## **Switchboard LGBT+** **(operating as “Switchboard”)** ## **Annual Report and Unaudited Financial Statements** 31 March 2023 Company Limited by Guarantee Registration Number 02098685 (England and Wales) Charity Registration Number 296193 (England and Wales) ## **Contents** ## **Reports** |**Reports**|| |---|---| |Reference and administrative details of|| |the charity, its Directors and advisers|1| |Co-chairs’ report|3| |Directors’ report|5| |Independent examiner’s report|12| |**Financial Statements**|| |Statement of financial activities|13| |Balance sheet|14| |Statement of cash flows|15| |Principal accounting policies|16| |Notes to the financial statements|20| Switchboard LGBT+ ## **Reference and administrative details of the charity, its directors and advisers** |**Directors**
**Staff**
**Registered office**
Helpline
Office Telephone
e-mail
websites
**Company registration number**
**Charity registration number**
**Independent examiner**|Jewel Foster (resigned 15 October 2022)
Peter Hannam
Ashley Hind
Geoffrey Hunter (appointed 15 October 2022)
Neal McCullough (resigned 30 April 2022)
Xan Pedisich (appointed 30 April 2022)
Rodrigo Peroni
Kenneth Smailes
Amy Tyson-Green (resigned 3 May 2022)
Natasha Walker (resigned 15 October 2022)
Peter Zacaroli (resigned 14 October 2023)
Henry Aspinall (appointed 3 January 2023)
Stephanie Fuller
Bob Hughes (appointed 17 July 2023)
Allison Montgomery (appointed 5 December 2022)
Vojtech Nozicka
Jamie Richardson (resigned 13 March 2023)
Katie Veysi (appointed 15 May 2023)
Natasha Vucak
130 Wood Street
London
EC2V 6DL
0800 0119 100
020 7837 6768
admin@switchboard.lgbt
www.switchboard.lgbt
02098685 (England and Wales)
296193 (England and Wales)
Buzzacott LLP
130 Wood Street
London
EC2V 6DL| |---|---| Switchboard LGBT+ **1** ## **Reference and administrative details of the charity, its directors and advisers** **Bankers** CAF Bank Limited Kings Hill West Malling Kent ME19 4TA The Royal Bank of Scotland plc London Islington Branch 40 Islington High Street London N1 8XJ Metro Bank plc 160-166 Kensington High Street London W8 7RG ## **Switchboard’s mission statement** We are Switchboard, the LGBT+ Helpline. We are a safe space for anyone to discuss anything, including sexuality, gender identity, sexual health and emotional wellbeing. We support people to explore the right options for themselves. We aspire to a society where all LGBT+ people are informed and empowered. ## **Switchboard’s values** We are: -  non-judgemental -  inclusive -  committed -  empowering -  supportive -  informed Switchboard LGBT+ **2** **Co-Chairs’ report** 31 March 2023 The year ended March 2023 saw the organisation continue to go from strength to strength with our rota coverage improving and the continued expansion of our staff team helping us to move forward toward the ultimate aim of our charity plan of no contact going un-answered. In October of 2022 we bid farewell to our co-chair of four years, Tash Walker. Her energy, hard work, fundraising and impressive networking skills will be greatly missed. She has been replaced by Xan Pedisich, who enters the role with a deep knowledge of Switchboard having been both a volunteer and staff member. Our strong financial situation means we are able to employ more staff members to carry out the daily tasks of the charity, allowing listening volunteers to be listening volunteers and continue to recruit support volunteers for specific roles. Through its years Switchboard as an organisation has gone through many iterations, including the employment of a staff team in the past, after which the organisation, out of necessity, became volunteer run. In our 49th year we were in a much stronger position across many fronts, removing the need to rely on volunteers for backup work that was so present throughout our history. One thing that will remain true at Switchboard is that we will always have volunteers answering the helpline and that we are volunteer led, honouring our history of being a community grassroots organisation and ensuring it is at the root of everything we do. This change is continuing; you’ll have seen this best shown in the way that the recent 0800 launch was handled. For our 49th anniversary in March 2023, we launched our first-ever freephone number. Working alongside the Applications and Training and Volunteer Community groups, the staff team helped to make sure that all bases were covered. From background work such as informing all our relevant stakeholders of the change, putting together and publicising a shift slam to have excellent rota coverage, and making sure the Switchboard building was a welcoming place to be for the duration of the event. Then so many of our volunteers stepped up and made sure we had enhanced phone coverage during not just the launch weekend but also the following two weeks. This has shown us what a well staffed organisation can look like and also that we can help more people: the number of people trying to contact us increased, as well as contacts answered. Following a National Council for Voluntary Organisations review of the board in May 2022, our board continues to work on adapting to being strategic and less operational, settling into its role of oversight for the organisation. Our first ‘Listen Up!’ report was published in October 2022. This told the story of our service users through illustrating our statistical information taken from conversation reports recorded by our volunteers. This document has been used to inform governmental and public bodies on what the LGBTQIA+ communities are needing support on, using the information we have to make a positive impact on our service