## **THE KERUSSO TRUST** **Charity Number: 1145560 Charity Number: SC044848 Company Number: SC413002** ## **(A company limited by guarantee)** **Report of the Trustees and Financial Statements** **for the year ended 31 December 2023** **THE KERUSSO TRUST Company Limited by Guarantee** |**Contents**|**Page**| |---|---| |_Report of the Trustees_|_3 to 9_| |_Independent Examiners Report to the members_|_10_| |_Statement of Financial Activities_|_11_| |_Balance Sheet_|_12 to 13_| |_Notes to the Financial Statements_|_14 to 19_| |_Detailed Statement of Income and Expenditure_|_20 to 21_| 2 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023** The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice (FRS 102) second edition (October 2019). ## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governance** The Kerusso Trust is a charitable company limited by guarantee, incorporated on 12th December 2011. The company was established under a Memorandum of Association and is governed under its Articles of Association, which set out the objectives and powers of the charitable company. The Kerusso Trust was registered as a charity by the Charity Commission for England and Wales on 20th January 2012 and by the Office of the Scottish Charity Regulator (OSCR) on 7th May 2014. ## **Recruitment and appointment of new trustees** The directors of the company are the members and trustees of the charity for the purposes of charity law and are known as the trustees. Under the requirements of the Memorandum and Articles of Association, all trustees except Jonathan Groves are elected to serve for a period of three years after which they must retire and, being eligible, may offer themselves for re-appointment. Appointment is made by a majority vote of the trustees. All trustees are required to subscribe to the Statement of Beliefs set out in the Schedule attached to the Articles of Association. The removal of a trustee, should it be necessary, is effected by a majority vote of the trustees. Potential new trustees are generally already familiar with the work of the charity, having been involved in some way already. New trustees are nominated by an existing trustee and appointed by a majority vote of the trustees. Once appointed, new trustees are instructed in their obligations, issued with copies of the governing documents, and documents from the Charity Commission and OSCR outlining the responsibilities of trustees and guidelines for charities working internationally. They are also familiarised with current issues, the financial position and future strategic plans of the organisation. At the trustees meeting on 26[th] June 2023, Rev Andy Hayes was appointed as a trustee, Nigel Bowker was reappointed as a trustee, and Carl Counsell was reappointed as Chairman of the Board. Nigel Bowker resigned as a trustee on 1[st] November 2023. During the year, all trustees gave of their time voluntarily and received no benefit from the charity. Costs reclaimed from the charity by trustees are set out in the notes to the accounts. ## **Organisational Structure and Decision Making** The Board of Trustees formally met seven times during the year. Between meetings they communicated by email, telephone, video conferencing and/or face-to-face discussion. The trustees collectively set vision, strategy, budgets, and approve the initiation, continuation and termination of significant charitable initiatives. The Board of Trustees give guidance and support to Jonathan Groves in his role as Mission Director. The Mission Director is the CEO to whom the Board of Trustees have delegated powers for the day-to-day decision-making and operational management of the charity. His responsibilities include strategic leadership, sharing vision, operations, finance, managing expenditure of resources, prayer, publicity and external partner relationships in the UK and Malawi. Ruth Groves also serves in an executive capacity, with responsibilities that include administration, safeguarding, coordination of prayer guides, press and volunteer relations and policy development. Both Jonathan and Ruth also provide consultancy and training for and with our partners in Malawi. The Mission Director and other staff/volunteers are all ultimately accountable to the Board of Trustees. The trustees seek informal advice whenever necessary from external volunteer advisors and other specialists, for whose contribution they express their thanks. During the year, Ruth Groves attended a training day on ‘Working with Cultural Differences and Racism in Counselling’ (Aberdeen Counselling Forum) and an online training workshop on ‘Safeguarding in Practice’ (SIDA). 