Charity number: 1181449
Paper Cup Project
INDEPENDENTLY EXAMINED ACCOUNTS FOR THE 424 DAY PERIOD ENDED 31/03/2022
Prepared By:
Harvey Guinan LLP Chartered Certified Accountants Unit 17 Mersey House The Matchworks Estate, 140 Speke Road Liverpool Merseyside L19 2PH
Paper Cup Project
FINANCIAL STATEMENTS FOR THE 424 DAY PERIOD ENDED 31/03/2022
TRUSTEES
Patrick Smith (appointed 30 November 2021) Adam Boaks Paul Polhill Patrick Hurley Matt Ide (resigned) Julie Duffy (resigned) Liam Gray (resigned) Michael Rick (appointed 23 November 2022) Adam Settle (appointed 16 September 2022) Jane Logan (appointed 16 September 2022)
REGISTERED OFFICE
Paper Cup Coffee Queen Square Liverpool Merseyside L1 1RH
CHARITY NUMBER
1181449
BANKERS
Santander
INDEPENDENT EXAMINER Julie Guinan FCCA
Harvey Guinan LLP Chartered Certified Accountants Unit 17 Mersey House The Matchworks Estate, 140 Speke Road Liverpool Merseyside L19 2PH
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Paper Cup Project
ACCOUNTS
FOR THE 424 DAY PERIOD ENDED 31/03/2022
CONTENTS
| Page | |
|---|---|
| Report of the Trustees | 3 |
| Independent Examiner's Statement | 8 |
| Statement of Financial Activities | 10 |
| Balance Sheet | 11 |
| Notes to the Accounts | 12 to 21 |
| Detailed Statement of Financial Activities | 22 |
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Paper Cup Project
TRUSTEES' REPORT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
The trustees present their report and accounts for the period ended 31/03/2022 .
PRINCIPAL ACTIVITIES
The principal activity of the charity in the 424 day period under review was the relief of poverty amongst those who are homeless, facing homelessness or rough sleepers.
STRUCTURE GOVERNANCE AND MANAGEMENT
Paper Cup Project is a Charitable Incorporated Organisation (CIO) which was registered as a charity (1181449) on 7 January 2019.
The financial statements have been prepared in accordance with the charity's Constitution, the Charities Act 2011, 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 (FRS 102).
The charity was established under a Constitution which governs the charity and sets out the objects and powers of the charity.
The Trustees set and approve the policy for the charity which is then implemented by the Chief Executive. The Trustees meet regularly throughout the year with scheduled meetings and in between as required.
No remuneration is paid to any Trustee for their services as a Trustee.
Appointment of Trustees:
The board members are Adam Boaks, Paul Polhill, Patrick Hurley, Matt Ide (resigned), Julie Duffy (resigned) and Liam Gray (resigned), Patrick Smith (appointed 30.11.2021), Michael Rick (appointed 23.11.2022), Adam Settle (appointed 16.9.22) and Jane Logan (appointed 16.9.22). All trustees are eligible for reelection at the end of their initial term of appointment.
The Charity seeks to have a wide range of skills and experience on its Board, contained within a small number of individuals. The board are seeking to add more diversity to its trustees, particularly welcoming those with lived experience of homelessness.
Skills audits of trustees are conducted and any identified training needs provided. All new Trustees are given a detailed introduction to the Charity and provided with key important documents including the Constitution and latest Financial Statements.
OBJECTIVES OF THE CHARITY
The objectives of the CIO are :
For the public benefit, the relief of poverty amongst those who are homeless, facing homelessness or rough sleepers who are in need, hardship and distress on account of their social and economic circumstances, in particular, but not exclusively, by the provision of outreach services including the provision of clothing, bedding, food and drinks, information, advice, guidance and signposting to statutory and other voluntary agencies so that each person can find a route out of homelessness.
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Paper Cup Project
TRUSTEES' REPORT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
ACHIEVEMENTS AND PERFORMANCE
Our Aims
Our charity works across Liverpool to help relieve poverty among rough sleepers, people experiencing or at risk of homelessness through the provision of outreach. We are assisted greatly by our pool of volunteers (approximately 30) who offer food, drink, clothing, advice and support and sign posting to statutory services on a weekly basis.
