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The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Directors' Report and Financial Statements for the year ended 31 December 2013

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Contents Page

Directors and other information

Directors' Report

Independent Auditors' Report

Income and Expenditure Account

Balance Sheet

Cash Flow Statement

Notes to the Financial Statements

Operating Statement

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Directors and other information

Directors

Liz Carroll Ann-Marie Kilshaw Mark Bennett Peter Byrne

Secretary

Liz Carroll

Date of Incorporation

24 April 1985

Registered Office

26 Clare Street Dublin 2

Business Address

Ther Greenhouse 17 St. Andrews Street Dublin 2

Auditors

LHM Casey McGrath Chartered Certified Accountants Statutory Audit Firm 6 Northbrook Road Dublin 6

Bankers

Bank of Ireland College Green Dublin 2

Solicitors

Lee & Sherlock Unit 5A, Groud Floor Block F, Nutgrove Office Park Rathfarnham Dublin 14

Registered Number

106860

Page 1

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Directors' Report for the year ended 31 December 2013 The directors present their report and the financial statements for the year ended 31 December 2013. Principal Activity The principal activity of the company is to promote the personal development of young people through pratical envirnomental conservation, education and training activities. The company is a registered charity under the Charities Act, 1973. Review of Activity and Future Developments Both the level of activity and the year end financial position were satisfactory and the directors expect that the present level of activity will be sustained for the foreseeable future. Results For the Year The surplus/(deficit) for the year after providing for depreciation and taxation amounted to â‚Ź69,279 (2012: (â‚Ź15,722)). Surpluses are retained for the future promotion of personal development of young people through practical envirnomental conservation, education and training activities and dividends are not paid. Principal Risks and Uncertainties The directors have responsibility for, and are aware of the risks associated with the operational activities of the company. They are confident that adequate systems of internal control provide reasonable assurance against such risks. The internal control systems aim to ensure compliance with laws and policies, ensure efficient and effective use of the company's resources, safeguards the company's assets, and maintains the integrity of the financial information produced. Financial information is subject to detailed and regular review at director level allowing for continuous monitoring of the company's operations and financial status. The directors continuously monitor and plan for the financial sustainability of the organisation in an ever changing external environment. In addition to the application of internal procedures the company is subject to statutory external audit, with rigorous reporting to external funders. The company has developed procedures and practices throughout the organisation to ensure compliance with funders rules and regulations. The company will continue to improve these systems to ensure it maintains the highest standard of transparency and accountability. Directors In accordance with the Articles of Association, at each Annual General Meeting all members of the National Council shall retire from office. Directors and their Interests The organisation was incorporated for charitable purposes, is limited by guarantee and does not have a share capital. Every member is liable for the debts and liabilities of the organisation in the event of a winding up of such amount as may be required but may not exceed â‚Ź1.27.

Page 2

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Directors' Report for the year ended 31 December 2013 Political contributions The company made no political donations during the year, as defined by the Electoral Act 1997. Going Concern The directors consider that the organisation has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Directors' Responsibilities Statement The directors are responsible for preparing the Directors' Report and the financial statements in accordance with applicable Irish law and Generally Accepted Accounting Practice in Ireland including the accounting standards issued by the Financial Reporting Council. Irish company law requires the directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the company and of the surplus or deficit of the company for that period. In preparing these financial statements, the directors are required to: •

select suitable accounting policies and then apply them consistently;

•

make judgments and accounting estimates that are reasonable and prudent;

•

state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

•

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors confirm that they have complied with the above requirements in preparing the financial statements. The directors are responsible for keeping proper books of account that disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Acts 1963 to 2013. 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.

Page 3

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Directors' Report for the year ended 31 December 2013 Books of account The measures taken by the directors to ensure compliance with the requirements of Section 202 of the Companies Act 1990, regarding proper books of account are the implementation of necessary policies and procedures for recording transactions, the employment of competent accounting personnel with appropriate expertise and the provision of adequate resources to the financial function. The books of account of the company are maintained at The Greenhouse, 17 St. Andrew Street, Dublin 2. Auditors The auditors, LHM Casey McGrath, have indicated their willingness to continue in office in accordance with the provisions of Section 160(2) of the Companies Act 1963. This report was approved by the board on

__________________________ Liz Carroll Director

and signed on its behalf.

