**Company Number: 00753764 Charity Number: 229947** ## **WATFORD SHELTERED WORKSHOP LIMITED** **Report and Accounts** **for the year ended 31 March 2023** **WATFORD SHELTERED WORKSHOP LIMITED** ## **Report and Accounts** ## **for the year ended 31 March 2023** ## **INDEX** ## **Page Number** |1|to|3|Trustees’ (Directors) Annual Report| |---|---|---|---| |4|||Independent Examiner’s Report| |5|||Statement of Financial Activities| |6|||Balance Sheet| |7|||Statement of Cash Flows| |8|to|15|Notes forming part of the Accounts| **WATFORD SHELTERED WORKSHOP LIMITED** ## **Company Information** ## **Company Number: 00753764** ## **Charity Number: 229947** ## **Registered Office** Century Retail Park Dalton Way Watford Herts WD17 2SF **Trustees** Ms M Aylward-Jones Ms G F Button Mr R I Jacob Mr J Solomons Mr P A Trainor Mr T J Williams Ms S Edwards ## **Accountants** Dickinsons Chartered Accountants Brandon House First Floor 90 The Broadway Chesham Buckinghamshire HP5 1EG ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Trustees’ (Directors’) Annual Report** ## **For the year ended 31 March 2023** ## **Trustees’ Annual Report** The trustees present their report and the unaudited accounts for the year ended 31 March 2023. The accounts have been prepared in accordance with the Companies Act 2006, the Charities Act 2011, the Memorandum and Articles of Association 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). ## **Structure, Governance and Management** Watford Sheltered Workshop Limited is a company limited by guarantee governed by its Memorandum and Articles of Association dated 18 March 1963 (amended 23 September 2019). The company became a registered charity with the Charities Commission for England and Wales on 17 August 1966. ## _Recruitment and appointment of new trustees/directors_ The directors of the company are also charity trustees for the purposes of charity law and under the company’s Articles of Association are known as members of the charity. The board meets six times a year and considers such matters as the appointment of trustees, the financial position of the Charity, the approval of Annual Reports and Accounts and the appointment of the independent examiner. The quorum necessary for the transaction of business of the trustees is a minimum of three at the AGM and two at other times. As set out in the Articles of Association, trustees are elected to serve for three years. We have 7 Trustees, including one nominated by Hertfordshire County Council (awaiting reappointment) and one nominated by Watford Borough Council respectively. All members give their time voluntarily and receive no benefits from the charity. ## **Governance** ## _Staff_ Day to day management is delegated to the Chief Executive Officer. _Volunteers_ The Workshop has a number of volunteers who support the service users in different ways and bring other skills to support our work, including IT systems, Risk analysis and control, fund raising, accounting, health and safety and providing training. The trustees are grateful to them for all their assistance. ## **Objectives and Activities of the Charity** The trustees consider that the charity exists for the purpose of the local public benefit as defined in Section 4 of the Charities Act 2011. The charity’s purpose as set out in the objectives contained within the company’s Memorandum and Articles of Association is to provide supported employment, work experience and skills training to people who are disabled or disadvantaged, enabling them to contribute to the community and, where possible, progress into unsupported employment. ## **Risk Assessment** In order to comply with the Statement of Recommended Practice for Charity Accounts (FRS 102) a review of the major risks to which the charity is exposed and the systems that have to be established to mitigate those risks has been carried out. The review considered external factors and procedures have been put in place to rectify those areas of potential vulnerability. These are monitored on an ongoing basis by our risk committee. Page 1 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Trustees’ (Directors’) Annual Report** ## **For the year ended 31 March 2023** ## **Achievements and Performance** ## _Adult Care Services_ We continue to provide a Day Opportunities Service for service users referred to us by Hertfordshire County Council; Adult Care Services (ACS). The new Framework agreement runs to extended to September 2027, reflecting the value that we deliver to people with disability in what is the only facility of its kind in the area and indeed in Hertfordshire. The "Springboard" project by which we are able to bring in more service users who fall through the cracks in society and who do not have a care package, started in April 2022 and has been extended for a further year to March 2024. ## _TESG (DWP)_ The Transitional Employer Support Grant (TESG) continues to be in place. This scheme is administered by Access to Work and includes all previous Work Choice Clients in our employ on 1st April 2019. ## **Future Developments and Strategies** The last two years have left us with some customers who have reduced activity, others who are going from strength to strength and some new customers coming on board. The branch in High Wycombe is doing very well. We actively encourage new business, and our team is to be congratulated on achieving an amazing sales figure in difficult times. We have set a realistic sales target of £330,000 for the next financial year. The trustees and managers are continuing their initiatives to expand the charity’s sales and its visibility in the business community at what is a difficult time for everyone. Costs are continually rising, and we are grateful to our customers who have accepted the inevitable price rises in these inflationary times. ## **Fundraising, Designated Funds and Endowment Funds** Fundraising continues to be an essential part of core activities. It has been a very successful year for us in terms of fundraising from Trusts, Companies and Individuals. This activity is vital to support the day-to-day activities of the charity including the life skills and independent living skills training we offer our service users. We are grateful to all our funders for the continued support which resulted in a number of donations including a very generous donation from the Betty Messenger Charitable Foundation (BMCF) and a 10 year endowment fund from the Edward Gostling Foundation (EGF). After careful consideration the Board of Directors have decided to designate £1,250,000 of the funds donated by BMCF for use in paying for the wages and related costs of our service users over a period of up to 10 years. The Board will keep this designation of funds under review. The endowment fund of £250,000 is to be spent over a period of 10 years as specified in the agreement with EGF on our charitable activities. ## **Financial Review** The Statement of Financial Activities for the year is set out on page 5 of the accounts. The trustees have established a policy to build up unrestricted reserves to a level to support the charity’s core expenditure for a period of six to twelve months. At the year-end unrestricted reserves amount to £2,028,063 (2022: £550,885) of which £1,250,000 (2022: £nil) has been Designated for particular use. Restricted reserves amounted to £175,140 (2022: £72,251). Endowment funds amounted to £250,000 (2022: £nil) The result for the year is a surplus of £1,477,178 on unrestricted funds (2022: £13,221). The trustees consider the result for the year to be very satisfactory and take the view that the Charity is now properly capitalised. The funds have allowed us to bring the some rather worn facilities at the workshop up to date and will allow us to expand the number of service users coming to the workshop. ## _Investment Policy_ Under the Memorandum and Articles of Association the charity has the power to invest as the trustees wish. The trustees, having regard to liquidity requirements, have, to date, operated a policy of keeping available funds in interest bearing deposit accounts. In view of the donations received during the year an investment sub-committee has been formed. This committee