users long term. It led to a visit of the All-Parliamentary LGBT Group to Switchboard Headquarters and the next Listen Up report will be launched at Parliament with help from this group. In December 2022 we promoted our General Manager to CEO of the organisation. Our CEO has continued to expand the staff team during 2022/3. In December of 2022 we employed a Communications Manager who has greatly improved our general communications both internally and externally. Using our social media channels to share information that is timely as well as remind people in times of crisis that we are here to listen. Switchboard LGBT+ **3** ## **Co-Chairs’ report** 31 March 2023 In January 2023, we also employed a Volunteer and Training manager who was tasked with improving our Core Training and the general volunteer experience. Both these roles are in alignment with our Charity Plan goals, which will require a large expansion in volunteer numbers. Our financial situation remains healthy and we are gradually improving our over-reliance on corporate donations. We continue to have a healthy relationship with our corporate donors including Costa Coffee, Unilever and subsidiary Super Drug, IKEA, Tesco and Greene King. We are incredibly proud of all our volunteers and staff at Switchboard and all that we have achieved in both supporting our service users and each other. Switchboard has been here for the LGBTQIA+ communities since 1974, listening and learning, and we will continue to endeavour to be the best version of Switchboard we can be. Signed by the Co-Chairs X Pedisich P Hannam Date of approval: 23 November 2023 Switchboard LGBT+ **4** **Directors’ report** 31 March 2023 The Directors present their report together with the financial statements of Switchboard LGBT+ (Switchboard) (the charitable company) for the year ended 31 March 2023. Switchboard LGBT+ operates under the name Switchboard. This report has been prepared in accordance with Part 8 of the Charities Act 2011 and constitutes a directors’ report for the purpose of company legislation. The reference and administrative information set out on pages 1 and 2 forms part of this report. The financial statements comply with current statutory requirements, the charitable company’s Memorandum and Articles of Association, applicable laws 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 United Kingdom and Republic of Ireland (FRS 102). ## **Overall objective** The charitable company's principal objective is: to provide a safe space for anyone to discuss anything, including sexuality, gender identity, sexual health and emotional wellbeing. We support people to explore the right options for themselves. However, the overall social context for delivering this objective has changed hugely since Switchboard started operating in March 1974, as has the language we use to express the organisation’s aims. Lesbian, gay, bisexual and trans (LGBT+) people have many more rights than in 1974, and are often living more open lives. Switchboard itself is a more inclusive organisation than it was then, embracing the diversity of LGBT+ communities. What remains the same is the charitable company's original aim: to provide a confidential source of support and information to people who are or may be discriminated against, isolated or ignored. Recognising that LGBT+ people often struggle to come to terms with their sexuality, the charitable company supports anybody questioning their sexual or gender orientation. Given the personal situations of many LGBT+ people, Switchboard receives calls from the families and friends of LGBT+ people regardless of their own sexual or gender orientation; and from professionals working in agencies with LGBT+ clients, who may be unclear of how sexual or gender orientation may affect their clients’ needs. Switchboard is achieving public benefit through our work in providing a helpline service by telephone, instant messaging and email and acting as a source of web-based information, services which may be accessed by any member of the public. Indeed, Switchboard remains the UK’s primary source of telephone support to LGBT+ people, and all those with issues or questions about sexual and gender orientation. We are a leading source of information on, and signposting to, LGBT+ organisations, services, venues and activities across the UK and beyond; we offer emotional support to callers who may have a whole range of issues; and we raise awareness of, and provide information about, safer sex and sexual health to all our callers where appropriate. Switchboard LGBT+ **5** **Directors’ report** 31 March 2023 ## **Overall objective** (continued) All the Directors are conversant with the Charity Commission’s guidelines concerning charities and public benefit and have given consideration to them when assessing the charity’s aims and planning the work of the members of the charity. The Directors believe that they have given due regard to the public benefit guidance published by the Commission and have complied fully with the duty in Section 4 of Part 1 of the Charities Act 2011. ## **Review of the year** The charity has had another successful year with the number of services users remaining high and stabilising post the effects of the pandemic. Financially the charity continues to perform very well with another strong surplus achieved. The surplus is impressive considering the level of investment that has been made in the operations of the charity across the last year and the continued investments planned in the coming year. The surplus is higher then expected due to a large legacy of £167,518 which was received at the year end. We