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2020-12-31-accounts

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

REGISTERED COMPANY NUMBER: 05537293 (England and Wales) REGISTERED CHARITY NUMBER: 1112955

Unaudited Financial Statements for the Year Ended 31 December 2020

for

Feed The Hungry, UK (A Company Limited by Guarantee)

The Rowleys Partnership Ltd Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Contents of the Financial Statements for the Year Ended 31 December 2020

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 7
Independent Examiner's Report 8
Statement of Financial Activities 9
Balance Sheet 10 to 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14 to 27

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Reference and Administrative Details for the Year Ended 31 December 2020

TRUSTEES S Radelich President Of Feed The Hungry USA Reverend G J Weston Clergyman N J Roberts Director A J Richardson Director J O Garande Solicitor Mrs S Godley Singer/Songwriter/Radio (resigned 1.5.20) Mrs S T Garande Pastor

REGISTERED OFFICE Halo Centre 5 Progress Way Binley Coventry CV3 2NT REGISTERED COMPANY NUMBER 05537293 (England and Wales) REGISTERED CHARITY NUMBER 1112955 INDEPENDENT EXAMINER The Rowleys Partnership Ltd Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP

Page 1

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

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 2020. 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).

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing document, Companies Act 2006, Charities Act 2011 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 published in October 2019.

OBJECTIVES AND ACTIVITIES

Objectives and aims

The objectives of the charity are:

To relieve poverty and the distress caused thereby, including but not by way of limitation through the gathering and distribution of food, clothing, medical supplies and relief items in local communities in such parts of the world as the Trustees may from time to time think fit.

To advance the Christian faith in such parts of the world as the Trustees may from time to time think fit and other such purposes which are exclusively charitable according to the law of England and Wales and are connected with the charitable work of the Charity.

Page 2

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

OBJECTIVES AND ACTIVITIES Significant activities

The vision that shapes our annual activities:

The strategies employed to achieve the Charity's aims and objectives are:

Meal Packing Events were suspended in February of 2020 which are usually held in various locations within the UK and Europe, organised by RAH. Working with FTH UK and supported by multinational companies to raise awareness at the same time as packing the high nutrition meals that FTH UK will then ship to one of its Project sites. Our Projects are operational in Kenya and Zimbabwe, where meals from the UK are sent mainly to Kenya and Zimbabwe as Europe is the only source of GMO free meals which both these countries require, having legislation in place preventing food products containing GMO from entering the country. 1,000,000 were sent out to Zimbabwe with Food sourced locally in Kenya.

Meal packing events, under the label Hand to Hand, were also suspended in 2020 aimed at Schools and Churches and meals from these events will be aimed at supporting projects in Burkina Faso.

Other packing events have been held which collated medical equipment, clothing and health and sanitary supplies sent out to: Romania, Nicaragua and Albania.

Financial Assistance was also provided to projects in Zambia, Nepal, India, Kenya and Zimbabwe.

The Food and Aid is shipped to the Project and distributed, by local Pastor or ministry, to those known to be in need. We also support Community Farms, Schools, Orphanages and Feeding Centres and provide refugee aid.

Our main focus in 2020 was in working with Hinckley and Bosworth Borough Council in providing Emergency Food packs to isolated and vulnerable families over the year.

Public benefit

In shaping our objectives for the year and planning our activities the Trustees have considered the Charity Commission guidance on public benefit including the guidance "Public Benefit: Running a Charity (PB2)". The Charity relies on donations, both financial and Gifts in Kind, to cover its operating costs and to provide the food and other goods to the end beneficiaries. The public benefit is to the people who live in areas where hunger occurs due to famine, conflict, natural disasters or poverty, be that in the UK, Europe, Africa or other areas of the world.

