2020-12-31-accounts

CLARION TRUST INTIRNATIONAL (A company limited by guarantee) Report and Accounts Year ended 31st December 2020

CONTENTS

	Page
Company Information	2
Directors’ Report/Trustees’ Annual Report	3-6
Independent Examiner’s Report	7
Statement of Financial Activities	8
Balance Sheet	9
Notes to the Accounts	10-13
Detailed Statement of Financial Activities with Comparatives	14

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CLARION TRUST INTERNATIONAL FOR THE YEAR ENDED 31 DECEMBER 2020 COMPANY INFORMATION

Directors/Trustees

J Newman F Irving A Hounsell P MacInnes (Resigned 10th June 2020) J Dobbs E Hughes

The directors of the charitable company (the charity) are its trustees for the purpose of charity law.

Company Secretary R Ashton Key Management Personnel S Gaukroger Governing Document Memorandum and Articles 11 July 2008 Company Registration Number 06644365 Charity Registration Number 1125336 Registered Office Windmill Farm Business Hub Bowstridge Lane Chalfont St Giles BUCKS HP8 4RG

Independent Examiner

Emma Baker BSc (Hons) FCA Baker Accountancy Services Windmill Farm Business Hub Bowstridge Lane Chalfont St. Giles BUCKS HP8 4RG

Bankers

CAF Bank 25 Kings Hill Avenue Kings Hill West Malling KENT ME19 4JQ

Metro Bank Eden Walk, Unit 81/113 Eden Shopping Centre 2 High Wycombe BUCKS HP11 2AW

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CLARION TRUST INTERNATIONAL

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 DECEMBER 2020

‘Equipping the Church for Leadership, Mission and Evangelism’

The Trustees have pleasure in submitting their Annual Report together with the financial statements of the charity for the year ended 31 December 2020, which are also prepared to meet the requirements for a Directors’ Report and Accounts for Companies Act purposes.

Objects of the charity

Clarion Trust International is a Christian charity working in the UK and overseas. It is involved in leadership, training & development, advocacy, networking, and the communication of the Christian Faith and message in a range of contexts.

Governance

The policy and operating decisions of the charity rest with the Trustees who meet regularly to monitor the activities of the Company. New Trustees are recruited and appointed by a majority of existing Trustees.

Review of Activities

In planning the activities of the charity, they have given consideration to the guidance on public benefit issued by the Charity Commission in December 2008.

During 2020, the whole world was impacted by the Coronavirus, which was described by many as a global pandemic which took thousands of lives and disrupted the global economy. Coronavirus disease (COVID-19) is an infectious disease caused by a newly discovered coronavirus. Most people infected with the COVID-19 virus experienced mild to moderate respiratory illness and recovered without requiring special treatment. Older people, and those with underlying medical problems like cardiovascular disease, diabetes, chronic respiratory disease, and cancer were more likely to develop serious illness. The virus has resulted in lockdowns, restrictions in travelling both globally and locally as well as having a disastrous effect on many businesses and the UK and Global economy generally.

In a year like no other, many of Clarion’s planned activities were postponed, cancelled and changed. Carefully planned trips to India, Australia, USA, Uganda and Tanzania all had to be cancelled, alongside church anniversary weekends, lectures, conferences and other events. The list of activities carried out is, therefore, a little shorter than usual, but the work continued in different ways as we sought to adapt to the circumstances. We have been grateful for meeting technology such as Zoom, which has enabled us to hold meetings and make some presentations. Clarion’s activities in 2020 included:

• A trip to Vilnius on behalf of Agape (an international Christian Charity, operating in 190 countries) January

• Uganda – working alongside Viva on the child protection agenda Jan/Feb  Dallas, USA for The Rooftop (a global ministry, equipping Christians to join Jesus in His mission) Feb/Mar

• Barcelona, Spain on behalf of Agape July  Vienna, Austria on behalf of Agape October  Nashville, USA, on behalf of The Rooftop November

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‘Vlogging’ Ministry

At the Trustee Retreat at the beginning of March, the Trustees agreed that more of Clarion’s work should be digitalised and that Stephen should look into producing regular ‘vlogs’ to be made available via the website, hoping to attract a younger audience. This was intended as a long-term plan as nothing of this nature had been attempted before. However, the Coronavirus lockdown which began in March forced this idea into action much earlier than planned. Stephen began to produce a short daily vlog at the beginning of lockdown. What started as a 3-week project extended into 3 months as the lockdown period continued for longer than anyone had anticipated. As the lockdown restrictions eased (temporarily) and after more than 90 daily vlogs had been recorded, he started to record a ‘Start the Week’ vlog every Sunday. This continued throughout 2020 and beyond. Although foreign travel was largely impossible in the year under consideration, these vlogs were watched by people in many different countries.

