R•glsterod number: 07596900 Charlty number: 1141552 Balloon Ventures Foundation Ltd (A company limited by guarantee) Trustees, report and financial statements for the year ended 31 March 2024 Balloon Ventures Foundatlon Ltd IA company Ilmlted by guarantee) Contents Page Reference and admlnlstratlve detslls of the Charlty, Its Trustees and advlsers Trustèes. report Independent audltors. report on the financlal statements Consolldatod stat¢m8nt of financlal actlvltle$ 10 Con8olldated balance sheot 11 Charlty balance shaet 12 Consolldated statemont of cash flows 13 Notes to tho financial statsments 14-29 Balloon Venture5 Foundatlon Ltd {A company limltsd by guarahteel Reference and administrative detalls of the Charlty, its Trustees and advlsèrs for tho year ended 31 Alarch 2024 Trustees MrWSGSmith Ms A J Hindman Mr J Prabhay Mr W Ogwal {appointed 5 Juty 2024) Company registered number 07596￿10 Charlty r•gisternd number 1141552 Registered offlce 73 Mount View Road London N4 4SR Company se¢r8tary Ms M C Phillips Ind¢pendent audltor8 Kresion Reeves LLP sbtutory Auditor and Charter8d Accountanls Second Floor 168 Shoredilth Hrgh Slr8et London EI 6RA Bank TSB Bank PIC 120 George Street Edinburgh EH2 4LH VFX PIC 32-38 Dukes PtacE Lon(lon EC3A 7LP Wise Payrnents Ltd 56 Shoreditd) HyJh Street London El FairFX PLC 68 Upper Thames Streel London EC4V 3BJ Page 1 Balloon Venturès Foundation Ltd {A company Ilmltsd by guarantee) Trust88s' report for Iho yoar onded 31 March 2024 The Trustees present thelr annual report logotheT Wlth the audited finanrial statements of the Charity for th8 yoar 1 April 2023 10 31 March 2024. The annual report s8Nes th8 purposes of both a TnJst88s' report and a dir8clors' report under company law. The Trustees corbfirm Ihal the annual report and financial slalemenls of the charitab18 company comply with the cJJrrenl stalutrry requirements. the requirements of the charitabl8 companY8 governing document and the provisions of Ihe Stal6menl of Recommended Practice {SORPI applicable lo charities pwparing their accounts in acujrdance with the Finandal Reporting Standard applicable In the UK and R8publi¢ of Ir8land IFRS102118ffecb've 1 January 2019)- Since the group and tha Charity qualify as small under section 383 of the Companies Acl 2006. the group slralegic report required of rnedium and large companies under the Companies Act 2006 (Stralegic Report and Direciors, Report) Regulalions 2013 has been omitted. Obl•ctlve4 and 8Ctlvltl•• Pollcles and objectlves Tho charitrfs objecUve8 are lo relieve povgty arbd financAal hardship in Kerya and Uganda In SLTrch way8 as the Trustees see fil. In parbcLtlar bul nol exdusivety by prO￿dIng.. {11 Tralning and funding for ino)me generaling programmes 8nd job creation. {2} Supporting the needs ol chiklren in 8usia In such wayd a8 the Irusleos thlnk flt. In selllng objectlves and planning for aclNities. Trustees have given due consideralkjn to general guldance published by the Charity Commisslon ralating lo publK benefil. induding the guldanr4 'Publlc bonefit.. runnlng charity IPB2)'. b. Strateg588 for achl•vlng obledlv•s To achleve Ils obleclNes the charliy. Provldes buslness 8UPPOrt, iralning & k)an finance to Small businesses in East Alrka to hglp them lo grow and create good lobs, vla the charlils tra(Jing subsidlary Balloon Venturas Llmlled. Provldes support lo several children's. homes and schools. c. Actlvltlos und•rtakan to ochlevfj oblectlv•s To achieve the objeclivos the group has thls year focvsed on provKling businoss suptKsrt loan financo lo small busSness in East Africa. This year we have given 205 loans lo small bijsinesses in Kenya and Ug8nda 12023.. 128 loans) and continued to provode technlcal business support to our Inve818e buslnesses. d. Grantthmaklng pollcle8 In order lo further ils objectives, Ihe ¢harity may co operate with, fvnd or prowde grants to other organisalions whether charities or other. The current focus of the charity is i￿) creation. The Board of trustees has uliimale collective responsibility for all grant making deci8lons in linè wth the group's Charitab￿ purpose5 and any restrictions agreed wlh donors and funding partners. Trusle8s may 8sslgn certain decision-making responsibil5￿8$ to ils sutfrcommlitees. Board members or staff within its scheme of delegation. Such delegated decisions are subject to scrutiny and Teview from lime lo lime. Page 2 Balloon Ventures Foundation Ltd IA company Ilmlted by guarantsel Trustees. report (continued} for the year ended 31 March 2024 Raview of the yoarf5 porfomian¢• and achlevements Balloon Ventures Limited continued wolkiro wrfh and investing in small-medium enlerpdses I"SMEs"I, building on the success of the prewous year to achieve significant growth. OvoTall w8 made 205 bans agair)5t a target of 1801128 last yBarl. This was on av8rag8 17 par month with an averago ban svze of £17.5k (previous years were £16.7k, £13.6k, £12.6kl so right in Ilne wth project*)ns. Of the 208 loans. 