Page 3

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

OBJECTIVES AND ACTIVITIES

Volunteers

During 2020 Feed the Hungry UK was grateful to receive help from a reduced number of dedicated volunteers with around 20 active volunteers and over 1,000 volunteer hours. The volunteers

Chair's report

2020 has been a year of turmoil and challenging to maintain the ongoing work across our partner projects for Feed the Hungry UK. In 2020 our focus has changed dramatically due to the Covid-19 pandemic with all our events program, both with Rise Against Hunger and our own events program under the name of Hand to Hand, being cancelled. Difficult financial challenges have meant changes to the structure of the organisation both in furloughing personnel and downsizing premises to ensure that we can still deliver programs with reduced overheads.

In 2020 we had no major campaigns but looked at different opportunities to serve the people near to home through the pandemic. This enabled us to access a diverse income stream to provide emergency food aid across Leicestershire and Warwickshire which is ongoing into 2021.

During 2020 Feed The Hungry UK maintained its partnership with Rise Against Hunger; which began towards the end of 2014, receiving gifts of high nutrition meals to be distributed to our programs across Africa, providing a total of 1,000,000 meals during the year as well as Gift in Kind from Italy.

Feed The Hungry's own established brand of high nutritional food, under the label Hand to Hand, had a number of events projected for the year which were either cancelled or put on hold. However, we were able to send excess stock of rice, soya and lentils to Burkina Faso and vitamins to Djibouti.

We also continued to support the Every Child Every Day program, receiving Gifts in Kind which enabled us to supply supplementary food, clothing, bedding and educational materials to Romania, Nicaragua and Burkina Faso, and financial support to projects in Zambia, Nepal and India.

Through 2020 due to the pandemic we saw changing patterns to our income and donor support, especially in the first half of the year. Whilst our Gift in Kind remained steady, if not slightly down, from the previous year as health and safety concerns about handling clothing was a big concern for many countries. The number and types of projects we support has been maintained and we are constantly humbled by the generosity of our donors, with Feed The Hungry globally supporting over 330,000 children as part of the Every Child Every Day program.

In conclusion, I would like to thank the donors, staff and supporters for their huge contributions towards making our task of relieving poverty and the distress caused thereby possible. This work advances the Christian faith in every community that it touches.

Visit our website for more information on who we are and what we do:

https://feedthehungry.org.uk

STRATEGIC REPORT

Achievement and performance

Despite the pandemic we were still able to function from our warehouse in Hinckley to support emergency food aid across Leicestershire and Warwickshire. Whilst our events program was halted for the year, we had food become available to send to Zimbabwe, Burkina Faso and shoes to Nicaragua.

The support of our staff and volunteers who were able to be available to help with emergency food provision was incredible; coming in at all hours to ensure those isolating or those in need of help, had food on the table within 2 hours of any request coming through the system of referrals was truly immense.

Page 4

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

STRATEGIC REPORT

Financial review

Income from donations have seen an overall drop from £1,267,028 in 2019 to £865,452 in 2020 due to the food packing events being postponed through 2020.

Gifts in Kind was less due to restrictions that postponed our meal packing program for FTH direct projects with the meals provided reaching 2 million meals. Gifts in Kind consist of packed meals, clothing, medical and school supplies which are then shipped to our various project sites for distribution to those in need. Increased receipts have, of course, meant that Feed The Hungry UK has seen a corresponding increase in outgoings in terms of costs for the transportation of these goods to the beneficiaries.

Feed The Hungry has also made monetary donations to various projects either through LeSea Global or directly to the projects and these again were at a high level of £66,336. These donations were to provide for direct feeding costs to projects that were unable to receive packed meals, or to cover customs fees and taxes on shipments to the projects. Monetary donations were also made to disaster relief projects such as floods in Kenya and earthquake response in Albania.

Whilst receiving and shipping the increased donations and putting in place plans to handle these over the longer term, we recognised that in the pandemic we needed to reduce our overheads both in staff and premises. We closed one office and reduced staffing levels to four key staff.

Our intention is to develop a strategy that will in 2021 bring in support that is equal to, or greater than, that which we receive from the partnerships with Premier and UCB, through investigating other opportunities on a local, national and international level.

