## **FARESHARE NORTH EAST**
**UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
**Charity Number: 1189901**
## **DEBÉRE LIMITED**
Chartered Accountants Swallow House Parsons Road Washington Tyne and Wear NE37 1EZ
## **FARESHARE NORTH EAST**
## **FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
|**CONTENTS**|**PAGES**|
|---|---|
|Officers and professional advisers|1|
|Trustees’ annual report|2 to 5|
|Independent Examiners Report|6|
|Statement of financial activities|7|
|Balance sheet|8|
|Notes to the financial statements|9 - 21|
**FARESHARE NORTH EAST**
## **MEMBERS OF THE BOARD AND PROFESSIONAL ADVISERS**
## **YEAR ENDED 31 MARCH 2023**
## **Reference and Administrative Information**
|**Registered Office**|Stamfordham Road|
|---|---|
||Westerhope|
||Newcastle upon Tyne|
||NE5 5HH|
|**Board of Trustees**|Sir Paul Ennals|
||Craig Bankhead|
||Jane Streather|
||Jane Tiplady|
||Andrew Hook|
||Graeme Heron|
||Molly Dunne|
||Valerie Bell|
||Steven Richardson|
||Catharine Mitchell|
|**Chief Executive**|Jake Hanmore|
|**Independent Examiner**|Debére Limited|
||Chartered Accountants|
||Swallow House|
||Parsons Road|
||Washington|
||Tyne & Wear|
||NE37 1EZ|
|**Bankers**|Unity Trust Bank Plc|
||4 Brindley Place|
||Birmingham|
||B1 2JB|
- 1 -
## **FARESHARE NORTH EAST REPORT OF THE TRUSTEES**
## **YEAR ENDED 31 MARCH 2023**
The trustees present their report with the financial statements of the charity for the year ended 31 March 2023. 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 & Activities**
The charity’s objectives are contained in its Foundation Constitution, which states:
- (a) the relief of poverty and the promotion of good health and nutrition in North East England by redistributing surplus produce (in particular food) to organisations working to meet the needs of individuals in social, economic, health-related or emotional distress, and the needs of children; and
- (b) the conservation, protection and improvement of the physical environment through the reduction of food waste. The trustees have referred to the guidance in the Charity Commission’s general guidance on public benefit when reviewing aims and objectives, and in planning future activities. In particular, the trustees consider how planned activities will contribute to the aims & objectives they have set.
During the course of the year the volumes of surplus food that FareShare North East relies upon have fluctuated, making it difficult to grow the organisation to meet demand in the North East region. Over the year FareShare North East has worked with over 200 community groups and redistributed more than 1,200 tonnes of surplus food. Although this volume of redistributed food is substantial, over 120 community groups are currently waiting to join as members and supply has not been sufficient to meet demand.
Details of specific aims, activities, and achievements are included in the Achievements and Performance section of the Trustees Report below.
## **Achievements & Performance**
FareShare North East, working in partnership with FareShare UK, covers the geographic North East of England, working to re-distribute fit for purpose, in-date, quality surplus products from the food industry to charities and community groups. Being a part of the FareShare network gives FareShare North East access to national surplus food partners and guidance on the safe redistribution of surplus food through a collaboration agreement.
In the reporting year of 2022-23, FareShare North East redistributed 1,200 tonnes of good to eat surplus food to 236 individual community groups. These community groups include school breakfast clubs, drop-in centres, homelessness projects and community pantries. Despite fluctuating food volumes the overall amount of food redistributed remains broadly similar to the previous year, and with the investment that FareShare UK are making in their food sourcing teams FareShare North East expects to see additional food coming into the North East during 2023-24.
## **Financial Review**
Over the past two years FareShare North East has invested significantly in operational capacity, particularly with a large investment in chilled and frozen storage capacity at the end of the last financial period. During this financial period, 2022-23, FareShare North East has taken on additional warehouse space in Middlesbrough to better serve the Tees Valley area, including the purchase of additional vans and the construction of additional chilled storage space.
By way of support for this capacity expansion, FareShare UK have donated £77,869 in grant funding in this financial year to contribute to the additional costs of constructing the larger chiller and freezer at the end of the last financial period. In addition, FareShare UK have also donated a further £67,828 to increase the capacity for frozen food in the region, with funding being used to purchase a dedicated freezer van and donated large chest freezers to community groups. In line with our accounting principles the income for these donations has been recognised in full, with the capital assets purchased depreciating over the next five years.
