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2023-03-31-accounts

Charity registration number 1100045

Company registration number 04607292 (England and Wales)

KIDS FOR KIDS

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

KIDS FOR KIDS

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr F D N Campailla
Mr P H Doyle
Mr A King-Smith
Mrs P M Parker OBE, Chairman
Mrs E A Sutton
Mr K M O Abulrahman
Mr L Traxon (Appointed 14 November
2022)
Charity number 1100045
Company number 04607292
Independent examiner Darren Harding ACA FCCA DChA
Richard Place Dobson Services Limited
1-7 Station Road
Crawley
West Sussex
RH10 1HT

KIDS FOR KIDS

CONTENTS

Page
Chairman's statement 1 - 3
Trustees report 4 - 5
Independent examiner's report 6
Statement of financial activities 7 - 8
Balance sheet 9 - 10
Notes to the financial statements 11 - 23

KIDS FOR KIDS

CHAIRMAN'S STATEMENT

FOR THE YEAR ENDED 31 MARCH 2023

Last year I wrote that “the children living in remote villages have the right, as do all our children, to the essentials of our modern day world – yet they lack even water. And this year they face starvation”. At the start of the current year I knew that, in addition to our determination to introduce our sustainable projects to as many families as possible, we would need funds to provide emergency relief to feed children who were already going hungry. I could not have imagined that as the new financial year started, appalling conflict would erupt across Sudan. That has turned into even worse violence and abuses in Darfur. Weapons of unbelievable power are being used against helpless civilians in the capital, Khartoum. In Darfur, every day there are yet more reports of atrocities, murders and unprovoked violence against men, women and their children. The total withdrawal of the UN from Darfur has left a vacuum. There are now no international forces to help enforce peace and there are no international observers. The world press is virtually silent and international pressure, even from our own Government, is minimal. There appears to be no one prepared to intervene to stop the massacre.

So far our villages have not suffered directly. It is easy to forget that Darfur is vast. In North Darfur there are signs that groups not affiliated to either of the fighting forces are helping to establish some security. But banks remain closed, so all form of normal economic activity or project implementation remains incredibly challenging. I am watching closely so that as soon as it is safe and feasible to do so we will provide as much emergency help as we can. That is why I am appealing urgently for help to build an Emergency Fund.

But our main aim of providing sustainable help to transform the lives of children in Darfur remains. I cannot underestimate the value of every one of our projects right now. They are the reason communities are able to withstand these challenges, economic shocks and terrible inflation. To me most emotive of all are our village midwives. We have 110 established Kids for Kids’ villages but we have funded many more village midwives across Darfur. With hospitals barely functioning and travel dangerous, the impact these wonderful women is having on saving the lives of expectant mothers and their infants is incalculable. Goat’s milk for our children, handpumps close to villages, mosquito nets, blankets, farm tools, our first aid workers and veterinary paravets – all are enabling life to continue and helping people to stay in their homes.

Now, more than ever before, we need support to enable us to act in this emergency, and, for the long term, to provide our unique package of support to ensure people’s survival. The indirect impact of violence is catastrophic. Kids for Kids has never been needed more.

How to plan when Darfur is yet again inaccessible?

The coup by the military, deposing the civilian Prime Minister and his cabinet, has dashed the hopes for democracy in the foreseeable future. This meant that it would be too dangerous for the Trustees to visit Sudan during the past year. I was therefore more grateful than I can say that our Trustee Khalid Mekki , who is Sudanese and lives in Khartoum, visited our office in El Fasher with our Khartoum co-ordinator Hatim Abu Sineina . They held meetings with the Kids for Kids Steering Committee and with representatives of the North Darfur State Government, on my behalf, and formulated proposals for us for the future shape of Kids for Kids. This visit was long overdue and disappointingly a planned follow-up visit by Khalid in March 2023 had to be cancelled as fighting broke out in Khartoum itself. All plans are now on hold until the future is clearer. But we are well-placed to respond quickly once the situation permits: our team in Sudan are determined to provide whatever help they can, and we are blessed by the huge number of village leaders behind all we do. Their reports show yet again not only how much we are needed, but that we can rely on their help to implement our projects quickly. Our aim continues to empower the communities, especially the women, so that they can improve their own lives long term. I cannot stress how imperative this is, even more now that violence is tearing the country apart. Life must go on. Children deserve so much more.