Partnerships

Clarion has continued to work with key partners over the last year, namely with Community Bible Study International (CBSI), AGAPE, Haggai International, VIVA and Good Books for Asia (GB4A). Stephen recorded a new series of DVDs for Community Bible Study, based on the book of Philippians.

In last year’s annual report, it was mentioned that Paul & Alison Bosson, members of Seer Green Baptist Church, would be relocating to Uganda in 2020 to take up a new ministry. They were to be going under the Clarion umbrella, but self-funding, accountable to Stephen Gaukroger and working partly with Crane and VIVA. Their plans had to be put on hold as the Ugandan borders closed to foreigners due to the Covid-19 pandemic. They are now planning to go in 2021, the Coronavirus permitting.

It was not possible to further develop the Legacy programme in 2021 due to the restrictions imposed by Lockdown and the Covid-19 pandemic.

Staffing and Trustees

There were no changes to staffing in the year under review. Julia Crellin continued to be Stephen’s PA and office manager and David Fletcher continued to manage the accounts on a voluntary basis. The Trustees met as a Board, either in person or virtually, four times during the year. Philip MacInnes stood down as a Trustee in June 2020 and has not been replaced to date. Clarion also moved offices in November. County Financial, the business that has kindly given office space to Clarion since its inception in 2008, moved to new premises in Chalfont St Giles (Buckinghamshire) in November and kindly made space for Stephen and Julia to join them there. As space is very limited and there is no room to store Stephen’s books, which he uses on a daily basis, Clarion has taken a short-term lease on a small studio/office in Eynsham, a 5-minute walk from Stephen’s home. He now splits his time between the two offices.

The Trustees wish to thank all our prayer partners & supporters for their faithfulness in praying for Clarion and for their generous financial support. We are grateful to God for his continuing financial provision during a period of unprecedented uncertainty largely caused by the Coronavirus pandemic. The Brexit negotiations between the UK and the European Union were resolved and a formal agreement signed in December 2020. In the year under consideration, we achieved an income of £177,268, resulting in a small deficit of £4,102 at the year end. This is fully covered by small surpluses from previous years.

Donations

During the period under review, Clarion Trust made donations to long-term contacts in Myanmar at the Grace Theological College, training pastors for Christian service and to a charity in Peru which is

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distributing food to the hungry during the Coronavirus pandemic. Both donations were agreed by the Board of Trustees at the September Board meeting.

Going concern

Going concern is a basic underlying assumption that an organisation will be able to continue operating for a period of time (usually 12 months from date of signing the accounts) that is sufficient to carry out its commitments, obligations, objectives, and so on. In other words, the organisation will not have to liquidate or be forced out of business in the foreseeable future.

Clarion has no long-term commitments, leases or contracts and has been successfully operating for ten years, meeting all its financial commitments without the need for loans or bank overdraft facilities. Our cashflow is tightly monitored to ensure that our aims and objectives are achieved without financial risk to the organisation. We have an increasing supporter donor base, including significant global partners. The Trustees of Clarion are confident that the charity will continue as a going concern for the foreseeable future.

Reserves Policy

The reserves policy has not changed since last year whereby free reserves held by the charity should be maintained at sufficient cash levels to maintain the charity's operations in the event of short-term funding fluctuations or unforeseen costs. The Board is always keen to look to increase reserves to an acceptable level .

Risk Management The responsibility for the management and control of the charity rests with the Trustees and therefore their involvement in the key aspects of the risk management process is essential. The Trustees undertake a regular review of the risks faced by the charity and seek to plan for the management and mitigation of those risks. They meet for a quarterly business meeting and informally on a monthly basis. The Charity has a comprehensive risk management policy, but the main risks to the functioning of Clarion Trust International as identified by the Trustees are: i) cashflow; ii) the wellbeing of our Director, Stephen Gaukroger; iii) overseas travel risks; and iv) perception and reputation.