Reserves policy

In addition, whilst the Trustees have, in the past stated that their aim was to maintain minimum reserves in order to keep a contingency fund in the bank to cover the ongoing operational costs of the Charity, it is now recognised that the increase in commitments in recent years require a Reserve Policy. This was established in 2018 and the reserve fund was being increased, at a manageable rate, to reach minimal acceptable reserves. In 2020 some of the reserves were used as legislated to provide redundancy payments as part of the restructuring.

It is the aim of the Trustees to hold in general reserves sufficient cash to equate to two months' running costs plus an additional month of salary costs.

At the year end, free reserves, being unrestricted funds of £122,721 less fixed assets of £14,357, totalled £108,364 (2019: £47,515).

Future plans

In the current financial climate, it is clear that in 2021 we will need to diversify the way that Feed The Hungry UK are funded, e.g. approaching trust funds, seeking grants, establishing legacy policies and seeking new ways to maintain and deepen our connections with our donors so that we are not dependent upon just one form of fundraising. In order to achieve this FTH UK will continue to look at the core fundamentals of information materials to give to donors and trusts, developing new general brochures, introductory flyers describing who we are, and also improve our digital imprint on social media and our website.

We will also continue seeking to establish greater partnerships with other charities in order to create "Impact Projects" which not only change the lives of individuals but also change communities and regions for the better.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

Feed the Hungry UK is a non-profit Christian Mission Organisation dedicated to feeding the hungry around the world and reaching those in desperate need.

It is a Company Limited by Guarantee, registered in England and Wales, and a charity registered in England and Wales, governed by its Memorandum and Articles of Association. Date of Incorporation 16th August 2005.

Page 5

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

STRUCTURE, GOVERNANCE AND MANAGEMENT Organisational structure

There is a requirement for a minimum of three Trustees, and there is no maximum. There is no requirement for rotation of the Trustees. The Trustees plan to meet face-to-face annually at the AGM. Due to the international mix, locations and occupations we are endeavouring to format a system of conference calls in addition to the face-to-face meeting, as well as having individual conversations with the Trustees on an ongoing basis. Where Trustees need to be advised or consulted outside of a planned meeting then electronic communications are implemented.

The Trustees have appointed the Operations Director to have day to day control and have given him delegated authority to operate all areas of the charitable business.

The charity pays for administration work in order to be able to raise funds, the Trustees oversee this work.

Induction and training of new trustees

Newly appointed Trustees are provided with a copy of the governing document and the latest set of published accounts. Questions regarding the charities activities, assets or funding can be asked at any time or at the next Trustees meeting.

Key management remuneration

All Trustees give their time freely.

The pay of the senior staff is reviewed annually and normally increased in accordance with average earnings and the level of responsibility required. In view of the charitable nature of the company the Trustees remuneration benchmark is determined through comparative research into similar local salaries with the living wage as the minimum hourly rate.

Related parties

None of our trustees receive remuneration or other benefit from their work with the charity. Any connection between trustees or senior manager of the charity and any contractual relationship with a related party must be disclosed to the full board of Trustees.

The charity supports the activities run by LeSea Global by providing funds to particular projects run by Lesea Global across the world. More details of these can be viewed on www.feedthehungry.org.uk.

LeSea Global has increased its feeding program Every Child Every Day from 280,000 to 330,000 in 2020.

Risk management

The Trustees have assessed the major risks to which the charity is exposed, in particular, those relating to operations and finances of the charity. They are satisfied that systems are in place to mitigate exposure to the major risks.

The Trustees have a risk management strategy which comprises:

This work has identified that financial stability is the major financial risk for Feed the Hungry UK. A key element in the management of this risk is to plan a budget for the coming year and to regularly review performance against that budget. In addition to managing the cash flow, we recognise the need for the broadening and deepening of connection with our donor base to ensure a diverse and regular source of donation income.

