sailing trust · thanks to peter fitt, retiring trustee, replaced by peter maynard; to don ramsay...

hange Sailing Trust

Report and Accounts 31 st December 2016

2016 Operational Summary

We worked with approaching 200 clients during 2016 of which 42 had special needs, delivering 700 berth nights to 21 groups and adult supporters, developing positive

personal development, key skills, self-belief, leadership and maritime skills.

We launched our new steel sailing barge 'Blue Mermaid'.

She is currently in Maldon for fitting out & rigging.

ASTO Member, RYA Training and Sailability Foundation Centre, DofE Approved Activity Provider

Downs Road Boatyard, Maldon, Essex CM3 5HG 01621 840982 [email protected] Sea-Change Projects Ltd is a not-for-profit company limited by guarantee

Registered in England no. 6163852 Charity no. 1125958

www.seachangesailingtrust.org.uk

The View from the Bridge 2016 by Capt. Richard Titchener, Executive Officer

2016 was a big year for Sea-Change. May saw the launch of Blue Mermaid at Polruan and festivities at Maldon

in July to celebrate her arrival. We are very proud to have built in the UK and there can be no greater pleasure

than receiving the certificate of floating free by class society DNV-GL. It was wonderful to be able to welcome

Karen Toms from the builders to join local dignitaries, clients and friends at Maldon. There was even some

fine St Austell beer left to supplement the equally excellent Blue Mermaid bitter brewed specially by Mighty

Oak. Sea Cadets provided a guard of honour at both places, which was fitting as we are honoured to sail with

them too.

Reminder provided the usual ideal platform for our work, supplemented by Sallie. This meant young people

learning the intricacies of a handspike windlass as well as enabling us to compete in the East Coast Old Gaffers

Race with a crew of West Mersea Sea Scouts. This was doubly appropriate as their predecessors had owned

the boat before she was sold away in 1972. Another blast from the past was provided by doing the Thames

Barge Match in Xylonite as Reminder was unavailable, and finishing a creditable second with a hard-working

crew from the Port of London Authority.

It was good to see regular clients again like St Joseph's College, London Nautical School, Colchester

Institute's Pathways and Workprep courses, and to see Dementia Adventure going from strength to strength

with their trail-blazing ideas of the benefits of engaging with the natural world. We welcomed back after a

break New Malden Scouts, Inclusion Ventures and Gravesend Sea Cadets, as well as undertaking a trip to

London in August with City of London Sea Cadets who kindly hosted a reception for us at HMS President.

Our direct work included a Sailability trip for adults and the Youth Sailing Scheme had three voyages over

the year including one group recognised in the Maldon Youth Service Youth Awards. At a Trustees' meeting

in November, Chair Hilary Halajko said of the last of these YSS trips: "this week was exactly what Sea

Change is all about: a mix of eight 14 to 18 year olds from all walks of life and backgrounds, some returning

and some new, all united by an interest in the ship and the part they play." She also mentioned that one trainee,

Dan Dangerfield, had sailed as Third Hand with his school.

Thanks to Peter Fitt, retiring Trustee, replaced by Peter Maynard; to Don Ramsay for keeping the funds

corning and much more; to volunteers afloat and ashore; to the Patrons under Rear-Admiral David Snelson's

leadership and the many individuals and groups who have supported Sea-Change in 2016; and to Mark

Wakelin who has donated Puncher, a workboat-curn-tug. With a name like that, her commissioning may need

to include some anger-management.

Work on Blue Mermaid at Downs Road Boatyard continues. At the time of writing Brian Kennell is making

hatch boards. She will be rigged by TS Rigging's Tom Cook, our Shipshape Heritage Training Partnership

trainee of two years ago, and Dan Taylor from last year is now Mate of Jolie Brise. The result of a bid to

Heritage Lottery for a second stage is awaited; if successful it will start in 2018. There are already apprentices

working in the yard, and we have joined with the Heritage Marine Foundation to develop an apprenticeship

flexible enough to send trainees to sea for extended placements.

2017 will see the final push with the appeal. We are chipping away at the last £ 1 00k of the total target of

£600k, but still have a lot to do. We are starting to think about how to raise a scholarship fund to help people

sail with Blue Mermaid. The operational model will be to offer shippers a 1931 freight rate for anything we

carry for them, while inviting support for the training thereby offered.

