KILFINAN COMMUNITY FOREST COMPANY
(A Company Limited by Guarantee)
Registered Office-Dunbeag, Tighnabruaich , Argyll
Charity Registration No-SC038908
Company Registration No-SC333208
DIRECTORS’ REPORT FOR THE PERIOD FROM 31 OCTOBER 2007 TO 31 MARCH 2009
The directors present their report and financial statements for the period ended 31st March 2009.
The organisation is a charitable company limited by guarantee. In the event of the company being wound up members are required to contribute an amount not exceeding £1 each.
Principal Activity
The principal activity of the company is to acquire an area of Acharossan Forest from the Forestry Commission to deliver a range of benefits to the community of Kilfinan including the development of a forest park for recreational pastimes, the creation of a valuable educational resource for environmental activities and the generation of employment opportunities in the management of the forest and development of the area.
Directors
The directors appointed during the period were:-
Vanessa Barlow
Peter Black
Robert Blair
Ian Holt
Stuart Jack
Brian Leech
Kirstin Leicht
Selina Robinson(resigned)
Stuart Fulton (resigned)
Anne Stewart(resigned)
James Perlich(resigned)
David Blair(resigned)
Ronald Irvine(resigned)
Financial Review
The principal funding source of the company is by way of donations and contributions from individuals and other interested parties. During the period a grant of £5,000 was received from The Batchworth Trust.
Where funding is received for specific projects the income and expenditure will be grouped under the heading of Restricted Funds in the Statement of Financial Activities.
Review of the Period’s Activities
October 2007 – March 2008
A Feasibility Study was commissioned in October 2007 to explore the viability of the community aspirations with the development of the forest, funded by HIE-CLU. The study was published in March 2008 and concluded that, with the right public funding support, the project would deliver the benefits and amenities to the local and wider community. The report and all documents relating to the project are now available on the KCFC website. During this period two local people were employed to directly liaise with the community with a door-to-door survey and informal communications, and also to canvass for new members and raise awareness.
A valuation of the proposed area was also commissioned jointly by the Board and the Forestry Commission Scotland in January 2008. The report was valid for 6 months.
April 2008 – March 2009
The board had to submit a community application to the National Forest Land Scheme to formally purchase this area of Acharossan Forest. The panel visited the community group and approved the application in June 2008. The group were given 18 months from the date of approval to finalise the purchase.
From June to December 2008 the Board developed and submitted a full community application to Big Lottery Fund’s Growing Community Assets Fund in December 2008 working with Highlands & Islands Enterprise – Community Land Unit, the Community Woodlands Association and Scottish Native Woods. The application was unsuccessful so discussions were held with WHELK Leader+, SRDP agents and HIE-CLU. The Board also canvassed and engaged with Argyll & Bute Council to secure a new community access to the community woodland area. The board also volunteered at various awareness raising events such as the Soup and Puddings event to raise funds and sent out mailshots to charitable organisations to attract funds to buy the forest.
Future Developments
The raising of the funding to support the purchase is still a challenging issue, as a result the Board have agreed to revised the area to be purchased and have just commissioned a new valuation on a much smaller area. The Board will now be focussing its attention in raising awareness, raising public and private funding to conclude the sale by March 2010. Various events have been scheduled over the coming 6 months to raise funding. Lobbying will continue to appropriate ministers and MSPs on the issue of public funding for community land acquisitions.
Reserves Policy
Funds of £5,767 are currently held in unrestricted funds to meet the general operations of the Charity.
Risk Management
The directors have considered the major strategic and operational risks which the Charity faces and are satisfied that these risks are reduced by the implementation of management controls and procedures.
Statement of Directors’ Responsibilities
Company law requires the directors to prepare a statement of accounts for each financial year. In preparing those financial statements, the directors are required to:
a)select suitable accounting policies and apply them consistently;
b)make judgements and estimates that are reasonable and prudent;
c)prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue to operate.
The directors are responsible for keeping proper accounting records, which disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 1985.
