Company no. 02661333 Charity no. 1006060
## **Paper Boat Ltd**
# **Report and Unaudited Financial Statements**
**31 March 2026**
## **Paper Boat Ltd**
## **Reference and administrative details**
|**For theyear ended 31**|**March 2026**||
|---|---|---|
|**Company number**|02661333||
|**Charity number**|1006060||
|**Registered office and**|Union House||
|**operational address**|111 New Union Street||
||Coventry||
||CV1 2NT||
|**Trustees**|Trustees, who are also directors under company law, who served during||
||the year and up to the date of this report were as follows:||
||Arun Chinnaraj||
||Bert O'Donoghue||
||Deborah Wetherall||
||Richard Proctor|(Resigned 24 April 2026)|
|**Bankers**|Co-Operative Bank PLC||
||Business Direct||
||PO Box 250||
||Skelmerdale||
||WN8 6WT||
|**Independent**|Godfrey Wilson Limited||
|**examiners**|Chartered accountants and statutory auditors||
||2nd Floor - South||
||One Castle Park||
||Tower Hill||
||Bristol||
||BS2 0JA||
1
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
The trustees present their report along with the financial statements of the charity for the year ended 31 March 2026.
Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
## **1.0 Trustees' Welcome**
Dear Supporters and Friends,
This year has been one of meaningful progress and deepened connection. Because of your generosity, children in some of the most marginalised communities in Tamil Nadu are safer, learning, creating and growing in confidence. You are helping nurture a generation of young leaders whose futures are brighter because you chose to give.
Our partnerships with CEDAR and DACS continue to demonstrate the power of long-term collaboration. Through their dedicated work, vulnerable children accessed education, healthcare, creative opportunities and strong community safeguarding structures. Behind every programme are individual stories of courage and possibility - stories made real through your support.
Over the past year we have focused not only on sustaining essential work but also on strengthening it for the future. In May 2025, our fundraising consultant travelled to India to work alongside our partners, helping them tell their stories more powerfully and build local fundraising confidence. This investment in capacity is about ensuring that the impact you support today continues for years to come.
We were also encouraged by developments at the Lingavadi Community Centre. Trustee Arun Chinnaraj, together with architect Jateen Lad, visited the site to review design progress and support the next stage of planning. This centre will become a permanent home for education, creativity and child rights advocacy - a lasting, community led legacy built through shared vision.
In January 2026, Trustee Deborah Wetherall spent time with our partners in India, who work at the heart of the most marginalised communities In Tamil Nadu. By meeting, children, facilitators and community leaders and delivering training and safeguarding reviews, she helped build capacity in our partners and deepen our understanding of the realities that they navigate each day.
Here in the UK, many of you joined us through the Festival of Wonder and our online Paint & Sip evenings. These creative gatherings brought supporters together in meaningful and uplifting ways, reminding us that community sits at the heart of Paper Boat while also raising vital funds for our partners.
We recognise that the charity landscape remains challenging. That is why we continue to steward resources carefully, reduce overheads and develop sustainable income streams - ensuring as much support as possible reaches the children and families who need it most.
Thank you for your trust, belief and enduring generosity. Your support sustains far more than programmes - it nurtures hope, dignity and opportunity.
2
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
Together, we will continue unlocking potential and shaping brighter futures.
With gratitude,
Bert O’Donoghue, Deborah Wetherall and Arun Chinnaraj.
Date: 24 June 2026
## **1.1 Objectives and activities**
The objectives of the charity are the prevention or relief of poverty and inequality by advancing formal and informal education, as well as developing capacity and skills for children and communities. This is achieved through the following activities:
- making grants to appropriate NGO’s overseas;
- providing programme and capacity building support;
- supporting partner organisations to network and collaborate; and
- other means which further our charitable objects for the public benefit.
The trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims and objectives and in planning future activities and setting the grant making policy for the year.
## **1.2 Vision, Mission, Purpose + Values**
## **Our Vision**
A world that unlocks the infinite potential of every child.
## **Our Mission**
To establish playful and creative learning spaces at the heart of communities through innovative partnerships.
## **Our Purpose**
To listen to young people – inspiring and enabling them to change their world.
## **Our Values**
Courage: child-centred.
Creativity: innovative action.
Collaboration: stronger together.
## **1.3 What we do**
## **Raising leaders**
Every afternoon from 5:00 PM to 7:00 PM our children's hubs open their doors to vulnerable children in the poorest communities of Tamil Nadu. In partnership with local leaders, we provide safe inspiring and loving spaces where children can discover their potential and begin shaping a brighter future.
