Contents of the Financial Statements
for the Period Ended 31 March 2024
Directors' report period ended
31 March 2024
The directors present their report with the financial statements of the company for the period ended 31 March 2024
Principal activities of the company
The Company’s principal objectives, as described in its Memorandum and Articles of Association, are “to promote
the welfare of people in need of support to live at home, and in furtherance thereof, but not otherwise, to provide
support, assistance and services for such people aimed at equality of treatment and opportunity with other
people within the community including without prejudice to the foregoing generality by, assistance in planning,
arranging and co-ordinating support and selecting and employing support staff; designing and providing support
services including assistance with personal care, daily living and social activities; assisting in obtaining housing
and related services, education, training and employment and specialised support such as counselling or
appropriate health care”.
We work across North and South Lanarkshire, Glasgow and East Renfrewshire Health and Social Care
Partnerships to take forward their agenda of Personalisation and self-directed support, which seeks to shift the
balance of power and control from organisations and professionals and build on the capacity of individuals to
take greater control over their own lives and their individual budgets.
SOL is fully committed to the principles of Self-Directed Support and Personalization, offering people just the
right amount of support to live a life of their choosing that promotes their gifts and capacities in achieving their full
life potential.
To ensure full choice and control for the people we work for, SOL continues to develop an Outcome Based
Support Plan for each person we work for. This ensures that we capture important information about people and
support them to achieve what is important for and to them, in achieving a good life. SOL Connect, SOL’s
technology enabled care service, continues to grow and to present the people we work for the opportunity to use
their individual budget creatively by offering an alternative to paid support that promotes creativity, independence
and best value at a level that suits every individual.
SOL is a major employer across Lanarkshire, with a highly trained and well-motivated workforce that has built up
considerable knowledge, experience, and skills over many areas, as the organisation has grown.
Company policy on disabled employees
Employee involvement and employment of disabled persons
During the year, the Leadership Team has continued to engage with staff in a series of meetings about the
challenges and realities facing the organisation. It is the intention to provide opportunities for regular dialogue
with staff to seek their ideas and feedback via Staff Group Support sessions bi-annually.
In recognition of the equal status of people with disabilities, SOL actively promotes and encourages the
employment of people with disabilities who may apply for posts within the organisation and where a person with
a disability can adequately meet the requirements of the job.
Where existing employees become disabled, it is the charity’s policy, wherever practicable, to provide continuing
employment under normal terms and conditions and to provide training and career development and promotion
to disabled employees, wherever possible.
Additional information
Plans for future periods
The key aims and objectives of the Charity, as laid out in the three year Strategic Plan, are:
- To remain customer focused and customer driven.
- To assist people we work for to achieve the best quality of life and to ensure that their outcomes
are met within their individual budget allocation.
- To continue to expand, develop and market SOL Connect to internal and external customers.
- To make our costs more accessible and transparent for existing and new customers.
- To increase efficiency through introducing new systems and processes.
- To continue to expand SOL’s business model across other local authority areas.
- To continue to invest in learning and development internally to ensure all key staff complete
their registration with the SSSC.
- To maintain constructive dialogue with commissioning bodies to ensure contractual changes are
dealt with constructively.
- To maintain and improve the quality of everything we do through the Implementation of the
Quality Assurance Framework.
- To implement the People Strategy.
- To consolidate the work of our Risk Management Group
Directors
The directors shown below have held office during the whole of the period from
1 April 2023
to
31 March 2024
Patrick Murphy
Stewart Gibb
Laraine Shields
Philip Gorrell
Ernest Turner
Suzanne Langford-Commins
Linda Mitchell
Secretary
Tracey Morrison
The above report has been prepared in accordance with the special provisions in part 15 of the Companies Act 2006
This report was approved by the board of directors on
28 November 2024
And signed on behalf of the board by:
Name: Patrick Murphy
Status: Director
Profit And Loss Account
for the Period Ended
31 March 2024
|
2024
|
2023
|
|
£
|
£
|
Turnover: |
7,789,625
|
7,319,169
|
Cost of sales: |
(
7,436,970
)
|
(
7,124,468
)
|
Gross profit(or loss): |
352,655
|
194,701
|
Operating profit(or loss): |
352,655
|
194,701
|
Profit(or loss) before tax: |
352,655
|
194,701
|
Profit(or loss) for the financial year: |
352,655
|
194,701
|
Balance sheet
As at
31 March 2024
|
Notes |
2024
|
2023
|
|
|
£
|
£
|
Fixed assets |
Tangible assets: |
3 |
37,731
|
62,522
|
Total fixed assets: |
|
37,731
|
62,522
|
Current assets |
Stocks: |
4 |
30,867
|
38,494
|
Debtors: |
5 |
1,376,257
|
1,337,084
|
Cash at bank and in hand: |
|
794,486
|
562,854
|
Total current assets: |
|
2,201,610
|
1,938,432
|
Creditors: amounts falling due within one year: |
6 |
(
855,588
)
|
(
969,856
)
|
Net current assets (liabilities): |
|
1,346,022
|
968,576
|
Total assets less current liabilities: |
|
1,383,753
|
1,031,098
|
Total net assets (liabilities): |
|
1,383,753
|
1,031,098
|
Members' funds |
Profit and loss account: |
|
1,383,753
|
1,031,098
|
Total members' funds: |
|
1,383,753
|
1,031,098
|
The notes form part of these financial statements
Balance sheet statements
For the year ending 31 March 2024 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.