They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
BY ORDER OF THE BOARD
Michaela Hunter
Secretary
date
INDEPENDENT EXAMINER’S’ REPORT TO THE DIRECTORS
OF KILFINAN COMMUNITY FOREST COMPANY
I report on the accounts of Kilfinan Community Forest Company for the period from 31 October 2007 to 31 March 2009 which are set out on pages 4 to 6.
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. The 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 Independent Examiner’s Statement
My examination is 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 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
In the course of my examination, no matter has come to my attention
1.which gives me reasonable cause to be 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 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.
ERIC MARSHALL
CHARTERED ACCOUNTANT
Henderson & Company
73 Union Street
Greenock
date
KILFINAN COMMUNITY FOREST COMPANY
STATEMENT OF FINANCIAL ACTIVITIES
(INCLUDING INCOME AND EXPENDITURE ACCOUNT)
FOR PERIOD FROM 31 OCTOBER 2007 TO 31 MARCH 2009
Notes£
INCOMING RESOURCES
Voluntary Income -
Donations / 715
Grant / 5,000 / 2
Activities for Generating Funds
Fundraising / 519
Interest Receivable / 2
TOTAL INCOMING RESOURCES / 6,236
RESOURCES EXPENDED
Costs of Generating Funds
Fundraising Expenses / 80
Charitable Activities
Administration Expenses / 102
Governance Costs / 287
TOTAL RESOURCES EXPENDED / 469
NET INCOMING RESOURCES / 5,767
All funds held are unrestricted.
KILFINAN COMMUNITY FOREST COMPANY
BALANCE SHEET AS AT 31 MARCH 2009
2009 /Notes
£CURRENT ASSETS
Cash at Bank / 6,054
CREDITORS: Amounts falling due within one year
Accrued Charges / 287
NET CURRENT ASSETS / 5,767
REPRESENTED BY:
Unrestricted Funds / 5,767 / 3
The directors have:
(a)taken advantage of the Companies Act 1985 in not having these accounts audited under Section 249A(1);
(b)confirmed that the members have not required the company to obtain an audit of its accounts for the year in accordance with Section 249B(2) of the Companies Act 1985;
(c)acknowledged their responsibilities for ensuring that the company keeps accounting records which comply with Section 221 of the Companies Act 1985; and
(d)acknowledged their responsibilities for preparing accounts which give a true and fair view of the company and of its surplus for the period ended 31 March 2009 in accordance with the requirements of Section 226 of the Companies Act 1985 and which otherwise comply with the requirements of this Act relating to accounts, so far as applicable to the company.
These accounts have been prepared in accordance with the special provisions of Part VII of the Companies Act 1985 relating to small companies and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2007)
xxxxxxx
Director
date
KILFINAN COMMUNITY FOREST COMPANY
NOTES ON FOREGOING ACCOUNTS
1.ACCOUNTING POLICIES
a)The accounts are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2007), The Charities Accounts (Scotland) Regulations 2006 and the Statement of Recommended Practice for Accounting and Reporting by Charities issued in 2005.
b)Grants Received
All grants are credited to the Income and Expenditure Account when received. Any grants received for specific purposes are reflected as Restricted Funds in the Statement of Financial Activities.
2. GRANT RECEIVED
The following grant was received during the period
£The Batchworth Trust / 5,000
3. MOVEMENT IN RESERVES
Incoming / BalanceResources / Expenditure / at 31/8/09
£ / £ / £
Unrestricted Funds / 6,236 / 469 / 5,767
KILFINAN COMMUNITY FOREST COMPANY
DETAILED INCOME AND EXPENDITURE ACCOUNT
FOR THE PERIOD FROM 31 OCTOBER 2007 TO 31 MARCH 2009
£INCOME
Donations / 715Grant Received / 5,000
Fundraising Income / 519
Bank Interest / 2
6,236
EXPENDITURE
Travel Expenses / 59Fundraising Expenses / 80
Postages, Stationery and Advertising / 13
Independent Examiner’s Fees / 287
General Expenditure / 30
469
SURPLUS FOR PERIOD
/ 5,7671