Chudleigh Knighton Pre-School Limited - 2021/22
CHUDLEIGH KNIGHTON PRE-SCHOOL LIMITED
Directors' report and Financial Statements Year ended 31 August 2022
Registered Charity number: 1135623
Registered Company number: 07162177
Bankers Natwest Bank 48 Courtenay Street Newton Abbot
Chudleigh Knighton Pre-School Limited - 2021/22
Contents
| Contents | |
|---|---|
| Page | |
| Directors' report | 3 - 4 |
| Statement of directors' responsibilities in respect of the Directors' Report and the fnancial statements |
5 |
| Independent Examiner's Report | 6 |
| Statement of Financial Activities for the year ended 31 August 2022 | 7 |
| Balance Sheet as at 31 August 2022 | 8 |
| Notes to the Accounts | 9 - 11 |
Chudleigh Knighton Pre-School Limited - 2021/22
Directors' report
The directors present their directors' report and financial statements for the year ended 31 August 2022.
Principal objects and activities
The objects of the Charity are set out in the articles of association. In summary, the Charity provides pre-School education facilities to children from the age of 2 —4 years. The objects of the Charity include enhancing the development and education of children primarily under statutory school age. The Charity provides these facilities 5 days a week.
The Charity offers play, education and care facilities and works closely with the local community and other education facilities, such as Chudleigh Knighton Church of England Primary School, to promote the needs and education of pre-school children for the public benefit.
Structure, Governance and management
The Charity was incorporated as a company limited by guarantee on 18 February 2010 and registered with the Charity Commission on 21 April 2010. The Charity began operating on 7 October 2010 following a transfer from an existing Pre-School charity (Charity Number — 1022361).
Directors
The directors who held office during the year were as follows; Mrs Victoria Andrews Mrs Sally Lacey Mrs Joanne Viney The minimum number of Directors is 3 but there is no maximum.
The Directors are also members of the Charity. The Directors communicate during the year and welcome parents, carers and other interested members of the community to become involved in fundraising events and the running of the Charity.
Whilst corporate decisions are made by the Directors, the day to day running of the Charity is carried out by the Managers and Deputy Manager.
Employees
During the year the Charity employed 7 staff, including a Manager, Deputy Manager and Office manager. All the childcare staff & managers have been employed by the charity for several years, they are it's greatest asset, and the low turn-over of employees is due to high levels of job satisfaction.
The Charity is an equal opportunities employer and does not discriminate on the grounds of sex, race, disability or religious affiliation (if any).
Chudleigh Knighton Pre-School Limited - 2021/22
Directors' report continued
Business review
The Charity has been operating from in its premises at 'Pauline's Place' in the village of Chudleigh Knighton for 12 years.
The Charity has a long standing excellent reputation, and continues to draw children from the neighbouring towns & villages. Places are available for funded and non-funded children aged 2-4 years. The setting is able to offer funded 2 year old places due to it's high standards, recognised by OfSted in their most recent "Good" rating.
Pupil numbers have recovered post pandemic, with an average increase of 20% more children registered per-term, peaking at 37 on roll. Attended hours range from 2.5 to 30 hours per week per child, with an average of 15. The vast majority (87%) of all hours were funded by DCC early years funding
The performance of the Charity is set out in the accounts.
The Charity recorded a surplus for the year, as forecast, which can be attributed both to measures taken to implement cost savings, and a return to normal following the relaxation of covid restrictions. The management team & Directors have reviewed all income chanels, expenditure and fundraising going forward. With attendance returning to pre-pandemic levels, an increase in funding rates from DCC and in house changes the forecast remains positive. Therefore the Directors consider that the Charity remains a viable organisation that will continue to provide high quality pre-school facilities to the locality.
It is the policy of the Charity to retain a minimum of £25,000 in designated reserves, which is expendable, to deal with items of unusual expenditure such as redundancy payments (should they be relevant) and repairs to the building. At the year end the Charity held £48,063 in reserves (approximately £26256 of which is held in a separate designated funds account).
