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2021-07-31-accounts

Charity number: 1127514

The Marcela Trust

Trustees’ report and financial statements for the year ended 31 July 2021

The Marcela Trust

Contents

Page
Reference and administrative details ofthe Charity, its trustees and advisers 1
Trustees‘ report 2-7
Independent auditors’ report on the financial statements 8-12
Consolidated statement offinancial activities 13
Consolidated balance sheet 14
Charity balance sheet 15
Consolidated statement ofcash flows 16
Notestothefinancialstatements 17-38

The Marcela Trust

Reference and administrative details of the Charity, its Trustees and advisers for the year ended 31 July 2021

Trustees

Mrs J Franklin MBE Mr B A Groves (deceased 14 April 2021) Mrs D P Rose Mr MR Spragg Mr P Hotham

Charity registered number

1127514

Principal office

The Trustees’ Office The Marcela Trust East Hill House 76 High Street Colchester CO1 1UF

independent auditors

Kreston Reeves LLP Chartered Accountants Springfield House Springfield Road Horsham West Sussex RH12 2RG

Bankers

HSBC Bank UK 16 Goring Road Worthing West Sussex BN12 4AW

Solicitors

Dean Wilson Ridgeland House 165 Dyke Road Brighton BN3 1TL

Page 1

The Marcela Trust

Trustees’ report

for the year ended 31 July 2021

The trustees present their annual report together with the audited financial statements of the The Marcela Trust forthe 1 August 2020 to 31 July 2021.

Objectives and activities

a. Policies and objectives

In December 2009 the Trust received a donation of 95.5% of the share capital of Omarca Investment Holdings Limited, a dormant intermediary holding company which holds 100% of the shares of OMC Investments Limited. The principal activities of OMC Investments Limited, which was founded in 1971, are property investment, management and development and the operation of three hotels through its subsidiary companies. Both Omarca Investment Holdings Limited and OMC Investments Limited are companies registered in England and Wales.

The Trust is named after Marcela Botnar (1928-2014), the wife of the founder of OMC Investments Limited, Octav Botnar (1913-1998). The aim of the Trust is to administer donations received from OMC Investments Limited which are made from that Company’s operating profits. The trustees do not actively fundraise. Restricted donations are administered in accordance with the wishes of the donor. In the absence of any restrictions, the trustees are empowered to invest the funds in accordance with Trust Law as they deem fit and to support charitable activities and organisations of merit and integrity, at their discretion in accordance with the Trust Deed and having due regard for the public benefit guidance published by the Charity Commission for England and Wales.

In setting objectives and planning for activities, the trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance ‘Public benefit: running a charity (PB2)'.

b. Grant-making policies

Since the Trust’s inception in 2009, the trustees have made grants using restricted and unrestricted funds donated by OMC Investments Limited, administering restricted funds in accordance with the wishes of the donor and unrestricted funds to support charitable activities and organisations of merit and integrity, at their discretion in accordance with the Trust Deed.

c. Main activities undertaken to further the Charity's purposes for the public benefit

In setting objectives and planning for activities, the trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance ‘Public benefit: running a charity (PB2)’.

The trustees consider that through its aims and the donations it has made, the Trust has provided public benefit. Specifically, through donations made in previous financial years, the Trust has provided clear public benefit by funding projects in the fields of medical research, the Arts, education and the relief of poverty in disadvantaged communities. All of the beneficiaries of the Trust’s donations rely fundamentally, if not exclusively, on financial support from the charitable and not for profit sectors in order to fund the services, research, activities and philanthropic work they carry out.

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Page 2

The Marcela Trust

Trustees’ report (continued)

for the year ended 31 July 2021

Achievements and performance

a. Main achievements of the Charity

Donations of £200,000 (2020: ENil) were received from OMC Investments Limited in the financial year. Donations from the Trust to other charitable organisations and activities amounting to ENil (2020: £426,280) were made in the year in furtherance of the Trust's legal purposes and for the public benefit, as explained below.

b. Peformance review

A consolidated statement of financial activities is presented on page 12.

Charitable donations made by the Trust are administered in accordance with the wishes of the donor in the case of restricted donations and in the the case of unrestricted donations, in accordance with the Trust Deed and at the trustees’ discretion, as explained in this report.

As the Trust is the ultimate majority shareholder of the trading and investment company, OMC Investments Limited, the results of that company and its subsidiary companies are consolidated into the financial statements of the Marcela Trust. How the consolidated figures impact on the Trust's accounts is explained in the Notes to the Financial Statements.

The Directors’ Report included in the Financial Statements of OMC Investments Limited outlines the significant factors affecting that company's performance and outlook and the trustees are kept informed of the company's activities at trustee meetings during the year.

c. Impact of Covid-19 on the Charity

The trustees’ policy is to make donations from cash resources in the Charity’s bank account and always to leave funds available for the administration and audit of the Charity. This reduces the risk of financial exposure. The Trust has no direct operational activities which could represent other direct risk exposure.

The Trust’s main asset is 95.5% of the shares of Omarca Investment Holdings Limited, which is a dormant intermediary holding company which owns 100% of the shares of OMC Investments Limited. OMC Investments Limited's principal activities are property investment, management and the operation of three hotels through its subsidiary companies.

