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2023-03-31-accounts

Bulky Bob's

(A Company Limited by Guarantee)

Annual Report and Financial Statements

Year Ended

31 March 2023

Registered Number 09948123 Registered in England and Wales

Charity Number 1167068

Bulky Bob's

Report and financial statements for the year ended 31 March 2023

Contents

1

Bulky Bob's

Company information for the year ended 31 March 2023

Company Number 09948123 (England and Wales)
Charity Number 1167068
Directors E Bichard
J Vernon
J Hines
N Spruyt
Secretary C Williamson
Chief Executive S Doran
Registered office 12-14 Atlantic Way
Brunswick Business Park
Liverpool
L3 4BE
Bankers Natwest Bank
Union Street
Chester
CH1 1UA
Auditors Crowe U.K. LLP
The Lexicon
Mount Street
Manchester
M2 5NT
Solicitors Brabners
Horton House
Exchange Flags
Liverpool
L2 3YL

2

Bulky Bob's

Directors' report for the year ended 31 March 2023

The directors, who are also trustees for the purposes of charity law, present their report and financial statements for the year ended 31 March 2023.

Our aims, objectives and activities

Purposes and Aims

Bulky Bob’s was incorporated on 12 January 2016 as Bulky Bob’s 2015 and was registered as a charity on 12 May 2016 (charity number 1167068).

Ensuring our work delivers our aims

Our trustees review the aims, objectives and activities each year.

We refer to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set.

The focus of our work

Bulky Bob’s has contracts with Local Authorities for the collection of bulky household waste from the general public. Wherever possible, furniture collected through this service is refurbished and is either sold at a low price or donated to people who need it in order to relieve furniture poverty. In addition, Bulky Bob’s provides salaried training and development opportunities in logistics to formerly long-term unemployed people or people on relatively low income.

3

Bulky Bob's

Directors' report

for the year ended 31 March 2023 (continued)

Our aims, objectives and activities (continued)

How our activities deliver public benefit

The charitable activities of Bulky Bob’s focus on the promotion of waste reduction and recycling by running bulky household waste collection services and by ensuring that furniture collected is refurbished and then either sold at a low price or donated to people who need it in order to help relieve furniture poverty. In addition, Bulky Bob’s provides training and education to formerly long-term unemployed people or people on relatively low income.

Who used and benefited from our services

During the year, the charity provided bulky household waste collection services to residents in Liverpool and Oldham. In addition, bed bases and mattresses were refurbished before being sold at a low price or donated to people who need them.

Achievements and Performance

Despite the cessation of the Bulky Bob’s contract for the collection, recycling and reuse of bulky household furniture in Liverpool ending on 7 November 2022, which reduced income by 37%, this was partially offset by increased income in Oldham by 12%.

We were successful in February 2023 with a tender in Oldham that combined the Bulky Bob’s contract for the collection, recycling and reuse of bulky household furniture with the Local Welfare Provision, increasing our activity as we head into FY23/24 to be able to provide more pre-loved furniture to people in the area under the Local Welfare Provision scheme.

Financial Review

The deficit in the year ended 31 March 2023 was £2,405 (2022 - £10,295 surplus) after a bad debt provision of £7,271.63 in relation to a debt over 180 days old for which we continue to pursue. Included in this position is a donation of £305,000 (2022 - £210,000) from Furniture Resource Centre Limited, the sole member of the charity.

Going Concern

The trustees have reviewed the financial projections for the charity and also considered the availability of resources from Furniture Resource Centre Limited, a charity which is the sole member of Bulky Bob’s and have concluded that it is appropriate to prepare the accounts on a going concern basis.

Furniture Resource Centre Limited has confirmed its intention to provide any necessary financial support to the charity for a period of at least 12 months from the approval of the financial statements.

Principal Risks

The risks to which the charity is exposed are reviewed and rated every quarter with actions to mitigate these risks continually being evaluated. The key risks faced by the charity include:

Risk Mitigation
Reduction in spend by
Councils due to the
challenging financials		 •
Improved credit control processes to ensure customers pay within terms
Availability of pre-loved
furniture decreases through
contract changes or loss\of
contracts that provide pre-
Ioved furniture		 •
Identification of alternative sources of pre-loved furniture
•
Continued development of innovative ideas to refurbish pre-loved furniture
e.g. mattress cleaning machine
•
Work with Local Authority customers to develop services that utilise pre-
loved furniture to address furniture poverty

4

Bulky Bob's

Directors' report

for the year ended 31 March 2023 (continued)

The directors are satisfied that reasonable steps have been taken to identify all risks to which the charity is exposed and that action has been taken to mitigate these risks where necessary.

