REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 ST MARCH 2017

Transcription

1 THE WOMEN S LEAGUE OF HEALTH & BEAUTY (A company limited by guarantee) REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 ST MARCH 2017 Charity Number Company Number

2 CHAIR S REPORT The financial year 2016/17 has been another busy year with a great deal of work undertaken. Unusually we had an Extraordinary General MeeJng in April 2016 to amend some technical aspects of the ArJcles of AssociaJon that had become apparent in the light of the Governance Review which we menjoned in last year s report. Some of the amendments were as a result of more recent Acts of Parliament, some for clarificajon and some directly from the review. The final amendments were made in November 2016 and agreed that last year s AGM. Another relajvely technical, but important, issue was the review of the licence agreement with EMDP (now EMD UK) and this resulted in the amended licence being signed for the commencement of 2017/18. This agreement will be reviewed on an annual basis. Much excellent work has, as ever, been undertaken by Janice Gronow and the Training Team in addressing the needs of Teachers, without whom we would not exist, and providing courses for potenjal new Teachers. There is a conjnuing need to train more Teachers in order to be able to increase the number of people who can benefit from our exercise system. A major acjvity of the year has, however, been the work associated with our name and rebranding. The fitness market is fast moving and we have constantly to consider our posijon and how we might improve our standing. The MarkeJng Sub Group worked hard to inijate this work. In the first instance there was deliberajon over whether a rebrand would be beneficial, finding out what the public on the street understood by Fitness League and then a tendering process was put in place to establish which company should be our rebranding partner. The ongoing work was then undertaken by the rebrand group directed by Sarah Price who is pu[ng enormous effort in leading this. A new name was agreed in February 2017 but this is only the start of the markejng work which has conjnued in to the next financial year and which will be reported on in next year s report. In addijon to this work which has required so much input from many people, a Membership Review Group was set up to consider whether or not we should conjnue as a membership organisajon in today s climate. The conclusion was that there should be no change at present. We have also started to try to address the issue of succession planning at all levels in the organisajon. So many people make a great contribujon to the Fitness League but I must parjcularly menjon Margaret Peggie for all her work and leadership of the Management Team and Alison Howrd who holds us all together as Teachers and Members Coordinator and as Clerk to the Trustees and Company Secretary. We are hugely grateful to them both. There have been some changes in the Trustee body. MarJn King resigned from the Board in January 2017 having been Chair for nearly two years and we thank him for his work as Chair over that period. I became Chair in February and ChrisJne Pointer became Vice Chair. We have welcomed two new Trustees, Kim Davies and, more recently, Lucy Santos both of whom bring addijonal skills to the Trustee Body. Thanks are due to all the Trustees for the Jme and skills they make available for the Fitness League. We have ended the 2016/17 year poised to forge ahead and as can be seen from the Accounts we are in a strong financial posijon to support the acjvijes required to achieve success. I look forward to reporjng on progress next year. Jane Ross

3 COMPANY REGISTRATION NUMBER: CHARITY REGISTRATION NUMBER: The Women's League of Health & Beauty Unaudited Financial Statements 31 March 2017

4 Financial Statements Page Trustees' annual report (incorporating the director's report) 1 Independent examiner's report to the trustees 5 Statement of financial activities (including income and expenditure account) 7 Statement of financial position 8 Notes to the financial statements 9

5 Trustees' Annual Report (Incorporating the Director's Report) The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 March Reference and administrative details Registered charity name The Women's League of Health & Beauty Charity registration number Company registration number Principal office Registered Office 13 Ridge Crescent Hawk Green Marple Stockport Cheshire SK6 7JA c/o Richard Place Dobson Chartered Accountants 1-7 Station Road Crawley RH10 1HT West Sussex Founder Patron President Vice Presidents Mary Bagot Stack Sophie Ellis-Bextor Saba Douglas-Hamilton Isode McCullagh Margaret Peggie OBE Rosemary Barber Helen (Pikkie) Smith The trustees The trustees who served the charity during the year were as follows L Berry J Duff C Pointer S Coulson J Ross Miss K Davies (Appointed 12 December 2016) Mrs L Santos (Appointed 1 March 2017) M King (Retired 13 January 2017) J Dingley (Retired 12 December 2016) Company secretary Alison Howard - 1 -

