REGISTERED COMPANY NUMBER: 05425426 (England and Wales) REGISTERED CHARITY NUMBER: 1109567
REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
FOR
HELP2READ
Orcom Civvals Limited Accountants 50 Seymour Street London W1H 7JG
HELP2READ
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
| Page | |
|---|---|
| Chair's Report | 1 |
| Report of the Trustees | 2 to 4 |
| Independent Examiner's Report | 5 |
| Statement of Financial Activities | 6 |
| Balance Sheet | 7 to 8 |
| Notes to the Financial Statements | 9 to 14 |
| Detailed Statement of Financial Activities | 15 |
HELP2READ
CHAIR'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2022
The year of 2022 brought changes to help2read as we emerged from the Covid pandemic and considered our future plans for the charity.
The board had been in position for some time, and for good governance and Board refresh value, they decided it was an opportune time to recruit new Board members. A successful recruitment campaign took place and the new trustees were inducted in the summer. Two of the original trustees remained in post to assist a smooth transition.
Fundraising in the current climate continues to be challenging but we exceeded our Big Give Christmas Challenge target. This continues to be our main annual fundraiser and our supporters enjoy the opportunity to maximize their donations. We are, as always, incredibly grateful to the many people who have supported help2read since its inception. Without those who care and act, help2read would be unable to deliver on our promise to the children in South Africa who depend on us.
The team in South Africa continues to deliver programmes using our traditional Literacy Tutor Programme and our expanding Holiday Reading Clubs. Increasing demand means that help2read in the UK will continue its core mission of raising funds to support the work on the ground in the townships.
Sanelisiwe Gantsho Chair
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HELP2READ
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022
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 December 2022. 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
Public benefit
The Charity's main objective and principal activity is the promotion of literacy in South Africa to children from disadvantaged backgrounds.
This work is carried out by help2read NPC in South Africa utilising funds raised by help2read in UK as well as locally.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
Help2read provides funding to help2read NPC in South Africa (help2read NPC) which enables reading help and literacy skills training to South African primary school children using trained community volunteers and youth literacy tutors. Help2read NPC motivate the literate adult population to pass on their skills to the next generation. Help2read NPC also assist with the provision of a year-long professional development and work experience programme to township youth who are trained and deployed in township schools as literacy tutors.
Help2read's programme is premised on the fact that a child who cannot read cannot learn. The ability to read has a direct impact on the acquisition of language skills and is essential for academic achievement. Without the ability to read, children cannot progress to realise their potential. Help2read, by providing the necessary funding, empowers help2read NPC who can intervene at the earliest possible stage of reading activity, typically in Grades 2 to 4, to ensure that primary school children can benefit from their school education.
Our vision is that all children should leave primary school literate and enjoying reading. Literacy at the primary school level is the most cost-effective investment in the fight against poverty. Literacy leads to better health and nutrition, helps individuals be better citizens and, to earn a better income once they start work, creates a more fair society and strengthens democracy by encouraging civic partnership. It is also a long term investment because a literate learner will grow up to be a literate adult who will give their own children a jump start in life.
FINANCIAL REVIEW
Principal funding sources
The primary funding sources for help2read in the UK are from corporate trusts, foundations and individuals committed to supporting development in South Africa. These funds have supplemented fundraising efforts in South Africa and have been instrumental in supporting the programme's expansion in South Africa.
We are grateful for the continued commitment of our Trustees, our long-term donors and the new donors whose support has been instrumental in enabling us to reach so many children and communities in 2022.
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HELP2READ
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022
FINANCIAL REVIEW
Reserves policy
During the period donations of £49,183 (2021: £91,819) including gift aid were received. After deducting all expenses the surplus for the year was £8,128 (2021: surplus £22,008). Monies remitted to South Africa amount to £25,000 (2021: £39,391) and these will be used to fund the ongoing educational programme in South Africa.
As at the year end there were cash resources of £53,976 (2021: £51,188) which the trustees consider sufficient to cover the running cost for 2023.
Going concern
The directors are of the view that the charitable company has adequate resources to continue for the foreseeable future as a result of the continued support of its directors and regular supporters of the charitable company and considering the funds currently held. On that basis the assessment of the directors is that the charity is a going concern.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
The organisation is a charitable company limited by guarantee, incorporated on 15 April 2005 and registered as a charity on 20 May 2005. The company was established under a Memorandum of Association, which established the objects and powers for the charitable company and is governed under its Articles of Association.
Recruitment and appointment of new trustees
The Directors of the company are also Charity Trustees for the purpose of charity law and under the company's Articles are known as Members of the Management Committee. Under the requirements of the memorandum and Articles of Association, the members of the Management Committee may appoint a person who is willing to act to be a director.
Induction and training of new trustees
There is no formal induction process. However, literature is made available to new trustees explaining the responsibilities and duties of a trustee. All of the trustees have considerable experience either as trustees of other charities or as company directors.
