CO-OPERATIVE REGISTRATION NUMBER IP30597
OXFORD CYCLE WORKSHOP TRAINING LTD
FINANCIAL STATEMENTS 31 AUGUST 2009
SHAW GIBBS LLP Chartered Certified Accountants 264 Banbury Road Oxford OX2 7DY
OXFORD CYCLE WORKSHOP TRAINING LTD FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2009
CONTENTS
PAGE
The report of the management committee
1
Profit and loss account
4
Balance sheet
5
Notes to the financial statements
7
The following pages do not form part of the financial statements Detailed profit and loss account
11
OXFORD CYCLE WORKSHOP TRAINING LTD THE REPORT OF THE MANAGEMENT COMMITTEE PERIOD ENDED 31 AUGUST 2009 The Management Committee has pleasure in presenting its report and the unaudited financial statements of the co-operative for the period ended 31 August 2009. INCORPORATION The co-operative was incorporated on 5th December 2008 and commenced trading in January 2009. PRINCIPAL ACTIVITIES AND OPERATIONAL REVIEW The principal activity of the co-operative during the year was the delivery of on-road cycle training, cycle maintenance skills and tailored programmes for young people. Overview Since registering as an organisation at the end of 2008 (we incorporated on December 5th 2008) it has been a short year focused largely on setting up. We moved into our premises in May 2009, secured a loan to cover set up costs with Co-operative & Community Finance in June and appointed Jared Spier to deliver our FreeWheeling Project in August. With premises not secure until June we focused on work we could deliver off site, starting to deliver our Cherwell School programme in January. By June we had established delivery of public introductions to cycle maintenance at our training centre. The summer was an opportunity to become Bike Ability accredited as an organisation and look at the qualifications we need to put in place to deliver real value to the community. Review of year The 2008/09 year saw the creation of Oxford Cycle Workshop Training Ltd (OCW Training) born out of projects piloted at Oxford Cycle Workshop over the previous seven years. In August 2008 we saw the opportunity to establish an organisation focused on fresh aims to expand the delivery of training that had already delivered community benefits. Setting OCW Training up as a new organisation also offered us the opportunity to select a governance structure that reflected the focus of the organisation, and offered the community a different relationship with us. Projects We hit the ground running in January 2009, working on three projects: Free-Wheeling Project is focused on delivering core skills in cycle maintenance and on road cycling to as many people within Oxford as possible. The appointment of Jared Spier in August gave us the skills in house not only to deliver on our vision for this project, but also gave us someone with experience of delivering an ambitious programme. We have started work on becoming an accredited centre for delivering national standard on-road cycle training, and are preparing to start delivering Bike Ability training to year 7 students within our cities schools. Our long standing programme of introduction to cycle maintenance training delivery transferred to our new training centre in June. A space that is a much nicer teaching environment than the workshops previously used. Oiling The Chain Project is focused on creating tailored programmes of engagement for our cities young people, delivering universal life skills at it's broadest point of engagement but also offering progression routes into vocational training and employment. The 2008/09 academic year offered us the opportunity to build a strong relationship with Cherwell School. The programme delivered here became an important part of this project in the absence of our own premises to deliver in. The programme delivered at Cherwell School has offered us valuable insight into the effectiveness of the training we are developing within an environment where we had a certain amount of freedom to trial new approaches. The lack of premises did hold back the anticipated development of other core areas of this project before the end
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OXFORD CYCLE WORKSHOP TRAINING LTD THE REPORT OF THE MANAGEMENT COMMITTEE (continued) PERIOD ENDED 31 AUGUST 2009 of the 2008/09 academic year. We look forward to taking full advantage of our training facility during the 2009/10 academic year to really up scale delivery of the training we offer. Online Learning Project is focused on creating resources that will not only support students and trainers in Oxford, but also offer the resources we're developing to anyone with access to the internet. The first objective of this project was to create a website for OCW Training and get it online. In January 2009 we made contact with a team of website developers with the experience and vision we were looking for to tackle this project. Since January Virtual Construction have been working on developing our initial designs for our organisation's website into a working site. We are very happy with their progress so far. The website is set to go live before the end of 2009. Employees We realised we would be looking to a small team of people to deliver the work of OCW Training. This meant employing people with a range of skills and a passion for what we are doing was vital. One of OCW Training's strengths as it approaches it's first birthday is the team we have pulled together to deliver the services we offer. Dan Harris came to us with in a part time role. His time will be split between our organisation and Oxford Cycle Workshop, providing an important link to a valued partner but also a lot of experience of developing community focused organisations from the cycling sector within Oxford. Jonty Semper moved from a role where he delivered cycle maintenance training within schools, bringing not only valuable experience of developing engaging training programmes built around cycle maintenance but also important relationships with Oxford's schools. Jonty's attention to detail and development of systems will also prove invaluable in the start up phase of this organisation. James Dawton has over twenty years of experience within the cycle industry, but has also worked as a teach and has delivered an Introduction to Cycle Maintenance course for many years at both Oxford Cycle Workshop and OCVC. Jared Spier