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2020-09-30-accounts

DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

Company Number: 08043772 Charity Number: 1149717

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee)

FINANCIAL STATEMENTS

For the Year Ended 30 September 2020

DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

C O N T E N T S

Page
OFFICERS AND ADVISORS 1
REPORT OF THE TRUSTEES
2 - 4
INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS 5
STATEMENT OF FINANCIAL ACTIVITIES 6
BALANCE SHEET 7
CASH FLOW STATEMENT 8
NOTES TO THE FINANCIAL STATEMENTS
9 - 12

DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) OFFICERS AND ADVISORS FOR THE YEAR ENDED 30 SEPTEMBER 2020

Trustees Dr A D Boul
Mr R J Compton-Burnett
Miss R Dadswell
Registered Office Wootton Chase
Wootton St. Lawrence
Basingstoke
Hampshire
RG23 8PE
Administrative Office 28 The Green
Kings Norton
Birmingham
B38 8SD
Independent Examiners Hazlewoods LLP
Windsor House
Bayshill Road
Cheltenham
GL50 3AT
Solicitors Paris Smith LLP
9 Parchment Street
Winchester
Hampshire
SO23 8AT
Bankers Allied Irish Bank (GB)
9 Waterloo Road
Wolverhampton
WV1 4NB
Company Number 08043772 (England and Wales)
Charity Number 1149717

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

The Trustees submit their annual report and the financial statements of The Capstone Care Leavers’ Trust (‘CCLT’) for the year ended 30 September 2020.

The Trustees have adopted the provisions of the Statement of Recommended Practice “Accounting and Report by Charities” (SORP 2005) in preparing the annual report and financial statements of the Charity.

Structure, Governance and Management

CCLT is a company limited by guarantee, not having share capital, and is governed by its Memorandum and Articles of Association adopted on incorporation on 24 April 2012.

The trustees who held office during the year were as follows:

Dr A D Boul Mr R J Compton-Burnett Miss R Dadswell

When appointing newly elected Trustees, CCLT has a policy of induction, which includes ensuring that they are fully aware of their responsibilities in relation to both Companies House and Charities Commission guidance and the company’s objectives.

Objectives and Activities

CCLT aims to help care leavers in England and Wales who receive inadequate publicly funded support, and who are experiencing disadvantage as a result of having been brought up in care.

That help can include: financial support through grants towards the cost of education and training and other appropriate resources or facilities, including household goods; advice, information and guidance. Funding so far has been provided mostly by Capstone Foster Care Ltd. It is envisaged that the work of CCLT will be complementary to the existing obligations of local authorities in accordance with relevant legislation. Some of the funds that have been provided by Capstone Foster Care Ltd are restricted for use in relation to care leavers that have at some point been looked after by foster carers registered with Capstone Foster Care group companies.

Achievements and Performance

In line with its aims and objectives the Trustees have achieved the following during the period. In reporting this, the Trustees wish to record their thanks to the directors of Capstone Foster Care Ltd for their generosity in continuing to support the Trust.

CCLT considered around 160 applications requesting £180,000 worth of support during the financial year, in addition to dealing with telephone enquiries. During the year, the Trust recruited an assistant to support the manager so that we can aim to make more grants and have an increased impact. The Trustees have been able to provide swift responses to applications once sufficient information and, where necessary, statements of support from professionals, have been received. The Manager has been given discretion to make decisions in relation to straightforward grants of small amounts, which has further speeded up the process. The trustees made 97 grants totalling £77,762 in the report year. More details are available in the Financial Statements.

Successful applications have mainly been for continuing education (particularly course fees) or access to employment, including driving lessons and related tests for applicants without adequate access to public transport, and for household goods and basic furnishings required to make a home habitable or suitable for the needs of applicants' young children. CCLT saw an increase in laptop requests/study materials largely because of the Covid 19 pandemic. Educational bodies across England moved most studies online and closures of campuses prevented access to essential library and IT facilities. A subsidiary function has been to hold Local Authorities to account where, with funding restrictions, they are finding it difficult to discharge their statutory duties.

