Company Registered number (England and Wales): 01836964
Charity Registered number: 290122
Brighton Natural Health Foundation Ltd Previous Name The Brighton Centre For Natural Health Ltd
Director's Report and Unaudited Financial Statements For the Period 1 January 2022 to 31 March 2023
Brighton Natural Health Foundation Ltd Director's Report and Unaudited Financial Statements For the Period 1 January 2022 to 31 March 2023
| Contents | |
|---|---|
| Page | |
| Company Information | 1 |
| Trustees’ Report incorporating Directors' Report | 2 - 4 |
| Independent Review Report | 5 |
| Statement of Financial Activities (including Income and Expenditure Account) |
6 - 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10 - 14 |
Brighton Natural Health Foundation Ltd Company Information For the Period 1 January 2022 to 31 March 2023
Directors and trustees
The directors of the charitable company (“the charity”) are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees.
| Trustees: | |
|---|---|
| Robin Bines | |
| Georgina Collins | Resigned 8 December 2022 |
| Petra Coveney | Appointed 9 March 2023 |
| Peter Deadman | |
| David Jones | Appointed 6 March 2023 |
| Dr Christine Macfie | Resigned 30 January 2023 |
| Caroline Townsend-Coles | Resigned 6 March 2023 |
| Gary Carter | Appointed 9 May 2023 |
| Joanna Torode | Appointed 29 August 2023 |
| Charlotte Watts | Appointed 9 May 2023 |
| Secretary | Robin Bines |
| Charity number | 290122 |
| Company number | 01836964 |
| Registered & Principal office | Community Base |
| 113 Queens Road | |
| Brighton | |
| BN1 3XG | |
| Accountants | Springtide Business Services Limited |
| 26 Woodland Way | |
| Brighton | |
| BN1 8BA | |
| Bankers | The Co-operative Bank |
| 164-165 Western Road | |
| Brighton | |
| East Sussex | |
| BN1 2BB |
Page 1
Brighton Natural Health Foundation Ltd Company No: 01836964
Trustees' Report incorporating Directors' report For the Period 1 January 2022 to 31 March 2023
Achievements and performance
Financial review
In the aftermath of the Covid pandemic, which meant running online-only classes for periods and significantly reduced numbers attending in-person, the charity found it increasing difficult during 2022 to run classes without incurring losses, and other sources of funding had also dried up. A number of initiatives were instituted to drive numbers and income but without much success. With our retained funds slowly diminishing, in autumn 2022 we launched a local appeal for funds to help keep the centre running and raised £9,500.
However, while this provided temporary financial relief and created a lot of supportive goodwill from the local community, it became increasingly clear that the long-term prospects for running classes and our own premises were not good. In addition, there was the prospect of increased rent costs under a new lease and higher staff, teacher and other running costs, driven by high levels of inflation.
The board of trustees noted that, after being the original pioneers of natural health classes in Brighton and developing a strong reputation over the past 42 years of operations, there were now a wide range of similar classes available in most parts of the city, provided by the private sector, other charities, GP surgeries and elsewhere.
The board considered that the charity has been highly successful in delivering its objects – the promotion and advancement of education of the public in the fields of healthcare, nutrition, and related subjects – and reaching many parts of the city’s diverse population. But there remained a major challenge in reaching the more disadvantaged areas of the city.
The board also noted that we had received several new grants for specific outreach projects during the year and the prospects were significantly better for these kinds of externally funded classes focussing on the more disadvantaged parts of the population, run without the overhead of permanent staff and our own premises.
Given these financial prospects and the desire to refocus on a new target audience, in December 2022 the board finally took the difficult decision to close the Regent Street premises and cease running our day-to-day classes from 31 January 2023, and to concentrate on grant-funded outreach classes.
The closure of the Regent Street premises duly took place on that date, with the remaining staff leaving and all equipment being sold off. The lease had expired, and the charity was therefore able to move forward unencumbered by any significant liabilities.
The board agreed to extend its year-end date to 31 March, creating a one-off 15-month financial period and providing for a clean start for the next financial year with no fixed assets, no premises, and no staff, while retaining a reasonable level of unrestricted assets given its lack of any significant ongoing liabilities.
The overall result for this 15-month period was a deficit of £15,460 (2021 [12m only] - £14,601) and at 31 March 2021, the charity held unrestricted reserves of £10,842 (31 December 2021 - £26,300).
It is the policy of the charity that unrestricted reserve funds, which have not been designated for a specific use, should be maintained at a level equivalent to between three- and six-month’s expenditure. The board considers that reserves at this level would ensure that, in the event of a significant drop in funding, they would be able to continue the charity's current activities while consideration is given to ways in which additional funds may be raised.
