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2022-03-31-accounts

REGISTERED COMPANY NUMBER: 07221470 (England and Wales) REGISTERED CHARITY NUMBER: 1136377

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

FOR

3SPACE

3SPACE

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

Page
Report of the Trustees 1 to 7
Independent Examiner's Report 8
Statement of Financial Activities 9
Balance Sheet 10
Notes to the Financial Statements 11 to 15

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

The Charity is also registered with the Office of Scottish Charity Regulator (OSCR) number SC042130.

OBJECTIVES AND ACTIVITIES

Objectives and aims

The charity's objects ("Objects") are specifically restricted to the following:

(1) To promote the efficiency and effectiveness of charities and the effective use of charitable resources for the benefit of the public by providing charities, non-profit or community organisations with access to property in otherwise vacant units on a non-commercial basis; and

(2) To promote charitable use of property as a means of empowering communities, regenerating areas, developing a robust community sector, supporting social enterprise and delivering public benefit.

Significant activities

The charity's work involves signing short-term, meanwhile use, leases on empty commercial properties, which are then made available to charitable organisations, social enterprises, recognised community groups and qualifying local start-up businesses.

ACHIEVEMENT AND PERFORMANCE

How our activities deliver public benefit

Our main activities and who we try to help are described below. Our activities focus on providing charities, not for profit organisations and qualifying local start-up businesses with access to properties in which they can carry out their own activities for public benefit.

During the period, the charity provided space to over 170 organisations. Organisations who used our spaces have included registered charities (with a primary focus on education, unemployment, health, sport, arts, youth entrepreneurship, start-up business and food poverty), universities, social enterprises, community groups, qualifying local start-up businesses and Local Authorities.

Projects running in the charity's properties have continued to expand the reach of voluntary and community sector organisations at a time when traditional models of service delivery have been under pressure if not out-of-reach.

A brief summary of activities undertaken by beneficiary organisations during the period is included below:

The BuyGiveWork model continues to be employed using the 'Buy One Give One' approach that 3Space has pioneered in the property sector. BuyGiveWork means for every desk rental (supplied at below-market rate), one is provided free of charge to a qualifying non-profit, local start-up, or experimental project. This model enables the space to support a wide base of charitable projects and encourages collaboration between locals and non-locals.

Page 1

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

The charity's major project during the period is International House, in partnership with Lambeth Council. 3Space was selected in September 2018 via a competitive tender to take the former Council office in Brixton on a five year Meanwhile Use to expand its BuyGiveWork program. International House remains in Council ownership and has been earmarked for redevelopment after five years as part of the Brixton Central masterplan. 3Space's interim activity will play a part in informing these future regeneration plans. The charity committed to a total rent payment to Council of £1.1 Million over 5 years with a 1 year rent free period. Quarterly payments have continued through the reporting period and throughout the uncertainty of Covid-19.

The building is split over 12 floors with five Give floors provided to support youth entrepreneurship, community initiatives and the arts. Five Buy floors are let at a below market rate to support Lambeth's drive to diversify Brixton's economic offer away from food & drink and retail, and towards the Creative & Digital Industries. The top two floors were scheduled to be used for free of charge co-working, meeting and hospitality offer.

The charity has continued to deliver its outputs through what has been a challenging period as it recovers from the impact from Covid-19. In December 2020 the charity commissioned economics consultancy PRD to prepare a report on International House which demonstrated its value to London Borough of Lambeth as well as alternative options for the future development plans proposed for the building. A summary of the report findings is as follows:

Typical Annual Outputs of International House

In International House has delivered the following benefits:

Valuing these Outputs

Using standard accepted measures, it is possible to come up with an approximate gross value of each of these:

To provide a more effective net figure for policy analysis additionally is applied to the core GVA (derived from earning in the building to give an approximate value of activity within International House):

Allowing for this gives a rough net annual added value of c £5m per year. With additional benefits of £3.4m in direct benefits to charities and social value.

