## **CHLOE’S & SOPHIE’S SPECIAL EARS FUND** **(A COMPANY LIMITED BY GUARANTEE)** **REPORT AND FINANCIAL STATEMENTS YEAR ENDED 30 NOVEMBER 2020** # **COMPANY NUMBER- 08300399 REGISTERED CHARITY NUMBER - 1151263** **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** |**Contents**|| |---|---| ||**Page**| |Charity Reference and Administrative Details|3| |Trustees’ Annual Report including Directors’ Report and Strategic Report|4| |Independent Examiner’s Report|22| |Statement of Financial Activities including Income and Expenditure Account|23| |Balance Sheet|24| |Notes to the Financial Statements|26| **Chloe’s & Sophie’s Special Ears Fund** ## **Charity Reference and Administrative Details** ## **Year Ended 30 November 2020** |**Charity registration number**|1151263| |---|---| |**Company registration number**|08300399| |**Trustees**|Karen Jackson| ||Brian Jackson| ||Martin Jackson| ||Stuart Elsdon| ||Ian Jackson| ||Shaun Garrett| ||Paul Johnston-Naylor| |**Registered office**|16 Dragoon Court| ||Aldershot| ||Hampshire| ||GU11 1YF| |**Independent Examiner**|Martin Joseph| ||Whittingtons Business Services Limited| ||1 High Street| ||Guildford| ||Surrey| ||GU2 4HP| 3 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Trustees’ Annual Report including Directors’ Report and Strategic Report** The Trustees present their report and the audited financial statements of the charity for the year ended 30 November 2020. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity. The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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 published on 16 July 2014 (as amended by Update Bulletin 1 published on 2 February 2016). ## **Trustees of the charity** The trustees, who are also the directors for the purpose of company law, and who served during the year were: Mrs K Jackson Mr B Jackson Mr P Johnston-Naylor Mr S Garrett Mr M Jackson Mr S Elsdon Mr I Jackson The company employed four part time staff. Three of which worked at our charity shop ‘Just4Kids’. There is one paid Director. All the activities associated with fundraising and financial management are performed by the seven Trustees. Volunteers are the task force to the fundraising and administrative management of the charity. Volunteers are the taskforce behind our charity shop. None of the directors hold shares as there is no authorised share capital. The Trustees are responsible for ensuring there are effective and adequate risk management and internal control systems in place to manage all major risks that the Charity is exposed to. Financial risk is directly managed by the Trustees. Any items require pre-approval from the Trustees and are supported by receipts. Every expense must be counter signed. All cheques require two signatures. The charity has a procedure for the public to request Grants which are paid directly to the school, or the charity purchases the items rather than provide the applicant with monies. Grants are all approved by the Trustees. Monthly accounts are reported on at our monthly committee meetings. Other Risks include Health & Safety whereby Risk Assessments are carried out for any fundraising event. Our charity shop holds all Risk Assessments and Health and Safety documents. 4 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** Here is our Charity Founders Brian and Karen Jackson, with the charity inspirations Chloe and Sophie Jackson alongside Deaf Popstar Fletch@. ## **Objectives and activities** The objectives of the charity are: - To raise deaf awareness in the local community - To improve the education of deaf children in mainstream school by providing deaf equipment, deaf resources and materials to improve the sound acoustics in the school - To provide resources and equipment to deaf children to support their emotional wellbeing. Raising Deaf Awareness in the community is done by providing schools with resources and materials that cover Deaf Awareness. These include a variety of teddies with different forms of hearing aids, cochlear implant or BAHA. They also include a puppet with signing hands. They also include a variety of children’s books about deafness. These are provided to schools free of charge in Hampshire, Berkshire, London and Surrey. The charity also attends functions, schools, after school activities and more to provide Deaf Awareness Talks. The charity also provides Deaf Awareness Story Books Giveaways. Due to Covid19, we were unable to host this in 2020. Grants are provided to local schools to provide them with deaf equipment and resources and materials. The charity provides grants to schools in Hampshire, London, Berkshire and Surrey who have deaf children. Schools need to demonstrate that they do not get funding for deaf equipment for the child to be provided with the grant. The grants are awarded for Radio Aids, Soundfield Systems, sound acoustic boards, rugs to improve the sound acoustics and hessians behind notice boards to improve the sound in the class or hall. 5 