COMPANY REGISTRATION NUMBER: N1659778 CHARITY REGISTRATION NUMBER: 108163 Rural Action Company Limited by Guarantee Financial Statements 31 March 2024 Finegan Gibson Ltd Chartered accountants & statutory auditor Causeway Tower 9 James Street South Belfast BT2 8DN
Rural Action Company Limited by Guarantee Financlal Ststements Year ended 31 March 2024 Page Trustees, annual report (incorporating the director's report) Independent auditorfs report to the members Statement of financial activities (including income and expenditure account) 15 statement of financial position 16 Statement of cash flows 17 Notes to the financial statements 18 The followlng pages do not form part of the flnanclal statements Detailed statement of financial activities 30 Notes to the detailed statement of financial activities 31
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) Year ended 31 March 2024 The truste8s, who are also the directors for the purposes of company law. present their report and Ihe financial statements of the charity for the year ended 31 MarGh 2024, R•fernnrA and administratlve datall8 Reglstered charity namo Rural Action Charlty reglstratlon number 108163 Company reglstratlon numbor N1659778 Prlnclpal offlrA and reglstered Admlnlstration Building offlce Loughry Colleg8 Cookstown BT80 9AA Tyrone Tho tru¥t•es T McNally A M¢Adam S Henry Dr M Farrell K Addis Audltor Finegan Glbson Ltd Chart8r8d accountants & statutory auditor Causeway Tower 9 Jam8s Street South Belfast BT2 8DN Bankers Ulster Bank Ltd 11-16 Donegall Square East Belfast BT15UB
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) {¢ontinuod) Year ended 31 March 2024 Structurei governance and management Rural Action was established in 2019 with the objective of inspiring action and to mak8 posittve Contribution to the averyday Iiv8s of rural peopl8. The organisation is a charitable company limited by guarantée incorporated on 14 March 2019 and is registered as a charity {NIC1081631. The Company was established under a Memorandum of Association and is governed undér its Articles of Association. Dlrectors and Trustees The Directors of the charitable company (the Charlty) are Ils trustees for the purpose of charity law and are known as members of the Rural Action Board. The Rural Action Board has 5 members (who meet at least 6 times per year) representing a range of relevant Interestslexperlence including those involved in the business community, communltylvoluntary sector, educalion and training. Trustees Induction and Tralnlng Induction and Training is provided to Trustees when they loln the Board. A skills audit has been completed this year lo identify any potential gaps which will be addressed through training or future recrultment drlves. This wlll support the Board In carrylng out thelr dulles. Risk Managomont The Rural Action Board has conduct8d a review of the major risks to which the charity 15 exposed. A risk register has been established and is presented at each Board meellng. It is updated at least annually. Where appropriate. syslems or procedures have been 8Stablish8d to mitigate the risks th8 charlty faces. Organlsatlonal Structura The current staffing structure of Rural Action includes the following roles: Chief Executive Officer Head of Flnance & Governance Head of Programmes Head of Regeneration & Communities Programm8 Officers x 2 Programme Support Officers x 2 Finance Administrators x 2 Adminlstrator
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) (continued) Year ended 31 March 2024 Objectlvgs and actlvitjes Rural Action's vision is of a living, working, sustainabl8 and shared communlty. It's mission is to inspire action and to make a positive contribution to the everyday Ilves of rural people. It aims to do this by.. Championing the needs of rural communities through consultatlon and community development projects D8slgning, delivering and inspiring practical community-based projects and actlons to alleviate poverty, ensure economic vibrancy and promote health & social wellbeing Encouraging and promoting so¢lal and 8conomic development and entrepreneurship to relieve those in need by reason of youth, age, ill health, disablllty, financlal hardship or other disadvantage Making our communities inclusive and attractlv8 places to live by assisting and engaging communltl8S to d8V81op an inteftest in local culture. history, arts and tradltlons and through the promotlon of equality and diversity The achl8vements listed below detail Rural Actlon's perfomiance for 2023-2024 In advanclng its said objectlves. Public 8•n•fit Stat•rnent The trustees have regard to the Charity Commission's guldance on publlc beneflt, Strategic r•port The following se¢tions for achi8v8m8nts and performance and financial review form the strateglc report of the charlty.
