DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 **Company Registration No: 08039633 Registered Charity No: 1152342** **PRIME COMMITMENT LIMITED (a company limited by guarantee)** ## **Annual Report and Financial Statements** **For the year ended 30 April 2021** – 1 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **CONTENTS** ||PAGE| |---|---| |DIRECTORS AND ADVISERS|3 - 4| |REPORT OF THE DIRECTORS|5 - 10| |INDEPENDENT EXAMINERS’ REPORT|11| |STATEMENT OF FINANCIAL ACTIVITIES|12| |STATEMENT OF FINANCIAL POSITION|13| |NOTES TO THE FINANCIAL STATEMENTS|14 - 17| – 2 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **DIRECTORS AND ADVISERS** ## **Directors** David Rexford Kofi Addae Ampaw Charles Nicholas Cheffings Kathryn Helen Davies (Resigned 20 April 2021) Sarah-Jane Macdonald Julie Michaela Randles Christopher Charles White Tyrone Jones Nicholas Scott Anne Patricia Spackman (Resigned 4 December 2020) Olivia Louise Cole Molly Jane Lewis Lucy Gail Lewis Arun Gaurav Singh Sohan-Pall Elizabeth Mary Robertson Laura Naomi Bruce ## **Registered Office** 21 Holborn Viaduct London United Kingdom EC1A 2DY ## **Bankers** Barclays Bank PLC Leicester LE87 2BB ## **Independent Examiner** Mrs J Rowe FCCA Peters Elworthy & Moore Salisbury House Station Road Cambridge CB1 2LA – 3 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **DIRECTORS AND ADVISERS (CONTINUED)** **Registered Company Number** 08039633 **Registered Charity Number (England and Wales)** 1152342 – 4 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021** The directors present their annual report together with the financial statements for the year ended 30 April 2021. The directors confirm that the annual report and financial statements of the charitable company comply with current statutory requirements, the requirements of the governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition of the Charities SORP (FRS102) October 2019, effective 1 January 2019). ## **PRINCIPAL ACTIVITY AND BUSINESS REVIEW** The charitable company was incorporated on 20 April 2012 with the registered number 08039633. It was registered as an English charitable company with the number 1152342 on 7 June 2013. Prime Commitment Limited (PRIME) is a charitable company limited by guarantee. Since the charitable company qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013 has been omitted. The purpose of the charitable company is to promote social mobility in the UK by widening students’ access to work experience within law firms. During the year, the COVID-19 pandemic revealed more than ever before the stark societal inequalities and inequities that exist in our society. The attainability gap has widened, particularly for the young people that PRIME programmes are designed to reach. A Report by the Sutton Trust “Learning in Lockdown” highlights that the impact of the pandemic on learning continues to be unevenly felt, with over half (55%) of teachers at the least affluent state schools reporting a lower-than-normal standard of work returned by pupils since the shutdown, compared to 41% at the most affluent state schools and 30% at private schools. In the year ended 30 April 2021, with in-person work experience unable to be offered due to the ongoing pandemic, PRIME encouraged firms to keep social mobility at the top of the agenda and instead offer quality virtual work experience to students who might not otherwise have been able to access such opportunities. There are now 60 signatory firms who have committed themselves to achieving that goal and these firms have provided some 17,000 hours of work experience to socio-economically disadvantaged students since PRIME’s inception. This number of signatory firms is slightly down on year ended 2017 as a result of the introduction of a sliding-scale subscription for all members. Whilst this is disappointing, the result is that PRIME now unequivocally represents those law firms who are truly committed to effecting positive change. Nicholas Cheffings continues in his role as Executive Chair and will do so until April 2022, when his second term of office will expire. Sadly, Anne Spackman resigned as a director in December 2020 to take up the post of Chair of a MultiAcademy Trust. She made an excellent contribution to our work during the time that she was with us. As did Kathryn Davies, who finished her term of office in April 2021 and made the decision not to continue for a second term due to other commitments. Their positions have not been filled as other serving Board members have the skills and experience which match their principal areas of expertise. Consideration is being given to whether there are gaps in the Board’s skills matrix which could be addressed by appointing new directors. – 5 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** Our working groups, comprised of committed volunteers, have progressed work on our two main areas of focus; Impact Tracking Methodology and Cold Spots. These groups are instrumental in supporting the Board in carrying out PRIME’s objectives and we are immensely grateful for their time, skill and enthusiasm as well as their willingness to share their expertise for the greater good. Regarding Impact Tracking, member firms have now been encouraged to use our standardised application forms and have students complete our pre and post work experience surveys. Our appointed research partner, The Bridge Group, will be analysing those submitted for the time period January 2021 – August 2021 with a report due towards the end of 2021 on the immediate impact of PRIME work experience. Over time, the data collected by our member firms, and ultimately shared with us, will enable us to reach validated conclusions about the longer term impact of work experience, evaluating the career paths that students go on to take. Our project to target Cold Spots, ensuring we reach candidates with potential wherever they are located in the UK, entered the next stage with a series of workshops being run by our member firms in schools across the UK. These workshops began in September 2020 and with schools still navigating the impact of the COVID-19 pandemic, they were run