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2023-07-31-accounts

Charity number: 1158886

Building Heroes Education Foundation

Unaudited

Trustees' report and financial statements

For the year ended 31 July 2023

Building Heroes Education Foundation

Contents

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2 - 6
Independent examiner's report 7
Statement of financial activities 8
Balance sheet 9
Statement of cash flows 10
Notes to the financial statements 11 - 22

Building Heroes Education Foundation

Reference and administrative details of the Charity, its Trustees and advisers For the year ended 31 July 2023

Trustees P J J Bradbury
D L Porter
D Barling
A Foster
M J Betteridge
R Tucker MBE
Lt Cdr N Atkins
P Findlay (resigned 12 October 2022)
J Whitmore (appointed 12 October 2022)
Charity registered
number
1158886
Principal office
Level 2, Southpoint
Old Brighton Road
Lowfield Heath
Crawley
RH11 OPR
Independent Examiner
Lucy Hammond BSc FCA
Kreston Reeves LLP
Chartered Accountants
9 Donnington Park
85 Birdham Road
Chichester
West Sussex
PO20 7AJ
Chief Executive Officer
Brendan Williams (until 31 December 2022 and since 9 December 2023)
Karen Jefford (from 1 January 2023 until 8 December 2023)

Page 1

Building Heroes Education Foundation

Trustees' report For the year ended 31 July 2023

The Trustees present their annual report together with the financial statements of the Charity for the year 1 August 2022 to 31 July 2023.

The financial statements have been prepared in accordance with the current statutory requirements and comply with the Charity’s governing document and the Statement of Recommended Practice ‘Accounting and Reporting by Charities’ issued (January 2019).

Objectives and activities

a. Objectives and activities

The charity’s objects are:

  1. For the public benefit to advance the education of (a) ex-armed forces personnel and members of their immediate families and (b) socially and/or economically disadvantaged persons aged 18 and over and (c) other persons who may wish to attend educational courses provided by the Charity for the persons set out in (a) and (b) above in Construction and Horticultural Skills in such ways as the Charity Trustees think fit, including by providing their education and preparing them for entry to any occupation, trade or profession.

  2. To advance in life and help young people through providing support and activities which develop their skills, capacities and capabilities to enable them to participate in society as mature and responsible individuals.

  3. To promote social inclusion for the public benefit amongst people aged 18 and over who are socially excluded and by preventing ex-armed forces personnel from becoming socially excluded and relieving the needs of those people who are socially excluded and assisting them to integrate into society. The Board of Trustees has paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.

b. Activities undertaken to achieve objectives

The charity aims to provide a pathway into Construction for Armed Forces Service Leavers and Veterans. This pathway is designed to create multiple opportunities for advancement into the Construction Industry through Employment, Self-Employment of further training. Successful progression meets our aims since these outcomes will lead to less social exclusion and better integration into civilian life.

College based training coupled with on-site academies provide the settings in which the learners can acquire the skills necessary to progress into the industry.

All learners are mentored on opportunities with our Academy Partners and their Supply Chain partners as well as towards the industry at large. They are coached in job search before they attend and during their time with us. All learners are contacted 1, 3 and 6 months post-graduation to ensure their progression is going well.

c. Main activities undertaken to further the Charity's purposes for the public benefit

The main activity of the charity is providing specially tailored fast track training programmes in Construction Skills, Construction engineering, Groundworks and Plant Operations at 14 centres around the country in partnership with Training Providers and Industry Partners, this meets our public benefit obligation outlined in our Aims.

The Trustees confirm that they have complied with the Charities Act to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.

Page 2

Building Heroes Education Foundation

Trustees' report (continued) For the year ended 31 July 2023

Achievements and performance

a. Main achievements of the Charity

Building Heroes continued to deliver its sector leading training programmes in 14 centres around the country. Courses were delivered in four main skills areas, Basic Construction Skills, Construction Engineering, Groundworks and Plant Machinery. In total 79 cohorts totalling 633 learners attended courses during this reporting year. This number was below the target of 800 but this was partly due to the cancellation of the Engineering programme, the temporary closure of the Cardiff Centre and the closure of the Civils course in the Northeast. All of these have been or are being remedied in the new financial year.