- 2 -
## **FARESHARE NORTH EAST**
## **REPORT OF THE TRUSTEES** _(continued)_
## **YEAR ENDED 31 MARCH 2023**
The support from FareShare UK in building operational capacity will allow the charity to return the internal investment in chilled and frozen capacity from core costs made during 2022-23 to unrestricted reserves, ensuring that the organisation has sufficient reserves in line with its reserves policy detailed below.
## **Principal Funding Sources**
The charity has a mix of funding sources, from grants, trusts, corporate partners, and contributions from community groups through membership of FareShare North East’s redistribution activities.
Notable funders this year include:
- William Leech
- Ludlow Trust
- LGA Foundation
- Kavli Trust
- People’s Postcode Lottery
- Community Foundation Tyne & Wear and Northumberland
- Garfield Weston
- Teesside Charity
- Middlesbrough Football Club Foundation
## **Reserves Policy**
The Trustees have set a reserves target of the equivalent of between 3-6 months operational costs, plus the equivalent of any associated redundancy and winding up costs as the minimum value of unrestricted reserves to be held at any one time. This creates a target for 2023/24 of between £215,048 and £430,098.
As at 31 March 2023 the total unrestricted reserves were £392,559, of which £111,377 belongs to a designated fund for closure costs, £62,294 belongs to a designated capital fund whilst £218,888 consists of unrestricted funds available to cover operational costs.
## **Plans for Future Periods**
The key objectives for the charity during the next period, 2023-24, are:
- Work to increase food volumes coming into the region to help meet unmet demand;
- Build an increased presence in the Tees Valley area through the newly opened Middlesbrough warehouse; and
- Seek new ways to work with surplus food to unlock harder to use items like large catering packs or less common fruit and vegetables.
## **Structure, Governance, and Management**
The charity is registered as a Charitable Incorporated Organisation with the Charity Commission. The charity is governed by a Foundation Model Constitution document.
- 3 -
## **FARESHARE NORTH EAST**
## **REPORT OF THE TRUSTEES** _(continued)_ **YEAR ENDED 31 MARCH 2023**
## **Recruitment and Appointment of New Trustees**
During the year the following people were appointed as Trustees by the Board of Trustees for a four-year term:
- Catharine Mitchell – appointed 9 May 2022
- Valerie Bell – appointed 4 September 2022
- Steven Richardson – appointed 4 September 2022
After the year end the following people were appointed as trustees by the Board of Trustees for a four year term:
- Martin Brookes – appointed 18 September 2023
- Harry Barham – appointed 18 September 2023
- Christopher Parsons – appointed 18 September 2023
Trustees are appointed for terms of no more than four years and can serve no more than three consecutive terms. New trustees, up to a maximum of 12, can be appointed by the existing trustees.
## **Organisational Structure**
The charity is governed by the Board of Trustees who are responsible for setting the strategic direction of the organisation and establishing policy. A Chief Executive is appointed by the Trustees to manage the day to day affairs of the charity.
## **Induction and Training of New Trustees**
All new Trustees receive an induction briefing from the Chair and are invited to visit the regional centre in Newcastle to gain a greater understanding of how the organisation performs its work. As opportunities present themselves, Trustees are encouraged to attend external training events provided by organisations such as VONNE or Connected Voice that support the third sector in the North East.
## **Key Management Remuneration**
All senior management pay scales are determined by the Board of Trustees and are in line with local and national roles at an equivalent level.
## **Wider Network**
FareShare North East forms part of the FareShare network. As part of this national group the operations of FareShare North East are restricted to the North East of England, however there are opportunities to collaborate with the wider national network, especially in applying to certain types of funding.
## **Risk Management**
The charity has an Executive Sub-committee, consisting of the Chair, Treasurer, and two experienced Trustees. Along with the Chief Executive, this Sub-committee meets quarterly to review key risks. These risks are assessed and logged in a comprehensive risk register, which covers risks including, but not limited to, Governance, External Risks, Finance, Operations, Regulatory, and Compliance.
