Charity registration number.. SC020023 Borders Scrap Store Annual Report and Financial Statemellts for the Year E￿Ied 31 Mareh 2026 Borders Scrap Store Contenls (contlnued) Refrr¢nc¢ and Adtninistrative Details Tru5tees' Report 2to3 Stat¢m¢nt of Trustecs, Responsibilities Indepetident EX8mine￿# Report Ststement of Financial Activities Ba]ance Sheet Notes to the Financial Stat¢muhts 8t013 Borders Serap Store Referenee and Admhnfstratlve Details Tyustees Mr David Campbell Mrs Patricia Mill¢r Mrs D¢ni5e HaDks SenloT Man4gemeni l Leadersblp Mr J P Cannell, Manager Te4m ChArity RegistratloD Number SC020023 Principal Offlce 4 Shepherds Mill Dunsdale Road Selkirk TD7 5NY Independent ExArniner Lorna Rankin¢ 27 Nortb Bridge Str¢¢¢ HAwi¢k TD9 9BD BAnkers Bat)k of s￿tIal Tweedside Road NewtowTh St B05w¢I]s TD6 OPG P8g¢ I Borders Scrap Store Trustees, Report The trnstees present tbe a]￿U81 report tog¢thu with the fill￿￿la1 staternet￿ of the charity for the year ended 31 Marc 2026. Objectlves and activitlcs Objects t7nd aih Wc aim to adVa￿ce the Understanding and participation ITh recycling, cre&tive reuse of materials. advance cojnmunity developmen¢ and advance environmental protection or Improv¢n￿Lt. Objeclivu, strolegiés tzrtd acllvllies The principal activity ss tbe prepatation and sale of waste 8nd T¢￿Vered goods. We aim to use waste aDd otlw uttwanted items from local businesses and individuals to improve thc range and quality of creative materials available to children and the wtder commwiity. The SLY8PStore is headquartered in Sclkirk with a base at MusselburglL altog¢th¢r ¢ov¢titig most of South-East Scottand. Mat¢rials processed include textiles, yarns, pap¢r Hnd ￿T(L wood, tools. plastic, craft supplt¢s. paint and natural materia15. New ¢raft items are also sold to help raise fwids. FHndMlslng disclosures The pIincipg41 sourc¢ of iti¢ome is fi￿dS from tbe sale of salvag¢d and new ar( craft and educational materlals. with contributions from local couD¢ils and doj]ati0￿. Use olwoluuteers The tru5t¢cs art grate￿1 to the various volunteers wlw give th¢ir tim¢ freely. and without vthom we wou]d not b¢ able to deliver the services ¢urr¢ntly provided. Achievement8 And wformAnee Borders Scrapstore continue5 to operat¢ from both Seikirk and Musselburgb, and it has been anotlker evetttful y￿. Helett Greig retired in June 2025 after some seventeen years tunning the Scrapstor¢ itt The Fisherrow Centre. We would like to extend our thanks to Hclen for her long y¢2rs of reliable and loyal service, and wc wish het well for tbe future. Hel¢n ha5 been superseded by Lauien Coull, who has worked hard to get up to speed with all th¢ ￿pects of Borders Scrapstore and is proving a worthy replacemenL giving us some optimism for the ￿tt￿e. We also thank Liz Neils0￿ long term Trustee and volunteer, atsd Jren¢ MA¢k&y, store volunteer. both Dow retired. for their help ovcr the years. We have con¢inu¢d to off¢r our core services. Promoting waste reduction and ¢r¢ative re-use, from both Scropstores. However, trading conditions have proved difficult. customers generally have less to spend, and ￿lIe wc continue to receive large quantities of surplus Jhateri8ls for re-use, much of it tends to be low¢r value or unusable items which affects our turnover. This has led to a defioit of ovtr £5,000 for the year. W¢ are grate￿1 for a substsntial p¢r8onal donation which has been a great help. W¢ wntiThue to hold opett days and ckarance days at Se]kirK and these are a useful sow¢e of in¢ome. We attended various Open Days and Craft Fairs at Fishcrrow, but these days we are restricted to the Scrapstorc room ther Towards the ¢tKI of the financial year wc submittcd & futKling bid to The National ￿ttery Awards for All scheme and are hop¢thl that a &uccessthI bid will enable us to continue ow work in the fijbjre. Page 2 Borders Scrap Store Trusteesl Report (contlnued) Flnancl41 revlew Policy oll Yuerv Th¢ trnst¢¢s to build the res¢rve5, but given tb¢ diffi¢ult fiDancAal sibjation this will be kq)t Wmler review. We have approxirnat¢ly 3.5 n￿)nthS worth of expenses in resery¢s at th¢ y¢ar