If you would like to find out more about sailing with us then please get in touch.

SEA-CHANGE PROJECTS LIMITED

CONTENTS

FOR THE YEAR ENDED 31ST DECEMBER 2016

Trustees Annual Report

Independent Examination report

Statement of Financial Activities

Balance Sheet

Notes forming part of the financial statements

Page

1-5

6

7

8

9-14


TRUSTEES REPORT

FOR THE YEAR ENDED 31 DECEMBER 2016

DIRECTORS AND TRUSTEES

The trustees of the charity were:

The existing trustees Paul Bowen, Peter Clay, Professor Francis Douglas, Hilary Halajko (Chair), Captain James Thom and Steve Williams were joined by Peter Maynard FCA replacing Peter Fitt who resigned during the year.

All of the trustees are directors of the not-for-profit company which is limited by a guarantee not exceeding £10 each. In accordance with its governing document the charity remunerates a minority of trustees for professional services; Hilary Halajko when serving as Mate during charters and there is provision for Steve Williams, a qualified Social Worker, to be paid a modest daily payment for being available to give advice where required. Steve Williams received no remuneration during the year and no other trustees have any interest. The Executive Officer and Skipper was Richard Titchener and Don Ramsay was employed as Trust Administrator. Other staff are hired on a contract basis as required.

The trustees are grateful for the contribution by volunteers to both sailing and administrative activities.

STRUCTURE, GOVERNANCE & MANAGEMENT

The charity is governed by its Memorandum and Articles of Association incorporated 15th March 2007 as amended 14th September 2008, and obtained charitable status on 18th September 2008.

Appointment of Trustees: The trustees were selected for their specialist knowledge and experience of working with young people, of sail training and traditional sailing.

Trustee Induction and Training: The trustees have received copies of the governing document and the policies of the charity, and extensive briefing and discussion.

Organisation: The trustees met in March and November to decide the strategy and policy of the charity, which is discharged on a day to day basis by the Executive Officer.

Risk Management: The Chair of Trustees and Executive Officer regularly review risks associated with the operation of the charity and have established methods to avoid or mitigate them. In particular, a regular assessment of risk associated with the sailing activity is carried out. Also, monthly assessment of the financial situation is carried out in consultation with the Hon Treasurer, Peter Maynard.

1


TRUSTEES REPORT


OBJECTIVES & ACTIVITIES

The objective of the charity is to provide activity-based learning for young people, and adults with special needs, and thus to enhance their confidence and improve their lives. This is done by living and working residentially aboard a traditional sailing vessel, with or without accompanying staff, where the emphasis is on participation taking the needs of the individual into account. The trustees confirm that when deciding upon the specific activities to be carried out by the charity during the year they have paid due regard to the Charity Commission's guidance on Public Benefit.

CHAIR'S REPORT

Achievements and Performance

The trustees recognise the importance of objective measures of success in the work of the charity and have taken steps to provide accreditation of the learning achieved by clients. The charity is a Royal Yachting Association Training Centre and RYA Sailability Foundation Organisation in recognition of its work with people with disabilities. During 2016, the charity became a full member of the Association of Sail Training Organisations (ASTO) reflecting progress towards completion of its new vessel, the Blue Mermaid, and exclusive use of the smack Sallie which started work during the year.

There is research evidence that working together in a structured environment providing individual and group challenge is beneficial, and this is borne out by the reports of the staff who, in many cases accompany clients. They find a positive change in people when they return to school, college, youth club or work, and transfer the evidence of achievement with the charity back to normal life. As a member of ASTO, the charity has been positive in its encouragement of work to further evaluate the effectiveness of sail training. It sees this as particularly valuable to small organisations like itself where its sample size does not enable adequate statistical analysis. This project is progressing and ASTO have engaged New Philanthropy Capital to develop a Theory of Change for sail training.

Since its inception in 2007 the charity has hired the vessels it uses for its work and has progressed to work with over 200 people over a sailing season of seven months. In 2016, we continued to work with Reminder and started to use Sallie for small groups as well, meaning we were afloat with clients for 100 days in total. We delivered 12 accompanied charters, 2 charters for supporters, 6 direct charters for returners and competed in two sailing barge matches, both on the Xylonite.

In June, the hull of the Blue Mermaid was delivered to Maldon from Polruan and a welcoming reception was held at Hythe Quay. She then moved to Downs Road Boatyard where work commenced to fit out and rig her.