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) (¢ontiftued) Year ended 31 March 2024 Achlovements and performance Rural Action is a registered charity and a company limited by guarant88. It operates across Northem Ireland and the border region of Ireland from a base in Cookstown, Co. Tyrone. It has a small staff team of 11 and is managed by a voluntary Board of DirKtorsrrrustees. A fvll account of Rural Action's achlevements durlng the year are Ilsted below. Strategic Aim 1: To Champlon the needs of rural communltles through consultation and communtty development projects Objective 1: Respond, engage and support relevant policy and programm8 consultations, stakeholder meetings/ev8nls and èvaluation work to champion rural n88ds Objectiv8 2.. Work in partnership with local and central government and the community voluntary sector lo make recommendations for future rural service delivery Objective 3: Carry out research and 8vid8nce rural needs Objective 4: Pilot and test rural projects to inform future delivery Outputs 21 meetlngslevents and engagements attended 1 strateglc cross border pilot project implementing in partnership with Irish Rural Llnk 1 joint cross border rural communlty needs suNey to 100 communlty-based organisatlons (60 In Northern Ireland 50 in Ireland) 1 Rural Needs Focus Group established - 3 sesslons held 4 pipeline projects developed 3 evaluations completed Strataglc Alm 2: To design, deliver, implement and inspire practical community-based projects and actlons to allevlato poverly, ensure •conomic vibrancy and promote haalth & soclal w611-b6ing Objedive 1: Design, dellvery and implement projects that benefit people and places Objectlve 2.. To maintain Rural Action as an Open College Network (OCN) Accredited Centre for the delivery of training to communities Objective 3: To establish the Rural Actlon Awards scheme to support and inspire rural community action Outputs Managing agent for the International Fund for Ireland (IFI) Personal Youth Devalopment Programme IPYDP} In Northem Ireland supporting communities to help at risk young people to build and develop lrfe skills that foster good relations. build confidence and resilience and make them more employable 0 7 applications assessed and recommendation reports completed 0 36 projects approved and implementing O Letters of Offer issued totalling £6.14million 0 825 young people engaging Managing agent for the IFI Communities in Partnership Programme (CIPP) in Northern Ireland supporting communities to foster good r81ations and support communty initiatives on a cross border basis 0 7 applications assessed and recommendation reports completed 0 15 projects approved and implementing 0 37 cross border organisations participating O Letters of Offer issued totalling £1.9million
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) {n(Inued) Year ended 31 March 2024 0 1 n8w pilot programme Transforming Local Leadership implemèntlng and 8ngaging 9 groups and 53 participanls Partner wlth Mld Ulster District Council in the delivery of the Connecting Pomeroy proj8Ct to develop community capacity and engagement activities to support social well-béing, inclusion and village regeneration 0 40 groups engaging In community capacty and engagement actlvities 0 1.640 p80ple participating in programmes 0 3 Project Steering Group meetings attended Maintain Rural Aclion as OCN Centre for delivering training to coMmUnleS - annual extemal verification conducted August 2023 Continuation of the Rural Action Award5 scheme to support and Inspir8 rural community actlon 0 282 applications received from rural Northern Ireland and the border region 0 12 awards presented to community-based organlsations 7 recipient groups based in Northern Ireland £7,000) 5 recipient groups based in border region (é5,000) Rural Action Awards Scheme During th8 financial year the Board agreed to continue to Implement the Rural Action Awards scheme (Strategic Aim 2 Objective 31. The schgme is designed to support volunteer led communlty action projects. It is open to constituted rural community-based organisations undertaking projects that a118viat8 poverty, ensure economic vibrancy, and promota health & social wellbeing locally. A total of 12 awards were made during the period to the value of £11,898. Strateglc Aiffl 3: To encourage and promote social and economlc dovolopment and entrepreneurshlp to rellave those in need by reason of youth, age, ill-health, disablllty, flnancial hardship or other dlsadvantago Objective 1: Inspire communitles through the exchange of information, sharing of stories and practice Obj8Ctlve 2.. To develop a rural centre of excellence demonstratlng soclal entrepreneurship in action Outputs 2 study visits completed in partnership with Irlsh Rural Link Exchange of information on a joint Environmental programme Identificallon of Shared IssueslThemes on a cross-border basis (Energy & Climate, Communlty DevelopmentlRural Regeneration, Social Enterprlse and cross-border Collaborallon) Increas8 in Social media trafflc lup by 45 % on previous yearl Increase in webslte users (up by 370/0 on previous year) Ongoing discussion5 wlth DAERAJCAFRE on the redevelopment of Lindesay Hall as a centre for rural excellence and to furth8r promote social entrepreneurship In rural areas Strateglc Alm 4: To make our communltles Inclusive and attractlve places to live by assisting and engaglng communities to develop an interest in local culture, history, arts and traditions and through the promotion of equality and diverslty Objective 1.. Promote good relations and support actions for inclusion and effective Community engagement Objective 2: Engage in projects and programmes that encourage a better understanding of local identity, culture and heritage
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) {contlnued) Year ended 31 March 2024 Outputs 30 communily-based organisations participating in good relatlons tralning and awar8n8SS workshopslevents Strategic Alm 5: Good Governance and Corporate Management Objective 1: To deliver on budget Objective 2: Corporate Govemance, Board and Organisational Development Outputs Financlal Management O Annual budget agreed wlth Board O Monthly management reports and cashflow statements produced for Board O Annual account5 presented at AGM O Satisfactory assurance in External audit reports O Implementation of financial procedures & procurement guldance O Budget profiles & expenditure reports prepared for funders O Submission of clalms to fund8rs wlthin agreed deadlines O Review & update of financlal procedures & policy O Review of Corporation Tax & VAT posltlon Strategy O Op8rational plan agreed and monitored by Board Human Resources O Review and update policies and procedures O Board Induction O Staff handbook compiled O Board Skills Audit compleled O Carry out recruitment exercises as required
