison, TV’s Bake Off star Briony Williams, and teacher and mental health practitioner Jennie Sands. We also had panel discussions that focused on competitive e sports and social media influencing, as well as a panel featuring our Reach Ambassadors – Frank Letch, Claire Cashmore and Alex Brooker – and a health professionals panel. The Reach oRchestRa also wowed us all with joint and solo performances, including ‘Bring Me Sunshine’ and ‘Reach for the Stars’. Workshops were available in the week running up to the day, including Baby Sensory, Karate Moves, Dance City and Reach Bake Off with Briony Williams.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Bursaries

In 2020-21, we received two bursary applications and the Reach bursary panel awarded both of them, together totalling £625. One covered the purchase of a musical instrument, to support a child with a limb-difference pursue an activity that was of particular importance in building his self-confidence. The other was for a lightweight, compact laptop so the child was able to undertake school work and transport the laptop to and from school. The board plans to review and revitalise the bursary scheme, working closely with the bursary panel, during 2021-22, to ensure that it is targeted in the best way to deliver public benefit and help a wide range of potential beneficiaries live their lives without limit.

Providing support to parents of children with upper limb differences

Our Head Office team continues to offer telephone and email support to existing members and prospective new members as well as dealing with queries from the general public and from health professionals. We are also grateful to the many Reach members who allow us to pass on enquirers to them, providing new parents with access to experience and support other members of the limb difference community.

With no possibility of meeting other parents face to face, Reach’s networking support has focused primarily on social media this year. The Head Office team have continued to manage a main Reach closed Facebook group, membership of which has increased to over 900 members (from 790 last year). In addition, WhatsApp groups were set up for branch/joined branch members to keep in touch during the pandemic. These are now set up in across all Branches. We have also set up wider ‘Parents’ and ‘Bilateral’ WhatsApp groups that go beyond the local branch networks, recognising in particular the additional challenges faced by children with bilateral limb differences and the fact that there may not be other bilateral children in their local branch area.

Public information and advice

Reach#Insights – Webinars

Reach successfully bid for grant funding from the Charities Aid Foundation’s Resilience Fund, which enabled us to ‘reach’ out to our members and the Limb Difference community plus Health Professionals and offer support to them during the period of lockdown January to May 2021. The webinars offered advice, knowledge and experiential support on topics from Disability Living Allowance, handling negative responses, hand surgery and driving lessons to advice on different types of prosthetics, parents’ perspectives, life experiences from adults with limb differences on topics such as sporting achievements and acting careers, information on charities that make adaptations for free and information on university research into brain plasticity. In total 18 webinars were broadcast on a bespoke platform. Webinars are still available for people to view here, and will be used going forward as resources for those who ask for advice on specific topic areas that were covered.

Social media

Reach continues to be active on social media. In addition to the closed networking opportunities available for parents and other members on closed social media groups, Reach has also increased its presence on public social media. Our open Facebook page has over 4,000 followers and posts reaching up to 30,000 people in some months. Our Instagram account has nearly 3,000 followers, more than 2,000 followers on Twitter and a further 77 on LinkedIn (a platform we are looking at to try and encourage corporate support for Reach from the business sector). All these platforms allow us to increase public awareness of upper limb differences, and the support available, and to reach potential new members, health care professionals and potential funders.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

The continued need for public information and awareness raising, in order to tackle discrimination and prejudice, was highlighted by the ill-judged decision by Warner Bros to use a hand difference as the sign of a witch in their remake of Roald Dahl's 'The Witches'. Reach and its members took part in the global social media campaign #notawitch, which challenged the use of their disability as a symbol of evil and spread the word about the damage that such stigma can do, particularly to young children. The campaign prompted Warner Bros to issue an apology for the offence caused, and Anne Hathaway (who played the Grand High Witch in the film) publicly apologised and promoted the #notawitch hashtag to help raise awareness of limb difference and campaign against stigmatising it.

