SoGial Change Initiative Company Limited by Guarantee Statement of Financial Activities {including income and expenditure account) Year ended 31 March 2023 2023 Restricted funds Total funds 2022 Unrestricted funds Total funds Income and endowments Charitable activities Other trading activities Investment income 34,281 1.245 115.449 150.975 38,579 72.860 1,245 115.449 291,651 88,987 380,638 Total income 38,579 189,554 Expenditure Expenditure on Gharitable activities Totsl expenditure 1,192,388 1.192,388 1.192.388 1.189,235 1.192.388 1,189,235 Net {losses)Igains on investments 10 {321.507) (321.507) 29.415 Net expenditure {170.532) (1.153,809) (1,324,341) (779.182) Tran¥fers between funds 29.926 (29,926) Net movement in funds {140,606) (1,183.735) (1,324.341) (TT9,182) Reconciliation of funds Total funds brought forward Total funds carried forward 1.026.656 5,427,722 6,454,378 5,130,037 7.233,560 6.454,378 886,050 4,243,987 The statement of financial activrties includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 16 to 29 form part of these financial statements. 13 Social Change Initiative Company Limited by Guarantee Statement of Financial Position 31 March 2023 2023 2022 Note Fixed assets Tangible fixed assets Investments 15 8,354 16 3.867,936 3,876,290 10,527 4,116,553 4,127,080 Current assets Debtors Inveslments Cash at bank and in hand 17 18 6,155 1,187,783 118,026 9,995 2.200,068 167,341 2.377,404 1.311,964 Creditors: amounts falling due within one year Net current assets 20 58,217 50,106 1.253,747 2.327,298 Total assets less current liabilities 5,130.037 5,130,037 6.454,378 Net assets 6.454,378 Funds of the charity Restricted funds Unrestricted funds 4,243,987 886,050 5,427,722 1,026,656 Total charity funds 22 5,130,037 6,454,378 These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies, regime. These financial statements were approved by the board of trustees and authorised for issue on 16 November 2023, and are signed on behalf of the board by: Maggie Beime Trustee The notes on pages 16 to 29 forni part of these finan¢lal statements. 14 Social Change Initiative Company Limited by Guarantee Statement of Cash Flows Year ended 31 March 2023 2023 2022 Note Cash flows from operating activities Net expenditure (1,324.341) (779.182) Adjustments for Depreciation of tangible fixed assets Net {losses)Igains on investments Dividends, interest and rents from investments Other interest receivable and similar income Interest payable and similar charges Accrued expenses 2,917 321,502 (114,873) (576) 596 2,190 2,843 (29,415) {88,976) (11) 2,095 14,613 Changes in.. Trade and other debtors Trade and other creditors 3,840 1,677 5,921 {5,112) (1,102,824) (881.468) Cash generated from operations Interest paid Interest received {596) 576 (2,095) Net cash used in operating activities (1.102,844) (883,552) Cash flows from investing activities Dividends, interest and rents from investments Purchase of tangible assets Purchases of other investments Proceeds from sale of other investments 114.873 (744) (1,425,105) (285,716) 1,352,220 231,012 88,976 Net cash from investing activities 41,244 34.272 Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year (1.061,600) {849.280) 2,367,409 3,216,689 19 1.305,809 2.367.409 The notes on pages 16 to 29 forn) part of these financial statements. 15 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements Year ended 31 March 2023 General information The charty is a public benefrt entty and a private company limited by guarantee, registered in Northern Ireland and a registered charty in Northern Ireland. The address of the registered office is 3rd Floor, Wellington Buildings, 24 Wellington Street, Belfast. BT16HT. Statement of compliance These financial statements have been prepared in compliance with FRS 102, The Financial Reporting Standard applicable in the UK and the Republic of Ireland,. the Statement of Recommended Practice applicable to charitses preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) (Charities SORP (FRS 102)) and the Compantes Act 2006. Accounting policies Basis of preparation The financial statements have been prepared on the historical cost basis. as modtfied by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure. The financial statements a￿ pr@parÈd in sterling. which is the functional CLirrency of the entity. Going concern There are no material uncertainties about the charity's abilty to continue. Judgements and key sources of estimation uncertainty The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Fund accounting Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestricted funds eamiarked by the trustees for particular future project or commitment. Restricted funds are subjected to restrictions on their expenditure declared by the donor or throLfgh the temis of an appeal. and fall into one of two sub-classes: restricted income funds or endowment funds. 16 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements (continued) Year ended 31 March 2023 Accounting policies (continued) Incoming resources All incoming resources are included in the statement of financial activities when entitlement has passed to the charity: it is probable that the economic benefits associated wtth the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income: income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably. legacy income is recognised when receipt is probable and entitlement is established. income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estlmated resale value. Donated facilities and services are recognised in the accounts when received rf the value can be reliably measured. No amounts are included for the contribution of general volunteers. income from contracts for the supply of services is recognised with the delivery of the contracted seNice. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purp05e and retumed rf unspent. in which case it may be regarded as restricted. Resources expended Expenditure is recognised on an accruals basis as a liability is incurred. Expendtture includes any VAT which cannot be fully recovered, and 15 classffied under headings of the statement of financial activities to which it relates- expenditure on raising funds includes the costs of all fundraising activities. events. non-charitable trading activities, and the sale of donated goods. expenditure on charitable activities includes all costs incurred by a charity in undertaking adivities that further its charitable aims for the benefit of ils beneficiaries, including those support costs and costs relating to the governan￿ of the charity apportioned to charitable activities. other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of r(s expendrture on charitable activities. All costs are allocated to expenditure categories reflecting Ihe use of the resource. Direct costs attributable to a single activty are allocated diredly to that activty. Shared costs are apportioned be￿een the activities they contribute to on a reasonable. justifiable and consistent basis. Tangible assets Tangible assets are initially recorded at cost. and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. 17 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements (continued) Year ended 31 March 2023 Accounting policies (confrnued) Tangible assets (¢ontAnued) An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impaimient that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a resur( of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities. Depreciation Depreciation is calculated so as to write off the cost or valuation of an asset. less its residual value, over the useful economic lrfe of that asset as follows.. Equipmont 20% straight lina Investments Unlisted equty investments are initially recorded at cost, and subsequently measured at fair value. If fair value cannot be reliabty measured. assets are measured at cost less impairment. Listed investments are measured at fair value with changes in fair value being recognised in income or expenditure. Investments in associates Investrnents in associates accounted for in accordance wtth the cost model are recorded at cost less any accumulated impaimient losses. Investments in associates accounted for in accordan￿ wtth the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value taken through income or expenditure. Where it is impracticable to measure fair value reliably without undue cost or effort. the cost model will be adopted. Dividends and other distributions received from the investment are recognised as income without regard to whether the distributions are from accumulated profits of the associate arising before or after the date of acquisition. Investments in joint ventures Investments in jointly controlled entitles accounted for in accordance with the cost model are recorded at cost less any accumulated impairment losses. Investments in jointly controlled enttties accounted for in accordance with the fair value model are initially recorded at the transaction price. At each reporting date, the investments are measured at fair value, with changes in fair value taken through income or expendrture. Where it is impracticable to measure fair value reliably without undue cost or effort, the cost model will be adopted. 18 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements (confrnue Year ended 31 March 2023 Accounting policies {conlinued) Investments in Joint ventures (conthjued) Dividends and other distributions received from the investrnent are recognised as income without regard to whether the distributions are from accumulated profrts of the joint venture arising before or after the date of acquisition. Impairnient of fixed assets A review for indicators of Impalm￿nt Is carried oui at each reporting date, wrth the recoverable amount being estimated where such indicators exist. IAlhere the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairnent testing. when it is not possible to estimate the recoverable Iiiiouiil of an iiidividual asset, an estimate is made of the recoverable amount of the cash-generating 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 largely independent of the cash inflows from other assets or groups of asset5. For impaimient testing of goodwill. the goodwill acquired in a business combination is, from the acquisition date, allooated to each of the cash-generating units that are expectgd to benafrt from the synergie5 of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those unrts. Financial instruments A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs. Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted. Debt instruments are subsequently measured at amortised cost. Vvhere investments in shares are publicly traded or their fair value can othe￿iSe be measured reliably. the investment is subsequentty measured at fair value with changes in fair value recognised in incorne and expenditure. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond nomial business temis or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the fulure payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value. with any changes recognised in the statement of financial activities. with the exception of hedging instruments in a designated hedging relationship. 