After making enquiries, the directors have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they consider it appropriate to adopt the going concern basis in preparing the accounts.
Public Benefit test
In summary, the Charity offers Pre-School educational and play facilities to children primarily under statutory school age. This benefits the community by providing Early Years care for children living in or around Chudleigh Knighton, and supporting and encouraging parents and carers in the development and education of pre-school children. The Charity works closely with the local primary school, the church and the village hall, ensuring strong links are maintained within the community.
The Trustees have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers or duties.
Political and charitable contributions
The Charity made no political or charitable donations or incurred any political expenditure during the year.
By order of the Board
Sally Lacey Director
Registered office Pauline's Place Chudleigh Knighton Devon TQ13 0EY
Chudleigh Knighton Pre-School Limited - 2021/22
Statement of directors' responsibilities in respect of the Directors' Report and the financial statements
The trustees (who are also directors of Chudleigh Knighton Pre School Limited for the purposes of company law) are responsible for preparing the Annual 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 year which 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 for that period. ln preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgments and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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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 proper accounting records that 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.
Chudleigh Knighton Pre-School Limited - 2021/22
Independent Examination Report
Independent examiner’s report to Chudleigh Knighton Pre School Limited
I report on the accounts of Chudleigh Knighton Pre School Limited for the year ended 31 August 2022, which are set out on pages 7 to 11 is in respect of an examination carried out in accordance with Section 145 of the Charities Act 2011.
Respective responsibilities of Chudleigh Knighton Pre School Limited and the examiner
Chudleigh Knighton Pre School Limited members are responsible for the preparation of the accounts. The Chudleigh Knighton Pre School Limited members consider that an audit is not required for this year under section 144(2) of the Charities Act (the 2011 Act) and that an independent examination is needed.
It is my responsibility to:
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examine the accounts under section 145 of the 2011 Act
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to follow the procedures laid down in the general Directions given by the
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commission under section 145(5) of the 2011 Act
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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 Chudleigh Knighton Pre School Limited 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 members of Chudleigh Knighton Pre School Limited 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 next statement.
Independent examiner’s statement
In connection with my examination, nothing has come to my attention:
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(1) which gives me reasonable cause to believe that any material respect of the requirements:
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to keep accounting records in accordance with section 130 of the 2011 Act and
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to prepare accounts which accord with the accounting records and comply with
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the accounting requirements of the 2011 Act
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
David Cook FCCA Devon Accounting Solutions Limited 25 Coronation Avenue Dawlish Devon EX7 9EQ
Date: 2 March 2023
Chudleigh Knighton Pre-School Limited - 2021/22
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Statement of Financial Activities for the year ended 31 August 2022
| Notes Income and endowments from: Donations Income from Investments 9 Income from Charitable activities 2 Total income Expenditure on: Charitable activities: 3 Total resources expended Net income/(expenditure) Transfers between funds Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward 11 |
Designated Unrestricted Total Funds funds funds 2022 £ £ £ 3 3 1,165 1,165 93,263 93,263 |
Designated funds £ - 2 - |
Unrestricted funds £ 71 72,405 |
Total funds 2021 £ 71 2 72,405 |
|---|---|---|---|---|
| ~~1,165 93,266 # 94,431~~ | ~~2 #~~ | ~~72,476~~ | ~~72,478~~ | |
| 84,316 84,316 ~~84,316~~ ~~84,316~~ ~~1,165 8,950 # 10,115~~ - - - ~~1,165 8,950 # 10,115~~ 25,09112,857 37,948 ~~26,256~~21,807 48,063 |
- ~~-~~ ~~2~~ 2 25,089 25,091 |
79,976 |
79,976 |
|
| ~~79,976~~ | ~~79,976~~ | |||
| ~~- 7,500~~ | ~~- 7,498~~ | |||
| - 7,500 | - 7,498 | |||
| 20,357 | 45,446 | |||
| 12,857 | 37,948 |
The company has no recognised gains and losses other than the surplus for the year. All of the activities derive from continuing operations.
