CLICC LIMITED
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
REGISTERED CHARITY NUMBER SC034180
COMPANY NUMBER SC240476
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
PAGES FOR FILING WITH REGISTRAR
MESTON REID & CO
CHARTERED ACCOUNTANTS
12 CARDEN PLACE
ABERDEEN
AB10 1UR
CLICC LIMITED
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
CONTENTS
Page
Trustees' report
1 - 4
Independent auditor's report
5 - 8
Statement of financial activities
9
Balance sheet
10
Statement of cash flows
11
Notes to the financial statements
12 - 20
CLICC LIMITED
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2022
- 1 -

The Trustees present their annual report and financial statements for the year ended 31 December 2022.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), the Companies Act 2006 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) (effective 1 January 2019)”.

Objectives and activities

The principal activities of the charity are:

 

 

The charity aims to meet its objectives by promoting and co-ordinating the provision of the necessary facilities for the daily care, recreation and education of children in the interests of social welfare with the object of improving their conditions of life.

The achievements of the aims will further the charitable purpose as we continue to provide affordable and quality childcare within Aberdeen City expanding childcare places to the working parent and parents wishing to return to education.

The charity will continue to advertise and promote services for breakfast, after school and holiday clubs within Aberdeen City. The charity will continue to provide crèche services to the wider community and childcare relief staff to the private sector.

Employees will continue to study to meet their SSSC registrations and will complete the charities core training programme.

Community Link Childcare monitors success within the clubs with the number of childcare places taken up and also the success of staff achievements. Community Link Childcare monitors internal achievements within the clubs through our new Quality Improvement Framework which replaced our previous Quality Assurance Programme and monthly site visits to the clubs.

Achievements and performance

The effects of Covid 19 on the business still had an impact on our services and delivery in 2022.

Whilst restrictions were lifted early 2022 the uptake of childcare places in early 2022 were lower than pre Covid. We identified this was a combination of parent/carers home working as well as them taking the child’s friends in to keep them entertained and not disrupt their work.

We were pleased to see from the new school term Aug 2022 that the places started to increase as life and work returned to normal. The expectation was (and has been proven to be) that this will continue to build into 2023. It should be noted that in addition to the increased uptake in childcare places we have also seen an increase in the number of external service users requesting crèche services again through our relief pool.

The summer of 2022 saw our first “Summer in the City” play scheme attached to our holiday clubs. This is where Aberdeen City Council pay for childcare places at a selection of our settings to support the wellbeing of children and young people from families in need. They included children from single parent households, young families and additional support children. We are delighted to be of continued to support to the council and the leading provider in the city of this breadth of provision. CLiCC is at the core of Aberdeen City’s childcare needs providing a bigger and broader provision than the council itself. The holiday club provision was low in 2022 based on previous comments, however expectation for 2023 was high (and again proven to be so with record numbers attending).

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 2 -

The charity continues to maintain the high standard of childcare and support the best outcomes for children in our settings. Training has been restricted due to Covid 19 but in 2022 training has started to build up again albeit training is mostly done online now. In 2022 three members of staff past their SVQ 3 to meet SSSC regulations.

In 2022 we turned the C-19 loss making periods into an albeit small positive figure. The pre C-19 years had seen the organisation build up reserves for those unforeseen emergencies and its with that provision established we were able to ride out the couple of years of the C-19 impact. The desire is to rebuild the core reserves to enable us to weather any unforeseen future storms in the same way. The small profit this year is the first steps, and we see 2023 seeing that trend continued (year to date this is being proven) at a greater level. The organisation has both the reserves and monthly cashflow to maintain itself without the need for Aberdeen Council intervention. As mentioned previously we are by far and away the biggest provider of after school childcare services in the city and should CLiCC enter difficulties the Council would either have to support or directly replace our services, so they have a vested interest in our longevity as well.

Financial review

The results for the year shows net income of £26,082 (2021 - £154,540 net expenditure). Fee income increased from £461,844 in 2021 to £869,449 in 2022. Costs of charitable activities increased from £843,587 in 2021 to £969,875 in 2022.

In the current year the net income meant that the charity's overall reserves increased from £115,364 in 2021 to £141,446 in 2022.

 

The restricted fund income of the charity derives from funding received from Aberdeen City Council and local companies. The charity received restricted funds of £80,491 (2021 - £44,608) during the year, the application of these amounts is at the discretion of the Trustees under the terms of the funder. Details of the funding received are included in note 16 to the financial statements.

 

The unrestricted fund income of the charity derives from the fees charged by the charity in respect of the childcare services it provides.