77 were repeal customers who wanted larger loans having successfully repaid the ffrsl loan. Becoming a lender of th(xce and retsiniNJ good dients is clèarly important lo sustslnability. During the yearw*.' Achieved signrfi(3nt gro%th of £643k in revenue generated from the loan portfolio wth the gross loan portfolio reachlng £3.450.902 {110% of the annual target). Expanded the team from 16 full time members of slaff to 24 8ThJ opened 2 new br8nch offices to exlend our reach across UgarKIa. Re-started investing in Kenyd. a ne￿ designed k)an product based on previous expariences. Cash We continued lo recelve financial support aFvJ excellent feedbad( from our funde￿.. Argidius Foundation, Cili Foundalh)n, Palladium (through their Challenge Fund for Youlh Empl￿entI and Dutch Good Growth Fund. During the year we raised an additK>nal (Jebl funding of $500k from DGGF with temi sheets signed for an addilKJnal $6m from new impact lenders. Job Impact 2,970 good jobs were createdfimproved and neaty 20.000 lives po¥ilNely impacted. 78% of SME employees are youlh. 41% femak. an(J neaty 60% of inveslments meet the 2x gender criteria for gender investing. Our inveslm8nls have improved educational facilities for 40,000 students, healthcare faulities for 400,WO patients, and improved incomes for 14,000 smallwef farmers. Flnanclal review a. Golng concorn After making appropriate enquiries, the Trustees have a reasonable expectation Ihat the Charily has adequate resources to continue in operational exi8tence for the foreseeable future. For this reason, they continue to adopt th8 going concem basis in preparing Ihe finan(xal statemenls. Further delalls regarding the adoplion of the going concem basis can be foLbnd in the accounting policies. b. R8serv8s policy The charity retains suL* reseNes as the trustees consKler necessary in order to sustain ils ongoing charitable aclivilies, hamng regard lo Ihe level of donations and grants received. Donations and grants receNed lo cover speafic charitsble project costs are held in reslrided reserves. at 31 March 2024. the lolal funds were £3,116.463 12023-. £2.037,037). Of this. £2.732.265 12023.. £1,611,965) was reslricted funds. Page 3 Balloon Ventures Foundatlon Ltd (A company IlmStsd by guarantee) Truste•s' report (continued) far the yèar endèd 31 March 2024 Rlsk managoment The trustees have assessed the major risks tri which the charity is exposed, in p8rticular those related to Ihe operations and finances of the charity and are satisfied that s￿temS and pr¢xedures are in place lo millgale the chariws exposure lo the malor risks. StruGlure J governanco and management Constitutlon The charity is registered as a charitable company limited by guarantee and was sel up by 8 Memorandum of Association on 8 April 2011. b. Methods of appolntment or election of Trustees The management of the charity Is the rèsponsibility of Ihe Iruslees who are é18¢ted 8nd co-opted under th8 t8rms of the Articles of Association. Organlsatlonal structure and de¢lsion4naking pollcies The Board of Trustees, whlch has a mSnimum of three members, administers the charity and makes all decisions in regard lo the charity's operallons. The Board meets al least twice a yeqr. d. Policies adopted for the Induction and training of Trustees The initial trustees wer8 appolnled by the Articles of Association. Subsequent appointments are made by the Board of Trustees. Relatsd party rolallonshlp$ Durlng th8 year the charily received distributions of £nil12023'. £38,438) from Balloon Ventures Limited, ils wholly owned subsidiary. The charity re-¢haTg8d costs amounting lo £nil 12023.. e78,5641 lo Balloon Ventures Limitod. The outstanding b818n￿ owed by Balloon Ventures Limited lo the charity al the end of Ihe year was £343,810 12023.. £1,066,780). Plans for future periods For the nèxt financial year the group plans lo focus on continued strong growih In Kenya and Uganda, with the loan book expgcled lo grow 2x in Kenya and 1.5x in Uganda. This will involve scaling up across these counlrles, by opening new brarich8s from wh￿h to service clients. The group will Continue Investing In lechnologle8 In order lo create more efflcl8ncies and reduc8 lh8 cost of borrowing to clients in order lo have more impact. The group will continue raising capital in the f(Km of grants and debt in order lo lend lo more businesses. Pag8 4 Balloon Venture5 Foundation Ltd IA company Ilmitad by guarantee) Trustees. report {Gontlnuedl for the year ended 31 March 2024 Dlsclosura of Infomiatlon to audltor8 Each of the persons who are Truslees 81 the Ilme when th15 Trustees, report Is approved has confirmed Ihal.. so far as Ihal Trustee is aware, Ih6re Is no rèlevant audit information of whlch the charitsb18 group's audSlors arè unaware, and that Trustee has taken all the steps that ought to have been taken as a Trustee order lo be awara of any relevant audit Information and to eslabllsh that the charitable group'8 audllors are aware of that InloTmalion. Audltors The audllors. Kr881on R88ves LLP, have indScated Ihelr willlngness lo conllnue In offica. The deslgnaled Trusleas will propose a mollon reappoSnling the auditors al a meeting of the Trusle8S. Approved by ord8r of tha members of the board of Trustees 8nd slgned on Ihelr bohalf by.. MrWSGSmlth Trusta8 Dgte.. 07. IL) , 2024 Pag8 5 Balloon Ventures Foundatlon Ltd (A company limited by guarantee} Indep•ndent audftors. r•port to the Members of Balloon Ventures Foundatlon Ltd Oplnlon W8 hav& audited the