“We have given up hope in the international community, but not in Kids for Kids” Darfuri village leader

page 1

KIDS FOR KIDS

CHAIRMAN'S STATEMENT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Insecurity and the uncertain political situation in Sudan has meant it has at times been a challenge to implement all we have planned to do for communities during the year. Accounts can be misleading as figures do not explain the circumstances behind expenditure. This year our accounts show what appears to be a disappointingly low amount spent on projects – a decrease from £192,258 in 2022 to just £89,277 in the current financial year. However, a weak Sudanese pound and relatively strong sterling meant that our funds provided much more than anticipated. I am very proud that, as planned, we adopted a further five villages - Hillat Sabil, Hillat Um Gadeer, Katonta, Korla, Kudeil. 150 new beneficiary families received 800 goats – over 700 children are now benefitting from their milk. The farm tools and donkey ploughs we also include transform how much land they can cultivate, providing more food for the children. We also gave 553 families in 18 villages jerry cans. Without these, it is impossible for families to collect and store water – there are no standing pipes in villages and the nearest water source can be many miles away. Yet many families cannot even afford such an essential item. In addition to all the training and projects that are part of our commitment when we adopt a village, our tree planting campaign continues. We distributed 4000 seedling trees to 15 villages for schools, community buildings and village squares, and we at last planted 1000 Moringa trees in a dedicated plantation. In a year of catastrophic outbreak of malaria, we provided 1482 mosquito nets to 22 villages – five were Kids for Kids’ villages and 17 villages that we have not been in a position to adopt as yet. We trained 36 paravets and all the new beneficiaries in animal care, thus ensuring there is veterinary care for the animals. We continued to support villages adopted in 2021, providing 130 donkeys and 287 blankets which we had not been able to source in the previous year.

Water – literally the source of life in the desert of Darfur – remains our top priority. When the Water Environment and Sanitation Department said they had drilling rigs available, we leapt at the chance – 14 handpump have now been drilled and installed successfully at Shawat Maki, Abu Sinait (A), Abu Sinait (B), Bargo, Derma, Um Ajaja, Turra, Um Isheira, Gawir, Tartoura Birkat Jaro, Jafaina, Maagla, Matway and Abu Sharback. One village had been waiting for a hand pump since 2016! Water has always been our hardest project to implement – so many obstacles unite to prevent successful installation. I rely on supporters to help me collate a water fund so that I can give the go ahead as soon as we know there is a drill and team available. It was possible to agree this number of pumps thanks to individuals who sponsor a pump, often named for someone they love. Every member of the Neale family now has a pump named for them, including their new baby! What a fantastic lasting memorial.

How to secure the future?

Kids for Kids has been helping children in Darfur for an amazing 23 years. If Kids for Kids is to continue, then it is essential we secure the future by appointing those who will take it forward for the future. I am delighted to tell you that we now have a superb Deputy CEO in place since May 2023, who is already having an impact: Davina Patel . Along with fundraiser Charlotte Allum , our team is almost complete, although we are still in need of an Administrator. Our PA left unexpectedly in October, just as the Christmas rush commenced. Despite this, I am pleased to say that we not only maintained our momentum but increased our income, thanks to a Doubling Campaign supported by our wonderful Patron Dame Joanna Lumley and two anonymous donors. Now with increased staff costs, it is essential we increase our fundraising to balance administrative costs. Thankfully during the current financial year I was able to decrease the cost of fundraising by £20,000. Thus our expendable income rose by £10,000. Far from stepping back, as I had intended, I have continued to do all I can to raise our profile and subsequent income. I cannot thank all our supporters enough. Life has been challenging for us all and I am proud to report that, despite depleted assistance, our overall income during the year rose from £373,750 in 2021/2022 to £409,019 during the current financial year, an increase of 9.4%.

Volunteers are the lifeblood of all charities: I am missing the camaraderie and support of our Surrey Committee. Sadly Covid led to us not being able to continue this wonderful group of volunteers. However I am enormously grateful to Ann and Richard Lienard who have been towers of strength during these difficult times, as I am to so many other wonderful friends. Moira Fenwick took over the issuing of our Concert and Ball tickets from Kathy Lady Orde – a job that needs a great deal of tact, not to mention IT skills - and helped us ensure sell-out events. Miraculously, Kate French volunteered just as we were suffering the loss of our PA and saw us through the Christmas rush, despite personal problems. I cannot thank them both enough. In America, I continue to be enormously indebted to Mary Jane Kupsky . She has been extraordinary and a source of many new supporters in the US, especially by helping them to donate through Global Giving. We are looking urgently for support for her. Please will you alert your American friends? Another positive is the offer by Lisa Chapman to create a Friends of Kids for Kids in Australia. This outreach is what we need if we are to increase our help to families, so essential as their needs soar in the appalling conditions in Darfur. Meanwhile both our Trustee Liz Sutton and Charlotte Allum have made presentations about Kids for Kids to groups supporting us.

