Charity number: 1165858
HYPO HOUNDS CIO
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
Providing Diabetic Alert Dogs to families with a clinical need.
HYPO HOUNDS CIO
ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
CONTENTS
| Page | |
|---|---|
| Reference and Administrative Details of the Charity, its Trustees and Advisers | 1 |
| Trustees' Report | 2 – 9 |
| Independent Examiner's Report | 10 |
| Statement of Financial Activities | 11 |
| Balance Sheet | 12 |
| Notes to the Financial Statements | 13 - 24 |
HYPO HOUNDS CIO
LEGAL & ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31 MARCH 2022
Trustees
N M Bateson K Crisp (resigned 7 May 2022) S Elliott J L Eeles N J Read P D Stevenson
T Bussey (appointed 29 June 2022)
Charity registered number
1165858
Principal office
Office 4 & 5 Burnt House Farm Business Park Bedlam Lane Smarden Kent TN27 8PG
Chief executive officer
Jane Pearman FRSM
Ambassadors
Joe Pasquale Robin Ellis Dominic Littlewood
Independent Examiner
McCabe Ford Williams Chartered Accountants Bank Chambers 1 Central Avenue Sittingbourne Kent ME10 4AE
Bankers
Barclays Bank Plc 17 North Street Ashford Kent
Page 1
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
The Trustees present their annual report together with the financial statements of the charity for the year ended 31 March 2022. The Trustees confirm that the annual report and financial statements of the charity comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP 2019), 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
a. Policies and objectives
In setting objectives and planning for activities, the Trustees have given due consideration to the Charity Commission published guidance on the operation of the Public Benefit requirement.
The charity's main object is to relieve the sickness and preserve the health of people with Type 1 and Type 2 Diabetes in the South East of England, particularly Kent, to train their own dogs to be able to provide supportive care and assistance to them.
Hypo Hounds meets the definition of a Public Benefit entity under FRS 102.
b. Our vision
A country in which every Type 1 Diabetic child has access to be able to benefit from the help of a trained Diabetic Alert Dog.
c. Our mission
Providing Diabetic Alert Dogs to families with a clinical need.
We train Diabetic Alert Assistance dogs to help people but predominantly children with Brittle Type 1 Diabetes, lead more independent lives.
d. Our values
Quality – in everything that we do. We achieve high standards and promote best practice.
e. Individual approach
We treat and respect each client and each dog as an individual and strive to help them.
f. Accountability
We are open, honest and transparent with all stake holders.
g. Dog wellbeing
We work hard to ensure the health and happiness of our dogs. We ensure that the dog’s welfare is never compromised. We are committed to the Five Freedoms.
h. Innovation
We continually develop new ways in which dogs can help people with Diabetes, through our curiosity, learning and experience.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Achievements and performance
a. Review of activities
Since 2016, Hypo Hounds has been making life-saving differences for children with Brittle Type 1 Diabetes. Our work began supporting one child and their dog, thanks to the vision and enthusiasm of our founder, Jane Pearman. Demand for our services remains incredibly high, from parents who believe that their child could benefit from our support. We have recognised that while assistance dogs provide a vital lifeline for many people, we have also developed a broader range of services to help even more families to increase their independence, improve confidence and reduce feelings of social isolation especially throughout and beyond the covid pandemic. Our services now include mental well-being clinics for the parents or caregivers of Type 1 Diabetics, which in turn provides a holistic approach to the assistance dog program services we provide.
Hypo Hounds have expanded their services outside of Kent and now cover Essex, Surrey, London, East Sussex, West Sussex, Hampshire, Buckinghamshire and Northern Ireland. All training continues to take part at our premises in Smarden, with continued support via our local community hub training teams if appropriate.
b. Making a difference to the Diabetic Community
Hypo Hounds would not be able to do our work without the many dedicated volunteers who give of their time so freely. Specifically, we are grateful to the following during a difficult 2021/22:
6 Puppy Socialisers and their families who support our puppies during their first year.
4 Emergency families who support our puppies during holidays and emergencies.
2 People that regularly drive for us delivering dogs and equipment to other volunteer homes.
20 new volunteers recruited in 2021/2022.