has developed a written investment policy and a rigorous process was carried out in order to appoint investment managers. Since the year end CCLA Investment Management Limited were appointed as investment managers and the board has approved investing part of the charity funds in investment funds designed for charities. ## **Statement of Trustees’ Responsibilities** The trustees, who are also the directors of Watford Sheltered Workshop Limited for the purpose of company law, are responsible for preparing the Trustees’ Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Page 2 WATFORD SHELTERED WORKSHOP LIMtTED Trnstees, {Director8') Annual Report For the year ended 31 March 2023 C,oinpally law requires tb¢ ITUStees, to prepare accoulll8 for each finallcÈal year, wbich give a true and fair vftew of the State of affairs of thc charE1￿b]e company and of the itscoming resourc¢3 and application of r¢sources, includin¥ th¢ in¢om¢ and expenditure, of the cbaritable company for thal ye&r. ltt prgparing these aceounts the ttu9tees are required to: Seleot 8UitablE accounting policses and th6n ¥*ply ihem consÉ8tently- Observe the methods alld prill¢iples in th¢ Charili¢s SOETr. Make judgementq and estimates ihal are reasonable and prudent; Prepare tli¢ accounts on the going conccm b&sig unlcss it is inappropriate to presuine that the company will Continue in bu.%ittess. The trustees are responsible for keepin8 proper accounting records which disclose, witli regsonabl¢ ac¢iiracy ht any time, tlie fmancial Position of the ￿n)PaI]Y and to ¢nttblg Ihrm to ¢llSUT¥ the ab¢vuDts hav< propErly pr¢paT¥d in a¢¢oftl￿G¢ with th¢ provisions of the Companies Act 2006. They are also responsible for 8afcguarding the assets of the Company aTHI henec for taking reasonable steps for the p￿Vention orKI det¢¢¢ion of fraud aTJd oth¢r i￿$8￿1ar1tses. L¢gal and Adml4lslrAtlYe Informatlon The compaTry 15 limit¢d by guarant¢¢ and has no shar¢ ¢apital. Und¢r th¢ provisions of th¢ company's memorandum of &ss0¢i4ti¢)n. cach mcmbcr would bc rcquircd t￿ ct)nfrihute a not exceeding £1 for the payment of the debts of th¢ company in the ¢ven¢ of a d¢fi¢ien¢y of assels 00 a winding up of tlke company. 'nie company is registered in England gDd Wales with ¢ompany registration number (K>753764 and is a registered Charity ulld¢r the Charilies A¢t 2011 with r¢gistratÉon nuillb￿ 229947. Trustees and Dlreclors The h￿SteeS who served during the year were: Mi¢lielle Aylward-Jones Frances Butto Ron11￿¢ Jacob Pcltr J(Jne8 jon￿ Solomon8 Paul Tyainor Tim Williams Sarah Edwafds (resigned 3 O¢tober 2022) (appointed 31 Jart￿ry 2023) Key ManogemÈlll PelYon￿e1 Linda M¢llltyr¢ Gill Nightingal¢ Mus5arai Parveen Hassan Javid Chief Ex¢cutiv¢ P￿ts¢￿￿1p Ma￿ager Workshop Man&geT Development Manager The Directors have lak¢n advantsge of sectiott 477(2) of the Companlts Act 2006 which ex¢mpts th¢ company from ihe Tequirement to have the accounts Hudited. The Comp￿Y is required to have an Indq)¢ndent ExamiETratton in accoidance with the PTOViSiCbns ill the Ch&rAti¢¥ A¢t 2011. A¢cordAngly, Natalie Spalioll FCA of Dickitisons, CharteKedAccountan15, was appoillted Independent Examiner. By Order of ihe BoJi'd.. MrP rairrf)r Trustee DireL*o Date Pllge 3 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Independent Examiner’s Report to the Trustees of Watford Sheltered Workshop Limited** ## **for the year ended 31 March 2023** I report to the charity trustees on my examination of the accounts of the Charitable Company for the year ended 31 March 2023. ## **Responsibilities and basis of report** As the charity’s trustees (who are also the directors of the company for the purpose of company law), you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (the 2006 Act”) Having satisfied myself that the accounts of the Company are not required to be audited this year by way of audit dispensation from the accounts scrutiny section 144(2) of the Charities Act 2011 granted by the Charities Commission on 17 April 2023 and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of charities Act 2011 (“the 2011 Act”). In carrying out my examination, I