## **AIGBURTH OPPORTUNITIES**
**also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
**ANNUAL REPORT AND ACCOUNTS**
**for the year ended**
**31st March 2022**
**REGISTERED NUMBER: 2025421 CHARITY NUMBER: 700705**
**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Accounts**
## **for the year ended 31st March 2022**
|**Contents**|**Page**|
|---|---|
|Company Information|1|
|Report of the Trustees|2|
|Independent Examiner’s Report|9|
|Statement of Financial Activities (including Income and Expenditure Account)|10|
|Balance Sheet|12|
|Statement of Cash Flows|13|
|Notes to the Accounts|14|
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Company Information for the year ended 31st March 2022**
|**Company number:**|2025421|
|---|---|
|**Charity number:**|700705|
|**Patrons:**|Dame Lorna E Muirhead DCVO DBE CStJ DL FRCOG|
||Colonel (Ret) J.A.Harkon MBE TD DL|
||Major (Ret) R.W. Bevan MBE|
|**Trustees:**|Mr Ronald Basnett|
||Father David Gamble|
||Mrs Patricia Fearn|
||Ms Belinda Perez|
|**Nursery Manager:**|Danielle Clarke-Walsh (to September 2022)|
||Nicola Holding (from September 2022)|
|**Registered office:**|Future House|
||25 Pomona Street|
||Liverpool|
||L3 5TL|
|**Bankers:**|Lloyds Bank plc|
||Liverpool Law Courts|
||Merchants Court|
||2 - 12 Lord Street|
||Liverpool|
||L2 1TS|
|**Independent Examiner:**|Mr P L Griffiths FCA DchA|
||Mitchell Charlesworth|
||Accountants|
||3rd Floor|
||5 Temple Square|
||Temple Street|
||Liverpool|
||L2 5RH|
|**Solicitors:**|Brabners LLP|
||Horton House|
||Exchange Flags|
||Liverpool|
||L2 3YL|
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
The trustees (who are also the directors of the company for the purposes of company law) present their report together with the accounts of the charity for the year ended 31st March 2022. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s governing document, applicable law 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 published on 16th July 2014.
## **Trustees**
The trustees who served during the year are detailed on page 1.
## **Objectives and activities**
The overall objectives of the charity are set out in its mission statement:
_To promote the value of learning by creating a purposeful learning environment that enables learners to meet and to exceed their aspirations._
_To provide opportunities which enhance and develop the social and economic structure of the local communities that Aigburth Training Opportunities serves._
_To support and develop staff, thereby ensuring that the learning environment we aim to create is conducive to the occupational area we offer._
The aim of the charity is to provide quality training and childcare facilities that enables people to realise their aspirations in being able to access employment and or further/higher education.
In 2021/22 the main objectives of the charity were:
- To continue in our aim of providing education for learners, staff and carers.
- To provide opportunities to those who have difficulty in accessing training and employment.
- To provide affordable and culturally diverse childcare facilities for the community
- To develop staff, in relation to higher qualifications and information, advice and guidance, so the company can aid and contribute to the wider community.
The year from April 2021 to March 2022 could best be described as a tug-of-war between the disruptions of Covid 19 and an attempt at normality.
Efforts were made to proceed with business-as-usual, providing a safe environment for the children to flourish in, whilst engendering confidence in the parents that their wards were back in an educational and social routine.
The numbers of children attending had been increasing throughout the previous year, and April 21 saw us near capacity in terms of staff to child ratios.
Plans were made to take on more staff and start the expansion by opening up another room. Unfortunately, the nationwide shortage of trained nursery staff made this an uphill struggle. Two new apprentices were taken on.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
## **Objectives and activities (continued)**
Modernisation of the way the children’s learning journey was recorded was undertaken, and a “lending library” was initiated. This is a very small shed, kept outside, and packed not only with books but hygiene products such as soap and toothpaste. The motive was to integrate the nursery with the community by providing educational and useful products for the families.
However, despite the best efforts by all at Little Explorers, the pandemic continued to leave its mark. As lockdown restrictions were eased, so outbreaks of Covid became more frequent. The nursery had to shut five times during the year due to outbreaks. The continuation of the Furlough Scheme did slightly mitigate the effects financially, but its effect on income was notable, and the disruption to the parents resulted in the loss of some families.
