Vital Hardware Financial Statements Period Ended 31 March 2022
Charity registration number: 1194319
Vital Hardware
Financial Statements
Period Ended 31 March 2022
| Contents | |
|---|---|
| Page | |
| Charity Reference and Administrative Details | 2 |
| Trustees’ Annual Report | 3 |
| Accountants Report | 6 |
| Statement of Financial Activities | 7 |
| Balance Sheet | 8 |
| Notes to the Financial Statements | 9 |
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Vital Hardware
Charity Reference and Administrative Details
Period Ended 31 March 2022
Charity registration number
1194319
Trustees
Thomas Philipson Mark Saunders Nick Rappolt
Registered office
100 Leonard Street London EC2A 4RH
Accountants
Praxis 1 Poultry London EC2R 8EJ
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Vital Hardware
Trustees’ Annual Report
Period Ended 31 March 2022
The Trustees present their report and the financial statements of the charity for the period ended 31 March 2022. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply 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 published in October 2019.
Trustees of the charity
The trustees who have served during the period and since the period end were as follows:
Thomas Philipson Mark Saunders Nick Rappolt
Objectives and activities
We are on a mission to equip and empower a new generation of diverse talent for UK agencies; giving the most promising people living in disadvantaged communities fair access to creative careers, and helping to close the diversity gap in the UK's creative industry.
Public benefit
The trustees have considered the Charity Commission’s guidance on public benefit and fee charging.
Strategic Report
We are pleased to present the Strategic Report for the period ending March 31, 2022.
The past year has been a successful one for Vital Hardware. We have continued to grow our partnerships with various organisations and companies, to expand our reach and impact. Our partnership with Central Saint Martin's, in which we provided them with 50 laptops, has allowed us to support the education and advancement of students in the design and arts fields. Additionally, our partnership with D&AD, which works with Google, has allowed us to provide valuable opportunities and resources for students who are looking to enter the creative industry but have not taken the traditional university route.
We are confident that these partnerships will continue to help those students most in need in the forthcoming year. We will be focusing on expanding these types of partnerships and identifying new opportunities to collaborate with organisations that share our mission and values.
We are also committed to being a responsible charity and are dedicated to making a positive impact on the communities we serve. We will continue to focus on sustainability and environmentally friendly practices, to minimise our impact on the environment.
Overall, we are excited about the opportunities and challenges ahead and are confident that with the continued support of our, partners and donators, we will be able to achieve our goals and create the opportunities students deserve.
Financial review (including reserves policy)
We are pleased to present the Financial Review
The past year has been a challenging one for Vital Hardware, as the ongoing COVID-19 pandemic has affected our ability to fundraise and operate as normal. Despite these challenges, we have been able to continue our mission of providing vital hardware and supplies to those in need, thanks to the generosity and support of our donors.
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Vital Hardware
Trustees’ Annual Report
Period Ended 31 March 2022
One of the keyways we have been able to continue our operations is by keeping our overheads at an absolute low. Additionally, we have implemented a direct-to-beneficiary model, in which donors send equipment directly to the education providers and individuals in need, rather than going through the charity. This allows us to minimize our expenses and maximize the impact of our donations.
As of March 31, 2022, our funds totalled £129, our funds have increased to approximately £4,000 as of December 31, 2022 despite challenges presented by the pandemic. However, we remain committed to our mission and continue to actively seek out new donors and partners to provide equipment and financial support.
In terms of our reserves policy, we aim to maintain a reserve that is sufficient to cover at least three months of operating expenses. This will provide us with the necessary flexibility and stability to weather any unexpected challenges that may arise. Additionally, any funds that exceed this reserve amount will be invested in expanding our programs and services to reach more individuals and communities in need.
We are grateful for the support of our donors and partners, and we will continue to be responsible stewards of the resources entrusted to us. We are dedicated to making a positive impact on the communities we serve and will continue to provide vital hardware and supplies to those in need.
Plans for future periods Goals:
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Expand our partnerships outside of London to create national opportunities for students. We aim to establish partnerships with education providers and organisations in other regions of the country to expand our reach and impact.
