Charity registration number: 1136529
Reality Gives
Annual Report and Financial Statements for the Year Ended 31 March 2021
Ballards LLP Chartered Accountants 11c Kingswood Road Hampton Lovett Droitwich Worcestershire WR9 0QH
Reality Gives
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Trustees' Report | 2 to 3 |
| Statement of Trustees' Responsibilities | 4 |
| Independent Examiner's Report | 5 |
| Statement of Financial Activities | 6 |
| Balance Sheet | 7 |
| Notes to the Financial Statements | 8 to 13 |
Reality Gives
Reference and Administrative Details
Trustees Mr C M Way Mr J D Clarke Mr J F Bird Principal Office 15 Market Street Oakengates Telford Shropshire TF2 6EL Charity Registration Number 1136529 Independent Examiner Ballards LLP Chartered Accountants 11c Kingswood Road Hampton Lovett Droitwich Worcestershire WR9 0QH
Page 1
Reality Gives
Trustees' Report
The trustees present the annual report together with the financial statements of the charity for the year ended 31 March 2021.
Objectives and activities
Objects and aims
The objects of the charity are the advancement of education of under-privileged children and young adults in India, in particular but not exclusively by supporting organisations using sustainable low cost models to provide high quality education, vocational and life-skills training to such persons. It aims to relieve financial hardship among students in India from deprived backgrounds to enable them to participate in educational and training centres.
The trust carries out these objectives by paying consultancy fees or salaries to individuals, or by paying Indian charities directly.
During the year, the charity paid for following:
• The salary of our Marketing and Fundraising Director (£14,093). This role is based in Mumbai, India and is very important to raise funds for both this organisation and our main partner- Reality Cares (India)- an independent charity based in India.
• The salary of our Executive Director for 4 months (£3,870). This role is based in Mumbai, India and this person oversees the operations of Reality Cares (India).
-
Admin costs of £134
-
Accountancy costs of £590
Public benefit
The expenditure has benefitted the public benefit as can be seen in our partner Reality Cares India’s Annual Report; this organisation runs three overall programs for underprivileged children and young people in the slums of Mumbai and Delhi.
1) Youth Empowerment Program. This comprises of English and Computer courses
2) School Program. This involves running six grades of a local school from Junior Kindergarten to 4th Standard.
3) Extracurricular Program. This includes workshops such as Art, Dance, Drama, Health and Wellbeing.
In addition to the programs, the majority of the teachers at Reality Gives India come from the local slum communities, and their development is as important as that of the beneficiaries of the programs.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Achievements and performance
The Marketing and Fundraising Director raised £55,189 for this organisation and also 7,985,753 Indian Rupees (about £79,100) for our partner-Reality Cares (India).
Our partner, Reality Cares (India), supported approximately 600 children and adults through its programs for the year ended 31st March 2021. This is less than in prior years because the Coronavirus pandemic meant that many classes were closed and held and online instead.
Page 2
Reality Gives
Trustees' Report
Financial review
At the end of the financial year, the charity had a total of £588,830 in various bank balances with another £31,179 held in its account with Paypal and £399 held in its account with Virgin Giving. It had prepayments of £173. It owed £2,161 in salaries, £595 in accountancy fees, and £109 to HMRC. It had £617,716 total in its Reserves, of which £20,141 were restricted and £597,575 were unrestricted.
Policy on reserves
The charity holds a considerable amount of funds in Reserves as its main partner- Reality Cares (India)- had most of its activities restricted in 2020/21 due to the Coronavirus pandemic.
Structure, governance and management
Recruitment and appointment of trustees
The charity has trustees who are passionate about social change in India and can provide the skills to enable it to run successfully.
06 Dec 2021
The annual report was approved by the trustees of the charity on .................... and signed on its behalf by:
Chris Wa y ......................................... Chris Way (Dec 14, 2021, 9:41am) Mr C M Way Trustee
Page 3
Reality Gives
Statement of Trustees' Responsibilities
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
The law applicable to charities requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles in the Charities SORP;
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the 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 enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
06 Dec 2021
Approved by the trustees of the charity on .................... and signed on its behalf by:
Chris Wa y
~~.........................................~~ Chris Way (Dec 14, 2021, 9:41am) Mr C M Way Trustee
Page 4
Reality Gives
Independent Examiner's Report to the trustees of Reality Gives
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2021 which are set out on pages 6 to 13.
Respective responsibilities of trustees and examiner
As the charity’s trustees of Reality Gives you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Reality Gives's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of Reality Gives as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the accounting 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 accounts to be reached.