__________________________ Ann-Marie Kilshaw Director

Page 4

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Independent Auditors' Report to the Members of The Irish Environmental Convervation Organisation for Youth Unesco Clubs Limited We have audited the financial statements of The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited for the year ended 31 December 2013 which comprise the Profit and Loss account, the Balance Sheet, the Cashflow Statement and the related notes. The financial reporting framework that has been applied in their preparation is Irish Law and accounting standards issued by the Financial Reporting Council (Generally Accepted Accounting practice in Ireland). This report is made solely to the company's members as a body in accordance with the requirements of Section 193 of the Companies Act 1990. Our audit work has been undertaken so that we might state to the company's members those matters that we are required to state to them in the audit report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company or the company's members as a body for our audit work, for this report, or for the opinions we have formed. Respective responsibilities of directors and auditors As explained more fully in the Directors' Responsibilities Statement set out on page 3 the directors are responsible for the preparation of the financial statements giving a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with Irish law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Boards - Ethical Standards for Auditors. Scope of the audit of the financial statements An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the company's circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the directors; and the overall presentation of the financial statements. In addition, we read all the financial and non-financial information in the Directors Report and Financial Statements to identify material inconsistencies with the audited financial statements. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report. Opinion On Financial Statements In our opinion the financial statements: •

give a true and fair view, in accordance with Generally Accepted Accounting Practice in Ireland, of the state of the company's affairs as at 31 December 2013 and of its results and cash flows for the year then ended; and

•

have been properly prepared in accordance with the Companies Acts 1963 to 2013 and all regulations to be construed as one with those acts.

Matters on which we are required to report by the Companies Acts 1963 to 2013 We have obtained all the information and explanations we consider necessary for the purposes of our audit. •

In our opinion proper books of account have been kept by the company.

•

The financial statements are in agreement with the books of account.

•

In our opinion the information given in the directors' report is consistent with the financial statements.

Page 5

Matters on which we are required to report by exception We have nothing to report in respect of the provisions in the Companies Acts 1963 to 2013 which require us to report to you if, in our opinion the disclosures of the directors' remuneration and transactions specified by law are not made. Damien Kealy for and on behalf of

LHM Casey McGrath Chartered Certified Accountants Statutory Audit Firm 6 Northbrook Road Dublin 6 Date:

Page 6

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Income and Expenditure Account for the year ended 31 December 2013

Note

2013 â‚Ź

2012 â‚Ź

Income resources-continuing activities Grants from government and other co-funders

527,048

559,105

Other income

34,584

100,047

561,632

659,152

(79,510)

(74,208)

(416,215)

(602,453)

Total incoming resources Resources expended Programmes and services Management and administration Net income / (expenditure) from operating activities

65,907

(17,509)

Interest receivable and similar income

3,372

1,787

69,279

(15,722)

Net incoming/expended resources

69,279

(15,722)

Total funds at beginning of year

186,432

202,154

Total funds at end of year

255,711

186,432

There are no recognised gains or losses other than those disclosed above and there have been no discontinued activities or acquisitions in the current or preceding periods. Signed on behalf of the board

___________________________ Liz Carroll Director

___________________________ Ann-Marie Kilshaw Director

Date: The notes on pages 10 to 16 form part of these financial statements.

Page 7

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Balance Sheet as at 31 December 2013

Note

€

2013 €

€

2012 €

Fixed Assets Tangible assets

20,791

5,051

Current Assets Debtors

21,690

12,929

956,789

889,541

978,479

902,470

(243,559)

(221,089)

Cash at bank and in hand

Creditors: amounts falling due within one year

Net Current Assets

734,920

681,381

Total Assets Less Current Liabilities

755,711

686,432

Restricted funds

500,000

Unrestricted funds

255,711

186,432

755,711

686,432

Funded by

Total Funds

Signed on behalf of the board:

_________________________ Liz Carroll Director

_________________________ Ann-Marie Kilshaw Director

Date:

Page 8

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Cash Flow Statement for the year ended 31 December 2013

Note

2013 â‚Ź

2012 â‚Ź

Net cash movement from operating activities

84,451

25,607

Returns on investments and servicing of finance

3,372

1,787

Capital expenditure and financial investment

(20,575)

(4,289)

67,248

23,105

Net funds at 1 January 2013

889,541

866,436

Net funds at 31 December 2013

956,789

889,541

Movement in cash in the year

The notes on pages 10 to 16 form part of these financial statements.

Page 9

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Notes to the Financial Statements for the year ended 31 December 2013 1.

