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2021-01-31-accounts

Cornwall Community Accountancy Service

A company limited by guarantee.

Charity No. 1147929

Company No. 07999264

Trustees' Report and Unaudited Accounts

31 January 2021

Dick Maule FCA 3 Penlee View Terrace Penzance Cornwall TR18 4HZ

Cornwall Community Accountancy Service CONTENTS

Pages
Trustees' Annual Report 2 to 5
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Accounts 9 to 16

Page 1

Cornwall Community Accountancy Service TRUSTEES ANNUAL REPORT

REFERENCE AND ADMINISTRATIVE DETAILS

Company No. 07999264

Charity No. 1147929

Principal Office

The Elms 61 Green Lane Redruth TR15 1LS

Registered Office

2 Princes Street Truro TR1 2ES

Directors and Trustees

The Directors of the charitable company are its Trustees for the purposes of charity law. The following Directors and Trustees served during the year:

Chris Dennis Joanne Fisher John Acornley

Key Management Personnel

Chief Executive Officer

Debbie Risborough

Accountants

Dick Maule FCA 3 Penlee View Terrace Penzance Cornwall TR18 4HZ

Page 2

Cornwall Community Accountancy Service TRUSTEES ANNUAL REPORT

The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the unaudited financial statements of the charity for the year ended 31 January 2021.

OBJECTIVES AND ACTIVITIES

The objects of the charity are:

• to promote the efficiency and effectiveness of charities, social enterprises and other voluntary and community organisations and the effective use of their resources for the benefit of the public by developing, promoting, co-ordinating and supporting community accountancy services and through the provision of support, information and training for financial management and control.

• To provide support in the form of cost effective accountancy services and financial capacity building for vulnerable individuals and their families in need by reason of youth, age, ill-health, disability, financial hardship or other disadvantage.

In particular but not exclusively in Cornwall and the surrounding areas.

In brief we want to help charities meet their statutory obligations and understand their financial requirements easily so that they can concentrate on their true charitable activities. Feedback from our clients confirms that once the finances are in order and understood the impact of their charitable activities can increase.

We amended the objects in March 2013 to include assistance for individuals as this is an area which is not currently addressed but becoming more necessary with the introduction of personal budgets for those needing health care services.

The Trustees have had regard to the Charity Commission guidance on public benefit in preparing this report and have ensured that in planning activities year on year that identifiable benefits are attained for our clients and beneficiaries.

ACHIEVEMENTS AND PERFORMANCE

As with most of our clients and indeed the rest of the world 2020 was dominated by the Covid19 pandemic. We were fortunate that all of our systems and policies have been designed around flexible and remote working so the change to doing this during lockdown was minimal for us. Which helped us to guide our clients to working in this way whilst we were dealing with a much increased workload of helping clients navigate the effects of the pandemic. This involved looking at how organisations could stay viable when activities had to cease or change delivery models at the same time as working through the government requirements to gain financial assistance.

We were fortunate to gain an award from The National Lottery Community Fund in August 20 for us to enact a response to the the coronavirus impact on small charities. That enabled us to appoint Sam Hoskin for a short period to help us manage the increased workload as well as funding for our app to improve our commmunications with clients. The grant was a much needed boost just prior to the second wave of the pandemic when we were all expecting organisations to recover and return to work but instead the closures continued and help with furlough claims and forecasts became ever more important. We were also surprised at the demand from clients during the project for training.

We worked with 55 clients on our usual work of independent examinations, payroll and bookkeeping (49 in 2019/20). However as part of the coronavirus impact project we dealt with 67 clients, only 19 of which were existing clients for our usual work. This confirms that there is additional demand for what we do and has confirmed our ongoing strategy of future growth.

Page 3

Cornwall Community Accountancy Service TRUSTEES ANNUAL REPORT

FINANCIAL REVIEW

The income for the year has increased by 42% to £56,257 (2020 £39,735). This is due to grants from both the Lottery and Cornwall Council. Expenditure has similarly increased although by 30% to £49,207 (2020 £37,986). The resulting surplus in unrestricted funds being £5,725 (2020 £1,749).

The trustees feel that a reserve of 3 months running costs is appropriate to cover the needs of the organisation in the event of emergencies. Looking at the costs for 2020 this would be £12,302. The actual reserves of £13,644 (2020 £7,939) show this has been achieved.

