Charity registration number 1077805
Company registration number 03805699 (England and Wales)
EMMAUS COLCHESTER
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
EMMAUS COLCHESTER
LEGAL AND ADMINISTRATIVE INFORMATION
Registered charity name
Emmaus Colchester
Charity number
1077805
Company number
03805699
Principal and registered office
175 Magdalen Street
Colchester
Essex
CO1 2JX
Trustees
James Brian McElhinney ACA
Francis Gerard Perera
Victoria Louise Fuller
Gaynor Bell
Sean Thomas Connolly
Antony James Baker
M Dabbs
(Appointed 6 June 2024)
V Depledge
(Appointed 6 June 2024)
N Singh
(Appointed 6 June 2024)
Chief Executive Officer
Brian Cooke
Independent examiner
LB Group Limited (Stratford)
19th Floor
1 Westfield Avenue
London
E20 1HZ
Bankers
National Westminster Bank PLC
25 High Street
Colchester
CO1 1DG
CAF Bank Limited
25 Kings Hill Avenue
Kings Hill
West Malling
Kent
ME19 4JQ
Solicitors
Trowers & Hamlins
3 Burnhill Row
London
EC1Y 8YZ
EMMAUS COLCHESTER
CONTENTS
Page
Trustees report
1 - 7
Independent examiner's report
9
Statement of financial activities
10
Balance sheet
11 - 12
Statement of cash flows
13
Notes to the financial statements
14 - 26
EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT)
FOR THE YEAR ENDED 30 JUNE 2024
- 1 -

The trustees present their annual report and financial statements for the year ended 30 June 2024. This report is also a Directors’ report required by Section 417 of the Companies Act as all Trustees are Directors.

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 charitable company's governing document, 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

Emmaus supports formerly homeless people, whom we refer to as “Companions” by giving them a home, meaningful work in a social enterprise and an opportunity to get back on their feet again.

For many who ever experience homelessness one of the biggest obstacles they must overcome is a loss of self-esteem. Emmaus provides people with a stable home and the opportunity to regain their self-worth, making a real contribution to their community.

Research shows that for every £1 invested in a community, there is an £11 social, environmental and economic return, with savings to the benefits bill, health services and a reduction in crime reoffending.

 

Reference and administration details

Reference and administrative details are shown in the schedule of members of the board and professional advisers on page 1 of the financial statements.

 

The trustees

The trustees who served the company during the period were as follows:

 

James McElhinney ACA

Francis Perera

Victoria Fuller

Thomas Empson (Resigned 01 September 2023)

Gaynor Bell

Sean Connolly (resigned 6 June 2024)

Anthony Baker (resigned 6 June 2024)

Emily Fuller (appointed 19 October 2023 Resigned 22 July 2024)

Georgina Squires (appointed 5 October 2023 Resigned 30 April 2024)

Matthew Dabbs (appointed 6 June 2024)

Vivienne Depledge (appointed 6 June 2024)

Nora Singh (appointed 6 June 2024)

 

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 2 -
Achievements and performance

Constitution

 

The Charitable Company, incorporated as a company limited by guarantee is directed by a Board of Trustees and governed by its Memorandum and Articles of Association.

 

Method of appointment or election of Trustees

 

The Charitable Company is directed by a Board of Trustees who are elected and co-opted under the terms of the Memorandum and Articles of Association. Trustee nominations must be approved by existing Trustees. Trustees give their time voluntarily and received no benefits from the Charity. Any expenses reclaimed from the Charity are set out in note 10 to the accounts. None of the trustees has any beneficial interest in the Charitable Company.

 

Induction and training of trustees

 

Each new Trustee is briefed about the Community, their legal and ethical responsibilities and an induction programme is in place which includes visiting other Communities. Periodic appraisals are undertaken of Trustee's skills and experience and suitable training is offered.

 

Organisational structure and decision making

 

The Board of Trustees meets 8 times per year and is responsible for the strategic direction and policy of the Charitable Company.

