The trustees present their annual report and financial statements for the year ended 30 April 2021.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's memorandum and articles , the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016)
The objectives of "We The Change" Foundation is to aid causes such as, but not limited to: the prevention or relief of poverty, the relief of financial hardship and the advancement of education in Kenya.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
The board have not formally defined a reserves policy.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
During the year the charity continued to support the project in Kenya, the Mathare Early Childhood Development Centre, the trustees pledged £1 9,607 (20 20 £10,156 ) a donation to the charity .
The charity is a company limited by guarantee .
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
New trustees are appointed on the basis of the level of skill and knowledge required by the charity and their knowledge of Kenya.
The board of trustees is the responsible body of the charity and decides upon strategies and exercises management oversight of the charity. the day to day running of the organisation is carried out by an executive director (unpaid) and by part time and freelance staff, all of whom are required to, and make regular reports to, the board of trustees.
There are no related parties of the charity.
The trustees r eport was approved by the Board of Trustees.
I report to the trustees on my examination of financial statements of "We The Change" Foundation for the year ended 30 April 2021.
As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
"We The Change" Foundation is a private company limited by guarantee incorporated in England and Wales. The registered office is 5 Brogden Street, Ulverston, Cumbria, LA12 7AH.
The accounts have been prepared in accordance with the Charity's governing document, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Cash and cash equivalents include cash in hand, deposits held at call with banks, project bank account overseas, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Donations include £1 9,607 (20 20 £10,156 ) amounts pledged by a trustee Soiya Gecaga.
Staff costs
Staff costs
Staff costs
Licence and permit
Feeding programme
Teaching aids
Exam and graduation expenses
Rent
Garbage Collection
Incentives
Travel
Bank charges
Repair & maintenance
Governance costs includes payments to the Independent Examiners in respect of the examination.
Other debtors include £9,400 amounts pledged by a trustee Soiya Gecaga.
The charity's bank account was closed, by the bank, on 7 June 2016 at which point the balance stood at £10,140. The former bank prepared a cheque for this amount to be paid into the charity's new bank account. there have been significant delays in getting the new bank account opened and, as of the date of the signing of the accounts, the new bank account has not yet been opened.
As a result of the delay, of more than three years, the decision has been made to write-off the balance of the former bank account. This will be reversed as and when the new bank account is opened. The former bank have confirmed that they will re-issue the cheque for the balance on the old account as soon as the new account is opened.
All expenditure incurred since the closure of the old bank account has been financed directly by a donor to the charity or by the Executive Director.
Donations include £1 9,607 (20 20 £10,156 ) amounts pledged by a trustee Soiya Gecaga.