OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-12-31-accounts

Report of the Trustees and Unaudited Financial Statements for the year ended 31 December 2021 for The Buddy Bag Foundation (A Charitable Incorporated Organisation) REGISTERED CHARITY NUMBER: 1164916

The Buddy Bag Foundation

CONTENTS

Page
Report of the Trustees 2
● Objectives and Activities 5
● Achievements and Performance 8
● Financial Review 19
● Structure,Governance and Management 24
● Reference and Administrative Details 26
Independent Examiner's Report 27
Consolidated Statement of Financial Activities 28
Balance Sheets 29
Notes to the Financial Statements 30 to 37

1

The Buddy Bag Foundation

REPORT OF THE TRUSTEES

The trustees present their report together with the consolidated financial statements of the Buddy Bag Foundation (the charity) for the year ended 31 December 2021.

The financial statements have been prepared using the accounting policies set out in note 1 to the financial statements and comply with the Charitable Incorporated Organisation’s trust deed, applicable law and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard – applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (March 2018) and the Charities Act 2011.

The Buddy Bag Foundation is a Charitable Incorporated Organisation (CIO) registered with the Charity Commission for England and Wales on 17 December 2015.

2

The Buddy Bag Foundation

Implications of COVID-19 on the charity

This report covers the year ended 31 December 2021, after COVID-19 had affected life in the UK. COVID-19 has greatly impacted on all the fundraising and charitable activities of this charity. We continue to adapt and to thrive. Throughout this Trustees’ Re port we have described what we have been doing since COVID-19 measures were introduced in the UK as well as our future plans.

Founder’s Report

My name is Karen Williams OBE. I am passionate about making a difference to the lives of others.

Where did the Buddy Bag idea come from?

During a visit to Australia in 2014, I was inspired by an article about the Alannah and Madeline Foundation (www.amf.org.au) which has delivered more than 50,000 Buddy Bags to children in emergency care since 2007. On my return from Australia, I researched the facilities available to children in emergency care in the UK and discovered a huge need for Buddy Bags here. To ensure as many children as possible can benefit from the Buddy Bag scheme, I set up the Live Love Laugh Foundation (which later became the Buddy Bag Foundation) and launched the Buddy Bag appeal in the UK, with the help and support of The Alannah and Madeline Foundation.

Our goal

To restore a sense of safety and security into a child's life during a traumatic time is one of the first steps to recovery. Buddy Bags are something a child can call their own, no matter where they go. Tailored across a wide age range, from new born babies to teenagers, they contain all the essential items a child needs straight away - such as toiletries, pyjamas, socks and underwear. They also include comfort items, including a book and a teddy bear.

Starting in the West Midlands, our aim was to deliver 20,200 Buddy Bags to 300 refuges across the UK by 2020. We achieved these objectives in 2019. We continue to deliver Buddy Bags and to help support this aim, we are looking for companies and individuals that would like to get involved in a community project. They can do this by either sponsoring Buddy Bags in their local area, by donating funds to help pay for the items that go into the bags, or by donating their time to help fill the bags.

3

The Buddy Bag Foundation

How the scheme works

Buddy Bags are funded through fundraising, sponsorship and donations. Groups of items can either be donated or sponsored. Individual volunteers, or companies looking for community projects to support, can meet at venues throughout UK every fortnight to help fill the back packs.

We are committed to 100% of the monies raised going into the supply of Buddy Bags!

Most of our services are supplied by companies who have chosen us as their Charity of the Year and donate some of their services free of charge.

Despite COVID-19, 2021 has been an amazing year for the Buddy Bag Foundation.

We have delivered 9,297 (5,953 2020) Buddy Bags this year. Making a difference to 9,297 children. We are proud to have delivered a total of 40,418 Buddy Bags, hosted 213 Buddy Bag Brigades and engaged with 3,685 volunteers in the period since formation to 31 December 2021.

My dream eight years ago was to set up a charity that could and would make a real and meaningful difference to children in emergency care.

With the assistance and support of all our volunteers we have realised this dream.

We have packed over forty thousand Buddy Bags, far exceeding our initial target and look to the future with optimism at the challenges and opportunities that lie ahead.

A huge Thank You to The Howell Group for donating and sponsoring our BBF HQ which has genuinely made a huge difference in the number of bags we can deliver, the service we can provide and the hub for our volunteers to meet.

Thank you to all our volunteers and supporters together we have achieved and are continuing to achieve something truly special.