Trustees are kept fully informed of risks to which the charity is exposed and the steps taken to mitigate, where possible, their impact. The Charity is managed to ensure minimum risk with low cost commitments in order to achieve the charitable objectives. In addition, the principles of best practice are incorporated within all work performed.

STRUCTURE, GOVERNANCE AND MANAGEMENT

CCAS is a charitable company limited by guarantee, incorporated on 21st March 2012. The governing document is the Memorandum and Articles of Association. Clause 6 of the Memorandum restricts the liability of each member, as defined by clause 7,to ten pounds in the event of the Charity being wound-up. The Charity cannot pay dividends and must utilise all its funds to further its stated charitable objectives. At 31st January 2020, there were two members.

Trustees:

The Board of Trustees is the governing body of the Charity and determines policy. It is also responsible for the overall management of the Charity and for ensuring that approved policies are implemented by staff, consultants and volunteers. The Board of Trustees meets at least four times per annum. New trustees are appointed by the Board of Trustees, and at any time there should not be fewer than two trustees.

Staff & consultants:

Debbie Risborough(FCCA) remains the principal accountant and Chief Executive Officer of the charity. The team at the end of the year were: Sam Hoskin - an ACCA finalist Dilys Down - a level 3 AAT qualified technician Adam Price - a trainee undertaking an accountancy degree Danny Batten (ICMA) continues to support us as a sub-contractor.

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

The above report has been prepared in accordance with the provisions applicable to companies subject to the small companies regime as set out in Part 15 of the Companies Act 2006 and in accordance with the Charities SORP (FRS 102).

Signed on behalf of the board

John Acornley Trustee 07 October 2021

Page 4

Cornwall Community Accountancy Service INDEPENDENT EXAMINERS REPORT

Independent Examiner's Report to the trustees of Cornwall Community Accountancy Service

I report to the charity trustees on my examination of the accounts of Cornwall Community Accountancy Service for the year ended 31 January 2021 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet and the related notes.

Responsibilities and basis of report

As the trustees of the charity (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 charity 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 can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that:

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.

Dick Maule FCA 3 Penlee View Terrace Penzance Cornwall TR18 4HZ

07 October 2021

Page 5

Cornwall Community Accountancy Service STATEMENT OF FINANCIAL ACTIVITIES

for the year ended 31 January 2021

Notes
Income and
endowments from:
Donations and legacies
4
Charitable activities
5
Investments
6
Total
Expenditure on:
Charitable activities
7
Total
Net gains on investments
Net income
Net income before other
gains/(losses)
Other gains and losses:
Net movement in funds
Reconciliation of funds:
Total funds brought
forward
Total funds carried
forward		 Unrestricted
funds
2021
£
1,545
43,250
7		 Restricted
funds
2021
£
-
13,000
-		 Total
funds
2021
£
1,545
56,250
7		 Total
funds
2020
£
2,550
37,172
13
44,802
39,077		 13,000
11,675		 57,802
50,752		 39,735
37,986
39,077
-		 11,675
-		 50,752
-		 37,986
-
5,725 1,325 7,050 1,749
5,725 1,325 7,050 1,749
5,725
7,939		 1,325
-		 7,050
7,939		 1,749
6,190
13,664 1,325 14,989 7,939

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

Page 6

Cornwall Community Accountancy Service BALANCE SHEET

at 31 January 2021

Company No. 07999264
Notes
2021
£
Fixed assets
Tangible assets
9
1,678
1,678
Current assets
Debtors
10
12,212
Cash at bank and in hand
14,994
27,206
Creditors:Amount falling due within one year
11
(13,895)
Net current assets
13,311
Total assets less current liabilities
14,989
Net assets excluding pension asset or liability
14,989
Total net assets
14,989
The funds of the charity
Restricted funds
12
Restricted income funds
1,325
1,325
Unrestricted funds
12
General funds
13,664
13,664
Reserves
12
Total funds
14,989		 2020
£
-
-
7,692
10,843
18,535
(10,596)
7,939
7,939
7,939
7,939
-
-
7,939
7,939
7,939

These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

For the year ended 31 January 2021 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.

Approved by the board on 07 October 2021

And signed on its behalf by:

John Acornley

Trustee

07 October 2021

Page 7

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

for the year ended 31 January 2021

1 Accounting policies

Basis of preparation

The financial statements have been prepared in accordance with 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) 2nd edition - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The charity constitutes a public benefit entity as defined by FRS102.

Change in basis of accounting or to previous accounts

There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years.

