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2020-11-30-accounts

Listening to Improve Young Lives

Charity No: 1186434

Trustees’ Annual Report and Unaudited Financial Statements for the period 19 November 2019 to 30 November 2020

1. Reference & Administration Details

1.1 Charity Details:

Name: The Purple Elephant Project Registration Number: 1186434 Address: The School House, Chase Bridge Primary School, Kneller Road, Twickenham, Middlesex, TW11 9JG

1.2 Names of the Charity Trustees who Manage the Charity
Name Office Appointed
Wesley Cuell Trustee, Chair 28.08.19
Alan Knowles Trustee, Treasurer 28.08.19
Catherine Bridger Trustee, Safeguarding 28.08.19
Sue Thompson Trustee 11.11.19

1.3 Names & Addresses of Advisers
Role
Bank
Independent
Examiner		 Name Address
Metrobank 64-66 Clarence Street,
Kingston, KT1 1NP
Frances Wilde FCCA DChA Warner Wilde, 4 Marigold
Drive, Bisley, Surrey,
GU24 9SF

1.4 Names of Senior Consultants with Delegated Responsibilities
Name Role
Jenny Haylock Chief Executive
Coleen Norman Chief Operations Officer

THE PURPLE ELEPHANT PROJECT

CONTENTS

Page
Trustees' report 1 - 11
Independent examiner's report 12
Statement of financial activities 13
Balance sheet 14
Notes to the financial statements 15 - 23

The Purple Elephant Project

Trustee Report For period ending 30th November 2020

The Trustees for The Purple Elephant Project present their first report and examined accounts for the period 19th November 2019, the date of the Charity’s registration with the Charity Commission, to 30th November 2020, and confirm they comply with the requirements of the Charities Act 2011, The Purple Elephant Project’s Governing Document, and the Charities SORP (FRS 102).

2. Structure, Governance & Management

The Purple Elephant Project is a Charitable Incorporated Organisation, (herein referred to as CIO or the Charity) registration No: 1186434, registered with the Charity Commission on 19 November 2019. The constitution is based on the Charity Commission’s model governing document for Foundation Charitable Incorporated Organisations, i.e. where the Trustees are the only Members of the Charity.

2.1 Charitable Objective:

The Charity’s objective is as follows:

For the public benefit to preserve and protect good health among children and young people aged 0-16 resident in the Greater London area who have been affected by traumatic life experiences, attachment or developmental trauma, in particular but not exclusively, by providing subsidised Play Therapy and other therapeutic services, emotional support and training to parents, carers and school staff.

2.2 Trustee Selection:

The constitution requires there must be at least 3 Charity Trustees. If the number falls below this minimum, the remaining Trustee or Trustees may act only to call a meeting of the Charity Trustees, or appoint a new Charity Trustee. There is no maximum number of Charity Trustees that may be appointed to the CIO although due regard will be given to the guidance provided in the Charity Governance Code issued by the Charity Commission. In accordance with the constitution, Trustees are appointed or re-appointed by a resolution passed at a properly convened meeting of the Charity Trustees.

In selecting individuals for appointment as Charity Trustees, due consideration is given to ensuring that the Trustees must have, between them, the skills, knowledge and experience needed for the effective administration and management of the CIO in accordance with charity law.

1

The Purple Elephant Project Trustee Report For period ending 30th November 2020

3. Activities

3.1 Statutory Declaration on Public Benefit

The Trustees declare that they have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers or duties and deciding what activities the CIO should undertake.

3.2 Executive Summary

3.2.1 A review of our first period of activities:

The Purple Elephant Project is located in Twickenham, West London, based in an ex-caretaker’s property in the grounds of a primary school.

As described in its objectives, the Charity delivers public benefit by preserving and protecting good health among children and young people aged 0-16 resident in the Greater London area who have been affected by traumatic life experiences, attachment or developmental trauma.

The Charity currently delivers predominantly Play Therapy services, which includes individual child sessions, emotional support and training to parents, carers and school staff.

Play therapy is a form of child psychotherapy which provides a way for children to express their thoughts and emotions through the medium of play rather than talking. For a child, the toys become their words, and play therapists work to help children explore their feelings and process their experiences through their play. This means children can express their emotions without the need for words and within the metaphor of play, which for many children can feel safer when tackling the more complex and painful problems they may be experiencing.

