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2022-03-31-accounts

South Leeds Alternative Trading Enterprise Limited

Charity number 1149293

A company limited by guarantee number 06394383

Annual Report and Financial Statements

for the year ended 31 March 2022

South Leeds Alternative Trading Enterprise Limited

Annual Report and Financial Statements for the year ended 31 March 2022

Contents Page
Trustees' report 2 to 5
Examiner's report 6
Statement of financial activities 7
Balance sheet 8
Statement of cash flows 9
Notes to the accounts 10 to 16

Prepared by West Yorkshire Community Accountancy Service CIO

1

South Leeds Alternative Trading Enterprise Limited

Trustees' report for the year ended 31 March 2022

Reference and administrative details of the charity, its trustees and advisors

The trustees during the financial year and up to and including the date the report was approved were: Name Position Dates

Jude McCarthy Edward Carlisle Richard Wixey Keith Garrard Alison Ward Alex Cheung

Charity number 1149293 Registered in England and Wales Company number 06394383 Registered in England and Wales

Registered and principal address

Bankers

Unit 1 Balm Road Industrial Park Lloyds Bank plc 2 The Headrow Leeds LS1 6PN Balm Road, Hunslet Co-operative Bank plc PO Box 250, Skelmersdale, WN8, 6WT Leeds Triodos Bank UK Ltd Deanery Road. Bristol. BS1 5AS LS10 2BG

Independent examiner

Simon Bostrom FCIE

West Yorkshire Community Accountancy Service CIO

Stringer House 34 Lupton Street Leeds LS10 2QW

Structure, governance and management

The charity is a company limited by guarantee and was formed on 9 October 2007. It is governed by a memorandum and articles of association as amended by special resolutions on 1 October 2012 and 9 October 2012. The liability of the members in the event of the company being wound up is limited to a sum not exceeding £10. The company was registered as a charity on 11 October 2012.

Method of recruitment and appointment of trustees

The trustees of the charity are also the directors for the purposes of company law and are appointed by the members at the AGM.

2

South Leeds Alternative Trading Enterprise Limited

Trustees' report (continued) for the year ended 31 March 2022

Objectives and activities

The charity's objects

(1) To further such charitable purposes falling within the description of charitable purposes. Being the advancement of citizenship or community development - Charitable purposes that fall within this description being:

(2) To advance education and training for the public benefit.

(3) To relieve those in need and to promote social inclusion for the public benefit by preventing people from becoming socially excluded, relieving the needs of those people who are socially excluded and assisting them to integrate into society - "Socially excluded" means being excluded from society, or part of society, as a result of being a member of a socially and economically deprived community - by undertaking charitable activities which assist those by reason of their age, ill-health, disability, financial hardship or other disadvantage.

(4) To protect and preserve the environment for the public benefit by the promotion of waste reduction, refuse reclamation, recycling, the re-use and repair of recycled products and the use of surplus.

(5) To further such other charitable purposes as the trustees may determine from time to time. The aim being to address the well-being of socially and economically disadvantaged communities in Leeds. 'Well-being' shall mean ensuring the basic needs of individuals and the community are met in relation to health, education, financial security, employment, the built environment and access to public services, amenities and recreation facilities.

The charity's main activities

To carry on activities which benefit the community and in particular (without limitation) to contribute to the social, environmental and economic well-being of the people of South Leeds by setting up not for profit social enterprise businesses with environmental and social aims which offer work opportunities to people with learning and other difficulties.

Public benefit statement

In setting our objectives and planning our activities our Trustees have given serious consideration to the Charity Commission’s general guidance on public benefit.

Achievements and performance

We continue to provide volunteering and employment for people with learning disabilities. We also support a number of volunteers with learning disabilities to experience a work style environment that is supportive and encouraging to build their confidence and work related skills. We have also continued to offer volunteering opportunities to people with mental health issues and other disabilities to ensure that they can increase their skills, confidence and employability. Our shops have recovered well following the Covid -19 lockdowns and restrictions. We have continued to receive a good number of furniture donations following the lifting of restrictions.

3

South Leeds Alternative Trading Enterprise Limited

Trustees' report (continued) for the year ended 31 March 2022

Achievements and performance continued

Our shops would not exist without the generous people who donate their unwanted, pre-loved furniture. We continue to provide free collection of quality used furniture, helping people de-clutter their houses, dispose of “old“ things when they are buying new, or find a home for a deceased relative's treasured possessions. Thank you to all our donors! We are also grateful to Leeds City Council Waste Management, who encourage us to collect from the Holmewell Road Waste Sorting Site in Middleton.