Karen Williams OBE Co- Founder and Trustee

4

The Buddy Bag Foundation

What is a Buddy Bag?

A Buddy Bag is a backpack that contains all the essential items a child needs. They include toiletries, pyjamas and underwear. They also include comfort items such as a book and a teddy bear. A Buddy Bag is something a child can call their own, no matter where they go.

All the items going into the Buddy Bags are new. This has several benefits ranging from helping the children receiving the bags to bolster their self-esteem, through to simplifying the process involved in hosting a Buddy Bag Brigade.

Each Buddy Bag costs the charity about £25.

How do Buddy Bags get to the children?

Buddy Bags are donated to women’s refuges all over Great Britain. Each refuge receives 30 Buddy Bags at a time.

The Buddy Bags are tailored to suit babies, children and young people, according to the needs of different age groups and genders.

5

The Buddy Bag Foundation

What is a Buddy Bag Brigade?

A Buddy Bag Brigade is an event which brings around 20 volunteers together for two hours, working together to pack 180 Buddy Bags. The packed bags are delivered to six women’s refuges. Where possible, Buddy Bags are distributed locally, but the charity works to support women’s refuges all over Great Britain.

These brigades are a great team building opportunity. Many organisations engage in fundraising activities and then host their own Buddy Bag Brigades.

The charity is committed to positively influencing the local communities in which we live and work.

6

The Buddy Bag Foundation

Corporate Social Responsibility

The Charity engages with employers, demonstrating how partnering with the Buddy Bag Foundation can help impact Corporate Social Responsibility policies, and positively support their local community.

With the opportunity to fundraise, whether through bake sales or bike rides, and volunteer with a Buddy Bag Brigade, the Buddy Bag Foundation provides great team building opportunities whilst making a difference to children in crisis.

Public benefit

The trustees confirm that they have had regard to the Chari ty Commission’s guidance on public benefit during the performance of their duties.

7

The Buddy Bag Foundation

Achievements and Performance

During the year ended 31 December 2021:

2021 2020 Since formation
to 31 Dec 2021
Buddy Bags distributed 9,297 5,963 40,418
Number of Buddy Bag Brigades 48 30 213
Number of volunteers engaged 545 430 3,685
Women'srefuges supplied 310 198 396

Regularly Buddy Bag Brigades have been held at Lichfield, Tamworth and Sutton Coldfield.

Thanks to the work of volunteer Ambassadors and to groups and employers, in 2021 Buddy Bag Brigades have been held in Birmingham, the West Midlands, York, Nantwich, , North Wales, Cardiff, London and Essex. Sadly due to COVID-19 we have been unable to hold as many BBB nationwide.

8

The Buddy Bag Foundation

With Domestic Violence rising daily during lockdown our Buddy Bags have never been needed more.

Fundraising and donations

Individuals, groups and companies are the lifeline of The Buddy Bag Foundation. Together they have helped to achieve total income of £128,954 (2020: £142,661).

The Charity is active in bidding for funding and during this period has been successful in securing funding from different sources including supermarkets and various groups.

When COVID-19 measures first appeared in 2020, we postponed or cancelled all our face-to-face events. Our teams of ambassadors and fundraisers and supporters have become very inventive by switching to online fundraising activities instead.

Our campaign to receive hand knitted toys has mushroomed in popularity during the 2020/21 lockdown.

9

The Buddy Bag Foundation

Patrons and Supporter

Our Patrons are Olivia Hill and Molly Windsor and Supporter Dr. Hilary Jones. In 2020 Jess Phillips MP has also become a Patron.

Ambassadors

We now have a number of Ambassadors nationwide (for example: York, Essex, Bury, Cardiff, North Wales) who are flying the flag of BBF.

With a supportive team of volunteers their goal is to raise £4,500 in their community to host their own Buddy Bag Brigade in their area. We will continue to recruit more Ambassadors.

Volunteers

We have engaged with over 3,685 Volunteers since formation to 31 December 2021. Our volunteers support us in lots of different ways; at our Buddy Bag Brigades by donating two hours of their time; at our fundraising events and we have lots of volunteers that knit cuddly toys for our Buddy Bags.

We thank you.

If you are interested in joining our Team – Volunteer Now! https://buddybagfoundation.co.uk/volunteer/

10

The Buddy Bag Foundation

BBF Awards

BBF Annual Awards held at Harvest Fields Sutton Coldfield in Sept 21 to celebrate our Volunteers, Ambassadors and Supporters.