page 2

KIDS FOR KIDS

CHAIRMAN'S STATEMENT (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

I am very grateful to our Board of Trustees who continue to support me and to ensure the smooth running of Kids for Kids. During the year we have been joined by Lee Traxon and, post year end, Karen Jankel, daughter of the much missed Michael Bond, whose Oso Foundation and family continue to be so generous to Kids for Kids. We have a Risk Matrix which we review at every Board meeting, helping us maintain a watchful eye on every aspect of the charity, and we do everything possible to ensure compliance with the latest legislation and regulations, including Safeguarding and GDPR. From the start, I have done all I can to ensure that not only are we up to date, but ahead in leading the way on best practice. To me, transparency is essential. We are the recipients of donations, often from people who themselves understand what it is to struggle. I take very seriously the responsibility of ensuring all funds are spent wisely, with as little wastage as is humanly possible.

As notified in last year’s accounts, we do now have outside financial advisors. Part of our reserve funds are invested with Rathbones and Tilneys investment firms. In the context of the worldwide financial challenges, these funds have recently been disappointing but the Board is confident that our funds are secure and we will be able to report increases in interest in the future. To cover losses due to the world recession, I am grateful to Patrick Doyle for providing us with generous interest rates on a separate investment for which he has given us 100% security. This has enabled our investment income to go up from £4,306 in the previous year, to £17,812 in the current year.

Regular Support enables us to plan

I am enormously grateful to those people who have recently become Children’s Champions . Their generosity over three years means I can plan with certainty. In these volatile times their support is more valuable than ever. I have increased the levels of support to include a lower entry level at £1,000 a year for the Greatest Need. This unrestricted fund enables me to provide support quickly wherever it is identified. Just before the end of this financial year for example two villages suffered devastating fires. Thankfully no one lost their lives and the animals also survived, but families lost everything they owned. Our Greatest Need fund enables Kids for Kids to act promptly to such disasters.

Donating regularly, however small, creates certainty for families no one else remembers. Kids for Kids first started helping villages 23 years ago in 2001, yet in all the intervening years I have never heard of any other organisation providing even one sustainable project.

The future for so many families would be bleak without Kids for Kids. Our unique way of helping is needed now, more than ever.

.............................. Mrs P. M. Parker OBE Chairman

Date: .........................28 November 2023

page 3

KIDS FOR KIDS

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2023

The trustees present their annual report and financial statements for the year ended 31 March 2023.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)".

Objectives and activities

Public benefit

All charities in England and Wales must have charitable aims that are based on providing public benefit and comply with section 4 of the Charities Act 2011. The trustees have regard to the Charity Commission's guidance on public benefit.

Achievements and performance

Financial review

Reserves policy

It is the policy of the charity to maintain sufficient reserves to ensure that the charity can sustain operations and fulfil commitments to projects and staff for the equivalent of a year, as far as possible in the volatile circumstances in Sudan at present. As insurance is not available for risks in Sudan, the trustees have allocated a further amount of reserves to cover such eventualities. The trustees have also made provision for high inflation in Sudan.

Structure, governance and management

The charity is controlled by its governing document, a Memorandum and Articles of Association, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr F D N Campailla

Mr P H Doyle Mr A D Jenkins (Resigned 5 June 2022) Mr A King-Smith Mrs P M Parker OBE, Chairman Mrs E A Sutton Mr K M O Abulrahman Mr L Traxon (Appointed 14 November 2022)

Trustees are recruited either as a result of personal recommendation and introduction or following advertisement of a vacancy. Potential trustees are asked to outline how they believe they can contribute to the charity's objectives and are interviewed by the Chairman and at least one other trustee. They are then invited to meet the other Trustees and to observe a Board meeting, prior to any appointment.

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute a maximum of £10 in the event of a winding up.

Risk management

The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. They achieve this by regularly reviewing and updating the charity's risk matrix.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

page 4

KIDS FOR KIDS

TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

The Trustees report was approved by the Board of Trustees.

