**Charity registration number 1162937 (England and Wales) Company registration number 08084979** ## **HAPPY CHILDREN LTD** **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2025** ## **HAPPY CHILDREN LTD** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|F Akram| |---|---| ||N H Muckbel Osi-Ef| |**Charity number (England and Wales)**|1162937| |**Company number**|08084979| |**Principal address**|St Mary's Hall| ||Northdale Road| ||Liverpool L15 4HT| |**Independent examiner**|Xeinadin| ||Ground Floor, Citygate| ||Longridge Road| ||Preston| ||PR2 5BQ| |**Bankers**|The Co-Operative Bank PLC| ||Business Direct| ||PO Box 250| ||Skelmersdale| ||WN8 6WT| ||Al-Rayan Bank PLC| ||PO Box 12461| ||Birmingham| ||B16 6AQ| ## **HAPPY CHILDREN LTD** ## **CONTENTS** ||**Page**| |---|---| |Trustees report|1 - 4| |Statement of trustees responsibilities|5| |Independent examiner's report|6| |Statement of financial activities|7| |Balance sheet|8| |Notes to the financial statements|9 - 15| ## **HAPPY CHILDREN LTD** ## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MAY 2025**_ The trustees present their annual report and financial statements for the year ended 31 May 2025. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)". ## **Objectives and activities** The charity’s objects are specifically restricted to the following: provide to provide education, care and development to pre-school age children and wider services to school age children e.g. after school and holiday clubs. Additionally, an object is to encourage parents (and the wider local community) to recognise and support the needs of children as they develop from an educational, social, cultural and physical standpoint. The above will be delivered by:- - Providing facilities and an appropriately qualified staffing complement to enable play, education and care for children (in particular vulnerable children) via training and support to parents enabling them to become fully involved and responsible in their child’s activities - Such services, activities and development will be available to all children regardless of race, culture, faith or disability - Providing facilities, services and support to families and the wider community in order that such individuals / groups can become actively engaged in the delivery of child(ren’s) needs. ## **Aims and intended impact** To provide education care and development to pre-school aged children and wider services to school age children e.g after school and holiday clubs. Additionally our objectives aim to encourage parents (and the wider local community) to recognize and support needs of children as they develop from an educational, social, cultural and physical stand point. ## _Public benefit_ The primary purpose of the organization is to enhance the wellbeing and life chances of pre-school age children (in particular those children in disadvantage) regardless of race faith or disability. In support of this we will promote the education of the individual child needs to all those in direct contact (parents, carers) and the wider community within which the child is being brought up through its formative years. ## **Principal activities of the year** - Maintances work completed on floor and around the nursery - Manager awarded Hajj for service - Manager participated with LA in Recruitment video’s to support expansion of the sector. - Eid party for children (Boo Zoo) - Working with LA in delivering the expansion of childcare offer - Worked alongside the Early Years Team to continue to develop best practice in the sector offering opportunities for other nursery staff members to visit and observe our practice - Trained deputy and new room leader - Stay and Play sessions for parents (children who are behind in developmental stage) - 1 - ## **HAPPY CHILDREN LTD** ## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **Achievements and performance** ## _Significant activities and achievements against objectives_ This year's achievements and performance for the nursery include the following: Maintenance work has been completed on the floor for the whole nursery changing the flooring to a more suitable materials for the setting, including new bathrooms and freshly painted walls. The office has been renovated, and a new printer has been purchased. The manager was honoured with a Hajj gift for their dedicated service at the nursery for over 10 years. The manager also participated with the Local Authority in recruitment videos to support the expansion of the sector. An Eid party, featuring "Boo Zoo," was organised for the children, providing them with exciting new experiences. We have been working with the Local Authority to deliver the expansion of the childcare offer and exploring ways to provide more services. Collaboration with the Early Years Team has been ongoing to continue developing best practices in the sector, offering opportunities for other nursery staff members to visit and observe our practices. Ongoing training and coaching have been provided for the deputy and new room leader to ensure information and high standards are disseminated to all staff. We have organised Stay and Play sessions for parents whose children are behind in their developmental stages, as well as workshops for parents focusing on parental burnout and setting boundaries. Two apprentices have been trained to Level 3, one staff member has progressed from Level 2 to Level 3 qualifications, and the room leader has successfully completed a