The Trustees' present their annual report and financial statements for the year ended 31 March 2025.
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 constitution, 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)" (effective 1 January 2019).
OBJECTIVES
Our charity’s main objective is clear. We maintain a shelter in Tayside for unwanted and abandoned dogs, many of whom have been abused and neglected. When they arrive at our gates, these poor animals desperately need love, expert care and rehabilitation so that we are able to find for them safe, loving homes in which they will live the rest of their lives. Only one change has taken place in the last year for PADS’ single objective. The task of … finding dogs their forever homes has just got a lot harder.
After Covid it was calculated that 3 million more households in the UK had acquired pets, most of them dogs. Many of these people were first time dog owners who, when the pandemic passed, became disillusioned with what seemed like a good idea at the time, and decided to give up the dogs they had foolishly bought.
The flood of unwanted dogs began and it is still the case that charities like ourselves are bearing the brunt of these bad decisions. Many Covid dogs are untrained, poorly socialized and with behavioural problems, and thus spend more time with us before they can be adopted. This situation has been worsened by the post pandemic cost of living crisis which resulted in huge increases in dog food prices, insurance and veterinary fees. Many owners now simply do not have the financial resources to keep a dog, particularly if it becomes ill, for vet fees are unaffordable to owners on low incomes or without savings. Thus, the flood of unwanted dogs never ends. Our objective is now to use our resources as efficiently as we can to take on this challenge of finding good homes for all these dogs.
As the cost of living results in more abandonments, it also reduces the pool of potential adopters who cannot afford pet insurance and worry about taking on a dog in case vet treatment is needed some day. The substantial increase in vet fees is a big problem, both for current and potential dog owners and the animals themselves, who are often neglected and sick. The rises in animal treatment costs and medicines are to a great extent due to the takeover of the industry by private equity companies. We believe one company down south has ‘gobbled up’ more than 1,000 vet practices. The Competition and Markets Authority (CMA) is currently investigating the situation in the vet industry and its lack of competition – the greatest factor in reducing costs - but it may be next year before a report is made on what changes should take place and when.
In the meantime, however, our charity’s objective is to step up to the job! We must ensure that our staff have all the resources they need to maintain the very high standard of care for our canine clients.
PADS is now 35 years old. For the very first time in our history last year we had to draw up a waiting list of people who wanted us to take their dogs for rehoming. This year we have been ‘full up’ on more occasions than ever before.
We like to think, however, that we are prepared for anything, for economic changes can produce some rather scary events. As the demand for dogs and puppies has dampened somewhat due to financial pressures, it would appear that breeders who enjoyed a boom during Covid are now feeling the pinch. Recently, in South Wales, 28 dogs, all of them under 3 years old, were ‘dumped’ in three towns in the area. It is believed that this mass abandonment was carefully planned. It could be that the boom has turned to a bust for some in the breeding business, resulting in yet another reason for abandonment. Hopefully no astonishing events like this will ever take place in Perthshire!
We live in uncertain times and believe the best way forward is to use our resources carefully to deal not only with the present crises as best we can but also to keep a keen eye on what the future may bring. Our current objectives are to maintain and improve kennels, exercise areas and all the facilities for the dogs as best we can. Whatever this uncertain future may bring, the dogs who come to PADS will always be our top priority. The care we give them and the homes we find them are of primary importance. That is our overall objective and everything we do is to that end.
ACTIVITIES
Our annual ‘Scrufts’ dog show in Dunning in August was, as usual, a resounding success. And for once, the rain stayed off! As we do not charge an entry fee for this popular event it is impossible to know the number of dogs who come along with their owners. We can, however, say with some confidence that this year the canine attendance must have been several hundred. Our little dog show, which has dramatically increased in size and popularity over the years, is now generally accepted as one of the happiest and most successful events of its kind in the canine circuit.
Adverts in the local press, good pre-show publicity from the Perthshire Advertiser and social media posts reminded dog owners of the event and drew in the crowds.
We attracted more than 30 stalls this year, selling everything from pasties and pizzas to dog gear, ceramics and jam. Live music was provided by the Blackford Fiddlers, who have given their time to many PADS events over the years, and the more energetic dogs took on the challenges of the agility area!
