Caithness F.M. Limited

	Page
Trustees' Report	1—3
Independent Examiner's Report	4
Statement of Financial Activities (including Income and Expenditure Account)	5
Comparative Statement of Financial Activities (including Income and Expenditure Account)	6
Balance Sheet	7
Notes to the Financial Statements	8—15

The trustees present their report and the financial statements for the year ended 31 March 2026.

Objectives and Activities

Aims and Objectives

Caithness FM Ltd (CFM) was set up as a company limited by guarantee in 1998 listed as SC185596. It was originally envisaged as a charity. but under the rules of the day, did not qualify. In 2021 we applied for and were awarded charity status, listed as SC050922. This gave us several benefits such as exemption from business rates and water charges.

The aims and objectives of the company and charity are:

- The prevention and relief of poverty.

- The advancement of citizenship and community development.

- The advancement of the arts, heritage culture or science.

Included in these objects are:

Run a community radio service to encourage disadvantaged and isolated rural populations to be fully aware of community affairs and opportunities.

Liaise with other voluntary sector bodies, local authorities, UK or Scottish government departments and agencies, and other bodies, all with a view to furthering the company's objects.

Establish and/or support any other charity and make donations for any charitable purpose falling within the company's objects. In support of this object, we run a Christmas Toy Appeal, with donated toys etc. distributed throughout the county of Caithness to disadvantaged families

CFM broadcasts on 106.5 FM in the county of Caithness and on the internet. As such, we are regulated by OfCom (CR102144) for the FM broadcast and also by PRS/PPL for music rights on both broadcast and internet. These licences represent a considerable cost which needs to be covered by advertising and sponsorship. To date we have six regular sponsored shows and numerous short-term advertisements which need continual administration to maintain. We provide free advertising for local charities, art events and local job opportunities and interviews with local people and community organisations.

The station is run entirely by volunteers and we are currently advertising for new presenters. The directors contribute considerably more in terms of management and maintenance. We report to OfCom on volunteer hours, which we estimate at 71 hours per week and a value of £52,000 at the agreed hourly rates.

Achievements and Performance

Main Achievements

Our sustaining service, which we switch to outwith our scheduled broadcast hours remains the internet broadcaster Greatest Hits Radio for the North of Scotland, (GHR) giving us a 24-hour output on FM and internet. Our original sustaining service, Moray Firth Radio (part of the same Bauer group as GHR) no longer broadcasts from the Highlands, so we are the only local radio station for our area. We maintain 39 live broadcast hours per week, covered by 22 volunteer presenters. Our Ofcom obligation (condition of licence) is for 35 hours. We are on air from 6pm to 11pm weekdays; 2pm - 11pm on Saturdays. Our OfCom broadcast licence is current until 2029.

We operate a Christmas Toy Appeal, now in its 31st year, which continues to be well received and supported by the generous people and businesses of Caithness. Several local businesses and stores have collection points for toys. In Christmas 2025, the toys we supplied were distributed to over 400 children in Caithness.

Future Plans

We will continue to seek more sponsorship and advertising revenue. Our sponsorship rates have not changed for several years, these will be formalised and regularly reviewed in future. It is our intention to change the company format from Company limited by guarantee to SCIO, which should make for easier administration and reduced ‘audit’ costs.

Financial Review

Reserves Policy

CFM has always operated a reserves policy based on the possibility of major equipment failure, not covered by our insurance. Although transmitting mast equipment is covered by insurance at £12.5k, we think it prudent to maintain a reserve of £3k in the event we could not broadcast from our current mast at Ben Dorrery, operated by Moray Firth Radio (Bauer Group).

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Caithness F.M. Limited

Trustees' Report (continued)

For The Year Ended 31 March 2026

Structure, Governance and Management

Governing Document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Trustee Selection Methods

The charity encourages those members who wish to be considered for appointment as trustee to give written notice to the company prior to the AGM. The board is able to co-opt trustees at any time. All directors retire annually but are eligible for re-election.

Reference and Administrative Details

Trustees

B Marshall (appointed 30/08/2025)

K McArthur

S Owsnett

R Saxon

G Sprenger

R Young

Company Secretary

R Saxon (appointed 30/08/2025)

Charity Number

SC050922

Company Number

SC185596

Principal Address

Neil Gunn Drive, Ormlie

Industrial Estate,

Thurso

Caithness

KW14 7QU

Independent Examiner

Thor Accountancy Ltd

Hawthorn House
Forss
Thurso
Caithness
KW14 7UX

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Caithness F.M. Limited

Trustees' Report (continued)

For The Year Ended 31 March 2026

Small Company Rules

This report has been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

The trustees' report was approved by the board of trustees and signed on its behalf by:

R Saxon

Trustee

26/08/2026

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Caithness F.M. Limited

Independent Examiner's Report to the Trustees of Caithness F.M. Limited

For The Year Ended 31 March 2026

Independent Examiner's Report to the Trustees of Caithness F.M. Limited

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2026.

