Derry & Raphoe Action Limited Trustees, report and financial statements for the year ended 31 October 2023 Registration number: N1048102 Northern Ireland Charity number: NIC102476 McFarland Arnold & Co Chartered Accountants Derry & Raphoe Action Limited (Company limited by guarantee) Contents for the year ended 31 October 2023 Page Legal and administrative iiifonnation Trustees i'eport Accountants, I'eport to the ti'ustees Statenienl of financial activities Balance sheet Notes to ihe financial statements 8-15 Derry & Raphoe Action Limited (Company limited by guarantee) Legal and administrative information for the year ended 31 October 2023 Legal status The company is a pi'ivate liinited company, limited by guarantee, which was incoiporated on 3 October 2003 under tlie Companies (Northern Ireland) Oi'dei. 1986 and the Compai)ies Act 2006, undei. Registration Number N1048102. It is also re¢ognised as a chai'ily by HM Revenue and Cuslonis under Refei'ence Number XR83440. The company is a registered charity With the Charity Cominission for Northei'i) Ireland since 8 June 2015 under registi'ation number NIC102476. Trustees Kate Allison David Bradley Richard Campbell David Clarke Trevor Donnell David Dunbai. Colin Hamilton (appointed 17 October 2023) Robert Hill Kathryn Gibson (resigned l October 2023) David Mitchell {appointed 7 November 2023) Ruth Monteith Stephen Robinson (resigned 17 October 2023) Company number N1048102 CCNI Charity number NIC102476 Registered office The Somme Memoi'ial Hall 3 Douglas Road Newtowi)slewait Co Tyi'one BT78 4NE Accountants McFai'land Arnold & Co 8 Main Street Newtownstewart Co Tyrone Business address The Somme Memorial Hall 3 Douglas Road Newtownstewai Co Tyrone BT78 4NE Bankers Danske Bank Business Bl'anch Donegall Square West Belfast Page I Derry & Raphoe Action Limited (Company limited by guarantee) Trustees, report for the year ended 31 October 2023 The ti'ustees present their repoit and the financial statements for the year ei)ded 31 October 2023. Directors O￿lcerS of the company, known as directoi's foi. the purpose of company law and trustees for the pU￿oSe of charity law, who sei'ved during the year and up lo the date of this repoit al'e set out on page l of th¢ financial slatements. Meinbers of the charitable company guarantee to contribute an amount not exceeding £1 to th¢ assets of the chai'itable company in the event of winding up. Charitable objeels Derry & Raphoe Action Liinited wa5 set up under the supervision of the Cl)urch of Irelai)d, and in particular the Derry & Raphoe Diocese. The object of the company is to proinote the regenei?tion of the area, in particular ensuring ihat the Inarginalised communities within the counties of Londonderry, Tyi'one and Donegal play theii. full role in the overall I'egeneration and in cross border activities, through promotion and developinent of social and cultural identity, advanc¢ment of education and provision of recreational and other activities in interests of social welfare. Deii'y & Raphoe Action Limited is a I'egistered charity with the Charity Commission for Noithern Ireland since 8 June 2015, undei. registration number NIC102476. Organisational structure The trustees meet regularly, administei. the company and make all policy decisions. A development officer is employed to co-oi'dinate activities and manage the day-to-day I'ui)ning of the Company. Review of activities and achievements The results reflect the activities carried on within the charitable company dui-ing the year. The trustees are pleased with th¢ level of community development activilies cari'ied on during that yeai. and the gi'ani funding achieved. We have ca11.ied out a i'eview of all grants I'eceived over the last three years and note that adjustmenls were required as set out li) Note 18 to the financial statements. During the year ended 31 October 2023 the chai'ilable company secured funding fi'om the Ulster Scols Ag¢n¢y towards the cominunity impact plan. In addition tlie chai'itable conipany also secured funding from Dei'ry City ai)d Stt'abane District Council, Fermanagh and Omagh District Council, Halifax, Western Health & Social Care Trust and the D¢partment for Communities for to provide cultural development, educational workshops and for various community festivals. Going concern The Ti-ust¢es al-e confident that further funding will be secured fi'om the Ulster Scots Agency to contii)ue wilh the community impact plan and al'e thei'efore satisfied that it is appropriate foi- the financial stateinents lo be pi'epared on the going concei'n basis. Reserves The I'esults for the yeai. are set out on page 5 of