The Feel Good Café operates in Gipton and it has seen a steady recovery from the Covid -19 lockdowns.This allows us to offer training and volunteering in catering to adults with learning disabilities and other members of the local community.

Due to careful planning and budgeting SLATE was resistant enough to come out of the pandemic in a strong position. We were proud to support our staff on full pay throughout furlough. The organisation now faces another challenging time with the cost-of-living rise. In response, SLATE decided that it would become a living wage employer and that each team member would receive a salary increase to accommodate inflation.

Financial review

The net income for the year was £46,782, including net income of £68,348 on unrestricted funds and net expenditure of £21,566 on restricted funds after transfers.

Reserves policy

The trustees aim to maintain sufficient reserve funds to cover between 3 and 6 months operating expenditure. This would equate to approximately £140k to £280k

The charity's free reserves, excluding fixed assets, at the year end were £410,112.

Given the current difficulties facing the UK in terms of energy prices, inflation and employment levels etc., the Board has taken the view that it would be prudent for the company to retain higher levels of reserves than would be the case under normal circumstances to protect the company against unforeseen costs.

Plans For The Future

We aim to continue to take a careful and considered approach to deal with the challenges of Covid 19 to ensure that the organisation is stable and secure for the future. We hope to continue to develop our training centre focused around furniture repair and practical skills. We hope that this will allow us to offer more training, employment and volunteering opportunities to people with learning disabilities and other difficulties. The SLATE team has worked tirelessly over the past two years to secure our financial stability and we will continue to look ahead in light of current high inflation. This may mean cutting back on future plans for expansion or for new activities. However, our people are our foundation and we will continue to invest in them.

4

South Leeds Alternative Trading Enterprise Limited Trustees' report (continued) for the year ended 31 March 2022

Statement of trustees' responsibilities

The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees report and the financial statements in accordance with the applicable law and UK Accounting Standards.

Company law requires the trustees to prepare financial accounts for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for the year. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and apply them consistently;

observe the methods and principles in the Charities SORP;

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 accounts on a going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

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

This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (Charities SORP (FRS102)), and in accordance with the special provisions of the Companies Act 2006 relating to small companies.

Approved by the board of trustees on 22 November 2022

Jude McCarthy (Trustee)

5

South Leeds Alternative Trading Enterprise Limited

Independent examiner's report to the trustees of South Leeds Alternative Trading Enterprise Limited

I report to the charity trustees on my examination of the accounts of the charitable company for the year ended 31 March 2022, which are set out on pages 7 to 16.

Responsibilities and basis of report

As the charity's trustees of the charitable 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 charitable 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 ('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 charitable company's gross income exceeded £250,000 your examiner must be a fellow of a body listed in section 145 of the 2011 Act.

I confirm that I am qualified to undertake the examination because I am a fellow of ACIE which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

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.

Simon Bostrom FCIE

5 December 2022

West Yorkshire Community Accountancy Service CIO

Stringer House 34 Lupton Street Leeds LS10 2QW

6

South Leeds Alternative Trading Enterprise Limited

Statement of Financial Activities

(including summary income and expenditure account) for the year ended 31 March 2022

Notes
2022
Unrestricted
funds
£
Income from:
Donations and legacies
(2)
41,079
Charitable activities
(3)
443,074
Other trading activities
(4)
101,912
Bank interest
107
Total income
586,172
Expenditure on:
Charitable activities
(5)
517,824
Total expenditure
517,824
Net income / (expenditure)
68,348
Fund balances brought forward
359,664
Fund balances carried forward
(6)
428,012		 2022
Restricted
funds
£
-
80,523
-
-
80,523
102,089
102,089
(21,566)
23,009
1,443		 2022
Total
funds
£
41,079
523,597
101,912
107
666,695
619,913
619,913
46,782
382,673
429,455		 2021
Total
funds
£
105,109
537,778
78,224
201
721,312
538,742
538,742
182,570
200,103
382,673

All incoming resources and resources expended derive from continuing activities.

