**Charity registered number: 1179928**
**CANDY'S HOUND RESCUE INTERNATIONAL (Formerly known as Candy Cane Rescue) Charitable Incorporated Organisation**
## **UNAUDITED**
**TRUSTEES' REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2021**
## **CANDY'S HOUND RESCUE INTERNATIONAL**
## **CONTENTS**
||Page|
|---|---|
|**Reference and administrative details of the Charity, its Trustees and advisers**|1|
|**Trustees' report**|2 - 18|
|**Independent examiner's report**|19|
|**Statement of financial activities**|20|
|**Balance sheet**|21|
|**Statement of cash flows**|22|
|**Notes to the financial statements**|23 - 34|
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2021**
**Trustees** David Gibson Maura Berrini, Chair Jenna Ann Harris Karen Hassan Susan Cotton **Charity registered number** 1179928 **Registered office** 910 The Crescent Colchester Business Park Colchester Essex CO4 9YQ **Independent examiner** MHA MacIntyre Hudson Chartered Accountants 910 The Crescent Colchester Business Park Colchester Essex CO4 9YQ **Bankers** Lloyds Bank plc. 25 Gresham Street London EC2V 7HN
Page 1
## Trustees’ Annual Report
for
## Candy’s Hound Rescue International
Charity Registration Nr: 1179928
For The Period 1 January 2021 to 31 December 2021
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 2
## Trustees Report for the year ended 31[st] December 2021 (continued)
## Contents
1. Structure, Governance and Management
- a. Charity Constitution
- b. Organisational Structure
- c. Charity Advisors
- d. Trustees
2. Objectives and Activities
- a. The Aims of Candy Cane
- b. The Process – Journey From Rescue to Forever Home
- c. Strategies to Achieve Aims of Charity
- d. Benchmark Criteria to Measure Success
- e. Volunteers
- f. Grant Funding
3. Achievements, Performance, Risks
- a. Achievements
- b. Performance
- c. Risks
4. Financial Review
5. Fundraising
6. Plans for Future Periods
7. Public Benefit
Financial Statements for Year Ended 31 December 2021
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 3
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **1. Structure, Governance and Management**
- a) Charity Constitution
Candy’s Hound Rescue International (CHRI), formerly Candy Cane Rescue, was founded in 2017 by Kerry Lawrence and registered as a Charitable Incorporated Organisation (CIO) on 14 September 2018, registration number 1179928, with a registered address of 910 The Crescent, Colchester Business Park, Colchester, Essex, CO4 9YQ.
The objectives of the CIO, as per its Constitution, are to promote humane behaviour towards and rescue dogs (primarily Greyhounds) from the meat trade in China by providing appropriate care, protection, treatment and security for dogs which are in need of care and attention by reason of sickness, maltreatment, poor circumstances or ill usage, in particular by providing rescue homes or other facilities for the reception, care and treatment of such dogs.
Expansion of the charity has demanded a few rescues (less than 5% of total) from other regions including the Vietnamese and South Korean meat markets, galgos from Spain and some hounds from Cyprus, Romania and Russia.
Once Candy Cane Rescue have committed to rescuing a dog they travel to the nearest vet for treatment, health checks and vaccinations. Once healthy enough they then go into boarding with one of our boarding partners in China with the aim of getting them to Beijing as soon as possible. Once vaccinated the quarantine starts which is 3 months for the UK and 30 days for the US.
We work with rescue partners in the US and the UK which take the dogs on arrival and rehome them once assessed and ready.
## b) Organisational Structure
**----- Start of picture text -----**
Head Trustee Trustee
Maura Berrini Susan Cotton
Founder Trustee
Kerry Lawrence Jenna Harris
Trustee Trustee
David Gibson Karen Hassan
China UK USA
Doe Doe (Yun Xiao) Volunteers Volunteers
Vets Admin Home Checker Fundraisers Flight Transport Fundraisers
Monika Kubal Co-Ordinator Gwenda Watt Volunteers Vaughan Harman Jacqueline Howard
Jayne Brack Sharon Podmore Kerry Lawrence Ellen Ganopoulos
Angela Kilner Steve Hill
Karen Hassan
Coral Hodgkins
Boarders Home Checkers Amy Cole Flight Volunteers
Various Nancy Ann Jones
Nationwide
**----- End of picture text -----**
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 4
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **1. Structure, Governance and Management (continued)**
b) Organisational Structure (continued)
To help deliver the objectives of the charity, we work with the following rescue partner organisations:
## **United Kingdom**
East Midlands Dog Rescue Contact: Sandy McClusky & Lynne Simpson Pingle Farm Seine Lane Enderby Leicestershire, LE19 4PD Ravens Rescue Contact: Sarah Price 47 Birds Meadow Pensnett Brierley Hill, DY5 4TD Homes for Hounds 24 Butts Hill Crescent Bugbrooke Northants, NN7 3QP
## **United States of America**
Motor City Greyhound Rescue Contact: Jennifer Valdez & Amy Klettner PO Box 14721 Detroit Michigan, 48214 Greyhound Friends of New Jersey Contact: Maria Lutz & Linda Lyman PO Box 4416 Cherry Hill New Jersey, 08034-0669 National Borzoi Rescue Foundation Contact: Ann Marie Wiseman & Barbara Lord PO Box 231 Dix Illinois, 62830 Michigan Greyhound Connection Contact: Susan Bilsky & Ken Mitchell PO Box 725384 Berkley Michigan, 48072-5384 Texas Italian Greyhound Rescue Contact: Robin Toula Hollywood Feed 1415 E. Renner Road Richardson Texas, 75082
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 5
Trustees Report for the year ended 31[st] December 2021 (continued)
## **1. Structure, Governance and Management (continued)**
‘b) Organisational Structure (continued)
## **United States of America (Continued)**
## **Spain**
Minnesota Greyhound Rescue Contact: Jen Komatsu & Lloyd Komatsu 9159 Dalton Court Inver Grove Heights Minnesota, 55076 Fast Friends Greyhound Adoption Contact: Sharron Thomas & Amy Roy 14 West Swanzey Road Swanzey New Hampshire, 03446 Galgos Del Sol Contact: Tina Solera Sierra Del Molar, No 2 San Javier Murcia, 30730
## **China**
Plush Bears Shelter Contact: Lian Xiaodan Miaoyin Miaoshan Nursing Garden Golden Tiger Village Erlong Township Taonan City Baicheng City Jilin Provence
## c) Charity Advisors
Candy Cane Rescue advisors are as follows:
## **Accountant**
MHA Macintyre Hudson 910 The Crescent Colchester Business Park Colchester Essex CO4 9YQ
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 6
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **1. Structure, Governance and Management (continued)**
- d) Trustees
In the 12 months up to 31 December 2021 Georgina Keenan resigned as a Trustee as she could not commit to the time required to adequately support the charity due to personal work commitments.