Yet Little Explorers made it through the year, more determined than ever to keep providing high quality childcare and support for all the families whose children attend this setting.
## **Public benefit statement**
The trustees have had due regard to the guidance published by the Charity Commission on public benefit.
## **Strategic Report**
## **Achievements and performance**
The new financial year saw the numbers of children rising and a growing waiting list. As travel restrictions were eased and the universities welcomed back many foreign students, so a semblance of normality returned.
Parents were allowed back in the building, having previously been asked to hand their children over at the door.
Hygiene was still a priority, with hand sanitisers available throughout the setting, good ventilation maintained at all times and the acquisition of an air purifier from the local authorities. Mask wearing was encouraged. The main office was relocated to a downstairs room to minimise the distance parents and visitors needed to travel within the nursery.
The staffing situation continued to be a problem. A Level 3 qualified staff member hired in February 2021 handed in her notice after four months. This put great pressure on the remaining staff. A replacement was found who had previously trained at Little Explorers but attempts to find further Level 3 staff proved fruitless. Existing Level 2 staff continued with their training and two new apprentices were taken on. The cook’s position remained unfilled.
All staff were encouraged to get vaccinated, but a small number did not for reasons of their own.
The fire alarm system needed an update. New sensors and alarms were fitted as well as a new control panel. This allowed it to function independently as it had previously been a shared system with the adjacent school.
A new computerised system was introduced so the children’s learning journey could be captured electronically and accessed directly by the parents via the internet. This was achieved at very little cost. Four tablets were purchased and with these, information could be captured or noted. A subscription to a service completed the package.
This freed up a lot of time, contributed to sustainability by cutting the amount of printed material and proved very popular with the parents who could now access their children’s data via their mobile phones. It also enhanced the communication between staff and parents.
A small shed was purchased and set up in the car park as a “Lending Library”. This was filled with books, toys and useful products such as toothpaste, toothbrushes and soap. These were freely available to the families and proved to be a great success.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
## **Strategic Report (continued)**
## **Achievements and performance**
As an adjunct to this, food donated by local supermarkets was available in the entrance hall for families and staff to avail themselves of.
In July it was decided that the fees needed to be raised. The Board of Directors and the manager were very mindful of the remit to keep fees affordable to the community but were also aware of the staffing situation. The need was felt to remunerate our existing staff so that they would not feel under-valued. A very modest fee increase was implemented which allowed us to review and standardise our wage structure.
Throughout the year there were five periods where Little Explorers had to close its doors due to Covid.
Regular testing had continued, and various staff members unfortunately did contract the virus. At the beginning of the year this resulted in full closure for the ten days, but as vaccinations progressed this was eased, and only unvaccinated personnel were required to self-isolate if in contact with an affected person. The period of closure was eventually reduced to five days and in some cases just affected one room.
However, the disruption this caused was immense, not only in terms of the strain on the staff, but also for the children and parents. Some families decided to find another setting, but the majority understood and bore it.
By March 2022, Little Explorers had endured the roller-coaster year. The staff were settled, and child numbers were healthy. In-house training continued and support and help for the families was always on hand.
## **Financial review**
This year saw a marked improvement in the financial position, which was to be expected after the enforced closure in the 2020/21 year.
Income from charitable activities increased from £164,131 to £ £237,710.
The majority of this was comprised of nursery fees and monies received via Liverpool City Council for Government funded free hours. The latter was much reduced from last year as it reflected the lower numbers attending in comparison with the pre-Covid years.
Additional funding from renting of parking space to local businesses and parents/carers was substantially down on last year. There were no employer incentives
The only restricted income was £489 for EAL (English as an Additional Language) provided by the local authority.
Local Government grants and National help from the Job Retention Scheme continued to contribute to the ongoing services provided by this establishment. In total we received a further £15,806 from these sources.
Expenses continued to be kept to a minimum throughout the year. Comparisons with the previous year are difficult. Wages in 2020/21 included six months with more than twice the current staff numbers, as well as redundancy payments. There were no rent reductions in this financial year. The nursery was not closed for three months as in 2020/21 and child numbers had been consistently higher all year, meaning more expenditure on consumables.
