## **THE CHILDREN'S AMAZING RURAL KIDS LIMITED** A Company Limited by Guarantee Company Registration number 06896723 **Registered Charity no 1147389** **Trustees' Annual Report and Accounts for the Year Ending 31st August 2020** THE CHILDREN'S AMAZING RURAL KIDS LIMITED Trustees Report Ad¥ninistr8tlve detalls The Children's Amazing RtEral Kids Ltd Incorporated as a Company Llmlted by Guarantee- Company registration number 06896723 Registered Charity number 1147389 Iformerly known as Pendeen Preschool, registered charity number 10442451 Principle Office and Company Reglstered Offlce: The Chlldren's Ark Church Road Pendeen Penzance Cornwall TR19 7SE T stee5 The following committee members were elected lor re-elected) at the AGM in November 2019, becoming Trustees of the Charity and Directors of the Company.. Joanne Jones- Chalr Rachel Chisholm._ Secretary Tamsyn Jose-Treasurer Kate Wonnacott Kirsteln Gill Tina Cowley Dan GiblinE Hilary Claire Hodgkiss Sarah Cottingham Hollie Clarke Chris Wilson Kathryn 05borne Additionallyi the following served as Trustees and D1￿CtOrS during the flnanclal year ending 31, August 2020 and have stood down during the year Kate Wonnacott Tlna Cowley Hollie Clark The day to day running of the nursery activltie5 15 under the control of the employed manager, Kathryn Prowse. During August, Florin Harris coMMen￿d as the new employed manager. For a short period of time there was an overlap of both Kathryn and Florin in place ￿ manager5. Ob'edive5 and Activities To provide education, tralnSng and servlces to young children and their famllles. The main actlvlty during the year was the provlsS0tt Df nurseyy education to children below the age of 5. The nursery benefits from professional and committed Staff. Whi15t fees are charged for provlding nursery places. the or8anisatlDn Is non proflt making. Governln document The organisation was incorporated on 6 May 2009 as a charitable company limited by guarantee. The governing document is its Memorandum and Article5 of Association. In the event of the company being wound up, the trustees are required to contribute an amount not exceeding £1. The organisation was registered with the Charlty Commisslon under the name The Children's Amazing Rural Klds Limited on 23 May 2012. Prior to thSs It wa5 registered as Pendeen Preschool. Publlc Benefit The Trustees confirm they have complied with the requirements of the Charitie5 Act 2011 to have regard to the public benefit guidance publSshed by the Charity Commission. The services offered by the Chlldren's Amazing Rural KSds LimFted are open to 311 families within the geographic31 area. Government schemes ensure familie5 are not excluded because of their indlvidual flnancial clrcumstances. Financial Review for the Year Endin 31"Au ust 2020 The major source of Income in the year is fees charged for eath chlld that attends the nursery. Incidental income comes in the form of uniform and photograph 5ale5. Local fundraising provides additional funds for play equipment etc. The Covid-19 pandemic has had an effect on the children attending and the fee5 received. Grants were recewed ihis year from the following- No Grants were recèlvèd during the year. Due to the Covid-19 pandemic most items that arè rèlating to the children attending the nur5eiy lie consumables, food, gardening supplie% and cleaning) have been reduced. Health & Safety and cleaning has incrÈaged due to making the Nursery Covid safe. There were no fixed assets purchased durlng the year (items of a long term nature with eypènditure over £lOOI. Goin Concern In accordance wlth the FSnanclal Reporting Standard 102 the directors of The Childrens Amazing Rural Kids Limited expect the activities to contSnue for the foreseeable future, and these account5 are therefore prepared on the going concern ba51S. Reserve5 Poli The charity has a designated reserve of £50,000 with the purpose of providing for potential future redundancies, and providing for operatlng costs in the event of short term negative cash flows. 19 11. 20 The Annu31 Report was approved by the Trustee5 0n........................................-......... And Signed on their behalf by.. (Print Namel...... Trustee and Director ## Chairpersons report 2020 Wow, what a year! The Ark has faced some challenges in the past but maybe this year has seen the most diverse of all. Despite a global pandemic however we continued to operate at a very high level with staff providing the best teaching and learning opportunities they can and ensuring the children remain at the heart of everything. This focus and dedication is what has enabled The Ark to come through this year in a strong position and is actively looking forward to the future development of provision and enriching the learning experiences of the children and families it supports and engages with. 13 children made the transition to 4 local primary schools in September. Staff