Charity registration number: 1185614
## The 2 Minute Foundation
Annual Report and Financial Statements for the Year Ended 31 December 2022
Fruition Accountancy LLP 29 Wood Street Stratford-upon-Avon Warwickshire CV37 6JG
## **The 2 Minute Foundation**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 3|
|Statement of Trustees' Responsibilities|4|
|Independent Examiner's Report|5|
|Statement of Financial Activities|6|
|Balance Sheet|7|
|Notes to the Financial Statements|8 to 15|
## **The 2 Minute Foundation**
## **Reference and Administrative Details**
## **Trustees**
Kate Jane Cox Emma Thomasson Melvyn John Garrett Adam James Hall (resigned 23 May 2022) Stuart Spooner Karen Wilson
Martin Jackson (resigned 23 January 2023)
Martin Dorey (appointed 16 February 2022 and resigned 23 September 2022)
Yvette Curtis (appointed 10 February 2023)
## **Principal Office**
**Charity Registration Number**
2 St Helen's Close Croyde Devon EX33 1PW 1185614
**Independent Examiner** Fruition Accountancy LLP 29 Wood Street Stratford-upon-Avon Warwickshire CV37 6JG
Page 1
## **The 2 Minute Foundation**
## **Trustees' Report**
The trustees present the annual report together with the financial statements of the charity for the year ended 31 December 2022.
## **Objectives and activities**
## _**Objects and aims**_
To promote conservation, protection and improvement of the physical and natural environment. To advance the education of the public by providing all information, advice and raising awareness on issues surrounding waste generation, waste management and waste recycling primarily across the UK and Ireland with global aspirations.
## _**Public benefit**_
The trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Achievements and performance**
2022 was very much a year of consolidation and re-organisation within the Charity. We entered the year with 9 part time-staff and 2 full-time staff. During the year it became apparent that income would not sustain those levels. Therefore, staff numbers were reduced to a more comfortable 6 part-time and 1 full-time member. Our founder, Martin Dorey, stepped down as CEO due to other commitments and was replaced by Nicky Green who has worked alongside Martin for over 10 years. She successfully guided the Charity through turbulent times and, in the second half of the year, was instrumental in forging relationships with some new corporate partners, whose financial support was a lifeline and enabled us to plan a strategy to achieve a greater impact in 2023 via targeted national tours and campaigns.
Our environmental Beach School sessions were further extended and engaged with an average of 80 children and young people each week. Follow-up assessments showed a 100% improvement in environmental knowledge and understanding. A new model has been designed where it will be possible to reach those from a wider area and discussions are ongoing with regard to making this a national model. We developed a Corporate Social Responsibility Programme which is being delivered both in person and virtually helping businesses to achieve their Environmental, Social and Governance targets. We increased the number of litter clean-up stations in circulation to 1170 and we were awarded a grant from the Enterprise Development Fund to further explore the possibilities of this medium in targeting the issue of litter pollution. Our social media following grew to over 78000 followers.
Page 2
## **The 2 Minute Foundation**
## **Trustees' Report**
## **Financial review**
## _**Policy on reserves**_
Whilst 2022 saw a settling down after the hangover of the pandemic, it proved to be a particularly challenging year for The 2 Minute Foundation with income for the first six months being less than projected and a consequent depletion in general funds. This led to the Trustees and the CEO taking tough measures to reduce staff levels. Thankfully an upturn in income was experienced in the latter six months of the year and with reduced monthly salary expenditures, this has resulted in general funds at the end of the year in excess of our reserves policy aim. We have chosen to maintain lower staff levels for the foreseeable future, with a policy of only recruiting to replace existing staff or for specific projects where funding has been received for that restricted purpose.
Core costs are currently in the region of £12000 per month. In 2023 we aim to achieve a value in reserves to cover 6 months of these costs.
## **Structure, governance and management**
## _**Nature of governing document**_
The foundation was registered as an Charitable Incorporated Organisation (CIO) on 4 October 2019 and is governed by a CIO constitution. The foundation commenced it's activities on 1 January 2020.
## _**Recruitment and appointment of trustees**_
Trustees are appointed by the board inviting them for interview. Once all of the board are in agreement then the trustee is appointed.
The annual report was approved by the trustees of the charity on .................... and signed on its behalf by:
......................................... Melvyn John Garrett Trustee
Page 3
## **The 2 Minute Foundation**
## **Statement of Trustees' Responsibilities**
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
The law applicable to charities 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 charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- 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 proper accounting records that 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, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees 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.
Approved by the trustees of the charity on .................... and signed on its behalf by:
......................................... Melvyn John Garrett Trustee
Page 4
## **The 2 Minute Foundation**
## **Independent Examiner's Report to the trustees of The 2 Minute Foundation**
I report on the accounts of the charity for the year ended 31 December 2022 which are set out on pages 6 to 15.
## **Respective responsibilities of trustees and examiner**
The trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. The charity's gross income exceeded £250,000 and I am qualified to undertake the examination by being a qualified member of . It is my responsibility to:
- examine the accounts under section 145 of the 2011 Act;
- to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
- to state whether particular matters have come to my attention.