3
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## **Lifting families**
When children connect with our hubs, we sometimes discover a deeper story - families struggling to survive because of illness, disability or the loss of a parent. For these households, daily life can feel impossible. Children need to know their families will be ok. That's why for families in crisis, we provide emergency food packages.
## **Community change**
Our work is driven by community leaders, many once children in our projects themselves. Their lives prove that with safety, creativity, and care, children can grow into powerful agents of change. Together with Child Rights committees, Parents Collectives and schools, they're building a movement where children's voices lead rights are defended and communities are transformed.
## **Urgent rescue and care**
Every year, babies and children in Tamil Nadu are abandoned or orphaned because of HIV. Many arrive at our doors in urgent need of life saving care. Through our specialist local partner, we rescue these children and surround them with the medical treatment, nutrition and loving care they need to survive - and to thrive.
## **2.0 Supporting Our Partners**
## **2.1 Visits to India**
Throughout the year, we remained deeply committed to strengthening our partners not only in programme delivery, but in the confidence and infrastructure that enable long-term impact.
In May 2025, our fundraising consultant, Lizzy Stanbrook, visited both CEDAR and DACS to help embed stronger storytelling practices and to support their long-term fundraising strategy. Her work focused on equipping teams to clearly articulate the difference their programmes make in the lives of children and families. Alongside this, she explored emerging fundraising pathways within India, supporting partners to diversify income streams and build greater financial resilience. The visit helped build confidence as well as capacity — strengthening teams’ ability to communicate their value with clarity and conviction.
This commitment to organisational resilience was further reflected in progress at the Lingavadi Community Centre site. During the year, Arun Chinnaraj and architect Jateen Lad visited the site to review and refine design plans and agree the next phase of development with local partners. Envisioned as a hub for education, creativity and community organising, the centre represents more than a building; it is a foundation for sustained opportunity and collective growth. Progress remains steady and encouraging, with strong local ownership guiding each step forward.
In January 2026, Trustee Deborah Wetherall travelled to India to deepen governance links and strengthen safeguarding practice. During her visit, she delivered facilitator training, reviewed programme delivery, and met with children, parents and community leaders. These conversations reaffirmed the importance of relational partnership — built on trust, accountability and shared purpose. Her visit not only strengthened oversight and support, but also affirmed the tangible and lasting impact of our collaborative work.
Together, these visits and investments demonstrate our belief that sustainable change depends on strong, confident and well-supported partners. By investing in people, systems and infrastructure, we are helping to ensure that impact endures far beyond individual projects.
4
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## **2.2 Safeguarding**
Safeguarding children and young people remains central to everything we do. We are deeply committed to creating safe environments and to continuous learning and improvement in our safeguarding practises. We are also confident that our partners share our values and uphold the same high standards.
During a recent visit by trustee Deborah Weatherall, updated safeguarding policies and procedures were shared with local leadership and staff, including a strengthened reporting mechanism for serious incidents available in local languages to ensure accessibility and clarity.
Training on online safety for children was delivered to programme staff, who engaged actively and will adapt the materials for use with children, facilitators and parents in future sessions. Safeguarding processes and reporting lines were also reviewed to confirm that staff understand how to raise concerns and that procedures remain clear and effective.
Overall, staff demonstrated strong awareness of safeguarding responsibilities and a commitment to maintaining safe environments for the children and families they serve. Ongoing follow-up and training are planned to continue strengthening safeguarding practice across the programme.
Jim Dyson from Emmaus Global continues to be our Designated Safeguarding Lead. The Board of Trustees maintain overall responsibility for safeguarding but are able to draw on Jim’s extensive expertise in global safeguarding.
## **3.0 Project updates**
## **3.1 DACS**
Our partnership with Dindigul AIDS Control Society (DACS) continues to help children affected by HIV to grow up safe, supported and hopeful. Through Anbagam Home, children receive consistent care, stay in education and get the health support they need to thrive. Anbagam Home is currently caring for 31 children and 10 young adults.
At Anbagam Home, DACS provides:
- Safe residential accommodation;
- Access to education across multiple school settings;
- Licensed clinical and medical support; and
- ▪ After-care schemes supporting transition to independence.
Even in a difficult funding environment, DACS continues to protect children’s rights and dignity - keeping care stable when families need it most.
Throughout the year, children at Anbagam benefited from regular health checks, medical camps and counselling, alongside practical learning on hygiene, personal safety and safeguarding. DACS also strengthened children’s learning and independence through life-skills sessions, digital learning and career guidance.
Children were encouraged to build confidence and leadership through Balasabha (children's democratic social forum) meetings, and many achieved strong results at school, moving on to higher studies and training and gaining recognition in school and sports. Cultural events, community links and local partnerships helped create a warm, consistent environment where children can feel safe, valued and connected.
