4Motion Darlington - Charities report - 21.2

REGISTERED COMPANY NUMBER: 08504871 (England and Wales)

REGISTERED CHARITY NUMBER: 1153042

Report of the Trustees and

Unaudited Financial Statements for the Year Ended 30 April 2021

for

4Motion Darlington

Page

Report of the Trustees

1

to

3

Independent Examiner's Report

4

Statement of Financial Activities

5

Balance Sheet

6

to

7

Notes to the Financial Statements

8

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 30 April 2021. 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

Objectives and aims

To promote for the benefit of the inhabitants of Darlington and the surrounding areas, the provision of facilities for recreation or other leisure time occupation, in particular but not exclusively roller-skating, scootering, skateboarding and biking, for individuals who have need of such facilities by reason of their youth, age, infirmity or disablement, financial hardship or social and economic circumstances or for the public at large in the interests of social welfare and with the object of improving the condition of life of the said inhabitants.

To promote such other charitable purposes as the company in its absolute discretion shall from time to time consider can be appropriately carried on in conjunction with the activities carried on pursuant to first object mentioned above.

Public benefit

The charity's aims and achievements are set out within this report. The activities set out in this report have been undertaken to further the charity's charitable purposes for the public benefit. The charity trustees have complied with their duty to have due regard to the guidance published by the Charity Commission on public benefit.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

4Motion Darlington has now been established for nearly eight years. We provide an indoor skatepark for all and a variety of coaching and development opportunities for children and young people.

The skatepark has now been open for seven years. We closed on the 25th March 2020 due to Covid-19. Reopened 25th July 2020 with reduced capacity and a new booking system. Then closed again 5th November due to Covid, Reopened 1st December 2020 and then closed on 31st December 2020, until we reopened on 12th April 2021 with limited capacity.

In April 2020 the charity received a grant of £25,000 from the Government to help towards the running costs and we placed all staff, except for the manager, on furlough. We applied to Sport England for a grant to help cover the running costs during lockdown (manager and ongoing bills excluding rent) and secured funding of £6,942.

As a result of the surplus and further government support (grants and furlough), the Sport England grant, the charity has been able to protect employment and continues to be a going concern. Income from park entrance was significantly reduced at a total of £77,182 which is 45% of the previous year's income.

During this period, we have negotiated terms of a new lease with the landlord. It's taken longer as a result of Covid but we hope that the lease will be drawn up and signed in the Autumn 2021.

In April 2021 we started U16 skateboard and bmx only sessions for the first time to encourage more young people to take up these sports, which we hope to grow and continue as we move forward.

We continue to encourage use of the park with a wide variety of users and groups including, home schooling, special needs/behavioural schools, toddlers, and community associations to ensure the skatepark is available to all.

As we move forward, we will continue to operate a safe facility and within government guidelines.

FINANCIAL REVIEW

Investment policy and objectives

The Charity does not have a policy for the selection of investments or for the selection of those who might receive monetary grants out of the assets of the charity.

Reserves policy

It is the Charity's policy to work towards setting aside, in reserves, an amount equivalent to three months operating costs calculated and reviewed annually.

Funds in deficit

The Charity does not have any funds in deficit.

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.

Recruitment and appointment of new trustees

4Motion Darlington welcomes new trustees. The board members themselves take a proactive approach to this, speaking with people they feel would have something to contribute to the Charity at the board level.

Prospective Management Committee members start with the charity as formal attendees/ co-opted members until the Annual General Meeting takes place and they either become Directors/ Trustees or they remain formal attendees/ co-opted members because that fits in with their role and demands on their time.

Organisational structure

The charity has a board of trustees which has overall control and responsibility for policy and all major decisions. All members of the board are directors and trustees.

Induction and training of new trustees

As part of their induction, new board members are familiarised with the charities objectives and activities together with the accounts and workings of the charity. Each new board member is provided with a copy of the Memorandum and Articles of Association and relevant information provided by the charity commission regarding Trustees Duties.

New members will be invited to look around the skate park and meet the staff and volunteers from various work streams. They will be invited to other internal and external opportunities where they can improve the knowledge, skills and understandings relevant to the voluntary work they do for the Charity.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

08504871 (England and Wales)

Registered Charity number

1153042

Registered office

9 Clare Avenue

Darlington

Co. Durham

DL3 8SJ

Trustees

N R Leeming

D Woodcock

C P Tervit

P E Gwyther

Independent Examiner

Chrichard & Co

23 Woodland Road

Darlington

Co. Durham

DL3 7BJ

Approved by order of the board of trustees on 8 December 2021 and signed on its behalf by:

N R Leeming - Trustee

Independent examiner's report to the trustees of 4Motion Darlington ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 April 2021.

Responsibilities and basis of report

As the charity's 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 requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the 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 your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent examiner's statement

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:

1.	accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

2.	the accounts do not accord with those records; or

3.	the accounts 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 accounts 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 accounts to be reached.