2


TRUSTEES REPORT


FINANCIAL REVIEW

The charity depends on donations to discharge its ongoing work, both to cover a proportion of fixed costs and to provide funds for individuals and groups who are not able to afford full charter fees. The Trust Administrator, Don Ramsay, continued to devote a significant amount of his time to fund-raising, assisted by the dedicated team of appeal patrons led by Rear-Admiral David Snelson.

In addition to raising funds to support the operation of the charity, a key element has been the gradual success of the appeal to build a new vessel for the charity, to replace what is hired and extend our service. Phase Two of the appeal was launched in February 2015 and progress has been steady. There is enough funding to rig the barge and complete work on deck but after revisiting costs in late 2016 it is apparent a further £180,000 is needed to complete the fitting out internally.

Following the cost-cutting actions mentioned in the report for 2015, the trustees are pleased to report the finances of the charity are much improved as the figures in these accounts attest.

Reserves Policy: The objective is to carry unrestricted reserves sufficient to finance six months of forward operation. The cyclical nature of the operational year makes this very difficult to achieve. Fundraising is prioritised over the winter period, though carried on throughout the year, and operations take precedence in the sailing season. It has been the case each year that funds run lower than this policy target each autumn and pick up as charter fees and bursaries come in. The position at this year-end enables trustees to conclude they are entering the next operational cycle with sufficient reserves based on continued caution in expenditure.

Pay Policy for Senior Staff: It is the policy of the charity to remunerate all staff reasonably for work done in accordance with ability to pay in the financial situation existing at the time,

and with regard to comparison with similar-sized charities in the area. For sailing staff, comparison is made with staff working on the same or similar vessels doing such work.

3


TRUSTEES REPORT


Investment Policy: The Articles of Association of the charity enable it to invest as it considers necessary. This has not been actioned to date, except in as much as the building of the new vessel represents investment. Should funds allow, the charity would obtain professional advice as to the best and appropriately cautious means of investment to provide annual funding to support its operation. The ownership of the new vessel once delivered, represents an opportunity to raise loans against its value if necessary, or to share ownership in the event of a financial commitment and agreement as to use. The policy of the charity in these respects is to ensure such loans were repayable at a costeffective rate of interest and within the ability of the charity or its supporters to cover them and such sharing would be subject to protecting the objects of the charity. There are no

plans to enter loan agreements at this time.

The trustees believe it is necessary to establish an endowment fund to ensure the future smooth operation of the new vessel and this is an item for consideration with the fundraising team.

FUTURE PLANS

The charity expects to continue to hire vessels in 2017 and has arranged to use the Reminder and Sallie for both accompanied and extended programmes.

It is hoped the Blue Mermaid will enter service during 2018. This will enable a reduction in

hire costs.

TRUSTEES RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The trustees, as directors of the company, warrant that there is no relevant information of which the examining accountant is not aware, so far as we are aware, and that we have taken all reasonable steps to inform the accountant of any relevant information.

4


TRUSTEES REPORT


SMALL COMPANY PROVISIONS

The report has been prepared in accordance with the provisions applicable to companies entitled to the exemption for small companies.

Signed by der of the Trustees

Hilary Hala· , Chair of Trustees

Dated 0. \ � ) µ)tl_ ..

5

SEA CHANGE SAILING TRUST

INDEPENDENT EXAMINER'S REPORT


I report on the accounts of Sea Change Sailing Trust for the year ended 31 December 2016 which are set out on pages seven to fourteen.

Respective responsibilities of trustees and examiner

The Charity's Trustees are responsible for the preparation of the accounts. The Charity's Trustees consider that an audit is not required for this year (under section 144 (2) of the Charities Act 2011 (The Act) but that an independent examination is needed.

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 Commissioners (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 Statement

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. 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 considerations 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 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 believe that, in any material respect, thedirectors have not met the requirements to ensure that:

proper accounting records are kept (in accordance with section 130 of the 2011 Act); and accounts are prepared which agree with the accounting records and comply with the accounting requirements of the 2011 Act; or

(2) to which, in my opinion, attention should be drawn in order to enable a properunderstanding of the accounts to be reached.