The winners and runners up:

Awards 2021

Outstanding Achievement Awards to Pam Beale and Ian Hazel

Award Winner Runner-Up
Volunteer of the Year Julie Thorn(Colton WI) Val Day
Ambassador Sylvia Kerris(Covid Teddies) Imogen Allen
Going the Extra Mile Mark Tonks Daniel and Sam
Top Fundraiser Masons Claire Aglen
CSR Graham Johnson - Howell
Group		 SydneyMitchell
Making a difference Award Cal Brooks Laura Brown

11

The Buddy Bag Foundation

Fundraising events

We would like to thank all our supporters for their support during COVID-19. We held a virtual raffle, Fashion Show and Quiz Nights. BCASS held a Ball with funds being donated to BBF. Together with lots of outdoor fundraising events such as walks, golf and hiking.

Here is our simple A-Z list of fundraising ideas https://buddybagfoundation.co.uk/fundraise/

Awards received

31[st] December 2020 – Karen Williams, Founder was awarded an OBE for her Services to Domestic Violence.

Partnering with Buddy Bag Foundation

Corporate Social Responsibility or CSR, centres around embracing and giving back to your local community. Companies throughout the UK are reaping the benefits of making a difference and engaging with their local causes, plus raising their profile whilst doing so.

So, why should you get involved with The Buddy Bag Foundation?

12

The Buddy Bag Foundation

1. You can make a positive impact in YOUR area

2. Creates fantastic exposure for your brand

3. Strengthens relationships with your customers

4. Encourages employee engagement and attracts potential employees

5. Enhances client relationships

6. Helps to build your team, boosting self-improvement for all

Our current partners include: Utility Warehouse, Four Oaks Financial Services, Sydney Mitchell, Gateley, National Express, Gowling, Amazon, Jaguar Land Rover.

For further detail on how you can be part of our CSR Team Building initiative

https://buddybagfoundation.co.uk/csr/

13

The Buddy Bag Foundation

Corporate Suppliers

In May 21 The Howell Group donated BBF a HQ space to accommodate a Buddy Bag Packing section, Storage facilities and kitchen. All services included.

This professional facility gave BBF the status of having a dedicated HQ as a registered office. It allows BBF to keep a stock of items in case of disrupted deliveries. Buddy Bags can also be kept in stock. Also providing a home for the dedicate team of volunteers.

Updated Refuge Database

BBF can now take orders for Buddy Bags based on the needs of the Women’s Refuge and deliver accordingly. This has made a massive difference to the service BBF can now supply our end users.

It has also meant that we are able to increase the number of items we purchase generating lower purchase prices.

We are extremely grateful for the Howell Group for donating and sponsoring this space.

14

The Buddy Bag Foundation

Thank You to our Corporate Supporters of donations that help reduce the cost of our Buddy Bags.

https://buddybagfoundation.co.uk/supporters/

Buddy Bag Foundation Angels

It is thanks to the benevolence and generosity of our Angels, whose financial assistance and support ensures the long term sustainability and continuation of the Buddy Bag Foundation.

By providing support to fully develop processes and systems which not only increase reliability and growth but ensure the foundations long term future

15

The Buddy Bag Foundation

Buddy Bag Foundation Challenge Box

The BBF Challenge Box was launched in Nov 2020 to continue providing Buddy Bags. Ideally suited to groups or corporates as team building events.

https://buddybag foundation.co.uk/wp-content/uploads/2021/03/BBF-Challenge-Box-Factsheet2021.pdf

16

The Buddy Bag Foundation

Testimonials

We continue to receive “Thank You” cards from the children who receive our Buddy Bags. “What I love about my Buddy Bag is ,,,,,,,? ”

17

The Buddy Bag Foundation Th motlonèl affèct a4V"gratltu Children and Mum$when I ta Ir b•ls ov x all say IVs.Ihe rst positive thin9 th emmnber out comingoA ous• and hélps th•7a ' 'Iy s4ttle irk The ' suppo# to th• have l)een alorvJ for a of ¢hi14r•n, l alv4ays s•¥. t V4aitiD9 for the child to uddje. it can be.50_wn Is amazing11￿d I" you IVPttiryJ'p• Haven A hlg thonkyou lo BUDDY BAG FOUNDATION l•r th•lt 5Aet•d5bl d•n•Nè# •F b••• lor ehlldr•n ot Th• M•¥• Il•q*•d by dorn••tl4 ob¥ 18

The Buddy Bag Foundation

Financial Review

Donations received

----- Start of picture text -----
Total Donations received 2021: £193,061
Donations from Individuals
Donations from Companies
59,837.21 64,759.03 Donations from Groups
Donations from Events
4,186.89
Donations from GiftAid
81.92 47,503.43
Donations from NonCsh
16,692.46
----- End of picture text -----

The economic consequences of COVID-19 have adversely affected many people. Our income has also fallen this year.