Michael Chrichard

FCCA

Chrichard & Co

23 Woodland Road

Darlington

Co. Durham

DL3 7BJ

8 December 2021

2021

2020

Unrestricted

Total

fund

funds

Notes

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

57

180

Charitable activities

3

General grant

153,142

218,319

Other trading activities

2

7,660

38,861

Total

160,859

257,360

EXPENDITURE ON

Charitable activities

General grant

183,715

218,304

NET INCOME/(EXPENDITURE)

(22,856

)

39,056

RECONCILIATION OF FUNDS

Total funds brought forward

73,315

34,259

TOTAL FUNDS CARRIED FORWARD

50,459

73,315

2021

2020

Unrestricted

Total

fund

funds

Notes

£

£

FIXED ASSETS

Tangible assets

7

46,203

57,216

CURRENT ASSETS

Stocks

8

4,336

3,177

Debtors

9

14,680

12,383

Cash at bank and in hand

94,664

76,032

113,680

91,592

CREDITORS

Amounts falling due within one year

10

(27,832

)

(19,045

)

NET CURRENT ASSETS

85,848

72,547

TOTAL ASSETS LESS CURRENT LIABILITIES

132,051

129,763

CREDITORS

Amounts falling due after more than one year

11

(81,592

)

(56,448

)

NET ASSETS

50,459

73,315

FUNDS

13

Unrestricted funds

50,459

73,315

TOTAL FUNDS

50,459

73,315

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 April 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 April 2021 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 8 December 2021 and were signed on its behalf by:

N R Leeming - 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.

Plant and machinery

-

15% on reducing balance

Fixtures and fittings

-

20% on reducing balance

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

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.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

2.	OTHER TRADING ACTIVITIES

2021

2020

£

£

Shop income food and drink

7,660

38,861

3.	INCOME FROM CHARITABLE ACTIVITIES

2021

2020

General

Total

grant

activities

£

£

Skate park entry fees

77,182

169,850

Grant

60,809

25,000

Goods for resale

15,151

23,469

153,142

218,319

4.	NET INCOME/(EXPENDITURE)

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

2021

2020

£

£

Depreciation - owned assets

11,361

14,080

Rent

35,578

33,947

5.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 30 April 2021 nor for the year ended 30 April 2020.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 April 2021 nor for the year ended 30 April 2020.

6.	STAFF COSTS

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

2021

2020

Coaching and park management

9

7

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

7.	TANGIBLE FIXED ASSETS

Fixtures

Plant and

and

machinery

fittings

Totals

£

£

£

COST

At 1 May 2020

5,779

136,881

142,660

Additions

-

348

348

At 30 April 2021

5,779

137,229

143,008

DEPRECIATION

At 1 May 2020

2,733

82,711

85,444

Charge for year

457

10,904

11,361

At 30 April 2021

3,190

93,615

96,805

NET BOOK VALUE

At 30 April 2021

2,589

43,614

46,203

At 30 April 2020

3,046

54,170

57,216

8.

STOCKS

2021

2020

£

£

Stocks

4,336

3,177

9.	DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Trade debtors

4,689

2,444

VAT

228

-

Prepayments

9,763

9,939

14,680

12,383

10.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Other loans (see note 12)

15,066

8,609

Trade creditors

4,536

7,445

Social security and other taxes

-

436

VAT

-

121

Other creditors

6,527

120

Accrued expenses

1,703

2,314

27,832

19,045

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

2021

2020

£

£

Other loans (see note 12)

81,592

56,448

12.

LOANS

An analysis of the maturity of loans is given below:

2021

2020

£

£

Amounts falling due within one year on demand:

Other loans

15,066

8,609

Amounts falling between one and two years:

Other loans - 1-2 years

18,399

8,609

Amounts falling due between two and five years:

Other loans - 2-5 years

63,193

47,839

13.	MOVEMENT IN FUNDS

Net

movement

At

At 1.5.20

in funds

30.4.21

£

£

£

Unrestricted funds

General fund

73,315

(22,856

)

50,459

TOTAL FUNDS

73,315

(22,856

)

50,459

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

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

160,859

(183,715

)

(22,856

)

TOTAL FUNDS

160,859

(183,715

)

(22,856

)

Comparatives for movement in funds

Net

movement

At

At 1.5.19

in funds

30.4.20

£

£

£

Unrestricted funds

General fund

34,259

39,056

73,315

TOTAL FUNDS

34,259

39,056

73,315

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

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

257,360

(218,304

)

39,056

TOTAL FUNDS

257,360

(218,304

)

39,056

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

Net

movement

At

At 1.5.19

in funds

30.4.21

£

£

£

Unrestricted funds

General fund

34,259

16,200

50,459

TOTAL FUNDS

34,259

16,200

50,459

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

418,219

(402,019

)

16,200

TOTAL FUNDS

418,219

(402,019

)

16,200

14.	RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 30 April 2021.