Our Objectives
The objective of our work is to assist those who are experiencing homelessness or poverty and enable them to access the available help in order to find a route out of poverty. We also work hard to challenge the stigmas around homelessness, and to give those who are experiencing homelessness a voice.
Overview
During this period we were still feeling the effects of the COVID pandemic, and our work pivoted to adjust to the precautions which were in place. To keep our volunteers and our homeless friends safe, we reduced the number of volunteers who assisted and also reduced the amount of stock we took out, ensuring that essential needs were met. As positive knock on effect of the pandemic, numbers of street homeless were greatly reduced, which was noted on our outreach sessions.
During this time, our charity also participated in meetings with the All Party Parliamentary Group for Tackling Homelessness. These meetings focussed on the results of the government campaign Everyone In which brought people experiencing homelessness into accommodation at the start of the pandemic. The meetings also heard evidence from stakeholders around the Housing First pilots around the country, with the APPG supporting the continuation of these pilots based on evidence of success. We are very proud to be the only Liverpool charity on the secretariat of this parliamentary group, and will continue to be involved in the important policy work of the group alongside Crisis and our other charity partners.
This was a crucial period for our charity, as we focussed on the developments of our new coffee shop, Paper Cup Coffee. We identified during the pandemic, that there was a gap in provision in Liverpool, many people were taken inside as part of Everyone In, but there was no provision in place to assist people with their next steps, such as training and support to find work, once people were ready. The idea for Paper Cup Coffee sprung out of this, and we wanted to create a space where people experiencing homelessness were welcome, and where we could work to offer training and support once people were ready to take those steps. Thanks to funding and support from the SIB and The Enterprise Development Scheme, we were able to focus on the development of the shop. We secured premises in Queen Square with the help of Promenade Estates, and with the invaluable help of our own volunteers, as well as volunteers from Carghills in Liverpool, who assisted with funding and practical support with decorating, we were able to turn the empty unit into our shop.
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Paper Cup Project
TRUSTEES' REPORT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
We also spent time planning and developing a training programme with our partners, The Learning Foundry, who agreed to deliver the training at no cost to us. In February 2022, we opened the coffee shop, Paper Cup Coffee, employing four members of staff. We also took on a further staff member as part of the government's kick-starter scheme. The shop was developed only thanks to the volunteers, local businesses, local media and grant funders who supported us, both practically and with advice. Without their help, the project would never have got off the ground. Paper Cup Coffee gives our charity a base, and a place where we can offer meaningful support, along with offering dignity and choice for people experiencing homelessness.
PUBLIC BENEFIT
How our activities deliver public benefit:
Our outreach work is accessible to all in the area we serve who are in need of our assistance. We believe that the services we provide are crucial to homeless people's lives helping them to find their way out of homelessness, thereby making a contribution to society and benefiting all.
FINANCIAL REVIEW
The results for the period and the charity's position at 31 March 2022 are shown in the attached financial statements. Total incoming resources were £86,693 (2021 £35,601) and total resources expended were £81,757 (2021 £23,575) resulting in net incoming resources for the period of £4,936 (2021 £12,026) - net incoming resources on the unrestricted funds of £2,753 (2021 net incoming £13,695) and net incoming resources on the restricted funds of £2,183 (2021 net outgoing resources of £1,669). At 31 March 2022 the balance on the unrestricted funds was £44,305 (2021 £41,552) and the balance on the restricted fund £8,864 (2021 £6,681) giving total funds of £53,169 (2021 £48,233).
RISK MANAGEMENT
The Trustees confirm that the day-to-day controls are designed to mitigate the identified risks faced by the charity.
RESERVES POLICY
The reserves policy of the charity reflects the organisation's wish to strike a balance between two financial objectives. Firstly, the need for financial stability and secondly to expand the volume and range of services offered to the homeless people that we work with.
At 31 March 2022 our reserves stood at £53,169 of which £43,872 represented free reserves not invested in fixed assets or restricted in their use. The trustees feel that this level of reserves is adequate to meet both financial objectives for the foreseeable future.