Page 6

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Report of the Trustees for the Year Ended 31 December 2020

STRUCTURE, GOVERNANCE AND MANAGEMENT Safeguarding

Safeguarding issues are monitored very carefully, we had one incident which was investigated which was dealt with internally as it was not a reportable incident, but all care and due diligence was taken to handle the matter with internally by the trustees as per our policy and advice sought by professional bodies to ensure that we followed all current guidelines and procedures.

FUNDRAISING

Feed the Hungry has not hired in the past, and does not intend to hire, any external fundraising companies. FTH UK fundraising is controlled directly by employed staff who adhere to strict guidelines, to ensure that the donor experience is a clear, fair, enjoyable and unobtrusive experience. Every possible measure is taken to ensure that personal data is stored correctly to comply with current legislation and, in so doing, has signed up to receiving suppression under the Fundraising Preference Service.

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

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 12 July 2021 and signed on the board's behalf by:

Reverend G J Weston - Trustee

Page 7

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Independent Examiner's Report to the Trustees of Feed The Hungry, UK (A Company Limited by Guarantee)

Independent examiner's report to the trustees of Feed The Hungry, UK (A Company Limited by Guarantee) ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2020.

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

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of ICAEW 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:

  1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

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

R J Radford FCA ICAEW The Rowleys Partnership Ltd Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP

12 July 2021

Page 8

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Statement of Financial Activities

(Incorporating an Income and Expenditure Account) for the Year Ended 31 December 2020

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
3
Charitable activities
5
Provision of Aid
Investment income
4
Other income
6
Total
EXPENDITURE ON
Raising funds
7
Charitable activities
8
Provision of Aid
Support costs for charitable activities
Other
12
Total
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
fund
£
801,935
60,796
160
13,593
876,484
38,068
560,013
80,921
124,414
803,416
73,068
49,653
122,721		 Restricted
funds
£
63,517
34,925
-
-
98,442
17,174
66,336
517
5,840
89,867
8,575
5,853
14,428		 31.12.20
Total
funds
£
865,452
95,721
160
13,593
974,926
55,242
626,349
81,438
130,254
893,283
81,643
55,506
137,149		 31.12.19
Total
funds
£
1,266,963
-
65
-
1,267,028
70,502
975,853
102,673
138,585
1,287,613
(20,585)
76,091
55,506

The notes form part of these financial statements

Page 9

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee) (Registered number: 05537293)

Balance Sheet 31 December 2020

31.12.20 31.12.19
Unrestricted Restricted Total Total
fund funds funds funds
Notes £ £ £ £
FIXED ASSETS
Tangible assets 17 14,357 - 14,357 2,138
CURRENT ASSETS
Stocks 18 15,767 - 15,767 6,314
Debtors 19 10,638 849 11,487 8,060
Cash at bank 92,388 13,600 105,988 58,146
118,793 14,449 133,242 72,520
CREDITORS
Amounts falling due within one year 20 (10,429) (21) (10,450) (19,152)
NET CURRENT ASSETS 108,364 14,428 122,792 53,368
TOTAL ASSETS LESS CURRENT LIABILITIES 122,721 14,428 137,149 55,506
NET ASSETS 122,721 14,428 137,149 55,506
FUNDS 21
Unrestricted funds 122,721 49,653
Restricted funds 14,428 5,853
TOTAL FUNDS 137,149 55,506

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2020 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

The notes form part of these financial statements

continued...

