2023-03-31-accounts - The Old Needle Works Foundation

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REGISTERED COMPANY NUMBER: CE016375 REGISTERED CHARITY NUMBER: 1181832

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023

FOR

THE OLD NEEDLE WORKS FOUNDATION

SAS Accountant Ltd t/as OJW Associates

16 Hennals Avenue Webheath Redditch Worcestershire B97 5RX

THE OLD NEEDLE WORKS FOUNDATION

CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 31st March 2023

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Page
Chairman's Report 1
Report of the Trustees 2 to 4
Independent Examiner's Report 5
Statement of Financial Activities 6
Balance Sheet 7 to 8
Notes to the Financial Statements 9 to 15
Detailed Statement of Financial Activities 16 to 17
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THE OLD NEEDLE WORKS FOUNDATION

CHAIRMAN'S REPORT for the Year Ended 31st March 2023

Mental health issues are now the leading cause of disability in the UK. One in four people above the age of 10 (Office of National Statistics) has a mental health issue, and many refuse to seek treatment due to stigma and limited resources. The largest concern in children being Social Anxiety. Although several factors such as parenting style and past trauma contribute to this, the greatest influence is social media.

A quarter of 11-16 year olds, and nearly half of 17-19 year olds (46.8%), with a mental disorder reported that they have self-harmed or attempted suicide at some point in their lives. For 11-16 year olds, this represents a greater than eightfold risk compared to those without a mental health problem.

Change your mind, change your life

The spirit of our culture, change your mind, change your life, precisely sums up our objective.

At this point a year ago, I reported on the development the Foundation had achieved throughout 2021/22. This year has again evidenced our successful ethos with an even greater increase in the number of service users. We continue to be dedicated to improving the quality of life of young people and families. Great advances are in motion which will offer the Foundation wider scope across its activities. The coming year will be exciting!

Our Foundations People

On a personal note, I have said this many times, one extremely crucial point is to recognise the astonishing dedication and determination of our staff, our volunteers and my fellow trustees. without whom, we would fail! The service we provide does not just happen. The support is down to everyone's dedication going way beyond the call of duty. It's incredible! I have seen how much the Foundation means to people and the lengths people will go to help us achieve it.

It has been a privilege to be Chairman.

Thank you.

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THE OLD NEEDLE WORKS FOUNDATION

REPORT OF THE TRUSTEES for the Year Ended 31st March 2023

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31st March 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The Old Needle Works is a community learning and support hub proving skills courses and groups to help local people with their wellbeing and mental health. We support people to make lasting positive changes to improve life quality and chances. Our premises are shared and act as an incubator for other charities and social enterprise.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The Trustees are appointed at the AGM, after going through an induction and training process. Their appointment is recorded in the minutes of the meeting and no signatures of acceptance are required. The Trustees have the power to co-opt other members.

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THE OLD NEEDLE WORKS FOUNDATION

REPORT OF THE TRUSTEES for the Year Ended 31st March 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT Treasurers comments

Our robust risk management procedures and the exceptional work of the management team has alowed us o maintain a strong financial position over the course of the year. We have built strong relationships with funding bodies and increased the number of suppliers that we are able to use ensuring te charity is sustainable going forward. As detailed in the formal accounts.

Our firm financial position and space available at the Old Needleworks Foundation has allowed us to expand our services, building our strategy of becoming a family centre.

Governance

The Old Needleworks Foundation has now established since June 2019. During this time the trustees have established the protocols needed to fulfil their overseeing duties. This includes reviewing a financial report at the monthly trustees meeting that includes:

The monthly cash and financial position
Forward forecast of both profit and loss and cash position
Financial risks and opportunities
Grant project specific constraints

To ensure costs and value is fully captured we use the Xero financial software package. Xero contains a dashboard showing, at a glance, unpaid invoices, YTD profit and cash in cash out. Xero also contains an extensive suite of reporting tools allowing interrogation of every element of financial performance. The Xero software is being tailored to allow a project by project (grant by grant) cost capture to ease governance processes further.