The risks to which OMC Investments Limited is exposed are therefore by extraction, indirect risks for the Marcela Trust. According to the accounts of OMC Investments Limited, the major risk to which the company is currently exposed is the effect of the Covid-19 pandemic on daily life, on the businesses of its tenants and its operating companies and on the wider national economy until the pandemic retreats.

The directors of OMC Investments Limited consider that the Company remains fundamentally robust and barring any further serious force majeur events, revenues and profits will improve in the coming year.

Page 3

The Marcela Trust

Trustees’ report (continued) for the year ended 31 July 2021

Achievements and performance (continued)

d. Performance and impact of subsidiary undertakings

OMC Investments Limited makes charitable donations to the Trust from its annual operating profits and the Trust administers the donations. The trustees do not actively fund raise. In the financial year ended 31 July 2021 the Company reported a loss of £3,425,337. The trading figures of OMC Investments Limited's two subsidiary companies which operate hotels in Leeds and Colchester (a loss of £412,622 and a profit of £119,597 respectively) are consolidated in the results of OMC Investments Limited.

The Company's business activities and those of many of its tenants, continued to be adversely impacted by the effects of the Covid-19 pandemic, which resulted in several further months of national lockdown and additional regional trading, socialising and travel restrictions and curfews during the financial year.

Tenants engaged in the hospitality and travel sectors have been the most severely affected. Hotels and indoor restaurants were forced to close entirely for the month of November 2020 then again from 26 December 2020 until 17 May 2021. Little international travel has been possible or practicable during the year until very recently.

The demand for office space in London continued to be weak throughout the period due to the Governments’ continued advice for people to work from home where possible. This has affected the Company's ability to let the remaining available office space at Robert Street, WC2.

The Company conducted negotiations with individual tenants on a case by case basis on the matter of rent arrears. Support was particularly focussed on smaller independent tenants in the hospitality and travel sectors, whose businesses have suffered exceptionally and disproportionately from pandemic-driven trading restrictions and closures. Agreements and compromises have been reached with the majority of tenants at the time of writing and no tenant has been lost due to irretrievable financial difficulty or inability to reach a compromise on rent arrears. Barring any further force majeur events, rent payments are forecast to return to and remain at previous levels going forwards.

The Company's own hotel and restaurant businesses have suffered from the trading restrictions and closures during the financial year, as report in the Financial Statements of those companies.

During the year, one new investment property in Central London was acquired and two high street lease renewals were completed.

A donation of £200,000 was made to the Marcela Trust late in the financial year.

Post year end the Company has successfully completed two new high street lettings and acquired a small income-producing estate in Ipswich town centre.

A forecast has been prepared for the next twelve months. The directors are confident that despite the setbacks and difficulties caused by the Covid-19 pandemic, the Company remains robust and barring any further serious force majeure events, revenues and profits will improve over the course of the coming year.

e. Investment policy and performance

The trustees are empowered to invest the funds of the Trust in stocks, shares, securities, debts, options or other investments as they consider fit and in accordance with Trust Law. The trustees have had no significant funds to invest in the current year. The uncommitted funds at the year end were held in the Trust’s bank account in readiness for charitable donations post year end and in order to discharge audit and accountancy fees.

Page 4

The Marcela Trust

Trustees’ report (continued) for the year ended 31 July 2021

Financial review

a. Going concern

After making appropriate enquiries, the trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

The Trust

Since its inception in 2009, the Trust’s sole source of income has been represented by donations received from OMC Investments Limited. The Trust has no operating activities of its own and its only unavoidable overheads are audit and accountancy fees, insurance and bank charges. At the year end the Trust had unencumbered funds on deposit of £212,439 (2020: £17,520).

The Group

The reserves of the OMC Investments Limited sub group are £66,655,970 (2020: £70,710,333). This is largely represented by investment and development properties and properties used within the group totalling £55,265,329 (2020: £57,154,485) and net current assets of £11,390,641 (2020: £13,555,848). The directors of the group manage the property portfolio with the aim of maintaining and improving the value and earning potential of the portfolio for the longer term while maintaining a cautious attitude to risk and making donations from income, subject to ongoing and future investment considerations, to the Marcela Trust to fund the Trust’s charitable donations.

c. Principal risks and uncertainties

The trustees have reviewed the major potential financial risks to which the Trust may be exposed and systems and procedures are in place to mitigate such risks. The Trust currently has no direct operational activities which could represent other risk exposure.

The Trust's main asset is 95.5% of the shares of Omarca Investment Holdings Limited, which is a dormant intermediary holding company which owns 100% of the shares of OMC Investments Limited. OMC Investments Limited’s principal activities are property investment, management and the operation of three hotels through its subsidiary companies.

The risks to which OMC Investments Limited is exposed are therefore by extraction, indirect risks for the Marcela Trust. According to the accounts of OMC Investments Limited, the major risk to which the company is exposed is the effect of the Covid-19 pandemic on daily life, on the businesses of the company’s tenants and its operating companies and on the wider national economy, until the pandemic retreats.

