REGISTERED COMPANY NUMBER: 02826331 (England and Wales) REGISTERED CHARITY NUMBER: 1022726
Report of the Trustees and
Audited Financial Statements for the Year Ended 31 August 2024
for
The Stanford Trust
(A Company Limited by Guarantee)
Nielsens Chartered Accountants
& Registered Auditors The Gatehouse 453 Cranbrook Road Ilford Essex IG2 6EW
The Stanford Trust
Contents of the Financial Statements for the Year Ended 31 August 2024
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 3 |
| Report of the Independent Auditors | 4 | to | 6 |
| Statement of Financial Activities | 7 | ||
| Balance Sheet | 8 | ||
| Cash Flow Statement | 9 | ||
| Notes to the Cash Flow Statement | 10 | ||
| Notes to the Financial Statements | 11 | to | 13 |
The Stanford Trust (Registered number: 02826331)
Report of the Trustees for the Year Ended 31 August 2024
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 August 2024. The trustees have adopted the provisions of 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) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES Objectives and aims
Objectives
The object for which The Stanford Trust ('the Trust') was established, as defined by the Memorandum of Association, dated 21 May 1993, is the advancement and support of education by making donations to support colleges of further education or universities including, in particular, the Leland Stanford Junior University ('Stanford University'), provided that the donations shall be made for the purposes of the colleges and universities which are purposes being charitable under the law of England and Wales.
Aims
The Trust aims to advance education through the provision of funding to Stanford University to support scholarships and other charitable activities.
Objectives and strategies
-To distribute income in the most effective way possible and to monitor the impact of grants made. -To increase the amount of income raised by the Trust.
Activities and public benefit
Income of £1,065,332 (2023 - £908,166) was raised during the year and £1,125,999 (2023 - £839,771) applied to the charitable purposes of the Trust. The Trust distributed grants to Stanford University to support its scholarship programmes and other educational activities, and the the Committee considers that its objectives have been adequately met during the year by making these funds available to Stanford University. The Committee confirms that it has has regard to the Charity Commission's guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities; and that they are of benefit to the wider public.
Grantmaking
Grants are made by the Trust to achieve its objects of advancing education through funding made available to higher education institutions and ultimately for public benefit. Grants are not made until these have been scrutinised and agreed by the trustees ('the committee'). The Trust concentrates on providing funding to Stanford University, and offers funding for focussed purposes, including the provision of scholarships for students attending this university.
Future plans
Through an enhanced fundraising policy, the Trust hopes to continue to increase the level of funds raised in the foreseeable future.
Financial position & review
The Trust is operated as a grant making charity and the Committee's policy is to distribute the income received in each financial year, and as such minimum reserves of no more than £5,000 are held. The Committee takes the view that as a grant making charity with no employees and minimal overheads there is limited need for the Trust to hold reserves. The Trust receives the bulk of its income as donations from individuals, many of whom are alumni of Stanford University. In the current year £1,125,999 has been donated by way of grants to Stanford University in order to advance the Trust's objectives. At the end of the year, The Trust had a surplus on reserves of £1077 (2023: £64,729).
STRATEGIC REPORT
Going concern
The financial statements have been prepared on a going concern basis as the committee believe that no material uncertainties exist. It has considered the level of funds held and the expected level of income and expenditure likely to be received in the 12 months period from authorising these financial statements.In its opinion, the budgeted income and expenditure, are sufficient with the level of balances for the charity to be able to continue as a going concern. The committee incurs financial commitments only when funds are available and there is no particular policy to hold reserve funds over and above the minimum required to meet administrative costs.
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The Stanford Trust (Registered number: 02826331)
Report of the Trustees for the Year Ended 31 August 2024
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing Documents
Legal Status
The Stanford Trust ('the Trust') is controlled by its governing document, deed of trust, and constitutes a company limited by guarantee, as defined by the Companies Act 1985, having been incorporated on 11 June 1993 (Co.No. 2826331) and it is registered as a charity (Registered Charity No. 1022726).The Trust is administered by a committee, whose members are its directors for the purpose of company law and its charity trustees for the purposes of charity law. The committee comprises of the trustees in office during the year as mentioned in the information section.