Plans for the Future

Bulky Bob’s contract for the collection, recycling and reuse of bulky household furniture in Liverpool ended on 7 November 2022 and so the service ended on that date. This service was loss-making and so the loss of this contract does not adversely affect the profitability of the charity but it will reduce the availability of furniture for reuse and so alternative ways of obtaining suitable furniture are being explored.

The charity will continue to perform bulky household waste collection services in other Local Authority areas and will look at innovative ways of reusing as much of the collected furniture as possible.

5

Bulky Bob's

Directors' report

for the year ended 31 March 2023 (continued)

Our aims, objectives and activities (continued)

Principal Funding sources

The principal funding sources are contract income from the provision of bulky household waste collection services and also recycling income.

Investment powers and policy

The charity has the power to invest monies not immediately required in investments, securities or property as may be thought fit.

Reserves policy

The trustees have considered the level of free reserves (those funds not tied up in fixed assets and restricted funds) required by the charity and consider these to be at least six months’ operational expenditure, which amounts to £600,000. In the Trustees’ view, this level of reserves should provide adequate financial stability and enable the charity to continue to meet its charitable objectives for the foreseeable future.

In arriving at this figure, the Trustees have considered potential future changes in income streams and likely future cash flow requirements. The Trustees will continue to monitor the Reserves Policy at least annually in Trustee meetings.

The charity only has free reserves of £151,503 at 31 March 2023, which is £441,225 short of the required target of £600,000. In order to increase the amount of free reserves held, the trustees are looking at ways of improving the profitability of the charity.

As at 31 March 2023, the charity holds restricted reserves of £Nil (2022 - £Nil) and total reserves of £151,503 (2022 - £153,908).

Grants and Donations

During the prior year, grants were received from the Government’s Kickstart scheme.

In addition, donations of £305,000 (2022 - £210,000) were received from Furniture Resource Centre Limited (the sole member of the charity).

The trustees would like to thank these organisations for their support during the year.

Fundraising

The charity did not actively fundraise from individuals during the year but did engage with charitable funding organisations and the Government for the receipt of charitable grants. The charity has not signed up for any voluntary fundraising standard or schemes and no complaints regarding fundraising were received.

6

Bulky Bob's

Directors' report

for the year ended 31 March 2023 (continued)

Structure, Governance and Management

Governing Document

Bulky Bob’s is a company limited by guarantee and does not have any share capital. It was incorporated on 12 January 2016 and registered as a charity on 12 May 2016 (charity number 1167068). The company is governed by its Memorandum and Articles of Association dated 18 January 2016.

Trustees

The directors of the charitable company (the charity) are its trustees for the purpose of charity law and throughout this report are collectively referred to as directors. The directors serving throughout the year are set out on page 1.

The directors are appointed by the members at the Annual General Meeting but can be co-opted by the Board, pending election, in the intervening period. Before being co-opted on to the Board, prospective Trustees are invited to attend trustee meetings as an observer in order to learn more about the charity and to meet the other trustees. During this induction process, meetings with the Chair of Trustees and senior management team will take place in order to clarify the role of the trustee and they will also have the opportunity to meet other staff by visiting different parts of the business.

Trustee training takes place whenever training needs are identified.

A Scheme of Delegation has been agreed between the trustees and the senior management team and this details which decisions the senior management team are authorised to take themselves and which decisions need to be referred to the trustees. Decisions can be taken by trustees either in trustee meetings or by e-mail if a decision is required in a more timely manner than waiting for the next trustee meeting.

All of the directors give their time voluntarily and received no benefits from the charity. Any expenses reclaimed from the charity are shown in note 7 to the accounts.

The directors who served during the year and up to the date of signing the accounts were:

E Bichard J Vernon J Hines N Spruyt (appointed 31 May 2023) L Dixon (resigned 24 May 2022) N Wilson (resigned 7 December 2022) A Rowan (resigned 31 May 2023) J Nichols (resigned 27 July 2023) E Leach (resigned 19 November 2023)

Related Parties

Furniture Resource Centre Limited (charity number 700731) is the sole member of the charity. Furniture Resource Centre Limited’s aims are to improve the lives of economically disadvantaged and socially excluded people through the provision of good quality furniture to improve living conditions and through the recruitment and training of long term unemployed individuals or individuals on relatively low income in order to assist them with finding sustainable employment.

