**Charity registration number 1171635**
**Company registration number 10232376 (England and Wales)**
## **THE HOWARTH FOUNDATION**
## **FINANCIAL STATEMENTS**
**31 JANUARY 2024**
**Calvert Dawson Ltd** 288 Oxford Road Gomersal Cleckheaton West Yorkshire BD19 4PY
## **THE HOWARTH FOUNDATION**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees report|1 - 3|
|Independent examiner's report|4|
|Statement of financial activities|5|
|Balance sheet|6|
|Notes to the financial statements|7 - 12|
## **THE HOWARTH FOUNDATION**
## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
The trustees present their annual report and financial statements for the year ended 31 January 2024.
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 foundation's constitution, 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**
The prevention or relief of poverty in respect of individuals who are, or who have recently been, homeless in the districts of Leeds Kirklees and Calderdale, by actively sourcing employers willing to offer employment and by providing those individuals with support and guidance, as to be determined by the trustees, to successfully obtain such employment.
The charitable company will raise funds through corporate and personal donations and from other fundraising activities to:
- Support, mentor and facilitate the recovery and rehabilitation of individual long and short term homeless, both juvenile and adult, living rough on the streets, recently rehoused, sofa surfers or individuals in temporary accommodation in the Leeds and Kirklees area.
- Develop displaced persons by identifying and supporting individuals to recognise their own potential and providing the confidence, care and financial backing to return to, or enter into, satisfying and fulfilling employment through retraining and rehabilitation.
- To help source a potential employer willing to offer the opportunity of rehabilitation and self-sufficiency through employment.
To achieve these main objects the charity will:
- Provide one-to-one literacy support
- Provide training and expertise in job seeking and interview capability
- Work with other local homeless charities to identify potential clients
- Work with local employer's in facilitating placements and/or training
- Help obtaining any available local authority assistance
- Support and sponsor temporary accommodation
- Provide suitable attire for job interviews
- Cover the costs of travel expenses for the purpose of attending interviews and the first month of employment (where necessary)
- Provide one-to-one support during placements
- Provide support during employment with advice and guidance
## **Public benefit**
The trustees have reviewed the charitable company's objectives and aims and confirm that these are identifiably for the public benefit as required by the Charity Commission. This benefit predominantly falls within the recognised charitable purpose of:
- the prevention or relief of poverty
Further public benefit is achieved to a lesser extent in the work carried out by the charity to achieve through the following recognised charitable purpose:
- the advancement of health
- the advancement of citizenship or community development
- the advancement of human rights, conflict resolution or reconciliation or the promotion of religious or racial harmony or equality and diversity
- the relief of those in need by reason of age, youth, ill health, disability, financial hardship or other disadvantages.
## **Grantmaking**
The charitable company does not make grants, though small amounts are paid to or on behalf of clients, usually for travel costs, meals or to provide suitable work attire, at the discretion of the trustees.
- 1 -
## **THE HOWARTH FOUNDATION**
## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **Achievements and performance Business Building Futures**
BBF is an initiative set up by the charity and is intended to engage local businesses in supporting the homeless, through a membership scheme whereby member companies pay a nominal annual fee of £500 and commit to offer one of three things to the charity:
* Fundraising activity pledging a minimum of £500 per year
- The offer of paid employment to one of our service users
- Volunteer support
The BBF initiative is endorsed by Leeds City Council and business membership currently stands at 33 organisations. The Howarth Foundation is still committed to serving the existing BBF members and it is the charities ambition to increase total members to 50 businesses by the end of 2024.
The total amount of membership fees for the 2023-2024 financial year, was £11,200. Along with this, annual renewal fees for BBF membership was £7,500.
## **Fundraising activities**
The Howarth Foundation held their annual Music Extravaganza which raised over £5,000.
A hugely successful corporate charity golf day was held at Cleckheaton & District Golf Club which raised over £8,400.
Other small donations were made from a variety of fundraising schemes such as Facebook birthday giving, ad-hoc donations and monthly supporters.
## **Donations**
Howard Civil Engineering Ltd donated £10,000 to The Howarth Foundation, which was unrestricted for general running costs.
We received over £22,000, in other small donations to our charity.
## **Financial review**
The charity has received a total income of £136,822. Total expenditure for the year was £142,601 creating a small net deficit of £5,956.38. This gives funds carried forward of £21,086 to further progress the charities aims and objectives.
At the start of the financial year, the CEO worked on a part paid and part voluntary basis. By the end of the year the CEO received full-pay for working 4 days per week.
## **Principal funding sources**
Howarths HR and Employment Law Limited made regular donations totalling £41,536 towards running costs in additional to providing office space and utilities on a rent-free period from April 2021.