finanual slalernen18 of Balloon Venturès Foundalbn Ltd Ilhe 'parenl charitable companll and ils subsidiaries Ilhts'group'l for the year ended 31 March 2024 which comprise the consolidated statement of financial activities. the consolidated balan0* sheet. the charity balance sheet. the consolidaled stalemenl of cash flows and the related notes. induding a summary of significant accA)unllrwJ polides. The financial reporting framework that has been applied in Iheir preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Finanaal Reporting Siandard applicBble in the UK and Republic of Ireland. Iuniled Kingdom Generalty Accepled A(tounting Praets'ce). In our oplnlon the fin8ndal statements: glve a true and falr view of the slala of the Group's and of tha parent charllable ¢omp8nVs affalrs as al 31 March 2024 and of the Group's Incoming resoure68 and appllcallon of resourc88. Includlng Ils Incom8 and expenditure for the year then ended.. have been property prepared in accordanee wlh United Kingdom Generalty Accepted Aceounling Pracllce; and have b88n prepared in a(￿rdar￿0 vAlh the requlrements of the Companies Ad 2006 and th8 Ch8rllles Ac12011. Ba818 for oplnlon We conducted our audit in a￿[danc& vAlh Intemalional St8ndards on A￿dI￿￿j IUKI {ISA8 {UKII and 8pplkabla law. Our responslbllllies under thos8 slarfards are further descr6bed In the Audltors, r8sponslbllllles for the audll of the flnanclal slalemenls Sectlon of our report. We are independanl of the Group In accordance with the 81hlGql requlrem8nls that are relevant lo our audit ol Iho flnanclal slalements In the Unlted Klngdom. Sncludlng th8 FlnancSal Reportlng Councifs Elhkal Standard, and we have fulfilled our other 8lhic81 r88ponsiblllllas In accordance wilh these 18quiremenis. Wo believe that the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Con¢lu41on8 rnlatlng to golng concem In 8udlllng the financlal slalemenls. we have concluded th81 Ihe Trusle8$' use of th8 golng concern basls of 8ccounling in the pieparalion of the finanryal stalemenls is appfopriale. Basod on the work we have perfomwl, we have not Identlfied 8ny malerfal uncertalnlles relatlng lo events or condSllons Ihal, indlvldualty or colleclively. may cast svJnificanl doubl on the Group's or the parent charllabl& companys ablllly to conttnue as a goiro con￿rn for a perfod of al least hvelve months from when the fln8nclal slalemenls are aulhorlsed for Issue. Our responsibilities and the responslbilitte5 of the Trusl88S Imlh respect lo going con(*m aro described in Ihe relev8nl seclions of Ihis report. Pago 6 Balloon Venturès Foundation Ltd IA company limltsd by guaranttsl Independent •udltors' report to the Members of Balloon Venturns Foundation Ltd {continuodl Other Inforniatlon The olheT infomialion comprises the Informal￿n induded in the annual report other than the financial statements and our auditors. report IheFeon. The Trnstees are responsible for the other information contained within the annual report. Our opinion on the financial slalements doe5 not c¥)ver the other infomation and, except lo the extent olheNise expliatly stated in our report. we do not express anyform of assurance conclusion Ihereon. Our responsibility i8 to read the other infomialion and. in doing so. consider whether the other information is maierialty inconsislenl with the finanaal ststements or our knowledge obtsined in the ¢OUTse of the audit. or oth8n￿ls8 appears to be malerialjy misststed. If we identify suth material in¢onsi5tencies tsr apparent material mSsslatements, we are réquired to delem)ine whether this gives rise to a material misstatem8nt ir) the financial slalements themselves. If, based on the work we have perfomied. we cnndude Ihal there Is a malerlal misslalement of this other informallon. w8 are reqLEired lo report Ihal fact. We havo rKJthing to report in this regard. Opinlon on other matters prescrlbed by the Companles Act 2006 In our opinion. based on the work undertaken in the u)urse of the aL•dil.' the infom731ion gNen in the Trust8es' r8POrt for the finarrial year for which the finahaal statements are prepared is consrslenl with the finanual statements. the Trustees. report has been preparaj in accordance with applicabl8 legal requirements. Matters on which we are requlred to report by exception In the light of our knovAedge arHI understanding of Ihe tharitable company and its environment obtained in the course of the audit, we have ml identified material mi8Statements in the Tnjstees. rep)rL We have nolhing lo rep(xt in respect of the folkjwing mattars in re￿tiOn to whth Companies Act 2006 requirés us to rewrt to wju rf. in our OpinK￿. the parent charitable company has not kept adequate and suffiuenl accounting racords, or Telums adequate for our audit h8ve not been received from brar)ches not visited by us.. or the parent Charitab￿ company finanual statements are r￿1 in agreement with the accounting records and relums., or certain disclosures of Trustees. remuneration speufied by law are nol made. or we have nol received all the infomiation and explanations we requir8 for our audil,- or the Trustees were not entitled to prepare the finanual slalemenls Irb accordance with the small companies regime and take advantage of the