continue to nurture the corporate partnerships we hold and have diversified these to a wider pool of partners to enable us to protect our main income stream. The charity has invested heavily in staff with two new members of staff appointed in the period and more appointments made post year end. Additional investment has also been made in the IT systems and we have started to make bigger investments in advertising and marketing. The strong performance of the charity in what continues to be a challenging environment would not have been possible without the continued dedication and hard work of our volunteers, staff and supporters. ## **Plans for future periods** Over the coming year we are continuing to invest in the staff team with two new appointments already made. The appointments will help us to strengthen our income streams and have capacity to prepare for an exciting period of events and celebrations to mark our 50[th] birthday. ## **Financial overview** ## _**Overall results for the year**_ Total income for the year 2022-23 was £659,019 (2021-22: £488,882), the income has increased due to the receipt of a large legacy donation in the year of £167,518. Community donations and income from Friends of Switchboard totalled £121,252 in 2023 and £125,776 in 2022. Interest from the bank was £9,192 (2021-22: £35), the increase reflects the increased use of Flagstone which has enabled us to maximise the interest received on our available funds. No amounts were received this year from the Domestic Abuse Partnership (2021-22: £4,466) as our involvement in the partnership has ended. Switchboard LGBT+ **6** **Directors’ report** 31 March 2023 ## **Financial overview** (continued) ## _**Overall results for the year** (continued)_ Expenditure in the year was £413,666 (including the loss on disposal of tangible fixed assets of £1,440) (2021-22: £370,276). The increase is due to the investment in our staff team with two new staff members appointed in the period and the continued investment in the infrastructure of the charity. The overall result for 2022-23 was a surplus of £245,353 (2021-22: a surplus of £118,606). We would like to thank all those who have contributed to our work especially for the loyal support of our donors and the wider LGBT+ community. The charity continues to be in a strong financial position and the continued strong financial support has enabled significant investments in the charity’s operations. ## **Reserves policy** The receipt of the significant legacy in 2017-18 means that reserves now represent over 4 years’ (2021-22 – 4 years’) expenditure at current spending levels. The Directors expect the level of reserves to reduce in size once Switchboard finalises its plans regarding the legacy's use. Over the long term, the Directors believe it is prudent for the charity to have free reserves equal to at least eighteen months’ expenditure. ## _**Financial position**_ The balance sheet shows total funds of £1,902,974 (2021-22: £1,657,621). The tangible fixed assets fund at £224,503 (2021-22: £215,803) represents the net book value of the charitable company’s tangible fixed assets, largely its property. The fund has been created in order to emphasise the fact that the assets are fundamental to the charitable company’s activities but are not readily realisable, so do not represent liquid resources available to the Directors. Further funds totalling £50,000 (2021-22: £50,000) have been designated or set aside for purposes as detailed in note 16 to the financial statements. Funds totalling £349 (2021-22: £349) are restricted, as detailed in note 17 to the financial statements. General funds, which represent the major part of the charitable company’s day to day working capital, were £1,628,122 (2021-22: £1,391,469), with a further £85,000 held at long term deposits at the end of March 2023. The Directors acknowledge that the level of general funds exceeds the level required under the above reserves policy. During a previous year, the charity received a legacy of over £1 million which has inflated the charity’s general funds significantly. The Directors are continuing to take the appropriate amount of time to determine the best use of the funds received. Switchboard LGBT+ **7** **Directors’ report** 31 March 2023 ## **Structure, governance and management** ## _**Legal and administrative information**_ Switchboard LGBT+ is a registered charity, Charity Registration No. 296193, and a company limited by guarantee which holds no share capital, Company Registration No. 02098685 (England and Wales). Switchboard LGBT+ operates under the trading name of Switchboard. In the event of the charitable company being wound up, members are required to contribute an amount not exceeding £1. ## _**Membership of Switchboard**_ Volunteers at Switchboard fall into two categories, helpline volunteers and support volunteers. Those who volunteer for the helpline are selected for their knowledge, empathy and experience of life in the lesbian, gay, bisexual and trans communities. Once they have successfully completed their training they are eligible to become members of Switchboard with full voting rights. Support volunteers are selected for the skills they can bring to support the core function of Switchboard. Once they have completed an initial period of induction and demonstrated their commitment to Switchboard they are also eligible to become members of Switchboard with full voting rights. Both helpline and support volunteers are required to meet a minimum commitment to retain their membership. Volunteers are able to change roles within the organisation provided they meet the relevant