Many applications remained incomplete despite considerable follow-up efforts, reflecting the high mobility and dayto-day uncertainty of many care-leavers who cannot establish or maintain a settled home or lifestyle. On other occasions grants were agreed but remained unpaid because the beneficiary could not be contacted after the decision was made.

The majority of applicants continue to be in the age range of 21 – 25 years, reflecting the on-going issues faced by young adults after initial help with independence from local authorities has been exhausted, and the extent to which the reduction in State welfare provision has affected this age-group.

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

Applications were received from most parts of England. The largest number came from London and West Midlands Boroughs. CCLT is now quite well known and generally attracts large numbers of applications in a short time period when the website is open for new applications. It is unlikely that further publicity will be needed in the future but trustees will monitor this in conjunction with the level of applications received from different parts of England and Wales.

The Trustees will continue to monitor the use being made of the Trust by Local Authorities to ensure that grant assistance is not unduly concentrated in a single geographical location. The policy of capping the total amount of grant aid available to applicants formerly in the care of an individual Local Authority will continue to be implemented.

The Trust made further grants of £10,000 to Transitions UK, a charity that runs a mentoring programme for care leavers. This programme has expanded successfully in Buckinghamshire and our support has enabled further expansion into the Midlands.

The Trust's website has now been developed to the point where it effectively both publicises the Trust and is the basis for management information. It also signposts visitors to other useful sources of information & support.

Since the year end, the Manager retired after seven years’ excellent service. The former assistant has moved into the Manager role and a new part time assistant appointed.

Financial Review

During the year, the Charity received a total income of £100,821 (2019 - £170,000) and incurred expenditure of £125,699 (2019 - £94,967) which has resulted in a deficit for the year of £25,418 (2019 – surplus of £75,033).

As at 30 September 2020, total funds stood at £212,962 (2019 - £238,380), of which £200,044 (2019 - £223,071) were unrestricted funds retained in order to achieve the objects of the Charity and £12,918 (2019 - £15,309) were restricted funds.

Plans for Future Periods

The trustees have reviewed the current and likely future resources of CCLT and the time required to review and process applications and have decided for the time being to have one full time staff member (the Manager) and one part time assistant. Following the retirement of the previous manager in December 2020 these staffing levels were put in place with effect from April 2021.

CCLT will continue to make grants on the same basis as in recent years. New processes are now in place to monitor the progress of successful grantees over the 12 months following a grant.

CCLT will look to continue to support other projects that provide effective assistance to the care leaving community. The recent support provided to Transitions UK and the Birmingham University care leavers’ scholarship programme have produced impressive outcomes.

Reserves policy

Capstone Foster Care Ltd has indicated to the Trustees that it intends, subject to its own financial performance, to make substantial grants to CCLT for the foreseeable future. CCLT may receive donations from other parties over time but these are not expected to be material in the short term. The operating costs of CCLT are relatively fixed and the Trustees will monitor levels of grant making to make sure that adequate cash reserves are maintained at all times. The Trustees currently intend to maintain cash reserves to cover normal operating costs for at least six months.

Risk Assessment

The board have from time to time discussed and assessed the major risks to which the company is exposed and considered the safeguards that have been and can be implemented to mitigate those risks. In accordance with the Statement of Recommended Practice for charities the Trustees annually review and update the formal risk assessment.

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) REPORT OF THE TRUSTEES FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

Statement of Trustees’ Responsibilities

The Trustees are responsible for preparing the Report of the Board of Trustees and the financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Trustees 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 group and the charity and of the profit and loss of the group for that period. In preparing these financial statements, the Trustees are required to:

This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.

7/6/2021

Signed by order of the Board of Trustees on ………………

Mr R J Compton-Burnett Trustee

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) INDEPENDENT EXAMINERS’ REPORT TO THE TRUSTEES FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

I report on the financial statements of the charity for the year ended 30 September 2020, which are set out on pages 6 to 12.

