**Charity Registration No. 1131354** ## **DEENWAY FOUNDATION** ## **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31 AUGUST 2020** ## **DEENWAY FOUNDATION** ## **LEGAL AND ADMINISTRATIVE INFORMATION** **Trustees** Mr M Karim Mrs R Ahmed **Charity number** 1131354 **Principal address** 3-5 Sidmouth Street Reading Berkshire RG1 4QX **Independent examiner** Alwyns LLP Crown House 151 High Road Loughton Essex IG10 4LG ## **DEENWAY FOUNDATION** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 2| |Independent examiner's report|3| |Statement of financial activities|4| |Balance sheet|5| |Notes to the financial statements|6 - 9| ## **DEENWAY FOUNDATION** ## **TRUSTEES' REPORT** ## _**FOR THE YEAR ENDED 31 AUGUST 2020**_ The trustees present their report and financial statements for the year ended 31 August 2020. The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charity's Trust Deed , the Charities Act 2011 and the Statement of Recommended Practice, "Accounting and Reporting by Charities", effective January 2015 . ## **Objectives and activities** The Deenway Foundation continues to work to achieve the following objectives: 1) To advance the education and learning of pupils, parents and the wider community associated with the Deenway Montessori School and Education Centre by providing and assisting in the provision of facilities for education at the School and for educational projects and initiatives implemented by the School. 2) To provide relief from financial hardship for parents and or guardians in order to facilitate their ability to provide independent education for their children at the Deenway Montessori School and Education Centre or in relation to an educational project or initiative implemented by the School. 3) To advance the education, learning and development of young people, adults and families by supporting projects for the development of learning resources, books, teacher training and other teaching aids based on the best practices of the Deenway Montessori School and its philosophy of education. The trustees have paid due regard to guidance issued by the Charity Commission on public benefit and, in doing so, the Charity has undertaken the following activities this year: (a) This year's fund raising activities included media appeals in order to raise money to help maintain facilities for the use of pupils and others at the Deenway Montessori School. (b) Undertook needs assessments of parents and guardians who would otherwise be unable to take advantage of educational opportunities available through the Deenway Montessori School and Education Centre due to financial hardship. (c) Annual fundraising activities including sponsored walks, 52 Week Fundraiser challenge and bucket collections. In accordance with the Charity’s objectives the Foundation used the funds raised to help the Deenway Montessori School purchase vital resources to support the needs of learners at the school, and to help with buildings maintenance . ## **Achievements and performance** Donations during the year were made to the Deenway Montessori School to assist with playground development and other refurbishment work. The Foundation continues to support three pupils whose families are struggling with school fees with the provision of a hardship grant. ## **Financial review** The Charity will continue its main activities to support the objectives as listed earlier. The Charity plans to run similar fundraising events to this year to raise further charitable income, and is looking into widening the services provided by the Charity. The Charity intends to further improve fundraising efforts by mobilising parents to get involved with online fundraising campaigns and leveraging social media. - 1 - ## **DEENWAY FOUNDATION** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year. We are confident in the viability of the Charity and in the help it is able to provide to the community. The trustees has assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks. ## **Structure, governance and management** The Charity was established by a charitable trust deed on 1st November 2008 . The trustees who served during the year and up to the date of signature of the financial statements were: Mr M Karim Mrs R Ahmed Potential new trustees are recruited in one of two ways. Either the trustees approach someone who they think are sympathetic to the aims of the Charity and may be interested and have time to commit to the Charity, or an interested, sympathetic and informed person approaches one or more trustees with a view to joining the Charity. The trustees would then formally discuss the applicant's merits and skill sets. Following a formal screening process and checks as necessary, if the majority of Trustees consider that the applicant would enhance the Charity's work, he or she is formally elected by a majority of all Trustees. Mr M Karim is the Chairman of Trustees, and deals with administrative matters on an unpaid voluntary basis. All trustees are voluntary and unpaid and are responsible to ensure that the objects of the trust are observed and the duties of the charity are carried out in accordance with the applicable law. The trustees' r eport was approved by the Board of Trustees. ## **Mr M Karim** Dated: 5 July 2021 - 2 - ## **DEENWAY FOUNDATION** ## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF DEENWAY FOUNDATION** I report to the trustees on my examination of the financial statements of Deenway Foundation (the Charity) for the year ended 31 August 2020 which comprise the Statement of Financial Activities, the Balance Sheet and the related notes. This report is made solely to the charity’s trustees, as a body, in accordance with section 145 of the Charities Act 2011. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in this report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for my work, for this report, or for the opinions I have formed. ## **Responsibilities and basis of report** As the trustees of the Charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act). I report in respect of my examination of the Charity’s financial statements carried out under section 145 of the 2011 Act . In carrying out my examination I have followed all the applicable 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 that in any material respect: - 1 accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or - 2 the financial statements do not accord with those records; or - 3 the financial statements do 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 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 financial statements to be reached. Mr J Salim FCA Alwyns LLP Crown House 151 High Road Loughton Essex IG10 4LG Dated: 6 July 2021 - 3 - ## **DEENWAY FOUNDATION** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ |||**Unrestricted**|Unrestricted|Restricted|Total| |---|---|---|---|---|---| |||**funds**|funds|funds|funds| |||**2020**|2019|2019|2019| ||**Notes**|
**£**|**£**|**£**|**£**| |**Income from:**|||||| |Donations and legacies|**3**|48,929|48,855|12,339|61,194| |**Expenditure on:**|||||| |Raising funds|**4**|562|562|-|562| |Charitable activities|||||| ||**5**|47,964|70,306|12,339|82,645| |**Total charitable expenditure**||47,964|70,306|12,339|82,645| |Independent examiner fee||500|500|-|500| |**Total resources expended**||49,026|71,368|12,339|83,707| |**Net expenditure for the year/**|||||| |**Net movement in funds**||(97)|
(22,513)|-|(22,513)| |Fund balances at 1 September 2019||141|22,654|-|22,654| |**Fund balances at 31 August 2020**||44|141|-|141| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 4 - ## **DEENWAY FOUNDATION** ## **BALANCE SHEET** ## _**AS AT 31 AUGUST 2020**_ |**Notes**
**Current assets**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**8**
Net current assets
**Income funds**
Unrestricted funds|**2020**
**£**
544
(500)|**£**
44
44
44|**2019**
**£**
641
(500)|**£**
141
141
141| |---|---|---|---|---| The financial statements were approved and authorised for issue by the Trustees on 5 July 2021 ## Mr M Karim **Trustee** - 5 - ## **DEENWAY FOUNDATION** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ ## **1 Accounting policies** ## **Charity information** Deenway Foundation is a n unincorporated public benefit entity. ## **1.1 Accounting convention** The financial statements have been prepared in accordance with the Charity's governing document, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The Charity is a Public Benefit Entity as defined by FRS 102. The Charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows. The financial statements 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 Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn. The financial statements are prepared in sterling , which is the functional currency of the Charity. Monetary a mounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. ## **1.4 Incoming resources** Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. - 6 - ## **DEENWAY FOUNDATION** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ ## **1 Accounting policies** ## **(Continued)** ## **1.5 Resources expended** Resources expended include costs to generate fundraising which is mainly made up of Just Giving website costs and fees for the independent examination of the accounts. ## **1.6 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled. ## **2 Critical accounting estimates and judgements** In the application of the Charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. - 7 - ## **DEENWAY FOUNDATION** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ ## **3 Donations and legacies** |**4**
**5**|**Unrestricted**Unrestricted
Restricted
Total
**funds**
funds
funds
**2020**
2019
2019
2019
**£**
£
£
£
Donations and gifts
48,929
48,855
12,339
61,194
**Raising funds**
**Unrestricted**Unrestricted
**funds**
funds
**2020**
2019
**£**
£
Fundraising and publicity
Fundraising events and collection
562
562
562
562
**Charitable activities**
**2020**
**2019**
**£**
**£**
Donations to Deenway Montessori School
47,964
82,645
**Analysis by fund**
Unrestricted funds
47,964
70,306
Restricted funds
-
12,339
**For the year ended 31 August 2019**
Unrestricted funds
70,306
Restricted funds
12,339
82,645| |---|---| ## **6 Trustees** None of the trustees (or any persons connected with them) received any remuneration during the year . - 8 - ## **DEENWAY FOUNDATION** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 AUGUST 2020**_ ## **7 Employees** The average monthly number of employees during the year was: |||**2020**|**2019**| |---|---|---|---| |||**Number**|**Number**| ||Total|-|-| |**8**|**Creditors: amounts falling due within one year**||| |||**2020**|**2019**| |||**£**|**£**| ||Accruals and deferred income|500|500| ## **9 Related party transactions** There were no disclosable related party transactions during the year (2019 - none). - 9 -