## _Appointment of Trustees_
The procedure to appoint Trustees is as follows:
- Identify skills, knowledge and skillsets required and agree number of trustees required
- Create shortlist of proposed trustees (no minimum or maximum number)
- Candidate to discuss the role with the trustees
- Carry out background checks on potential trustee to ensure meets guidelines set out in the Constitution
- Current trustees to vote based on a majority. Where a split decision is arrived due to an even number of trustees the Chair Trustee will have the deciding vote. All voting to be documented in writing.
- Introduce new trustee to Chair, Treasurer and volunteers and provide a copy of the Constitution and the latest Trustee Annual Report and statement of accounts.
## _Decision Making_
All decisions made by the trustees must be made either in person or electronically by email; the trustees are responsible for all decisions within the charity although have delegated the following roles to volunteers:
- Drafting of policies for operational matters such as dog walking and home checking.
- Administrative matters and social media posts
- Fundraising activities and strategy
All trustees decisions are undertaken on a majority vote basis; if there are an even number of trustees the Chair Trustee will have the deciding vote. All decision making is to be documented in writing.
Where a trustee is unable to fulfil their tasks, refuses to or repeatedly does not respond to the other trustees in a timely manner within a period of three months, without reasonable excuse, then the other trustees may raise the matter with the trustee in question and seek a resolution which may require that his or her office be vacated.
## _Arrangements for Setting Pay and Remuneration of Key Management_
When setting the remuneration of the key staff the trustees benchmark against data provided in the Harris Hill Annual Salary Report. An annual review of all salaries is made to ensure that the remuneration provided is fair and reflects the responsibility and role involved.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
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Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities**
- a) The Aims of Candy’s Hound Rescue International
The aim of the charity was originally to rescue as many dogs as possible from the Chinese meat market, initially in batches of 10, and being the only greyhound rescue in China there is significant supply. The charity, and its network of Partners, has grown exponentially, at a rate faster than anticipated, with rescues expanding beyond China to other Asian countries plus some European countries, although the Chinese operations continue to account for 95% of its operations.
Greyhounds are exported from Britain, Ireland and Australia by breeders and owners to race in China and are kept in the most awful conditions with no animal welfare laws. When they have outlived their usefulness many end up in the meat trade to be beaten, hung, boiled or skinned alive.
When the charity’s namesake ‘Candy’ was killed by another dog in a rescue centre, just the day before she was due to fly to the UK to be rehomed, founder Kerry Lawrence decided she needed to have more control over their recovery and care and established Candy Cane Rescue, now called Candy’s Hound Rescue International (CHRI).
In addition to the rescue, the charity is committed to providing the best veterinary care to help improve survival rates and also provide a support network for the dogs both whilst in the charity’s care and also once they have been rehomed in places which can provide commitment and nurturing as required. The charity takes pride in ensuring that all dogs will realise a life that they had only been able to dream of before and educating fosters, adopters and the wider public on how to understand and care for the hounds.
These dogs are often traumatised and have suffered unimaginable abuse. They have never been shown love, are not toilet trained, have never walked on a lead, have never gone up stairs and do not understand day to day noises such as televisions and hoovers.
Hounds are also unique from other dogs; they have very little body fat, just one layer, and this makes it difficult for them to regulate their body temperatures. They feel the cold and also overheat when the weather gets warmer. Coats need to be worn when it is cold or wet cooling coats in the summer.
Hounds love their comfort; sadly the rescue hounds have come from situations where they have never had a bed and will quite often have poor coats due to how they have been living.
To mitigate stress for the dogs as much as possible Candy’s Hound Rescue aim to improve the speed of re-homing, subject to quarantine rule restrictions; due to the reduced time to quarantine dogs for transfer to the US where possible most dogs will be rehomed in the US rather than the UK.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 8
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities (continued)**
- b) The Process - Journey From Rescue to Forever Home
## _Rescue_
The charity rescues dogs from meat markets, breeders, trucks, shelters, underground racetracks, ex police working dogs, strays or any other situations that a dog needs help from and although CHRI accommodates all dog breeds, sighthounds are always rescued first.