 

Day to day responsibility for the operation of the Charity are delegated to the Chief Executive Officer who is responsible for ensuring that the Charitable Company delivers the activities specified and that key performance indicators are met. The CEO is also responsible for ensuring that the team continues to develop their skills and working practices in line with good practice.

 

A fundamental principle of the Emmaus ethos is that the Companions are central to the existence of the organisation. Emmaus Colchester continually seeks to promote this in the organisational structure and decision making. A Community meeting takes place each week to discuss and agree decisions which affect the community as a whole. In addition we actively encourage Companions to take responsibility for each other and some undertake operational tasks in the capacity of the Responsible Companion.

 

Risk management

 

The Trustees regularly review their policy and procedures to minimise the risks which the Charitable Company, its employees, Companions, volunteers and customers might encounter. Where appropriate systems or procedures have been established to mitigate such risks.

 

Internal control risks are minimised by the implementation of procedures for authorisation of financial transactions. The Community is committed to effective health and safety risk management. Risk assessments and specific procedures are completed, reviewed and maintained. New activities and potential risks are also assessed. Staff, Companions and volunteers participate in a health and safety induction, with additional training offered when desirable or necessary.

 

 

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 3 -
Financial review

Review of activities and achievements: July 2023 to June 2024

 

The results of the year's operations are set out in the attached financial statements.

Trading income for the year was £408,463 compared to last year £391,157, an increase of £17,306. Rental income receipts from Housing Benefit were up by £65,826 to £264,173 an increase of 33.18% from 2022/23.

 

Fundraising

Income from grants and donations was £25,669 (a decrease of 27.19% from 2022/23).

Amongst many generous donations received within the year, we received a grant of £10,000 from The National Lottery to finance a support worker, £400 from Kelvedon Church, for ongoing work, £500 from SJ Hopkins for companion training. And £1,000 from Lexden Lodge to finance the new companion Gym.

We received a bequest of £1960 from The IA Fogg Discretionary Settlement and a donation of £586 from Thompson Smith & Puxon Solicitors. We also embarked on a fundraising campaign to celebrate our 15th year, and many kind supporters donated via our website or sponsored our brave skydivers.

 

After providing for charitable services, the Charity had a loss of £556 compared to a loss of £24,427 in the previous year.

 

During the year we:

Provided support, employment and housing to formerly homeless people.

Actively focused on recruiting Companions with low risks and relatively low support needs. Adopting a zero-tolerance policy on drug use (with the option of drugs tests) improving the appropriateness of referrals and reducing the risk of placements breaking down.

Extended the range of agencies making referrals to us and provided clearer eligibility criteria. Regular email updates and telephone conversations with referring agencies ensure that they keep us in mind. If we cannot assist with a referral we try to signpost them to another Emmaus Community that can. Feedback is provided on occasions that we cannot help, explaining why this is.

Have started selling at a local Car Boot Sale to reach more customers.

 

Future plans:

We are in the process of renovating a disused room to make a home gym for the companions to use in their spare time.

We are currently recruiting a workshop facilitator, enabling us to increase our training of companions and enabling us to save more items from landfill

We plan to extend our services to include a removal service

We are in discussions with local social housing providers to the possibility of providing an end of tenancy clean and redecorate service, again to upskill more companions as well as expand our business.

 

Community

During the year we had an average of 25.5 companions in residence compared with an average of 23 the previous year. The average length of stay is 59 weeks, and the stability of the community has led to many positive outcomes.

Our community staff has developed close relationships with local services, which are the main source of referrals. We select candidates who are prepared to live and volunteer in a community environment and comply with our rules concerning drugs and alcohol. We are working closely with the Joint Referral Panel that has fortnightly meetings with all housing providers in Colchester to meet the needs of the applicants and to increase the incoming referrals to join our community.

 

We would like to thank all the Companions, staff and volunteers for their support and contribution to the stability of the Community and to another successful year's trading.

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 4 -

Companion Support

All our Companions continue to receive one-to-one support sessions, carried out by the Community Manager and support staff.

