Charity Reglstratlon No. XT66681N1102340 Company Reglstratlon No. N1068112 (Northern Ireland) SMALL WONDERS CHILDCARE ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
SMALL WONDERS CHILDCARE LEGAL AND ADMINISTRATIVE INFORMATION Trustees Ms N McCulSough Ms J Mercer Ms M Smith M5 L Kinnon Ms Cora Harrison Charity number 66681N1102340 Company numb•r N1068112 Reglstered offKe c/0 Shankill Womens Centre 151-157 Shankill Road Belfast Co. Antrim Northern Ireland BT13 1FD Auditor FPM Accountsnts Limited 1 3 Arthur Street Belfast Co. Antrim Northern Ireland BT14GA
SMALL WONDERS CHILDCARE CONTENTS Tnjstees report Statement of Trustees responsibilities Independent auditorfs report 7- 12 Statement of financial activities 13 Balance sheet 14- 15 Statement of cash flows 16 Notes to the financial statements 17-26
SMALL WONDERS CHILDCARE TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) R>R THE YEAR ENDED 37 MARCH 2023 The Trustees present their report and financial statements for the year ended 31 March 2023. The financial statements have been pPared in accordance with the accounting pollcies set out in note 1 to the financial statements and comply with the Chatitys governing document, 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 aTr Republic of Ireland (FRS 102)" (as amerKled for accounting period5 commencing from 1 January 2019}. Goveming l)ocument The organisation was registered as a charity and the company was established under a Memorandum ol Association and is govemed under its Articles of Association in 2008. Objectlves and Kllvftles Mlsslon Stst•m•nt Small Wonders childcare supports the rights of the child and are committed to practice, vthich protsrts children from harm as outlined in articles 19 and 34 of the United Nations Convention on the Rights of the child 1989 and in compliance with the Chlldren (Nl) Order 1995. Small Wonders accept that the welfare of the child must be the paramount consideration before all else. It is our intention to create a child safe environment where children are valued in every respecL Alms {1) To provide quality care and comfort in a safe friendly environment {2) To offer an early learning programme through the intervention of planned play activities that allow children to grow and enable them to reach their full potential. {3) To protert and encourage children and focus on positive behaviour. (4) To help develop children's confidence and a programme where children can value themselves and others through play. (51 To provide opportunities for creative and imaginative play where children explore their own identity and help build their self-esteem. Objectives {11 To ensure all persons providing direct care for children are Vetted by a Police Check through Access NI. (21 To ensure staff caring for children are experienced. qualified, caring and professional. (3) To provide effective management for staff. trainees and volunteers through supervisiory support and training. (41 To promote equal opportunities through our policies and to reflect this philosophy through ptice and delivery of care in our early years setting. (5) To develop a Partnership with Parents by involving parents in children's care and sharing infomiation and concerns. 16) To develop children's awareness of respect for diversity through play and books. 17) To develop a healthy eating programme and support children's health and well being. 18) To promote a strict NO SMOKING (including Vaping) POLICY and endeavour to create a healthy smi*e free environment for children.
