2021-04-30-accounts

COMPANY REGISTRATION NUMBER: 06962081 CHARITY REGISTRATION NUMBER: 1135723

Side by Side (Children) Limited

Company Limited by Guarantee

Financial Statements

30 April 2021

COHEN ARNOLD

Chartered accountants & statutory auditor New Burlington House 1075 Finchley Road LONDON NW11 0PU

Side by Side (Children) Limited

Company Limited by Guarantee

Financial Statements

Year ended 30 April 2021

	Page
Trustees' annual report (incorporating the director's report)	1
Independent auditor's report to the members	6
Statement of financial activities (including income and expenditure
account)	11
Statement of financial position	12
Statement of cash flows	13
Notes to the financial statements	14

Side by Side (Children) Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 30 April 2021

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 30 April 2021.

Reference and administrative details

Registered charity name	Side by Side (Children) Limited
Charity registration number	1135723
Company registration number	06962081
Principal office and registered	10 Craven Walk
office	London
	N16 6BT
The trustees	Mr J Margulies
	Mr S S Sinitsky
	Mrs H Z Weiss
	Mr C M Margulies	(Appointed 26 July 2020)
	Mr J Sorotzkin	(Appointed 26 July 2020)
Auditor	Cohen Arnold
	Chartered accountants & statutory	auditor
	New Burlington House
	1075 Finchley Road
	LONDON
	NW11 0PU

Structure, governance and management

The charity is a company limited by guarantee and accordingly does not have a share capital. The charity is governed by its Memorandum and Articles of Association dated 14 July 2009.

The trustees are responsible for overseeing the management of the school.

None of the trustees have any beneficial interest in the company.

None of the trustees are entitled to any remuneration for their services.

All new trustees undergo an induction programme that includes a briefing on their role and responsibilities as well as general guidance as published by the Charities Commission.

Objectives and activities

The objectives of the charity are:

a) The advancement of education primarily but not exclusively by establishing maintaining and managing in the London Borough of Hackney a school for children with learning and special needs.

b) The advancement of such other objects as are for the benefit of the public and are charitable according to English law.

1

Side by Side (Children) Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

Mission

Side by Side's mission is to provide learning disabled children with an outstanding education, in an environment that allows them to achieve their personal best.

Activities

Side by Side is a special school catering to Jewish children in London. As its name connotes, it was founded to give children with special educational needs the opportunity to learn and play alongside their mainstream peers, in the early years.

The Side by Side umbrella incorporates the following:

Side by Side Nursery for ages 2-5 years. The founders' vision of integrated Early Years education, where children of normal abilities and those with disabilities learn side by side, has transformed how disabled children are supported and perceived in our community.

Our quality nursery provision is based on the belief that early therapeutic intervention is a way of ensuring that children with additional needs are given the opportunities to develop their maximum potential. There is now a wealth of evidence supporting early intervention and this approach is being adopted as government policy. We are proud of being trailblazers in giving very young children with special needs a head start in their development. There are 54 children currently in the nursery; 46 of them with special educational needs, alongside 8 mainstream children. There are many more mainstream children waiting to join the nursery, but the school naturally needs to prioritise children with special educational needs. The trustees intend to have an even ratio of mainstream: SEND children once facilities allow it.

Side by Side Special School for 5 - 19 year olds, which encompasses;

• Primary classes, where we focus on core skills (including numeracy and literacy), personal development and growth. Our children have an extremely wide range of capabilities and disabilities and each pupil is helped to achieve their individual potential. Children in this age group already are supported in the integration in community life through attending mainstream schools for some hours of the day.

• In Secondary classes, whilst continuing to support pupils in their core skills with a broad and well- balanced curriculum which covers the gamut of subjects including numeracy, literacy, science, arts and current affairs, we also increase the focus on independent living skills. Pupils have the opportunity to work towards national awards in these areas, for example ASDAN employability and youth awards. This includes supporting the transition to adulthood through supported placements or 'work experience' in community organisations and local businesses.

• Our 14 -19 provision is very much focused on developing independent living skills through functional skills (literacy and numeracy) training, giving young people the skills to be able to engage and interact with the wider community as they move into young adulthood. In the two older classes there are increased opportunities for attending of-site work experience which include, meal-on-wheels, office work, shops and warehouses.

2

Side by Side (Children) Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

As part of the programme, the young people access local community facilities, continue with work and life skills related learning and accreditation.