 

We continue to provide courses in Food Hygiene, First-aid, Health & Safety, Manual Handling and PAT testing for Companions and staff. Companions are also encouraged to attend evening/weekend training courses provided by the local Community College to learn or improve their skills. Online courses are being promoted on a regular basis for the companions to work on during their free time to enable them to improve their skills and enhance their CVs. We continue to promote training programmes to our companions.

 

The Emmaus UK Companion Training Fund continues to be a valuable resource to fund training opportunities for our companions. During the year, it has funded, a bicycle for a companion who had just secured a full time job and needed transport to work and for a companion to start studying to be an accounting technician.

 

Companions have continued to be trained in restoring/upcycling furniture.

 

Companions are given time off to find work and attend job interviews. In cases where they find work, Companions agree a person-centered move on support plan which includes assistance in finding accommodation, budgeting etc. Once a companion starts working outside the community, they can stay living here for up to 3 months and are being asked to pay a subsidized rent and food fee. Companions continue to be supported whilst they are on the move on scheme, our policy being to encourage Companions to move out of the Community once they have re-gained their confidence and found an external job, without pressurizing the more vulnerable who may want to stay in the Community for an extended period. Furthermore, we continue to support ex-Companions where appropriate.

 

Companions receive two weeks holiday and two long weekends in their first year with us, which is extended to four weeks holiday for following years. They are given an additional holiday subsistence allowance and travel allowance and are encouraged to leave the community, visit friends and family or explore other Emmaus Communities.

 

Health and Welfare

Companions are encouraged to become members of the local gym, which we help to fund, although this will not be necessary once we have our in-house gym. We also encourage companions to register with local doctors and dentists.

During the year the companions have enjoyed trips to Ten Pin Bowling and Putt in the Park as well as going clay pigeon shooting and having a Chinese meal.

Both staff and companions enjoyed taking part in The Soapbox Rally, a city centre organised event which involved building a soapbox cart and then racing down the High Street competing against other local organisations. We hope to do it again.

Several companions, staff and supporters took part in a skydive, raising funds for the community’s 15-year appeal but also giving people the opportunity to have exciting new experiences.

 

Solidarity with others in need

We continue to provide support for people & families in crisis and in need of basic furniture. We work with other support agencies and supply those in need with beds, table and chairs and other essential items which are delivered free. Over the year we provided around £3,400 worth of free furniture to 6 people/families.

Our annual Operation Christmas supports local families by donating gifts to local children whose families are struggling to make ends meet. We also donated gifts to the Childrens Ward of Colchester General Hospital.

We had a very successful Operation Easter, mainly due with thanks to Reed Employment Agency and DHL for their generous egg donations. Over 1000 Eggs were distributed via our very own easter Bunny, to Children of families struggling with the cost of living crises.

We work closely with Market Field School pupils who have learning disabilities and enjoy working in our workshop, learning upcycling skills and working in our shops and Warehouse.

We collect and donate bicycles to a charity that collect, refurbish and ship used bikes to communities in need to help them get to work.

We collected toiletries for local refugees during our ‘Kindness day’.

We have become Litter Warriors. Joining other local volunteers in Community Action days on local litter picks.

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 5 -

Emmaus UK and Emmaus International

As a member of the national organization, we continue to benefit from advice and assistance on a number of matters including, marketing, recruitment and HR. All staff have participated in lots of training courses provided by Emmaus UK. We are grateful to the Emmaus UK staff for their readily available assistance.

 

We continue to play a role in the development and growth of Emmaus in the UK by welcoming visitors and potential funders from other Emmaus Communities and Groups, including Emmaus International. We also actively participated in the Emmaus UK discussions on the future direction of the Emmaus Federation and enjoyed being part of the recent planning workshops for the rebrand of Emmaus UK.

 

 

Social Enterprise

The primary objective of Emmaus Colchester is to provide a home and work for previously homeless people. The sale of donated household goods, furniture, electrical appliances and clothes provides a substantial part of the community's income with the balance made up from support from donors and Companions run these trading activities in conjunction with staff and volunteers.