end. Funds IN def¥cri There dre no fvnds in deficit. PrlttciprtlfuNdlng sources Th¢ principal sources are grants. donations, menthersbips and sal¢ of materials. Golng concern The trustees ¢onsider th¢ ¢l)arity to be a going concern. Stru¢tur¢i governanee And m*Dagement Nrttste ofgf)verniMgdocumep¢ Th¢ ¢lwity is governed by a constitution thAt was updated in 2010. A review of the constikntiott will be undertaken in 2025. Trustees a￿ elected at an annual AGM, under the terms as specified in the conslimtion. ArrangeJneNtsfor selling key FxanagÈmefttpepsoftNel r¢munerAtion The salary for the rn8n8g￿ is s¢tby the trustees and reviewed on an aDnual basis. Orzlintsalionol s¢rucfMve The charity is an unincorpot7ted organisation with trt￿tteS responsible for s¢Uing the aims atjd objectives. A manager is employed lo obserye the methods and prlnciples in the Charities SORP,. make judgements and eslirn&te5 that are reasonable and prud¢nt' state whether applicabl¢ accounting Stand￿1$ hav¢ b¢￿ follovrt subj¢¢t to any materi&l departures dis¢los¢d attd explained in the financial statements. and prepare th¢ fuwcial s¢atem¢uts on tIL¢ going eoncem basig unless At is inappropriate to preswne that th¢ charity will continue in busin¢6S. The ttvstees arc rcsponsible for keeping proper accounting rceords that disclose reasonable accuracy at any time the fjnancial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investmcnt {S¢otland) Act 2005, the applicable Charities Accounts (Scotland) Regulations 2006, and the provisions of the constitution. Th¢ trusk¢s are also responsible for safeguarding the a￿etS of the clwity and hcn¢¢ for takti)g reasonable steps for the pr¢v¢nb'on and d¢tc¢tioTh of fraud atul Oth￿ ijregularities. Thc trustc¢s are responsible for the mAinten8nce and integrity of the corporate and fitvancial information irt¢luded on the charitable companls wd)site. Legislation govern5ng the preparAtion and dissemination of financial ststements may differ from legislation in other jUTisdi¢tions. Approved by the trtLS ty on 2 July 2026 and signed on its behalf by.. Trustee Page 4 Borders Serap Store Independent Examiner's Report to the trustees of Borders Scrap Store I report on the acwurtts of the charity for the year ended 31 March 2026 which are Set out on pages 6 to 13. Respectlye respon$lbllltles of tr115tees exgmlner Th¢ trustces are responsible for the preparatiott of th¢ accounts iti Accordance witb the tern)s of the Charities Tn￿te¢ Investment {Scotland) Act 2005 al￿ the ch￿itieS Accounts (Seotlatsd) Regulations 2006. The tn￿leeS consid¢r that the audtt rcquircmcnt of RegulatioTJ 10{I)(d) of th¢ 2006 A￿ount5 Re8lllations do¢$ not apply. It is My respon8ibility to.. ¢xamin¢ the aecounts as required under section 44{IXe) of the Act and to state whether particular matters have come to my attentio Basts of Independent ¢xamlneT'S report My examination w88 carried out in accordancc with Rcgu]ation I l of the 2006 Accounts RegulatioDS. An examination includes a review of the accounting record8 kept by the charity and a ¢omp8rison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in thc accounts, se£kitig explanations from you as trustees concerning any such matters. The proccdurcs wid¢rtak¢n do not provide all the evid¢no¢ that would be required in an audit and consequently I do not express an audit opinion on thc vicw given by the accounts. Independent exajnlner's statement In the Course of my examtnlltion. no matt¢r hks ¢oll￿ to my attelltion.. {1) which gives m¢ r¢asoDabl¢ ¢aus¢ to b¢li¢v¢ that in nmterial respect the requirements: to keep aceounting records in accordance with section Section 44(IKa) of the 2(M)5 Act; and to prepue accounts which accord with the accounting records and ¢¢)mply with R¢gulation 9 of th¢ 2006 Accounts Regulations have not been meL' or {.2) ¢0 which, in my opinion, att¢ntion should be drawn in order to enable a proper understonding of the accounts to be reached. na Rankin¢ ICAS 27 Noith Bridge Street Hawlck TD9 9BD 2 July 2026 Page 5 Borders Serrdp Store Statement of Flnanclal Acdvfides for the Year Ended 31 March 