**Charity Registration No. 1167974**
**Company Registration No. 03916937 (England and Wales)**
# **THE FAITH HOPE & ENTERPRISE COMPANY LTD ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2022**
## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
## **Trustees**
Mr N T Gregory Mr J Khan Miss C S McKen Mrs P M Munro Mr I Johnson
**Secretary** Mr K D Gill **Charity number** 1167974 **Company number** 03916937 **Registered office** Office 47 Eurocom House Derby West Business Centre Ashbourne Road Derby United Kingdom DE22 4NB
**Independent examiner**
Azets 2 Regan Way Chetwynd Business Park Chilwell Nottingham United Kingdom NG9 6RZ
## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 2|
|Independent examiner's report|3|
|Statement of financial activities|4|
|Balance sheet|5|
|Notes to the financial statements|6 - 12|
## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
The trustees present their report and financial statements for the year ended 31 March 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's [governing document], the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".
## **Objectives and activities**
FHE exists to provide housing to people in Derby and Derbyshire who currently need support living in the community, sometimes as a result of drug and alcohol related needs, mental health needs, learning disability or a combination of these factors. Our long-term goal is to help all our residents move towards living in more independent accommodation.
## **Achievements and performance**
This has been a year of development as we re-emerge from the pandemic. We are fortunate to continue to work with an excellent staff team. All have taken on new responsibilities and some have extended their hours. We now offer accommodation for 41 people. The end of restrictions on meeting socially in summer 2021 has enabled us to resume face-to-face work wherever possible. COVID-19 has not gone away and staff and residents have continued to test regularly, isolate and work remotely when necessary.
Thanks to grant income from The Community Fund, Foundation Derbyshire and the European Social Fund, we have supported people to improve their life skills, move closer to employment and participate in social activities which have reduced the isolating impact of Covid-19.
This has enabled 7 people to move on into independent living and 2 residents have moved on having found employment in the past year.
Residents have also had the opportunity to improve cooking skills by learning to cook new dishes with fresh ingredients, take part in 5 aside football, explore the cycle trails of the Peak District, experience paintballing, discover local parks, participate in a local community garden scheme and play pool together.
## **Financial review**
We have continued to grow our property portfolio, completing the purchase of a four bedroom house in April 2021. In March, we received a capital grant for the purchase of 4 new flats in Ashbourne which we hope to complete early in the coming financial year and at the same time have been able to grow our reserve fund in accordance with our aspirational policy.
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
Our Chief Executive Kevin Gill remains in overall charge of the day-to-day running of the organisation, with a team of four dedicated support workers, an administrator, and two maintenance workers.
Staff-wellbeing has been a priority this year. In addition to our existing focus on supervision and training we have provided access to a counselling service to enable support workers to have time and space away from the charity to talk about their role and the impact it has on them.
As Covid-19 restrictions have lifted, we have begun to hold regular house meetings again, where residents have the opportunity to feedback on the support they receive and issues around their accommodation.
Feedback from our residents is very important to us. Two who have moved on into employment and independent living this year had this to say:
_“I just want to say thank you very, very much for everything Faith Hope and Enterprise has done for me. It means ever so much. I feel like my life has gone from being a mess 6 years ago to being together now.”_
_“The support from the team has been excellent, positive and helpful. I think Faith Hope and Enterprise gave me a good platform in life.”_
It continues to be a privilege to be a part of a charity that is helping people to make such progress in their lives.
## **Structure, governance and management**
The charity is a company limited by guarantee .
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Mr N T Gregory Mr P Hay (Resigned 1 December 2021) Mr J Khan Miss C S McKen Mrs P M Munro Mr I Johnson
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The trustees' r eport was approved by the Board of Trustees.
## **Mrs P M Munro**
Trustee Dated: 18 May 2022
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF THE FAITH HOPE & ENTERPRISE COMPANY LTD**
I report to the trustees on my examination of the financial statements of The Faith Hope & Enterprise Company Ltd (the charity) for the year ended 31 March 2022.