Respective responsibilities of trustees and examiner

The trustees, who are also the directors of the company for the purposes of company law, are responsible for the preparation of the financial statements. The trustees consider that an audit is not required for this year under Section 145 of the Charities Act 2011 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 directions given by the charity commission. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and explanations sought from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the financial statements present a 'true and fair view' and the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

(1) which gives me reasonable cause to believe that in any material respect the requirements:

have not been met; or

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.

Simon Worsley (Chartered Accountant) For and on behalf of Hazlewoods LLP, Independent Examiners

Windsor House Bayshill Road Cheltenham GL50 3AT 7/6/2021

Date:……………………

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020

Note
INCOMING RESOURCES
Incoming resources from
generated funds
Voluntary income
Donations and gifts
Total incoming resources
RESOURCES EXPENDED
Charitable activities
2
Total resources expended
Net (outgoing) / incoming
resources before other recognised
gains and losses
9
Net movement in funds
Note
Reconciliation of funds
Funds brought forward at
1 October 2020
Net movement in funds
Transfer of restricted funds
Funds carried forward at
30 September 2020		 Unrestricted
fund
2020
£
100,281
100,281
(123,308)
(123,308)
(23,027)
(23,027)
Unrestricted
fund
2020
£
223,071
(23,027)
-
200,044		 Restricted
fund
2020
£
-
-
(2,391)
(2,391)
(2,391)
(2,391)
Restricted
fund
2020
£
15,309
(2,391)
12,918		 Total
Funds
2020
£
100,281
100,281
(125,699)
(125,699)
(25,418)
(25,418)
Total
Funds
2020
£
238,380
(25,418)
212,962		 Total
Funds
2019
£
170,000
170,000
(94,967)
(94,967)
75,033
75,033
Total
Funds
2019
£
163,347
75,033
-
238,380

The notes on pages 9 to 12 form part of these financial statements.

The Statement of Financial Activities has been prepared on the basis that all operations are continuing operations.

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) BALANCE SHEET AS AT 30 SEPTEMBER 2020

Company Number: 08043772

Note
Fixed assets
Tangible assets
5
Current assets
Cash at bank and in hand
Debtors
6
Creditors: amounts falling due within
one year
7
Net current assets
Total assets less current liabilities
Funds
Restricted income funds
8, 9
Unrestricted income funds:
Operational general fund
8, 9		 2020
£
1,239
215,924
-
(4,201)
211,723
212,962
12,918
200,044
212,962		 2019
£
1,047
241,026
692
(4,385)
237,333
238,380
15,309
223,071
238,380

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

For the year ended 30 September 2020 the 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 company to obtain an audit in accordance with section 476 of the Companies Act 2006.

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

7/6/2021

The financial statements were approved by the Board of Trustees on ………………….and signed on its behalf by:

Mr R J Compton-Burnett Trustee

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) CASH FLOW STATEMENT FOR THE YEAR ENDED 30 SEPTEMBER 2020

Company Number: 08043772

Cash flows from operating activities:
2020
£
(Deficit) / surplus for the period
(25,418)
Adjustments to cash flows for non-
cash items:
Depreciation
1,032
(24,386)
Working capital adjustments:
Decrease / (increase) in debtors
692
Decrease in creditors
(184)
Net cash generated from operating activities
(23,878)
Cash flows from investing activities:
Acquisition of tangible assets
(1,224)
Net cash decrease from investing activities
(1,224)
Net (decrease) / increase in cash and cash equivalents
(25,102)
Cash and cash equivalents at beginning of year
241,026
Cash and cash equivalents at end of year
215,924		 2019
£
75,033
618
75,651
(692)
(6,108)
68,851
-
-
68,851
172,175
241,026

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

1 ACCOUNTING POLICIES

Basis of Preparation

The financial statements have been prepared under the historical cost convention, adopting the following principal accounting policies all of which are in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice – Accounting and Reporting by Charities (SORP 2005) issued in March 2005 and The Companies Act 2006.

Company status

The company is limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. The company is subject to the requirements of the Companies Act 2006 with regards to the form and content of the financial statements.