small companies, exemptions in preparing the Tnjslees, report and fmm the requirement to prepare a Strategic report. Responslbllltles of trustses As explained more fully in the trustees, r8sponsibililies sialement. Ihe Trustees (who are also the directors of the charitabb company for the purposes of company lawl are resKwsible for the preparatKJn of the financial statements and for being satisfied that they give a true and fair view, and for such intemal control as the Trustees determine is necessary to enable the preparation of financial slatements that are free from mateTial misslalemenl. whether due lo fraud or error. In preparing the financial statements. the Ttuslees are responsible for assessing the Group's and the parent charitable companys ability lo continue 8$ a going con¢em, disck)sing, as 8pplic8ble, matters related to going concern and using the going concern basis of accounkn.ng unkn the Truslees either intend to liquidat8 the Group or the parent charitable company or to wse operdtions. or have no realistic allernalive but to do so. Page 7 Balloon Ventures Foundation Ltd IA company limlted by guarantee) Independènt audltors. roport to the Members of Balloon Ventures Foundatlon Ltd (contlnued) Auditors. rosponslbilities for the audlt of the flnanclal ststemenls Our objecllves are to csbtain reasonable assurance about whalher th8 financial slalements 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, bul is nol a guarantee that an audit conducted in accordance with ISAS {UKI wll always detect a material misstalemenl when il exists. Mi5Stalemenls can arise frorn fraud or error and are considered material if, individualty or in the asgregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial statements. Irr￿UlarIti0S, including fraud, are instances of non-compliance with laws and raguLqllons. We design procedures In Ilne with our responsibililles, oullinad above. lo delecl material misslalemenls in respect of irregularilles, including fraud. The exlenl lo whtch our procedures are capable of delecling irregularities, including fraud is detailed below.. Capablllly of Ihe audit in det8cling Irregulant￿s. including fraud Based on our understanding of the charity and the sector a5 a whole, and through discussion vjilh the Trustees ar￿ other management las required by auditing slandaydsl, we identified that the principal risks of non- compliance wlh laws and regulations related to health and safety. anli-bribery and employment law. We consldered the extent to whlch non-￿mplIance might have a material effect on Ihe financial statements. We also considered those laws and regulations that have 8 direct impècl on the preparation of the financial statements such as th8 Charilies SORP {FRS 1021 Second Edition IFe188sed October 2019), the Companies Act 2006 and other relevant ¢harity legislation. We communicated identified laws and regulations throughout our team and remained alert lo any indicallons of non-compliance Ihroughout the audil. We evaluated Twslees, and management's incentives and opportunitles for fraudulent manipUlat￿n of the financial statements lin¢luding Ihe r18k of overrlde of conlrolsl and determined that the prlnclpal rtsks related lo posllng Inapprop￿818 joumal enlrles lo increase revenue or reduce expenditure. management bias in accounting estimates and judgemenlal areas of the financial statements such as the provisions against loan dgbtor balances. Audit procedures perfomed by the engagement leam included.. Discussions with management and assessment of known or susP8cled Instances of non-compliance wth laws and regu5alions (including health and safetyl and fraud. and Assessment of identified fraud risk factots,. anil Challenging assumptions and judgements made by Tnanagemenl in its signifi¢anl accounting eslSmales ncludlng the loans provlsion by assessing adequacy of provision against overdue and high risk debtors: and Confimialion of related parties with management, and review of transactions throughout the period lo Identify any previously undlsclosed tr2nsa¢lions wlh related parties outside the normal course of business., and Perfomiing anatytical procedures with automated data anafyti¢s tools to identify any unusual or unexpected relationships. including related party Iransaclions, that may indicate risks of material misstalemenl due lo fraud.. and Reading minules of meetings of those charged wth govemance,. 8nd Idenlifw'ng and lesling journal 8nlries, in particular any manual entries made at Ihe year end for financial statement preparallon. Because of the inhgrenl limitations of an audit, there is a risk that wo will not delecl all irregularities, including those leading lo a material missialement in the financial slalemenls or non-compliance with regulation. This risk increases the more Ihal compliance with a law or regulation is removed from the events and transactions reflected in the ftnancial slalernenls. as we will be less likely to become aware of in81ances of non-compliance. Paga 8 Balloon Ventures Foundatlon Ltd IA company Ilmlted by guarante81 Independent audltors. report to the Membfrr8 of Balloon Ventur88 Foundatlon Ltd Icontlnuedl As part of an audit in accordance with ISA9 IUKI, we exerclse professlonal