Registered number 07239641 Sure and Firm Foundations ## Report and Financial Statements 31 December 2020 ## **Sure and Firm Foundations Report and accounts Contents** ||**Page**| |---|---| |Company information|1| |Trustees' report|2| |Independent examiner's report|6| |Statement of financial activities|7| |Statement of financial position|8| |Statement of cash flows|9| |Notes to the financial statements|10| |Detailed income and expenditure account|13| |Detailed statement of financial activities|14| ## **Sure and Firm Foundations Charitable Company Information** ## **Trustees** Wayne Bent Marcia Jones ## **Independent examiners** Jacksons First Floor, Albion House Albion Street Hull HU1 3TE ## **Registered office** New Life Assembly Church Hall 55a Upland Road, East Dulwich London SE22 0DA **Registered number** 07239641 1 **Sure and Firm Foundations Registered number: 07239641 Trustees' Report** The Trustees, who are also directors for the purposes of company law, present their report and financial statement for the charitable company for the year ended 31 December 2020. ## **Principal activities and objectives** The charitable company's principal activity during the year continued to be: - the advancement of education of children below compulsory school age; and - the provision of facilities for recreation for such children in the interest of social welfare and with their conditions of life by providing for all children without discrimination a safe and satisfying preschool environment. These objectives find tangible expression in our core service “My Favourite Nursery” which operates a range of activities in our Upland Road premises. Our principal partner is the New Life Assembly Church which shares with us the determination to produce and maintain an effective programme of nursery services for pre-school children in the borough. ## **Achievements and performance** As it has been with almost every business, 2020 has been a very challenging year for My Favourite Nursery. As a provider of childcare to parents within the local community which includes NHS, London Metropolitan Police, Social Services and Local Authority workers, MFN remained open during the initial lockdown to provide an essential service which enabled those key workers to continue working throughout the COVID-19 pandemic. Due to the pandemic, all fundraising and social activities such as the annual Sports Day and Graduation had to be cancelled, but the Christmas Programme was able to be held by the children albeit without the usual parental support. Management and staff have worked very hard to implement the requirements given by the Government regarding sanitation, social distancing and testing and this was complimented by the cooperation of the parents who worked together with the Nursery to ensure a safe environment for their children to attend. This partnership has worked so well that MFN has been able to remain open and has had no COVID-19 outbreak to date. We would like to extend our gratitude to the Management Team, Administrators, Nursery, Premises and Kitchen Staff for all their hard work and we commend them for continuing to provide an excellent service to the local community in such challenging circumstances. ## **Financial review** Nursery fees paid by clients provide the main source of income for the charity. ## **Reserves policy** The trustees have forecast the level of free reserves, (that is, those funds not tied up in fixed assets or restricted funds); the charity will require to sustain its contracted operations to completion. It has established a policy whereby funds not committed or invested in tangible fixed assets held by the charity should be between 6 and 9 months of the expenditure. These reserves are needed to meet the working capital requirements of the charity and the Trustee Board is confident that at this level they would be able to maintain continuity of the current activities of the charity in the event of a significant drop in funding. 2 **Sure and Firm Foundations Registered number: 07239641 Trustees' Report** ## **Investment policy** The trustees have adopted a strong socially responsible investment policy for the reserves of the charity. This policy, in tandem with the need to fulfil our statutory obligations, has the objective of investing in such a way that the principles of socially responsible investment are promoted. A further factor is the need to have ready access to our reserves, as long-term funding cannot be guaranteed, so for the current period, we have utilised the treasury service provided by our bankers. ## **Governing document** Sure and Firm Foundations is a charitable organisation limited by guarantee, incorporated in April 2010 and registered as a charity on 28th September 2010. The company was established under a memorandum of association which established the objects and powers of the company and is governed under its articles of association. In the event of the company being wound up, members are required to contribute an amount not exceeding £10. ## **Organisational structure** At their regular meetings, the board members agree the broad strategy and areas of activity for the charity, including consideration of grant making, investment, reserves and risk management policies and performance. The operation of the nursery is delegated to managers who are overseen by the directors. The managers have responsibility for the day to day operational management of the resource centres, supervision of the staff teams and for ensuring that teams continue to develop their skills and working practices in line with good practice. ## **Recruitment and appointment of trustees** The company directors are also charity trustees for the purposes of charity law and under the company's Articles are members of the