• i) Cash flow . We are reliant on both individual and corporate donors. Some give on a regular basis and others give on an ad hoc basis. In a period of economic uncertainty, such as that occasioned by Brexit and the Coronavirus, we might experience a reduction or termination of funding from donors. Our cashflow and the overall financial position is reviewed both weekly and monthly by the Chairman with the Director. Our Director keeps the Trustees informed of fluctuations in the accounts and acts on their advice.

• ii) The wellbeing of our Director. Stephen Gaukroger is the key player in enabling us to deliver Clarion’s vision and goals. In view of all the international travel he undertakes, the Trustees insist that he travels business class on all the long-haul flights he takes. They also ensure that he has a full medical check every other year.

The Trustees approved a Reading Fortnight in the Summer 0f 2019 for our Director to enable him to catchup on reading and biblical study in preparation for future engagements.

• iii) Overseas Travel Risks . When considering invitations to speaking engagements and conferences overseas, the Trustees and the Director carefully assess the travel risks.

• iv) Perception and Reputation. We put a high value on the integrity and credibility of the Charity both in the UK & overseas and our Trustees have excellent networks of contacts to ensure that we are aware of any issues that may arise. Our Director communicates regularly with our supporters and is quick to thank donors for their gifts.

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Trustees’ responsibilities in relation to the financial statements

The Charity Trustees (who are also the directors of Clarion Trust International for the purposes of company law) are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Charity Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing the financial statements, the trustees are required to:

• select suitable accoun�ng policies and then apply them consistently;

• observe the methods and principles in the Chari�es SORP;

• make judgements and es�mates that are reasonable and prudent;

• state whether applicable UK accoun�ng standards have been followed, subject to any material departures disclosed and explained in the financial statements;

charity will continue in business.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006.

They are also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Approval

This report was approved on 25[th] March 2021 and signed by order of the Board of Trustees by:

John Newman

Chair of Trustees

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INDEPENDENT EXAMINER'S REPORT

TO THE CHARITY TRUSTEES OF

CLARION TRUST INTERNATIONAL

I report to the Trustees on my examination of the accounts for the year ended 31 December 2020 on pages 8 to 14 which have been prepared on the basis of the accounting policies set out on page 10.

Respective responsibilities The charity's trustees are responsible for the preparation of the accounts. The of trustees and examiner charity’s trustees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed.

It is my responsibility to:

• examine the accounts under section 145 of the Charities Act,

• to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and

• to state whether particular matters have come to my attention.

Basis of independent My examination was carried out in accordance with general Directions given by the examiner’s statement Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.

• Independent In connection with my examination, no material matters have come to my examiner's attention which gives me cause to believe that in, any material respect,: statement  the accounting records were not kept in accordance with section 130 of the Charities Act; or

• the accounts did not accord with the accounting records; or

• the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

I 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.

Signed: Dated:

Emma Baker BA (Hons) FCA Baker Accountancy Services Windmill Farm Business Hub, Bowstridge Lane, Chalfont St. Giles, Buckinghamshire, HP8 4RG

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CLARION TRUST INTERNATIONAL

Statement of Financial Activities

FOR THE YEAR ENDED 31 DECEMBER 2020

Summary Income and Expenditure Account

Note INCOME AND ENDOWMENTS FROM Donations and legacies2a Charitable activities 2b Total income and endowments EXPENDITURE ON Charitable activities3 Total expenditure Net income/(expenditure) and Net movement in funds for the year Reconciliation of funds: Total funds brought forward Total funds carried forward	Unrestricted Restricted Total Total Funds Funds Funds Funds 2020 2019 £ £ £ £ 107,063 12,000 119,063 148,012 36,205 22,000 58,205 65,705
	143,268 34,000 177,268 213,717 152,754 28,616 181,370 220,338
	152,754 28,616 181,370 220,338
	(9,486) 5,384 (4,102) (6,622) 13,065 880 13,945 20,567
	3,579 6,264 9,843 13,945

Movements on reserves and all recognised gains and losses are shown above.

The notes on pages 10-13 form part of these accounts.