Page 2

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

Although International House is located in an office and provides workspace, it is wrong to simply classify it as a managed workspace project. The interface between private businesses, civil society, start-ups, charities, culture and creation make it unlike a typical market led 'product'; it is therefore difficult to benchmark it against other developments.

Based on the impact numbers presented here however, it is reasonable to argue that a purpose-built office would deliver similar (or slightly higher) employment numbers and density than is currently achieved at International House.

Social value is clearly a more significant differentiator. Comparing International House to a proposed development in the north of Lambeth using similar metrics shows that the new development is estimated to deliver £27psqm social value. This compares to £413psqm at International House .

2021/2022 update

The charity has not undertaken a similar independent study in 2021/2022, however it expects to provide a report in 2023/24 when the International House project will end. However, the charity has undertaken monitoring of its tenants via surveys every 6 months. This shows that during the period:

The list of organisations the project continues to support across the different floors are:

  1. Business Launchpad (BLP) was up until early 2022 the delivery partner for the Youth Entrepreneurship floor. Business Launchpad is a registered charity with a track record of working with young people and helping them develop business ideas, delivering workshops and providing business support.

They moved into the building in Spring 2019 and quickly tenanted their floor with a range of youth organisations and start-ups led by young people including 2-3 Degrees, Besty's Inspirational Guidance, Black Beauty Fashion Awards, Blanktile Limited, Building Young Brixton, The Dream Project, Ethical Events Academy, EET Group, Fountains of Hope, Grooveschool, Iconic Steps, Juvenis, Karismatic Minds, Lola Jagun, Mental Health The Arts, Milk and Honey, Moneyjar, New Ground Creations, Nimble App Genie, Our Space, Period Link, Policy Centre for African Peoples, Indiaspora, She Is You UK, Spiral Skills, Split Banana, Step Now, We are Pomegranate, We Working, Women Like Me. This floor is provided free of charge to BLP and their end users.

Due to the impact on income generating activities on other sites BLP were unable to continue operating as the 3Space partner on 1st floor. However, their tenants have remained and a venture called Inzyme is now acting as the operating partner working with 3Space to support the existing tenants and provide space for more young people.

  1. Photofusion is the delivery partner for the Photographic Services Floor. Photofusion is a registered charity and London's largest photographic resource centre. They moved to International House having been unable to afford a rent increase on their existing site and were at risk of displacement from the Borough. The centre's facilities include digital suites, darkrooms, exhibition production services and picture library alongside a contemporary gallery which places an emphasis on showcasing emerging photographers, alongside new work by mid-career artists. The exhibition programme includes artist talks, panel discussions and occasional related masterclasses or workshops.

Alongside its professional development and training programmes, Photofusion delivers a range of crucial outreach engagement projects, working with socially and culturally marginalised young people, offering photographer-led creative programmes, skills-based accredited courses, bursaries and internships in collaboration with local organisations and a range of funding partners.

This floor is provided rent free but Photofusion pay a service charge as some of the services they offer are paid for.

Page 3

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

  1. The Community Initiatives floor is available free of charge to local charities, non-profits and social enterprises who are based in Lambeth or who deliver programs which directly benefit Lambeth residents. During this period the floor was used by Access Music Media, The Ascension Agency, Action Plus Foundation, ARCS Lambeth, Asylos, Avid Detention, Be Enriched, Brixton People’s Kitchen, Be Her Lead, Birds Eye View, Brixton bugle, Brixton Neighbourhood Forum, Brixton £, Brixton project, Breadwinners, Built By Us, Career Ear, Collected Creative, Compass Collect, The Crows, Clapham Film Unit, Cocoon Family Support, Code 7, Commons Legal, Community Arts Box, Compliments of the House, Creative Society, Divert, Eco Soul hostel, Edible Lambeth, Empathy Museum, Exceed Reading Stars, Father Nature, FORTH, Gay Social, Girls United, Global Entrepreneurs UK, Global Urban Design, Hope For The Young, Hope in the Heart, Independent Film Trust, Inclusion Arts, Kelly’s Cause Foundation, Kent Opera, Lambeth Larder, Library of Things, Lee Lawrence Consultancy, Lerato Community Initiative, LTEN, Mi Comput Solutions, Multi Story Orchestra, New Challenge, The National Windrush Museum, Onwards and Upwards, Project Access, Prop Up Projects, Rapport Festival, Respeito, Restart Projects, School Ground Sounds, Sloth Club CIC, State of the African Diaspora, Strongback Productions, Student Development CIC, Student Hubs, Brixton Topcats, Untold Stories, Urban Growth, We Are Oxygen Arts, We Rise, We Rock, Youth in Excellence