SMALL WONDERS CHILDCARE TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 The Trustees have paid due regard to guidance issued by the Charity Commisslon in deciding what activities the Charity should undertake. Achievements and perfornmnce Achievements To Date 1. All Staff now minimum NVQ Level 3 qualified 2. 3 Staff now qualified to Level 5 3. Our Cook is NQ Level 2 quallfied 4. 2 relief Staff within our Bank of Stsff 5. Small Wonders celebrated its 12 year annivetsary in Sept 2020 6. All stsff have achieved NVQ Level 2 Award in Food safety & Catering 7. Our 5* Status from Environmental Health has been maintained 8. A wrap~around service has been established to provide seNices for chIldn aged 0-11 years 9. All Small Wonders SeNices/Facilities are running to full capacity with waÉting lists. 10. We continue to provide a welcoming environment for all with a Cross-Community/Multi cultural ethos running throughout all of our Servi and facilities 11. Minimum Childcare Standards (2013) are implemented and adhered to on a daily basis. 12. Works towards self-sustainability 13. Set a bench mark for other Soaal Economy Projerts and act as a Model of Good Prartice Flnanclal rnvlow The income for the year was £597,13712022', £525,612) and expenditure was £644,975 (2022.. £601,035). The deficit for the year was £47,838 (2022 deficit.. £75.423). Reserves Poll¢y It is the policy of the Cliaiity that unrestricted fijnds which have not been designated for a Specific use should be maintained at a level equivalent to befyveen three and six rnonth's expenditure. The Trustees considers that resee5 at this level will ensure thac in the event of a significant drop in fundin9, they will be able to continue tlie Charity'5 current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintsined throughout the year. Risk Management The Management Committee has conducted a review of the major risks to which the charity is exposed. A risk register has been established and is updated at least annually. Where appropriate, systems or procedures have been established to mitigate the risks the charity faces. These procedures are periodically reviewed to ensure that they continue to meet the needs of the business. The policies in place are - Admissions Policy, Child Management Behaviour Policy, Designated Child Protection Officer, Equal Opportunities Policy, Health & Safety Policy, Medicine Policy, No Smnking Policy. Settling In Policy, Policy for Outings, Sick Child Policy, Whistle Blowing Policy, Toileting and Personal Care Policy, Child Protection Policy, Comments and Complaints Policy, Good Practice Policy. Policy for a Missing Child. Partnership with Parents/ Carers Policy, Observation and Record Keeping and Assessment Policy, Healthy Eating Policy, Risk Assessment Policy, Emergency Policy, Maintenance of Play Equipment Policy, Policy on Medicines, Food and Drink Policy, Transport Policy. Security Policy, Uniform Policy, Supporting Children with Special Needs Policy, Social Networking Policy, Mobile Phone Policy, Absence of Manager Policy, First Aid Policy, Pet Policy, Photography & Videography Policy. Play Policy.
SMALL WONDERS CHILDCARE TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Plans for Future P•rbods Small Wonders will continue to grow as a social economy business with a strong stsff tearn and Management committee. The business has two buildings.. one solely dedicated to childcare and the other currently housing Afterschools. Thi5 first floor space will continue to be shared with SWC classes and activitie5 in order to utilise maximum capacity of space. We will continue to promote and athertise our services in order to meet the needs of both the busuiess and the parents who use this facility for the quality care of their thildren. We will promote the uniqtp cross- community aspect of our facility as a shared space and welcoming space for all. The childcare provided and facilities are set at a very high standard and are regularly inspected and regulated by Social Seprfices and by Environmental Health. All policies and procedures are reviewed annually and all new policies are approved by the Management Committee and implemented by Small Wonders Manager. Structure• govern•nce and management The Charity is a company limited by guarantee. 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. Ms N Mccullough Ms J Mercer Ms M Smith Ms L Kinnon Ms Cora Harrison The directors of the company are also charity trustees for the purposes of charty law and under the company's Articles are known as members of the Management Coinmittee. Under the requirements of the Memorandurn and Articles of Association the members of the Management Committee are elected to serve for a period of three years after which they must be re-eletted at the next Annual General Meeting. None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up. Recruitment and Appointment of Management Committ•• The d1ctOrS of the company are also charity twstees for the purposes of charty law and under the company's Article5 are known as members of the Management Committee. Under the requirements of the Memorandum and Articles of AsSOClation the members of the Management Committee are elected to seNe for a period of three years after which they must be re-elerted at the next Annual General Meeting.