Resources

Reach’s work is funded primarily through charitable fund-raising and donations, which accounts for just over 84% of the charity’s income when Gift Aid is taken into account. The majority of this has come from fundraising activities by our members. This is supplemented by income from membership fees. The charity does not usually receive any government or public funding, but this year received a grant of £10,000 from West Devon Borough Council, as part of the covid business grant scheme.

Fundraising in 2020-2021

As mentioned in last year’s Annual Report, we had planned to refocus our fundraising activity through widening the range of grants we have applied for, rather than continuing to rely on individual fundraising and donations. It has, understandably, been a challenging year for all charities, with increased competition for a limited pool of funds. We have, however, been extremely grateful for the awards and corporate donations we have received:

We continue to be in awe of the dedication and generosity of our individual fundraisers and donors, on whose efforts our charity’s operations depend, especially in this exceptional year.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

COVID-19 caused disruption for everyone, not least for the organisers and runners of the Virgin London Marathon, one of Reach’s traditional biggest fundraising events. For April 2020, Reach had six runners booked to take part but as we know this did not happen. Recognising the impact on charities, particularly small charities like Reach, the marathon organisers created an alternative fundraising challenge: the Virgin 2.6 challenge. We were blown away by our members embracing the 2.6 challenge, who managed to raise nearly £20,000 between them. Many children, adults and families took on board wonderful challenges including Soft Toy Raffle, walks, runs, cartwheels, 26 tasks with a ‘Hero Arm’, 26 paintings, 26 sporting activities (Claire Cashmore linked up with some of our Reach members to do this jointly via social media), aeroplane runs, 26 personal challenges, and of course the wonderful Reach oRchestRa creating a wonderful online/distanced performance of ‘Reach for the Stars’. .

The marathon was not completely abandoned. On Sunday 4th October the London Marathon 40th Race became the all-inclusive global Virtual London Marathon. Not all of our six original runners could take part in this, but at very short notice Jason Smith and Karen Messenger kindly put themselves forward, stepping up to the challenge! They joined John Desbois, Donna Baldwin, Melissa Stonard, and Hannah Smith - all taking part in the virtual race! All successfully completed the 26.2 miles in fantastic times, Hannah running the amazing time of 3:24 hrs. A big thank you to all our runners and a huge well done for raising over £6,000 between them.

Every single one of these fundraising efforts and donations makes a huge difference to Reach’s ability to continue to provide support for children with upper limb differences and help them live their lives without limits. Thank you to all of our fundraisers and donors for their continued support of Reach.

Financial report

Having reported a deficit for the past few years as part of a programme of planned losses as we reinvested donations in expanding services and dealt with unexpected recruitment costs, we are pleased to report a net surplus this year. While this is very welcome news for the charity, it is important to recognise that this reflects, in very large part, the extraordinary nature of the year and the restrictions it placed on us being able to operate as normal. Key reasons behind this year’s outturn are:

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

In the coming financial period, the board will continue to focus on widening the range of grants and other new opportunities to increase revenue to continue to create a more stable income base. We will also be looking at our programme events and activities to ensure we are getting best value for money and maximising the public benefit we achieve.

Reserves policy

As a charity, Reach’s first duty is to its beneficiaries - current and future. All the charity’s money must be spent to support the charitable purposes set out in our Articles of Association, namely “to promote the relief of children with upper limb deficiencies”.

The board of trustees has a duty to act in the interests of the charity’s current and future beneficiaries, including ensuring that the charity is capable of meeting all its contractual obligations and liabilities. This means, at the most extreme, ensuring there are sufficient funds held in order to cover the cost of winding up the charity, should this prove necessary at some future date.

It also means taking steps to protect the charity against future reductions in income – the equivalent of a ‘rainy day’ fund, that would enable the charity to continue to operate in support of its beneficiaries in the event of its income ceasing or being significantly reduced. A small charity like Reach is very vulnerable to changes in the fundraising environment, as the covid-19 restrictions have demonstrated. It is important to protect the charity’s services to its beneficiaries to enable them to continue, as far as possible, despite reductions in income.

