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2024-08-31-accounts

Registered number 7922235

Little Elves Community Pre-school Ltd

Report and Accounts

31 August 2024

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Report and accounts Contents

Page
Statutory information 1
Report of the Directors and Trustees 2 - 4
Independent Examiner's Report 5
Balance Sheet 6
Statement of Financial Activities 7
Notes to the Accounts 8 - 10

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Statutory Information

The following information forms part of the Report of the Directors and Trustees

The company's registered office is:

The Key Centre The Key Fleet Hampshire GU51 1HA Telephone 01252 625332

The company was incorporated on 24 January 2012, number 07922235. It is also a registered charity, number 1145920.

The following Committee members have served as Directors and Trustees during the year ended 31 August 2024

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Name Position Note
Lauren McNiven Chair
Leanne West Vice Chair & Secretary
Gary Spencer Treasurer
Emma Spence
Izabela Dlugosz
Emma Simpson Resigned 8 September 2023
Billie Hearmon Appointed 6 March 2024
Laura Lewis Appointed 6 March 2024
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The independent examiner is:

Mr Brandon Yeadon FMAAT Cronulla Thursley Road Elstead GU8 6ED

The company's bankers are:

Co-operative Bank plc, PO Box 250, Skelmersdale, Cheshire, WN8 6WT

1

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Report of the Directors and Trustees

The directors, who are also trustees, have pleasure in submitting their report for the period. The directors who have served during the period are listed on the page 1, along with the other statutory information that forms part of the annual report. This report is to be presented at the forthcoming annual general meeting, planned to be held on 13th November 2024.

The Directors and Trustees of Little Elves community Pre-School Ltd have worked through the Charity Governance Code for smaller charities and it was agreed by the board to implement the code and the responses. It was further agreed that the document would be reviewed annually to keep it up to date.

Objects and organisation

The company was incorporated on 24 January 2012 to take over the operations and assets of the Little Elves Community Pre-School, an unincorporated charity which was established in 2002 and which was providing pre-school facilities from The Key Centre at Elvetham Heath, Fleet. This takeover was effected on 1 September 2012. The company has continued to provide those same pre-school activities with largely the same staff from the Key Centre.

The company has operated with the same constitution as the unincorporated charity, based on the standard model provided by the Pre-school Learning Alliance. The company aims to:

(a) Offer appropriate play, education and care facilities, family learning and extended hours groups, together with the right of parents to take responsibility for, and become involved in, the activities of such groups, ensuring that such groups offer opportunities for all children whatever their race, culture, religion, means or ability;

(b) Encourage the study of the needs of such children and their families and promote public interest in, and recognition of, such needs in local areas;

(c) Instigate, adhere to and further the aims of the Pre-school Learning Alliance.

The Committee, who are managing trustees and are elected at the annual general meeting, meet each term to oversee the company's affairs. Day-to-day management of the pre-school activities is delegated to the manager and her staff.

2

Little Elves Community Pre-school Ltd (a company limited by guarantee and not having a share capital) Report of the Directors and Trustees

Operations

The Pre-school continues to run five mornings and afternoon sessions each week during State school terms. Children join from age 2 years and 6 months, and Government funding is available (a) for 3- and 4- year olds and (b) also now for eligible 2-year olds prior to attending school. The Pre-school is registered for 52 children per session. The Pre-school, on average, takes up to 80 children on roll per year who attend for a variety of sessions, but we do have scope to increase that number in line with staff ratios and childrens ages attending.

The most recent OFSTED inspection on the 30th September 2022 rated the Pre-school as 'Good'.

The Pre-school uses two rooms at The Key Centre building under the terms of a lease runnning to 30 March 2036, with permitted use solely for use by children up to 5 years old and supervised by adults, and containing appropriate break clauses for lessor and the Pre-school. Provided that the Pre-school (a) maintains the relevant OFSTED inspection rating and thus funding from local education authority, and (b) attracts sufficient numbers of children, it has security of tenure.

