2021-06-30-accounts - The Selhurst Foundation

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REGISTERED COMPANY NUMBER: 10950075 (England and Wales)

REPORT OF THE TRUSTEES AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2021

FOR

THE SELHURST FOUNDATION (A COMPANY LIMITED BY GUARANTEE)

George Hay & Company Chartered Accountants & Statutory Auditors 83 Cambridge Street London SW1V 4PS

THE SELHURST FOUNDATION

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

		Page
Report of the Trustees	1	to	3
Report of the Independent Auditors	4	to	6
Statement of Financial Activities		7
Statement of Financial Position		8
Statement of Cash Flows		9
Notes to the Statement of Cash Flows		10
Notes to the Financial Statements	11	to	16

THE SELHURST FOUNDATION (REGISTERED NUMBER: 10950075)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021

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 30 June 2021. 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

Public benefit

The Trustees confirm that they have had regard to the Charity Commission's guidance on public benefit when setting the charitable company's objectives and aims.

The objectives of the charitable company are:

(i) The promotion of community participation in healthy recreation in particular the provision of facilities for the playing of football, martial arts, boxing and other sports;

(ii) To promote for the benefit of the inhabitants of London and the surrounding area the provision of facilities for recreation or other leisure time occupation of individuals who have the need of such facilities by reason of their youth, age, infirmity or disablement, financial hardship or social and economic circumstances or for the public at large in the interests of social welfare and with the object of improving the condition of life of the said inhabitants;

(iii) To advance the physical education of children and young people under the age of 25 years (who may be attending schools or in full time education or not undergoing formal education) by providing sports facilities; and

(iv) The advancement of such other objects or purposes which are exclusively charitable according to the law of England and Wales in any part of the world and in such manner as the Trustees may in their absolute discretion think fit.

ACHIEVEMENT AND PERFORMANCE

Fundraising activities

No fundraising activities have been undertaken in the year.

FINANCIAL REVIEW

Financial position

The trustees consider that the charity now has sufficient funds to enable it to begin activities once circumstances permit.

Principal funding sources

The charity currently relies upon funding from one of the trustees in order to meet expenditure and commence charitable activities.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

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

Charity constitution

The charitable company was registered as a charity with the Charity Commission on 26 March 2019.

Recruitment and appointment of new trustees

New trustees are appointed by resolution of the charitable company's members and serve for an initial term of three years. Trustees may serve a total of two consecutive terms, being eligible for re-election only after a year has elapsed, unless the Board of Trustees consider it is in the best interests of the charitable company for the trustee to be eligible for re-election on his or her retirement for such number of further terms as the Trustees shall resolve.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

10950075 (England and Wales)

Registered Charity number

1182639

Page 1

THE SELHURST FOUNDATION (REGISTERED NUMBER: 10950075)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021

Registered office

49 Cheyne Place London SW3 4HL

Trustees

M W Harold Ms P Arteaga

Auditors

George Hay & Company Chartered Accountants & Statutory Auditors 83 Cambridge Street London SW1V 4PS

COMMENCEMENT OF ACTIVITIES

The Charitable Company has been investing and formulating plans for its future activities and has engaged professional advisors throughout the period to provide planning advice and assistance for the commencement. The Charitable Company did not commence activities in the period following registration with the Charity Commission on 26 March 2019 with proposed plans curtailed as a result of the ongoing pandemic since March 2020.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of The Selhurst Foundation for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charity SORP;
make judgements and estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

there is no relevant audit information of which the charitable company's auditors are unaware; and
the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

AUDITORS

The auditors, George Hay & Company, will be proposed for re-appointment at the forthcoming Annual General Meeting.

Page 2

THE SELHURST FOUNDATION (REGISTERED NUMBER: 10950075)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 30 March 2022 and signed on its behalf by:

M W Harold - Trustee

Page 3

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE SELHURST FOUNDATION

Opinion

We have audited the financial statements of The Selhurst Foundation (the 'charitable company') for the year ended 30 June 2021 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the charitable company's affairs as at 30 June 2021 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Report of the Trustees has been prepared in accordance with applicable legal requirements.