- 4 -
## **FARESHARE NORTH EAST**
## **REPORT OF THE TRUSTEES** _(continued)_
## **YEAR ENDED 31 MARCH 2023**
## **Trustees’ responsibilities in relation to the Financial Statements**
The trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales 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 income 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 charity SORP;
- Make judgements and estimates that are reasonable and prudent;
- State whether applicable accounting standards have been followed, subject to any material departures being disclosed and explained in the financial statements; and
- Prepare the financial statements on a 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. They are responsible for safeguarding the assets of the charity and, hence, taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Independent Examiner**
A Resolution to appoint Claire Miller at Debére Limited as Independent Examiner for the ensuing year will be proposed at the Annual General Meeting. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
Approved by the trustees on 11 December 2023 and signed on its behalf by
Sir Paul Ennals - Chair
- 5 -
## **FARESHARE NORTH EAST**
## **INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF FARESHARE NORTH EAST**
## **YEAR ENDED 31 MARCH 2023**
I report on the accounts of the Charitable Incorporated Organisation for the year ended 31 March 2023, which are set out on pages 7 to 21.
## **Respective Responsibilities of Trustees and Examiner**
The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this period under section 144(2) of the Charities Act 2011 (‘the 2011 Act’), and that an independent examiners report is needed.
It is my responsibility to:
- examine the accounts under section 145 of the 2011 Act;
- 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 Examiners Report**
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I express no opinion as to whether the accounts present a ‘true and fair view’ and my report is limited to those specific matters set out in the independent examiner’s 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 s130 of the 2011 Act; and
- to prepare accounts which accord with the accounting records and to 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.
Claire Miller BA (Hons) FCA Independent Examiner
ON BEHALF OF DEBÉRE LIMITED Chartered Accountants
Swallow House Parsons Road Washington Tyne and Wear NE37 1EZ
Date: 11 December 2023
- 6 -
## **FARESHARE NORTH EAST**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **YEAR ENDED 31 MARCH 2023**
|**Note**
**Unrestricted**
**Funds**
**General**
**£**
**Unrestricted**
**Funds**
**Designated**
**£**
**Restricted**
**Funds**
**£**
**Income from:**
Investment income
**4**
409
_–_
_–_
Charitable activities
**5**
531,536
_–_
158,843
Donations and legacies
53,289
_–_
_–_
**Total income**
585,234
_–_
158,843
**Expenditure:**
Charitable activities
398,902
23,633
134,897
**Total expenditure**
**6**
398,902
23,633
134,897
**Net incoming / (outgoing)**
**resources before transfers**
**8**
186,332
(23,633)
23,946
**Transfers**
Gross transfers between funds
(49,003)
49,003
_–_
**Net movement in funds**
137,329
25,370
23,946
Total funds brought forward
81,559
148,301
141,753
**Total funds carried forward**
218,888
173,671
165,699
|**Total**
**Funds**
**2023**
**£**
409
690,379
53,289
744,077
557,432
557,432
186,645
_–_
186,645
371,613
558,258|_Total_
_Funds_
_2022_
_£_
_–_
_528,276_
_43,604_
_571,880_
_509,247_
_509,247_
_62,633_
_–_
_62,633_
_308,980_
_371,613_|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derives from continuing activities.
The notes on pages 9 to 21 form part of these financial statements
- 7 -
## **FARESHARE NORTH EAST** _Charity Number: 1189901_ **BALANCE SHEET**
## **31 MARCH 2023**
|**Notes**
**Fixed assets**
Intangible assets
**9**
Tangible assets
**10**
**Current assets**
Debtors
**11**
Cash at bank and in hand
**Creditors:**amounts falling due within one
year
**12**
**Net current assets**
**Creditors: amounts falling due after**
**more than one year**
**13**
**Net assets**
**Net assets**
**Funds**
Restricted funds
**14**
**Unrestricted funds:**
**15**
Designated funds
General funds
**Total charity funds**
**16**|**2023**
**£**
2,701
246,584
68,039
446,980
515,019
(196,881)|
**£**
249,285
318,138
(9,165)
558,258
165,699
173,671
218,888
558,258
|_2022_
_£_
_£_
_2,680_
_188,560_
_191,240_
_90,166_
_223,097_
_313,263_
_(108,013)_
_205,250_
_(24,877)_
_371,613_
_141,753_
_148,301_
_81,559_
_371,613_|
|---|---|---|---|
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)).