We would like to formally thank our entire team who work incredibly hard to ensure that dogs are trained and that our clients are supported both physically and emotionally. The charity is now formally run by our Chief Executive and Founder, without her commitment, passion and enthusiasm the charity would not be what it is today.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Achievements and performance - continued
c. Achievements
Hypo Hounds are proud to be associated with the Armed Forces Covenant, a Disability Confident Committed employer, a provider member of the International Association of Assistance Dog Partners, Small Charities Coalition, Kent Invicta Chamber of Commerce as well as a member of the Chartered Institute of Fundraising and Fund Raising Regulator.
d. Awards and recognition in 2021/22
Hypo Hounds were honoured to be finalists in the National Disability Awards as well as finalists in the Kent Charity of the Year Awards and winner of the care charity category in the Kent Volunteering Awards. Our Chief Executive was awarded the Mayor of Ashford’s Citizen Award for her dedication to services in the Kent Community.
e. Changes to the charity in 2021/22
We have extended our training facility to accommodate social distancing, training and conference facilities and provide a dedicated client area. As of March 2021 we have one full-time employee, one near – full-time trainer, 1 part time office administrator as well being supported by 5 self – employed part time trainers.
f. The Impact of our Work
Hypo Hounds supports clients with Brittle Diabetes through the help of a trained dog Diabetic Alert Dog, improving and enhancing the lives of both the Diabetic and their family.
We are still proud to report that we have a 100% success rate of having ZERO hospital admissions as a direct result of a Hypo or Hyper (collapse due to low or high blood sugar). This has impacted on the NHS with a decrease in admissions which has never been as important as during and after the pandemic. Type 1 Diabetics were named as a clinically vulnerable group and many of our clients have been shielding since the first lockdown.
Through early detection and intervention Hypo Hounds clients are now at a lower risk of long- term health complications later in life such as renal failure and sight loss (this is formally documented by a clinician of one of our clients). We have seen an improvement in the mental well- being of the families we support. While Diabetic technology is advancing our dogs are still able to beat all the latest testing and alerting systems by a minimum of 15 minutes. Working together with technology and clinicians we are improving the lives of these families. Hypo Hounds believe that by creating mutually beneficial partnerships between people and dogs, we can bring benefits to people most at risk from feeling lonely or at risk of losing their independence and the pandemic has proved this. Hypo Hounds help to improve clinical, physical and the mental health of its clients and their support network. As part of our continued training, we are proud to be offering Puppy visits into the workplace/care homes and schools to not only mutually benefit the socialisation of our dogs but to also improve morale, productivity and reduce stress in these environments, this has proved to be extremely positive and has also helped us to forge friendships and support in the most unlikely places.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Achievements and performance - continued
g. Making an Impact
Supporting children with Type 1 Diabetes
Thomas and Hypo Hound Poppy
“If Thomas was a dog, he would be Poppy, if Poppy was a human she would be Thomas! Hypo hounds matched us with the perfect dog for our lifestyle, they are two pea’s in a pod. Thomas now has a lifesaving best friend, and I can honestly say that without her Thomas may not be with us today. Poppy impacts on his life clinically but she has brought so much to the whole family and has improved the mental well-being of us all. I cannot thank Hypo Hounds enough for everything they do – they have given us a life-line” Jennifer – Thomas’s mum
Erin and Hypo Hound Simba
We had a very near miss if it was not for our super Hypo Hound Simba.
Erin was on the bouncy castle, fuelled by all sorts (as you do). Her Dexcom (Diabetic technology that monitors her bloods remotely) reading 12.8 and rising. Simba was very patiently resting in the shade, watching the world go by. As Erin had eaten quite a few sweets, I called her over to administer a tiny bit of insulin to help her blood sugars drop to a safe level. As she started to approach me, Simba became very restless, alerting that her blood sugars were low? But her technology was saying she was high! It left me confused and I suspected that the freshly brought bacon to the table was the reason for his fussing. BUT I should never have doubted him! I tested her blood glucose levels which were well below what they should be and they were dropping dangerously fast!
