2020-10-31-accounts

COMPANY REGISTRATION NUMBER: CE019599 CHARITY REGISTRATION NUMBER: 1186356

Meals on Wheels Cumbria CIO Company Limited by Guarantee Unaudited Financial Statements 31 October 2020

GORDON CONSULTANCY LIMITED

Chartered accountants Briar Lea House Brampton Road Longtown Carlisle Cumbria CA6 5TN

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Financial Statements

Period from 14 November 2019 to 31 October 2020

	Page
Trustees' annual report (incorporating the director's report)	1
Chartered accountant's report to the board of trustees on the
preparation of the unaudited statutory financial statements	3
Statement of financial activities (including income and
expenditure account)	4
Statement of financial position	5
Notes to the financial statements	6
The following pages do not form part of the financial statements
Detailed statement of financial activities	15
Notes to the detailed statement of financial activities	16

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Period from 14 November 2019 to 31 October 2020

The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the period ended 31 October 2020.

Reference and administrative details

Registered charity name Meals on Wheels Cumbria CIO

Charity registration number 1186356 Company registration number CE019599

Principal office and registered Meadow View office Low Cotehill Carlisle Cumbria CA4 0EL UK

The trustees

Accountants

Mr D Price (Appointed 14 November 2019) Mrs L Hutchinson (Appointed 14 November 2019) Mrs C Harris (Appointed 14 November 2019) Mr C Harris (Appointed 14 November 2019) Gordon Consultancy Limited Chartered accountants Briar Lea House Brampton Road Longtown Carlisle Cumbria CA6 5TN

Structure, governance and management

The charity is a CIO governed by its four trustees.

Objectives and activities

The objective of the CIO is for the relief of those in need for reason of age, infirmity, illness or disability living in the county of Cumbria by the provision of a meals on wheels service to people who are unable to prepare hot, nutritious meals themselves thereby helping them to live independently in their own homes.

1

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued) Period from 14 November 2019 to 31 October 2020

Achievements and performance

In common with many enterprises, 2020 proved to be a very challenging year for Meals on Wheels Cumbria. The effects of the Covid 19 pandemic and lockdown dispersed many of our volunteers who were over 70 and we were forced to move to temporary kitchens due to our regular premises in a council hostel being shut. Despite these tremendous obstacles, the service has flourished in the face of difficulties.

In August 2020 we were offered the use on 25-year lease of the Community Hall on Shady Grove Road, Carlisle. This meant a significant investment in kitchen equipment and hall renovations - but we were able to find grant aiding that covered this set-up cost. The benefit of this permanent home has been felt immediately with an uptake of clients to the service and a steady climb in meal numbers. The year also saw a consolidation of the cooking and management team to keep pace with staff taking on new roles and expanding their knowledge.

Geographically, the service has been able to expand into the regions beyond Carlisle with new initiatives in Longtown and to the west, Wigton, a small town of over 6000 people. With many small rural locations reachable in between the main towns, the service is making a real impact to combatting isolation and enabling clients to remain in their homes into older age.

Financial review

Financially Meals on Wheels Cumbria has been able to increase revenue over the year despite the significant flat-spot caused through the Covid crisis. This has enabled an increase in reserves that serves the purpose of providing a safety net for the future, but also enabling meal prices to remain at their low level - a level maintained for over six years. There is now a stability within the service that bodes well for the future and the trustees are happy that Meals on Wheels Cumbria is moving out of its foundational years into a position to allow for greater expansion. The Trustees are excited about the new premises and the possibilities in outreach provided by the Community Hall.

Small company provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

The trustees' annual report was approved on 29 July 2021 and signed on behalf of the board of trustees by:

Mr D Price Trustee

2

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Chartered Accountant's Report to the Board of Trustees on the Preparation of the Unaudited Statutory Financial Statements of Meals on Wheels Cumbria CIO

Period from 14 November 2019 to 31 October 2020

As described on the statement of financial position, the trustees of the charity are responsible for the preparation of the financial statements for the period ended 31 October 2020, which comprise the statement of financial activities (including income and expenditure account), statement of financial position and the related notes.

You consider that the charity is exempt from an audit under the Companies Act 2006.

In accordance with your instructions we have compiled these financial statements in order to assist you to fulfil your statutory responsibilities, from the accounting records and from information and explanations supplied to us.