 

The work undertaken by Companions in the retail of second-hand goods is central to the Community's ethos of giving the Companions' dignity and self-respect. Many Companions regain control of their lives and some move on to paid employment. For some, living and working in the Community gives their lives stability and reduces the risk of returning to alcohol and illegal drugs.

 

We operate from a Retail Warehouse, a High Street shop and an Online shop and provide a House Clearance service. We are in the process of expanding the Workshop area so that we can provide more upcycled items and train more companions. We are also planning to expand the business to include a removals service and a cleaning and painting and decorating service.

 

Our Supporters

We express our grateful thanks for the generous financial support of our corporate and charitable supporters, both for their past and future commitments, to the many individual donors of furniture and household goods who keep the social enterprise supplied and to the volunteers who have donated many hours of their time.

 

 

Reserves Policy

Trustees must ensure that the charity’s funds are used appropriately, prudently, lawfully and in accordance with the charity’s purposes for public benefit. The general principle of trust law is that funds received as income should be spent within a reasonable period of receipt. Trustees are justified in exercising their power to hold income reserves in the charity’s best interest.

 

Our policy is to hold an expense reserve to cover 3 months expenditure, a sinking fund to cover repairs and renewals on the Community House building and an investment reserve to fund capital investment in the community and expansion of the business.

 

At the end of the financial year our reserves stood at:

 

                                30 June 2024        30 June 2023

 

        Community House Capital Fund            £1,460,481 £1,471,765

 

        General Funds                    £754,147         £746,950

 

        Restricted Funds                    £538            £0

                                

        Total Restricted & Unrestricted Income Funds    £2,215,166 £2,218,715

            

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 6 -

Responsibilities of the trustees

 

The trustees (who are also the directors for the purposes of company law) are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees must prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure of the charitable company for that period.

 

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

 

  1. select suitable accounting policies and then apply them consistently;

  2. observe the methods and principles in the Charities SORP;

  3. make judgments and estimates that are reasonable and prudent:

  4. state whether applicable UK Accounting Standards have been followed. subject to any material departures disclosed and explained in the financial statements:

e. prepare the financial statements on the going concern basis unless it is

inappropriate to presume that the charitable company will continue in operation.

 

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Who benefits from our work?

 

Emmaus Colchester currently has accommodation for 29 people who were formerly homeless. Our current funding structure relies on Housing Benefit and on revenue generated from our business activities as the main sources of income. We rely on grants and donations as the main sources of income for capital expenditure and to cover any revenue deficit. Emmaus Colchester claims basic Housing Benefit on behalf of the Companions which is paid directly into the Community's account. Potential Companions can either refer themselves or can be referred by a third party (probation officer, support worker for example) with their permission. Emmaus Colchester actively develops relationships with other services, charities, and churches locally and nationally to generate referrals, and encourages Companions and other homeless people to contact us by word of mouth. Applicants must be unemployed and homeless or otherwise vulnerably housed. Emmaus Colchester's success depends on creating and maintaining a welcoming, supportive, and stable community and therefore before anyone is accepted detailed assessments of need and risk are undertaken. Emmaus Colchester will take applicants who present complex needs if the community can support them. The charity has complied with the duty in section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the charity commission.

EMMAUS COLCHESTER
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 7 -

 

The trustees report was approved by the Board of Trustees.

James Brian McElhinney ACA
Trustee
Registered office:
175 Magdalen Street
Colchester
Essex
CO1 2JX
14 January 2025
EMMAUS COLCHESTER
STATEMENT OF TRUSTEES RESPONSIBILITIES  
FOR THE YEAR ENDED 30 JUNE 2024
- 8 -

The trustees, who are also the directors of Emmaus Colchester for the purpose of company law, 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 charitable company 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 charitable company 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 charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

Independent examiner

 

Richard Lane of LB Group (Stratford) was reappointed as Independent Examiner of the charitable company.

 

Accounting exemptions

 

In preparing this report the directors have taken advantage of small companies exemptions provided by section 415 of the Companies Act 2006.