3 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023 continued** ## **Risk management** The trustees have a duty to identify and review the risks to which the charity is exposed, which includes the additional risks for an organisation working internationally. They seek to ensure appropriate controls are in place to provide reasonable assurance against fraud and error, and insurance is in place to protect assets and staff/volunteers. We believe that these safeguards, together with maintaining our cash reserves at the levels indicated in the Financial Review section, will provide sufficient resources in the event of adverse conditions occurring. The trustees continually develop and review the policies and general risk register of the company and apply appropriate mitigations. Managing risks in Safeguarding has remained a priority, mindful that our ongoing funding of the Community Children’s Bible Clubs, Youth Learn2Serve programme and bursary sponsorships at Bethel Girls’ Academy in Malawi potentially exposes us to such risks indirectly. We have sought to manage these risks through active engagement with our partners in Malawi, including working closely with senior management of J- Life Ministries to help them develop their own contextual Safeguarding Policy and practices. ## **Fundraising** The Kerusso Trust does not employ professional fundraisers. We have not sought to register with the Fundraising Regulator but comply with all the relevant sections of the Fundraising Regulator’s Code of Fundraising Practice. ## **OBJECTS AND ACTIVITIES** ## **Objects** The charity's purposes are set out in the company's Memorandum of Association: The Charity's objects ("Objects") which are for the public benefit are for the advancement of the Christian faith in accordance with the Statement of Beliefs appearing in the Schedule hereto in such parts of the United Kingdom or the world as the trustees may from time to time think fit and to fulfil such other purposes, and as ancillary thereto prevention and relief of poverty, advancement of education and prevention and relief of sickness, which are exclusively charitable according to the law of England and Wales and are connected with the work of the Charity. ## **Activities** The Kerusso Trust is a non-denominational Christian mission charity that seeks practically to advance the Christian faith, primarily through support of training and education activities in Malawi and by engaging directly with churches and individuals in the UK. In Malawi, we work as an enabling charity, through partnerships with Malawian Christian organisations whose leaders the trustees know personally. A key goal of the charity working in Malawi is to bring transformation to the material and spiritual lives of individuals and communities in rural areas. ## In Malawi: The core charitable work of The Kerusso Trust is enabling the training and equipping of church leaders, village chiefs and young people to become disciples of Jesus Christ and servant leaders within their local church and community. Our main focus is providing basic contextual Bible and ministry training programmes to equip 1000s of church leaders who have had no opportunity to attend any Bible College due to poverty. We do this in partnership with J-Life Ministries in Malawi. Our Chichewa language training programme for church leaders is called ‘Learn2Serve’ and is delivered both through in-person workshops in the community, and via weekly Chichewa language radio broadcasts on Transworld Radio Malawi. We also offer a Bible-based training programme to community leaders (village chiefs) for their influential role in society, discipleship training to young people to help build up the future generation of church leaders, and youth-led community Bible clubs for primary age children in some remote rural areas. We have developed a residential Training and Resource Centre near Blantyre, which has a theological library that is available for pastors and church leaders to use. To multiply the benefits of training, occasionally we run a fourweek intensive residential training programme called ‘Entrust’ (2 Timothy 2:2) and mentoring programme aiming to equip selected church pastors to become trainers of others in their home localities. 4 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023 continued** The Kerusso Trust seeks to encourage local income-generation by our Malawian partners to promote their organisational resilience and reduce dependency on external funding. We are doing this by: - Providing support for a farm at Imbwa village to grow food to sell, while at the same time facilitating community development through provision of clean water, solar power and educational opportunities for those living nearby. - Operating a student sponsorship programme for Bethel Girls’ Academy, a Christian secondary school operated by J-Life Ministries, providing bursaries for girls who otherwise would not be able to continue in secondary education due to poverty and occasional financial support toward further development of school facilities. ## In the UK: The Kerusso Trust seeks to proclaim the Gospel and advance the Christian faith in the UK through preaching and teaching from the Bible and sharing about the work in Malawi. We aim to encourage Christian discipleship and mutual learning by building relationships between Christian churches and individual supporters in the UK and our partners in Malawi. We share news and information about the work in Malawi and provide opportunities for UK Christians to express their care and concern for the Church and people of Malawi by praying, giving financially to the work, and serving practically. We run regular online meetings over Zoom where supporters from across the UK can hear news directly from Malawi and join together in times of prayer