The board has considered the particular circumstances of Reach, and assessed that it would be appropriate to retain enough money in our unrestricted funds to cover the cost of half a year’s operating costs plus the anticipated cost of winding up the charity in the - hopefully very unlikely - event that this should prove necessary.

This means maintaining unrestricted reserves of at least £135,000.

The authorisation of the full board of trustees is required to approve any expenditure that would erode reserves below that target level.

This policy will be reviewed by the Board on an annual basis.

The balance sheet unrestricted reserves are shown as £210,006. This figure is currently above our target of £135,000, reflecting a combination of very welcome unexpected income from generous legacy bequests during 2020-21 and the challenges of organising live events (and therefore spending money) during the covid-19 restrictions. We anticipate it reducing to the target level once it becomes possible to organise live events more regularly again.

Restricted funds

The charity holds £13,200 as restricted funds.

This sum (out of an original donation of £15,000) was donated to Reach to fund specific research. The funder has expressed the wish that this fund be maintained for research into the causes of congenital limb differences. The fund is insufficient to commission a research project and despite efforts over a long period, we have been unable to identify any ongoing research project that meets the fund’s aims.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Values and Principles

Central to the way we operate are our values and ethical principles, which are at the heart of everything we do within Reach.

Values

Ethical principles

More detail on the way we apply our ethical principles is published on the charity’s website here.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Governance and Decision-making

Reach is a company limited by guarantee and is registered as a charity with both the Charity Commission for England and Wales and the Office of the Scottish Charities Regulator. We are governed by our Memorandum and Articles of Association. Our Articles of Association are available on our website here.

Responsibility for the overall administration of the charity lies with the trustees. Together they make up the Trustee Board. Trustees are elected by members of the charity at the annual general meeting but may additionally be co-opted in-year to fill particular skills gaps on the board. Any co-opted trustee is subject to election by the members at the next annual general meeting. Trustees serve for a period of three years but can stand for re-election by members at an annual general meeting if the rest of the Trustee Board supports their nomination.

The Trustee Board elects, from its members, three officers: a chair, a vice-chair and a treasurer. The board met on a monthly basis for the majority of 2020-21, recognising the potential risk to the charity’s income and ability to fulfil its charitable purposes posed by covid-19 and the restrictions in place. Since January 2021, the board has reverted to quarterly meetings. In addition, its sub-committees meet to discuss issues in more detail in order to advise the board. In the early part of 2020-21 the board had sub-committees to advise on:

In January 2021, the sub-committee structure was revised, and the board subsequently had sub-committees to advise on:

The board aims to make decisions by consensus but, in the rare event that this is not possible, decides matters on a majority vote. All trustees are bound by the principle of collective responsibility – that is to say that they have agreed to accept a decision of the board, even if this was not their original view.

The board delegates the majority of the day to day operational management of the charity to the National Coordinator. The board delegates decisions on the award of bursaries to the Bursary Panel.

The board has a risk register for overseeing and managing risks to the charity’s operation. This is reviewed at least quarterly, and more frequently as events require.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

In December 2019, the board agreed strategic priorities for the charity for 2020-25:

In 2020-21, our progress against each of these has been hampered somewhat by the restrictions associated with covid-19, but we have been pleased to make a useful start. In addition to the activities listed on page 3 to 6, we have increased our marketing effort, seeking to reach new audiences through social media, harnessing our members’ voices to speak out powerfully and raise awareness of limb difference in a positive and inspiring matter; and we have made use of digital technology to create virtual connections between beneficiaries. Behind the scenes, we have invested in a new Customer Relationship Management (CRM) system, to improve

communications with stakeholders and streamline administrative operations within the Head Office; and we have made important strides in improving our corporate governance systems and policies, bringing these into line with the regulators’ requirements and current charity law. This includes a decision to establish a sister charity operating in Ireland, which we hope will be operational by the end of 2021-22.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

Trustees’ Responsibilities

The trustees (who are also the directors of Reach Charity Limited for the purpose of company law) are responsible for preparing the Trustees’ report and financial statements in accordance with applicable law and regulations.

