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2023-12-31-accounts

Charity registration number 518985

Company registration number 02108184 (England and Wales)

K.I.N.D.

A COMPANY LIMITED BY GUARANTEE

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

K.I.N.D. A COMPANY LIMITED BY GUARANTEE LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Dr C P Arthur
C C Davies
P Scanlon
S Green
M Hartwell (Appointed 9 August 2023)
L Samata (Appointed 9 August 2023)
P Dixon (Appointed 9 August 2023)
K Harrison (Appointed 9 August 2023)
P Brown (Appointed 9 August 2023)
Secretary P Scanlon
Charity number 518985
Company number 02108184
Principal address 3 South Hunter Street
Liverpool
L1 9JG
Independent examiner Anita C Mason BA(Hons) BFP FCA
BWM
Tempest
Suite 5.1
12 Tithebarn Street
Liverpool
L2 2DT
Bankers Barclays Bank Plc
Liverpool Branch
48B - 50 Lord Street
Liverpool
L2 1TD
Solicitors Brabners LLP
Horton House
Exchange Flags
Liverpool
L2 3YL

K.I.N.D. A COMPANY LIMITED BY GUARANTEE CONTENTS

Page
Trustees' report 1 - 4
Statement of trustees' responsibilities 5
Independent examiner's report 6
Statement of financial activities 7 - 8
Balance sheet 9 - 10
Statement of cash flows 11
Notes to the financial statements 12 - 28

K.I.N.D. A COMPANY LIMITED BY GUARANTEE TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 DECEMBER 2023

The trustees present their annual report and financial statements for the year ended 31 December 2023.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 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)" (effective 1 January 2019).

Objectives and activities

The Charity was incorporated as a private company number 02108184, limited by guarantee, on 9 March 1987 and is ruled by its Memorandum and Articles of Association, although the Charity has existed since 1975.

Its principal object is to provide or assist in the provision of facilities for recreation and other leisure time occupations of children and young persons who are in conditions of need, hardship or distress by the provision of breaks or outings with the object of educating and assisting them to develop their physical, mental and spiritual well being in a caring, but structured and disciplined environment.

The charity depends significantly on the service of volunteers and on donations for its day to day running.

The major areas of activity each year are, broadly, the Residential Project, the Christmas Appeal and the provision of year round assistance to children and their families.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

2023 is KIND’s 48[th] year as a working charity. It has also been a year of great change and new beginnings. In September we completed on the sale of the Centre and began working on our future developments and programmes.

Programmes

2023 was a very busy year up until September. We ran a 10-week out of school programme, which also included two weeks residential at the wonderful Red Ridge Outdoor Education Centre. Our school programme was also fully booked and as with all of our activities and experiences it is all about showing our children that they and life can be different. We also provide our children in all of our programmes with an opportunity to create some very happy and positive memories of childhood – memories that will stay with them forever.

Easter Food Programme

2023 was our third Easter Food programme. We again provided over 200 wonderful, large family food hampers, which also included Easter eggs and books. The hampers were distributed throughout Merseyside, utilising some of the organisations and groups that we work with on the Christmas Appeal. The response from the families was heart warming and made working over Easter worthwhile.

Christmas Appeal

Our 48[th] Christmas Appeal was again a resounding success. We raised and spent over £100,000, which enabled us to support thousands of unlucky children and families from across our local community. The food hampers, toy parcels and clothing all ensured that our families had an amazing and happy Christmas. We brought light, joy and happiness into lives that otherwise would have experienced a very bleak and unhappy time.

Practical Help

The number of families requiring practical support in terms of beds, white goods etc. is increasing year on year. This is an area that we shall be working on in 2024 to ensure that, wherever possible, we will be able to support families who are struggling. The requests for such support are growing and the need is not being met by the local authority.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Conclusion

Another successful and busy year for all the team at KIND. Special thanks must go to all the staff, volunteers and above all our donors, who have enabled us to meet the continuing demand for support from within our community.

