## Little Village Learners and Fun Track
Charity number 1195394
# Annual Report and Financial Statements
for the period 4 August 2021 to 31 July 2022
Little Village Learners and Fun Track
Annual Report and Financial Statements for the period 4 August 2021 to 31 July 2022
|**Contents**|**Page**|
|---|---|
|Trustees' report|2 to 4|
|Independent examiner's report|5|
|Statement of financial activities|6|
|Balance sheet|7|
|Notes to the accounts|8 to 12|
**Prepared by West Yorkshire Community Accountancy Service CIO**
1
## Little Village Learners and Fun Track
## Trustees' report for the period 4 August 2021 to 31 July 2022
## **Reference and administrative details of the charity, its trustees and advisors**
The trustees during the financial year and up to and including the date the report was approved were: **Name Position Dates**
Lyndsey Kata Natalie Kata Claire Wardley Michael Halstead
## **Charity number**
1195394
Registered in England and Wales
**Registered and principal address Bankers** Mytholmroyd Community Centre Barclays Bank Caldene Avenue 39/47 Commercial Street Mytholmroyd Halifax HX7 5AF HX1 1BG
## **Independent examiner**
Simon Bostrom FCIE
## **West Yorkshire Community Accountancy Service CIO**
Stringer House 34 Lupton Street Leeds LS10 2QW
## **Structure, governance and management**
The charity is a Charitable Incorporated Organisation (CIO) association formed on 4 Aug 2021 and is governed by a constitution.
## **Method of recruitment and appointment of trustees**
The trustees of the charity are appointed by the members at the AGM.
2
## Little Village Learners and Fun Track
## Trustees' report (continued) for the period 4 August 2021 to 31 July 2022
## **Objectives and activities**
## **The charity's objects**
The development of children and young people by
- 1) Promoting their care and safety;
- 2) Promoting their education and promoting parental involvement
- 3) Promoting their health and wellbeing
- 4) Providing services to support them and their families and carers
- 5) Providing services to individuals holding membership of the CIO
- 6) furthering the aims of the Pre-School Learning Alliance
## **The charity's main activities**
Established in 1977, we are a friendly, lively playgroup situated in the local Community Centre. We offer a safe, stimulating and fun environment for children aged 14 weeks to 11 years old. We are Ofsted approved and have funded places available for children over 3 years and, where eligible, 2 year olds. Our aim is to help your child to socialise with other children and to learn skills through free-play and focused activities.
## **Public benefit statement**
In setting our objectives and planning our activities our Trustees have given serious consideration to the Charity Commission’s general guidance on public benefit and in particular the development and education of children and young people.
## **Achievements and performance**
In the last financial year, we have retained all staff. We keep our training up to date including statutory responsibilities e.g. Safeguarding. We have good links with local schools and the community. We are steadily busy with good word of mouth recommendations.
We have been migrating towards a CIO status which is now completed and therefore this Charity will wind up within the next 12 months. We have struggled to recruit Committee due to the financial liabilities associated with being an unincorporated charity.
We will operate under our new Charity Little Village Learners and Fun Track CIO. A transfer of assets resolution was passed at a formal meeting.
## **Financial review**
The net income for the year was £15,531, including net income of £15,531 on unrestricted funds and net income of £0 on restricted funds after transfers.
Our Trustees remain in constant communication regarding financial costs and have agreed on a fee increase to ensure we can manage rises in rent and wages going forward.
The EEF funding rates have not risen inline with rising wage costs and we have had to introduce a consumables charge for families in receipt of funded only hours. EEF funding cover basic childcare but not other outgoings, in order to remain sustainable, we have no other choice than to pass costs onto our consumers.
We have seen a lack of uptake for our before and after school service due to the local school starting their own provision. Our Holiday club has seen and increased uptake so we hare hopeful to remain sustainable.
We continue to hold several fundraisers throughout the year which allow us to purchase new resources.
Our local supermarkets are supportive and donated Easter Eggs that we raffled off to raise funds.
3
## Little Village Learners and Fun Track
## Trustees' report (continued) for the period 4 August 2021 to 31 July 2022
## **Reserves policy**
The charity's free reserves at the year end were £61,481.
The operating reserve will be reviewed and adjusted by the Trustees, Management Committee and setting Management Team, monthly, in response to internal and external changes. Definitions and Goals The 'Operating Reserve Fund' is defined as the fund set aside by the Trustees and Management Committee. The minimum amount to be designated as operating reserve will be established as an amount sufficient to maintain services for a set period of 3 months. The target minimum operating reserve fund is equal to 3 months of average recurring operating costs, which we estimate to be £62,000 and we hope to meet our policy next year as we are projecting a further surplus.
