REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2023 |
REGISTERED COMPANY NUMBER: |
REGISTERED CHARITY NUMBER: |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2023 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
Page |
Report of the Trustees | 1 | to | 3 |
Independent Examiner's Report | 4 |
Statement of Financial Activities | 5 |
Balance Sheet | 6 | to | 7 |
Notes to the Financial Statements | 8 | to | 14 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY (REGISTERED NUMBER: SC251864) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 November 2023. The trustees have adopted the provisions of 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 |
Objectives and aims |
To provide, in the interests of social welfare, facilities for recreation and other leisure time occupations for the inhabitants of Kilmacolm and Quarriers Village by operating a community centre in Kilmacolm. |
Public benefit |
The charity carries out a wide range of activities in pursuance of its charitable aims. The trustees consider that these activities provide benefit to the inhabitants of Kilmacolm, Quarriers Village and the surrounding area. |
ACHIEVEMENT AND PERFORMANCE |
Charitable activities |
During the year the Centre managed to operate normally although attendance and group activity levels have still not recovered to pre-Covid levels. The Centre continued to receive crucial grant support from the Council and although room hire income has been gradually recovering, the company is still reliant on the rental income it receives from it's long term leases. |
Although disappointed with the results for the year the Board are confident that the Centre will recover to pre-pandemic activity levels in the near future. |
Community activities |
The community centre is used by a broad range of community groups and a wide variety of activities are organised and take place from the community centre. |
The halls and meeting rooms are available for use by local groups and organisations. |
FINANCIAL REVIEW |
Principal funding sources |
The charity's main sources of income are rental income from tenants and grants from Inverclyde Council. |
Investment policy and objectives |
The charity has no long term investments. Cash reserves are held in bank deposit accounts. |
Reserves policy and going concern |
Whilst the trustees do not have a specific policy regarding the management of its reserves, they do continue to keep the level of reserves under review in relation to revenue streams and the charitable purposes of the company. At 30 November 2023, the unrestricted reserves, as shown on the Statement of Financial Activities, stood at £2,576,257 (2022: £2,610,196). Tangible fixed assets represent £2,305,541 (2022: £2,334,341) of the reserves balance and therefore free reserves are £270,716 at 30 November 2023 (2022: £275,855). |
The trustees continue to monitor the company's financial performance and believe that with the continued grant support from the Council, the Centre has more than adequate resources to continue in operational existence for the foreseeable future. |
FUTURE PLANS |
The Trustees consider raising sufficient funds, through the income sources, to maintain the availability of recreation facilities to the local community, to be the long term future objective. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY (REGISTERED NUMBER: SC251864) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
STRUCTURE, GOVERNANCE AND MANAGEMENT |
Governing document |
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006. |
The Company was incorporated on 26 June 2003, not having a share capital, and is a registered charity. |
Recruitment and appointment of new trustees |
New trustees are recruited from the local community and are selected for their relevant experience and skills. |
Inverclyde Council have the right to nominate two trustees, and Kilmacolm & Quarrier's Community Council have the right to nominate one trustee. |
Organisational structure |
The key management personnel who are responsible for the general control and management of the charity are the trustees. The trustees give their time freely and receive no remuneration or other financial benefits. |
The trustees meet together as a body at regular intervals throughout the year and are responsible for all decisions taken in relation to running the community centre and the community facilities and activities provided by the charity. |
Risk management |
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The trustees have conducted a review of the major risks to which the charity is exposed and have not identified any major risks. |
REFERENCE AND ADMINISTRATIVE DETAILS |
Registered Company number |
Registered Charity number |
Registered office |
Trustees |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY (REGISTERED NUMBER: SC251864) |
REPORT OF THE TRUSTEES |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
REFERENCE AND ADMINISTRATIVE DETAILS |
Independent Examiner |
Ewen Dyer, B.A. C.A., A.C.I.E. |
Martin Aitken & Co Ltd |
Chartered Accountants |
Caledonia House |
89 Seaward Street |
Glasgow |
G41 1HJ |
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. |
Approved by order of the board of trustees on |
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
I report on the accounts for the year ended 30 November 2023 set out on pages five to fourteen. |
Respective responsibilities of trustees and examiner |
