13/11/2024
Improving your charity’s annual report and accounts
The Office of the Scottish Charity Regulator (OSCR) highlights four key areas where charities can improve their annual reports and accounts, based on a review of 60 randomly selected charities:
Trustees’ Annual Report:
Many reports were either incomplete or missing important information. Charities should ensure the report fully explains their activities and impact, complying with all legal requirements.
Comparative Information:
Some charities failed to include previous year figures, making it harder to assess their financial performance. Providing this information is important for transparency and accuracy.
Reserves Policy:
Charities often lacked clarity on their reserves policies. They should explain their approach clearly, ensuring good financial management and governance.
Governing Documents:
Many charities, especially smaller ones, did not follow the requirements set out in their governing documents, such as ensuring audits or maintaining the correct number of trustees. Compliance with these rules is essential for proper charity management.
These improvements can help charities meet legal standards and ensure better governance.
Guidance: https://bit.ly/4e3L6BZ
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