With the aid of the Local Authority grants Little Explorers made a small surplus this year.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
## **Financial review (continued)**
The trustees aim to keep a reserve of unrestricted funds sufficient to ensure the smooth running of the charity for approximately three months. The unrestricted funds remained stable, rising by 2%.
The Statement of Financial Activities shows an increase in funds for the year of £2,857.
The Balance Sheet position indicates reserves, unrestricted as to purpose, amounting to £139,254.
## **Policy on remuneration of key management personnel**
The charity is committed to ensuring that we pay our staff fairly and in a way which ensures we attract and retain the right skills to have the greatest impact in delivering our charitable objectives.
The Board undertakes an annual review of salaries with the support of the nursery manager, although the nursery manager does not participate in the discussions around their own salary. All salary reviews take account of the financial position of the organisation.
When carrying out its reviews, the Board has regard to:
- salary levels in the sector generally;
- making sure that pay rates are competitive;
- the remuneration package as a whole including pension contributions; and
- rewarding good performance **.**
It is the aim of this charity to work towards paying a “living wage” and the financial position is reviewed regularly with this aim in mind. A salary scale for all staff has been implemented depending on age, qualifications and experience.
## **Risk management**
The trustees confirm that the major foreseeable risks to the charity are those of:
- the quality and availability of potential new staff members as many people have left the sector
- the cost of living increases affecting families such that they cease to use childcare facilities
- a renewal of lockdown conditions due to a resurgence of a new Covid variant
These are reviewed at each Board meeting and the nursery manager is responsible for ensuring that strategies are in place to counteract the effects of any changes.
## **Plans for future periods**
The hope for the next year is that the situation remains stable enough to proceed with the planned expansion.
The unavailability of qualified staff is a challenge being faced by all Early Years Providers, as many have left the sector.
Two of our existing staff are due to qualify as Level 3s next year and this should allow the opening of at least one other room which will bring in a fresh tranche of income, as well as relief to many parents currently on the waiting list.
As in previous years, and despite Covid, the reputation of Little Explorers continues to grow, mainly by word of mouth.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY” Report of the Trustees for the year ended 31st March 2022**
## **Plans for future periods (continued)**
Our commitment to promote multi-ethnic harmony and continued personal development is at the core of our existence.
Other plans:
- explore new initiatives to support the families of the children in our care as well as the local community
- reach out to Local Authority Services to reinforce our commitment to help if emergency childcare is needed
- continue to seek out new apprentices to offer more learning opportunities to young people
- maintain a wage system that remunerates the staff as well as the finances allow
- a review of fees charged in line with current inflation
## **Structure, governance and management**
The charity is constituted as a company limited by guarantee, and is therefore governed by its Memorandum and Articles of Association, which was amended in January 2007 to allow for current governance arrangements. It is also known by the names of "Aigburth Training Opportunities" and "ATO". The nursery is known as Little Explorers Day Nursery
There were four trustees during the period from 1 April 2021 to the date of signing this report as shown on page 1. New trustees are recruited and appointed by arrangement with the existing trustees. Each trustee's individual liability in the event of winding-up is limited to £1.
## **Organisation**
The Board meets every twelve weeks, and an Annual General Meeting (AGM) is held prior to the Reports and Financial Statements being submitted to Companies House and to the Charity Commission.
The CEO was appointed by the trustees to manage and oversee the day-to-day operations of the charity.
To ensure effective working practice the CEO has full delegated authority approved by the trustees. This includes both strategic and operational concerns, including; finance, employment, management of training contracts, staff and business development.
## **Recruitment, appointment, induction and training of trustees**
Both the trustees and the CEO have a responsibility to recruit suitable trustees to the Board. From time-to-time approaches are made to the charity by individuals and organisations who wish to support the charity in continuing or developing the support they afford their beneficiaries.
Potential trustees are then nominated by either current trustees or by the Chief Executive Officer ("CEO").
A discussion is held at either the quarterly planned Board meetings or at additional meetings held to nominate prospective members.
Once the nomination has been agreed by the trustees, an informal interview is undertaken by the Chair with the nominee.
During this interview the Chair will discuss the company history and working ethos, and explain what qualities are required of potential trustees.