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** The charity supports Deaf children’s emotional wellbeing through several resources and activities. This year this was fulfilled by activities at The Hub from December 2019 to March 2020 and a Panto with an integrated BSL interpreter in December 2019. From March 2020 to November 2020, we turned to Zoom and held many activities online to engage with Deaf children to support their mental health and wellbeing. The charity also funds parents to learn British Sign Language Level 1 and Level 2 to break down communication barriers and to improve the language deprivation that Deaf children face. ## **Strategic Report** ## **Achievements and performance** ## **RAISING DEAF AWARENESS** The Charity continued to build on last years Deaf Awareness Strategies but in a completely different way. We were unable to host our yearly World Book Day event in March and our Positive Deaf Partnership Day in May due to Covid19. However, during December 2019 and November 2020 raising Deaf Awareness took a different direction as the charity focussed on supporting Deaf children and their families during the Pandemic. We used our Social Media platforms to highlight campaigns nationally such as “Where Is the Interpreter?”. During the Pandemic, there was no British Sign Language interpreter at the breaking news of the Covid19 outbreak. Disadvantaging over 86,000 Deaf people who use BSL. We raised Deaf Awareness of the struggles that Deaf people face and this has been recognised by many hearing people since Facemasks were introduced to be worn. Facemasks reduce sound by up to 6 decibels. A facemask isolates Deaf people as it removes the access to lipread and to see emotional features of the face which are an essential part of British Sign Language. 6 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** Sophie Jackson in her Clear Panel Facemask on the left. Ellie Simpson, Assistant Manager of Just4Kids Bordon in a Clear Panel Facemask on the right, along with one of the teddies sent out to Deaf children to reduce anxiety. ## **Deaf Awareness - In The Community** The Charity partnered with Collectively Camberley to provide 200 Clear Panel Facemasks to businesses in Camberley Town Centre. This went on to more businesses and national charities requesting Clear Panel Facemasks from us. We also provided local businesses with Deaf PPE packs – Pen, Paper and a poster to tell them about the Environment they need to be in for a Deaf person to communicate with them. We also worked with many businesses on their Social Media to introduce Subtitles to make their communication accessible. This has been a direct impact from the boom of Zoom and Facemasks. There is still a lot of work to be done to become Deaf Aware. We are pleased that subtitles are becoming a ‘norm’ but we shall be watching to see if these are removed over time. ## **School Visits** Due to Covid19, we were unable to complete our school visits to raise Deaf Awareness through assemblies and our Book Giveaway scheme. 7 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **SUPPORTING SCHOOLS WITH DEAF CHILDREN** We visited less schools during December 2019 and November 2020 in comparison to previous years. We usually visit schools from March onwards which wasn’t possible due to schools being shut and with everyone staying at home. Before we went into lockdown we did have one school that requested Soundclouds for two Deaf children in their school. Both children were struggling to access the sound due to poor acoustics along with the sounds affecting their mental health in their school day. Surveys for improvements to Sound Acoustics were created by Woolly Shepherd – specialists in Sound Acoustics. This helped our charity to provide an exact improvement with appropriate research. Here is one of the Sound Clouds created for Raven and Tyler in their school in Surrey. 8 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** We also supplied two children with a Radio Aid and one with a mini mic. This was so that they could have a better clarity of sound streamed to their Hearing Aids or Cochlear Implants. Here is a photo of Isabelle. She can now listen to her devices and the TV directly through her hearing aids using a mini mic. You can see she’s very pleased with her new access to sound, which can just about be seen clipped to her T-shirt. We have spent £13,129 providing equipment in schools which also included home schooling during this year. This is a slight increase to our previous year. The focus from last year to this year has changed gears to supporting the emotional wellbeing and mental health of Deaf children, more so during a Pandemic. 