Contingencies
It is important that your group has a suitable contingency fund in place to cover emergency expenses such as repairs or redundancies; this will be dependent on whether you own your own premises or how many staff you have and how long they have been working for you. However, as a general rule of thumb you should aim to have enough money in reserve to cover 3 months operating expenditure.
Remember, if you are a charitable group it is a requirement of the Charity Commission that you have a policy on the level of reserves and maintain a reserve budget.