It finally dawned on me, the severity of the situation. Should I have relied on Erin’s technology alone she would have been horizontal, in recovery position, potentially in a Hypoglycemic! Simba, you have saved Erin’s life! Ven – Erin’s mum
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HYPO HOUNDS CIO
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
Achievements and performance - continued
g. Making an Impact - continued
Mental Well-being of the Parents
I have now been formally diagnosed with PTSD and anxiety and about to start my treatment. I spent two whole years in denial, pretending to be this imaginary superwoman, the “I’ve got this” woman…. The truth is, often I just “don’t have it”, my insides are forever twisted with anxiety, always ready to spring into action. My pretend self seems energetic and upbeat, but the bottom line is, I haven’t slept for more than 3 hrs since my child’s diagnosis, I feel physically sick hearing ambulances, I can’t bear to look at clothes she wore at hospital (yet I can’t Chuck them), I wet myself with fear at a hospital appointment following her release. A little piece of me dies every time I change her cannula and she cries in pain and she hates it. I am totally exhausted, I am drained and I am constantly watching her doing the most natural things in the world….eat, run, cry, scream with joy… I have tested my newborn babies bloods more than I hate to admit. The list goes on
But we have been thrown a lifeline. Yes, I have gained a very mischievous 4th child who we all adore……but Boy, do you soothe my nerves, slow down my heartbeat and give me that “mum, we got this” look. Just like my three incredible children, I love you endlessly Simba - Hypo Hounds THANK YOU.
h. Post COVID-19
At the time this report was prepared, we were post the COVID-19 Pandemic which seriously impacted on the charity sector. As a board we are collectively proud of how Hypo Hounds conducted themselves and worked collaboratively with other organisations throughout this difficult time.
Some of our work was still put on hold. When restrictions were eventually lifted, we were able to relicence our existing owner-based dogs, qualified all 3 of our Covid litter who were successfully matched and are now fully qualified assistance dogs. This is down to the hard work and dedication of the team during lockdown who formed a training bubble in lockdown to ensure the dogs training was not impacted.
Because of this success, we purchased a further 6 pups in 2021. Our training team was able to resume hands-on face-to-face training again, but we also continued to support our clients by video link, this proved to be a huge success and was a useful tool introduced to our training packages. Seeing the dogs in their own home environment gave the training team a better understanding of the dog’s temperament without distractions.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Achievements and performance - continued
h. Post COVID-19 - continued
We continue to provide welfare sessions to help our clients who are finding the pressure of being a caregiver too much. Welfare Wednesday’s – Touchbase Tuesday’s and children’s mental well-being sessions have all been extremely popular. Hypo Hounds understands the mental impact of being Type 1 Diabetic affects our child clients and as part of Children’s Mental Health Week we arranged a virtual Disco for all our clients to spread a little happiness and raise morale. This event was participated in by many clients and whole families joined in the fun.
i. The Future
We recognise the need to constantly monitor, evaluate and work smarter. As we adapt our services we can help to make the provision of an assistance dog more accessible to those in clinical need and bring us and our policies in line with the larger Assistance Dog charities.
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As we celebrate our 6th year, we will increase our commitment to supporting families by training more dogs.
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We will continue to hold specialist mental health clinics for all and provide a holistic approach to what we do.
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We will recognise the important contribution our staff, trainers and volunteers make to support our work; we will roll-out a full induction training to support new volunteers and continued learning opportunities for established volunteers with a minimum of 10 hours continuation development training annually for all staff.
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We will attend community open days, celebrating the positive impact that dogs bring to our lived and raise awareness of our work.
Financial review
Financially our donations suffered due to the economic fall, we can draw on our reserves to help cover our ongoing costs if and when required. In all areas we are doing our best to ensure that the charity is mitigating risks whilst providing a service to all our stakeholders, we will manage our operations accordingly to ensure we are ready to get back to working in our usual way as soon as possible.