9 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **EMOTIONAL WELL BEING OF DEAF CHILDREN** As a charity, it is very important for us to support the Emotional Wellbeing of Deaf children. Throughout the year we focussed on previous Wishes such as learning British Sign Language as well as bringing Deaf children together. We have also recognised that not only is it the emotional wellbeing that needs to be supported but also their mental health. During November to February 2020 we were able to provide a Fletch@ Sign Song Workshop, run our Hub activities on Sunday’s and attend a Panto trip to watch Jack in the Beanstalk with an integrated BSL interpreter. We spent £16,142 on support the emotional Well-Being of deaf children. The charity also spent £31,670 on supporting Deaf children throughout the pandemic for Covid Relief such as hearing aid batteries, facemasks and ‘I am Deaf’ products to reduce anxiety and isolation. Our focus had to change during the Pandemic and we had to put all of our energy into reducing isolation for Deaf children by providing helmets, facemasks, batteries for hearing aids, care packages and support to their mental health through Zoom activities. ## **CYCLE HELMETS** In our first lockdown, you could only go out and exercise once a day with your family household. During this time, we changed how the charity works and made the wish for being able to ride a bike or scooter with a cycle helmet open to all Deaf children across the UK. In a short space of time, we have been able to fund 150 cycle helmets, giving us a total spend of £7,500. That’s 150 Deaf children that we have enabled to go be with their family, riding their bike or scooter, supporting their mental health. Children can keep their Cochlear Implants/BAHA or Hearing Aids on with these helmets. This improves the child’s mental health by not being isolated from riding a bike with friends or family. 10 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** Here are some of the amazing children on a bike ride with their new cycle helmet. 11 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **BSL LEVEL 1 AND 2** We fund parents of Deaf children to learn British Sign Language Level 1 and 2 so they can start to communicate with their children. This will support their emotional wellbeing now and in the future. We have provided the funds for 8 parents to learn BSL Level 1. This gives 480 hours worth of learning British Sign Language. This has given them the first steps of communication with their child. We have provided the funds for 7 parents to learn BSL Level 2. This gives 480 hours worth of learning British Sign Language. ## **CARE PACKAGES** We provided 72 Care Packages for Deaf children. These included Arts and Crafts, teddies wearing hearing aids and in scrubs to help reduce anxiety, garden packs, pizza kits and so much more. Our aim was to connect with the families in a time where it was possible to be disconnected due to the Pandemic. The charity made much stronger relationships with the families because of the Care Packages. Here are some of the photos of our time when we were dropping them off. 12 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **BATTERIES FOR HEARING AIDS AND COCHLEAR IMPLANTS** We provided 1978 packs of batteries to Deaf children and adults throughout the Pandemic. When it was announced that the UK would go into Lockdown, we knew we had to take action. Deaf people are already isolated so to be faced with a limited way to getting batteries for their hearing aids or cochlear implants, they would be faced with isolation with isolation. A total sum of £5933.00 was spent on batteries. A team of volunteers worked day and night to get batteries out to those in need. 13 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** We had a system set up so that Deaf people could request batteries themselves. Many Audiology Departments around the UK were either not sending out batteries, or only had phone lines to call for them. This was a barrier that makes it inaccessible to receive batteries needed. Using our daily walk to post batteries. The number of batteries posted out to those in need gave a total of 11,868 which equates to 5,934 weeks of batteries for hearing aids. This would have had a devasting impact on the mental health of those that requested the batteries, had our charity not stepped up to help at their time of need. 14 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** It was a huge team effort to getting batteries out. Volunteers were all ages working from home. Some would do their school work then work on helping those in need. ## **I AM DEAF PRODUCTS** Throughout the different obstacles faced in a Pandemic, one of the barriers that came to light were facemasks. Because of this, the need for products to say the person was a lipreader as a Deaf person or how the person should communicate with the holder of the person wearing the lanyard. We created our own lanyard rather than encouraging our families to use the Sunflower lanyard. This was because we didn’t want the message to be unclear. Here are some of our recipients wearing their ‘I am Deaf’ items. 