Bulky Bob’s For Business is a charity which has Furniture Resource Centre Limited as its sole member. This charity provides an office and commercial waste collection service and provides training and development opportunities to formerly long-term unemployed people or people on relatively low income.

7

Directors' report for the year ended 31 March 2023 (continued)

Bulky Bob's

Pay and Remuneration

Salaries of key management personnel are determined by the Remuneration Committee, having regard for the average salary rates for similar jobs externally. Salaries for all posts are reviewed by the trustees from time to time by performing a benchmarking exercise against the average salary rates for similar jobs externally. An external consultancy firm is used to provide this external salary information.

Structure, Governance and Management

Code of Governance Statement

The board continue to work towards fully adopting the Charity Commission Code of Governance with those areas for improvement identified following an internal and external review. The following is a summary of those areas of compliance against the Code along with areas for improvement.

• Organisational Purpose

The charity quantifies the social value generated from its activities in order to ensure that this is as intended. The objects of the charity were last reviewed in 2023. Work is ongoing in relation to the sustainability of the charity’s income base.

• Leadership

The charity has a very strong values culture with the board regularly seeing evidence as to how well this values culture is integrated in the group. Board discussions focus on strategic issues with the role of the board being a ‘critical friend’ when providing feedback to staff, with staff encouraged to bring issues to the board for discussion. The board has a good understanding of current group structure and why this is important, having previously received expert advice from a charity lawyer. Terms of reference for all committees were updated in 2021 along with job descriptions for the role of chair and trustee. Whilst regular meetings take place between the Chair and CEO, formal appraisals are also being introduced. Attendance of trustees at the various meetings is monitored and is good with all trustees attending a majority of the meetings.

• Integrity

The board ensures that the charity operates ethically and with integrity at all times, are keen to use the Charity Commission Code of Governance as a tool to assist with improving governance in the charity and have also adopted the Nolan Principles as a code of conduct. The board manage conflicts of interest well and have agreed a formal Conflict of Interest Policy. In addition, a register of interests is maintained for all trustees and senior staff.

• Decision Making, Risk and Control

A Scheme of Delegation has been agreed between the board, committees and senior staff, which was last reviewed in 2021. Key policies and procedures are circulated to the board annually along with recommendations for changes. The board actively monitors performance against a range of targets and a risk matrix is maintained, which is reviewed by trustees at least twice a year. A meeting takes place each year between at least one trustee and the auditors with no staff present in order to obtain honest feedback following the conclusion of the annual financial audit.

Directors' responsibilities statement

8

Directors' report for the year ended 31 March 2023 (continued)

Bulky Bob's

Structure, Governance and Management

Code of Governance Statement

• Board Effectiveness

The board meets five times a year with further committee meetings also taking place. Each board meeting has a theme with the themes being finance (discussing and agreeing the annual financial and social value budget), people, social value and commercial. Other agenda items are discussed at these meetings but the theme allows for greater time to discuss that particular topic. The fifth annual board meeting has a varied agenda, which is agreed in advance. Ways of monitoring the effectiveness of the board are to be discussed. Discussions take place with potential new trustees in order to ensure that they understand the time commitment necessary and they are then invited to attend two meetings as an observer before being invited to join the board if they wish to. A third of trustees retire by rotation every three years and there is no maximum length of office although this is currently being reviewed with a maximum length of office being considered for introduction. A programme of learning and development for trustees is not currently in place but is to be discussed with a suitable programme then implemented.

• Diversity

A skills matrix has been produced which identified gaps for trustees in certain areas. Suitable trustees have been recruited with applications for trustees from diverse backgrounds encouraged. The board do not currently have any specific diversity objectives but this is to be considered by the board.

• Openness and Accountability

Stakeholders have been identified with their feedback sought as part of the production of the annual impact report. This feedback is reviewed by the board and ways of increasing this range of feedback are to be investigated. The salaries of all staff are agreed by the Remuneration Committee and are set using an external consultant to provide benchmark data showing the salaries of similar roles regionally.

Qualifying directors’ indemnity provisions

The group headed by Furniture Resource Centre held qualifying professional indemnity insurance during the year for the benefit of one or more directors in a form and scope detailed within the Companies Act 2006.