judgment and malntain professional scepllcism throughout the audlt. Wo also.. Identify and assess the risks of material misslalemenl of the financial slalemenls. whether dua lo fraud or error, deslgn and perform audit proo8dures responsive lo those dsks, and obtain audit evldance Ihal Is sufficient and appropriate lo provida a basis for our oplnlon. The risk of not detecting 8 malarl81 misslalemenl resulting from fraud is higher than for one resulting from error, as Iraud may Involve collusion, forgery, Inlenlional omlssions, misrepresenlallons. or the overrid8 of Iniernal conlrol. Obtaln an understanding of Internal control relevant lo the audll In order lo deslgn audll procAdures that ar6 appropriBte in the circumstances, bul not for the purpose of expre881ng an oplnlon of the effecllveness of the charitable company's internal conlTOI. Evaluat8 the appropriateness of accounllng pollcle$ used and the reasonableness of accounllng esllmal88 and related élsclosures m8de by the Trusl88s. Concludo on the appropriateness of the Trustees, use of the golng concern basls of accounllng and, based on the audit evldenc¢ obtained, whether a rnalerlal uncortainty exists related lo events or conditions that may cast 8lgnlflcanl doubl on the charit8ble companvs ability to conllnu8 as a golng concern. If we conclude that a material uncertainty exisls, we are requlred lo draw allenllon In our 8udilois' report io (he related disclosures in th8 1Snanclal slalemenls or, if such dSsclosures 8r8 Inad8qualo, lo modlfy our oplnlon. Our concluslons ar8 basod on the audit evidenc8 oblalned up lo th6 dale of our audllors, report. However, future events or condillons may cause Ihe charftable company lo c8a8e lo continue as a golng concern. Evaluat8 the overall pres8nlallon, structure and conl6nl of the financlal slalemenls, including the dlsclosur85. and whether th8 fln8nclal sl818m8nls r8pr8s8nl the underlying Iransacllon8 and ev8nls Sn a manner Ih818chlevo$ folr presenlallon. Obtain sufficient approprfale audll evldence regarding the flnancSal Informallon of the enlilles or busine85 acllvSlles wilhln the Group lo express an oplnion on the consolldaled flnanclal slalemgnls. We are responsible for the dir@clion, supervision and p8rformance of the Group audit. We remain solely responsSble for our audll oplnlon. We communicate with Ihose charged ¥Mih govern8nco reg8rdlng, among other m811or8, the planned 8copo and liming ol Ihg oudil and slgnificanl audll flndlngs, Including any slgnlficanl deficiencles In Snlernal control that we denllfy durlng our audit. Use ofour report This report is made Solely lo Ihe charitablè compan￿$ memb8rs, as a body, In accordance with Chapter 3 of Part 16 of the Companies Act 2006, and lo the charitable company's Iruslees. as a body, Part 4 of the Charities (Accounts and Reports) Regulations 2f108. Our audll work has been undertaken so that we might slate lo the charitable companls members those mallers we aro required lo stale lo Ihem In an audllors, report 8nd for no other purpose. To the fullesl exlenl permillad by law, we do not 8ccepI or assume responsiblllly lo anyone other than the charitable company Bnd ils members, as a body, for our audit work, for this r8port. or for the opinions we have formed. krcsLn 51iLW Lij ' Stephen Moss Bsc (Hons) ACA (Senlor Statutory Audltor) for and on behalf of Kreston Reev68 LLP Slalulory Auditor and Chartèred Accounlanls London Dale.. 8 October 2024 Page 9 Balloon Ventures Foundatlon Ltd (A company Ilmlted by guarantee) Consolldated Statement of flnanclal actlvltles Ilncorporatlng Income and expondlture ac¢ountl for the year ended 31 March 2024 Unrestricted funds 2024 Restricted funds 2024 Totsl funds 2024 Total funds 2023 Nole Income from: Donations and legacles Other Ir8ding activities Other invttslmenl income Other income 36 1,326,682 802,072 11.195 4.467 1.326,718 802,072 11.195 9,272 862,043 572. 125 30 4.805 10,800 Total Income 4,841 2,144,416 2,149,257 1.444.998 Expendltur8 on: Other trading activities Charitable aclivitEes 891.878 132,238 891.878 177,953 520, 769 185,914 45.715 Total eX￿ndIture 4S,715 1,024,116 1,069,831 706,683 Nat movement In funds 140,8741 1,120,300 1,079,426 738.315 R&con¢lllatlon of funds: Total funds brought forw8rd Nel movement in fijnds 425,072 (40.8741 1.611,965 1.120.300 2,037,037 1.079,426 1,298, 722 738,315 Total funds ¢arrfed fotward 384,198 2,732,265 3,116,463 2,037,037 Page 10 Balloon Ventures Foundatlon Ltd (A company Ilmlted by guarant￿) Reglstered number: 07596900 Consolldatsd b8lanco shoot as at 31 March 2024 2024 2023 Noto Tangible assets Current assets 14 76,196 32,948 Debtors Cash al bank and In hand 16 3,602.550 1.060,379 1,907,464 769,605 4,662,929 2,677,069 Crodltors.. amounts falllng due Withln ong 17 {32,103) (44,093) Nfjt Gurront assets 4.630.826 2,632.976 Total ass•ts1088 curront Ilabllltl•• 4,707,022 2,665,924 CredSlors'. amounts lalling due alter m¢ye than one year 18 11,590.559) (628,887) Total net a••et• 3,116,463 2,03T.037 CharSty funds Reslrlcled funds Unreslrlcled funds 19 19 2,732.265 384.198 1,611,965 425,072 Totsl funds 3,116.463 2.037.037 Tho Trustees ackn¢jW￿gé their responslbllitks for complyng wth the requlrements of Ihe Act vllh reswl lo accounting records and preparation of financAal $tstements. The fln8ndal statements have b8en prepared in accordance vAlh the provbions applicable to enlltses subject to the small companies reglme. The fin8nclal slatemenls were approved an(1 out￿1$8(1 for Issue by th8 Trusloes and sMJned on thelr behalf by.. MrWSGSmlth Truste8 Dale.. ￿?. 