There is a high level of therapeutic intervention which is integrated into each child's programme, across all age groups which includes: Speech and Language Therapy, Occupational Therapy, Physiotherapy and Music Therapy.

Physiotherapy is closely integrated into the sport curriculum, which is hugely popular across the school. For secondary classes, after-school activities include additional sport. Obesity can frequently be a problem for children with learning disabilities. Sport helps them develop pleasure in physical activity and improves emotional and physical health. This is culminated with an annual sports day which is enjoyed by all participants and spectators alike.

The school and nursery are staffed by a multi-disciplinary team of 90 dedicated professionals including team leaders, teachers, learning assistants and therapists who work closely with each other and the parents to individually help all 80 students achieve the best outcomes possible.

Achievements and performance

Side by Side has worked with our 80 students and their families to ensure that each individual child can develop and succeed at their own pace and reach their full potential in their educational and social lives. All children made excellent progress against their IEP (individual educational plan).

Covid impact

Covid-19 hit the UK just over a month before the beginning of our financial year. The impact on Side by Side was sudden and swift. In early April 2020, we suffered the loss of Rabbi Abraham Pinter, a key Side by Side trustee and legendary community activist who championed the rights of all children, particularly those with special educational needs. His passing has left a gaping hole in the community's voluntary sector.

Side by Side had to shut its provision in early lockdown days, but due to all pupils being vulnerable, was able to reopen on 22 April 2020 with all required social distancing and PPE measures in place. School leadership made herculean efforts to ensure provision even with significant absence and cover staff requirements. This greatly appreciated by pupils and families, for who school was a haven during the Covid crisis.

3

Side by Side (Children) Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

Achievements and performance (continued)

New building

Side by Side School Ltd is a related charity and its purpose is to build a new state-of-the-art building for the school.

The new building will provide an outstanding learning environment for children and young people with special educational needs, including an integrated nursery with children of all ages learning, developing and playing 'side by side'. The school building will encompass:

• 16 Classrooms - inviting and well-equipped, where each individual child can learn and understand the world at their own level and pace, supported and guided by specialist teachers

• Therapy room - resourced and accommodating, where 'disability' makes way for ability and movement

• Sensory room - a non-threatening multi-sensory experience where children adapt to environments around them and learn to handle external stimuli

• Skills room - cutting-edge facilities to impart IT skills in user-friendly formats

• Art room - An exciting area for exploring creativity and learning fine motor skills

• Children's Kitchen - A hands-on opportunity to experiment with foods, tastes and dishes and learn vital skills

• Library - A book haven where children can gain knowledge and broaden their horizons

• Garden and playground - glorious outdoor spaces with specialised equipment and structures that are both fun and functional, improving gross motor skills and physical development

The new building will allow Side by Side to grow and meet the demand for places over the next decades. It will also facilitate the expansion of sixth form programme for 16 - 19 year olds with special educational needs, including facilities to train them for independent living.

At the time of writing, the building project is nearing completion and it is hoped that the school will be able to move in for the new academic year in September 2022.

Financial review

The charity was successful in raising considerable funds to enable it to run the school effectively. The year ended with a surplus of £185,897 contributing to the organisation's reserves.

The Trustees are confident that sufficient funds will be made available to ensure the continued smooth running of the school.

Reserves policy

The trustees aim to hold free reserves of between 3 and 6 months (but no more than 12 months) operating costs in order to protect services and ensure adequate cashflow for the organisation's financial needs. As at 30 April 2021 the organisation held £1,082,774 unrestricted funds (2020: £896,877). Of the unrestricted funds, £1,055,436 are free reserves (2020: £798,967) which is equivalent to 5 months running costs.

4

Side by Side (Children) Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

Trustees' responsibilities statement

The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.

In preparing these financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the applicable Charities SORP;

• make judgments and accounting 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;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

Each of the persons who is a trustee at the date of approval of this report confirms that:

• so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and

• they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.

The trustees' annual report and the strategic report were approved on 28 February 2022 and signed on behalf of the board of trustees by:

Mr J Sorotzkin

Trustee

5

Side by Side (Children) Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Side by Side (Children) Limited

Year ended 30 April 2021

Opinion

We have audited the financial statements of Side by Side (Children) Limited (the 'charity') for the year ended 30 April 2021 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the charity's affairs as at 30 April 2021 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

6

Side by Side (Children) Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Side by Side (Children) Limited

(continued)

Year ended 30 April 2021

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the trustees' report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees' remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

7

Side by Side (Children) Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Side by Side (Children) Limited (continued)

Year ended 30 April 2021

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

" We obtained an understanding of the legal and regulatory frameworks that are applicable to the charity through discussion with the trustees and identified financial reporting legislation and charity legislation as being most significant to these financial statements.