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (continued) Year ended 31 March 2024 FinanGlal review Rural Action reiVeS support from the International Fund for Ireland as their Managing Agent for the Personal Youth Development Programme (PYDP) and the Communities in Partnership Programme (CIPP): the Department of Agriculture, Environment and Rural Affairs (DAERA) Tackling Rural Poverty and So¢lal Inclusion (TRPSI) Programme, Mid Ulster District Council Connecting Pom8roy Project, with funding provided by the Eu's PEACE IV Programme, managed by the Speclal EU Programmes Body (SEUPB}, Department of of Forelgn Affairs (DFA) Shared Island Fund and Department for Communities {DfC) Villag8 Catalyst. Reserves The total funds held by the charity at 31st March 2024 is £322,115, of which £84,793 is restricted and not available for the general purposes of the charity. A designation of £12,000 has been set aside for the Rural Action Awards. These awards arè dèsigned to support volunteer led community action projects that alleviate poverty, 8nsure economic vibrancy, and promotè h8alth & social well-being locally. The organlsation currently operates out of the Admlnistration Building of the CAFRE Loughry Estate. A major redevelopment of the estate is planned within the next 12-15 months, with the Administration Building due to be demolished. A designation of £50,000 has been set aside to pursue alternalive accommodallon over the next 2 years. The Trustees have 6xamlned the charty's requirements for reserves conslderlng th8 main risks to the organisation. They have established a policy whereby the unr8strict8d funds not designated for particular purpose or invested in tangible assets held by the charlty should be equal to th8 value of six months expenditure based on senior management salaries, overheads and accrued statutory redundancy liabillty. Th8 trustees consider that this level will provide sufficient funds to respond to applications for grants and ensure that there are sufflcient fund5 available to cover support and govemance costs. The balance held a5 free reserves at 3110312024 was £173,524 against an actual 6 months expenditure of £146,624. The current level of reserves is therefore higher. The organisatlon Is entering a new perlod of programme development and regards thls as prudant. Trustaes. responsibilitles statement The trustees, who are also directors for the purpos8s of company law, are responsible for preparing the trustees, report and the financial statement5 in accordance with applicable law and United Klngdom Accountlng Standards {Unlted Kingdom Genarally Accepted Accounting Practice). Company law requires the charity trustees to prepa financial statements for each year which glve a true and fair view of the state of affalrs of the charitable company and the incoming resources and application of resources, including the income and expenditure. for that period.
Rural Action Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (c(11Ued} Year ended 31 March 2024 In preparing these flnanclal ststements. the trustees are required to: S8lect suitab18 accounting policies and then apply them consistently; observe the methods and principles in the applicable Charities SORP; make judgm8nts and accounting estimates that are aSOnable and prudent; state whether appllcable UK Accountlng Standards have been followed, subject to any materlal departures disclosed and explained in the financial statements; prepare the financial statemènt5 on the golng concern basls unless It Is Inappropriate to presume that the charity will continue in business. The trustees are r8sponslble for keeplng adequate accounting records that are sufficient to show and explaln the charity's transactions and disclose with reasonabl8 accuracy at any time th8 financial position of the charity and enable them to ensure that the financlal statements comply with the Companies Act 2006. They are also responsible for safeguarding th8 assets of th8 charity and henc8 for taking reasonable steps for the prevention and detection of fraud and other irregularities. Audltor Each of the persons who is a trust88 at the data of approval of this report confim)s that: so far as they are aware, there is no relevant audit infomiation of which the charity's auditor Is unawar8; and they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's audltor Is aware of that informatlon. The trustees. annual report and the strategic report were approved on 5 December 2024 and signed on behalf of the board of trustees by: T McNally Trustee K Addis Trustee
Rural Action Company Limited by Guarantee Independent Auditor's Report to the Members of Rural Action Year ended 31 March 2024 Opinlon We have auditgd the financlal statements of Rural Actlon (the 'charity'l for the year end8d 31 March 2024 whlch comprise the 5taternenl of finandal activities (including income and expenditure account), statemenl of financial positlon, stalement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in thelr prèparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable In the UK and Republic of Ireland (United Kingdom Generally Accepted Accounling Practic8). In our opinion the financial statements: give a true and falr view of the state of the charlty's affairs as at 31 March 2024 and of its incoming resourcas and application of resources. including its income and expenditure, for the year then end8d', hav8 been properly prepared In accordance wlth Unlted Kingdom Generally Accepted Accountlng PractiGe', have been prepared In accordance wlth the requirements of th8 Companies Act 2006, Bas18 for opinion We conducted our audit In accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our r8sponsibiliti8s under those standards are further described in th8 auditor's responsibilities for th8 audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requlremènts 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 responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufflcient and appropriate to provide a basis for our opinion. Conclusions r•lating to golng concern In auditing the financial statements, we have conclud8d that the trustees, use of the golng ¢on¢em basls of accounting in the preparation of the financial statement5 15 appropriate. Based on the work we have perfomied, we have not identlfied any material uncertaintles relating to events or conditions that, individually or collectively, may cast signiflcant doubt on the charity's ability to continue as a going concern for a period of at least e1ve months from when the financial statements are authodsed for issu8. Our responsibilities and th8 r8sponsibiliti8s of the trustees with respect to going conc&rn ar8 d8scribed in th8 relevant sections of this report.