When the Chair has satisfied him/herself that the nominee would be a suitable and supportive trustee, a Board meeting is called to officially appoint the new trustee.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
## **Recruitment, appointment, induction and training of trustees (continued)**
New trustees undergo an induction day with the Chair and CEO at the company’s registered office. This is usually done within the first month of appointment at a time that is conducive to all parties, and consists of:
-
- Briefing the new trustee as regards their legal obligation under company and charity law;
- The content of the Memorandum and Articles of Association;
- The decision-making process;
- The current business plan;
- Financial performance;
- The company structure;
- Meeting with employees;
- The new trustee's role in the overall scheme.
The new trustee also completes any paperwork required for registering as a director with Companies House and receives a copy of "The Burden of Responsibility" by Stephan Drew together with Charity Commission publications booklet CC3,"The essential trustee".
As part of the company’s Safeguarding policy, all new and recently appointed trustees are subject to an enhanced DBS check prior to taking up their position.
Trustees are encouraged to attend meetings, as and when required, training events and information days that are pertinent to the company’s running and objectives.
## **Related parties**
Other parties which the charity associates with are
Social Services NWTS (North West Training Services) Liverpool Community College Blackburne House Job Centres
All the above use the nursery’s resources and so contribute to our income.
## **Statement of trustees’ responsibilities**
Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the charity’s financial activities during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, the trustees are required to:
- select suitable accounting policies and apply them consistently;
-
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any departures disclosed and explained in the financial statements; and
- prepare the financial statements on an ongoing concern basis unless it is inappropriate to presume that the charity will continue in operation.
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## **AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Report of the Trustees for the year ended 31st March 2022**
## **Statement of trustees’ responsibilities (continued)**
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity and which enable them to ascertain the financial position of the charity and which enable them to ensure that the financial statements 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.
## **By Order of the Trustees**
## **R Basnett Trustee**
15 December 2022
**8 | P a g e**
## **Mitchell Charlesworth**
## Accountants
5 Temple Square Temple Street Liverpool L2 5RH
**INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF**
## **AIGBURTH OPPORTUNITIES**
**also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
I report to the charity trustees on my examination of the accounts of the company for the year ended 31 March 2022 which are set out on pages 10 to 22.
## **Responsibilities and basis of report**
As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
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:
1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or
4. 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 accounts to be reached.
P L Griffiths FCA DChA MITCHELL CHARLESWORTH Liverpool
15 December 2022
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## **AIGBURTH OPPORTUNITIES**
## **also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Statement of Financial Activities (including Income and Expenditure Account) for the year ended 31st March 2022**
|**Notes**
**Unrestricted**
**Restricted**
**£**
**£**
**Income from:**
Donations and legacies
2
15,955
-
Charitable activities
3
237,221
489
**Total income**
253,176
489
**Expenditure on:**
Charitable activities
4
250,319
489
**Total expenditure**
250,319
489
**Net income/(expenditure)for the year**
9
2,857
-
Total funds brought forward
136,397
-
**Total funds carried forward**
139,254
-|**Total**
**2022**
**£**
15,955
237,710
253,665
250,808
250,808
2,857
136,397
139,254|**Total**
**2021**
**£**
63,955
164,131
228,086
255,424
255,424
(27,338)
163,735
136,397|
|---|---|---|
The charity has no recognised gains or losses other than the results for the year as set out above.
The notes on pages 14 to 22 form part of these accounts.
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## **AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Statement of Financial Activities (including Income and Expenditure Account) for the year ended 31st March 2022**
## **Comparative information for the year ended 31st March 2021**
|**Notes**
**Unrestricted**
**Restricted**
**£**
**£**
**Income from:**
Donations and legacies
2
63,955
-
Charitable activities
3
162,931
1,200
**Total income**
226,886
1,200
**Expenditure on:**
Charitable activities
4
254,224
1,200
**Total expenditure**
254,224
1,200
**Net income/(expenditure) for the year**
9
(27,338)
-
Total funds brought forward
163,735
-
**Total funds carried forward**
136,397
-|**Total**
**2021**
**£**
63,955
164,131
228,086
255,424
255,424
(27,338)
163,735
136,397|**Total**
**2020**
**£**
4,899
404,212|
|---|---|---|
|||409,110|
|||381,933|
|||381,933|
|||27,177
136,558|
|||163,735|
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## **AIGBURTH OPPORTUNITIES**
## **also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Balance Sheet 31st March 2022**
|**Notes**
**Fixed assets**
Tangible assets
11
**Current assets**
Debtors
12
Cash at bank and in hand
**Creditors**
Amounts falling due within one year
13
**Net current assets**
**Net assets**
**Unrestricted funds**
General funds
15
**Restricted funds**
Restricted income funds
16
**Total funds**
17|**2022**
**£**
**£**
34,214
12,107
134,077
146,184
41,144
105,040
139,254
139,254
-
139,254|**2021**
**£**
**£**
41,081
6,538
130,134
136,672
41,356
95,316
136,397
136,397
-
136,397|
|---|---|---|
For the year ended 31st March 2022 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
The directors acknowledge their responsibilities for:
- a) the members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;
- b) the directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.