Page 10

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee) (Registered number: 05537293)

Balance Sheet - continued 31 December 2020

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 12 July 2021 and were signed on its behalf by:

G J Weston - Trustee

The notes form part of these financial statements

Page 11

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Cash Flow Statement

for the Year Ended 31 December 2020

31.12.20 31.12.19
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 61,994 (16,627)
Net cash provided by/(used in) operating activities 61,994 (16,627)
Cash flows from investing activities
Purchase of tangible fixed assets (15,888) -
Sale of tangible fixed assets 1,576 -
Interest received 160 65
Net cash (used in)/provided by investing activities (14,152) 65
Change in cash and cash equivalents in the
reporting period 47,842 (16,562)
Cash and cash equivalents at the
beginning of the reporting period 58,146 74,708
Cash and cash equivalents at the end of
the reporting period 105,988 58,146

The notes form part of these financial statements

Page 12

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Cash Flow Statement for the Year Ended 31 December 2020

1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES FROM OPERATING ACTIVITIES
31.12.20 31.12.19
£ £
Net income/(expenditure) for the reporting period (as per the
Statement of Financial Activities) 81,643 (20,585)
Adjustments for:
Depreciation charges 2,894 3,221
Profit on disposal of fixed assets (801) -
Interest received (160) (65)
(Increase)/decrease in stocks (9,453) 107
(Increase)/decrease in debtors (3,427) 3,321
Decrease in creditors (8,702) (2,626)
Net cash provided by/(used in) operations 61,994 (16,627)
2.
ANALYSIS OF CHANGES IN NET FUNDS
At 1.1.20
Cash flow
At
£
£
Net cash
Cash at bank
58,146
47,842
58,146
47,842
Total
58,146
47,842		 31.12.20
£
105,988
105,988
105,988

The notes form part of these financial statements

Page 13

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Notes to the Financial Statements for the Year Ended 31 December 2020

Feed The Hungry, UK

(A Company Limited by Guarantee)

1. STATUTORY INFORMATION

Feed the Hungry UK is an incorporated charity, limited by guarantee, registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

2. 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 significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

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.

Government Grants

Government grants receivable in relation to the job retention scheme are recognised as income over the periods necessary to match them against the related costs which they are intended to compensate, on a systematic basis. Other Government grants received are recognised at the point of receipt. Government grants are shown separately as other income.

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.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 25% on cost Motor vehicles - 25% on cost

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

The charity is exempt from corporation tax on its charitable activities. Expenses are inclusive of VAT where applicable.

continued...

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Notes to the Financial Statements - continued for the Year Ended 31 December 2020

Feed The Hungry, UK

(A Company Limited by Guarantee)

2. ACCOUNTING POLICIES - continued

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.

Pension costs and other post-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.

Donated goods

The charity receives donations of food and clothing which are then distributed as part of a relief program.

Donated goods are valued at their fair value to the charity.

Going concern

The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

Debtors and creditors receivable/payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

Cash and cash equivalents

Cash and cash equivalents comprise cash in hand and cash on deposit.

continued...

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DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

3. DONATIONS AND LEGACIES

31.12.20
Unrestricted
Restricted
Total
funds
funds
funds
£
£
£
Donations
from LeSea
Global
21,199
-
21,199
Donations
277,751
58,354
336,105
Gift aid
31,025
5,163
36,188
Legacies
-
-
-
Goods
donated
471,960
-
471,960
801,935
63,517
865,452
4.
INVESTMENT INCOME
31.12.20
Unrestricted
Restricted
Total
funds
funds
funds
£
£
£
Deposit account
interest
160
-
160
5.
INCOME FROM CHARITABLE ACTIVITIES
Activity
Grants
Provision of Aid
Grants received, included in the above, are as follows:
General
Emergency Response Centre		 31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
21,199 - 21,199 38,878 - 38,878
277,751 58,354 336,105 312,023 61,403 373,426
31,025 5,163 36,188 29,265 166 29,431
- - - 40,794 - 40,794
471,960 - 471,960 784,434 - 784,434
801,935 63,517 865,452 1,205,394 61,569 1,266,963
31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
160 - 160 47 18 65
31.12.20
£
95,721
31.12.20
£
60,796
34,925
95,721		 31.12.19
£
-
31.12.19
£
-
-
-

continued...

