DEVON FREEWHEELERS
INDEPENDENT EXAMINERS REPORT 2023
Independent examiner's report to the Trustees of Devon Freewheelers ('the charity')
I report to the charity Trustees on my examination of the accounts of the charity for the year ended 31 October 2023.
Responsibilites 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 conducted under section 145 of the 2011 Act and in conducting 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
The charity’s gross commission for the year did not exceed £250,000 however the examiner is 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 CIMA 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Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.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:
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accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.
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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. This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's Trustees as a body, for my work or for this report.
Signed : Dated 1/5/2024
Paul Light
Paul Light MBA ACMA CGMA Lite Tax Ltd
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DEVON FREEWHEELERS
STATEMENT OF FINANCIAL ACTIVITIES
FOR YEAR ENDED 31 OCTOBER 2023
| Note | Unrestricted | Restricted Funds | Restricted Funds | Total Funds | ||
|---|---|---|---|---|---|---|
| Funds | 2023 | 2023 | ||||
| 2023 | ||||||
| Income From | £ | £ | ||||
| £ | ||||||
| Donatons, Legacies and | 3 | 159,483 | 0 | 159,483 | ||
| Grants | ||||||
| Charitable Actvites | 4 | 0 | 0 | 0 | ||
| Total Income | 159,483 | 0 | 159,483 | |||
| Total Expenditure | 5 | 243,066 | 0 | 243,066 | ||
| Net Gains on Investments | 0 | 0 | 0 | |||
| Net Movement in Funds | (83,583) | 0 | (83,583) |
The statement of financial activities includes all gains and losses recognised in the year. The notes on pages 16 to 22 form part of these financial statements.
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DEVON FREEWHEELERS
BALANCE SHEET
FOR YEAR ENDED 31 OCTOBER 2023
| Note | £ | £ | |
|---|---|---|---|
| Fixed Assets | |||
| Intangible Assets | 9 | 0 | |
| Tangible Assets | 10 | 124,393 | |
| 124,393 | |||
| Current Assets | |||
| Debtors | 11 | 23,778 | |
| Cash at Bank | 11,704 | ||
| 35,482 | |||
| Creditors: amounts falling due in one | |||
| year | 12 | 33,865 | |
| Net Current Assets | 1,617 | ||
| Total Assets Less Current Liabilites | 126,010 | ||
| Long Term Financing | 22,926 | ||
| Total Assets | 103,084 | ||
| Charity Funds | 13,529 | ||
| Restricted funds | 89,555 | ||
| Unrestricted Funds | 103,084 |
The fnancial statements were approved and authorised for issue by the Trustees on and signed on their behalf by.
R.Roe Chief Executve
The notes on pages 16 to 22 form part of these financial statements.
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DEVON FREEWHEELERS
NOTES TO THE FINANCIAL STATEMENTS
FOR YEAR ENDING 31 OCTOBER 2023
1 - General informaton
Devon Freewheelers is a Charitable Incorporated Organisation registered in England & Wales. Its office address is Unit 1, Gloucester Court, Gloucester Crescent, Heathpark Industrial Estate, Honiton, Devon, EX141SJ.
2 – Accountng Policies
2.1 Basis of preparaton of fnancial 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) (effective 1 January 2015), 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 on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Devon Freewheelers 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.
2.2 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.
The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate.
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Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the charity, can be reliably measured.
Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.
2.3 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 allocated on the portion of the asset's use.
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.
2.4 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity, this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
2.5 Intangible assets and amortisation
Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.
At each reporting date the charity assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined to be the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.
Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.
The estimated useful lives are as follows and amortisation is applied on this basis
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Website - 20 % straight line
2.6 Tangible fxed assets and depreciaton
Tangible fixed assets costing £300 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: Plant and machinery 20% Motor vehicles 20% Fixtures and fittings 20% Office equipment 20%
2.7 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.
2.8 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.
2.9 Liabilites and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, ii 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.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.
2.10 Financial instruments
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The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
2.11 Finance leases and hire purchase
Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the charity. Obligations under such agreements are included in creditors, net of the finance charge allocated to future periods. The finance element of the rental payment is charged to the Statement of financial activities so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.
2.12 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.