7

South Leeds Alternative Trading Enterprise Limited

Balance sheet

as at 31 March 2022
2022
Unrestricted
£
Fixed assets
Tangible assets
(7)
17,900
Total fixed assets
17,900
Current assets
Debtors and prepayments
(8)
35,261
Cash at bank and in hand
(9)
390,555
Total current assets
425,816
Current liabilities:
amounts falling due within one year
Creditors and accruals
(10)
15,704
Total current liabilities
15,704
Net current assets / (liabilities)
410,112
Total assets less current liabilities
428,012
Creditors: amounts falling due after one year
(11)
-
Net assets
428,012
Funds
Unrestricted funds
428,012
Restricted funds
-
Total funds
428,012		 2022
Restricted
£
-
-
-
1,443
1,443
-
-
1,443
1,443
-
1,443
-
1,443
1,443		 2022
Total
£
17,900
17,900
35,261
391,998
427,259
15,704
15,704
411,555
429,455
-
429,455
428,012
1,443
429,455		 2021
Total
£
27,550
27,550
49,475
316,632
366,107
9,317
9,317
356,790
384,340
1,667
382,673
359,664
23,009
382,673

For the year ending 31 March 2022 the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the charitable company to obtain an audit of its accounts for the year in question in accordance with section 476. The trustees (who also the directors for the purposes of company law) 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 and with FRS 102 (effective January 2019).

The financial statements were approved by the board of trustees on 22 November 2022

Jude McCarthy (Trustee)

8

South Leeds Alternative Trading Enterprise Limited

Statement of cash flows

for the year ended 31 March 2022

Cash flows from operating activities:
Net cash provided by (used in) operating activities
Cash flows from investing activities:
Dividends and interest
Proceeds of sale of assets
Purchase of tangible fixed assets
Net cash provided by (used in) investing activities
Cash flows from financing activities:
Repayments on borrowing
Cash inflows from new borrowing
Net cash provided by (used in) financing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period
Adjustments for:
Depreciation charges
Dividends and interest from investments
Loan interest
(Increase) / decrease in debtors
Increase / (decrease) in creditors
Net cash provided by (used in) operating activities
Analysis of cash and cash equivalents
Notice deposits (less than 30 days)
Total cash and cash equivalents
Reconciliation of net movement in funds to net cash flow
from operating activities
Net movement in funds for the reporting period (as per the
statement of financial activities)
Cash in hand		 2022
£
83,226
107
-
-
107
(7,967)
-
(7,967)
75,366
316,632
391,998
2022
£
46,782
9,650
(107)
1,300
14,214
11,387
83,226
2022
£
515
391,483
391,998		 2021
£
164,078
201
-
-
201
(7,967)
-
(7,967)
156,312
160,320
316,632
2021
£
182,570
9,650
(201)
1,300
(20,844)
(8,397)
164,078
2021
£
305
316,327
316,632

9

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts

for the year ended 31 March 2022

1 Accounting policies

Basis of accounting

These accounts 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 Statement of Recommended Practice: Accounting and Reporting by 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) and with the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102. There has been no change to the accounting policies since last year.

No changes have been made to the accounts for previous years.

Going concern

The trustees are satisfied that there are no material uncertainties about the charity's ability to continue.

Incoming resources

All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.

Grants and donations

Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.

Where grants are related to performance and specific deliverables, they are accounted for as the charity earns the right to consideration by its performance.

Donated goods for resale are valued at the amount actually realised upon their sale.

Donated assets, facilities or services are valued at their estimated value to the charity. This is the price that the charity estimates it would pay in the open market for equivalent items; or services and facilities of equivalent utility to the charity.

Investments

Investments are stated at market value at the balance sheet date. The SOFA includes the net gains and losses arising on revaluations and disposals throughout the year.

Expenditure and liabilities

Expenditure is recognised on an accrual basis as a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out the resources and the amount of the obligation can be measured with reasonable certainty.

Taxation

As a charity the organisation benefits from rates relief and is generally exempt from income tax and capital gains tax but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates.

10

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts

for the year ended 31 March 2022

1 Accounting policies continued

Tangible fixed assets

Tangible fixed assets costing more than £1,000are capitalised and included at cost including any incidental expenses of acquisition. Gifted assets are shown at the value to the charity on receipt. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost on a straight line basis over their expected useful economic lives as follows:

Motor vehicles: over 5 years Fixtures and fittings: over 5 years Equipment: over 4 years

Pensions

The charity operates a defined contribution scheme for the benefit of its employees. The costs of contributions are recognised in the year they are payable.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.

Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal.

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

Leases

Rents under operating leases are charged on a straight line basis over the lease term or to an earlier date if the lease can be determined without financial penalty.

11

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts continued

for the year ended 31 March 2022

2 Donations and legacies
Revive Leeds CIC
Other donations
3 Charitable activities
HMRC Job Retention Scheme
LCC Covid support funding
Leeds City Council - Adult Social Care (ASC)
GFS Community Enterprise
Mencap
The Arnold Clark Community Fund
Kickstart Scheme
Royal Bank of Scotland
WEEE Fund
Gift aid claims
Furniture sales
Cafe sales
4 Other trading activities
Revive CIC management charges
Direct placement fees
Recycling credits
Other income		 2022
Unrestricted
funds
£
40,719
360
41,079
2022
Unrestricted
funds
£
-
18,667
-
-
-
-
-
-
-
18,860
333,281
72,266
443,074
2022
Unrestricted
funds
£
22,919
63,270
15,723
-
101,912		 2022
Restricted
funds
£
-
-
-
2022
Restricted
funds
£
21,967
-
37,000
7,560
6,499
1,000
6,497
-
-
-
-
-
80,523
2022
Restricted
funds
£
-
-
-
-
-		 2022
Total
funds
£
40,719
360
41,079
2022
Total
funds
£
21,967
18,667
37,000
7,560
6,499
1,000
6,497
-
-
18,860
333,281
72,266
523,597
2022
Total
funds
£
22,919
63,270
15,723
-
101,912		 2021
Total
funds
£
104,514
595
105,109
2021
Total
funds
£
158,506
100,738
37,000
-
-
-
-
45,188
9,544
2,387
164,883
19,532
537,778
2021
Total
funds
£
17,538
53,940
4,906
1,840
78,224

12

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts continued

for the year ended 31 March 2022

5 Charitable activities
Salaries, NIC's and payroll costs
5a
Freelancers / outsourcing
Staff travel
Volunteer expenses
Conference and training
Furniture store purchases
Cafe purchases
Repairs and renewals
Vehicle maintenance and fuel
Postage, phone and internet
Office and administration
Advertising and publicity
Registrations and subscriptions
Rent, rates and utilities
Insurance
Clothing and uniforms
Bank charges
Independent examination
Loan interest payable
Depreciation
Bad debts
Legal and professional
5a
Staff costs and numbers
Gross salaries
Social security costs
Employment allowance
Pensions
Payroll charges		 2022
Unrestricted
funds
£
281,319
438
851
5,176
6,656
30,992
27,180
25,375
10,309
3,877
13,001
2,411
2,238
82,636
6,085
950
4,107
1,700
1,300
9,650
323
1,250
517,824		 2022
Restricted
funds
£
95,095
-
-
-
1,500
1,000
-
-
-
8
4,486
-
-
-
-
-
-
-
-
-
-
-
102,089		 2022
Total
funds
£
376,414
438
851
5,176
8,156
31,992
27,180
25,375
10,309
3,885
17,487
2,411
2,238
82,636
6,085
950
4,107
1,700
1,300
9,650
323
1,250
619,913
2022
£
346,052
22,691
(4,000)
8,855
2,816
376,414		 2021
Total
funds
£
338,767
7,470
2,290
2,638
2,969
37,849
7,877
5,908
7,738
4,682
8,741
2,072
3,479
76,805
5,487
5,827
2,475
1,700
1,300
9,650
-
3,018
538,742
2021
£
325,359
6,470
(4,000)
8,228
2,710
338,767

The average number employees during the year was 21.2, being an average of 14.2 full time equivalent (2021: 19, 15 FTE). There were no employees with emoluments above £60,000.