Hypo Hounds were left a substantial amount of money from a legacy. This money is restricted at the wishes of the donor for us to purchase a training centre or property of our own to deliver more services to more children. With specific restrictions on it not being used on wages.
We would like to formally thank the many Trusts and Foundations, as well as the many community groups and businesses for their support throughout the year.
For the year ended 31 March 2022, income amounted to £86,363 (2021: £322,835), and expenditure amounted to £151,550 (2021: £80,778). The charitable activities undertaken during the year are detailed in note 6.
As a result of the above movements, a deficit of (£65,187) (2021: surplus of £242,057) was reported for the year. Funds carried forward total £284,876 (2021: £350,063), of which £Nil (2021: £Nil) are designated funds and £225,914 (2021: £246,530) are restricted funds.
a. Going concern
After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Financial review - continued
b. Principal risks and uncertainties
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
c. Reserves policy
The trustees aim to maintain reserves at a level they deem sufficient for the future needs of the charity and are aiming to maintain reserves at a level sufficient to support 6 months’ level of expenditure, which, based on the expenditure to 31 March 2022 would amount to £75,775 (2021: £40,389). At 31 March 2022, the free reserves amounted to £58,962 (2021: £103,533) and therefore the charity will seek to achieve future surplus’ to achieve this policy.
d. Material investments policy
Investment activities are managed in line with the requirements of the Trustee Act 2000. The trustees, having regard to the liquidity requirements of operating the charity and to the reserves policy, will operate a policy of keeping available funds in interest bearing deposit accounts and seek to achieve a rate of deposit which matches or exceeds inflation as measured by the Retail Prices Index.
Structure, governance and management
a. Constitution
The charity is a Charitable Incorporated Organisation registered on 3 March 2016. The registered number is 1165858. The governing document is a Constitution dated 27 October 2015, and subsequently amended on 30 March 2021.
b. Method 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 Constitution.
The governing document prescribes that there shall be a minimum of two trustees and a maximum of twelve. 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 selecting trustees, the charity must have regard to the skills, knowledge and experience needed for the effective administration of the charity.
Prospective trustees are recommended by existing trustees to join the board of trustees, or advertisements are placed in the local press.
c. Policies adopted for the induction and training of Trustees
The charity makes available to each new trustee, on or before his or her first appointment:
(a) a copy of the current version of the Constitution; and
(b) a copy of the charity's latest trustees' annual report and statement of accounts.
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TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Structure, governance and management - continued
d. Organisational structure and decision making
The trustees consider the trustees and Chief Executive Officer compromise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. All trustees give their time freely and no trustee received remuneration in the year for services as a trustee.
Any trustee may call a meeting of the trustees. Decisions are made by a simple majority of votes cast at a meeting. In the case of an equality of votes, the person who chairs the meeting shall have a second or casting vote. No decision shall be taken at a meeting unless a quorum is present. A quorum is two trustees, or the nearest number to one third of the total number of trustees, whichever is the greater, or such larger number as the trustees may decide from time to time
Trustees' responsibilities statement
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 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 of the charity for that period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP (FRS 102);
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make judgments and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
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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 proper 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.
09/01/2023
This report was approved by order of the members of the board of Trustees on ................................. and signed on their behalf by:
................................................
S Elliott Trustee
Page 9
INDEPENDENT EXAMINERS’ REPORT FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
Independent Examiner's Report to the Trustees of Hypo Hounds CIO (the 'charity')
I report to the charity Trustees on my examination of the accounts of the charity for the year ended 31 March 2022.
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.
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 all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent Examiner's Statement
I have completed my examination. I can confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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the accounts do not accord with those records; or
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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.
