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2021-07-31-accounts

REGISTERED COMPANY NUMBER: 07079369 (England and Wales) REGISTERED CHARITY NUMBER: 1136923

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

FOR THE LITTLE ARK PRESCHOOL

McCabe Ford Williams Chartered Accountants Invicta Business Centre Monument Way Orbital Park Ashford Kent TN24 0HB

THE LITTLE ARK PRESCHOOL

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

Page
Report of the Trustees 1 to 2
Independent Examiner's Report 3
Statement of Financial Activities 4
Balance Sheet 5
Notes to the Financial Statements 6 to 10

THE LITTLE ARK PRESCHOOL (REGISTERED NUMBER: 07079369)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2021

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 July 2021. 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).

OBJECTIVES AND ACTIVITIES

Objectives and aims

To enhance the development and education of children primarily under statutory school age in particular but not exclusively by:

i) offering appropriate play, education and care facilities and training courses and by

ii) creating a happy and caring and inclusive environment in which children can explore and develop and to nurture their self esteem and work alongside parents and prepare them for their transition to school.

Public benefit

In carrying out the Charity's objectives the Trustees have had due regard for the guidance issued by the Charity Commission on public benefit.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

This charitable company was set up on 18 November 2009 and subsequently achieved registered charity status on 15 July 2010.

The charity has continued to strive to meet its objectives which have been assisted by fundraising activities, initiatives and staff training.

An Ofsted inspection was carried out in July 2017 and resulted in a grading of 'Good'. We continue to review our practises in readiness for Ofsted. We are still awaiting our new Ofsted inspection since the new supervisor was appointed in October 2017.

FINANCIAL REVIEW

Overview

The Little Ark has had another successful year and continues to maintain a good reputation in the local area. The waiting list remains consistently healthy.

The figures for the year show a surplus of £25,356 (2020: £14,664 2019: £16,125).

We have continued to keep our sessions availability higher to maintain our income.

As planned, we have replaced items such as the climbing frame, room dividers, washing machine and dishwasher.

Statutory Training is funded by the Collaboration this year and we hope this will continue in the future ensuring staff are kept up to date with statutory training eg First Aid and Safeguarding. We are looking to increase training for staff on courses like Early Talk Boost.

COVID-19

The setting has remained open during lockdowns since reopening on 1st June 2020 and then to key worker children late 2020/2021.

We have only had to close for one week due to a suspected case of COVID-19. We continue to buy PPE as required e.g. antibacterial wipes and spray, aprons, gloves, antibacterial cleaning solution. Risk assessments have been put in place and ways of working have changed, which includes limited parental contact, reduced equipment, removal of soft furnishings and additional cleaning of the setting. We anticipate that much of this will continue when we open in September 2021.

Reserves policy

The charity monitors its funds and funding requirements informally on a regular basis and is still looking to adopt a more formal reserves policy.

Page 1

THE LITTLE ARK PRESCHOOL (REGISTERED NUMBER: 07079369)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2021

FUTURE PLANS

One of our members of staff are going on Maternity Leave and we are looking to employ an apprentice. We will also be eligible for Government funding.

We continue to be part of a large collaboration of 27 settings in Ashford, and two of our staff hold key roles within this group (Chair and Treasurer). The group is thriving by sharing good practice.

Next year: The Collaboration are giving each setting up to £1,000 to spend on items to benefit the children in the setting, this should be available from October.

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.

Recruitment and appointment of new trustees

The policy of the charity is to appoint trustees from the following positions within the school: Head Teacher, School Governor, Office Manager.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

07079369 (England and Wales)

Registered Charity number

1136923

Registered office

The Little Ark Wesley School Road Cuckoo Lane Ashford Kent TN23 5LW

Trustees

P G Spragg J W N Pearson (resigned 22.1.21) Mrs C A Clark Miss R S Harrington Mrs P M Wood

Company Secretary

C Rae

Independent Examiner

McCabe Ford Williams Chartered Accountants Invicta Business Centre Monument Way Orbital Park Ashford Kent TN24 0HB

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 24 November 2021 and signed on its behalf by:

P G Spragg - Trustee

Page 2

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE LITTLE ARK PRESCHOOL

Independent examiner's report to the trustees of The Little Ark Preschool ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 July 2021.

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

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.

Mark C Greenwood FCA McCabe Ford Williams Chartered Accountants Invicta Business Centre Monument Way Orbital Park Ashford Kent TN24 0HB

24 November 2021

Page 3

THE LITTLE ARK PRESCHOOL

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 JULY 2021

Unrestricted
fund
Notes
£
INCOME AND ENDOWMENTS FROM
Charitable activities
Income from charitable activities
139,031
Operation of the preschool
1,691
Other trading activities
2
153
Investment income
3
8
Total
140,883
EXPENDITURE ON
Charitable activities
Operation of the preschool
115,527
NET INCOME
25,356
RECONCILIATION OF FUNDS
Total funds brought forward
129,862
TOTAL FUNDS CARRIED FORWARD
155,218
Restricted
fund
£
-
18,770
-
-
18,770
18,770
-
-
-
2021
Total
funds
£
139,031
20,461
153
8
159,653
134,297
25,356
129,862
155,218
2020
Total
funds
£
153,324
-
470
158
153,952
139,288
14,664
115,198
129,862