Rural Action Company Limited by Guarantee Independent Auditor's Report to the Members of Rural Action (continued) Year ended 31 March 2024 Other information The other information comprises the information included in the annual report, other than th8 financial statements and our auditols report thereon. The twstees are responsible for the other information. Our opinion on the flnancial siatements does not cover the other Information and. exp1 to the extent otherwise explicitly slated in our report, we do not express any form of assurance conclusion thereon. In connectlon with our audit of the financial statements, our responsibillty Is to read the Other information and, in doing so, consider whether the other infomiation is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material in¢onsisten¢ies or apparent material misstatements. we are required to detemiine whether there is a material misslalement in the financial statements or a material misstatement of the other information. If. based on the work we have performed, we conclude that thère Is a matérial mlsstat8m8nt of this other Information, we arè requlrèd to report that fact. We have nothing to report in this regard. Oplnlon8 on oth¢r matters pre8crfbed by the Companles Act 2006 In our opinion. based on the work undertaken In the course ofthe audlt: the Informatlon glven In the trustees, report for th8 financlal year for whlch the financlal statements are prepared is consistent with the financial stalements- and the trustees, report has b88n prepared in accordance With applicable18gal r8quir8m8nts. Mattern on which we are requlrad to report by exceptlon In the Ilght of the knowledge and understandlng of the charity and its 8nvironm8nt obtalned in the course of the audit, we have not identified materlal misstatements in the trustees, report. We have nothing to report in respect of the following matters in relalion to which th8 Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept, or retums adequate for our audtt have not been received from branches not visited by us; or the financial statements are not in agreement with the accounting CordS and return5. or certaln disclosures of trustees, remuneration specified by law are not made; or we have not received all the information and explanalions we require for our audit. 10
Rural Action Company Limited by Guarantee Independent Auditor's Report to the Members of Rural Action (conlinued) Year ended 31 March 2024 Responslbllltles of trustaa8 As explalned more fully in Ihe Iwst8es' responsibilities statement, the trustees (who are also the directors for the purposes of Company law) are responsibl8 for th8 pr8paration of the financial statement5 and for being satisfied that they glve a true and fair vi8w, and for such internal control as the trustees d8t8rmin8 is n8cessary to enable the preparation of financial statements that are free from materlal misstatement, whether due to fraud or error. In preparlng th8 financial statements. the trustees are responsible for assessing th8 charty's ability to continue as a going concern, disclosing, as appll¢able, matters r8lat8d to going concern and using the going concem basis of accounting unl8SS the trust88S either intend to liquidate the chatity or to cease oparations, or have no realistic altemative but to do so. 11
Rural Action Company Limited by Guarantee Independent Auditorfs Report to the Members of Rural Action (contlnuedl Year ended 31 March 2024 Auditor's responsibilities for tho audit of tho financial statements Our objectives are to obtain reasonable assurance about whether the financial ststements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinlon. Reasonable assurance is a hlgh level of assurance, but is not a guarantee that an audit ¢ondu¢ted in accordance with ISAS (UK) will always det8cI a mat8rial misstat8m8nt when It exists. Misstatements can arise from fraud or error and ar8 considered material if, individually or in th8 aggregate, they could reasonably be expected to influence the economlc decisions of users taken on the basis of these financlal statements. Irregularities, including fraud, are instances of non-compliance with laws and regulatlons. We deslgn procedures in line wlth our résponsibilities, outllned abovè, to d8t8Ct mat8rial misstat&m8nts in respect of irregularities, including fraud. Th8 extent to which our procedures are Gapable of detecting irregularities. including fraud is detailed below: In Identlfylng and assesslng rlsks of malerfal mlsstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered th& fo15owing'. .the nature of the Industry and sector, control envlronment and business perfomianc8 including the deslgn of the r8muneration policies, key drivers for directors, remuneration. bonus levels and performance targels. results of our enqulrles of management about their own identification and assessment of the risks of irregularities; any matters we Identified having obtained and reviewed documentation of their policles and proc8dures relating to: identifying, evaluating and complying wlth laws and regulations and whether manag8m8nt wer8 aware of any instances of non-compliance., detecting and responding to the risks of fraud and whether management have knowledge of any actual, suspected or alleged fraud; the Internal controls established to mltigate rlsks of fraud or non-compliance wlth laws and regulatlons. the matters discussed among the audit engagement team including significant component audit teams and relevant internal specialists, including tax and valuations specialists regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. As a r8suIt of these procedures, we considered the opportunities and InntIveS that may exlst within the organlsation for fraud and Identified the greatest potential for fraud. In common with all audits under ISAS IUKI, we ara also required to perform specific proc8dur8S to respond to the risk of management Override. We also obtained an understanding of the legal and regulatory frameworks in operatlon, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included ongoing compliance with the UK Companies Act and tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental for their ability to operate or to avoid a material penalty. 12