2026 Unrestrlcted funds 2026 Nots Income Endowments from: Donations and legaci&8 Other trading activities 3,716 67.230 3.716 67,230 Total income 70.946 70,946 Expendlture on: Charitable activities (76,234 Total expenditure 76,234 76,234 Net expenditure Net rnoven￿nt in fjjnds 5,288 5,288 (5,288) (5,288) RecoThclllatloTh of funds Totsl fiuKls brought fotward Total ￿ndS carried forward 15.777 15,777 12 10,489 Unrestrlcted funds 10,489 Total 2025 Note Income ADd Endowments from: Donatio￿8 and legacies Other trading activities 3,176 71,131 3,176 71.131 Tots] income 74,307 74,307 Expethditure on: charl￿ble activities 80,588 (80,588 Total expenditure 80,588 80.588 Net ¢xp¢nditur¢ 6,281 6,281 Net movement in funds (6.281) (6,281) Reconclll4tion of funds Total brought fonvard 22.058 22,058 Total fijnds carried forward 12 15.777 All of the charity's activities derive from continuing op¢rations durillg the above two periods. The thnds breakdown for 2025 is shown in note 12. The notes on pagc5 8 to 13 form an integrhl part of these financial statements. Page 6 Borders Scrap Store (Reglstratlon number: SC021K)23) Balance Sheet as at 31 March 2026 2026 2025 Note Current Assets Casb at bank and in hand li 10.489 15.777 Fund$ of the tharlty: Unrestrlcted lttcome fllnd$ Unr¢stri¢ted fund8 15,777 Totil funds 12 10.489 15,777 Th¢ fllMll¢ial statements on pageg 6 to 13 were approved by the tTh￿tees, and authorised for issue on 2 July 2026 xnd sigtted on their be If by: Mr David Trnstee ampbell The notes on pages 8 to 13 form an integral part of these financial statements. Page 7 Borders Scrap Store Notes to the Financial Statements for the Year Ended 31 March 2026 l Ac¢ountlng pollcles Ststement of compl1a￿Ce The fu)ancial statements have been prepared in accorda1￿¢ with Accounting aod Reporting by Charities.. Statemcnt of Recommended Practice applieable to charities preparing their accounts in accordance with the Financial Reporting Standard pplicable in the UK and Republio of Ireland (FRS 102) (eff¢ctivc Octobcr 2019) - (Charities SORP (FRS 102)), the FinAncial Reporting Standard applicable in the UK and Rcpublic of Ireland (FRS 102) and the Charities Accounts (Scotland) Re8ulauons 2006. Basts of preparAdoll Borders Scrap Store me£ts thc dcfinition of a public benefit enuty ￿t￿tr FRS 102. The accounts {fir￿￿claI statements) Iiave been prepar¢d undcr thc historical cost convention witb items reco8llised at cost or traDsaction Yalu¢ unl¢sS Otb¢nvise stated irt the relevant note(5) to th¢se accounts. The finatt¢iAI stAt¢ih¢nts are presented in Sterling (£) and rounded to the nearest £0. Golng eoneern The f]nancial statements have been prepared on a going eoneern basis. The trustees assess whether the use of going eoncern is kppropriate i.e. whetber tbere are any material wic¢rtainties related to events or conditions that may cast significant doubt on the ability of the charity to continu¢ as a going concun. The trustees make this assessment irt respect of a period of one y&4r from thc dat¢ of approval of the fJnatJcial statements. Income generation post year end hag been good, with a reduction in costs b¢ing achicved. For these reasons. the t￿￿teeS collsider it appropriate that the aceollttts are prepared on & going conc¢m basis. Income and endowments VollllltAry irteom¢ including donalions, gifts, legacies and grants that provide CO￿ ffijnding or are of a general n8￿re is reco￿)18¢d when the charity has entitlcment to the income. it is probable that the income will bc received atMI the amount can be measured with 8ufficient reliability. DoNailons andlegoeies Donations al￿ lewi¢s ar¢ r¢cognised on a r￿￿1Vable basi8 when receipt is probable and the amollllt be reliably Grants receivable Gtants are recognts¢d vkn¢n thc charity ha5 an entitlement to the fvnds and ally condition5 linked to the grnts have beets met. Where performancc condition5 are attsched to the graiit and are yet to bc meL the ithcomE is recognised as a liability and includcd on the balance sheet as deferred income to be released. Other Irading activilies Shop sal¢s aT¢ r¢cognis¢d whcn goods are