## **Responsibilities and basis of report**
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . 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**
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of , which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act 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; or
- 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Azets
2 Regan Way Chetwynd Business Park Chilwell Nottingham NG9 6RZ United Kingdom
Dated: 18 May 2022
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2022**
**2022**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
28,739
171,768
Investments
**4**
453,084
-
**Total income**
481,823
171,768
**Expenditure on:**
Charitable activities
**5**
220,825
38,928
Other
**8**
193,785
-
**Total resources**
**expended**
414,610
38,928
**Net income for the year/**
**Net movement in funds**
67,213
132,840
Fund balances at 1
April 2021
71,061
27,160
**Fund balances at 31**
**March 2022**
138,274
160,000|**Total**Unrestricted
Restricted
funds
funds
**2022**
2021
2021
**£**
**£**
**£**
200,507
34,889
9,026
453,084
396,332
-
653,591
431,221
9,026
259,753
245,085
-
193,785
177,869
-
453,538
422,954
-
200,053
8,267
9,026
98,221
62,794
18,134
298,274
71,061
27,160|Total
2021
**£**
43,915
396,332
440,247
245,085
177,869
422,954
17,293
80,928
98,221|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2022**_
|**Notes**
**Fixed assets**
Tangible assets
**9**
Investments
**10**
**Current assets**
Debtors
**11**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**13**
Net current assets
**Total assets less current liabilities**
**Creditors: amounts falling due after**
**more than one year**
**14**
**Net assets**
**Income funds**
Restricted funds
Unrestricted funds|**2022**
**£**
**£**
444,481
10
444,491
6,796
207,894
214,690
(20,772)
193,918
638,409
(340,135)
298,274
160,000
138,274
298,274|**2021**
**£**
**£**
337,677
10
337,687
3,117
61,639
64,756
(2,688)
62,068
399,755
(301,534)
98,221
27,160
71,061
98,221|
|---|---|---|
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2022.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on 18 May 2022
Mrs P M Munro
**Trustee**
## **Company Registration No. 03916937**
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**THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **Charity information**
The Faith Hope & Enterprise Company Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Office 47 Eurocom House, Derby West Business Centre, Ashbourne Road, Derby, DE22 4NB, United Kingdom.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
## **1.5 Expenditure**
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**THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
**(Continued)**
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Land and buildings 0% on cost Fixtures, fittings & equipment 15% on cost Motor vehicles 25% on cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## **1.7 Fixed asset investments**
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year . Transaction costs are expensed as incurred.
A subsidiary is an entity controlled by the charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
## **1.8 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
## **1.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## **1.10 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
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**THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **(Continued)**
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.
## **2 Critical accounting estimates and judgements**
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.
## **3 Donations and legacies**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2022**
**2022**
**£**
**£**
Donations and gifts
26,951
1,785
Grants
1,788
169,983
28,739
171,768|**Total**Unrestricted
Restricted
funds
funds
**2022**
2021
2021
**£**
£
£
28,736
6,167
900
171,771
28,722
8,126
200,507
34,889
9,026|Total
2021
£
7,067
36,848
43,915|
|---|---|---|
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **4 Investments**
||**Unrestricted**|Unrestricted|
|---|---|---|
||**funds**|funds|
||**2022**|2021|
||**£**|£|
|Rental income|453,063|396,292|
|Interest receivable|21|40|
||453,084|396,332|
|**Charitable activities**|||
||**2022**|
**2021**|
||**£**|
**£**|
|Property|38,928|
1|
|Property|220,825|
245,084|
||259,753|
245,085|
||259,753|
245,085|
|**Analysis by fund**|||
|Unrestricted funds|220,825|
245,085|
|Restricted funds|38,928|
-|
||259,753|
245,085|
## **5 Charitable activities**
## **6 Trustees**
None of the trustees (or any persons connected with them) received any remuneration during the year.
