**REGISTERED COMPANY NUMBER: 11656625 (England and Wales) REGISTERED CHARITY NUMBER: 1182870**
## **REPORT OF THE TRUSTEES AND**
## **UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **FOR**
## **HAIRCUTS4HOMELESS LIMITED**
A R Wenden FCCA Elliott, Mortlock, Busby & Co Limited 12 High Street Stanford le Hope Essex SS17 0EY
**HAIRCUTS4HOMELESS LIMITED**
## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2022**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|2|
|**Independent Examiner's Report**||3||
|**Statement of Financial Activities**||4||
|**Balance Sheet**|5|to|6|
|**Notes to the Financial Statements**|7|to|12|
|**Detailed Statement of Financial Activities**|13|to|14|
## **HAIRCUTS4HOMELESS LIMITED**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 NOVEMBER 2022**
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 November 2022. 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**
Our charitable objectives can be summarised into our main aims:
Homeless people have many challenges to face, one being low self-esteem by being able to provide a haircut free of charge can have a great effect on someone, giving them confidence to face the prospect of job interviews and interaction with people.
## **Significant activities**
In December 2020 we were closed down because of covid until April 2021. We then set about restarting our projects across the Uk. This was a slow process as we had to personally attend to make sure all covid health and safety procedures were adhered to. We then spent the rest of the time up until November 2021 reopening our projects and supporting them with supplies and encouragement.
## **Public benefit**
Hairdressers have known empathy and are great communicators offering their time and willingness to help the homeless people.
Homeless people now have a first-class access to Hair and grooming facility to enable them to access jobs and social inclusion.
We have created a hub for interaction and volunteering reducing loneliness and social isolation.
## **Grantmaking**
We have facilitated specific nominated collections for poor and vulnerable people in the community.
## **Volunteers**
We are entirely volunteer led, with over 21,000 hours per year contributed directly from local/national people.
## **Chairperson's Statement**
I would like to begin by thanking the many volunteers and staff who make the work on the Haircuts4homeless project a success and to have created an impact in the wider community. I would also like to thank my fellow Trustees for their dedication and support in the important role of governance and leadership.
We have seen significant growth of the projects in the past 12 months and are seeing a demonstrable impact upon the health and wellbeing of individuals in the United Kingdom and the community as a whole.
We enjoy continued support from the community, especially small local businesses who consistently go over and above in supporting our Social Enterprise.
We benefit greatly from healthy partnerships with the public sector including L'Oreal, Zenoti, Beauty Papers, Wahl UK, Hair Tools and the National Lottery.
Covid 19 has decimated so many of our projects but now begins the work of rebuilding and making the charity stronger than
## **FINANCIAL REVIEW**
## **Principal funding sources**
The principal funding sources for the charity are currently by way of lottery grant, sponsorships and donations. Income has been generated from a lottery development grant, lottery community fund grant and social media fund raising.
We are fortunate to have two strong sponsorships with L'Oreal and Zenoti who donate £25,000 and $25,000 respectively.
Page 1
**HAIRCUTS4HOMELESS LIMITED**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **FINANCIAL REVIEW**
## **Reserves policy**
The charity needs to hold a level of reserves in order to plan adequately for the future development. The freely available reserves stand at £19,705.
The board and management are continuing to work to increase the reserves and secure future funding.
## **FUTURE PLANS**
The board and management team are working to secure future corporate funding, a long with grant and bid applications.
## **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 Charities Articles of Association:
1.For the relief of financial hardship to the homeless by establishing sites throughout the United Kingdom
(a) Where skilled hairdressers will provide haircuts free of charge to homeless people
(b) Establishing pop up Hairdresser academies where homeless people will be taught basic hairdressing skills.
## **Recruitment and appointment of new trustees**
At the annual general meeting we are obliged to present a report and accounts for the preceding year and to elect or appoint Trustees to the Management Committee
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number**
11656625 (England and Wales)
## **Registered Charity number**
1182870
## **Registered office**
53 Ernest Road Hornchurch United Kingdom RM11 3JN
## **Trustees**
A Perera A Reed Ms M Kendall MBE
## **Independent Examiner**
A R Wenden FCCA Elliott, Mortlock, Busby & Co Limited 12 High Street Stanford le Hope Essex SS17 0EY
Approved by order of the board of trustees on 17 August 2023 and signed on its behalf by:
Ms M Kendall - Trustee
Page 2
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HAIRCUTS4HOMELESS LIMITED**
## **Independent examiner's report to the trustees of Haircuts4homeless Limited ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 November 2022.