SMALL WONDERS CHILDCARE TRUSTEES REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Trn$ Inductlon and Trainin9 New trustees will usually be familiar with the work of the Daycare having been associated with it in some form. Induction takes place by one to one meetings with the Chairperson and the Centre Manager to ascertain more information about the management of the Centre ar.d their role within it. They are ako furnished with and given an explanation on various documentation.. Memorandum and Articles, Organisational plans and Annual Reports. latest minutes and any up to date development plans. Ongoing training is offered to management committee on an ongosng and ad hoc basis. This is usually provided under our membership of NICV Organlsatlonal Structur• SWC has a Management Committee of up to 5 members who meet quarterly and are responsible for the strategic direction and policy of the charity. At present the Committee has S members from a variety of professional backgrounds relevant to the Vrk of the charity, Chairperson: Secretsry.. Director,, Director.. Director. Nikki Mccullough Lesley-Anne Kinnon Margaret Smith Joan Mercer Cora Harrison A scheme of delegation is in place and day to day responsibility for the provision of the seNices rest with Small Wonders Manager, four Room Leaders and full staff team. Small Wonders Manager is Line Managed by Shankill Women's Centre Senior Management. Small Wonders Manager responsible for ensuring that the charity delivers the services specified and that key perfom7ance indicators are met
SMALL WONDERS CHILDCARE TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Related Partl•s Early Years - The Organisation for Young Children Early Years is the largest organisation in Northern Ireland for young children. We are a non-profit making organisation and have been working since 1965 to promote high quality childcare for children aged 0 - 12 and their families. Currently Early Years provides inforniation and training for parents. childcare providers. employers and local authorities. We hope this website will help you to find out more about early childcare and educatiorn Social SeNices The Belfast Trust 15 committed to providing seNice5 to support children. young people and their tsmilies. We aim to work wÉth and support families so that children can live in a safe, nurturin9 environment. The Trust offers a range of services to families where children may not thrive and reach their fijll potential without some help - this includes children in need of protection. We are also responsible for children who, for a variety of reasons, cannot remain within their own families and who are 'looked after. by the Trust. The Registration process requires the Trust to complete vetting checks on people who are applying to look after children or people who will be living on, or regular visitors to, the premises where children are to be looked after. Access N.1. is the legally mandated organisation, which the Trust uses to process the vetting checks on prospective childminders, prospective and registered owners of private day care and the committee chairpersons of group day ca, which are not privately owned. Employers For Childcare Are a campaigning charty which developed from a community project set up in 1998, encouraging employers to implement family friendly policies in the workplace. The founding Chief Executive Officer quickly identified the baler that the lack of affordable, quality childcare presents to working parents. Our ethos is to address childcare, not as a soaal issue, but as a labour market and economic issue. Audltor In accordance with the company's articles, a resolution proposing that FPM Accountants Limited be reappointed a5 auditor of the company will be put at a General Meeting. Disclosure of intorntIOn to audftor Each of the Trustees has confimed that there is rK) information of which they are aware which is relevant to the audit but of which the auditor is unaware. They have further confirmed that they have taken apyopriate steps to identify such relevant infomation and ttj establish that the auditor is aware of such infonnation. The Trustees report was approved by the Board of Trustee& Ms M Smith Trustee Dated: .....£.: 1 . g
SMALL WONDERS CHILDCARE STATEMENT OF TRUSTEES RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2023 The Trustees who are also the directors of Small Wonders Childcare for the purpose of company law. are responsible for preparing the Trustees Report and the financial statement5 in accordance with applioble law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company Law fequires the Trustees to prepare financial statements 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 cl resource5, including the income and expenditure, of the charitable company for that year. In preparing these financial statements. the Trustees are required to: select suitable accounting policies and then apply them consistentl obseNe the methods and principles in the Charities SORP, make judgements and estimate5 that are reasonable and prudent and prepare the financial statements on the going concem basis unless it is inappropriate to presume that the Charity will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial stataments comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hence for tsking reasonable steps for the prevention and detection of fraud and other irregularities.
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF SMALL WONDERS CHILDCARE Opinion We have audited the financial statements of Small Wonders Childcare (the 'Charity') for the year ended 31 March 2023 which comprise the ststement of financial activities. the balance sheet the statement of casli flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK anG Republic of Ireland {United Kingdom Generally Accepted Accounting Practice). In our opinion. the financial ststements: give a true and fair view of the stste of the charitable company's affairs as at 31 March 2023 and of its incoming resources and application of resources, for the year then ended,. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Act 2006. Basls for oplnloft We condurted our audit in accordance with International Standards on Auditing {UKI (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors spOnsibl11t$ for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK including the FRC'S Ethical Standard. and we have fulfilled our other ethical responsibilitie5 in accordance with these requirements. We believe that the audit evidence have obtained is sufficient and appropriate to provide a basis for our opinion.
