THE GOOD WORKS COMPANY (SCIO)
Report and Financial Statements Year ending 30 November 2022 SCIO number: SC046947
The Good Works Company
Report of the trustees for the year ending 30 November 2022
The trustees are pleased to present their annual directors’ report together with the consolidated financial statements of the charity for the year ending 30 November 2022.
The financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Chair’s report
This year the Trustees have deepened relationships with existing charities, including further grants to At the Bus to provide a mobile arts therapy space for children. We have also invested in new charitable projects, including the Anna Freud Centre to support children’s mental health and the Red Dress Project which empowers women around the world.
We are pleased to see the continued positive impact our donations have made in supporting communities, and aim to grow our income so we may support more worthy causes and projects.
, Chair
The Good Works Company Report of the trustees for the year ending 30 November 2022
Our purposes and activities
The purposes of the charity are to provide funding for individuals or organisations whose work is deemed charitable. Achievements for the financial year 2021-2022 include:
Providing £100,000 to the Anna Freud Centre to support their work on helping children with mental health problems, our first multi-year grant which will last for a period of three years.
Supporting At the Bus, a mobile arts therapy project which helps disadvantaged children through art with a gift of £67,000 to fund an expansion in their programmes and covering core costs.
Financial review
Our income continues to stay stable, and we have invested in further monitoring and evaluation of our projects to assess our impact. With a total of £225,518 raised and £210,423 invested in charitable projects and covering our costs, we carry a small surplus into the next financial year. We remain confident that the Good Works is in a secure financial position to invest in charitable projects.
Reserves policy
GWC aims to maintain a minimum reserve of £12,000, which we have met and believe is sufficient.
Plans for future periods
As fundraising activity increases and monitoring and evaluation of more projects occurs, in 2023 we will invest some of our reserves into increasing the capacity of GWC.
Trustees’ responsibilities in relation to the financial statements
The charity trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing the financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and the group and hence taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing
the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Reference and administrative details
Charity number: SC046947
Registered Office:
Our advisers
Directors and trustees
The directors of the charitable company (the charity) are its trustees for the purpose of charity law. The trustees and officers serving during the year and since the year end were as follows:
Key management personnel The Good Works Company:
Trustees’ and Directors
Key management personnel:
Structure, Governance and Management
The Good Works Company is an SCIO governed by its Memorandum and Articles of Association dated 30 November 2016. It is registered as a charity with the Scottish Charity Regulator.
Appointment of trustees
As set out in the Articles of Association the chair of the trustees is nominated by other Trustees, of which there must be a minimum of three. Suitable individuals under consideration for trusteeship are interviewed and appointed by existing trustees.
Trustee induction and training
New trustees undergo an orientation day to brief them on: their legal obligations under charity and company law, the Scottish Charity Regulator’s guidance on trustee duties, and inform them of the content of the Memorandum and Articles of Association, the committee and decision-making processes, the business plan and recent financial performance of the charity. During the induction day they meet key employees and other trustees. Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their role.
Organisation
The board of trustees, which can have up to 7 members, administers the charity. The board normally meets quarterly. A Director is appointed by the trustees to manage the day-to-day operations of the charity. To facilitate effective operations, the Director has delegated authority, within terms of delegation approved by the trustees, for operational matters including finance, employment and monitoring of grant-related activity.
- Related parties and co operation with other organisations
None of our trustees receive remuneration or other benefit from their work with the charity. Any connection between a trustee or senior manager of the charity with a grant recipient must be disclosed to the full board of trustees in the same way as any other contractual relationship with a related party. In the current year no such related party transactions were reported.
Pay policy for senior staff
All trustees generously give of their time freely and none received remuneration in the year. The Good Works Company currently has one 0.2FTE staff member. The pay of staff is reviewed annually and a cost-of-living adjustment made if appropriate, in line with inflation. Renumeration levels are benchmarked against other similarly sized grantgiving charities and foundations and applied pro-rata.
Risk management
The trustees have a risk management strategy which comprises:
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an annual review of the principal risks and uncertainties that the charity faces;
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the establishment of policies, systems and procedures to mitigate those risks identified in the annual review; and
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the implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise.
