2020-12-31-accounts

SPARROW SCHOOLS FOUNDATION ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2020 Charity No: 1082286

SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

CONTENTS

Trustees and advisers	1
Trustees' report	2-5
Independent examiner's report	6
Income & Expenditure	7
Balance sheet	8
Notes to the Financial Statements	9-11

SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

TRUSTEES AND ADVISERS

TRUSTEES

Lisa Burnapp (Chairman) Chris Chandler (President)

Philip Brooke Judy Davids Heather Holden-Brown George Marsh James Moseley Julie Richards Maria Valentine Amanda Brauer (from September 2020)

SECRETARY

Philip Brooke

TREASURER

James Moseley

CHARITY NUMBER

1082286

PRINCIPAL OFFICE

42 Alleyn Park London SE21 7AA

INDEPENDENT EXAMINER

Sophie M Holborn WSM Advisors Limited Connect House 133-137 Alexandra Road London SW19 7JY

BANKERS

HSBC plc CAF Bank

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

TRUSTEES REPORT

The Trustees present their annual report and the financial statements for the year ended 31st December 2020.

Structure, governance and management

The Foundation was established by a Trust Deed dated 29 August 2000. It received charitable status on 5th September 2000 and is registered in England. The Trustees who served during the year were:

Lisa Burnapp (Chairman)

Philip Brooke Lisa Burnapp Judy Davids Heather Holden-Brown George Marsh James Moseley Julie Richards Maria Valentine Amanda Brauer (from September 2020)

The Treasurer is James Moseley and the Secretary is Philip Brooke. Once a year a special meeting is held for the reappointment of Trustees, which is decided by majority vote. Other Trustees may be appointed as required during the course of the year.

The Trustees have examined the major risks which the Foundation faces and confirm that systems have been established so that the necessary steps can be taken to lessen any such risks.

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 aim and objectives and in planning future activities. In particular, the Governors consider how planned activities will contribute to the aims and objectives they have set.

Objectives and activities

The Objectives of the Foundation are to advance the education of young people in England and South Africa, in particular but not exclusively by:

• (a) Supporting the charitable work of the Sparrow Educational Trust, a non-profit organisation established in South Africa, and of any organisation in South Africa with the same or similar aims as the charity; and

• (b) Promoting and assisting in the organisation of exchanges between the staff and pupils of schools run by the Sparrow Educational Trust (or by organisations in South Africa with the same or similar aims as the charity) and the staff and pupils of English schools and vice versa.

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SPARROW SCHOOLS FOUNDATION ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

TRUSTEES REPORT (continued)

Financial review

In the year ended 31 December 2020 the Foundation’s gross income was £64,934 (2019: £117,334). The significant reduction in income was directly due to the negative impact of Covid 19 and not being able to hold some key physical fund raising events.

As in previous years, this income was generated mainly by a combination of:

• A fundraising event held by the Trustees, notably a Christmas Carol Concert that was held virtually due to the Covid 19 pandemic. Unfortunately the Golf Day for 2020 had to be cancelled due to the pandemic.

• A scheme of regular monthly giving by friends of Sparrow. This scheme has been recast, in cooperation with the Sparrow Schools, and is now designed to support an entire class rather than individual Sparrow pupils;

• Donations from a growing circle of supporters including individuals, schools, corporate bodies and grantmaking trusts.

The gross income in 2020 of £64,934 compares to £117,334 in 2019. This again principally reflects a very successful Christmas Carol Concert that was held virtually this year with reduced donations, but significantly reduced costs. General donations to Sparrow Schools totalled £18,773 (2019 - £21,786). The Trustees again wish to record their grateful and sincere appreciation of all those individuals and bodies who have donated so generously throughout the year. The total amount of restricted funds received in the year was £6,326 compared with £6,855 in the previous year.

Overall, the cost of fundraising activities was £5,201 (2019: £32,350) during the year, reflecting significantly lower Christmas Carol costs as the event was held virtually. In 2020 the Trustees made payments totalling £77,500 to Sparrow Schools (2019: £90,000).

After the £77,500 payments to Sparrow Schools in 2020 the net movement in funds for the year ended 31st December 2020 was a net deficit of £(17,767) compared to a deficit of £(5,016) in 2019.

Reserve policy

The Trustees consider it prudent to ensure that in the event of a significant, unforeseen drop in income, they should have sufficient funds available to enable them to continue for one year with their direct fundraising activity along present lines, allowing them the opportunity to consider ways of restoring income levels. On this basis it is the policy of the charity that general funds should be retained at £30,000, a level approximately equivalent to the costs on one year’s direct fundraising activity. At 31 December 2020 total unrestricted reserves amounted to £68,040 (2019: £85,278).