5
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## **3.2 CEDAR**
Every afternoon, between 5–7pm, children walk into CEDAR’s Hubs across Tamil Nadu. For many, this is the safest and most supportive space in their day.
Because of donor support, these hubs are not simply after-school programmes. They are places where children are protected, encouraged, and given the chance to imagine a different future - one where they have a voice, confidence, and real opportunities.
Children growing up in poverty face multiple, overlapping challenges: unsafe environments, limited adult support, and barriers to learning. Without intervention, these factors reinforce cycles of disadvantage.
Over the past year, your support has helped ensure that children are not only accessing education - but also gaining the safety, confidence, and sense of belonging they need to thrive.
1. Children are safer and better protected CEDAR’s work, places safeguarding at its core. This year, children and families took part in sessions on child rights, health, nutrition, and emotional wellbeing.
Critically, this support extends beyond awareness. When six-year-old Bharathi stopped attending sessions, facilitators followed up and uncovered a serious medical condition and unsafe home environment. Through coordinated support, she accessed urgent medical care - demonstrating how early intervention can be life-changing.
While challenges remain in complex cases like this, it reflects the depth of care and persistence made possible through sustained funding.
2. Children are gaining confidence and finding their voice Across all centres, children are increasingly speaking up, expressing themselves, and taking leadership roles. Children are using theatre, photography, and storytelling to explore issues like gender inequality, safety, and identity.
They are presenting their ideas publicly - to parents, communities, and even policymakers. Two young people contributed to a state-level consultation on the Tamil Nadu school curriculum, sharing insights from their lived experience.
This is a significant shift - from children being passive recipients of support to active participants shaping their communities.
## 3. Learning outcomes are improving
Your support has enabled the development and refinement of foundational learning programmes in Tamil, Mathematics, and English. New learning materials have been tested and improved, leading to stronger conceptual understanding and better school performance.
Play-based English learning is helping children overcome fear and build confidence in speaking. Facilitators are continuously trained, ensuring consistent and high-quality delivery. Children are not only learning more - they are enjoying learning and engaging with it more confidently.
6
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## 4. Communities are stepping up for children
A key outcome this year has been the growth of community ownership. Parent Collectives are now active in multiple locations, advocating for children’s wellbeing. Parents have successfully worked with local government to improve lighting, sanitation, and learning environments. Families are contributing to programmes, organising events, and engaging in dialogue around social issues.
This shift means that impact extends far beyond the hubs - creating safer, more supportive environments for children at home and in their communities.
5. Children are becoming problem-solvers and leaders
Through Children’s Collectives, children are identifying challenges and taking action.
This year, children have:
- Secured resources such as emergency lights and learning materials;
- Approached local sponsors to improve their centres; and
- Led awareness campaigns on issues such as alcohol abuse and safety.
These experiences are building leadership, agency, and a belief that their voices matter.
## 6. Children’s voices are reaching wider audiences
Creative programmes have enabled children to share their perspectives with the world.
- Photography exhibitions and publications reached over 1,400 visitors, including schools, officials, and the public;
- Children’s work was showcased internationally through the Wonder Project exhibition in the UK; and
- Innovative initiatives like “Village Walk” transformed local spaces into public galleries.
For many children, this is the first time their ideas and experiences have been seen and valued beyond their immediate community.
## A Year of Learning and Growth
CEDAR continues to reflect and improve. This year, the team identified key challenges - including learning retention, parental engagement, and the complexity of safeguarding cases - and has taken proactive steps to address them.
Investments in training, programme design, and communication (including the development of a new Brand Booklet) are strengthening both delivery and long-term sustainability.
This year, CEDAR supported children across 13 centres, reaching hundreds of children and families daily. Over 300 children engaged in creative learning programmes, while public exhibitions amplified their voices to a wider audience. Alongside improved learning outcomes, children are increasingly stepping into leadership - mobilising community support, influencing local decision-making, and even contributing to state-level education policy.
This is more than programme delivery. It is the steady building of a movement - where children are not defined by their circumstances but empowered to change them.
7
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## **3.3 Lingavadi Community Centre**
The Lingavadi land purchase represents a transformative investment in community infrastructure.
## During the year:
- Arun Chinnaraj and architect Jateen Lad visited the site;
- Design development was reviewed and refined; and
- Next-phase planning was agreed with partners.
The centre is envisioned as a hub for education, creativity and community organising.
