REGISTERED COMPANY NUMBER: 05608017 (England and Wales) REGISTERED CHARITY NUMBER: 1113426
Report of the Trustees and
Unaudited Financial Statements for the Year Ended 31 October 2021
for
KONDANANI UK
Ark Accountancy Chartered Certified Accountant 31 Cheam Road Epsom Surrey KT17 1QX
KONDANANI UK
Contents of the Financial Statements for the Year Ended 31 October 2021
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Independent Examiner's Report | 3 | ||
| Statement of Financial Activities | 4 | ||
| Balance Sheet | 5 | ||
| Notes to the Financial Statements | 6 | to | 10 |
| Detailed Statement of Financial Activities | 11 |
KONDANANI UK
Report of the Trustees for the Year Ended 31 October 2021
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 October 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES Objectives and aims
To advance Christianity in keeping with the Kondanani Malawi Statement of beliefs.
To relieve persons who are in need or hardship, aged or sick and to relieve the distress caused in Malawi and other parts of the world as the trustees see fit.
To advance education in accordance with Christian principles by such means as the trustees may consider appropriate including operating any educational establishment that the trustees may see fit.
Significant activities
Fundraising from individual donors and UK organisations. Part of this includes restricted funds that will be sent in their entirety to Malawi for the purpose of contributing to the staffing and running costs of KCV , including the paediatric hospital.
Public benefit
The trustees have had regard to the guidance issued by the Charity Commission on public benefit.
Social investments
Kondanani UK aims to ensure that our activities positively affect society as a whole. Our CSR policy aims to guarantee that we work ethically, considering human rights as well as the social, economic and environmental impacts of what we do as an organisation. Specifically Kondanani Malawi has an ongoing commitment to use green energy through biogas and solar power projects.
Volunteers
Travel to Kondanani Malawi was limited due to the pandemic. However Penny Curwell went to the orphanage to provide assistance where possible.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
Despite the limitations of lockdown We successfully raised funds for the following:
-
Food - this was the main focus of fundraising during this year, due to the disruption of normal food production and
-
supply in Malawi due to the Covid19 pandemic.
-
Other running costs for Kondanani Children’s Village
-
Medical supplies
-
School supplies
Fundraising activities
-
We continued to update Facebook and Instagram regularly and have a growing following we can connect with to support our projects.
-
A 30 second fundraising advert was submitted to an International broadcaster which was aired daily during this financial year. This advert was given for free.
FINANCIAL REVIEW
Financial position
The trustees have read the end of year accounts and are satisfied with the state of the charity’s finances. We are concerned about the losses of £28,275 incurred as a result of fraud and these are currently shown under debtors. We are committed to reclaiming them from the bank.
Reserves policy
There are no reserves held.There are no recurring costs or financial liabilities that would require a reserve to be held.
Page 1
KONDANANI UK
for the Year Ended 31 October 2021
Report of the Trustees
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.
Recruitment and appointment of new trustees
New trustees are appointed by the Board of trustees
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
05608017 (England and Wales)
Registered Charity number
1113426
Registered office
64 Finning Avenue Exeter Devon EX4 8FA
Trustees
Ms A S Chikhwaza (resigned 20.11.21) J G Gebbie Tour Guide Mrs J C Gebbie Retired Ms A M Horowitz Retired Miss A J Stevens Self-employed trainer (appointed 12.12.20) Mrs P J Curwell Landscape Designer (resigned 13.7.21) A W Gibson Communications & marketing (appointed 12.12.20)
Company Secretary
Mrs J C Gebbie
Independent Examiner
Mary E Ryan FCCA Ark Accountancy Chartered Certified Accountant 31 Cheam Road Epsom Surrey KT17 1QX
Approved by order of the board of trustees on 27 September 2022 and signed on its behalf by:
J G Gebbie - Trustee
Page 2
Independent Examiner's Report to the Trustees of KONDANANI UK
Independent examiner's report to the trustees of KONDANANI UK ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 October 2021.
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 2. 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
-
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.