It is the policy of Community Link Childcare to hold reserves the equivalent of three months general running costs. This would be to meet general running costs should there be an unexpected drop in income or in the event of after school closures due to a drop in childcare places or other unforeseen circumstances.

 

Community Link Childcare reserves are self-accumulated and we do not budget for donations or grants.

 

Community Link Childcare will maintain reserves in the business in order to respond to unplanned events and uncertain economic climate in Aberdeen. Surplus will be used in future in respect of increased training costs, staffing wage increases and possible rental costs of office space.

Community Link Childcare are committed to reviewing the reserve policy annually.

 

The majority of the charity's income is derived from fees received for the provision of childcare services.

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and services of the charity, and are satisfied that systems are in place to mitigate exposure to the major risks.

CLICC LIMITED
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 3 -
Structure, governance and management

The charity is a company limited by guarantee, governed by its Memorandum and Articles of Association. HM Revenue & Customs have granted charitable status to the company under Section 505 of the Income and Corporation Taxes Act 1988. The charity is also recognised as a registered charity by the Office of the Scottish Charity Regulator. In accordance with the Memorandum of Association, every member is liable to contribute a sum of £1 in the event of the charity being wound up. At the year end there were 4 members.

As set out in the Articles of Association, the Trustees may appoint further Trustees as and when it is desired up to a maximum of twelve.

 

Trustees are recruited who have an interest and involvement with the charity's activities and who have the appropriate cross section of skills and experience to enhance the working of the charity.

 

Essential information is provided to new Trustees by an external voluntary organisation who provide committee skills, training and details of Trustee duties. In addition, detailed working knowledge of the charity is also provided by the Company Secretary.

The Trustees, who meet a minimum of eight times a year, administer the charity. The Trustees delegate the daily management of the charity to the staff management team to ensure good governance.

The Trustees are volunteers and do not receive any remuneration from the charity.

A Adeoti, Z Yihdego, R Kerr and G Adeshina as detailed below, are related parties of the charity because of their use of childcare services provided by the charity during the period.

Reference and administrative information
Charity name
CLiCC Limited
Charity number
SC034180
Company number
SC240476
Secretary
Dawn Martin
Registered office
184/192 Market Street, Third Floor, Aberdeen, AB11 5PQ
Auditors
Meston Reid & Co, 12 Carden Place, Aberdeen, AB10 1UR
Bankers
Bank of Scotland plc, 79 Ellon Road, Bridge of Don, Aberdeen, AB23 8BY
CLICC LIMITED
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 4 -
Trustees

The Trustees, who are also the directors for the purpose of company law (with the exception of H Hayes), and who served since 1 January 2022 to the date of approval of these financial statements were:

T Hyslop
L Glen
(Resigned 5 July 2022)
M Grayson
N Okolo
H Hayes
Z Yihdego
(Appointed 18 November 2022)
R Kerr
(Appointed 18 November 2022 and resigned 14 July 2023)
G Adeshina
(Appointed 18 November 2022)
A Adeoti
(Appointed 18 November 2022)
Statement of Trustees' responsibilities

The Trustees, who are also the directors of CLiCC Limited for the purpose of company law (with the exception of H Hayes), are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

 

Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

 

In preparing these financial statements, the Trustees are required to:

 

- select suitable accounting policies and then apply them consistently;

 

- observe the methods and principles in the Charities SORP;

 

- make judgements and estimates that are reasonable and prudent; and

 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

 

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Auditor

In accordance with the company's articles, a resolution proposing that Meston Reid & Co be reappointed as auditor of the company will be put at a General Meeting.

Disclosure of information to auditor

Each person who was a Trustee at the date of approval of this report has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The Trustees' report was approved by the Board of Trustees.

T Hyslop
Chairman
29 September 2023
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
INDEPENDENT AUDITOR'S REPORT
TO THE TRUSTEES OF CLICC LIMITED
- 5 -

Opinion

We have audited the financial statements of CLiCC Limited (the ‘charity’) for the year ended 31 December 2022 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

-

give a true and fair view of the state of the charitable company's affairs as at 31 December 2022 and of its income and expenditure, for the year then ended;

-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-

have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements 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 sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF CLICC LIMITED
- 6 -

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

-

the information given in the Trustees' report for the financial year for which the financial statements are prepared, which includes the directors' report prepared for the purposes of company law, is consistent with the financial statements; and

-

the directors' report included within the Trustees' report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report included within the Trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:

-

adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

-

the financial statements are not in agreement with the accounting records and returns; or

-
certain disclosures of trustees' remuneration specified by law are not made; or
-

we have not received all the information and explanations we require for our audit; or

-

the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' report and from the requirement to prepare a strategic report.