Wider network
Although no longer formally connected via ownership, day-to-day operations between help2read and help2read NPC in South Africa have changed little and help2read's main objective continues to be to raise money for the exclusive use of help2read NPC with the latter's principal activity being the promotion of literacy to children with disadvantaged backgrounds.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
05425426 (England and Wales)
Registered Charity number
1109567
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HELP2READ
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022
Registered office
Oak Farm Cottage Mill Street Gislingham Suffolk IP23 8JT
Trustees
Alexander Moss (resigned 9/8/2022) Simon Leefe (resigned 31/1/2023) Richard Lockwood (resigned 9/8/2022) Bruce Cleaver (resigned 6/4/2023) Nicholas Stadlen (resigned 9/8/2022) Emma Jane Marjorie Franklin Barrister (appointed 9/8/2022) Sanelisiwe Gantsho Financial Analyst (appointed 9/8/2022) Ian Rory Douglas Business Executive (appointed 9/8/2022) Anne Hamilton Hemphill Director (appointed 9/8/2022) Sharon Lesley Constancon Director (appointed 9/8/2022)
Company Secretary
Independent Examiner
Mark Tullett FCA Orcom Civvals Limited Accountants 50 Seymour Street London W1H 7JG
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
Approved by order of the board of trustees on 7 August 2023 and signed on its behalf by:
Sanelisiwe Gantsho - Trustee
Page 4
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF HELP2READ
Independent examiner's report to the trustees of Help2Read ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2022.
Responsibilities and basis of report
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
-
the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Mark Tullett FCA
Orcom Civvals Limited Accountants 50 Seymour Street London W1H 7JG
7 August 2023
Page 5
HELP2READ
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022
| Unrestricted Restricted fund funds Notes £ £ INCOME AND ENDOWMENTS FROM Donations and legacies 49,183 - Charitable activities Grants for child literacy in South Africa - - Investment income 2 24 - Total 49,207 - EXPENDITURE ON Raising funds 3 15,337 - Charitable activities Grants for child literacy in South Africa 25,000 - Other 4 742 - Total 41,079 - NET INCOME 8,128 - RECONCILIATION OF FUNDS Total funds brought forward 43,388 - TOTAL FUNDS CARRIED FORWARD 51,516 - |
2022 2021 Total Total funds funds £ £ 49,183 82,444 - 9,375 24 - 49,207 91,819 15,337 30,420 25,000 39,391 742 - 41,079 69,811 8,128 22,008 43,388 21,380 51,516 43,388 |
|---|---|
The notes form part of these financial statements
Page 6
HELP2READ
BALANCE SHEET 31 DECEMBER 2022
| Unrestricted Restricted fund funds Notes £ £ CURRENT ASSETS Cash at bank 53,976 - CREDITORS Amounts falling due within one year 8 (2,460) - NET CURRENT ASSETS 51,516 - TOTAL ASSETS LESS CURRENT LIABILITIES 51,516 - NET ASSETS 51,516 - FUNDS 9 Unrestricted funds TOTAL FUNDS |
2022 2021 Total Total funds funds £ £ 53,976 51,188 (2,460) (7,800) 51,516 43,388 51,516 43,388 51,516 43,388 51,516 43,388 51,516 43,388 |
|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2022 in accordance with Section 476 of the Companies Act 2006.
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.
The notes form part of these financial statements
continued...
Page 7
HELP2READ
BALANCE SHEET - continued 31 DECEMBER 2022
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue on 7 August 2023 and were signed on its behalf by:
Sharon Lesley Constancon - Trustee
Sanelisiwe Gantsho - Trustee
The notes form part of these financial statements
Page 8
HELP2READ
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
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.
The financial statements are presented in Sterling (£)
The charity constitutes a public benefit as defined by FRS 102
The directors are of the view that the charitable company has adequate resources to continue for the foreseeable future as a result of the continued support of its directors and regular supporters of the charitable company and considering the funds currently held. On that basis the assessment of the directors is that the charity is a going concern.
Legal status of charity
The charitable company is limited by guarantee and has no share capital. The liability of each member in the event of winding-up is limited to £10.
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.
Charitable activities
This relates to grants given to help2read NPC in South Africa which carries out the work stated in the objectives of the charity, namely the promotion of literacy in South Africa to children from disadvantaged backgrounds.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Computer equipment - 33% on cost
Taxation
The charity is exempt from corporation tax on its charitable activities.
continued...
Page 9
HELP2READ NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022
1. ACCOUNTING POLICIES - continued
Fund accounting
Unrestricted funds
These can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds
These 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.
-Tuition for Malawi
Relates to amount payable for tuition fees in respect of children in Malawi.
Significant judgements and sources of estimation uncertainty
In preparing the annual financial statements, directors are required to make judgements, estimates and assumptions that affect the amounts represented in the annual financial statements and related disclosures. Use of available information and application of judgement is inherent in the formation of estimates. Actual results in the future could differ from these estimates which may be material to the annual financial statements. Significant judgements include:
The useful lives and residual values of various fixed assets. Allocations of costs to relevant activities undertaken.