Page 4

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE SELHURST FOUNDATION

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of trustees' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the trustees were not entitled to take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees.

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

Based on our understanding of the Charity's operations we identified that the principle risk of non-compliance with laws and regulations relates to charitable activities. We considered the extent to which non-compliance might have a material effect on the financial statements that results in the charity not meeting the public benefit test. We also considered the relevant laws and regulations, that have a direct impact on the preparation of the financial statements including the Companies Act 2006 and the Charities Act 2011.

We evaluated the Trustees' incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined there were no principal risks directly impacting the Charity's activities.

Audit procedures performed by the engagement team included:

Discussion with the Trustees including consideration of known or suspected instances of non-compliance with laws and regulations and fraud; and
Evaluating the Trustees' controls designed to prevent and detect irregularities.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE SELHURST FOUNDATION

Other matters which we are required to address

The financial statements for the year ended 30 June 2020 were unaudited.

It was possible to obtain sufficient appropriate audit evidence to support the opening balances by reference to the independent examination that was undertaken. There were no indications of material misstatements which could impact on the surplus recorded for the current period.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

MICHAEL DAVIS FCCA FCA (Senior Statutory Auditor) for and on behalf of George Hay & Company Chartered Accountants & Statutory Auditors 83 Cambridge Street London SW1V 4PS

30 March 2022

Page 6

THE SELHURST FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 JUNE 2021

Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 EXPENDITURE ON Other NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD	2021 Unrestricted fund £ 1,101,146 18,269 1,082,877 290,233 1,373,110	2020 Total funds £ 313,758 2,720 311,038 (20,805) 290,233

The notes form part of these financial statements

Page 7

THE SELHURST FOUNDATION (REGISTERED NUMBER: 10950075)

STATEMENT OF FINANCIAL POSITION 30 JUNE 2021

Notes CURRENT ASSETS Debtors 7 Cash at bank CREDITORS Amounts falling due within one year 8 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS Amounts falling due after more than one year 9 NET ASSETS FUNDS 11 Unrestricted funds TOTAL FUNDS	2021 Unrestricted fund £ 220,678 1,241,234 1,461,912 (41,254) 1,420,658 1,420,658 (47,548) 1,373,110 1,373,110 1,373,110	2020 Total funds £ - 317,654 317,654 (27,421) 290,233 290,233 - 290,233 290,233 290,233

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 30 March 2022 and were signed on its behalf by:

M W Harold - Trustee

The notes form part of these financial statements

Page 8

THE SELHURST FOUNDATION

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2021

Notes Cash flows from operating activities Cash generated from operations 1 Net cash provided by operating activities Cash flows from financing activities New loans in year Net cash provided by financing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period	2021 £ 873,580 873,580 50,000 50,000 923,580 317,654 1,241,234	2020 £ 312,654
		312,654
		-
		-

		312,654 5,000
		317,654

The notes form part of these financial statements

Page 9

THE SELHURST FOUNDATION

NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2021

1.	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES	RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
			2021	2020
			£	£
	Net income for the reporting period (as per the Statement of Financial
	Activities)		1,082,877	311,038
	Adjustments for:
	Increase in debtors		(220,678)	-
	Increase in creditors		11,381	1,616
	Net cash provided by operations		873,580	312,654
2.	ANALYSIS OF CHANGES IN NET FUNDS
		At 1.7.20	Cash flow	At 30.6.21
		£	£	£
	Net cash
	Cash at bank	317,654	923,580	1,241,234
		317,654	923,580	1,241,234
	Debt
	Debts falling due within 1 year	-	(2,452)	(2,452)
	Debts falling due after 1 year	-	(47,548)	(47,548)
		-	(50,000)	(50,000)
	Total	317,654	873,580	1,191,234

The notes form part of these financial statements

Page 10

THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

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.

Going concern basis

The charitable company's financial statements have been prepared on a going concern basis as it is the opinion of the trustees that the charitable company is a going concern. The trustees have received the necessary assurances from the third-party funding the charitable company's set-up legal and professional fees that repayment will not be required until such time as they have secured unrestricted donations to enable the charitable company to continue to operate.