felt hugely saddened by the restrictions they were under regarding transition but, as always, did their best to support as many of the children moving forward as possible. Our thanks go to the pre school team. There are currently 35 children on role. 15 in preschool, 13 in Tiddlers and 7 babies. There are 6 children waiting to join in January and staff are working to introduce them to the setting within the current lockdown restrictions. We opened throughout the summer for holiday club provision and a huge thank you to all staff as the return to work was a concerning time. The children were amazing, returning with enthusiasm and delight. This just shows that the Ark offers such a welcoming and safe environment for the children where they feel happy and calm. Being together – as a unithelps to keep everyone’s spirits up. In June we had the news that Kathryn had decided, after 20 years, to move on from her managers position at The Ark. Although we were all very pleased she was able to pursue her career at the college we were sad to lose such a keystone of the setting. Although we did all wish her the very best I would like to note how grateful the staff, committee, local families and the wider community were for her dedication and hard work which had such an impact on so many for a long time. Looking forward however we were lucky enough to welcome Fiorin Harris as the new manager in July. Fiorin brings with her a lot of experience from other childcare settings and great enthusiasm to develop The Ark and support families in the local community through the wonderful environment The Ark offers. She has settled in exceptionally well and the staff are thrilled to have her. She has been exemplary in her leadership and management over a challenging few months. Stepping in to a new role, opening a childcare setting during the COVID pandemic and dealing with the day to day pressures and requirements of management is no mean feat and she has taken everything in her stride and provided the leadership and guidance the staff and setting as a whole required. The committee are supporting Fiorin as and when she needs it and Kim, as deputy, has been excellent stepping up in her role. Between them they make a truly excellent team ably supported by the whole of the staff. Staff training has moved online this year and staff undertook a range of different modules specific to their needs during the first lockdown. Staff meetings are still used to cascade examples of good practice, share up to date policies and procedures and evaluate online training undertaken. Utilising the current bank of knowledge and experience cannot be underestimated and having to think more carefully about learning experiences due to restrictions on toys, resources etc due to cleaning and quarantine schedules has made everyone much more responsive to the children experiences. Congratulations to Michaela on her move to key person in the baby group and thanks to Sally for transitioning as key person into the Tiddlers to support the children moving up when they needed familiarity. ## **COVID** The global pandemic, which saw the country enter a period of enforced lockdown on the 23[rd] March, had undoubtedly had an effect on The Ark. In terms of day to day practices; new policies and procedures have been introduced to make the environment as COVID secure as possible. Once these were established – extracted from the ever changing government guidelines – and put in to place, staff, children and parents have adopted them as the new way. The measures have been appropriate and manageable but also reflective of the fact we are working with young children who need nurturing and care. The return to full time opening has gone well and remaining open during a second period of lockdown from 5[th] November had been fine. In terms of the financial impact, the Government grant of £10,000 and the furlough scheme have supported the Ark to stay open. Funded children still had their funding monies paid which again went towards paying staff over this lockdown period. There has been a lot of additional expenditure on PPE items and cleaning requirements which won’t be felt until the 20/21 accounting period but with no specific support for these areas Caroline is budgeting carefully to take this into account. The committee have also held extensive discussions about what would happen if the setting should have to close for a 14 day period if a positive COVID test forces this to happen. We feel sure that we have a fair and sensible plan to support staff during this time. ## **FUNDRAISING** The 2019 Nativity went ahead and was a great success. Funds were raised from ticket sales, raffle and toy stall. We also held the Tombola stall at the Yuletide Fair which added to the fundraising account. Thanks to all who gave their time. Other than these events COVID put paid to other avenues of additional