Disclosure of Information to Auditor

Each of the persons who are directors at the time when this Directors’ Report is approved has confirmed that:

Small Companies’ Exemption

In preparing this Directors' report, advantage has been taken of the small companies' exemption.

Auditor

The auditor, Crowe U.K. LLP, will be proposed for reappointment in accordance with Section 485 of the Companies Act 2006. Crowe U.K. LLP have expressed their willingness to continue in office.

9

Bulky Bob's

Directors' report

for the year ended 31 March 2023 (continued)

Statement as to disclosure of information to auditor

The directors who were in office on the date of approval of these financial statements have confirmed, as far as they are aware, that there is no relevant audit information (as defined by the Companies Act 2006) of which the auditor is unaware. Each of the directors have confirmed that they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that it has been communicated to the auditor.

Approval

This Directors' Report was approved by order of the Board on 20[th] December 2023

C Williamson

Secretary

Date: 20[th] December 2023

10

Bulky Bob's

Directors' responsibilities statement

The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period.

In preparing these financial statements, the directors are required to:

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the 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.

11

Bulky Bob's

Independent auditor's report to members of Bulky Bob’s

Opinion

We have audited the financial statements of Bulky Bob’s (‘the charitable company’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion based on the work undertaken in the course of our audit

12

Independent auditor's report to members of Bulky Bob’s (continued)

Bulky Bob's

Matters on which we are required to report by exception

In light of the knowledge and understanding of the charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 11, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and noncompliance with laws and regulations are set out below.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 2011 together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

13

Bulky Bob's

Independent auditor's report to members of Bulky Bob’s (continued)

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud. The laws and regulations we considered in this context for the UK operations were Health & Safety and Waste Carriers Regulations.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the recognition of income, the managements use of going concern assumption and the override of controls by management. Our audit procedures to respond to these risks included sample testing of income to supporting document to evidence existence and completeness, enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, reading minutes of meetings of those charged with governance and review of the managements forecasts and the assumptions use for the going concern basis.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Vicky Szulist Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor The Lexicon Mount Street Manchester M2 5NT

Date: 21st December 2023

14

Bulky Bob's

Statement of financial activities for the year ended 31 March 2023

Unrestricted Restricted Total Total
Note funds funds funds funds
2023 2023 2023 2022
£ £ £ £
Income and endowments from:
Donations and legacies 2 305,000 - 305,000 256,366
Charitable activities: -
Provision of bulky household waste
collection and recycling services 699,343 - 699,343 882,862
Mattress recycling 21,962 - 21,962 31,359
Bed base refurbishment 27,930 - 27,930 49,233
Other income 2,997 - 2,997 1,673
Total charitable activities 752,232 - 752,232 965,127
Total 1,057,232 - 1,057,232 1,221,493
Expenditure on:
Charitable activities:
Provision of bulky household waste
collection and recycling services 879,342 - 879,342 1,020,343
Mattress recycling 108,722 - 108,722 102,022
Bed base refurbishment 71,377 - 71,377 88,754
Other expenditure 196 - 196 79
Total charitable activities 3 1,059,637 1,059,637 1,211,198
Total resources expended 1,059,637 1,059,637 1,211,198
Net resources before transfers (2,405) - (2,405) 10,295
Net (outgoing)/incoming resources (2,405) - (2,405) 10,295
Balance brought forward at 1 April 153,908 - 153,908 143,613
Balances carried forward at
31 March 151,503 - 151,503 153,908

The notes on pages 18 to 30 form part of these financial statements.

15

Bulky Bob's

Balance sheet as at 31 March 2023

Company Registration Number 09948123 Charity Registration Number 1167068

Note 2023 2023 2022 2022
£ £ £ £
Fixed assets
Tangible assets 9 20,260 34,598
Current assets
Stock 10 4,167 3,635
Debtors: amounts falling due
within one year 11 155,482 275,152
Cash at bank and in hand 53,532 29,173
220,453 307,960
Creditors: amounts falling due
within one year 12 (81,938) (188,650)
Net current assets 131,243 119,310
Net assets 151,503 153,908
Funds
Unrestricted 151,503 153,908
Restricted - -
Total funds 15 151,503 153,908

The financial statements were approved by the Board of Directors and authorised for issue on 20[th] December 2023 and signed on their behalf by:

N Spruyt Chair

The notes on pages 18 to 30 form part of these financial statements.