Financial review

The charity's income for the year amounted to £1,634,633 (2022: £407,415). This includes other income of £1,241,808 which relates to the gain on sale of the centre which was sold in the year.

Total expenditure amounted to £420,484 (2022: £438,793). This has resulted in a surplus of £1,214,149 for the year (2022: deficit of £31,378).

Unrestricted funds (including designated funds) of the charity totalled £2,073,122 at 31 December 2023 (31 December 2022: £858,973) Restricted funds of the charity totalled £nil at 31 December 2023 (31 December 2022: £nil).

Although the balance sheet shows that there were total unrestricted funds (excluding designated funds) of £1,913,122 at 31 December 2023, £21,983 of this represents fixed assets, none of which is available to the trustees to defray ongoing running costs. This leaves £1,891,139 free spendable reserves. The Designated Fund of £160,000 represents funds set aside out of unrestricted funds for spending on wages and salaries in the event of a sudden loss of income.

KIND is a traditional charity which relies solely on the generosity of its friends and supporters in order to provide its much needed services. In order to ensure that these services would continue in a downturn in donations the Charity is aiming to have a minimum of six months' of unrestricted running costs in free reserves. The gain made on the sale of the Centre has ensured that running costs are covered for the next three years.

The charity receives no central or local government funding and is still one of the few remaining charities that does not charge for its services and programmes.

Risk management

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to manage exposure to those risks.

For a small charity risk management is an essential part of planning. KIND is very fortunate because it has a solicitor and numerous Trustees on its board who are used to dealing with large companies. Financially the charity is extremely well regulated and the monthly reconciliation of accounts ensures that any financial difficulties are brought to the attention of the Board very quickly. KIND staff have regular training to ensure that they are aware of the latest safeguarding issues and other health and safety issues that may impinge upon our work. As a small charity I feel that we are doing our best to ensure that any risk is kept to a minimum.

Plans for the future

2023 saw us leave our Children’s Centre after 26 amazing years. We are hoping that our new offices will provide us with the opportunity to continue making a real difference in thousands of young lives. As we approach our 50[th] Anniversary, we have a range of exciting and innovative plans and projects, which we will hopefully be delivering; working with and through a range of existing and new partners. Watch this space.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Structure, governance and management

The charity is a company limited by guarantee. The liability in respect of the guarantee as set out in the memorandum, is limited to £1 per member of the company.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Dr C P Arthur C C Davies P Scanlon M Wafer (Resigned 26 May 2023) S Green M Hartwell (Appointed 9 August 2023) L Samata (Appointed 9 August 2023) P Dixon (Appointed 9 August 2023) K Harrison (Appointed 9 August 2023) P Brown (Appointed 9 August 2023)

Appointment of trustees

Trustee recruitment remains a priority for the Board, who are keen to recruit new trustees with skills and qualities that will enhance the performance of the charity. The Board are also intending that there is a more inclusive trustee base. Like all smaller charities, KIND is constantly striving to strengthen its Trustee board. We have a very good core of trustees who have been with the organisation for a long time. But we are constantly looking to recruit new trustees to help strengthen the board.

The Charity is registered by the Charity Commissioners for England and Wales, registration number 518985. The number of trustees of the Board shall not be less than 5 and not more than 12. The Board may from time to time appoint any member of the Association as a trustee to fill a casual vacancy or by way of addition to the Board. Any member so appointed shall retain this office only until the next Annual General Meeting, but he shall then be eligible for re-election. He shall not be taken into account in determining the members of the Board who are to retire by rotation at such meetings. The trustees met on a regular basis throughout the year.

Trustee induction and training

All potential trustees are offered the opportunity to have a face-to-face discussion with both Stephen our CEO and Peter our Chair of Trustees before they make the final decision to join or not. Once they have agreed to become Trustees there is an induction process and all Trustees will be required to have a DBS certificate.

Organisation

Day-to-day decision-making is delegated to the Chief Executive Officer, Stephen Yip. Decisions regarding the long term strategy of the charity are approved by the board of trustees.