## **Basis of independent examiner’s report**
My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the next statement.
## **Independent examiner's statement**
In connection with my examination, no matter has come to my attention:
- (1) which gives me reasonable cause to believe that in any material respect the requirements:
- to keep accounting records in accordance with section 130 of the Charities Act 2011; and
- to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act
have not been met; or
- (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
......................................
29 Wood Street Stratford-upon-Avon Warwickshire CV37 6JG
Date:.............................
Page 5
## **The 2 Minute Foundation**
## **Statement of Financial Activities for the Year Ended 31 December 2022**
|**Note**
**Income and Endowments from:**
Donations and legacies
2
Charitable activities
3
Other trading activities
4
Total Income
**Expenditure on:**
Raising funds
6
Charitable activities
7
Total Expenditure
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
14
**Note**
**Income and Endowments from:**
Donations and legacies
Charitable activities
Other trading activities
Other income
Total Income
**Expenditure on:**
Raising funds
Charitable activities
Total Expenditure
Net (expenditure)/income
Gross transfers between funds
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
14|**Unrestricted**
**funds**
**£**
80,335
118,211
8,319
206,865
(12,262)
(171,842)
(184,104)
22,761
40,310
63,071
**Unrestricted**
**funds**
**£**
30,881
114,512
153
7,018
152,564
(7,541)
(158,516)
(166,057)
(13,493)
23,394
9,901
30,409
40,310|**Restricted**
**funds**
**£**
-
84,315
-
84,315
-
(92,276)
(92,276)
(7,961)
57,354
49,393
**Restricted**
**funds**
**£**
-
60,507
-
-
60,507
-
(45,511)
(45,511)
14,996
(23,394)
(8,398)
65,752
57,354|**Total**
**2022**
**£**
80,335
202,526
8,319|
|---|---|---|---|
||||291,180|
||||(12,262)
(264,118)|
||||(276,380)|
||||14,800
97,664|
||||112,464|
||||**Total**
**2021**
**£**
30,881
175,019
153
7,018|
||||213,071|
||||(7,541)
(204,027)|
||||(211,568)|
||||1,503
-|
||||1,503
96,161|
||||97,664|
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 is shown in note 14.
Page 6
## **The 2 Minute Foundation**
## **(Registration number: 1185614) Balance Sheet as at 31 December 2022**
|**Note**
**Fixed assets**
Tangible assets
10
**Current assets**
Stocks
11
Debtors
12
Cash at bank and in hand
**Creditors: Amounts falling due within one year**
13
**Net current assets**
**Net assets**
**Funds of the charity:**
**Restricted funds**
**Unrestricted income funds**
Unrestricted funds
**Total funds**
14|**2022**
**£**
1,735
8,653
8,883
101,846
119,382
(8,653)
110,729
112,464
49,393
63,071
112,464|**2021**
**£**
1,103
13,803
40,515
53,302|
|---|---|---|
|||107,620
(11,059)|
|||96,561|
|||97,664|
|||57,354
40,310|
|||97,664|
The financial statements on pages 6 to 15 were approved by the trustees, and authorised for issue on .................... and signed on their behalf by:
......................................... Melvyn John Garrett Trustee
Page 7
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **1 Accounting policies**
## **Statement of compliance**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
## **Basis of preparation**
The 2 Minute Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## **Exemption from preparing a cash flow statement**
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
## **Going concern**
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
## **Income and endowments**
Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.
## _**Donations and legacies**_
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be reliably measured.
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
## _**Raising funds**_
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Page 8
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## _**Charitable activities**_
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Support costs**
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Tangible fixed assets**
Individual fixed assets costing £0.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
## **Depreciation and amortisation**
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
**Asset class Depreciation method and rate** Office equipment 3 Years Straight Line
## **Stock**
Stock is valued at the lower of cost and estimated selling price less costs to complete and sell, after due regard for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO).
## **Trade debtors**
are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of is established when there is objective evidence that the will not be able to collect all amounts due according to the original terms of the receivables.
Page 9
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.