16

Bulky Bob's

Cash flow statement for the year ended 31 March 2023

Note
Cash flows from operating activities:
Inflow/outflow from operations
20
Net cash inflow/(outflow) from operating activities
Cash flows from investing activities:
(Purchase of) fixed assets
Net cash inflow/(outflow) from investing activities
Increase/(decrease) in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2023
£
28,120
28,120
(3,761)
(3,761)
24,359
29,173
53,532		 2022
£
(28,175)
(28,175)
(4,023)
(4,023)
(32,198)
61,371
29,173

The charity has no external debt and so does not produce a net debt reconciliation.

The notes on pages 18 to 30 form part of these financial statements.

17

Notes forming part of the financial statements for the year ended 31 March 2023

Bulky Bob's

1 Accounting policies

a) General Information

Bulky Bob’s is a private charitable company limited by guarantee, incorporated in England and Wales under the Companies Act 2006 and the Charities Act 2011. The address of the registered office is shown on the company information page. The nature of the company’s operating and financial activities are outlined in the Directors’ Report.

b) Basis of preparation

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 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” (The Charities SORP 2nd Edition) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 and the Charities Act 2011.

The trustees confirm that the charity meets the definition of a public benefit entity under FRS 102.

The financial statements are prepared in pounds sterling, which is the functional currency of the charity, and are rounded to the nearest £.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the accounting policies (see accounting policy (l)).

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

c) Going concern

The charity commenced trading on 1 April 2017 when the contracts, assets and liabilities of Bulky Bob’s Limited were transferred to it at book value. The financial position on pages 15 to 30 demonstrates that the charity is operating within its available cash funds and has net current assets at the year end. The trustees believe the charity is well placed to manage its business risk despite the difficult economic climate. After reviewing financial projections for the charity, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The trustees have concluded that it is appropriate to prepare the accounts on a going concern basis.

Furniture Resource Centre Limited has confirmed its intention to provide any necessary financial support to the charity for a period of at least 12 months from the approval of the financial statements.

d) Incoming resources

Voluntary income and donations are included in income when there is entitlement, probability of receipt, and the amount can be measured with sufficient reliability, unless the donor has specified that certain pre-conditions must be fulfilled before use. In these cases amounts received are recognised in the relevant period or when the pre-conditions have been met and until then treated as deferred income. Donations and grants for particular purposes are included as income in restricted funds.

All other income is accounted for on an accruals basis when the charity is legally entitled to receipt.

Income from charitable activities includes income received under contract, which is recognised as the related goods and services are provided.

Income from grants receivable which support people development is credited to the income and expenditure account in the period to which the grants relate.

18

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

1 Accounting policies (continued)

e) Resources expended

Resources expended are included in the Statement of Financial Activities on an accruals basis. Expenditure is directly attributable to specific activities and has been included in those cost categories.

Charitable activities include expenditure associated with the provision of bulky household waste collection services, logistics services and other recycling services to Local Authorities and other customers. Also included are the costs of providing training programmes to socially excluded individuals. These include both the direct costs and support costs relating to those activities.

Governance costs include those incurred in the governance of the charity and its assets and are primarily associated with constitutional and statutory requirements.

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources. Staff costs, governance and general office costs are apportioned based on income. People development costs and ICT costs are allocated from Furniture Resource Centre Limited based on staff numbers and number of PCs respectively. Leadership and finance costs are also allocated from Furniture Resource Centre Limited and reflect the actual cost of the time spent by certain staff members.

f) Irrecoverable VAT

Irrecoverable VAT is charged against the category of resources expended for which it was incurred.

g) Operating leases

Where the charity is a lessee, rentals applicable to operating leases, where substantially all of the benefits and risks of ownership remain with the lessor, are included in ‘resources expended’ on a straight line basis over the term of the lease.

h) Tangible fixed assets and depreciation

Tangible fixed assets for use by the group are stated at cost less depreciation subject to impairment review in accordance with FRS 102.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Improvements to leasehold property - 10% on cost Plant and machinery - 10%-25% on cost Fixtures, fittings and equipment - 25% on cost Computer equipment - 20%-33% on cost

i) Pension costs

The charity operates a defined contribution pension scheme which all employees are eligible to join. The assets of the scheme are held separately from those of the company in an independently administered fund.