2.13 Fund accountng
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. During the year no additional funds were considered to be restricted
3 Income from Donatons and Legacies
| Unrestricted | Restricted | Total | |
|---|---|---|---|
| Funds 2023 | Funds 2023 | Funds 2023 | |
| Donatons | 158,333 | 0 | 158,333 |
| Legacies | 0 | 0 | 0 |
| Grants | 1,150 | 0 | 1,150 |
| Total | 159,483 | 0 | 159,483 |
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4 Income from Charitable Actvites
| Unrestricted | Restricted | Total | |
|---|---|---|---|
| Funds 2023 | Funds 2023 | Funds 2023 | |
| Sales | 0 | 0 | 0 |
| Services | 0 | 0 | 0 |
| 5 Analysis of Expenditure by actvites | |||
| Direct | Support | Total | |
| Transport | 55,560 | 187,506 | 243,066 |
5.1 Analysis of Direct Costs
| Transport | ||
|---|---|---|
| Motor Expenses | 63,591 | |
| Consumables | 0 | |
| Volunteer Costs | 0 | |
| Vehicle Disposals | -8,031 | |
| Total | 55,560 | |
| 5.2 Analysis of Support Costs | ||
| Depreciaton and Amortsaton | 55,908 | |
| Admin Staf | 35,222 | |
| Rent | 27,160 | |
| Building Maintenance & Warehousing | 2,694 | |
| Telephone, Webfeet and IT | 11,180 | |
| Professional Accountng Fees | 10,245 | |
| Light, Power and Heatng | 7,343 | |
| Legal Fees | 9,126 | |
| Advertsing | 2,182 | |
| Credit Note Write Of | 9,936 | |
| Volunteer Costs | 589 | |
| Subscriptons | 650 | |
| Fund Raising Expenses | 4,859 | |
| Ofce Expenses | 5,707 | |
| Bank Charges | 2,116 | |
| Interest | 2,201 | |
| Other | 295 | |
| Uniforms | 93 | |
| Total | 187,506 |
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6.0 Independent examiners remuneraton
Other 3,225
7.0 Wages and Salary Cost
| Wages and Salaries | 35,222 |
|---|---|
| Social Security Costs | 0 |
| Contributon to defned pension Schemes | 0 |
| 35,222 |
The average number of employees was 2
The key management personnel of the charity consisted of the Chief Executive Officer who received a salary of £5721 (last month not paid)
8.0 Trustee connected transactons
There were no trustee connected transactions.
9.0 Intangible Assets
The intangiable asset consist of the organisation website. This had a £608 valuation at the beginning of the year and was fully amortised by the year end.
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10 Tangible Fixed Assets
| Plant & | Motor | Equipment & | Total | |
|---|---|---|---|---|
| Machinery | Vehicles | Fitngs | ||
| Cost or Valuaton | ||||
| B/Fwd 2022 | 59,352 | 168,836 | 2,800 | 230,988 |
| Additons | 67,563 | 0 | 67,563 | |
| Disposal | 5,000 | 13,878 | 0 | 18,878 |
| As at 2023 | 54,352 | 222,521 | 2,800 | 279,673 |
| Depreciaton B/Fwd | 29,610 | 84,097 | 1,680 | 115,387 |
| Charge 2023 | 12,370 | 42,370 | 561 | 55,301 |
| Disposal | 5,000 | 10,408 | 0 | 15,408 |
| Depreciaton as at | 36,980 | 116,059 | 2,241 | 155,280 |
| year end | ||||
| Net book value | 17,372 | 106,462 | 559 | 124,393 |
During the year a number of vehicles were disposed of and showed a profit on disposal of £8,031
11 Debtors – Due within 1 year
| Trade Debtors | 23,778 |
|---|---|
| Other Debtors | 0 |
| Total | 23,778 |
12 Creditors – Amounts falling due in One Year
| Trade Creditors | 6,771 |
|---|---|
| Other Taxaton and Social Security | 7,094 |
| Other Creditors | 20,000 |
| Accruals and Deferred Income | 0 |
| Total |
33,865 |
13 Creditors falling Due afer more than one year
Balance on Vehicles purchased on HP 22,926
14 Statement of Funds
Income Expenditure Balance General Funds 159,483 243,066 (83,583)
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