Accounting Policies The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements. 1.1 Accounting convention The financial statements are prepared in accordance with generally accepted accounting principles under the historical cost convention and comply with financial reporting standards of the Accounting Standards Board. 1.2 Income Income represents the total value, excluding value added tax, of funding contributions received or receivable during the year. Discretionary donations are recognised as having been received when duly acknowledged by an appointed officer of the organisation. 1.3 Tangible fixed assets and depreciation Tangible fixed assets are stated at cost or valuation, less accumulated depreciation. Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows: Motor vehicles Fixtures and fittings Computer equipment

12.5% 25% 33.3%

1.4 Leasing Rentals payable under operating leases are charged against income on a straight line basis over the lease term.

1.5 Taxation As the Company is unregistered for Value Added Tax, expenditure, assets and liabilities are stated inclusive of this irrecoverable taxation where applicable. No provision for corporation tax is made in the Financial Statements, as the Company is exempt from Corporation tax on its surplus and chargeable gains.

1.6 Foreign currencies Transactions in foreign currencies are recorded at the rate ruling at the date of the transactions or at a contracted rate. The resulting monetary assets and liabilities are translated at the balance sheet rate or the contracted rate and the exchange differences are dealt with in the income and expenditure account. 1.7 Government grants Grants are credited to deferred revenue. Grants towards capital expenditure are released to the income and expenditure account over the expected useful life of the assets. Grants towards revenue expenditure are released to the income and expenditure account as the related expenditure is incurred. 1.8 Restricted Reserves Restricted reserves are maintained at a level which ensures that the organisation's core activity could continue during a period of unforeseen difficulty. Restricted reserves for this purpose are calculated as the estimated running costs of the organisation for a period of 12 months. The reserves are maintained for organisational development, a key part of which includes a building purchase fund for the organisation. The amount of reserves required for this purpose are reviewed on an annual basis by the board of directors.

Page 10

Limited by Guarantee The organisation was incorporated for charitable purposes, is limited by guarantee and does not have a share capital. Every member is liable for the debts and liabilities of the Company in the event of a winding up for such amount as may be required but not to exceed €1.27.

Income Income comproses of Grants from Government and other co-funders

Income resources - continuing activities Dept.of Environment, Community & Local Government -rent subvention Grants from government and other co-funders Other Income

2013 €

2012 €

529,048 32,584

145,000 414,105 100,047

561,632

659,152

2013 €

2012 €

4,835 3,493

2,468 3,493

25,000

221,527

2013 €

2012 €

3,372

1,787

Operating surplus/(deficit) Operating surplus/(deficit) is stated after charging:

Depreciation of tangible fixed assets: - owned by the company Auditors' remuneration Operating lease rentals: - land and buildings

Interest receivable and similar income

Bank Interest

Page 11

Employees Employment costs were as follows:

Wages and salaries Social welfare costs

2013 â‚Ź

2012 â‚Ź

298,201 30,616

290,415 29,717

328,817

320,132

The average monthly number of employees, including the directors, during the year was as follows:

Training and Activities Administration National Director

2013 No.

2012 No.

8 1 1

Directors' emoluments The Directors do not receive any remuneration or compensation in relation to the performance of their office.

Page 12

Tangible assets Motor vehicles €

Fixtures and fittings €

Computer equipment €

Total €

At 1 January 2013 Additions

17,000

8,529 1,164

22,019 2,411

30,548 20,575

At 31 December 2013

17,000

9,693

24,430

51,123

At 1 January 2013 Charge for the year

2,125

3,974 1,430

21,523 1,280

25,497 4,835

At 31 December 2013

2,125

5,404

22,803

30,332

14,875

4,289

1,627

20,791

4,555

496

5,051

Cost

Depreciation

Net book value At 31 December 2013 At 31 December 2012

Debtors 2013 €

2012 €

20,226 1,464

11,840 1,089

21,690

12,929

Amounts falling due within one year: Trade debtors Prepayments and accrued income

Page 13

Creditors: Amounts falling due within one year 2013 €

2012 €

7,561 235,998

5,123 215,966

243,559

221,089

2013 €

2012 €

7,561

5,123

2013 €

2012 €

Unrestricted funds 1 January 2013 Surplus/(deficit) for the financial year

186,432 69,279

202,154 (15,722)

Unrestricted funds 31 December 2013

482,297

186,432

2013 €

2012 €

Restricted Funds 1 January 2013 Transfer from unrestricted funds

500,000 -

Restricted Funds 31 December 2013

500,000

Other taxes and social welfare costs Accruals and deferred income

Other taxes

P.A.Y.E/P.R.S.I

11.