...................................... Ben Powell (Dec 14, 2021, 9:48am) Benjamin Powell MSci ACA Ballards LLP Chartered Accountants
11c Kingswood Road Hampton Lovett Droitwich Worcestershire WR9 0QH
14 Dec 2021 Date:.............................
Page 5
Reality Gives
Statement of Financial Activities for the Year Ended 31 March 2021
| Note Income and Endowments from: Donations and legacies Investment income 3 Total income Expenditure on: Raising funds Charitable activities Total expenditure Net (expenditure)/income Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 11 Note Income and Endowments from: Donations and legacies Investment income 3 Total income Expenditure on: Raising funds Charitable activities Total expenditure Net income/(expenditure) Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 11 |
Unrestricted funds £ 39,502 3,165 42,667 (18,102) (49,658) (67,760) (25,093) (25,093) 622,668 597,575 Unrestricted funds £ 630,967 1,439 632,406 (12,156) (75,141) (87,297) 545,109 545,109 77,559 622,668 |
Restricted funds £ 12,522 - 12,522 - - - 12,522 12,522 7,619 20,141 Restricted funds £ 7,619 - 7,619 - (44,858) (44,858) (37,239) (37,239) 44,858 7,619 |
Total 2021 £ 52,024 3,165 |
|---|---|---|---|
| 55,189 | |||
| (18,102) (49,658) |
|||
| (67,760) | |||
| (12,571) | |||
| (12,571) 630,287 |
|||
| 617,716 | |||
| Total 2020 £ 638,586 1,439 |
|||
| 640,025 | |||
| (12,156) (119,999) |
|||
| (132,155) | |||
| 507,870 | |||
| 507,870 122,417 |
|||
| 630,287 |
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 11.
Page 6
Reality Gives
(Registration number: 1136529) Balance Sheet as at 31 March 2021
| Note Current assets Debtors 8 Cash at bank and in hand 9 Creditors: Amounts falling due within one year 10 Net assets Funds of the charity: Restricted income funds Restricted funds Unrestricted income funds Unrestricted funds Total funds 11 |
2021 £ 173 620,408 620,581 (2,865) 617,716 20,141 597,575 617,716 |
2020 £ 160,000 470,920 |
|---|---|---|
| 630,920 (633) |
||
| 630,287 | ||
| 7,619 622,668 |
||
| 630,287 |
The financial statements on pages 6 to 13 were approved by the trustees, and authorised for issue on .................... and signed on their behalf by:
06 Dec 2021
Chris Wa y
.........................................
Mr C M Way Chris Way (Dec 14, 2021, 9:41am) Trustee
Page 7
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
1 Accounting policies
Statement of compliance
The financial statements have been prepared in accordance with 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) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
Basis of preparation
Reality Gives 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 notes.
Exemption from preparing a cash flow statement
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
Income and endowments
Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.
Donations and legacies
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be reliably measured.
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Page 8
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
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.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
Page 9
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
2 Income from donations and legacies
| Unrestricted funds General £ Donations and legacies; Donations from individuals 39,502 39,502 3 Investment income Interest receivable and similar income; Bank interest receivable 4 Expenditure on charitable activities Note Donations made Governance costs |
Restricted funds £ 12,522 12,522 Unrestricted funds General £ 3,165 Unrestricted funds General £ 49,068 590 49,658 |
Total 2021 £ 52,024 52,024 Total 2021 £ 3,165 Total 2021 £ 49,068 590 49,658 |
Total 2020 £ 638,586 |
|---|---|---|---|
| 638,586 | |||
| Total 2020 £ 1,439 |
|||
| Total 2020 £ 119,432 567 |
|||
| 119,999 |
5 Analysis of governance and support costs
Governance costs
Unrestricted
| Other fees Accountancy |
General £ 590 590 |
Total 2021 £ 590 590 |
Total 2020 £ 567 |
|---|---|---|---|
| 567 |
6 Staff costs
The aggregate payroll costs were as follows:
Page 10
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
| Staff costs during the year were: Wages and salaries Other staff costs |
2021 £ 17,963 - 17,963 |
2020 £ 11,254 436 |
|---|---|---|
| 11,690 |
No employee received emoluments of more than £60,000 during the year
7 Taxation
The charity is a registered charity and is therefore exempt from taxation.