Many of the dogs are sourced through local activists in China that request for help rescuing the dogs and are purchased at the slaughter houses and meat markets, with the price set according to weight; for smaller dogs (eg whippets) it’s around £50 and a full size greyhound is £100.
## _Transfer to Safe Holding Shelter / Vets_
As soon as dogs are put under CHRI they are sent to a safe holding shelter or to vets for care, depending where the dog is, and bloods are taken.
## _Health Check Ups_
The dog travels to a vet as soon as possible where they will undergo a routine health check-up, vaccinations, spay/neuter, dental and any other treatment they need. Some of the hounds have injuries, skin problems, broken bones. Whatever their health problems CHRI will ensure that they are treated for their needs.
## Routine health check-up includes
Blood test Canine parvovirus Ag test Canine distemper Ag test Canine coronavirus Ag test Stool test (check for internal parasites) CDV/CPV/CCV antibodies test Physical examination
Vaccinations include Nobiva kennel cough vaccine x 1 Vanguard plus 5/CV-L x 2 Rabies vaccine Deworming
Spay/castration and dental care includes Pre operation examination Spay surgery for females Castration surgery for males Dental prophylaxis
All of this takes a minimum of 21 days boarding at the vets, sometimes longer if they have more serious health problems or injuries.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 9
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities**
b) The Process - Journey From Rescue to Forever Home (continued)
## _Transfer to Boarding in China_
Once dogs have completed treatment and been given a clean bill of health, they then go into boarding and continue their quarantine:
Dogs travelling to UK 3 months quarantine Dogs travelling to US 30 days quarantine
Once discharged from the vets care the dogs are matched with rescues that are best placed to continue their care and where to be repatriated, either UK, Europe or US. Whilst in China the dogs are trained to walk on a lead and are assessed as much as possible with people, children, other animals (such as cats), and around food and toys.
## _Transfer Abroad_
- Flights booked for dogs ready to travel and also flight volunteers.
- Paperwork completed for dogs travelling.
- Day before travel dogs have vet check up to ensure they are fit and healthy to travel
- Dogs travel to Beijing airport where they meet flight volunteers who have travelled from the UK / US to China to escort the dogs back.
- Dogs being transferred to the UK fly to Paris CDG where met by transport who will continue journey to UK via Calais where they go through pet reception and have their paperwork, microchip and health certificate checked.
- Travel through Eurotunnel to Folkestone where they make their way to Kerry Elliman, then to their foster homes, to be vet checked and assessed until ready to be rehomed in the UK. For the dogs that go from China to the US the US rescues will arrange flight volunteers.
- The dogs are assessed for behavioural characteristics and suitability for different families and environments before full adoption.
Sadly, not all the dogs that are rescued make it to their forever homes due to illness or injuries that cannot be treated. This is one of the hardest parts of our rescue. However, we take comfort from knowing they have passed away finally experiencing love and kindness, something most of them have never experienced in their lifetime.
- c) Strategies to Achieve Aims of Charity
At the start of 2021 we had identified a significant number of points to address to improve both the operational efficiency and income generation of the charity:
- Update Charity Constitution to reflect activities of the charity
- Re-branding of the charity to immediately reflect both the purpose of the charity and it’s international breadth of activities.
- Increase network of Partner rescues
- Standardise method of communication
- Create centralised document storage system in cloud
- Increase options and improve quality of merchandise
- Increase management accounting role of external accountant
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 10
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities (continued)**
- c) Strategies to Achieve Aims of Charity (continued)
- Seek grant funding through either Petplan, Marchig Animal Welfare Trust or Dog Trust International
- Employ fundraising consultant to drive campaigns
- Create Head Fundraiser role (trustee or volunteer) to liaise with fundraising consultant and drive marketing
- Agree use of logos on marketing materials and merchandise
- Review all marketing material
- Redevelop website
- Develop further database of all dogs in Candy Cane rescue and analyse further ‘costs per dogs’
- Identify new Patrons for the charity
- Apply for Gift Aid certification
- Release funds incorrectly withheld by Facebook
- Create CRM system and interaction with accounts software and social platforms
- d) Benchmark Criteria to Measure Success
The main criteria, in pre-pandemic years, used to assess the success of the charity’s activities were the number of dogs rescued, brought back to full health and rehomed.
The benchmark criteria for 2021 changed due to the continued pandemic in both China and Europe and therefore focused on caring for the dogs long term at the vets and shelters until the pandemic restrictions were fully lifted, and being able to fund the increased costs associated with this without the ability to carry out normal fundraising activities.
Simultaneously, success for the year can also be measured by the improvements to the operational structure of the charity which will have long term benefits to the charity in the future.
- e) Volunteers
CHRI, like any charity, prospers from its network of volunteers, both in the UK, China and through its partner rescues in the US and Europe.
Roles of volunteers in CHRI can vary from walking the dogs, carrying out fundraising activities, administration roles, updating social media, fostering, doing homechecks to verify suitability of a potential home for a dog and helping set out policies and guidelines. The time involved for each individual volunteer can differ depending on their role and location; a summary of the main volunteer roles is set out below:
## _Administration_
In this digital and connected age, most individuals use the Internet as their preferred method of sourcing information. Therefore the role of the administrator is vital in ensuring that the Candy Cane website remains as relevant and up-to-date as possible.