The notes form part of these financial statements

Page 4

THE LITTLE ARK PRESCHOOL (REGISTERED NUMBER: 07079369)

BALANCE SHEET 31 JULY 2021

Unrestricted
fund
Notes
£
FIXED ASSETS
Tangible assets
9
1,199
CURRENT ASSETS
Stocks
10
704
Debtors
11
765
Cash at bank and in hand
156,586
158,055
CREDITORS
Amounts falling due within one year
12
(4,036)
NET CURRENT ASSETS
154,019
TOTAL ASSETS LESS CURRENT LIABILITIES
155,218
NET ASSETS
155,218
FUNDS
13
Unrestricted funds
TOTAL FUNDS
Restricted
fund
£
-
-
-
-
-
-
-
-
-
2021
Total
funds
£
1,199
704
765
156,586
158,055
(4,036)
154,019
155,218
155,218
155,218
155,218
2020
Total
funds
£
1,554
448
32
130,524
131,004
(2,696)
128,308
129,862
129,862
129,862
129,862

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 July 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 July 2021 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 24 November 2021 and were signed on its behalf by:

P G Spragg - Trustee

R S Harrington - Trustee

The notes form part of these financial statements

Page 5

THE LITTLE ARK PRESCHOOL

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Statutory Information

The Little Ark Preschool is a charitable company, Limited by guarantee and registered in England. The charity's registered number, principal address and nature of operation can be found within the Report of the Trustees.

The accounts are presented in sterling which is the functional currency of the charitable company.

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.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures, fittings & equipment

It is the policy of the Charity to capitalise items that will be used for more than one year. These items are initially recognised at cost.

Stocks

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

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.

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.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Debtors

Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.

Creditors

The charity has creditors which are measured at settlement amounts less any trade discounts.

Page 6

continued...

THE LITTLE ARK PRESCHOOL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

2. OTHER TRADING ACTIVITIES

3.

4.

OTHER TRADING ACTIVITIES
2021 2020
£ £
Fundraising events 153 470
INVESTMENT INCOME
2021 2020
£ £
Deposit account interest 8 158
NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
2021 2020
£ £
Depreciation - owned assets 579 961
Deficit on disposal of fixed assets 385 782

5. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 July 2021 nor for the year ended 31 July 2020.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 July 2021 nor for the year ended 31 July 2020.

6. STAFF COSTS

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

7.

All staff
No employees received emoluments in excess of £60,000.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
fund
£
INCOME AND ENDOWMENTS FROM
Charitable activities
Income from charitable activities
133,140
Other trading activities
470
Investment income
158
Total
133,768
EXPENDITURE ON
Charitable activities
Operation of the preschool
119,104
NET INCOME
14,664
RECONCILIATION OF FUNDS
Total funds brought forward
115,198
2021
13
Restricted
fund
£
20,184
-
-
20,184
20,184
-
-
2020
12
Total
funds
£
153,324
470
158
153,952
139,288
14,664
115,198

Page 7

continued...

THE LITTLE ARK PRESCHOOL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

7.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
fund
£
TOTAL FUNDS CARRIED FORWARD
129,862
8.
INDEPENDENT EXAMINERS REMUNERATION
During the year the following fees were incurred for the examination of the accounts.
Independent examiner’s fees
Accountancy services fees paid to the independent examiner
9.
TANGIBLE FIXED ASSETS
COST
At 1 August 2020
Additions
Disposals
At 31 July 2021
DEPRECIATION
At 1 August 2020
Charge for year
Eliminated on disposal
At 31 July 2021
NET BOOK VALUE
At 31 July 2021
At 31 July 2020
10.
STOCKS
Stocks
11.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors
Restricted
fund
£
-
Restricted
fund
£
-
2021
£
370
710

Page 8

continued...

THE LITTLE ARK PRESCHOOL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Social security and other taxes
Accruals and deferred income
2021
£
1,094
292
2,650
4,036
2020
£
39
155
2,502
2,696

The deferred income is in relation to deposits received for the following school year.

13. MOVEMENT IN FUNDS

Net
movement At
At 1.8.20 in funds 31.7.21
£ £ £
Unrestricted funds
General fund
129,862
25,356 155,218
TOTAL FUNDS
129,862
25,356 155,218
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund
140,883
(115,527) 25,356
Restricted funds
System Leadership Supplement
18,770
(18,770) -
TOTAL FUNDS
159,653
(134,297) 25,356
Comparatives for movement in funds
Net
movement At
At 1.8.19 in funds 31.7.20
£ £ £
Unrestricted funds
General fund
115,198
14,664 129,862
TOTAL FUNDS
115,198
14,664 129,862
Comparative net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund
133,768
(119,104) 14,664
Restricted funds
System Leadership Supplement
20,184
(20,184) -
TOTAL FUNDS
153,952
(139,288) 14,664

Page 9

continued...

THE LITTLE ARK PRESCHOOL

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

13. MOVEMENT IN FUNDS - continued

The System Leadership Supplement from Local Government was contributed to the Ashford Early Years Collaboration in accordance with the terms under which this supplement was awarded.

14. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 July 2021.

Page 10