Page 16

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

6. OTHER INCOME

OTHER INCOME
31.12.20 31.12.19
Unrestricted Restricted Total Total
funds funds funds funds
£ £ £ £
Gain on sale of tangible fixed assets 801 - 801 -
Coronavirus Job Retention Scheme Grant 12,792 - 12,792 -
13,593 - 13,593 -

7. RAISING FUNDS

RAISING FUNDS
31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
Fundraising
publicity		 23,818 14,678 38,496 27,309 3,025 30,334
Postage and
stationery		 7,679 814 8,493 8,068 1,147 9,215
Service charges 5,184 1,682 6,866 12,387 - 12,387
Event costs 1,079 - 1,079 18,136 - 18,136
Sundries 308 - 308 430 - 430
38,068 17,174 55,242 66,330 4,172 70,502
CHARITABLE ACTIVITIES COSTS
Direct
Costs (see
note 9)
£
Provision of Aid
562,725
Support costs for charitable activities
-
562,725		 Grant
funding of
activities
(see note
10)
£
63,624
-
63,624		 Support
costs (see
note 11)
£
-
81,438
81,438		 Totals
£
626,349
81,438
707,787

8. CHARITABLE ACTIVITIES COSTS

continued...

Page 17

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

9. DIRECT COSTS OF CHARITABLE ACTIVITIES

31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
Gifts in kind
distributed		 462,507 - 462,507 784,541 - 784,541
LeSea Global
Feed the
Hungry		 540 - 540 - 684 684
Shipping of
items to
refugee
projects		 39,516 1,577 41,093 73,465 10,258 83,723
Manufacturing
costs		 - - - 216 - 216
Warehouse
costs		 315 - 315 2,748 - 2,748
Food testing
laboratory		 - - - 1,722 20 1,742
Food parcel
supplies		 23,345 34,925 58,270 - - -
526,223 36,502 562,725 862,692 10,962 873,654

10. GRANTS PAYABLE

31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
Provision of
Aid		 33,790 29,834 63,624 75,278 26,921 102,199

continued...

Page 18

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

11. SUPPORT COSTS

SUPPORT COSTS
31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
Consultancy 9,950 - 9,950 8,315 - 8,315
Wages 53,720 517 54,237 51,754 14,879 66,633
Social security 5,511 - 5,511 5,787 - 5,787
Pensions 2,028 - 2,028 2,147 - 2,147
Volunteers'
costs		 23 - 23 240 - 240
Light and heat 2,743 - 2,743 1,864 - 1,864
Travel and
subsistence		 887 - 887 6,461 64 6,525
Freight 5,590 - 5,590 10,270 - 10,270
Workwear 469 - 469 892 - 892
80,921 517 81,438 87,730 14,943 102,673

continued...

Page 19

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

12. OTHER

OTHER
31.12.20 31.12.19
Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£ £ £ £ £ £
Salaries admin
staff		 62,665 - 62,665 56,759 - 56,759
Paypal charges 233 - 233 99 - 99
Bank charges 1,211 99 1,310 2,390 127 2,517
Software 378 - 378 517 - 517
Rates and water 3,642 - 3,642 (91) - (91)
Insurance 5,547 - 5,547 3,781 - 3,781
Telephone 1,930 - 1,930 3,139 12 3,151
Postage and
stationery		 1,683 - 1,683 172 - 172
Sundries 27 - 27 654 - 654
Depreciation of
tangible fixed
assets		 2,894 - 2,894 3,221 - 3,221
Travel and
subsistence		 1,048 580 1,628 14,653 399 15,052
Motor expenses 6,534 - 6,534 7,825 150 7,975
Van hire - - - 4,320 444 4,764
Entertaining 250 - 250 909 - 909
Rent and
storage		 11,475 2,549 14,024 13,760 - 13,760
Cleaning 753 - 753 37 - 37
Repairs and
renewals		 3,314 - 3,314 1,749 - 1,749
Equipment
expenses		 2,336 - 2,336 1,811 35 1,846
Health and
safety		 2,244 - 2,244 384 - 384
Subscriptions 1,982 - 1,982 1,263 18 1,281
Consultancy 7,459 2,612 10,071 13,257 600 13,857
Other legal and
professional		 1,000 - 1,000 300 - 300
Auditors'
remuneration		 - - - 3,900 - 3,900
Accountancy 5,809 - 5,809 1,991 - 1,991
124,414 5,840 130,254 136,800 1,785 138,585

continued...