 

EMMAUS COLCHESTER
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF EMMAUS COLCHESTER
- 9 -

I report to the trustees on my examination of the financial statements of Emmaus Colchester (the charitable company) for the year ended 30 June 2024.

Responsibilities and basis of report

As the trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the charitable company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charitable company’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charitable company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1

accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act; or

2

the financial statements do not accord with those records; or

3

the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

4

the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Richard Lane FCA BA (Hons)
For and on behalf of LB Group Limited (Stratford)
19th Floor
1 Westfield Avenue
London
E20 1HZ
Dated: 14 January 2025
EMMAUS COLCHESTER
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 30 JUNE 2024
- 10 -
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2024
2024
2024
2023
2023
2023
Notes
£
£
£
£
£
£
Income and endowments from:
Donations and legacies
3
41,965
792
42,757
32,659
23,703
56,362
Charitable activities
4
672,636
-
672,636
589,504
-
589,504
Investments
5
811
-
811
1,029
-
1,029
Other income
6
9,532
-
9,532
6,662
-
6,662
Total income
724,944
792
725,736
629,854
23,703
653,557
Expenditure on:

Expenditure on raising funds

7
10,521
-
10,521
9,721
-
9,721
Charitable activities
8
715,517
254
715,771
644,647
23,616
668,263
Total expenditure
726,038
254
726,292
654,368
23,616
677,984
Net (expenditure)/income for the year/
Net movement in funds
(1,094)
538
(556)
(24,514)
87
(24,427)
Fund balances at 1 July 2023
1,562,505
-
1,562,505
1,587,019
(87)
1,586,932
Fund balances at 30 June 2024
1,561,411
538
1,561,949
1,562,505
-
1,562,505

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
EMMAUS COLCHESTER
BALANCE SHEET
AS AT
30 JUNE 2024
30 June 2024
- 11 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
10
1,553,896
1,571,939
Current assets
Debtors
11
52,399
50,179
Cash at bank and in hand
86,174
61,346
138,573
111,525
Creditors: amounts falling due within one year
13
(67,026)
(50,344)
Net current assets
71,547
61,181
Total assets less current liabilities
1,625,443
1,633,120
Creditors: amounts falling due after more than one year
14
(63,494)
(70,615)
Net assets
1,561,949
1,562,505
Income funds
Restricted funds
16
538
-
Unrestricted funds
Designated funds
1,460,481
1,471,765
17
1,460,481
1,471,765
General unrestricted funds
100,930
90,740
1,561,411
1,562,505
1,561,949
1,562,505
EMMAUS COLCHESTER
BALANCE SHEET (CONTINUED)
AS AT
30 JUNE 2024
30 June 2024
- 12 -

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 June 2024.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

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

The financial statements were approved by the Trustees on 14 January 2025
James Brian McElhinney ACA
Trustee
Company registration number 03805699
EMMAUS COLCHESTER
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2024
- 13 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
22
30,625
(23,538)
Investing activities
Investment income received
811
1,029
Net cash generated from investing activities
811
1,029
Financing activities
Repayment of bank loans
(6,608)
(152,746)
Net cash used in financing activities
(6,608)
(152,746)
Net increase/(decrease) in cash and cash equivalents
24,828
(175,255)
Cash and cash equivalents at beginning of year
61,346
236,601
Cash and cash equivalents at end of year
86,174
61,346
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
- 14 -
1
Accounting policies

General information

 

Emmaus Colchester is a private company limited by guarantee without share capital, incorporated in England and Wales, registration number 03805699. The address of the registered office is Emmaus Colchester, 175 Magdalen Street, Colchester, Essex, C01 2JX.

 

The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year.

Charity information

Emmaus Colchester is a private company limited by guarantee incorporated in England and Wales. The registered office is 175 Magdalen Street, Colchester, Essex, CO1 2JX.

1.1
Accounting convention

The financial statements have been prepared in accordance with the charitable company's governing document, the Companies Act 2006, 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 charitable company is a Public Benefit Entity as defined by FRS 102.