For the year ended 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors/trustees 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/trustees 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 were approved by the Board of Trustees on 11 December 2023 and signed on their behalf by:
Sir Paul Ennals Chair
The notes on pages 9 to 21 form part of these financial statements
- 8 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **1. ACCOUNTING POLICIES**
## **Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the charity’s governing document, the Companies Act 2006 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 address of the charity’s registered office and principal place of business is Stamfordham Road, Westerhope, Newcastle upon Tyne, NE5 5HH.
.
Fareshare North East 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.
## **Going concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the levels of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
## **Fund accounting**
Restricted funds are to be used for specified purposes as laid down by the donor. Expenditure which meets these criteria is identified to the fund, together with a fair allocation of overheads and support costs.
Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular purposes.
## **Income**
Income is recognised in the period in which the charity is entitled to receipt and the amount can be measured with reasonable certainty. Income is deferred only when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Voluntary income received by way of donations and gifts to the charity is included in full in the Statement of Financial Activities when received. Intangible income is not included unless it represents goods or services which would have otherwise been purchased. Gifts in kind are valued and brought in as income and the appropriate expenditure. There were no gifts in kind in the year ended 31 March 2023.
## **Investment income**
Interest is included when receivable by the charity.
- 9 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **1. ACCOUNTING POLICIES** _(continued)_
## **Expenditure**
All expenditure is accounted for on an accruals basis.
Charitable activities include all costs relating to activities where the primary aim is part of the objects of the charity along with the indirect costs. The indirect costs have been apportioned on a reasonable basis.
Governance costs include audit and accountancy fees as well as the Annual General Meeting costs.
## **Operating lease agreements**
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the Statement of Financial Activities on a straight-line basis over the period of the lease.
## **Debtors**
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **Cash at bank and in hand**
Cash at bank and in hand includes cash held at bank and cash in hand.
## **Liabilities and provisions**
Liabilities are recognised when there is an obligation at the Statement of Financial Position date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.
## **Financial instruments**
The charity has elected to apply the provisions of Section 11 “Basis Financial Instruments” of FRS 102, in full to all of its financial instruments. All of the charities financial assets and financial liabilities qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **Pension costs**
The charity provides a defined contribution scheme for employees. The assets of the scheme are held separately from those of the charity. The annual contributions payable are charged to the Statement of Financial Activities.
- 10 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **1. ACCOUNTING POLICIES** _(continued)_
## **Intangible Assets and Amortisation**
Intangible assets are initially recorded at cost and are subsequently stated at cost less any accumulated amortisation and impairment losses.
Amortisation is calculated so as to write off the cost of an asset, less it’s estimated residual value, over the useful economic life of that asset as follows:
Website development
33% straight line
## **Tangible Fixed Assets and Depreciation**
Tangible fixed assets are capitalised and included at cost.
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Equipment 15% reducing balance Motor vehicles 25% reducing balance
## **Employee benefits**
The costs of short-term employee benefits are recognised as a liability and an expense unless these costs are required to be capitalised as an intangible or tangible fixed asset.
Employees are only entitled to carry forward unused holiday entitlement in exceptional circumstances, and only by agreement with management. The cost of any unused entitlement is recognised in the period in which the employee’s services are required.
## **Critical Accounting Estimates and Areas Of Judgement**
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectation of future events that are believed to be reasonable under the circumstances.
The only significant area of judgement is the useful economic lives of fixed assets, details of which are given above.
- 11 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **2. STATEMENT OF FINANCIAL ACTIVITIES FOR THE PRIOR YEAR**
|**_Note_**
**_Unrestricted_**
**_Funds_**
**_General_**
**_£_**
**_Unrestricted_**
**_Funds_**
**_Designated_**
**_£_**
**_Restricted_**
**_Funds_**
**_£_**
**_Income from:_**
_Investment income_
**_4_**
_–_
_–_
_–_
_Charitable activities_
**_5_**
_405,043_
_–_
_123,233_
_Donations and legacies_
_43,604_
_–_
_–_
**_Total income_**
_448,647_
_–_
_123,233_
**_Expenditure:_**
_Charitable activities_
_447,798_
_18,628_
_42,821_
**_Total expenditure_**
**_6_**
_447,798_
_18,628_
_42,821_
**_Net incoming / (outgoing) resources_**
**_before transfers_**
**_8_**
_849_
_(18,628)_
_80,412_
**_Transfers_**
_Gross transfers between funds_
_(85,765)_
_85,765_
_–_
**_Net movement in funds_**
_(84,916)_
_67,137_
_80,412_
_Total funds brought forward_
_166,475_
_81,164_
_61,341_
**_Total funds carried forward_**
_81,559_
_148,301_
_141,753_|**_Total_**
**_Funds_**
**_2022_**
**_£_**
_–_
_528,276_
_43,604_
_571,880_
_509,247_
_509,247_
_62,633_
_–_
_62,633_
_308,980_
_371,613_|
|---|---|
## **3. COMPANY STATUS**
The company is a charitable incorporated organisation.