Statement as to disclosure to our auditors
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In so far as the trustees are aware at the time of approving our trustees’ annual report:
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there is no relevant information, being information needed by the auditor in connection with preparing their report, of which the group’s auditor is unaware, and
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the trustees, having made enquiries of the director and the group’s auditor that they ought to have individually taken, have each taken all steps that he/she is obliged to take as a director in order to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. By order of the board of trustees P Collie (Chair)
21st August 2023
The Good Works Company consolidated Statement of Financial Activities (including consolidated income and expenditure account) for year ending 30 November 2022
| THE GOOD WORKS COMPANY | THE GOOD WORKS COMPANY | THE GOOD WORKS COMPANY | SC046947 | ||
|---|---|---|---|---|---|
| Annual accounts for theperiod | |||||
| Period start date | 30 | Nov-21 | To | 30 | Nov-22 |
Section A Statement of financial activities
| Recommended categories by activity |
Guidance Notes | Unrestricted funds |
Unrestricted Restricted income funds |
Endowment funds |
Total funds | Prior year funds |
|
|---|---|---|---|---|---|---|---|
| £ | £ | £ | £ | £ | |||
| Incoming resources(Note 3) | F01 | F02 | F03 | F04 | F05 | ||
| Income and endowments from: | |||||||
| Donations and legacies | S01 ~~ane=0~~ |
45,518 ~~ane=0~~ |
180000 ~~ane=0~~ |
- ~~ane=0~~ |
225,518 ~~ane=0~~ |
239,085 ~~ane=0~~ |
|
| Charitable activities | S02 ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
|
| Other trading activities | S03 ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
138 ~~ane=0~~ |
|
| Investments | S04 ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
~~ane=0~~ | - ~~ane=0~~ |
- ~~ane=0~~ |
|
| Separate material item of income | S05 ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
|
| Other | S06 ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
- ~~ane=0~~ |
|
| Total | S07 ~~ane=0~~ |
45,518 ~~ane=0~~ |
180,000 ~~ane=0~~ |
- ~~ane=0~~ |
225,518 ~~ane=0~~ |
239,223 ~~ane=0~~ |
|
| Resources expended(Note 6) | ~~ane=0~~ | ~~ane=0~~ | ~~ane=0~~ | ~~ane=0~~ | ~~ane=0~~ | ~~ane=0~~ | |
| Expenditure on: | |||||||
| Raising funds | S08 ~~anes~~ |
26,481 ~~anes~~ |
- ~~anes~~ |
- ~~anes~~ |
26,481 ~~anes~~ |
12,960 ~~anes~~ |
|
| Charitable activities | S09 ~~anes~~ |
430 - 513 ~~anes~~ |
183,000 - - ~~anes~~ |
- - - ~~anes~~ |
183,430 - 513 ~~anes~~ |
194,000 - 600 ~~anes~~ |
|
| Separate material item of expense | S10 ~~anes~~ |
||||||
| Other | S11 ~~anes~~ |
||||||
| Total | S12 ~~anes~~ |
27,423 ~~anes~~ |
183,000 ~~anes~~ |
- ~~anes~~ |
210,423 ~~anes~~ |
207,560 ~~anes~~ |
|
| ~~anes~~ ~~===e=~~ |
18,095 - ~~anes~~ ~~===e=~~ |
3,000 - - ~~anes~~ ~~===e=~~ |
- - ~~anes~~ ~~===e=~~ |
15,095 - ~~anes~~ ~~===e=~~ |
31,663 - ~~anes~~ ~~===e=~~ |
||
| Net income/(expenditure) before investment gains/(losses) |
S13 ~~===e=~~ |
||||||
| Netgains/(losses)on investments | S14 ~~===e=~~ |
||||||
| Net income/(expenditure) | S15 ~~===e=~~ |
18,095 ~~===e=~~ |
3,000 - ~~===e=~~ |
- ~~===e=~~ |
15,095 ~~===e=~~ |
31,663 ~~===e=~~ |
|
| Extraordinary items | S16 ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
|
| Transfers between funds | S17 ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
- ~~===e=~~ |
|
| Other recognised gains/(losses): | ~~===e=~~ | ~~===e=~~ | ~~===e=~~ | ~~===e=~~ | ~~===e=~~ | ~~===e=~~ | |
| Gains and losses on revaluation of fixed assets for the charity’s own use | S18 | - | - | - | - | - | |
| Other gains/(losses) | S19 | - | - | - | - | - | |
| Net movement in funds | S20 | 18,095 | 3,000 - |
- | 15,095 | 31,663 | |
| Reconciliation of funds: | |||||||
| Total funds brought forward | S21 | 144,176 | - | - | 144,176 | 112,513 | |
| Total funds carried forward | S22 | 162,271 | 3,000 - |
- | 159,271 | 144,176 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Analysis of restricted and unrestricted income:
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Note 3 Analysis of income
Restricted
Unrestricted income Endowment
funds funds funds Total funds Prior year
Analysis £ £
Donations Donations and gifts - 180000 - 180,000 191,406
and legacies: Gift Aid 45,518 - - 45,518 47,817
Legacies - - - - -
General grants provided by government/other
charities - - - - -
Membership subscriptions and sponsorships
which are in substance donations - - - -
Donated goods, facilities and services - - - - -
Other - - - -
Total 45,518 180,000 - 225,518 239,223