The floor is provided free of charge, but tenants are encouraged to pay into a future rent deposit scheme to build up a rent fund for any subsequent workspace. This is returned in full when the tenant moves out or the project comes to an end.

  1. The Events and Projects spaces are across the ground floor and are available free of charge to the buildings tenants and have been extensively used for a range of different types of use with a mixture of workshops, training, meetings and public facing events. The use of the Event Space is free of charge to use which removes any barrier for our tenants who might otherwise not be able to afford access to centrally located and well-equipped event space, specifically young people and local charities.

  2. The 5th Give Hub is a fabrics and textiles studio managed by Assemble, a Turner prize-winning art and design collective. Its tenants include many local and new start-ups including over 50% from BAME backgrounds. The tenants are Aergo, Ascension agency, good studio Riso, Furious Goose, Little Collective, Kangan Auror, LaundRe, White Weft, Stitch School, Glitter Customs, Paq Works, SCRT, Smith Matthias Ltd, Studio 1, United 80 Brixton, Ilara, Fashionwide, Ato studio, Ceres Studio.

This floor is provided rent free but Assemble pay a service charge and they in turn charge an affordable rental fee for textiles and fashion start-ups using the space.

The 5 Buy Floors are tenanted by a mixture of larger charities, freelancers, start-ups and scaleup businesses. All of the Buy Floor tenants are subject to a points-based allocation system which has been formalised in a Tenant Allocation and Marketing Strategy document that was drawn up with Council to align with the Borough's economic regeneration plans. The start-ups and scaleups who have benefited from the use include: Refuaid, Resi, The Ubele Initiative, Amazing Productions, Plantacorp, AKOU, Drew London, CodeBrave, India Thorogood, Food Foundation, ihateironing, National Energy Action, Insurance Supper Club, Fair Education Alliance, Drew & Rose, Minerva Tutors, Richard Nield, Repowering ltd, Rocial Visuals, The Bike Project, White Puzzle, Yes Futures, Iconic Steps, Refugees at home, Just Like Us, Black Thrive, Brixton Bid, Road Peace, South London Cares, Age UK Lambeth, Thursday Works, Boz Temple-Morris, and Hello Self.

International House continues to be recognised by the Living Wage Foundation as Living Wage Building. It was the first Living Wage Building in UK and secured this status for the first time in 2019. This means that any organisation working from the building and their employees are required to be paid the London Living Wage. This is managed by a licence agreement with the tenants and is monitored via half yearly reporting requirements.

Network Map

3Space provides space that acts as an interface between private business, civil society, start-ups, charities, culture and creation. Providing space which is free or low cost is one benefit. However, another benefit is from the co-location of similar organisations, the connections that are made by these organisations and the clustering benefits to the local economy. The connections formed between these diverse businesses and community initiatives is a hallmark of 3Space’s BuyGiveWork approach.

Page 4

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

3Space has been working with data consultancy AKOU to develop a model showing the impact of these relationships at International House in Brixton. The map shows how organisations at 3Space are connected to each other, the strength of the relationship and how they collaborate. You can view the work in progress on the network map here https://akou.co.uk/3space/.