The remuneration arrangements for all staff are reviewed annually by the Trustees. The Trustees have historically looked at wages paid within our sector and have decided that our wage scales, because of the nature of our work, are both competitive and fair. As a charity we feel that we offer salaries that are commensurate with duties and responsibilities.

Asset cover for funds

Notes 3 to 11 set out income and expenditure attributable to the various funds and a description of the trusts. These assets are sufficient to meet the charity's obligations on a fund by fund basis.

Audit exemption

Although the income in the year has exceeded the charity audit threshold of £1,000,000 a dispensation has been granted from The Charity Commission under Regulation 34(3)(b) of the Charities (Accounts and Reports) Regulations 200, as this is a one off for the year due to the gains made on the sale of the Centre at Back Canning Street.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

Small company provisions

This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006

The trustees' report was approved by the Board of Trustees.

C C Davies P Scanlon Trustee Trustee

20 May 2024

K.I.N.D. A COMPANY LIMITED BY GUARANTEE STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 DECEMBER 2023

The trustees, who are also the directors of K.I.N.D. 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).

Company Law requires the trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these accounts, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF K.I.N.D.

I report to the trustees on my examination of the accounts of K.I.N.D. (the charity) for the year ended 31 December 2023.

This report is made solely to the charity's trustees, as a body, in accordance with Section 145 of the Charities Act 2011. My examination has been undertaken so that I might state to the charity's trustees those matters I am required to state to them in an Independent Examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for my examination, for this report, or for the opinions I have formed.

Responsibilities and basis of report

As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

An Independent Examination has been carried out rather than an audit under Regulation 31(f). The Charity has been granted an audit dispensation by the Charities Commission, dated 24 April 2024, under Regulation 34(3)(b) of the Charities (Accounts and Reports) Regulations 2008.

Exceptional circumstances

The high level of income during the year was due to the gains on the sale of the Centre which will not be repeated in future years.

Independent examiner's statement

Since the charity’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 ICAEW, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

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.

Anita C Mason BA(Hons) BFP FCA

BWM Tempest Suite 5.1 12 Tithebarn Street Liverpool L2 2DT Dated: 21 May 2005

K.I.N.D. A COMPANY LIMITED BY GUARANTEE STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2023

Current financial year
Unrestricted
Restricted
funds
funds
2023
2023
Notes
£
£
Income from:
Donations and legacies
3
375,864
7,716
Charitable activities
4
-
-
Investments
5
9,245
-
Other income
6
1,241,808
-
Total income
1,626,917
7,716
Expenditure on:
Raising funds
7
2,754
-
Charitable activities
8
401,959
10,000
Other
13
5,771
-
Total expenditure
410,484
10,000
Net income/(expenditure)
1,216,433
(2,284)
Transfers between funds
19
(2,284)
2,284
Net movement in funds
1,214,149
-
Fund balances at 1 January 2023
858,973
-
Fund balances at 31 December 2023
2,073,122
-		 Total
2023
£
383,580
-
9,245
1,241,808
1,634,633
2,754
411,959
5,771
420,484
1,214,149
-
1,214,149
858,973
2,073,122		 Total
2022
£
401,706
3,266
976
1,467
407,415
4,199
425,385
9,209
438,793
(31,378)
-
(31,378)
890,351
858,973

The statement of financial activities includes all gains and losses recognised in the year.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2023

Prior financial year
Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£
Income from:
Donations and legacies
3
398,676
3,030
Activities for generating funds
4
-
3,266
Investments
5
976
-
Other income
6
1,467
-
Total income
401,119
6,296
Expenditure on:
Raising funds
7
-
4,199
Charitable activities
8
425,385
-
Other
13
-
9,209
Total expenditure
425,385
13,408
Net (expenditure)/income
(24,266)
(7,112)
Transfers between funds
19
(7,112)
7,112
Net movement in funds
(31,378)
-
Fund balances at 1 January 2022
890,351
-
Fund balances at 31 December 2022
858,973
-		 Total
2022
£
401,706
3,266
976
1,467
407,415
4,199
425,385
9,209
438,793
(31,378)
-
(31,378)
890,351
858,973