The notes on pages 9 to 11 form part of these accounts.
Chudleigh Knighton Pre-School Limited - 2021/22
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Balance Sheet as at 31 August 2022
Notes
| Fixed assets Property, plant and equipment 4 Total fxed assets Current assets Debtors 5 Cash at bank and in hand Total current assets Liabilities: Creditors: amounts falling due within one year 6 Net current assets Total net assets The funds of the Charity Designated funds: 11 Unrestricted funds 11 Total Charity funds |
Designated funds £ - - - 26,256 26,256 - 26,256 26,256 26,256 - 26,256 |
Unrestricted funds £ 906 906 352 21,058 21,410 509 20,901 17,421 - 21,807 21,807 |
Total Total funds Funds 2022 2021 £ £ 906 856 |
|---|---|---|---|
| 906 856 |
|||
| 352 47,314 37,246 |
|||
| 47,666 37,246 509 154 |
|||
| 47,157 37,092 |
|||
| 48,063 37,948 |
|||
| 26,256 25,091 21,807 12,857 |
|||
| 48,063 37,948 |
The notes on pages 9 to 11 form part of these financial statements.
For the year ended 31 August 2022, the company was entitled to exemption under section 477 of the companies act 2006 relating to small companies.
No members have required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibility for complying with the requirements of the act with respect to the accounting records and the preparation of the accounts.
These financial statements were approved by the board of directors on 21st March 2023 and were signed on its behalf by:
Sally Lacey Director
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Statement of Cash Flows for the year ended 31 August 2022
| Cash fows from operating activities: Cash fows from investing activities: Interest on cash in bank Purchase of property, plant and equipment Net cash provided by investing activities Net cash (used in) / provided by operating activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period |
Designated funds £ - 1,165 - 1,165 1,165 25,091 |
Unrestricted funds £ 9,983 - (728) (728) 9,255 12,155 21,410 |
Total Total funds funds 2022 2021 £ £ 9,983 (6,938) 1,165 2 (728) (118) 437 (116) 10,420 (7,054) 37,246 44,300 47,666 37,246 |
|---|---|---|---|
| 26,256 - |
Reconciliation of net income / (expenditure) to net cash flow from operating activities
| Adjustments for: Depreciation charges Interest on cash in bank (Increase) / decrease in debtors (Decrease) / increase in creditors (Decrease) / increase in provisions Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents Net income / (expenditure) for the reporting period (as per the statement of fnancial activities) Net cash (used in) / provided by operating activities |
Designated funds £ 1,165 - (1,165) - - - - Designated funds £ 26,256 26,256 |
Unrestricted funds £ 8,950 678 - - 355 - 9,983 Unrestricted funds £ 21,410 21,410 |
Total Total funds funds 2022 2021 £ £ 10,115 (7,498) 678 532 (1,165) (2) - 355 30 - 9,983 (6,938) Total Total funds funds 2022 2021 £ £ 47,666 37,246 47,666 37,246 |
|---|---|---|---|
Page 9 of 12
Chudleigh Knighton Pre-School Limited - 2021/22
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Notes to the Accounts
1. Accounting policies
1.1 Basis of preparation
The accounts have been prepared under the historical cost convention and the accounting policies have been consistently applied. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK (FRS102) effective from 1 January 2015, and applicable UK Accounting Standards (FRS102) and the Charities Act 2011.
The Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, the Trustees consider it appropriate to adopt the going concern basis in preparing the accounts.
In preparing the accounts, the Trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 a restatement of comparative items was needed. No restatements were required.
1.2 Funds structure
Unrestricted funds comprise those funds which the Trustees are free to use for any purpose in furtherance of the charitable objects.
Designated funds which are expendable, are funds set aside to deal with items of unusual expenditure such as redundancy payments (should they be relevant) and repairs to the building.