With the now reduced activity and low overheads, the board is comfortable that the level of unrestricted reserves held at the end of the period was in accordance with this policy.
Page 2
Brighton Natural Health Foundation Ltd Company No: 01836964
Trustees' Report incorporating Directors' report For the Period 1 January 2022 to 31 March 2023 (continued)
Since the end of this financial period, there has been a lot of work to develop outreach projects focussing on the more disadvantaged parts of the city, resulting in grants totalling £17,300. The charity has also received a significant unrestricted donation of £50,000. This means that the level of unrestricted assets at the date of this report comfortably exceeds the levels required under this policy.
Given the very different operational situation for most of 2023, the income and expenditure numbers for 2023-24 will be much lower than in previous years but we believe the prospects for the charity for the current year and beyond are good, both financially and in terms of delivering on its objects.
Grant income and expenditure
The charity runs an outreach programme offering natural health classes to disadvantaged groups, and also ran low-cost community classes and a series of community talks.
During the period we received external grants totalling £17,042, enabling us to run several outreach projects, with £6,613 of these funds carried forward to complete the remaining projects in 2023-24.
Structure, governance, and management
Following the closure of the premises, three of the remaining trustees stepped down and two new trustees joined the board. This was followed after the period end by a further three new trustees joining the board with the experience and enthusiasm to deliver the charity’s objects to the newly defined audience.
To better reflect the new direction, the board also decided to change the name of the charity to Brighton Natural Health Foundation Ltd (formerly The Brighton Natural Health Centre Ltd).
Brighton Natural Health Foundation Limited is a charitable company (limited by guarantee) governed by its Memorandum and Articles of Association. It is registered as a charity with the Charity Commission.
Recruitment and appointment of new council members
Once the charity identifies the needs for a new Council member, the current members of the Council agree what skills, experience and knowledge are required, and create a job specification. The position is advertised and a short-list of candidates then interviewed by a delegated sub-group of Council members and staff, with the final selection being made by the members of the Council. The position is offered to the selected candidate subject to vetting and once accepted checks are made to ensure they are not disqualified from acting as a Council member and whether there are any conflicts of interest and this is confirmed in writing. Where appropriate checks are also made with the Disclosure and Barring Services or other relevant organisations. Once confirmed, new Council members receive a letter setting out their duties and the charity's expectations, which they sign and return, and an induction process is then arranged. Formal notifications are then made to the relevant authorities and the charity's accountants and bankers.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
Page 3
Brighton Natural Health Foundation Ltd Company No: 01836964
Trustees' Report incorporating Directors' Report For the Period 1 January 2022 to 31 March 2023 (continued)
Related Parties
During the 15-month period to 31 March 2023 Peter Deadman received four payments, the total sum of £716 for teaching Chi Gung classes and workshops. No monies were owed at 31 March 2023.
Trustees’ expenses
Robin Bines was reimbursed for expenses incurred on behalf of the charity to the sum of £284 for repairs to the premises and secure shredding. No monies were owed at 31 March 2023.
Statement of the Trustees' responsibilities
The Trustees, who are also the directors of Brighton Natural Health Foundation Limited for the purpose of company law, are responsible for preparing the Directors Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently.
-
observe the methods and principles in the Charities SORP.
-
make judgements and estimates that are reasonable and prudent.
-
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charitable company will continue in operation.
The Trustees are responsible for keeping adequate accounting records that 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.
This report was approved by the Board of Trustees on 21 December 2023 and signed on its behalf by
Robin Bines
Robin Bines
Trustee
Page 4
Brighton Natural Health Foundation Ltd Independent Examiner's Report For the Period 1 January 2022 to 31 March 2023
I report to the charity trustees on my examination of the accounts of the charity for the period ended 31 March 2023, which are set out on pages 6 to 14.
Responsibilities and basis of report
As the charity’s trustees of the Company (who are also the directors of the company for the purposes 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 for this period under Part 16 of the 2006 Act 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 the 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.
Basis of independent examiner's statement
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 any requirement that 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.