AKOU have recently been awarded GLA funding to further develop the model to show the extent of the impact at International House but also across Brixton. This will better show how 3Space, by bringing together these organisations at scale in Brixton, has sped up and accelerated social impact and local economic growth.

In March 2020 3Space were successful in securing a new project in Harlesden, London called Harlesden Canalside. The proposal was for consultants REDO, We Made That and PRD to work with the Old Oak and Park Royal Development Corporation (OPDC) and the boater and resident community to bring to life an under-utilised stretch of the canal side. The aim of the 5-year project was to create a flagship facility which boat dwellers, local residents, workers and visitors can use for decades to come. 3Space was due to operate the facilities starting in 2022 for up to 5 years before handing over to a suitable community organisation. However, after a key consultation phase in early 2022, the landowners were unable to agree a way forward and decided they did not wish to continue with the project in the original format. The project will now focus on public realm which doesn't require an operator. The contract was cancelled in November 2021, which is outside of this reporting period. Whilst this is disappointing, much of the work was undertaken by consultants which meant there was very limited risk or cost impact on 3Space.

Further details of additional past projects can be found on the Charity's website.

During the period, the charity has continued to work with and develop its Advisory Panel - a group of experts from the property, regeneration and marketing sectors - who provide advice and direction. 3Space hugely appreciates the time, effort and valuable support generously given by the members of the Panel.

Impact of Covid-19

After losing several tenants in 2020, throughout 2021/22 3Space has seen a gradual build up of tenants. By the end of the reporting period it had found additional tenants to support its operations. Throughout the pandemic 3Space has remained in a stable position with sufficient reserves which can be used to cover running costs.

Planning permission was received for 10th and 11th floors for a coworking and hospitality venue at International House in 2020. However, the project hospitality partner Civic could not secure investment to proceed due to the Covid-19 pandemic and the impact this had on the sector. The rooftop is currently being used as a recreation space in the summer months for tenants. In this reporting period the charity continued to explore options for more public and intensive use working within the constraints of the limited remaining lease length and the continuing impact of Covid-19 on the sector. However, after several attempts during the reporting period it has been unable to find a solution which fits within limited lease length and is supported by its landlord, Lambeth Council.

Opening in October 2022, which is outside of the reporting period, the 10th floor is now being used as a space for careers, called the Common Room for Carers. It is provided free of charge with funding for fit-out from the Paul Hamlyn Foundation. It is available for those working in the caring industry to charge their phones, heat up their meals, find support and discuss improvements to their work conditions.

FINANCIAL REVIEW

Investment policy and objectives

Under its Memorandum and Articles of Association, the charity has the power to invest in any way the trustees wish The trustees, having regard to the liquidity requirements of operating the charity have maintained a policy of keeping available funds in interest bearing deposit accounts.

Reserves policy

It is the policy of the charity to maintain unrestricted funds, which include the free reserves of the charity, at a level which the trustees think appropriate after considering the future commitments of the charity and the likely costs of the charity fir the next year.

The financial position at the end of the period was a surplus of £110,473 (2021: £17,401).

Page 5

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

FUTURE DEVELOPMENTS

3Space continues to work on securing new properties to deliver greater impact. The lease at International House in Brixton expires in September 2022. 3Space’s goal is to replicate the success of International House and expand its operations by opening a flagship hub in each quadrant of London in the next 5 years. 3Space will continue to focus on opportunities to use publicly owned assets to implement its Spaces for Public Good approach, while also considering opportunities to again work with the private sector.

In April 2022, just outside the reporting period, 3Space was successful in winning the tender from Haringey Council to operate 40 Cumberland Road, Wood Green. This is a 35,000 sq ft building with a lease for 10 years where 3Space will implement its Space for Public Good and BuyGiveWork model. 3Space is currently working with the Council with the intention of opening late in 2023 or early 2024.

3Space is well placed to secure government tenders for affordable workspace and the delivery of social value. The charity will also continue to explore opportunities to expand its reach and impact working with the private sector.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

In the event of the company being wound up members are required to contribute an amount not exceeding £1.