Financial review

a. Going concern

The Trustees are confident that the Charity can continue as a going concern. See note 2.2 in the financial statements for futher details.

b. Reserves policy

It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three- and six-month’s expenditure. The Board of Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

The Charity has a very substantial deficiency of funds, but has unsecured, interest free and long-term finance which it considers will be sufficient to enable it to continue its operations. This level has been reduced through the course of the financial year.

Building Heroes Property Services (BHPS) is a wholly owned Trading Subsidiary which has been provided startup funds by the charity. It is expected to become self-sufficient during the next financial year but offer no threat to the on-going business of the Charity.

c. Principal risks and uncertainties

Risks

The Charity would be at risk if it could not recruit sufficient learners but is currently receiving over 2,000 application per year for only 750 places available

Page 3

Building Heroes Education Foundation

Trustees' report (continued) For the year ended 31 July 2023

d. Financial review

As at 31 July 2023 the charity had a deficit on unrestricted funds and total funds of £100,851 (2022: £112,542).

With the elimination of the two deficit making activities of the previous financial year and a hard focus on Corporate Sponsored Centres the charity has returned to surplus with a £61,142 turnaround in net movement of funds which were 2023: surplus of £11,691 (2022: deficit of £49,451).

Major donors included the David Wilson Foundation, The Garfield Weston Foundation, The Veterans Foundation, Lt Colonel Cohen Trust, the Worshipful Company of Constructors, and the Armed Forces Covenant. Many other smaller donations were received, and we are grateful for every one.

Structure, governance and management

a. Constitution

Building Heroes Education Foundation is a Charitable Incorporated Organisation, registered charity number 1158886 and is established under its constitution dated 1 October 2014 as amended on 21 May 2020..

The members of the Board of Trustees who served during the year and up to the date of signature of the financial statements were:

P J J Bradbury D L Porter D Barling A Foster M J Betteridge R Tucker MBE Lt Cdr N Atkins P Findlay (resigned 12 October 2022) J Whitmore (appointed 12 October 2022)

b. Methods of appointment or election of Trustees

The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.

Every trustee must be appointed for a term of three years by a resolution passed at a properly convened meeting of the charity trustees in accordance with its constitution. In selecting individuals for appointment as charity trustees, the charity trustees have regard to the skills, knowledge and experience needed for its effective administration.

None of the members of the Board of Trustees has any beneficial interest in the Charity. All of the members of the Board of Trustees are members of the Charity. They have no liability in the event of a winding up.

Page 4

Building Heroes Education Foundation

Trustees' report (continued) For the year ended 31 July 2023

Structure, governance and management (continued)

c. Organisational structure and decision-making policies

Financial and Operational Control is exercised by the Chief Executive under fully delegated authority. At the end of the 2021-22 financial year the Chief Executive had been in post since the founding of the Charity and had significant Financial and Operational experience.

The Chief Executive meet regularly informally with the Chairman of Trustees and periodically as per the Constitution with the Trustees.

From 1 January 2023 Karen Jefford was appointed Chief Executive from her position of Chief Operating Officer, she is joined in Senior Management by Harri Kallas who takes the position of General Manager.

On December 6th, 2023, the Chief Executive resigned and was replaced on an interim basis by the founder and previous Chief Executive while a search for a replacement was undertaken. A new Chief Executive has been appointed and will start the role on 3rd June 2024.

d. Policies adopted for the induction and training of Trustees

The Chief Executive briefs all new Trustees along with the Chairman of Trustees.

e. Pay policy for key management personnel

The Chief Executive has been a Volunteer during his entire tenure. Remuneration of all other Senior staff is managed by the Chief Executive.

f. Related party relationships

The Charity has a revenue sharing agreement with BHPS covering revenues from Recruitment Services which can be generated from the BHPS customer base.

A loan was provided for initial start-up costs.

g. Financial risk management

The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

Plans for future periods

Building Heroes is active in multiple business development streams.

We continue to work towards completing the move to the industry backed academy model, there continue to be several partners in the pipeline awaiting the best opportunity to present itself. We expect to open three new Academies in the next financial year, two focused on Plant and Streetworks and one on Green Skills, with two the year after focused on Green Skills.

