1. Reporting, Recruitment and Raising Your Profile 24 th November 2015 C+T2

2. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Euan Morrison November 2015 Financial Reporting New Charity SORPs

3. Reporting, Recruitment and Raising Your Profile 24 th November 2015 UK Generally Accepted Accounting Practice Financial Reporting Standard (FRS) 102 Accounting periods “beginning on or after 1 January 2015” Reporting | New Charity SORPs mated Image/Text Background December year endMarch year end December 2015 accountsMarch 2016 accounts December 2014 comparativesMarch 2015 comparatives

4. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Financial Reporting Standard for Smaller Entities (FRSSE) “Small company” threshold Only available for one year! One to support users of Financial Reporting Standard (FRS) 102 Any charity can choose to apply FRS 102 Two Col Bullets Two SORPs?

5. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Trustees’ Report Going concern uncertainties Reserves if holding them deemed unnecessary Comparison actual vs policy Pension liability impact

6. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Trustees’ Report (continued) Financial effect of significant events Factors affecting financial performance Principal risks and uncertainties – identify and plans Key management personnel remuneration policy

7. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Statement of Financial Activities - SOFA Changes in terminology and headings Movement of “Gains/losses on investments” line to above “Net income/expenditure” (not FRSSE SORP) Governance costs are no longer a separate SOFA heading (treated instead as component of Support Costs) Comparatives required for all items in the SOFA (can be in notes) Statement of cash flows (not FRSSE SORP)

8. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Statement of Financial Activities - SOFA

9. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Statement of Financial Activities - SOFA

10. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Statement of Financial Activities - SOFA

11. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Balance sheet Mixed use properties – apportion rather than “main use” (not if undue cost or effort) Properties occupied by other group entities – treat as investment properties (not FRSSE) Debtors due after more than one year – discount if time value of money material (not FRSSE) Lease incentives – period over which accounted for (not FRSSE)

12. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Accounting treatments – income recognition Income should be recognised when receipt is probable – “more likely than not” Income from donated goods for sale or distribution is recognised when received at its fair value If impractical they should be recognised as income when sold or distributed (current treatment in SORP 2005)

13. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Accounting treatments – expenditure recognition Accrual for holiday pay, if material (not FRSSE) Discounting of liabilities - present value of future payments (not FRSSE) Basic financial instruments e.g. cash, debtors, creditors, qualifying long term loans Non-basic financial instruments e.g. swaps, hedges, forward contracts

14. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Pension schemes Defined contribution Defined benefit – liability already on balance sheet “FRS17” Defined benefit – multi-employer, liability currently not on balance sheet ………….. change! (not FRSSE)

15. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Disclosure changes Trustee and staff remuneration (not FRSSE) Key management personnel remuneration Redundancy and termination payments Grant disclosures Trustee transactions (not FRSSE)

16. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

17. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

18. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

19. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

20. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness & knowledge Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

21. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs Two Col/Animated bullets Implementation planning Awareness & ownership Allocate time & resource Which SORP to use? Gather information Template accounts / restatement

22. Reporting, Recruitment and Raising Your Profile 24 th November 2015 Reporting | New Charity SORPs The SORP micro-site : www.charitysorp.orgwww.charitysorp.org Full copies of the SORPs Help sheets Customise your own SORP Example accounts Advisers Webinars Seminars Two Col/Animated bullets Resources

23. Recruitment & Retention in Charities 24 November 2015 Hannah Roche – MBM Commercial LLP/Holistic HR

24. Recruitment Finding the right person for your organisation isn’t easy More challenging in the charities sector Stiff competition from the private and public sectors…

25. Recruitment – consider strategy Consider timing, job description, person spec Search strategy – online, social media, trade press, employee/personal contacts Bespoke recruitment website? Look outside the sector – cast the net wide…

26. Recruitment – your brand Sell your employer brand in your job advert – Be clear about flexible working – Make clear your values/culture – Include a link to more info

27. Recruitment – interview process Evaluate applicants against criteria/competencies Questions at interview should test competencies Consider case-study/role play/pitch Consider use of psychometric testing/OPQ Offer job subject to references and full contract

28. Retention

29. Retention – what can you offer? Charities can’t rely solely on commitment to a cause Offer competitive perks – they don’t have to cost a lot – e.g. retail discounts, gym membership

31. Question 1: A: Virgin B: Thomson Holidays C: Ryanair D: British Airways

32. Question 2: A: MBM Commercial B: Apple C: Facebook D: RBS

33. Question 3: A: MoneySupermarket B: Trailfinders C: STA Travel D: Skyscanner

34. Question 4: A: DFS B: Linkedin C: Costa D: American Express

35. Question 5: A: Deloitte B: Ernst and Young C: PwC D: KPMG

36. Question 6: A: NHS B: Google C: John Lewis D: Dreams

37. Question 7: A: M&Ms B: Domino’s C: Hershey’s D: McDonalds

38. Question 8: A: Toyota B: BMW C: Volkswagen D: Ford

39. Question 9: A: BBC B: Blockbuster C: Netflix D: Odeon Cinemas

40. Employee Happiness Staff retention is intrinsically linked to happiness at work

41. So what makes employees happy? A positive culture! Culture is crucial to all organisations large or small…..

42. So what makes employees happy? Strong values Strong values are key to culture Every organisational decision must align with values

43. Why is employee happiness good for employers? Happy employees are more productive (by 12%), contribute more, make better decisions And happy staff improve your employer brand, attracting more talent Retention rates improve, turnover rates decrease

44. The Intangibles: recognition, support, meaningful work…

45. Communication & Consultation

46. Well-being

47. Career Progression/Personal Development

48. Work/Life Balance

49. Hannah Roche Head of Employment Law and Holistic HR MBM Commercial LLP hannah.roche@mbmcommercial.co.uk 0131 226 8216