Recruitment and appointment of new trustees

The initial Trustees founded the company due to their interest in the aims of the charity as set out below.

Organisational structure

Trustees meet informally on a regular basis to manage the activities of the charity, which are organised by the executive management committee.

A Trustee is required to sign any property lease that the charity enters into.

Induction and training of new trustees

All Trustees have read the guidance issued by Charity Commission concerning their roles and obligations.

Trustees can retire when they wish as they do not serve under a fixed term.

Risk management

The Trustees have conducted a full risk assessment of the organisation. Various systems and checks have been put into operation and these are reviewed annually.

The Trustees are satisfied that systems are in place to mitigate our exposure to those major risks.

The Trustees have a duty to identify and review the risks to which the Charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

07221470 (England and Wales)

Registered Charity number

1136377

Registered office

105 Eade Road OCC Building A 2nd Floor Unit 11a London N4 1TJ

Page 6

3SPACE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022

Trustees

Mr A J Brown Mr N D Elliot Mr W Hyslop

Independent Examiner

DAS Accounting Services Ltd 105 Eade Road OCC Building A 2nd Floor Unit 11a London N4 1TJ

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of 3Space for the purposes of company law) are responsible for preparing the Report of the Trustees 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 company for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by order of the board of trustees on 29 December 2022 and signed on its behalf by:

Mr A J Brown - Trustee

Page 7

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF 3SPACE

Independent examiner's report to the trustees of 3Space ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2022.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of 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 your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of FCCA 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:

  1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or

  2. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

  3. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Mr Pesach Davidoff FCCA DAS Accounting Services Ltd 105 Eade Road OCC Building A 2nd Floor Unit 11a London N4 1TJ

29 December 2022

Page 8

3SPACE

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022

2022
Unrestricted
fund
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
232,704
Charitable activities
Charitable activities
85,623
Investment income
3
11
Total
318,338
EXPENDITURE ON
Charitable activities
Charitable activities
225,266
Amounts released on loan to subsidiary
undertaking
-
Total
225,266
NET INCOME/(EXPENDITURE)
93,072
RECONCILIATION OF FUNDS
Total funds brought forward
17,401
TOTAL FUNDS CARRIED FORWARD
110,473		 2021
Total
funds
£
355,608
126,880
26,653
509,141
323,301
374,018
697,319
(188,178)
205,579
17,401

The notes form part of these financial statements

Page 9

3SPACE

BALANCE SHEET 31 MARCH 2022

2022
Unrestricted
fund
Notes
£
FIXED ASSETS
Investments
7
10,100
CURRENT ASSETS
Debtors
8
170,109
Cash at bank
124,914
295,023
CREDITORS
Amounts falling due within one year
9
(194,650)
NET CURRENT ASSETS
100,373
TOTAL ASSETS LESS CURRENT
LIABILITIES
110,473
NET ASSETS/(LIABILITIES)
110,473
FUNDS
11
Unrestricted funds
110,473
TOTAL FUNDS
110,473		 2021
Total
funds
£
10,100
95,524
166,947
262,471
(255,170)
7,301
17,401
17,401
17,401
17,401

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 29 December 2022 and were signed on its behalf by:

Mr A J Brown - Trustee

The notes form part of these financial statements

Page 10

3SPACE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1. STATEMENT OF COMPLIANCE

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006.

2. ACCOUNTING POLICIES

Basis of preparation

The financial statements have been prepared under the historical cost convention.

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

Preparation of consolidated financial statements

The charity is not required to prepare consolidated financial statements in accordance with the Charities Act 2011, and has taken advantage of the option not to prepare consolidated financial statements contained in section 398 of the Companies Act 2006 on the basis that the charity and its subsidiary undertaking comprise a small group.