## **7 Employees**
The average monthly number of employees during the year was:
|**2022**|**2021**|
|---|---|
|**Number**|**Number**|
|11|11|
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **8 Other**
||**Unrestricted**|Unrestricted|
|---|---|---|
||**funds**|funds|
||**2022**|2021|
|Governance Costs|193,785|177,869|
||193,785|177,869|
## **9 Tangible fixed assets**
|**Cost**
At 1 April 2021
Additions
Disposals
At 31 March 2022
**Depreciation and impairment**
At 1 April 2021
Depreciation charged in the year
Eliminated in respect of disposals
At 31 March 2022
**Carrying amount**
At 31 March 2022
At 31 March 2021|**Land and**
**buildings**
**Fixtures,**
**fittings &**
**equipment**
**Motor vehicles**
**£**
**£**
**£**
337,677
200
8,400
91,323
-
16,154
-
-
(8,400)
429,000
200
16,154
-
200
8,400
-
-
673
-
-
(8,400)
-
200
673
429,000
-
15,481
337,677
-
-|**Total**
**£**
346,277
107,477
(8,400)
445,354
8,600
673
(8,400)
873
444,481
337,677|
|---|---|---|
## **10 Fixed asset investments**
||**Other**|
|---|---|
||**investments**|
|**Cost or valuation**||
|At 1 April 2021 & 31 March 2022|10|
|**Carrying amount**||
|At 31 March 2022|10|
|At 31 March 2021|10|
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**10**
**Fixed asset investments**
Other investments comprise:
**Notes**
Investments in subsidiaries
**17**
**11**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Amounts owed by subsidiary undertakings
Prepayments and accrued income
**12**
**Loans and overdrafts**
Other loan
Mortgages and bank loans
Other loans
Payable within one year
Payable after one year|**(Continued)**
**2022**
**2021**
**£**
**£**
10
10
**2022**
**2021**
**£**
**£**
5,474
2,967
400
150
922
-
6,796
3,117
**2022**
**2021**
**£**
**£**
19,703
34,036
320,432
267,498
14,924
-
355,059
301,534
14,924
-
340,135
301,534|
|---|---|
The other loans are unsecured, interest free with Jubilee Church, and a separate, interest free, unsecured loan with R Prince.Bank loans are secured on the freehold property.
|**13**
**Creditors: amounts falling due within one year**
Borrowings
Other taxation and social security
Trade creditors
Accruals and deferred income|**2022**
**£**
14,924
3,498
400
1,950
20,772|**2021**
**£**
-
-
-
2,688
2,688|
|---|---|---|
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## **THE FAITH HOPE & ENTERPRISE COMPANY LTD**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **14 Creditors: amounts falling due after more than one year**
|**Notes**
Bank loans
**12**
Other borrowings
**Analysis of net assets between funds**
**Unrestricted**
**funds**
**Restricted**
**Total**Unrestricted
funds
**2022**
**2022**
**2022**
2021
**£**
**£**
**£**
£
Fund balances at 31
March 2022 are
represented by:
Tangible assets
444,481
-
444,481
337,677
Investments
10
-
10
10
Current assets/
(liabilities)
193,918
-
193,918
62,068
Long term liabilities
(340,135)
-
(340,135)
(301,534)
298,274
-
298,274
98,221|**2022**
**2021**
**£**
**£**
320,432
267,498
19,703
34,036
340,135
301,534
Restricted
Total
2021
2021
£
£
-
337,677
-
10
-
62,068
-
(301,534)
-
98,221|
|---|---|
## **15 Analysis of net assets between funds**
## **16 Related party transactions**
There were no disclosable related party transactions during the year (2021 - none) .
## **17 Subsidiaries**
These financial statements are separate charity financial statements for The Faith Hope & Enterprise Company Ltd
Details of the charity's subsidiaries at 31 March 2022 are as follows:
**Name of undertaking Registered Nature of business Class of % Held office shares held Direct Indirect** Taylor Made Housing td UK Dormant Ordinary 100.00
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