Our Play Therapists offer the child an extensive range of materials to work with from toys, paints and clay, puppets, dressing up clothes, sensory materials and action figures. Working from an attachment-based, theoretical perspective the child is provided with a psychologically safe space to work through their issues and life experiences, which can help them to make significant changes in their lives.

2

The Purple Elephant Project

Trustee Report

For period ending 30th November 2020

We are delivering an innovative model through The Purple Elephant Project and offer our services through both outreach and from our centre.

Through our services children have a chance to access vital therapeutic support to process their difficult life experiences and any traumatic events they have had, which can lead to better emotional health and wellbeing, and improved sense of self and identity.

Personal benefits to children receiving Play Therapy can include restored and deepened relationships, increased self-confidence and self-esteem, reduction in fear and anxiety, resolution of traumas, increased concentration, improved behaviours, and reduction in aggressive behaviours. By overcoming emotional difficulties, and reducing anxiety levels, children are better able to focus and concentrate in school, leading to increased engagement, better academic outcomes, improved self-esteem and an increase in self-confidence.

3

The Purple Elephant Project

Trustee Report For period ending 30th November 2020

It has been a busy and challenging first period, with the Covid-19 pandemic having a significant impact on our activities, as will be discussed below, but we have been pleased to overcome many hurdles and consistently provided vital therapeutic support for many families in need in our community.

January 2020 saw the opening of our centre , following a successful crowd-funding campaign, raising £3,047.76 towards set-up costs. Using every penny as wisely as possible, we transformed the centre into a homely space, where families could feel safe, nurtured and welcomed as we offered support.

One of our values at The Purple Elephant Project is to ensure that we make time and listen to children and families. We take a holistic approach to supporting our families and believe passionately that by looking after and nurturing parents/carers, many of whom have not had positive, parenting experiences themselves; our interventions will have a greater impact on the children we support and will enable them to thrive and reach their full potential.

This has been a fundamental part of our work this year, and parents/carers have benefitted from the additional support we have offered them, while waiting for their child. Designed with our clients in mind, our rooms are warm and welcoming spaces, which appeal to some of the harder to reach families who may have previously been put off by more clinical, statutory services and environments.

Our fully equipped Play Therapy room includes a sensory space and dark den, vital for children whose emotions overwhelm them, where they can experience feeling safe and contained, a valuable resource for children on the autistic spectrum or those experiencing sensory processing difficulties.

4

Trustee Report For period ending 30th November 2020

The Purple Elephant Project

3.2.2 Our response to COVID-19

Sadly in March, following Government guidelines relating to COVID-19, we had to close our centre and suspend all face to face services to ensure we kept our staff and families safe. However, we used our time effectively and rapidly adapted our services, offering online video therapeutic sessions to children, thereby ensuring we continued to support families during this incredibly difficult time.

Following a social media campaign, we received a donation of specially designed Purple Elephant postcards and many donations of stamps. This enabled all our therapists to individually write to each child in their care every week, reminding them that we were holding them in mind.

In direct response to this crisis, we also launched a weekly newsletter , offering parents/carers guidance and fun activities they could share with their children. This reached many families in the community, countless of whom had been feeling isolated and overwhelmed as a result of the lockdown measures. Our newsletter was also circulated among families from 8 primary schools.

At the Purple Elephant Project our motto is; “talk to us…..we’re all ears!” . And during this difficult time, we listened to what was needed. We received many reports indicating children were presenting with higher levels of distressed behaviours as a direct result of the pandemic such as sleeping difficulties, regression, acting out/aggression, clinginess, poor concentration, tiredness and heightened emotions; particularly in children of key workers or those being affected by domestic violence. We also heard that schools were experiencing higher levels of calls suggesting that many children and parents were extremely anxious about returning to school; all schools we were working with at that time reported an increase of children in need of therapeutic support.

Following two very successful funding applications with Thriving Communities and City Bridge Trust through The London Community Response Fund, we were able to respond quickly and effectively to this unprecedented situation by designing and launching a short-term Anxiety and Resilience programme , specifically addressing children’s emotional well-being and mental health, supporting their reactions to the pandemic and their re-entry into school following the lockdown. The programme, delivered to a total of 96 families, was designed to be flexible, suited to both online and face to face delivery, when the easing of restrictions allowed, ensuring children could engage with a therapist for support even during ongoing social distancing measures.