Designated funds are unrestricted funds set aside for specific purposes at the discretion of the trustees.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
## **2 Income from donations and legacies**
|Donations and legacies;
Donations from companies, trusts and similar
proceeds
Donations from individuals|**Unrestricted**
**funds**
**General**
**£**
68,473
11,862
80,335|**Total**
**2022**
**£**
68,473
11,862
80,335|**Total**
**2021**
**£**
18,821
12,060|
|---|---|---|---|
||||30,881|
Page 10
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **3 Income from charitable activities**
|Grants
Cleaning stations and services|**Unrestricted**
**funds**
**General**
**£**
-
118,211
118,211|**Restricted**
**funds**
**£**
84,315
-
84,315|**Total**
**2022**
**£**
84,315
118,211
202,526|**Total**
**2021**
**£**
99,256
75,763|
|---|---|---|---|---|
|||||175,019|
## **4 Income from other trading activities**
|Trading income;
Shop income from sale of donated goods and
services
Sales of goods and services|**Unrestricted**
**funds**
**General**
**£**
3,426
4,893
8,319|**Total**
**2022**
**£**
3,426
4,893
8,319|**Total**
**2021**
**£**
153
-|
|---|---|---|---|
||||153|
## **5 Other income**
Included in other £NIL (2021-£6,018) Coronavirus Job Rentention Scheme grant and £NIL (2021£1,000) Apprenticeship allowance
Page 11
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **6 Expenditure on raising funds**
## **a) Costs of trading activities**
## **Unrestricted funds**
|Fundraising costs
Costs of goods sold|**General**
**£**
4,853
7,409
12,262|**Total**
**2022**
**£**
4,853
7,409
12,262|**Total**
**2021**
**£**
7,099
442|
|---|---|---|---|
||||7,541|
## **7 Expenditure on charitable activities**
|Grants
Cleaning stations and services
Allocated support costs
Governance costs|**Unrestricted**
**funds**
**General**
**£**
-
45,164
125,456
1,222
171,842|**Restricted**
**funds**
**£**
92,276
-
-
-
92,276|**Total**
**2022**
**£**
92,276
45,164
125,456
1,222
264,118|**Total**
**2021**
**£**
87,034
3,720
110,303
2,970|
|---|---|---|---|---|
|||||204,027|
## **8 Analysis of governance and support costs**
## **Governance costs**
|Independent examiner fees|**Unrestricted**
**funds**
**General**
**£**
1,222
1,222|**Total**
**2022**
**£**
1,222
1,222|**Total**
**2021**
**£**
2,970|
|---|---|---|---|
||||2,970|
Page 12
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **9 Taxation**
The charity is a registered charity and is therefore exempt from taxation.
## **10 Tangible fixed assets**
|**Cost**
At 1 January 2022
Additions
At 31 December 2022
**Depreciation**
At 1 January 2022
Charge for the year
At 31 December 2022
**Net book value**
At 31 December 2022
At 31 December 2021
**11 Stock**
Stocks
**12 Debtors**
Trade debtors
Prepayments
Accrued income
Other debtors||**Furniture**
**and**
**equipment**
**£**
1,212
1,214||**Total**
**£**
1,212
1,214
2,426
109
582
691
1,735
1,103
**2021**
**£**
13,803|
|---|---|---|---|---|
|||2,426|||
|||109
582|||
|||691|||
|||1,735|||
|||1,103|||
|||**2022**
**£**
8,653
**2022**
**£**
7,950
609
324
-
8,883|||
|||||**2021**
**£**
15,166
592
107
24,650|
|||||40,515|
Page 13
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **13 Creditors: amounts falling due within one year**
|Trade creditors
Other taxation and social security
VAT payable
Other creditors
Accruals|**2022**
**£**
69
3,496
955
-
4,133
8,653|**2021**
**£**
-
2,856
2,842
2
5,359|
|---|---|---|
|||11,059|
## **14 Funds**
|**Unrestricted funds**
**_General_**
Unrestricted Fund
**Restricted funds**
Restricted Fund
**Total funds**
**Unrestricted funds**
**_General_**
Unrestricted Fund
**_Designated_**
Unrestricted Designated
Fund
**Total unrestricted funds**
**Restricted funds**
Restricted Fund
**Total funds**|**Balance at 1**
**January 2022**
**£**
**Incoming**
**resources**
**£**
**Resources**
**expended**
**£**
**Balance at**
**31 December**
**2022**
**£**
40,310
206,865
(184,104)
63,071
57,354
84,315
(92,276)
49,393
97,664
291,180
(276,380)
112,464
**Balance at**
**1 January**
**2021**
**£**
**Incoming**
**resources**
**£**
**Resources**
**expended**
**£**
**Transfers**
**£**
**Balance at**
**31**
**December**
**2021**
**£**
25,873
113,815
(125,360)
25,982
40,310
4,536
38,749
(40,697)
(2,588)
-
30,409
152,564
(166,057)
23,394
40,310
65,752
60,507
(45,511)
(23,394)
57,354
96,161
213,071
(211,568)
-
97,664|**Balance at**
**31 December**
**2022**
**£**
63,071
49,393|**Balance at**
**31 December**
**2022**
**£**
63,071
49,393|
|---|---|---|---|
||||112,464|
||||**Balance at**
**31**
**December**
**2021**
**£**
40,310
-|
||||40,310
57,354|
||||97,664|
Page 14
## **The 2 Minute Foundation**
## **Notes to the Financial Statements for the Year Ended 31 December 2022**
## **15 Analysis of net assets between funds**
|**15 Analysis of net assets between funds**||||
|---|---|---|---|
|Tangible fixed assets
Current assets
Current liabilities
Total net assets|**Unrestricted**
**funds**
**General**
**£**
1,735
69,990
(8,654)
63,071|**Restricted**
**funds**
**£**
-
49,393
-
49,393|**Total funds**
**£**
1,735
119,383
(8,654)|
||||112,464|
Page 15