Master's in education and leadership. ## **Financial review** The nursery has seen an increase in both income and costs during the year. However, overall the nursery has an excess of income over expenditure in the year of £202,021. The nursery did have reserves brought forward of£765,416. At the end of the year the balance sheet is still showing a very healthy situation in that the nursery total funds of £956,846. ## **Incoming resources** The company received fees which amounted to income from the parents and from the city council by way of funding for the provision of the nursery. It also received an income from its new after-school provision for children between the ages of 4 - 7. The income from parents come in two forms either payment directly from the parents or by way of childcare vouchers from the parents employers. The fee income from the childcare vouchers is a tax efficient way for parents to receive their wages and pay for childcare as the vouchers are deducted before tax and national insurance. ## **Resources expended** The charity has tried to control its costs in the year but has rewarded the hard work and efforts of the staff. This has resulted in an increase in costs overall. ## _Reserves policy_ The Trustees have established a policy whereby the unrestricted funds not committed or invested in tangible fixed assets, which are the free reserves of the charity, should be between three and six months of general (unrestricted) operating costs and the Trustees consider that this policy provides sufficient funds to cover wages, redundancy, management, support and administration costs and unforeseen expenditure and to be able to continue the activities of the charity in the event of a significant drop in funding, or business interruption. The free reserves at the 31st May 2025 of £956,846 (2024: £765,416) are within the above policy. The Trustees are looking to build up reserves over the next few years to enable for the Trust to purchase its own property. ## _Investment policy_ The Investment policy adopted by the Trustees is to maintain a high standard of the assets of the Trust and implement a programme of continual development to optimise their use in line with the Charity’s objectives. In line with the nursery ethos and Islamic financing principles the nursery does not take loans that incur interest, the organisation aims to invest in a building through an outright cash payment some of our current profits will go towards the future purchase of a building. - 2 - ## **HAPPY CHILDREN LTD** ## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **Plans for future periods** The trustees constantly review the needs of the children and the nursery. We will continue to work closely with children services and safeguarding the children to ensure they receive appropriate care and education During the forthcoming year we will be considering: - Developing the outdoor area - To continue to offer low cost services to parents - To continue to offer more opportunities for the professional development of all staff - Offer opportunities to train students and volunteers wanting to work in the Early Years Sector - Recruitment of Administration role and leadership. The trustees acknowledge the rewards for continuing to support staff to gain further qualifications and skills, to enhance the existing workforce and provide high quality staff and work towards all staff having a full level three qualification. ## **Structure, governance and management** The governing document of the Charity which is a company limited by guarantee is the Memorandum and Articles of Association of the company which was incorporated 28[th] May 2012. The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: F Akram N H Muckbel Osi-Ef ## _Recruitment and appointment of trustees_ The Charity’s elected Trustees are appointed at the Annual Meeting of the Trust on the basis of nominations received from the Executive Committee to the Trust’s specification concerning eligibility, personal competence, specialist skills and local availability. New Trustees are inducted into the workings of the Charity including Policy and Operational Procedures. - 3 - ## **HAPPY CHILDREN LTD** ## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **Organisational Management** The appointed and elected Trustees of the Charity are legally responsible for the overall management and control of the Trust. The members of the Board who meet on a minimum of two occasions annually carry out the work of implementing most of their policies. One additional meeting is held specifically to approve the budgets and finalise the Financial Accounts and Trustees report for approval by the annual meeting of the Board of Trustees. The Board works under the chairmanship of the Chair of the Trust. The Board has adopted the Code of Governance published by the National Governance Hub as a means of building governance capacity and skills. The day to day running of the Trust is delegated to the Nursery Manager who reports to the Board at the bi-annual meetings. In the interest of liaising with Ofsted the Nursery Manager is also a director of the nursery. ## **Risk Management** A formal review of the Charity’s risk management processes is undertaken on an annual basis. The key controls used by the Charity include: - Formal agendas for the Board of Trustees, Executive Committee and all sub- Committees; - Detailed terms of reference for all Committees; - Comprehensive strategic planning, budgeting