Should our CIC choose Microsoft 365 or Google Workspace?
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David Partridge Director of Finance and People at Become Posted 3 hours ago
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We're revisiting the treatment of a few unrestricted grants where the funded delivery doesn't line up neatly with the year the income lands - for example, a grant received at year-end but where most of the delivery happens in the following financial year. Some of these grants also carry staged payments or progress reporting tied to agreed outcomes.
Our starting position has been recognition on receipt, on the basis that:
- The conditions operate between instalments, not on funds already received
- There's no barrier to entitlement once cash is paid
- There's no clawback tied to performance (aside from repaying unspent funds at grant-end)
But we want to properly test whether agreed outcomes attached to unrestricted funding can, in themselves, create conditions that affect income recognition - rather than assume they don't.
Separately, we're interested in the practical side of this:
- Is deferral of unrestricted income ever appropriate under SORP, and if so, what's the trigger?
- Has anyone's auditors required deferral on a grant that was technically unrestricted but had staged/reported conditions?
- Where a multi-year grant (say, £100k received in December to fund a two-year programme) is recognised in full in the statutory accounts on entitlement, do you profile it differently for internal fundraising budgets and reporting — showing only the portion relating to delivery in each financial year? If so, how do you explain the gap between the statutory position and the internal FR figures to trustees/budget holders?
- Any Charity Commission or FRS102-specific guidance that speaks to this directly?
Would really value hearing how others handle both the accounting judgement and the internal reporting side.
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