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Increase the number of donations we receive. We will work to raise awareness of our mission and the impact of our work through various marketing and outreach efforts. This will help us to attract more donors and partners who can support our efforts.
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Grow our team to better serve our beneficiaries. As we expand our partnerships and increase the number of donations we receive, we will need to grow our team to ensure that we are able to effectively manage and distribute these resources.
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Increase the number of students we serve. Our ultimate goal is to reach as many students as possible and provide them with the resources they need to succeed. As we expand our partnerships and increase our capacity, we will aim to serve more students in need.
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Maintain a stable financial position and ensure the long-term sustainability of the charity. We will continue to keep our overheads low and maintain a reserves policy to ensure that we can weather any unexpected challenges that may arise.
Strategies:
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Networking and Outreach: We will attend national education conferences, events and seminars to establish new partnerships and raise awareness of our mission. We will also use social media and other digital channels to promote our work and engage with potential donors and partners.
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Volunteer Recruitment and Management: We will recruit and train volunteers to help with our outreach efforts, donation management and distribution. This will enable us to expand our capacity and better serve our beneficiaries.
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Donor Relations: We will work to build and maintain strong relationships with our donors and partners. This will include regular communication, acknowledgment of donations, and reporting on the impact of their contributions.
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Financial Management: We will maintain strict financial controls and reporting to ensure that our funds are being used effectively and efficiently. We will also seek out new funding sources to support our expansion efforts.
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Evaluation and Impact Measurement: We will regularly evaluate our programs and services to ensure that they are meeting the needs of our beneficiaries and making a positive impact. We will also measure the impact of our work to demonstrate the effectiveness of our efforts to donors and partners.
Conclusion: As we look to the future, we are committed to expanding our partnerships and increasing our impact to better serve students and education providers in need. With your support, we can make a real difference in the lives of young people and help them achieve their full potential.
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Vital Hardware
Trustees’ Annual Report
Period Ended 31 March 2022
Structure, governance and management
The charity is controlled by its governing document, a CIO constitution, and constitutes a Charitable Incorporated Organisation.
On behalf of the board
M L Saunders, Trustee
30 January 2023
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Vital Hardware
Accountants Report to the Trustees of Vital Hardware
Period Ended 31 March 2022
In order to assist you to fulfil your duties under the Charities Act 2011, we have prepared for your approval the financial statements of Vital Hardware the financial period ended 31 March 2022 which comprises the Statement of Financial Activities, the Balance Sheet and the related notes 1 to 10 from the Charitable Incorporated Organisation’s accounting records and from information and explanations you have given us.
We are subject to the ethical and other professional requirements of the Institute of Chartered Accountants in England and Wales (ICAEW) which are detailed at http://www.icaew.com/en/members/regulationsstandards-and-guidance/.
It is your duty to ensure that Vital Hardware has kept adequate accounting records and to prepare financial statements that give a true and fair view of the assets, liabilities, financial position and surplus or deficit of Vital Hardware. You consider that Vital Hardware is exempt from the statutory audit requirement for the financial period.
We have not been instructed to carry out an audit or a review of the financial statements of Vital Hardware. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the Charitable Incorporated Organisation’s financial statements.
This report is made solely to the Trustees of Vital Hardware, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of Vital Hardware and state those matters that we have agreed to state to you in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Vital Hardware and its Trustees as a body for our work or for this report.
Praxis Accountant 1 Poultry London EC2R 8EJ
30 January 2023
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Vital Hardware
Statement of Financial Activities
Period Ended 31 March 2022
| Note Income and endowments from: Donations and legacies 2 Total income and endowments Expenditure on: Charitable activities 3 Net Income / (expenditure) Transfers between funds Net movement in funds 8 Reconciliation of funds: Total funds brought forward 8 Total funds carried forward 8 |
2022 Unrestricted funds Total £ £ 1,200 1,200 |
|---|---|
| 1,200 1,200 1,071 1,071 |
|
| 129 129 - - |
|
| 129 129 - - |
|
| 129 129 |
All income and expenditure derive from continuing activities.