The primary duties of the administrator are updating the web page with the latest news and events concerning the charity. This is to keep people informed about the work performed in China including the many rescue missions.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 11
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities (continued)**
- e) Volunteers (continued)
## _Administration (continued)_
The page is regularly updated with full details of any dogs available for adoption, charting their journey from rescue through to final adoption. Details of the dogs are presented in order to best match a prospective adopter with the correct dog.
The charity organises many fund-raising events both in the UK and abroad. Details of these events are published on the web page. Anyone looking at the page can easily work out what events are taking place, where they are and how to take part and / or donate.
In addition articles are published on the raising of charitable funds and their distribution.
Other duties of the administrator pertain to the organising of events such as street, shop collections, working closely and liasing with Local Authorities. This is to ensure that all relevant permits are obtained and any regulations adhered to. Risk assessments are performed to ensure the safety of volunteers, any dogs involved and the general public as a whole.
## _Flight Volunteer_
The role of the flight volunteer is to escort the rescue dogs safely from the location they are in, to new destination. i.e. Beijing to UK and responsibilities and duties include the following:
- Ensure visa and passport are valid and in date to travel
- Arrange bookings for outward, return flights and accommodation, liaising with UK and Chinese volunteers to ensure dogs are ready to travel and can get on the flight
- Fly out to destination
- Liaise with Chinese volunteers
- Meet dogs and volunteers at airport where travelling from
- Ensure all paperwork and documents correct including health certificates, vet checks and travel documents.
- Check microchips match passports
- For dogs travelling in hold - Ensure crates are clean and comfortable for travel, water bottles are filled and secure and dogs are not wearing collars.
- For dogs travelling in cabin – ensure dogs are comfortable and secure in carry bags
- On arriving at destination, collect dogs travelling in hold and crates at oversized baggage
- Meet onwards transportation team and get dogs out of airport.
- Ensure all dogs have water available and taken to toilet and allow to stretch legs
- Ensure comfortable and safe for onward travel in van
- Exercise, feed, and water
## _Dog Walking_
In addition to providing exercise the role of the dog walker is to provide the dogs with an opportunity to socialise safely in an environment that is strange to them (new Country, house) and to allow the volunteers to assess the behaviour of the dogs, both when on their own and with other dogs, with the aim to assess their needs and ensure that their adoption profiles are accurate to enable them to be matched with the right family.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 12
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **2. Objectives and Activities (continued)**
- e) Volunteers (continued)
_Dog Walking_
In agreeing to help walk Candy Cane Rescue dogs whether as a volunteer dog walker or a foster family the following points are essential:
- Dog walkers must listen to the advice of the rescue and how a specific dog must be walked and must adhere to that advice
- Provide feedback to the charity and foster homes about the dog’s interaction with other dogs, people, children, traffic and animals.
- Volunteers to be aware that when walking a rescue dog that they are also representing the rescue and must walk the dog in an appropriate manner so as not to bring concern or disrepute to the rescue
- Should there be any incidents where another dog attacks a rescue dog on a walk that the dog is taken straight to a vets and that the rescue is informed immediately.
## _Home Checker Co-Ordinator_
The home checker co-ordinator must liase with all home checkers nationwide and ensure a prompt and effective service and thereby reduce the time the dogs are waiting for their forever homes. The role of the home checker co-ordinator includes the following:
To carry out the home check role the following needs to take place:
- Contact potential adopters/ foster families
- Explain the process of a home check, what is required, and explain guidelines that must be adhered to
- Source a home checker to visit a potential foster and adopter home
- Review completed home checker reports and make recommendation including any changes, improvements
Once a home check appointment has been made the home checker is to visit the property, check for any potential concerns, complete the home checker questionnaire and return the completed document to the home checker co-ordinator. No recommendations to the potential adopting or foster family should be made during the property visit.
Subject to a successful home check the home checker will arrange a follow up visit 6-8 weeks after homing to check on the welfare of the dog and report back to the rescue on the findings including any concerns, if any.
This voluntary role is vital to ensure that we give our dogs and their new owners the best chance of success.
- f) Grant Funding
Due to the ongoing pandemic throughout 2020 and 2021 opportunities to apply for grant funding have been restricted with most grants available only for charities with different characteristics to CHRI.
We will keep abreast of grant opportunities that may arise in the future.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 13
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **3. Achievements, Performance, Risks**
- a) Achievements
The period to 31 December 2021 was extremely challenging for the charity due to the continued lockdown restrictions in place with China throughout the whole period, funding difficulties and operational obstacles that had to be overcome in relation to Covid-19.
## _Number of Dogs Cared For_
Over a couple of hundred dogs have been under the care of the charity during the year and despite logistical challenges 74 dogs were able to be repatriated to new homes in the UK, Canada and US.
## _Fundraising Consultant & Charity Re-Branding_
Significant time and effort was spent over a six month period sourcing external consultants and companies to help develop CHRI and then brainstorming, discussing and subsequently implementing recommendations and actions which would benefit CHRI both in the short and long term.
A fundraising campaign over 6-12 months was created, going hand in hand with the rebranding of the charity, new logo and the redevelopment of the website with improved functionality.