The directors consider the Company’s investment portfolio, across well-located high street retail, strongly positioned leisure and office locations in Central London, Central Leeds and a number of market towns, represents a reasonable risk profile under normal circumstances.

d. Principal funding

The Trust received donations amounting to £200,000 in the financial year (2020: ENil) from OMC Investments Limited. The donations meet and correspond with the objectives of the Trust which are for general charitable purposes and in the case of restricted donations, are administered in accordance with the donor’s wishes.

Page 5

The Marcela Trust

Trustees’ report (continued)

for the year ended 31 July 2021

Structure, governance and management

a. Constitution

The Marcela Trust is a registered charity, number 1127514, and is constituted under a Trust deed.

b. Methods of appointment or election of trustees

The management of the Group and the Charity is the responsibility of the trustees who are elected and co-opted under the terms of the Trust deed.

c. Organisational structure and decision-making policies

The Trust was established by Deed on 1st December 2008 as amended by a Deed of Amendment dated 5 January 2009. It was formed for general charitable purposes in the expectation that it was to receive a donation of shares in Omarca Investment Holdings Limited. It is registered by the Charity Commission under Registration Number 1127574.

The Trustees are responsible for the appointment of trustees and meet periodically during the year when funds become available for making donations and/or to discuss progress reports from beneficiaries of the Trust and other important issues. The day to day management of the Trust is undertaken by the trustees. Appropriate induction and training of new trustees is undertaken as necessary. Trustees who acted during the year are listed at the beginning of the report.

d. Pay policy for key management personnel (including those of subsidiaries)

The Trustees consider that they, together with the directors of the subsidiary company OMC Investments Limited, comprise the Key Management Personnel (see Note 11 to the accounts). The Trustees give their time freely. The pay and remuneration of the directors of OMC Investments Limited are set by the Board and are reviewed annually based on the nature, role and extent of the respective director's reponsibilities and comparable remuneration levels in relevant industry sectors.

Plans for future periods

Charitable activity in the coming financial year will depend on the level of donations, if any, received from OMC Investments Limited. The trustees do not actively fund raise. Unencumbered funds held at the year end are sufficient to discharge the Trust's audit and accountancy fees, insurance and bank charges. On receipt of donations from OMC investments Limited the trustees expect to continue to support charitable activities and organisations of merit and integrity at their discretion (or in the case of restricted donations in accordance with the wishes of the donor) in accordance with the general charitable purposes set out in the Trust Deed and having due regard for the public benefit guidance published by the Charity Commission for England and Wales.

Page 6

The Marcela Trust

Trustees‘ report (continued) for the year ended 31 July 2021

Statement of trustees’ responsibilities

The trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are trustees at the time when this Trustees' report is approved has confirmed that:

Approved by order of the members of the board of trustees and signed on their behalf by:

Mrs J Franklin MBE, Trustee

Date: L2R-\2- AN

Page 7

The Marcela Trust

independent auditors’ report to the Members of The Marcela Trust

Opinion

We have audited the financial statements of The Marcela Trust (the ‘parent charity’) and its subsidiaries (the ‘group’) for the year ended 31 July 2021 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the Charity balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financiai statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors’ responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Emphasis of matter

We draw attention to Note 15 of the financial statements, which describes the valuation of the Investment Property class of fixed assets and the impact of COVID-19. Our opinion is not modified in respect of this matter.

Page 8

The Marcela Trust

Independent auditors’ report to the Members of The Marcela Trust (continued)

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditors’ report thereon. The trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the Group's and the parent charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the Group or the parent charity or to cease operations, or have no realistic alternative but to do so.

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Page 9

The Marcela Trust

Independent auditors’ report to the Members of The Marcela Trust (continued)

Auditors’ responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors’ report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Capability of the audit in detecting irregularities, including fraud

Based on our understanding of the charity, the group and their sectors as a whole, and through discussion with the Trustees and other management (as required by auditing standards), we identified that the principal risks of non-compliance with laws and regulations related to employment law, health and safety, anti-bribery, GDPR, the Companies Act and the Charity Commission. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities SORP (FRS 102) Second Edition (released October 2019), and other relevant charity legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated Trustees’ and management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks related to management bias in accounting estimates and judgemental areas of the financial statements such as the valuation of subsidiaries and valuation of investment properties, as well as posting inappropriate journal entries to increase revenue or reduce expenditure within the trading subsidiaries’ accounts. Audit procedures performed by the engagement team included:

Page 10

The Marcela Trust

Independent auditors’ report to the Members of The Marcela Trust (continued)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal contro! that we identify during our audit.