1.3 Incoming resources
All incoming resources are recognised once the Charity has entitlement to the resources, it is probable that the resources will be received and the monetary value of incoming resources can be measured with sufficient reliability.
1.4 Resources expended
All expenditure is accounted for on an accruals basis and is recognised when a legal or constructive obligation arises, resulting in a payment being unavoidable.
1.5 Taxation
The Charity is a registered charity, and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in furtherance of the Charity's primary objectives, if these profits and surpluses are applied solely for charitable purposes.
1.6 Charitable activities
Costs of charitable activities comprise all costs incurred in the pursuit of the objects of the Charity. These costs are shown in Note 3.
1.7 Audit Exemption Statement
For the year ended 31 August 2022, the company was entitled to exemption under section 477 of the companies act 2006 relating to small companies. The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476.
1.8[ Depreciation Policy]
Depreciation is calculated at 20% to reflect the type of equipment and expected duration of use.
Chudleigh Knighton Pre-School Limited - 2021/22
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Notes to the Accounts
| 2 Analysis of turnover By activity DCC fees Parent fees Fundraising & donations Other Total 3 Charitable activities 3.1 Employee costs The aggregate payroll costs were as follows Staf wages Employer's social security and pension contributions Total employee costs 3.2 Administrative expense Premises cost Rental Depreciation Equipment cost Insurance Children's snacks and milk Memberships and subscriptions Consumables Legal and professional Other Total cost of charitable activities 4 Property, plant and equipment Cost At 1 September 2021 Additions during year 2021/22 Cost at 31 August 2022 Depreciation At 1 September 2021 Charge for year 2021/22 At 31 August 2022 Net book values At 31 August 2021 At 31 August 2022 Depreciation calculated at 20% 5 Debtors Debtors under one year Other debtors 6 Creditors: Amounts falling due within one year |
Total Total 2022 2021 £ £ 76,670 59,370 11,577 11,582 1,444 889 3,575 635 93,26672,476 Total Total 2022 2021 £ £ 57,699 56,203 5,272 3,949 62,97160,152# 442 194 12,480 9,880 678 1,805 118 623 726 251 122 373 104 1,485 1,676 300 300 4,713 4,899 21,34519,824 84,31679,976 2,661 728 3,389 1,805 678 2,483 856 906 2022 2021 £ £ 352 - - - 2022 2021 £ £ 509 154 |
|---|---|
Chudleigh Knighton Pre School Limited - Annual Accounts 2021/22
Notes to the Accounts
7 Provisions: amounts falling due within one year
| 7 Provisions: amounts falling due within one year | ||
|---|---|---|
| As at 1 Sept Arising during the year Utilised during the year As at 31 August 8 Commitments |
2022 £ - - - - |
2021 £ - - - |
| - | ||
Annual commitments under non-cancellable operating leases are as follows:
| Annual commitments under non-cancellable operating leases are as follows: | 2022 | 2021 |
|---|---|---|
| Land and | Land and | |
| buildings | buildings | |
| £ | £ | |
| Operating leases which expire: | ||
| Within one year | 0 | 5,200 |
| In the second to ffth years inclusive | 30,160 | 0 |
| Over fve years | - | - |
| In the year ended 31 August 2022 the company paid £12480 (2021: £9880) | in respect of rentals due | |
| under operating leases. |
9. Investment income
| Interest on cash held on deposit (current assets) Other income |
2022 £ 12 1,153 1,165 |
2021 £ 2 |
|---|---|---|
| 2 |
10 Related party transactions
The Trustees provide their Trustee services to the Charity on a purely voluntary basis. No members of the Pre-School's trustees have received honoraria, emoluments or expenses from the Charity in the year.
| 11 Reserves Designated funds £ At the beginning of year: 25,091 Surplus for year 1,165 Transfers - 26,256 |
trestricted funds £ 12,857 8,950 - 21,807 |
Total funds £ 37,948 10,115 - |
|---|---|---|
| 48,063 |