Specific actions included, but were not restricted to:
- Identifying priority audiences between regular giving, mid level proposition, corporate proposition, sponsorship proposition
- Set out time and costs for each call to action together with 12 month plan
- Set KPIs and targets, confirm budgets and source resource for activity
- Add Justgiving widget into website on donate page
- Improve usability and functionality of website to increase ease of fundraising
- Redevelop website, update copy and content on website so more succinct
- Applying new branding and logo to merchandise
- Creation of links on online shop, adoption packs and newsletter for monthly donations
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 14
Trustees Report for the year ended 31[st] December 2021 (continued)
## **3. Achievements, Performance, Risks (continued)**
a) Achievements (continued)
## _Organisational and Operational Developments_
Significant progess and achievements were made during the year to improve both the organisational and operational performance of the charity and included, but were not limited to, the following:
- Creation of Microsoft 365 sharepoint for the logging of all charity related documents within a structured filing framework
- Creation of new Microsoft email accounts, from Google mail, linked to Microsoft 365, for all users and centralised electronic calendar
- Formalised changes to the charity constitution with the Charity Commission
- Creation of new internal templates such as meeting agendas
- Development of merchandise database
- Development of dog database
- Resolving of financial matters related to overseas activities such as VAT
- Release of funds withheld incorrectly by Facebook
- Clear definition of roles and responsibilities within the charity
- Reconciliation of all veterinary costs within China for 2020/21 against individual invoices
- Design development of new apparel for the online shop and adding of new merchandise such as hoodies, notebooks, wrapping paper, jute bags
- Extension of role of accountant to prepare payroll, monthly management accountant reports and to reconcile all payments and receipts with Xero
- Creation of periodic newsletter
- Creation of CRM system to automatically link to the charity bank account, Xero, paypal and other fundraising platforms
- Registered charity for Gift Aid; payments are owed to charity for up to the previous 4 years. Creation of the CRM system and subsequent personal data inputted will automatically link and calculate the amount of Gift Aid due and generate periodic payments from HMRC to CHRI.
- Improved facilities for UK dog kennels with installation of air conditioning units
- Defined spending limits for operational dog expenses such as food, crates, collars, leads, toys
- Introduction of mandatory, rather than voluntary, vet checks on all dogs prior to rehoming. The adoption fee will reflect this.
- Creation of whistleblowing policy
- Implementation of the new volunteer policy
- Creation of new accident / incidient / RIDDOR policies
- Creation of new risk and issues log
- Creation of new death in service policy
- Increased use of social media platforms
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 15
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **3. Achievements, Performance, Risks (continued)**
## b) Performance
CHRI, despite operational activities being restricted within China due to Covid lockdowns, the charity has successfully been able to rehome 74 dogs.
Additionally, due to strategic decisions made with regards to fundraising the income for the charity has increased by over 30% compared to year ending 31 December 2020.
## c) Principal Risks
During the accounting period we have identified a number of risks to Candy Cane which need to be addressed in the next period. The risks identified are as follows:
## _Covid-19_
Clearly Covid-19 has had a significant on the charity’s ability to rescue, care for and repatriate dogs and a continued risk of Covid-19 are new variants which add to the uncertainty surrounding travel, health concerns and logistics of moving dogs. Restrictions to Chinese borders will also impact on the ability to develop further relationships with organisations, veterinary practices and volunteers within China.
## _Succession Planning_
Succession planning is a risk to the charity, notably the reliance on a small number of individuals within China. Without the ability to travel to China and develop these relationships further the risk will remain and how quickly this can be addressed will largely be determined by the continued pandemic. Direct links also need to be created between the UK operation and the veterinary practices in China to improve auditable channels for all correspondence such as invoicing. This can only be addressed once China opens up the borders with overseas travellers.
## _Illnesses and Diseases of Dogs_
Many of the dogs rescued are in very poor health and they have never been vaccinated. Although CHRI keeps them at trusted vets until they are well, strong and fully vaccinated for travel, there is always a risk of underlying conditions which have not been picked up until they reach the UK or US, largely due to the fact the vetinerary care in China is less equipped than in the West.
## _Discrediting by Pro-Racing Communities_
Over the years Kerry Lawrence has been discredited for her tireless work in raising awareness of the plight of ex-racing dogs being sent to China from the UK. This campaigning, which is not carried out through CHRI, has led to false accusations of theft and being a liar, and although all incidents are reported to the police, continued social media posts spreading false information could be harmful to the charity and influence decisions of donors and adoptors, by association.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 16
Trustees Report for the year ended 31[st] December 2021 (continued)
## **4. Financial Review and Reserves Policy**
The total income generated during 2021 was as follows:
|Unrestricted Funds|£567,721|
|---|---|
|Restricted Funds|£50|
|**Total Funds**|**£567,771**|
Total expenditure for the year was £543,361 creating an operational profit of £24,410 for the year.
CHRI does not hold any investments or real estate assets. There are currently deficit reserves in place but as a charity our policy for reserves going forward is to ensure that we have two month’s worth of cash in the bank to cover immediate operational costs such as salaries, tax liabilities and consultant costs.
The total funds held as at 31 December 2021:
|Unrestricted Funds|(£88,403)|
|---|---|
|Restricted Funds|£12,331|
|**Total Funds**|**(£76,072)**|
Whilst there is a deficit, the measures undertaken during the year have decreased the deficit by 25% compared to the previous year and we expect this deficit to decrease year on year.
The Financial Statement for period ending 31 December 2021 can be viewed at the end of this report.
## **5. Fundraising**
All fundraising to date has been carried out by volunteers or members of the charity including birthday fundraisers through Facebook, other Facebook donation posts specific to stories and dog rescues, volunteers carrying out sponsored events and also raising money through raffles, auctions, Greyt Unite events and the sale of CHRI merchandise.
Due to operational obstacles not all the planned fundraising activities were undertaken during the year but the increased income compared to the previous year demonstrates the effectiveness of the strategic measures taken.