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF SMALL WONDERS CHILIXARE Conclusions relatin9 to going concern In auditing the financial ststements, we have concluded that the Trustees use of the going concern basis of accountin9 in the preparation of the financial statements is appropriate. Based on the work we have performed, WÈ have not identified any material uncertainties relating to events or conditions that individually or collectively, may cast significant doubt on the Charitys ability to continue as a going concern for a period of at least tNelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this reporL Other Inlormatltsn The other information cornprises the information included in the annual report other than the financial statements and Ouf auditor's report thereon. The Trustees are responsible for the other information contsined within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other ,infomation is materially incon5iStent with the financial statements or Ouf knowledge obtained in the course of the audit, or otherwise appears to be materialty m155tated. If we identify such material inconsistencies or apparent material misstatements. we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is material misstatement of this other information, we are required to report that facL We have nothing to report in this regard.
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF SMALL WONDERS CHILDCARE Matters on which we are requir to report by exception We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reportsl Regulation$ 28 require us to POrt to you rf, in oui opinion: the information given in the financial ststements is inconsistent in any material respect with the Trustees report., or sufficient accounting records have nDt been kept or the financial statements are not in agernent with the accounting records., or have not received all the information arK£ explanations we require for our audit. Responslbllltles of Trust$ As explained more fully in the statement of Trustees responsibilities, the Trustees, who are also the direttors of the Charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Charity's ability to continue as a going concern, disclosing, as applicable. matters related to going concern and using the going concem basis of accounting unless the Twstees either intend to liquidate the charitsble company or to cease operations, or have no realistic altemative but to do so.
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF SMALL WONDERS CHILDCARE Audltor's re4)onsibllitles for the audit of the financial ststements We have been appointed as auditors under sertion 65 of the Charities Art INorthern Ireland) 2¢8 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our objectives are to obtsin reasonable assurance about whether the financial statements as a whole are free from material misstatement whether due to fraud oi error, and to issue an auditorfs report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the a9gregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. We design procedu$ in line with our responsibilitie& outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. We obtained an understanding of the 5egal and regulatory framework applicable to the company through enquiry of mana9emenC sector research and the application of cumulative audit knowledge. We identified the following principal laws and regulations relevant to the compary - Companies Act 21J)6, Charities Act (Northern Ireland) 2LKI8 and the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accnrdance wtth the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) (effective I January 2019). Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detert material misstatements in respett of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities including fraud. is detailed below. 10-
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF SMALL WONDERS CHILDCARE We developed an understsnding of the key fraud risks to the entity {including how fraud might occur). the controls in place to help mitigate those risks, and the accounts, balances and disclosures within the financial ststements which niay be susceptible to management bia5. Our understanding was obtained through review of the financial statements for significant accounting estimates. analysis ()f journal entries, walkthrough of the key controls cycles in place and enquiry of management. Our procedures to respond to those risks identified included, but were not limited to.. Enquiry of managemenL and the entity's solicitors around actual and potential litigation and claims. Enquiry of management to identify any instances of non-compliance with lav and regulation Reviewing minutes of meetings of those charged with governance. Reviewing financial ststement disclosures and testing to supporting documentstion to assess compliance with applicable laws and regulations. Auditing the risk of management override of controls. including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the nonnal course of business. A further description of our responsibilities is available on the Financial Reporting Council's website at. https://www.frc.org.uvauditorssponsIblIItIe$. This description forms part of our auditor's POrt. 11