virtually. By the Autumn of 2021, our member firms will have delivered 25 workshops, reaching over 350 students. We hope that, in the fullness of time, we can return to physical workshops being hosted in law firms across the UK. It has been an important year for PRIME with these two initiatives being taken forwards and we look forward to analysing their impact and building on our work in the coming year, when we will be marking our tenth anniversary with a conference and associated activities. We have also begun working on two new projects, a Virtual Legal Work Experience Programme and an enhanced website provision for students and our members. With the severe impact of the pandemic on students from less advantaged backgrounds clearly evident, we wanted to create a programme that would complement the live online programmes offered by our member firms, increasing the numbers of students reached. In February 2021 we began a tender process to find a partner organisation to work with to co-create a Virtual Legal Work Experience Programme. Three organisations submitted responses to our tender. It was a competitive process and in March 2021 we appointed Forage due to their extensive experience in this area and high level of expertise. With the involvement of multiple member firms, we created a programme that was subsequently launched in August 2021. Made up of five modules, PRIME’s Virtual Legal Work Experience Programme will give students the opportunity to build legal skills and gain an understanding of what it means to be a lawyer, helping them to decide if this is the career for them. They will get to experience what real lawyers do every day, working on tasks that introduce them to different practice areas, including commercial and criminal law. We are anticipating over 750 students completing the programme in the first year. We identified that our website needed significant improvement in order to better serve our members and ensure that students were more easily able to find opportunities open to them. Our current site was very limiting in what it allowed us to do and so in March 2021 we began a tender process to find an organisation that would be able to enhance our site and adapt it so we would have more control of it. In April 2021 we appointed We Are GRID and the project began. The key outputs were to be a members only area and an enhanced search function for students. – 6 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** At PRIME we are committed to protecting all young people who take part in work experience programmes at our member firms. We all have a responsibility to ensure that we promote young people’s wellbeing and protect them from harm. Following conversations with our member firms, it became apparent that many firms were in need of a work experience specific safeguarding guidance. In response, we developed, in consultancy with the NSPCC, a Safeguarding and Child Protection Policy which has been made freely available to all our member firms. We have partnered with three new organisations that help us reach and support young people from all kinds of backgrounds and who can help and support individuals in different but complimentary ways to us. These are Skillstruct, a technology and early careers consultancy firm; The Linacre Institute, whose mission is to give northern state-schools students the confidence to apply to leading universities and the skills to thrive there; and Breaking Barriers, whose mission is to help refugees acquire the knowledge, confidence, and experience they need to gain sustainable and meaningful employment. Breaking Barriers partner directly with businesses, including many PRIME member law firms, who provide work experience placements and deliver skills-based workshops for refugees to gain vital work experience and develop the skills they need to secure long-term employment. To help further our work and reach more potential member firms, we have instigated increased collaboration with The Law Society and the Solicitor’s Regulation Authority. PRIME continues to make a difference and the Board is committed to continuing to do so. The directors have had regard to the Charity Commission’s guidance on public benefit. PRIME has prepared its financial statements in accordance with Financial Reporting Standard 102, the Financial Reporting Standard Applicable in the UK and Republic of Ireland ( **FRS 102** ) in the year ended 30 April 2021. There have been no material amendments to the recognition and measurement requirements applied by the charitable company. PRIME’s closing unrestricted fund balance for the year ended 30 April 2021 was £113,167 (2020: £152,224). The directors consider the financial position of the charitable company to be satisfactory. The directors aim to maintain minimum reserves in unrestricted funds at a level which equates to approximately three months of recurring charitable expenditure, which is £20,000. The directors consider that this level will provide sufficient funds to cover three months of operating costs relating to consultancy and governance. This does not cover project costs, which vary according to need. The free reserves held at 30 April 2021 were £113,167. The social mobility projects that PRIME undertakes are generally not cyclical but rather driven by need and member commitment. It was anticipated that during the financial period of 2020-2021 we would have completed the first phase of our Cold Spots project and be ready to move into a further roll-out. Due to the impact on schools of COVID-19 the project was run virtually and has taken longer to complete than anticipated. The current level of reserves is therefore higher than the reserves policy in order to facilitate this project being undertaken in 2021-22. Also, with the launch of our Virtual Work Experience Programme we intend to use reserves to enable this to remain live year-on-year. We also need to allow for new and unforeseen projects. The Directors’ Report has been prepared in accordance with the special provisions relating to small companies under section 415A of the Companies Act 2006. – 7 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** The COVID-19 