Income from donations and legacies remain stable, reducing by £1,436 (1%) from £194,496 in 2020 to £193,061 in 2021.

Cash donations of £133,223 (2020: £146,640) were received from individuals 49%, companies 36%, groups 13%, and Gift Aid claimable on donations 3.1%. As a consequence of COVID-19 we did not receive any donations at live events (2021: £0).

Donations received included:
Charity of the year Gowling WLG £1,000
Payaro Limited £1,875
Supermarket charity token drops Co-Op £7,340
Tesco £2,215
Groups Rotary £4,900
B1G1 £10,292

Many of the donations listed above are as a result of the work done by our ambassadors.

Additional donations and fundraising by ambassadors include: Ambassador Some of their fundraising Claire Glen £5,000

19

The Buddy Bag Foundation

St James's Place Charitable Angela Gakis Foundation £4,500 Shawn Bailey £2,500

These amazing results reflect the consistent effort made by the ambassadors, supporters and trustees.

Donated goods, professional services and donated facilities

The Charity is very grateful for the generous donations of goods, professional services and facilities it has received.

The COVID-19 lockdowns have led to more volunteers knitting toys and sewing toiletries bags and pencil cases. This year donations of goods, services and facilities totalled £59,837 (2019: £47,856), an increase of £11,981 (25%).

Non-cash donations received this year include:

Pack a Buddy Bag challenges, where volunteers provided the items that go in to the £9,015
601 bags
6,741 knitted toys £25,095
Other goods received for Buddy Bags £10,347
Deliveries to refuges £950
Storage facilities £2,880
Venues for Buddy Bag Brigades £700
Venue for BBF, Minworth £10,000

We thank the hundreds of volunteers who have each donated a few hours of their time to support the Buddy Bag Brigades, and the many volunteers who generously hand knit so many cuddly toys.

We are grateful to all the organisations and individuals who generously sponsored and donated their professional services and venues.

Together, our work becomes possible.

As stated in the accounting policy note 1, donated goods, donated professional services and donated facilities are recognised as income in the Consolidated Statement of Financial Activities. The general volunteer time of the volunteers attending Buddy Bag Brigade events and other events is not recognised.

20

The Buddy Bag Foundation

Other trading activities

Other trading activities comprise income from online fundraising events, workshop events, bids, compensation received and sales of toys.

Income from these sources has fallen to £2,302 (2020: £6,558) as a consequence of the impact of COVID-19 on live events.

Fundraising events and sales of workshops totalled £1,543 (2020: £2,621).

Following the receipt of the first own-brand Buddy Bears in June 2019, these are being sold on the website and generated sales income of £453 (2019: £736).

Expenditure

Expenditure on raising funds totalled £12,654 (2020: £13,417). Unrestricted expenditure of £1,178 consisted of processing charges on income received £797,Just Giving membership fee £216 and cost of Buddy Bears toys for fundraising £165. Restricted fund expenditure on fundraising of £9,469 consisted of £3700 on website design and services and £5769 on Advertising & Promotion.

Direct costs are those costs incurred in creating the Buddy Bags and the craft boxes and in supplying them to the children.

21

The Buddy Bag Foundation

Cost of Buddy Bag Brigades 2021: £192,864

----- Start of picture text -----
Other direct costs £15,088
£2,566
Other donated services and facilities for Buddy Bag £700
Brigades £910
£950
Donated delivery charges
£3,513
£10,682
Delivery charges
£4,314
£41,624
Donated materials for Buddy Bags
£31,676
£21
Materials purchased for craft boxes
£4,024
£123,799
Materials purchased for Buddy Bags
£75,465
0 20,000 40,000 60,000 80,000 100,000 120,000 140,000
Total Funds 2021 Total Funds 2020
----- End of picture text -----

Buddy Bag Brigades are the events at which Buddy Bags are crafted. The 9,267 Buddy Bags this year (2020: 5,953 Buddy Bags) and the craft boxes cost £192,864 (2020: £122,468) to produce, an increase of £70,396 (57.5%).