Responsibilities and Basis of Report

As the charity trustees of the Company (and also its directors for the purposes of company law), you 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 trustees consider that the audit requirement of Regulation 10(1) (a) to (c) of the 2006 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.

My examination is carried out in accordance with Regulation 11 of the 2006 Accounts Regulations. 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 seeks explanations from the 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

Since the Charity has prepared its accounts on an accruals basis and is registered in Scotland your examiner must be a member of a body listed in Regulation 11(2) of the Charities Accounts (Scotland) Regulations 2006 (as amended). I confirm that I am qualified to undertake the examination because I am a member of , which is one of the listed bodies.

In the course of my examination, no matter has come to my attention

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

have not been met, or

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

Thor Accountancy Ltd

26/08/2026

Hawthorn House
Forss
Thurso
Caithness
KW14 7UX

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Caithness F.M. Limited

Statement of Financial Activities (including Income and Expenditure Account)

For The Year Ended 31 March 2026

Statement of Financial Activities (including Income and Expenditure Account)

				2026	2025
		Unrestricted funds	Restricted funds	Total funds	Total funds
	Notes	£	£	£	£
INCOME AND ENDOWMENTS FROM:
Donations and legacies	3	52,322	25,384	77,706	53,615
Charitable activities:
Radio Show		9,762	-	9,762	5,753
Toy Appeal		-	18,991	18,991	15,856
Investments	4	7	-	7	11

		62,091	44,375	106,466	75,235

EXPENDITURE ON:
Charitable activities:	6
Radio Show		(66,737 )	(4,077 )	(70,814 )	(71,497 )
Toy Appeal		-	(18,689 )	(18,689 )	(17,558 )

		(66,737 )	(22,766 )	(89,503 )	(89,055 )

NET INCOME/(EXPENDITURE)		(4,646 )	21,609	16,963	(13,820 )


NET MOVEMENT IN FUNDS		(4,646 )	21,609	16,963	(13,820 )
RECONCILIATION OF FUNDS:
Total funds brought forward		23,687	56,160	79,847	93,667

TOTAL FUNDS CARRIED FORWARD	15	19,041	77,769	96,810	79,847

The notes on pages 8 to 13 form part of these financial statements.

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Caithness F.M. Limited

Comparative Statement of Financial Activities (including Income and Expenditure Account)

For The Year Ended 31 March 2026

Comparative Statement of Financial Activities (including Income and Expenditure Account)

				2025
		Unrestricted funds	Restricted funds	Total funds
	Notes	£	£	£
INCOME AND ENDOWMENTS FROM:
Donations and legacies	3	52,030	1,585	53,615
Charitable activities:
Radio Show		5,753	-	5,753
Toy Appeal		-	15,856	15,856
Investments	4	11	-	11

		57,794	17,441	75,235

EXPENDITURE ON:
Charitable activities:	6
Radio Show		(67,420 )	(4,077 )	(71,497 )
Toy Appeal		-	(17,558 )	(17,558 )

		(67,420 )	(21,635 )	(89,055 )

NET EXPENDITURE		(9,626 )	(4,194 )	(13,820 )

Transfers between funds	15	(475 )	475	-

NET MOVEMENT IN FUNDS		(10,101 )	(3,719 )	(13,820 )
RECONCILIATION OF FUNDS:
Total funds brought forward		33,788	59,879	93,667

TOTAL FUNDS CARRIED FORWARD	15	23,687	56,160	79,847

The notes on pages 8 to 13 form part of these financial statements.