for all aspects of our charitable work. ## **Public Benefit** In exercising their powers and duties, the trustees have had due regard for the public benefit guidance of the Charity Commission and OSCR. All the activities of the Trust are undertaken to further its charitable purposes for the public benefit. The trustees regularly review the activities of the charity. These reviews look at the successes and challenges experienced and the outcomes for the beneficiaries we are seeking to assist. These reviews also help us ensure our planned future activities bring charitable benefit and contribute positively to the aims and objectives set. ## **Memberships** The Kerusso Trust was a member of the following organisations in 2023: - The Scotland Malawi Partnership (www.scotland-malawipartnership.org) - Global Connections (www.globalconnections.org.uk) - Scotland’s International Development Alliance (www.intdevalliance.scot) - Thirty-one Eight (www.thirtyoneeight.org) ## **ACHIEVEMENT AND PERFORMANCE** ## **Achievements and Performance throughout the year** We are delighted that our core mission of _‘training 1000s to reach 100,000s for Christ in Malawi’_ by working with church leaders, village chiefs, youth and children has continued in 2022. We give thanks to God for all the resources we have received over the year, and all these have made it possible for us to achieve, as set out below: ## Achievements with J-Life Ministries in Malawi - Church Leaders – our flagship ‘Learn2Serve’ biblical discipleship and leadership training programme delivered through in-person workshops across Southern and Central Malawi, with an initial pilot programme also held in Northern Region - Radio Ministry – a weekly Chichewa language ‘Learn2Serve’ radio programme was broadcast on Transworld Radio Malawi every Friday evening - Community Leaders – Bible-based training programmes promoting discipleship, integrity, social justice, community development for village chiefs (‘Learn2Serve4Chiefs’) and work with chiefs to promote safeguarding of the vulnerable from harm and abuse, and social justice in the local community - Youth Ministry – biblical discipleship, mentoring and life-training activities for youth, especially potential future church leaders - Children’s Ministry – 18 Community Children’s Bible Clubs for over 1,000 primary school children (aged 5-14 years) in rural villages of Blantyre West Rural, meeting weekly from April to November each year - Sports Ministry – two volunteers from the UK served alongside the youth ministry team, bringing football and Bible training to local primary schools in Blantyre West Rural 5 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023 continued** - Grant funding of staff salary and related costs for seven of the J-Life team in Malawi - Other essential ministry costs for J-Life, including vehicle maintenance - Construction projects at the Camp Bethel site, including installation of a catering-size fuel-efficient stove (in partnership with CREATIVenergie) - The Kerusso Resource Centre and library - Projects at Imbwa Farm and village – construction of two primary school classrooms and a toilet block for the local community; expanding the size of the banana plantation and support for operational costs at the Imbwa farm; and adding solar panels and equipment for the ‘Light4Life’ solar energy project to bring rechargeable torches and mobile phone charging for community members (in partnership with CREATIVenergie); approval to install a second borehole at Imbwa to increase the resilience of the water supply. - Staff and student security training and provision of guard dogs at Camp Bethel - Emergency relief in the Blantyre West Rural community as a response to Cyclone Freddy in March - The School Bursary Fund through which supporters may support a girl who would otherwise not be able to afford the fees, to attend Bethel Girls’ Academy, a Christian secondary school. ## Achievements in the UK - Jonathan Groves visited churches and supporters around the UK to preach from the Bible, share about the work in Malawi, encourage Christian discipleship and encourage meaningful connections with the team and ministry in Malawi - We led several Sunday school sessions in churches about Malawi for primary aged children - We published monthly prayer guides providing information on the work in Malawi and the UK as daily prayer points, made available to subscribers by email, by post and on Facebook - We held a monthly ‘Live Link’ meeting by Zoom, enabling UK supporters to interact directly with members of the J-Life team alongside Jonathan and Ruth Groves, and a monthly ‘Prayer Hour’ where supporters across the UK gathered by Zoom to pray for the work in Malawi. ## **FINANCIAL REVIEW** ## **Principal funding sources** The Kerusso Trust generates income from two main sources: donations from personal and corporate supporters (£83,649 in 2023), and investment income (£26,911 in 2023) from leasing a residential property that was gifted to the charity when it was founded, and other investments. A small amount of additional income was generated through trading activities (£2,760 in 2023). The investment income funds all UK operational ministry and administrative costs, governance