These interventions were incredibly well received as detailed below, and as a result, we are considering further service developments in the coming year, subject to further funding.

5

The Purple Elephant Project

Trustee Report

For period ending 30th November 2020

We were pleased to be able to re-open our centre again and return to face-to-face interventions at the start of September 2020. Supported by further awards from The Screwfix Foundation, Waitrose Community Fund and Tescos Bags for Help, we were able to further develop our centre and make the necessary adjustments to ensure we could open safely under strict COVID safety guidelines. An appeal on social media for used toys prompted a tremendous response and we were able to create 24 individualised Play Therapy kits for the children visiting our centre, to avoid cross contamination of shared resources which were harder to clean.

Our Charity has gone from strength to strength this year and despite the challenges that the COVID-19 pandemic has caused, and is continuing to cause, we have exceeded predicted growth projections. We are now supported by a bookkeeper and a part time fundraiser to help facilitate our next steps of development. Our therapists have expanded from an initial team, or herd as they are affectionately termed, of 5 to 9, with predicted growth to 12 in the coming months.

In our first year, we delivered:

• Over 1600 individual Play Therapy sessions

There has been a significant increase in demand for our services as a result of the strains put on families due to the COVID-19 pandemic. We look forward to continuing to support families over the next year as we develop our plans, increase our output and listen to what our community needs.

3.2.3 Our team

At this early stage of the Charity’s growth and development, all work is sub-contracted to specialist therapists and advisers, with significant proportions of gifted in kind time being given by senior consultants. The Charity aims to employ senior staff in the future as it develops further, building up the resources required to sustain a permanently employed team. Providing a supportive network underpins the values of this Project and this extends to our team too. We recognise that our therapists also need to be supported to avoid general psychological distress, countertransference, burnout, vicarious trauma and compassion fatigue, particularly at the moment while we are all experiencing increased stress and increased workloads as a result of Covid-19. We continually assess impact and consider strategies to limit this by providing regular team meetings and group supervision. In light of the pandemic, we have implemented higher levels of support for our therapists to safeguard both them and the families they are supporting. Staff need time to reflect, recharge and rest and we facilitate this value throughout our organisation so each member of our herd feels supported and valued in their role.

6

The Purple Elephant Project Trustee Report For period ending 30th November 2020

3.2.4 Safeguarding

All aspects of safeguarding have been carefully considered, particularly given the vulnerable families and children we support. In addition to our standard, rigorous safeguarding policy, we have included a Covid-19 addendum. All safeguarding logs are maintained, updated regularly and communicated to our Trustee Lead on safeguarding, where appropriate.

3.2.5 Risk Assessments

Risk assessments are completed regularly for and this has included statements for parents and carers for our face-to-face therapeutic work, both from our centre and with our outreach services in light of the COVID-19 pandemic.

Our therapists follow strict guidelines issued by The British Association of Play Therapists with regards to managing face to face sessions and providing suitable and safe toy kits as explained above. Currently, each therapist has a general kit which can be easily cleaned between sessions, in addition to smaller, individual kits for each child to avoid sharing equipment which is less easy to clean. Other items have been removed completely for now.

4. Evaluations & Performance

The Purple Elephant Project monitors and evaluates feedback from its beneficiaries following the completion of interventions.

Due to the COVID-19 pandemic and suspension of face-to-face activities at times during this year, it has been difficult to obtain all feedback from our interventions. In addition, many interventions are long-term and therefore remain ongoing at the time this report was written. However, our average response rate for return of evaluation forms was 58% and the results are listed as follows.

Evaluations of our Play Therapy interventions:

Play Therapy interventions are measured using The Goodman’s Strengths and Difficulties Questionnaire (SDQ) pre and post therapy. This is a brief behavioural screening questionnaire for 3-16 year olds.

7

The Purple Elephant Project

Trustee Report For period ending 30th November 2020

Evaluation of our Anxiety and Resilience Programme:

This programme was measured through surveys and monitor forms completed by children participating in the intervention, parents/carers and school staff.