## Progress remains steady and encouraging.
## **4.0 Fundraising and community engagement**
## **4.1 Festival of Wonder**
The Festival of Wonder photo exhibition, which took place in Stroud, was a key moment in the year, led by Trustee Deborah Wetherall, whose vision and coordination helped bring the event to life. Across the weekend, visitors engaged with nine boards of photography - mainly created by children in CEDAR hubs - and a case study board that highlighted the purpose and impact of our work. The authenticity of the children’s images drew steady interest and encouraged meaningful conversations about creativity, safe spaces and our programmes in Tamil Nadu.
The exhibition also helped strengthen local connections, including with councillors, photographers and event organisers with links to Tamil Nadu. It generated strong fundraising outcomes, exceeding targets for new email sign ups and sparking interest in purchasing individual photographs.
Building on this momentum, we plan to host similar exhibitions in 2026 to grow public understanding, widen our supporter base and generate sustainable income. Overall, the event increased awareness of our work, expanded our community and celebrated the creativity and courage of the children at the heart of our partnership.
## **4.2 Paint & Sip online evenings**
Our online Paint & Sip evenings, launched in December, have proved to be a gentle and uplifting way for supporters to slow down and connect. These sessions invite people to pause, pick up a paintbrush and enjoy the simple pleasure of creating together. As conversations unfold, the space naturally opens for us to share stories from our partners in Tamil Nadu - stories of courage, imagination and the everyday moments that shape children’s lives. This blend of creativity and connection has drawn new supporters, deepened relationships with regular donors and offered a meaningful, low cost way to build community. We look forward to nurturing this initiative in the year ahead.
## **5.0. Financial review and sustainability**
Paper Boat remains financially stable and well positioned to support our partners into the future, although the year highlights the continuing need to strengthen recurring income streams.
Total income for the year was £27,825, comprising £19,409 from donations, £1,000 from legacies and £7,416 from investment income. Investment income included £6,029 in bank interest and £1,387 in rental income. Income was lower than the previous year due primarily to a reduction in legacy income and the cessation of rental income following the disposal of the charity's investment property.
8
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
Total expenditure amounted to £131,797. Of this, £81,432 was spent on charitable activities and £50,365 on raising funds. Direct grants to our partner organisations totalled £50,706, comprising £40,500 to CEDAR and £10,206 to DACS. Staff costs were significantly reduced during the year to £15,563, reflecting organisational restructuring and cost-control measures. We also changed our registered office during the year, contributing to reduced administrative expenditure. Further operational cost savings have been made in 2026 and will be reflected in next years accounts.
Expenditure exceeded annual income by £103,972, meaning that we continued to draw on reserves to sustain programme delivery and invest in fundraising and organisational development. While this position is manageable in the short term, increasing income remains a key priority for long-term sustainability.
A significant event during the year was the sale of our donated investment property. The property, previously held as an expendable endowment and valued at £341,043, was sold during the year. This has substantially strengthened our liquidity and reserves position, providing greater flexibility to support future charitable activities and strategic opportunities.
At 31 March 2026, total funds stood at £311,525, with the majority in interest bearing accounts. The trustees consider the charity's reserves position to be robust and significantly above the target reserves level of £30,000, which is intended to cover approximately three months of expenditure.
Looking ahead, the trustees remain focused on developing sustainable income streams through regular giving, community fundraising events, grant fundraising and supporter engagement initiatives. The Festival of Wonder exhibition and Paint & Sip events have demonstrated encouraging potential to attract new supporters and diversify income sources. With strong reserves, careful stewardship and a clear strategic focus, Paper Boat is well placed to continue supporting children and communities in Tamil Nadu while building a more resilient financial future.
## **5.1 Reserves policy**
The charity reserves refer to funds available and to be expended at the trustees discretion in furtherance of any of the charity’s objectives but which are not yet spent, committed or designated.
The charity needs reserves:
- to provide financial security to ensure smooth and adequate support from the Charity for its existing partners and current projects; and
- to enable the Charity to take advantage of unexpected changes or opportunities arising that would enhance its partners’ projects or improve the Charity’s capacity to support its partners.
The trustees have considered that a policy should be in place whereby the charity should aim to maintain a reserves corridor of £30,000 that would cover 3 months' expenditure. Unrestricted funds at 31 March 2026 were in excess of this target. These reserves are invested in interest-bearing accounts.
## **6.0. Governance**
## **6.1 Key information**
Paper Boat Ltd. is a company limited by guarantee and a registered charity governed by its Memorandum and Articles of Association. Charity number 1006060. Company number 02661333.
9
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
## **6.2 The Council of Management**
The directors of the charitable company (“the charity”) are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees. The trustees in office during the period and at the date of this report are set out on page 1. The Articles require that one third of the trustees retire in rotation and may offer themselves for re-election. The members of the charity attending the annual general meeting elect trustees annually.