and some of the charitable expenditure in Malawi. All donations were used 100% to finance our charitable activities in Malawi. ## **Investment policy and objectives** The General Fund holds only a working current account balance. The Investment Policy applies to the Expendable Endowment Fund and is: - 1) To maintain the rental property asset in good condition and use it to provide a regular source of General Fund income for the future - 2) To invest for growth without placing the capital under high levels of risk - 3) To follow an ethical investment policy that actively avoids causing harm to others, and where possible enhances the wellbeing of individuals or communities. ## **Reserves policy** The trustees have examined the Charity's requirements for reserves in the light of the main risks. The trustees aim to carry sufficient general unrestricted reserves in cash to meet the committed charitable activities for three months and to conduct normal levels of maintenance on its rental property. The trustees aim to retain sufficient nonproperty capital assets in the Expendable Endowment Fund to fund exceptional levels of maintenance on its rental property, and to underpin future operational growth and potential staffing needs as the charity continues to develop. The General Fund may temporarily borrow or permanently expend cash from the Endowment Fund to meet commitments. In practice the trustees aim to maintain a working cash reserve of about £25,000 in the General Fund. 6 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023 continued** ## **Financial Position** The Kerusso Trust reported total income in 2023 of £113,320 (£109,374 in 2022). Total expenditure for the year was £121,946 (£101,453 in 2022) of which total charitable expenditure was £117,842 (£96,186 in 2022). Charitable expenditure in 2023 was higher than the previous year mainly due to the delivery of primary school construction projects at Imbwa for which the income had been received in 2022 and 2023. The balance of cash at the end of 2023 was £93,414 of which £25,870 related to Restricted Funds, £25,544 related to the General Fund and £42,000 related to the Expendable Endowment Fund. (2022 - £71,014, £30,506 Restricted Funds, £28,508 General Fund, £12,000 Expendable Endowment Fund). These represent a healthy level of reserves to meet ongoing regular commitments to charitable activities. The total value of the Expendable Endowment Fund increased by £4,301 in 2023, and £30,000 of investments were moved into cash funds within the Expendable Endowment Fund. ## **Charitable Expenditure** The largest charitable beneficiary in 2023 was J-Life Ministries in Malawi. The trustees make the grant payments to J-Life at approximately quarterly intervals and seek to maintain a working balance in Malawi equivalent to around £10,000 (in local currency). At the end of the year, there was a balance at J-Life equivalent to £7,869 (in local currency), of which £1,103 related to Restricted Funds and £6,766 related to the General Fund. Over the year, The Kerusso Trust made grant payments to J-Life Ministries of £95,218 (£83,217 in 2022) and direct service provision costs in providing consultancy, oversight and training in Malawi by Jonathan and Ruth Groves of £8,256 (£4,381 in 2022) and by other volunteers of £1,554 (nil in 2022). Our Educational Bursary Fund supported eleven students to attend Christian secondary schools £4,204). Other charitable expenditure included the costs of our UK ministry in churches (£3,274), and UK governance, depreciation and office costs (£4,832). Finally, the trustees wish to thank all churches and individuals who have supported the work of The Kerusso Trust through their interest, prayers and giving throughout the year. Special thanks are due to our volunteers in the UK who have made cards for fundraising, distributed materials and hosted Kerusso Trust meetings. We are grateful to the Langham Partnership for their ongoing annual library grant, and to other supporters who have donated theological books for the Kerusso Resource Centre and distribution to Malawian pastors. The trustees thank Ruth Groves for compiling the monthly prayer guide, and Dave and Sue Hall for postal distribution and social media uploads. ## **FUTURE PLANS** The Kerusso Trust’s key charitable objective is to promote the Christian faith, primarily by support of training and education activities in Malawi. We achieve this by working with trusted partners in Malawi, and by engaging directly with churches and individuals in the UK. ## **The Kerusso Trust in Malawi (2024):** ## Core Training Ministries - ‘Learn2Serve’, our main church leader training programme of in-person workshops in rural areas, providing Bible-based training in servant leadership, discipleship and disciple making, interpreting, and teaching the Bible, and practical pastoral ministry skills. The core workshops are supported by refresher days, marriage seminars, and mentoring. - ‘Learn2Serve Radio’, a series of weekly 30min Chichewa language radio broadcasts on Transworld Radio Malawi. The radio programme, called ‘Tiphunzire Kutumikira’, makes the full ‘Learn2Serve’ curriculum accessible to any church leader and the public throughout Malawi and border parts of Mozambique and Zambia. - ‘Learn2Serve4Chiefs’, a Bible-centred training programme in servant leadership, community development, integrity and social justice for village chiefs and other community leaders. - Chiefs’ Conferences, enabling village chiefs to appreciate the importance of safeguarding and upholding social justice for the most vulnerable such as widows and child headed families, the importance of children remaining in primary school education, and developing and implementing community byelaws to protect young girls from sexual abuse and exploitation. 