.............................. (ee Mrs P. M. Parker OBE, Chairman Trustee Date: .............................................28 November 2023

page 5

KIDS FOR KIDS

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF KIDS FOR KIDS

I report to the trustees on my examination of the financial statements of Kids for Kids (the charity) for the year ended 31 March 2023.

Responsibilities and basis of report

As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Darren Harding ACA FCCA DChA

Richard Place Dobson Services Limited 1-7 Station Road Crawley West Sussex RH10 1HT

Dated: .........................28 November 2023

page 6

KIDS FOR KIDS

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2023

Current financial year
Unrestricted
Unrestricted
Restricted
funds
funds
funds
general
designated
2023
2023
2023
Notes
£
£
£
Income from:
Donations
3
357,999
-
85,000
Fundraising activities
4
67,029
-
-
Investments
5
17,812
-
-
Total income
442,840
-
85,000
Expenditure on:
Costs of generating voluntary income
6
56,705
-
-
Charitable activities
Project work in Sudan
7
89,277
-
54,000
Total charitable expenditure
89,277
-
54,000
Total expenditure
145,982
-
54,000
Net gains/(losses) on investments
11
-
(11,643)
-
Net incoming resources before transfers
296,858
(11,643)
31,000
Gross transfers between funds
(157,589)
157,589
-
Net movement in funds
139,269
145,946
31,000
Fund balances at 1 April 2022
373,750
869,663
600
Fund balances at 31 March 2023
513,019
1,015,609
31,600		 Total
2023
£
442,999
67,029
17,812
527,840
56,705
143,277
143,277
199,982
(11,643)
316,215
-
316,215
1,244,013
1,560,228		 Total
2022
£
419,686
34,096
4,306
458,088
80,728
192,258
192,258
272,986
-
185,102
-
185,102
1,058,911
1,244,013

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

page 7

KIDS FOR KIDS

STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2022

Prior financial year
Unrestricted Unrestricted
Restricted
funds
funds
funds
general
designated
2022
2022
2022
Notes
£
£
£
Income from:
Donations
3
360,732
-
58,954
Fundraising activities
4
34,096
-
-
Investments
5
4,306
-
-
Total income
399,134
-
58,954
Expenditure on:
Costs of generating voluntary income
6
80,728
-
-
Charitable activities
Project work in Sudan
7
100,145
33,159
58,954
Total charitable expenditure
100,145
33,159
58,954
Total expenditure
180,873
33,159
58,954
Net gains/(losses) on investments
11
-
-
-
Net incoming resources before transfers
218,261
(33,159)
-
Gross transfers between funds
(268,982)
268,982
-
Net movement in funds
(50,721)
235,823
-
Fund balances at 1 April 2021
424,471
633,840
600
Fund balances at 31 March 2022
373,750
869,663
600		 Total
2022
£
419,686
34,096
4,306
458,088
80,728
192,258
192,258
272,986
-
185,102
-
185,102
1,058,911
1,244,013

page 8

KIDS FOR KIDS

BALANCE SHEET

AS AT 31 MARCH 2023

2023 2022
Notes £ £ £ £
Fixed assets
Tangible assets 13 418 725
Investments 14 487,104 -
487,522 725
Current assets
Debtors 15 5,971 30,594
Investments 16 300,000 -
Cash at bank and in hand 775,579 1,337,193
1,081,550 1,367,787
Creditors: amounts falling due within one
year 17 (8,844) (124,499)
Net current assets 1,072,706 1,243,288
Total assets less current liabilities 1,560,228 1,244,013
Income funds
Restricted funds 18 31,600 600
Unrestricted funds
Designated funds 19 1,015,609 869,663
General unrestricted funds 513,019 373,750
1,528,628 1,243,413
1,560,228 1,244,013

page 9

KIDS FOR KIDS

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2023

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2023.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on .........................28 November 2023

.............................. Mr F. D. N. Campailla Mrs P. M. Parker OBE, Chairman Trustee Trustee

Company registration number 04607292

page 10

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

Kids for Kids is a private company limited by guarantee incorporated in England and Wales, company number 04607292, as well as a charity registered in England and Wales, charity number 1100045, and recognised in Sudan as a charitable foundation. The registered office is 1-7 Station Road, Crawley, West Sussex, RH10 1HT.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

The Charity maintains a general unrestricted fund that represents funds that are expendable at the discretion of the trustees in furtherance of the objects of the charity.