In respect of the complimentary office space provided by Howarths HR and Employment Law Limited, in monetary terms, the estimated value of the floor space (392ft squared) occupied by the charity and the associated utilities is £4,200 gross for the twelve-month rent free period. This is recognised as donation income and accommodation costs.
## **Investment policy and objectives**
The Charitable Company presently has no funds other than what it requires for operating purposes over a rolling twelve month period. All funds are currently held with CAF Bank Limited.
It is the policy of the foundation that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the foundation’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
- 2 -
## **THE HOWARTH FOUNDATION**
## **TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **Structure, governance and management**
The foundation 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 G E Davies
Mr J P Garside
Mrs C Geesin Miss T L Hopkins Mr G J A Howarth Mr J Robinson (Resigned 22 September 2023) Mr A Waugh (Resigned 18 July 2023)
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 report was approved by the Board of Trustees.
**Mr G J A Howarth Trustee**
14 August 2024
- 3 -
## **THE HOWARTH FOUNDATION**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF THE HOWARTH FOUNDATION**
I report to the trustees on my examination of the financial statements of The Howarth Foundation (the foundation) for the year ended 31 January 2024.
## **Responsibilities and basis of report**
As the trustees of the foundation (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 foundation 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 foundation’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**
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 foundation 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.
## **Calvert Dawson Ltd**
288 Oxford Road Gomersal Cleckheaton West Yorkshire BD19 4PY
Dated: 14 August 2024
- 4 -
## **THE HOWARTH FOUNDATION**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**2**
98,118
-
Charitable activities
**3**
34,937
-
**Total income**
133,055
-
**Expenditure on:**
Raising funds
**4**
24,054
381
Charitable activities
**5**
119,705
-
**Total expenditure**
143,759
381
**Net expenditure for the year/**
**Net movement in funds**
(10,704)
(381)
Fund balances at 1 February
2023
24,312
1,525
**Fund balances at 31 January**
**2024**
13,608
1,144|**Total**
**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
98,118
76,421
-
34,937
15,404
-
133,055
91,825
-
24,435
16,173
1,883
119,705
74,980
1,800
144,140
91,153
3,683
(11,085)
672
(3,683)
25,837
23,640
5,208
14,752
24,312
1,525|**Total**
**2023**
**£**
76,421
15,404
91,825
18,056
76,780
94,836
(3,011)
28,848
25,837|
|---|---|---|
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.
- 5 -
## **THE HOWARTH FOUNDATION**
## **BALANCE SHEET**
## _**AS AT 31 JANUARY 2024**_
|**Notes**
**Fixed assets**
Tangible assets
**9**
**Current assets**
Debtors
**10**
Cash at bank and in hand
**Creditors: amounts falling due within one**
**year**
**11**
Net current assets
**Total assets less current liabilities**
**Income funds**
West Riding Masonic Charities
**13**
Unrestricted funds - general|**2024**
**£**
2,587
18,494
21,081
(7,472)
1,144|**£**
1,143
13,609
14,752
1,144
13,608
14,752|**2023**
**£**
1,919
28,682
30,601
(6,288)
1,525|**£**
1,524
24,313|
|---|---|---|---|---|
|||||25,837|
|||||1,525
24,312|
|||||25,837|
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 January 2024.
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 14 August 2024
**Mr G J A Howarth Trustee**
**Company registration number 10232376**
- 6 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **1 Accounting policies**
## **Charity information**
The Howarth Foundation is a private company limited by guarantee incorporated in England and Wales.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the foundation's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The foundation is a Public Benefit Entity as defined by FRS 102.
The foundation has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the foundation. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the foundation 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.
## **1.4 Income**
Income is recognised when the foundation 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 foundation 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 foundation 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**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
- 7 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **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:
Fixtures and fittings 25% reducing balance basis Computers Straight line over 3 years