" We communicated these identified frameworks amongst our audit team and remained alert to any indications of non-compliance throughout the audit. We ensured that the engagement team had sufficient competence and capability to identify or recognise non-compliance with the laws and regulations.

" We discussed with the trustees the policies and procedures regarding compliance with these legal and regulatory frameworks.

" We assessed the susceptibility of the charity's financial statements to material misstatement due to non-compliance with legal and regulatory frameworks, including how fraud might occur, by enquiry with the trustees during the planning and finalisation phases stages of our audit. The susceptibility to such material misstatement was determined to be low.

" Based on this understanding, we designed our audit procedures to identify non-compliance with the identified legal and regulatory frameworks, which were part of our procedures on the related financial statement items.

8

Side by Side (Children) Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Side by Side (Children) Limited (continued)

Year ended 30 April 2021

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.

• Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

9

Side by Side (Children) Limited

Company Limited by Guarantee

Independent Auditor's Report to the Members of Side by Side (Children) Limited

(continued)

Year ended 30 April 2021

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

David Goldberg

Cohen Arnold Chartered accountants & statutory auditor New Burlington House 1075 Finchley Road LONDON NW11 0PU

28 February 2022

10

Side by Side (Children) Limited

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Year ended 30 April 2021

			2021		2020
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	5	827,105	40,613	867,718	1,007,573
Charitable activities	6	1,903,442	–	1,903,442	1,614,894
Investment income	7	257	–	257	316
Other income	8	63,788	–	63,788	–
		─────────────	─────────	─────────────	─────────────
Total income		2,794,592	40,613	2,835,205	2,622,783
		═════════════	═════════	═════════════	═════════════
Expenditure
Expenditure on raising funds:
Costs of raising donations and
legacies	9	98,643	–	98,643	223,927
Expenditure on charitable activities	10,11	2,510,052	40,613	2,550,665	2,379,048
		─────────────	─────────	─────────────	─────────────
Total expenditure		2,608,695	40,613	2,649,308	2,602,975
		═════════════	═════════	═════════════	═════════════
		─────────────	─────────	─────────────	─────────────
Net income and net movement in	funds	185,897	–	185,897	19,808
		═════════════	═════════	═════════════	═════════════
Reconciliation of funds
Total funds brought forward		896,877	–	896,877	877,069
		─────────────	─────────	─────────────	─────────────
Total funds carried forward		1,082,774	–	1,082,774	896,877
		═════════════	═════════	═════════════	═════════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 14 to 23 form part of these financial statements.

11

Side by Side (Children) Limited

Company Limited by Guarantee

Statement of Financial Position

30 April 2021

		2021	2020
	Note	£	£
Fixed assets
Tangible fixed assets	16	73,171	97,910
Current assets
Debtors	17	1,254,640	1,309,435
Cash at bank and in hand		324,144	36,152
		─────────────	─────────────
		1,578,784	1,345,587
Creditors: amounts falling due within one year	18	523,348	546,620
		─────────────	─────────────
Net current assets		1,055,436	798,967
		─────────────	──────────
Total assets less current liabilities		1,128,607	896,877
Creditors: amounts falling due after more than one year	19	45,833	–
		─────────────	──────────
Net assets		1,082,774	896,877
		═════════════	══════════
Funds of the charity
Unrestricted funds		1,082,774	896,877
		─────────────	──────────
Total charity funds	21	1,082,774	896,877
		═════════════	══════════

These financial statements were approved by the board of trustees and authorised for issue on 28 February 2022, and are signed on behalf of the board by:

Mr J Sorotzkin

Trustee

The notes on pages 14 to 23 form part of these financial statements.