Shelley-Marie Rudling MAAT MIP for and on behalf of: Colchester CVS Winsley's House High Street, Colchester, Essex

6

Date f 2 � 2:Ji 9-


STATEMENT OF FINANCIAL ACTIVITIES


2016

Note Unrestricted

£

Income and endowments from:

Donations & Legacies 61,547

Charitable activities 47,760

Investment income 2 -

Other Trading Activities -

Total incoming resources 109,307

Resources expended

Charitable activities 4 79,781

Fund Raising 3 1,431

Other

Total resources expended 81,212

Operating Surplus 28,095

Net Income 28,095

Net movement in funds 28,095

Funds at 1 September 2015 10,720

Funds at 31 December 2016 38,815

Notes on pages 9-14 form part of these financial statements.

2016

Restricted

£

49,780 -

876 -

50,656

-

14,584

14,584

36,072

36,072

36,072

410,378

446,450

7

2016 2015 2015 2015

Total Unrestricted Restricted Total

£ £ £ £

111,327 14,033 37,425 51,458

47,760 38,907 - 38,907

876 976 - 976 - 51,697 - 51,697

159,963 105,613 37,425 143,038

79,781 122,517 36,755 159,272

16,015 7,932 - 7,932

95,796 130,449 36,755 167,204

64,167 (24,836} 670 (24,166)

64,167 (24,836} 670 (24,166)

64,167 (24,836) 670 (24,166)

421,098 35,556 409,708 445,264

485,265 10,720 410,378 421,098


BALANCE SHEET

AS AT 31 DECEMBER 2016

2016 2015

Notes £ £

Fixed Assets

Tangible assets 5 336,255 141,787

336,255 141,787

Current assets

Debtors 7 8,180 7,250

Cash at bank and in hand 161,729 284,350

169,909 291,600

Creditors: amounts falling

due within one year 8 (20,899) (12,289)

Net current assets/(liabilities) 485,265 421,098

Total assets less current liabilities 485,265 421,098

Funds

Unrestricted Funds 10 38,815 10,720

Restricted 10 446,450 410,378

Total Funds 485,265 421,098

For the year ended 31 December 2016 the company was entitled to exemption from audit under section 477 of the Companies Act 2006.

The members have not required the company to obtain an audit in accordance with section

476 of the Companies Act 2006.

The directors acknowledge their responsibility for complying with the requirements of the Act

with respect to accounting records and for the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to

companies subject to small companies regime.

The directors declare that they have approved the above accounts.

Hila��s012

(Chair of Trustees)

8


NOTES TO THE FINANCIAL STATEMENTS


1. Accounting Policies

Basis of accounting

The financial statements have been prepared in accordance with Accounting and

preparing their accounts in accordance with the Financial Reporting Standard applicable

in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).

(Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and

Republic of Ireland (FRS 102) and the Companies Act 2006.

Cash Flow

The financial statements do not include a cash flow statement because the charity, as a

small reporting entity, is exempt from the requirement to prepare such a statement under

Financial Reporting Standard 1 "Cash flow statements".

Accounting Period

The accounts are prepared on the basis for 12 months. Previous accounts were for 16

months.

Incoming resources

All incoming resources are included in the statement of financial activities when the

charity is legally entitled to the income and the amount can be quantified with reasonable

accuracy.

Investment income consists of bank interest received within the year.

Resources expended

Expenditure is included on an accruals basis including irrecoverable VAT.

Fixed Assets

Assets over £1,000 are capitalised and depreciated at the following rates in order to write

them off over their estimated effective lives.

Computer and Office equipment

Sailing equipment

Funds

Funds held by the charity are either:

25% Straight line

25% Straight line

Unrestricted - these are funds that can be used in accordance with the charitable objects

at the discretion of the trustees; or

Restricted funds - these are funds that can only be used for particular restricted purposes

within the objects of the charity.

9




2. INVESTMENT INCOME

Interest receivable

3. Fund Raising

Management salaries

Advertising

Barge Fundraising

4. Charitable Activities

Personnel

Directors salaries

Management salaries

Establishment

Insurance

Light and Heat

Rent and Rates

Barge Expenses Charter fees

Contractor fees

Fuel, food and maintenance

Support Costs

Motor and Travel

Phone

Printing and Stationery

Sundry

Computer Maintenance

Depreciation

Governance Costs

Independent examination fee

Other Accounting services

Total

2016

£

876

Total

2016

14,584

355

1,076

16,015

Total

2016

7,460

36,184

2,769

216

1,372

22,124

1,930

2,415

783

738

1,026

1,284

135

635

522

188

79,781

Total

2015

£

976

Total

2015

4,349

3,583

7,932

Total

2015

12,649

74,625

2,546

930

3,841

37,505

9,441

5,795

2,339

2,632

2,320

3,186

418

420

625

159,272

Personnel costs total of £43,644 (2015: £87274) is split Unrestricted £43,644

(2015: £57,344 Restricted £0 (2015: £29930).