paid in full. Expendlture All expenditure is recognised once there is a legal or constructive obligaiion w that ¢xpendityre, it is probable 5ettlemetst is required and the an￿Unt can be measured reliably. All costs Are allo¢ht¢d tt> thc applicable expenditure heading that aggregate similar costs to that eategory. Wh¢r¢ ¢ost$ cannot b¢ dire¢dy attributed to particular headings they have been allocated on 8 basis consistent with the use of resour¢es, with ¢¢ntral staff costs Allo¢atcd on the basis of time S￿n( #nd depreciation charges ￿lo¢llted on the ￿)rtIOn of th¢ a88¢È's ￿e. Other support costs ar¢ allocated based on the basis of direcl attributiotL Page 8 Borders Scrap Store Notes to the Flnanclpdl Statements for the Year Ended 31 March 2026 (continued) Chovilabk aclivilies Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and s¢ryice8 for its beneficiaries. It includes both costs that call be allocated dlrectly to such activiti¢s and thos¢ ¢osts of an indire¢t natur¢ necessary to support them. Support eo8t8 Support costs include eentral fimctions and have been allout¢d to activity cost categories on a basis coThsistent with the we of resources. for example. alloeatitig property costs by floor arca8, or per capit4 Staff costs by the time spent and other costs by their wage. Governanee c08t8 These includc thc costs attributable to ihe charity's compliance with constitutional and statutory rwuircmcnts, including audit, strat¢gic management atyl trnstees meetings and reimbursed exr£n5es. Government gr*nts Governrnent grants are recognised based on the cash b855s and ar¢ mcasured al the fair value of the asset received or receivable. Grants relating to revenue are Iecogthi5ed in Incon￿ over the period in which the related costs are recognised. Taxation The charity is considcr¢d to pass the tests set out in Paragraph I Scbedule 6 of the Finance Act 2010 a[￿ therefore it ￿te￿ the d¢finttion of a charitsble company for UK corporation tax purpose5. Accordingly, the Charity is pot¢ntially ¢x¢rnpt from taxation in rGsp¢ct of in¢orn¢ or Capital gains received within catCgDrie5 coveted by Chaptu 3 Part 11 of tbe Coiporation Tax Act 2010 or Scction 256 of the Ta￿10￿ of Chargeable Gains Act 1992, to the extellt that slleh incom¢ or gaiDs are appli¢d ¢xclu8ively to charitable purposes. Tanglble fixed a8$ets Asset purchases are expendcd to the iticome stakttwit as incwred. C4$h and cash eqMiv8lents Cash and casli equivalents ¢ompris¢ ¢ath on hand atKI call deposits, and othei. short-terni highly liquid investments that are readily convertibl¢ to a krAown ￿￿ll￿t of cash and are subject to all insigllific￿t risk of change in value. Fund structure Utvestricted income ￿ndS are 8eneral ￿ttds that ar¢ availabl¢ for use at die trnstees discr¢lion in fiwtberance of the objectives of the charity. Ptnsionl and o(her pos¢ re¢lrement obllgatlons Pension contributions payabl¢ und¢r a d¢fin¢d contribution sch¢n]¢ 3r¢ ¢harged to the it￿OMe statement as they are paid. Flnandal Instruments Clossifi¢fjtion Financial ass¢ts and ftnancial liabilities are recogntsed when the charity beeomes a party to tbe Cot￿a¢th￿ provisions of tbe instrument. Financial liabilities and equity instnunents are elassifi¢d according to tlie substanc¢ of th¢ ¢ontra¢tual 3rrang¢m¢nt$ ¢nt¢r¢d into. An ¢quity instnunent is any contract that evidenees a residual interest iti tbe assets of th¢ ¢harity after d¢ducting all of ILS liabilili¢s. Page 9 Borders Scrap Store Notes to the Financlal Statements for the Year Ended 31 March 2026 (continued) Recognition meqsuremeiil All fttvdncial assets and liabilitiC8 are Initially measured at transaction price (including transaction costs), except for those fit￿￿181 assels cla&sifi¢d as at fair value through profit or loss, which are initially measured at fair value (whieh is normally the transaction pric¢ cxcluding transaction costs), unlcss the arrattgement conSti￿￿S a fjnancing traDsaetion. If an arrangernent constitutes a fsnancing tsansaction, the fillattciai asset or financi￿ liability is measured at the present value of the payments di5¢0unted at