Contributions in respect of the charity’s Group Personal Pension Plan are included in ‘resources expended’ for the year in which they are payable to the scheme.

j) Funds structure

The charity’s funds consist of unrestricted and restricted amounts. The charity may use unrestricted amounts at its discretion. Restricted funds represent income contributions which are restricted to a particular purpose, in accordance with the donor’s wishes.

19

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

1 Accounting policies (continued)

k) Financial instruments

Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are initially measured at transaction price (including transaction costs). 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.

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

Creditors and provisions are recognised where the charity has a present obligation resulting 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 normally recognised at their settlement amount after allowing for any trade discounts due.

l) Judgements in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements, the directors have made the following judgements:

Other key sources of estimation uncertainty:

20

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

2 Donations and legacies

Unrestricted
Restricted
funds
funds
£
£
Furniture Resource
Centre Limited
305,000
-
Coronovirus Job
Retention Scheme
Grant
-
-
Kickstart Grant
-
-
Total donations and
legacies
305,000
-
3
Charitable
activities
Direct
costs
Support
£
£
Provision of bulky
household collection
and recycling
services
765,275
114,067
Mattress recycling
100,487
8,235
Bed base
refurbishment
58,693
12,684
Other
-
196
Total charitable
activities
924,455
135,182		 Total
Unrestricted
2023
funds
£
£
305,000
210,000
-
5,964
-
-
305,000
215,964
Total
Direct
2023
costs
£
£
879,342
896,344
108,722
95,370
71,377
77,317
196
-
1,059,637
1,069,031		 Restricted
Total
funds
2022
£
£
-
210,000
-
5,964
40,402
40,402
40,402
256,366
Total
Support
2022
£
£
123,999
1,020,343
6,652
102,022
11,437
88,754
79
79
142,167
1,211,198

The charity had expenditure in the year of £1,059,637 (2022 - £1,211,198) of which £1,059,637 (2022 - £1,170,796) was unrestricted and £Nil (2022 - £40,402) was restricted.

21

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

4 Direct costs

Provisio n of bulky
Househ old waste
Recycling services
£
Cost of sales
-
Disposal cost
89,409
Staff costs
370,809
Vehicle costs
152,434
Property costs
82,245
Depreciation
10,125
Other costs
60,253
765,275
Provisio n of bulky
Househ old waste
Recycling services
£
Cost of sales
-
Disposal cost
79,908
Staff costs
484,924
Vehicle costs
170,729
Property costs
35,194
Depreciation
13,322
Other costs
112,267
896,344		 Mattress
Bed base
recycling
refurbishment
£
£
1,460
13,682
14,813
-
27,161
26,514
668
41
24,793
16,529
1,768
368
29,824
1,559
100,487
58,693
Mattress
Bed base
recycling
refurbishment
£
£
1,636
15,830
8,928
-
43,147
47,123
-
-
10,356
10,356
2,904
368
28,399
3,640
95,370
77,317		 Total
2023
£
15,142
104,222
424,484
153,143
123,567
12,261
91,636
924,455
Total
2022
£
17,466
88,836
575,194
170,729
55,906
16,594
144,306
1,069,031

5 Allocation of support costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources (see note 2).

Provision of bulky
Household waste
Recycling services
£
Staff costs
14,829
Governance
5,811
People development
27,090
Leadership, Finance and IT
41,349
General office
24,988
114,067		 Mattress
Bed base
recycling
refurbishment
£
£
466
592
182
232
4,872
4,466
1,930
6,396
785
998
8,235
12,414		 Other
£
64
25
-
-
107
167		 Total
2023
£
15,951
6,250
36,428
49,675
26,878
135,182

22

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

5 Allocation of support costs (continued)

Provision of bulky
Household waste
Mattress
Bed base
Recycling services
recycling
refurbishment
Other
£
£
£
£
Staff costs
25,867
919
1,443
49
Governance
2,744
97
153
5
People development
28,206
4,264
1,777
-
Leadership, Finance and IT
54,142
909
7,337
-
General office
13,040
463
727
25
123,999
6,652
11,437
79
Governance costs
2023
£
Audit
3,000
Accountancy
3,250
6,250
Analysis of staff costs and the cost of key management personnel
2023
£
Staff costs:
Wages and salaries
396,775
Social Security costs
30,250
Pension costs
13,380
440,405		 Total
2022
£
28,278
2,999
34,247
62,388
14,255
142,167
2022
£
3,000
-
3,000
2022
£
554,571
33,587
15,312
603,470

6 Analysis of staff costs and the cost of key management personnel

No employees had emoluments (excluding pension contributions) of more than £60,000 in the year (2022 - £60,000).