## **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:
1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. 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
4. 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.
Anthony Wenden
The Association of Chartered Certified Accountants
A R Wenden FCCA Elliott, Mortlock, Busby & Co Limited 12 High Street Stanford le Hope Essex SS17 0EY
29 August 2023
Page 3
## **HAIRCUTS4HOMELESS LIMITED**
## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 NOVEMBER 2022**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**17,714**
Other trading activities
3
**53,294**
**Total**
**71,008**
**EXPENDITURE ON**
**Raising funds**
Raising donations and legacies
**3,604**
**3,604**
**Charitable activities**
Activities
**84,603**
Other
**4,071**
**Total**
**92,278**
**NET INCOME/(EXPENDITURE)**
**(21,270)**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**40,975**
**TOTAL FUNDS CARRIED FORWARD**
**19,705**|Restricted
funds
£
**7,000**
**-**
**7,000**
**19,961**
**19,961**
**2,063**
**-**
**22,024**
**(15,024)**
**18,422**
**3,398**|**2022**
**Total**
**funds**
**£**
**24,714**
**53,294**
**78,008**
**23,565**
**23,565**
**86,666**
**4,071**
**114,302**
**(36,294)**
**59,397**
**23,103**|2021
Total
funds
£
33,323
43,581
76,904
718
718
80,304
4,852
85,874
(8,970)
68,367
59,397|
|---|---|---|---|
The notes form part of these financial statements
Page 4
## **HAIRCUTS4HOMELESS LIMITED**
## **BALANCE SHEET 30 NOVEMBER 2022**
|Unrestricted
Restricted
fund
funds
Notes
£
£
**FIXED ASSETS**
Tangible assets
8
**11,327**
**-**
**CURRENT ASSETS**
Debtors
9
**1,587**
**-**
Cash at bank
**24,248**
**3,398**
**25,835**
**3,398**
**CREDITORS**
Amounts falling due within one year
10
**(5,457)**
**-**
**NET CURRENT ASSETS**
**20,378**
**3,398**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**31,705**
**3,398**
**CREDITORS**
Amounts falling due after more than one year
11
**(12,000)**
**-**
**NET ASSETS**
**19,705**
**3,398**
**FUNDS**
13
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|**2022**
**Total**
**funds**
**£**
**11,327**
**1,587**
**27,646**
**29,233**
**(5,457)**
**23,776**
**35,103**
**(12,000)**
**23,103**
**19,705**
**3,398**
**23,103**|2021
Total
funds
£
15,398
3,714
60,919
64,633
(4,634)
59,999
75,397
(16,000)
59,397
40,975
18,422
59,397|
|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 November 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 30 November 2022 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
Page 5
continued...
## **HAIRCUTS4HOMELESS LIMITED**
## **BALANCE SHEET - continued 30 NOVEMBER 2022**
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 17 August 2023 and were signed on its behalf by:
M Kendall - Trustee
The notes form part of these financial statements
Page 6
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **1. STATUTORY INFORMATION**
Haircuts4homeless Limited is a private company, limited by guarantee, registered in England and Wales. The company's registered number, charity number and registered office address can be found on the Company Information page.
## **2. 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.
## **Governance costs**
|**Governance costs**|||
|---|---|---|
||**2022**|2021|
||**£**|£|
|Independent examiners fees|**-**|200|
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Motor vehicles - 25% on reducing balance Computer & office equipment - 25% straight line basis
## **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.
## **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...
Page 7
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **3. OTHER TRADING ACTIVITIES**
## **4.**
|Sponsorships
**NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
Depreciation - owned assets|**2022**
**£**
**53,294**
**2022**
**£**
**4,071**|2021
£
43,581|
|---|---|---|
|||2021
£
4,852|
## **5. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 30 November 2022 nor for the year ended 30 November 2021.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 30 November 2022 nor for the year ended 30 November 2021.
## **6. STAFF COSTS**
The average monthly number of employees during the year was as follows:
## **7.**
|Employees
No employees received emoluments in excess of £60,000.