Trustees are recruited to ensure the board is balanced and equipped to support the organisation. Most new trustees are already familiar with the practical work of the charity, they may be offered further induction. All trustees are given the opportunity of additional training where necessary.
As a charity accountable to all our donors, we must meet the requirement that our resources are carefully managed, and our legal responsibilities met. We can only achieve our vision as an organisation through skilled and committed people.
Trustees hold ultimate legal responsibility for the charity and collectively ensure delivery of our objectives, set our strategic direction, and uphold our beliefs as an organisation. The key responsibilities of the trustees are:
- development and review of the charity’s performance;
- setting objectives for the fundraising, including approval of annual budgets;
- approval of the annual report and financial statements;
- identification of and management of risks;
- appointment of sub committees and delegation of powers; and
- monitor compliance with both company and charity law.
Trustees receive regular reports on all aspects of the work and meet formally at least 4 times a year.
All trustees give of their time freely and no trustee remuneration was paid in the year.
## **6.3 Risk management**
The trustees have overall responsibility for ensuring that the charity has an appropriate system of controls, financial and otherwise. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reassurance that:
- its assets are safeguarded against unauthorised use or disposition;
- proper records are maintained and financial information used within the charity or for publication is reliable; and
- the charity complies with relevant laws and regulations.
The trustees actively review the major risks associated with raising funds and supporting overseas projects, which the charity faces on a regular basis and believe that by designating funds to reserves they have sufficient resources to mitigate the significant risks.
This has been particularly important in these times of economic downturn and trustees are continually monitoring the effect on our charity and its activities. Our banking arrangements and investment policies have been reviewed and trustees consider them appropriate for current and future needs.
10
## **Paper Boat Ltd**
## **Annual Report**
## **For the year ended 31 March 2026**
To conform with regulations the charity has in place effective policies. Due to the nature of the overseas projects the charity supports, trustees have encouraged those projects to put in place effective policies on child protection and its associated risks, which protect the children whom we support, and these requirements are captured by the due diligence checklist that all partners are assessed against on the commencement of partnership and annually thereafter.
## **Statement of responsibilities of the trustees**
The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing those financial statements the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- ▪ observe the methods and principles in the Charities SORP;
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable UK accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
## **Independent examiners**
Godfrey Wilson Limited were appointed as independent examiners to the charitable company during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 24 June 2026 and signed on their behalf by
## Bert O'Donoghue
Bert O'Donoghue - Trustee
11
## **Independent examiner's report**
## **To the trustees of**
## **Paper Boat Ltd**
I report to the trustees on my examination of the accounts of Paper Boat Ltd (the charitable company) for the year ended 31 March 2026, which are set out on pages 14 to 28.
## **Responsibilities and basis of report**
As the trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the charitable company 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 charitable company's accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- (1) accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act; or
- (2) the accounts do not accord with those records; or
- (3) the accounts 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
- (4) the accounts 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 accounts to be reached.
Date: 24 June 2026 **Robert Wilson FCA Member of the ICAEW Godfrey Wilson Limited** Chartered accountants and statutory auditors 2nd Floor - South One Castle Park Tower Hill Bristol BS2 0JA
12
## **Paper Boat Ltd**
**Statement of financial activities** _(incorporating an income and expenditure account)_
## **For the year ended 31 March 2026**
|Note
£
**Income and endowments from:**
Donations and legacies
3
-
Investments
4
-
**Total income and endowments**
-
**Expenditure on:**
Raising funds
-
Charitable activities
-
**Total expenditure**
6
-
Net losses on investments
13
-
**Net expenditure**
-
Transfers between funds
(341,043)
**Net movement in funds**
(341,043)
**Reconciliation of funds:**
Total funds brought forward
341,043
**Total funds carried forward**
-
Endowment|Unrestricted
£
£
780
19,629
-
7,416
780
27,045
-
50,365
780
80,652
780
131,017
-
-
-
(103,972)
-
341,043
-
237,071
-
74,454
-
311,525
Restricted|**2026**
**Total**
**£**
**20,409**
**7,416**
**27,825**
**50,365**
**81,432**
**131,797**
**-**
**(103,972)**
**-**
**(103,972)**
**415,497**
**311,525**|2025
Total
£
40,242
20,127|
|---|---|---|---|
||||60,369|
||||42,437
201,110|
||||243,547|
||||(56,957)|
||||(240,135)
-|
||||(240,135)
655,632|
||||415,497|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 18 to the accounts.