criteria. ## _**Directors**_ The Directors, who constitute the Trustees of the charitable company for the purpose of charity legislation, are ultimately responsible for Switchboard. Directors are elected by the membership at the Annual General Meeting for a period of two years. They set the strategic direction and objectives of the organisation, agree the budget and are responsible for the overall management of the charitable company. Directors meet monthly and minutes of these meetings are made available to all volunteers. A comprehensive induction programme is in place to ensure new Directors are familiar with the charitable company’s objectives and strategic aims, and their role and responsibilities as a Director. None of the Directors received any remuneration or other financial benefit for their services during 2022-23 (2021-22: £nil). Six directors were reimbursed for expenses incurred in the performance of their duties totalling £610 (2021-22: £nil). All Directors have confirmed that they do not have, and have not had, any beneficial interest in any contract with the charitable company. ## _**Staff**_ Switchboard employed five members of staff as at 31 March 2023 and this has increased to seven by the date of the finalisation of the financial statements. The staff team includes a CEO to support the work of the volunteers and to ensure the smooth day to day running of the charity. The CEO is responsible for the staff team and reports on the operations of the charity on a quarterly basis to the Trustees. Switchboard LGBT+ **8** **Directors’ report** 31 March 2023 ## **Structure, governance and management** (continued) ## _**Key management personnel**_ The Directors and CEO comprise the key management personnel of the charitable company in charge of directing and controlling, running and operating the charitable company on a day to day basis. ## _**The charitable company’s assets**_ Acquisitions and disposals of fixed assets during the year are recorded in the notes to the financial statements. The Directors are of the opinion that the open market value of the freehold land and buildings is in excess of the net book value at which they are shown on the balance sheet. ## _**Risk management**_ The Directors regularly assess those risks which they envisage might affect the functioning of the charitable company and its ability to achieve its objectives. The main types of risk are identified and examined together with an assessment of their severity and likely impact. They can be summarised into the following areas: -  Risk of misleading information being given to service users and general public -  Loss of staff and Directors -  Misappropriation of funds or inappropriate use of said funds -  Insufficient training in relation to safeguarding and IT security -  Retention and engagement of volunteers -  Services are not offered sufficiently at the times advertised -  Loss, failure or corruption of our information systems and data -  Inappropriate and reputationally damaging statements made by supporters, volunteers or staff members The Directors are satisfied that measures are in place to minimise any potential loss from the above risks. The risks outlined above are mitigated by a combination of factors including: providing high quality training to volunteers; review of the support systems and training offered to volunteers; embedding financial controls and procedures; continuing to build relationships with a variety of corporate organisations to diversify our income streams; yearly appraisal process implemented for staff members; and succession planning implemented for the Directors. Switchboard LGBT+ **9** **Directors’ report** 31 March 2023 ## **Structure, governance and management** (continued) ## _**Fundraising**_ The charity aims to achieve best practice in the way in which it communicates with donors and other supporters. It takes care with both the tone of its communications and the accuracy of its data to minimise the pressures on supporters. It applies best practice to protect supporters’ data and never sells data, it never swaps data and ensures that communication preferences can be changed at any time. The charity manages its own fundraising activities and does not employ the services of professional fundraisers. The charity undertakes to react to and investigate any complaints regarding its fundraising activities and to learn from them and improve its service. There are two types of fundraising within Switchboard: community fundraising and strategic fundraising. Community fundraising consists of regular donors and community giving through platforms like “just giving”. Strategic fundraising consists of partnerships and donations from corporate businesses, these are typically larger in value than that received through community fundraising and have arisen through long term relationships. Neither the community nor strategic fundraising methods operated by Switchboard involve persistent approaches to the public and, as such, we have received no complaints relating to our fundraising during the year. ## _**Investment powers**_ Under the Memorandum and Articles of Association the charitable company has the power to make any investment the Directors believe appropriate. Switchboard LGBT+ **10** **Directors’ report** 31 March 2023 ## _**Directors' responsibilities**_ The Directors (who are also Trustees of Switchboard LGBT+ for the purposes of charity law) are responsible for preparing the Directors’ report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Directors 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 income and expenditure of the charitable company