comes to us with key knowledge of delivering a large scale road safety programme. His experience of building processes and products from the ground up will provide Oxford Cycle Workshop Training with someone who can develop a firm foundation on which large scale delivery of core cycle maintenance and on road cycle skills can be built. Financials The balance sheet very much reflects a company in it's first 9 months of putting the necessary processes and procedures, staff and premises in place to form the foundation for delivery of it's products and services. We have borrowed money from both Co-operative & Community Finance and a private individual, and also taking share capital from some private individuals and Oxford Cycle Workshop. Delays in securing our premises has meant that the total from trading is lower than expected. With that now secure we anticipate a strong start to the 2009/10 financial year. Membership As we have slowly found our feet at OCW Training, so our promotion of our offer of membership has grown. It is important that we grow our membership base on the basis of having a firm idea of our ambitions, our aims and the projects we plan to use to deliver on these. Through reaching the end of our first financial year we feel that we are in a strong position to start publicising our offer the the community we serve. Currently our membership stands at 53. Membership Statistics As a membership organisation with a premises in the heart of an OX4 neighbourhood we are excited to see that 49% of our members live in the OX4 postcode. 60.4% of our members are male, 39.6% are female. This might look like a good split when you compare it with some cycling organisations, but for us we want to see this more balanced. As a community owned co-operative organisation it's important that our membership statistics reflects the diversity of our city, and the cities universal interest in cycling as something beneficial to everyone who lives here. During the 2009/10 financial year we will increase the information we generate about the diversity of our members to form both a basis for our work in diversifying our membership and communicating our success in diversifying -2-
OXFORD CYCLE WORKSHOP TRAINING LTD THE REPORT OF THE MANAGEMENT COMMITTEE (continued) PERIOD ENDED 31 AUGUST 2009 our membership to our members. Outlook The 2009/10 financial year will still involve a certain amount of set up activities. Getting qualifications in place, and refining the delivery of some core income streams will play an important part in establishing OCW Training as a sustainable organisation delivering on it's aims and objectives. Our income from trading should increase dramatically, whilst expenditure on this like equipment and office set up should dramatically decrease. During the 2009/10 financial year we will also look to increase the visibility of the work we are doing, and publicise our membership offer. We aim to quadruple the number of members, reflecting more closely the city we are at the heart of, but also establish clearer opportunities for engagement for these member in the work we are doing. Finally we will look to establish methodologies to record effectively and communicate clearly the impact the work we are engaged with is having on our community. Establishing this will form an important tool for both the management committee to reflect on the activities of OCW Training from day to day but also allow our members a clearer perspective of how their engagement can help OCW Training achieve the goals and ambitions we share.
DIRECTORS The Directors who served during the period were D Harris J Semper J Dawton AUDIT STATUS The directors are satisfied that the company is entitled to exemption from the provisions of the Friendly and Industrial Provident Societies Act 1968 (the Act) relating to the audit of the financial statements for the period, and that no member or members have requested an audit pursuant to the requirements of the Act. The committee acknowledge their responsibilities for: (i) ensuring that the co-operative keeps proper accounting records , and (ii) preparing financial statements which give a true and fair view of the state of affairs of the co-operative as at the end of the financial year and of its profit or loss for the financial year in accordance with the statutory requirements, and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the co-operative.
Registered office: 39 Magdalen Road East Oxford OX4 1RB
Signed on behalf of the members of the committee
D Harris Committee member
Approved by the Management Committee on ........................
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OXFORD CYCLE WORKSHOP TRAINING LTD PROFIT AND LOSS ACCOUNT PERIOD ENDED 31 AUGUST 2009
Note SALES Cost of sales
2009 £ 14,503 2,138
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GROSS PROFIT
12,365
Administrative expenses
42,789
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OPERATING LOSS
2
Interest receivable Interest payable and similar charges
(30,424) 3 (293) ÄÄÄÄÄÄÄ
LOSS ON ORDINARY ACTIVITIES BEFORE TAXATION
(30,714)
LOSS FOR THE FINANCIAL PERIOD
(30,714)
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OXFORD CYCLE WORKSHOP TRAINING LTD BALANCE SHEET 31 AUGUST 2009
Note FIXED ASSETS Tangible assets CURRENT ASSETS Debtors Cash at bank
£
7,000
4 5
2009 £
1,297 2,455
ÄÄÄÄÄÄ
CREDITORS: Amounts falling due within one year
6
3,752 4,864
ÄÄÄÄÄÄ
NET CURRENT LIABILITIES
(1,112) ÄÄÄÄÄÄ
TOTAL ASSETS LESS CURRENT LIABILITIES
5,888
CREDITORS: Amounts falling due after more than one year
7
25,697 ÄÄÄÄÄÄÄ
(19,809) ÍÍÍÍÍÍÍ
CAPITAL AND RESERVES Called-up equity share capital Profit and loss account
9
10,905 (30,714) ÄÄÄÄÄÄÄ
DEFICIT IN MEMBERS' FUNDS
(19,809) ÍÍÍÍÍÍÍ
The Balance sheet continues on the following page. -5-
OXFORD CYCLE WORKSHOP TRAINING LTD BALANCE SHEET (continued) 31 AUGUST 2009 These financial statements have been prepared in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008). These financial statements were approved by the Management Committee and authorised for issue on the 27 February 2010 and are signed on their behalf by:
J Semper Committee member
J Dawton Committee member
Co-Operative Registration Number: IP30597
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OXFORD CYCLE WORKSHOP TRAINING LTD NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2009 1.