The key management personnel of the charity are the trustees. The Chief Executive and other senior managers are employed by Furniture Resource Centre Limited with appropriate recharges made to the charity for their time.

The total employee cost of the key management personnel was £Nil (2022 - £Nil).

During the year, redundancy costs of £10,399 (2022 - £5,512) were paid by the charity, of which £Nil (2022 - £Nil) was outstanding at year end.

23

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

6 Staff costs (continued)

The average number of employees analysed by function, was:

Collection, recycling and reuse of unwanted furniture
Retail for Furniture Resource Centre Limited		 2023
2022
Number
Number
19
22
1
1
20
23

7 Trustee remuneration and related party transactions

No travel costs were reimbursed to trustees during the year (2022 - £Nil).

No trustee or other person related to the charity had any personal interest in any contract or transaction entered into by the charity during the year (2022 - £Nil).

8 Net incoming resources for the year

Net incoming resources for the year
2023 2022
£ £
This is stated after charging:
Auditors’ remuneration: Audit services 3,000 3,000
Depreciation 8,026 16,594
Loss on disposal of fixed assets - 52
Operating lease rentals 198,725 168,246

24

Bulky Bob's

Notes forming part of the financial statements

for the year ended 31 March 2023 (continued)

9 Tangible fixed assets

Improvements
Fixtures,
to leasehold
Plant and
fittings and
Computer
property
machinery
equipment
equipment
£
£
£
£
Cost
At 1 April 2022
18,612
56,922
15,543
3,993
Additions
1,175
-
2,586
-
Disposals
(4,638)
(1,826)
(2,955)
(880)
At 31 March 2023
15,149
55,096
15,174
3,113
Depreciation
At 1 April 2022
6,232
41,628
9,506
3,106
Charge for the
year
1,829
6,727
3,054
653
Disposals
(825)
(1,098)
(1,660)
(880)
At 31 March 2023
7,236
47,257
10,900
2,879
Net book value
At 31 March 2023
7,913
7,839
4,274
234
At 31 March 2022
12,380
15,294
6,037
887		 Total
£
95,070
3,761
(10,299)
88,532
60,472
12,263
(4,463)
68,272
20,260
34,598

All tangible fixed assets are used for or to support charitable purposes

10 Stock

Stock of raw materials

2023 2022
£ £
4,167 3,635

25

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

11 Debtors

Trade debtors
Prepayments and accrued income
Amount owed by Bulky Bob's For Business
Amount owed by Furniture Resource Centre Limited
Other debtors		 2023
2022
£
£
132,916
233,711
9,025
31,590
7,903
2,562
-
4,951
5,638
2,338
162,754
275,152

12 Creditors: amounts falling due within one year

Trade creditors
Amount owed to Furniture Resource Centre Limited
Other taxes and social security
Accruals and deferred income
Other creditors		 2023
2022
£
£
30,510
31,380
11,705
-
3,329
37,564
34,718
115,966
1,676
3,740
81,938
188,650

Amounts owed to group companies are interest free and repayable on demand.

13 Deferred income

Deferred income comprises income received in advance of delivery of service or provision of training.

Balance at 1 April 2022
Amount released to incoming resources
Balance at 31 March 2023		 Charity
£
93,713
(93,713)
-

26

Bulky Bob's

Notes forming part of the financial statements

for the year ended 31 March 2023 (continued)

14 Restricted funds

Balance at Movement in in Balance at
1 April resources 31 March
2022 Incoming Outgoing 2023
£ £ £ £
Unrestricted
153,908		 1,057,232 1,059,637 151,503
There were no restricted funds in the year ended 31 March 2023.
Balance at Movement in Balance at
1 April resources 31 March
2021 Incoming Outgoing 2022
£ £ £ £
Restricted: Kickstart grant
-		 40,402 (40,402) -
Unrestricted
143,613		 1,181,091 (1,170,796) 153,908
143,613 1,221,493 (1,211,198) 153,908

The kickstart grant represents funds received and used for funding for staff development and training.