It is hard to describe the joyous atmosphere at a dog show like ours. Proud owners just love showing off their beloved pets in a social gathering like no other. There is nothing dog owners like better than chatting to others about their canine pals, who come in every shape and size from the tiniest Maltese terrier to the biggest Tibetan Mastiff. It is, for many folk, a day to remember! We host dogs and owners from Dundee, Aberdeen and often even as far away as Glasgow and Edinburgh. This is not surprising. Our adoption process, which changed during Covid to one involving an online form application, means that our dogs often find new homes much further away than Perthshire itself. Hence the presence of many proud adopters from far afield.
For the second year running ‘Scrufts’ generated some excellent post show publicity. Pictures taken by PAD’S Chair Alison Kennedy took up all of page 3 in the Perthshire Advertiser and a large number of pictures taken by the Courier were used online. Our show is a superb ‘showcase’ for the charity and helps us spread the word about the work we do.
Our assistant manager, Joanna High, was the driving force for 3 smaller events. She took the PADS stall to the Dunning Christmas Market and also to ‘Barket’, the dog event in Perth. Her next stop, later in the year, was to visit Riverside Primary School in Perth along with her own wee dog Eddie, a Chihuahua cross, to thank the children for an amazing donation to our charity. The youngsters there had collected £400 from the sale of sweets and had also assembled a huge collection of dog necessities such a leads, blankets, coats, food, treats etc. for our clients at the kennels.
The one big disappointment of the year was the need to cancel our annual PADS Coffee Morning in Scone last November. Storm Bert hit the country the day before and warnings were issued regarding high winds, flooding and dangers on the roads. We had to take this advice to cancel. We carefully stored away our raffle prizes and hope to enjoy running our Coffee Morning this coming November, storm-free!
This last year has been a busy one for PADS. We have done a lot of work to maintain, upgrade and future-proof our kennels, which were built 35 years ago. After all these years much of the old structure and machinery was on its last legs and desperately needed replaced. Also, we have made changes to the running of the kennels, improved the kennels environment for our dogs and perfected the new adoption method we introduced during the pandemic.
Our biggest job during the year was to re-fence all of PADS boundaries, from the entry gates to the top of the rear area behind the main building and from the railways lines beyond the therapy garden to the outer wall of the garage. The old fences, which had weathered the storms since 1990, were in a sorry state and crying out to be replaced. This was a big job, costing £24,000, but one which gave these areas security and safety for our dogs.
A new wall unit was installed in our quarantine block to stop condensation, and a new immersion heater tank was fitted in the main kennel building. Our domestic washing machines were reaching their final days and were replaced by a new commercial-sized washing machine unit from a company which supplies other animal charities, i.e the SSPCA, Cat Protection and Dogs’ Trust.
We have completed the tiling in the kennels and corridors of 2 of the 4 wings in the main building. Again, this is an expensive operation so we decided to complete one wing per annum. The old tiling was in a sorry state. The new tiling and grout materials being used should last for the foreseeable future and beyond!
We hope to get a few good years yet from our PADS van, which has been checked, serviced and re-sprayed. It now boasts our new, catchy, simpler slogan ‘…finding dogs their forever homes’.
The roof above the entrance area to the main building is very much past its best, leaking badly around the door and window areas. We have a quotation to replace it with a new, badly needed fibre glass roof which will sort the problem for many years to come.
Nowadays, running a charity like PADS is, of course, like running a small business. And in this modern world, every small business needs decent broadband. It does not need a sluggish signal which gives up every mid-afternoon! After years of promises and booster plugs from BT, and months of failure from a company who had promised fibre to us, we finally gave up. We now have the Starlink satellite system which works like a dream and gives us a decent, dependable signal day and night to carry out PADS business. Not only that, but after a year or so when the installation is paid, it will be cheaper to run than BT. It comes with the new VOIP phones which will make life easier for our staff.
Our newsletters, which are eight - pagers and come out twice a year, are distributed widely. They contain charity news and re-homing stories, but also branch out to inform and discuss dog issues, such as vet fees, the cost of dog food and the rise of abandonment. They also display our new catchy phrase…finding dogs their forever homes, which will appear on all PADS’ marketing items and on our collection tins. Our website and social media presence is expertly kept up to date by our assistant manager, Joanna High.
This year we opened up ground at the rear of the main kennels building as an additional exercise area for dogs. And they love it! The previous year we designed and created a ‘therapy garden’ at the front of the building for dogs needing peace and quiet to recover from trauma. The rear area completes our new environment for homeless dogs and one which they will continue to enjoy. A fast-growing hedge will soon block out the nearby railway line and dogs and staff (who have the use of a new, covered bench there) can enjoy the space together.