The Management Committee Officers are responsible for ensuring that the Operating Reserve Fund is maintained and used only as described in this policy. Review of Policy Purpose The purpose of this reserves policy is to build and maintain an adequate level of unrestricted funds to support the organisations day-to-day operations in the event of unforeseen shortfalls. The reserve may also be used for one-time, non-recurring expenses.
This policy will be reviewed yearly and whenever there are significant changes in staff hours or numbers. We are currently below our reserves, but we have various fundraising activities planned this year. We have also increased our fees; all of these will help to build the reserve level up.
Approved by the board of trustees on 9/05/2023
Natalie Kata (Trustee)
4
## Little Village Learners and Fun Track
## Independent examiner's report to the trustees of Little Village Learners and Fun Track
I report to the charity trustees on my examination of the accounts of the CIO for the period 4 August 2021 to 31 July 2022, which are set out on pages 6 to 12.
## **Responsibilities and basis of report**
As the charity trustees of the CIO you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the CIO's accounts as carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner's statement**
Since the CIO's gross income exceeded £250,000 your examiner must be a fellow of a body listed in section 145 of the 2011 Act.
I confirm that I am qualified to undertake the examination because I am a fellow of ACIE which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the charity as required by section 130 of the Charities Act; 2 the accounts do not accord with those records; or
- 3 the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view' which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Simon Bostrom FCIE
9/05/2023
## **West Yorkshire Community Accountancy Service CIO**
Stringer House 34 Lupton Street Leeds LS10 2QW
5
## Little Village Learners and Fun Track
## Statement of Financial Activities
## (including summary income and expenditure account) for the period 4 August 2021 to 31 July 2022
|Notes
2022
Unrestricted
funds
£
**Income from:**
Grants and donations
(2)
10
Fees
155,585
Milk rebate
622
Bank interest
59
Fundraising
3,423
Other income
19
**Total income**
159,718
**Expenditure on:**
Salaries and NI
(3)
112,360
Administration
1,083
Advertising
138
Bank and card machine charges
179
Milk
1,187
Telephone
840
Subscriptions
529
Fundraising expenditure
591
Insurance
453
Rent and room hire
5,280
Repairs and maintenance
105
Training
481
Activities, trips, equipment and purchases
7,549
Food
5,231
Laundry and cleaning
179
Professional fees
32
Accountancy and independent examination
1,334
Staff gifts
837
Bad debts
5,799
**Total expenditure**
144,187
**Net income / (expenditure)**
15,531
**Fund balances brought forward**
45,950
**Fund balances carried forward**
(4)
61,481|2022
Restricted
funds
£
107,258
-
-
-
-
-
107,258
95,882
722
92
119
-
560
353
-
302
3,520
70
321
5,032
-
120
22
143
-
-
107,258
-
-
-|2022
Total
funds
£
107,268
155,585
622
59
3,423
19
266,976
208,242
1,805
230
298
1,187
1,400
882
591
755
8,800
175
802
12,581
5,231
299
54
1,477
837
5,799
251,445
15,531
45,950
61,481|restated
2021
Total
funds
£
120,683
107,413
345
21
3,089
35
231,586
197,323
2,486
219
259
922
1,340
677
921
750
8,400
1,637
1,076
10,242
4,306
78
100
2,138
-
-
232,874
(1,288)
47,238
45,950|
|---|---|---|---|
All incoming resources and resources expended derive from continuing activities.
6
## Little Village Learners and Fun Track
## Balance sheet
|as at 31 July 2022
2022
Unrestricted
£
**Current assets**
Debtors and prepayments
(5)
6,322
Cash at bank and in hand
(6)
57,246
**Total current assets**
63,568
**Current liabilities:**
**amounts falling due within one year**
Creditors and accruals
(7)
2,087
**Total current liabilities**
2,087
**Net current assets / (liabilities)**
61,481
**Net assets**
61,481
**Funds**
Unrestricted funds
61,481
Restricted funds
-
**Total funds**
61,481|2022
Restricted
£
-
-
-
-
-
-
-
-
-
-|2022
Total
£
6,322
57,246
63,568
2,087
2,087
61,481
61,481
61,481
-
61,481|2021
Total
£
4,860
43,090
47,950
2,000
2,000
45,950
45,950
45,950
-
45,950|
|---|---|---|---|
The financial statements were approved by the board of trustees on 9/05/2023
Natalie Kata (Trustee)
7
## Little Village Learners and Fun Track
## Notes to the accounts
## for the period 4 August 2021 to 31 July 2022
## **1 Accounting policies**
## **Basis of accounting**
These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by 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) and with the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
The basis of accounting has been changed from receipts and payments basis to accruals basis. This has meant that a number of adjustments have been made to the comparative figures to include fixed assets, debtors and creditors and long term liabilities. An analysis of the amendments has been provided in the notes.