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Analysis of restricted and unrestricted expenditure:
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Note 6 Analysis of expenditure
This year Last year
Restricted
Unrestricted Restricted Endowment Unrestricted income Endowment
Analysis funds income funds funds Total funds funds funds funds Total funds
Expenditure on raising funds: £ £
Incurred seeking donations 26,481 - - 26,481 12,000 - - 12,000
Incurred seeking legacies
- - - - - - - -
Incurred seeking grants
- - - - -
Operating membership schemes and
social lotteries - - - - -
Staging fundraising events
- - - - -
Fudraising agents - - - - -
Operating charity shops - - - - -
Operating a trading company
undertaking non-charitable trading
activity - - - - -
Advertising, marketing, direct mail and
publicity - - - - - - - -
Start up costs incurred in generating
new source of future income - - - - - - - -
Database development costs - - - - - - - -
Other trading activities - - - - -
Investment management costs: - - - - -
Portfolio management costs - - - - - - - -
Cost of obtaining investment advice
- - - - - - - -
Investment administration costs
- - - - - - - -
Intellectual property licencing costs
- - - - - - - -
Rent collection, property repairs and
maintenance charges - - - - - - - -
- - - - - - - -
Total expenditure on raising funds 26,481 - - 26,481 12,000 - - 12,000
Expenditure on charitable activities:
Donations to charities 430 183,000 - 183,430 2,757 191,243 - 194,000
- - - - - - - -
Total expenditure on charitable
activities 430 183,000 - 183,430 2,757 191,243 - 194,000
Separate material item of expense
Pension costs (creditor) 1961.54 - - 1,962 960 - - 960
Website costs 440 - - 440 276 - - 276
Bank fees 60 - - 60 47 25 - 72
HMRC payments - - - - - - - -
Total 2,462 - - 2,462 1,283 25 - 1,308
Other
Desk` - - - - 299 - - 299
- - - - - - - -
- - - - - - - -
- - - - - - - -
Total other expenditure - - - - 299 - - 299
TOTAL EXPENDITURE 29,372 183,000 - 212,372 16,339 191,268 - 207,607
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The trustees have prepared group accounts in accordance with section 398 of the Companies Act 2006 and section 44 of the Charities and Trustee Investment (Scotland) Act 2005. These accounts are prepared in accordance with the special provisions of Part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company. The notes at pages 10 to 15 form part of these accounts
Signed:
, Chair of trustees on behalf of the trustees
Approved by the trustees on 21/8/22
Notes on the accounts
- 1) Accounting Policies
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
a) Basis of preparation
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Good Works Company meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).
b) Reconciliation with previous Generally Accepted Accounting Practice
In preparing the accounts, the trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 the restatement of comparative items was required.
In accordance with the requirements of FRS 102 a reconciliation of opening balances is provided.
c) Preparation of the accounts is on a going concern basis
APPENDIX 3
Independent examiner’s report on the accounts V2
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Report to the trustees/ Charity name
members of The Good Works Company
Registered charity SC046947
number
On the accounts of the Period start date Period end date
charity for the period Day Month Year Day Month Year
30 11 2021 to 30 11 2022
Set out on pages (remember to include the page numbers of additional sheets)
Respective The charity’s trustees are responsible for the preparation of the accounts in accordance
responsibilities of with the terms of the Charities and Trustee Investment (Scotland) 2005 Act and the
trustees and examiner Charities Accounts (Scotland) Regulations 2006 (as amended). The charity trustees
consider that the audit requirement of Regulation 10(1) (d) of the Accounts Regulations
does not apply. It is my responsibility to examine the accounts as required under
section 44(1) (c) of the Act and to state whether particular matters have come to my
attention
Basis of independent My examination is carried out in accordance with Regulation 11 of the 2006 Accounts
examiner’s statement Regulations. An examination includes a review of the accounting records kept by the
charity and a comparison of the accounts presented with those records. It also includes
consideration of any unusual items or disclosures in the accounts and seeks
explanations from the trustees concerning any such matters. The procedures
undertaken do not provide all the evidence that would be required in an audit and,
consequently, I do not express an audit opinion on the view given by the accounts.