Designated funds are unrestricted funds held in the UK or in Sudan that have been earmarked for project expenditure in Sudan or to mitigate risks to the effective implementation of projects.

Restricted funds have been provided to the charity for particular purposes, and it is the policy of the board of trustees to carefully monitor the application of these funds in accordance with the restrictions placed upon them.

There is no formal policy of transfer between funds or on the allocation of funds to designated funds, other than that described above.

Any other proposed transfer between funds would be considered on their particular circumstances.

1.4 Income

Donation income is recognised at the point the charity receives the income.

Fundraising income is recognised when the charity becomes legally entitled to the income and the event to which it relates has taken place.

Investment income is recognised as it is received.

page 11

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.5 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.

Costs of generating funds include office running costs, as well as administrative expenses and bookkeeping. They also include governance costs which are those costs associated with meeting the constitutional and statutory requirements of the charity.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries, as well as costs relating to the trustees' visits to monitor and evaluate the projects.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Computers 33% on cost

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

Items of less than £1,000 are not capitalised.

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.8 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.9 Cash and cash equivalents

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.

1.10 Financial instruments

The charity only has financial assets and 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.

1.11 Taxation

As a registered charity, the company is exempt from income and corporation tax to the extent that its income and gains are applicable to charitable purposes only. Value Added Tax is not recoverable by the company, and is therefore included in the relevant costs in the Statement of Financial Activities.

page 12

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.12 Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense.

The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received.

1.13 Retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

1.14 Foreign exchange

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.

1.15 Debtors

Debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid.

1.16 Creditors

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably results in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any discounts due.

1.17 Winding up or dissolution of the charity

If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Management has made assumptions and estimated depreciation rates in respect of showing a true and fair view of the assets at the balance sheet date.

3 Donations

Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds
general general
2023 2023 2023 2022 2022 2022
£ £ £ £ £ £
Donations 320,288 85,000 405,288 328,176 58,954 387,130
Gift aid 37,711 - 37,711 32,556 - 32,556

page 13

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

4 Fundraising activities

Unrestricted Unrestricted
funds funds
general general
2023 2022
£ £
Fundraising events and other activities 60,419 26,876
Social lotteries 6,610 7,220
Fundraising activities 67,029 34,096

5 Investments

Unrestricted Unrestricted
funds funds
general general
2023 2022
£ £
Interest receivable 17,812 4,306

6 Costs of generating voluntary income

Unrestricted Unrestricted
funds funds
general general
2023 2022
£ £
Fundraising and publicity
Social lotteries monthly prizes 3,230 2,725
Insurance 835 758
Staff costs 24,378 23,654
Staging fundraising events 27,909 53,591
Fundraising and publicity 56,352 80,728
Investment management 353 -
56,705 80,728

page 14

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

7 Charitable activities

Staff costs
Project work in Sudan
Share of support costs (see note 8)
Share of governance costs (see note 8)
Analysis by fund
Unrestricted funds - general
Unrestricted funds - designated
Restricted funds
Support costs
Support costs
Governance
costs
£
£
Depreciation
307
-
General office expenses
36,496
-
Admin assistance
16,311
-
Independent Examiners fees
-
3,480
Trustee expenses
-
-
53,114
3,480
Analysed between
Charitable activities
53,114
3,480		 Project work
in Sudan
Project work
in Sudan
2023
2022
£
£
73,133
70,963
13,550
68,684
86,683
139,647
53,114
49,416
3,480
3,195
143,277
192,258
89,277
100,145
-
33,159
54,000
58,954
143,277
192,258
2023 Support costs
Governance
costs
2022
£
£
£
£
307
204
-
204
36,496
23,496
-
23,496
16,311
25,716
-
25,716
3,480
-
2,776
2,776
-
-
419
419
56,594
49,416
3,195
52,611
56,594
49,416
3,195
52,611		 Project work
in Sudan
Project work
in Sudan
2023
2022
£
£
73,133
70,963
13,550
68,684
86,683
139,647
53,114
49,416
3,480
3,195
143,277
192,258
89,277
100,145
-
33,159
54,000
58,954
143,277
192,258
2023 Support costs
Governance
costs
2022
£
£
£
£
307
204
-
204
36,496
23,496
-
23,496
16,311
25,716
-
25,716
3,480
-
2,776
2,776
-
-
419
419
56,594
49,416
3,195
52,611
56,594
49,416
3,195
52,611
139,647
49,416
3,195
192,258
100,145
33,159
58,954
192,258
2022
£
204
23,496
25,716
2,776
419
52,611
52,611

Governance costs includes payments to the independent examiner of £3,480 (2022- £2,776) for independent examination fees.

page 15

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

9 Trustees

No trustee has been paid for services as a trustee, but the C.E.O. who is also a trustee has been paid for her services as C.E.O. totalling £97,511 (2022: £94,617). Further details regarding this are included in note 11.