Page 11

The Marcela Trust

independent auditors’ report to the Members of The Marcela Trust (continued)

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Kreston Reeves LLP Chartered Accountants Statutory Auditor Horsham

6 January 2022

Kreston Reeves LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 12

The Marcela Trust

Consolidated Statement of financial activities for the year ended 31 July 2021

Unrestricted Total Total
funds funds funds
2021 2021 2020
Note £ £ £
Income from:
Other trading activities 4 4,517,319 4,517,319 4,999,359
Investments 6 14,802 14,802 40,845
Total income 4,532,121 4,532,121 5,040,204
Expenditure on:
Raising funds 7 4,419,049 4,419,049 4,825,699
Charitable activities 5,070 5,070 431,320
Total expenditure 4,424,119 4,424,119 5,257,019
Net income/(expenditure) before taxation 108,002 108,002 (216,815)
Taxation 13 45,365 45,365 -
Netmovement in funds before otherrecognised Sei
gains/(losses) 153,367 153,367 (216,815)
Losses on revaluations offixed assets (4,012,811) (4,012,811) -
Netmovement in funds (3,859,444) (3,859,444) (216,815) ©
Reconciliation offunds:
Total funds brought forward 70,723,653 70,723,653 70,940,468
Net (expenditure)/income attributable to Parent Charity 155,243 155,243 (226,515)
Net losses attributable to Parent Charity (3,831,675) (3,831,675) -
67,047,221 67,047,221 70,713,953
Net income attributable to Non-controlling interest (1,876) (1,876) 9,700
Net losses attributable to Non-controlling interest (181,136) (181,136) -
Totalfundscarriedforward 66,864,209 66,864,209 70,723,653

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

The notes on pages 17 to 38 form part of these financial statements.

Page 13

The Marcela Trust

Consolidated balance sheet as at 31 July 2021

2021 2020
Note £ £
Fixed assets
Tangible assets 14 10,470,922 11,369,467
Investment property 15 45,707,434 46,488,304
56,178,356 57,857,771
Current assets
Stocks 17 29,545 22,750
Debtors 18 1,222,354 826,500
Cash at bank and in hand 10,716,681 12,994,781
11,968,580 13,844,031
Creditors: amounts falling due within one
year 19 (1,304,169) (954,229)
Net current assets 10,664,411 12,889,802
Total assets less current liabilities 66,842,767 70,747,573
Creditors: amounts falling due aftermore
than one year 20 (23,923) (23,920)
Deferred taxation 22 45,365 -
Net assets 66,864,209 70,723,653
Charity funds
Unrestricted funds 23 63,855,392 67,531,824
Total funds 63,855,392 67,531,824
Non-controlling interests 3,008,817 3,191,829
66,864,209 70,723,653

The financial statements were approved and authorised for issue by the trustees and signed on their behalf by:

“De nalle. PanakQn:

Mrs J Franklin MBE, Trustee

Date: ZZ-V2-2l

The notes on pages 17 to 38 form part of these financial statements.

Page 14

The Marcela Trust

Charity balance sheet as at 31 July 2021

----- Start of picture text -----
2021 2020
Note £ £
Fixed assets
Investments 16 63,647,153 67,518,504
63,647,153 67,518,504
Current assets
Cash at bank and in hand 212,439 17,520
212,439 17,520
Creditors: amounts falling due within one
year 19 (4,200) (4,200)
Net current assets 208,239 13,320
Net assets 63,855,392 67,531,824
Charity funds
Restricted funds 23 - -
Unrestricted funds 23 63,855,392 67,531,824
Total funds 63,855,392 67,531,824
----- End of picture text -----

Total funds

The financial statements were approved and authorised for issue by the trustees and signed on their behalf by:

Saree Ranken

Mrs J Franklin MBE, Trustee

Date: 22-+-\2 -21

The notes on pages 17 to 38 form part of these financial statements.

Page 15

The Marcela Trust

Consolidated statement of cash flows for the year ended 31 July 2021

----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |2021|2020| |Note|£|£| |Cash|flows|from|operating|activities| |Net|cash|used|in|operating|activities|27|209,418|(96,979)| |Cash|flows|from|investing|activities| |Dividends,|interests|and|rents|from|investments|14,802|40,845| |Purchase|of tangible|fixed|assets|(378,665)|(675,769)| |Purchase|of investments|(2,123,655)|(149,347)| |Disposal|of investments|and|tangible|fixed|assets|-|54,867| |Net|cash|used|in|investing|activities|(2,487,518)|(729,404)| |Change|in|cash|and|cash|equivalents|in|the|year|(2,278,100)|(826,383)| |Cash|and|cash|equivalents|at|the|beginning|of the|year|12,994,781|13,821,164| |Cash|and|cash|equivalents|at the|end|of the year|28|10,716,681|12,994,781| |The|notes|on|pages|17|to|38|form|part|of these|financial|statements|

----- End of picture text -----

Page 16

The Marcela Trust

Notes to the financial statements

for the year ended 31 July 2021

  1. General information The Marcela Trust is registered by the Charity Commission, incorporated in England & Wales. Details of the registered address can be found on the reference and administrative details page.

The Marcela Trust owns 95.5% of the share capital of Omarca Investment Holdings Limited. Omarca Investment Holdings Limited holds 100% of the share capital of OMC Investments Limited. All of the companies are registered in England and Wales, with the exception of Castel Salbek SRL which is registered in Romania.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements 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), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a ‘true and fair! view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair' view. This departure has involved following the Charities SORP (FRS 102) published on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The Marcela Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The Consolidated statement of financial activities (SOFA) and Consolidated balance sheet consolidate the financial statements of the Group and its subsidiary undertaking. The results of the subsidiary are consolidated ona line by line basis.

No separate SOFA has been presented for the charity alone because the charity has taken advantage of the exemption available.

These financial statements are presented in sterling which is the functional currency of the group and are rounded to the nearest £1.