ACCOUNTING POLICIES Basis of accounting The financial statements have been prepared under the historical cost convention, modified to include the revaluation of financial instruments, and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008). Cash flow statement The management committee has taken advantage of the exemption in Financial Reporting Standard for Smaller Entities (effective April 2008) from including a Cash flow statement in the financial statements on the grounds that the co-operative is small. Turnover Turnover represents monies received (excluding value added tax) from the delivery of on-road cycle training and other activities. Fixed assets All fixed assets are initially recorded at cost. Depreciation Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows: Plant & Machinery Fixtures & Fittings Equipment
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20% Reducing Balance 20% Reducing balance 20% Reducing Balance
Operating lease agreements Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease. Going concern The accounts have been prepared on the going concern basis as, in the opinion of the Directors, the loss for the year is as a result of set-up costs which will not be repeated and the Co-operative will realise a profit in future years which will enable repayments of the loans. 2.
OPERATING LOSS Operating loss is stated after charging: 2009 £ – 1,751
Member of the committees' remuneration Depreciation of owned fixed assets 3.
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PARTICULARS OF EMPLOYEES The aggregate payroll costs of the above were: 2009 £ 21,938 –
Wages and salaries Social security costs
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21,938
ÍÍÍÍÍÍÍ
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OXFORD CYCLE WORKSHOP TRAINING LTD NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2009 4.
5.
TANGIBLE FIXED ASSETS Plant & Machinery £
Fixtures & Fittings £
Equipment £
Total £
COST Additions
7,698
538
515
8,751
At 31 August 2009
7,698
538
515
8,751
DEPRECIATION Charge for the period
1,540
108
103
1,751
At 31 August 2009
1,540
108
103
1,751
NET BOOK VALUE At 31 August 2009
6,158
430
412
7,000
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DEBTORS 2009 £ 1,297
Other debtors 6.
ÄÄÄÄ
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CREDITORS: Amounts falling due within one year 2009 £ Other creditors including taxation: ICO Fund PLC Loan Accruals and deferred income
3,759 1,105
ÄÄÄÄÄÄ
4,864
ÍÍÍÍÍÍ
7.
CREDITORS: Amounts falling due after more than one year 2009 £ 25,697
Other creditors
ÍÍÍÍÍÍÍ
The Co-operative has taken out 2 loans during the period. An interest-free loan of £10,000 has been received from a private individual. There is no fixed repayment date for this loan. An interest-bearing loan of £20,000 has been received from Industrial Common Ownership Finance Limited, a member based organisation. The loan is repayable over 5 years. 8.
RELATED PARTY TRANSACTIONS No transactions with related parties were undertaken such as are required to be disclosed under the Financial Reporting Standard for Smaller Entities (effective April 2008).
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OXFORD CYCLE WORKSHOP TRAINING LTD NOTES TO THE FINANCIAL STATEMENTS PERIOD ENDED 31 AUGUST 2009 9.
SHARE CAPITAL
Shares issued
2009 £ 10,905
At 31 August 2009
10,905
Amounts presented in equity
10,905
ÄÄÄÄÄÄÄ ÍÍÍÍÍÍÍ
ÍÍÍÍÍÍÍ
The shares of the co-operative have a nominal value of £1 each and may be withdrawn under the rules of the co-operative. A single share is issued to to each member of the co-operative. When a member ceases to be a member, the share registered in their name is cancelled and the amount subscribed for the share is converted to loan stock.
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OXFORD CYCLE WORKSHOP TRAINING LTD MANAGEMENT INFORMATION PERIOD ENDED 31 AUGUST 2009
The following pages do not form part of the statutory financial statements.
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OXFORD CYCLE WORKSHOP TRAINING LTD DETAILED PROFIT AND LOSS ACCOUNT PERIOD ENDED 31 AUGUST 2009 2009 Note
£
SALES Purchases
£ 14,503 2,138
ÄÄÄÄÄÄÄ
GROSS PROFIT
12,365
OVERHEADS Wages and salaries Rent Insurance Other establishment expenses Travel and subsistence Telephone Printing Books etc Staff training Sundry expenses Subscriptions Legal and professional fees Consultancy Accountancy fees Depreciation Bank charges
21,938 4,316 688 2,645 161 444 754 78 151 2,264 78 5,312 742 1,105 1,751 362
ÄÄÄÄÄÄÄ
42,789
ÄÄÄÄÄÄÄ
OPERATING LOSS
(30,424)
Bank interest receivable
3
ÄÄÄÄÄÄÄ
(30,421) Interest on other loans
(293)
ÄÄÄÄÄÄÄ
LOSS ON ORDINARY ACTIVITIES
(30,714) ÍÍÍÍÍÍÍ
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