FUTURE PLANS
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Paper Cup Project
TRUSTEES' REPORT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
The Charity is committed to developing services to help homeless people or people facing homelessness.
VOLUNTEERS
Volunteers are a valuable resource for the charity, with all of our outreach work undertaken by volunteers. Our volunteers come from a wide range of backgrounds, and we encourage diversity. We currently have a waiting list of potential volunteers and the capability to expand our service if required.
STATEMENT OF TRUSTEES RESPONSIBILITIES
The Trustees are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Charity Law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and Applicable Law).
Under Charity Law the trustees must not approve the financial statements until they are satisfied that they give a true and fair view of the state of affairs of the charity and of the net incoming or outgoing resources of the charity for that period.
In preparing the financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the charities SORP;
-
make judgments and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The names of the Trustees who held office during the year are noted on page 1.
APPROVAL
The report was prepared in accordance with the Charities Act 2011 and Statement of Recommended Practice FRS102 Accounting and Reporting by Charities.
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Paper Cup Project
TRUSTEES' REPORT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
This report was approved by the Board of Trustees on 20/01/2023 .
Patrick Hurley Trustee
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Paper Cup Project
INDEPENDENT EXAMINER'S STATEMENT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF PAPER CUP PROJECT
I report on the accounts of the charity for the period ended 31/03/2022 .
RESPONSIBILITIES AND BASIS OF REPORT
As the charity's trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (the 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 all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
INDEPENDENT EXAMINERS STATEMENT
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives me cause to believe that in, any material respect:
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the accounting records were not kept in accordance with section 130 of the Charities Act; or
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the accounts did not accord with the accounting records; or
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the accounts did 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.
................................................... Independent Examiner Julie Guinan FCCA
Date: 20/01/2023
Harvey Guinan LLP Chartered Certified Accountants Unit 17 Mersey House
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Paper Cup Project
INDEPENDENT EXAMINER'S STATEMENT
FOR THE 424 DAY PERIOD ENDED 31/03/2022
The Matchworks Estate, 140 Speke Road Liverpool Merseyside L19 2PH 0151 709 7797
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Paper Cup Project
Statement of Financial Activities for the year ended 31/03/2022
| Income Income from generated funds Income from charitable activities Total Income Expenses Costs of generating funds Expenditure on Charitable activities Total Expenses Net Income Net movement in funds: Net income for the year Total funds brought forward Net funds carried forward |
Unrestricted funds £ 28,383 28,383 25,630 25,630 2,753 2,753 41,552 44,305 |
Restricted funds £ 58,310 58,310 56,127 56,127 2,183 2,183 6,681 8,864 |
2022 Total £ 86,693 86,693 81,757 81,757 4,936 4,936 48,233 53,169 |
2021 Total £ 35,601 |
|---|---|---|---|---|
| 35,601 | ||||
| 23,575 | ||||
| 23,575 | ||||
| 12,026 | ||||
| 12,026 36,207 |
||||
| 48,233 |
This statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities
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Paper Cup Project
| BALANCE SHEET AT 31/03/2022 Notes FIXED ASSETS Tangible assets 4 CURRENT ASSETS Debtors (amounts falling due within one year) 5 Cash at bank and in hand CREDITORS: Amounts falling due within one year 6 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES RESERVES Unrestricted funds 7 General fund Restricted funds 8 |
1,556 57,888 59,444 6,708 |
2022 £ 433 52,736 53,169 44,305 8,864 53,169 |
- 51,630 51,630 4,263 |
2021 £ 866 47,367 |
|---|---|---|---|---|
| 48,233 | ||||
| 41,552 6,681 |
||||
| 48,233 |
Approved by the board of trustees on 20/01/2023 and signed on their behalf by
............................. Patrick Hurley Trustee
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Paper Cup Project
NOTES TO THE ACCOUNTS FOR THE 424 DAY PERIOD ENDED 31/03/2022
1. ACCOUNTING POLICIES
1a. Basis Of Accounting
The accounts have been prepared under the historical cost convention.