6 Trustees' Annual Report (Incorporating the Director's Report) (continued) Structure, governance and management Governing document Founded in 1930 by Mary Bagot Stack, the League was incorporated as a charity, limited by guarantee and is governed by its Articles of Association approved Under the Companies Act 2006 the League is permitted to omit the word 'Limited' from its title. For the membership year (year ended 30 September 2016) that completed during the financial year ended 31 March 2017, there were 419 members of association (500 for the year ended 30 Sept 2015). From September 2016, all paid up Fitness League members and teachers automatically have voting rights within the Association. A portion of their membership fee is passed to the charity. Those who are not members or active teachers and wish to support the charity may do so by becoming a Friend of WLHB for a fee paid direct to the charity. Appointment of Trustees As set out in the Articles of Association, the Trustees are appointed by the members of the Association at annual general meetings. Trustees must retire at annual general meetings at least once every three years. At the end of the third term of their office, they shall automatically step down and may not be reappointed until the expiry of 12 months after the end of their third term of office. The Trustees meet at regular intervals throughout the year. There are several sub-groups, including events and finance. Risk Management The Trustees have examined the major strategic, business and operational risks that the charity faces and confirm that systems have been established to enable reports to the produced so that the necessary steps can be taken to lessen the risks. A key element in the management of financial risk is the setting of a reserves policy and its regular review by the trustees. Objectives and activities The objectives of the charity are; to promote health, physical fitness, education and training through the teaching of the Bagot Stack exercise system by means of holding classes, and delivery of lectures, events and conferences for the benefit of the general public. to recruit and train teachers, trainers and assessors in the Bagot Stack exercise system to provide professional development training and courses for teachers and trainers and assessors of the Bagot Stack exercise system. The Trustees confirm that they have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning future activities. The charity carried out the objectives by the assisted funding of training of teachers and the promotion of physical education in the form of classes etc. all of which are available to the general public

7 Trustees' Annual Report (Incorporating the Director's Report) (continued) Achievements and performance The Trustees agreed that there should be a re-branding of the organisation and work commenced in November 2016 and is continuing into the next financial year with the launch planned for September Therefore, there has been limited promotion by the organisation within the financial year of this report though teachers have continued to promote their classes in their own areas. The Trustees are pleased to report that there have been new courses run during this year with some new teachers trained. The Trustees continue to believe it is still essential for the future of the League to invest in the training of new teachers since without more qualified teachers to fill the places of those who wish to retire and to expand the number of classes it is unlikely that the class participation can increase. This is the main priority, along with the rebranding project and the continuing professional development of our current teachers. Class memberships which are recorded by EMDP under the Licence Agreement, are an indicator that the charity is achieving one of its key objectives. For the membership year ended 31 August 2016, which completed during the period of accounts, the adult class memberships were 7,187 (7,479 for the year ended 31 Aug 2015) EMDP continue to manage the Fitness League Operational activities under licence, this being the income from class memberships, teachers' affiliation, the outgoings for training of new teachers' and the fees paid to Fitness League consultants (Teachers' and Members' Co-ordinator, Marketing and Development Co-ordinator, and Training management co-ordinators). This licence agreement also covers a share of the EMDP office administration, civil liability insurance and website management. The arrangement leaves the charity to continue pursuing the objectives of the charity, as defined, from a stable financial standpoint. The royalty income, which is a percentage of the surplus from the Fitness League Operational activities, is considerably higher than in previous years. For the past four years a percentage of this surplus was held by EMDP for their reserves to be created. This is now complete and for the financial year of this report the full amount of the surplus has been transferred to the charity. Additionally, this amount is high since the marketing and promotion budget was not fully spent due to the rebranding project. This surplus will be used, in part, for the completion of that project. In future years a majority percentage of the surplus will be passed to the charity, though it is the aim that all income to Fitness League Operational will be used within the financial year to the benefit of the organisation. Financial review The charity, with the aid of sound management and support of the members, generated a surplus for the year by controlling the costs of the charity and the receipt of some generous donations, three legacies and the surplus from the Fitness League Festival event. The arrangement with EMDP has resulted in further benefits being achieved through funding from government (indirectly), thus continuing to provide much needed additional resources. At the end of the year the financial results include voluntary income of 16,120 (2016: 15,089) which includes bequests of 2,600, Gift Aid of 1,196 and donations from members of 826. Activities for generating funds, which includes sales of stock and licence income was 31,047 (2016: 52,120-this amount including the surplus from the 2015 festival at the Royal Albert Hall) The total resources expended remain under tight control and totalled 12,931 (2016; 48,651)

