Company registration number: CE022664 Charity registration number: 1190584
THE EMPOWERMENT GROUP
(A company limited by guarantee) Annual Report and Financial Statements for the Year Ended 30 June 2023
GRC Accountants Limited 166 Banks Road West Kirby Wirral Merseyside CH48 0RH
THE EMPOWERMENT GROUP
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Strategic Report | 2 |
| Trustees' Report | 3 to 4 |
| Statement of Financial Activities | 5 |
| Balance Sheet | 6 |
| Statement of Cash Flows | 7 |
| Notes to the Financial Statements | 8 to 13 |
THE EMPOWERMENT GROUP
Reference and Administrative Details
Chairman
Mr Anthony Brathwaite
Charity Registration Number 1190584 Company Registration Number CE022664
Registered Office The Empowerment Group 86-90 Paul Street London EC2A 4NE Independent Examiner GRC Accountants Limited 166 Banks Road West Kirby Wirral Merseyside CH48 0RH
Page 1
THE EMPOWERMENT GROUP
Strategic Report for the Year Ended 30 June 2023
The trustees, who are directors for the purposes of company law, present their strategic report for the year ended 30 June 2023, in compliance with s414C of the Companies Act 2006.
The strategic report was approved by the trustees of the charity on 21 July 2023 and signed on its behalf by:
......................................... Mr Anthony Brathwaite Chairman and trustee
Page 2
THE EMPOWERMENT GROUP
Trustees' Report
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 30 June 2023.
Trustees and officers
The trustees and officers serving during the year and since the year end were as follows:
Trustees: Mr Emmanuel Anthony Miss Abimbola Anyiam Mr Anthony Brathwaite Chairman: Mr Anthony Brathwaite
Statement of trustees' responsibilities
The trustees (who are also the directors of THE EMPOWERMENT GROUP for the purposes of company law) 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), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The Empowerment Group is dedicated to providing accessible and culturally sensitive therapy to individuals in need. We strive to create a safe and inclusive space where individuals can receive the support they require. Our team of staff and dedicated therapists are committed to promoting mental well-being and empowering individuals to lead fulfilling lives.
Activities and Impact: Throughout the reporting period, The Empowerment Group has successfully delivered one-to-one online therapy sessions, catering to the specific cultural needs of our clients. We are delighted to report that 94% of the individuals we have supported have greatly benefitted from our service in the last 12 months. Our service has supported them in their mental health journey, providing them with the tools and support necessary to overcome personal challenges.
Partnerships and Notability: We are proud to have established key partnerships during this period, including a notable collaboration with Mind, a leading mental health charity in the UK. This partnership has allowed us to expand our reach and better serve individuals in need. We have also engaged with other organisations and community groups to raise awareness about mental health issues and the importance of culturally appropriate therapy.
Page 3
THE EMPOWERMENT GROUP
Trustees' Report
Financial Review: The Empowerment Group has experienced significant growth in income during the reporting period, which has enabled us to enhance our services and reach a wider audience. Through successful fundraising efforts and the generous support of donors, we have been able to build capacity, invest in training, and expand our therapeutic offerings. Our financial statements, available separately, provide a comprehensive overview of our financial performance.
Governance and Risk Management: We place great emphasis on robust governance and risk management to ensure the effective operation of our charity. Throughout the year, our dedicated board of trustees has provided strategic guidance, oversight, and support. We have implemented risk management processes to identify and mitigate potential risks and challenges, ensuring the sustainability of our operations.
Future Plans and Objectives: Looking ahead, The Empowerment Group aims to build on its success and further expand its reach and impact. We plan to continue strengthening our partnerships, both within the mental health sector and the wider community. Our focus remains on improving accessibility to culturally appropriate therapy services and supporting more individuals in their mental health journey.
Conclusion: In conclusion, The Empowerment Group has had a transformative year, providing culturally appropriate therapy to hundreds of adults in the UK. Our growth, strategic partnerships, and growing notability have allowed us to make a significant difference in the lives of those we serve. We are immensely grateful for the support of our dedicated team, donors, and funders who have contributed to our success. Together, we will continue to empower individuals and promote mental well-being.