Responsibilities of Trustees

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the charity for the purpose of company law (with the exception of H Hayes), are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under Chapter 3 of Part 16 of the Companies Act 2006 and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF CLICC LIMITED
- 7 -

Irregularities including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

We assessed the susceptibility of the company’s financial statements to material misstatement and how fraud might occur, including through discussions with the directors, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements.

 

We identified laws and regulations that are of significance in the context of the company by discussions with trustees and by updating our understanding of the sector in which the charity operates. Laws and regulations of direct significant in the context of the charity include Companies Act 2022 and the Charities SORP (FRS 102) 2019.

We assessed the susceptibility of the financial statements, including fraud, and considered the fraud risks to be management override of controls and revenue recognition in respect of grant funding. Our tests included, but were not limited to:

 

Our audit procedures were designed to respond to the risk of material misstatements in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting a misstatement resulting from error, even though we have properly planned and performed our audit in accordance with auditing standards. There are inherent limitations in the audit procedures performed as fraud can involve intentional concealment, collusion, misrepresentation, intentional omission, or the override of internal controls which can increase the risk of non-detection.

 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF CLICC LIMITED
- 8 -

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

 

William Anderson BA CA (Senior Statutory Auditor)
for and on behalf of Meston Reid & Co
Chartered Accountants
Statutory Auditor
12 Carden Place
Aberdeen
AB10 1UR
29 September 2023
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2022
- 9 -
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
funds
funds
2022
2022
2022
2021
2021
2021
Notes
£
£
£
£
£
£
Income from:

Voluntary income

3
927
80,491
81,418
312
44,608
44,920
Charitable activities
4
914,409
-
914,409
644,127
-
644,127

Interest received and similar income

5
130
-
130
-
-
-
Total income
915,466
80,491
995,957
644,439
44,608
689,047
Expenditure on:
Charitable activities
6
914,610
55,265
969,875
797,713
45,874
843,587
Net incoming/(outgoing) resources before transfers
856
25,226
26,082
(153,274)
(1,266)
(154,540)
Gross transfers between funds
(8,672)
8,672
-
(2,535)
2,535
-
Net (expenditure)/income for the year/
Net movement in funds
(7,816)
33,898
26,082
(155,809)
1,269
(154,540)
Fund balances at 1 January 2022
114,095
1,269
115,364
269,904
-
269,904
Fund balances at 31 December 2022
106,279
35,167
141,446
114,095
1,269
115,364
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
BALANCE SHEET
AS AT
31 DECEMBER 2022
31 December 2022
- 10 -
2022
2021
Notes
£
£
£
£
Fixed assets
Tangible assets
10
7,605
6,165
Current assets
Debtors
12
53,169
42,617
Cash at bank and in hand
294,264
239,688
347,433
282,305
Creditors: amounts falling due within one year
13
(213,592)
(173,106)
Net current assets
133,841
109,199
Total assets less current liabilities
141,446
115,364
Income funds
Restricted funds
16
35,167
1,269
Unrestricted funds
106,279
114,095
141,446
115,364

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 29 September 2023
T Hyslop
Trustee
Company Registration No. SC240476
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2022
- 11 -
2022
2021
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
20
58,504
(103,727)
Investing activities
Purchase of tangible fixed assets
(4,058)
(2,616)
Investment income received
130
-
Net cash used in investing activities
(3,928)
(2,616)
Net cash used in financing activities
-
-
Net increase/(decrease) in cash and cash equivalents
54,576
(106,343)
Cash and cash equivalents at beginning of year
239,688
346,031
Cash and cash equivalents at end of year
294,264
239,688
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2022
- 12 -
1
Accounting policies
Company information

CLiCC Limited is a private company limited by guarantee incorporated in Scotland. The registered office is 184/192 Market Street, Third Floor, Aberdeen, AB11 5PQ.

1.1
Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) 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)” (as amended for accounting periods commencing from 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.

 

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

The Trustees have assessed the current financial position of the charity in the achievements and performance section of their Annual Report and at the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds have been set aside by the Trustees for particular purposes. The aim and use of restricted funds are set out in note 16 to the financial statements.