Recruitment and induction of Committee Members
The trust board of The Leland Stanford Junior University ("Stanford University"), as sole member of the Trust, appoints the members of the committee of the Trust at its Annual General Meeting. At each Annual General Meeting a third of the committee retires by rotation and may be re-appointed by Stanford University to serve for a further term of office. New committee members are requested to review the Charity Commission's guidance 'CC3: 'The Essential Trustee: what you need to know' and are briefed on and expected to be conversant with their responsibilities. They are also given a copy of the Memorandum and Articles of the Trust.
Decision making
Under the Articles of Association of the Trust, dated 21 May 1993, the Committee manages the activities of The Stanford Trust and is empowered to exercise all the powers of the Trust in pursuance of its objects. The Trust is a small organisation and has no employees, but it does have an administrator that works for the Trust on an ad hoc basis. The Committee takes all the decisions on the allocation of funding.
Related parties
The directors regard the trust board of Stanford University to be the company's ultimate controlling party. Stanford University, is also the main beneficiary of the chanty's grants and it bears the cost of the company's audit and accountancy fees and makes, contributions towards the company's bank charges from time to time. These contributions are shown as donated services of £2,740 (2023 - £1,740).
Risk management
The Committee considers that, as charity trustees of a grant-making charitable company which does not give advance funding commitments, their exposure to operational risks is minimal. The Committee members have reviewed the major risks faced by the Trust and are satisfied that steps have been taken to mitigate those risks.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered Company number
02826331 (England and Wales)
Registered Charity number
1022726
Registered office
19 Norcott Road London N16 7EJ
Trustees
J Good B H Pearson E Jonsson
Company Secretary
J Good
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The Stanford Trust (Registered number: 02826331)
Report of the Trustees for the Year Ended 31 August 2024
REFERENCE AND ADMINISTRATIVE DETAILS
Auditors
Nielsens Chartered Accountants & Registered Auditors The Gatehouse 453 Cranbrook Road Ilford Essex IG2 6EW
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees (who are also the directors of The Stanford Trust for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (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 charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
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there is no relevant audit information of which the charitable company's auditors are unaware; and
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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
AUDITORS
The auditors, Nielsens, will be proposed for re-appointment at the forthcoming Annual General Meeting.
Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 24 February 2025 and signed on the board's behalf by:
J Good - Trustee
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Report of the Independent Auditors to the Trustees of The Stanford Trust
Opinion
We have audited the financial statements of The Stanford Trust (the 'charitable company') for the year ended 31 August 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the charitable company's affairs as at 31 August 2024 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
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the charitable company has not kept adequate accounting records; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
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Report of the Independent Auditors to the Trustees of The Stanford Trust
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
Our responsibilities for the audit of the financial statements
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. Any fraud or irregularity of a material amount is likely to be detected whilst conducting our routine procedures.
Based on our understanding of the charity and the sector in which it operates, we identified that the principal risks of noncompliance with laws and regulations related to the acts by the charity, which were contrary to applicable laws and regulations including fraud, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements. We evaluated trustees' incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to inflated income.
Audit procedures performed included: review of the financial statement disclosures to underlying supporting documentation, enquiries of management and review of internal reports in so far as they related to the financial statements, and testing of journals and evaluating whether there was evidence of bias by the trustees that represented a risk of material misstatement due to fraud.
There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
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Report of the Independent Auditors to the Trustees of The Stanford Trust
Use of our report
This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Nielsens Chartered Accountants & Registered Auditors Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006 The Gatehouse 453 Cranbrook Road Ilford Essex IG2 6EW
24 February 2025
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The Stanford Trust
Statement of Financial Activities
(Incorporating an Income and Expenditure Account) for the Year Ended 31 August 2024
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Other income Total EXPENDITURE ON Charitable activities 3 Grants to Stanford University Other Total NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
31.8.24 Unrestricted fund £ 1,056,095 9,237 1,065,332 1,125,999 2,985 1,128,984 (63,652) 64,729 1,077 |
31.8.23 Total funds £ 908,166 - |
|---|---|---|
| 908,166 | ||
| 839,771 4,337 |
||
| 844,108 | ||
| 64,058 671 |
||
| 64,729 |
The notes form part of these financial statements
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The Stanford Trust (Registered number: 02826331)
Balance Sheet
31 August 2024
| 31.8.24 | 31.8.23 | ||
|---|---|---|---|
| Unrestricted | Total | ||
| fund | funds | ||
| Notes | £ | £ | |
| CURRENT ASSETS | |||
| Debtors | 9 | - | 62,079 |
| Cash at bank | 1,077 | 2,650 | |
| 1,077 | 64,729 | ||
| NET CURRENT ASSETS | 1,077 | 64,729 | |
| TOTAL ASSETS LESS CURRENT | |||
| LIABILITIES | 1,077 | 64,729 | |
| NET ASSETS | 1,077 | 64,729 | |
| FUNDS | |||
| Unrestricted funds | 1,077 | 64,729 | |
| TOTAL FUNDS | 1,077 | 64,729 |
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 August 2024.