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
11,273
Other trading activities
43,581
**Total**
54,854
**EXPENDITURE ON**
**Raising funds**
Raising donations and legacies
-
-
**Charitable activities**
Activities
50,118
Other
4,852|**2022**
**2**
Restricted
funds
£
22,050
-
22,050
718
718
30,186
-|2021
2
Total
funds
£
33,323
43,581
76,904
718
718
80,304
4,852|2021
2
Total
funds
£
33,323
43,581
76,904
718
718
80,304
4,852|
|---|---|---|---|
|||||
||||76,904|
||||718|
||||718
80,304
4,852|
continued...
Page 8
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 NOVEMBER 2022**
|**7.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
Unrestricted
Restricted
fund
funds
£
£
**Total**
54,970
30,904
**NET INCOME/(EXPENDITURE)**
(116)
(8,854)
**Transfers between funds**
844
(844)
**Net movement in funds**
728
(9,698)
**RECONCILIATION OF FUNDS**
Total funds brought forward
40,246
28,121
**TOTAL FUNDS CARRIED FORWARD**
40,974
18,423
**8.**
**TANGIBLE FIXED ASSETS**
Computer
Motor
& office
vehicles
equipment
£
£
**COST**
At 1 December 2021 and 30 November 2022
**16,529**
**3,887**
**DEPRECIATION**
At 1 December 2021
**4,132**
**886**
Charge for year
**3,099**
**972**
At 30 November 2022
**7,231**
**1,858**
**NET BOOK VALUE**
At 30 November 2022
**9,298**
**2,029**
At 30 November 2021
12,397
3,001
**9.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
**2022**
**£**
Other debtors
**42**
Prepayments
**1,545**
**1,587**|Total
funds
£
85,874
(8,970)
-
(8,970)
68,367
59,397
Totals
£
**20,416**
**5,018**
**4,071**
**9,089**
**11,327**
15,398
2021
£
2,393
1,321
3,714|
|---|---|
|||
continued...
Page 9
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
||||**2022**|2021|
|---|---|---|---|---|
||||**£**|£|
||Bank loans and overdrafts (see note 12)||**4,000**|4,000|
||Other creditors||**1,457**|234|
||Accrued expenses||**-**|400|
||||**5,457**|4,634|
|**11.**|**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**||||
||||**2022**|2021|
||||**£**|£|
||Bank loans (see note 12)||**12,000**|16,000|
|**12.**|**LOANS**||||
||An analysis of the maturity of loans is given below:||||
||||**2022**|2021|
||||**£**|£|
||Amounts falling due within one year on demand:||||
||Bank loans||**4,000**|4,000|
||Amounts falling between one and two years:||||
||Bank loans - 1-2 years||**4,000**|4,000|
||Amounts falling due between two and five years:||||
||Bank loans - 2-5 years||**8,000**|12,000|
|**13.**|**MOVEMENT IN FUNDS**||||
||||Net||
|||At|movement|At|
|||1.12.21|in funds|30.11.22|
|||£|£|£|
||**Unrestricted funds**||||
||General fund|**40,975**|**(21,270)**|**19,705**|
||**Restricted funds**||||
||Hear Me See Me Book Funding|**18,422**|**(18,422)**|**-**|
||Prism the gift fund (Choose Love)|**-**|**3,398**|**3,398**|
|||**18,422**|**(15,024)**|**3,398**|
||**TOTAL FUNDS**|**59,397**|**(36,294)**|**23,103**|
continued...