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.

Government coronavirus bounce-back interest receipts are recognised over the period in which the loan interest is met by the government.

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.

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.

Financial instruments

The charitable company only enters into basic financial transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties and investments in non-puttable ordinary shares.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of Financial Activities.

Financial assets and liabilities are offset and the net amount reported in the Statement of Financial Position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

continued...

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THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 JUNE 2021

2. DONATIONS AND LEGACIES

DONATIONS AND LEGACIES
Donations Gift aid Grants	2021 £ 880,000 220,000 1,146 1,101,146	2020 £ 250,000 63,758 -
		313,758

Grants received, included in the above, are as follows:

Other grants

2021	2020
£	£
1,146		-

Other grants consist of bounce-back loan interest paid by the government under the terms of the loan facility.

3. SUPPORT COSTS

SUPPORT COSTS
		Information	Governance
	Finance	technology	costs	Totals
	£	£	£	£
Other resources expended	2,064	2,166	14,039	18,269

4. NET INCOME/(EXPENDITURE)

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

	2021	2020
	£	£
Auditors' remuneration	3,000	-
Independent examiner's remuneration	-	1,140
Other non-audit services	2,979	1,405

5. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 June 2021 nor for the year ended 30 June 2020.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 June 2021 nor for the year ended 30 June 2020.

continued...

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THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 JUNE 2021

6.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
INCOME AND ENDOWMENTS FROM
Donations and legacies
EXPENDITURE ON
Other
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
7.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
Prepayments
8.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 10)
Other creditors
Accruals and deferred income

Unrestricted
fund
£
313,758
2,720
311,038
(20,805)
290,233
2021
2020
£
£
220,000
-
678
-
220,678
-
2021
2020
£
£
2,452
-
25,092
23,916
13,710
3,505
41,254
27,421

continued...

Page 13

THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 JUNE 2021

9. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

9. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Bank loans (see note 10) 10. LOANS An analysis of the maturity of loans is given below: Amounts falling due within one year on demand: Bank loans Amounts falling between one and two years: Bank loans - 1-2 years Amounts falling due between two and five years: Bank loans - 2-5 years Amounts falling due in more than five years: Repayable by instalments: Bank loans more 5 yr by instal	2021 £ 47,548 2021 £ 2,452 5,882 17,647 24,019	2020 £ -
		2020 £ -
		-
		-
		-

Bank loans are unsecured and repayable over 10 years from February 2022 at an interest rate of 2.5 per cent per annum.

11. MOVEMENT IN FUNDS

Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Unrestricted funds General fund TOTAL FUNDS	At 1.7.20 £ 290,233 290,233 Incoming resources £ 1,101,146 1,101,146	Net movement in funds £ 1,082,877 1,082,877 Resources expended £ (18,269) (18,269)	At 30.6.21 £ 1,373,110 1,373,110 Movement in funds £ 1,082,877 1,082,877

continued...

Page 14

THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 JUNE 2021

11. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds General fund TOTAL FUNDS	At 1.7.19 £ (20,805) (20,805)	Net movement in funds £ 311,038 311,038	At 30.6.20 £ 290,233
			290,233

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

Unrestricted funds General fund TOTAL FUNDS	Incoming resources £ 313,758 313,758	Resources Movement expended in funds £ £ (2,720) 311,038 (2,720) 311,038

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

Unrestricted funds General fund TOTAL FUNDS	At 1.7.19 £ (20,805) (20,805)	Net movement in funds £ 1,393,915 1,393,915	At 30.6.21 £ 1,373,110
			1,373,110

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 TOTAL FUNDS	Incoming resources £ 1,414,904 1,414,904	Resources expended £ (20,989) (20,989)	Movement in funds £ 1,393,915 1,393,915

Page 15

continued...

THE SELHURST FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 JUNE 2021

12. RELATED PARTY DISCLOSURES

Donations from trustees in the year ended 30th June 2021 totalled £880,000 (2020: £250,000).

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