have followed the Directions given by the Charity Commission (under section 145(5)(b) of the 2011 Act). ## **Independent examiner’s statement** The company’s gross income exceeded £250,000 and I am qualified to undertake the examination by being a qualified member of the ICAEW. I have completed my examination. I confirm that no material matters have come to my attention which gives me cause to believe that: - Accounting records were not kept in accordance with section 386 of the Companies Act 2006; or - The accounts do not accord with such records; or - The accounts do not comply with relevant accounting requirements under section 396 of the Companies Act 2006 other than the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination; or - The accounts have not been prepared in accordance with the charities SORP (FRS102). 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. Natalie Spalton FCA Dickinsons Chartered Accountants Brandon House First Floor 90 The Broadway Chesham Buckinghamshire HP5 1EG Date: 22/11/2023 Page: 4 ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Statement of Financial Activities (Statement of Income and Retained Earnings)** ## **for the year ended 31 March 2023** |**Incoming resources from:**
**Notes**
Donations and legacies
**2**
Charitable activities
**3**
Investments
Donated services
Adult Care clients
**Total Incoming Resources**
**Resources expended from:**
Costs of charitable activities
**4**
**Total resources expended**
**Net income/(expenditure)**
Transfers between funds
**Net movements in funds**
**10 - 12**
Total Surplus at 1 April 2022
**Total Surplus at 31 March 2023**|**2023**
**Unrestricted**
**Funds**
**£**
1,607,945
530,372
13,751
39,264
11,223
2,202,555
(725,377)
(725,377)
1,477,178
-
1,477,178
550,885
2,028,063|**2023**
**Restricted**
**Funds**
**£**
286,640
-
-
-
-
286,640
(183,751)
(183,751)
102,889
-
102,889
72,251
175,140|**2023**
**Endowment**
**Funds**
**£**
250,000
**-**
**-**
**-**
**-**
250,000
**-**
**-**
250,000
**-**
250,000
**-**
250,000|**2023**
**Total**
**Funds**
**£**
2,144,585
530,372
13,751
39,264
11,223
2,739,195
(909,128)
(909,128)
1,830,067
-
1,830,067
623,136
2,453,203|**2022**
**Unrestricted**
**Funds**
**£**
51,637
554,397
1,438
39,264
3,061
649,797
(668,316)
(668,316)
(18,519)
31,740
13,221
537,664
550,885|**2022**
**Restricted**
**Funds**
**£**
117,806
-
-
-
-
117,806
(111,832)
(111,832)
5,974
(31,740)
(25,766)
98,017
72,251|**2022**
**Total**
**Funds**
**£**
169,443
554,397
1,438
39,264
3,061| |---|---|---|---|---|---|---|---| ||||||||767,603| ||||||||(780,148)| ||||||||(780,148)| ||||||||(12,545)
-| ||||||||(12,545)| ||||||||635,681| ||||||||623,136| The Statement of Financial Activities has been prepared on the basis that all operations are continuing operations. _The notes on pages 8 to 15 form part of these accounts._ Page: 5 WATFORD SHELTERED WORKSHOP LIMtTED Company Number: 00751764 Ch41'1ty Number: 229947 Balanee Sheet as at 31 March 2023 Noles 2023 2022 Flxed Assets Tangible fjxed assets 25,392 28.566 Current Assets D¢btgrs Cash at bank and in hand 98,853 2.430,559 94.898 563.206 2,529.412 658,104 Cvedltori: Amounts tallirtg du¥ within ono ygar (101,601) (63.534) 14et Curvent Assels 2,427,811 594.570 Tot*1 Assets Le$5 Curren* Llabllltles 2,453,203 623.136 Ibf the ChArity Unresti'ict¢d In¢ome Funds Restricted Fund8 Endowmcnt Fuiids io li 12 2.028,063 175,140 250,000 550,885 72251 Total Charity FU￿d& 2,453.203 623.136 Trie ¢omp&ny 16 entitled to exemption audit under Se¢lion 477 of the Companies A¢t2006 for tboyearended 31 Mar¢b 2023. Th¢ LompAny hus b¢en granted aiidit dispeiisation from the accounts scrntiny seotion 144(2} of the Charities Act 2011 for the y¢ar thided 31 MarL,h 2023 urlntcd by thc Chwiitias Cornn)ission on 17 April 2023. The m¢mlw9 have rtot required th6 company to obtain an audit ofits fJllgnBid 8tatemtDts for the ycartnded 31 March 2023 in aceordance with Section 476 of tli¢ Coinpani£8 Act 2(X)6. The dir¢¢tors 8¢knowledge their r¢sponsibilities for.. (a) ensurirtg that Ihc company keeps accountiDg records whicb cornply with SectiODS 386 and 387 of the Colljpanies Act 2006 (b) piwaring E￿ancial5tat¢￿¢ftf$ which give a tr￿c and fail. vi¢w of thc stat¢ of affairs of compatty as at the end of eaclL fmatt¢iil ye#r #nd of its 5Utplus ordcfEClt for ¢a¢h fJDan¢iHI y¢ar in a¢c0iKiall¢¢w￿th th¢ rcquircmcnts of ScetioDs 394 and 395 and wh￿ch otherwtse comply with the ilquirements of the Companies Act 2006 relatlll8 to finw]ci81 stat&nent4 so fai. applicabl¢ to the compaiiy. The finatteial statements bavebeen prepared in accordance withthe provisions ofPart 15 ofthe CompatuesAct 2006 I'elating to small companies. 