2. INVESTMENT INCOME
| Interest received 3. RAISING FUNDS Raising donations and legacies Support costs 4. OTHER Support costs |
2022 £ 24 2022 £ 15,337 2022 £ 742 |
2021 £ - 2021 £ 30,420 |
|---|---|---|
| 2021 £ - |
Included in support costs are monies expended to carry out its day to day activities for the purpose of carrying out the principal activity of the charity, the promotion of literacy in South Africa to children from disadvantaged background.
continued...
Page 10
HELP2READ
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022
5. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021.
Trustees' expenses
Trustees' expenses paid during year £nil (2021: £nil).
6. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted Restricted fund funds £ £ INCOME AND ENDOWMENTS FROM Donations and legacies 82,444 - Charitable activities Grants for child literacy in South Africa 9,375 - Total 91,819 - EXPENDITURE ON Raising funds 30,420 - Charitable activities Grants for child literacy in South Africa 39,391 - Total 69,811 - NET INCOME 22,008 - Transfers between funds 2,500 (2,500) Net movement in funds 24,508 (2,500) RECONCILIATION OF FUNDS Total funds brought forward 18,880 2,500 TOTAL FUNDS CARRIED FORWARD 43,388 - |
Total funds £ 82,444 9,375 |
|---|---|
| 91,819 | |
| 30,420 39,391 |
|
| 69,811 | |
| 22,008 - |
|
| 22,008 21,380 |
|
| 43,388 |
continued...
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HELP2READ
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022
7. TANGIBLE FIXED ASSETS
| 7. | TANGIBLE FIXED ASSETS | |||
|---|---|---|---|---|
| Computer | ||||
| equipment | ||||
| £ | ||||
| COST | ||||
| At 1 January 2022 and | ||||
| 31 December 2022 | 1,192 | |||
| DEPRECIATION | ||||
| At 1 January 2022 and | ||||
| 31 December 2022 | 1,192 | |||
| NET BOOK VALUE | ||||
| At 31 December 2022 | - | |||
| At 31 December 2021 | - | |||
| 8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | |||
| 2022 | 2021 | |||
| £ | £ | |||
| Accrued expenses | 2,460 | 7,800 | ||
| 9. | MOVEMENT IN FUNDS | |||
| Net | ||||
| movement | At | |||
| At 1.1.22 | in funds | 31.12.22 | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 43,388 | 8,128 | 51,516 | |
| TOTAL FUNDS | 43,388 | 8,128 | 51,516 | |
| Net movement in funds, included in the above are as follows: | ||||
| Incoming | Resources | Movement | ||
| resources | expended | in funds | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 49,207 | (41,079) | 8,128 | |
| TOTAL FUNDS | 49,207 | (41,079) | 8,128 |
continued...
Page 12
HELP2READ
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022
9. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| Net | Transfers | |||
|---|---|---|---|---|
| movement | between | At | ||
| At 1.1.21 | in funds | funds | 31.12.21 | |
| £ | £ | £ | £ | |
| Unrestricted funds | ||||
| General fund | 18,880 | 22,008 | 2,500 | 43,388 |
| Restricted funds | ||||
| Tuition in Malawi | 2,500 | - | (2,500) | - |
| TOTAL FUNDS | 21,380 | 22,008 | - | 43,388 |
Comparative net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 91,819 | (69,811) | 22,008 |
| TOTAL FUNDS | 91,819 | (69,811) | 22,008 |
A current year 12 months and prior year 12 months combined position is as follows:
| Net | Transfers | |||
|---|---|---|---|---|
| movement | between | At | ||
| At 1.1.21 | in funds | funds | 31.12.22 | |
| £ | £ | £ | £ | |
| Unrestricted funds | ||||
| General fund | 18,880 | 30,136 | 2,500 | 51,516 |
| Restricted funds | ||||
| Tuition in Malawi | 2,500 | - | (2,500) | - |
| TOTAL FUNDS | 21,380 | 30,136 | - | 51,516 |
continued...
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HELP2READ
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022
9. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 141,026 | (110,890) | 30,136 |
| TOTAL FUNDS | 141,026 | (110,890) | 30,136 |
10. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 December 2022.
Page 14
HELP2READ
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022
| 2022 £ INCOME AND ENDOWMENTS Donations and legacies Donations 49,183 Investment income Interest received 24 Charitable activities Grants - Total incoming resources 49,207 EXPENDITURE Charitable activities Grants for child literacy in South Africa 25,000 Support costs Management Fundraising 15,250 Sundries 742 Bank charges 87 16,079 Total resources expended 41,079 Net income 8,128 |
2021 £ 82,444 - 9,375 |
|---|---|
| 91,819 39,391 30,000 300 120 |
|
| 30,420 | |
| 69,811 | |
| 22,008 |
This page does not form part of the statutory financial statements
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