for that period. Under company law, the Directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the income and expenditure for that period. In preparing these financial statements, the Directors are required to: -  select suitable accounting policies and then apply them consistently -  observe the methods and principles of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102); -  make judgements and estimates that are reasonable and prudent: -  state whether applicable United Kingdom 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 Directors are responsible for keeping proper accounting records that are sufficient to show and explain the charitable company’s transactions and 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. Approved by the Directors and signed on their behalf by: X Pedisich P Hannam Director Director Approved on: 23 November 2023 Switchboard LGBT+ (Company Registration No. 02098685 (England and Wales)) Switchboard LGBT+ **11** **Independent examiner’s report** 31 March 2023 ## **Independent examiner’s report to the Directors of Switchboard LGBT+** I report to the charity Directors on my examination of the financial statements of the charitable company for the year ended 31 March 2023. ## **Responsibilities and basis of report** As Trustees and Directors of the charitable company you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’). Having satisfied myself that the financial statements of the charitable company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s financial statements 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. ## **Independent examiner’s statement** Since the charitable company’s gross income exceeded £250,000 your examiner must be a member 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 member of the Institute of Chartered Accountants in England and Wales, 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 my examination giving me cause to believe that in any material respect: -  accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act; or -  the financial statements do not accord with those records; or -  the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the financial statements 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 methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 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 financial statements to be reached. Gumayel Miah, ACA Buzzacott LLP 130 Wood Street London EC2V 6DL Date: 30 November 2023 Switchboard LGBT+ **12** ## **Statement of financial activities** Year to 31 March 2023 **(including an income and expenditure account)** |Notes|**Unrestricted**
**funds**
**£**
**Restricted**
**funds**
**£**|**Total**
**2023**
**£**|Unrestricted
funds
£|Restricted
funds
£|Total
2022
£| |---|---|---|---|---|---| |**Income from:**
Donations and legacies
1
Charitable activities
. Service level
agreements
2
Interest receivable
**Total income**
**Expenditure on:**
Raising funds
. Raising donations
3
Charitable activities
. Supporting people
4
. Provision of
information
5
**Total expenditure**
**Net income before**
**loss on disposal of**
**fixed assets**
Loss on disposal of
tangible fixed assets
**Net income and net**
**movement**
**in funds**
7
**Reconciliation of**
**funds:**
Fund balances at1 April
Fund balances at 31
March|**649,827**
**—**
**—**
**—**
**9,192**
**—**|**649,827**
**—**
**9,192**|484,381
4,466
35|—
—
—|484,381
4,466
35| ||**659,019**
**—**|**659,019**|488,882|—|488,882| ||**58,519**
**—**
**267,246**
**—**
**86,461**
**—**|**58,519**
**267,246**
**86,461**|28,575
272,596
65,772|—
—
—|28,575
272,596
65,772| ||**412,226**
**—**|**412,226**|366,943|—|366,943| ||**246,793**
**—**
**(1,440)**
**—**|**246,793**
**(1,440)**|121,939
(3,333)|—
—|121,939
(3,333)| ||**245,353**
**—**
**1,657,272**
**349**|**245,353**
**1,657,621**|118,606
1,538,666|—
349|118,606
1,539,015| ||**1,902,625**
**349**|**1,902,974**|1,657,272|349|1,657,621| All recognised gains and losses are included in the above statement of financial activities. All of the charitable company’s activities derived from continuing operations during the above two financial years. Switchboard LGBT+ **13** ## **Balance sheet** 31 March 2023 |Notes|**2023**
**£**|**2023**
**£**|2022
£|2022
£| |---|---|---|---|---| |**Fixed assets**
Tangible assets
10
Long term deposits
13
**Current assets**
Debtors
11
Cash at bank
12
Short term deposits
13
**Liabilities**
Creditors: amounts falling due
within one year
14
**Net current assets**
**Total net assets**
**Represented by the funds of the**
**charity:**
**Unrestricted funds**
General funds
Tangible fixed assets fund
15
Designated funds
16
. Diversity fund
**Restricted funds**
. Big Lottery fund
17
**Total funds**|**62,455**
**1,024,783**
**510,000**|**224,503**
**85,000**|2,335
1,014,606
427,891|215,803
**—**| |||**309,503**||215,803
1,441,818| ||**1,597,238**
**(3,767)**|**1,593,471**|1,444,832
(3,014)|| ||**50,000**||50,000|| |||**1,902,974**||1,657,621| |||**1,628,122**
**224,503**
**50,000**
**349**||1,391,469
215,803
50,000
349| ||**349**||349|| |||||| |||**1,902,974**||1,657,621| For the financial year in question the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies. No members have 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 responsibility for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime. Approved by the Directors and signed on their behalf by: X Pedisich P Hannam Director Director Approved by the Directors on: 23 November 2023 Switchboard LGBT+ (Company Registration No. 02098685 (England and Wales)) Switchboard LGBT+ **14** ## **Statement of cash flows** Year to 31 March 2023 |Notes|**2023**