Independent examiner’s In the course of my examination, no matter has come to my attention [other than that
statement disclosed on the attached page]
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- which gives me reasonable cause to believe that in any material respect the requirements:
• to keep accounting records in accordance with section 44(1) (a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations, and
• to prepare accounts which accord with the accounting records and comply with Regulation 9 of the 2006 Accounts Regulations
have not been met, or
- to which, in my opinion, attention should be drawn in order to enable a proper ached.
Signed: Date: Name:
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Relevant professional
qualification(s) or body
(if any):
Address:
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*Please delete the words in the brackets if they do not apply. If the words do apply, set out those matters which have come to your attention on the following page.
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APPENDIX 3
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Disclosure section ~~LT~~ Only complete if the examiner needs to highlight material problems. Give here brief details of examiner wishes to any items that the pA. disclose
The Good Works Company reported a cash inflow of £225,518 for the year on an accrual basis. This was due to investment in fundraising, resulting in securing several donations throughout the year.
d) Income
Income is recognised when the charity has entitlement to the funds, any conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. No legacies were received in this financial period.
Income received in advance for the provision of other specified service it is deferred until the criteria for income recognition are met.
e) Donated services and facilities
Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt. No donated professional services or facilities occurred in this financial period.
f) Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank. No interest was received on funds in this period.
g) Fund accounting
Unrestricted funds are available to spend on activities that further any of the purposes of charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of The Good Work Company’s work or for specific projects being undertaken by the organisation.
h) Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
-
Costs of raising funds comprise the costs of generating income for investments in charitable organisations
-
Expenditure on charitable activities includes grants made to individuals or organisations whose work is deemed charitable
-
Other expenditure represents those items not falling into any other heading. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
i) Allocation of support costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support The Good Work Company’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 9.
j) Tangible fixed assets
Individual fixed assets costing £1,000 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight line basis. There were no tangible fixed assets over £1,000 in this reporting period.
k) Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Debtors in this period account to £5,000.
l) Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
m) Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
n) Financial instruments
There were no financial instruments used in this financial period.
r) Pensions
Based on a government mandated contribution level of 8%, Pension liabilities are calculated at £1,961.54 for the financial period. A suitable provider is being sourced, and this figure is included on the accounts on a creditor basis.
2) Legal status of the Trust
The Good Works Company is a company limited by guarantee and has no share capital.
3 Income from donations and legacies
Donations
The income from donations and legacies was £225,518 (2021: £239,223) of which £45,518 was unrestricted and £180,000 restricted.
Restricted funds comprise of a gifts to support charitable activities and programmes through grant-giving.
- 4) Analysis of expenditure on charitable activities:
Expenditure on charitable activities was £183.430 (2021: £194,000) of which £430 was unrestricted (2020: £2,462) and £183,000 was restricted (2021: £191,243).
5) Employee renumeration
No employees had employee benefits in excess of £60,000 (2021: nil). Pension costs are allocated to activities in proportion to the related staffing costs incurred and are wholly charged to unrestricted funds.
The charity trustees were not paid or received any other benefits from employment with the Trust or its subsidiary in the year (2021: £nil) neither were they reimbursed expenses during the year (2021: £nil). No charity trustee received payment for professional or other services supplied to the charity (2021: £nil).
The key management personnel of The Good Works Company comprise the trustees and the 0.2FTE Director. The total employee benefits of the key management personnel of the Trust were £19,158.59 (2021: £12,960).
6) Staff Numbers
The average monthly number of full-time equivalent employees (including casual and part-time staff) during the year were as follows:
2022 – one 0.3 FTE Director
7) Corporation Taxation
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
- 8) Reconciliation of Operating Surplus to net cash inflow from operating activities
| Openingbalance(cash in bank at 1/12) | 10,461.00 |
|---|---|
| Cash received from donors | 168000 |
| Cash received from other sources | 587.32 |
| Gift aid | 175835.38 |
| Cashpaid out togrants and charities | 194000 |
| Cashpaid out from operatingexpenses | 500 |
| Cashpaid out to employees | 19158.59 |
| Cash PAYE | 7322.23 |
| Openingbalance | 10,461.00 |
| Operatingsurplus | 133,902.50 |
| Closing balance | 143,576.99 |
- 9) Analysis of movements in unrestricted funds
There was a net increase in unrestricted funds over this financial period, meaning a surplus of £143,576.99 will be carried forward into the next financial period.
10) Analysis of movements in restricted funds
Restricted donations of £183,000 was made in this accounting period, to be used in grant-making activities, of which £180,000 has been distributed. We carry forward a balance of £3,000 in restricted funding to be distributed in the next financial period.