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CLARION TRUST INTERNATIONAL

BALANCE SHEET

FOR THE YEAR ENDED 31 DECEMBER 2020

Note FIXED ASSETS Tangible assets 5 CURRENT ASSETS Debtors 6 Cash at bank CURRENT LIABILITIES Liabilities falling due within one year 7 Net current assets NET ASSETS FUND BALANCES Unrestricted funds General Funds 8 Restricted Funds 8 Total Charity Funds	Unrestricted Restricted Total Total Funds Funds Funds 2020 Funds 2019 £ £ £ £ - - - -
	- - - - - - - 16,179 40,411 6,264 46,675 23,866
	40,411 6,264 46,675 40,045 (36,832) - (36,832) (26,100)
	3,579 6,264 9,843 13,945 3,579 6,264 9,843 13,945
	3,579 - 3,579 13,065 - 6,264 6,264 880
	3,579 6,264 9,843 13,945

For the year ended 31 December 2020, the company was entitled to the exemption from audit under Section 477 of the Companies Act 2006 relating to small companies.

Responsibilities of Directors/Trustees:

• a. The members have not required the charitable company to obtain an audit of its accounts for the year in question in accordance with Section 476 of the Companies Act - however, in accordance with Section 145 of the Charities Act 2011 the accounts have been examined by an independent examiner whose report forms part of this document.

• b. The Directors/Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts.

These accounts are prepared in accordance with the special provisions of part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to members of the company.

Approved by the Trustees and signed on their behalf on the 25[th] March 2021 by:

John Newman (Chair of Trustees)

Company number: 06644365 Charity number: 1125336

The notes on pages 10-13 form part of these accounts.

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CLARION TRUST INTERNATIONAL

Notes to the Accounts

FOR THE YEAR ENDED 31 DECEMBER 2020

1 Accounting Policies

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice and with the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102 (effective 1 Jan 2015)) – (Charities SORP (FRS 102)) and Companies Act 2016.

The following are the accounting policies which have been applied in dealing with material items:-

a) Donated and grant income:

Donated income and grants receivable are recognised when received by the charity except where there are conditions which require use in future accounting periods in which case the income received is deferred and shown in 'amounts due within one year'. Income received in circumstances where a claim for repayment of tax has been or will be made to HM Revenue & Customs is grossed up for the tax recoverable. Any amount of tax reclaimed from HM Revenue & Customs but not yet received is shown within the charity's debtors.

b) Other income and expenditure:

Investment income is taken into account when receivable and expenditure, including irrecoverable VAT, when incurred by the charity, regardless of when payment is made. Consultancy income is taken into account in income in the accounts when the work is undertaken. If invoiced work occurs after the year end the unearned element is shown as 'deferred income'. Grants payable are taken into account at the earlier of when they are paid or become constructive obligations.

c) Fund Accounting:

Unrestricted funds are donations and other income received or generated for the objects of the charity without specified purpose and are available for purposes of the charity as directed by the trustees. Restricted funds are amounts received where the donor has specified the purpose for which it should be used.

d) Fixed assets and depreciation:

Fixed assets acquired for use by the charity are capitalised and depreciated over their estimated useful life unless they cost less than £2,500 when they are written off on purchase.

Depreciation periods are as follows:

Equipment and computers Between 3 and 7 years

• e) Pension costs:

The company operates a defined contribution scheme for all of its employees. Pension premiums are charged as they are paid.

f) Taxation

The company is a registered charity and is exempt from taxation under the Income & Corporation Taxes Acts.

g) Cashflow statement

The company has taken advantage of the exemption provided by the FRS 102 SORP and has not prepared a Cash Flow Statement for the year.

h) Going Concern

The Trustees acknowledge the latest guidance on going concern. The charity is dependent upon the generous funding of its supporters which has historically proved sufficient to enable the charity to continue its full operations. The directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future and, therefore, they continue to adopt the going concern basis in preparing the annual financial statements.