15 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Events and Activities** In November 2019, CSSEF celebrated being open for one year at ‘The Hub for Deaf Children’. This is held every 2[nd] Sunday from 11am until 2pm. The venue the charity uses is Badshot Lea The Kiln. The Hub for Deaf Children is open to Deaf children and their families; and Children of Deaf Adults and their families (CODA). The charity chose to bring both communities together to bring support for parents of Deaf children, and to enrich Deaf children’s access to their Deaf Identity and access to British Sign Language. The Hub is set up to host lots of zones such as Board Games, Sensory, Fancy Dress, Arts and Crafts, Sports and more. The set up very much encouraged ‘dual play’ to encourage Deaf children to form friendships whilst being occupied with play activities. On average 50 people attend every session, with the highest attended session being 85 people. Families travel from up to 90 minutes away to attend. The Hub for Deaf Children continued to host Activities within the Hub Session. This is included Arts and Crafts at Christmas, a visit from Guiles Reptiles and a party to celebrate our first year of opening. 16 Chloe's & Sophie's Special Ears Fund Year Ended 30 November 2020 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** We also attended the Panto of Jack and the Beanstalk in Camberley Theatre in December 2019. The show was performed with BSL Interpreter Ana Becker. She performs as an integrated BSL interpreter, meaning that she moves around with the cast as they perform. This is the way forward, as it means the audience gets to watch the show rather than looking to the right to get the communication, then look back to the performance. Every family enjoyed themselves. Oh no they didn’t. Oh yes, they did! We had 350 people attend which included a mixture of families with Deaf children and CODA (Children of Deaf Adult) families to attend as well as some of our volunteers and supporters. The atmosphere was incredible. One family said “It was brilliant. I loved watching my children watch a Panto in their own language. That doesn’t happen ever. Thank you so much.” The audience ready to watch the Panto show at Camberley Theatre. Smiley faces all round. We are very proud that we have seen a very large increase in the demand for our charity to support Deaf children. We know the demand will continue to grow in the following years to come. 18 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Financial review (including reserves policy)** The charity had a total income of £171,056 which was a decrease from the previous year of £12,191 and a significant reduction in our forecast to raise £250,000 from December 2019 to November 2020. Our main source of charitable income is from our charity shops, donations and personal challenge fundraising. We have been faced with a devasting financial income to our projections due to Covid19. We had to close our charity shops, stop all in person fundraising challenges and find new ways to raise funds. Charitable donations to the charity totalled to £21,721. This was a significant decrease to the previous year of £20,467. Fundraising activities totalled to £39,200. This was a significant decrease to the previous year of £13,297. Before Covid19 stopped our fundraising activities, we were able to host a Bingo Night and a Panto. We were also supported throughout the year by supporters completing virtual events such as challenges and raffles. Grants were a new funding stream that we explored due to Covid19. We were able to secure grants to the sum of £14,710. These included restricted funding from: - The National Lottery for £9,960 - Wooden Spoon Charity for £2,500 - Jenahara for £500 - European Tour for £1,000 - Farnham South Street Trust for £750 Our charity shops were a significant source of income during this financial year. They raised £95,424 as a combined total which includes shop revenue, rags and grants. Our charity shop ‘Just4Kids’ at 145 London Road, Camberley GU15 3JY, helped us raise a total of £34,868, seeing a decrease of £28,893 from the previous year. Our second charity shop ‘Just4Kids’ in Bordon, Unit 3-4, The Forest Centre, Bordon GU35 0TN helped us raise £19,405, seeing a decrease of £4,105.00. Just4Kids Camberley received grants from Surrey Heath Borough Council to the sum of £11,334. Just4Kids Bordon received grants from East Hampshire District Council to the sum of £27,000. Both charity shops collected rags of shoes and £2,817. Just4Kids Camberley was severely impacted by Covid19 even with the grants from Surrey Heath Borough Council. Just4Kids Bordon had only been operating for 7 months in the previous year and this makes it difficult to compare the impact of Covid19 on their income. **----- Start of picture text -----**
.Just4Kids Bordon