Mary E Ryan FCCA Ark Accountancy Chartered Certified Accountant 31 Cheam Road Epsom Surrey KT17 1QX
27 September 2022
Page 3
KONDANANI UK
Statement of Financial Activities for the Year Ended 31 October 2021
| 31.10.21 | 31.10.20 | ||||
|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | Total | ||
| fund | funds | funds | funds | ||
| Notes | £ | £ | £ | £ | |
| INCOME AND ENDOWMENTS FROM | |||||
| Donations and legacies | 8,088 | 66,692 | 74,780 | 49,496 | |
| Other trading activities | 2 | - | 2,113 | 2,113 | 3,395 |
| Investment income | 3 | 4 | - | 4 | 24 |
| Total | 8,092 | 68,805 | 76,897 | 52,915 | |
| EXPENDITURE ON | |||||
| Charitable activities | |||||
| Support for Malawi | 3,972 | 50,000 | 53,972 | 44,296 | |
| NET INCOME | 4,120 | 18,805 | 22,925 | 8,619 | |
| RECONCILIATION OF FUNDS | |||||
| Total funds brought forward | 20,516 | 4,339 | 24,855 | 16,236 | |
| TOTAL FUNDS CARRIED FORWARD | 24,636 | 23,144 | 47,780 | 24,855 |
The notes form part of these financial statements
Page 4
KONDANANI UK
Balance Sheet
31 October 2021
| 31.10.21 | 31.10.20 | |||||
|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | Total | |||
| fund | funds | funds | funds | |||
| Notes | £ | £ | £ | £ | ||
| CURRENT ASSETS | ||||||
| Debtors | 7 | 28,275 | - | 28,275 | - | |
| Cash at bank | - | 23,144 | 23,144 | 25,305 | ||
| 28,275 | 23,144 | 51,419 | 25,305 | |||
| CREDITORS | ||||||
| Amounts falling due within one year | 8 | (3,639) | - | (3,639) | (450) | |
| NET CURRENT ASSETS | 24,636 | 23,144 | 47,780 | 24,855 | ||
| TOTAL ASSETS LESS CURRENT | ||||||
| LIABILITIES | 24,636 | 23,144 | 47,780 | 24,855 | ||
| NET ASSETS | 24,636 | 23,144 | 47,780 | 24,855 | ||
| FUNDS | 10 | |||||
| Unrestricted funds | 24,636 | 20,516 | ||||
| Restricted funds | 23,144 | 4,339 | ||||
| TOTAL FUNDS | 47,780 | 24,855 |
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2021.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 2021 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.
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 27 September 2022 and were signed on its behalf by:
J G Gebbie - Trustee
The notes form part of these financial statements
Page 5
KONDANANI UK
Notes to the Financial Statements for the Year Ended 31 October 2021
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
2. OTHER TRADING ACTIVITIES
| 2. | OTHER TRADING ACTIVITIES | ||
|---|---|---|---|
| 31.10.21 | 31.10.20 | ||
| £ | £ | ||
| Sponsorships | 2,113 | 3,395 | |
| 3. | INVESTMENT INCOME | ||
| 31.10.21 | 31.10.20 | ||
| £ | £ | ||
| Deposit account interest | 4 | 24 |
Page 6
continued...
KONDANANI UK
Notes to the Financial Statements - continued for the Year Ended 31 October 2021
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 October 2021 nor for the year ended 31 October 2020.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 October 2021 nor for the year ended 31 October 2020.
5. AVERAGE EMPLOYEES
0
| 6. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES | |||
|---|---|---|---|---|---|
| Unrestricted | Restricted | Total | |||
| fund | funds | funds | |||
| £ | £ | £ | |||
| INCOME AND ENDOWMENTS FROM | |||||
| Donations and legacies | 49,496 | - | 49,496 | ||
| Other trading activities | - | 3,395 | 3,395 | ||
| Investment income | 24 | - | 24 | ||
| Total | 49,520 | 3,395 | 52,915 | ||
| EXPENDITURE ON | |||||
| Charitable activities | |||||
| Support for Malawi | 43,730 | 566 | 44,296 | ||
| NET INCOME | 5,790 | 2,829 | 8,619 | ||
| RECONCILIATION OF FUNDS | |||||
| Total funds brought forward | 14,726 | 1,510 | 16,236 | ||
| TOTAL FUNDS CARRIED FORWARD | 20,516 | 4,339 | 24,855 | ||
| 7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||||
| 31.10.21 | 31.10.20 | ||||
| £ | £ | ||||
| Other debtors | 28,275 | - |
continued...
