Simple chartity accounts
Charity accounts may be prepared either on the receipts and payments basis or the accruals basis, depending on the income of the charity and whether or not it has been set up as a company.
The receipts and payments basis is the simpler of the two methods and may be adopted where a non-company charity has total income of £250,000 or less during the year. It is a report of all money received and paid out by the charity in the financial year, and a separate statement of its assets and liabilities at the end of the year. Charitable companies are not allowed by company law to adopt this method.
Bevan & Buckland’s specialist charities team are proud to work with many of Wales' leading not for profit organisations. We currently provide services to a range of not for profit clients such as charities, housing associations and other public sector bodies.
Over the past 20 years we have developed our specialist knowledge of this sector which has allowed us offer a high quality service at an affordable price. We are able to offer a range of services tailored to your needs and have helped a number of our clients grow and flourish. We now work with a wide range of clients from small community charities with turnovers of less that £10,000 up to national charities who work across Wales.
Trustees’ annual report
The trustees’ annual report is an important milestone in a charity’s life, a chance to take stock of how the year compared to the trustees’ plans and aspirations, a time to celebrate successes and achievements, and to reflect on difficulties and challenges.
The trustees’ annual report is also an opportunity to highlight the main activities or significant activities undertaken in order to carry out the charity’s purposes for the public benefit. The report’s audience is not just trustees and members, funders, donors and beneficiaries, but also the wider public who have an interest in what charities do and what they achieve.
The basic contents of the trustees’ annual report are mandatory. However, smaller charities which are not subject to statutory audit are not required to provide as much information as larger charities, which are legally required to have an audit.
The trustees’ annual report need not be lengthy. A good trustees’ annual report explains the charity’s aims and how it is going about achieving them. It meets all the legal requirements and provides a balanced view of the charity’s structure, aims, objectives, activities and performance. Importantly, it brings the charity to life and, for those charities that rely on voluntary income as their primary source of funding, provides donors with the opportunity to understand how their money was spent and the difference it has made.