The trustee's salary has been split between cost of charitable activities and generating funds in a 3:1 ratio.

Trustees' expenses

Expenses reimbursed to the CEO, who is also a trustee, totalled £22,569 (2022: £19,921) during the year.

Expenses charged to the charity by the trustees include costs relating to the trustees programme meetings to monitor and evaluate the projects, plus office expenses incurred by Mrs P. M. Parker OBE, who provides office space at her home as agreed by the Charity Commissioners in 2007 of £13,000. The cost has remained the same for 16 years at £13,000 (2022: £13,000). This has continued to save the charity from having to pay escalating commercial rates for office accommodation costs and services.

10 Employees

The average monthly number of employees during the year was:

2023 2022
Number Number
CEO 1 1
Employment costs 2023 2022
£ £
Wages and salaries 83,275 80,673
Social security costs 10,777 9,913
Other pension costs 3,459 4,031
97,511 94,617

page 16

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

10 Employees

(Continued)

The Trustees' resolution to pay Mrs P. M. Parker, the CEO, a salary (disclosed above and in note 10) was approved by the Charity Commission in 2007. The Trustees determined in October 2012 that replacing the current CEO with someone paid at full market rates would require the charity to pay a package of between £90,000 and £125,000 at that time, i.e. an average of £107,500 per year, plus an increase for inflation. The current CEO decided not to take the full rate of salary allocated by the Trustees for the CEO's pay, in effect equivalent to a donation to the charity of £50,000+ each year. She is also putting in working hours far beyond those expected of a normal salaried employee, without overtime payments, so the value to the charity of her contribution is significantly in excess of this amount. The Trustees set the CEO's level of salary annually to ensure this stays the same in real terms through an adjustment for inflation based on the government's official Consumer Price Index figures. The CEO has chosen not to take health insurance or other benefits from the charity. The Trustees have decided to pay the CEO a pension in accordance with government policy.

The Trustees wish to acknowledge the CEO's exceptional contribution to the charity. Her salary does not reflect the hours worked, both paid and voluntary, in her capacity as administrator, project designer, manager and the person principally responsible for raising awareness, global advocacy and fundraising worldwide.

Other than salary and related costs, other paid work during the year was carried out by a part-time bookkeeper and three part-time assistants. Fees are also paid for website maintenance and design, hosting and maintaining the database, and IT support.

Key management personnel

The charity has one member of key management personnel. The total employment costs of key management personnel were £97,511.

The number of employees whose annual remuneration was more than £60,000 is as follows:

follows:
2023 2022
Number Number
£80,001 - £90,000 1 1
11 Net gains/(losses) on investments
Unrestricted Total
funds
designated
2023 2022
£ £
Revaluation of investments (11,643) -

12 Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

page 17

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

13 Tangible fixed assets
Computers
£
Cost
At 1 April 2022 2,121
At 31 March 2023 2,121
Depreciation and impairment
At 1 April 2022 1,396
Depreciation charged in the year 307
At 31 March 2023 1,703
Carrying amount
At 31 March 2023 418
At 31 March 2022 725
14 Fixed asset investments
Listed
investments
£
Cost or valuation
At 1 April 2022 -
Additions 498,747
Valuation changes (11,643)
At 31 March 2023 487,104
Carrying amount
At 31 March 2023 487,104
At 31 March 2022 -
Historical cost:
2023: £498,747
2022: £Nil

Investments held at the year end which were valued at over 5% of the total portfolio market value were as follows: Rathbone Unit Trust Mgmt High Quality Bond S Dist: £240,073 Evelyn Sustainable Cautious Portfolio: £247,031

Revaluation reserves of -£11,643 (2022: £Nil) are included within the designated funds.

page 18

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

15 Debtors
2023 2022
Amounts falling due within one year: £ £
Gift Aid Due 5,971 30,594
16 Current asset investments
2023 2022
£ £
Loans 300,000 -

During the financial year £300,000 was loaned to a trustee, to secure a better rate of return for the charity, for a period of 1 year at a rate of 5% interest per year, paid monthly. The loan is repayable to the charity on demand with a 60 day notice period, with guaranteed safeguards.