Barge Expenses total of £26,469 (2015: £52,741) is split Unrestricted £26,469

(2015: £48,316) Restricted £0, (2015: £4,425).

Support costs total of £4,601 (2015: £11,007) is split Unrestricted £4,601

(2015: £11,007) Restricted £0 (2015: £0).

10




5. Tangible fixed assetsOffice

Equipment

£

Cost

As at 1 January 2016 6,675

Additions

As at 31 December 2016 6,675

Depreciation


Charge for the year 635


Net Book Value



Sailing

Equipment Total

£ £

141,769 148,444

195,103 195,103

336,872 343,547

2,204 6,657

635

2,204 7,292

139,565 141,787

334,668 336,255

the addition of £195,103 is payments towards the building of a new barge

this is not yet complete so is not being depreciated until the build is

complete.

6. Staff Costs Total Total

2016 2015

£ £

Wages and salaries 42,539 80,760

Social security costs 1,105 6,504 43,644 87,264

7. Debtors Total Total

2016 2015

£ £

Trade Debtors 8,180 7,250

8,180 7,250

11




8. Creditors: falling due within a year

Deferred income

Accruals

Taxation and social security

9. Related Parties

Total

2016

£

19,278

420

1,201

20,899

One trustee was remunerated a total of £7,460 (2015:£4, 715) for the time spent

providing sailing and mentoring services.

Mr R D Titchener is a party related to a trustee and earned wages in his capacity

as Executive Officer and Barge Skipper of £22,327 (2015: £24,060).

10. Summary of Funds

Brought Incoming Outgoing

Forward resources resources £ £ £

Unrestricted 10,720 109,307 81,212

Restricted 410,378 50,656 14,584

421,098 159,963 95,796

12

Total

2015

£

10,764

420

1,105

12,289

Carried

Forward

£

38,815

446,450

485,265




10. Summary of funds continued

Brought Restricted - Barge building fund Forward

£

The Eranda Foundation 50,000

T.K.Foundation 94,428

The Wates Foundation 10,000

The Bernard Sunley Charitable Trust 10,000

The Drapers Company 6,000

Anonymous Donation 40,000

Michael Everard 5,000

The Fishmongers Company 2,000

Garfield Weston Foundation 30,000

J Paul Getty jnr Charitable Trust 7,000

The Gosling Foundation 50,000

T.K. Foundation 7,950

Trinity House 25,000

Trusthouse Charitable Foundation 30,000

The Headley Trust 10,000

TTP group 5,000

The Swire Charitable Trust 5,000

Chris Livett 3,000

The Mirianog Trust 20,000

The Worshipful Company Weavers

Mike Connell

St James Place Foundation

Miscellaneous Donations under £1000

Port of London Authority

410,378

Incoming Outgoing

resources resources

£ £

50,000

94,428

10,000

10,000

6,000

22,470

15,000

15,000

1,000

2,500

6,280

10,000

49,780 192,898

These funds are being spent on the construction of a new barge, this is then being

capitalised so once the barge is built the total costs will be depreciated each year.

13

Carried

Forward

£

17,530

5,000

2,000

30,000

7,000

65,000

7,950

25,000

30,000

10,000

5,000

5,000

3,000

20,000

15,000

1,000

2,500

6,280

10,000

267,260




10. Summary of funds continued

Analysis of net assets (between restricted and unrestricted funds)Tangible Net

fixed current Total 2016 Total 2015

Restricted

Unrestricted

11. Company Limited by Guarantee

334,668

1,587

336,255

111,782

37,228

149,010

446,450

38,815

485,265

410,378

10,720

421,098

The charitable company is limited by guarantee and does not have share capital. In

the event of the company being wound up the liability of the members is limited to £10.

14

sailing trust · thanks to peter fitt, retiring trustee, replaced by peter maynard; to don ramsay...

Documents