SMALL WONDERS CHILDCARE INDEPENDENT AUDITOR'S REPORT {CONTINUED) TO THE TRUSTEES OF SMALL WONDERS CHILDCARE Lowry Grant (Senlor Statutory Auditor) for •nd on behalf of FPM Attountsnt5 Llmit•d Chartered Accountsnts ststutory Audltors 1 3 Arthur Street Belfast Co. Antrim Northern Ireland BT14GA FPM Accountants Limited is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006. 12-
SMALL WONDERS CHILDCARE STATEMENT OF FINANCIAL AcllviTIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2023 Unrestricted Restricted funds funds 2023 2023 Totsl Unrestricted Restricted funds funds 2022 2022 Total 2023 2022 Income from: Donations and legacies Charitable activities Other trading activities 41,055 543.490 5,792 41,055 550.290 5,792 27,630 459,670 36,812 27,630 461,170 36,812 1.5(Xl Total Income 590,337 597,137 524,112 1.51X) 525,612 nditur• on: Charitable activities 638,047 6,928 644,975 599A07 1,628 601,035 Net expendlture for the yearl Net movement In funds (47,710) (128) {47,838} (15,295) (1281 175,423) Fund balances at 1 April 2022 108,281 513 108.794 183,576 641 184,217 Fund balances at 31 March 2023 60.571 385 60,956 108,281 513 108,794 The statement of financial activities includes all gains and losses cOgnised in the year. All income and expendtture derive from continuing activities. The statement of financial activities also compltes with the requirements for an income and expenditure account under the Companie5 Art 2006. 13-
SMALL WONDERS CHILDCARE BALANCE SHEEr ASA T 31 MARCH 2023 2023 2022 Flxed assets Tangible assets Current assets Debtor5 Cash at bank and in hand 10 7,810 9A23 11 23.879 87,983 28.911 117,868 111,862 146,779 Credltors: amounts falllng duo wlthin one year 13 {58.7161 147,408) Net current assets 53,146 99,371 Total as59ts less current Ilabllitles 60,956 108,794 Income funds Restricted funds Unrestricted funds 14 385 60,571 513 108,281 60,956 108,794 14-
SMALL WONDERS CHILDCARE BALANCE SHEET (coriNuED) ASA T 31 MARCH 2023 The company is entitled to the exemption from the audtt requirement contained in section 477 of the Companies Act 2(K)6. for the year ended 31 March 2023, although an audtt has been carried out under section 65 of the CharFties Act (Northern Ireland) 2008. No member of the company has deposited a notice, pursuant to section 476. requiring an audit of these financial statements under the requirements of the CompleS Act 2006. The directors acknowledge their responsibilities for ensuring that the charity keeps accounting recoras which comply with section 386 of the Art and for preparing financial staternents 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 resource5 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 cornply with the requirements of the Companie5 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 ststements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476. These financial statements have been prepared in accordance with the provisions applicable to companies subjert to the small companies wime. The financial statements Vre approved by the Trustees on i ...A.:..Ao Ilr Ms M Smith Trustee Cofflpany R•glstration No. N1068112 15-
SMALL WONDERS CHILDCARE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2023 2023 2022 Cash flows from operntlng ad1V*S Cash absorbed by operation5 17 (30,889) (67,856) Not cash used In Investlng actlvlties Net ash used In flnanclNJ arthAties Net d•crnase In cash •nd cash •qulval•nts (30,889) (67,856) Cash and cash equivalents at beginning of year 117,868 185,724 Cash and cash equ5val•nts at end of year 86.979 117,868 Relating to: Cash at bank and in hand Bank overdrafts included in creditors payable within one year 87,983 117,868 {1,004) 16-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 Attounting policies Chaiity infommtion Small Wonders Childcare is a private company limited by guarantee incorporated in Northern Ireland The registered office is clo Shankill Womens Centre, 151-157 Shankill Road. BelfasL Co. Antrin BT13 1 FD, Northern Ireland. 1.1 Accountlng conventlon The financial statements have been prepared in accordance with the Charity's goveming documenL the Companies Act 21)06 and "Accounting and Reporting by Charities: Ststement 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)" (as amended for accounting periods commencir¥J from 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 financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. 