17 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2023 2022
£ £
Other taxation and social security - 1,852
Other creditors and accrued expenses including Sudan expenses 8,844 122,647
8,844 124,499

page 19

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

18 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

grants held on trust for specific purposes:
Movement in funds
Balance at Incoming Resources Balance at
1 April 2022 resources expended 31 March 2023
£ £ £ £
Water Projects - 36,000 (5,000) 31,000
Solar Lantern 600 - - 600
The Oso Foundation - 25,000 (25,000) -
Ben Cowley Fund - 24,000 (24,000) -
600 85,000 (54,000) 31,600
Movement in funds
Balance at Incoming Resources Balance at
1 April 2021 resources expended 31 March 2022
£ £ £ £
Animal Projects - 25,448 (25,448) -
Water Projects - 27,533 (27,533) -
Solar Lantern 600 - - 600
Internally Displaced Persons - 4,187 (4,187) -
Tree Project - 1,786 (1,786) -
600 58,954 (58,954) 600

Animal Projects fund represents funds specifically donated for animal welfare, including the provision of paravets, veterinary drugs and animal husbandry training as well as goat and donkey loans and the provision of chickens for the frail and elderly and crossbred donkeys. The latter are used by the village midwives and first aid workers as they are faster and stronger, and to pull the water carts, general carts, donkey ambulances and school buses. The fund also includes the training of two paravets in each village we adopt plus the training of beneficiaries and the children who care for the goats after school, and a revolving veterinary drug fund in each village.

The Water Projects fund covers funds donated specifically for the purpose of providing water in, or close to, villages adopted by Kids For Kids. This fund includes handpumps donated by individuals and funds allocated to repairs of existing handpumps. Additional projects included in this fund are water tanks, water carts (pulled by the stronger crossbred donkeys) and jerry cans. The latter is now needed urgently by families who have virtually no income. The Solar Lantern fund represents committed funds from individuals to be used to purchase Solar Lanterns for villages.

The Internally Displaced Persons fund is allocated to providing the basic essentials for families who have moved to Kids For Kids villages and settled permanently, with the permission of the villages leaders and community, to assist them to settle and improve their standard of living. Additional to the basic essentials we will also aim to provide all these families with goats and a donkey. This year we are funding two villages to which IDPs have moved. There was virtually no infrastructure or items provided for individual families. We are therefore increasing our projects to include kitchen utensils, more farming equipment and other essentials.

The Tree Project fund represents funds provided to plant tree seedlings of 14 different species of drought resistant trees in community forests (green belts) in a five year project plus the rehabilitation of two existing community forests and the planting of individual trees by our buildings in villages, plus fruit trees by individual houses (huts).

page 20

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

18 Restricted funds

(Continued)

The Oso Foundation increased the donation they have made to us in other years to £25,000 this year. This enabled us to adopt a village providing it with all of our projects. This is a two year project so the donation is spread across 2022/2023.

The donation by Ben Cowley is a donation which has been matched by his employers to bring it up to sufficient for him to also adopt a village. See above. This donation was made through Global Giving, via Benevity.

Restricted Funds also include projects supported by Children’s Champions.

19 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Balance at
1 April 2021
£
Project fund
533,840
Contingency
and Insurance
fund
100,000
Sudan Rapid
Response Fund
-
Investment
Fund
-
633,840		 Resources
expended
£
(33,159)
-
-
-
(33,159)		 Transfers
Balance at
1 April 2022
£
£
268,982
615,663
-
100,000
-
154,000
-
-
268,982
869,663		 Transfers
Revaluations,
gains and losses
Balance at
31 March 2023
£
£
£
(437,158)
-
178,505
-
-
100,000
96,000
-
250,000
498,747
(11,643)
487,104
157,589
(11,643)
1,015,609		 Transfers
Revaluations,
gains and losses
Balance at
31 March 2023
£
£
£
(437,158)
-
178,505
-
-
100,000
96,000
-
250,000
498,747
(11,643)
487,104
157,589
(11,643)
1,015,609
1,015,609

The trustees have set aside a designated fund to take account of plans for project commitments (allocated or committed) - the 'Project Fund'. This also includes provision for emergencies and unplanned projects that may arise during the year ahead, as well as a provision for high and volatile inflation. The balance in the fund at the end of the year is their best estimate of the moral and legal commitments to such projects in the future, subject to what happens on the ground. The amount in the fund represents the committed funds as shown in note 23 less what is being held in investments.