Defined contribution pension scheme 2022 2021
£ £
Costs of the scheme to the charity for the year 8,855 8,228
Amount of any contributions outstanding at the year end - -

13

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts continued

for the year ended 31 March 2022

6 Restricted funds
LCC ASC (delivery team)
HMRC Job Retention Scheme
Royal Bank of Scotland
GFS Community Enterprise
Lets Get Digital
Arnold Clark
Kickstart		 Balance b/f
£
-
-
23,009
-
-
-
-
23,009		 Incoming
£
37,000
21,967
-
7,560
6,499
1,000
6,497
80,523		 Outgoing
£
37,000
21,967
23,009
7,560
5,994
1,000
5,559
102,089		 Transfers
£
-
-
-
-
-
-
-
-		 Balance c/f
£
-
-
-
-
505
-
938
1,443

Fund name

Purpose of restriction

LCC ASC (delivery team) HMRC Job Retention Scheme Royal Bank of Scotland

GFS Community Enterprise Lets Get Digital Arnold Clark Kickstart

To provide alternative day care services Towards the salaries for furloughed staff

Social and Community Capital funding towards employing 4 people from the local community as van support, van drivers and shop support. For the provision of community meals.

Funding from Mencap for the provision of IT equipment. Provision of furniture to adults with disabilities. Salary costs for training of long term unemployed.

7
**8 **		 Tangible assets
Cost
At 1 April 2021
Additions
At 31 March 2022
Depreciation
At 1 April 2021
Charge for year
At 31 March 2022
Net book value
At 31 March 2022
At 31 March 2021
Debtors and prepayments
Trade debtors
Prepayments
Other debtors - taxation		 £
14,263
-
14,263
11,463
1,400
12,863
1,400
2,800
Fixtures
and fittings		 £
1,200
-
1,200
1,200
-
1,200
-
-
Equipment		 £
41,250
-
41,250
16,500
8,250
24,750
16,500
24,750
2022
£
25,251
6,423
3,587
35,261
Vehicles		 Total
£
56,713
-
56,713
29,163
9,650
38,813
17,900
27,550
2021
£
41,133
3,862
4,480
49,475

14

South Leeds Alternative Trading Enterprise Limited

Notes to the accounts continued

for the year ended 31 March 2022

9 Cash at bank and in hand
Cash at bank
Cash in hand
10 Creditors and accruals
Trade creditors
Accruals
Loans repayable within 1 year
11 Creditors: amounts falling due after one year
Loans		 2022
£
391,483
515
391,998
2022
£
12,337
1,700
1,667
15,704
2022
£
-
-		 2021
£
316,327
305
316,632
2021
£
950
1,700
6,667
9,317
2021
£
1,667
1,667

12 Related party transactions

Trustee expenses

No trustee received any expenses during this year or the previous year.

Trustee remuneration and benefits

No trustee received any remuneration or benefit during this or the previous year.

Remuneration and benefits received by key management personnel

The total employee benefits received during the year were £37,040 (previous year: £37,185).

13 Operating leases

Within one year
In the second to fifth years inclusive
Over five years from the balance sheet date
Expected future minimum lease payments over the remaining life of the
lease, analysed into the period in which the commitment falls due:		 2022
£
58,250
168,183
-
226,433		 2021
£
31,150
165,333
15,100
211,583

14 Joint Ventures

South Leeds Alternative Trading Enterprise Limited (SLATE) and St Vincent's are the sole members of Revive Leeds CIC, a company limited by guarantee.

SLATE does not have any monetary investments in Revive Leeds CIC.

Each year Revive Leeds CIC donates its profits in equal portion to the two member charities.

During the year a donation of £40,719 was made by Revive Leeds CIC to SLATE (previous year: £104,514)

15

South Leeds Alternative Trading Enterprise Limited

Statement of Financial Activities including comparatives for all funds (including summary income and expenditure account) for the year ended 31 March 2022

2022
2021
Unrestricted Unrestricted
funds
funds
£
£
Income
Donations and legacies
41,079
105,109
Charitable activities
443,074
287,540
Other trading activities
101,912
78,224
Bank interest
107
201
Total income
586,172
471,074
Expenditure
Charitable activities
517,824
311,513
Total expenditure
517,824
311,513
Net income / (expenditure)
68,348
159,561
Fund balances brought forward
359,664
200,103
Fund balances carried forward
428,012
359,664		 2022
Restricted
funds
£
-
80,523
-
-
80,523
102,089
102,089
(21,566)
23,009
1,443		 2021
Restricted
funds
£
-
250,238
-
-
250,238
227,229
227,229
23,009
-
23,009		 2022
Total
funds
£
41,079
523,597
101,912
107
666,695
619,913
619,913
46,782
382,673
429,455		 2021
Total
funds
£
105,109
537,778
78,224
201
721,312
538,742
538,742
182,570
200,103
382,673

16