Our robust financial governance procedures include a review of profit and loss and cash positions at different scenarios using a cash flow forecast spreadsheet so the trustees can understand the potential financial impact of major decisions, or the impact of significant risks or opportunities.

Our accountant to a local company OJW Associates who is significantly more supportive.

We have reduced our reserves policy from three to two months operating costs held in cash at bank.

Commercial risks and opportunities and mitigations

Risks, opportunities, and mitigations are discussed on an individual basis at the trustees meeting held on the first Friday of each calendar month. In exceptional circumstances additional meeting can be held to agree an operational approach and identify potential risks and mitigation measure.

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||| |---|---| |Significant Risks & Opportunities|Mitigation measures| |Loss of income from lost paid for services|Access to increased supply chain| |Loss of income from services not delivered where grant|Agree relaxation of spend requirements from donor| |monies already paid|bodies| |Active members of VCSE Alliance with influencing role.| |Development of The Old Needleworks Network as an| |Restructure of mntal health services to include VCSE|exemplar of hw servics can be delivered|

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THE OLD NEEDLE WORKS FOUNDATION

REPORT OF THE TRUSTEES for the Year Ended 31st March 2023

STRUCTURE, GOVERNANCE AND MANAGEMENT

Increased costs due to enrgy increases

Increased income from new or increased scope of services

Cash surplus

Value chain

Ratches in place in tenantes sub leases to allow recovery of increased utilities costs The increased space available allows us to deliver a wider range of services, becoming more resilient and less reliant on rental income An increasing cash surplus will allow us to deliver, non-funded services to support a limited amount of individuals that would not otherwise have access to mental health support Ther is an opportunity to progress to an assessment centre, we should monitor risks of lack of engagement from schools should we be refering students

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number CE016375 (Not specified/Other)

Registered Charity number

1181832

Registered office

The Old Needlworks Cedar House Britten Street Redditch B97 6HD

Trustees

G Scragg Treasurer J R Williamson Chairman N J Ordish P Salnicki L Lostitch

Independent Examiner

SAS Accountant Ltd t/as OJW Associates 16 Hennals Avenue Webheath Redditch Worcestershire B97 5RX

Approved by order of the board of trustees on ............................................. and signed on its behalf by:

........................................................................ J R Williamson - Trustee

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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE OLD NEEDLE WORKS FOUNDATION

Independent examiner's report to the trustees of The Old Needle Works Foundation ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31st March 2023.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
the accounts do not accord with those records; or
the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Gareth Wood MAAT

SAS Accountant Ltd t/as OJW Associates 16 Hennals Avenue Webheath Redditch Worcestershire B97 5RX

Date: .............................................

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THE OLD NEEDLE WORKS FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31st March 2023

Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 23,963 Other trading activities 2 4,381 Investment income 3 84,096 Total 112,440 EXPENDITURE ON Raising funds 38,037 Charitable activities Support and management costs 24,691 Charity expenditure 55,904 Other 7,934 Total 126,566 NET INCOME/(EXPENDITURE) (14,126) RECONCILIATION OF FUNDS Total funds brought forward 44,726 TOTAL FUNDS CARRIED FORWARD 30,600	Restricted funds £ 118,431 - 1 118,432 43,432 11,098 23,351 - 77,881 40,551 33,455 74,006	2023 Total funds £ 142,394 4,381 84,097 230,872 81,469 35,789 79,255 7,934 204,447 26,425 78,181 104,606	2022 Total funds £ 148,909 9,656 62,265 220,830 103,765 37,238 80,404 13,729 235,136 (14,306) 92,487 78,181

The notes form part of these financial statements

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THE OLD NEEDLE WORKS FOUNDATION