The accounts on pages 9 to 21 were approved by the Trustees and authorised for issue on 15 December 2022 and signed on their behalf by:-
R Basnett Trustee
Company Registration Number: 4174619
The notes on pages 14 to 22 form part of these accounts.
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## **AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Statement of Cash Flows for the year ended 31st March 2022**
|**Notes**
**Cash flow from operating activities**
21
**Cash flow from investing activities**
Payments to acquire tangible fixed assets
**Net cash flow from investing activities**
**Change in cash and cash equivalents in the**
**year ending 31st March 2022**
**Cash and cash equivalents as at**
**1st April 2021**
**Cash and cash equivalents as at**
**31st March 2022**
22|**2022**
**£**
**£**
6,426
(2,483)
(2,483)
3,943
130,134
134,077|**2021**
**£**
**£**
(3,802)
-
-
(3,802)
133,936
130,134|
|---|---|---|
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
## **1. Summary of significant accounting policies**
## **(a) General information and basis of preparation**
Aigburth Opportunities is a company limited by guarantee and a registered charity in the United Kingdom. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities are set out in the Trustees’ Report on page 2.
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with 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 issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Companies Act 2006 and UK Generally Accepted Accounting Practice.
The financial statements are prepared on a going concern basis under the historical cost convention. The financial statements are prepared in sterling which is the functional currency of the charity and rounded to the nearest £1.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
## **(b) Funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
## **(c) Income recognition**
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.
For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.
No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102). Further detail is given in the Trustees’ Annual Report.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
## **1. Summary of significant accounting policies (continued)**
## **(c) Income recognition (continued)**
Income from charitable activities includes income received under contract or where entitlement to grant funding is subject to special performance conditions and is recognised as earned as the related services are provided. Grant income included in this category provides funding to support performance activities and is recognised when there is entitlement, certainty of receipt and the amounts can be measured with sufficient reliability.
Investment income is earned through holding assets for investment purposes such as bank deposits. It essentially includes interest which is recognised using the effective interest method.
## **(d) Expenditure recognition**
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:
- Expenditure on charitable activities includes expenditure on the operation of an on-site nursery.
Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.
## **(e) Support costs allocation**
Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity and include project management carried out at the registered office. Where support costs cannot be directly attributed to particular headings they have been allocated to expenditure on charitable activities on a basis consistent with use of the resources.
The analysis of these costs is included in note 5.
## **(f) Tangible fixed assets**
Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.
Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:
Building improvements - 10% per annum Fixtures and fittings - 25% per annum
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
## **1. Summary of significant accounting policies (continued)**
## **(g) Debtors and creditors receivable / payable within one year**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
## **(h) Loans and borrowings**
Loans and borrowings are initially recognised at the transaction price including transaction costs. Subsequently, they are measured at amortised cost using the effective interest rate method, less impairment. If an arrangement constitutes a finance transaction it is measured at present value.
## **(i) Impairment**
Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.
## **(j) Leases**
Rentals payable and receivable under operating leases are charged to the SoFA on a straight line basis over the period of the lease.
## **(k) Employee benefits**
When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.
## **(l) Tax**
The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.