Trustee Board which is its primary management body. Under the requirements of the Memorandum and Articles of Association the members of the Board are elected by the members to serve for a period of five years after which they must be re-elected at the next Annual General Meeting. Much of the charity's work inevitably focuses upon the operation and maintenance of the children's nursery which operates under the name of “My Favorite Nursery”. The Trustee Board seeks to ensure that the needs of this group are appropriately reflected through the diversity of the trustee body. To enhance the potential pool of directors, the charity has, through selective advertising and networking with voluntary organizations active in the sector, sought to identify those who would be willing to become members of the charity and use their own experience to assist the charity. ## **Trustee induction and training** Many trustees are already familiar with the practical work of the charity having been involved in other capacities or because of experience gained in their own churches or other organisations. New trustees are invited and encouraged to attend a series of short training sessions to familiarise themselves with the charity and the context within which it operates. These cover: - the obligations of Trustee Board members; - the operational framework for the charity; - the current financial position and revenue generation; and - future plans and objectives. 3 **Sure and Firm Foundations Registered number: 07239641 Trustees' Report** ## **Reference and administrative information** **Name of charity** Sure and Firm Foundations **Charity registration number** 1138204 **Company registration number** 07239641 **Principal address** New Life Assembly Church Hall 55a Upland Road, East Dulwich, London, SE22 0DA ## **Independent examiners** Jacksons First Floor, Albion House Albion Street Hull HU1 3TE ## **Trustees** The following persons served as trustees during the year: Wayne Bent Marcia Jones ## **Trustees' responsibilities** The trustees as directors are responsible for preparing the report and financial statements in accordance with applicable law and regulations. Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (Financial Reporting Standard 102 and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are - select suitable accounting policies and then apply them consistently;i d t - make judgements and 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 charitable company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. 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. ## **Disclosure of information to independent examiners** Each person who was a director at the time this report was approved confirms that: - so far as he is aware, there is no relevant audit information of which the company's auditor is unaware; and 4 Sure and Firni Foundations Registered number: 07239641 Trustees. Report he has taken all the step5 that he (￿Jght lo have taken as a director in order to make himsett awarè of any rèlèvant audit infomialion and to eslaNish that the companls auditor is aware of that information. This report was approved by the board on 15 December 2021 and signed on its behall. Wayne Trustee nt **Sure and Firm Foundations** **Independent examiner's report to the members of Sure and Firm Foundations** I report to the trustees on my examination of the accounts of the above charitable company ('the Company') for the year ended 31 December 2020. ## **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 the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I a member of [insert named of applicable listed body], 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 3. 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 4. 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 Jackson, BA FCA (Senior Statutory Auditor) for and on behalf of Jacksons Chartered Accountants First Floor, Albion House Albion Street Hull HU1 3TE 15 December 2021 6 ## **Sure and Firm Foundations Statement of Financial Activities for the year ended 31 December 2020** |**Notes**
**Income and endowments from:**
Charitable activities
2
Other operating income
Interest receivable
**Total**
**Expenditure on:**
Charitable activities
Administrative expenses
**Total**
**Net income/(expenditure)**
3
**Reconciliation of funds**
Total funds brought forward
**Total funds carried forward**|**2020**
**£**
564,867
27,957
89
592,913
(16,131)
(545,611)
(561,742)
31,171
111,541
142,712|**2019**
**£**
625,408
4,542
134
630,084
(25,205)
(612,457)
(637,662)
(7,578)
119,119
111,541| |---|---|---| 7 Sure and Finn Foundations Statement of Financial Position as at 31 December 2020 Notes 2020 2019 Flx•d as5et$ Tangible assels 24,175 32.233 Current assets Cash at bank and in hand 181.881 141,695 Crgditors.. amounts falling due within one yèar 163.344 {62.3871 Net ¢urrent assets 118,537 79,308 Net assets 142,712 111,541 The charity's funds Unrestricted income funds 142.712 111,541 Total funds 142,712 111.541 For the year ended 31 December 2020 Ihe charita￿e comparby was enb.yed to exemption from audit under section 477 01 the Companie5 Act 2006 rdating to small companies. . Thè mèmbers have not requiTed company lo obtain an audit of its accounts for the year in quesbon in accordanGe wth 5ecb.on 476, . The Iruslees acknowledge their re5pon5ibilth.es for cOmpl￿n9 the requirements of the Act with ¥espeGt to accountingrecords and the preparab.on of accounts. These accounts have been prepared in aCCc￿d8n¢e wlh the provisions applicable to companies subject to the small companies. regime. The financial statements were approved and authorised for issue by the Board and svjned on its behalf by.. Wayne Benl Director Approved by the board on 15 December 2021 ## **Sure and Firm Foundations Statement of Cash Flows** ## **for the year ended 31 December 2020** |**Notes**