8 Debtors
| Prepayments Other debtors 9 Cash and cash equivalents Cash at bank 10 Creditors: amounts falling due within one year Other creditors Accruals |
2021 £ 173 - 173 2021 £ 620,408 2021 £ 2,270 595 2,865 |
2020 £ - 160,000 |
|---|---|---|
| 160,000 | ||
| 2020 £ 470,920 |
||
| 2020 £ 58 575 |
||
| 633 |
Page 11
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
| 11 Funds Unrestricted funds General Unrestricted Income Funds Restricted funds School Program Total funds Unrestricted funds General Unrestricted Income Funds Restricted funds English Program School Program Total restricted funds Total funds |
Balance at 1 April 2020 £ 622,668 7,619 630,287 Balance at 1 April 2019 £ 77,559 96 44,762 44,858 122,417 |
Incoming resources £ 42,667 12,522 55,189 Incoming resources £ 632,406 - 7,619 7,619 640,025 |
Resources expended £ (67,760) - (67,760) Resources expended £ (87,297) (96) (44,762) (44,858) (132,155) |
Balance at 31 March 2021 £ 597,575 20,141 |
|---|---|---|---|---|
| 617,716 | ||||
| Balance at 31 March 2020 £ 622,668 - 7,619 |
||||
| 7,619 | ||||
| 630,287 |
Page 12
Reality Gives
Notes to the Financial Statements for the Year Ended 31 March 2021
12 Analysis of net assets between funds
| Current assets Current liabilities Total net assets Current assets Current liabilities Total net assets 13 Analysis of net funds Cash at bank and in hand Net debt Cash at bank and in hand Net debt |
Unrestricted funds General £ 600,440 (2,865) 597,575 Unrestricted funds General £ 463,301 (633) 462,668 At 1 April 2020 £ 470,920 470,920 At 1 April 2019 £ 123,726 123,726 |
Restricted funds £ 20,141 - 20,141 Restricted funds £ 7,619 - 7,619 Cash flows £ 146,796 146,796 Financing cash flows £ 347,194 347,194 |
Total funds 2021 £ 620,581 (2,865) |
|
|---|---|---|---|---|
| 617,716 | ||||
| Total funds 2020 £ 470,920 (633) |
||||
| 470,287 | ||||
| At 31 March 2021 £ 617,716 |
||||
| 617,716 | ||||
| At 31 March 2020 £ 470,920 |
||||
| 470,920 |
14 Related party transactions
There were no related party transactions in the year.
Page 13
Issuer Chris Way Property Document generated Tue, 14th Dec 2021 9:38:59 UTC Document fingerprint a3da049ba7ca965f63dd0e18722d7a59
Parties involved with this document
Document processed Party + Fingerprint Tue, 14th Dec 2021 9:41:39 UTC Chris Way - Signer (dbbdfa84b7bed72798156850c62f487a) Tue, 14th Dec 2021 9:48:08 UTC Ben Powell - Signer (7321a49678280e7680e71c9522c97a34) Audit history log Date Action Tue, 14th Dec 2021 9:48:08 UTC The envelope has been signed by all parties. (82.32.140.93) Tue, 14th Dec 2021 9:48:08 UTC Ben Powell signed the envelope. (82.32.140.93) Tue, 14th Dec 2021 9:47:38 UTC Ben Powell viewed the envelope. (82.32.140.93) Tue, 14th Dec 2021 9:41:39 UTC Document emailed to ben.powell@ballardsllp.com (35.179.93.181) Tue, 14th Dec 2021 9:41:39 UTC Sent the envelope to Ben Powell (ben.powell@ballardsllp.com) for signing. (62.30.69.82) Tue, 14th Dec 2021 9:41:39 UTC Chris Way signed the envelope. (62.30.69.82) Tue, 14th Dec 2021 9:40:02 UTC Chris Way viewed the envelope. (62.30.69.82) Tue, 14th Dec 2021 9:39:56 UTC Chris Way opened the document email. (62.30.69.82) Tue, 14th Dec 2021 9:39:48 UTC Document emailed to chrisway99@yahoo.co.uk (35.179.93.181) Tue, 14th Dec 2021 9:39:48 UTC Sent the envelope to Chris Way (chrisway99@yahoo.co.uk) for signing. (62.30.69.82) Tue, 14th Dec 2021 9:39:43 UTC Ben Powell has been assigned to this envelope (62.30.69.82) Tue, 14th Dec 2021 9:39:43 UTC Chris Way has been assigned to this envelope (62.30.69.82) Tue, 14th Dec 2021 9:39:04 UTC Document generated with fingerprint a3da049ba7ca965f63dd0e18722d7a59 (62.30.69.82) Tue, 14th Dec 2021 9:39:00 UTC Envelope generated by Chris Way (62.30.69.82)