In February, 2025, we were pleased to show this new area and the rest of the kennels to Jim Fairlie, MSP for Perthshire South and Kinross, and Minister for Agriculture and Connectivity. He was delighted and eager to praise our charity. “You are fantastic,” he said.
Not only do dogs need space to run, good food, care and love they also need socialisation and the new exercise area is perfect for meeting new friends! Many of our dogs, of course, need this kind of socialisation and many need training. Our staff are highly experienced in this field, but due to the number of wayward canines coming to us, we now have the help of a local dog trainer, who comes in every week to employ her skills at the kennels!
Equally important to the functions of the charity, of course, is finding the right ‘forever’ homes for our canine clients. As previously mentioned, during Covid we found a new way of matching a dog to a possible adopter. Because people were not permitted to come to the kennels to meet our dogs, we copied a method designed by Dogs’ Trust. This involved putting a form on our website asking for all relevant details from potential adopters, including the type of dog they might be interested in taking. This made it much easier to match applicant to dog and the method has proved very successful and one of the better things to come out of the pandemic era!
We believe we are very good at ‘finding dogs their forever homes..’ In the last year we have successfully placed 52 dogs with new adopters who will love and care for them for the rest of their lives. There is no better way of illustrating this than giving a brief account of 2 dogs recently rehomed.
GEORGE, as we called him, was found wandering lost and alone in Perth, clearly unwanted. He was an elderly Pomeranian. He had been badly neglected. His thick coat was matted and stuck to his skin. It had to be shaved. It took some time for him to recover from this and from the trauma of being dumped.
NOW, however, little George is a bundle of joy, happily rehomed by a long distance truck driver who takes him on every journey. George, resident in the passenger seat, loves every minute of his new life and has probably covered around 30,000 miles by now, all over the UK. George and his adopter are inseparable. Recently observed in his new home, we can truthfully say he is one of the happiest little dogs we have ever encountered.
A similar story was the case of MABEL, a charming French Bulldog, also dumped in a Perth street, left alone, confused and lost. Again, she had been neglected. Our vet found she was suffering from a very nasty infection in both ears and she was treated quickly to make a full recovery. She is now the delight of a lovely family in rural Perthshire, who adore her and will give her the happy new life she deserves.
These two stories, of George and Mabel, are the best way we have of representing PADS’ achievements! To see two lonely, neglected dogs in their new forever homes defines exactly what the charity is all about!
Results for the year ended 31 March 2025 are given in the Statement of Financial Activities on page 9. The assets and liabilities are given in the Balance Sheet on page 10. The financial statements should be read in conjunction with the related notes which appears on pages 11 to 20.
In summary, income amounts to £527,411 (2024 - £289,489), expenditure totalled £276,497 (2024 - £233,044) and net gains on investments of £0 (2024 - 5,606) resulting in net inflow for the year of £250,914 (2024 - £62,051). The charity's surplus in the current and prior year is largely the result of substantial legacies being received as detailed in note 3.
Reserves of cash at bank and investments at the year end amount to £1,543,714 (2024 - £1,421,145) and the investment income from these reserves was £97,135 (2024 - £66,259).
At the year end the charity has total unrestricted reserves of £2,543,737 (2024 - £2,292,824) and restricted reverse of £nil (2024 - £nil).
During the anxious financial times in which we live it is often forgotten that the cost of living crisis affects charities also, and some more than others. We now continue to deal with the high and ever – increasing costs of dog food, energy, staff wages and veterinary fees. As one example, our vet bills in the year amount to not far short of £30,000 and we were recently informed that our vet treatment costs would be increasing by a further 12.5 per cent. In addition, huge vet bills mean we must deal with more unwanted dogs, for many people simply cannot afford to have their animal treated. Also, many potential adopters decide not to risk taking on unwanted dogs in case they fall ill and require costly vet treatment.
Currently, the CMA (Competition and Market Authority) is investigating the vet fee situation which has been caused to a great extent by the acquisition of private equity finance companies buying up vet practices to boost the returns for their shareholders. In doing so they have created the beginnings of an animal welfare crisis. Many dogs, we find, have been neglected when they come to us and are suffering from ailments which should have been treated by a vet. Unfortunately, the CMA is not likely to be presenting a report or taking any action until late next year. PADS, as a well known and highly respected charity in Perthshire, will be able to survive this potential crisis, but many dog shelters may not. This could mean even more dogs for us to care for.