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

Fund accounting

 

General funds are unrestricted funds which are available for use at the discretion of the Trustees' in furtherance of the general objectives of the charitable company and which have not been designated for other purposes.

 

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

 

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the charitable company for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

 

Investment income, gains and losses are allocated to the appropriate fund.

1.2
Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charitable company 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

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charitable company.
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 15 -
1.4
Income

Income is recognised when the charitable company has entitlement to funds, any performance 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 reliably measured.

 

Gifts in kind donated for distribution are not recognised in the financial statements. Gifts donated for resale are included as income when they are said. Donated facilities are included at the value to the charitable company where this can be quantified and a third party is bearing the cost. No amounts are included in the financial statements for services donated by volunteers.

 

Intangible income, which comprises donated services, is included in income at a valuation which is an estimate of the financial cost borne by the donor where such a cost is quantifiable and measurable. No income is recognised where there is no financial cost borne by a third party.

 

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

 

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

 

Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charitable company; this is normally upon notification of the interest paid or payable by the bank.

1.5
Expenditure

All expenditure is accounted for on an accruals basis and is recognised when there is a legal or constructive obligation to pay. Expenditure has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of resources. Overheads have been allocated on the basis of staff costs - inputs.

 

Fundraising costs are those incurred in seeking voluntary contributions and do not include the of disseminating information in support of the charitable activities. Support costs are those costs incurred directly in support of expenditure on the objects of the charitable company and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the charitable company and compliance with constitutional and statutory requirements.

1.6
Tangible fixed assets

Tangible fixed assets costing more than £500 are capitalised, including any incidental acquisition expenses. All fixed assets are initially recorded at cost.

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:

Freehold land and buildings
1% straight line
Leasehold land and buildings
0.833% straight line
Fixtures and fittings
25% straight line
IT Equipment
20% straight line
Motor vehicles
25% straight line
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
1
Accounting policies
(Continued)
- 16 -

No depreciation is provided on the original purchase of freehold land and freehold buildings. This treatment is in the opinion of the trustees, necessary in order to give a true and fair view of the position of the charitable company. The charitable company’s policy is to maintain the property in a continual state of sound repair and accordingly the Trustees are of the opinion that the life of the property is So long and residual value so high that any depreciation would be insignificant. Subsequent property works which are specific to the nature of the charity are depreciated over 50 years.

1.7
Cash and cash equivalents

Cash and cash equivalents include cash and short term highly liquid investments with a maturity of three months or less from the date of acquisition or the opening of the deposit or similar account.

1.8
Financial instruments

Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets or financial liabilities. The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

1.9
Taxation

Emmaus Colchester is a charity within the meaning of the Charities Acts 2011 and as such is a charity within the meaning of Part 11, Corporation Tax Act 2010. Accordingly, it is potentially exempt from taxation in respect of income or gains received within categories covered by Part 11, Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that such income or gains are applied exclusively to its charitable purpose

1.10

Pension's costs

Emmaus Colchester operates a defined contribution pension scheme to which certain employees of the charitable company contribute. The assets of the scheme are held separately from those of the charitable company. The annual contributions payable are charged to the profit and loss account.

1.11

Operating lease agreements

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

2
Critical accounting estimates and judgements

Preparation of the financial statements requires management to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and assumptions are based on experiences and other factors that are considered to be relevant. Actual results may differ from these estimates. There were no key assumptions or areas of estimation uncertainty that the Trustees believe have a significant risk of causing a material adjustment to the carrying amount of assets or liabilities within the next financial year.