The statement of financial activities includes all gains and losses recognised during the period.
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Vital Hardware
Balance Sheet
| Period Ended 31 March 2022 Note Current assets Cash at bank and in hand Net current assets Total assets less current liabilities Net assets Charity Funds Unrestricted funds 8 Total charity funds 8 |
2022 £ 129 |
|---|---|
| 129 | |
| 129 | |
| 129 | |
| 129 | |
| 129 |
The financial statements were approved and authorised for issue by the Board on 30 January 2023. Signed on behalf of the board of trustees
M L Saunders, Trustee
The notes on pages 9 to 12 form part of these financial statements.
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Vital Hardware
Notes to the Financial Statements
Period Ended 31 March 2022
1 Summary of significant accounting policies
(a) General information and basis of preparation
Vital Hardware is a Charitable Incorporated Organisation incorporated in England. In the event of the charity being wound up, the members have no liability to contribute to its assets. The address of the registered office is given in the charity information on page 3 of these financial statements.
The charity constitutes a public benefit entity as defined by FRS 102. 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.
The financial statements have been prepared to give a ‘true and fair’ view and 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 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 issued in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The period covered by the financial statements is less than 12 months. This is due to registration of the CIO on 04 May 2021.
The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
(b) Funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes.
(c) Income recognition
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.
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Vital Hardware
Notes to the Financial Statements
Period Ended 31 March 2022
1 Summary of significant accounting policies (continued)
Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable, it can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity. For example, the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure.
No amount is included in the financial statements for volunteer time in line with the SORP. Further detail is given in the Trustees’ Annual Report.
Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent.
(d) Expenditure recognition
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:
-
Expenditure on charitable activities includes the costs of the charity’s education and advocacy activities; and
-
Other expenditure represents those items not falling into the categories above.
Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.
Grants payable to third parties are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside of the control of the charity.
(e) Support costs allocation
Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs and governance costs. They are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in note 5.
(f) Debtors and creditors receivable / payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
(g) 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 level 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.
(h) Judgements and key sources of estimation uncertainty
No significant judgements have been made in the process of applying the above accounting policies.
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Vital Hardware
Notes to the Financial Statements
Period Ended 31 March 2022
2 Income from donations and legacies
| Subscriptions Event related donations Other donations Legacies Donated services |
2022 £ - - 200 - 1,000 |
|---|---|
| 1,200 |
Income from donations and legacies was all attributable to unrestricted funds.
3 Analysis of expenditure on charitable activities
| Charitable activities 2022 Hardware donation |
Activities undertaken directly Grant funding of activities Support costs Total 2022 2022 2022 2022 £ £ £ £ 71 - - 71 |
|---|---|
| 71 - - 71 |
All of the above costs were attributable to unrestricted funds.
4 Allocation of support costs
| Support costs 2022 Subscriptions Information technology Bank charges Governance costs Total |
Hardware donation Total £ £ 2022 2022 - - - - 71 71 1,000 1,000 |
|---|---|
| 1,071 1,071 |
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Vital Hardware
Notes to the Financial Statements
Period Ended 31 March 2022
5 Governance costs
| Accounting / independent examiners fee | 2022 £ 1,000 |
|---|---|
| 1,000 |
6 Trustees' and key management personnel remuneration and expenses
The trustees neither received nor waived any remuneration during the period.
The trustees did not have any expenses reimbursed during the period.
7 Staff costs and employee benefits
The average monthly number of employees and full time and full time equivalent (FTE) was nil.
8 Fund reconciliation
Unrestricted funds
| General Fund | Balance at 4 May 2021 Income Expenditure Transfers Gains / (losses) Balance at 31 Mar 2022 £ £ £ £ £ £ - 1,200 (1,071) - - 129 |
|---|---|
| - 1,200 (1,071) - - 129 |
The General Fund is used for the core costs and ongoing charitable activities of Vital Hardware.
9 Related party transactions
There are no related party transactions during the period.
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