'ri)c tjnancial stattrments wer¢ approvd by tho Bo&rd (If Dire¢lor8 Ott werLI 8ign¢d on ils behalf by.. Jacob MrP rdinor The iiotes oiipages 8 10 15formpart of¢hese 4ccoiinls. P8ge= 6 ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Statement of Cash Flows** ## **for the year ended 31 March 2023** |**or theyear ended 31 March 2023**|||| |---|---|---|---| |**Notes**
**Cash flows from operating activities**
Cash generated by operations
**17**
**Net cash inflow from operating activities**
**Investing activities**
Interest from investments
Proceeds on sale of tangible fixed assets
Purchase of tangible fixed assets
Purchase of investments
**18**
**Net cash used in investing activities**
**Financing activities**
Repayment of bank loans
**Net cash used in financing activities**
**Net (decrease)/increase in cash and cash equivalents**
Cash and cash equivalents at beginning of year
**18**
**Cash and cash equivalents at end of year**
**18**|**2023**
**£**
**£**
1,853,602
1,853,602
13,751
-
-
(997,000)
(983,249)
-
-
870,353
563,206
1,433,559|**2022**
**£**
**£**
22,280
22,280
1,438
1,667
(31,740)
-
(28,635)
-
-
(6,355)
569,561
563,206|| ||13,751
-
-
(997,000)|1,438
1,667
(31,740)
-|| ||-|-|| ||||| ||||(6,355)
569,561| ||||563,206| _The notes on pages 8 to 15 form part of these accounts._ Page: 7 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** **for the year ended 31 March 2023** ## **1 Principal Accounting Policies** ## _**Company Information**_ Watford Sheltered Workshop Limited is a private charitable company limited by guarantee, incorporated in England & Wales. The registered office and trading address is at Century Retail Park, Dalton Way, Watford, Herts, WD17 2SF. ## _**Accounting Convention**_ 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 United Kingdom and Republic of Ireland (FRS 102) and Charities Act 2022. The accounts include the results of the company’s operations, which are described in the Trustees’ Annual Report, all of which are continuing. The charity constitutes a public benefit entity as defined by FRS 102. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts are rounded to the nearest pound. The accounts have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. ## _**Incoming Resources**_ All incoming resources are recognised in the Statement of Financial Activities when the company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Income from grants and other donations which are of a voluntary nature are recognised when the charitable company has been notified in writing of both the amount and settlement date and receipt is probable. Grants received for future accounting periods are deferred. Endowment funds are recognised on the Statement of Financial Activities in the period the gift is made. Income from grants, and similar income where conditions for payment are linked to performance, are recognised to the extent that the charity has met the recognition criteria. Income from charitable trading activities is recognised when the related goods and services have been completed and dispatched. Income from donated services and facilities are recognised when the charitable company utilises the facilities with the fair value being recognised as incoming resources and expended resources simultaneously, as appropriate. ## _**Resources Expended**_ Expenditure is accounted for on an accruals basis, recognised when a liability is incurred, and classified under headings that aggregate all costs related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. Support costs have been allocated between governance costs and other support. Governance costs comprise all costs involving public accountability of the charity and its compliance with regulation and good practice. Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources. ## _**Cash and Cash Equivalents**_ Cash and cash equivalents are basic financial assets and include cash in hand, deposits held with banks and other short term liquid investments with maturities of three months or less. ## _**Basic Financial Assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction cost and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. Page: 8 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** **for the year ended 31 March 2023** ## **1 Principal Accounting Policies (Continued)** ## _**Derecognition of Financial Assets**_ Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. ## _**Basic Financial Liabilities**_ Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. ## _**Derecognition of Financial Liabilities**_ Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled. ## _**Fund Accounting**_ Unrestricted funds are those which are available for use at the discretion of the Trustees in the furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds comprise funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity and is to be spent in line with the conditions imposed. Further explanation of the nature and purpose of each fund is included in the notes to the accounts. ## _**Tangible Fixed Assets**_ Tangible fixed assets are held at cost less depreciation. Depreciation is recognised so as to write off the cost less estimated residual value of each asset over their useful lives on the following basis: Plant and Machinery 20% on cost Fixtures and fittings between 20% and 25% on cost Motor vehicles 10% on cost ## _**Government Grants**_ Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met, and the grants will be received. A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability. ## _**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. Page: 9 ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** **for the year ended 31 March 2023** |**2**|**Donations and legacies**||| |---|---|---|---| |||**2023**|2022| |||**£**|£| ||**Unrestricted donations and grants**||| ||Councillor’s Locality|700|2,650| ||Childwick Trust|-|7,500| ||Sir Jules Thorn Trust|-|1,500| ||HCF|-|5,000| ||Watford Borough Mayor Fund|-|2,400| ||Betty Messenger Charitable Foundation|250,000|-| ||The Edward Gostling Foundation|25,000|
-| ||Ronnie Lubner Foundation|8,504|-| ||Wenzels the bakers|5,000|-| ||Government covid job retention scheme grant|-|10,024| ||Hertfordshire Community Foundation re “springboard” project|37,765|-| ||Simon Gibson Charitable Trust|3,000|-| ||Other Organisations|11,284|1,720| ||Other Individuals|16,692|20,843| |||_______|_______| |||357,945|51,637| ||**Designated donations and grants**||| ||Betty Messenger Charitable Foundation|1,250,000|-| |||_______|_______| |||1,607,945|51,637| |||=======|=======| ||**Restricted donations and grants**||| ||Garfield Weston Foundation|20,000|-| ||Sir Robert McAlpine Foundation|10,000|-| ||Baily Thomas Charitable Trust|-|10,000| ||Watford & Three Rivers Trust|10,000|9,000| ||Betty Messenger Charitable Foundation|195,000|50,000| ||Watford Borough Council|15,000|-| ||Other organisations|21,640|25,806| ||Paradigm Housing|-|8,000| ||Watford Community Housing Trust|10,000|5,000| ||Peter Cruddas Foundation|-|5,000| ||HCF Police and Crime Commissioner|5,000|5,000| |||_______|_______| |||286,640|117,806| |||=======|=======| ||**Endowment funds**||| ||The Edward Gostling Foundation|250,000|-| |||_______|_______| |||250,000|-| |||=======|=======| |**3**|**Income from charitable activities**||| |||**2023**|2022| |||**£**|£| ||Charitable trading
|308,392|353,285| ||Grants received for charitable trading purposes:||| ||Employment Services Grant|117,440|112,212| ||Training service payments