**£**|2022
£| |---|---|---| |**Cash flows from operating activities:**
Net cash provided by operating activities
A
**Cash flows from investing activities:**
Interest received
Increase in investments
Purchase of tangible fixed assets
**Net cash (used in) investing activities**
**Change in cash and cash equivalents in the year**
**Cash and cash equivalents at 1 April**
B
**Cash and cash equivalents at 31 March**
B|**202,693**|188,878| ||**9,192**
**(167,109)**
**(34,599)**|35
(323,642)
(28,343)| ||**(192,516)**|(351,950)| ||**10,177**
**1,014,606**|(163,072)
1,177,678| ||**1,024,783**|1,014,606| ## **Notes to the statement of cash flows for the year to 31 March 2023** ## **A Reconciliation of net movement in funds to net cash provided by operating activities** **----- Start of picture text -----**
2023 2022
£ £
Net movement in funds (as per the statement of financial activities) 245,353 118,606
Adjustments for:
Depreciation charge 24,458 22,373
Loss on disposal of fixed asset 1,440 3,333
Interest receivable (9,192) (35)
(Increase) / decrease in debtors (60,120) 44,555
Increase in creditors 754 46
Net cash provided by operating activities 202,693 188,878
**----- End of picture text -----**
## **B Analysis of cash and cash equivalents** |**Analysis of cash and cash equivalents**||| |---|---|---| ||**2023**
**£**|2022
£| |**Total cash and cash equivalents**|**1,024,783**|1,014,606| The charitable company held no long term debt at any time during the year ended 31 March 2023 and the year ended 31 March 2022. Switchboard LGBT+ **15** **Principal accounting policies** Year to 31 March 2023 The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are laid out below. ## **Basis of preparation** These financial statements have been prepared for the year to 31 March 2023 with comparative information provided in respect to the year ended 31 March 2022. The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these financial statements. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The charitable company constitutes a public benefit entity as defined by FRS 102. The financial statements are presented in sterling and are rounded to the nearest pound. ## **Critical accounting estimates and areas of judgement** Preparation of the financial statements requires the Directors to make significant judgements and estimates. In the financial statements, judgements and estimates have been made in estimating the useful economic life of tangible fixed assets in order to determine the annual depreciation charge, in determining legacy income to be accrued for and in apportioning governance costs. ## **Assessment of going concern** The Directors have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The Directors have made this assessment for a period of one year from the date of approval of these financial statements, and have considered the impact of the current economic climate on the charity’s operations. The Directors acknowledge and recognise the potential and continuing impact of the cost of living crisis on the charity, its beneficiaries and on wider society. However, it is not anticipated at the current time that the overall financial position of the charity will be adversely affected or its financial solvency threatened, the performance in the last 12 months demonstrates the long term viability of the charity. The Directors are of the opinion that the charitable company will have sufficient resources to meet its liabilities as they fall due. Switchboard LGBT+ **16** **Principal accounting policies** Year to 31 March 2023 ## **Income recognition** Income is recognised in the period in which the charitable company is entitled to receipt and the amount can be measured reliably and it is probable that the income will be received. Income comprises donations and legacies, income receivable under service level agreements, income from fundraising events and interest receivable. Donations are recognised when the charitable company has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the charitable company is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charitable company and it is probable that those conditions will be fulfilled in the reporting period. In accordance with the Charities SORP FRS 102 volunteer time is not recognised. Legacies are included in the statement of financial activities when the charitable company is entitled to the legacy, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the charitable company. Entitlement is taken as the earlier of the date on which either: the charitable company is aware that probate has been granted, the estate has been finalised and notification has been made by the executor to the charitable company that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charitable company has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charitable company, or the charitable company is aware of the granting of probate, but the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title of the asset having being transferred to the charitable company. Income receivable under service level agreement has been included as income from charitable activities and is accounted on an accruals basis for when receivable under the contractual terms of relevant agreement. Income from fundraising events is accounted for when the charitable company is entitled to the income i.e. usually on the day of the event. Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid of payable by the bank. Switchboard LGBT+ **17** ## **Principal accounting policies** Year to 31 March 2023 ## **Expenditure recognition and basis of apportioning costs** Expenditure is included in the statement of financial activities when incurred and includes the attributable VAT which cannot be recovered. Resources expended comprise the following categories: - a. Expenditure on raising funds includes those costs associated with generating donations. - b. Expenditure on charitable activities comprises expenditure on the provision of information and support via a telephone helpline and website. Governance costs, comprising the costs of governing the charitable company and ensuring it meets its statutory reporting obligations, are allocated across expenditure categories in proportion to the costs incurred. The majority of other costs are directly attributable to expenditure categories and any other apportionment between headings is negligible. ## **Tangible fixed assets** All assets costing more than £1,000 and which have an expected useful life exceeding one year are capitalised. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life: -  Freehold property 3.33% on reducing balance  Furniture, fittings and equipment 10 - 25% on reducing balance ## **Debtors** Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material. ## **Cash at bank and in hand** Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. ## **Deposits** Deposits represents balances held with third parties in deposit accounts. Short term deposits have maturities of over three months from the date of acquisition but less than one year and long term deposits have deposits over one year. The balances are held at cost plus interest accrued. ## **Creditors and provisions** Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charitable company anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material. Switchboard LGBT+ **18** ## **Principal accounting policies** Year to 31 March 2023 ## **Fund accounting** Funds held by the charitable company are as follows: -  The general fund comprises those monies which may be used towards meeting the charitable objectives of the charitable company and which may be applied at the discretion of the Directors. -  The tangible fixed assets fund represents the net book value of the charitable company’s tangible fixed assets. -  The designated funds are monies set aside out of general funds and designated for specific purposes by the Directors. -  The restricted funds are monies raised for, and their use restricted to, a specific purpose, or donations subject to donor imposed conditions. Further explanation of the nature and purpose of each of the designated and restricted funds is included in the notes to the financial statements. Switchboard LGBT+ **19** **Notes to the financial statements** Year to 31 March 2023 ## **1 Income from donations and legacies** |**Income from donations and legacies**||| |---|---|---| ||**2023**
**£**|2022
£| |Corporate donations
Legacies
Community donations and Friends
of Switchboard|**361,057**
**167,518**
**121,252**|358,605
—
125,776| ||**649,827**|484,381| ## **2 Income from service level agreements** |**Income from service level agreements**||| |---|---|---| ||**2023**
**£**|2022
£| |Gay London Police Monitoring Group – LGBT Domestic Violence
Partnership|—|4,466| ## **3 Expenditure on raising donations** |**Expenditure on raising donations**||| |---|---|---| ||**2023**
**£**|2022
£| |Staff costs
Premises
Operating costs
Governance costs|**19,407**
**2,245**
**31,398**
**5,469**|14,155
2,239
9,361
2,550| ||**58,519**|28,575| ## **4 Expenditure on supporting people** |**Expenditure on supporting people**||| |---|---|---| ||**2023**
**£**|2022
£| |Staff costs
Premises
Operating costs
Other direct costs
Governance costs|**124,214**
**32,932**
**66,760**
**18,363**
**24,977**|90,596
32,841
47,604
77,227
24,328| ||**267,246**|272,596| Switchboard LGBT+ **20** **Notes to the financial statements** Year to 31 March 2023 ## **5 Expenditure on the provision of information** |**Expenditure on the provision of information**||| |---|---|---| ||**2023**
**£**|2022
£| |Staff costs
Premises
Operating costs
Governance costs|**50,462**
**11,228**
**16,690**
**8,081**|36,805
11,196
11,901
5,870| ||**86,461**|65,772| ## **6 Governance costs** |**Governance costs**||| |---|---|---| ||**2023**
**£**|2022
£| |Premises
Operating costs
Other direct costs|**1,497**
**14,229**
**22,802**|1,493
19,138
12,118| ||**38,528**|32,749| ## **7 Net income and net movement in funds** This is stated after charging: ||**2023**
**£**|2022
£| |---|---|---| |Staff costs (note 8)
Depreciation
Independent examiner’s remuneration (including VAT)|**194,083**
**24,458**
**2,400**|141,556
22,373
2,100| ## **8 Staff costs and related party transactions** |**Staff costs and related party transactions**||| |---|---|---| ||**2023**
**£**|2022
£| |Wages and salaries
Social security costs
Pensions|**168,610**
**18,377**
**7,096**|123,904
12,480
5,172| ||**194,083**|141,556| The average number of employees during the year was five (2022 – four). No employee earned more than £60,000 per annum (2022 - none). The Directors comprise the key management personnel of the charitable company in charge of directing and controlling, running and operating the charitable company on a day to day basis as well as the Chief Executive Officer. No Director received any remuneration for their services as Director, the Chief Executive Office received remuneration of £54,742 (2022 - £nil). Switchboard LGBT+ **21** **Notes to the financial statements** Year to 31 March 2023 ## **8 Staff costs and related party transactions** (continued) Six Directors received reimbursement of their expenses as a director totalling £610 (2022 - £nil). There were no other related party transactions in the year (2022 – none). ## **9 Taxation** Switchboard LGBT+ is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities. ## **10 Tangible fixed assets** **----- Start of picture text -----**