Company and charity law requires the trustees to prepare financial statements 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 the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period.

In preparing financial statements, the Trustees are required to:

The trustees are responsible for keeping proper 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, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Act 2011. 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.

Accounting standards

The financial statements attached to this report comply with the requirements of Charities Act 2011, the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005, the Articles of Association, 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 (FRS 102, effective 1 January 2015) .

In preparing this report, the Trustees have taken advantage of the small companies’ exemption provided by section 415A of the Companies Act 2006.

Going concern assessment and Covid-19

As part of their responsibilities, the trustees are required to assess whether the charity is a ‘going concern’ - that is to say, whether it is in a position to continue operating for at least 12 months at the point that the annual report and accounts are signed off.

As is apparent the movement restrictions imposed as a result of the Covid-19 pandemic have had a significant impact on Reach and most other charities throughout 2020-21.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

We reported last year a concern that our fundraising would be hard hit. In fact, through a concerted effort and with the help of our supporters, our fundraising did not suffer as much as we had feared, and reported an increase in 2020-21.

We also took steps to reduce our costs in 2020-21, including taking advantage of the UK Government’s furlough scheme (which enabled us to furlough each of the Head Office staff in rotation, providing a saving to the charity on salary costs), successfully applying for a local authority covid support grant, continuing to have our trustee meetings online (something that we intend to continue longer-term, as it has wider benefits in addition to cost saving), and managing contract bookings carefully in order to accrue costs in this reporting year to reduce future liabilities.

The movement restrictions reduced our capacity to run events. This was something of a double-edged sword for our charity. On the one hand, it significantly reduced our outgoings. But on the other hand, these events are also the main way that we fulfil our charitable purposes and are such an important part of the life of the charity. We have organised events online wherever possible, to maintain support for membership through our social media networks and telephone support. We recognise, however, that the value of these - especially for our youngest beneficiaries - is more limited than face-to-face gatherings.

The trustees are satisfied that we have taken all reasonable steps to protect the charity’s resources and to find ways of continuing to further our charitable purposes given the constraints and uncertainties created by the Covid-19 pandemic.

Having considered the financial position at the point of signing off this annual report and accounts, and noting that our unrestricted reserves currently stand significantly in excess of the target within our reserves policy, we consider that Reach remains a going concern. However, we note that uncertainties remain as a result of Covid-19, in particular that fundraising and donations are significantly down this current year (2021-22) and so will need to keep the financial position, and the charity’s status as a going concern, carefully under review in the months and years ahead.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARTfY LIMtrED (A COMPAt4Y LIMrrED BY GUARAPITEE) Administrative detsils Campary name: Reach Charity bmited Charfty rnslstratkn numbers: 1134544 (England & wa￿$) SC049805 Iscottandl Company rn8lstrallon mimber: 07054164 Re*Ster￿ oflke and prlndpal olfice: Pearl Assurance House. Tavi5tock Enterprise House. Brook StTeeL Tavistock, Devon PL19 OBN Tntytees and Dlrectors: The dirertors of the charitable company a￿ its trustees for the purposes of Char￿ law. The trnstees and Offi￿r5 in post at the polnt at which this ￿POrt was adopted were.. cla￿ Salters Ichairl Lee Gwillkam Ivwhair) Joanria Dixon Itreasurerl Julie Dether Alice Gair Ruth Lester Lorraine UFarrell Mackev Flavkni Serrano Sam Young appointed 2411012020 appointed 2411012020 appointed 071(￿/2020 Other trustees who ser4ed duri￿ the reporting period we￿. Chris Fuoco resigned 2411012020 Lisa Kel resigned 24/ion020 Deborah Bond. Natw)nal Coordinator and Company Secretary Independent Examlner: Andrew Wing Accountsnts: Wings. Chartered Accountants. Unlt l. Pearl. Assuran￿ House. Elbow Lane. Tavistock, De¥on. PL19 OBG Bankers: CAF BanK 25 Ki￿S Hill Avenue. Kings Hill. West Mallin& KenL ME19 4JQ Co-opeTatr¥e BanK P.0. Box 101, l Balloon Stree( Manchester M60 4EP In preparing this report. the Trustees have taken advantage of the small companies. eXeMPt￿n provided bv section 415A of the Companies Act 2LK6. This report was approved by the trustees on 3 Ortober 2021 and 58ned on thelr behaff by: Clare Sakers- Chair Joanna Dixon- Treasurer 14 Reach Charity Limrted 2020-21 Annual Rewrt and Atcwnts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