The accounts have been prepared in accordance with FRS102 - The Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006 and the requirements of the Statement of Recommended Practice, Accounting and Reporting by Charities.
1b. Incoming Resources
All incoming resources are included on the Statement of Financial Activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.
1c. Resources Expended
Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
1d. Allocation And Apportionment Of Costs
All costs relate to the single activity of the charitable company and are recognised accordingly.
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Paper Cup Project
1e. Fund Accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Designated funds are funds set aside by the trustees out of unrestricted general funds for the specific future purposes or projects.
1f. Depreciation
Depreciation has been provided at the following rates in order to write off the assets over their estimated useful lives.
Equipment straight line 33.33%
1g. Pension Costs
The company operates a defined contribution pension scheme. The pension charge represents the amounts payable by the company to the fund in respect of the year.
1h. Turnover
Turnover represents the invoiced value of goods and services supplied by the company, net of value added tax and trade discounts.
1i. Income Recognition
Items of income are recognised and included in the accounts when all of the following are met: (1) The charity has entitlement to the funds; (2) Any performance conditions attached to the income have been met or are fully within the control of the charity; (3) There is sufficient certainty that receipt of the income is considered probable and (4) The amount can be measured reliably.
1j. Cash At Bank And In Hand Policy
Cash at bank and in hand includes cash and short term liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
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Paper Cup Project
1k. Creditors And Provisions Policy
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement value amount after allowing for any discount due.
1l. Financial Instruments Policy
The charity 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. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
1m. Basis Of Preparing Accounts
At the time of approving the accounts, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. They also confirm that the period considered in making this assessment was at least 12 months from the date of approval of these accounts. Hence the trustees continue to adopt the going concern basis of accounting in preparing the accounts. The impact of covid 19 has had an effect on the charity during the period. The safety of staff, volunteers and homeless people who we help has been of paramount importance and the charity has adopted covid safe procedures and practices. The trustees have considered the impact of covid 19 and they have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future.
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Paper Cup Project
2. DIRECTORS AND EMPLOYEES
| Particulars of employees (including directors) are shown below: Employee costs during the 424 day period amounted to: Wages and salaries Social security costs Pension costs The average weekly numbers of employees during the 424 day period were as follows: Management and administration |
2022 £ 50,347 247 1,077 51,671 2022 No. 5 5 |
2021 £ 15,417 - - |
|---|---|---|
| 15,417 | ||
| 2021 No. 1 |
||
| 1 |
3. PENSION CONTRIBUTIONS
| 3. PENSION CONTRIBUTIONS | ||
|---|---|---|
| Pension contributions | 2022 £ 1,077 1,077 |
2021 £ - |
| - |
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Paper Cup Project
4. TANGIBLE FIXED ASSETS
| Cost At 01/02/2021 At 31/03/2022 Depreciation At 01/02/2021 For the 424 day period At 31/03/2022 Net Book Amounts At 31/03/2022 At 31/01/2021 5. DEBTORS Amounts falling due within one year: Other debtors 6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Taxation and social security Other creditors |
Equipment £ 1,299 1,299 433 433 866 433 866 2022 £ 1,556 1,556 2022 £ 636 6,072 6,708 |
Total £ 1,299 |
|---|---|---|
| 1,299 | ||
| 433 433 |
||