income. Committee have discussed options for raising money but feel that the current financial climate is not very conducive to generating funds from parents and the local community. We are looking into accessing other funds and gratefully received £500 from the St Just Town Council. ## **MAINTENANCE** With the struggles relating to access during the pandemic and trying to keep a COVID secure bubble some maintenance jobs have been tricky. Thanks to Caroline’s husband the porch decking has been replaced. We have had a new fridge and washing machine. Plans for the kitchen replacement have been delayed again but we are looking to get as much as possible of it through donations from local businesses. Following another sewage pipe issue in the back garden, the Astroturf has had to be replaced again. Thankfully the cost of this has been covered by South West Water but after two attempts – which were very poorly executed – to relay replacement surfacing we have now submitted a quote from a trusted local contractor which we hope they will approve. To not have had that space accessible for 6 weeks of more has been really unfortunate. We are also in the early stages of re-evaluating the hot water system. The children’s toilets were refurbished with new flooring and redecoration as well as the staff toilet. ## **2021** Moving in to 2021 we will see The Ark move from strength to strength. There is a renewed energy and buzz from staff which naturally filters down to the children. I know Fiorin has inspired a new approach from staff in a team and child focused environment that staff have openly praised and very much thrive in. Keeping this momentum going and adapting practice in new and exciting directions will be the focus. Fiorin would like to encourage more adult led singing and group circle times to knit together all the children and staff. This will eventually grow to incorporate families and the wider community when times allow. Creativity and positivity will be the language of 2021 – so much better than lockdown and social distancing!!! ## ## ## ## ## **THE CHILDREN'S AMAZING RURAL KIDS LIMITED** Statement of Financial Activities for the Year Ending 31st August 2020 |**Income resources from**
**generated funds**
Voluntary income
Donations & Fundraising
Grants Received
Investment income
Activities to further the charity's objectives
Fees charges
Other income
**Total incoming resources**
**Resources expended**
Charitable Activities
Governance Costs
**Total resources expended**
Net incoming resources / (expenditure)
Reconciliation of funds
Total funds brought forward
Net incoming resources
Transfers between funds
Total funds carried forward|Unrestricted
Funds
£
970
238
108,522
18,548
128,278
113,923
888
114,811
13,468
66,100
13,468
79,568|Restricted
Funds
£
0
0
0
8427
8,427|Total
£
970
238
108,522
18,548
128,278
113,923
888
114,811
13,468
74,527
13,468
87,995| |---|---|---|---| ## **THE CHILDREN'S AMAZING RURAL KIDS LIMITED** Income and Expenditure Account for the Year Ending 31st August 2020 |**Income**
Fees
Nursery Milk Scheme
Sundry Income
Uniforms
Photograph sales & commission
Job Retention Scheme Monies
Cornwall Council Covid Grant
Other
Fundraising & donations
Grants received
Interest received
**GROSS INCOME**
**Expenditure**
Salaries & pension contributions
Staff training costs
Advertising & Promotion
Business rates
Water
Repairs & Maintenance
Light and Heat
Telephone & internet
Insurance
Professional fees
Consumables
Covid Health & Safety
Toys & small items of equipment
Office expenses and IT
Staff & Children's uniforms
Photographs
Waste service
Sundry Expenses
Depreciation
**NET SURPRLUS / (DEFICIT)**|£
£
108,522
103
163
29
8,253
10,000
18,446
970
238
128,278
99,234
785
50
70
305
2,259
1,226
684
861
888
3,723
519
28
69
178
1,077
24
2,832
114,810
13,468
**2020**|_£_
_£_
144,898
371
196
298
494
2,020
1,660
92
149,535
127,979
1,915
50
170
1,365
2,906
1,393
538
861
2,527
5,381
1,178
41
172
196
1,078
52
2,832
_150,632_
_-1,097_
**_2019_**| |---|---|---| THE CHILDREN'SAMAZING RURAL KIDS LIMITED Company number 06896723 Registered Charity number 1147389 Balance Sheet at 31st August 2020 2020 2019 Notes Flxed assets Tangible assets 4,295 7,127 CLErrent assets Cash at bank and in hand Oebtors 131 141 85,082 719 67,566 1,710 Current liabilities Creditors: amount5 falling due within 12 months Deferred income -1,955 -186 -1,687 -228 Net current assets 83,660 67.361 Net assets I Illabilltles) 87,955 74,488 Restricted funds 8,652 8,652 Unrestrlcted funds 79,343 65,836 Total funds 87,995 74,488 For the Year ending 31st August 2020 the company wa5 entttled to exemptlon from audit under section 477 of the Companies Act 200S relating to small companies. The members have not requlred the company to obtain an audit of its accounts In accordance with section 476 of the Companies Act 2006. The directors acknowledge thelr 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 