the finai)cial statel￿entS. The purpose of the funds are outlined in the notes to the financial statements. Page 2 Derry & Raphoe Action Limited (Company limited by guarantee) Trustees, report for the year ended 31 October 2023 Statement of trustees, i"esponsibilities Th¢ Trustees ar¢ responsible for pr¢pai'ing the Trustees, Report and the financial stateinents in accordance with applicable law and regulations. Company law and charily law requii'es the Truslees to prepare fiiiancial statements for each financial year. Undei- tliat law the trustees have elecled to prepare ihe financial statements in accordance with applicable law and the United Icingdom Accouiiting Standards (United lvQ Trustee Trustee The notes on pages 8 to IS form an integral part of these financial statements Page 7 Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the fAnancial statements for the year ended 31 October 2023 General information The compaiiy is a private limited coinpany, limited by guaranlee, which was incorporated on 3 October 2003 under Ihe Companies (Noithern Ireland) Oi'dei- 1986 and the Companies Act 2006, under Registration Number N1048102. It is also I'ecognised as a chai'ity by the HM Revenue & Customs under Reference Number XR83440. The company is a registered charity with the Charity Coininission for Noi1hei'n Ii'eland since 8 June 2015 under registration nuinber NIC102476. The addi'ess of the registei'ed office is The Somm¢ M¢moi-ial Hall, 3 Douglas Road, Newtownstewart, Co Tyrone, B T78 4NE. Statement of compliance These financial stateinents have been prepared in compliance with Accounting and Reporting by Charities: Stateinent of Recommended Practice (FRS 102, 'The Financial Repoiting Standard applicable in the UK and the Republic of Ireland,) and in accoi'dance with the Companies Act 2006. Accounting policies Basis of preparation The financial slatem¢nts are prepared under Ihe histoi'ical cost convention and in accordance with Accounting and Reporling by Charities: Statement of Recommended Practice (FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland,) The charity has taken advantage of the exemption in FRS 102 Section IA from the requirement to produce a cashflow statement because it is a small Charity. The pi'¢sentation Cu￿encY of these financial statements is sterling. liicoming resources Income from donations and grants, including capital grants, is included in incoming resources when Ih¢s¢ ar¢ i'eceivable, except as follows.. When donors specify that donations and grants giveii to the company must be used in future accounting periods, the income is deferred until those periods. When donors impose conditions which have to be fulfIlled before the company becomes entiiled lo use such income, the incoine is deferred and not included in incoming resoui'ces unlil Ihe pre-conditions for use have been met. When donors specify that donalions and gi'ants, including capital grants, are for a parlicular restricted pui'poses, which do not amount to pre-conditions regai-ding ei)titlemenl, this income is included in incoming resources of resti'icted funds when I'eceiveable. The value of sei'vices provided by volunteers has not been included. 3.3. Interest receivable Interest is included on a r¢¢eivable ba51S. Page 8 Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 3.4. Resources expended Expenditure is recognised on an accrllals basis as a liability Is incurred. Expenditure includes VAT which che company is ineligible to recover. and is reported as pai't of the expenditui'e to which it i'elates. Charitable expenditure coinprises those costs incurred by the charity in Ihe delivery of ils activities and seivices for its beneficiaries. It includes both costs that can be allocated directly lo such activities and those costs of an indirect nature necessary to sllppoit them. 3,5. Tangible fixed assets and depreciation Tangible fixed assets costing more tlian £500 are capitalised and included at their pui'chase costs, togethei. with any incidental expenses of acquisition. Depi'eciation is provided at rates calculated to write off the cost less r¢sidual value of each asset over its expected useful life, as follows.. Hall Fixtures, fittings and equipment - 8 % straight line 15 % reducing balance No depreciation is charged until the asset5 are brought into use by the company. The carrying values of tangible fixed assets are reviewed annually for impairment if events or change5 in circumstances indicate the carrying value Inay not be recovei'able. 3.6. Leasing Rentals payable under operating leases are charged against ii)come on a straight line basi5 over the leas¢ tenn. 3.7. Fund accounting Unrestricted funds relate to general funds which are available for use at th¢ discretion of the trustees in furtherance of tlie genei'al 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 resti'iction5 imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are chai'ged against the specific fund. The aim and use of each I'estricted fund is set oiit in the notes lo the rinancial statements. 