Page 20

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

13. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.12.20 31.12.19
£ £
Auditors' remuneration - 3,900
Depreciation - owned assets 2,894 3,221
Surplus on disposal of fixed assets (801) -

14. TRUSTEES' REMUNERATION AND BENEFITS

No trustees received any remuneration or other benefits from the charity.

Trustees' expenses

No trustees were reimbursed expenses from the charity.

15. STAFF COSTS

STAFF COSTS
31.12.20 31.12.19
£ £
Wages and salaries 116,902 123,392
Social security costs 5,511 5,787
Other pension costs 2,028 2,147
124,441 131,326
The average monthly number of employees during the year was as follows:
31.12.20 31.12.19
Management and administration 8 10

No employees received emoluments in excess of £60,000.

The total remuneration of key management personnel was £36,000 (2019: £36,000).

16. INDEPENDENT EXAMINATION

The total amount paid to the independent examiner/auditor for the independent examination/audit services was £3,900 (2019: £3,900). Other fees paid to the independent examiner/auditor were £1,909 (2019: £1,991) for other accountancy services.

continued...

Page 21

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

17. TANGIBLE FIXED ASSETS

17. TANGIBLE FIXED ASSETS
Fixtures
Plant and and Motor
machinery fittings vehicles Totals
£ £ £ £
COST
At 1 January 2020 3,600 4,922 7,600 16,122
Additions 8,086 3,008 4,794 15,888
Disposals - - (7,600) (7,600)
At 31 December 2020 11,686 7,930 4,794 24,410
DEPRECIATION
At 1 January 2020 2,700 4,459 6,825 13,984
Charge for year 1,798 596 500 2,894
Eliminated on disposal - - (6,825) (6,825)
At 31 December 2020 4,498 5,055 500 10,053
NET BOOK VALUE
At 31 December 2020 7,188 2,875 4,294 14,357
At 31 December 2019 900 463 775 2,138
18. STOCKS
31.12.20 31.12.19
£ £
Stocks 15,767 6,314
19. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.20 31.12.19
£ £
Trade debtors 319 -
Other debtors 6,220 2,891
Prepayments and accrued income 4,948 5,169
11,487 8,060

continued...

Page 22

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

20. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.20 31.12.19
£ £
Trade creditors 4,801 9,554
Social security and other taxes 2,274 5,598
Other creditors 374 488
Accrued expenses 3,001 3,512
10,450 19,152
21. MOVEMENT IN FUNDS
Net
movement At
At 1.1.20 in funds 31.12.20
£ £ £
Unrestricted funds
General fund 49,653 73,068 122,721
Restricted funds
Online Gift catalogue 588 908 1,496
Refugees - 317 317
Kenya 108 681 789
Malawi 851 (851) -
Uganda 1,172 (1,172) -
Rise Against Hunger (12) (9) (21)
ECED 142 (86) 56
Zambia 2 4 6
Burkina Faso 2 6,617 6,619
Grants 3,000 (1,123) 1,877
Lebanon - 112 112
H2H - 3,177 3,177
5,853 8,575 14,428
TOTAL FUNDS 55,506 81,643 137,149

continued...