Fund accounting

Fund accounting
Unrestricted These are available for use at the discretion of the trustees in furtherance of the
funds general objects of the charity.
Designated funds These are unrestricted funds earmarked by the trustees for particular purposes.
Revaluation These are unrestricted funds which include a revaluation reserve representing
funds the restatement of investment assets at their market values.
Restricted funds These are available for use subject to restrictions imposed by the donor or
through terms of an appeal.

Page 8

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

Income

Income Cornwall Community
Accountancy Service
NOTES TO THE ACCOUNTS
Recognition of Income is included in the Statement of Financial Activities (SoFA) when the
income charity becomes entitled to, and virtually certain to receive, the income and the
amount of the income can be measured with sufficient reliability.
Income with Where income has related expenditure the income and related expenditure is
related reported gross in the SoFA.
expenditure
Donations and Voluntary income received by way of grants, donations and gifts is included in
legacies the the SoFA when receivable and only when the Charity has unconditional
entitlement to the income.
Tax reclaims on Income from tax reclaims is included in the SoFA at the same time as the
donations and gift/donation to which it relates.
gifts
Donated services These are only included in income (with an equivalent amount in expenditure)
and facilities where the benefit to the Charity is reasonably quantifiable, measurable and
material.
Volunteer help The value of any volunteer help received is not included in the accounts.
Investment This is included in the accounts when receivable.
income
Gains/(losses) on This includes any gain or loss resulting from revaluing investments to market
revaluation of value at the end of the year.
fixed assets
Gains/(losses) on This includes any gain or loss on the sale of investments.
investment assets

Expenditure

Expenditure
Recognition of Expenditure is recognised on an accruals basis. Expenditure includes any VAT
expenditure which cannot be fully recovered, and is reported as part of the expenditure to
which it relates.
Expenditure on These comprise the costs associated with attracting voluntary income,
raising funds fundraising trading costs and investment management costs.
Expenditure on These comprise the costs incurred by the Charity in the delivery of its
charitable activities and services in the furtherance of its objects, including the making of
activities grants and governance costs.
Grants payable All grant expenditure is accounted for on an actual paid basis plus an accrual
for grants that have been approved by the trustees at the end of the year but not
yet paid.
Governance costs These include those costs associated with meeting the constitutional and
statutory requirements of the Charity, including any audit/independent
examination fees, costs linked to the strategic management of the Charity,
together with a share of other administration costs.
Other These are support costs not allocated to a particular activity.
expenditure

Taxation

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

Page 9

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

Tangible fixed assets and depreciation

Individual fixed assets costing £400 or more are initially recorded at cost. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Office Equipment

33% straight line basis

Trade and other debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash and cash equivalents

Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management.

Trade and other creditors

Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Leased assets

Where the charity enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease.

Leases which do not transfer substantially all the risks and rewards of ownership to charity are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the charity at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the charity's policy on borrowing costs.

Assets held under finance leases are depreciated in the same way as owned assets.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis.

Page 10

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

Pension costs

The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Statement of cash flows

The charity is exempt from preparing a statement of cash flows on the grounds that it is a small charity

2 Company status

The company is a private company limited by guarantee and consequently does not have share capital.

3 Statement of Financial Activities - prior year

3
Statement of Financial Activities - prior year
Income and endowments
from:
Donations and legacies
Charitable activities
Investments
Total
Expenditure on:
Charitable activities
Total
Net income
Net income before other
gains/(losses)
Other gains and losses:
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried
forward		 Unrestricted
funds
2020
£
2,550
37,172
13
39,735
37,986
37,986
1,749
1,749
1,749
6,190
7,939		 Total
funds
2020
£
2,550
37,172
13
39,735
37,986
37,986
1,749
1,749
1,749
6,190
7,939

Page 11

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

4 Income from donations and legacies

Unrestricte

Income from donations and legacies Unrestricte
Donated Services d
£
1,545
1,545		 Total
2021
£
1,545
1,545		 Total
2020
£
2,550
2,550

5 Income from charitable activities

Unrestricte

Grant Income
National Lottery
Community Fund
Cornwall Council
Primary Purpose Trading
Accountancy Services
Training Income
Other
6
Income from investments
Interest on cash deposits		 d
£
-
10,000
32,746
25
479
43,250		 Restricted
£
13,000
-
-
-
-
13,000
Unrestricte
d
£
7
7		 Total
2021
£
13,000
10,000
32,746
25
479
56,250
Total
2021
£
7
7		 Total
2020
£
-
-
33,461
194
3,517
37,172
Total
2020
£
13
13