BALANCE SHEET 31st March 2023

Unrestricted fund Notes £ FIXED ASSETS Tangible assets 7 407 CURRENT ASSETS Debtors 8 11,734 Cash at bank 25,692 37,426 CREDITORS Amounts falling due within one year 9 (7,233) NET CURRENT ASSETS 30,193 TOTAL ASSETS LESS CURRENT LIABILITIES 30,600 NET ASSETS 30,600 FUNDS 10 Unrestricted funds Restricted funds TOTAL FUNDS	Restricted funds £ - - 74,006 74,006 - 74,006 74,006 74,006	2023 Total funds £ 407 11,734 99,698 111,432 (7,233) 104,199 104,606 104,606 30,600 74,006 104,606	2022 Total funds £ 1,594 2,003 82,227 84,230 (7,643) 76,587 78,181 78,181 44,726 33,455 78,181

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st March 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 31st March 2023 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

The notes form part of these financial statements

continued...

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THE OLD NEEDLE WORKS FOUNDATION

BALANCE SHEET - continued 31st March 2023

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

............................................. J R Williamson - Trustee

............................................. G Scragg - Trustee

The notes form part of these financial statements

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THE OLD NEEDLE WORKS FOUNDATION NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 31st March 2023

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, 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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 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.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

20% on cost

Taxation

The charity is exempt from corporation tax on its charitable activities.

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.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

2. OTHER TRADING ACTIVITIES

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|||| |---|---|---| |2023|2022| |£|£| |Shop income|4,381|9,656| |3.|INVESTMENT INCOME| |2023|2022| |£|£| |Rents received|84,007|62,258| |Deposit account interest|90|7| |84,097|62,265|

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4. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

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|||| |---|---|---| |2023|2022| |£|£| |Depreciation - owned assets|1,187|1,280| |Other operating leases|49,100|47,030|

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5. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31st March 2023 nor for the year ended 31st March 2022.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31st March 2023 nor for the year ended 31st March 2022.

6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

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||||| |---|---|---|---| |Unrestricted|Restricted|Total| |fund|funds|funds| |£|£|£| |INCOME AND ENDOWMENTS FROM| |Donations and legacies|11,569|137,340|148,909| |-| |Other trading activities|9,656|9,656| |Investment income|62,265|-|62,265| |Total|83,490|137,340|220,830| |EXPENDITURE ON| |Raising funds|11,311|92,454|103,765| |Charitable activities| |Support and management costs|20,554|16,684|37,238|

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continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

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6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted Restricted Total
fund funds funds
£ £ £
Charity expenditure 54,604 25,800 80,404
Other 13,729 - 13,729
Total 100,198 134,938 235,136
NET INCOME/(EXPENDITURE) (16,708) 2,402 (14,306)
RECONCILIATION OF FUNDS
Total funds brought forward 61,434 31,053 92,487
TOTAL FUNDS CARRIED FORWARD 44,726 33,455 78,181
7. TANGIBLE FIXED ASSETS
Fixtures
and
fittings
£
COST
At 1st April 2022 and 31st March 2023 6,407
DEPRECIATION
At 1st April 2022 4,813
Charge for year 1,187
At 31st March 2023 6,000
NET BOOK VALUE
At 31st March 2023 407
At 31st March 2022 1,594
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continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade debtors Prepayments		2023 £ 9,832 1,902	2022 £ 643 1,360
		11,734	2,003
9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade creditors Social security and other taxes Accruals and deferred income		2023 £ 6,433 - 800	2022 £ 5,635 1,208 800
		7,233	7,643
10. MOVEMENT IN FUNDS Unrestricted funds General fund Restricted funds Children in Need Reaching Communities Awards For All Council Discetional Grant Severn Trent Primary Care Network	At 1/4/22 £ 44,726 3,576 14,615 2,235 12,609 420 -	Net movement in funds £ (14,126) 224 13,499 6,388 (8,626) 17,943 11,123	At 31/3/23 £ 30,600 3,800 28,114 8,623 3,983 18,363 11,123
	33,455	40,551	74,006
TOTAL FUNDS	78,181	26,425	104,606

continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

10. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds General fund Restricted funds Children in Need Reaching Communities Awards For All Council Discetional Grant Severn Trent Primary Care Network TOTAL FUNDS	Incoming resources £ 112,440 15,808 51,271 9,343 9,381 21,506 11,123 118,432 230,872	Resources Movement expended in funds £ £ (126,566) (14,126) (15,584) 224 (37,772) 13,499 (2,955) 6,388 (18,007) (8,626) (3,563) 17,943 - 11,123 (77,881) 40,551 (204,447) 26,425