Rural Action Company Limited by Guarantee Independent Auditor's Report to the Members of Rural Action (¢onflnuod) Year ended 31 March 2024 As part of an audit In accordance with ISAS (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: Identify and assess thè risks of material misstatement of th8 financial statements, whether due to fraud or èrror, design and perform audlt procedures responsive to those risks, and obtain audit evidence that is sufflcl8nt and appropriate lo provide a basls for our opinion. The risk of not detecting a matarial misstatemenl resulting from fraud is higher than for one resulting from error, as fraud may involve collusion. forgéry, intèntional omlssions, misrepresentatlons, or the override of internal control. Obtaln an understanding of internal Control relevant to the audit in order to design audlt procedures that are appropr18te in the circumstances, but not for the purpose of expr8ssing an opinion on the effectiveness of the int8mal control. Evaluate th8 appropriateness of accountlng pollcies used and the reasonableness of accounting estimates and related dis¢losur8s made by the trustees. Conclude on th8 appropriateness of Ihe trustees, use of th8 going concern basis of a¢¢ounling and, based on the audit evidence obtained, whether a material uncertainty 8XlSts related to event5 or conditions that may cast significant doubt on the Charlty's ability to contlnue as a going Concern. If w8 conclude that a material uncertainty exists, we are required to draw attention in our auditorfs report to the related disclosures in the financial statements or, If such disclosures are inadequat8, to modify our opinion. Our ¢onclusions are based on the audit evldence obtained up to the date of our auditor's report. How8V8r, future events or conditions may cause the charlty to cease to ¢ontinu8 as a going concern. Evaluate the overall psentatIon, structure and content of the financial statem8nts. including the dlsclosures, and whether th8 financlal statemenis represent the underlying transactions and events in a manner that achieves fair presentation. We communicat8 Wlth those charged with govemance regarding, arnong other matters, th& planned scope and tirnlng of the audlt and significant audlt findings, includlng any significant d8ficiencies in internal control that W8 identify during our audit. 13
Rural Action Company Llmited by Guarantee Independent Auditor's Report to the Members of Rural Action (eofttlnued) Year ended 31 March 2024 As explained more fully in the Truslees, Responsibilities Statement (set out on page 7), the truste8S are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and exprèss an opinlon on the financial statements In accordance with applicable law and International Standards on Auditing (UK). Those standards require us to comply with the Financial Reporting Council's (FRC'S) Ethical Standard for Audltors,, in in thè clrcumstsnces set out In note 24 to the financial statements. Use of our rèport This report 19 made solely to the charity's members, as a body, In accordance wlth Chapter 3 of Part 16 of the Companles Act 2006. Our audit work has be8n undertaken so that we might state to the charity's members those matters we are requlred to slate to them in an auditorfs report and for no other purpose. To the fullest extent P8miitted by law, we do not accept or assume responslbility to anyone other than the charity and the charity's members as a body, for our audlt Work. for this report, or for the opinions we have fomi8d. Conor Dolan FCA (Senior Statutory Audltor) For and on behalf of Finegan Gibson Ltd Chartered accountants & statutory auditor Causeway Tow8r 9 James Street South Belfast BT2 8DN 5 December 2024 14
Rural Action Company Limited by Guarantee Statement of Flnancial Activities (including income and expenditure account) Year ended 31 March 2024 2024 Restricted funds Total funds Total funds 2023 Unr8Stricted funds Note Income and endowments Donations and legacies Charitable activltles 19,500 10,925 19,500 463,453 29.720 867.830 452,528 452,528 Total Income 30.425 482,953 897,550 Expendlture Expenditure on charitable activities Total oxpendlture 115,566 429,969 545,535 572,838 572,838 115,566 429,969 545,535 Net {expendltur•)lincom• (85.141) 22,559 {82,582) 324,712 Transf8rs between funds (700) 700 Net movemont In funds (85,8411 23,259 (62,582) 324,712 Reconciliatlon of funds Total funds brought forward Total funds carrled forward 323,163 237,322 61,534 384,697 322,115 59,985 84,793 384,697 The statement of flnancial actlvltles Includ8s all galns and losses recognlsed In the year. All income and 8xp8nditure derlve from continuing actlvltlas. The notes on pagos 18 to 28 forni part of these f5nancial statements. 15
Rural Action Company Limited by Guarantee Statement of Financial Position 31 March 2024 2024 2023 Not• Flxod assets Tangible fixed assets 14 1.798 5.104 Current assets Debtors Cash at bank and in hand 15 110,872 240,869 95,086 301,658 351.741 396.744 Credltors: amounts falllng due wlthln one year Nat current assets 16 31.424 17,151 320.317 379.593 Total a88•t$ 16ss current liabilitl•s 322,115 384,697 N•t ass•ts 322.115 384,697 Funds of the charity Restricted funds Unrestricted funds 84.793 237,322 61,534 323.163 Total charlty funds 19 322.115 384.697 These financlal stat8m8nts were approved by the board of trustees and authori5ed for issue on 5 December 2024, and are signed on behalf of the board by: T M¢Nally Trustee K Addls Truslee Th• notes on pag 18 to 28 fomi part of th958 financial 51atgments. 16