**----- End of picture text -----**
19 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** Charitable activities amounted to £109,996 of which £13,129 to support schools improve their Sound Acoustics and provide Sound Equipment for Deaf Children. An additional £169 was spent on Raising Deaf Awareness. We spent £16,142 on support the emotional Well-Being of deaf children. The charity also spent £31,670 on supporting Deaf children throughout the pandemic for Covid Relief such as hearing aid batteries, facemasks and ‘I am Deaf’ products to reduce anxiety and isolation. The charity spent £112,323 as a total for resources expendable. This showed a surplus of £58,733. A review of the charity reserves is required to support the charity for a future pandemic, and for the surge in demand of services to support Deaf children due to Covid19. ## **Plans for the future** In the coming 12-18 months the Trustees plan to continue and develop our main charity objectives. The Trustees plan to work more closely with supporting the mental health of Deaf children and their families. Our focus will be towards British Sign Language by providing the opportunity for more parents and children to learn BSL. We endeavour to host a yearly graduation ceremony to celebrate the achievements of those achieving their qualifications. We plan to host more activities for Deaf children to enable them to engage more with each other, as well as support them from the devasting impact that Covid19 will have had on them. We plan to run activities through the Summer to enable Deaf children to meet with their peers. We plan to review the structure of our charity and employ more staff to deliver our charitable aims. We plan to review our charitable aims and where we provide our support. We do not wish to disadvantage any Deaf child because of their postcode. We plan to go UK in 2022. We plan to open our own charity Hub for parents of Deaf children and professionals to drop into to seek support and advice. Our aim is to have this in Surrey Heath or Rushmoor. We plan to open a Donation Centre to be run by a Retail Development Manager. This will reduce the number of donations in each charity shop and enable us to open more charity shops in smaller spaces. This will ultimately raise more funds needed for our charity. We plan to review our Governing Document to be more up to date in our charitable aims and where our vision aspires to be in the next 5 years. This includes a review of our charitable aims. ## **COVID-19** Covid19 started in March 2020. This impacted our charity greatly. We saw an increase of demand from 150 Wishes per year to 8000 wishes/requests for help. This was an increase of 5233%. Fundraising was a challenge to raise funds with no way of being able to do our normal fundraising activities. Grants have been a large source of income for us. Demand for services increased and the charity needs to be considerate to each application to ensure that the charity future is secured safely. ## **Conflict of interest** The Charity reports that one Trustee had a conflict of interest. In the setting up of Microsoft Office 365, we required specialist advice to enable us to transfer from one email domain to Microsoft Office 365. One Trustee, Stuart Elsdon, is a Director of the company that the Charity used. The Charity followed correct procedure as per Government Guidelines – Conflict of Interest: a guide for charity trustees (CC29). 20 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Trustees’ responsibilities** The Trustees are responsible for ensuring that the objectives of the Charity are fully achieved in a sustainable manner. The primary responsibilities are to raise the necessary funds to deliver the Charity’s objectives. The Trustees are responsible for ensuring there are effective and adequate risk management and internal control systems in place to manage all major risks that the Charity is exposed to. Financial risk is directly managed by the Trustees. Any items require pre-approval from the Trustees and are supported by receipts. Every expense has to be counter signed. All cheques require two signatures. The charity has a procedure for the public to request Grants which are paid directly to the school or the charity purchases the items rather than provide the applicant with monies. Grants are all approved by the Trustees. Monthly accounts are reported on at our monthly committee meetings. Other Risks include Health & Safety whereby Risk Assessments are carried out for any fundraising event. Our charity shop holds all Risk Assessments and Health and Safety documents. ## **Disclosure of information to the auditors** We, the directors of the company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that: - there is no relevant audit information of which the company’s auditors are unaware; and - we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information. In approving the Trustees' Annual Report, we also approve the Strategic Report included therein, in our capacity as company directors. On behalf of the board of trustees Signature: Mr I Jackson, Chair of Trustee 27[th] August 2021 21 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Independent Examiner’s Report to the Trustees of Chloe’s & Sophie’s Special Ears Fund** I report to the charity trustees on my examination of the accounts of the company for the year ended 30 November 2020 which are set out on pages 23 to 33. ## **Responsibilities and basis of report** As the charity trustees of the 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 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 company’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 confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or 4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)]. 