Finances

The attached Statement of Financial Activities summaries the company's income and expenditure for the year and shows a surplus of £22,299 for the year. This is supplemented by more detailed analysis in the Notes to the Accounts. The surplus has been transferred to reserves.

Net surplus for the year
Aggregate reserves brought forward
Aggregate reserves carried forward
£
22,299
224,329
246,628

The surplus compares with an equivalent surplus of £11,917 in the previous year.

Reserves

The Balance Sheet shows net assets of £246,628 compared with operating income of over £303,526 and expenditure of some £281,227. The Committee reviewed the policy on reserves in November 2023 and concluded that a minimum of £86,000 should be retained on unrestricted reserves, equivalent to approximately one term's expenditure and sufficient to cover potential redundancy costs. The Committee also agreed that this policy should be reviewed annually, or more often if necessary.

Public benefit

The Pre-school have considered the major risks to which the company is exposed, and the systems that have been established to mitigate these risks. Many of these risks are appropriately covered by insurance policies, and its policies are communicated to all staff, consultants and volunteers.

Risk assessment and management

The directors have considered the major risks to which the company is exposed, and the systems that have been established to mitigate these risks. Many of these risks are appropriately covered by the insurance policies, and its policies are communicated to all staff, consultants and volunteers.

3

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Report of the Directors and Trustees

Directors' responsibilites

Company law requires the directors to prepare annual accounts that give a true and fair view of the state of affairs of the company at the year end and of its financial activities during the period. These statements should comply with best practice and:

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

Audit exemption

The company is entitled to exemption from audit for the year ended 31 August 2024 both under the Companies Act 2006 and the Charities Act 2011; but, as a charity, it is required to have independent scrutiny of its accounts. The directors have therefore taken advantage of audit exemption.

This report was approved by the board on 13 November 2024 and signed on its behalf.

Lauren McNiven, Chair Director

4

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Independent examiner's report to the directors and trustees

I report on the accounts of the Company for the year ended 31 August 2024, which are set out on the pages 6 to 9 attached.

Respective responsibilites of trustees and reporting accountants

The trustees (who are directors of the Company for the purposes of company law) are responsible for the preparation of accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

Having satisfied myself that the Charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

Basis of independent examiner's report

My examination was carried out in accordance with the General Directions. An independent examination includes a review of the Charity's accounting records and a comparison of the accounts presented with those records. It also includes consideration of any unusual disclosures in the accounts, and seeking explanations from you as trustees concerning such matters. The procedures undertaken do not provide evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view', and the report is limited to those matters set out in the statement above.

Independent examiner's statement

In connection with my examination, no matter has come to my attention which gives me reasonable cause to believe that in any material respects the arrangements (a) to keep accounting records in accordance with section 396 of the Companies Act 2006, and (b) to prepare accounts which accord with the accountings records, comply with accounting requirements of section 396 of the said Act and the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities, have not been met; or (c) to which, in my opinion, attention should be drawn to enable a proper understanding of the accounts to be reached.

Brandon Yeadon FMAAT Independent examiner Dated:

Cronulla Thursley Road, Elstead GU8 6ED

5

Little Elves Community Pre-school Ltd

(a company limited by guarantee and not having a share capital) Balance Sheet

as at 31 August 2024

Notes
Current assets
Stock of uniforms
Trade debtors
Bank balances
Deposit accounts
Current accounts
Fundraising accounts
Petty cash
Creditors: amounts falling due
within one year
Other taxes and social security
Other creditors and accruals
Net assets
Funds
Called up share capital
3
Unrestricted income funds
4
Total: Funds
£
4,776
-
163,949
78,387
2,282
60
249,454
-
(2,826)
2024
£
246,628
246,628
-
246,628
246,628
£
4,430
-
162,054
55,003
3,873
60
225,420
-
(1,091)
2023
£
224,329
224,329
-
224,329
224,329