Rural Action Company Limited by Guarantee Statement of Cash Flows Year ended 31 March 2024 2024 2023 Cash flows from oparatlng activitles Net (8xp8nditure)lincome (62,582) 324,712 Adjustm8nts ft)r.' Depreciation of tangible fixed assets Accrued expensesl{Income) 4,147 7,754 7.154 (3,108) Changes in.. Trade and other debtors Trade and other creditors (15,786) 6,519 (3,064) (145,987) 179,707 Cash generated from operations (59,948) Tax pald Net cash (used inyfrom operatlng actlvitles {2,146) 177,561 (59,948) Cash flows from invosting actlvltles Purchase of tanglble asset5 Net cash used in invesling actlvltles (841) (841) (3,632) {3,632) Net (decrease)Ilncroa$o in cash and cash equlvalents Cash and ca8h equlvalents at beginnbng of yoar Cash and cash equlvalent8 at end of year (60.789> 301,658 240,869 173,929 127,729 301,658 The notes on pages 18 to 28 form part of these financial stataments. 17
Rural Action Company Limited by Guarantee Notes to the Financial Statements Year ended 31 March 2024 General Inforniatlon The charity is a publ1¢ b8neflt èntity and a privat8 company limited by guarante8, registered in Northern Ireland and a registered charty in Northern Ireland. The address of the reglstered office is Administration Building, Loughry College. Cookstown, BT80 9AA, Tyrone. Statement of complianc• 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 charities preparing their accounts In accordance with the Financlal Reporting Standard applicable in the UK and Republic of Ireland (FRS 102} {Charitl8S SORP (FRS 102)) and the Companies Act 2006. Accountlng pollcle8 Basls of preparatlon The financial stat8m8nts have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at falr value through income or expenditure. The financial slatements are pr8par8d in sterling, which is the functional currency of the entity. Going concern Ther8 are no mat8rial uncertaint18s about th8 charity's ability to continue. Judgements and key sourcas of estlmatlon 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 revlewed and are based on experlence and oth8r factors, includlng expectations of future events that are belleved to be reasonable under the circumstances. Fund accountlng Unrestrlcted funds are available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestricted funds eamarked by the trustees for particular future project or commitment. Restricted funds are subjected to restridions on thelr expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds. 18
Rural Action Company Limited by Guarantee Notes to the Financial Statements (¢ontlnu Year ended 31 March 2024 Accounting policies f¢onllnu¢d) Incomlng resources All incomlng resources are included In the statement of financial activities when entitlement has passed to the charity,. it is probable that the economic benefits associated with the tTansaction will flow to the charity and the amount can be r81iably measured. The following sp8clfic policies are applied to particular categories of income: incom8 from donations or grants is recognlsed when there is evidence of entitlement to the gift, recelpt Is probable and its amount can b8 measured reliably. legacy income is r8cognis8d when receipt is probable and entitl8m8nt is established. Income from donated goods is measured at the falr value of the goods unless this is impractical to measur8 r81iabty, in which case the value is derlvèd from th8 Cost to the donor or th8 estimated resa58 value. Donated facilities and services are recognised In the accounts when rec8lved if the value can b8 reliably measured. No amounts are Included for the contribution of general volunteers. income from conlracts for the supply of services Is recognlsed wlth the d811very of the contracted service. This Is classified as unrestricted fvnd5 unless th8r8 is a contractual requirement for it to be spent on a particular purpos8 and returned if unspent. In which case it may be regarded a5 restricted. Resources expended Expenditure Is recognised on an accruals basis as a liability is incurred. Expendlture includes any VAT which cannot be fully recovered. and is classified und8r headings of the statement of financlal actlvitles to whlch it relates: expenditure on ralslng funds Includes the costs of all fundralslng actlvities, events. non*iarltab18 trading activities, and the sale of donated goods. expendlture on charltable activities includes all costs Incurred by a charity in undertaking activities that further its charitable aims for the benefit of its ben8ficiaries, including those support costs and costs relatlng to the governance of the charity apportloned to charltable activlties. 0th8r expenditure includes all expendilure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities. All costs are allocated to expenditure categories reflecting the use of the r8sourc8. Direct costs attributable to a single activity are allocated dlrectly to that a¢tlvity. Shared costs are apportioned bea&n the activities they contribute to on a rèasonable, justifiable and consistent basls. Tanglble assets Tangible assets are initially recorded at cost, and subsequently statèd 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 losse5. 19