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 17
## Trustees Report for the year ended 31[st] December 2021 (continued)
## **6. Plans for Future Periods**
The charity’s prime concern in 2022 is the continued welfare of the dogs currently in boarding and to repatriate them as soon as possible once conditions allow, and to wipe out the current financial deficit. The continued Covid restrictions in China make it difficult to operate and be as effective as operations pre Covid. To help achieve continued success in the future we have identified a number of matters to address in 2022:
- Continued data input for CRM system and links to Gift Aid reclaim
- Focus activities on existing dogs welfare whilst China lockdowns still in place
- Create charity reserves
- Create fundraising campaign and events programme
- Further develop merchandise offering
- Improve use of social media, notably Linkedin
- Develop further database of all dogs in Candy Cane rescue and analyse further ‘costs per dogs’
- Identify new Patrons for the charity
- Improve communication channels between UK and China vets and boarding accommodation
- Improve auditable process for China invoicing
## **7. Public Benefit**
The trustees confirm that they have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers and duties. The public benefit of the charity's activities are outlined under 'Objectives and Activities' above. All activities have been undertaken to further the charity's purpose as per its Constitution.
Approved and signed on behalf of the Charity trustees:
…………………………………………… **Maura Berrini** Chair Date: **26 September 2022**
rescue@candyshoundrescue.org | Candy’s Hound Rescue International is a registered charity | Number 1179928
Page 18
## **CANDY'S HOUND RESCUE INTERNATIONAL**
## **INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2021**
## **Independent examiner's report to the Trustees of Candy's Hound Rescue International ('the Charity')**
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 December 2021.
## **Responsibilities and basis of report**
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed 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 the Association of Chartered Certified Accountants, which is one of the listed bodies.
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
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 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Signed:
Dated: 30/09/2022
Cara Miller ACCA
910 The Crescent, Colchester Business Park, Colchester, Essex, CO4 9YQ
Page 19
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2021**
|**Note**
**Income from:**
Donations
3
Charitable activities
4
Other trading activities
5
**Total income**
**Expenditure on:**
Charitable activities
6
**Total expenditure**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Unrestricted**
**funds**
**2021**
**£**
**562,894**
**2,926**
**1,901**
**567,721**
**536,510**
**536,510**
**31,211**
**(119,614)**
**31,211**
**(88,403)**|**Restricted**
**funds**
**2021**
**£**
**50**
**-**
**-**
**50**
**6,851**
**6,851**
**(6,801)**
**19,132**
**(6,801)**
**12,331**|**Total**
**funds**
**2021**
**£**
**562,944**
**2,926**
**1,901**
**567,771**
**543,361**
**543,361**
**24,410**
**(100,482)**
**24,410**
**(76,072)**|_Total_
_funds_
_2020_
_£_
_417,581_
_3,240_
_4,231_
_425,052_
_510,496_
_510,496_
_(85,444)_
_(15,038)_
_(85,444)_
_(100,482)_|
|---|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The notes on pages 23 to 34 form part of these financial statements.
Page 20
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **BALANCE SHEET AS AT 31 DECEMBER 2021**
|**Note**
**Fixed assets**
Tangible assets
10
**Current assets**
Debtors
11
Cash at bank and in hand
Creditors: amounts falling due within one
year
12
**Net current liabilities**
**Total net assets**
**Charity funds**
Restricted funds
13
Unrestricted funds
13
**Total funds**|**4,664**
**58,922**
**63,586**
**(140,568)**|**2021**
**£**
**910**
**910**
**(76,982)**
**(76,072)**
**12,331**
**(88,403)**
**(76,072)**|_16,589_
_34,361_
_50,950_
_(152,646)_|_2020_
_£_
_1,214_
_1,214_
_(101,696)_
_(100,482)_
_19,132_
_(119,614)_
_(100,482)_|
|---|---|---|---|---|
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
................................................ **Maura Berrini** Chair Date: **26 September 2022**
The notes on pages 23 to 34 form part of these financial statements.
Page 21
## **CANDY'S HOUND RESCUE INTERNATIONAL**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021**
|**Note**
**Cash flows from operating activities**
Net cash used in operating activities
15
**Cash flows from investing activities**
Purchase of tangible fixed assets
10
**Net cash provided by/(used in) investing activities**
**Change 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**
16
The notes on pages 23 to 34 form part of these financial statements|**2021**
**£**
**24,561**
**-**
**-**
**24,561**
**34,361**
**58,922**|_2020_
_£_
_31,447_
_(1,518)_
**(1,518)**
**29,929**
_4,432_
_34,361_|
|---|---|---|
Page 22
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **1. General information**
Candy's Hound Rescue International is a Charitable Incorporated Organisation ("CIO") and is registered with the Charity Commission (Charity Registered Number 1179928) and Registrar of Companies (Company Registered Number CE015123) in England and Wales. The address of the registered office is given in the Charity information on page 1 of these financial statements. The nature of the Charity's operations and principal activities are detailed in the Trustees Report.
## **2. Accounting policies**
## **2.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Candy's Hound Rescue International meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The financial statements are presented in sterling which is the functional currency of the Charity and rounded to the nearest pound.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
## **2.2 Going concern**
The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist, including when considering the impact of COVID-19. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the Charity to be able to continue as a going concern.
## **2.3 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
For donations to be recognised the Charity will have been notified of the amounts and the settlement date in writing.
Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.