GORDON CONSULTANCY LIMITED Chartered accountants

Briar Lea House Brampton Road Longtown Carlisle Cumbria CA6 5TN

29 Jul 21

3

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Period from 14 November 2019 to 31 October 2020

		Period from	14 Nov 19 to
		31 Oct 20
		Unrestricted
		funds	Total funds
	Note	£	£
Income and endowments
Donations and legacies	5	31,311	31,311
Charitable activities	6	79,620	79,620
Other trading activities	7	30,468	30,468
Investment income	8	9	9
		ৄৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
Total income		141,408	141,408
		৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶
Expenditure
Expenditure on charitable activities	9,10	102,222	102,222
		ৄৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
Total expenditure		102,222	102,222
		৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶
		ৄৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
Net income and net movement in funds		39,186	39,186
		৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶
Reconciliation of funds
Total funds brought forward		–	–
		ৄৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
Total funds carried forward		39,186	39,186
		৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 6 to 13 form part of these financial statements.

4

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Statement of Financial Position

31 October 2020

		31 Oct 20
	Note	£
Fixed assets
Tangible fixed assets	14	8,433
Current assets
Debtors	15	1,775
Cash at bank and in hand		31,679
		ৄৄৄৄৄৄৄৄ
		33,454
Creditors: amounts falling due within one year	16	2,701
		ৄৄৄৄৄৄৄৄ
Net current assets		30,753
		ৄৄৄৄৄৄৄৄ
Total assets less current liabilities		39,186
		ৄৄৄৄৄৄৄৄ
Net assets		39,186
		৶৶৶৶৶৶৶৶
Funds of the charity
Unrestricted funds		39,186
		ৄৄৄৄৄৄৄৄ
Total charity funds	17	39,186 ৶৶৶৶৶৶৶৶

For the period ending 31 October 2020 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the company to obtain an audit of its financial statements for the period in question in accordance with section 476;

• The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

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

These financial statements were approved by the board of trustees and authorised for issue on 29 Jul 21, and are signed on behalf of the board by:

Mr D Price Trustee

The notes on pages 6 to 13 form part of these financial statements.

5

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements

Period from 14 November 2019 to 31 October 2020

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Meadow View, Low Cotehill, Carlisle, Cumbria, CA4 0EL, UK.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of (enter name of group financial statements) which can be obtained from (enter detail). As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102:

(a) No cash flow statement has been presented for the company.

(b) Disclosures in respect of financial instruments have not been presented.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

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Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

3. Accounting policies (continued)

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

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Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

3. Accounting policies (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, noncharitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Plant and machinery - 25% reducing balance

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

8

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

3. Accounting policies (continued)

Impairment of fixed assets (continued)

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cashgenerating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

9

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

3. Accounting policies (continued)

Financial instruments (continued)

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

4. Limited by guarantee

Meals on Wheels Cumbria CIO is limited by guarantee and has no share capital.

Every member of the company undertakes to contribute to the assets of the company, in the event of a winding up, such an amount as may be required not exceeding £1.

5. Donations and legacies

		Unrestricted	Total Funds
		Funds	2020
		£	£
	Donations
	Donations	57	57
	Grants
	Grants receivable	31,254	31,254
		ৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄ
		31,311	31,311
		৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶
6.	Charitable activities
		Unrestricted	Total Funds
		Funds	2020
		£	£
	Sale of goods/services as part of direct charitable activities	79,620	79,620
		৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶
7.	Other trading activities
		Unrestricted	Total Funds
		Funds	2020
		£	£
	Transfer from Meals on Wheels Cumbria Limited	30,468	30,468
		৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶
8.	Investment income
		Unrestricted	Total Funds
		Funds	2020
		£	£
	Bank interest receivable	9	9
		৶৶৶৶	৶৶৶৶

10

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

9. Expenditure on charitable activities by fund type

	Unrestricted	Total Funds
	Funds	2020
	£	£
Meals on Wheels	97,952	97,952
Support costs	4,270	4,270
	ৄৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
	102,222	102,222
	৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶

10. Expenditure on charitable activities by activity type

	Activities
	undertaken		Total funds
	directly Support costs		2020
	£	£	£
Meals on Wheels	97,952	–	97,952
Governance costs	–	4,270	4,270
	ৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄৄ
	97,952	4,270	102,222
	৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶

11. Net income

Net income is stated after charging/(crediting): 31 Oct 20 £ Depreciation of tangible fixed assets 2,811 ৶৶৶৶৶৶৶

12. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	Period from
	14 Nov 19 to
	31 Oct 20
	£
Wages and salaries	39,960
Social security costs	8,557
	ৄৄৄৄৄৄৄৄ
	48,517
	৶৶৶৶৶৶৶৶

The average head count of employees during the period was 8. The average number of full-time equivalent employees during the period is analysed as follows:

		31 Oct 20
		No.
Number of staff - type	1	8 ৶৶৶৶

No employee received employee benefits of more than £60,000 during the year (2019: Nil).