The Notes referred to above form part of these financial statements

For the financial period ended on 31 August 2024, the company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ('the Act') relating to small companies. The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Act.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

Lauren McNiven Chair and director Approved by the board on 13 November 2024

Gary Spencer Treasurer and director

6

Little Elves Community Pre-school Ltd (a company limited by guarantee and not having a share capital) Statement of Financial Activities for the year ended 31 August 2024

Notes
2024
£
Incoming Resources
Incoming resources from generated funds
Fundraising activities
1,996
Bank interest
1,895
Incoming resources from charitable activities
Early Years' grant from Hampshire County Council
241,397
SEN Funding grant
2,160
Fees paid by parents
55,464
Sundry income
614
Total incoming resources
303,526
Resources Expended
Cost of generating funds
Fundraising and publicity
271
Costs in furtherance of charity objects
2
277,923
Independent accountant's fees
1,188
Trustee indemnity insurance
1,845
Total resources expended
281,227
Net incoming resources
22,299
Funds balance brought forward
224,329
Funds balance carried forward
246,628
2023
£
1,865
756
213,575
-
54,753
611
271,560
622
255,815
1,188
2,018
259,643
11,917
212,412
224,329

The Notes referred to above form part of these financial statements

7

Little Elves Community Pre-school Ltd (a company limited by guarantee and not having a share capital) Notes to the Accounts for the year ended 31 August 2024

1 Accounting policies

General matters

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the second edition of the Charities Statement of Recommended Practice issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

Going concern

The company's operations are based in The Key Centre using two rooms and storage facilities hired from Elvetham Heath Parish Council under the terms of a lease running to 30 March 2036, with permitted use solely for use by children up to 5 years old and supervised by adults, and containing appropriate break clauses for lessor and the Pre-school. Provided that the Pre-school (a) maintains the relevant OFSTED inspection rating and thus funding from local education authority, and (b) attracts sufficient numbers of children, it has security of tenure. Having regard to the recent 'Good' ratings at OFSTED inspections, the directors are satisfied that the accounts of the Company may be prepared on a 'going concern' basis.

Income and expenditure

Donations are accounted for when received. All income and expenditure in furtherance of the charity's objectives is recognised in the period to which it relates.

Depreciation

Fixed assets are capitalised subject to a de minimis of £1,000, provided they have an expected life in excess of one year. Fixed assets are depreciated over their estimated useful lives (generally 5 years) on the straight line basis.

Stocks

Stocks are valued at cost.

Taxation

As a charity, income is exempt from income and corporation taxes. Its activities are exempt from value added tax (VAT), and expenditure is therefore inclusive of applicable VAT.

2
Employees
Average number of persons employed by the company
2024
Number
15
2023
Number
10

8

Little Elves Community Pre-school Ltd (a company limited by guarantee and not having a share capital) Notes to the Accounts

for the year ended 31 August 2024

3
Costs in furtherance of objectives
Staff salaries and employer National Insurance
Staff welfare, training and uniforms
Staff pensions
Premises rental
Equipment, consumables and other service costs
Administration
2024
£
211,890
3,520
5,670
32,353
18,149
6,341
277,923
2023
£
187,022
3,679
4,686
32,908
21,445
6,075
255,815

9

Little Elves Community Pre-school Ltd (a company limited by guarantee and not having a share capital) Notes to the Accounts

for the year ended 31 August 2024

4 Share capital

The company does not have share capital. The company has 8 members and their individual liabilty towards the company's debts is limited to £1 in the event of the company being wound up within 12 months of ceasing to be a member.

5
Movements on reserves
General reserves
Designated contingency reserve
Unallocated funds
Earmarked reserves
Opening
balance
£
86,000
138,329
224,329
224,329
Activities
£
22,299
22,299
22,299
Transfers
£
0
0
Closing
balance
£
86,000
160,628
246,628
246,628

6 Contingent liabilties

The company had no contingent liabilities at 31 August 2024 (2023: none).

10