|104,540|88,900| |||_______|_______| |||530,372|554,397| |||=======|=======| **3** Page: 10 ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** **for the year ended 31 March 2023** |**4**|**Resources Expended: Charitable Activities**||| |---|---|---|---| |||**2023**|2022| ||Direct activity costs:|**£**|£| ||Wages|496,750|427,855| ||Materials|8,055|2,954| ||Support costs:||| ||Staff salaries|203,477|217,758| ||Rent|39,264|39,264| ||Water rates|731|(171)| ||Electricity and gas|15,905|10,805| ||Printing, stationery and advertising|2,727|1,230| ||Postage and telephone|1,451|2,489| ||Motor and travelling expenses|5,781|4,901| ||Repairs and maintenance|43,173|7,535| ||General expenses|17,971|24,951| ||Insurance|11,701|10,159| ||Bank charges|2,248|1,631| ||Profit on disposal of tangible fixed asset|-|(1,667)| ||Professional fees|6,498|1,780| ||Training, health and safety|44,405|20,485| ||Computer expenses|3,967|3,515| ||Depreciation of tangible fixed assets|3,174|3,174| ||_Governance_||| ||Independent examination|1,850|1,500| |||_______|_______| |||909,128|780,148| |||========|=======| |**5**|**Net movement in funds:**||| ||Net movement in funds is stated after charging:||| |||**2023**|2022| |||**£**|£| ||Independent Examiner’s remuneration|1,850|1,500| ||Depreciation of tangible fixed assets|3,174|3,174| |||=======|=======| Page: 11 **WATFORD SHELTERED WORKSHOP LIMITED** **7** ## **Notes forming part of the Accounts** ## **for the year ended 31 March 2023** ## **6 Employees** The average monthly number of persons employed by the company during the year was: ||**2023**|2022| |---|---|---| ||**Number**|Number| |Administrative staff|8|9| |Factory staff|42|38| ||_______|_______| ||50|47| ||======|=====| |The aggregate remuneration comprised:||| ||**2023**|2022| ||**£**|£| |Wages|482,568|415,034| |Salaries|178,156|195,335| |Social security costs|29,507|26,898| |Pension costs|9,996|8,346| ||_______|_______| ||700,227|645,613| ||=======|=======| No individual employee’s total benefits exceeded £60,000 during the year (2022: None). No trustees’ expenses have been incurred during the year (2022: None). Total employee benefits including pension contributions of the key management personnel were £104,515 (2022: £93,331). ## **Tangible fixed assets** |**Tangible fixed assets**||||| |---|---|---|---|---| ||**Plant and**|**Fixtures and**|**Motor**|**Total**| ||**Machinery**|**Fittings**|**Vehicles**|| |**Cost**||||| |At 1 April 2022|23,504|27,352|31,740|82,596| |Additions in the year|-|-|-|-| |Disposals in the year|-|-|-|-| ||_______|_______|_______|_______| |At 31 March 2023|23,504|27,352|31,740|82,596| ||=======|=======|=======|=======| |**Depreciation**||||| |At 1 April 2022|23,504|27,352|3,174|54,030| |Depreciation charged in the year|-|-|3,174|3,174| |Depreciation eliminated on disposal|-|-|-|-| ||_______|_______|_______|_______| |At 31 March 2023|23,504|27,352|6,348|57,204| ||=======|=======|=======|=======| |**Carrying amount**||||| |At 31 March 2023|-|-|25,392|25,392| ||=======|=======|=======|=======| |At 31 March 2022|-|-|28,566|28,566| ||=======|=======|=======|=======| Page: 12 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** ## **for the year ended 31 March 2023** |**8**|**Debtors**|||| |---|---|---|---|---| ||||**2023**|2022| ||||**£**|£| ||Trade debtors||74,472|76,335| ||Other debtors and prepayments||24,381|18,563| ||||________|________| ||||98,853|94,898| ||||=======|=======| |**9**|**Creditors: amounts falling due within one year**|||| ||||**2023**|2022| ||||**£**|£| ||Trade creditors||17,519|4,245| ||Other creditors||781|351| ||Taxation and social security costs||17,525|19,185| ||Accruals and deferred income||65,776|39,753| ||||________|________| ||||101,601|63,534| ||||=======|=======| |**10**|**Unrestricted Funds**|||| |||**At 1**|**Net**|**At 31**| |||**April**|**Movement**|**March**| |||**2022**|**in Funds**|**2023**| |||**£**|**£**|**£**| ||Unrestricted Funds – General Fund|550,885|227,178|778,063| ||Unrestricted Funds – Designated Fund|-|1,250,000|1,250,000| |||________|________|________| |||550,885|1,477,178|2,028,063| |||=======|=======|=======| ## **9** ## **10** The trustees have designated funds this year amounting to £1,250,000 to be spent on expanding the workshop and incurring more service user