10. ?0?4 The note5 on pages 14 10 29 forni part of these financial slatemenls. Page 11 Balloon Ventures Foundallon Lld {A company Ilmlted by guarantee) Reglstered number: 07596900 Charlty balance sheet as at 31 March 2024 2024 2023 Note Flxed assets Investments 15 3,024,786 984. 718 3,024,786 984,718 Current asset5 Debtors Cash al bank and In hand 16 343,818 32,252 1.066.780 201,110 376,070 1,267,890 Creditors.. amounts falling due within one year {6,4111 (11, 733) Nat currgnt assets 369,659 1,256, 157 Total net as$et$ 3,394,445 2,240.875 Charlty fund8 Restricted funds 19 2,248,167 1,146,278 1,053,723 1,187,152 Unrestricted funds 19 Total funds 3,394.445 2,240.875 The Charitys nel movement in funds for the yearwas £1,148,765 (2023- £793. 131). Tho Truslees a¢knO￿8dg8 their responsibilities for complying with tho requirements of the Act with respect lo accounting records and preparallon of financial slalemenls. The financial statements have been prepared in accordan￿ with the provisions applubb lo enlilies subject lo tho small compan168 r8glm8. The financial statements were approved and aulhorised for issue by the Trustees and signed on their behalf by.. MrWSGSmlth Trustee Dale.. 07. Ic), ZLZ4 The nol8s on pages 14 10 29 form part of these financial stslemenls. Page 12 Balloon Ventures Foundatlon Ltd IA company Ilmlted by guarantsel Consolldated Statement of cash flov for the year èndod 31 Mar¢h 2024 2024 2023 Note Cash flows from opèratlng actlvltl•s Nel cash used in operallng aclivilies Cash flows from Invostlng actlvltles Purcha88 of langlble fixed 8ssel8 Interest rec8lved 22 1421,551) 294,051 154,7491 11,195 (37,514) Jo Not cash usod In Invesllng actlvlt108 143,554) 137,4841 Cash flows from Ilnanclng actlvltles C88h inflows Irom new borrowlng Inlaresl payable 961,672 150,5121 (8,319) N•t cash provlded byl{used In) flnanclng actlvltl•s 911,160 18,3191 Ch•ng• In cjtyh and cash frqulvalants In th• yoar Cash and cash equlvalents al the beglnning of the year Change in cash and cash equlv8lenls due lo exchange rate movemen18 446,055 248,248 769,605 (155,2811 560,188 {38,831) Cash ond cash gqulval•nt8 at th8 end of tho year 1,060,379 769,605 Th8 notes on pages 14 10 29 form port of th888 flnanci818talements Page 13 Balloon Venturos Foundation Ltd {A company Ilmlted by guarants81 Notes to the financial ststsmènts for the year ended 31 March 2024 General Informallon Balloon VenluTes Foundation Limited is a private company limited by guarantee and a registered charity. Registered company number 07596900, registered in England, and registered charity number 1141552. The principal aims of Ihe charity are shown In the Trustee Report and the registered office is shown in the administrative detalls of the company page. Accountlng pollclas 2.1 Basis of preparation of financial statements The financial slalements have been prepared in accordance wilh the Charities SORP {FRS 1021 Accounting and Reporting by Charllles.. Statement of Recommended Piaclice 8pplicable lo ch8ri1ies preparfng their accounts in accordance with the Financial Reporting Standard applicable in thè UK and Republic of Ireland IFRS 1021 leffeclivo 1 January 20191, the Financial Reporting Standard applicabl8 In the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. Balloon Ventures Foundation Ltd meets the definition of a public benefit enlily under FRS 102. Assets and liabilities are initially recognised al historical cost or transaction value unless otherwise slated in Ihe relevant accounting policy. The consolidated slalomenl of financial activities ISOFAI and consolidated balance sheet consolidate the financial statements of the Charity and ils subsidiary undertaking. The results of the subsidiary are consolidated on a line by line bas18. The Charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented Ils own slalèmgnl of financial activitiès in thès8 linancial slat&menls. The Charitys functional and presenlalional currency Is Pound Slerllng. 2.2 Company status The charity is a company limited by guarantee. The members of the company are the trustees named on the adminslralive details page. In the event of the charity being wound up the liability in respect of the guar8nlee is limited lo £10 per member of the charity. 22 Golng concern Th8 financial statements have bèen prepared on the going ¢oncém basss. In detemiining this the dSreclors have reviewed the group's financial posillon and available iesources, including the gioLFP"S cash flow forecast. After considering Ihls the directors believe the group has adequate resources to continue Dperatlng for al least 12 months from the dale of signing these financial statements. 