13
## **Paper Boat Ltd**
## **Balance sheet**
## **As at 31 March 2026**
|Note
**Fixed assets**
Tangible assets
12
Investment property
13
**Current assets**
Debtors
14
Current asset investment
15
Cash at bank and in hand
**Liabilities**
Creditors: amounts falling due within 1 year
16
**Net current assets**
**Net assets**
17
**Funds**
18
Endowment funds
Unrestricted funds
General funds
**Total charity funds**|**£**
**7,256**
**71,942**
**237,623**
**316,821**
**(5,296)**|**2026**
**£**
**-**
**-**
**-**
**311,525**
**311,525**
**-**
**311,525**
**311,525**|2025
£
-
341,043|
|---|---|---|---|
||||341,043
5,858
-
73,356|
||||79,214
(4,760)|
||||74,454|
||||415,497|
||||341,043
74,454|
||||415,497|
The directors are satisfied that the company is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477, and that no member or members have requested an audit pursuant to section 476 of the Act.
The directors acknowledge their responsibilities for:
- (i) ensuring that the Company keeps proper accounting records which comply with section 386 of the Act; and
- (ii) preparing financial statements which give a true and fair view of the state of affairs of the Company as at the end of the financial year and of its profit or loss for the financial year in accordance with the requirements of section 393, and which otherwise comply with the requirements of the Act relating to financial statements, so far as applicable to the company.
14
## **Paper Boat Ltd**
## **Balance sheet**
## **As at 31 March 2026**
These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.
Approved by the trustees on 24 June 2026 and signed on their behalf by
## Bert O'Donoghue
Bert O'Donoghue - Trustee
15
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **1. Accounting policies**
## **a) General information and basis of preparation**
Paper Boat is a charitable company limited by guarantee registered in England and Wales. The registered office address is Union House, 111 New Union Street, Coventry, CN1 2NT.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Paper Boat Ltd meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.
## **b) Going concern basis of accounting**
The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern.
## **c) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.
## **d) Donated services and facilities**
Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.
16
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
**1. Accounting policies (continued)**
## **d) Donated services and facilities (continued)**
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
## **e) Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.
## **f) Funds accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.
Donations required to be retained as capital in accordance with the donor's wishes are accounted for as endowments - permanent or expendable according to the nature of the restriction. Endowments and the subsequent increases and decreases in value are shown in the Statement of Financial Activities as part of those funds.
## **g) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **h) Allocation of support and governance costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on the proportion of staff time as follows:
||**2026**|2025|
|---|---|---|
|Raising funds|**40%**|40%|
|Charitable activities|**60%**|60%|
## **i) Grants payable**
Grants payable are charged in the year in which the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attached have been fulfilled. Grants offered subject to conditions at the year end are noted as commitment but are not accrued as expenditure.
17
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **1. Accounting policies (continued)**
## **j) Tangible fixed assets**
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
Computer equipment
5 years
Items of equipment are capitalised where the purchase price exceeds £500.
## **k) Investment property**
Investment properties are included in the balance sheet at their fair value (note 13). Investment properties are informally re-valued every year. Any aggregate surplus or deficit is included as an unrealised gain or loss within the appropriate fund.
## **l) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **m) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **n) Creditors**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **o) Financial instruments**
The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.
## **p) Pension costs**
The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.
## **q) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
18
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **1. Accounting policies (continued)**
## **q) Accounting estimates and key judgements (continued)**
- The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are depreciation as described in note (j) above and investment property revaluations as described in note (k) above.
## **2. Prior period comparatives: statement of financial activities**
|£
**Income from:**
Donations and legacies
-
Investments
-
**Total income**
-
**Expenditure on:**
Raising funds
-
Charitable activities
-
**Total expenditure**
-
Net losses on investments
(56,957)
(56,957)
Endowment
**Net expenditure and net movement in**
**funds**|Restricted
£
£
780
39,462
-
20,127
780
59,589
-
42,437
112,046
89,064
112,046
131,501
-
-
(111,266)
(71,912)
Unrestricted|2025
Total
£
40,242
20,127|
|---|---|---|
|||60,369|
|||42,437
201,110|
|||243,547|
|||(56,957)|
|||(240,135)|
## **3. Income from donations and legacies**
|Donations
Legacies
**Total income from donations and legacies**|Restricted
£
£
780
18,629
-
1,000
780
19,629
Unrestricted|**2026**
**Total**
**£**
**19,409**
**1,000**|
|---|---|---|
|||**20,409**|
19
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
|**For the year ended 31 March 2026**|||
|---|---|---|
|**3.**
**Income from donations and legacies (continued)**
**Prior period comparative:**
Donations
Legacies
Membership income
**Total income from donations and legacies**|Restricted
£
£
780
18,165
-
21,225
-
72
780
39,462
Unrestricted|2025
Total
£
18,945
21,225
72|
|||40,242|
**4. Investment income**
|Interest received
Rental income|**2026**
**Total**
**£**
**6,029**
**1,387**
**7,416**|2025
Total
£
6,821
13,306|
|---|---|---|
|||20,127|
All income from investment income in the current and prior year was unrestricted.