## **(m) Going concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties including the arising from Covid-19, exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
|**2.**|**Income from donations and legacies**||||**Unrestricted funds**|**Unrestricted funds**|
|---|---|---|---|---|---|---|
||||||**Total**|**Total**|
||||||**2022**|**2021**|
||||||**£**|**£**|
||Donations||||148|260|
||Coronavirus Job Retention Scheme Grants||||4,734|53,695|
||Other Covid support grants||||11,073|10,000|
||||||15,955|63,955|
|**3.**|**Income from charitable activities**|**Unrestricted**||**Restricted**|**Total**|**Total**|
||||**funds**|**funds**|**2022**|**2021**|
||||**£**|**£**|**£**|**£**|
||Nursery income|237,158||-|237,158|163,208|
||Rents and other income||63|489|552|923|
|||237,221||489|237,710|164,131|
||£1,200 of the above income for 2021 was|attributable to||restricted funds and £162,931 was attributable to|||
||unrestricted funds.||||||
|**4.**|**Analysis of expenditure on charitable**||**Direct**|**Support**|**Total**|**Total**|
||**activities**||**costs**|**costs**|**2022**|**2021**|
||||**£**|**£**|**£**|**£**|
||**Direct charitable expenditure**||||||
||Nursery|184,637||66,171|250,808|255,424|
||£489 (2021 £1,200) of the above costs were|attributed to restricted funds and £250,319 (2021 £254,224) of the|||||
||above costs were attributed to unrestricted|funds.|||||
|**5.**|**Support costs**||||**Total**|**Total**|
||||||**2022**|**2021**|
||||||**£**|**£**|
||Salaries||||21,827|20,224|
||Establishment expenses||||26,539|28,169|
||Communications||||3,725|3,008|
||Office costs||||4,645|4,449|
||Other||||7,623|6,743|
||Governance costs (see note 6)||||1,812|1,890|
||**Total support costs**||||66,171|64,483|
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**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
|**6.**
**Governance costs**
Independent examination
Legal and professional
**7.**
**Staff costs and numbers**
Salaries and wages
Social security costs
Other pension costs|**Total**
**2022**
**£**
1,500
312
1,812
**Total**
**2022**
**£**
177,934
5,866
2,396
186,196
|**Total**
**2021**
**£**
1,620
270|
|---|---|---|
|||1,890|
|||**Total**
**2021**
**£**
180,771
5,663
2,385|
|||188,819|
No employee received benefits (excluding employer pension costs) of more than £60,000 during the year.
|The average weekly number of employees during the year, calculated on|**Number**|**Number**|
|---|---|---|
|the basis of full time equivalents, was as follows:-|**2022**|**2021**|
|Total|11
|13|
## **8. Trustees’ and key management remuneration**
One of the trustees, Ms Belinda Perez provides bookkeeping services to the charity. Fees for her services from this date amounted to £4,027 (2021 £4,697).
The total amount of employee benefits received by key management personnel is £54,872 (2021 £48,683).
The charity considers its key management personnel to comprise the Nursery Manager and Assistant Manager.
|**9.**|**Net income/(expenditure) for the year**|**Total**|**Total**|
|---|---|---|---|
|||**2022**|**2021**|
||This is stated after charging/(crediting):|**£**|**£**|
||Depreciation|9,350|11,897|
||External examiner’s fees:|||
||Independent examination|1,500|1,620|
||Operating lease payments:|||
||Equipment|4,361|4,361|
**18 | P a g e**
**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
## **10. Taxation**
The company is exempt from corporation tax on its charitable activities.