2.4 Income All income is recognlsed once the Charity has enlillement lo the income, il is probable that the income will be received and the amount of income receivable can be measured reliably. The Charfly recelves all the profits generated during the year from Balloon Ventures Limited by way of a deed of covenant. Income tax iecoverable in relation lo donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Income received for a speclfic purpose. or which has reslriclions or condillons assoclaled wllh 11, Is classified as reslrlcled income and allocalecl ID reslricled funds. Income that can be spent al the Iruslees, discretion in furtherance of the charily's aims and objectives is classified as unreslricled income and allocaled to unreslrict8d funds. Page 14 Balloon Ventures Foundatlon Ltd (A company Ilmlted by guarante81 Notes to the flnancial statements for th& year andad 31 M8reh 2024 Accountlng pollcles l¢ontlnuedl 2.5 Expenditure ExpendSlure Is recognlsed once there is a legal or conslruclive obligation to transfer economic benefit lo a third party. il is probable Ihal a transfer of e¢onomlc benefits will be required in setllemenl 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 aclivlty. Direct costs attributable to a single activity are allocated direclly lo that activity. Shared costs which contribute lo more than one activity and SUPPDrt costs which are not attributable to a single activity are apportloned between those aclivilles on a basis conslslenl wllh the us8 of resources. Central staff costs are altocaled on the basis of Ilm8 spent, and depreciation charges allocated on the portion of the asset's use. Support costs are those costs incurrod dlreclly in support of expenditure on the objects of the charity and Include project management carried out al headquarters. Gove¥nance costs are those incurred in corineclion bwlh adminislralion of the charily and compliance with conslilulional and siatutory requirements. Charitable acllvSlles and governance costs are costs incurred on the charity'5 educational operations. including support costs and costs ￿lating tD the governance of the charity apportioned lo charitable activities. Expandlture on charllable a¢livllles Is incurred on directly undertaking the acllvS1ies whlch further the Group's oblecllves, 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 condillonal, such grants belng recognisgd as expendilure when Ihe condilior¢s attaching are fulfilled. Grants offered subject lo conditions which have not been mel al the year end are noted as a commilmenl, bul not accrued as expenditure. All exp8ndlture is Incluslve of Irrecoverable VAT. 2.6 Government grants Govemmenl grants are credited to the consolidated stat8m8nl of fin8nclal activities as the related expenditure is incurred. 2.7 Interest rtrcelvable Interest orb funds held on deposit is indud$d wh8n receivabl8 and the amount can be measured reliably by the charity. This is normally upon nolrficalion of the interest paid or payable by the Bank. 2.8 Forelgn currencles Monetary assets and liabilities denomlnaled in foreign currencies are translated into slerllng al rates of exchango ruling 81 the reporting dale. Transactions in foreign currencies are translated Into sterling al the rate ruling on the dale of Ihe transaction. Exchange gains and losses are recognised in the consolidated slalemenl of flnancSal aclThiilies. Pag& 15 Ballotsn Ventures Foundation Ltd IA company Ilmlted by guarantsèl Notes to tha financial Statements for th6 yaar ended 31 March 2024 Accountlng pollclos (¢ontlnued} 2.9 Tanglble flxed assets and depreciation Tangible fixtsd assets costiry £NIL or more are capilalised and recognised when futur8 economic benefits are probab￿ and the cost or value of the asset can be measured reliably. Tangible fixed assets are Initially r8cognis8d 81 cosl. After recognllion, under Ihe cost modgl. langible fixed assets are measured al cost ths ac£umulaled depreciation and any accumulated impairmonl kJss8s. All costs ineurred to bring a tangible fixed asset into its intend8d working ￿ndItiOn should b& Included in the measLErem8nt of cosl. Depreclalk)n is charged so as to allocatè the cost of tangIb￿ flxed asse18 less th81r re8ldual value over Ih8lr eslimaled useful lives. Depreclallon Is provided ￿ Ihg folhjv￿￿ b8sI8.' Motor vehicles Office equlpment Computer equipment 20% 33% 33% The ass81s' ra￿dual values, uselul IIv8s and depr6rialion methods are reviowad, and adlusled prospectivaly W 8pproprial8, or if ther8 is an indication of a swJn1fi￿nt th8ng8 Sin￿ Ihg last reporting date. Galns and l¢)3S8s on dlsposgls are delemlned by eomparfng the proc88ds wllh the car￿ng amount and are TecognL8ed In the con801idaled statement of flnandal ac11￿lIes. 2,10 Investments Inveslmgnts in subsidiarles 8re valuod al cosl less provision for impalrnient. 2.11 Debt¢r• Trade and olher deblois 8r8 reC￿nIsed at the sellkgmenl amount after any trade dlscount offered. PrepayTnenls are valuad at the amounl prepald net ol any tradg discA)unls due. 2.12Ca#h at bank and In hand Cash al bank and in hand includes cash and short-lem h￿hlY liqiJSd investmonls wilh a shori malurSly of three monlhs or18ss Irom the date of acqui811ion or opening of Iha deposit of similar account. 