11

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

13. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

14. Tangible fixed assets

		Plant and
		machinery
		£
	Cost
	At 14 November 2019	–
	Additions	11,244
		ৄৄৄৄৄৄৄৄ
	At 31 October 2020	11,244
		৶৶৶৶৶৶৶৶
	Depreciation
	At 14 November 2019	–
	Charge for the period	2,811
		ৄৄৄৄৄৄৄৄ
	At 31 October 2020	2,811
		৶৶৶৶৶৶৶৶
	Carrying amount
	At 31 October 2020	8,433
		৶৶৶৶৶৶৶৶
15.	Debtors
		31 Oct 20
		£
	Trade debtors	1,775
		৶৶৶৶৶৶৶
16.	Creditors: amounts falling due within one year
		31 Oct 20
		£
	Trade creditors	2,341
	Accruals and deferred income	360
		ৄৄৄৄৄৄৄ
		2,701
		৶৶৶৶৶৶৶

17. Analysis of charitable funds

Unrestricted funds

		At				At
	14	November			31	October 2
		2019	Income	Expenditure		020
		£	£	£		£
General funds		–	141,408	(102,222)		39,186
		৶৶৶৶	৶৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶৶		৶৶৶৶৶৶৶৶

12

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Period from 14 November 2019 to 31 October 2020

18. Analysis of net assets between funds

	Unrestricted	Total Funds
	Funds	2020
	£	£
Tangible fixed assets	8,433	8,433
Current assets	33,454	33,454
Creditors less than 1 year	(2,701)	(2,701)
	ৄৄৄৄৄৄৄৄ	ৄৄৄৄৄৄৄৄ
Net assets	39,186	39,186
	৶৶৶৶৶৶৶৶	৶৶৶৶৶৶৶৶

13

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Period from 14 November 2019 to 31 October 2020

Management Information

The following pages do not form part of the financial statements.

14

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Detailed Statement of Financial Activities

Period from 14 November 2019 to 31 October 2020

	Period from
	14 Nov 19 to
	31 Oct 20
	£
Income and endowments
Donations and legacies
Donations	57
Grants receivable	31,254
	ৄৄৄৄৄৄৄৄ
	31,311
	ৄৄৄৄৄৄৄৄ
Charitable activities
Sale of goods/services as part of direct charitable activities	79,620
	ৄৄৄৄৄৄৄৄ
Other trading activities
Transfer from Meals on Wheels Cumbria Limited	30,468
	ৄৄৄৄৄৄৄৄ
Investment income
Bank interest receivable	9
	ৄৄৄৄ
	ৄৄৄৄৄৄৄৄৄ
Total income	141,408
	৶৶৶৶৶৶৶৶৶
Expenditure
Expenditure on charitable activities
Purchases	27,203
Wages and salaries	39,960
Employer's NIC	8,557
Repairs and maintenance	3,174
Insurance	571
Other motor/travel costs	10,484
Legal and professional fees	1,459
Telephone	686
Other office costs	7,317
Depreciation	2,811
	ৄৄৄৄৄৄৄৄৄ
	102,222
	ৄৄৄৄৄৄৄৄৄ
	ৄৄৄৄৄৄৄৄৄ
Total expenditure	102,222
	৶৶৶৶৶৶৶৶৶
	ৄৄৄৄৄৄৄৄৄ
Net income	39,186
	৶৶৶৶৶৶৶৶৶

15

Meals on Wheels Cumbria CIO

Company Limited by Guarantee

Notes to the Detailed Statement of Financial Activities

Period from 14 November 2019 to 31 October 2020

	Period from
	14 Nov 19 to
	31 Oct 20
	£
Expenditure on charitable activities
Meals on Wheels
Activities undertaken directly
Purchases	27,203
Wages/salaries	39,960
Employer's NIC	8,557
Repairs & maintenance	3,174
Insurance	571
Travel costs	10,484
Telephone	686
Other office costs	7,317
	ৄৄৄৄৄৄৄৄ
	97,952
	ৄৄৄৄৄৄৄৄ
Governance costs
Accountancy fees	1,087
Legal and other professional fees	372
Depreciation	2,811
	ৄৄৄৄৄৄৄ
	4,270
	ৄৄৄৄৄৄৄ
	ৄৄৄৄৄৄৄৄৄ
Expenditure on charitable activities	102,222 ৶৶৶৶৶৶৶৶৶

16