8 Trustees' Annual Report (Incorporating the Director's Report) (continued) Financial review (continued) Reserves Policy The Trustees have established the target level of reserves (those funds that are freely available) that the charity ought to have as 100,000. The reserves are needed to bridge the funding gap between spending in relation to the charity's expenditure and receiving income through membership fees etc. Reserves are also held for any unforeseen expenditure. The actual reserves (excluding, designated funds, restricted funds and tangible fixed assets) as at 31 March 2017 are 251,223 (2016: 184,340) which exceeds the target of 100,000. Whilst the Trustees believe that the current level of reserves is sufficient for the forthcoming challenge of increasing the membership of the charity, it recognises that it is prudent to ensure that there are sufficient reserves to provide financial flexibility over the longer term. The Trustees are currently investing in significant projects to raise the profile of the charity, increase membership and thereby to build reserves through planned operating surpluses. The Trustees review the reserves policy annually. Small company provisions This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption. The trustees' annual report was approved on 28 July 2017 and signed on behalf of the board of trustees by: J Ross Chair Trustee - 4 -

9 Independent Examiner's Report to the Trustees of The Women's League of Health & Beauty I report on the financial statements for the year ended 31 March 2017, which comprise the statement of financial activities (including income and expenditure account), statement of financial position and the related notes. Respective responsibilities of trustees and examiner The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the financial statements. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. The charity's gross income exceeded 250,000 and I am qualified to undertake the examination by being a qualified member of the Institute of Chartered Accountants in England and Wales (ICAEW). Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to: examine the accounts under section 145 of the 2011 Act; to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and to state whether particular matters have come to my attention. Basis of independent examiner's report My examination was carried out in accordance with the general Directions given by the Charity Commission. 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 no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the next statement

10 Independent Examiner's Report to the Trustees of The Women's League of Health & Beauty (continued) 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 386 of the Companies Act 2006, and to prepare accounts which accord with the accounting records, comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities 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. Thomas McManners BSC ACA ACMI Independent examiner TTCA LTD Registered Auditors 269 Farnborough Road Farnborough Hampshire GU14 7LY 28 July

11 Statement of Financial Activities (including income and expenditure account) 31 March Unrestricted funds Restricted funds Total funds Total funds Note Income and endowments Donations and legacies 5 16,120 16,120 15,089 Other trading activities 6 31,047 31,047 52,120 Investment income 7 12,802 12,802 3,103 Total income 59,969 59,969 70,312 Expenditure Expenditure on raising funds: Costs of raising donations and legacies Costs of other trading activities 9 3,430 3,430 41,527 Expenditure on charitable activities 10,11 6,869 2,050 8,919 6,445 Total expenditure 10,881 2,050 12,931 48,651 Net (gains)/losses on investments 13 (17,795) (17,795) 3,328 Net income and net movement in funds 66,883 (2,050) 64,833 18,333 Reconciliation of funds Total funds brought forward 184,340 21, , ,849 Total funds carried forward 251,223 19, , ,182 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 9 to 16 form part of these financial statements