Karen Williams OBE has been successful in sourcing the materials purchased for Buddy Bags at reduced cost. This is a continuous process to ensure reliability of deliveries and consistent quality of the items whilst ensuring value for money.

Support costs totalled £9,529 (2020: £10,807) of which £3,439 were covered by restricted funds. The expenditure from unrestricted funds of £6,090 mainly comprised administrative services £1,686, donated storage costs for the materials before they are used in Buddy Bag Brigades of £2,880 and insurance £724. Expenditure from restricted funds comprised donated services and venues for administration £1,193 and other administrative support costs £2,246.

Restricted funds and angels

Live Love Laugh Limited generously made donations to the Charity which are specifically designated to cover the administration costs. In 2019 a new programme of Angels was successfully launched. The Angels make their donations specifically as restricted funds to cover the administration costs. This resulted in cash donations of £7,450 (2020: £4,900) and donated goods, services and facilities of £2,000 (2020: £8,077).

Cash donations by Angels in 2021 include Sydney Mitchell £5,600.

22

The Buddy Bag Foundation

Buddy Bear toys

Prior to COVID-19, most of the first batch of own-brand Buddy Bear cuddly toys were being used very rapidly at Buddy Bag Brigades and a second batch of bears was ordered in November 2019 for delivery in May 2020.

As a consequence of COVID-19, when we resumed a smaller frequency of Buddy Bag Brigades, the prioritisation of using knitted toys received ahead of the own-brand Buddy Bears was continued. Leading to much larger stock-holding of Buddy Bears than we had expected.

At the year end: Stock of Buddy Bears £11,576 (2020: £16,897) Prepaid expenses of £70 (2020: £70). Trade creditors of £1498 (2020: £2,225)

Financial position

The Trustees are very satisfied with the financial position as at 31 December 2021. The charity had £159,682 at the bank (2020: £183,139).

The charity aims to hold unrestricted cash reserves sufficient to fund a minimum of three months of Buddy Bag Brigades. This is calculated as if the charity had to buy all facilities, goods and services at market values. This policy is regularly reviewed by the Trustees. At 31 December 2021, the unrestricted cash at bank was well in excess of this minimum.

Financial prospects

When the 2020 COVID-19 pandemic arrived, the charity was in an excellent financial situation; with sufficient cash to finance the supply of 9,267 Buddy Bags.

In common with many other charities, income from donations and fundraising has fallen significantly since March 2020 and appears to have currently stabilised, at a lower level than before.

Because of the security the cash reserves give, we plan to continue to increase the quantity of packing Buddy Bags towards our 2019 levels of between 720 and 900 per month for the rest of 2022.

23

The Buddy Bag Foundation

Structure, Governance and Management

Governing document

The Buddy Bag Foundation is a Charitable Incorporated Organisation governed by its Constitution amended on 3 March 2018. It is registered with the Charity Commission in England and Wales, registered number 1164916.

Appointment of trustees

Trustees are appointed for a term of one year by a resolution passed at a properly convened meeting of the Charity trustees.

In selecting individuals for appointment as a Charity trustee, the Charity trustees must have regard to the skills, knowledge and experience needed for the effective administration of the CIO.

Trustee induction and training

New trustees receive a copy of the current version of the constitution and the latest Trustees’ Annual Report and Unaudited Financial Statements.

The CEO gives individual induction to new trustees, informing them about the work of the Foundation, the expectations of the board and the decision-making processes.

Trustees and advisory board members are expected to provide evidence of relevant GDPR training within half a year of joining the board.

Trustees and advisory board members provide evidence of their DBS certificates every few years.

Organisation

The Constitution provides for a maximum number of 12 trustees serving on the board of trustees, which administers the charity. The board of trustees meets between four and six times per year. From its members, the board of trustees nominates a Chairman, a Chief Executive and a Treasurer, who manage the day-to-day operations of the charity.

The board of trustees is supported by an advisory board, who provide additional advice and expertise. They make non-binding recommendations to the board of trustees. Members of the advisory board are appointed by the board of trustees, who also have the authority, in its sole and absolute discretion, to remove any member of the advisory board at any time for any reason.

The Foundation does not have any employees and it does not provide any remuneration to any of its trustees or advisory board members.

24

The Buddy Bag Foundation

Subsidiary company

Under the law of England and Wales, charities may engage in some types of trading, subject to restrictions.