1.2 Golng concem At the time of approving the financial statements, 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 concem basis of accounting in preparing the financial statements. 1.3 Charttable funds Unrestricted fund5 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 $trICted funds are set out in the notes to the financial statements. Endowment funds are subject to specific conditions by donors that the capitsl must be maintsined by the Charity. 1.4 Income Income is recognised when the Charity is legalty entitled to it after any perfomiance conditions hwe been met the arnounts 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 receivèd under Gift Aid or deeds of covenant is recognised at the time of the donation. 17-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YE4R ENDED 31 MARCH 2023 A¢¢ounting poIici•s (Continued) 1.5 Expendlture Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party. it is probable that settlement will be required and the amount of thts obligation can be measured reliably. Expenditure is classified under the following activity headings: Expenditure on charitsble activities includes the costs of providing childcare and activities undertaken to further the purposes of the charity and their associated support costs Other expenditure represents those items not falllng into any other heading Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. In accordance with the Charities SORP (FRS 102), the general volunteer time of supporters is not recognised. 1.6 Tanglble fixed a 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 50 a5 to write off the cost or valuation of assets less their residual values over their useful lives on the following bases". Equipment Motor vehicles 20% Straight Line 10% Straight Line 1.7 lrnpalrm•nt of flxed assets At each reporting end date, the Charity reviews the carying arnounts of its tangible assets to determine whether there is any indication that those 3$5ets 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 impairment10ss (if any). 1.8 Cash and cash eqUalents 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 overdraft5. 8ank overdrafts ¥e shown within borrowings in current liabilities 1.9 Flnandal Instruments The Charity has elected to apply the provisions of Section 11 'Basic Financial Instrurnents, and Section 12 'Other Financial Instruments15sues' of FRS 102 to all of its financial instruments. Financial instruments are cOgnISed in the Charity's balance sheet when the Charity becomes paty 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 off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultsneously. 18-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Accounting policles (Contlnued) Ba¢ flnanclal a&fets Basic financial assets, which include debtors and cash arKI bank balances are initialty measured at transaction price induding transaction costs and are subsequently carried at amortised cost using the effective interest method unles5 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 nterest. Financial assets classified as receivable within one year are not amortlsed. Baslc fina/ Imbllltles Basic financial liabilitie5. including creditors and bank loan5 are initialEy 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 interesL Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cosL using the effective interest rate method. Trade creditors are obligations to pay for goods or service5 that have been acquired In the ordinary ourse of operations from suppliers. Amounts payable are classified a5 current liabilities if payment is due wtthin 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 Inte5t method. Financial liabilities are derecognised when the Charity's contractual obligations expire or are discharged or cancelled. 1.10 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 terniination beneffts. Crftlcal accounting estimates and Judgements In the application of the Charity's accounting policies, the Twstees are required to make judgement5, 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. Artual results may differ from these estimates. The estimates and underlying 855umptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the vIsion affects only that period, or in the period of the revision and future perrcds where the revision affects both cuffent and future period& 19-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Donatlons and legacies 2023 2022 Donations and gifts 41,055 27,630 Donations and 9ift5 Early Years Other 27,630 41,055 41.055 27,630