## **5. Government grants**
The charitable company did not receive any government grants in the current or prior year.
20
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **6. Total expenditure**
|**Total expenditure**|||||
|---|---|---|---|---|
|Grants payable (note 7)
Staff costs (note 10)
Rent and insurance
Postage and telephone
Travel and subsistence
Office costs
Independent examination fees
Other accountancy services
Legal and professional
Bank and investment
management fees
Fundraising costs
**Sub-total**
**Total expenditure**
Allocation of support and
governance costs|Raising
funds
£
-
5,622
-
-
-
-
-
-
34,320
-
871
40,813
9,552
**50,365**|Charitable
activities
£
50,706
6,898
-
-
-
-
-
-
9,500
-
-
67,104
14,328
**81,432**|Support and
governance
costs
£
-
3,043
1,142
307
2,809
5,751
3,540
1,150
4,661
1,477
-
23,880
(23,880)
**-**|**2026 Total**
**£**
**50,706**
**15,563**
**1,142**
**307**
**2,809**
**5,751**
**3,540**
**1,150**
**48,481**
**1,477**
**871**|
|||||**131,797**
**-**|
|||||**131,797**|
Total governance costs were £5,220 (2025: £3,240).
21
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
|**6.**
**Total expenditure (continued)**
**Prior period comparative**
Grants payable (note 7)
Staff costs (note 10)
Depreciation
Rent and insurance
Postage and telephone
Travel and subsistence
Office costs
Independent examination fees
Other accountancy services
Legal and professional
Bank and investment
management fees
**Sub-total**
**Total expenditure**
Allocation of support and
governance costs|Raising
funds
£
-
27,790
-
-
-
-
-
-
-
-
27,790
14,647
42,437|Charitable
activities
£
165,404
13,895
-
-
-
-
-
-
-
-
-
179,299
21,811
201,110|Support and
governance
costs
£
-
4,632
99
1,528
725
710
3,516
3,240
1,862
20,120
26
36,458
(36,458)
-|2025 Total
£
165,404
46,317
99
1,528
725
710
3,516
3,240
1,862
20,120
26|
|---|---|---|---|---|
|||||243,547
-|
|||||243,547|
22
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
|**7.**
**8.**
**9.**|**Grants payable**
Grants payable to institutions:
CEDAR
DACS
**Total grants payable**
**Grant commitments**
Grants payable:
Grant commitments brought forward
Grants committed during the period
Grants paid during the period
Grants written back during the period
**Grant commitments carried forward**
**Net movement in funds**
This is stated after charging:
Depreciation
Trustees' remuneration
Trustees' reimbursed expenses
Independent examiner's remuneration:
Independent examination (excluding VAT)
Other services (excluding VAT)|**2026**
**£**
**40,500**
**10,206**
**50,706**
**2026**
**£**
**-**
**50,706**
**(50,706)**
**-**
**-**
**2026**
**£**
**-**
**Nil**
**988**
**2,950**
**1,400**|2025
£
156,813
8,591|
|---|---|---|---|
||||165,404|
||||2025
£
-
165,404
(165,404)
-|
||||-|
||||2025
£
99
Nil
569
2,700
-|
During the year 1 trustee was reimbursed for travel expenses (2025: 2 trustees).
In common with other charities of our size and nature we use our independent examiners to assist with the preparation of the financial statements and to prepare and submit returns to the tax authorities.
## **10. Staff costs and numbers**
Staff costs were as follows:
|Salaries and wages
Pension costs|**2026**
**£**
**15,434**
**129**
**15,563**|2025
£
45,150
1,167|
|---|---|---|
|||46,317|
23
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **10. Staff costs and numbers (continued)**
Included in salaries and wages costs are redundancy costs totalling £2,157. These have been funded from unrestricted general funds.
No employee earned more than £60,000 during the current or prior year.
The key management personnel of the charitable company comprise the Trustees, the Director (until July 2025) and the Administrator. The total employee benefits of the key management personnel were £15,563 (2025: £46,317).
|Average head count|**2026**
**No.**
1.0|2025
No.