## **4. INVESTMENT INCOME**
|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**£**
**£**
Bank interest
409
_–_|**2023**
_2022_
**£**
_£_
409
_–_|
|---|---|
In the year ended 31 March 2023, income from other trading activities of £409 (2022: £nil) was unrestricted and £nil (2022: £nil) was restricted.
- 12 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **5 INCOME FROM CHARITABLE ACTIVITIES**
|**Unrestricted**
**Funds**
**Restricted**
**Funds**
**£**
**£**
Connected Voice
4,000
_–_
Covid related grant
10,749
_–_
LGA Foundation
5,000
_–_
Joicey Trust
3,300
_–_
Postcode Lottery
25,000
_–_
William Leech
5,000
_–_
Middlesbrough Foundation
_–_
50,000
FSUK
75,254
108,843
Groundwork Tesco
2,375
_–_
Ludlow Trust
54,400
_–_
CLLD Funding
23,136
_–_
Fundraising
6,047
_–_
Membership income – CFM
253,042
_–_
William Webster Trust
_–_
_–_
The Shears Foundation
_–_
_–_
Bernicia Foundation
_–_
_–_
Kavli Foundation
_–_
_–_
Garfield Weston
30,000
_–_
Apprentice funding
31,034
_–_
Funding for food savouring role
3,199
_–_
531,536
158,843
**Grants transferred from the CIC:**
The National Lottery Community Fund
_–_
_–_
WRAP
_–_
_–_
Hadrian Trust
_–_
_–_
FORE
_–_
_–_
LGA
_–_
_–_
Greggs
_–_
_–_
_–_
_–_
Total income from charitable activities
531,536
158,843|**2023**
**£**
4,000
10,749
5,000
3,300
25,000
5,000
50,000
184,097
2,375
54,400
23,136
6,047
253,042
_–_
_–_
_–_
_–_
30,000
31,034
3,199
690,379
_–_
_–_
_–_
_–_
_–_
_–_
_–_
690,379|_2022_
_£_
–
–
1,000
–
–
–
–
32,928
–
–
–
–
272,313
3,000
5,000
9,000
82,083
25,000
17,243
_–_
447,567
_11,150_
_60,659_
_2,000_
_4,900_
_1,000_
_1,000_|
|---|---|---|
|||
_80,709_
|
|||_528,276_|
In the year ended 31 March 2023, income from charitable activities of £531,536 (2022: £405,043) was unrestricted and £158,843 (2022: £123,233) was restricted.
- 13 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **6. EXPENDITURE**
|Charitable activities
Governance costs|**Direct**
**Costs**
**£**
19,341
–
19,341|**Staff**
**Costs**
**£**
286,952
–
286,952|**Depre-**
**ciation**
**£**
46,323
–
46,323|**Other**
**Costs**
**£**
202,216
2,600
204,816|**2023**
**£**
554,832
2,600
557,432|_2022_
_£_
_506,647_
_2,600_|
|---|---|---|---|---|---|---|
|||||||
_509,247_|
In the year ended 31 March 2023, total expenditure of £422,535 (2022: £466,426) was unrestricted and £134,897 (2022: £42,821) was restricted.
## **Governance costs are made up as follows:**
|Independent Examiners fees
Accountancy fees
**Other costs are made up as follows:**
Rent and utilities
Telephone
Printing and office supplies
Website costs
Repairs and maintenance
Cleaning and hygiene
Travelling expenses
Motor vehicles expenses
Vehicle hire
Equipment hire
Insurance
Fees and subscriptions
Training
Advertising
Consultancy and legal fees
Volunteer expenses
Bank charges
Interest payable on hire purchase agreements
Sundry expenses
Bad debt provision
Loan owed from group undertaking written off
Amounts owed from group undertaking written off
Interest payable on PAYE
Pest control
Volunteers training programme|
|
|---|---|
- 14 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **7. STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES AND THE COST OF KEY MANAGEMENT PERSONNEL**
## **The aggregate payroll costs were:**
|Wages and salaries
Social security costs
Other pension costs
Staff support costs|**2023**
**£**
253,697
14,271
4,370
14,614
286,952
|_2022_
_£_
_226,593_
_12,058_
_3,982_
_400_|
|---|---|---|
|||_243,033_|
No employee (2022: no employee) earned in excess of £60,000 (2022: £60,000) during the year.