3.8. Taxalion The company is I'egistered as a charity foi. tax puiposes under i'eferen¢¢ XR83440. As a charity, Derry and Raphoe Action is exempt from lax on income and gains falling within Section 505 of the Taxes Act 1988 or Section 256 of ilie Taxation of Cliai'geable Gains Act 1992 to the extent that these al'e applied to its charitable objects. No tax charges have therefore arisen for Ihe company for Ihe yeai. ended 31 October 2023. Page 9 Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 3.9 Impairmeiit A review for indicalors of impairment is cari-ied out at each reporting date, with the recoverable amount being estiinated whei'e such indicalors ¢xist. Whei'e the carrying valu¢ exceeds the i'ecoverable amount, the asset is impaired accoi-dii)gly. Pi'ior impairments are also reviewed for possible reversal at each I'eporting date. When it is not possible to estimate the recoverable ainount of an individual asset, an estimate is made of the i-ecoverable ainount of the cash-genei?ting unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independei)t of the cash inflows froin otl)er assets or groups of assets. 3.10 Financial instruments A financial assel or a financial liability is recognised only when the company becomes a party to the coi)tractual pi'ovisions of the instrument. Basic financial in5trumenls are initially recogiiised at Ihe Irai)saction pi'ice. unless the arraiigement constilules a financing ti'ansaclion. whei'e it is I'ecognised at the present value of the future paymenls discounted at a market rate of intei'est for a similar debt instrument. Debt instruinents ar¢ subsequently Ineasured at amortised cost. Financial assels that are measui-ed at cost oi. amortised cost are reviewed for objective evidenc¢ of impaii'ment at the end of each I'epoiting dale. If ihei'e is objective evidence of impairment, an impainnent loss is recognised in pi'ofit oi. loss immediately. For all equity instruments regardless of significance, and other financial assets Ihat are individually significant, these are assessed individually for impairment. Other finaiicial assets or either assessed individually or gi'ouped oil th¢ basis of siinilai. credit i'isk charactei'i5tics. Any I'eversals of impairment are recognised in pi'ofit or loss immediately, to the extent that the I'eversal does not result in a caii'ying amount of the financial asset that exceeds what tl)e carrying amount would have been had the impairinent not previously been i'ecognis¢d. Page 10 Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 Incoming resources Unrestricted Re51rieted funds funds 2023 2022 Donations Grants Investment income 4,045 4,045 106,188 28 2,230 71,938 106,188 28 4,073 106,188 110,261 74,173 4. 1 Grant incoine received is as follows:_ Unrestricted Restricted funds ruiids 2023 2022 Halifax Fejinanagh aiid Omagh District Council DAERA NI SSE Airtricity Community Fund Arts Council Nl Canmil Housing Awai'ds for All Department foi. Communities Ulster Scots Agency Deii'y Cily and Strabane District Council Rapid Rural Ai'ea Partnei- Westei'n Health & Social Car¢ Trust 5,250 270 979 3,840 7,582 5,250 270 979 3,840 7,582 500 990 4,580 1,263 55,022 9,183 69,179 17,948 140 1,000 69,179 17,948 140 1,000 400 106,188 106,188 71,938 Net movement in funds 2023 2022 Net niovement in funds is stated after charging: Depreciation and other amounts written off iangible assets Operating lease rentals Land and buildings 8,283 8,874 6,000 6.000 and after ci'editing.. Transfer between funds.. Release of revenue grants 93,213 58,569 Pagell Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 Employees Number of employees The average monthly numbers of employees (including the trustees) dui'ing the yeai. were: 2023 Number 2022 Number Trustees Employees 10 12 Employment costs 2023 2022 Wages and salaries 30,689 22,272 Tlie trustees neith¢r received nor waived any einoluinents during the year. Fixtures, rittings and equipment Tangible fixed assets Hall Total Cost At l Noveinber 2022 42,897 38,404 81,301 At 31 October 2023 42,897 38,404 81,301 Depreciation At l Novembei. 2022 Charge foi. the year 11,208 3,432 11,889 4,851 23,097 8,283 At 31 October 2023 14,640 16,740 31,380 Net book values At 31 Octobei. 