g4 market rate of interest for a similar debt instrument. Financial asscts and liabilities are only offset in th¢ statement of financial position wheo and only wh¢n tha¢ ¢xist5 a legally cnforceable right to set off the recognts¢d a￿Ul￿ at￿ the charity itttends ¢ith¢r to settl¢ on a De¢ b￿18, or to r¢alis¢ the asset and settle the liability simultan¢ously. Financial assets are derecognised wben and only ￿llen a) the eontracwal rights to th¢ cash flows from the fmancial asset ¢xpire or are settled. b) the charity transfcrs to another party substantially all of th¢ risks and rewards of OH￿erShip of the financial asseL or cl the charity, dc8Pite having retained some, but not all, signifi¢ant risks and rewards of ownership, I transferred cotttrol of the &ssct to another party. Financial Ilabilities are derwognised only when the obligation specified An th¢ contract is discharged, cancelled or expires. 2 Income from doDarfons and leg*¢les Unrestrleted funds General Totsl 21126 Total 2025 Donedtions and le8acieg- Donations from individuals Grdnts. including capital grants; Government Brants 1,256 1,256 276 2,460 3,716 2,460 2.￿0 3,716 3.176 3 Income from other trAdlng #etlvllles Unrestrlcted funds General Total nd$ TotAI 2025 Trading income. Shop income from sale of goods and services Membership subscriptions 66,811 419 66,811 419 70,331 800 67,230 71,131 PaRe 10 Borders Scrap Store Notes to the Flnanelal Statements for the Year Ended 31 March 2026 (eontlnued) 4 Expendlture on charltAble 4¢tlvltles Unrestrlcted fullds General Totsl 2026 Tot•1 2025 Shop pureh&s Wages and salaries Rellt & rates Heat & light Insuranc¢ Telephone Motor upkeep Repairs Other costs Hir¢ of machine terminal Credit card charges 7,454 42.129 17.121 1,767 894 925 1522 164 837 7,454 42,129 17,121 1,767 894 925 2,522 164 837 771 1,192 8,308 46.854 16,461 2,110 851 946 1,872 274 883 588 1.029 771 1,192 75,776 75,776 80,176 S AttAly&is ofgovernan¢¢ 4nd 8uppor¢ costs Goverfj4nce costs Unrestrtcted funds Gener41 Total 2026 Total 2025 Independent examiner fres Examination of the fittahcial statetnents 458 458 412 458 458 412 6 Government grants East Lothian Council and Scottis11 Borders Council provide gTants tied to service level agreements. The amount of gtallts rccognis¢d th¢ financial slatements was £2,460 (2025- £2.900). Pagell Borders Scrap Store Notes to the Ffinancial Statement5 for the Year Ended 31 March 2026 (contlnued) 7 Trustees remuneratloh and expenses No tn￿te&S, I￿r any persons COItt￿Cted with th¢￿ have received any remuneration from the charity during the year. No tswstees hve received any reimbursed expenses or any oth¢r b¢n¢fits from th¢ chority during the y¢ar. 8 StAff Costs The aggregate paymll costs were as follows.. 2020 2025 Staff coyt& durlng the year were: Wag¢s and salaries Pension costs 41.081 1,048 45,597 1,257 42,129 46.854 The monthly average number of p¢rson$ {including Senior management I leadership team) employed by the charity during the year express¢d As filll lit￿ equiv4lcnls was as follow8: 2026 No 2Q25 No Direct 1 (2025- 1) of the above Crnplo￿cS participated in the Defjned Contribution Pension Schemes. No ¢mploy¢¢ r¢ceiv¢d emolurnents of more than £60,LKJO during the year 9 Independent ex4mtner's remunerAtion 2026 2025 ExaminatlOD of the fwocial statements 458 412 Page 12 Borders SerY4P Store Notes to the Flnancial Statements for the Year Ended 31 March 2026 (contlThued) 10 Tazatlon The charity is 8 registered ¢]￿lty artd is therefore exempt from ￿￿tiOn. 11 C&sh Cash equlvalents 2026 2025 C&sh on hand Casb at bank 13 10.476 60 15.717 10,489 15,777 12 Funds Balance at I Aprll 21125 Resour¢e$ expended Bal8nce at 31 M4Tch 21126 r¢wurce$ Unrestrlcted funds G¢nernl 15,777 70,946 (76,234 10,489 Bal#nee at I Aprll 2024 Inetsming resources Resources expended B4lance at 31 March 2025 Unrestrleted funds Gcn¢ral 22,058 74.307 80,588 15,777 13 Analy8ls of net xuets behveert funds Unrestrleted fund8 General Total funds at 31 March 2026 Currellt a￿¢t5 10,489 10,489 Unrestrl¢ted nds G¢ner#l Totsl funds at 31 M*r¢h 2025 Curr¢nt 8s8¢18 15.777 15,777 Pag¢ 13