Activities

The activities of the Foundation remain focused on providing sustainable financial support to enhance the quality of teaching at Sparrow Schools, encourage staff retention through training and development and fund facilities that create an appropriate learning environment for students. In August 2019, the Trustees held an away day at which the future direction of the charity and its functions were reviewed to ensure that it has the ability to

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continue to fulfil its charitable objects and that these remained fit for purpose. Sponsorship and fund-raising, school engagement, improved use of technology and communications and the structure of the Board and Board meetings were identified as priorities.

With the support from Jackie Gallagher and Renata Noble at Sparrow Schools SA, a programme of development has been agreed in each of these key areas to strengthen connections between the UK and SA and to develop our UK supporter base. This has already shown benefits during 2020, despite the impact of the COVID019 pandemic in both UK and SA.

Our key events, ‘Celebration of Christmas’ led by Heather Holden-Brown (Trustee) and the annual ‘Golf Day’ organised by Richard Bernhard remain central to our fund-raising activities and our aim is to extend this potential by attracting a wider and more diverse support network, offering more and different fund-raising opportunities and a clearer focus about how funds support the current needs of the learners in Sparrow Schools SA.

Due to the COVID-19 pandemic, our face-face fund-raising activities in 2020 were significantly affected. The ‘Golf Day’ in May was cancelled and could not be reinstated in-year. However, the ‘Celebration of Christmas’, with additional support from The Royal Hospital, Chelsea, Sparrow Schools SA, and Henry Chaw, was converted to a highly successful, virtual event, which facilitated fund-raising activity throughout December. We remain indebted to Henry Chaw, both for the support of our virtual Christmas Celebration and for maintaining our website, which he provides ‘pro bono’.

Due to the success of Celebration of Christmas, innovative fund-raising initiatives by Trustees and generous donations from loyal supporters, our income in 2020 exceeded expectations, enabling us to offer more financial support to Sparrow Schools SA than predicted. Given the general economic climate and current challenges across the charitable sector, we are proud of this achievement and, as always, extend our thanks to the whole of the ‘Sparrow’ support network.

Despite the difficulties of the past year, Trustees remain committed to our agenda for change and development, including increasing the diversity and skills within the Board to achieve our on-going aims. Trustee business meetings have continued throughout the year and reverted to ‘on-line’ to accommodate COVID-19 restrictions. These meetings have been well attended, focused and effective and provide scope to attract Trustees from across the UK to enhance the Board. As we see an end to the global pandemic, we look forward to progressing and tailoring our activities for the benefit of Sparrow Schools SA in 2021.

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

TRUSTEES REPORT (continued)

Trustees' responsibilities

Charity law requires the Trustees to prepare financial statements for each financial year that give a true and fair view of the state of affairs of the Charity, and of its financial activities for that period. In preparing these financial statements, the Trustees are required to:

• a) select suitable accounting policies and then apply them consistently;

• b) make judgements and estimates that are reasonable and prudent;

• c) state whether the policies adopted are in accordance with the Charities SORP 2005, the Regulations made under Section 151-155 of the Charities Act and with applicable Accounting Standards, subject to any material departures disclosed and explained in the financial statements;

• d) prepare the financial statements on a going concern basis unless it is inappropriate to assume that the Charity will continue to operate.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity, and to enable them to ensure that the financial statements comply with the Charities Act 2011. 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 or other irregularities.

This report was approved by the Trustees on 20 May 2021 and signed on behalf of the Trustees by:

Lisa Burnapp James Moseley Trustee Trustee

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SPARROW SCHOOLS FOUNDATION ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF SPARROW SCHOOLS FOUNDATION

I report on the financial statements for year ended 31 December 2020 set out on pages 7 to 11.

This report is made to the Charity's Trustees, as a body, in accordance with the terms of my engagement. My work has been undertaken so that I might carry out an Independent Examination of the financial statements in accordance with the General Directions given by the Charity Commissioners. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees, as a body, for my work or for this report.

Respective Responsibilities of Trustees and Examiner

As the Charity Trustees you are responsible for the preparation of financial statements; you consider that the audit requirements of section 144(2) of the Charities Act 201 1 (the Act) do not apply. It is my responsibility to state, on the basis of procedures specified in the General Directions given by the Charity Commissioners under section 152(5)(b) of the Act, whether particular matters have come to my attention.

Basis of Independent Examiner's Report

My examination was carried out in accordance with the General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the Charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from you as Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the view given by the financial statements.

Independent Examiner's Statements

In connection with my examination, no matter has come to my attention:

• 1 . Which gives reasonable cause to believe that in any material respect the requirements.