## **Going concern**
The trustees are satisfied that there are no material uncertainties about the charity's ability to continue.
## **Incoming resources**
All incoming resources are included in the Statement of Financial Activities (SOFA) when the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.
## **Grants and donations**
Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
Where grants are related to performance and specific deliverables, they are accounted for as the charity earns the right to consideration by its performance.
## **Expenditure and liabilities**
Expenditure is recognised on an accrual basis as a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out the resources and the amount of the obligation can be measured with reasonable certainty.
## **Taxation**
As a charity the organisation benefits from rates relief and is generally exempt from income tax and capital gains tax but not from VAT. Irrecoverable VAT is included in the cost of those items to which it relates.
## **Pensions**
The charity operates a defined contribution scheme for the benefit of its employees. The costs of contributions are recognised in the year they are payable.
## **Fund accounting**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity.
Restricted funds are subjected to restrictions on their expenditure imposed by the donor or through the terms of an appeal.
Further explanation of the nature and purpose of each fund is included in the notes to the accounts.
8
## Little Village Learners and Fun Track
## Notes to the accounts continued
## for the period 4 August 2021 to 31 July 2022
|**2 Grants and donations**
Calderdale Met. Borough Council (CMBC)
HMRC - C19 Job Retention Scheme (JRS)
Co-op - Local Community Fund
Donations
**3 Staff costs and numbers**
Gross salaries
Social security costs
Employment allowance
Pensions|2022
Unrestricted
funds
£
-
-
-
10
10|2022
Restricted
funds
£
100,433
6,825
-
-
107,258|2022
Total
funds
£
100,433
6,825
-
10
107,268
2022
£
201,678
8,541
(4,866)
2,889
208,242|2021
Total
funds
£
93,087
22,420
5,018
158
120,683
2021
£
195,847
3,235
(4,121)
2,362
197,323|
|---|---|---|---|---|
The average number of employees during the year was 16.9, being an average of 11.3 full time equivalent (2021: 18.9, 13.7 FTE). There were no employees with emoluments above £60,000.
|**Defined contribution pension scheme**
Costs of the scheme to the charity for the year
Amount of any contributions outstanding at the year end
**4 Restricted funds**
Balance b/f
Incoming
£
£
CMBC Early Education funding
-
88,346
CMBC Inclusion funding
-
12,087
HMRC JRS
-
6,825
-
107,258|Outgoing
£
88,346
12,087
6,825
107,258|2022
£
2,889
140
Transfers
£
-
-
-
-|2021
£
2,362
100
Balance c/f
£
-
-
-
-|
|---|---|---|---|
## **Fund name**
CMBC Early Education funding CMBC Inclusion funding
HMRC JRS
## **Purpose of restriction**
For the supply of free early years provision for 2 to 4 year olds
To support early years providers in meeting the needs of individual children with Special Educational Needs
Towards salary costs of staff who were furloughed due to Covid-19
9
## Little Village Learners and Fun Track
## Notes to the accounts continued
## for the period 4 August 2021 to 31 July 2022
|**5 Debtors and prepayments**
Debtors
Less provision for bad debts
Prepayments
**6 Cash at bank and in hand**
Cash at bank
Cash in hand
**7 Creditors and accruals**
Prepaid Fees
Accruals
Taxation and social security
Other creditors|2022
£
11,546
(5,799)
575
6,322
2022
£
57,187
59
57,246
2022
£
-
1,020
927
140
2,087|2021
£
4,297
-
563
4,860
2021
£
43,038
52
43,090
2021
£
1,039
900
61
-
2,000|
|---|---|---|
## **8 Related party transactions**
## **Trustee expenses**
No trustee received any expenses during this year or the previous year.
|**Details of remuneration and benefits**
**Name of trustee**
**Legal authority**
Lynsey Kata
Governing document|2022
£
18,394
18,394|2021
£
17,828
17,828|
|---|---|---|
## **Reason for remuneration**
Lyndsey is a trustee and employee of the playgroup. She is only paid for her employee duties as the deputy manager.