Signed:
Dated:
Jan 10, 2023
Ashley Phillips McCabe Ford Williams Chartered Accountants Bank Chambers 1 Central Avenue Sittingbourne Kent ME10 4AE
Page 10
HYPO HOUNDS CIO
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022
| Note Income from: Donations and legacies 2 Charitable activities 3 Other trading activities 4 Total income Expenditure on: Raising funds 5 Charitable activities 6 Total expenditure Net income before other recognised gains and losses Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted funds 2022 £ 62,698 3,568 2,097 68,363 8,669 104,265 112,934 (44,571) (44,571) 103,533 58,962 |
Restricted funds 2022 £ 17,000 - 1,000 18,000 - 38,616 |
Total funds 2022 £ 79,698 3,568 3,097 86,363 |
Total funds 2021 £ 322,819 - 16 322,835 3,657 77,121 80,778 242,057 242,057 108,006 350,063 |
|---|---|---|---|---|
8,669 142,881 |
||||
38,616 |
151,550 |
|||
(20,616) (20,616) 225,914 225,914 |
(65,187) (65,187) 350,063 |
|||
284,876 |
The notes on pages 13 to 24 form part of these financial statements.
Page 11
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| Note Fixed assets Tangible assets 12 Current assets Stocks 13 Debtors 14 Cash at bank and in hand Creditors:amounts falling due within one year 15 Net current assets Net assets Charity Funds Restricted funds 16 Unrestricted funds 16 Total funds |
£ 4,205 12,844 267,905 |
|---|---|
284,954 (6,545) |
The financial statements were approved by the Trustees on ……………………. and signed on their behalf, by:
................................................ S Elliott Trustee
The notes on pages 13 to 24 form part of these financial statements.
Page 12
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies
1.1 General information
Hypo Hounds is a Charitable Incorporated Organisation, registered at the Charity Commission under registration number 1165858. The charity's registered office is Offices 4 & 5, Burnt House Farm Business Park, Bedlam Lane, Smarden, Kent, TN27 8PG.
1.2 Basis of preparation of financial statements
The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Charities Act 2011, the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (revised October 2019) and Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (revised 1 January 2019).
Hypo Hounds CIO constitutes a public benefit entity as defined by FRS 102.
The financial statements are presented in sterling and rounded to the nearest pound.
1.3 Going concern
At the time of signing the accounts the Trustees are aware of the potential economic and social effects of the Cost of Living crisis in the UK. The full impact of this on the UK economy is yet to be seen, but the charity will continue to seek to mitigate this risk by utilising any Government financial support that may be available and adapting/developing its own internal strategy.
Despite this, 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.
1.4 Income
Income is recognised when the charity has entitlement to the income, after any performance conditions have been met, the amounts can be measured reliably, and it is probable that the 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.
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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
HYPO HOUNDS CIO
1.5 Expenditure
Expenditure is accounted for on an accruals basis and a liability is recognised once there is a legal or constructive obligation, when it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. The Charity is not registered for VAT and accordingly expenditure includes VAT where appropriate.
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.
Expenditure included in Raising Funds includes amounts incurred in obtaining grants and other donations.
Charitable expenditure includes those costs in fulfilling the Charity's principal objects, as outlined in the Trustees' Report. Charitable expenditure includes governance costs and an apportionment of support costs. Governance costs comprise all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These include independent examination and insurance fees.
Rentals under operating leases are charged as incurred over the term of the lease.
1.6 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.
Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The 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.
1.7 Tangible fixed assets and depreciation
All assets costing more than £1,000 are capitalised.
A review for impairment of a fixed asset is carried out if events or changes in circumstances indicate that the carrying value of any fixed asset may not be recoverable. Shortfalls between the carrying value of fixed assets and their recoverable amounts are recognised as impairments. Impairment losses are recognised in the Statement of Financial Activities.
Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Motor vehicles - 4 years straight line Fixtures and fittings - 2 years straight line
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HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. Accounting Policies – continued
1.8 Stocks
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
1.9 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.
1.10 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.
1.11 Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation arising from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are recognised at their settlement amount.
1.12 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.