In order to provide the highest standards of care for the dogs who come to us our strategy is to MAINTAIN, our kennels and environment, to UPGRADE where possible, and to FUTURE PROOF the running of the charity against the uncertainties of the years to come. We are sure there will be many! Annual vet fees, energy bills (£20,701.27), and staff wages will only increase, so we will carefully balance income and expenditure to cope. In addition to our Trustees’ meetings which we have every 3 months, our treasurer and administration expert prepare monthly reports for PADS board members. This keeps all of us up to date with any important financial trends or problems. Our treasurer makes sure that we have the best possible income from our cash investments. Our receipt of legacies over recent years has enabled us to purchase two good properties from which we earn almost £35,000 per year. During inflationary periods and low interest rate times cash value or income will drop, hence our purchase of property, which will remain a stable investment for the future.
Our other reliable and important investment is our staff. We have been lucky for many years to have a dedicated and hard working team who care deeply for the homeless of the canine world and to them we are very grateful.
There will always be a need for charities like ours. We are, therefore, determined to take PADS forward as a financially healthy, well-maintained and compassionate abandoned dog charity for the foreseeable future and beyond.
Perthshire Abandoned Dogs Society is a company limited by guarantee and a registered charity governed by its Memorandum and Articles of Association. The charity is registered with Companies House (SC258764) and the Office of the Scottish Charity Regulator (SC011033).
The Trustees', who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
The affairs of the Society are administered by a Board consisting of a Chair, Vice Chair and two ordinary members. The Chair and Vice Chair share secretarial and membership duties. The maximum number of Trustees is eight and the minimum number is three. The paid Treasurer attends and reports to Board meetings and has no voting rights.
The charity’s Articles of Association have been changed to show that one Trustee is now an employee of the charity. The other Trustees receive no benefits from the charity. Any new Trustees require to have shown an active interest in the Society and be proposed and seconded by Board members. New Trustees are generally appointed by the EGM, although Trustees may at any time appoint an individual to be a Trustee either to fill a vacancy or as an additional Trustee.
Board meetings are held every three months ( now via Teams) and decisions are made at these meetings with the Chair having the casting vote. The kennel manager provides a written report which is circulated in advance of each meeting. The manager, Louise Perrett, normally takes decisions directly related to the running of the kennels, but if in doubt she will consult the Vice Chair. Strategic decisions relating to the running of the charity itself are normally taken by the Board.
Induction of new Trustees involves an informal meeting with the Trustees, provision of a copy of the governing document, the annual accounts, an information sheet, contact details of all Trustees, although they are encouraged to attend all relevant seminars and events to keep up with any changes. Staff at the kennels are provided with appropriate ongoing training as required.
An annual salary review for all kennels staff is conducted and its findings discussed, and where appropriate approved at each March Board meeting.
The charity cooperates fully with related organisations such as Perth and Kinross Dog Wardens, The Police, the Social Work Department, Tay Valley Vets and other charities which rescue abandoned dogs. We occasionally take dogs from other rehoming centres when they are full and liaise with breed specific charities in the case of pedigree dogs. The Trustees are responsible for the maintenance and integrity of the charity. Legislation in the UK governing the preparation and dissemination of accounts may differ from legislations in other jurisdictions.
An annual salary review for all kennels staff is conducted and its findings discussed and where appropriate approved at each April Board meeting.
We cooperate fully with related organisations such as Perth and Kinross Dog Wardens, the Police, the Social Work Department, Tay Valley Vets and other charities which rescue abandoned dogs. We occasionally take dogs from other rehoming centres when they are full and liaise with breed specific charities in the case of pedigree dogs.
The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of accounts may differ from legislations in other jurisdictions.
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
In accordance with the company's articles, a resolution proposing that Findlays Audit Limited be reappointed as auditor of the company will be put at a General Meeting.
The Trustees' report was approved by the Board of Trustees'.
The Trustees', who are also the directors of Perthshire Abandoned Dogs Society 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 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;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; 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.
Opinion
We have audited the financial statements of Perthshire Abandoned Dogs Society (the ‘Charity’) for the year ended 31 March 2025 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:
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 the provisions available for small entities, in the circumstances set out in note 23 to the financial statements, 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.
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.
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.
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
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.
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, 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.