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Caithness F.M. Limited

Balance Sheet

As At 31 March 2026

Balance Sheet

				2026	2025
		Unrestricted funds	Restricted funds	Total funds	Total funds
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	9	134	-	134	163
Tangible Assets	10	4,238	32,094	36,332	42,205

		4,372	32,094	36,466	42,368
CURRENT ASSETS
Debtors	11	3,552	-	3,552	3,552
Cash at bank and in hand		12,116	48,012	60,128	37,739

		15,668	48,012	63,680	41,291
Creditors: Amounts Falling Due Within One Year	12	(999 )	(475 )	(1,474 )	(1,475 )

NET CURRENT ASSETS (LIABILITIES)		14,669	47,537	62,206	39,816

TOTAL ASSETS LESS CURRENT LIABILITIES		19,041	79,631	98,672	82,184

Creditors: Amounts Falling Due After More Than One Year	13	-	(1,862 )	(1,862 )	(2,337 )

NET ASSETS		19,041	77,769	96,810	79,847

FUNDS OF THE CHARITY
Restricted Funds				77,769	56,160
Unrestricted Funds				19,041	23,687

TOTAL FUNDS	15			96,810	79,847

For the year ending 31 March 2026 the charitable company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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

On behalf of the board

R Saxon

Trustee

26/08/2026

The notes on pages 8 to 13 form part of these financial statements.

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Caithness F.M. Limited

Notes to the Financial Statements

For The Year Ended 31 March 2026

Notes to the Financial Statements

1. General Information

Caithness F.M. Limited is a company limited by guarantee, incorporated in Scotland, registered number SC185596 and registered charity number SC050922 . The registered office is .

2. Accounting Policies

2.1. Basis of Preparation of Financial Statements

The financial statements 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 charitable company is a Public Benefit Entity as defined by FRS 102.

2.2. Incoming Resources

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.

2.3. Donated Goods and Services

During the year, donated goods with the approximate value of £1.585 (2025 - £1,820) were received for the Toy Appeal and have been recorded as income with a corresponding expense recognised in the SOFA.

Volunteers' time in running the radio station has been valued at £47,000 (2025 - £47,000) and management time has been valued at £4,920 (2025 - £4,920) and has been recorded as income and a corresponding expense recognised in the SOFA. The amounts are calculated using OfCom rates.

2.4. Resources Expended

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.

2.5. Intangible Fixed Assets and Amortisation - Other Intangible

Other intangible assets are .... It is amortised to income and expenditure account over its estimated economic life of .... years.

2.6. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Leasehold	5% straight line
Plant & Machinery	20% straight line

2.7. Cash and Cash Equivalents

Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.

3. Income from Donations and Legacies

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Caithness F.M. Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

			2026
	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Member subscriptions and sponsorships	400	-	400
Grants	-	23,800	23,800
Donated goods, facilities and services	51,922	1,584	53,506

	52,322	25,384	77,706

			2025
	Unrestricted	Restricted	Total
	funds	funds	funds
	£	£	£
Member subscriptions and sponsorships	110	-	110
Grants	-	-	-
Donated goods, facilities and services	51,920	1,585	53,505

	52,030	1,585	53,615

4. Investment Income

	2026	2025
	Unrestricted	Unrestricted
	funds	funds
	£	£
Bank interest receivable	7	11

5. Net Income/(Expenditure)

The net income/(expenditure) is stated after charging/(crediting):

	2026	2025
	£	£
Depreciation of tangible fixed assets - owned	5,873	5,873
Amortisation of intangible fixed assets	29	29

6. Analysis of Expenditure

	2026
	Support costs (see note 7 )
	£
Radio Show	70,814
Toy Appeal	18,689

	89,503

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Caithness F.M. Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

	2025
	Support costs (see note 7 )
	£
Radio Show	71,497
Toy Appeal	17,558

	89,055

7. Support Costs

			2026
	Radio Show	Toy Appeal	Total
	£	£	£
Premises expenses	1,792	-	1,792
General administration	61,766	18,689	80,455
Depreciation	5,902	-	5,902
Governance costs	1,354	-	1,354

	70,814	18,689	89,503

			2025
	Radio Show	Toy Appeal	Total
	£	£	£
Premises expenses	2,590	-	2,590
General administration	61,747	17,558	79,305
Depreciation	5,902	-	5,902
Governance costs	1,258	-	1,258

	71,497	17,558	89,055

8. Average Number of Employees

Average number of employees during the year was: NIL (2025: NIL)

9. Intangible Assets

	Other
	£
Cost
As at 1 April 2025	600

As at 31 March 2026	600

Amortisation
As at 1 April 2025	437
Provided during the period	29

As at 31 March 2026	466

...CONTINUED

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Caithness F.M. Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

Net Book Value
As at 31 March 2026	134

As at 1 April 2025	163

10. Tangible Assets

	Land & Property
	Leasehold	Plant & Machinery	Total
	£	£	£
Cost
As at 1 April 2025	33,848	91,773	125,621