Rural Action Company Limited by Guarantee Notes to the Financial Statements (continued) Year ended 31 March 2024 Accounting policies (¢onllnu Tangible assets (contlnued) An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognlsed galns and Ioss8s, unless It reverses a Charge for impairment that has previously been recognised as expenditure within the statement of financial activitiés. A decr8as8 in the carrying amount of an asset as a result 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 galns and losses on the statement of financial activities. Depr•ciation Depreciatlon is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows.. Equipment 33Yo straight Ilne Impairment of fixod asset$ A revlew for Indicators of Impalment Is Carrled out at each reportlng date. wlth the recoverable amount being estimated where such indicators 8XiSt. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at 8ach reporting dat8. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverabl8 amount of the cash-generatlng unlt to which tha asset belongs. The cash-generating unit is the smallest Identifiable group of assets that includ8S the assèt and generates ¢ash inflows that largely Independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwlll acquired in a busin8ss combinatlon Is, from the acquisition date, allocat8d to each of the cash-generating units that are expected to benefit from the synergies of the combination, Irrespectlve of whether other assets or liabilities of the charity are assignéd to those unlts. Financial instruments A flnan¢lal asset or a financlal Ilablllly Is recognlsed only when Ihe charity becomes a party to the contractual provlslons of the Instrument. Baslc financial instruments are Inltlally recognised at the amount receivable or payable Including any related transaction costs. Current assets and current liabilities are subsequ8ntly measured at tha cash or other consideration expected to be paid or received and not discounted. Debt instruments are subsequently measured at arnortised cost. 20
Rural Action Company Limited by Guarantee Notes to the Financial Statements (¢ontlntsed) Year ended 31 March 2024 Accounting policies (¢onfinuedJ Flnancial instrumgnts (eonllnu whe investments in shares are publicly traded or their fair value can othetwise be measured reliably. the investment is subsequently measured at fair value With changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment. Other financial inslruments, Includlng derlvatlves. are Initially recognlsed at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is nol a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rale of interest for a similar debt instrument. Other finan¢lal instruments are subsequently measured at fair value, wlth any changes recognised in the statement of financial activitles, with the exception of hedging instruments in a designated hedging relalionshlp. Financlal assets that are measured at cost or amortised cost are revlewed for objecllve evldence of impairment at the end of each reporting date. If there is objectlV8 evidence of impairment. an Impairment loss is recognised under the appropriate heading in the statement of flnancial activities in which the initial galn was recognlsed, For all equity instruments regardless of slgnificance, and other financial asset5 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 rtsk char8cleristics. Any reversals of Impairment are recognlsfyd immedlately. to the extent that the reversal do&s not result in a Carrying amount of the financial ass&1 that exceeds what the carrying amount would have been had the Impairment not previously been recognised. Deflned contribution plans Conlrlbutions to defined contribution plans are recognised as an expense in the period In which the related service is provided. Prepai¢J contributions are recognised as an asset lo the extent that the prepayment will lead to a reductlon in future payments or a cash refund. When contributions are not expe¢ted to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on discounted present value basis. The unwinding of the discount Is recognised as an expense in the period In which It arises. Llmited by guarantee Each of the members of the company has guaranteed to contribute to the assets of the company in the event of the same being Wound up to the extent of £1. 21
Rural Action Company Limlted by Guarantee Notes to the Financial Statements (conlinuad) Year ended 31 March 2024 Donatlons and legacias Unrestrided Total Funds Unrestrlcted Total Funds Funds 2024 Funds 2023 Donationg Donations 19,500 19,500 2g,720 29,720 Charitablo aGtlvltleg Unrestricted Funds Restricted Total Funds Funds 2024 340,920 80,236 340,920 80,236 IFI MUDC EU PIV Connectlng Pomeroy AHF Department of Foreign Affairs: Shared Island Civlc Socieiy Fund Miscellaneous income DAERA- Halls tralning 31,372 31,372 10.925 10,925 10,925 452,528 463,453 Unrestrlcted Funds Restrfcted Total Funds Funds 2023 344,860 89,703 7,385 344,860 89,703 7,385 IFI MUDC EU PIV Connecting Pomeroy AHF Department of Foreign Affairs.. Shared Island Civlc Society Fund Miscellaneous Income DAERA_ Halls training 20,380 405,502 425,882 20,380 405,502 867,830 441,948
Rural Action Company Limited by Guarantee Notes to the Financial Statements (¢ontlnuedJ Year ended 31 March 2024 Expenditure on charitable actlvitles by fund type Unrestricted Funds Restrlcted Total Funds Funds 2024 Rural development Support costs 86,644 28,922 115,566 398,119 31.850 429.989 484,763 60.772 545,535 Unreslrlcted Funds Rural development Support costs Restricted Total Funds Funds 2023 172,118 27.365 199,483 342,648 30,707 373,355 514,766 58,072 572,838 Exponditur• on charltable acllvltles by actlvlty type Actlvlties undertaken directly Support costs 484,783 55,817 4.955 60,772 Total funds 2024 Total fund 2023 Rural development Governance costs 540,580 4,955 545,535 567.247 5,591 484,763 Analysls of Support costs 572.838 Analysis of support costs Total 2024 Total 2023 51.982 2,935 51,982 50,006 4,955 2,935 4,955 2,475 5,591 59,872 59,872 58,072 Staff costs Finance costs Governance costs 10. Net {expenditure)Ilncome Net (expenditureyincome is stated after charging/(crediting): Depreciation of tangible fixed assets 2024 2023 4,147 7.154 23