1.13 Critical accounting estimates and areas of judgment
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The accounting treatment of dogs:
The cost of dog training and the provision of dogs for beneficiaries of the charity are running costs of the charity, incurred in line with charitable objectives. Costs are expensed in the period in which they are incurred, and no asset nor corresponding liability is recognised in the balance sheet. The Trustees’ judge that the associated costs represent key running costs of the charity and delivery of its charitable objectives, rather than development of a resource controlled by the company, i.e. an asset, and that this treatment is consistent with the Charities SORP definition of expenditure, being the amount of a charity’s resources spent in carrying out its activities.
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HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
2. Income from donations and legacies
| Donations and gifts Grants Total donations and legacies Total 2021 |
Unrestricted funds 2022 £ 41,175 21,523 |
Restricted funds 2022 £ - 17,000 |
Total funds 2022 £ 41,175 38,523 |
Total funds 2021 £ 267,054 55,765 |
|---|---|---|---|---|
| 62,698 | 17,000 |
79,698 |
322,819 | |
75,739 |
247,080 |
322,819 |
The charity benefits greatly from the involvement and enthusiastic support of its volunteers, details of which are given in the annual report. In accordance with FRS 102 and the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the accounts.
3. Income from charitable activities
| Dog training fees | Unrestricted funds 2022 £ 3,568 |
Restricted funds 2022 £ - |
Total funds 2022 £ 3,568 |
Total funds 2021 £ - |
|---|---|---|---|---|
4. Income from other trading activities
| Tombola Sales Retail Sales Charity Balls Total 2021 |
Unrestricted funds 2022 £ - - 2,097 |
Restricted funds 2022 £ - - 1,000 |
Total funds As restated Total funds 2022 £ 2021 £ - - - 16 3,097 - 3,097 16 16 |
|---|---|---|---|
| 2,097 | 1,000 |
3,097 |
|
16 |
- |
16 |
All fundraising income received during the current and previous year was unrestricted.
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HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
5. Expenditure on raising funds
| Seeking donations, grants and legacies Staging fundraising events Fundraising agents Advertising Other fundraising costs Operating charity shops Other trading activities Total 2021 |
Unrestricted funds 2022 £ - - 216 4,326 2,599 294 1,234 8,669 |
Restricted funds 2022 £ - - - - - - - - |
Total funds 2022 £ - - 216 4,326 2,599 294 1,234 8,669 3,657 |
Total funds 2021 £ - - 216 1,549 986 906 - 3,657 |
|---|---|---|---|---|
3,657 |
- |
|||
All costs of raising funds incurred during the current and previous year were from unrestricted funds.
6. Expenditure on charitable activities
| Dog Training Total 2021 |
Activities undertaken directly 2022 £ 32,635 |
Support costs 2022 £ 92,246 |
Unrestricted Funds 2022 £ 104,265 104,265 72,516 |
Restricted Funds 2022 £ 38,616 |
Total funds 2022 £ 142,881 |
Total Funds 2021 £ 77,121 |
||
|---|---|---|---|---|---|---|---|---|
| 32,635 | 92,246 | 38,616 | 142,881 |
77,121 | ||||
18,022 |
59,099 |
4,605 |
77,121 |
|||||
Page 17
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
7. Direct costs
| Dog trainer consultant fees Donations Total 2021 Support costs Telephone Stationery and photocopying Postage Subscriptions Legal fees Motor expenses Travel Premises expenses Bad debt provision Sundry expenses Depreciation Governance costs (note 9) Equipment, repairs & renewals Wages Total 2021 |
Dog Training £ 32,635 - |
Total 2022 £ 32,635 - |
Total 2021 £ 18,022 - 18,022 Total 2021 £ 727 1,156 206 200 - 1,468 272 13,555 - 1,588 6,310 6,049 2,066 25,502 59,099 |
|---|---|---|---|
| 32,635 | **32,635 ** |
||
18,022 |
18,022 |
||
Dog Training £ 733 3,488 292 1,000 - 6,323 2,151 16,700 - 369 1,404 5,905 2,896 50,985 |
Total 2022 £ 733 3,488 292 1,000 - 6,323 2,151 16,700 - 369 1,404 5,905 2,896 50,985 |
||
| 92,246 59,099 |
92,246 |
||
59,099 |
8. Support costs
Page 18
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
9. Governance costs
| Accountancy fees Insurance Professional fees |
Unrestricted funds 2022 £ 2,342 3,053 510 |
Restricted funds 2022 £ - - - |
Total funds 2022 £ 2,342 3,053 510 |
Total funds 2021 £ 2,896 2,401 752 6,049 |
|---|---|---|---|---|
| 5,905 | - |
5,905 |
10. Staff Costs
| Wages and salaries Social security costs Pension costs Subcontractor costs |
Year Ended 31.03.2022 £ 47,128 3,857 - - 50,985 |
Year Ended 31.03.2021 £ 20,661 1,841 - 3,000 25,502 |
|---|---|---|
No employee received remuneration totalling more than £60,000, during either the current or prior year.