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.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Irregularities, including fraud, are instance 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 extent to which our procedures are capable of detecting irregularities, including fraud and non compliance with laws and regulations is detailed below.
The audit team has the appropriate skills and expertise required and through discussions with management and trustees and knowledge of the sector to ensure any non compliance is recognised and all necessary disclosures are made. The controls in place help the charity mitigate the risk of fraud and also aids them in highlighting any instances of fraud that might have occurred.
We assess the susceptibility of the charity's financial statements to material misstatement including obtaining an understanding of how fraud and non compliance with laws and regulations may occur.
Making enquiries of management & directors about any known or suspected instances of non compliance with laws and regulations, including GDPR, health and safety, licensing laws employment law and fraud.
Enquires of management & trustees as to where they consider there is a susceptibility to fraud and their knowledge of how actual, suspected and alleged fraud might occur.
Challenging assumptions and judgements made by management in their significant accounting estimates.
Review of any correspondence with regulators including OSCR & HMRC.
Auditing the risk of management override controls, including through testing of transactions and other judgments for appropriateness.
Review of any areas where there is potential of management bias, large & unusual transactions and the risk of undisclosed related parties.
Performed analytical procedures to identify any unusual transactions.
Because of the field in which the client operates we identified the following areas as those most likely to have a material impact on the financial statements;
Direct Impact on Financial Statements
The Charities Accounts (Scotland) regulations 2006
SORP - FRS 102
Charities & Trustee Investment (Scotland) Act 2005
Companies Act 2006
Indirect Impact on Financial Statements
GDPR
Employment Laws
Health & Safety at Work Act
Charities Constitution
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
We communicate with those charged with governance, trustees regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
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.
Use of our report
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and to the charity’s trustees, as a body, in accordance with regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members and trustees 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 charitable company, the charitable company’s members as a body,and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Findlays Audit Limited is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 16 to 25 form part of these financial statements.
The notes on pages 16 to 25 form part of these financial statements.
The notes on pages 16 to 25 form part of these financial statements.
Perthshire Abandoned Dogs Society is a private company limited by guarantee incorporated in Scotland. The registered office is J & H Mitchell W S, 51 Atholl Road, Pitlochry, PH16 5BU, Scotland.
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, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
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.
Unrestricted funds are available for use at the discretion of the Trustees' in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors 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.
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.
Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity and is recognised when entitlement has occurred.
Income from charitable activities includes income earned from the sale of dogs, dog boarding fees and fees received relating to the running of the kennels. The income is recognised when entitlement has occurred.
Investment income includes interest and dividends from listed investments and is recognised when it is receivable.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Raising funds comprises the costs associated with attracting donations and legacies and the costs of income generation including the costs associated with the investment portfolio.
Charitable expenditure is incurred in direct pursuance of the charity's principal objects and as set out in the Trustees' report. Direct charitable costs comprise staff costs and other costs relating to the charity's objectives.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
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:
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.
Heritable property is not depreciated as the property was purchased in 1986 and the value in the accounts is historical cost. The residual value is considered to be higher than the carrying value within the financial statements
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.
At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand and deposits held at call with banks.
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, 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, 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.
Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.
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.
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.
Depreciation is calculated to fully write off the costs of assets over their estimated useful life. Management estimate the useful life of each asset, Details of the depreciation charged in the period are included in note 16.
No depreciation is charged on the charity's house and land which are considered by the Trustees to have a residential value significantly in excess of the book value.
Investment properties are required to be recognised at fair value. In the absence of a professional valuation, the directors have estimated the market value of the two investment properties based on the current property market. Details of the valuations are included in note 16.
One Trustee, Heather Wallace received remuneration for her services during the year. These services included those of a charity administrator role. The treasurer, Robert Wallace, who is the husband of Heather Wallace, received remuneration for his services during the year. No other Trustees' (or any persons connected with them) received any remuneration or benefits from the Charity during the year.
The headcount of employees during the year was:
The remuneration of key management personnel was as follows:
Key Management Personnel comprise the Trustees and the kennel manager.
Trustees remuneration in the year totals £11,308 (2024 -£10,125).
Heather Wallace was reimbursed expenses for mileage during the year amounting to £1,165. There were no other disclosable related party transactions during the year (2024-none).
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The fair value of the investment properties has been arrived at by the directors who have estimated the value of the properties based on the current property market.
The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.
The Charity had no material debt during the year.
In common with many businesses of our size and nature we use our auditor to assist with the preparation of the financial statements