A new stream in Green Skills has been developed in partnership with the Haig Housing Trust and E.ON Energy and is now operational. Further similar partnerships are being sought.

Page 5

Building Heroes Education Foundation

Trustees' report (continued) For the year ended 31 July 2023

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by order of the members of the board of Trustees and signed on their behalf by:

P J J Bradbury Trustee Date: 29/05/2024

Page 6

Building Heroes Education Foundation

Independent examiner's report For the year ended 31 July 2023

Independent examiner's report to the Trustees of Building Heroes Education Foundation ('the Charity')

I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 July 2023.

Responsibilities and basis of report

As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').

I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the Charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.

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 Charity as required by section 130 of the 2011 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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.

This report is made solely to the Charity's Trustees, 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 Charity's Trustees 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 Charity and the Charity's Trustees as a body, for my work or for this report.

Signed: Dated: 29 May 2024 Kresho Moowe, bh? Lucy Hammond BSc FCA Kreston Reeves LLP Chartered Accountants 9 Donnington Park, 85 Birdham Road, Chichester, PO20 7AJ

Page 7

Building Heroes Education Foundation

Statement of financial activities For the year ended 31 July 2023

Note
Income from:
Donations and legacies
3
Charitable activities
4
Investments
5
Total income
Expenditure on:
Charitable activities
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
Unrestricted
funds
2023
£
274,107
421,895
41
696,043
684,352
684,352
11,691
(112,542)
11,691
(100,851)
Total
funds
2023
£
274,107
421,895
41
696,043
684,352
684,352
11,691
(112,542)
11,691
(100,851)
Total
funds
2022
£
481,946
212,072
-
694,018
743,469
743,469
(49,451)
(63,091)
(49,451)
(112,542)

The Statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 11 to 22 form part of these financial statements.

Page 8

Building Heroes Education Foundation

Balance sheet As at 31 July 2023

2023 2023 2022 2022
Note £ £
Fixed assets
Tangible assets 10 6,077 10,959
Investments 11 100 100
6,177 11,059
Current assets
Debtors 12 91,501 146,391
Cash at bank and in hand 97,325 26,049
188,826 172,440
Creditors: amounts falling due within one
year 13 (268,997) (195,162)
Net current liabilities (80,171) (22,722)
Total assets less current liabilities (73,994) (11,663)
Creditors: amounts falling due after more
than one year 14 (26,857) (100,879)
Total net assets (100,851) (112,542)
Charity funds
Restricted funds 15 - -
Unrestricted funds 15 (100,851) (112,542)
Total funds (100,851) (112,542)

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

P J J Bradbury Trustee

Date: 29/05/2024

The notes on pages 11 to 22 form part of these financial statements.

Building Heroes Education Foundation

Statement of cash flows For the year ended 31 July 2023

Note
Cash flows from operating activities
Net cash used in operating activities
17
Cash flows from investing activities
Purchase of tangible fixed assets
Net cash used in investing activities
Cash flows from financing activities
Repayments of borrowing
Net cash used in financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
18
2023
£
144,312
(3,036)
(3,036)
(70,000)
(70,000)
71,276
26,049
97,325
2022
£
(45,055)
(10,132)
(10,132)
(43,143)
(43,143)
(98,330)
124,379
26,049

The notes on pages 11 to 22 form part of these financial statements

Page 10

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

1. General information

Building Heroes Education Foundation is a charitable incorporated organisation established under its constitution dated 1 October 2014 and registered with the Charity Commission on 16 October 2014.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

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 Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Building Heroes Education Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Going concern

These financial statements are prepared on the going concern basis. The Board of Trustees has a reasonable expectation that the Charity will continue in operational existence for the foreseeable future. It is reliant on unsecured, interest free long term loan funding and has been assured that no repayment will be sought until funds permit.

2.3 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.

Page 11

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

2. Accounting policies (continued)

2.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

2.7 Investments

Investments in subsidiaries are valued at cost less provision for impairment.

2.8 Debtors

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

2.9 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.10 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

Page 12

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

2. Accounting policies (continued)

2.11 Financial instruments

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.12 Pensions

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

2.13 Fund accounting

General funds are unrestricted funds which 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.

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 costs 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.

Investment income, gains and losses are allocated to the appropriate fund.