The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
This report was approved by the board of directors on
28 November 2024
and signed on behalf of the board by:
Name:
Patrick Murphy
Status: Director
The notes form part of these financial statements
Notes to the Financial Statements
for the Period Ended 31 March 2024
-
1. Accounting policies
Basis of measurement and preparation
These financial statements have been prepared in accordance with the provisions of Section 1A (Small Entities) of Financial Reporting Standard 102
Tangible fixed assets depreciation policy
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of
depreciation and any impairment losses. Fixed assets below £500 are not capitalised.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their
useful lives on the following bases:
Fixtures and fittings 33% staight 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.
Other accounting policies
1 Accounting policies
Charity information
Support for Ordinary Living is a private company limited by guarantee incorporated in Scotland. The registered
office and principal place of business is 96 Kirk Rd, Wishaw, ML2 7BL.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's [governing document], the
Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006
(as amended), FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”
(“FRS 102”) and the Charities SORP "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). 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 financial statements have been prepared on a going concern basis.
In considering the appropriateness of the going concern assumption, the trustees have taken into
consideration the charity’s cash flow forecasts and the charity’s present level of funding. As such, the trustees
are therefore confident that they have sufficient working capital and consider that adequate longer term
funding will remain in place and consequently the charity will continue as a going concern. No adjustments
have been made to the carrying value of both assets and liabilities, that might be required should the going
concern basis be inappropriate
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable
objectives.
Restricted funds are are funds that 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. The purposes and uses of the restricted funds are set out in the notes 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.
When donors impose conditions, which have to be fulfilled before the charity becomes entitled to use such
income, the income is deferred and not included in incoming resources until the pre-conditions for use have
been met.
When donors specify that donations and grants, including capital grants, are for particular restricted purposes,
which do not amount to pre-conditions regarding entitlement, this income is included in restricted funds when
receivable
Grant Income
Grants, including grants for the purchase and improvement of fixed assets, are recognised in full in the year in
which they are received. Where grants are received specifically to provide for a fixed asset, the income is
recognised in the SOFA in the year of receipt and an amount equal to the grant is transferred to funds, which
is then reduced over the useful economic life in line with the depreciation charged.
Grants of a revenue nature are credited to income in the period to which they relate, with advance receipts
being treated as deferred income and carried forward in the balance sheet.
Government grants are credited to income when the grant proceeds are received, provided that the terms of
the grant do not impose future performance-related conditions.
Government grants that are received before the revenue recognition criteria are met are recognised as
deferred income.
1.5 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 settlement will be required and the amount of the obligation can
be measured or estimated reliably.
Liabilities are measured on recognition at historical cost and then subsequently measured at the best estimate
of the amount required to settle the obligation at the reporting date. The exception is that certain financial
instruments must be adjusted to their present value; these include financial liabilities where settlement is
deferred for more than 12 months after the reporting date.
All expenditure is accounted for on an accruals basis. All expenses including support costs and governance
costs are allocated or apportioned to the applicable expenditure headings.
Charitable activities
Expenditure on charitable activities includes all costs incurred by the charity in undertaking activities that
further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to
governance of the charity apportioned to charitable activities. The costs of charitable activities presented in
the Statement of Financial Activities includes the costs of both direct service provision and the payments of
grant awards if applicable.
Governance costs
Governance costs (which are included as a component of support costs in accordance with SORP) comprise
all costs involving the public accountability of the charity and its compliance with regulation and good practice.
These costs include those related to constitutional and statutory requirements, external scrutiny (audit or
independent examination), strategic management, and other legal and professional fees.
Raising Funds
Expenditure on raising funds includes all expenditure incurred by a charity to raise funds for its charitable
purposes. It includes the costs of all fundraising activities and events together with those costs incurred in
seeking donations, grants and legacies and investment management costs
1.7 Stocks
Stock is valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow
moving items.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be
incurred in marketing, selling and distribution.
1.8 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.
1.9 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
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.
1.10 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are
received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed
to terminate the employment of an employee or to provide termination benefits.
1.11 Retirement benefits
The charity operates two defined contribution pension schemes. Contributions are charged to the Statement
of Financial Activities as they become payable in accordance with the rules of the schemes.
1.12 Leases
Rentals payable under operating leases, including any lease incentives received, are charged as an expense
on a straight line basis over the term of the relevant lease.
1.13 Activity based reporting
To comply fully with the Statement of Recommended Practice would require income and expenditure to be
reported by activity. The Trustees are of the opinion that the activities of the charity are inter-linked, therefore
this would be impractical to calculate and would provide no additional benefit to the users of these financial
statements. Therefore no further analysis of income and expenditure is provided within these financial
statements.
1.14 Funds held as custodian trustee
The charity acts as trustees in the context of administering bank funds on behalf of service users as required
in order to assist them in managing their day to day lives. Such funds are held within the charity’s bank
account and are also recognised as a creditor on the charity’s balance sheet.
Notes to the Financial Statements
for the Period Ended 31 March 2024
-
2. Employees
|
2024 |
2023 |
Average number of employees during the period |
234
|
241
|