2023 28,257 21,664 49,921 At l Novembei. 2022 31,689 26,515 58,204 Debtors 2023 2022 Grants receivable 4,293 10,534 Page 12 Derry & Raphoe Aetion Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 Creditors: amounts falling due within one year 2023 2022 Accruals and deferred income 1,923 3,378 10. Unrestricted funds l November 2022 Incoming Outgoing Transfers 31 October 2023 Restated General fund 14,434 4,073 (99,576) 93,213 12,144 14,434 4,073 (99,576) 93,213 12,144 Purposes of unrestricted funds General funds are funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not beeli designated foi. othei. purposes. ii. Reslricted funds November 2022 Incoming Transfers 31 October 2023 Restated Somine Memorial Hall kitchen extension and ramp Fixtures, ftitings and equipment Rural Area5 Partner SSE Airtricity Community Fund Ulster Scots Agency DeiTy City and Strabane Districi Council Western Health & Social Care Trust Fermanagh and Omagh District Council Ails Council Nl DAERA Halifax 30,158 27,312 400 5,866 4,913 2,000 (3,265) (4,904) 140 (540) 3,840 (1,484) 69,179 (53,638) 17,948 (17,448) ,000 ( 1,000) 270 (270) 7,582 (4,435) 979 {979) 5,250 (5,250) 26.893 22,408 8,222 20,454 2,500 3,147 70,649 106,188 (93,213) 83,624 Purposes of restricted funds Restricted funds are funds wl)icli al'e to be used in accordance with specific I'esti'ictions imposed by donors or which have beei) raised by the company foi. paiticulai. purposes. The cost of i'aising and adininistei'ing such funds are chai'ged against the specific fund. Page 13 Derry & Raphoe Action Limited (Company limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 12. Analysis of net assets behveen funds Unrestricted Restricted funds funds Total funds Fund balances at 31 October 2023 as represented by.. Tangible fixed assets Current assets Liabilities 620 13,447 (1,923) 49,301 34,323 49,921 47,770 (1,923) 12,144 83,624 95.768 13. Leasing commitments At 31 October 2023 the company had annual cominitmenls under non-cancellable opei'ating leases as follows.. Land and buildings 2023 2022 Expiry date: 31 December 2031 Within one year Between one and five years li ovei. fiv¢ years 6,000 24,000 19,000 6,000 24,000 25,000 49,000 55,000 14. Going concern The Ti'ustees are confident Ihat further funding will be secured from the Ulster Scots Agency to continue with the community impact plan and are therefore salisfied that it is appropriate for the financial statenients to be prepared on the going concern basis. 15. Transactions ivith Trustees During th¢ year £1 00 {2022.. £nil) was paid to a trustee for services provided to the charitable company. The trustees atlend nieetings and cai'i'y out the business of the company on a voluntaiy basis. Page 14 Derry & Raphoe Action Limited (Conipany limited by guarantee) Notes to the financial statements for the year ended 31 October 2023 16. Company limited by guarantee Derry & Raphoe Action Limited is a company limited by guarantee and accordingly does not have a share capital. Every member of the company undertakes to conti'ibute such amounl as may be required not exceeding £ I lo the assets of the charitable coinpany in the event of its being wound up while he or she 15 a Inember, or within one year aftei. he or she ceases lo be a meinber. 17. Charity Commission for Northern Ireland Derry & Raphoe Action Limited is a I'egistered charity with the Charity Coinniission for Northei'n Ireland since 8 June 2015, undei. i'egisti'ation number NIC102476. 18. Prior year adjustment The financial statements for ihe prior years have been restated io correct the release of revenue grants and io include a bank account previously omitted from the financial statenients. Grants received from the Ulstei. Scots Agency towai'ds luition and summer scheme activities had previously been misi'epresented as the CPI pi'oject and carried forward for i-elease against fului'e expenditure. Dui'iiig the urreiit year, the gi'ants were reconciled against docui)ienlation for the last three years and it became apparent the £7,826 sl)ould have been released in previous years. The impact of these oniissions on Ihe previous years financial statements are as follows.. Original Amended Movement Year ended 31 October 2021: Incoming resources Transfers between funds Net movement in funds Total fund5 carried forward 83,790 70,366 3,792 70,898 85,809 77,041 5,811 79.592 2,019 6,675 2,019 8,694 Year ended 31 October 2022: Incoining i'esources Resources expended Ti'ansfers between funds Net Inovement in funds Total funds cai-ried foimiard 70,471 60,717 57,418 9,754 80,652 74,173 62,007 58,569 12,166 85,083 3.702 1,290 2,412 4,431 Page 15