Page 23
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **2. Accounting policies (continued)**
## **2.4 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.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.5 Tangible fixed assets and depreciation**
Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
Fixtures and fittings
- 20% Straight-line
## **2.6 Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **2.7 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **2.8 Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Page 24
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **2. Accounting policies (continued)**
## **2.9 Financial instruments**
The Charity only holds basic Financial Instruments. The financial assets and financial liabilities of the Charity are as follows:
Debtors - trade and other debtors (including accrued income) are basic financial instruments and are debt instruments measured at amortised cost as detailed in Note 11.
Cash at bank – is classified as a basic financial instrument and is measured at face value.
Liabilities – accruals and other creditors will be classified as financial instruments, and are measured at amortised cost as detailed in Note 12.
## **2.10 Pensions**
The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.
## **2.11 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
## **2.12 Critical accounting estimates**
In the application of the Charity's accounting policies, which are described above, the Trustees are required to make judgements, estimates and assumptions about the carrying amounts 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 Trustees do not consider there are any critical judgements or sources of estimation uncertainty requiring disclosure beyond the accounting policies listed above.
Page 25
## **CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **3. Income from donations**
|**Unrestricted**
**funds**
**2021**
**£**
Donations
562,894
_Total 2020_
_381,495_|**Restricted**
**funds**
**2021**
**£**
50
_36,086_|**Total**
**funds**
**2021**
**£**
**562,944**
_417,581_|_Total_
_funds_
_2020_
_£_
_417,581_|
|---|---|---|---|
|||||
## **4. Income from charitable activities**
|**Unrestricted**
**funds**
**2021**
**£**
Homing fees
2,926
_Total 2020_
_3,240_|**Total**
**funds**
**2021**
**£**
**2,926**
_3,240_|_Total_
_funds_
_2020_
_£_
_3,240_|
|---|---|---|
||||
Page 26
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **5. Income from other trading activities**
|**Unrestricted**
**funds**
**2021**
**£**
Merchandise sold
1,901
_Total 2020_
_4,231_|**Total**
**funds**
**2021**
**£**
**1,901**
_4,231_|_Total_
_funds_
_2020_
_£_
_4,231_|
|---|---|---|
||||
## **6. Analysis of expenditure by activities**
|Charitable activities
_Total 2020_|**Activities**
**undertaken**
**directly**
**2021**
**£**
515,245
_492,152_|**Support**
**costs**
**2021**
**£**
28,116
_18,344_|**Total**
**funds**
**2021**
**£**
**543,361**
_510,496_|_Total_
_funds_
_2020_
_£_
_510,496_|
|---|---|---|---|---|
||||||
Page 27
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **6. Analysis of expenditure by activities (continued)**
## **Analysis of direct costs**
|Staff costs
Cost of Goods Sold
Fundraising costs
Cleaning
Consulting
Repairs & Maintenance
Vet fees
Dog expenses
Dog transport
Purchase of dogs
Rent, rates and utilities
Travel
**Analysis of support costs**
Depreciation
Advertising & marketing
Bank fees
Insurance
Printing, Stationery & Postage
IT Software and consumables
Telephone & Internet
Governance costs
Foreign exchange movements
Sundry|**Charitable**
**activities**
**2021**
**£**
36,548
837
10,220
240
7,388
1,479
294,112
20,622
133,415
-
6,547
3,837
515,245
**Charitable**
**activities**
**2021**
**£**
304
1,152
7,292
931
1,012
362
1,006
8,863
6,386
808
28,116|**Total**
**funds**
**2021**
**£**
**36,548**
**837**
**10,220**
**240**
**7,388**
**1,479**
**294,112**
**20,622**
**133,415**
**-**
**6,547**
**3,837**
**515,245**
**Total**
**funds**
**2021**
**£**
**304**
**1,152**
**7,292**
**931**
**1,012**
**362**
**1,006**
**8,863**
**6,386**
**808**
**28,116**|_Total_
_funds_
_2020_
_£_
_26,866_
_21_
_-_
_205_
_16,507_
_-_
_335,358_
_10,084_
_25,763_
_9,200_
_16,581_
_51,567_|
|---|---|---|---|
||||_492,152_|
||||_Total_
_funds_
_2020_
_£_
_304_
_1,574_
_3,926_
_463_
_312_
_500_
_1,053_
_8,928_
_219_
_1,065_|
||||_18,344_|
Page 28
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **6. Analysis of expenditure by activities (continued)**
## **Analysis of support costs (continued)**
All governance costs incurred in the current and prior year relate to independent examiners remuneration, as detailed in Note 7.
## **7. Independent examiner's remuneration**
||**2021**|_2020_|
|---|---|---|
||**£**|_£_|
|Fees payable to the Charity's independent examiner for the independent|||
|examination of the Charity's annual accounts|**4,200**|_4,200_|
|Under-provision of prior year examination accrual|**-**|_700_|
|Bookkeeping fees|**2,880**|_1,080_|
|Otherservices|**1,560**|_2,805_|
|Payroll services|**223**|_143_|
## **8. Staff costs**
|Wages and salaries
Contribution to defined contribution pension schemes|**2021**
**£**
**35,052**
**1,496**
**36,548**|_2020_
_£_
_25,625_
_1,241_|
|---|---|---|
||||
|||_26,866_|
The average number of persons employed by the Charity during the year was as follows:
||**2021**|_2020_|
|---|---|---|
||**No.**|_No._|
|Employees|**1**|_1_|
No employee received remuneration amounting to more than £60,000 in either period.