Page 23

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

21. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Online Gift catalogue
Refugees
Kenya
Malawi
Nepal
Romania
Uganda
Rise Against Hunger
ECED
Zimbabwe
Zambia
Burkina Faso
Grants
Albania
Lebanon
H2H
ERC
TOTAL FUNDS		 Incoming
Resources
Movement
resources
expended
in funds
£
£
£
876,484
(803,416)
73,068
4,309
(3,401)
908
437
(120)
317
12,295
(11,614)
681
-
(851)
(851)
2,651
(2,651)
-
320
(320)
-
2,348
(3,520)
(1,172)
-
(9)
(9)
6,580
(6,666)
(86)
429
(429)
-
867
(863)
4
8,715
(2,098)
6,617
-
(1,123)
(1,123)
1,200
(1,200)
-
20,189
(20,077)
112
3,177
-
3,177
34,925
(34,925)
-
98,442
(89,867)
8,575
974,926
(893,283)
81,643

continued...

Page 24

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

21. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Net Transfers Transfers
movement between At
At 1.1.19 in funds funds 31.12.19
£ £ £ £
Unrestricted funds
General fund 67,743 (23,389) 5,299 49,653
Restricted funds
Samara's Aid Appeal (534) - 534 -
Donations from LeSea Global - Bowls 5,740 - (5,740) -
Online Gift catalogue 2,120 (1,532) - 588
Refugees 5 (5) - -
Samara's Aid Medical Appeal 68 - (68) -
Bus fund 25 - (25) -
Kenya 37 71 - 108
Malawi - 851 - 851
Uganda 19 1,153 - 1,172
Rise Against Hunger - (12) - (12)
ECED 623 (481) - 142
Zimbabwe 242 (242) - -
Zambia 3 (1) - 2
Burkina Faso - 2 - 2
Grants - 3,000 - 3,000
8,348 2,804 (5,299) 5,853
TOTAL FUNDS 76,091 (20,585) - 55,506

continued...

Page 25

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK

(A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

21. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Online Gift catalogue
Refugees
Kenya
Malawi
Nepal
Romania
Uganda
Rise Against Hunger
ECED
Zimbabwe
Zambia
Burkina Faso
Grants
TOTAL FUNDS		 Incoming
resources
£
1,205,441
404
10,073
11,408
11,058
16
10
1,153
18
17,222
60
7,153
12
3,000
61,587
1,267,028		 Resources
expended
£
(1,228,830)
(1,936)
(10,078)
(11,337)
(10,207)
(16)
(10)
-
(30)
(17,703)
(302)
(7,154)
(10)
-
(58,783)
(1,287,613)		 Movement
in funds
£
(23,389)
(1,532)
(5)
71
851
-
-
1,153
(12)
(481)
(242)
(1)
2
3,000
2,804
(20,585)

Online Gift Catalogue

Funds received for the online purchase of gifts from the Feed the Hungry Gift Catalogue. Each gift from the catalogue represents a contribution to a specific project, eg £16 provides two chickens and a lifetime of nutritious eggs.

Refugees

Funds received from donors who wish to help refugees, in Athens or other areas where need is identified.

Burkina Faso

Funds received to cover the costs of freight containers and import duties.

H2H

Funds received for food packing events. The balance of the fund at the year end was for events which had been cancelled due to Covid-19.

ERC

Emergency relief funds which were used to purchase food for UK projects.

continued...

Page 26

DocuSign Envelope ID: DDF62C27-34CA-4221-B0ED-B06F72B8B1FA

Feed The Hungry, UK (A Company Limited by Guarantee)

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

22. RELATED PARTY DISCLOSURES

The following transactions occurred during the year with LeSea Global, a charity in which Mr S Radelich is a trustee. A total of £21,199 (2019: £38,878) was received in donations from LeSea Global. A total of £540 (2019: £684) was donated to LeSea Global.

Donations of £675 (2019: £2,620) were received from trustees without conditions during the year.

All transactions were carried out at arms length and in the normal course of business.

23. OPERATING LEASE COMMITMENTS

The following are the total future minimum lease payments under non-cancellable operating leases:

2020 2019
£ £
Due within one year 12,000 12,000
Due between one and five years - 12,000
12,000 24,000

Page 27