10
## Little Village Learners and Fun Track
## Notes to the accounts continued
## for the period 4 August 2021 to 31 July 2022
## **11 Restatement of prior year figures due to change in accounting basis**
As a result of the change in the basis of accounting from receipts and payments to accruals, there have
|**Effect of change on Statement of Financial Activities**
2021
Unrestricted
funds
**Grants**
£
Original figure in statutory accounts, year ended 31 July 2021
-
Deduct accrued income (July 2020 year end)
-
Add accrued income (Aug 2021 year end)
Restated total
-
2021
Unrestricted
funds
**Fees**
£
Original figure in statutory accounts, year ended 31 July 2021
108,270
Deduct fees owed (Aug 2020 year end)
(4,115)
Add fees owed (Aug 2021 year end)
3,258
Restated total
107,413
2021
Unrestricted
funds
**Total expenditure**
£
Original figure in statutory accounts, year ended 31 July 2021
114,523
Deduct creditors (Aug 2020 year end)
(1,258)
Add creditors (Aug 2021 year end)
577
Add debtors (Aug 2020 year end)
338
Deduct debtors (Aug 2021 year end)
(338)
Restated total
113,842
**Effect of change on fund balances as reported at 31 Aug 2021**
2021
Unrestricted
funds
£
Original fund balances brought forward as at 1 Aug 2021
40,677
Add Grants owed
-
Add fees owed
4,115
Deduct accruals
(1,417)
Add prepayments
338
Restated fund balances brought forward as at 1 Aug 2021
43,713|2021
Restricted
funds
£
119,751
(4,244)
115,507
2021
Restricted
funds
£
-
-
-
-
2021
Restricted
funds
£
119,751
(1,103)
384
225
(225)
119,032
2021
Restricted
funds
£
-
4,244
-
(944)
225
3,525|2021
Total
funds
£
124,927
(4,244)
120,683
2021
Total
funds
£
108,270
(4,115)
3,258
107,413
2021
Total
funds
£
234,274
(2,361)
961
563
(563)
232,874
2021
Total
funds
£
40,677
4,244
4,115
(2,361)
563
47,238|
|---|---|---|
11
## Little Village Learners and Fun Track
## Statement of Financial Activities including comparatives for all funds (including summary income and expenditure account)
## for the period 4 August 2021 to 31 July 2022
|2022
2021
Unrestricted Unrestricted
funds
funds
£
£
**Income**
Grants and donations
10
5,176
Fees
155,585
107,413
Milk rebate
622
345
Bank interest
59
21
Fundraising
3,423
3,089
Other income
19
35
**Total income**
159,718
116,079
**Expenditure**
Salaries and NI
112,360
92,040
Administration
1,083
1,492
Advertising
138
131
Bank and card machine charges
179
259
Milk
1,187
553
Telephone
840
804
Subscriptions
529
406
Fundraising expenditure
591
921
Insurance
453
450
Rent and room hire
5,280
5,040
Repairs and maintenance
105
982
Training
481
646
Activities, trips, equip and purchases
7,549
6,145
Food
5,231
2,584
Laundry and cleaning
179
47
Professional fees
32
60
Accountancy and independent exam
1,334
1,282
Staff gifts
837
-
**Total expenditure**
138,388
113,842
**Net income / (expenditure)**
21,330
2,237
**Fund balances brought forward**
45,950
43,713
**Fund balances carried forward**
67,280
45,950|2022
Restricted
funds
£
107,258
-
-
-
-
-
107,258
95,882
722
92
119
-
560
353
-
302
3,520
70
321
5,032
-
120
22
143
-
107,258
-
-
-|restated
2021
Restricted
funds
£
115,507
-
-
-
-
-
115,507
105,283
994
88
-
369
536
271
-
300
3,360
655
430
4,097
1,722
31
40
856
119,032
(3,525)
3,525
-|2022
Total
funds
£
107,268
155,585
622
59
3,423
19
266,976
208,242
1,805
230
298
1,187
1,400
882
591
755
8,800
175
802
12,581
5,231
299
54
1,477
837
245,646
21,330
45,950
67,280|restated
2021
Total
funds
£
120,683
107,413
345
21
3,089
35
231,586
197,323
2,486
219
259
922
1,340
677
921
750
8,400
1,637
1,076
10,242
4,306
78
100
2,138
-
232,874
(1,288)
47,238
45,950|
|---|---|---|---|---|
12