Page 7
KONDANANI UK
Notes to the Financial Statements - continued for the Year Ended 31 October 2021
8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 31.10.21 | 31.10.20 | |||
|---|---|---|---|---|
| £ | £ | |||
| Bank loans and overdrafts (see note 9) | 3,189 | - | ||
| Accrued expenses | 450 | 450 | ||
| 3,639 | 450 | |||
| 9. | LOANS | |||
| An analysis of the maturity of loans is given below: | ||||
| 31.10.21 | 31.10.20 | |||
| £ | £ | |||
| Amounts falling due within one year on demand: | ||||
| Bank overdrafts | 3,189 | - | ||
| 10. | MOVEMENT IN FUNDS | |||
| Net | ||||
| At | movement | At | ||
| 1.11.20 | in funds | 31.10.21 | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 20,516 | 4,120 | 24,636 | |
| Restricted funds | ||||
| Sponsorship | 4,005 | (4,005) | - | |
| Children's Village Malawi | - | 22,810 | 22,810 | |
| Implant operation | 334 | - | 334 | |
| 4,339 | 18,805 | 23,144 | ||
| TOTAL FUNDS | 24,855 | 22,925 | 47,780 | |
| Net movement in funds, included in the above are as follows: | ||||
| Incoming | Resources | Movement | ||
| resources | expended | in funds | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 8,092 | (3,972) | 4,120 | |
| Restricted funds | ||||
| Sponsorship | 2,113 | (6,118) | (4,005) | |
| Children's Village Malawi | 66,692 | (43,882) | 22,810 | |
| 68,805 | (50,000) | 18,805 | ||
| TOTAL FUNDS | 76,897 | (53,972) | 22,925 |
continued...
Page 8
KONDANANI UK
Notes to the Financial Statements - continued for the Year Ended 31 October 2021
10. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| Net | ||||
|---|---|---|---|---|
| At | movement | At | ||
| 1.11.19 | in funds | 31.10.20 | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 14,726 | 5,790 | 20,516 | |
| Restricted funds | ||||
| Sponsorship | 610 | 3,395 | 4,005 | |
| Implant operation | 900 | (566) | 334 | |
| 1,510 | 2,829 | 4,339 | ||
| TOTAL FUNDS | 16,236 | 8,619 | 24,855 | |
| Comparative net movement in funds, included | in the above are as follows: | |||
| Incoming | Resources | Movement | ||
| resources | expended | in funds | ||
| £ | £ | £ | ||
| Unrestricted funds | ||||
| General fund | 49,520 | (43,730) | 5,790 | |
| Restricted funds | ||||
| Sponsorship | 3,395 | - | 3,395 | |
| Implant operation | - | (566) | (566) | |
| 3,395 | (566) | 2,829 | ||
| TOTAL FUNDS | 52,915 | (44,296) | 8,619 |
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds General fund Restricted funds Sponsorship Children's Village Malawi Implant operation TOTAL FUNDS |
Net At movement At 1.11.19 in funds 31.10.21 £ £ £ 14,726 9,910 24,636 610 (610) - - 22,810 22,810 900 (566) 334 1,510 21,634 23,144 16,236 31,544 47,780 |
Net At movement At 1.11.19 in funds 31.10.21 £ £ £ 14,726 9,910 24,636 610 (610) - - 22,810 22,810 900 (566) 334 1,510 21,634 23,144 16,236 31,544 47,780 |
|---|---|---|
| 23,144 | ||
| 47,780 |
continued...
Page 9
KONDANANI UK
Notes to the Financial Statements - continued for the Year Ended 31 October 2021
10. 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 | 57,612 | (47,702) | 9,910 |
| Restricted funds | |||
| Sponsorship | 5,508 | (6,118) | (610) |
| Children's Village Malawi | 66,692 | (43,882) | 22,810 |
| Implant operation | - | (566) | (566) |
| 72,200 | (50,566) | 21,634 | |
| TOTAL FUNDS | 129,812 | (98,268) | 31,544 |
11. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 October 2021.
Page 10
KONDANANI UK
Detailed Statement of Financial Activities for the Year Ended 31 October 2021
| Detailed Statement of Financial Activities for the Year Ended 31 October 2021 |
||
|---|---|---|
| 31.10.21 | 31.10.20 | |
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Donations and legacies | ||
| Donations | 74,780 | 49,496 |
| Other trading activities | ||
| Sponsorships | 2,113 | 3,395 |
| Investment income | ||
| Deposit account interest | 4 | 24 |
| Total incoming resources | 76,897 | 52,915 |
| EXPENDITURE | ||
| Charitable activities | ||
| Light and heat | - | 48 |
| Postage and stationery | 250 | 313 |
| Sundries | 393 | - |
| Subscriptions | 50 | 50 |
| Running costs | 50,000 | 15,000 |
| Education certificates | 2,414 | - |
| Bank charges | 144 | 208 |
| Food for Malawi | - | 27,500 |
| Medical supplies | - | 566 |
| Training | 109 | - |
| 53,360 | 43,685 | |
| Support costs | ||
| Management | ||
| Insurance | 162 | 161 |
| Governance costs | ||
| Accountancy fees | 450 | 450 |
| Total resources expended | 53,972 | 44,296 |
| Net income | 22,925 | 8,619 |
This page does not form part of the statutory financial statements
Page 11