3
Donations and legacies
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
2024
2024
2024
2023
2023
2023
£
£
£
£
£
£
Donations and gifts
41,965
792
42,757
32,659
23,703
56,362
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 17 -
4
Charitable activities

Shops and warehouse sales

House clearance and clearing income

Housing benefit received

Total
2024

Shops and warehouse sales

House clearance and clearing income

Housing benefit received

Total
2023
2024
2024
2024
2023
2023
2023
£
£
£
£
£
£
£
£

Unrestricted funds

381,736
26,727
264,173
672,636
369,361
21,796
198,347
589,504
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 18 -
5
Investments
Unrestricted
Unrestricted
funds
funds
2024
2023
£
£
Interest receivable
811
1,029
6
Other income
Unrestricted
Unrestricted
funds
funds
2024
2023
£
£
Other income
9,532
6,662
7

Expenditure on raising funds

Unrestricted
Unrestricted
funds
funds
2024
2023
£
£
Trading costs

Shabby Chic costs and credit card charges

4,563
5,446
Support costs
5,958
4,275
Trading costs
10,521
9,721
10,521
9,721
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 19 -
8
Charitable activities

Unrestricted Funds

Restricted Funds

Total
2024

Unrestricted Funds

Restricted Funds

Total
2023
2024
2024
2023
2023
£
£
£
£
£
£
Staff costs
340,734
-
340,734
307,906
-
307,906
Depreciation and impairment
20,548
-
20,548
24,434
-
24,434

Warehouse Expenditure

39,975
-
39,975
35,680
-
35,680

Community House

64,243
254
64,497
63,281
23,616
86,897

Crouch Street

-
-
-
1,458
-
1,458

Works Expenditure

13,861
-
13,861
16,257
-
16,257

Home Shop

7,115
-
7,115
17,866
-
17,866

Motor Expenses

26,607
-
26,607
17,136
-
17,136

Office expenses, repairs and maintenance

1,076
-
1,076
4,399
-
4,399

Marketing

3,957
-
3,957
520
-
520

Telephone

23,580
-
23,580
17,854
-
17,854

Accountancy

14,980
-
14,980
4,475
-
4,475

Solidarity Payments

8,708
-
8,708
11,078
-
11,078
Other charitable expenditure
150,133
-
150,133
122,303
-
122,303
715,517
254
715,771
644,647
23,616
668,263
715,517
254
715,771
644,647
23,616
668,263
Analysis by fund
Unrestricted funds
715,517
-
715,517
644,647
-
644,647
Restricted funds
-
254
254
-
23,616
23,616
715,517
254
715,771
644,647
23,616
668,263
9
Employees

The average monthly number of employees during the year was:

2024
2023
Number
Number
Number of administrative staff
1
1
Charitable activities
11
12
Total
12
13
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
9
Employees
(Continued)
- 20 -
Employment costs
2024
2023
£
£
Wages and salaries
305,949
284,671
Social security costs
28,781
16,186
Other pension costs
6,004
7,049
340,734
307,906

No Trustee received any remuneration or benefits in kind. During the year £Nil was reimbursed to trustees for out of pocket expenses (2023: £Nil).

 

The charitable company considers its key management personnel comprises the Trustees only. The aggregate remuneration of key management personnel was £Nil (2023: £Nil).

There were no employees whose annual remuneration was more than £60,000.
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 21 -
10
Tangible fixed assets
Freehold land and buildings
Leasehold land and buildings
Fixtures and fittings
IT Equipment
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 July 2023
749,864
927,556
41,055
35,102
59,628
1,813,205
At 30 June 2024
749,864
927,556
41,055
35,102
59,628
1,813,205
Depreciation and impairment
At 1 July 2023
9,427
112,001
39,872
25,206
58,706
245,212
Depreciation charged in the year
3,557
7,727
-
1,891
922
14,097
At 30 June 2024
12,984
119,728
39,872
27,097
59,628
259,309
Carrying amount
At 30 June 2024
736,880
807,828
1,183
8,005
-
1,553,896
At 30 June 2023
740,437
815,555
6,142
8,892
913
1,571,939
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 22 -
11
Debtors
2024
2023
Amounts falling due within one year:
£
£
Other debtors
26,878
23,541
Prepayments and accrued income
25,521
26,638
52,399
50,179
12
Loans and overdrafts
2024
2023
£
£
Bank loans
77,618
84,226
Payable within one year
14,124
13,611
Payable after one year
63,494
70,615
13
Creditors: amounts falling due within one year
2024
2023
Notes
£
£
Bank loans
12
14,124
13,611
Trade creditors
7,531
9,882
Other creditors
45,371
26,851
67,026
50,344
14
Creditors: amounts falling due after more than one year
2024
2023
Notes
£
£
Bank loans
12
63,494
70,615

The bank loan is secured by a legal charge over the freehold property, 99 High Street Colchester, Essex.