12 Statement of Financial Position 31 March Fixed assets Investments , ,133 Current assets Debtors 20 30,615 2,966 Cash at bank and in hand 64,223 49,012 94,781 51,978 Creditors: amounts falling due within one year 21 7,095 4,929 Net current assets 87,743 47,049 Total assets less current liabilities 270, ,182 Net assets 270, ,182 Funds of the charity Restricted funds 19,792 21,842 Unrestricted funds 251, ,340 Total charity funds , ,182 For the year ending 31 March 2017 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. Trustees' responsibilities: The members have not required the charity to obtain an audit of its financial statements for the year in question in accordance with section 476; The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime. These financial statements were approved by the board of trustees and authorised for issue on 28 July 2017, and are signed on behalf of the board by: J Ross Chair Trustee. The notes on pages 9 to 16 form part of these financial statements

13 1. General information The Women's League of Health & Beauty Notes to the Financial Statements The charity is a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is c/o Richard Place Dobson, Chartered Accountants, 1-7 Station Road, Crawley, RH10 1HT, West Sussex. 2. Statement of compliance These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act Accounting policies Basis of preparation The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure. The financial statements are prepared in sterling, which is the functional currency of the entity. Going concern There are no material uncertainties about the charity's ability to continue. Transition to FRS 102 The entity transitioned from previous UK GAAP to FRS 102 as at 1 April Details of how FRS 102 has affected the reported financial position and financial performance is given in note 25. Judgements and key sources of estimation uncertainty Significant judgements The judgements (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies and that have the most significant effect on the amounts recognised in the financial statements consist of the level of income relating to the year, but not yet received to be shown in the accounts. Fund accounting Fund accounting Unrestricted funds are available for use at the discretion of the trustees in furtherance of the purposes of the charity. Restricted funds are subjected to restrictions on their expenditure imposed by the donor

14 3. Accounting policies (continued) Incoming resources The Women's League of Health & Beauty Notes to the Financial Statements (continued) Income All income is included in the statement of financial activities when the charity is entitled to the income, any performance related conditions attached have been met or are fully within the control of the charity, the income is considered probable and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income: Donations and legacy income is received by way of donations, legacies, grants and gifts and is included in full in the Statement of Financial Activities when receivable. Where legacies have been notified to the charity but the criteria for income recognition have not been met, the legacy is treated as a contingent asset and disclosed if material. Resources expended Expenditure Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates: Costs of raising funds comprise the costs associated with attracting donations, grants and legacies and the costs of trading for fundraising purposes. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. Other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities. All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis, as set out in the notes to the accounts. Tangible assets Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities

15 3. Accounting policies (continued) Depreciation The Women's League of Health & Beauty Notes to the Financial Statements (continued) Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows: Equipment - 20% straight line 4. Limited by guarantee The charity is a company limited by guarantee and has no share capital. The liability of each association member in the event of winding up is limited to Donations and legacies Unrestricted Total Funds Unrestricted Total Funds Funds 2017 Funds 2016 Donations Membership fees 11,131 11,131 8,900 8,900 Legacies Legacies 2,600 2,600 2,000 2,000 Other donations and legacies Gift Aid 1,196 1,196 1,267 1,267 Other donations 1,193 1,193 2,922 2,922 16,120 16,120 15,089 15, Other trading activities Unrestricted Total Funds Unrestricted Total Funds Funds 2017 Funds 2016 Fundraising activities 1,341 1,341 49,303 49,303 Royalty income 29,706 29,706 2,817 2,817 31,047 31,047 52,120 52, Investment income Unrestricted Total Funds Unrestricted Total Funds Funds 2017 Funds 2016 Income from other investments 12,745 12,745 2,784 2,784 Bank interest ,802 12,802 3,103 3,