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CLARION TRUST INTERNATIONAL

Notes to the Accounts

FOR THE YEAR ENDED 31 DECEMBER 2020

2 Voluntary income a Voluntary income General donations Tax recoverable + Interest b From charitable activities Speaking fees Consultancy fees Cost reimbursements Book sales/Services 3 Charitable activity Direct Charitable Costs Staff costs Travel Uganda strategic costs Insurance Advertising Professional fees Grants (Note 3c) Support & Administration Office costs Depreciation costs Combined charitable activity cost c Grants Missional training support Relief of poverty	Unrestricted Restricted Total Total Funds Funds 2020 2019 £ £ £ £ 102,810 12,000 114,810 140,493 4,253 - 4,253 7,519
	107,063 12,000 119,063 148,012
	350 - 350 4,144 18,592 22,000 40,592 47,784 13,367 - 13,367 12,327 3,896 - 3,896 1,450
	36,205 22,000 58,205 65,705
	Unrestricted Restricted Total Total Funds Funds 2020 2019 £ £ £ £ 121,411 10,540 131,951 126,858 15,495 2,000 17,495 70,906 - 13,276 13,276 4,113 5,414 - 5,414 5,609 - - - - 61 - 61 342 6,030 - 6,030 2,782
	148,411 25,816 174,227 210,610
	3,566 2,800 6,366 9,728 777 - 777 -
	4,343 2,800 7,143 9,728
	152,754 28,616 181,370 220,338
	Institutions Individuals 2020 2019 £ £ £ £ 6,030 - 6,030 2,782 - - - -
	2,782 - 2,782 2,782

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CLARION TRUST INTERNATIONAL

Notes to the Accounts

FOR THE YEAR ENDED 31 DECEMBER 2020

# 4 Staff & Trustees

Staff & Trustees
Gross wages, salaries & benefits in kind Employer's National Insurance costs Pension costs Total staff costs	2020 £ 104,915 12,006 15,030 131,951	2019 £ 103,106 8,808 14,944
		126,858

The charity has two full time equivalent employed staff.

Number of employees receiving emoluments above £60,000: 1

1

Remuneration payable to key management (excluding Trustees) amounted to £100,863 in the year (2019: £100,928),

Key management is considered to cover the Director employed by the charity.

No Trustee received reimbursed expenses in the year.

The total amount of donations funded by Trustees and connected parties was £10,944 (2018: £8,400).

5 Tangible Fixed Assets

Equipment & Computers Cost At 1 January 2020 Additions At 31 December 2020 Accumulated Depreciation At 1 January 2020 Charge for the year At 31 December 2020 Net book value At 31 December 2019 At 31 December 2020	Total 2020 £ 6,759 777 7,536 6,759 777 7,536 -	Total 2019 £ 6,759 -
		6,759
		6,759 -
		6,759
		-

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CLARION TRUST INTERNATIONAL

Notes to the Accounts

FOR THE YEAR ENDED 31 DECEMBER 2020

6 Debtors and Prepayments Overpayment recoverable Prepayments	2020 2019 £ £ - 431 - 15,748
	- 16,179

7 Creditors: liabilities falling due within one year Taxes and social security Other creditors Accruals	2020 2019 £ £ 6,842 3,266 29,490 22,334 500 500
	36,832 26,100

8 Funds

The restricted funds represent amounts received for specific purposes and the movements in the year are as follows:

Ministry trips Grants Uganda Project	Opening Incoming Outgoing Transfers Closing Balance resources resources in the year balance £ £ £ £ £ - 22,000 (15,340) (780) 5,880 - - - - - 880 12,000 (13,276) 780 384
	880 34,000 (28,616) - 6,264

The assets and liabilities represented by the various funds are as follows:

Restricted funds Unrestricted funds	Fixed assets Bank & cash Other net Total balances assets £ £ £ £ - 6,264 - 6,264 - 40,411 (36,832) 3,579
	- 46,675 (36,832) 9,843

9 Legal Status of the Trust

The Trust is a company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity.

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CLARION TRUST INTERNATIONAL

Detailed Statement of Financial Activities with Comparatives

FOR THE YEAR ENDED 31 DECEMBER 2020

						Total	Total
		Unrestricted	Funds -	Restricted Funds		Funds	Funds
		General
		2020	2019	2020	2019	2020	2019
	Note	£	£	£	£	£	£
INCOME AND ENDOWMENTS FROM
Donations and legacies	2a	107,063	127,762	12,000	20,250	119,063	148,012
Charitable activities	2b	36,205	46,005	22,000	19,700	58,205	65,705
Total income and		143,268	173,767	34,000	39,950	177,268	213,717
endowments
EXPENDITURE ON
Charitable activities	3	152,754	181,268	28,616	39,070	181,370	220,338
Total expenditure		152,754	181,268	28,616	39,070	181,370	220,338
Net movement in funds		(9,486)	(7,502)	5,384	880	(4,102)	(6,622)
Reconciliation of
funds:
Total funds brought		13,065	20,569	880	-	13,945	20,567
forward
Total funds carried forward		3,579	13,066	6,264	880	9,843	13,945

Movements on reserves and all recognised gains and losses are shown above.

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