ACCOUNTS 2020-19

INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 28 FEBRUARY 2021

INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS

FOR THE YEAR ENDED 28 FEBRUARY 2021

I report to the charity trustees on my examination of the accounts of the company for the year ended 28 February 2021, which are set out on pages 11 to 22.

This report is made solely to the Trustees, as a body, in accordance with section 145 of the Charities Act 2011 and regulations made under section 154 of that Act and Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. My work has been undertaken so that I might state to the 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.

Responsibilities and basis of report

The charity’s trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the accounts in accordance with the requirements of the Charities and Trustee Investment (Scotland) Act 2005 (‘the 2005 Act’), The Charities Accounts (Scotland) Regulations 2006 (as amended) (‘the 2006 Accounts Regulations’) and 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 charity’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

Since the charity is required by company law to prepare its accounts on an accruals basis and is registered as a charity in Scotland your examiner must be a member of a body listed in Regulations 11(2) of the 2006 accounts regulations. I can confirm that I am qualified to undertake the examination because I am a registered member of ICAEW, 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:

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARrrY UMrrED (A COMPANY LIMrrED BY GUARANTEE) shoukl LE dtBwn in this repJt In crder to a prcw Andrew Wlng FCA Wlngs, charter￿ AcccMJntants Unit i, Peart A￿raT￿e Hou￿, Elbow Lane Tavistc(K PL19 OBG . 2Lkq LloJ•&d- Lz( 16 Reach Charity Limited 2020-21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

STATEMENT OF FINANCIAL ACTIVITES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 28 FEBRUARY 2021

Note
Income:
Donations and legacies
2
Income from charitable activities
3
Income from other trading activities
4
Investment Income
5
Total Income
Expenditure:
Raising funds
6
Charitable activities
7
Support activities
8
Total Expenditure
Net income/(expenditure) and
net movement in funds for the
year
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
225,423.
340.
26,940.
28.
252,731.
22,984.
79,048.
65,983.
168,015.
84,716
125,290
210,006		 Restricted
Funds
£
-
-
-
-
-
-
-
-
-
-
13,200
13,200		 Total
2021
£
225,423.
340.
26,940.
28.
252,731.
22,984
79,048
65,983
168,015
84,716
138,490
223,206		 Total
(restated)
2020
£
161,992
38,284
42,197
120
242,593.
25,175
170,525
74,521
270,221
(27,628)
166,118
138,490

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derives from continuing activities.

The notes on pages 13 to 22 form part of these financial statements

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Reach Charity Limited 2020 -21 Annual Report and Accounts