To enable additional fundraising activities, (for example running fundraising balls and providing events on a commercial basis to businesses), on 8 June 2018 the Trustees incorporated The Buddy Bag Ltd as a wholly owned subsidiary company limited by shares incorporated in England and Wales.

Related parties

Live Love Laugh Limited generously makes donations to the Charity which are specifically designated to cover the administration costs. Live Love Laugh Limited is controlled by Karen Williams OBE (Trustee) and Chris Williams (Advisory Board Member).

Karen Williams OBE (Trustee) and Chris Williams (Advisory Board Member) are the parents of Harry Williams (Trustee). The Charity’s internal processes and procedures ensure that duties are segregated appropriately to trustees outside the Williams family.

25

The Buddy Bag Foundation

Reference and Administrative Details

Charity registered number: 1164916

Registered address: Unit 28 Maybrook Road, Maybrook Business Park, Minworth, Sutton Coldfield B76 1AL

Trustees

The trustees serving during the year ended 31 December 2021 and since the year end were as follows:

Date appointed/resigned as trustee
Chairman
H E Williams
CEO
K S Williams OBE
Treasurer
L L Lomax
Appointed 15/10/2021
Trustees
N Wallis
A Henry
Resigned 15/10/2021
D M Whitbrook
D M Fielding
P Tranter
J Brierley-Masheter
M Bhandi
Appointed 15/10/2021

Advisory board

The advisory board members serving during the year ended 31 December 2021 and since the year end were as follows:

Date appointed/resigned as Advisory Board Member
Advisory C M Williams
Board I G Goodwin Appointed 9 March 2021

30/10/22

By order of the board of trustees on ……………… And signed on its behalf by:

H E Williams (Chairman)

26

The Buddy Bag Foundation

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF

THE BUDDY BAG FOUNDATION

I report on the accounts for the period 01 January 2021 to 31 December 2021 set out on the following pages.

Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this period (under Section 144(2) of the Charities Act 2011 (the 2011 Act)) and that an independent examination is required.

It is my responsibility to:

Basis of the independent examiner's report

My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair view ' and the report is limited to those matters set out in the statements below.

Independent examiner's statement

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

have not been met; or

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

Dr Kamran Shaikh

Morgan Reach Chartered Certified Accountants Morgan Reach House 136 Hagley Road Birmingham West Midlands B16 9NX Date: 24 October 2022

27

The Buddy Bag Foundation

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021

Note
INCOME
Donations and legacies
2
Other trading activities
3
Investment income
Total income
EXPENDITURE
Raising funds
4
Charitable activities
Direct costs
5
Support costs
5
Total expenditure
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forwards
Total funds carried forwards		 Unrestricted
Funds
Restricted
Funds
Total Funds
2021
Total Funds
2020
£
£
£
£
183,611
9,450
193,061
194,496
2,302
0
2,302
6,559
1,094
0
1,094
690
187,007
9,450
196,457
201,745
1,178
11,476
12,654
13,417
192,569
295
192,864
122,468
6,090
3,439
9,529
10,807
199,837
15,210
215,047
146,692
(12,830)
(5,760)
(18,590)
55,053
186,857
12,154
199,011
143,958
174,027
6,394
180,421
199,011

The notes form part of these financial statements

28

The Buddy Bag Foundation

BALANCE SHEET AS AT 31 DECEMBER 2021

Note
FIXED ASSETS
Investment
7
Total fixed assets
CURRENT ASSETS
Stock
9
Debtors
10
Cash at bank and in hand
Total current assets
Creditors falling due within one year
11
Net current assets
NET ASSETS
FUNDS OF THE CHARITY
Restricted income funds
12
Unrestricted funds
12
TOTAL CHARITY FUNDS		 Group
Charity
2021
2020
2021
2020
£
£
£
£
100
0
100 100
100
0
100 100
11,679
16,997
11,679
16,997
12,798
2,000
12,798
2,000
159,682
183,139
159,429
183,039
184,159
202,136
183,906
202,036
(3,838)
(3,125)
(3,838)
(3,125)
180,321
199,011
180,068
198,911
180,421
199,011
180,168
199,011
6,394
12,154
6,688
12,153
174,027
186,857
173,421
186,858
180,421
199,011
180,109
199,011

30/10/22

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

H E Williams (Chairman)

The notes form part of these financial statements

29

The Buddy Bag Foundation

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2021

1 Accounting policies

a) Basis of preparing the financial statements

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 (FRS 102) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK (FRS 102) (March 2018) and the Charities Act 2011.