2.2 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 the next 12 months from authorising these financial statements. These considerations take into account the impact of COVID-19. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

Page 17

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

2. Accounting policies (continued)

2.3 Income

Income in respect of donations is accounted for on a receivable basis once the charity has entitlement to the income, it is probable that the income will be received and the amount of income can be measured reliably. For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled. Income from other trading activities represents the amount derived from the sale of properties, rents receivable, car parking charges and hotel operations (net of VAT) receivable by the subsidiary companies.

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources.

Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

2.5 Government grants

Government grants received relate to the Coronavirus Job Retention Scheme, Eat Out To Help Out, local government grants and small business grants. Such grants are credited to the Consolidated statement of financial activities as the related expenditure is incurred.

2.6 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Group; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

Page 18

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

2. Accounting policies (continued)

2.7 Taxation

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

The corporation tax charge relates to taxable profits arising in the trading subsidiaries.

The Charity receives no exemption in respect of Value Added Tax (VAT) and is not VAT registered.

2.8 Tangible fixed assets and depreciation

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and equipment - 3 to 5 years straight line basis

2.9 Investments

Investments in subsidiaries are held at fair value.

2.10 investment property

Investment property is carried at fair value determined periodically by external valuers and the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Statement of Financial Activities.

2.11 Stocks

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

2.12 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.13 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 19

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

  1. Accounting policies (continued)

2.14 Liabilities

Liabilities and provisions are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated statement of financial activities as a finance cost.

2.15 Deferred taxation

Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.

A net deferred tax asset is recognised only if it can be regarded as more likely than not that there will be suitable taxable surpluses from which the future reversal of the underlying timing differences can be deducted.

Deferred tax assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse. Financial instruments The Group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.16 Financial instruments

2.17 Pensions

The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group to the fund in respect of the year.

2.18 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

| | |

Page 20

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

3. Critical accounting estimates and areas of judgment

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing material adjustment to the carrying amounts of assets and liabilities within the next financial year relate to determining the fair value of the investment properties, which are sensitive to fluctuations in the property market.

4. Income from other trading activities

Income from non charitable trading activities

Unrestricted Total
funds funds
2021 2021
£ £
Trading income from subsidiary undertakings 4,517,319 4,517,319
Total 2021 4,517,319 4,517,319
Unrestricted Total
funds funds
2020 2020
£ £
,
Trading incomefromsubsidiaryundertakings		 4,999,359
eons		 4,999,359
ee

Page 21

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

  1. Government grants receivable

----- Start of picture text -----
|||||||| |---|---|---|---|---|---|---| |Unrestricted|Total| |funds|funds| |2021|2021| |£|£| |Government grants|receivable|by subsidiary|undertakings|643,943|643,943| |Unrestricted|Total| |funds|funds| |2020|2020| |£|£| |Government|grants|receivable|by subsidiary|undertakings|280,243|280,243|

----- End of picture text -----

The government grants receivable are included within total trading income from subsidiaries as detailed in note 4.

Greyfriars Colchester Limited;

The entity received government assistance in the form of the coronavirus job retention scheme totalling £198,039 (2020: £152,236), local government support grants totalling £109,710 (2020: £nil) and the eatout-to-help-out scheme totalling £22,172 (2020: Enil).

QHH Limited;

The entity received government assistance in the form of the coronavirus job retention scheme totalling £216,421 (2020: £128,007), local government support grants totalling £92,014 (2020: £nil) and the eatout-to-help-out scheme totalling £139 (2020: Enil).

OMC Investments Limited;

The entity received government assistance in the form of the coronavirus job retention scheme totalling £5,448 (2020: Enil).

  1. Investment income

----- Start of picture text -----
||||| |---|---|---|---| |Unrestricted|Total| |funds|funds| |2021|2021| |£|£| |Investment|income|14,802|14,802| |Unrestricted|Total| |funds|funds| |2020|2020| |£|£| |Investment|income|40,845|40,845|

----- End of picture text -----

Investment income

Page 22

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

7. Expenditure on raising funds

Costs of raising funds

Unrestricted Total
funds funds
2021 2021
£ £
Legal and professional 170,834 170,834
Direct costs of let properties and hotel operations 1,033,818 1,033,818
Recruitment and welfare 21,176 21,176
Office administration 90,827 90,827
Travel 21,695 21,695
Rent, rates and service charges 99,429 99,429
Light, heat and cleaning 139,126 139,126
Bad debts 117,635 117,635
Repairs and maintenance 140,293 140,293
Bank charges 52,945 52,945
Advertising 9,059 9,059
Insurance 89,786 89,786
Fees payable to the charity's auditor for the auditing ofaccounts of
subsidiaries ofthe charity 23,542 23,542
Wages and salaries 2,158,277 2,158,277
National insurance 50,821 50,821
Pension costs 30,862 30,862
Depreciation 168,924 168,924
4,419,049 4,419,049

Page 23

The Marcela Trust

Notes to the financial statements

for the year ended 31 July 2021

7. Expenditure on raising funds (continued)

Costs of raising funds (continued)

