18
Reserves deficits
Only two charities had funds in deficit and neither had
investments to rely upon. Both acknowledged some detail
within their disclosures, but one fell short of addressing all
issues.
Both charities outlined only annual aims each year, although
they both showed a high percentage of new aims each year,
which remained primarily external in focus.
Liquidity issues
Four charities were flagged for potential liquidity issues.
Only one had an adequate going concern disclosure
addressing these issues and their capacity to address them.
All four were in the highest income segment and two had
significant investments in the form of unrestricted funds.
In the two cases where disclosures fell short of detailing all
potential issues, strategies had not been adjusted over the
period. Both organisations had aims categorised as identical
year-to-year or substantively the same but rephrased,
which is an indication that aims had not been reviewed
considering changing circumstances.