16 8. Costs of raising donations and legacies Notes to the Financial Statements (continued) Unrestricted Total Funds Unrestricted Total Funds Funds 2017 Funds 2016 Travel Telephone 6 6 Printing, postage and stationery Depreciation Bank Charges Meeting costs 6 6 Other costs Costs of other trading activities Unrestricted Restricted Total Funds Funds Funds 2017 DVD and stock expenses Promotional events 1,665 1,665 Printing, postage and stationery Bank Charges Other costs 1,076 1,706 3, Unrestricted Funds Restricted Funds Total Funds 2016 DVD and stock expenses Promotional events 39,834 39,834 Travel Telephone Printing, postage and stationery Depreciation Bank Charges Meeting costs Other costs , ,

17 Notes to the Financial Statements (continued) 10. Expenditure on charitable activities by fund type Unrestricted Restricted Total Funds Funds Funds 2017 Training and education 874 2,050 2,924 Support costs 5,995 5,995 6,869 2,050 8,919 Unrestricted Funds Restricted Funds Total Funds 2016 Training and education 2,259 2,259 Support costs 4,186 4,186 6,445 6, Expenditure on charitable activities by activity type Activities undertaken directly Support costs Total funds 2017 Total fund 2016 Training and education 2,924 2,924 2,259 Governance costs 5,995 5,995 4,186 2,924 5,995 8,919 6, Analysis of support costs Support costs Total 2017 Total 2016 General office Governance costs 5,704 5,704 3,847 5,995 5,995 4, Net gains/(losses) on investments Unrestricted Total Funds Unrestricted Total Funds Funds 2017 Funds 2016 Gains/(losses) on other investment assets 17,795 17,795 (3,328) (3,328)

18 Notes to the Financial Statements (continued) 14. Net income Net income is stated after charging/(crediting): Depreciation of tangible fixed assets Independent examination fees Fees payable to the independent examiner for: Independent examination of the financial statements 1,584 1, Staff costs The average head count of employees during the year was Nil (2016: Nil). No employee received employee benefits of more than 60,000 during the year (2016: Nil). 17. Trustee remuneration and expenses During the year none of the Trustees received remuneration for their services. The Trustees received 2,270 (2016: 1,520) of reimbursed expenses in relation to travel and subsistence costs. 18. Tangible fixed assets Equipment Total Cost At 1 Apr 2016 and 31 Mar ,081 2,081 Depreciation At 1 Apr 2016 and 31 Mar ,081 2,081 Carrying amount At 31 March

19 Notes to the Financial Statements (continued) 19. Investments Other investments Cost or valuation At 1 April ,133 Additions 6,344 Fair value movements 17,795 At 31 March ,272 Impairment At 1 April 2016 and 31 March 2017 Carrying amount At 31 March ,272 At 31 March ,133 All investments shown above are held at valuation. 20. Debtors Other debtors 29,765 2, Creditors: amounts falling due within one year Other creditors 7,095 4, Deferred income Amount deferred in year 5,511 3, Analysis of charitable funds Unrestricted funds At 1 April 2016 Income Expenditure Gains and losses At 31 March 2017 General funds 184,340 59,969 (10,881) 17, ,

20 23. Analysis of charitable funds (continued) Notes to the Financial Statements (continued) Restricted funds At 1 April 2016 At Expenditure 31 March 2017 Wormesley Fund 10,885 (2,050) 8,835 A4A Fund Joan Cooper Fund 10,000 10,000 21,842 (2,050) 19,792 Restricted funds of the charity are for the following purposes Wormseley Fund: training and development of teachers A4A Fund: training equipment and scholarships Joan Cooper Fund: advertising the Fitness League 24. Analysis of net assets between funds Unrestricted Restricted Total Funds Funds Funds 2017 Investments 183, ,272 Current assets 75,008 19,830 94,838 Creditors less than 1 year (7,095) (7,095) Net assets 251,185 19, , Transition to FRS 102 These are the first financial statements that comply with FRS 102. The charity transitioned to FRS 102 on 1 April No transitional adjustments were required in the retained funds or income or expenditure for the year