Child feedback:

Other comments received:

Parent feedback:

Other parent comments received:

School referrer feedback:

Other comments:

8

The Purple Elephant Project

Trustee Report

For period ending 30th November 2020

Evaluations of our newsletter:

A survey was used to monitor our newsletter through ‘survey-monkey’

We plan to continue to develop our monitoring and evaluation procedures in the coming year.

5. Financial Review

5.1 Reserves Position at 30 November 2020

Given this is the first reporting period of the Charity’s activities and a period in which it has had to meet the significant challenges of the Covid-19 pandemic it is not surprising that the Charity’s reserves position at 30 November 2020 does not meet the conditions of its Reserves Policy. Unrestricted reserves are £1,790 and Restricted Reserves are £37,415.

The Trustees recognise the importance of this and are committed to building the Charity’s unrestricted reserves over the next 12 months, to help create a position whereby:

a) the financial viability of the Charity can be sustained in the event of unforeseen and/or unavoidable circumstances, and

b) enable the Charity, in the interests of meeting its objectives, to undertake from time to time the setting up of new and innovative projects on a pilot basis to demonstrate the viability and potential benefits of such activities as a precursor to securing the external funding necessary to maintain such projects on an on-going basis.

Consequently, the Charity will endeavour to generate and maintain unrestricted reserves which are at least 50% of its annual expenditure whilst recognizing that this is likely to take a number of years to achieve.

Notwithstanding the above the Trustees are confident that the Charity’s current income stream projections and cash resources are sufficient to meet its expenditure as it falls due. Additionally, the Charity has recently engaged a part-time fund raiser to develop its grant funding and income generation capacity.

9

The Purple Elephant Project Trustee Report For period ending 30th November 2020

5.2 Principal Sources of Income and Expenditure

5.2.1 Income

Principal sources of income have been achieved through a combination of major funding awards and contracted services income through social care, adoption support, schools and private referrals. These fully funded pieces of work are vital for the sustainability of the Charity and any surplus income arising through these contracts contributes towards our overall running costs, allowing us to focus grant awards on intervention delivery.

We would like to thank the following organisations who helped deliver some of the essential services provided by The Purple Elephant Project with their very generous funding:

The total value of income and non-cash donated goods and services for this period was £203,324 comprising £69,693 of Restricted Income and £133,631 of Unrestricted Income and non-cash donated goods and services. The Unrestricted Income and non-cash donated goods and services can be further analysed as externally generated income of £80,311 in relation to contracts for sale of services and donations and £53,320 of non-cash donated goods and services comprising gifted in kind time by consultants fulfilling the roles of CEO and COO.

Gift Aid is reclaimed on donations where the donor indicates that is their wish.

5.2.2 Expenditure

Total expenses for this period were £164,119. The Purple Elephant Project’s principal expense items during the period were therapists’ fees of £84,654 and premises-related expenses of £18,969, both of which are fundamental to the delivery of our services and achieving our objectives.

5.3. Remuneration of Trustees

All Trustees act in a voluntary capacity and receive no remuneration or other material benefits from their services to the Charity.

Out-of-pocket expenses necessarily and reasonably incurred by Trustees in promoting the purposes of the Charity are reimbursed at cost in line with The Purple Elephant Project Expenses Policy.

10

The purpl The Purple Elephant Project Project Trustee Report For perlod endlng 30th November 2020 5.4 Related Party Transactions In addition to the donated services referred to in 5.2.1 above the Trustees have recognised the associated set up costs incurred by the founder as a related party transaction which has been disclosed in note 15 to the accounts. The Trustees hav behalf. approved th bove report and uthorise the Chair to sign it on their Signature: Full name: LoF%Lri Pok Position: Date: ai 11

