Teen Challenge Strathclyde - Charities report

REGISTERED COMPANY NUMBER: SC148251 (Scotland)

REGISTERED CHARITY NUMBER: 022209

Report of the Trustees and

Unaudited Financial Statements for the Year Ended 31 March 2026

for

Teen Challenge Strathclyde

Page

Report of the Trustees

1

to

2

Independent Examiner's Report

3

Statement of Financial Activities

4

Balance Sheet

5

to

6

Notes to the Financial Statements

7

to

13

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2026. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

The company was established for advancement of the Christian religion and for the relief of suffering caused by mental or physical ill health or by social or economic circumstances. The principal activities of the company were the provision of an outreach and education service in respect of drug misuse. The company's policies are unchanged from prior years. The policies are to raise finance in order to enable the rehabilitation of individuals.

ACHIEVEMENTS AND PERFORMANCE

Following the earlier decision to transfer the activities of the charity to The Haven Kilmacolm, the employees were administered by The Haven Kilmacolm from April 2025. Property assets and the associated mortgage were transferred in October 2025 and following administrative work contacting donors, the bank accounts were closed and funds transferred in January 2026. The purposes of the charity continue, operating as the outreach arm of The Haven Kilmacolm.

FINANCIAL REVIEW

The principal funding sources, other than donations, are rents receivable from The Haven Kilmacolm, which runs the residential rehabilitation centre.

The results for the year are shown on page 4. Total incoming resources amounted to £51,076 and total resources expended were £66,071. The deficit for the year was £14,995.

The reserves of the charity are mainly represented by the premises used as a rehabilitation centre. Other funds are used for the charity's objectives on an ongoing basis.

FUTURE PLANS

As noted above the transfer of assets and activities to The Haven Kilmacolm has been completed and the dissolution of Teen Challenge Strathclyde will follow.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

As a limited company, limited by guarantee, as defined by the Companies Act 2001, the charity is controlled by its governing document, the Articles of Association.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

SC148251 (Scotland)

Registered Charity number

022209

Registered office

Horsecraigs

Auchenfoyle Road

Kilmalcolm

PA13 4TH

Trustees

G Fotheringham School Teacher (resigned 6.11.25)

Mrs R M A Gault Retired (resigned 6.11.25)

Mrs M O I Lees Project Manager

G Lister Company Director

D S Melvin Retired Sales Director (resigned 4.3.26)

D M Black Farmer (resigned 6.11.25)

D Trainor Harper (resigned 6.11.25)

Company Secretary

G Lister

Independent Examiner

Mr Ian McDougall FCCA

McDougall Johnstone Limited

280a St Vincent Street

Glasgow

G2 5RL

Approved by order of the board of trustees on 10 June 2026 and signed on its behalf by:

G Lister - Trustee

I report on the accounts for the year ended 31 March 2026 set out on pages four to thirteen.

Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts in accordance with the terms of the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). The charity's trustees consider that the audit requirement of Regulation 10(1)(a) to (c) of the Accounts Regulations does not apply. It is my responsibility to examine the accounts as required under Section 44(1)(c) of the Act and to state whether particular matters have come to my attention.

Basis of the independent examiner's report

My examination was carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the accounts.

Independent examiner's statement

In connection with my examination, no matter has come to my attention :

(1)	which gives me reasonable cause to believe that, in any material respect, the requirements

-	to keep accounting records in accordance with Section 44(1)(a) of the 2005 Act and Regulation 4 of the 2006 Accounts Regulations; and

-	to prepare accounts which accord with the accounting records and to comply with Regulation 8 of the 2006 Accounts Regulations

have not been met; or

(2)	to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Mr Ian McDougall FCCA

The Association of Chartered Certified Accountants

McDougall Johnstone Limited

280a St Vincent Street

Glasgow

G2 5RL

10 June 2026

2026

2025

Unrestricted

Restricted

Total

fund

funds

Notes

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2

20,272

10,999

31,271

184,528

Other trading activities

3

-

2,720

Investment income

4

19,600

-

19,600

26,400

Total

39,872

10,999

50,871

213,648

EXPENDITURE ON

Raising funds

5,477

34,036

39,513

69,553

Charitable activities

5

Charitable activity

198,207

11,796

210,003

108,756

Governance Costs

2,652

-

2,652

2,200

Total

206,336

45,832

252,168

180,509

NET INCOME/(EXPENDITURE)

(166,464

)

(34,833

)

(201,297

)

33,139

Transfers between funds

15

9,939

(9,939

)

-

Net movement in funds

(156,525

)

(44,772

)

(201,297

)

33,139

RECONCILIATION OF FUNDS

Total funds brought forward

156,525

44,772

201,297

168,158

TOTAL FUNDS CARRIED FORWARD

-

201,297

2026

2025

Unrestricted

Restricted

Total

fund

funds

Notes

£

FIXED ASSETS

Tangible assets

10

-

274,173

CURRENT ASSETS

Debtors

11

-

703

Cash at bank

-

44,772

-

45,475

CREDITORS

Amounts falling due within one year

12

-

(39,756

)

NET CURRENT ASSETS

-

5,719

TOTAL ASSETS LESS CURRENT LIABILITIES

-

279,892

CREDITORS

Amounts falling due after more than one year

13

-

(78,595

)

NET ASSETS

-

201,297

FUNDS

15

Unrestricted funds:

General fund

-

156,525

Restricted funds:

Restricted funds

-

44,772

TOTAL FUNDS

-

201,297

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2026.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2026 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a)	ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