Springtide Business Services Ltd
Springtide Business Services Ltd
26 Woodland Way Brighton East Sussex BN1 8BA
Page 5
Brighton Natural Health Foundation Ltd Statement of Financial Activities For the Period 1 January 2022 to 31 March 2023
| Income and endowments from: Donations and legacies page 7 Charitable activities page 7 Other page 7 Total Expenditure on: Charitable activities page 7 - 8 Total Net Expenditure Reconciliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted Funds Jan 2022 - Mar 2023 £ 24,285 161,005 147 185,437 200,898 200,898 (15,461) 26,300 10,839 |
Unrestricted Funds Jan 2021 - Dec 2021 £ 40,287 115,912 5 |
|---|---|---|
| 156,204 | ||
| 170,805 | ||
| 170,805 | ||
| (14,601) | ||
| 40,901 | ||
| 26,300 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Page 6
Brighton Natural Health Foundation Ltd Income and Expenditure Account For the Period 1 January 2022 to 31 March 2023
| Income from donations and grants Donations and gifts Grants Government Grants Income from charitable activities Class Income Room Hire Sales Other events Other Bank interest Charitable activities costs Teacher fees Other direct costs Wages and salaries Pension Recruitment costs Temporary staff Travel and subsistence expenses Rent Rates Light and heat Repairs and maintenance Cleaning Computer software, consumables and maintenance |
Unrestricted Funds Jan 2022 - Mar 2023 £ 13,856 10,429 - 24,285 152,965 7,980 60 161,005 147 80,098 2,303 51,609 663 - 588 35 22,835 2,858 4,541 1,288 6,556 4,578 |
Unrestricted Funds Jan 2021 - Dec 2021 £ 685 4,786 34,816 |
|---|---|---|
| 40,287 | ||
| 97,970 6,205 1,025 |
||
| 115,912 | ||
| 5 | ||
| 55,317 908 54,101 773 1,533 395 196 17,078 768 1,602 1,168 5,633 4,325 |
Page 7
Brighton Natural Health Foundation Ltd Income and Expenditure Account (continued) For the Period 1 January 2022 to 31 March 2023
| Insurance Printing, postage and stationery Advertising and marketing costs Telecommunications and data costs Website costs Accountancy fees Legal fees Consultancy fees Subscriptions Bookkeeping fees Bank charges Charitable donations Other office costs Sundry expenses Fundraising costs Depreciation Profit/loss on disposal of intangible fixed assets Profit/loss on disposal of tangible fixed assets Deficit for the Financial Period |
Unrestricted Funds Jan 2022 - Mar 2023 £ 1,618 949 8,404 1,003 524 933 - 110 377 3,038 4,261 - 207 - 1,200 - 797 (475) 200,898 (15,461) |
Unrestricted Funds Jan 2021 - Dec 2021 £ 1,505 380 13,019 923 175 900 13 440 209 3,210 3,733 133 36 140 - 2,193 - - |
|---|---|---|
| 170,805 | ||
| (14,601) |
Page 8
Brighton Natural Health Foundation Ltd
previous name The Brighton Centre for Natural Health Ltd
Balance Sheet As At 31 March 2023
| Company Number: 01836964 | Company Number: 01836964 | |||||
|---|---|---|---|---|---|---|
| 31 March 2023 | 31 December 2021 | |||||
| Notes | £ | £ | £ | £ | ||
| FIXED ASSETS | ||||||
| Intangible Assets | 4 | - | 475 | |||
| Tangible Assets | 5 | - | 1,547 | |||
| - | 2,022 | |||||
| CURRENT ASSETS | ||||||
| Stocks | 6 | - | 680 | |||
| Debtors | 7 | 1,633 | 3,052 | |||
| Cash at bank and in hand | 17,284 | 38,224 | ||||
| 18,917 | 41,956 | |||||
| Creditors: Amounts Falling Due Within One Year |
8 | (8,078) | (17,678) | |||
| NET CURRENT ASSETS (LIABILITIES) | 10,839 | 24,278 | ||||
| TOTAL ASSETS LESS CURRENT LIABILITIES | 10,839 | 26,300 | ||||
| NET ASSETS | 10,839 | 26,300 | ||||
| Income and Expenditure Account | 10,839 | 26,300 | ||||
| UNRESTRICTED FUNDS | 10,839 | 26,300 |
For the period ending 31 March 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions of the Companies Act 2006 applicable to companies subject to the small companies regime and in accordance with FRS102 SORP.
The financial statements were approved by the Board of Trustees on 18 December 2023 and were signed on its behalf by:
Robin Bines ____ Robin Bines Trustee
The notes on pages 10 to 14 form part of these financial statements.
Page 9
Brighton Natural Health Foundation Ltd Notes to the Financial Statements For the Period 1 January 2022 to 31 March 2023
1. Accounting Policies
1.1 Basis of Preparation of Financial Statements
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (issued October 2019) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - Charities SORP (FRS102) and the Companies Act 2006. The charity constitutes a public benefit entity as defined by FRS102. 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. At a General meeting the Trustees / Directors agreed by ordinary resolution to extend the accounting period to fifteen months due to the restructure of the charity, hence the comparative amounts in the financial statements (including the related notes) are not entirely comparable. The charitable company has taken advantage of the provisions in the SORP for charities applying FRS102 not to prepare a Statement of Cash Flows. The financial statements are prepared in sterling, which is the functional currency of the Charitable company.