THE PURPLE ELEPHANT PROJECT INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE PURPLE ELEPHANT PROJECT I report lo the trustees on my examination of the finanaal statements of The pu￿1 Elephant Project (the ¢harityl for the period end¢d 30 November 2020. Résponsibiliti￿ and basis of report As the trustee$ of the charity you are responsible for the prepafatton of the financial gtslemenls in accordance with the requirements of the Chanb"e$Act 2011 Ithe 2011 Act). I report in respect of my examination of the charity's finaTrial $talements corr￿1 out under secb.on 145 of the 2011 Act. In Carrying out my examinab.on I have followed all the applicable Directions given by the Charity Commission under ￿tiOn 14515llbl of the 2011 Act. Ind•p•nd•nt oxaminofs stat•mont Your attenb.on is drawn to the fact that the chaTrty has prepared finanual statements in a¢¢ordance with Accounb'ng and Repoth'ng by chanb.es prepanng thetr accr)unls in accordance wth the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 in preference to the Accotjnling and Reporting by Chants"es.' Statement of Recommended Prath'ce issued on 1 April 2005 which is ￿terred lo in the extant regulations but has now been vthravm. l understand that this ha$ been done in order for finan¢ial ststements to provide a true and fair view in accordance v4rth Generalty Acwted Accounting PractKe effectyve for reFx)rti'ng pen(>as beginning on or after 1 January 2015. I have com￿eted my examination. I confirm that no matters have come lo my attention in ¢onr￿tion the examination giving me ¢ause lo believe that in any material respect.. accounting records ￿re not kept in respect of the as required by section 130 of the 2011 Act; or the financial stslements do not accord with those re¢ord$,' or the finanaal statements do not compty N¥ith the aP￿iCable requirements conceming the fom and content of accounts set out in the Chanties (Accounts and Reports) Regulab'ons 2008 other than any requirement that the accounts give a true and fair Mew vthich is not a matter considered as part of an independent examinatson. I have no concerns and have come auoss no other matters in conneebon with the examination to which attenbon should be drawn In this report In order to enable a proper underslanding of the finan¢al statements to be reached. F J ￿lde FCCA MBA DChA Wamer Wilde 4 Mari9okl Drive Bisley Surrey GU24 9SF 2oZI 12-

THE PURPLE ELEPHANT PROJECT

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE PERIOD ENDED 30 NOVEMBER 2020

Unrestricted
Restricted
funds
funds
2020
2020
Notes
£
£
Income from:
Donations and legacies
3
66,333
5,500
Charitable activities
4
67,298
64,193
Total income
133,631
69,693
Expenditure on:
Raising funds
5
1,526
376
Charitable activities
6
130,315
31,902
Total resources expended
131,841
32,278
Net income for the year/
Net movement in funds
1,790
37,415
Fund balances at 19 November 2019
-
-
Fund balances at 30 November 2020
1,790
37,415		 Total
2020
71,833
131,491
203,324
1,902
162,217
164,119
39,205
-
39,205

The statement of financial activities includes all gains and losses recognised in the period.

All income and expenditure derive from continuing activities.

THE PURPLE ELEPHANT PROJECT BALANCE SHEET AS AT30 NOVEMBER 2020 2020 Flxod as￿t T8noibl8 assets Current a$￿￿ 10 2,476 11 Cash at bank and wi hand 51.515 73.200 136,4711 Credltors". amounts falllng due lthln on• year 12 1¥81 gJrrenl asseis Total a$8•ts leu currnnt Ilablllll•• 39,205 Income funds Restricted funds Unreslrtcted funds 13 37.415 1.790 39,205 Tho finanaal 8tatement8 w¢ro 4pprov8d by lh8 Trn8tee$ on ......................... Mr owles klf W Cuèll 14-

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 NOVEMBER 2020

1 Accounting policies

Charity information

The Purple Elephant Project is a Charitable Incorporated Organisation.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

1 Accounting policies

(Continued)

1.5 Expenditure

Liabilities and the resulting expenditure are recognised when either a legal or constructive obligation is recognised.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Fixtures, fittings and equipment 4 years straight line Computers 3 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally 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.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Donated goods and services

Donated goods and services are professional services and donated facilities which are recognised as income when the Charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the Charity of the item is probable and that economic benefit can be measured reliably.

On receipt, donated goods and services are recognised on the basis of the value of the gift to the Charity which is the amount the Charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the same period.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

3 Donations and legacies

Unrestricted Restricted Total
funds funds
2020 2020 2020
£ £ £
Donations and gifts 13,013 5,500 18,513
Donated goods and services 53,320 - 53,320

In the financial statements for the period ended 30 November 2020, the value of donated goods and services is £53,320 and is shown in Donations and Legacies in the table above. The corresponding costs are disclosed in Charitable Activities and Support Costs, in notes 6 and 7 of the financial statements respectively.