The designated ‘Contingency Fund' has been set aside to cover the absence of insurance and moral responsibility for staff safety in Darfur; sustainability of operations and staffing. This is in addition to the unrestricted reserves held to cover a year of potential costs and obligations to support sustainability of operations and staffing, as per the Trustee’s reserves policy.

The Investment Fund has been designated to provide the charity with a regular income source which will be used to pursue its charitable objectives.

The Emergency Rapid Response fund has been set aside to enable to charity to react to emergencies in Sudan should be need arise.

page 21

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

20 Analysis of net assets between funds

Unrestricted
funds
Designated
funds
Restricted
funds
2023
2023
2023
£
£
£
Fund balances at 31 March 2023 are represented by:
Tangible assets
418
-
-
Investments
-
487,104
-
Current assets/(liabilities)
512,601
528,505
31,600
513,019
1,015,609
31,600
Unrestricted
funds
Designated
funds
Restricted
funds
2022
2022
2022
£
£
£
Fund balances at 31 March 2022 are represented by:
Tangible assets
725
-
-
Current assets/(liabilities)
373,025
869,663
600
373,750
869,663
600		 Total
2023
£
418
487,104
1,072,706
1,560,228
Total
2022
£
725
1,243,288
1,244,013

21 Related party transactions

During the year, the charity made a loan of £300,000 to one of the trustees, details of which are disclosed in note 16.

22 Additional funds allocated for on project activity

Amounts allocated previously in 2022: Prior Year
2021/22
£
Administration Darfur 103,053
Animal Project 57,840
Farming Project 4,076
Forestry Project 3,641
Health 152,946
Training 19,477
Water Project 76,050
417,083

The actual amount spent on projects in Sudan this financial year has been affected by various factors outside the control of the charity and is as stated under charitable activities costs on the Statement of Financial Activities. Much of these allocated funds have therefore been carried over to the current year.

page 22

KIDS FOR KIDS

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2023

23 Additional funds committed to on project activity

Additional funds committed to on project activity
2023
£
Administration Darfur 11,622
Forestry Project 5,000
Health 80,000
Sustainability Projects 125,000
Water Project 102,000
Education 50,000
Inflation Risk 93,406
467,028
Funds committed to on project activity in 2021/22 not yet completed
Administration Darfur 64,986
Animal Project 9,760
Health 29,575
Training 38,997
Water Project 8,450
Education 46,813
198,581
Total committed funds to on project activity 665,609

Total committed funds to on project activity

The above amounts are plans that have been committed for projects in Sudan, but had not yet been contracted or spent at the year end date. The inflation risk is estimated at anything between 70% and 300% such is the volatility.

24 Charitable company constitution

Kids For Kids is a company limited by guarantee. The maximum contribution, in the event of a winding up, is £10 per director/member.

page 23

KIDS FOR KIDS

DETAILED STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2023

INCOME
Donations
Donations
Gift Aid
Fundraising activities
Fundraising events and other activities
Social lotteries
Investments
Interest receivable
Total incoming resources
EXPENDITURE
Costs of generating voluntary income
Social lotteries monthly prizes
Insurance
Staff costs
Staging fundraising events
Investment management
Charitable activities
Project work in Sudan		 31.3.23
£
405,288
37,711
442,999
60,419
6,610
67,029
17,812
527,840
3,230
835
24,378
27,909
353
56,705
86,683
86,683		 31.3.22
£
387,130
32,556
419,686
26,876
7,220
34,096
4,306
458,088
2,725
758
23,654
53,591
-
80,728
139,647
139,647

KIDS FOR KIDS

DETAILED STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2023

31.3.23 31.3.22
£ £
Support costs
Depreciation 307 204
General office expenses 36,496 23,496
Admin assistance 16,311 25,716
53,113 49,416
Governance costs
Independent examiners fees 3,480 2,776
Trustee expenses - 419
3,480 3,195
Total resources expended 199,981 272,986
-
Net gains/(losses) on investments 11,643 -
Net (expenditure)/income 316,215 **185,102 **