The statement of financial activities includes all gains and losses recognised in the year.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE BALANCE SHEET

AS AT 31 DECEMBER 2023

Notes
Fixed assets
Intangible assets
14
Tangible assets
15
Current assets
Debtors
17
Cash at bank and in hand
Creditors: amounts falling due within
one year
18
Net current assets
Total assets less current liabilities
Funds of the charity
Restricted funds
19
Unrestricted funds
Designated funds
20
General unrestricted funds		 2023
£
£
1,490
20,493
21,983
104,206
1,955,109
2,059,315
(8,176)
2,051,139
2,073,122
-
160,000
1,913,122
2,073,122
2,073,122		 2022
£
£
4,470
184,069
188,539
31,086
647,283
678,369
(7,935)
670,434
858,973
-
100,000
758,973
858,973
858,973		 2022
£
£
4,470
184,069
188,539
31,086
647,283
678,369
(7,935)
670,434
858,973
-
100,000
758,973
858,973
858,973
188,539
670,434
858,973
-
858,973
858,973

K.I.N.D. A COMPANY LIMITED BY GUARANTEE BALANCE SHEET (CONTINUED)

AS AT 31 DECEMBER 2023

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 December 2023.

The trustees acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 20 May 2024

C C Davies P Scanlon
Trustee Trustee
Company Registration No. 02108184

K.I.N.D. A COMPANY LIMITED BY GUARANTEE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023

Notes
Cash flows from operating activities
Cash absorbed by operations
24
Investing activities
Purchase of tangible fixed assets
Proceeds on disposal of tangible fixed
assets
Interest received
Net cash generated from investing
activities
Net increase/(decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2023
£
£
(91,199)
(24,590)
1,414,372
9,243
1,399,025
1,307,826
647,283
1,955,109		 2022
£
£
(11,503)
-
-
976
976
(10,527)
657,810
647,283

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

Company information

K.I.N.D. is a UK Registered Charity and a Company Limited by Guarantee. The registered office address can be found on the Legal and Administration Information page to the accounts.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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)" (effective 1 January 2019). The charity is 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 in these financial statements are rounded to the nearest £.

The accounts have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the accounts the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the Trustees continue 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 trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.

Designated funds comprise unrestricted funds that have been set aside by trustees for a particular purpose. The aim and use of the designated funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the charity 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 charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Grants, including grants for the purchase of fixed assets, are recognised in full in the Statement of Financial Activities in the year in which they are receivable.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.5 Expenditure

Expenditure reflects all amounts paid and accrued during the year. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates. All costs are allocated between the expenditure categories of the Statement of Financial Activities (SOFA) on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, support costs are apportioned on an appropriate basis.

Raising funds include the costs associated with printing the charity's annual calendar.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs represent costs associated with meeting the constitutional and statutory requirements of the charity and include the independent examination fees and costs linked to the strategic management of the charity.

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include staff salaries, premises and other costs and governance costs which support the charity's activities. These costs have been allocated to expenditure on charitable activities.

1.6 Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business 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 costs 20% straight line

1.7 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation 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:

Freehold land Nil Health & Wellbeing Centre 2% straight line K.I.N.D. SEED Centre & Outdoor classroom 2% straight line Computers 25% straight line Fixtures, fittings & equipment 15% reducing balance Motor vehicles 25% reducing balance Sports area 10% straight line

Any gain arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income for the year.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.8 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible 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).

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.

1.10 Financial instruments

The charity 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 charity's balance sheet when the charity 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 charity’s contractual obligations expire or are discharged or cancelled.

1.11 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 charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

(Continued)

1.13 Taxation

The charity benefits from various exemptions from taxation afforded by tax legislation and is not liable to corporation tax on income or gains falling within those exemptions. The charity is not able to recover Value Added Tax. Expenditure is recorded in the accounts inclusive of VAT.