Furniture,
Freehold fittings and
property equipment Total
£ £ £
Cost
At 1 April 2022 228,384 172,926 401,310
Additions — 34,599 34,599
Disposals — (5,308) (5,308)
At 31 March 2023 228,384 202,217 430,601
Depreciation
At 1 April 2022 140,034 45,473 185,507
Charge for the year 2,945 21,513 24,458
Eliminated on disposal — (3,867) (3,867)
At 31 March 2023 142,979 63,119 206,098
Net book values
At 31 March 2023 85,405 139,098 224,503
At 31 March 2022 88,350 127,453 215,803
**----- End of picture text -----**
The Directors are of the opinion that the open market value of the charitable company’s freehold property is in excess of its net book value. However, the Directors do not believe that the cost of quantifying the difference is commensurate with any added benefit that would be gained by a user of these financial statements having access to such information. ## **11 Debtors** ||**2023**
**£**|2022
£| |---|---|---| |Prepayments and accrued income|**62,455**|2,335| The increase in the debtors reflects a large accrued income balance in relation to a corporate donation that was received post year end. Switchboard LGBT+ **22** ## **Notes to the financial statements** Year to 31 March 2023 ## **12 Cash at bank** |**Cash at bank**||| |---|---|---| ||**2023**
**£**|2022
£| |The Royal Bank of Scotland plc
CAF Bank Limited
Flagstone
PayPal
Pleo|**14,450**
**570,036**
**409,444**
**26,935**
**3,918**|10,063
704,410
295,853
—
4,280| ||**1,024,783**|1,014,606| ## **13 Deposits** |**Deposits**||| |---|---|---| ||**2023**
**£**|2022
£| |Flagstone – short term
Flagstone – long term|**510,000**
**85,000**|427,891
—| ||**595,000**|427,891| ## **14 Creditors: amounts falling due within one year** |**Creditors: amounts falling due within one year**||| |---|---|---| ||**2023**
**£**|2022
£| |Accruals
Other creditors|**2,400**
**1,367**|2,100
914| ||**3,767**|3,014| ## **15 Tangible fixed assets fund** |**Tangible fixed assets fund**||| |---|---|---| ||**2023**
**£**|2022
£| |At 1 April
Net movements in year
At 31 March|**215,803**
**8,700**|213,168
2,635| ||**224,503**|215,803| The tangible fixed assets fund represents the net book value of the charitable company’s tangible fixed assets. The fund has been created in order to emphasise the fact that the assets are fundamental to the charitable company’s activities and are not readily realisable, i.e. they do not represent liquid resources available to the Directors. Switchboard LGBT+ **23** ## **Notes to the financial statements** Year to 31 March 2023 ## **16 Designated funds** The income funds of the charitable company include the following designated funds which have been set aside out of unrestricted funds by the Directors for specific purposes: |At
1 April
2022
£|New
designations
£|Utilised/
released
£|**At**
**31 March**
**2023**
**£**| |---|---|---|---| |Diversity fund
50,000|—|—|**50,000**| Designated funds are decided on by the Directors in the light of the charitable company’s future commitments and strategy. ##  _**Diversity fund**_ The diversity fund comprises monies set aside to enable the charitable company to fund work that improves the diversity of the organisation, as this is recognised as a key priority and cannot be ignored even when money may be tight. ## **17 Restricted funds** |**Restricted funds**||||| |---|---|---|---|---| ||**At**
**1 April**
**2022**
**£**|**Income**
**£**|**Expenditure**
**and**
**transfers**
**£**|**At**
**31 March**
**2023**
**£**| |Big Lottery fund|**349**
**349**
At
1 April
2021
£|**—**
**—**
Income
£|**—**
**—**
Expenditure
and
transfers
£|**349**
**349**
At
31 March
2022
£| |Big Lottery fund|349
349|—
—|—
—|349
349| ##  _**Big Lottery fund**_ The Big Lottery fund comprises a grant received during a previous year to be applied towards meeting expenditure on the phone room and office computers and software together with iPads for fundraising events. Switchboard LGBT+ **24** ## **Notes to the financial statements** Year to 31 March 2023 ## **18 Analysis of net assets between funds** ||**Unrestricted funds**|**Unrestricted funds**|**Unrestricted funds**|**Restricted**
**funds**
**£**|**Total**
**2023**
**£**| |---|---|---|---|---|---| ||**General**
**funds**
**£**|**Tangible**
**fixed**
**assets**
**fund**
**£**|**Designated**
**funds**
**£**||| |**Fund balances at 31 March**
**2023 are represented by:**
Tangible fixed assets
Long-term deposits
Net current assets
**Total net assets**||||**—**
**—**
**349**
**349**
Restricted
funds
£|**224,503**
**85,000**
**1,593,471**
**1,902,974**
Total
2022
£| ||General
funds
£|Tangible
fixed
assets
fund
£|Designated
funds
£||| |Fund balances at 31 March
2022 are represented by:
Tangible fixed assets
Net current assets
Total net assets|—
1,391,649
1,391,649|215,803
—
215,803|—
50,000
50,000|—
349
349|215,803
1,441,818
1,657,621| ## **19 Members’ liability** In accordance with the charitable company’s Memorandum of Association, every member of the company undertakes to contribute to the assets of the charitable company if it is wound up during the time that they are a member, or within one year. Such contributions are to be applied towards payment of the debts and liabilities of the charitable company contracted before the time at which they ceased to be a member, the costs, charges and expenses of winding up of the same, and for the adjustment of the rights of the contributors amongst themselves. The contribution that may be required shall not exceed £1. Switchboard LGBT+ **25**