(A COMPAIIY UMrrED BY GIJARAlffEE) BALANCE SHEEr AS AT 28 FEBRiIARY 2021 2021 2020 Intsroible assets TaThJible assets io li 1.800 16.898 19,722 Stock Debtors Cash at bank aTrJ in Fkitkj 4324 10,973 12 19.355 231,912 133.995 Credltorn amounts falllng due wltl one year Net current 48s¢ts 15 The lunds of the charlty unre5lrK￿ incon funds 15 15 210.rJ)6 125,290 The Trustees considw that Cl¥n￿7rty is entitl8J ID exemptmx) the ￿lren￿ts to have an aLKlri under provisors of ￿tiOn 477 of the c￿7pan￿S Art 21￿ arKJ rr￿rnt￿rS have rM)t ￿UIr￿1 the company to obtain an audit of rts accounts for ￿ year in qw5tM)n in ￿c(Ada￿ with S￿ 476 of ￿ ALI. The Trustees athr¥)vA therr resr#JL9LNIty ts o)mthiTrJ ith ts reqLMre￿vts of Companies Att 2￿6 reSp￿t to acC￿nti￿j records aThJ for weparirrfj vhmch gi￿ a tn￿ arml fair view of the stste afPdif5 of the company as at 29 Fet￿ary 2020 of ts ￿ re9)￿￿s VEar in aoThlarKe with the r￿U1rem￿ts of S￿LI0￿5 394 aThY 395 Act arxl whth LheTh¥ise comtty with ￿ rvlu1rer￿ of the Companies Act 2(KK) reblirKJ to finarKial ststements. so fw as aFWKalk to the comparry. fina￿al slatements haNE weparal in ￿rKe ¥Mth ttE kwi90ns aPFdh7ble to small oJmpans within Part 15 of Comparmes Act 2((J6. The fiTh3rKial ststenwtts ve ty ttE Tnthes ￿ d Octoter 2021 aNI ggwj on tsr behalf. bv.. - o￿lf Jo Dixon- Treasurer notes on ￿e$ 19 to 27 part of ttrE5e finalbi￿ statenvts 18 Reach Charrty Limited 2020-21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

NOTES OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 28 FEBRUARY 2021

1. Accounting policies

1.1 Basis of preparation of Financial Statements

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 (FRS102) (effective 1 January 2015) – (Charities SORP (FRS102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) and the Companies Act 2006.

Advantage has been taken of disclosure exemptions as set out in FRS102.1.12 from the requirement to produce a cashflow statement.

Reach Charity Limited meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

1.2 Company Status

The company, which was incorporated in the United Kingdom, is a company limited by guarantee and has no share capital. The directors of the company are the Trustees named on page 14. In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per member of the company.

1.3 Fund Accounting

General funds are unrestricted 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.

Designated funds comprise of unrestricted funds that have been set aside by the Trustees for particular

purposes.

Restricted funds are to be used in accordance with specific restrictions imposed by donors. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

1.4 Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met or when it is probable that the income will be received and the amount can be measured reliably.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

For pledges, entitlement is the earlier of the pledge being probable and measurable or the pledge being received.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED

(A COMPANY LIMITED BY GUARANTEE)

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income from trading activities is the amount derived from ordinary activities and is stated after trade discounts.

1.5 Irrecoverable VAT

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

1.6 Expenditure

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. Expenditure is classified under the following activity headings:

1.7 Apportionment of costs

The apportionment of costs between “Raising funds”, “Charitable activities” and “Support activities” has been done on the basis of the specific activities within each cost heading.

The following cost headings include activities covering more than one type of cost and have therefore been

apportioned as follows:

1.8 Intangible Fixed Assets and Amortisation

All assets costing more than £500 are capitalised. Intangible fixed assets are stated at cost less amortisation. Amortisation is provided at a rate calculated to write off the cost of the assets, over the expected useful life on the following basis:

Database - 5 years straight line

1.9 Tangible Fixed Assets and Depreciation

All assets more than £500 are capitalised.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over the expected useful lives on the following basis:

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED

(A COMPANY LIMITED BY GUARANTEE)

Recorders - 5% reducing balance Equipment - 10% reducing balance

1.9 Operating Leases

Rentals under operating leases are charged to the statement of financial activities on a straight line basis over the lease term.

1.10 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving items.

1.11 Debtors

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

1.12 Cash at Bank and in Hand

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

1.13 Creditors and Provisions

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

1.14 Foreign Currency

Profit and loss transactions in foreign currencies are translated into sterling at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the closing rates at the balance sheet date and the exchange differences are included in the profit and loss account.