1.4
Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

 

Income from charitable activities represents fees and contributions received and are attributable to the charity's principal activity and are accounted for when receivable.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Grant income is recognised in the Statement of Financial Activities when it is received, unless the charity does not have entitlement to the funds. Where performance related conditions apply to grant income received the income is recognised once the performance related conditions have been met.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
1
Accounting policies
(Continued)
- 13 -
1.5
Expenditure

Expenditure is recognised on an accruals basis as a liability is incurred. Expenses include VAT where applicable as the company cannot reclaim it, and is reported as part of the expenditure to which it relates.

Costs of charitable activities comprises of the costs of the childcare services undertaken by the charity and is accounted for when payable. It also includes support costs which represent the staffing and associated costs of supporting and monitoring the activities for which the charity is responsible. In addition, it includes governance costs associated with meeting constitutional and regulatory requirements of the charity, audit fees and costs linked to the strategic management of the charity.

All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis.

1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Plant and machinery
25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7
Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.8
Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
1
Accounting policies
(Continued)
- 14 -
Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.9
Taxation

The charity is recognised as a charity for the purposes of applicable taxation legislation and is therefore not subject to taxation on its charitable activities.

1.10
Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2
Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3

Voluntary income

Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2022
2022
2022
2021
2021
2021
£
£
£
£
£
£
Donations and gifts
927
42,000
42,927
312
42,000
42,312

Grants

-
35,000
38,491
-
-
-
Festive Fund
-
3,491
3,491
-
2,608
2,608
927
80,491
81,418
312
44,608
44,920
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 15 -
4
Charitable activities
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2022
2022
2022
2021
2021
2021
£
£
£
£
£
£

Fee income

869,449
-
869,449
461,844
-
461,844

Relief pool income

4,710
-
4,710
6,696
-
6,696
CJRS grants
-
-
-
130,137
-
130,137
Other Covid-19 grants
40,250
-
40,250
45,450
-
45,450
914,409
-
914,409
644,127
-
644,127
5

Interest received and similar income

Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2022
2022
2022
2021
2021
2021
£
£
£
£
£
£
Interest receivable
130
-
130
-
-
-
130
-
130
-
-
-
6
Charitable activities
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2022
2022
2022
2021
2021
2021
£
£
£
£
£
£
Staff costs
801,682
-
801,682
709,548
-
709,548
Depreciation
2,618
-
2,618
1,721
-
1,721

Property costs

2,963
50,672
53,635
5,622
44,535
50,157

Toys and games

44,565
2,415
46,980
29,370
-
29,370
Office support costs
51,039
2,178
53,217
40,563
1,339
41,902

Legal and professional fees

10,572
-
10,572
8,970
-
8,970

Charges and interest

496
-
496
373
-
373

Other costs

675
-
675
1,546
-
1,546
914,610
55,265
969,875
797,713
45,874
843,587

Expenditure on charitable activities includes audit fees of £10,572 (2021- £8,970).

7
Trustees

Trustees receive no remuneration from the charity and are not paid any expenses for attending Trustee meetings.

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 16 -
8
Employees
Number of employees

The average monthly number of employees during the year was:

2022
2021
Number
Number
67
62
Employment costs
2022
2021
£
£
Wages and salaries
747,169
663,680
Social security costs
36,200
29,801
Other pension costs
18,313
16,067
801,682
709,548

There were no employees whose total employment benefits amounted to more than £60,000 in the current or previous years.

9
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.

10
Tangible fixed assets
Plant and machinery
£
Cost
At 1 January 2022
40,011
Additions
4,058
Disposals
(873)
At 31 December 2022
43,196
Depreciation and impairment
At 1 January 2022
33,846
Depreciation charged in the year
2,618
Eliminated in respect of disposals
(873)
At 31 December 2022
35,591
Carrying amount
At 31 December 2022
7,605
At 31 December 2021
6,165
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 17 -
11
Financial instruments
2022
2021
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
43,604
25,652
Carrying amount of financial liabilities
Measured at amortised cost
202,867
168,605
12
Debtors
2022
2021
Amounts falling due within one year:
£
£
Trade debtors
43,373
25,017
Other debtors
231
635
Prepayments and accrued income
9,565
16,965
53,169
42,617
13
Creditors: amounts falling due within one year
2022
2021
£
£
Other taxation and social security
10,725
4,501
Trade creditors
2,526
1,149
Other creditors
10,066
11,776
Accruals and deferred income
190,275
155,680
213,592
173,106
14
Limited liability

The charity is incorporated as a company limited by guarantee having no share capital and, in accordance with the Memorandum of Association, every member is liable to contribute a sum of £1 in the event of the company being wound up. At 31 December 2022 there were 7 members.