1.2 Going Concern
At the time of approving the accounts, the Trustees have a reasonable expectation that the Charitable company has adequate resources to continue in operational existence for the foreseeable future. Thus, the board continues to adopt the going concern basis of accounting in preparing the accounts.
1.3 Charitable Funds
Unrestricted funds are available for use at the discretion of the board of trustees in furtherance of their charitable objectives.
1.4 Incoming Resources
Income is recognised when the Charitable 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. Cash donations are recognised on receipt. Other donations are recognised once the Charitable company has been notified of the donation unless performance conditions require deferral of the amount.
1.5 Tangible Fixed Assets and Depreciation
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases: Leasehold 25% Straight Line Fixtures & Fittings 25% Reducing Balance Computer Equipment 33.3% Straight Line
1.6 Intangible Fixed Assets other than Goodwill
Intangible assets acquired are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Website 33.3% Straight line
1.7 Impairment of Fixed Assets
At each reporting end date, the Charitable company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
1.8 Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
Page 10
Brighton Natural Health Foundation Ltd Notes to the Financial Statements (continued) For the Period 1 January 2022 to 31 March 2023
1.9 Financial Instruments
The Charitable company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the Charitable company's balance sheet when the Charitable company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs 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.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the Charitable company’s contractual obligations expire or are discharged or cancelled.
2.0 Employee Benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the Charitable company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2.1 Retirement Benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Page 11
Brighton Natural Health Foundation Ltd Notes to the Financial Statements (continued) For the Period 1 January 2022 to 31 March 2023
3 Critical accounting estimates and judgements
In the application of the Charitable company's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
4. Employees
Average number of employees, during the period was: 1 (2021: 4)
| Employment costs Wages and Salaries Other pension costs |
31 March 2023 £ 51,609 663 52,272 |
31 December 2021 £ 54,101 773 |
|---|---|---|
| 54,874 |
There were no employees who received benefits of more than £60,000 in the year.
There were no employees whose annual remuneration was more than £60,000.
| 5. Intangible Assets Cost As at 1 January 2022 Disposals As at 31 March 2023 |
Other £ 3,600 (3,600) - |
|---|---|
Amortisation
| As at 1 January 2022 Disposals As at 31 March 2023 Net Book Value As at 31 March 2023 As at 1 January 2022 |
3,125 (3,125) - - 475 |
|---|---|
Page 12
Brighton Natural Health Foundation Ltd Notes to the Financial Statements (continued) For the Period 1 January 2022 to 31 March 2023
6. Tangible Assets
| Leasehold Improvements £ Cost As at 1 January 2022 2,317 Disposals (2,317) As at 31 March 2023 - Depreciation As at 1 January 2022 1,738 Disposals (1,738) As at 31 March 2023 - Net Book Value As at 31 March 2023 - As at 1 January 2022 579 7. Stocks Stock 8. Debtors Due within one year Trade Debtors Prepayments and accrued income Other taxes and social security Other creditors Accruals and deferred income 9. Creditors: Amounts Falling Due Within One Year |
Fixtures & Fittings £ 35,296 (35,296) - 34,594 (34,594) - - 702 |
Computer Equipment £ 23,215 (23,215) - 22,949 (22,949) - - 266 31 March 2023 £ - - 31 March 2023 £ - 1,634 1,634 31 March 2023 £ - 607 7,469 8,076 |
Total £ 60,828 (60,828) - 59,281 (59,281) - - 1,547 31 December 2021 £ 680 680 31 December 2021 £ 934 2,118 3,052 31 December 2021 £ 57 2,289 15,332 17,678 |
|---|---|---|---|
Page 13
Brighton Natural Health Foundation Ltd Notes to the Financial Statements (continued) For the Period 1 January 2022 to 31 March 2023
10. Retirement benefit Scheme
Defined contribution scheme
The charitable company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charitable company in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £663 (2021 - £773)
11. Related Parties
During the 15-month period to 31 March 2023 Peter Deadman received four payments, the total sum of £716 for teaching Chi Gung classes and workshops. No monies were owed at 31 March 2023. There were no related party transactions in the year ending 31 December 2022.
12. Trustees’ expenses
Robin Bines was reimbursed for expenses incurred on behalf of the charity to the sum of £284 for repairs to the premises and secure shredding. No monies were owed at 31 March 2023.
| 13. Accountant fees Charges incurred for independent review |
31 March 2023 £ 933 |
31 December £ |
|---|---|---|
| 900 |
Page 14