## **Particulars of employees:**
The average number of staff employed by the charity during the financial period amounted to:
||**2023**|_2022_|
|---|---|---|
||**No**|_No_|
|Total|13|_13_|
## **Trustees' remuneration and expenses**
No remuneration directly or indirectly out of the charity was paid or payable for the current and previous periods to any trustee or any persons known to be connected with any of them. No reimbursement of expenses has been made or is due to be made to any of the trustees in respect of the current and previous periods.
As part of the organisation’s insurance policy, trustees have been indemnified against consequence of any neglect or default on their behalf.
## **8. NET INCOMING / OUTGOING RESOURCES**
Net incoming/(outgoing) resources are stated after charging:
|||**2023**|_2022_|
|---|---|---|---|
|||**£**|_£_|
|Depreciation|and amortisation|46,323|_30,764_|
|Accountancy|and Independent Examiner’s fees|2,600|_2,600_|
- 15 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **9 INTANGIBLE FIXED ASSETS**
||||||**Website**|
|---|---|---|---|---|---|
||||||**Development**|
||||||**£**|
|**Cost**||||||
|At 31 March 2022|||||4,000|
|Additions|||||1,750|
|Disposals|||||–|
|**At 31 March 2023**|||||5,750|
|**Amortisation**||||||
|At 31 March 2022|||||1,320|
|Charge for the year|||||1,729|
|Disposals|||||–|
|**At 31 March 2023**|||||3,049|
|**Net book value**||||||
|At 31 March 2023|||||2,701|
|_At 31 March 2022_|||||_2,680_|
|**ANGIBLE FIXED ASSETS**||||||
||**Equipment**||**Motor Vehicles**||**Total**|
||**£**||**£**||**£**|
|**Cost**||||||
|At 31 March 2022|102,307||129,288||231,595|
|Additions|64,290||38,328||102,618|
|Disposals||–||–|–|
|At 31 March 2023|166,597||167,616||334,213|
|**Depreciation**||||||
|At 31 March 2022|13,692||29,343||43,035|
|Charge for the year|14,817||29,777||44,594|
|Disposals||–||–|–|
|At 31 March 2023|28,509||59,120||87,629
|
|**Net book value**||||||
|At 31 March 2023|138,088||108,496||246,584|
|_At 31 March 2022_|_88,615_||_99,945_||_188,560_|
## **10 TANGIBLE FIXED ASSETS**
All tangible fixed assets are held for charitable purposes.
- 16 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **11. DEBTORS**
|Trade debtors
VAT and social security
Prepayments and accrued income|**2023**
**£**
48,591
16,479
2,969
68,039
|_2022_
_£_
_83,477_
_4,072_
2,617|
|---|---|---|
|||
_90,166_
|
## **12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade creditors
Accruals and deferred income (see below)
Other creditors
Hire purchase agreements|**2023**
**£**
41,001
127,661
12,507
15,712
196,881
|_2022_
_£_
_12,894_
_76,400_
_3,007_
_15,712_|
|---|---|---|
|||
_108,013_
|
The obligations under hire purchase agreements of £15,712 (2022: £15,712) are secured by way of a fixed charge over the assets acquired.
||_31 March_|||**31 March**|
|---|---|---|---|---|
||_2022_|**Receivable**|**Released**|**2023**|
||_£_|**£**|**£**|**£**|
|Middlesbrough Football Club Foundation|_20,000_|_–_|(20,000)|_–_|
|Middlesbrough Philanthropic|_30,000_|_–_|(30,000)|_–_|
|Membership fees|_26,400_|19,900|(26,400)|19,900|
|Kavli Trust|_–_|79,156|_–_|79,156|
|Expenses accrued|_–_|28,605|_–_|28,605|
||_76,400_
|127,661|(76,400)
|127,661|
The deferrals included in creditors relate to those grants, donations and income specified as relating to a specific period and represent those parts of the grants, donations or income which relate to periods subsequent to the accounting year end and are treated as grants or income in advance, or alternatively where there are conditions which must be fulfilled prior to entitlement or use of the grant or donation by the charity.