costs. ## **11 Restricted Funds** |**stricted Funds**||||| |---|---|---|---|---| ||**At 1**|||**At 31**| ||**April**|||**March**| |**Restricted Use**|**2022**|**Income**|**Expenditure**|**2023**| ||**£**|**£**|**£**|**£**| |Training and work skills|38,250|96,000|(69,750)|64,500| |Wages|27,501|165,000|(92,501)|100,000| |Premises maintenance and repairs|6,500|16,440|(21,500)|1,440| |Other support costs|-|9,200|-|9,200| ||_____|______|______|_____| ||72,251|286,640|(183,751)|175,140| ||=====|======|======|=====| ## **12 Endowment Funds** |**dowment Funds**|||||| |---|---|---|---|---|---| ||**At 1**||||**At 31**| ||**April**|**Funds**||**Investment**|**March**| |**Restricted Use**|**2022**|**Received**|**Expenditure**|**Income**|**2023**| ||**£**|**£**|**£**|**£**|**£**| |Support costs|-|250,000|-|-|250,000| ||_____|______|______|______|_____| ||-|250,000|-|-|250,000| ||=====|======|======|======|=====| Endowment funds were received in the year from The Edward Gostling Foundation. Income from the fund is to be spent on operating costs to support the charitable activities. The capital may be spent at a rate of £25,000 per year for a total of 10 years. Investment income earned each year can be spent in the following year. Page: 13 **16 Transactions with Trustees and Related Parties** ## **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** ## **for the year ended 31 March 2023** ## **13 Funds received as agent** During the year the charity received funds amounting to £1,974 (2022: £6,153) from Access to Work on behalf of individual staff to purchase specialised equipment and training. Resources expended in the year amounted to £1,974 (2022: £6,153) and there were no balances held as agent at the year end. All equipment purchased remains the property of the individuals concerned. ## **14 Called up share capital** The company is limited by guarantee and has no share capital. Under the provisions of the company’s memorandum of association, each member would be required to contribute a sum not exceeding £1 for the payment of debts of the company in the event of a deficiency of assets on a winding up of the company. ## **15 Control** The charity has been controlled throughout the year by the trustees, who are identified in the company information. None of the trustees have been paid any remuneration or received any other benefits from employment with the Charity or any related entity. There have been no related party transactions during the year that require disclosure. ## **17 Cash Generated from Operations** ## **18** |**Cash Generated from Operations**||| |---|---|---| ||**2023**|2022| ||**£**|£| |Surplus/(Deficit) for the year|1,830,067|(12,545)| |**Adjustments for:**||| |Depreciation charges|3,174|3,174| |Interest from investments|(13,751)|(1,438)| |Profit on disposal of tangible fixed assets|-|(1,667)| |**Movements in working capital:**||| |Increase in debtors|(3,955)|114| |Increase in creditors|38,067|34,642| ||________|_______| |**Cash generated by operations**
|1,853,602|
22,280| ||=======|======| |**Analysis of Cash and Cash Equivalents**||| ||**2023**|2022| ||**£**|£| |Cash at bank and in hand|2,180,559|563,206| |Endowment funds|250,000|-| ||________|________| ||2,430,559|563,206| |**Adjustments for:**||| |Long term cash investments|(997,000)|-| ||________|_______| |**Total cash and cash equivalents**
|1,433,559|
563,206| ||=======|======| Cash received in relation to the Endowment Fund amounting to £250,000 is held in trust and is expendable as per the agreement at £25,000 plus interest earned in the prior year for 10 years after the cash is received. Page: 14 **WATFORD SHELTERED WORKSHOP LIMITED** ## **Notes forming part of the Accounts** ## **for the year ended 31 March 2023** ## **19 Deferred Income** Grant income has been received which is subject to performance related conditions falling within the following year. ||**Balance at**|**Movement in**|**Balance at**| |---|---|---|---| ||**1 April**|**the year**|**31 March**| ||**2022**||**2023**| ||**£**|**£**|**£**| |Hertfordshire Community Foundation|34,332|2,402|36,734| ||======|======|======| Page: 15