Reconciliation of movement in members' funds

Page 14

Financial commitments At 31 December 2013 the company had annual commitments under non-cancellable operating leases as follows: Land and buildings 2012 2013 € € Expiry date: 25,000 10,416

Within 1 year Between 2 and 5 years

25,000 35,416

The organisation currently occupies part of the property at 17 Saint Andrew Street, Dublin 2. The annual rental charge from the Office of Public Works (OPW) in regard to the entire property is currently set at €340,000 part of which is subvented by the Department of the Environment, Community and Local Government (DoECLG). This matter is the subject of ongoing discussions and negotiations with the DoECLG and the OPW. The company entered into this agreement as joint tenants and on terms which resulted in a net rental obligation of €25,000 per annum.

13.

Ultimate parent undertaking The ultimate controlling parties of the organisation are the members themselves.

14.

15.

Net cash movement from operating activities 2013 €

2012 €

Operating surplus/(deficit) Depreciation of tangible fixed assets Loss on disposal of tangible fixed assets Movement in debtors Movement in creditors

65,907 4,835 (8,761) 22,470

(17,509) 2,468 1,415 38,660 573

Net cash movement from operating activities

84,451

25,607

2013 €

2012 €

3,372

1,787

2013 €

2012 €

(20,575)

(4,289)

Analysis of cash flows for headings netted in cash flow statement

Returns on investments and servicing of finance Interest received

Capital expenditure and financial investment Payment to acquire tangible fixed assets

Page 15

Analysis of cash flows for headings netted in cash flow statement (continued)

16.

Analysis of changes in net funds

17.

1 January 2013 €

Cash flow

Other non-cash changes

€

Cash at bank and in hand

889,541

67,248

956,789

Net funds

889,541

67,248

956,789

Approval of financial statements The board of directors approved these financial statements for issue on

Page 16

31 December 2013 €

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited Appendix 1 The following pages do not form part of the audited financial statements.

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital)

Detailed Trading and Profit and Loss Account for the year ended 31 December 2013 2013 â‚Ź

2012 â‚Ź

561,632

659,152

Programmes and services

(79,510)

(74,208)

Management and administration

(416,215)

(602,453)

65,907

(17,509)

3,372

1,787

69,279

(15,722)

Page Income Less: Overheads

Operating surplus/(deficit) Interest receivable

Net surplus/(deficit) for the year

Page 18

The Irish Environmental Convervation Organisation for Youth - Unesco Clubs Limited (A company limited by guarantee and not having a share capital) Schedule to the Detailed Accounts for the year ended 31 December 2013 2013 â‚Ź

2012 â‚Ź

64,310 57,987

172,632 -

121,179

134,643

73,162 70,000 61,049 81,361 32,584

75,736 64,916 145,000 41,914 24,311

561,632

659,152

Income Grants from government and other co-funders Leargas Deprtment of Children and Youth Affairs - Youth Service Grant CDYSB - Young Peoples Facilities and Services Fund - YP2 Irish Aid - Development Educaton Grant Scheme Dept of the Envirnoment, Community & Local Government - Rent subvention FAS Greenpathways Other Income Other income - Domestic

Page 19

2012 €

79,510

74,208

2013 €

2012 €

298,201 30,616 415 8,709 1,466 9,455 4,879 563 3,738 3,493 536 892 25,000 13,434 3,448 2,125 1,280 1,430 4,556 1,683 182 114

290,415 29,717 106 9,469 1,012 1,665 6,347 1,160 1,899 3,493 665 1,977 221,527 16,129 2,302 3,893 950 1,518 1,415 4,905 1,488 150 251

416,215

602,453

Programmes and services Programmes and services

Management and administration Core wages Employers PRSI contributions Staff training Staff welfare Entertainment Printing and stationery Telephone and fax General office expenses Advertising Auditors' remuneration Bank interest and charges General expenses Rent payable Light and heat Insurance Repairs and maintenance Depreciation on motor vehicles Depreciation on computer equipment Depreciation on fixtures and fittings Profit/loss on sale of tangible assets Consultancy fees Membership Couriers Recycling

Page 20

2012 â‚Ź

3,372

1,787

Interest receivable Bank interest received

Page 21

2012 €

73,162

73,756

73,162

73,756

2013 €

2012 €

48,390

53,389

7,825 640 1,098 353 5,450 1,672 775 615 360 588 390 321 87

8,521 620 1,147 548 5,270 1,432 678 554 207 501 475 320 -

135

68,699

73,756

4,463

Income Young Peoples Facilities and Services Fund - YP2 CDYSB paying agency

Expenditure Salaries Programme Expenses Programme costs Travel and Subsistence Administration Training Rent Heating and Electricity Insurance Materials Publicity IT Costs Communications Audit fee Bank Charges Recruitment Total Expenditure

Surplus

Page 22