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. _Signed:_ **Martin Joseph** ## **ICAEW** 1 High Street, Guildford, Surrey, GU2 4HP 27[th] August 2021 22 **Chloe’s & Sophie’s Special Ears Fund** ## **Year Ended 30 November 2020** ## **Statement of Financial Activities including Income and Expenditure Account** ||||2020|2020||2019| |---|---|---|---|---|---|---| |||Unrestricted|Restricted|Endowment||| |||funds|funds|funds|Total|Total| ||Note|£|£|£|£|£| |**Income and endowments from:**||||||| |Donations and legacies|2|39,200|0|0|39,200|42,188| |Charitable activities||0|0|0|0|0| |Other trading activities|3|117,907|14,750|0|132,657|142,895| |Investments||0|0|0|0|0| |Other||0|0|0|0|0| |**Total income and endowments**||157,107|14,750|0|171,857|185,083| |**Expenditure on:**||||||| |Raising funds||2,327|0|0|2,327|22,740| |Charitable activities|4|93,596|16,500|0|110,096|104,377| |Other|7|840|0|0|840|810| |**Total expenditure**||96,763|16,500|0|113,263|127,927| |Net gains / (losses) on||0|0|0|0|0| |investments||||||| |**Net income / (expenditure)**||60,344|(1,750)|0|58,594|57,156| |**Transfers between funds**||0|0|0|0|0| |**Other recognised gains / (losses):**||||||| |Gains / (losses) on revaluation of||0|0|0|0|0| |fixed assets||||||| |Remeasurement gain / (loss) on||0|0|0|0|0| |defined benefit pension plan||||||| |Other gains / (losses)||||||0| |**Net movement in funds**|11|60,344|(1,750)|0|58,594|57,156| |**Reconciliation of funds:**||||||| |Total funds brought forward|11|197,588|4,000|0|201,588|144,432| |**Total funds carried forward**|11|257,932|2,250|0|260,182|201,588| All income and expenditure derive from continuing activities. The statement of financial activities includes all gains and losses recognised during the year. 23 **Chloe’s & Sophie’s Special Ears Fund** ## **Balance Sheet** ## **Year Ended 30 November 2020** |Note
**Fixed assets**
Intangible assets
Tangible assets
Heritage assets
Investments
**Current assets**
Stocks
Debtors
Investments
Cash at bank and in hand
**Creditors: amounts falling due within one year**
10
**Net current assets / (liabilities)**
**Total assets less current liabilities**
**Creditors: amounts falling due after more than one year**
**Provisions for liabilities**
**Net assets / (liabilities) excluding pension liability**
**Defined benefit pension liability**
**Net assets / (liabilities)**
**Charity Funds**
Endowment funds
Permanent endowment
11
Expendable endowment
11
Restricted funds
11
Unrestricted funds
11
Revaluation reserve
11
Pension reserve
11
**Total charity funds / (deficit)**
11|2020
£
0
0
0
0
0
0
0
0
261,832
261,832
-1,650
260,182
260,182
0
0
260,182
0
260,182
0
0
2,250
257,932
0
0
260,182|2019
£
0
0
0
0| |---|---|---| |||0
0
0
0
202,398| |||202,398
-810| |||201,588| |||201,588
0
0| |||201,588
0| |||201,588| |||0
0
4,000
197,588
0
0| |||201,588| The financial statements were approved and authorised for issue by the Board on 28[th] August 2021. For the year ending 30 November 2020 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. 24 **Chloe’s & Sophie’s Special Ears Fund** ## **Balance Sheet** ## **Year Ended 30 November 2020** Directors’ responsibilities: - The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476; - The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. Signed on behalf of the board of trustees Signature: Mr I Jackson, Chair of Trustees 27[th] August 2021 The notes on pages 26 to 33 form part of these financial statements. Company registration number: **08300399** 25 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **1 Summary of significant accounting policies** ## **(a) General information and basis of preparation** Chloe’s & Sophie’s Special Ears Fund is a company limited by guarantee, incorporated on 20 November 2012 and registered as a charity on 15 March 2013 in England. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity. The address of the registered office is given in the charity information on page 3 of these financial statements. The objectives of the charity are to raise deaf awareness in the local community; to improve the education of deaf children in mainstream school by providing deaf equipment, deaf resources and materials to improve the sound acoustics in the school; and to provide resources and equipment to deaf children to support their emotional wellbeing. The charity constitutes a public benefit entity as defined by FRS 102. 