During the year no trustees received any remuneration (2021: £Nil) and no Trustees received any benefit in kind (2021: £Nil). Additionally, no trustees (2021: no trustees) were reimbursed expenses in respect of reimbursed travel, subsistence or accommodation expenses.
The key management personnel of the charity comprise the Trustees and the Chief Executive Officer. The total employee benefits for these personnel were £45k (2021: £25k). The Trustees received no remuneration.
The average number of employees was:
| Employees | 2022 No. 3 |
2021 No. 1 |
|---|---|---|
Page 19
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 11. Net income/(expenditure) This is stated after charging: Depreciation of tangible fixed assets: - owned by the charity Independent examiner fees Operating lease rentals 12. Tangible fixed assets Cost At 1 April 2021 Additions At 31 March 2022 Depreciation At 1 April 2021 Charge for the year At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 13. Stocks |
Motor vehicles £ 23,590 **- ** |
2022 £ 1,404 1,545 16,656 |
2021 £ 6,310 1,500 14,011 |
||
|---|---|---|---|---|---|
Total £ 33,394 1,189 34,583 26,712 1,404 28,116 6,467 6,682 2021 £ 5,439 |
|||||
| 23,590 | 10,993 |
||||
21,372 750 |
5,340 654 |
||||
| 22,122 | 5,994 | ||||
| 1,468 | 4,999 |
||||
2,218 |
4,464 |
||||
2022 £ 4,205 |
Finished goods and goods for resale
Page 20
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 14. Debtors Due within one year Trade debtors Other debtors Prepayments and accrued income 15. Creditors: Amounts falling due within one year Bank loans and overdrafts Social security and other taxes Accruals and deferred income 16. Statement of funds Statement of funds - current year Balance at 1 April 2021 £ General funds General fund 103,533 Total Unrestricted funds 103,533 Restricted funds Assistance Dogs in Northern Ireland 3,616 Peter Jenkins Legacy Fund 225,914 Childwick Trust - Other restricted funds 17,000 Total Restricted funds 246,530 Total of funds 350,063 |
14. Debtors Due within one year Trade debtors Other debtors Prepayments and accrued income 15. Creditors: Amounts falling due within one year Bank loans and overdrafts Social security and other taxes Accruals and deferred income 16. Statement of funds Statement of funds - current year Balance at 1 April 2021 £ General funds General fund 103,533 Total Unrestricted funds 103,533 Restricted funds Assistance Dogs in Northern Ireland 3,616 Peter Jenkins Legacy Fund 225,914 Childwick Trust - Other restricted funds 17,000 Total Restricted funds 246,530 Total of funds 350,063 |
14. Debtors Due within one year Trade debtors Other debtors Prepayments and accrued income 15. Creditors: Amounts falling due within one year Bank loans and overdrafts Social security and other taxes Accruals and deferred income 16. Statement of funds Statement of funds - current year Balance at 1 April 2021 £ General funds General fund 103,533 Total Unrestricted funds 103,533 Restricted funds Assistance Dogs in Northern Ireland 3,616 Peter Jenkins Legacy Fund 225,914 Childwick Trust - Other restricted funds 17,000 Total Restricted funds 246,530 Total of funds 350,063 |
2022 £ - 4,050 8,794 |
2022 £ - 4,050 8,794 |
2021 £ - 4,050 238,208 242,258 2021 £ - 1,500 1,500 Balance at 31 March 2022 £ 58,962 58,962 - 225,914 - - 225,914 284,876 |
||
|---|---|---|---|---|---|---|---|
| 12,844 | |||||||
2022 £ - 2,788 3,757 |
|||||||
| 6,545 | |||||||