1.15 Financial Instruments

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

1.16 Restatement of comparatives

Cost headings for 2020 have been restated to be presented separately as expenditure on raising funds, directly charitable activities and support costs. There have been no accounting adjustments and therefore no change in overall figures.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

2. Income from Donations and Legacies

Unrestricted
2021
£
Gifts and Donations (includes Grants and legacies)
187,811
Gift aid tax claimed/claimable
3,348
Membership Subs
34,264
225,423
3.
Income from Charitable Activities
Unrestricted
2021
£
Shared experience & Recorder sales
540
Family weekend
-
RAW Income
(200)
340
4.
Income earned from other trading activities
Unrestricted
2021
£
Fundraising events
1,446
Marathon/Running events
20,599
Challenge event
-
Deposits absorbed
1,259
Branches Income
1,344
Christmas cards
414
Advertising income
-
Miscellaneous income
1,878
26,940
5.
Investment income
Unrestricted
2021
£
Bank interest
28		 Unrestricted
2020
£
116,161
8,088
37,743
161,992
Unrestricted
2020
£
1,014
24,522
12,748
38,284
Unrestricted
2020
£
425
21,723
14,808
-
1,420
35
650
3,136
42,197
Unrestricted
2020
£
120

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

6. Analysis of expenditure on raising funds

Analysis of expenditure on raising funds
Promotional Item costs
Fundraising costs
PR adverts
Marathon/Running costs
Salaries & Wages
PAYE/NI
Employer pension contributions
Within Reach		 Unrestricted
2021
£
3,089
92
1,862
2,100
13,803
500
491
1,047
22,984		 Unrestricted
(restated)
2020
£
3,033
92
2,157
2,087
14,812
393
437
2,164
25,175

7. Analysis of expenditure on direct charitable activities

Family weekend
RAW expenditure
Camping weekend
Bursary grants paid
Salaries & Wages
PAYE/NI
Employers pension contributions
Branches expenses
Branch meetings
Volunteer expenses & training
Insurance costs
Within Reach
Exhibition costs
Prosthesis project		 Unrestricted
2021
£
4,716.
220.
-.
2,056.
22,085.
801.
785.
-.
8,230.
334.
5,400.
9,421.
-.
25,000.
79,048.		 Unrestricted
(restated)
2020
£
78,507
16,275
1,435
7,450
23,699
629
699
74
11,621
551
5,040
19,477
5,068
-.
170,525.

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

8. Analysis of expenditure on support activities

Salaries & Wages
PAYE/NI
Employers pension contributions
Other employee benefits
Staff travel expenses
Recruitment costs
Trustees’ travel expenses
Staff expenses & training
Trustee expenses other
Rent
Insurance costs
Telephone/fax/email
Postage
Stationery
Website & Computing
Subscriptions
Sundry office expenses
Depreciation
Amortisation
Accountancy & independent examination
Bank charges
Foreign currency (gains)/losses
Professional & consultancy fees
Bank interest payable
Trustees meeting expenses		 Unrestricted
2021
£
19,325.
700.
687.
266.
-.
-.
-.
200.
-.
5,325.
1,331.
900.
3,660.
197.
19,946.
237.
1,071.
1,024.
1,800.
2,740.
2,199.
(155)
4,528.
2.
-.
65,983.		 Unrestricted
(restated)
2020
£
20,736.
551.
612.
420.
310.
3,099.
437.
4,326.
2,515.
6,300.
939.
894.
7,265.
396.
5,082.
215.
473.
1,100.
2,748.
2,556.
2,929.
374.
6,051.
-.
4,193.
74,521.

9. Net Expenditure

This is stated after charging:

Depreciation of tangible fixed assets – owned by the charity
Independent examiners remuneration – current examiner
Independent examiners fees for non-compliance services –
current advisor
Independent examiners fees for non-compliance services –
previous advisor		 2021
£
2020
£
1,024
1,100
250
2,556
780
2,623
2,104
-

No payments were made to directors or any persons connected with them during the year (2020: £Nil). No material transaction took place between the organisation and a trustee or any person connected with them.