The members have not deposited notice, pursuant to Section 476 of the Companies Act 2006 requiring an audit of these financial statements.
The trustees acknowledge their responsibilities for
(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
These financial statements have been audited under the requirements of Section 145 of the Charities Act 2011.
The financial statements were approved by the Board of Trustees and authorised for issue on 24 February 2025 and were signed on its behalf by:
J Good - Trustee
The notes form part of these financial statements
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The Stanford Trust
Cash Flow Statement
for the Year Ended 31 August 2024
| 31.8.24 | 31.8.23 | ||
|---|---|---|---|
| Notes | £ | £ | |
| Cash flows from operating activities | |||
| Cash generated from operations | 1 | (63,652) | 64,058 |
| Tax paid | 62,079 | (61,829) | |
| Net cash (used in)/provided by operating activities | (1,573) | 2,229 | |
| Change in cash and cash equivalents in | |||
| the reporting period | (1,573) | 2,229 | |
| Cash and cash equivalents at the | |||
| beginning of the reporting period | 2,650 | 421 | |
| Cash and cash equivalents at the end of | |||
| the reporting period | 1,077 | 2,650 |
The notes form part of these financial statements
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The Stanford Trust
Notes to the Cash Flow Statement
for the Year Ended 31 August 2024
1. RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES
| OPERATING ACTIVITIES | ||
|---|---|---|
| 31.8.24 | 31.8.23 | |
| £ | £ | |
| Net (expenditure)/income for the reporting period (as per the | ||
| Statement of Financial Activities) | (63,652) | 64,058 |
| Adjustments for: | ||
| Net cash (used in)/provided by operations | (63,652) | 64,058 |
2. ANALYSIS OF CHANGES IN NET FUNDS
| At 1.9.23 | Cash flow | At 31.8.24 | |
|---|---|---|---|
| £ | £ | £ | |
| Net cash | |||
| Cash at bank | 2,650 | (1,573) | 1,077 |
| 2,650 | (1,573) | 1,077 | |
| Total | 2,650 | (1,573) | 1,077 |
The notes form part of these financial statements
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The Stanford Trust
Notes to the Financial Statements for the Year Ended 31 August 2024
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
2. DONATIONS AND LEGACIES
| Donations Gift aid Donated services and facilities |
31.8.24 £ 1,028,770 24,585 2,740 1,056,095 |
31.8.23 £ 844,347 62,079 1,740 |
|---|---|---|
| 908,166 |
continued...
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The Stanford Trust
Notes to the Financial Statements - continued
for the Year Ended 31 August 2024
3. CHARITABLE ACTIVITIES COSTS
| Grants to Stanford University 4. GRANTS PAYABLE Grants to Stanford University 5. SUPPORT COSTS Finance £ Other resources expended 245 6. NET INCOME/(EXPENDITURE) Net income/(expenditure) is stated after charging/(crediting): Audit fees Other non-audit services |
31.8.24 £ 1,125,999 Governance costs £ 2,740 31.8.24 £ 1,300 1,440 |
Grant funding of activities (see note 4) £ 1,125,999 |
|---|---|---|
| 31.8.23 £ 839,771 |
||
| Totals £ 2,985 31.8.23 £ - 1,440 |
7. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 August 2024 nor for the year ended 31 August 2023.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 August 2024 nor for the year ended 31 August 2023.
8. STAFF COSTS
continued...
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The Stanford Trust
Notes to the Financial Statements - continued for the Year Ended 31 August 2024
9. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 31.8.24 | 31.8.23 | ||
|---|---|---|---|
| £ | £ | ||
| Gift-aid tax | - | 62,079 |
10. RELATED PARTY DISCLOSURES & ULTIMATE CONTROLLING PARTY
The directors regard the trust board of Stanford University to be the company's ultimate controlling party. Stanford University, is also the main beneficiary of the chanty's grants and it bears the cost of the company's audit and accountancy fees and makes, contributions towards the company's bank charges from time to time. These contributions are shown as donated services of £2,740 (2023 - £1,740).
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