2 Critical accounting estimates and judgements

In the application of the charity’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.

There are no critical accounting estimates or judgements included within these accounts.

3 Donations and legacies

Unrestricted
Restricted
funds
funds
2023
2023
£
£
Donations and gifts
375,864
7,716
Donations and gifts
Individuals
108,350
7,716
Companies
73,435
-
Trusts
41,338
-
Schools and church
groups
20,736
-
Councils
-
-
Sponsorship of
Calendar
-
-
Investors
11,712
-
Gift aid
22,134
-
Christmas appeal
90,426
-
Easter food
programme
7,733
-
375,864
7,716		 Total
Unrestricted
Restricted
funds
funds
2023
2022
2022
£
£
£
383,580
398,676
3,030
116,066
178,160
-
73,435
16,076
-
41,338
45,009
-
20,736
7,085
-
-
3,470
-
-
-
3,030
11,712
13,899
-
22,134
27,633
-
90,426
94,158
-
7,733
13,186
-
383,580
398,676
3,030		 Total
2022
£
401,706
178,160
16,076
45,009
7,085
3,470
3,030
13,899
27,633
94,158
13,186
401,706

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

4 Activities for generating funds

Restricted Restricted
fund fund
2023 2022
£ £
Performance related grants - 3,266
Performance related grants
The Heritage Lottery - 3,266
- 3,266
Investments
Unrestricted Unrestricted
funds funds
2023 2022
£ £
Interest receivable 9,245 976

5 Investments

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

6 Other income

Unrestricted Unrestricted
funds funds
2023 2022
£ £
Net gain on disposal of tangible fixed assets 1,239,737 -
Other income 2,071 1,467
1,241,808 1,467

Other income of £2,071 (2022: £1,467) relates to a Feed-in Tariff (FIT) payment received from the charity's energy provider.

7 Raising funds

Unrestricted Restricted
funds funds
2023 2022
£ £
Fundraising
Other fundraising costs 2,754 4,199
2,754 4,199

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

8 Charitable activities

Centre
activities
Christmas
appeal
Crisis food
programme
2023
2023
2023
£
£
£
Staff costs
156,513
-
-
Depreciation and impairment
10,742
-
-
Project costs
83,060
-
-
Christmas Appeal
-
102,355
-
Easter food programme
-
-
7,733
Centre costs
35,743
-
-
286,058
102,355
7,733
Grant funding of activities (see note 9)
10,000
-
-
Share of governance costs (see note 10)
5,813
-
-
301,871
102,355
7,733
Analysis by fund
Unrestricted funds
291,871
102,355
7,733
Restricted funds
10,000
-
-
301,871
102,355
7,733
For the year ended 31 December 2022
Unrestricted funds
290,304
121,896
13,185		 Total
2023
£
156,513
10,742
83,060
102,355
7,733
35,743
396,146
10,000
5,813
411,959
401,959
10,000
411,959		 Centre
activities
Christmas
appeal
Crisis food
programme
2022
2022
2022
£
£
£
199,726
-
-
7,152
-
-
49,241
-
-
-
121,896
-
-
-
13,185
28,261
-
-
284,380
121,896
13,185
-
-
-
5,924
-
-
290,304
121,896
13,185
290,304
121,896
13,185
-
-
-
290,304
121,896
13,185		 Total
2022
£
199,726
7,152
49,241
121,896
13,185
28,261
419,461
-
5,924
425,385
425,385
-
425,385
425,385

K.I.N.D.

A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

8 Charitable activities

(Continued)

K.I.N.D. staff run the Centre activities and the Christmas Appeal.