12

Side by Side (Children) Limited

Company Limited by Guarantee

Statement of Cash Flows

Year ended 30 April 2021

	2021	2020
	£	£
Cash flows from operating activities
Net income	185,897	19,808
Adjustments for:
Depreciation of tangible fixed assets	24,739	32,274
Other interest receivable and similar income	(257)	(316)
Interest payable and similar charges	5,952	(4,300)
Accrued expenses	–	3,707
Changes in:
Trade and other debtors	54,795	104,086
Trade and other creditors	(27,439)	(106,922)
	──────────	──────────
Cash generated from operations	243,687	48,337
Interest paid	(5,952)	4,300
Interest received	257	316
	──────────	─────────
Net cash from operating activities	237,992	52,953
	══════════	═════════
Cash flows from investing activities
Purchase of tangible assets	–	(29,483)
	──────────	─────────
Net cash used in investing activities	–	(29,483)
	══════════	═════════
Cash flows from financing activities
Proceeds from borrowings	50,000	–
	──────────	─────────
Net cash from financing activities	50,000	–
	══════════	═════════
Net increase in cash and cash equivalents	287,992	23,470
Cash and cash equivalents at beginning of year	36,152	12,682
	──────────	─────────
Cash and cash equivalents at end of year	324,144	36,152
	══════════	═════════

The notes on pages 14 to 23 form part of these financial statements.

13

Side by Side (Children) Limited Company Limited by Guarantee

Notes to the Financial Statements

Year ended 30 April 2021

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 10 Craven Walk, London, N16 6BT.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Judgements and key sources of estimation uncertainty

In the application of the charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The Trustees do not consider there are any critical judgements or sources of estimation uncertainty requiring disclosure beyond the accounting policies listed below.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

14

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

15

Side by Side (Children) Limited Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Tangible assets (continued)

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 20% straight line Fixtures and fittings - 15% reducing balance

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

16

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Financial instruments (continued)

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

4. Limited by guarantee

Side by Side (Children) Limited is a registered charity and a company limited by guarantee.

5. Donations and legacies

Donations and legacies
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Donations
General Donations	827,105	–	827,105
Grants
Grants receivable	–	40,613	40,613
	──────────	─────────	──────────
	827,105	40,613	867,718
	══════════	═════════	══════════

17

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

5. Donations and legacies (continued)

5.	Donations and legacies (continued)
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2020
			£	£	£
	Donations
	General Donations		953,890	26,472	980,362
	Grants
	Grants receivable		–	27,211	27,211
			──────────	─────────	─────────────
			953,890	53,683	1,007,573
			══════════	═════════	═════════════
6.	Charitable activities
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Government income	1,903,442	1,903,442	1,614,894	1,614,894
		═════════════	═════════════	═════════════	═════════════
7.	Investment income
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Bank interest receivable	257	257	316	316
		════	════	════	════
8.	Other income
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Coronavirus Job Retention Scheme
	Grant	63,788	63,788	–	–
		═════════	═════════	════	════
9.	Costs of raising donations and legacies
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Costs of raising donations and legacies
	- Events	98,643	98,643	223,927	223,927
		═════════	═════════	══════════	══════════

18

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

10. Expenditure on charitable activities by fund type

			Unrestricted	Restricted	Total Funds
			Funds	Funds	2021
			£	£	£
Side by Side School			2,498,481	40,613	2,539,094
Support costs			11,571	–	11,571
			─────────────	─────────	─────────────
			2,510,052	40,613	2,550,665
			═════════════	═════════	═════════════
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2020
			£	£	£
Side by Side School			2,302,212	67,268	2,369,480
Support costs			9,568	–	9,568
			─────────────	─────────	─────────────
			2,311,780	67,268	2,379,048
			═════════════	═════════	═════════════
Expenditure on charitable activities by activity type
	Activities
	undertaken	Grant funding		Total funds	Total fund
	directly	of activities Support costs		2021	2020
	£	£	£	£	£
Side by Side School	2,533,594	5,500	–	2,539,094	2,369,480
Governance costs	–	–	11,571	11,571	9,568
	─────────────	───────	─────────	─────────────	─────────────
	2,533,594	5,500	11,571	2,550,665	2,379,048
	═════════════	═══════	═════════	═════════════	═════════════
Net income
Net income is stated after charging/(crediting):
				2021	2020
				£	£
Depreciation of tangible fixed assets				24,739	32,274
				═════════	═════════
Auditors remuneration
				2021	2020
				£	£
Fees payable for the audit of the financial statements				9,600	9,600
				═══════	═══════

11. Expenditure on charitable activities by activity type

12. Net income

13. Auditors remuneration

19

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

14. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	2021	2020
	£	£
Wages and salaries	1,785,046	1,573,265
Social security costs	86,084	79,016
Employer contributions to pension plans	21,015	24,742
	─────────────	─────────────
	1,892,145	1,677,023
	═════════════	═════════════

The average head count of employees during the year was 130 (2020: 120).