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) issued on 16 July 2014 (as updated through Update Bulletin 1 published on 2 February 2016), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. The charity has applied Update Bulletin 1 as published on 2 February 2016 and does not include a cash flow statement on the grounds that it is applying FRS 102 Section 1A. The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the 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) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn. The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £000. The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated. ## **(b) Funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. 26 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income. Any capital gains or losses arising on the investments form part of the fund. Investment management charges and legal advice relating to the fund are charged against the fund. ## **(c) Income recognition** All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received. For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled. Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable, it can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity. For example the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure. No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102). Further detail is given in the Trustees’ Annual Report. Where practicable, gifts in kind donated for distribution to the beneficiaries of the charity are included in stock and donations in the financial statements upon receipt. If it is impracticable to assess the fair value at receipt or if the costs to undertake such a valuation outweigh any benefits, then the fair value is recognised as a component of donations when it is distributed and an equivalent amount recognised as charitable expenditure. Gifts in kind donated for resale are included at fair value, being the expected proceeds from sale less the expected costs of sale. Where estimating the fair value is practicable upon receipt it is recognised in stock and ‘Income from other trading activities’. Upon sale, the value of the stock is charged against ‘Income from other trading activities’ and the proceeds are recognised as ‘Income from other trading activities’. Where it is impracticable to fair value the items due to the volume of low value items they are not recognised in the financial statements until they are sold. This income is recognised within ‘Income from other trading activities’. Fixed asset gifts in kind are recognised when receivable and are included at fair value. They are not deferred over the life of the asset. For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised. On occasion legacies will be notified to the charity however it is not possible to measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed. Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred. 27 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **(c) Income recognition (continued)** Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent. Where it is not practicable to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs. It is included when the amount can be measured reliably. Interest income is recognised using the effective interest method and dividend and rent income is recognised as the charity’s right to receive payment is established. Other income includes the conversion of endowment funds into income which arises when capital funds are released to an income fund from expendable endowments or when a charity has authority to adopt a total return approach to its permanent endowment fund. It also includes other income such as gains on disposals of tangible fixed assets. ## **(d) Expenditure recognition** All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings: - Expenditure on charitable activities Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. Grants payable to third parties are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside of the control of the charity. ## **(e) Support costs allocation** Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity and include project management carried out at Headquarters. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources. Fund-raising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. The analysis of these costs is included in note 5. ## **(f) Debtors and creditors receivable / payable within one year** Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure. 28 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **(g) Employee benefits** When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable. ## **(h) Tax** The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. ## **(i) Going concern** The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. ## **2 Income from donations and legacies** |Gifts
Legacies
Grants
Donated services
Donated goods for distribution to beneficiaries
Other|2020
£
39,200
0
0
0
0
0
39,200|2019
£
42,188
0
0
0
0