Volunteers are an essential part of the Christmas Appeal and the work at the Centre.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

9 Grants payable

Grants to individuals
Support costs
Governance
costs
£
Independent examination fees
1,656
Accountancy
3,084
Legal and professional
570
Bank charges
503
5,813
Analysed between
Charitable activities
5,813		 2023
£
10,000
10,000
2023
Governance
costs
£
£
1,656
1,656
3,084
2,484
570
1,000
503
784
5,813
5,924
5,813
5,924		 2022
£
-
-
2022
£
1,656
2,484
1,000
784
5,924
5,924

10 Support costs

Total governance costs have been recharged to centre activities.

11 Trustees

None of the trustees (or any persons connected with them) received any remuneration or re-imbursed expenses from the charity during the year (2022: £Nil).

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

12 Employees

Number of employees

The average monthly number of persons employed by the company during the year was:

Administration
Environmental and Social Educational staff
Employment costs
Wages and salaries
Social security costs
Other pension costs		 2023
Number
1
4
5
2023
£
146,375
6,933
3,205
156,513		 2022
Number
1
6
7
2022
£
185,990
10,104
3,632
199,726

Included in wages is redundancy payments of £4,500 (2022: £6,000).

There were no employees whose annual remuneration was £60,000 or more (2022: none).

13 Other

Unrestricted Restricted
funds funds
2023 2022
Net loss on disposal of tangible fixed assets 5,771 -
Welsh Church planning costs - 9,209

Welsh Church expenditure in the prior year relates to costs incurred for the planning stage of a potential new site for the Centre and has been 80% funded by The Heritage Lottery, this project came to an end in 2022.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

14 Intangible fixed assets
Website costs
£
Cost
At 1 January 2023 and 31 December 2023 14,900
Amortisation and impairment
At 1 January 2023 10,430
Amortisation charged for the year 2,980
At 31 December 2023 13,410
Carrying amount
At 31 December 2023 1,490
At 31 December 2022 4,470

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

15
Tangible fixed assets
Freehold land
£
Cost
At 1 January 2023
593,498
Additions
-
Disposals
(593,498)
At 31 December 2023
-
Depreciation and impairment
At 1 January 2023
441,942
Depreciation charged in the year
-
Eliminated in respect of disposals
(441,942)
At 31 December 2023
-
Carrying amount
At 31 December 2023
-
At 31 December 2022
151,556		 Health &
Wellbeing
Centre
£
10,927
-
(10,927)
-
1,748
219
(1,967)
-
-
9,178		 Fixtures,
fittings &
equipment
£
28,172
-
(28,172)
-
22,884
793
(23,677)
-
-
5,288		 ComputersMotor Vehicles
£
£
24,210
13,600
-
24,590
(22,188)
(13,600)
2,022
24,590
24,210
12,238
-
4,183
(22,188)
(12,324)
2,022
4,097
-
20,493
-
1,361		 KIND SEED
Centre
£
944,761
-
(944,761)
-
944,761
-
(944,761)
-
-
-		 Sports area
Total
£
£
25,670
1,640,838
-
24,590
(25,670) (1,638,816)
-
26,612
8,984
1,456,767
2,567
7,762
(11,551) (1,458,410)
-
6,119
-
20,493
16,686
184,069

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

16
Financial instruments
Carrying amount of financial assets
Debt instruments measured at amortised cost
Carrying amount of financial liabilities
Measured at amortised cost		 2023
£
1,977,244
5,135		 2022
£
674,917
4,750

Financial assets measured at amortised cost includes other debtors, accrued income and cash balances.

Financial liabilities measured at amortised cost includes accruals and other creditors.