Comparatives for movement in funds

Unrestricted funds General fund Restricted funds Children in Need Reaching Communities Awards For All Council Discetional Grant Severn Trent	At 1/4/21 £ 61,434 2,186 18,637 - 4,559 5,671	Net movement At in funds 31/3/22 £ £ (16,708) 44,726 1,390 3,576 (4,022) 14,615 2,235 2,235 8,050 12,609 (5,251) 420
	31,053	2,402 33,455
TOTAL FUNDS	92,487	(14,306) 78,181

continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

10. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds General fund Restricted funds Children in Need Reaching Communities People Health Trust Awards For All Council Discetional Grant Severn Trent TOTAL FUNDS	Incoming resources £ 83,490 31,302 51,959 24,999 9,949 17,314 1,817 137,340 220,830	Resources Movement expended in funds £ £ (100,198) (16,708) (29,912) 1,390 (55,981) (4,022) (24,999) - (7,714) 2,235 (9,264) 8,050 (7,068) (5,251) (134,938) 2,402 (235,136) (14,306)

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds General fund Restricted funds Children in Need Reaching Communities Awards For All Council Discetional Grant Severn Trent Primary Care Network	At 1/4/21 £ 61,434 2,186 18,637 - 4,559 5,671 -	Net movement At in funds 31/3/23 £ £ (30,834) 30,600 1,614 3,800 9,477 28,114 8,623 8,623 (576) 3,983 12,692 18,363 11,123 11,123
	31,053	42,953 74,006
TOTAL FUNDS	92,487	12,119 104,606

continued...

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THE OLD NEEDLE WORKS FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31st March 2023

10. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds General fund Restricted funds Children in Need Reaching Communities People Health Trust Awards For All Council Discetional Grant Severn Trent Primary Care Network TOTAL FUNDS	Incoming resources £ 195,930 47,110 103,230 24,999 19,292 26,695 23,323 11,123 255,772 451,702	Resources Movement expended in funds £ £ (226,764) (30,834) (45,496) 1,614 (93,753) 9,477 (24,999) - (10,669) 8,623 (27,271) (576) (10,631) 12,692 - 11,123 (212,819) 42,953 (439,583) 12,119

11. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st March 2023.

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THE OLD NEEDLE WORKS FOUNDATION

DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31st March 2023

INCOME AND ENDOWMENTS Donations and legacies Grants Other trading activities Shop income Investment income Rents received Deposit account interest Total incoming resources EXPENDITURE Other trading activities Purchases Support costs Management Wages Pensions Rent Rates and water Insurance Light and heat Telephone Postage and stationery Advertising Professional fees Finance Sundries Depreciation of tangible fixed assets Information technology Repairs and renewals	2023 £ 142,394 4,381 84,007 90 84,097 230,872 81,469 26,429 845 49,100 - 3,268 11,986 680 2,647 1,471 12,423 108,849 592 1,187 1,779 9,854	2022 £ 148,909 9,656 62,258 7 62,265 220,830 103,765 28,133 791 47,030 3,292 3,850 9,935 817 2,247 1,307 9,771 107,173 747 1,280 2,027 19,826

This page does not form part of the statutory financial statements

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THE OLD NEEDLE WORKS FOUNDATION

DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31st March 2023

Information technology Governance costs Accountancy and legal fees Total resources expended Net income/(expenditure)	2023 £ 2,496 204,447 26,425	2022 £ 2,345 235,136 (14,306)

This page does not form part of the statutory financial statements

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