The Buddy Bag 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 note(s).

b) Group financial statements

These financial statements consolidate the results of the charity and its wholly-owned subsidiary The Buddy Bag Ltd on a line by line basis. Transactions and balances between the charity and its subsidiary have been eliminated from the consolidated financial statements. Balances between the two entities are disclosed in the notes to the charity’ s balance sheet.

c) Going concern

The Trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern. The consequences of the COVID-19 pandemic on the charity are regularly reviewed.

The Trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

d) Income

Donated goods, donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time of the volunteers attending Buddy Bag Brigade events and other events is not recognised. Refer to the trustees' annual report for more information about their contribution.

On receipt, donated goods, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

30

The Buddy Bag Foundation

e) Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Investment in the subsidiary company is valued at cost less provision for impairment.

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

The charity is exempt from tax on its charitable activities.

i) Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

31

The Buddy Bag Foundation

2 Income from donations and legacies

Donations from individuals
Donations from companies
Donations from groups
Donations at events
Gift Aid
Donated goods, services and
facilities
Cash donations only		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2021
Total
Funds
2020
2020
percent
of total
Change
Percent
change
£
£
£
£
%
£
%
64,759
0
64,759
36,398
48.6%
28,361
77.9%
40,053
7,450
47,503
65,688
35.7% (18,185)
27.7%
16,692
0
16,692
40,575
12.5% (23,883)
58.9%
82
0
82
0
0.1%
82 0.0%
4,187
0
4,187
3,979
3.1%
208
5.2%
57,837
2,000
59,837
47,856
11,981
25.0%
183,610
9,450 193,061 194,496 100.0%
(1,436)
0.7%
125,773
7,450 133,223 146,640
(13,417)

3 Other trading activities

Bids
Sales of Buddy Bear toys
Compensation received
Fundraising events
Sales of workshops and team
building events		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2021
Total
Funds
2020
2020
percent
of total
Change
Percent
change
£
£
£
£
%
£
%
0
0
0
3,000
0.0%
(3,000)
100.0%
453
0
453
736
19.7%
(283)
38.5%
306
0
306
202
13.3%
104
51.6%
1,543
0
1,543
1,086
67.0%
457
42.1%
0
0
0
1,535
0.0%
(1,535)
100.0%
2,302
0
2,302
6,558 100.0%
(4,256)
64.9%

32

The Buddy Bag Foundation

4 Raising funds expenditure

Processing charges on income
received
Just Giving membership fee
London Marathon entry fee
Cost of Buddy Bear toys for
fundraising
Trainers and facilitators for
events
Fundraising event expenses
Donated goods, services and
facilities for fundraising
activities and events
Website and promotional
expenses
Donated website and
promotional expenses
Other expenses		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2021
Total
Funds
2020
2020
percent
of total
Change
Percent
change
£
£
£
£
%
£
%
797
0
797
569
6.3%
228
40.1%
216
0
216
216
1.7%
0
0.0%
0
0
0
230
0.0%
(230)
100.0%
165
0
165
347
1.3%
(182)
100.0%
0
0
0
0
0.0%
0 0.0%
0
624
624
903
4.9%
(279)
30.9%
0
0
0
1,320
0.0%
(1,320)
100.0%
0
9,469
9,469
5,400
74.8%
4,069
75.4%
0
1162
1162
4,344
9.2%
(3,182)
73.3%
0
221
221
88
1.7%
133
151.1%
1178
11,476 12,654 13,417 100.0%
(763)
5.7%

5 Cost of charitable activities

DIRECT COSTS
Materials purchased for Buddy
Bags
Materials purchased for craft
boxes
Donated materials for Buddy
Bags
Delivery charges
Donated delivery charges
Other donated services and
facilities for Buddy Bag Brigades
Other direct costs
Cost of Buddy Bag Brigades		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2021
Total
Funds
2020
2020
percent
of total
Change
Percent
change
£
£
£
£
%
£
%
123,799
0 123,799
75,465
61.2%
48,334
64.0%
21
0
21
4,024
0.0%
(4,003)
99.5%
41,624
0
41,624
31,676
20.6%
9,948
31.4%
10,682
0
10,682
4,314
5.3%
6,368
147.6%
950
0
950
3,513
0.5%
(2,563)
73.0%
700
0
700
910
0.3%
(210)
23.1%
14,793
295
15,088
2,566
7.5%
12,522
488.0%
192,569
295 192,864 122,468
95.3%
70,369
57.5%