4 Charitable activities

Sales within charitable activities
Performance related grants
Analysis by fund
Unrestricted funds
Restricted funds
Performance related grants
National Lottery
London Community Response Fund
Thriving Communities Fund: Hounslow response Fund		 2020
£
67,298
64,193
131,491
67,298
64,193
131,491
38,455
15,744
9,994
64,193

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

5 Raising funds

6 Unrestricted
Restricted
funds
funds
2020
2020
£
£
Fundraising and publicity
Advertising
1,526
376
1,526
376
Charitable activities
Depreciation and impairment
Subcontractors/Therapists
Subcontractors/Therapists expenses
Rent
Printing, postage and stationery
Toys and materials
Insurance
Centre set up costs
IT software and consumables
Telephone and internet
Staff training
Repairs, maintenance and small equipment
Sundry expenses
Share of support costs (see note 7)
Share of governance costs (see note 7)
Analysis by fund
Unrestricted funds
Restricted funds		 Total
2020
1,902
1,902
2020
£
886
84,654
1,105
14,686
1,224
2,163
573
2,120
873
452
916
240
1,609
111,501
5,760
44,956
162,217
130,315
31,902
162,217

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

7 Support costs

Support
costs
Governance
costs
£
£
COO costs
5,760
-
Independent Examiners fees
-
1,200
Accountancy
-
375
Bank and other finance charges
-
181
CEO costs
-
43,200
5,760
44,956
Analysed between
Charitable activities
5,760
44,956		 2020
£
5,760
1,200
375
181
43,200
50,716
50,716

8 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the period.

9 Employees

There were no employees during the period.

10 Tangible fixed assets

Fixtures,
fittings and
equipment
Computers
£
£
Cost
Additions
2,812
550
At 30 November 2020
2,812
550
Depreciation and impairment
Depreciation charged in the period
703
183
At 30 November 2020
703
183
Carrying amount
At 30 November 2020
2,109
367		 Total
£
3,362
3,362
886
886
2,476

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

11 Debtors

Amounts falling due within one year:
Trade debtors
Other debtors
Prepayments and accrued income		 2020
£
2,580
16,699
2,406
21,685

12 Creditors: amounts falling due within one year

Trade creditors
Other creditors
Accruals and deferred income		 2020
£
18,951
3,527
13,993
36,471

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

13 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds
Balance at Incoming Resources Balance at
19 November resources expended 30 November
2019 2020
£ £ £ £
Tesco - 500 (246)
254
London Community Award - 15,744 (14,208)
1,536
National Lottery - 38,455 (11,301)
27,154
Thriving Community Award - 9,994 (3,625)
6,369
Screwfix - 5,000 (2,898)
2,102
- 69,693 (32,278)
37,415

Tesco

To purchase additional resources (toys, storage, materials) ensuring children can have their own toy kit to comply with COVID safety guidelines

London Community Response Fund

To cover service adaptations adaptations in light of COVID-19 pandemic and to design and deliver programme of short-term, therapeutic interventions, promoting children’s positive mental health/ wellbeing

National lottery

Therapeutic support for children affected by the COVID-19 pandemic

Thriving Communities Fund: Hounslow Response Fund

For improving emotional and mental well-being in children and young people affected by the COVID-19 Pandemic.

Screwfix

To support the transformation of an ex-caretakers house from an office building into a welcoming and safe place for children, young people and their families to access vital therapeutic support. Addition: to support any additional work or resources required to ensure COVID guidelines/ safety

THE PURPLE ELEPHANT PROJECT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE PERIOD ENDED 30 NOVEMBER 2020

14 Analysis of net assets between funds

Unrestricted
funds
Restricted
funds
2020
2020
£
£
Fund balances at 30 November 2020 are represented by:
Tangible assets
1,746
730
Current assets/(liabilities)
44
36,685
1,790
37,415		 Total
2020
£
2,476
36,729
39,205

15 Related party transactions

Transactions with related parties

During the period the charity entered into the following transactions with related parties:

Services
provided
2020
£
Key management personnel 11,485
T he following amounts were outstanding at the reporting end date:
Amounts
owed to
related parties
2020
£
Key management personnel 3,527

Key management personnel paid for various set up costs incurred prior to the Charity registration. These payments had not been reimbursed at the year end.