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Chafltable artivfties Yot•l Unr•s1rf 2023 Totsl 2022 2023 2023 2022 2022 Childcare Fees Performance related grants 543.490 543.490 4S9.670 459.670 6,800 1,500 1,500 543,490 550.290 459.670 1.500 461,170 Analysis by fund Unrestricted funds Restricted funds 543,490 543,490 6,800 459,670 459,670 1,500 6.8(X) 1,500 543,490 550.290 459,670 1,5(h) 461,170 Perforniance relat•d grnnts BCC Summer Scheme Grant Department of Health Other 1,500 1,500 6,800 1,SC 1,500 Other trading aclivlties Unrestricted Unfestricted funds funds 2023 2022 Room Hire Sundry Income 3,167 2.625 16.330 20,482 Other trading activities 5.792 36,812 21
SMALL WONDERS CHILDCARI NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 ChaAtsble acthiilles Unrestricted Restrlctsd Totsl 2023 Total 2022 2023 2023 Staff costs Childcare and Afterschools 499,762 49,706 499,762 471,285 36,156 4.300 549,468 4,300 553,768 507,441 Share of support costs (see note 7) Share of governance costs (see note 7) 85,579 3,000 2.628 88,207 3,0(M) 91,794 1,800 638,047 6,928 644,975 601,035 Analysis by fund Unrestricted funds Restricted funds 638,047 638,047 6,928 599,407 1,628 6,928 638,047 6,928 644,975 601,035 For the year ended 31 March 2022 Unrestricted fijnds Restricted funds 599,407 599,407 1,628 1,628 599,407 1,628 601,035 -22-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 Support costs Support G¢)vemanc• costs 2023 2022 Depreciation Bank Fees Office Related Expenses Rent & Rates Repairs & Maintenance General Expense5 1.613 968 25,442 33,202 21,900 5,082 1.613 1,613 1,476 22,214 32,902 26,252 7,337 25,442 33,202 21,900 5,082 Audit & Accountancy fees 3,000 1,800 88,207 91,207 93,594 Analysed between Charitable activities 88,207 3,(YJO 91,207 93,594 Governance costs includes payments to the auditors of £3,OIXJ {2022- £1,800) for audit fees. Trurtees None of the Twstees (or any persons connected with them) received any remuneration or benefits from the Charity during the year. Employees The average monthly number employees during the year was: 2023 Number 2022 Number 39 33 Empk)yment costs 2023 2022 Wages and salaries Social security costs 478,737 21,025 454,741 16,544 499,762 471,285 -23-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR EIVDED 31 MARCH 2023 Employees (Contlnued) No employee received remuneration of more than £60,000 during the year {2022 - NIL). 10 Tangible fixed assets Equipm•ntMotor ¥1•$ Totsl Cost At 1 April 2022 8,816 14,850 23,666 At 31 March 2023 8.816 14,850 23,666 Depreclation and impalrnient At 1 April 2022 Depreciation charged in the year 8,303 128 5,940 1,485 14,243 1,613 At 31 March 2023 8,431 7.425 15,856 Carrylng amount At 31 March 2023 385 7A25 7,810 At 31 March 2022 513 8,910 9,423 11 Debtors 2023 2022 Amounts falling due wlthln on• y•ar Trade debtors Other debtor5 Prepayments and accrued income 12,567 1,170 10,142 18,861 170 9,880 23.879 28,911 -24-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 12 Loafts and overdrafts 2023 2022 Bank overdrafts 1,004 Payable wythln one year 1,004 13 Creditors: amounts falllng du• wlthln one year 2023 2022 Note$ Bank overdrafts Trade creditors Amounts owed to related paty undertakings Other creditors 12 1,004 15,157 38,497 4,058 8,235 38,497 676 58,716 47,408 14 Restrlct•d funds The income funds of the charity include restricted funds comprising the following unexpended balan5 of donations and grants held on trust for specific purposes.. Movement In funds Movement in funds Incombng R•styJr¢•s B•lanc• at Incoffling Balanc• at r•sour¢es •xp•nd•d l Aprfl 2022 f•5OurC •xpendqd31 March 2023 Bala•K• at 1 April 2021 HSCB BCC SC Grant DOH - SPPG BCCP 641 1128) {1,500} 513 {1281 (5.000) 385 1.500 1,800 (1,81)0) 641 1,51J) (1,628) 513 6,800 16,928) 385 -25-
SMALL WONDERS CHILDCARE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023 15 Analysls of net assets between funds Unrèstricted Restricted Fund Fund 2023 2023 Totsl Unrestricted Restrirted Fund Fund 2022 2022 Total 2023 2022 Fund balances at 31 March 2023 are represented by. Tangible assets Current assets/(liabilities) 7A25 53,146 385 7,810 53.146 8.910 99,371 513 9,423 99,371 60,571 385 60,956 108,281 513 108,794 16 Rdatsd yrty transartions Transactions wlth related partles During the year the Charity entered into the following transactions with related parties: During the year, Small Wonders Childcare entered into transactions with Shankill Womens Centre, related paty. At the balance sheet date. the amount owed to Shankill Womens Centre was £38,497 12022 Small Wonders Childcare owed £38,49n. 17 Cash genernted from operatlons 2023 2022 Deficit for the year (47,838) {75,423) Adjustments for. Amortisation arKI impairnient of intangible assets 1,613 1,613 Movements in working capital: Decrease in debtors Increase/ldecrease} in creditors 5,032 10.304 6,147 1193) Cash absorb•d by op•rations (30.889) (67,856) 18 Analysls of changes in net funds The Charity had no debt during the year.