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
## **1.7 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.
## **1.8 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the foundation is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **1.9 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **2 Donations and legacies**
|Donations and gifts
Grants|**2024**
**£**
88,118
10,000
98,118|**2023**
**£**
76,421
-|
|---|---|---|
|||76,421|
## **3 Charitable activities**
||**Charitable**|**Charitable**|
|---|---|---|
||**Income**|**Income**|
||**2024**|**2023**|
||**£**|**£**|
|Fundraising events|34,937|15,404|
- 8 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **4 Raising funds**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2024**
**£**
**£**
Fundraising and
publicity
Fundrasing costs
10,290
-
Rates and insurance
-
-
Light and heat
-
-
Telephone
-
-
Advertising
3,542
-
Other fundraising costs
650
-
Staff costs
9,572
-
Depreciation and
impairment
-
381
Support costs
-
-
Fundraising and
publicity
24,054
381
24,054
381|**Total**
**Unrestricted**
**Restricted**
**funds**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
10,290
5,344
475
-
442
-
-
721
-
-
88
-
3,542
5,778
-
650
500
-
9,572
3,300
900
381
-
508
-
-
-
24,435
16,173
1,883
24,435
16,173
1,883|**Total**
**2023**
**£**
5,819
442
721
88
5,778
500
4,200
508
475|
|---|---|---|
|||18,056|
|||18,056|
## **5 Charitable activities**
|Staff costs
Depreciation and impairment
Legal and professional fees
Client costs
Insurance
Telephone
Computer costs
Motor running expenses
**Analysis by fund**
Unrestricted funds - general
Restricted funds|**2024**
**£**
95,898
-
7,863
1,724
8,254
-
114
5,852
119,705
119,705
119,705
-|**2023**
**£**
60,995
228
1,300
4,536
7,197
30
2,494
-|
|---|---|---|
|||76,780|
|||76,780|
|||74,980
1,800|
- 9 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
## **6 Trustees' remuneration and benefits**
None of the trustees received any remuneration or benefits during the year.
## **7 Employees**
The average monthly number of employees during the year was:
||**2024**|**2023**|
|---|---|---|
||**Number**|**Number**|
||5|5|
|**Employment costs**|**2024**|**2023**|
||**£**|**£**|
|Wages and salaries|104,767|63,440|
|Other pension costs|703|1,755|
||105,470|65,195|
There were no employees whose annual remuneration was more than £60,000.
## **8 Taxation**
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
## **9 Tangible fixed assets**
|**Tangible fixed assets**||
|---|---|
|**Fixtures and**
**fittings**
**Computers**
**£**
**£**
**Cost**
At 1 February 2023
2,710
2,014
At 31 January 2024
2,710
2,014
**Depreciation and impairment**
At 1 February 2023
1,186
2,014
Depreciation charged in the year
381
-
At 31 January 2024
1,567
2,014
**Carrying amount**
At 31 January 2024
1,143
-
At 31 January 2023
1,524
-|**Total**
**£**
4,724|
||4,724|
||3,200
381|
||3,581|
||1,143|
||1,524|
- 10 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
|**10**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Prepayments and accrued income
**11**
**Creditors: amounts falling due within one year**
Other taxation and social security
Trade creditors
Accruals and deferred income|**2024**
**£**
2,432
155
2,587
**2024**
**£**
2,352
237
4,883
7,472|**2023**
**£**
1,770
149|
|---|---|---|
|||1,919|
|||**2023**
**£**
-
200
6,088|
|||6,288|
## **12 Retirement benefit schemes**
## **Defined contribution schemes**
The foundation operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the foundation in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £703 (2023 - £1,755).
## **13 Restricted funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
|||**Movement in funds**|**Movement in funds**|||**Movement in funds**|**Movement in funds**|||
|---|---|---|---|---|---|---|---|---|---|
||**Balance at**|**Incoming**|**Resources**||**Balance at**|**Incoming**|**Resources**||**Balance at**|
||**1 February 2022**|**resources**|**expended**|**1**|**February 2023**|**resources**|**expended**|**31**|**January 2024**|
||**£**|**£**|**£**||**£**|**£**|**£**||**£**|
|West Riding||||||||||
|Masonic||||||||||
|Charities|2,033|-|(508)||1,525|-|(381)||1,144|
|Toyota GB||||||||||
|Charitable||||||||||
|Trust Funding|1,800|-|(1,800)||-|-|-||-|
|Sir George||||||||||
|Martin Trust|1,375|-|(1,375)||-|-|-||-|
||5,208|-|(3,683)||1,525|-|(381)||1,144|
- 11 -
## **THE HOWARTH FOUNDATION**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 JANUARY 2024**_
|**14**
**Analysis of net assets between funds**
**Unrestricted**
**funds**
**Restricted**
**funds**
**2024**
**2024**
**£**
**£**
Fund balances at 31
January 2024 are
represented by:
Tangible assets
-
1,143
Current assets/(liabilities)
13,608
1
13,608
1,144|**Total** **Unrestricted**
**funds**
**Restricted**
**funds**
**2024**
**2023**
**2023**
**£**
**£**
**£**
1,143
-
1,524
13,609
24,312
1
14,752
24,312
1,525|**Total**
**2023**
**£**
1,524
24,313|
|---|---|---|
|||25,837|
## **15 Related party transactions**
There were no disclosable related party transactions during the year (2023 - none).
- 12 -