0| |---|---|---| |||42,188| Income from donations and legacies was £39,200 (2019 - £42,188) of which £0 (2019 - £0) was attributable to endowments, £0 (2019 - £4,000) was attributable to restricted and £39,200 (2019 - £38,188) was attributable to unrestricted funds. 29 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **3 Income from other trading activities** |Fundraising events
Shop income
Income from Grants received
Other|2020
£
21,721
57,892
53,044
0
132,657|2019
£
52,497
90,398
0
0| |---|---|---| |||142,895| Income from other trading activities was £132,895 (2019 - £142,895) of which £0 (2019 - £0) was attributable to endowments, £14,750 (2019 - £0) was attributable to restricted and £117,907 (2019 - £142,895) was attributable to unrestricted funds. ## **4 Analysis of expenditure on charitable activities** |Charitable activities 2020
Equipment and resources in
school
Emotional wellbeing
Raising deaf awareness
Other
Charitable activities 2019
Equipment and resources in
school
Emotional Wellbeing
Raising deaf awareness
Other|Activities undertaken
directly
Grant funding of
activities
Support costs
Total
2020
2020
2020
2020
£
£
£
£
13,149
0
0
13,149
31,582
16,500
0
48,082
139
0
0
139
48,726
0
0
50,748| |---|---| ||93,596
16,500
0
110,096| ||Activities undertaken
directly
Grant funding of
activities
Support costs
Total
2019
2019
2019
2019
£
£
£
£
9,977
0
0
9,977
30,867
0
0
30,867
827
0
0
827
62,706
0
0
62,706| ||104,377
0
0
104,377| £0 (2019 - £0) of the above costs were attributable to endowment funds. £16,500 (2019 - £0) of the above costs were attributable to restricted funds. £93,596 (2019 - £104,377) of the above costs were attributable to unrestricted funds. 30 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **5 Allocation of support costs** |Support cost 2020
Basis of
allocation
£
2020
Pension contributions
100%
Total
Support cost 2019
Basis of
allocation
£
2019
Pension contributions
100%
Total|Raising funds
Activity 1
Activity 2
Activity 3
Total
£
£
£
£
£
2020
2020
2020
2020
2020
1,728
0
0
0
1,728| |---|---| ||1728
0
0
0
1,728| ||Raising funds
Activity 1
Activity 2
Activity 3
Total
£
£
£
£
£
2019
2019
2019
2019
2019
1,080
0
0
0
1,080| ||1,080
0
0
0
1,080| ## **6 Governance costs** |Trustee remuneration
15
Auditor’s / independent examiners remuneration (including
expenses and benefits in kind
14|2020
£
21,600
840
22,440|2019
£
19,800
810| |---|---|---| |||20,610| ## **7 Independent examiners remuneration** The independent examiners remuneration amounts to an independent examination fee of £840 (2019 - £810). ## **8 Trustees' and key management personnel remuneration and expenses** The trustees received remuneration during the year £21,600 (2019: £19,800). The total amount of employee benefits received by key management personnel is £0 (2019 - £0). 1 (2019 - 1) trustees are accruing pension arrangements. The trustees did not have any expenses reimbursed during the year (2019 - £0). 31 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **9 Staff costs and employee benefits** The average monthly number of employees and full time equivalent (FTE) during the year was as follows: |Raising funds
Charitable activities
Governance|2020
2020
2019
2019
Number
FTE
Number
FTE
0
0
0
0
5
2
5
2
1
1
1
1| |---|---| ||6
3
6
3| No employees received total employee benefits (excluding employer pension costs) of more than £60,000. ## **10 Creditors: amounts falling due within one year** |Other creditors
**und reconciliation**
**nrestricted funds**
Balance at
1stDec
2019
Income
Expenditure
Transfers
£
£
£
£
Unrestricted
197,588
157,107
96,763
0
Restricted
4,000
14,750
16,500
0
201,588
171,857
113,263
0
Balance at
1stDec
2018
Income
Expenditure
Transfers
£
£
£
£
Unrestricted
144,432
181,083
127,927
0
Restricted
0
4,000
0
0
144,432
185,083
127,927
0|Other creditors
**und reconciliation**
**nrestricted funds**
Balance at
1stDec
2019
Income
Expenditure
Transfers
£
£
£
£
Unrestricted
197,588
157,107
96,763
0
Restricted
4,000
14,750
16,500
0
201,588
171,857
113,263
0
Balance at
1stDec
2018
Income
Expenditure
Transfers
£
£
£
£
Unrestricted
144,432
181,083
127,927
0
Restricted
0
4,000
0
0
144,432
185,083
127,927
0|2020
£
1,650
1,650
Gains /
(losses)
£
0
0|2019
£
810| |---|---|---|---| ||||810| ||||Balance at
30thNov
2020
£
257,932
2,250
260,182
Balance at
30thNov
2019
£
197,588
4,000
201,588| ||||| ||201,588
171,857
113,263
0|0|| ||Balance at
1stDec
2018
Income
Expenditure
Transfers
£
£
£
£
144,432
181,083
127,927
0
0
4,000
0
0|Gains /
(losses)
£
0
0|| ||||| ||144,432
185,083
127,927
0|0|| ## **11 Fund reconciliation** ## **Unrestricted funds** 32 **Chloe’s & Sophie’s Special Ears Fund** ## **Notes to the Financial Statements** ## **Year Ended 30 November 2020** ## **12 Pensions and other post-retirement benefits** a) Defined contribution pension plans The charity operates a defined contribution pension plan for its employees. The amount recognised as an expense in the period was £1,728 (2019 - £1,080). ## **13 Related party transactions** There are no related party transactions during the period (2019: £ nil). 33