|**11. Tangible fixed assets**
**Plant,**
**Fixtures,**
**Nursery**
**machinery and**
**fittings and**
**improvements**
**motor vehicles**
**equipment**
**£**
**£**
**£**
**Cost**
At 1st April 2021
202,908
64,616
93,837
Additions
1,770
-
713
At 31st March 2022
204,678
64,616
94,550
**Depreciation**
At 1st April 2021
189,082
42,758
88,440
Charge for the year
5,147
2,186
2,017
At 31st March 2022
194,229
44,944
90,457
**Net book value**
At 31st March 2022
10,449
19,672
4,093
At 31st March 2021
13,826
21,858
5,397
**12.**
**Debtors**
**2022**
**£**
Trade debtors
6,078
Prepayments and accrued income
6,029
12,107
**13.**
**Creditors: Amounts falling due within one year**
**2022**
**£**
Trade creditors
3,561
Taxation and social security
2,682
Accruals and deferred income
25,500
Other creditors
9,401
41,144|**Total**
**£**
361,361
2,483
363,844
320,280
9,350
329,630
34,214|
|---|---|
||41,081|
||**2021**
**£**
1,999
4,539
6,538|
||**2021**
**£**
5,974
2,416
32,457
509
41,356|
**19 | P a g e**
## **AIGBURTH OPPORTUNITIES**
## **also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
|**14.**
**Unrestricted funds**
**At**
**Incoming**
**Resources**
**01.04.21**
**Resources**
**Expended**
**£**
**£**
**£**
General funds
136,397
253,176
(250,319)
Comparative information in respect of the preceding period is as follows:
**At**
**Incoming**
**Resources**
**01.04.20**
**Resources**
**Expended**
**£**
**£**
**£**
General funds
163,735
226,886
(254,224)
**15.**
**Restricted funds**
**At**
**Incoming**
**Resources**
**01.04.21**
**Resources**
**Expended**
**£**
**£**
**£**
Liverpool EAL funding
-
489
(489)|**At**
**31.03.22**
**£**
139,254|
|---|---|
||**At**
**31.03.21**
**£**
136,397|
||**At**
**31.03.22**
**£**
-|
Liverpool EAL funding - this was provided towards supporting English as a second language.
Comparative information in respect of the preceding period is as follows:
||**At**|**Incoming**|**Resources**|**At**|
|---|---|---|---|---|
||**01.04.20**|**Resources**|**Expended**|**31.03.21**|
||**£**|**£**|**£**|**£**|
|School Improvement Liverpool|-|1,200|(1,200)|-|
School Improvement Liverpool - this was a grant towards Special Educational Needs Co-ordinator training for a member of staff.
**20 | P a g e**
**AIGBURTH OPPORTUNITIES also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts**
## **Year ended 31st March 2022**
|**16.**
**Analysis of net assets between funds**
**Unrestricted**
**funds**
**£**
Tangible fixed assets
34,214
Net current assets
105,040
139,254
Comparative information in respect of the preceding period is as follows:
**Unrestricted**
**funds**
**£**
Tangible fixed assets
41,081
Net current assets
95,316
136,397|**Restricted**
**Funds**
**£**
-
-
-
**Restricted**
**Funds**
**£**
-
-
-|**Total**
**£**
34,214
105,040
139,254
**Total**
**£**
41,081
95,316
136,397|
|---|---|---|
## **17. Members’ liability**
The company is limited by guarantee and has no share capital. Every member of the charity undertakes to contribute to the assets of the charity, in the event of being wound up while he or she is a member or within one year of ceasing to be a member for debts and liabilities of the charity contracted before he or she ceases to be a member, such amount as may be required not exceeding £1.
## **18. Ultimate controlling party**
In the opinion of the trustees, there is no ultimate controlling party.
## **19. Capital commitments**
The charity had no capital commitments at 31st March 2022 (2021 £Nil).
|**20.**
**Reconciliation of net income/(expenditure) to net cash flow from**
**operating activities**
**Net income/(expenditure) for the year**
Depreciation charges
(Increase)/decrease in debtors
(Decrease) in creditors
**Net cash flow from operating activities**|**Total**
**2022**
**£**
2,857
9,350
(5,569)
(212)
6,426|**Total**
**2021**
**£**
(27,338)
11,897
13,482
(1,843)
(3,802)|
|---|---|---|
**21 | P a g e**
## **AIGBURTH OPPORTUNITIES**
## **also known as “ATO AND LITTLE EXPLORERS DAY NURSERY”**
## **Notes to the Accounts Year ended 31st March 2022**
|**21.**|**Analysis of cash and cash equivalents**||**Total**|**Total**|
|---|---|---|---|---|
||||**2022**|**2021**|
||||**£**|**£**|
||Cash in hand||384|938|
||Cash at bank||133,693|129,196|
||**Total of cash and cash equivalents**||134,077|130,134|
|**22.**|**Analysis of net debt**||||
|||||**At 31 March**|
|||**At 1 April 2021**|**Cash flows**|**2022**|
|||**£**|**£**|**£**|
||Cash in hand|938|(554)|384|
||Cash at bank|129,196|4,497|133,693|
|||130,134|3,943|134,077|
**22 | P a g e**