The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) 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 the independent examiner's report |
My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. 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 seeking explanations from you as 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 statement |
In connection with my examination, no matter has come to my attention : |
(1) | 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 to comply with Regulation 8 of the 2006 Accounts Regulations |
have not been met; or |
(2) | to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. |
Ewen Dyer, B.A. C.A., A.C.I.E. |
The Institute of Chartered Accountants of Scotland |
Martin Aitken & Co Ltd |
Chartered Accountants |
Caledonia House |
89 Seaward Street |
Glasgow |
G41 1HJ |
19 August 2024 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
STATEMENT OF FINANCIAL ACTIVITIES |
(INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
2023 | 2022 |
Unrestricted | Total |
fund | funds |
Notes | £ | £ |
INCOME FROM |
Charitable activities |
Other trading activities | 2 |
Investment income | 3 |
Total |
EXPENDITURE ON |
Raising funds | 4 |
Direct charitable costs |
Total |
NET INCOME/(EXPENDITURE) | ( | ) | ( | ) |
RECONCILIATION OF FUNDS |
Total funds brought forward |
TOTAL FUNDS CARRIED FORWARD | 2,610,196 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY (REGISTERED NUMBER: SC251864) |
BALANCE SHEET |
30 NOVEMBER 2023 |
2023 | 2022 |
Unrestricted | Total |
fund | funds |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Debtors | 10 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 11 | ( | ) | ( | ) |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
NET ASSETS |
FUNDS | 12 |
Unrestricted funds | 2,610,196 |
TOTAL FUNDS | 2,610,196 |
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 November 2023. |
The members have not required the company to obtain an audit of its financial statements for the year ended 30 November 2023 in accordance with Section 476 of the Companies Act 2006. |
The trustees acknowledge their responsibilities for |
(a) | ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and |
(b) | preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY (REGISTERED NUMBER: SC251864) |
BALANCE SHEET - continued |
30 NOVEMBER 2023 |
These financial statements have been prepared in accordance with and delivered in accordance with the special provisions applicable to small charitable companies subject to the small companies regime. |
The financial statements were approved by the Board of Trustees and authorised for issue on |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
1. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities and Trustee Investment (Scotland) Act 2005 and the Companies Act 2006. |
The financial statements are prepared under the historical cost convention. |
The financial statements are presented in Sterling (£). |
Financial reporting standard 102 - reduced disclosure exemptions |
The charitable company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland': |
• | the requirements of Section 7 Statement of Cash Flows. |
Provisions |
Provisions are recognised when the company has a legal or constructive obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle the obligation and the amount of the obligation can be reliably estimated. Provisions are recognised at the best estimate of the amount required to settle the obligation at the reporting date. |
Judgements |
The charity considers on an annual basis the judgements that are made by Trustees when applying its significant accounting policies that would have the most significant effect on amounts that are recognised in the financial statements. The Trustees consider there are no such significant judgements that require to be individually disclosed. |
Information and key sources of estimation uncertainty |
In the application of the charity's accounting policies, management are required to make estimates and assumptions about the carrying amounts 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. The Trustees consider there are no such significant estimates that require to be individually disclosed. |
Income |
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. |
Income from government grants, whether a 'capital' grant or 'revenue' grant, 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. |
Expenditure |
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
1. | ACCOUNTING POLICIES - continued |
Allocation and apportionment of costs |
Support costs are those functions that assist the work of the charity but do not undertake charitable activities. Support costs include back office costs, finance, personnel and governance costs which support the charity's activities. These costs have been allocated to charitable activities. |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. |
Leasehold property | - |
Fixtures and fittings | - |
Fixed assets are included in the balance sheet at cost less accumulated depreciation and impairment losses. |
Impairment of non-financial assets |
At each reporting date non-financial assets not carried at fair value, like plant, property and equipment, are reviewed to determine whether there is an indication that an asset may be impaired. If there is an indication of possible impairment, the recoverable amount which is the higher of the value in use and the fair value less cost to sell, is estimated and compared with the carrying amount. If the recoverable amount is lower, the carrying amount of the asset is reduced to its recoverable amount and an impairment loss is recognised immediately in profit and loss. |