• To keep accounting records in accordance with section 130-131 of the Act; and

• To prepare financial statements which accord with the accounting records and

• • To comply with the accounting requirements of the Act have not been met; or

• To which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.

S M Holborn, WSM Advisors Limited, Connect House,133-137 Alexandra Road, London SW19 7JY 20 May 2021

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

INCOME & EXPENDITURE

Note INCOMING RESOURCES Incoming resources from generated funds Voluntary income 2 (a) Activities for generating funds 2 (b) Investment income - bank interest received TOTAL INCOMING RESOURCES RESOURCES EXPENDED Costs of generating funds Cost of fundraising activities3 (a) Charitable activities 3 (b) NET MOVEMENT IN FUNDS Funds brought forward at 1 January 2020 Funds carried forward at 31 December 2020

Unrestricted Restricted Total Total Funds £ Funds £ 2020 £ 2019 £ 18,773 6,326 25,099 28,641 39,783 - 39,783 88,581 52 - 52 112 58,608 6,326 64,934 117,334 5,201 - 5,201 32,350 70,,645 6,855 77,500 90,000 (17,238) (529) (17,767) (5,016) 85,278 6,855 92,133 97,149 68,040 6,326 74,366 92,133

The notes on pages 9 to 11 form part of these financial statements.

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

BALANCE SHEET

CURRENT ASSETS Note Income tax recoverable on donations Other debtors Cash at bank and in hand CREDITORS: Amounts falling due within one year Creditors NET ASSETS FUNDS Unrestricted funds Restricted funds 4 TOTAL FUNDS	2020 £ 2019 £ 2,376 2.187 1,828 285 70,162 89,661 74,366 92,133 - - 74,366 92,133 68,040 85,278 6,326 6,855 74,366 92,133

Approved by the Trustees on 20 May 2021 and signed on their behalf by

L Burnapp Trustee

J Moseley Trustee

The notes on pages 9 to 11 form part of these financial statements.

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

NOTES TO THE FINANCIAL STATEMENTS

1. ACCOUNTING POLICIES

• a) Basis of preparation of financial statements

The financial statements are prepared under the historical cost convention and in accordance with the Statement of Recommended Practice (SORP 2005), Accounting and Reporting by Charities and applicable Accounting Standards and the Charities Act 2011.

• b) Incoming resources

• Voluntary income is received by way of sponsorship and is included in full in the Statement of Financial Activities in the year in which they are receivable.

• Income resulting from the charitable activities is recognised in full in the Statement of Financial Activities in the year in which it is receivable.

• Investment income is recognised on a receivable basis.

• c) Resources expended

Expenditure is recognised when a liability is incurred.

1. Costs of generating funds are those costs incurred in attracting voluntary income.

2. Costs of fundraising activities are those costs incurred in organising fundraising. Charitable activities include donations to the Sparrow Educational Trust.

d) Taxation

The Charity is a registered charity and not subject to taxation.

e) Funds

Unrestricted funds are sponsorship and other incoming resources receivable or generated for the objects of the charity without further specified purpose and are available as general funds.

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets this criteria is charged to the fund.

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

2. ANALYSIS OF INCOMING RESOURCES

2(a) Voluntary income

2(b) Activities for generating funds Carol Concert Golf Day British Designer Sale 3. ANALYSIS OF TOTAL RESOURCES EXPENDED Cost of fundraising activities Carol Concert Golf Day Insurance Miscellaneous Just Giving Charges Bank Charge Gift aid receivable written off Restricted fund income Sponsor a child Unrestricted Fund income General donations		2020 £ 2019 £ 37,073 53,933 2,710 29,349 - 299 39,783 88,581 2020 £ 2019 £ 4,344 28,556 - 2,432 529 778 - 232 216 216 100 136 12 - 5,201 32,350 2020 £ 2019 £ 6,326 6,855 18,773 21,786

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SPARROW SCHOOLS FOUNDATION

ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

In the year ended 31 December 2020 no Trustee was reimbursed for travelling, accommodation and entertainment expenses (2019: £nil). The charity has no employees, it relies solely on the efforts of unpaid volunteers. No employee of the charity received any emoluments. (2019 - £nil).

3(b) CHARITABLE ACTIVITIES

During 2020 £77,500 in total was paid out to Sparrow Schools in South Africa (2019: £90,000).

4. RESTRICTED FUNDS

	1	Jan 2020	Incoming	Resources	31 Dec 2020
			Resources	Expended
		£	£	£	£
Sponsor a Child Fund		6,855	6,326	6,855	6,326

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