1.0|
|---|---|---|
## **11. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
## **12. Tangible fixed assets**
|**Cost**
At 1 April 2025 At 31 March 2026
**Depreciation**
At 1 April 2025
Charge for the year
At 31 March 2026
**Net book value**
**At 31 March 2026**
At 31 March 2025|**Total**
**£**
**1,470**|
|---|---|
||**1,470**
**-**|
||**1,470**|
||**-**|
||-|
## **13. Investment property**
|Market value at 1 April 2025
Disposals proceeds
Gains/(losses)
**Market value at 31 March 2026**|**2026**
**£**
**341,043**
**(341,043)**
-
**-**|2025
£
398,000
-
(56,957)|
|---|---|---|
|||341,043|
24
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **14. Debtors**
|**14. Debtors**|||
|---|---|---|
|Gift aid
Other debtors
**15. Current asset investments**
Cash held on deposit|**2026**
**£**
**7,187**
**69**
**7,256**
**2026**
**£**
**71,942**
**71,942**|2025
£
5,482
376|
|||5,858|
|||2025
£
-|
|||-|
## **16. Creditors : amounts due within 1 year**
|Trade creditors
Accruals
Other taxation and social security
**Analysis of net assets between funds**
£
Current assets
-
Current liabilities
-
**Net assets at 31 March 2026**
**-**
**Prior period comparative**
£
Investment property
341,043
Current assets
-
Current liabilities
-
**Net assets at 31 March 2025**
341,043
Endowment
funds
Endowment
funds|£
-
-
**-**
£
-
-
-
-
Restricted
funds
Restricted
funds|**2026**
**£**
**496**
**4,800**
**-**
**5,296**
£
316,821
(5,296)
**311,525**
£
-
79,214
(4,760)
74,454
General
funds
General
funds|2025
£
-
3,240
1,520|
|---|---|---|---|
||||4,760|
||||**Total**
**funds**
**£**
**316,821**
**(5,296)**|
||||**311,525**|
||||Total
funds
£
341,043
79,214
(4,760)|
||||415,497|
## **17. Analysis of net assets between funds**
25
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **18. Movements in funds**
|**Endowment funds**
Endowment property
**Total endowment funds**
**Restricted funds**
Tamil Nadu
**Total restricted funds**
General funds
**Total unrestricted funds**
**Total funds**
**Unrestricted funds**|At 1 April
2025
£
341,043
341,043
-
-
74,454
74,454
415,497|Income
£
£
-
-
-
-
780
(780)
780
(780)
27,045
(131,017)
27,045
(131,017)
27,825
(131,797)
Expenditure|£
(341,043)
Transfer
between
funds|**£**
**-**
**At 31**
**March**
**2026**|
|---|---|---|---|---|
||||(341,043)|**-**|
||||-|**-**|
||||-|**-**|
||||341,043|**311,525**|
||||341,043|**311,525**|
||||-|**311,525**|
## **Purposes of restricted funds**
## _**Endowment property**_
In April 2004 a leasehold property was donated to the charity. One of the conditions of the donation was that the donor continues to live in the property for the duration of her life, after which the Trustees are able to deal with the property in any manner. The Trustees had classified this as an expendable endowment fund which they considered to be more appropriate than restricted funds as they were unable to use the fund at the that time. During the year the property was sold, therefore the trustees deem the restriction on these funds to now be satisfied. A transfer has been made to transfer the value of this fund to unrestricted funds.
## _**Tamil Nadu**_
For the support of projects in Tamil Nadu, India for the prevention or relief of poverty and inequality by advancing formal and informal education for children as well as developing capacity and skills for children in need in Tamil Nadu, India, in such a way that they are better able to identify, and help meet, their needs and participate more fully in society for the public benefit.
26
## **Paper Boat Ltd**
## **Notes to the financial statements**
## **For the year ended 31 March 2026**
## **18. Movements in funds (continued) Prior period comparative**
|**Prior period comparative**
**Endowment funds**
Endowment property
**Total endowment funds**
**Restricted funds**
Tamil Nadu
**Total restricted funds**
General funds
**Total unrestricted funds**
**Total funds**
**Unrestricted funds**|At 1 April
2024
£
398,000
398,000
111,266
111,266
146,366
146,366
655,632|Income
£
£
-
-
-
-
780
(112,046)
780
(112,046)
59,589
(131,501)
59,589
(131,501)
60,369
(243,547)
Expenditure|At 31
March
2025
£
£
(56,957)
341,043
(56,957)
341,043
-
-
-
-
-
74,454
-
74,454
(56,957)
415,497
Gains/
Losses|At 31
March
2025
£
£
(56,957)
341,043
(56,957)
341,043
-
-
-
-
-
74,454
-
74,454
(56,957)
415,497
Gains/
Losses|
|---|---|---|---|---|
||||(56,957)|341,043|
||||-|-|
||||-|-|
||||-|74,454|
||||-|74,454|
||||(56,957)|415,497|
## **19. Related party transactions**
There were no related party transactions in the current or prior period.
27