Rural Action Company Limited by Guarantee Notes to the Financial Statements (¢ontlnued) Year ended 31 March 2024 11. Auditors remuneratlon 2024 2023 4.668 5,335 Faes payable for the audit of the financial statements 12. Staff costs 2024 2023 The total staff costs and 8mploye8 benefits for the reporting period are analysed as follows: 377,256 37,786 9,402 424,444 378.561 33,151 8,364 420,076 Wages and salaries Social security costs Employer contributions to penslon plans The average head count of employees durlng the year was 12 (2023: 11). 2024 2023 The number of employees whose remuneratlon for the year fell wlthln the following bands, were: £60,000 to £69,999 £70,000 to £79,999 Kay Managemont Pernonnol Key management personnel include all persons that have authority and responsibility for plannlng, directing and controlllng the activities of the charlty. The total compensalion paid to k8y management personnel for services provided to the charity was £197,115 (2023..£202,025). 13. Trust•e rnmun•ratlon and expenses The trustees of the charity were not pald and dld not raceive any other benefits from employment with the Charity in the year (2023: Nil). The trustees were not reimbursed for any expenses Incurred during the year (2023:NII),
Rural Action Company Limited by Guarantee Notes to the Flnanclal Statements {contlnu•dJ Year ended 31 March 2024 1Q Tangible fixed assets Equipment At 1 April 2023 Additlons 21,679 At 31 March 2024 22,520 Dopreciation At 1 April 2023 Charge for the year At 31 March 2024 16,575 4,147 20,722 Carrying amount At 31 March 2024 1,798 At 31 March 2023 5,104 15. D•btors 2024 2023 Trade debtors Prepayments and accrued Incom8 108,383 2,489 92.101 2,985 110,872 95.086 16. Cradltor8: amounts falling due within ono year 2024 2023 Trade credltors Accruals and deferred income 13,338 18,086 6.819 10,332 31.424 17,151 17. Deferred Income 2024 2023 At 1 Aprll 2023 Amount released to income 128,586 (128.586) At 31 March 2024 25
Rural Action Company Limited by Guarantee Notes to the Financlal Statements (eontlnuéd) Year ended 31 March 2024 18. Penslons and other post retlrement banefits Deflned contrlbution plans The amount recognised In Income or expenditure as an expense In relation to defined contribution plans was £8,364 (2023: £9,402). 19. Analysls of charitablo fund8 Unrestrictod funds At 1 April 2023 At31 Transfers March 2024 Income Expenditur8 General funds Rural Actlon Awards Alternative accommodatlon fund 261,163 12,000 30,425 (115,566> (700) 175.322 12,000 50,000 50,000 323,163 30,425 (115,566) (700) 237,322 At 1 Aprll 2022 At31 Transfers March 2023 Income Expenditure General fijnds Rural Actlon Awards Alternative accommodatlon fund 66.544 455,602 (199,483) (61,500) 12.000 261,163 12.000 50,000 50.000 66,544 455,602 (199,483) 600 323.163 A designation of £12.000 has been set aside for the Rural Actlon Awards, whSch wlll be spent in the next 12 months. These awards are deslgned to support volunt88r led community actlon projects that allevlate poverty, ensura economlc vibrancy, and promote health & soclal well-belng locally. The organlsatlon currently operates out of the Admlnistration Building of the CAFRE Loughry Estate. A major redevelopment of the estate Is planned wlthin the n8Xt 12-15 months. wlth Ihe Administration Building due to be demolished. A designation of £50,000 has been set aside to pursue altemative accommodation over the next 2 years. 26
Rural Action Company Limited by Guarantee Notes to the Financial Ststements (condnued) Year ended 31 March 2024 19. Analysls of charitable funds (contlnuedj Restricted funds At 1 April 2023 At31 Transfers March 2024 IFI PYDP IFI CIPP MUDC EU PIV Connecting Pomeroy AHF Department of Foreign Affalrs.. Shared Island Civic Society Fund Income Expenditure 244,039 96,881 (243,188) (96,881) 63,945 (841) 63,955 (2,411) 80,238 (79.366) 1,541 31,372 452,528 (10.534) (429,969) 61,534 20,838 84,793 700 At 1 April 2022 IFI PYDP IFI CIPP MUDC EU PIV Connectlng Pomeroy AHF Department of Foreign Affalrs.. Shared Island Clvic Society Fund Income Expendlture 306,172 38,688 (240,442) (36,844) At31 Transfers March 2023 {1,785) (1,844) 63,945 (6,559) 89,703 7.385 (88,239) (7,830) 2,684 445 (2,411) (6,559) 441,948 (373,355) (500) Department of Foreign Affalrs Rural Action received £31,372 {E37,385) during the 23124 flnancial year for the Synergy.. Rural Collaboration Project from the Department of Forelgn Affairs: Shared Island Civic Society Fund. Transfers between funds Transfers out of r&slricled funds relate to the purchase of fixed assets with restricted fundlng, on which there is no longer a restriction. Transfers into restricted funds from unrestricted funds are to meet overspends In projècts which cannot be reclaimed from funders. 61,534
Rural Action Company Limited by Guarantee Notes to the Financlal Statements (conllnued) Year ended 31 March 2024 20. Analysis of net assets between funds Unrestricted Funds Restricted Total Funds Funds 2024 1,798 268,518 (30,994) 237,322 1,798 351,741 (31,424) 322,115 Tangible fixed assets Current assets Creditors18ss than 1 year Not assets 85,223 (430) 84.793 Unrestrided Funds Restricted Totsl Funds Funds 2023 5,104 330,836 (12.777) 5,104 396,744 (17,151) Tangible flxed assets Current ass8ts Creditors less than 1 year Creditors greater than 1 year Not assets 65,908 (4,374) 323,163 61,534 384,697 21. Taxatlon The Company is a reglstered charity. and as such is entitled to tax exemptlons on income and profits In furtherance of the charity's primary objectives. 22. Analysls of changes in net debt At At 1 Apr 2023 Cash flows 31 Mar 2024 (60,789) 240.869 301,658 Cash at bank and in hand 23. Contlngenclos A Contingent Ilability exists to repay grants and Trust monies received should cartain condltions not be fulfilled by the charity. In the opinion of the Trustees, the t8rms of the Letters of Offers have been. or will be, complied wlth and no Ilabillty Is expected. 24. Ethical standards In common with many other buslnesses of our size and nature we use our auditors to prepare and submit returns to the tax authoritles and assist with the pr8paratlon of the financial statements. 28