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

The financial statements were approved by the Board of Trustees and authorised for issue on 10 June 2026 and were signed on its behalf by:

G Lister - Trustee

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Heritable property

-

2% on cost

Motor vehicles

-

25% on reducing balance

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2.	DONATIONS AND LEGACIES

2026

2025

£

Donations

12,771

33,058

Grants

18,500

151,470

31,271

184,528

Grants received, included in the above, are as follows:

2026

2025

£

Other grants

18,500

151,470

3.	OTHER TRADING ACTIVITIES

2026

2025

£

Other income

-

2,720

4.	INVESTMENT INCOME

2026

2025

£

Rent

19,600

26,400

5.	CHARITABLE ACTIVITIES COSTS

Direct

Support

Costs

costs

Totals

£

Charitable activity

210,003

-

210,003

Governance Costs

-

2,652

210,003

2,652

212,655

6.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2026

2025

£

Independent examination

2,652

2,200

Depreciation - owned assets

6,259

20,723

£11,000 of income received in the year was that of a restricted nature (2025: £76,400). These funds have been earmarked for various projects within Teen Challenge Strathclyde.

£45,832 of total expenditure was restricted spending (2024: £61,417). The majority of the restricted funds were spent on staff salaries.

7.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 March 2026 nor for the year ended 31 March 2025.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2026 nor for the year ended 31 March 2025.

8.	STAFF COSTS

2026

2025

£

Wages and salaries

34,036

60,890

34,036

60,890

The average monthly number of employees during the year was as follows:

2026

2025

Staff

2

3

No employees received emoluments in excess of £60,000.

9.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

fund

funds

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

108,128

76,400

184,528

Other trading activities

2,720

-

2,720

Investment income

26,400

-

26,400

Total

137,248

76,400

213,648

EXPENDITURE ON

Raising funds

10,200

59,353

69,553

Charitable activities

Charitable activity

106,692

2,064

108,756

Governance Costs

2,200

-

2,200

Total

119,092

61,417

180,509

NET INCOME

18,156

14,983

33,139

RECONCILIATION OF FUNDS

Total funds brought forward

138,369

29,789

168,158

TOTAL FUNDS CARRIED FORWARD

156,525

44,772

201,297

10.	TANGIBLE FIXED ASSETS

Heritable

Motor

property

vehicles

Totals

£

COST

At 1 April 2025

625,287

24,830

650,117

Disposals

(625,287

)

(24,830

)

(650,117

)

At 31 March 2026

-

DEPRECIATION

At 1 April 2025

366,112

9,832

375,944

Charge for year

4,071

2,188

6,259

Eliminated on disposal

(370,183

)

(12,020

)

(382,203

)

At 31 March 2026

-

NET BOOK VALUE

At 31 March 2026

-

At 31 March 2025

259,175

14,998

274,173

11.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

Other debtors

-

703

12.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2026

2025

£

Bank loans and overdrafts (see note 14)

-

33,472

Creditors

-

4,124

Accrued expenses

-

2,160

-

39,756

13.	CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2026

2025

£

Bank loans (see note 14)

-

78,595

14.

LOANS

An analysis of the maturity of loans is given below:

2026

2025

£

Amounts falling due within one year on demand:

Bank overdrafts

-

5,073

Bank loans

-

28,399

-

33,472

Amounts falling between one and two years:

Bank loans - 1-2 years

-

78,595

15.	MOVEMENT IN FUNDS

Net

Transfers

movement

between

At

At 1.4.25

in funds

funds

31.3.26

£

Unrestricted funds

General fund

156,525

(166,464

)

9,939

-

Restricted funds

44,772

(34,833

)

(9,939

)

-

TOTAL FUNDS

201,297

(201,297

)

-

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

Unrestricted funds

General fund

39,872

(206,336

)

(166,464

)

Restricted funds

10,999

(45,832

)

(34,833

)

TOTAL FUNDS

50,871

(252,168

)

(201,297

)

Comparatives for movement in funds

Net

movement

At

At 1.4.24

in funds

31.3.25

£

Unrestricted funds

General fund

138,369

18,156

156,525

Restricted funds

29,789

14,983

44,772

TOTAL FUNDS

168,158

33,139

201,297

Comparative net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

Unrestricted funds

General fund

137,248

(119,092

)

18,156

Restricted funds

76,400

(61,417

)

14,983

TOTAL FUNDS

213,648

(180,509

)

33,139

A current year 12 months and prior year 12 months combined position is as follows:

Net

Transfers

movement

between

At

At 1.4.24

in funds

funds

31.3.26

£

Unrestricted funds

General fund

138,369

(148,308

)

9,939

-

Restricted funds

29,789

(19,850

)

(9,939

)

-

TOTAL FUNDS

168,158

(168,158

)

-

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

Unrestricted funds

General fund

177,120

(325,428

)

(148,308

)

Restricted funds

87,399

(107,249

)

(19,850

)

TOTAL FUNDS

264,519

(432,677

)

(168,158

)

16.	RELATED PARTY DISCLOSURES

D M Black and M O I Lees are directors of the company and are also directors of The Haven Kilmacolm which, in 2004, took on the residential activities of the company.

2025

2024

£

Rents received from related parties were : -

The Haven Kilmacolm

19,600

26,400

The assets and liabilities of Teen Challenge Strathclyde were donated to The Haven Kilmacolm, on 31st January 2026 totalling £186,097.

The amount owed to Teen Challenge Strathclyde from The Haven Kilmacolm as at 31st March 2026 is Nil.