The number of employees whose remuneration for the year fell within the following bands, were:

		2021	2020
		No.	No.
£80,000	to £89,999	1	1
		════	════

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £95,854 (2020: £92,939).

15. Trustee remuneration and expenses

There was no remuneration paid to the trustees. The charity did not meet any individual expenses incurred by the trustees for services provided to the charity.

16. Tangible fixed assets

Tangible fixed assets
	Freehold	Fixtures and
	property	fittings	Total
	£	£	£
Cost
At 1 May 2020 and 30 April 2021	169,735	76,958	246,693
	══════════	═════════	══════════
Depreciation
At 1 May 2020	118,215	30,568	148,783
Charge for the year	17,780	6,959	24,739
	──────────	─────────	──────────
At 30 April 2021	135,995	37,527	173,522
	══════════	═════════	══════════
Carrying amount
At 30 April 2021	33,740	39,431	73,171
	══════════	═════════	══════════
At 30 April 2020	51,520	46,390	97,910
	══════════	═════════	══════════

20

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

17. Debtors

Debtors
	2021	2020
	£	£
Trade debtors	18,821	410,616
Prepayments and accrued income	8,333	8,333
Other debtors	1,227,486	890,486
	─────────────	─────────────
	1,254,640	1,309,435
	═════════════	═════════════
Creditors: amounts falling due within one year
	2021	2020
	£	£
Bank loans and overdrafts	4,167	–
Trade creditors	124,352	151,791
Accruals and deferred income	394,829	394,829
	──────────	──────────
	523,348	546,620
	══════════	══════════
Creditors: amounts falling due after more than one year
	2021	2020
	£	£
Bank loans and overdrafts	45,833	–
	═════════	════

18. Creditors: amounts falling due within one year

19. Creditors: amounts falling due after more than one year

20. Pensions and other post retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £21,015 (2020: £24,742).

21. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
		At				At 30 April
	1	May 2020	Income	Expenditure	Transfers	2021
		£	£	£	£	£
General funds		896,877	2,794,592	(2,608,695)	–	1,082,774
		══════════	═════════════	═════════════	════	═════════════
		At				At
	1	May 2019	Income	Expenditure	Transfers	30 April 2020
		£	£	£	£	£
General funds		851,864	2,569,100	(2,535,707)	11,620	896,877
		══════════	═════════════	═════════════	═════════	══════════

21

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

21. Analysis of charitable funds (continued)

Restricted funds

Restricted funds
	At					At 30 April
1	May 2020	Income	Expenditure	Transfers		2021
	£	£	£	£		£
Restricted Fund	–	40,613	(40,613)	–		–
	════	═════════	═════════	════		════
	At					At
1	May 2019	Income	Expenditure	Transfers	30 April 2020
	£	£	£	£		£
Restricted Fund	25,205	53,683	(67,268)	(11,620)		–
	═════════	═════════	═════════	═════════		════
Analysis of net assets between funds
				Unrestricted		Total Funds
				Funds		2021
				£		£
Tangible fixed assets				73,171		73,171
Current assets				1,578,784		1,578,784
Creditors less than 1 year				(523,348)		(523,348)
Creditors greater than 1 year				(45,833)		(45,833)
				─────────────		─────────────
Net assets				1,082,774		1,082,774
				═════════════		═════════════
				Unrestricted		Total Funds
				Funds		2020
				£		£
Tangible fixed assets				97,910		97,910
Current assets				1,345,587		1,345,587
Creditors less than 1 year				(546,620)		(546,620)
Creditors greater than 1 year				–		–
				─────────────		─────────────
Net assets				896,877		896,877
				═════════════		═════════════

22. Analysis of net assets between funds

23. Analysis of changes in net debt

Analysis of changes in net debt
	At		At
	1 May 2020	Cash flows	30 Apr 2021
	£	£	£
Cash at bank and in hand	36,152	287,992	324,144
Debt due within one year	–	(4,167)	(4,167)
Debt due after one year	–	(45,833)	(45,833)
	─────────	──────────	──────────
	36,152	237,992	274,144
	═════════	══════════	══════════

22

Side by Side (Children) Limited

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

24. Related parties

Other debtors of £1,227,486 relates to a loan given to Side by Side School Ltd, a charity with common trustees. This loan was given in order to assist Side by Side School Ltd with the purchase of the land and building of the new school.

23