33

The Buddy Bag Foundation

SUPPORT COSTS
Storage costs
Storage facilities donated
Administrative services
Insurance donated
Insurance
Donated services received and
venues for trustee meetings
Other support costs
Support costs
Total charitable activities
expenditure		 Unrestricted
Funds
Restricted
Funds
Total
Funds
2021
Total
Funds
2020
0.0%
Change
Percent
change
£
£
£
£
%
£
%
680
0
680
35
0.3%
645 1842.9%
2,880
0
2,880
2,880
1.4%
0
0.0%
1,686
0
1,686
2,444
0.8%
(758)
31.0%
350
0
350
300
0.2%
50
16.7%
374
0
374
463
0.2%
(89)
19.2%
0
1,193
1,193
2,913
0.6%
(1,720)
59.0%
120
2,246
2,366
1,772
1.2%
474
33.5%
6,090
3,439
9,529
10,807
4.7%
-1,278
-11.8%
198,659
3,734 202,393 133,275 200.0%
69,118
51.9%

6 Trustees’ remuneration and benefits

The charity Trustees were not paid nor received any other benefits from employment with the charity in the year (2020: £nil).

Trustees' expenses

As part of fundraising activities, the charity and its subsidiary company have sold team-building workshops to businesses. Trainers and facilitators have been engaged to deliver these fundraising activities, which included 2 of the Trustees.

Trustee’s ex penses represent the cost of delivering one of these workshops, including travel and subsistence costs totalling £nil (2020: £nil).

34

The Buddy Bag Foundation

7 Investment in subsidiary

The charity holds 100 shares of £1 each in its wholly owned trading subsidiary company The Buddy Bag Ltd which is incorporated in England and Wales. These shares are allotted, called up and fully paid. The company is going to be used for non-primary trading activities. Available profits are gift aided to the charity under a deed of covenant. A summary of the results of the subsidiary is shown below:

Net operating income
Other income
Net profit
Amount gift aided to the charity under deed of covenant
Retained in subsidiary
The assets and liabilities of the subsidiary were:
Current assets
Current liabilities
Total net assets
Aggregate share capital and reserves		 2021
2020
£
£
312
1,293
0
0
312
1,293
(312)
(1,293)
0
0
31 Dec
2021
31 Dec
2020
£
£
253
100
(153)
0
100
100
100
100

8 Parent charity

The parent charity’s gross income and results for the year are disclosed as follows:

Gross income
Net income		 2021
2,020
£
£
196,457
199,509
(18,590)
55,053

35

The Buddy Bag Foundation

9 Stock

Stock of Buddy Bears
Investments		 Group
Charity
2021
2020
2021
2020
£
£
£
£
11,579
16,897
11,579
16,897
100
100
100
100
11,679
16,997
11,679
16,997

10 Debtors

Income receivable donations and Gift Aid
Prepaid expenses
Receivable from subsidiary company		 Group
Charity
2021
2020
2021
2020
£
£
£
£
12,728
1,930
12,728
1,930
70
70
70
70
0
0
0
0
12,798
2,000
12,798
2,000

11 Creditors: Amounts falling due within one year

Trade creditors
Accruals and deferred income
Other creditors
Payable to subsidiary company		 Group
Charity
2021
2020
2021
2020
£
£
£
£
1,498
2,225
1,498
2,225
2,340
900
2,340
900
0
0
0
0
0
0
0
0
3,838
3,125
3,838
3,125

36

The Buddy Bag Foundation

12 Movement in funds

Current year

Restricted Funds
Unrestricted Funds
Total Funds		 At 1
January
2021
Income &
Gains
Expenditure
& Losses
At 31
December
2021
£
£
£
12,154
9,450
(15,210)
6,394
186,857
187,007
(199,837)
174,027
199,011
196,457
(215,047)
180,421

Previous year

Restricted Funds
Unrestricted Funds
Total Funds		 At 1
January
2020
Income &
Gains
Expenditure
& Losses
At 31
December
2020
£
£
£
14,310
13,988
(16,144)
12,154
129,648
187,757
(130,548)
186,857
143,958
201,745
(146,692)
199,011

Purpose of restricted funds

Restricted funds are donations and donated goods, services and facilities which are specifically designated to cover the administration costs.

13 Related party disclosures

Live Love Laugh Limited generously make donations to the Charity which are specifically designated to cover the administration costs. Live Love Laugh Limited is controlled by Karen Williams OBE (Trustee) and Chris Williams (Advisory Board Member).

37