103,533 |
68,363 |
(112,934) |
|||||
3,616 225,914 - 17,000 |
- - 7,500 10,500 |
(3,616) - (7,500) (27,500) |
|||||
246,530 |
18,000 |
(38,616) |
|||||
350,063 |
86,363 |
(151,550) |
Page 21
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
16. Statement of funds (continued)
| Statement of funds – prior year Designated funds Motor vehicle fixed asset fund General funds General fund Total Unrestricted funds Restricted funds Assistance Dogs in Northern Ireland Peter Jenkins Legacy Fund Other restricted funds Total Restricted funds Total of funds Purpose of funds: |
Balance at 1 April 2020 £ 4,259 |
Balance at 1 April 2020 £ 4,259 |
Income £ - |
Expenditure £ (4,259) |
Balance at 31 March 2021 £ - 103,533 103,533 3,616 225,914 17,000 246,530 350,063 |
|---|---|---|---|---|---|
99,692 |
75,755 |
(71,914) |
|||
103,951 |
75,755 |
(76,173) |
|||
4,055 - - |
- 225,914 21,166 |
(439) - (4,166) |
|||
| 4,055 | 247,080 |
(4,605) |
|||
108,006 |
322,835 |
(80,778) |
|||
Unrestricted funds : These funds can be used in accordance with the Charity’s objectives, at the discretion of the Trustees.
Designated funds : These funds were used to purchase a van to support the charity’s services to its clients. Expenditure from the fund represents depreciation of the asset.
Restricted funds :
Assistance Dogs in Northern Ireland
Funding received from Northern Ireland Assistance Dogs (NIAD) to support services based in Northern Ireland
Peter Jenkins Legacy Fund
The charity received a legacy from Peter Jenkin’s estate, which is restricted for use towards the training of dogs to help beneficiaries of the charity.
Childwick Trust
A grant received from the Trust to be used for the training of assistance dogs for type 1 diabetic children.
Other Restricted Funds
The charity have received grants from various funders to be used towards the costs of training dogs.
Page 22
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
17. Analysis of net assets between funds
Analysis of net assets between funds - current year
| Tangible fixed assets Current assets Creditors due within one year |
Unrestricted funds 2022 £ 6,467 59,040 (6,545) |
Restricted funds 2022 £ - 225,914 - |
Total funds 2022 £ 6,467 284,954 (6,545) 284,876 |
|---|---|---|---|
| 58,962 | 225,914 |
Analysis of net assets between funds - prior year
| Tangible fixed assets Current assets Creditors due within one year |
Unrestricted funds 2021 £ 6,682 98,351 (1,500) |
Restricted funds 2021 £ - 246,530 - |
Total funds 2021 £ 6,682 344,881 (1,500) 350,063 |
|
|---|---|---|---|---|
| 103,533 | 246,530 |
18. Operating lease commitments
At 31 March 2022 the total of the Charity’s future minimum lease payments under non-cancellable operating leases was:
| Amounts payable: Within 1 year Between 1 and 5 years Total |
2022 £ 16,656 7,092 |
2021 £ 16,656 23,748 |
|---|---|---|
23,748 |
40,404 |
Page 23
HYPO HOUNDS CIO
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
19. Related party transactions
During the year ended 31 March 2022, the charity paid consultancy fees totalling £Nil (2021: £3,000) to the Chief Executive Officer for services provided to the charity for dog training and overseeing the day to day operations of the charity. Since June 2020, the Chief Executive Officer has been a salaried employee of the charity.
The Chief Executive Officer is considered to be a member of key management personnel.
There were no other related party transactions.
Page 24