and management accounting; - Established organisational structure and lines of reporting; - Comprehensive policies to ensure that all insurance risks are covered - Formal written policies; - Clear authorisation and approval levels and - Vetting procedures are carried out for adults to safeguard the reputation of the Trust and to minimise the risk of inappropriate persons being accepted as employees or volunteers. Systems of internal control include: - An annual budget approved by the Trustees - Appropriate delegation of authority and segregation of duties - Identification and management of risks Through the risk management processes established for the Trust, the Trustees are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable but not absolute assurance that major risks have been adequately safeguarded against material mismanagement or loss. The trustees report was approved by the Board of Trustees. N H Muckbel Osi-Ef **Trustee** 12 March 2026 - 4 - ## **HAPPY CHILDREN LTD** ## **STATEMENT OF TRUSTEES RESPONSIBILITIES** ## _**FOR THE YEAR ENDED 31 MAY 2025**_ The trustees, who are also the directors of Happy Children Ltd for the purpose of company law, 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). Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements, the trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and estimates that are reasonable and prudent; and - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping adequate accounting records that 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 Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. - 5 - ## **HAPPY CHILDREN LTD** ## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HAPPY CHILDREN LTD** I report to the trustees on my examination of the financial statements of Happy Children Ltd (the charity) for the year ended 31 May 2025. ## **Responsibilities and basis of report** As the trustees of the charity (and also its directors for the purposes of company law), you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006. Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011. ## **Independent examiner's statement** Since the charity’s gross income exceeded £250,000, the independent examiner must be a member of a body listed in section 145 of the Charities Act 2011. I confirm that I am qualified to undertake the examination because I am a member of the 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 386 of the Companies Act 2006. - 2 the financial statements do not accord with those records; or - 3 the financial statements do not comply with the accounting requirements of section 396 of the Companies Act 2006 other than any requirement that the financial statements give a true and fair view, which is not a matter considered as part of an independent examination; or - 4 the financial statements 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 financial statements 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 financial statements to be reached. Farook Patel FCA **Xeinadin** Ground Floor, Citygate Longridge Road Preston PR2 5BQ 13 March 2026 - 6 - ## **HAPPY CHILDREN LTD** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** ## _**FOR THE YEAR ENDED 31 MAY 2025**_ |||**Unrestricted**|**Unrestricted**| |---|---|---|---| |||**funds**|**funds**| |||**2025**|**2024**| ||**Notes**|**£**|**£**| |**Income from:**|||| |Donations and legacies|**2**|10,000|-| |Charitable activities|**3**|453,209|362,010| |Investments|**4**|2,088|1,386| |**Total income**||465,297|363,396| |**Expenditure on:**|||| |Charitable activities|**5**|273,867|214,724| |**Total expenditure**||273,867|214,724| |**Net income and movement in funds**||191,430|148,672| |**Reconciliation of funds:**|||| |Fund balances at 1 June 2024||765,416|616,744| |**Fund balances at 31 May 2025**||956,846|765,416| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 7 - ## **HAPPY CHILDREN LTD** ## **BALANCE SHEET** ## _**AS AT 31 MAY 2025**_ |**Notes**
**Fixed assets**
Tangible assets
**10**
**Current assets**
Debtors
**11**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**12**
**Net current assets**
**Total assets less current liabilities**
**The funds of the charity**
Unrestricted funds
**13**|**2025**
**£**
501,756
451,951
953,707
(1,331)|**£**
4,470
952,376
956,846
956,846
956,846|**2024**
**£**
501,472
263,140
764,612
(1,046)|**£**
1,850
763,566| |---|---|---|---|---| |||||765,416| |||||765,416| |||||765,416| The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 May 2025. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. The financial statements were approved by the trustees on 12 March 2026 F Akram ## **Trustee** Company registration number 08084979 (England and Wales) - 8 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **1 Accounting policies** ## **Charity information** Happy Children Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Northdale Road, Liverpool, L15 4HT. ## **1.1 Basis of preparation** The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "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)". The charity is a Public Benefit Entity as defined by FRS 102. The charity has taken advantage of the provisions in the SORP for charities not to prepare a statement of cash flows. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity. ## **1.4 Income** Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. - 9 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **1 Accounting policies** **(Continued)** ## **1.5 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. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use. ## **1.6 Tangible fixed assets** Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Fixtures and fittings 25% on reducing balance The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. ## **1.7 Impairment of fixed assets** At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). ## **1.8 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## **1.9 Financial instruments** The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. - 10 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **1 Accounting policies** ## **(Continued)** ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. ## **1.10 Employee benefits** The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. ## **1.11 Retirement benefits** Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. ## **2 Income from donations and legacies** |||**Unrestricted**|**Unrestricted**| |---|---|---|---| |||**funds**|**funds**| |||**2025**|**2024**| |||**£**|**£**| ||Donations and gifts|10,000|-| |**3**|**Income from charitable activities**||| |||**Unrestricted**|**Unrestricted**| |||**funds**|**funds**| |||**2025**|**2024**| |||**£**|**£**| ||**Charitable activities**||| ||Fees|453,209|362,010| - 11 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** ## _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **4 Income from investments** ||**Unrestricted**|**Unrestricted**| |---|---|---| ||**funds**|**funds**| ||**2025**|**2024**| ||**£**|**£**| |Interest receivable|2,088|1,386| |**Expenditure on charitable activities**||| ||**Charitable**|**Charitable**| ||**activities**|**activities**| ||**2025**|**2024**| ||**£**|**£**| |**Direct costs**||| |Staff costs|209,788|170,886| |Repairs and Maintenance|1,926|1,159| |Rent|24,347|24,518| |Postage and stationery|-|532| |Toys, books and games|7,141|3,968| |Food|2,799|1,683| |Staff welfare|17,275|-| ||263,276|202,746| |**Share of support and governance costs (see note 6)**||| |Support|10,591|11,978| ||273,867|214,724| |**Analysis by fund**||| |Unrestricted funds|273,867|214,724| **5 Expenditure on charitable activities** - 12 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **6 Support costs allocated to activities** |**Support costs allocated to activities**||| |---|---|---| |Depreciation
Insurance
Telephone
Sundries
Recruitment costs
Cleaning
Training Costs
Computer costs
Governance costs
**Analysed between:**
Charitable activities|**2025**
**£**
1,482
1,128
69
1,865
-
816
-
2,279
2,952
10,591
10,591|**2024**
**£**
609
1,078
164
2,516
625
776
1,326
1,698
3,186| |||11,978| |||11,978| ## **7 Trustees** None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. There were no trustees' expenses paid for the year ended 31 May 2025 nor for the year ended 31 May 2024. ## **8 Employees** The average monthly number of employees during the year was: |**Employment costs**
Wages and salaries
Social security costs
Other pension costs|**2025**
**Number**
16
**2025**
**£**
202,231
4,622
2,935
209,788|**2024**
**Number**
16| |---|---|---| |||**2024**
**£**
167,555
2,097
1,234| |||170,886| There were no employees whose annual remuneration was more than £60,000. ## **9 Taxation** The charity is exempt from taxation on its activities because all its income is applied for charitable purposes. - 13 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** ## _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **10 Tangible fixed assets** |**Cost**
At 1 June 2024
Additions
At 31 May 2025
**Depreciation and impairment**
At 1 June 2024
Depreciation charged in the year
At 31 May 2025
**Carrying amount**
At 31 May 2025
At 31 May 2024
**11**
**Debtors**
**Amounts falling due within one year:**
Other debtors
Prepayments and accrued income
**12**
**Creditors: amounts falling due within one year**
Other taxation and social security
Other creditors
Accruals and deferred income|**Fixtures and**
**fittings**
**£**
11,212
4,102
15,314
9,362
1,482
10,844
4,470
1,850
**2025**
**2024**
**£**
**£**
500,495
500,495
1,261
977
501,756
501,472
**2025**
**2024**
**£**
**£**
1,368
1,083
(2,017)
(2,017)
1,980
1,980
1,331
1,046| |---|---| - 14 - ## **HAPPY CHILDREN LTD** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MAY 2025**_ ## **13 Unrestricted funds** The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes. ||**At 1 June**|**Incoming**|**Resources**|**At 31 May**| |---|---|---|---|---| ||**2024**|**resources**|**expended**|**2025**| ||**£**|**£**|**£**|**£**| |General funds|765,416|465,297|(273,867)|956,846| |**Previous year:**|**At 1 June**|**Incoming**|**Resources**|**At 31 May**| ||**2023**|**resources**|**expended**|**2024**| ||**£**|**£**|**£**|**£**| |General funds|616,744|363,396|(214,724)|765,416| ## **14 Capital commitments** There were no capital commitments authorised or contracted for for the year ended 31 May 2025. ## **15 Related party transactions** There were no disclosable related party transactions during the year (2024 - none). ## **16 Company limited by guarantee** Happy Children Ltd is a company limited by guarantee and accordingly does not have a share capital. Every member of the company undertakes to contribute such amount as may be required not exceeding £1 to the assets of the charitable company in the event of its being wound up while he or she is a member, or within one year after he or she ceases to be a member. ## **17 Control** The charity is under the control of the trustees. - 15 -