Unrestricted Total
funds funds
2020 2020
£ £
Legal and professional 232,158 232,158
Direct costs of let properties and hotel operations 1,059,619 1,059,619
Recruitment and welfare 31,999 31,999
Office administration 98,031 98,031
Travel 30,499 30,499
Rent, rates and service charges 237,433 237,433
Light, heat and cleaning 154,825 154,825
Bad debts 82,292 82,292
Repairs and maintenance 134,644 134,644
Bank charges 87,814 87,814
Advertising 9,933 9,933
Insurance 77,410 77,410
Fees payable to the charity's auditor for the auditing ofaccounts of
subsidiaries ofthe charity 30,968 30,968
Wages and salaries 2,299,591 2,299,591
National insurance 93,711 93,711
Pension cosis 45,133 45,133
Depreciation 119,639 119,639
4,825,699 4,825,699

Page 24

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

8. Analysis of grants

Grants paid
Grants paid
Grants to Total
Institutions funds
2021 2021
£ £
- -
Grants to Total
Institutions funds
2020 2020
£ g
426,280 426,280

The Group made the following grants to institutions during 2020 from unrestricted funds: Nuffield Orthopaedic Centre £300,000 Society of Portrait Sculptors £1,280 Fauna & Fiora International £125,000

----- Start of picture text -----
|
----- End of picture text -----

Page 25

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

9, Support costs

----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |Unrestricted|Total| |funds|funds| |2021|2021| |£|£| |Fees|payable|to|the|charity's|auditor|for|the|audit|of the|charity’s|annua!| |accounts|1,980|1,980| |Fees|payable|to|the|charity's|auditor for non-audit|costs|3,060|3,060| |Total|2021|5,040|5,040| |Unrestricted|Total| |funds|funds| |2020|2020| |£|£| |Fees|payable|to|the|charity's|auditor for the|audit|of the|charity's|annual| |accounts|1,980|1,980| |Fees|payable|to|the|charity’s|auditor for|non-audit|costs|3,060|3,060| |Total|2020|5,040|5,040|

----- End of picture text -----

Audit fees of the subsidiary companies are allocated to raising funds and the audit fee of the Charity is allocated to charitable activities and were unrestricted in the current and preceding year.

10. Auditors' remuneration

----- Start of picture text -----
||||||||||||| |---|---|---|---|---|---|---|---|---|---|---|---| |2021|2020| |£|£| |Fees|payable|to|the|Charity's|auditor|for|the|audit|of the|Charity's|annual| |accounts|24,110|25,930| |Fees|payable|to|the|Charity's|auditor|in|respect|of:| |The|auditing|of accounts|of associates|of the|Charity|12,320|11,840|

----- End of picture text -----

Page 26

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

11. Staff costs

----- Start of picture text -----
|||||| |---|---|---|---|---| |Group|Group| |2021|2020| |£|£| |Wages|and|salaries|2,158,277|2,299,591| |Social|security|costs|50,821|93,711| |Pensions|30,862|45,133| |2,239,960|2,438,435|

----- End of picture text -----

The average number of persons employed by the Charity during the year was as follows:

----- Start of picture text -----
|||||||| |---|---|---|---|---|---|---| |Group|Group| |2021|2020| |No.|No.| |Management|8|8| |Administration|4|4| |Hotel|staff|(excluding|hotel|manager)|99|102| |111|114|

----- End of picture text -----

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Group|Group| |2021|2020| |No.|No.| |in|the|band|£110,001|- £120,000|1|-| |In|the|band|£120,001|-|£130,000|-|1| |in|the|band|£220,001|- £230,000|1|1|

----- End of picture text -----

The total employment benefits including employer pension contributions of the key management personnel were £384,112 (2020: £316,663).

Page 27

The Marcela Trust

Notes to the financial statements

for the year ended 31 July 2021

12. Trustees’ remuneration and expenses

Two of the trustees are directors of a subsidiary company. One director receives remuneration, benefits and reimbursed expenses in respect of their employment by that company. No remuneration or reimbursed expenses have been paid to the trustees, in their role as trustees, by the charity.

During the year, B A Groves charged the trading subsidiary £27,083 (2020: £65,000) in respect of directors' services for B A Groves.

Trustees’ emoluments for the period (including employer's national insurance) were as follows: D P Rose £223,531 (2020: £224,474)

The remuneration paid to D P Rose is in respect of her employment as a director by the trading subsidiary and not for her role as a trustee of the charity.

During the year ended 31 July 2021, no trustee expenses have been incurred (2020 - ENIL).