15 Analysis of net assets between funds

Unrestricted funds
Restricted funds
Net assets		 Net
Fixed
current
2023
assets
assets
Total
£
£
£
20,260
131,243
151,503
-
-
-
20,260
131,243
151,503		 Fixed
assets
£
34,598
-
34,598		 Net
current
2022
assets
Total
£
£
119,310
153,908
-
-
119,310
153,908

27

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

16 Operating lease commitments

At 31 March 2023, the commitments under non-cancellable operating leases are as follows:

Charity
Expiry within:
Under one year
Two to five years		 Land and
buildings
£
43,155
10,789
53,944		 Other
£
-
-
-		 Total
2023
£
43,155
10,789
53,944		 Land and
buildings
£
47,995
52,385
100,380		 Other
£
25,443
3,194
28,637		 Total
2022
£
73,438
55,579
129,017

17 Pension commitments

The charity operates a defined contribution pension scheme which all employees are eligible to join. The assets of the scheme are held separately from those of the charity in an independently administered fund. Contributions are paid based upon the recommendations of a qualified actuary. The annual contributions under this scheme were £13,380 (2022 - £15,312) and contributions amounting to £1,376 (2022 - £3,145) were payable to the fund at 31 March 2023 and are included in creditors.

18 Related parties

In the year ended 31 March 2023, the following transactions took place between Bulky Bob’s and Furniture Resource Centre Limited, a charity which is the sole member of Bulky Bob’s 2015.

Transactions from Furniture Resource Centre Limited to Bulky Bob’s:

Transactions from Bulky Bob’s to Furniture Resource Centre Limited:

The amount owed by Furniture Resource Centre Limited to Bulky Bob's at 31 March 2023 was £Nil (2022 - £4,951). The amount owed by Bulky Bob’s to Furniture Resource Centre Limited at 31 March 2023 was £11,705 (2022 - £Nil).

28

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

18 Related parties (continued)

In the year ended 31 March 2023, the following transactions took place between Bulky Bob’s and Bulky Bob’s For Business, a charity for which Furniture Resource Centre Limited is also its sole member.

Transactions from Bulky Bob’s to Bulky Bob’s For Business:

Transactions from Bulky Bob's For Business to Bulky Bob’s:

The amount owed by Bulky Bob’s For Business to Bulky Bob’s at 31 March 2023 was £7,903 (2022 - £2,562).

19 Capital commitments

There were no capital commitments at 31 March 2023 (2022 - £Nil).

20 Reconciliation of net incoming resources to net cash flow from operating activities

Net incoming resources for the year
Depreciation
Loss on disposal of fixed assets
(Increase) in stock
Decrease/(increase) in debtors
(Decrease)/increase in creditors
(Reduction in cash) from operations		 2023
£
(2,405)
12,263
5,836
(532)
119,670
(106,712)
28,120		 2022
£
10,295
16,594
52
(235)
(117,162)
62,281
(28,175)

21 Parent Company

The immediate and ultimate parent company is Furniture Resource Centre Limited, which is registered in England and Wales and has registered address of Atlantic Way, Brunswick Business Park, Liverpool, L3 4BE. It is also a charity (registered charity number 700731, company number 02296329). Copies of the financial statements are publicly available and can be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ. The parent company exercises control via the right to appoint and remove directors. The principal purposes and activities of Furniture Resource Centre Limited are as follows:

29

Bulky Bob's

Notes forming part of the financial statements for the year ended 31 March 2023 (continued)

22
Comparative information
Un restricted
Restricted
Funds
Funds
2022
2022
£
£
Income and endowments from:
Donations and legacies
215,964
40,402
Charitable activities:
Provision of bulky household waste collection and
recycling services
882,862
-
Mattress recycling
31,359
-
Bed base refurbishment
49,233
-
Other income
1,673
-
Total charitable activities
965,127
-
Total
1,181,091
40,402
Expenditure on:
Charitable activities:
Provision of bulky household waste collection and
recycling services
979,941
40,402
Mattress recycling
102,022
-
Bed base refurbishment
88,754
-
Other expenditure
79
-
Total charitable activities
1,170,796
40,402
Total resources expended
1,170,796
40,402
Net resources before transfers
10,295
-
Net incoming resources
10,295
-
Balance brought forward at 1 April
143,613
-
Balances carried forward at 31 March
153,908
-		 Total
Funds
2022
£
256,366
882,862
31,359
49,233
1,673
965,127
1,221,493
1,020,343
102,022
88,754
79
1,211,198
1,211,198
10,295
10,295
143,613
153,908

30