 

Included within creditors falling due after more than one year is an amount of £63,494 (2023: £70,615) respect of a bank borrowings which falls due for repayment partly after one year and partly after more than five years from the balance sheet date. The date of maturity currently 30 March 2045.

 

EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 23 -
15
Retirement benefit schemes
Defined contribution schemes

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

The charge to profit or loss in respect of defined contribution schemes was £6,004 (2023 - £7,049).

EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 24 -
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 July 2022
Incoming resources
Resources expended
Transfers
Balance at
1 July 2023
Incoming resources
Resources expended
Balance at
30 June 2024
£
£
£
£
£
£
£
£
Emmaus UK CTF
22
667
(657)
(32)
-
792
(254)
538
Postcode Lottery for Drivers salary
(109)
-
-
109
-
-
-
-
(87)
667
(657)
77
-
792
(254)
538

Emmaus UK CFT - For Companion personal development.

PostCode Lottery - From the PostCode Neighbourhood Trust fund and drivers salary.

 

EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 25 -
17
Designated funds
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
Movement in funds
Balance at
1 July 2022

Depreciation

Transfers
Balance at
1 July 2023

Depreciation

Balance at
30 June 2024
£
£
£
£
£
£
Capital fund
1,337,163
(11,284)
145,886
1,471,765
(11,284)
1,460,481
1,337,163
(11,284)
145,886
1,471,765
(11,284)
1,460,481

The designated funds balance represents the net book value of freehold and leasehold land and buildings at the year end less any related debts. The purpose of the fund is to represent separately the portion of the Charity's unrestricted funds that are not free for general use. Each year an amount is transferred to or from the fund representing movement in the net book value of fixed assets for the year.

18
Analysis of net assets between funds
Unrestricted funds
Restricted funds
Total
Unrestricted funds
Restricted funds
Total
2024
2024
2024
2023
2023
2023
£
£
£
£
£
£
Fund balances at 30 June 2024 are represented by:
Tangible assets
1,553,896
-
1,553,896
1,571,939
-
1,571,939
Current assets/(liabilities)
71,009
538
71,547
61,181
-
61,181
Long term liabilities
(63,494)
-
(63,494)
(70,615)
-
(70,615)
1,561,411
538
1,561,949
1,562,505
-
1,562,505
19
Company limited by guarantee

The charitable company is a company limited by guarantee. The members of the company are the Trustees named on page one. In the event of the charitable company being wound up, the liability in respect of the guarantee is limited to £1 per member of the charitable company.

20
Operating lease commitments

At the reporting end date the charitable company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within one year
14,212
14,212
EMMAUS COLCHESTER
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024
- 26 -
21
Related party transactions

The related parties of Emmaus Colchester are the Trustees of the charitable company. The charitable company is controlled by the Trustees.

 

There were no related party transactions identified which should be disclosed under the Financial Reporting Standard 102.

22
Cash generated from operations
2024
2023
£
£
Deficit for the year
(556)
(24,427)
Adjustments for:
Investment income recognised in statement of financial activities
(811)
(1,029)
Depreciation and impairment of tangible fixed assets
20,548
24,434
Movements in working capital:
(Increase) in debtors
(2,220)
(7,705)
Increase/(decrease) in creditors
16,169
(10,121)
Cash generated from/(absorbed by) operations
33,130
(18,848)
23
Analysis of changes in net funds/(debt)
At 1 July 2023
Cash flows
At 30 June 2024
£
£
£
Cash at bank and in hand
61,346
24,828
86,174
Loans falling due within one year
(13,611)
(513)
(14,124)
Loans falling due after more than one year
(70,615)
7,121
(63,494)
(22,880)
31,436
8,556
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