13. Taxation

2021 2020
£ g
Corporation tax
Total current tax - -
Deferred tax
Tax losses carried forward (45,365) -
Total deferred tax (45,365) -
Taxationonnetincome/(expenditure) (45,365) -

Page 28

The Marcela Trust

Notes to the financial statements

for the year ended 31 July 2021

13. Taxation (continued)

The tax assessed for the year is higher than (2020 - lower than) the standard rate of corporation tax in the UK of 19% (2020 - 19%). The differences are explained below:

----- Start of picture text -----
||||||||||| |---|---|---|---|---|---|---|---|---|---| |2021|2020| |£|£| |Net|income/(expenditure)|before|tax|108,002|(216,815)| |Net|income/(expenditure)|multiplied|by|the|standard|rate|of corporation|tax| |in|the|UK|of 19%|(2020|-|19%).|20,520|(41,195)| |Effects|of:| |Expenses|not|deductible|for|tax|purposes,|other than|goodwill|amortisation| |and|impairment|25,130|1,924| |Capital|allowances|for year|in|excess|of depreciation|(93,527)|(118,681)| |Other timing|differences|leading|to|an|increase/(decrease)|in|taxation|(37,540)|(3,271)| |Unrelieved|tax|losses|carried|forward|79,298|69,436| |Subsidiaries|not|eligible|for|corporation|tax|6,119|91,787| |Deferred|taxation|-|losses|to|be|utilised|(45,365)|-| |Total|tax charge|for the year|(45,365)|-|

----- End of picture text -----

The tax charge is in relation to the trading subsidiaries. Future taxable profits are expected to be reduced by available group losses.

Page 29

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

14. Tangible fixed assets

Group and Charity

Freehold Plant and
property machinery Total
£ £ £
Cost or valuation
At 1 August 2020 10,666,181 3,285,168 13,951,349
Additions - 378,665 378,665
Revaluations (1,108,286) - (1,108,286)
At 31 July 2021 9,557,895 3,663,833 13,221,728
Depreciation
At
1 August2020		 - 2,581,882 2,581,882
Charge forthe year - 168,924 168,924
At 31 July2021 - 2,750,806 2,750,806
Net book value
At31 July 2021 9,557,895 913,027 10,470,922
At31July2020 10,666,181 703,286 11,369,467

Page 30

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

15. Investment property

Group

----- Start of picture text -----
|||| |---|---|---| |Valuation| |At|1|August 2020| |Additions| |Deficit|on|revaluation| |At 31|July|2021|

----- End of picture text -----

Freehold investment property £ 46,488,304 2,123,655 (2,904,525) 45,707,434

Charity

Given the inherent uncertainty on property valuations as a result of COVID-19, the directors did not commission an external valuation this year in the knowledge that any valuation would include a statement in respect of the uncertainty of valuation.

Excluding the properties acquired during the year, the investment properties class of fixed assets was revalued by the directors, one of whom is a chartered surveyor. The basis of the valuation was open market value assuming the properties would be sold subject to existing leases. Such properties have a current value of £43,583,779 (2020: £45,953,299) and a carrying amount at historical cost of £98,220,510 (2020: £96,210,510). The depreciation on this historical cost is £nil. The change in market value is based upon the valuation at 1 August 2020 (which was not an extenal valuation) and the directors valuation at 31 July 2021.

Page 31

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

16. Fixed asset investments

Investments
in
subsidiary
Charity companies
£
Cost or valuation
At 1 August2020 67,518,504
Revaluations (3,871,351)
At 31 July 2021 63,647,153
Net book value
At 31 July2021 63,647,153
At 31July2020 67,518,504

Principal subsidiaries

The following were subsidiary undertakings of the Charity:

Names Company Principal place of Company Principal place of Company Principal place of Principal activity Holding
number business
Omarca Investment Holdings 02264609 3 Robert Street, London, Dormant intermediary 95%
Limited WC2N 6RL. holding company
OMC Investments Limited* 00991581 3 Robert Street, London, Property development 100%
WC2N 6RL
QHH Limited* 07637088 9 Quebec Street, Leeds, Hotel and luxury 100%
Greyfriars Colchester Limited* 08835219 LS12HA
High Street,		 Colchester, apartments
_Luxury hotel and		 100%
CO11UG restaurant
The financial results ofthe subsidiaries forthe yearwere:
Names Income Expenditure Profit/(Loss) Netassets assets
£ £ for the £
period
£
Omarca Investment Holdings Limited - - - 4,000,000
OMC investments Limited* 2,169,973 5,595,310 (3,425,337) 67,053,279
QHH Limited
GreyfriarsColchesterLimited		 1,032,203
1,666,812		 1,444,825
1,547,215		 (412,622)
119,597		 (311,620)
(3,216,948)

The financial results of the subsidiaries for the year were:

Page 32

|

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

17. Stocks

Group Group
2021 2020
£ £
Finished goods and goods for resale 29,545 22,750

The cost of stocks recognised as an expense in the year amounted to £6,795 (2020: £1,299).

18. Debtors

Group Group
2021 2020
£ £
Due after more than one year
Other debtors 593,114 -
593,114 -
Due within one year
Trade debtors 143,275 378,683
Other debtors 113,337 140,468
Prepayments and accrued income 372,628 307,349
1,222,354 826,500

Page 33

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

19. Creditors: Amounts falling due within one year

----- Start of picture text -----
|||||||||| |---|---|---|---|---|---|---|---|---| |Group|Group|Charity|Charity| |2021|2020|2021|2020| |£|£|£|£| |Trade|creditors|453,961|354,810|-|-| |Other|taxation|and|social|security|95,648|88,033|“|-| |Other|creditors|206,005|55,636|“|-| |Accruals|and|deferred|income|548,555|455,750|4,200|4,200| |1,304,169|954,229|4,200|4,200|

----- End of picture text -----

Deferred income

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Group|Group| |2021|2020| |£|£| |Deferred|income|at|1|August|2020|323,987|271,119| |incoming|resouces|deferred|during|the|year|425,677|323,987| |Amounts|released|from|previous|years|(323,987)|(271,119)| |Deferred|income|at|31|July|2021|425,677|323,987|

----- End of picture text -----

Deferred income in relation to rental income invoiced in advance.