Critical accounting judgements and key sources of estimation uncertainty

In the application of the Company's accounting policies, the directors are required to make judgments, 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 directors do not consider there are any critical judgments or sources of estimation uncertainty requiring disclosure beyond the accounting policies listed below.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Governance costs

Governance costs are associated with the governance arrangements of the company and charity and relating to the general running of both. These costs include audit, legal advice for trustees and costs

associated with meeting constitutional and statutory requirements such as the cost of trustee meetings and the preparation of the statutory accounts.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

continued...

Page 11

3SPACE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

2. ACCOUNTING POLICIES - continued

Fund accounting

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.There are no restricted funds as at the Balance Sheet date.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the period of the lease.

Financial instruments

Basic financial instruments are recognised at amortised cost, except for investments in non-convertible reference and non-puttable ordinary shares which are measured at fair value, with changes recognised in profit or loss. Derivative financial instruments are initially recorded at cost and thereafter at fair value with changes recognised in profit or loss.

3. INVESTMENT INCOME

Deposit account interest
Other interest receivable
4.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Income from charitable
activities
Charitable activities		 2022
2021
£
£
11
44
-
26,609
11
26,653
2022
2021
£
£
85,623
126,880

Income from charitable activities relates to rent charged to the charity's subsidiary, 3Space Trading Ltd, in relation to the youth, cultural and community programmes provided on the Give Floors as part of the BuyGiveWork initiative.

5. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

Independent examiner's fee 2022
2021
£
£
2,350
-
Other operating leases 206,400
206,400

continued...

Page 12

3SPACE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

6. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021.

7. FIXED ASSET INVESTMENTS

Shares in
group
Unlisted
undertakings
investments
£
£
COST
At 1 April 2021 and 31 March 2022
100
10,000
NET BOOK VALUE
At 31 March 2022
100
10,000
At 31 March 2021
100
10,000		 Totals
£
10,100
10,100
10,100

There were no investment assets outside the UK.

The company's investments at the balance sheet date in the share capital of companies include the following:

3Space Trading Ltd

Registered office: 105 Eade Road, OCC Building A, 2nd Floor, Unit 11A, London N4 1TJ Nature of business: Management of real estate

Class of share: %
holding
Ordinary 100
Aggregate capital and reserves 31.3.22
31.3.21
£
£
411,745
391,356
Profit for the year 253,093
278,485

Consolidated financial statements have not been prepared as the charity has taken advantage of the exemption conferred by section 398 of the Companies Act 2006.

8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade debtors
Other debtors
Accrued income
Prepayments		 2022
£
-
105,609
-
64,500
170,109		 2021
£
58
4,357
26,609
64,500
95,524

continued...

Page 13

3SPACE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Other creditors
Accrued expenses		 2022
£
40
192,260
2,350
194,650		 2021
£
-
251,270
3,900
255,170

10. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

Within one year
Between one and five years		 2022
£
206,400
87,649
294,049		 2021
£
206,400
294,049
500,449

11. MOVEMENT IN FUNDS

MOVEMENT IN FUNDS
Unrestricted funds At 1.4.21
£		 Net
movement
At
in funds
31.3.22
£
£
General fund 17,401 93,072
110,473
TOTAL FUNDS 17,401 93,072
110,473

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
TOTAL FUNDS		 Incoming
resources
£
318,338
318,338		 Resources
Movement
expended
in funds
£
£
(225,266)
93,072
(225,266)
93,072

continued...

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3SPACE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022

11. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.4.20
£
Unrestricted funds
General fund
205,579
TOTAL FUNDS
205,579
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
509,141
TOTAL FUNDS
509,141		 Net
movement
At
in funds
31.3.21
£
£
(188,178)
17,401
(188,178)
17,401
Resources
Movement
expended
in funds
£
£
(697,319)
(188,178)
(697,319)
(188,178)

12. RELATED PARTY DISCLOSURES

During the year the charity received donations of £232,704 and rental income of £85,623 from its subsidiary, 3Space Trading Ltd.

No transactions with related parties other than disclosed above were undertaken such as are required to be disclosed under Charities SORP (FRS102).

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