pandemic has had a significant impact on the global economy and resulted in significant changes in ways of working. Despite this the charitable company’s ability to deliver services has been largely unaffected. Many member firms have moved their delivery online as a result of the pandemic and PRIME has supported them with this, ensuring that students have not missed out on the opportunity. PRIME did not lose any member firms as a direct result of the pandemic but we need to be mindful of what 2022/23 will bring. It may be that we experience a small reduction in number of member firms. As such, the directors believe that preparing the financial statements on the going concern basis is appropriate. The directors do not consider the charitable company is subject to material financial risk whilst the scope of its financial activities is relatively limited. The charitable company is supported by signatory firms, a large number of them being UK offices of international law firms, which pay subscriptions to fund its activities. Its outgoings are planned and funds are not committed until sufficient subscriptions are collected. Cash balances are held at a major UK bank. The charitable company’s Statement of Financial Activities is set out on page 12 and shows the result for the year ended 30 April 2021. The charitable company did not make any political or charitable donations during the year. ## **ONGOING IMPACT OF THE CORONAVIRUS PANDEMIC** The World Health Organization declared COVID-19 a global pandemic in March 2020, causing disruption to global markets and impacting overall economic conditions. As noted above, the impact on the charitable company to 30 April 2021 has been minimal, with little effect on membership outside of the normal pattern of member firms joining and leaving. The provision of projects was adapted in order to continue to deliver services during the period. At this stage it is not possible to quantify the longer lasting impact that the pandemic will have . – 8 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** ## **DIRECTORS** The directors of the charitable company who served throughout the financial year and up to the date of signing the financial statements, were: David Rexford Kofi Addae Ampaw Charles Nicholas Cheffings Kathryn Helen Davies (Resigned 20 April 2021) Sarah-Jane Macdonald Julie Michaela Randles Christopher Charles White Tyrone Jones Nicholas Scott Anne Patricia Spackman (Resigned 4 December 2020) Olivia Louise Cole Molly Jane Lewis Lucy Gail Lewis Arun Gaurav Singh Sohan-Pall Elizabeth Mary Robertson Laura Naomi Bruce – 9 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **REPORT OF THE DIRECTORS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** ## **STATEMENT OF DIRECTORS’ RESPONSIBILITIES** The directors are responsible for preparing the Directors’ Report and the financial statements in accordance with applicable law and regulations. Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have prepared the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the affairs of the charitable company and of its incoming resources and application of resources, including the income and expenditure, for the financial year. In preparing these financial statements, the directors are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities Statement of Recommended Practice (the **Charities SORP** ); - make judgments and accounting 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; and - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. For the year ended 30 April 2021 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. Approved by the board and signed on their behalf. Charles Nicholas Cheffings Chairman 10 January 2022 – 10 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **INDEPENDENT EXAMINERS’ REPORT TO THE DIRECTORS OF PRIME COMMITMENT LIMITED (‘the charitable company’)** I report on the accounts of Prime Commitment Limited for the year ended 30 April 2021. This report is made solely to the charitable company’s directors, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the company’s directors those matters I am required to state to them in an Independent Examiner’s Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charitable company and its directors as a body, for my work or for this report. ## **RESPONSIBILITIES AND BASIS OF REPORT** As the directors of the charitable company 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 the charitable company’s accounts 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: 1. accounting records were not kept in respect of the charitable 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 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: Dated: Mrs J Rowe FCCA – 11 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **STATEMENT OF FINANCIAL ACTIVITIES** ## **FOR THE YEAR ENDED 30 APRIL 2021** |**Restricted**
**funds**
**2021**
**£**
**Unrestricted**
**funds**
**2021**
**£**
**Income and expenditure**
**Income**
Donations (member subscriptions)
-
71,728
**Total income**
-
71,728
**Expenditure**
**Charitable expenditure**
6
-
(110,785)
**Total expenditure**
-
(110,785)
**Net (loss)/income for the year**
-
(39,057)
**Fund balances brought forward**
-
152,224
**Fund balances carried forward**
-
113,167|**Total**
**funds**
**2021**
**£**
71,728
71,728
(110,785)
(110,785)
(39,057)
152,224
113,167|**Total**
**funds**
**2020**
**£**
80,825
80,825
(55,953)
(55,953)
24,872
127,352
152,224| |---|---|---| All activities derive from continuing operations. The charitable company has no recognised gains and losses other than the result above and therefore no separate Statement of total recognised gains and losses is presented. There is no material difference between the income and expenditure for the years stated above and the historical cost equivalents. – 12 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **STATEMENT OF FINANCIAL POSITION AS AT 30 APRIL 2021** |**Note**
**Current assets**
Cash at bank and in hand
**Creditors: amounts falling due within one year**
7
**Net current assets**
**Net assets**
**Funds**
Unrestricted funds
**Total funds**|**2021**
**£**
**2020**
**£**
131,166