During the year no trustees were reimbursed for travelling and other expenses (2020: £3,211).

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

10. Staff Costs

Staff costs were as follows:

Wages and salaries
National Insurance costs
Pension contributions
No employees received emoluments in excess of £60,000.		 2021
£
55,213
2,001
1,963
59,177		 2020
£
59,247
1,573
1,748
62,568

The average monthly number of employees during the year was as follows:

Operations
Intangible fixed assets
Cost
As at 1 March 2020 and 28 February 2021
Amortisation
As at 1 March 2020
Charge for the year
As at 28 February 2021
Net Book Value
At 28 February 2021
At 29 February 2020		 2021
No.
2
2
Database
£
13,740
11,940
1,800
13,740
-
1,800		 2020
No.
3
3
Total
£
13,740
11,940
1,800
13,740
-
1,800

10. Intangible fixed assets

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

11. Fixed Assets

Cost
As at 1 March 2020
Additions
Disposals
As at 28 February 2021
Depreciation
At 1 March 2020
Charge for the year
Eliminated on disposals
As at 28 February 2021
Net Book Value
At 28 February 2021
At 29 February 2020
12. Debtors
Trade debtors
Prepayments and accrued income
Other debtors		 Recorders
£
23,137.
-.
-.
23,137.
7,861.
764.
-.
8,625.
14,512
15,276.		 Equip
ment
£
4,255
-
-
4,255
1,609
260
-
1,869
2,386
2,646
2021
£
240
19,114
-
19,354		 Total
£
27,392.
-.
-.
27,392.
9,470.
1,024.
-.
10,494.
16,898.
17,922.
2020
£
266
10,707
-
10,973

13. Creditors amounts falling due within one year

Trade creditors
Accruals
Deferred income
Other creditors		 2021
£
577.
638.
21,441.
2,948.
25,604.		 2020
£
2,558.
2,819.
6,278.
3,572.
15,227.

14. Deferred Income

Deferred income comprises amounts received for fundraising events that had not taken
end.
2021
£
Balance as at 1 March 2020
6,278.
Amount released to income earned from charitable activities
(-)
Amount deferred in the year
15,163.
Balance as at 28 February 2021
21,441.		 place at the year
2020
£
8,283
(8,283)
6,278
6,278

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Reach Charity Limited 2020 -21 Annual Report and Accounts

REACH CHARITY LIMITED (A COMPANY LIMITED BY GUARANTEE)

15. Analysis of charitable funds

Unrestricted Funds
General funds
Total unrestricted funds
Restricted Funds
Research fund
Total restricted funds
Total funds
Research Fund		 Fund
balances
brought
forward
£
125,290
125,290
13,200
13,200
138,490		 Income
£
252,731
252,731
-
-
252,731		 Expenditure
£
(168,015)
(168,015)
-
-
(168,015)		 Transfers
£
-
-
-
-
-		 Fund
balances
carried
forward
£
210,006
210,006
13,200
13,200
223,206

The research fund represents funds donated by a member for use at the discretion of the trustees in furtherance of research aspect of upper limb deficiency understanding.

16. Analysis of net assets between funds

Restricted Unrestricted Total Funds Total Funds
Funds 2021 Funds 2021 2021 2020
£ £ £ £
Intangible fixed assets - - - 1,800
Tangible fixed assets - 16,898 16,898 17,922
Current assets 13,200 218,712 231,912 133,995
Creditors due within one
year - (25,604) (25,604) (15,227)
13,200 210,006 223,206 138,490
Operating Lease Commitments
At 28 February 2021 the charity had total commitments under non-cancellable operating leases as follows:
2021 2020
£ £
Expiry Date:
Within 1 year 1,216 1,511
Between 2 and 5 years 4,865 4,865
After more than 5 years 608 1,520

17. Operating Lease Commitments

18. Related Parties

There were no related party transactions in the year (2020: £Nil).

19. Controlling Party: The charitable company is controlled by the board of Trustees.

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Reach Charity Limited 2020 -21 Annual Report and Accounts