**Operating activities**
Profit/(loss) for the financial year
Adjustments for:
Interest receivable
Depreciation
Increase in creditors
Interest received
Cash generated by/(used in) operating activities
**Net cash generated/(used)**
Cash generated by/(used in) operating activities
Net cash generated/(used)
Cash and cash equivalents at 1 January
Cash and cash equivalents at 31 December
Cash and cash equivalents comprise:
Cash at bank|**2020**
**£**
31,171
(89)
8,058
957
40,097
89
40,186
40,186
40,186
141,695
181,881
181,881|**2019**
**£**
(7,578)
(134)
785
5,844
(1,083)
134
(949)
(949)
(949)
142,644
141,695
141,695| |---|---|---| 9 **Sure and Firm Foundations Notes to the Accounts for the year ended 31 December 2020** ## **1 Summary of significant accounting policies** ## _**Basis of preparation**_ The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with eh Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. ## _**Income**_ Income is measured at the fair value of the consideration received or receivable and net of discounts. The charity's income is revenue earned from the rendering of nursery services for pre-school children at its Upland Road premises, in London. ## _**Tangible fixed assets**_ Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows: Computer and equipment 25%, reducing balance Fixtures, fittings, tools and equipment 25%, reducing balance ## _**Debtors**_ Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts. ## _**Creditors**_ Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method. ## _**Pensions**_ Contributions to defined contribution plans are expensed in the period to which they relate. |**2**
**Analysis of income**
Charitable activities
**3**
**Surplus**
This is stated after charging:
Depreciation of owned fixed assets
Carrying amount of stock sold|**2020**
**£**
564,867
**2020**
**£**
8,058
11,174|**2019**
**£**
625,408
**2019**
**£**
785
18,452| |---|---|---| 10 ## **Sure and Firm Foundations Notes to the Accounts** ## **for the year ended 31 December 2020** |**4**
**Staff costs**
Wages and salaries
Social security costs
Other pension costs
**Average number of employees during**
Administration and management
Operational/Nursery
Kitchen staff
Maintenance
**5**
**Tangible fixed assets**
**Cost or valuation**
At 1 January 2020
At 31 December 2020
**Depreciation**
At 1 January 2020
Charge for the year
At 31 December 2020
**Carrying amount**
At 31 December 2020
At 31 December 2019|**the year**
**Computer and**
**equipment**
_At cost_
**£**
1,557
1,557
1,515
383
1,898
(341)
42|**2020**
**£**
314,816
24,245
11,273
350,334
**Number**
6
18
1
1
26
**Fixtures,**
**fittings, tools**
**and equipment**
_At cost_
**£**
61,236
61,236
29,045
7,675
36,720
24,516
32,191|**2019**
**£**
281,580
24,020
8,750
314,350
**Number**
6
18
1
1
26
**Total**
**£**
62,793
62,793
30,560
8,058
38,618
24,175
32,233| |---|---|---|---| 11 ## **Sure and Firm Foundations Notes to the Accounts** **for the year ended 31 December 2020** |**6**
**Creditors: amounts falling due within one year**
Trade creditors
Accruals and deferred income
**7**
**Unrestricted funds**
At 1 January
Surplus/(deficit) for the financial year
At 31 December|**2020**
**£**
1,500
61,844
63,344
**2020**
**£**
111,541
31,171
142,712|**2019**
**£**
1,500
60,887
62,387
**2019**
**£**
119,119
(7,578)
111,541| |---|---|---| ## **8 Presentation currency** The financial statements are presented in Sterling, rounded to the nearest pound (£). ## **9 Legal form of entity and country of incorporation** Sure and Firm Foundations is a charitable company limited by guarantee and incorporated in England. ## **10 Principal place of business** The address of the charitable company's principal place of business and registered office is: New Life Assembly Church Hall 55a Upland Road, East Dulwich London ## **11 Taxation** Sure and Firm Foundations, a charible company, is a registered charity and so is not taxed on its income. 12 ## **Sure and Firm Foundations Detailed income and expenditure account for the year ended 31 December 2020** _This schedule does not form part of the statutory accounts_ |**Income**
Expenditure on charitable activities
**Gross surplus**
Administrative expenses
Other operating income
**Operating surplus/(deficit)**
Interest receivable
**Surplus/(deficit) before tax**|**2020**
**£**
564,867
(16,131)
548,736
(545,611)
27,957
31,082
89
31,171|**2019**
**£**
625,408
(25,205)
600,203
(612,457)
4,542
(7,712)
134
(7,578)| |---|---|---| 13 ## **Sure and Firm Foundations** ## **Detailed statement of financial activities for the year ended 31 December 2020** |**Income from charitable activities**
Nursery fees
**Expenditure**
Purchases (Food and drink)
Donations and missions
School activities and travel
Swimming and external play
**Administrative expenses**
Employee costs:
Wages and salaries
Pensions
Employer's NI
Temporary staff and recruitment
Staff training and welfare
Premises costs:
Rent
Light and heat
Cleaning
General administrative expenses:
Telephone and internet
Postage
Stationery and printing
Subscriptions
Bank charges
Insurance
Repairs and maintenance
Depreciation
Sundry expenses
Legal and professional costs:
Independent examination fees
Consultancy fees
**Other operating income**
Government grants received
Other operating income|**2020**
**£**
564,867
11,174
2,200
2,567
190
16,131
314,816
11,273
24,245
105,828
6,117
462,279
35,000
4,061
7,998
47,059
8,538
692
3,965
1,771
89
-
6,761
8,058
149
30,023
1,510
4,740
6,250
545,611
26,583
1,374
27,957|**2019**
**£**
625,408
18,452
2,200
3,709
844
25,205
281,580
8,750
24,020
179,015
20,609
513,974
59,500
-
8,074
67,574
6,985
-
5,683
977
1,419
1,824
7,729
785
312
25,714
1,545
3,650
5,195
612,457
-
4,542
4,542| |---|---|---| 14