168,655
(17,999)
(16,431)| |---|---| ||113,167
152,224| ||113,167
152,224| ||113,167
152,224| ||113,167
152,224| For the year ended 30 April 2021 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 directors 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. The notes on pages 14 to 17 are an integral part of these financial statements. The financial statements on pages 12 to 17 were approved by the Board of Directors on 10 January 2022 and signed on their behalf by: Charles Nicholas Cheffings Chairman **Prime Commitment Limited 08039633** – 13 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2021** ## **1. GENERAL INFORMATION** The purpose of the charitable company is to promote social mobility in the UK by widening students’ access to work experience within law firms. In the year ended 30 April 2021 PRIME continued to encourage firms to offer quality work experience to students who might not otherwise have been able to access it. ## **2. STATEMENT OF COMPLIANCE** Prime Commitment Limited meets the definition of a public benefit entity under 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 (FRS102) ((second edition of the Charities SORP (FRS102) October 2019, effective 1 January 2019)) and the Companies Act 2006. The principal accounting policies adopted are outlined below. ## **3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. ## **Basis of preparation** These financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value. The preparation of financial statements in conformity with FRS 102 requires the use of certain critical accounting estimates.. It also requires management to exercise its judgement in the process of applying accounting policies. – 14 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** ## **3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)** ## **Going concern** The COVID-19 pandemic has had a significant impact on the global economy and resulted in significant changes in ways of working. Despite this the charitable company’s ability to deliver services has been largely unaffected. Many member firms have moved their delivery online as a result of the pandemic and PRIME has supported them with this, ensuring that students have not missed out on the opportunity. PRIME did not lose any member firms as a result of the pandemic but we need to be mindful of what 2021/22 will bring. It may be that we experience a small reduction in number of member firms. As such, the directors believe that preparing the financial statements on the going concern basis is appropriate. ## **Income** Subscriptions from law firms are accounted for when received. Grants and income receivable under the UK Gift Aid Scheme is accounted for when the charitable company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. The date of recognition is the date on which the directors are informed of the intention to pay the grant or the date of receipt, by the directors, of a properly completed Gift Aid declaration. ## **Deposit interest** Deposit interest is accounted for on a cash basis. ## **Expenditure** Charitable expenditure is accounted for when a constructive obligation to make the grant has been accepted and the recipient has been notified. Other costs are recognised on an accrual basis. ## **Restricted/ Unrestricted funds** General funds are unrestricted funds which are available for use at the discretion of the directors in furtherance of the general objectives of the charitable company and which have not been designated for other purposes. Restricted funds are funds which are in accordance with specific restrictions imposed by donors or which have been raised by the charitable company for purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund are set out in the notes to financial statements. – 15 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** ## **3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)** **Cash and cash equivalents** Cash and cash equivalents includes cash in hand, deposits held at call with banks, other shortterm highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities. ## **4. CRITICAL ACCOUNTING JUDGEMENTS AND ESTIMATION UNCERTAINTY** Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. There are no critical judgements in applying the entity’s accounting policies. There are no critical estimates in applying the entity’s accounting policies. ## **5. DIRECTORS AND EMPLOYEES** None of the directors received any remuneration for their services as directors of the charitable company. No directors received reimbursement of expenses and no expenses were paid to a third party on their behalf in the current financial year. There were no employees of the charitable company in the current financial year. The charitable company considers its key management personnel to be the directors. – 16 – SUPP01/WADEEASL/6813662.1 Hogan Lovells DocuSign Envelope ID: 69812EB9-A547-49E7-96A4-C1251E82D545 ## **PRIME COMMITMENT LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2021 (CONTINUED)** ## **6. CHARITABLE EXPENDITURE** |Recruitment
Advertising
Website Development
Engagement Consultant
Administrator fees
Event Costs
Projects
Insurance
Independent examination fees|**2021**
**£**
8,472
2,169
311
58,993
-
450
37,625
395
2,370
**110,785**|**2020**
**£**
8,247
-
250
33,005
990
-
8,266
395
4,800
**55,953**| |---|---|---| ## **7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR** |Other creditors
VAT Payable|**2021**
**£**
7,472
10,527
**17,999**|**2020**
**£**
6,010
10,421
**16,431**| |---|---|---| Amounts owed are interest free, unsecured and repayable on demand. ## **8. RELATED PARTY TRANSACTIONS** For the year ended 30 April 2021 the company received £4,000 from one related party (2020: one related party £2,000). These amounts represent subscriptions made by one law firm of which the member of the company is a partner. ## **9. ULTIMATE CONTROLLING PARTY** The directors consider that there is no ultimate controlling party able to exercise control over the charitable company, other than the directors acting as a body in accordance with the charitable company’s articles of association. – 17 – SUPP01/WADEEASL/6813662.1 Hogan Lovells