## **13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
|Hire purchase agreements|**2023**
**£**
9,165|_2022_
_£_
_24,877_|
|---|---|---|
The obligations under hire purchase agreements of £9,165 (2022: £24,877) are secured by way of a fixed charge over the assets acquired.
- 17 -
## **FARESHARE NORTH EAST NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023**
## **14. RESTRICTED FUNDS**
## **For the year ended 31 March 2023**
|Middlesbrough Foundation
Asda Funding
FSUK
WRAP
Clothworkers
Kavil Foundation
Big Lottery|**Movement in resources:**
_Balance_
_31 March_
_2022_
**Incoming**
**Outgoing**
**Transfers to**
**Unrestricted**
**Balance**
**31 March**
**2023**
_£_
**£**
**£**
**£**
**£**
_–_
50,000
(18,865)
_–_
31,135
_15,589_
_–_
(3,147)
_–_
12,442
_5,765_
108,843
(24,085)
_–_
90,523
_6,938_
_–_
(1,535)
_–_
5,403
_4,753_
_–_
(1,188)
_–_
3,565
_82,083_
_–_
(82,083)
_–_
_–_
_26,625_
–
(3,994)
–
22,631
_141,753_
158,843
(134,897)
_–_
165,699|
|---|---|
## _**For the period ended 31 March 2022:**_
|_Balance_
_31 March_
_2021_
_£_
_The National Lottery_
_Community Fund_
_–_
_Asda Funding_
_17,743_
_FSUK_
_7,687_
_WRAP_
_29,574_
_Clothworkers_
_6,337_
_Kavil Foundation_
_–_
_Big Lottery_
_–_
_61,341_|**_Movement in resources:_**
**_Incoming_**
**_Outgoing_**
**_Transfers to_**
**_Unrestricted_**
**_Balance_**
**_31 March_**
**_2022_**
**_£_**
**_£_**
**_£_**
**_£_**
_11,150_
_(11,150)_
_–_
_–_
_–_
_(2,154)_
_–_
_15,589_
_–_
_(1,922)_
_–_
_5,765_
_–_
_(22,636)_
_–_
_6,938_
_–_
_(1,584)_
_–_
_4,753_
_82,083_
_–_
_–_
_82,083_
_30,000_
_(3,375)_
_–_
_26,625_
_123,233_
_(42,821)_
_–_
_141,753_|
|---|---|
## **The National Lottery Community Fund**
Funding received to cover core costs for staff wages and volunteer costs.
## **Asda Funding**
Capital funding received for capital improvements.
## **FSUK**
Central van funding received for the purchase of a van.
## **WRAP**
Funding received for various capacity enhancement, including reach truck, PPT, safety barriers, forklift truck charging, handwash and wage costs.
## **Clothworkers**
Funding received for the purchase of a forklift truck.
- 18 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **14. RESTRICTED FUNDS** _(continued)_
## **Big Lottery**
Funding received for the purchase of a fridge freezer.
## **Kavil Foundation**
During 2021-22 funding was awarded from the Kavli Trust for a two-calendar year period. This funding was restricted in the first year to cover six months of core costs for the Tees Food Hub and also to fund a training programme in partnership with Nourish Food School. This training programme is running throughout the two year programme and will support beneficiaries in gaining valuable cookery life skills. For the second year, in addition to the partnership with Nourish Food School, funding has been awarded to recruit a Training Manager to support an in-house warehouse training programme.
## **Middlesbrough Foundation**
Funding received for the purchase of refrigeration and costs for securing the Middlesbrough site.