17
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income		 2023
£
22,135
82,071
104,206		 2022
£
27,634
3,452
31,086

18 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Other taxation and social security
Other creditors
Accruals and deferred income		 2023
£
3,041
635
4,500
8,176		 2022
£
3,185
610
4,140
7,935

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2023

19 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Sponsorship of annual calendar
Heritage Lottery
Kellys Fund		 Movement in funds
Income
Expenditure
Transfers
Balance at
1 January 2023
£
£
£
£
3,030
(4,199)
1,169
-
3,266
(9,209)
5,943
-
-
-
-
-
6,296
(13,408)
7,112
-		 Movement in funds
Income
Expenditure
Transfers
Balance at
31 December
2023
£
£
£
£
-
-
-
-
-
-
-
-
7,716
(10,000)
2,284
-
7,716
(10,000)
2,284
-		 Movement in funds
Income
Expenditure
Transfers
Balance at
31 December
2023
£
£
£
£
-
-
-
-
-
-
-
-
7,716
(10,000)
2,284
-
7,716
(10,000)
2,284
-
-

Sponsorship of annual calendar - contributions towards the calendar. Additional expenditure (2022: £1,169) for the calendar was funded out of unrestricted funds. In 2023 there were no restricted donations towards the calendar, it has been funded from unrestricted reserves.

Heritage Lottery - Grant funding towards the Welsh Church Project. This project came to an end in 2022.

Kelly's Fund - donations were collected in the year to support a former KIND employee who has been out of work due to health reasons. £2,284 has been funded from unrestricted reserves.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

20 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Balance at
1 January 2022
Transfers
Balance at
1 January 2023
£
£
£
KIND SEED Centre and Health and
Wellbeing Centre
80,000
(80,000)
-
Wages and salaries
205,000
(105,000)
100,000
Children's breaks and other projects
100,000
(100,000)
-
385,000
(285,000)
100,000		 Transfers
Balance at
31 December
2023
£
£
-
-
60,000
160,000
-
-
60,000
160,000		 Transfers
Balance at
31 December
2023
£
£
-
-
60,000
160,000
-
-
60,000
160,000
160,000

The K.I.N.D. SEED Centre and Health and Wellbeing Centre fund was set up to provide essential maintenance and refurbishment of those buildings. This fund was released back to unrestricted funds in 2022 when the decision to sell the Centre was made.

The wages and salaries fund represents monies set aside which will be used in the event of a decrease in funding. This fund represent approximately one year's worth of wages costs. The amount held in this fund has been adjusted to reflect the total wages costs in 2023.

Children's breaks and other project fund previously included funds set aside to fund an 11 week out of school programme in the event of a decrease in funding, This fund was released back to unrestricted funds in the previous year as going forward K.I.N.D. will be 100% projects based and therefore the funds previously designated are no longer required.

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

21 Analysis of net assets between funds

Analysis of net assets between funds
Unrestricted funds
Unrestricted
designated
funds
Restricted funds
2023
2023
2023
£
£
£
Fund balances at 31
December 2023 are
represented by:
Intangible fixed assets
1,490
-
-
Tangible assets
20,493
-
-
Current
assets/(liabilities)
1,891,139
160,000
-
1,913,122
160,000
-		 Total
Unrestricted
funds
Unrestricted
designated
funds
Restricted funds
2023
2022
2022
2022
£
£
£
£
1,490
4,470
-
-
20,493
184,069
-
-
2,051,139
570,434
100,000
-
2,073,122
758,973
100,000
-		 Total
2022
£
4,470
184,069
670,434
858,973

K.I.N.D. A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023

22 Company limited by guarantee

K.I.N.D. is incorporated under the Companies Act as a company limited by guarantee. The liability of the members is limited to £1.

23 Related party transactions

Remuneration of key management personnel

2023
£
Aggregate remuneration
34,157
Trustees donated £2,170 during the year (2022: £1,820)
There were no other related party transactions (2022: none).
24
Cash generated from operations
2023
£
Surplus/(deficit) for the year
1,214,149
Adjustments for:
Investment income recognised in statement of financial activities
(9,245)
Gain on disposal of tangible fixed assets
(1,233,966)
Depreciation, impairment of tangible fixed assets and amortisation of
intangible fixed assets
10,742
Movements in working capital:
(Increase)/decrease in debtors
(73,120)
Increase/(decrease) in creditors
241
Cash absorbed by operations
(91,199)		 2022
£
32,436
2022
£
(31,378)
(976)
-
7,152
13,902
(203)
(11,503)