Tangible fixed assets and depreciation

Tangible fixed assets are stated in the accounts at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of each asset over its expected useful life. The annual rates applied in this period were:

Website development costs 33% of cost Computer equipment 33% of cost

Incoming Resources

Incoming resources are allocated between:

Voluntary income (analysed between donations/gifts and grants receivable)

Donations/gifts and grants are accounted for on a receivable basis. Funds collected, to which the charity is entitled, but not received before the end of the financial year are included in incoming resources and in debtors.

Resources Expended

Resources expended are included in the Statement of Financial Activities on an accruals basis, inclusive of any Value Added Tax which cannot be recovered. Where expenditure is directly attributable to more than one activity, it is apportioned across cost categories on the basis of an estimate of the proportion of time spent by staff on those activities.

Funds

Funds held by the charity are either:

Taxation

The Company is an Exempt Charity within the meaning of Schedule 2 of the Charities Act 1993 and as such is a charity within the meaning of Section 519 of the Income Tax Act 2007 (formerly Section 506(1) of the Taxes Act 1988). Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Section 524 of the Income Tax Act 2007 (formerly Section 505 of the Taxes Act 1988) or Section 256 of the Taxation of Chargeable Gains Tax 1992 to the extent that such income or gains are applied to exclusively charitable purposes.

The company is exempt for VAT purposes.

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 30 SEPTEMBER 2020

2 RESOURCES EXPENDED ON CHARITABLE ACTIVITES

Note
Provision of care and education:
Grants paid
Donations
Depreciation
5
Support costs:
Staff costs
4
Sundry
Bank charges
Website costs
Total resources expended on charitable activities
3
NET INCOMING RESOURCES FOR THE YEAR
This is stated after charging depreciation
4
STAFF COSTS AND NUMBERS
Staff costs:
Gross wages
Social security costs
Travel costs
Analysed:
Staff costs included in support costs
2		 2020
£
82,093
10,000
1,032
93,125
31,482
13
143
936
32,574
125,699
2020
£
1,032
2020
£
29,461
1,701
320
31,482
31,482		 2019
£
68,140
5,000
618
73,758
20,388
-
58
763
21,209
94,967
2019
£
618
2019
£
19,082
1,102
204
20,388
20,388

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 30 SEPTEMBER 2020

5 TANGIBLE FIXED ASSETS

Cost
At 1 October 2019
Additions
At 30 September 2020
Depreciation
At 1 October 2019
Charge for the year
At 30 September 2020
Net book value
At 30 September 2020
At 30 September 2019
6
DEBTORS
Other debtors
7
CREDITORS: Amounts falling due within one
Other creditors
Credit card account		 Computer
Equipment
£
750
-
750
750
-
750
-
-
year		 Website
Development
Costs
£
6,991
1,224
8,215
5,944
1,032
6,976
1,239
1,047
2020
£
-
2020
£
750
3,451
4,201		 Total
£
7,741
1,224
8,965
6,694
1,032
7,726
1,239
1,047
2019
£
618
2019
£
750
3,635
4,385

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DocuSign Envelope ID: EC0B2116-F9FD-4A53-B7CB-C06CF4FEC5EE

THE CAPSTONE CARE LEAVERS’ TRUST (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 30 SEPTEMBER 2020

8 ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN
FUNDS
Fixed assets
Current assets
Current liabilities		 Unrestricted
Restricted
Funds
Funds
£
£
1,239
-
203,006
12,918
(4,201)
-
200,044
12,918		 Total
£
1,239
215,924
(4,201)
212,962

9 MOVEMENT ON RESERVES

Whilst the Statement of Financial Activities shows the movement on all funds, the position is also illustrated in this note for clarity:

Funds brought forward
at 1 October 2019
Net incoming resources
Funds carried forward
At 30 September 2020		 Operational
general fund
£
223,071
(23,027)
200,044		 Restricted
fund
£
15,309
(2,391)
12,918		 Total
funds
£
238,380
(25,418)
212,962

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