Page 29
## **CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **9. Trustees' remuneration and expenses**
The Trustees are considered to be the Key Management Personnel of the Charity. During the year, no Trustees received any remuneration or other benefits _(2020 - £NIL)_ .
During the year ended 31 December 2021, no Trustee expenses have been incurred _(2020 - £NIL)_ .
## **10. Tangible fixed assets**
|**Cost or valuation**
At 1 January 2021
At 31 December 2021
**Depreciation**
At 1 January 2021
Charge for the year
At 31 December 2021
**Net book value**
At 31 December 2021
_At 31 December 2020_
**Debtors**
**Due within one year**
Taxation and other social security
Prepayments and accrued income|**2021**
**£**
**4,664**
**-**
**4,664**|**Fixtures and**
**fittings**
**£**
**1,518**|
|---|---|---|
|||**1,518**|
|||**304**
**304**|
|||**608**|
|||**910**|
|||_1,214_|
|||_2020_
_£_
_3,157_
_13,432_
_16,589_|
## **11. Debtors**
Page 30
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **12. Creditors: Amounts falling due within one year**
|Other loans
Other creditors
Accruals|**2021**
**£**
**26,000**
**-**
**114,568**
**140,568**|_2020_
_£_
_35,000_
_1,064_
_116,582_|
|---|---|---|
||||
|||_152,646_|
During the year, one of the Trustees, Maura Berrini, provided a short-term loan to the Charity, the balance of which was £16,000 at the year-end. The loan is unsecured, interest-free and repayable within one year.
Another short-term loan of £10,000 was also made to the Charity in the year by a supporter. This loan is also unsecured, interest-free and repayable within one year.
Page 31
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **13. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
General funds
**Restricted funds**
Dog shelter
**Total of funds**|**Balance at 1**
**January**
**2021**
**£**
**(119,614)**
**19,132**
**(100,482)**|**Income**
**£**
**567,721**
**50**
**567,771**|**Expenditure**
**£**
**(536,510)**
**(6,851)**
**(543,361)**|**Balance at**
**31**
**December**
**2021**
**£**
**(88,403)**
**12,331**
**(76,072)**|
|---|---|---|---|---|
The Dog Shelter restricted fund represents donations received to fund the purchase, refurbishment and running of a dog shelter in China.
## **Statement of funds - prior period**
|**Unrestricted funds**
General funds
**Restricted funds**
Dog shelter
**Total of funds**|_Balance at_
_1 January_
_2020_
_£_
_(15,038)_
_-_
_(15,038)_|_Income_
_£_
_388,966_
_36,086_
_425,052_|_Expenditure_
_£_
_(493,542)_
_(16,954)_
_(510,496)_|_Balance at_
_31_
_December_
_2020_
_£_
_(119,614)_
_19,132_
_(100,482)_|
|---|---|---|---|---|
Page 32
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **14. Analysis of net assets between funds**
## **Analysis of net assets between funds - current year**
|**Unrestricted**
**funds**
**2021**
**Restricted**
**funds**
**2021**
**£**
**£**
Tangible fixed assets
-
910
Current assets
52,165
11,421
Creditors due within one year
(140,568)
-
**Total**
(88,403)
12,331
**Analysis of net assets between funds - prior year**
_Unrestricted_
_funds_
_2020_
_Restricted_
_funds_
_2020_
_£_
_£_
Tangible fixed assets
-
1,214
Current assets
33,032
17,918
Creditors due within one year
(152,646)
-
**Total**
(119,614)
19,132
**15.**
**Reconciliation of net movement in funds to net cash flow from operating activities**
**2021**
**£**
Net income/expenditure for the year (as per Statement of Financial
Activities)
**24,410**
**Adjustments for:**
Depreciation charges
**304**
Decrease/(increase) in debtors
**13,432**
Increase/(decrease) in creditors
**(13,585)**
**Net cash provided by operating activities**
**24,561**|**Total**
**funds**
**2021**
**£**
**910**
**63,586**
**(140,568)**
**(76,072)**
_Total_
_funds_
_2020_
_£_
_1,214_
_50,950_
_(152,646)_
_(100,482)_
_2020_
_£_
_(85,444)_
_304_
_(16,589)_
_133,176_
_31,447_|
|---|---|
Page 33
**CANDY'S HOUND RESCUE INTERNATIONAL**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021**
## **16. Analysis of cash and cash equivalents**
|Cash in hand
**Total cash and cash equivalents**|**2021**
**£**
**58,922**
**58,922**|_2020_
_£_
_34,361_|
|---|---|---|
||||
|||_34,361_|
## **17. Analysis of changes in net debt**
|Cash at bank and in hand
Debt due within 1 year|**At 1**
**January**
**2021**
**£**
**34,361**
**(35,000)**
**(639)**|**Cash flows**
**£**
**24,561**
**9,000**
**33,561**|**At 31**
**December**
**2021**
**£**
**58,922**
**(26,000)**|
|---|---|---|---|
||||**32,922**|
## **18. Related party transactions**
During the year, one of the Trustees, Maura Berrini, provided a short-term loan of £16,000 to the Charity. The loan is interest-free and repayable within one year. At the year-end £16,000 has been recognised as an outstanding liability.
During the prior year, a loan of £25,000 was made to the Charity by the Trustee, Maura Berrini. This loan was interest-free and was repaid in full in the current year.
During the year, unrestricted donations totalling £3,033 were made by the Trustees to the Charity.
There were no other related party transactions in either period.
Page 34