20. Creditors: Amounts falling due after more than one year

----- Start of picture text -----
||||||||| |---|---|---|---|---|---|---|---| |Group|Group| |2021|2020| |£|£| |Other|creditors|23,923|23,920| |21.|Financial|instruments| |Group|Group|Charity|Charity| |2021|2020|2021|2020| |£|£|£|£| |Financial|assets| |Financial|assets|measured|at|fair|value| |through|income|and|expenditure|10,716,681|12,994,781|212,439|17,520|

----- End of picture text -----

Financial assets measured at fair value through income and expenditure comprise cash and cash equivalents.

Page 34

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

22. Deferred taxation

Group

Credit for the year

2021 £ (45,365) (45,365)

The deferred tax asset is made up as follows:

Tax losses carried forward

----- Start of picture text -----
||| |---|---| |Group|Group| |2021|2020| |£|£| |45,365|-| |45,365|-|

----- End of picture text -----

Page 35

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

23. Statement of funds - Group

Statement of funds - current year

Balance at Balance at 1 Gains/ Balance at
August 2020 Income Expenditure Taxation (Losses) 31 July 2021
£ £ £ £ £ £
Unrestricted
funds
General Funds -
all funds 70,723,653 4,532,121 (4,424,119) 45,365 (4,012,811) 66,864,209
Statement offunds - prior year
Balance at
1 August Balance at
2019 Income Expenditure 31 July2020
£ £ £ £
Unrestricted funds
General Funds - all funds 70,940,468 5,040,204 (5,257,019) 70,723,653
24. Summary offunds - Charity
Summary offunds - current year
Balance at 1 Balance at 31
August2020 Income Expenditure July 2021
£ £ £ £
General Funds- all funds 67,531,824 200,000 (3,919,767) 63,812,057
Summary offunds - prioryear
Balance at 1 Gains/ Balance at 31
August2019 (Losses) July2020
£ £ £
General Funds-allfunds 67,758,339 (226,515) 67,531,824

Page 36

The Marcela Trust

Notes to the financial statements for the year ended 31 July 2021

25. Non-controlling interest
Equity g
At 1 August2020 3,191,829
Proportion ofprofit after taxation forthe year (183,012)
At31July2021 3,008,817
  1. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted Total
funds funds
2021 2021
; £ £
Tangible fixed assets 10,470,922 10,470,922
Investment property 45,707,434 45,707,434
Debtors due after more than one year 593,114 593,114
Current assets 11,375,466 11,375,466
Creditors due within one year (1,304,169) (1,304,169)
Creditors due in more than one year (23,923) (23,923)
Provisions for liabilities and charges 45,365 45,365
Total 66,864,209 66,864,209

Analysis of net assets between funds - prior year

Unrestricted Total
funds funds
2020 2020
£ £
Tangible fixed assets 11,369,467 11,369,467
investment property 46,488,304 46,488,304
Current assets 13,844,031 13,844,031
Creditors due within one year (954,229) (954,229)
Creditors due in more than one year (23,920) (23,920)
Total 70,723,653 70,723,653

Total

Page 37

The Marcela Trust

Notes to the financial statements

for the year ended 31 July 2021

27. Reconciliation of net movement in funds to net cash flow from operating activities

----- Start of picture text -----
||||||||||| |---|---|---|---|---|---|---|---|---|---| |Group|Group| |2021|2020| |£|£| |Net|income/expenditure|for|the|year|(as|per|Statement|of|Financial| |Activities)|153,367|(216,815)| |Adjustments|for:| |Depreciation|charges|168,924|119,639| |Dividends,|interests and|rents from|investments|(14,802)|(40,845)| |Increase|in|stocks|(6,795)|(1,299)| |(Increase)/decrease|in|debtors|(800,371)|236,368| |Increase/(decrease)|in|creditors|754,460|(194,027)| |Taxation|(45,365)|-| |Net cash|provided|by/(used|in)|operating|activities|209,418|(96,979)| |Analysis|of cash cash|and|cash|equivalents| |Group|Group| |2021|2020| |£|£| |Cash|in|hand|10,716,681|12,994,781| |Total|cash|and|cash|equivalents|10,716,681|12,994,781|

----- End of picture text -----

28. Analysis of cash cash and cash equivalents

  1. Analysis of changes in net debt

----- Start of picture text -----
|||||||||| |---|---|---|---|---|---|---|---|---| |At|1|August|At|31|July| |2020|Cash|flows|2021| |£|£|£| |Cash|at|bank|and|in|hand|12,994,781|(2,278,100)|10,716,681| |12,994,781|(2,278,100)|10,716,681|

----- End of picture text -----

30. Pension commitments

The group operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the group to the scheme and amounted to £53,818 (2020: £53,539). At the balance sheet date £7,058 (2020 - £4,760) were payable to the fund and are included in creditors.

|

Page 38