It is the policy of the charity to hold in reserve £12,000. The level of reserves is reviewed annually.
The annual report was approved by the trustees of the charity on 21 July 2023 and signed on its behalf by:
......................................... Mr Anthony Brathwaite Chairman and trustee
Page 4
THE EMPOWERMENT GROUP
Statement of Financial Activities for the Year Ended 30 June 2023 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Note Income and Endowments from: Donations and legacies 3 Other trading activities 4 Total income Expenditure on: Raising funds Charitable activities 5 Other expenditure 6 Total expenditure Net income Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 13 Note Income and Endowments from: Donations and legacies 3 Other trading activities 4 Total income Expenditure on: Raising funds Charitable activities 5 Other expenditure 6 Total expenditure Net income Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 13 |
Unrestricted funds £ 11,044 33,848 44,892 (250) (2,390) (10,856) (13,496) 31,396 31,396 30,262 61,658 Unrestricted funds £ 18,330 11,981 30,311 (3,270) (961) (1,413) (5,644) 24,667 24,667 5,595 30,262 |
Restricted funds £ 201,775 - 201,775 - (82,339) (41,406) (123,745) 78,030 78,030 35,834 113,864 Restricted funds £ 55,584 - 55,584 - (30,072) (20,966) (51,038) 4,546 4,546 31,288 35,834 |
Total 2023 £ 212,819 33,848 |
|---|---|---|---|
| 246,667 | |||
| (250) (84,729) (52,262) |
|||
| (137,241) | |||
| 109,426 | |||
| 109,426 66,096 |
|||
| 175,522 | |||
| Total 2022 £ 73,914 11,981 |
|||
| 85,895 | |||
| (3,270) (31,033) (22,379) |
|||
| (56,682) | |||
| 29,213 | |||
| 29,213 36,883 |
|||
| 66,096 |
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2022 is shown in note 13.
The notes on pages 8 to 13 form an integral part of these financial statements. Page 5
THE EMPOWERMENT GROUP
(Registration number: CE022664) Balance Sheet as at 30 June 2023
| Note Current assets Cash at bank and in hand 11 Creditors: Amounts falling due within one year 12 Net assets Funds of the charity: Restricted income funds Restricted funds Unrestricted income funds Unrestricted funds Total funds 13 |
2023 £ 176,002 (480) 175,522 113,864 61,658 175,522 |
2022 £ 66,576 (480) |
|---|---|---|
| 66,096 | ||
| 35,834 30,262 |
||
| 66,096 |
For the financial year ending 30 June 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
The financial statements on pages 5 to 13 were approved by the trustees, and authorised for issue on 21 July 2023 and signed on their behalf by:
.........................................
Mr Anthony Brathwaite Chairman and trustee
The notes on pages 8 to 13 form an integral part of these financial statements. Page 6
THE EMPOWERMENT GROUP
Statement of Cash Flows for the Year Ended 30 June 2023
| Note Cash flows from operating activities Net cash income Net cash flows from operating activities Net increase in cash and cash equivalents Cash and cash equivalents at 1 July Cash and cash equivalents at 30 June |
2023 £ 109,426 109,426 109,426 66,576 176,002 |
2022 £ 29,213 |
|---|---|---|
| 29,213 | ||
| 29,213 37,363 |
||
| 66,576 |
All of the cash flows are derived from continuing operations during the above two periods.
The notes on pages 8 to 13 form an integral part of these financial statements. Page 7
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
1 Charity status
The charity is limited by guarantee, incorporated in , and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £Nil towards the assets of the charity in the event of liquidation.
The address of its registered office is: The Empowerment Group 86-90 Paul Street London EC2A 4NE
These financial statements were authorised for issue by the trustees on 21 July 2023.
2 Accounting policies
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Basis of preparation
THE EMPOWERMENT GROUP meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Grants receivable
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
Page 8
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
Financial instruments
Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
Page 9
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment.
Investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.
Derivative financial instruments
The charity uses derivative financial instruments to reduce exposure to foreign exchange risk and interest rate movements. The charity does not hold or issue derivative financial instruments for speculative purposes.
Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to their fair value at each reporting date. The resulting gain or loss is recognised in statement of financial activities immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in statement of financial activities depends on the nature of the hedge relationship.
3 Income from donations and legacies
| Donations and legacies; Donations from individuals Grants, including capital grants; Grants from other charities Total for 2023 Total for 2022 |
Unrestricted funds General £ 11,044 - 11,044 18,330 |
Restricted funds £ - 201,775 201,775 55,584 |
Total funds £ 11,044 201,775 |
|---|---|---|---|
| 212,819 | |||
| 73,914 |
Page 10
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
4 Income from other trading activities
| Events income; Other events income Total for 2023 Total for 2022 5 Expenditure on charitable activities Counselling Total for 2022 |
Unrestricted funds General £ 33,848 33,848 11,981 Restricted funds £ 82,339 30,072 |
Total funds £ 33,848 |
|---|---|---|
| 33,848 | ||
| 11,981 | ||
| Total funds £ 82,339 |
||
| 30,072 | ||
| Total expenditure £ |
In addition to the expenditure analysed above, there are also governance costs of £2,390 (2022 - £961) which relate directly to charitable activities. See note 7 for further details.
6 Other expenditure
| Note Allocated support costs 7 Total for 2023 Total for 2022 |
Unrestricted funds General £ 10,856 10,856 1,413 |
Restricted funds £ 41,406 41,406 20,966 |
Total funds £ 52,262 |
|---|---|---|---|
| 52,262 | |||
| 22,379 |
Page 11
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
7 Analysis of governance and support costs
Support costs allocated to charitable activities
| Basis of allocation Advertising Consultancy Fees Travelling Donations Computer software and maintenance costs Sundry Subscriptions Total for 2023 Total for 2022 |
Administration costs £ 1,029 41,406 1,042 7,540 749 178 318 52,262 22,380 |
Total funds £ 1,029 41,406 1,042 7,540 749 178 318 52,262 22,380 |
|---|---|---|
Governance costs
| Independent examiner fees Examination of the financial statements Other governance costs Total for 2023 Total for 2022 |
Unrestricted funds General £ 480 1,910 2,390 961 |
Total funds £ 480 1,910 |
|---|---|---|
| 2,390 | ||
| 961 |
8 Trustees remuneration and expenses
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any reimbursed expenses or any other benefits from the charity during the year.
9 Independent examiner's remuneration
| 9 Independent examiner's remuneration |
||||
|---|---|---|---|---|
| 2023 | 2022 | |||
| £ | £ | |||
| Examination of the financial statements | 480 | 480 |
10 Taxation
The charity is a registered charity and is therefore exempt from taxation.
Page 12
THE EMPOWERMENT GROUP
Notes to the Financial Statements for the Year Ended 30 June 2023
| 11 Cash and cash equivalents Cash at bank 12 Creditors: amounts falling due within one year Accruals 13 Funds Balance at 1 July 2022 £ Unrestricted funds General 30,262 Restricted funds 35,834 Total funds 66,096 Balance at 1 July 2021 £ Unrestricted funds General 5,595 Restricted funds 31,288 Total funds 36,883 14 Analysis of net assets between funds Current assets Current liabilities Total net assets Current assets Current liabilities Total net assets |
Incoming resources £ 44,892 201,775 246,667 Incoming resources £ 30,311 55,584 85,895 |
2023 £ 176,002 2023 £ 480 Resources expended £ (13,496) (123,745) (137,241) Resources expended £ (5,644) (51,038) (56,682) Unrestricted funds General £ 176,002 (480) 175,522 Unrestricted funds General £ 66,576 (480) 66,096 |
2022 £ 66,576 |
|---|---|---|---|
| 2022 £ 480 |
|||
| Balance at 30 June 2023 £ 61,658 113,864 |
|||
| 175,522 | |||
| Balance at 30 June 2022 £ 30,262 35,834 |
|||
| 66,096 | |||
| Total funds at 30 June 2023 £ 176,002 (480) |
|||
| 175,522 | |||
| Total funds at 30 June 2022 £ 66,576 (480) |
|||
| 66,096 |
Page 13