15
Retirement benefit schemes
Defined contribution schemes

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

The charge to profit or loss in respect of defined contribution schemes was £18,313 (2021 - £16,067).

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 18 -
16
Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds
Movement in funds
Balance at
1 January 2021
Incoming resources
Resources expended
Transfers
Balance at
1 January 2022
Incoming resources
Resources expended
Transfers
Balance at
31 December 2022
£
£
£
£
£
£
£
£
£
Property fund
-
42,000
(42,000)
-
-
42,000
(42,000)
-
-
Other various funds
-
-
-
-
-
2,000
(1,415)
-
585
Festive fund
-
2,608
(1,339)
-
1,269
3,491
(2,178)
-
2,582
Seaton After School fund
-
-
-
-
-
25,000
(1,000)
-
24,000
Trailblazers After School fund
-
-
(2,535)
2,535
-
-
(8,672)
8,672
-
Muirfield After School Club fund
-
-
-
-
-
8,000
-
-
8,000
-
44,608
(45,874)
2,535
1,269
80,491
(55,265)
8,672
35,167
CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
16
Restricted funds
(Continued)
- 19 -

Property fund

The property fund represents a donation of £42,000 paid by Education and Children's Services to Aberdeen City Council on behalf of the charity to cover rent, rates and service charges. The full amount was spent during the year.

 

Other funds

First Class received funds of £2,000 from the Coastal Communities Fund. the funds were to be used to benefit coastal communities. First Class after school club used the funds received to create a new garden area at the club. As part of the project the children planted vegetables which helped the children understand how and where vegetables come from. This also helped support healthy eating choices with the children.

 

Festive fund

The Festive fund represents funds received from Aberdeen City Council to contribute towards seasonal events including entertainment, venue costs, transport, staffing, catering, decoration or small Santa gifts not exceeding £3.

 

Seaton After School Fund

The funds received include an out of school care subsidy from Aberdeen City Council to enable CLICC to continue to deliver and sustain an out of school care service in the Seaton area. Seaton received funds of £1,000 from the Coastal Communities Fund. The funds were to be used to benefit coastal communities. Seaton after school club used the funds received to create a small community garden within the community centre enclosed grounds.

 

Trailblazers fund

Rental costs of £8,672 were paid during the year resulting in a deficit on this fund. The deficit of £8,672 was covered by a transfer from unrestricted funds.

 

Muirfield After School Club fund

The funds received are an out of school care subsidy from Aberdeen City Council to enable CLICC to continue to deliver and sustain an out of school care service in the Northfield area.

 

 

 

 

 

CLICC LIMITED
CLICC LIMITED CLiCC Limited
OPERATING AS COMMUNITY LINK CHILDREN'S CHARITY
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2022
- 20 -
17
Analysis of net assets between funds
Unrestricted funds
Restricted funds
Total
Unrestricted funds
Restricted funds
Total
2022
2022
2022
2021
2021
2021
£
£
£
£
£
£
Fund balances at 31 December 2022
are represented by:
Tangible assets
7,605
-
7,605
6,165
-
6,165
Current assets/(liabilities)
98,674
35,167
133,841
107,930
1,269
109,199
106,279
35,167
141,446
114,095
1,269
115,364
18
Related party transactions

The Trustees, who are directors for Companies Act purposes (with the exception of H Hayes), make use of the charity's childcare services.

 

During the year under review, while serving as trustees, A Adeoti incurred childcare costs amounting to £113 (2021 - £nil), Z Yihdego incurred childcare costs amounting to £241 (2021 - £nil), R Kerr incurred childcare costs amounting to £81 (2021 - £nil) and was due £14 back from the charity (2021 - £nil) at the year end, and G Adeshina incurred childcare costs amounting to £281 (2021 - £nil) and was due £5 back from the charity (2021 - £nil) at the year end.

No personal guarantees have been given or received.

19
Auditors' Ethical Standards

The relevant circumstances requiring disclosure in accordance with the requirements of APB Ethical Standard - Provisions Available for Small Entities are that, in common with many charities of our size and nature we use our auditors to assist with the preparation of the financial statements.

20
Cash generated from operations
2022
2021
£
£
Surplus/(deficit) for the year
26,082
(154,540)
Adjustments for:
Investment income recognised in statement of financial activities
(130)
-
Depreciation and impairment of tangible fixed assets
2,618
1,721
Movements in working capital:
(Increase)/decrease in debtors
(10,552)
20,094
Increase in creditors
40,486
28,998
Cash generated from/(absorbed by) operations
58,504
(103,727)
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