Taxation |
The charity is exempt from corporation tax on its charitable activities. |
Fund accounting |
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. |
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. |
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. |
Financial instruments |
The charity only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable. |
Debt instruments like other accounts receivable and payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and trade creditors, are measured, initially and subsequently, at the undiscounted amount of cash or other consideration expected to be paid or received. |
Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for evidence of impairment and if found, an impairment loss is recognised in profit or loss. |
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
Cash and cash equivalents includes cash in hand, deposits held at call with banks and other short term highly liquid investments with original maturities of three months of less. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
2. | OTHER TRADING ACTIVITIES |
2023 | 2022 |
£ | £ |
Other income | - | 250 |
Rental income from operating the Kilmacolm New Community Centre | 70,647 | 55,585 |
3. | INVESTMENT INCOME |
2023 | 2022 |
£ | £ |
Deposit account interest |
4. | RAISING FUNDS |
Other trading activities |
2023 | 2022 |
£ | £ |
Sub-contract wages | 69,651 | 66,102 |
Telephone | 4,522 | 2,620 |
Sundry expenses | 1,667 | 810 |
Light and heat | 20,658 | 28,628 |
Postage and stationery | 413 | 150 |
Bank charges | 42 | 42 |
Insurance | 7,381 | 6,027 |
Management fees | 16,278 | 14,753 |
Repairs and maintenance | 7,918 | 9,975 |
Rates | 7,770 | 9,078 |
Cleaning | 5,282 | 3,022 |
Depreciation | 28,800 | 29,240 |
170,382 | 170,447 |
5. | SUPPORT COSTS |
Governance |
costs |
£ |
Governance costs | 2,120 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
5. | SUPPORT COSTS - continued |
Support costs, included in the above, are as follows: |
Governance costs |
2023 | 2022 |
Governance | Total |
costs | activities |
£ | £ |
Accountancy fees | 2,120 | 2,060 |
6. | NET INCOME/(EXPENDITURE) |
Net income/(expenditure) is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Depreciation - owned assets |
7. | TRUSTEES' REMUNERATION AND BENEFITS |
There were no trustees' remuneration or other benefits for the year ended 30 November 2023 nor for the year ended 30 November 2022. |
Trustees' expenses |
There were no trustees' expenses paid for the year ended 30 November 2023 nor for the year ended 30 November 2022. |
8. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
All figures included in the Statement of Financial Activities for the year ended 30 November 2022 relate to unrestricted funds only. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
Leasehold | and |
property | fittings | Totals |
£ | £ | £ |
COST |
At 1 December 2022 and 30 November 2023 |
DEPRECIATION |
At 1 December 2022 |
Charge for year |
At 30 November 2023 |
NET BOOK VALUE |
At 30 November 2023 |
At 30 November 2022 |
10. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
VAT |
Prepayments and accrued income |
11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Accruals and deferred income |
12. | MOVEMENT IN FUNDS |
Net |
At | movement | At |
1/12/22 | in funds | 30/11/23 |
£ | £ | £ |
Unrestricted funds |
General | 2,610,196 | (33,938 | ) | 2,576,258 |
TOTAL FUNDS | (33,938 | ) | 2,576,258 |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
12. | MOVEMENT IN FUNDS - continued |
Net movement in funds, included in the above are as follows: |
Incoming | Resources | Movement |
resources | expended | in funds |
£ | £ | £ |
Unrestricted funds |
General | 138,564 | (172,502 | ) | (33,938 | ) |
TOTAL FUNDS | ( | ) | (33,938 | ) |
Comparatives for movement in funds |
Net |
At | movement | At |
1/12/21 | in funds | 30/11/22 |
£ | £ | £ |
Unrestricted funds |
General | 2,661,455 | (51,259 | ) | 2,610,196 |
TOTAL FUNDS | 2,661,455 | (51,259 | ) | 2,610,196 |
Comparative net movement in funds, included in the above are as follows: |
Incoming | Resources | Movement |
resources | expended | in funds |
£ | £ | £ |
Unrestricted funds |
General | 121,248 | (172,507 | ) | (51,259 | ) |
TOTAL FUNDS | 121,248 | (172,507 | ) | (51,259 | ) |
13. | RELATED PARTY DISCLOSURES |
Christopher Curley and David Wilson, Trustees, are representatives of Inverclyde Council, which continues to support the company through revenue grants and trading activities. |
During the year The Kilmacolm New Community Centre Company received revenue grants of £65,000 (2022: £65,000) and rental income of £10,128 (2022: £9,110) from Inverclyde Council. |
THE KILMACOLM NEW COMMUNITY |
CENTRE COMPANY |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2023 |
14. | COMPANY LIMITED BY GUARANTEE |
The Kilmacolm New Community Centre Company was incorporated on 26 June 2003 in Scotland as a company limited by guarantee and having no share capital. |
The liability of each member is limited to the sum of £1. In the event of the winding up or dissolution of the company, in terms of the Memorandum and Articles of Association, any surplus assets shall be transferred to some other charitable body or bodies having objects similar to the company. |