19 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements (continued) Year ended 31 March 2023 Accounting policies (conbnu8dJ Financial instruments (conlinued) Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised. For all equty instruments regardless of significance. and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. Defined contribution plans Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settied wholly within 12 mnths of the end of the reporting date in vthich the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises. Limited by guarantee The Social Change Initiative is a company limited by guarantee govemed by rts Memorandum and Articles of Association dated 31 st October 2017. Its application to be recognised as a charity was accepted by the Charity Commission for Northem Ireland on 301h April 2018. Charitable activities Unrestricted Funds Restricted Total Funds Funds 2023 Fees for Service Work Miscellaneous Income Porticus Nl Grant Porticus- World Values Survey Joseph Rowntree Charitable Trust CFNI Porticus Monitoring Hate and Tension Community Foundation Ireland- All Ireland Convening 32,037 1.244 32,037 1,244 10,000 10,000 1,000 3,000 1,000 3,000 25.579 25,579 72,860 34,281 38,579 20 Social Change Initiative Company Limited by Guarantee Notes to the Financial Ststements (continued) Year ended 31 March 2023 Charitable activities (continuedj Unrestricted Funds Restricted Total Funds Funds 2022 Fees for Service Work Miscellaneous Income Porticus Nl Grant Porticus- World Values Survey Joseph Rowntree Charf(able Trust CFNI Porticus Monf(oring Hate and Tension Community Foundation Ireland- All Ireland Convening 1,651 1,651 250,000 250.000 10,000 12,000 18,000 10,000 12,000 18,000 1,651 290.000 291.651 Other trading activities Unrestricted Total Funds Unrestricted Total Funds Funds 2023 Funds 2022 Sale of Assets 1,245 1,245 Investment income Unrestricted Total Funds UnreStr￿ed Total Funds Funds 2023 Funds 2022 Income from listed investments Bank interest received 114.873 576 114,873 576 88,976 11 88,976 11 115.449 115,449 88,987 88,987 Expenditure on charitable activities by fund type Restricted Total Funds Funds 2023 Restricted Total Funds Funds 2022 Support of Social Change Support costs 1.019,874 172,514 1.019,874 172,514 1.014,244 174,991 1,014,244 174,991 1,189,235 1.192.388 1.192,388 1.189,235 21 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements (contsnu8d) Year ended 31 March 2023 Analysis of support costs Analysis of support costs activity 1 Total 2023 Total 2022 Staff costs Premises Communications and IT General office Governance costs 76,945 $6,319 11,216 12.932 15,102 76,945 56,319 11.216 12.932 15.102 75,026 66,282 10,298 8,553 14,832 172.514 172.514 174,991 10. Net {losses)Igains on investments Unrestricted Total Funds Unrestricted Total Funds Funds 2023 Funds 2022 Gainsl(losses) on listed investments (321.507) (321,507) 29,415 29,415 q1. Net expendlturo Net expendtture is stated after chargingl{crediting)= 2023 2022 Depreciation of tangible fixed assets 2,917 2,843 12. Auditors remuneration 2023 2022 Fees payable for the audit of the financial statements 3,810 3,642 13. Staff costs The total staff costs and employ￿ beneffts for the reporting period are analysed as follows.. 2023 2022 Wages and salaries Social security costs Employer contributions to pension plans other employee benefits 581,273 78,184 87,191 22,807 567,085 72,920 88,148 22,109 769,455 750,262 The average head count of employees during the year was 6 (2022: 7). 22 Social Change Initiative Company Limited by Guarantee Notes to the Financial Statements {¢onlinued) Year ended 31 March 2023 13. staff costs (continued) The number of employees whose remuneration for the year fell within the following bands. were: 2023 2022 £60,000 to £69,999 £70,000 to £79,999 £80,000 to £89.999 £130,000 to £139,999 £190.000 to £199.999 Key Management Personnel Key management personnel include all persons that have authorty and responsibility for plannlng. directing and controlling the activities of the charty. The total compensation paid to key management personnel for services provided to the charity was £514,438 (2022.. £495,948). 14. Trustee remuneration and expenses The organisations trustees were not paid or received any other benefrts from employment with the organisation in the year. They were reimbursed travel expenses during the year totalling £ 2,229 (2022.. £NIL) None of the organisations trustees received payment for professional or other servi￿$ supplies to the organisation. 15. Tangible fixed assets Fixtures and fittings Equipment Total Cost At 1 April 2022 Additions Disposals At 31 March 2023 5,000 22.832 744 (8.000) 15.576 27.832 744 (8.000) 20,576 5,000 Depreciation At 1 April 2022 Charge for the year Disposals At 31 March 2023 17.305 2,917 (8.000) 12,222 17,305 2,917 (8.000) 12,222 Carrying amount At 31 March 2023 5,000 3,354 8,354 At 31 March 2022 5,000 5,527 10.527 23 SoGial Change Initiative Company Limited by Guarantee Notes to the Financial Ststements (continued) Year ended 31 March 2023 16. Investments Listed investments Cost or valuation At 1 April 2022 Additions Disposals Fair value movements 4.116,553 1.425,105 (1.352,220) (321,502) 3,867.936 At 31 March 2023 Impairnient At 1 April 2022 and 31 March 2023 Carrying amount At 31 March 2023 3,867,936 At 31 March 2022 4,116,553 All investments shown above are held at valuation. Financial assets held at fair value All investments shown above are held at valuation 17. Debtors 2023 2022 Trade debtors Prepayments and accrued income Other debtors 3,000 2,622 533 9,462 533 6,155 9,995 18. Investments 2023 2022 Bank investrnents 1,187,783 2,200,068 19. Cash and cash equivalents Cash and cash equivalents comprise the following: 2023 2022 Cash at bank and in hand Short-tenn deposits 118.026 1.187,783 1,305,809 187,341 2.200,068 2,367,409 Social Change Initiative Company Limited by Guarantee Notes to the Financial Ststernents (conlinued) Year ended 31 March 2023 20. Creditors: amounts falling due within one year 2023 2022 Trade creditors Accruals and deferred income Social security and other taxes Other creditors 872 27,654 22,944 6,747 2,662 25,464 23,693 {1,713) 50,106 58.217 21. Pensions and other post retirement benefrts Defined contribution plans The amount recognised in income or expendtture as an expense in relatbon to defined contribution plans £87,191 (2022-. £88.148). 22. Anatysis of charitable funds Unrestricted funds At 1 Apr 2022 G¢iifi>