Page 12

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

7 Expenditure on charitable activities

Unrestricte

Expenditure on charitable activities Unrestricte
Direct expenditure on
charitable activities
Client companies house
fees
Support Costs
Wages
Pensions
Staff training
Staff welfare
Travel and subsistence
Rent & rates
Insurance
Repairs & renewals
Telephone and fax
IT expenses
Printing, postage and
stationary
Subscriptions
Marketing and promotion
Consultancy fees
Legal and professional
fees
Specific Bad Debts
written off
Bank charges
Governance costs
Independent examination
of the charity's accounts		 d
£
213
11,943
187
113
316
-
2,500
345
18
486
2,475
241
392
192
18,887
213
78
58
420
39,077		 Restricted
£
-
7,383
-
-
1,434
-
-
-
70
-
-
-
-
2,788
-
-
-
-
-
11,675		 Total
2021
£
213
19,326
187
113
1,750
-
2,500
345
88
486
2,475
241
392
2,980
18,887
213
78
58
420
50,752		 Total
2020
£
565
9,461
191
-
204
133
2,500
330
50
721
4,311
392
242
-
17,820
110
26
60
870
37,986

Page 13

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

8
Staff costs
Salaries and wages
19,326
Pension costs
187
19,513
No employee received emoluments in excess of £60,000.
Total remuneration of key management personnel is shown below and is included
partly in the wages and salaries figures above and partly in consultancy fees that are
shown in note 7.
Total employee benefits received by key management
personnel
19,999
The average monthly number of full time equivalent
employees during the year was as follows:
2021
Number
Charitable activities
3
3
9
Tangible fixed assets
Office
Equipment
£
Cost or revaluation
At 1 February 2020
2,132
Additions
1,678
At 31 January 2021
3,810
Depreciation and
impairment
At 1 February 2020
2,132
At 31 January 2021
2,132
Net book values
At 31 January 2021
1,678
At 31 January 2020
-
10 Debtors
2021
£
Trade debtors
12,212
Other debtors
-
12,212		 9,461
191
9,652
17,533
2020
Number
2
2
Total
£
2,132
1,678
3,810
2,132
2,132
1,678
-
2020
£
5,992
1,700
7,692

Page 14

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

11 Creditors:

amounts falling due within one year

2021
£
Trade creditors
1,304
Other taxes and social security
170
Accruals and deferred income
12,421
13,895
12 Movement in funds
At 1
February
2020
Income
(including
other
gains/losses
)
Expenditure
£
£
Restricted funds:
Restricted income
funds:
National Lottery
-
13,000
(11,675)
Total
-
13,000
(11,675)
Unrestricted funds:
General funds
7,939
44,802
(39,077)
Revaluation Reserves:
Total funds
7,939
57,802
(50,752)
Purposes and restrictions in relation to the funds:
Restricted funds:
National Lottery
Funding to assist clients with the effects of Covid19		 2021
£
1,304
170
12,421
13,895
Income
(including
other
gains/losses
)
£
13,000
13,000
44,802
57,802		 Expenditure
£
(11,675)
(11,675)
(39,077)
(50,752)		 2020
£
360
105
10,131
10,596
At 31
January
2021
£
1,325
1,325
13,664
14,989

13 Analysis of net assets between funds

Fixed assets
Net current assets		 Unrestricted
funds
£
1,678
13,311
14,989		 Total
£
1,678
13,311
14,989

Page 15

Cornwall Community Accountancy Service NOTES TO THE ACCOUNTS

14 Contingent Assets/Liabilities

During the 2014/15 year a substantial amount of client work was undertaken by the Chief Executive and Principle Accountant Debbie Risborough that has not yet been invoiced. The reason for this being due to the requirement to develop the team prior to staff being able to take over the client commitments. The time incurred was a total of 477.75 hours valued at £14,333. The current value outstanding is £12,833. Ms Risborough has agreed that work will only be invoiced in the future when the charity has built a sufficient surplus to enable payment or when the charity has a sufficient client base to support payment of a salary to Ms Risborough from which the flexi-time balance will be deducted as time off in lieu. Remuneration arrangements have been now been revised to ensure there is no further liability that can arise.

15 Related party disclosures

Controlling party

The company is limited by guarantee and has no share capital; thus no single party controls the company.

Page 16