## **15 UNRESTRICTED FUNDS**
## **For the year ended 31 March 2023:**
||_Balance At_||||**Balance**|
|---|---|---|---|---|---|
||_31 Mar_||||**At 31 Mar**|
||_2022_|**Incoming**|**Outgoing**|**Transfers**|**2023**|
||_£_|**£**|**£**|**£**|**£**|
|_Designated funds:_||||||
|Capital fund|_88,301_|_–_|(23,633)|(2,374)|62,294|
|Contingencies for closure|_60,000_|_–_|_–_|_51,377_|111,377|
|Total designated funds|_148,301_|_–_|(23,633)|49,003|173,671|
|_General funds_|_81,559_|585,234|(398,902)|(49,003)|218,888|
||_229,860_|585,234
|(422,535)
|–
|392,559|
|**_For the period ended 31 March 2022:_**||||||
||_Balance At_||||**_Balance_**|
||_31 Mar_||||**_At 31 Mar_**|
||_2021_|**_Incoming_**|**_Outgoing_**|**_Transfers_**|**_2022_**|
||_£_|**_£_**|**_£_**|**_£_**|**_£_**|
|_Designated funds:_||||||
|_Capital fund_|_21,164_|_–_|_(18,628)_|_85,765_|_88,301_|
|_Contingencies for closure_|_60,000_|_–_|_–_|_–_|_60,000_|
|_Total designated funds_|_81,164_|_–_|_(18,628)_|_85,765_|_148,301_|
|_General funds_|_166,475_|_448,647_|_(447,798)_|_(85,765)_|_81,559_|
||_247,639_|_448,647_|_(466,426)_|_–_|_229,860_|
- 19 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **15 UNRESTRICTED FUNDS** _(continued)_
## **Designated funds are as follows:**
Capital fund – This fund includes all of the assets that are not covered by restricted funds less any hire purchase liabilities in relation to the assets.
Contingencies for closure – the balance has been based on the estimated costs of closing the charity.
## **16. ANALYSIS OF NET ASSETS BETWEEN FUNDS**
## **For the year ended 31 March 2023:**
|**Intangible**
**Tangible**
**Net**
**Long**
**fixed**
**assets**
**fixed**
**assets**
**Current**
**assets**
**Term**
**Liabilities**
**£**
**£**
**£**
**£**
**Restricted funds:**
Asda Funding
_–_
12,442
_–_
_–_
FSUK
_–_
90,523
_–_
_–_
WRAP
_–_
5,403
_–_
_–_
Clothworkers
_–_
3,565
_–_
_–_
Big Lottery
_–_
22,631
_–_
Middlesbrough Foundation
_–_
24,849
6,286
_–_
_–_
159,413
6,286
_–_
**Designated funds:**
Capital fund
_–_
87,171
(15,712)
(9,165)
Contingencies for closure
_–_
_–_
111,377
_–_
General unrestricted funds
2,701
_–_
216,187
_–_
**Total funds**
2,701
246,584
318,138
(9,165)
**or the period ended 31 March 2022:**
**_Intangible_**
**_Tangible_**
**_Net_**
**_Long_**
**_fixed_**
**_assets_**
**_fixed_**
**_assets_**
**_Current_**
**_assets_**
**_Term_**
**_Liabilities_**
**_£_**
**_£_**
**_£_**
**_£_**
**_Restricted funds:_**
_Asda Funding_
_–_
_15,589_
_–_
_–_
_FSUK_
_–_
_5,765_
_–_
_–_
_WRAP_
_–_
_6,938_
_–_
_–_
_Clothworkers_
_–_
_4,753_
_–_
_–_
_Kavil Foundation_
_–_
_–_
_82,083_
_–_
_Big Lottery_
_–_
_26,625_
_–_
_–_
_–_
_59,670_
_82,083_
_–_
**_Designated funds:_**
_Capital fund_
_–_
_128,890_
_(15,712)_
_(24,877)_
_Contingencies for closure_
_–_
_–_
_60,000_
_–_
_General unrestricted funds_
_2,680_
_–_
_78,879_
_–_
**_Total funds_**
_2,680_
_188,560_
_205,250_
_(24,877)_|**Total**
**2023**
**£**
12,442
90,523
5,403
3,565
22,631
31,135
165,699
62,294
111,377
218,888
558,258
**_Total_**
**_2022_**
**_£_**
_15,589_
_5,765_
_6,938_
_4,753_
_82,083_
_26,625_
_141,753_
_88,301_
_60,000_
_81,559_
_371,613_|
|---|---|
**For the period ended 31 March 2022:**
- 20 -
## **FARESHARE NORTH EAST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **YEAR ENDED 31 MARCH 2023**
## **17. CONTROLLING PARTY**
In the opinion of the trustees the charity is not controlled by any single party.
## **18. TAXATION**
The charity is exempt from tax on income and gains falling within Section 505 of the Taxes Act 1988 or Section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen in the charity.
- 21 -