Page 10
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **13. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Hear Me See Me Book Funding
Prism the gift fund (Choose Love)
**TOTAL FUNDS**|Incoming
resources
£
**71,008**
**-**
**7,000**
**7,000**
**78,008**|Resources
Movement
expended
in funds
£
£
**(92,278)**
**(21,270)**
**(18,422)**
**(18,422)**
**(3,602)**
**3,398**
**(22,024)**
**(15,024)**
**(114,302)**
**(36,294)**|Resources
Movement
expended
in funds
£
£
**(92,278)**
**(21,270)**
**(18,422)**
**(18,422)**
**(3,602)**
**3,398**
**(22,024)**
**(15,024)**
**(114,302)**
**(36,294)**|
|---|---|---|---|
||||**(15,024)**|
||||**(36,294)**|
## **Comparatives for movement in funds**
|**Unrestricted funds**
General fund
**Restricted funds**
National Lottery Community Fund
Hear Me See Me Book Funding
**TOTAL FUNDS**|Net
Transfers
At
movement
between
At
1.12.20
in funds
funds
30.11.21
£
£
£
£
40,246
(115)
844
40,975
28,121
(27,277)
(844)
-
-
18,422
-
18,422
28,121
(8,855)
(844)
18,422
68,367
(8,970)
-
59,397|Net
Transfers
At
movement
between
At
1.12.20
in funds
funds
30.11.21
£
£
£
£
40,246
(115)
844
40,975
28,121
(27,277)
(844)
-
-
18,422
-
18,422
28,121
(8,855)
(844)
18,422
68,367
(8,970)
-
59,397|
|---|---|---|
|||18,422|
|||59,397|
Comparative net movement in funds, included in the above are as follows:
||Incoming|Resources|Movement|
|---|---|---|---|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|54,854|(54,969)|(115)|
|**Restricted funds**||||
|National Lottery Community Fund|1|(27,278)|(27,277)|
|Hear Me See Me Book Funding|22,049|(3,627)|18,422|
||22,050|(30,905)|(8,855)|
|**TOTAL FUNDS**|76,904|(85,874)|(8,970)|
continued...
Page 11
**HAIRCUTS4HOMELESS LIMITED**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 NOVEMBER 2022**
## **14. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 30 November 2022.
## **15. ULTIMATE CONTROLLING PARTY**
There is no ultimate controlling party.
Page 12
## **HAIRCUTS4HOMELESS LIMITED**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 NOVEMBER 2022**
|Unrestricted
Restricted
funds
funds
£
£
**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**17,714**
**-**
Grants
**-**
**7,000**
**17,714**
**7,000**
**Other trading activities**
Sponsorships
**53,294**
**-**
**Total incoming resources**
**71,008**
**7,000**
**EXPENDITURE**
**Raising donations and legacies**
Fundraising expenses
**3,604**
**19,222**
Donation to general funds
**-**
**739**
**3,604**
**19,961**
**Charitable activities**
General project expenses
**5,410**
**1,544**
Travel and accommodation
**12,286**
**372**
**17,696**
**1,916**
**Other**
Depreciation of tangible fixed assets
**4,071**
**-**
**Support costs**
**Management**
Wages
**52,998**
**-**
Pensions
**1,191**
**-**
Insurance
**716**
**147**
Telephone & communications
**807**
**-**
Postage and stationery
**465**
**-**
Advertising and marketing
**8,294**
**-**
Sundries
**986**
**-**
Equipment renewals & repairs
**-**
**-**
**65,457**
**147**
**Finance**
Bank charges
**84**
**-**
**Information technology**
Repairs and renewals
**1,112**
**-**|2022
Total
funds
£
**17,714**
**7,000**
**24,714**
**53,294**
**78,008**
**22,826**
**739**
**23,565**
**6,954**
**12,658**
**19,612**
**4,071**
**52,998**
**1,191**
**863**
**807**
**465**
**8,294**
**986**
**-**
**65,604**
**84**
**1,112**|2021
Total
funds
£
33,323
-|
|---|---|---|
|||33,323
43,581|
|||76,904
718
-|
|||718
9,566
6,593|
|||16,159
4,852
51,619
1,198
842
1,353
587
5,712
1,139
1,495|
|||63,945
-
-|
This page does not form part of the statutory financial statements
Page 13
## **HAIRCUTS4HOMELESS LIMITED**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 NOVEMBER 2022**
|Unrestricted
Restricted
funds
funds
£
£
**Information technology**
**Governance costs**
Independent examination fee
**(200)**
**-**
Bank loan interest
**454**
**-**
**254**
**-**
Total resources expended
**92,278**
**22,024**
**Net (expenditure)/income**
**(21,270)**
**(15,024)**|2022
Total
funds
£
**(200)**
**454**
**254**
**114,302**
**(36,294)**|2021
Total
funds
£
200
-
200
85,874
(8,970)|
|---|---|---|
This page does not form part of the statutory financial statements
Page 14