3. Income from donations and legacies

Unrestricted
funds
2023
£
Donations
13,894
Grants
260,213
274,107
Unrestricted
funds
2022
£
Donations
21,592
Grants
460,354
481,946
Total
funds
2023
£
13,894
260,213
274,107
Total
funds
2022
£
21,592
460,354
481,946

Page 13

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

4. Income from charitable activities

Unrestricted
funds
2023
£
Services provided under contract
309,973
Standard learning credits
111,922
421,895
Unrestricted
funds
2022
£
Services provided under contract
212,072
Total
funds
2023
£
309,973
111,922
421,895
Total
funds
2022
£
212,072

5. Investment income

Unrestricted Total Total
funds funds funds
2023 2023 2022
£ £ £
Interest receivable 41 41 -

6. Analysis of expenditure by activities

Activities
undertaken Support Total
directly costs funds
2023 2023 2023
£ £ £
Charitable Activities 676,414 7,938 684,352

Page 14

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

6. Analysis of expenditure by activities (continued)

Charitable Activities
Analysis of direct costs
Staff costs
Depreciation
Training projects
Advertising
Rent
Travel and subsistence
Telephone and internet
Computer costs
Insurance
Bank charges
Consultancy and professional costs
Other staff costs
Other office expenses
Miscellaneous costs
Other charitable expenditure
BHPS Commission
Bad debts written off
Sponsorship expenses
Penalties and Fines
(Profit)/Loss on asset disposal
Activities
undertaken
directly
2022
£
731,035
Support
costs
2022
£
12,434
Total
funds
2023
£
418,034
7,507
90,905
16,922
19,881
16,283
7,467
7,972
5,361
3,224
29,902
115
1,705
9,745
1,660
17,083
16,667
5,440
130
411
676,414
Total
funds
2022
£
743,469
Total
funds
2022
£
458,117
8,136
132,754
28,989
18,395
16,270
7,114
14,562
3,797
983
12,699
650
2,466
5,769
1,148
19,186
-
-
-
-
731,035

Included within direct costs are staff costs from restricted funds of £Nil (2022: £30,000) and other costs from restricted funds of £Nil (2022: £22,992).

Page 15

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

6. Analysis of expenditure by activities (continued)

Analysis of support costs

Operating lease charges
Governance costs - legal and professional
Total
funds
2023
£
7,938
-
7,938
Total
funds
2022
£
8,659
3,775
12,434

7. Independent examiner's remuneration

The independent examiner's remuneration amounts to an independent examiner fee of £3,450 (2022 - £3,250).

8. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes
2023
£
380,996
31,090
5,948
418,034
2022
£
421,469
29,407
7,241
458,117

The average number of persons employed by the Charity during the year was as follows:

2023 2022
No. No.
Employees 25 21

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2023 2022
No. No.
In the band £60,001 - £70,000 1 -

The total employee benefits of the key management personnel of the charity were £110,029 (2022: £16,536) and employer pension contributions were £2,047 (2022: £75).

Page 16

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

9. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).

During the year ended 31 July 2023, no Trustee expenses have been incurred (2022 - £NIL).

10. Tangible fixed assets

Cost or valuation
At 1 August 2022
Additions
Disposals
At 31 July 2023
Depreciation
At 1 August 2022
Charge for the year
On disposals
At 31 July 2023
Net book value
At 31 July 2023
At 31 July 2022
Computer
and office
equipment
£
24,412
3,036
(1,222)
26,226
13,453
7,507
(811)
20,149
6,077
10,959

Page 17

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

11. Fixed asset investments

Cost or valuation
At 1 August 2022
At 31 July 2023
Net book value
At 31 July 2023
At 31 July 2022
12.
Debtors
Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
2023
£
31,847
48,992
-
10,662
91,501
Investments
in
subsidiary
companies
£
100
100
100
100
2022
£
91,621
29,706
3,271
21,793
146,391

13. Creditors: Amounts falling due within one year

Bank loans
Other loans
Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
2023
£
10,000
53,608
77,013
51,108
(1,807)
75,461
268,997
2022
£
9,586
60,000
38,053
14,355
(1,743)
71,425
195,162

Deferred income is in relation to sponsorship and accommodation income received in advance.