As at 31 March 2026	33,848	91,773	125,621

Depreciation
As at 1 April 2025	1,878	81,538	83,416
Provided during the period	939	4,934	5,873

As at 31 March 2026	2,817	86,472	89,289

Net Book Value
As at 31 March 2026	31,031	5,301	36,332

As at 1 April 2025	31,970	10,235	42,205

11. Debtors

	2026	2025
	£	£
Due within one year
Trade debtors	3,490	3,490
Other debtors	62	62

	3,552	3,552

12. Creditors: Amounts Falling Due Within One Year

	2026	2025
	£	£
Other loans	475	475
Other creditors	999	1,000

	1,474	1,475

13. Creditors: Amounts Falling Due After More Than One Year

	2026	2025
	£	£
Other loans	1,862	2,337

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Caithness F.M. Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

14. Loans

An analysis of the maturity of loans is given below:

	2026	2025
	£	£
Amounts falling due within one year or on demand:
Other loans	475	475

	2026	2025
	£	£
Amounts falling due between one and five years:
Other loans	1,862	2,337

15. Movement in Funds

	As at 1 April 2025	Income	Expenditure	As at 31 March 2026
	£	£	£	£
Unrestricted funds
General:
General unrestricted fund	23,687	62,091	(66,737 )	19,041
Restricted funds
Toy Appeal	22,802	26,375	(18,689)	30,488
Property refurbishment	33,358	-	(4,077)	29,281
Online broadcasting	-	18,000	-	18,000


Total restricted funds	56,160	44,375	(22,766 )	77,769




Total funds	79,847	106,466	(89,503 )	96,810

	As at 1 April 2024	Income	Expenditure	Transfers	As at 31 March 2025
	£	£	£	£	£
Unrestricted funds
General:
General unrestricted fund	33,788	57,794	(67,420 )	(475 )	23,687
Restricted funds
Toy Appeal	22,919	17,441	(17,558)	-	22,802
Property refurbishment	36,960	-	(4,077)	475	33,358


Total restricted funds	59,879	17,441	(21,635 )	475	56,160




Total funds	93,667	75,235	(89,055 )	-	79,847

16. Transactions with Trustees

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Caithness F.M. Limited

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2026

None of the trustees received any remuneration or any other benefits from an employment with the charity or a related entity during the current or previous year.

No trustee expenses have been incurred.

17. Related Party Disclosures

There have been no related party transactions in the reporting period that require disclosure.

18. Company limited by guarantee

The company is limited by guarantee and has no share capital.

Every member of the company undertakes to contribute to the assets of the company, in the event of a winding up, such an amount as may be required not exceeding £1.

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Caithness F.M. Limited

Detailed Statement of Financial Activities (including Income and Expenditure Account)

For The Year Ended 31 March 2026

Detailed Statement of Financial Activities (including Income and Expenditure Account)

	2026	2025
	Total funds	Total funds
	£	£
INCOME AND ENDOWMENTS FROM:
Donations and legacies

Membership subscriptions	400	110
Grants	23,800	-
Donated goods, facilities and services	53,506	53,505

	77,706	53,615

Charitable Activities:
Radio Show
Income from charitable activities	9,762	5,753

	9,762	5,753
Toy Appeal
Income from charitable activities	18,991	15,856

	18,991	15,856
Investments

Bank interest receivable	7	11

	7	11


	106,466	75,235
EXPENDITURE ON:
Charitable Activities:
Radio Show
Rates	(120)	-
Light and heat	(1,672)	(2,590)
IT support and maintenance	(1,655)	(1,664)
Repairs, renewals and maintenance	(280)	(839)
Insurance	(1,938)	(1,731)
Printing, postage and stationery	(602)	(131)
Telephone and internet costs	(865)	(916)
Volunteers' time - management	(4,920)	(4,920)
Volunteers' time	(47,000)	(47,000)
Subscriptions	(4,368)	(3,897)
Charitable donations	(50)	(300)
Sundry expenses	(88)	(349)
Depreciation	(5,873)	(5,873)
Amortisation	(29)	(29)
Independent examiner's fees	(1,354)	(1,258)

	(70,814)	(71,497)

...CONTINUED

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Caithness F.M. Limited

Detailed Statement of Financial Activities (including Income and Expenditure Account) (continued)

For The Year Ended 31 March 2026

Toy Appeal
Toys purchased	(18,689)	(17,558)

	(18,689)	(17,558)

	(89,503)	(89,055)

NET INCOME/(EXPENDITURE)	16,963	(13,820)

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