subj@¢t to the small companles, reglme. The company has opted not to file a copy of the Profit and Loss AccoLJnt with Companlès House. These financial statements were approved by thé Board of Trustees on and igned on th ir behal* by- Tamsyn Jose, rustèè and Director THE CHILDREN’S AMAZING RURAL KIDS LIMITED Notes to the accounts for the Year Ending 31[st] August 2020 ## **(1) Principal Accounting Policies** The principal accounting policies adopted in the preparation of the financial statements are set out below and have been prepared in accordance with the Financial Reporting Standard 102 (FRS 102). ## **(a) Basis of Accounting** The financial statements have been prepared under the historical cost convention, and in accordance with the Companies Act 2006, and the Statement of Recommended Practice for Accounting and Reporting by Charities (SORP) and FRS 102. ## **(b) Funding Accounting** (i) Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. (ii) Designated funds are unrestricted funds earmarked by the Management Committee for particular purposes. (iii) Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal. ## **(c) Incoming Resources** All incoming resources are included in the statement of financial activities when the company is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income. (i) Voluntary income is received by way of grants, donations and gifts and is included in full in the Statement of Financial Activities when receivable. Grants, where entitlement is not conditional on the delivery of a specific performance by the company, are recognised when the charity becomes unconditionally entitled to the grant. (ii) Donated services and facilities are included at the value to the company where this can be quantified. (iii) The value of services provided by volunteers has not been included in these accounts. (iv) Investment income is included when receivable. (v) Incoming resources from charitable trading activity are accounted for when earned. (vi) Incoming resources from grants, where related to performances and specific deliverables are accounted for as the company earns the right to consideration by its performance. ## **(d) Resources expended** Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered. (i) Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes. (ii) Company expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. (iii) Governance costs include those costs associated with meeting the constitutional and statutory requirements of the company and include the reporting accountant’s fees (if any), and costs linked to the strategic management of the company. (iv) All costs are allocated between the expenditure categories of the ‘Statement of Financial Activities’, on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis. ## **(e) Fixed Assets** Tangible fixed assets are written off over the expected useful life of the asset. General equipment is written off at 25% per annuum on a straight line basis. Long life equipment is written off at 10% per annum on a straight line basis. A full year’s depreciation is applied in the year of purchase. **THE CHILDREN'S AMAZING RURAL KIDS LIMITED** ## **Notes to the accounts for the Year Ending 31st August 2020** |(2)
**Fixed Assets**
Cost
Balance brought forward
Additions in the year
Disposals in the year
Depreciation
Balance brought forward
Charge for the year
Depreciation eliminated
Net book value
At 31st August 2019
(3)
**Cash at Bank and In Hand**
Co-op current account
Co-op fundraising account
Co-op Savings account
Petty Cash
(4)
**Debtors**
Fees outstanding at year end
(5)
**Creditors: amounts falling due within 12 months**
Trade creditors
PAYE & Pension
2020 Accountancy Accrual
(6)
**Deferred income**|Fittings &
Equipment
£
30,504
0
0
30,504
23,376
2,832
0
26,208
4,296
£
24,527
12,635
47,920
0
85,082
£
719
£
733
871
350
1,955
186| |---|---| Deferred income refers to received received in August 2020 in advance of provision of services starting with the new term in September 2020, after the financial year end. ## (7) **Movements in Funds** |Restricted funds
Unrestricted funds
Designated funds
General funds|Trans
between
Net
Incoming
Outgoing
funds
Increase
£
£
£
£
0
0
0
0
0
127,610
-115,211
12,399
127,610
-115,211
0
12,399| |---|---| ## (8) **Analysis of net assets between funds** |Tangible fixed assets
Current assets
Current liabilities|General
Designated
Restricted
Total
funds
funds
funds
£
£
£
£
4,295
0
0
4,295
35,801
50,000
85,801
-2,141
0
0
-2,141
37,955
50,000
87,955| |---|---| ## (9) **Trustees remuneration and expenses** No trustees, nor any persons connected with them, have received any remuneration from the charity during the year. No trustees have received any reimbursed expenses from the charity during the year. ## (10) **Taxation** The Children's Amazing Rural Kids limited is a registered charity and is therefore exempt from taxation.