Page 18

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

14. Creditors: Amounts falling due after more than one year

Other loans
15.
Statement of funds
Statement of funds - current year
Balance at 1
August 2022
£
Unrestricted funds
General Funds
(112,542)
Statement of funds - prior year
Balance at
1 August
2021
£
Unrestricted funds
General Funds
(116,083)
Restricted funds
David Wilson Foundation - East Midlands
training
30,000
Lloyd's Patriotic Fund - New Training Centre in
Wales
16,067
Groundswork London - new pathway for
Veterans into Construction
2,116
London Borough of Wandsworth - new
opportunities for Wandsworth residents
4,809
52,992
Total of funds
(63,091)
Income
£
696,043
Income
£
694,018
-
-
-
-
-
694,018
2023
2022
£
£
26,857
100,879
Expenditure
£
Balance at
31 July 2023
£
(684,352)
(100,851)
Expenditure
£
Balance at
31 July 2022
£
(690,477)
(112,542)
(30,000)
-
(16,067)
-
(2,116)
-
(4,809)
-
(52,992)
-
(743,469)
(112,542)

Page 19

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

16. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted
funds
2023
£
Tangible fixed assets
6,077
Fixed asset investments
100
Current assets
188,826
Creditors due within one year
(268,997)
Creditors due in more than one year
(26,857)
Total
(100,851)
Total
funds
2023
£
6,077
100
188,826
(268,997)
(26,857)
(100,851)

Analysis of net assets between funds - prior year

Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
Creditors due in more than one year
Total
Unrestricted
funds
2022
£
10,959
100
172,440
(195,162)
(100,879)
(112,542)
Total
funds
2022
£
10,959
100
172,440
(195,162)
(100,879)
(112,542)

Page 20

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

17. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the year (as per Statement
Activities)
Adjustments for:
Depreciation charges
Loss on the sale of fixed assets
Increase in creditors
Increase in debtors
Loan written off as donated income
Net cash provided by/(used in) operating activities
18.
Analysis of cash and cash equivalents
Cash in hand
Total cash and cash equivalents
19.
Analysis of changes in net debt
At 1 August
2022
£
Cash at bank and in hand
26,049
Debt due within 1 year
(69,586)
Debt due after 1 year
(100,879)
(144,416)
of Financial
Cash flows
£
71,276
69,586
414
141,276
2023
£
11,691
7,507
411
79,813
54,890
(10,000)
144,312
2023
£
97,325
97,325
Other non-
cash
changes
£
-
(63,608)
73,608
10,000
2022
£
(49,451)
8,136
-
99,403
(103,143)
-
(45,055)
2022
£
26,049
26,049
At 31 July
2023
£
97,325
(63,608)
(26,857)
6,860

Page 21

Building Heroes Education Foundation

Notes to the financial statements For the year ended 31 July 2023

20. Operating lease commitments

At 31 July 2023 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years
2023
£
20,000
61,000
81,000
2022
£
24,000
69,000
93,000

21. Related party transactions

The charity has a 100% subsidiary company, Building Heroes Property Services Limited (BHPS). During the year the charity was charged commission of £27,083 from BHPS (2022: £19,186) for introduced Recruitment Services. The charity received income of £nil (2022: £22,142) and incurred expenses of £4,286 (2022: £7,541) on behalf of BHPS. The charity paid a further £15,000 (£nil) to BHPS during the year as commission for recruitment services which has since been settled in 2024 once accrued commission was invoiced by BHPS. BHPS received income of £nil (2022: £25,000) on behalf of the charity. At the year end the charity was owed £48,992 by BHPS (2022: £29,706).

At the year end the charity had an interest-free and unsecured loan outstanding to Brendan Williams, the acting CEO of Building Heroes Education Foundation and the CEO of BHPS of £53,608 (2022: £113,608).

22. Principal subsidiaries

The following was a subsidiary undertaking of the Charity:

Name Company Principal activity Class of Holding
number shares
Building Heroes Property Services Ltd 12830457 Provision of property Ordinary 100%
maintenance shares
services
The financial results of the subsidiary for the year were:
Name Profit/(Loss) Net assets
for the year £
£
Building Heroes Property Services Ltd (13,142) (46,482)

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