| 866 | ||
| 433 | ||
| 866 | ||
| 2021 £ - |
||
| - | ||
| 2021 £ 683 3,580 |
||
| 4,263 |
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Paper Cup Project
7. UNRESTRICTED FUNDS
| General fund | Brought forward £ 41,552 41,552 |
Incoming resources £ 28,383 28,383 |
Outgoing resources £ (25,630) (25,630) |
Transfers £ - - |
Carried forward £ 44,305 |
|---|---|---|---|---|---|
| 44,305 |
8. RESTRICTED FUNDS
| LIVV Housing Big Help Project Cargill Global Funding Enterprise Development Programme Crowdfunder Ltd The SpeedoMick Foundation Charities Aid Foundation America Liverpool Charity and Voluntary Services Albert Hunt Trust Rise Construction CIF Skelton Charity Liverpool City Council |
Brought forward £ - - - 4,433 2,248 - - - - - - - 6,681 |
Incoming resources £ 500 500 5,000 32,250 - 2,000 5,085 4,405 5,000 500 1,500 1,570 58,310 |
Outgoing resources £ (500) (500) (5,000) (35,850) - - (4,785) (2,492) (5,000) (500) (1,500) - (56,127) |
Transfers £ - - - - - - - - - - - - - |
Carried forward £ - - - 833 2,248 2,000 300 1,913 - - - 1,570 |
|---|---|---|---|---|---|
| 8,864 |
LIVV Housing
Funds for supporting people experiencing homelessness
Big Help Project
Funds for supporting people experiencing homelessness
Cargill Global Funding
Funds for refurbishment of coffee shop
Enterprise Development Programme
Funding for salaries
Crowdfunder Ltd
Funding for setting up and running a coffee shop
The SpeedoMick Foundation
Funds for equipment
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Paper Cup Project
Charities Aid Foundation America
Funds for refurbishment of coffee shop
Liverpool Charity and Voluntary Services
Funds for supporting people experiencing homelessness
Albert Hunt Trust
Funding for salaries
Rise Construction CIF
Funds for supporting people experiencing homelessness
Skelton Charity
Funds for equipment
Liverpool City Council
Funding for alarm and electrical work of refurbishment
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Paper Cup Project
9. INCOMING RESOURCES
| 2022 | 2021 | |
|---|---|---|
| Restricted Funds | ||
| Restricted Project Grants | 24,490 | |
| Liverpool City Council | 1,570 | 2,000 |
| Community Foundation for Merseyside | - | 1,430 |
| Enterprise Development Programme | 32,250 | 15,000 |
| Crowdfunder Ltd | - | 2,248 |
| ______ | ______ | |
| 58,310 | 20,678 | |
| General Unrestricted Funds | ||
| Donations | 20,307 | 14,923 |
| Merseyrailt | 2,500 | |
| Cafe Sales | 5,576 | - |
| ______ | ______ | |
| 28,383 | 14,293 | |
| ______ | ______ | |
| Total Incoming Resources | 86,693 | 35,601 |
| ______ | ______ |
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Paper Cup Project
10. RESOURCES EXPENDED
| 2022 | 2021 | |
|---|---|---|
| Salaries | 51,671 | 15,417 |
| Accommodation and Other Beneficiary Costs | 123 | 1,065 |
| Storage | 509 | 1,438 |
| Independent Examination | 700 | 600 |
| Accountancy | 770 | 480 |
| Legal Fees | 2,522 | 500 |
| Professional Fees and Consulatancy | 2,500 | 2,650 |
| Consumable Supplies and Provisions | 4,245 | 528 |
| Subscriptions | 109 | 216 |
| IT and Website | 1,812 | 170 |
| Health and Safety PPE | 480 | 40 |
| Advertising | 311 | 38 |
| Depreciation | 433 | 433 |
| Refurbishment and Repairs | 10,877 | - |
| Service Charges, Utilities and Administration Costs | 4,695 | - |
| ______ | ______ | |
| 81,757 | 23,575 | |
| ______ | ______ |
11. GENERAL INFORMATION
Paper Cup Project (Charity Number 1181449) is a Charitable Incorporated Organisation that registered as a Charity 7 January 2019. Its registered office is Paper Cup Coffee, Queen Square, Liverpool, Merseyside, L1 1RH. The accounts are stated in sterling the functional currency of the Charity.
12. TAXATION
The Charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
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13. NET ASSETS BY FUND
| Net Assets by Fund | |||
|---|---|---|---|
| Unrestricted | Restricted | Total | |
| Funds | Funds | Funds | |
| Tangible Fixed Assets | 433 | - | 433 |
| Net Current Assets | 43,872 | 8,864 | 52,736 |
| ______ | ______ | ______ | |
| 44,305 | 8,864 | 53,169 | |
| ______ | ______ | ______ |
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