2.13 Llab115tias and provl8lons Li8bilit¢es are recognised vthen there is an obligalion al the bo18nce sheet dale as o result of 0 past event, il is probable Ih8t B Iransfer of eujnomic benerrt wll be required in selllemènl and the amount of the settlement can be eslimated reliably. Liabilities are reu)gnised al the amount that the charity 8nliclpales il wll pay lo selU6 th8 debt or th8 amount it has received as advanced payments for ihe goods or services It musl prowde. Prowsions are measured 81 the best esllmale of the amounts required to settlg the obligation. Where the effect of the lirne value of money Is material. the provislon is bas8d on the present value of those amounts. di8coLFnled al the pre-tax discount rale that reflects the risk specffic to the liability. The unwinding of the discount is recognised wTthin interest payable and similar charges. Page 16 Balloon Ventures Foundatlon Ltd IA company Ilmited by guarantee) Notes to the financial statements for the year ended 31 March 2024 A¢countlng pollcles (contlnuedl 2.14 Financial instruments The Group only has financial assets and financial liabilities of a klnd that qualfy as basic financial inslrumenls. Baslc financial instruments are Ini1Sally recognised at transaction value and subsequent measured al their selllemenl value wlh the exception of bank loans which are subsequent measured al amortised cost using the effective inlerest method. 2.15 Operatlng lease5 Rentals paid under operating leases are charged lo the consolidatod statemant of flnanclal 8cIMtles on a slraighl lin8 basis over the lease term. 2.16 Pensions The Group operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Group lo the fund in respect of the year. 2.17 Fund accountlng General funds a￿ unreslri¢led funds which are available for use al the discielion of the frustees in furtherance of the general objeclSves of the Group and which have not been dèsignated for othèr pulposes. Restricted funds ar8 funds whlch ar8 to be used in accordance with speoific restrictions Impos￿ by donors or which have been raised by the Group for particular purposes. The costs of raSslng and administering such funds are charged against the spe¢ifi¢ fund. The aim and use of each reslricled fund Is sel out In the notes lo the financial statements. Investment income. gains and losses are allocated ID the appropriate fund. Crltlcal accounting estlmates and areas of Judgment In pr8p8ring the fln8nryal statements 11 is nec88sary lo make certaln ludgmenls. assumptlons and estimates that affect the amounts recognlsed In th8 flnanclal stalemenls. The trustees consider the key areas of estimate and judgement lo be.. Ciilical a¢counling 8slimales and assumptions: Recoverability valu8 of loans recelvable from small buwnesses A loan loss provision is included on the balance sheet l() account for the rlsk of polenlially irrecoverable loans. This is offset against loans receivable to adjust the value of loans receivable lo their estimated recoverable amount. The provision is an estimate based on judgment and assumptions. When estimating this provislon, management take account of the potential risk lo the portfolio, which is assessed using varlous m8lrScs including Portfolio al Risk I'PAR"). The provlsSon is Increased If n8cessary lo comply wlh the DGGF loan covenant. Incr8as8s and decr8as8s in the value of the loan loss provision are reflected in the Slalemenl of Comprehensive Income. Included wllhin debtors is a provision of £131,349 (2023.. £88,722). Of Ihls amount. £131,349 12023.. £21,2281 is provid6d against debt due in more than one year, w51h £Nil12023.. £67,494) provSded against debt ijue within one year. Page 17 Balloon Ventures Foundatlon Ltd IA company Ilmlted by guarantee) Nots8 to tho flnanclal statements for the year ended 31 Plarch 2024 Income from donation5 and lega¢lo$ Unrestrlcted Restricted funds funds 2024 2024 Total funds 2024 Total funds 2023 Donations 28,219 1,298,463 28,255 1.298A63 3,704 858.339 Grants Total 2024 1.326.682 1,326,718 862.043 Tofal 2023 3.704 858,339 862,043 Income from other tradlng 8¢tivities Income from non charbtable tradlng acttvftles RestrFCted funds 2024 Total funds 2024 Total funds 2023 Grant incorne Loan related activitses 199,593 372,532 802.072 802.072 802,072 802,072 572, 125 Total 2023 572, 125 572, 125 Other Investment Income Restrl¢ted funds 2024 Total funds 2024 Total funds 2023 other interest re￿1vable 11,195 11,195 30 Total 2023 30 30 Page 18 Balloon Ventures Foundatlon Ltd IA company Ilmlted by guarantgal Notes to the financlal statomènts for the yoar ended 31 March 2024 Other Incomlng resources Unrestricted Restricted fund8 funds 2024 2024 Totsl funds 2024 Total funds 2023 Other operallng Income 4,805 4,467 9,272 10,800 Total 2023 9,227 1,573 10,8QQ Analysls of CharItab￿ expendlture by actlvltlos Grant lundlng of actlvltles 2024 Support costs 2024 Total funds 2024 Tol81 funds 2023 Kenyan and Ugandan project costs 34,473 143,480 177,953 185,914 Total 2023 1,979 183,935 185,914 Of the above èxpendilure lotalllng £177,953 12023.. £185,914), £132,238 (2023.. £83.4121 relal8d to reslricled aclivilles, and £45,71512023'. £102,502) related lo unroslricled activities. Page 19 Balloon Ventur•s Foundatlon Ltd (A company Ilmlted by guarante•} Notss to the flnancial statsm¢nts for the year ended 31 March 2024 Charftsble and tr8dlng fjxpen8•S Charitable actlvlties support ¢08¢8 2024 Other tradlng •xp&nses 2024 Total 2024 Tot81 2023 In