7 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Report of the Trustees for the Year Ended 31 December 2023 continued** - ‘Youth Learn2Serve’, a programme related to ‘Learn2Serve’ that aims specifically to develop youth into future church leaders, providing discipleship training in the localities where their pastors and other church leaders have already attended ‘Learn2Serve’. - Community Children's Bible Clubs at 18 village locations, reaching out to over 1,000 children per week, with training and mentoring for the local young adult leaders. ## Staff Support - Grant fund the staff costs of the Director of J-Life Ministries and other members of the J-Life staff. - Provide consultancy and training in safeguarding to the board, staff team and volunteers of J-Life Ministries, and facilitate capacity building training for their staff team and volunteers, as part of our long-term partnership. - Offer Academic Scholarships to assist key trainers of the ‘Learn2Serve’ programme to undertake further studies. ## Other Projects - Work with J-Life to encourage sustainability in the Imbwa Project, helping it to generate income for J-Life and bring clean water, solar power, farm employment, and material, spiritual and primary school educational opportunities to the Imbwa community. - Offer secondary school educational bursaries for girls to attend the Bethel Girls’ Academy who otherwise would not be able to do so. ## **The Kerusso Trust in the UK (2024):** ## UK Ministry - Distribute monthly news updates and prayer guides by email or post to subscribers, and on social media. - Host monthly online ‘Live Link’ and ‘Prayer Hour’ meetings to help supporters engage with the team in Malawi, and to enable collective prayer for the work of the charity in Malawi and the UK. - Jonathan and Ruth Groves to visits to churches in person to preach and share about the work in Malawi, as invited. - Continue to review risks, safeguarding and other key policies, and implement any necessary changes. ## UK Staff Support - The trustees will introduce part-time employment positions for Jonathan and Ruth Groves for their UK office responsibilities for The Kerusso Trust. Funding for these positions will derive from investment income received into the General Fund and release of some capital reserves from the Expendable Endowment Fund. 100% of donation income will continue to be used to support the charitable work in Malawi. 8 THE KERUSSO TRUST Company iAmited by Guarantr Independent Examiners, Report to the Trnslees of The Ker￿￿0 Trnyl I report on the financial statements of The Ken￿$0 Tn￿ for the year ended 31 Decem￿r 2023 which are set out on pages I I to 19. Respective responsibilities of tn￿leeS 2nd examiner The charity's trustees (who are also th¢ direthlrs for the purp)ses of company law) are r¢sponsible for the preparation of the accounts. The charity's truslees consider that an audit is not required for this year (under Seotion 144{2) of the ChArities Act 2011 (the 2011 Act) or under Regulation l (X I Xa) to (c) of 11)e Charities Accounts (Scotland) Regulations 2006 (the 2006 A￿oUnts Regulations) and that an independent examination is requireil. Having satisfied myself that the charity is not subject to audit und¢r wmpany law and is ¢li8ible for independent ¢xamination, it is my responsibility to.. examine the accounts under Section 145 ofthe 2011 A¢t and Sections 44(1 M¢) ofthe Charities and Trus￿eS Inv¢s1rnent (Scotland) Act 2005 (the 2005 Act): follow the procedures laid down in th¢ General Directions given by the Charity Commission (under Section 145(5Xb) of the 2011 Art)- and stste whether particular matters have rAbm¢ to my attention. Basis of indeptDdenl examiners, report My examination was carried out in accordanc¢ with the Genernl Directions given by the Charity Commission and is in accordance with Regulation I l ol thc Chariti¢s Accounts {Scotland) Regulations 2006. An examiiiation includes a review of th¢ accounting records kept by the charity and a compari%on of th¢ a¢¢ounts presented with thosc rewrd5. It also includes considcrntion of any unusual items or di￿10$ureS in the accoun15 and seeking explanations from you &s trustees concen)ing any such matters. The procedures undertaken do not provide all ihe evidence that would be rcquired in an audii. and consequenily no opinion is given &s to whether the accounts pr¥sent a'true and fair view, and the report is limited to those matters s¢t out in the ststements below. Independent examiners, statement In connection with my ¢xaminallo￿ no matter has comc to my attention.. (l ) which gives me reasonable cause to believe that in any material respect the requir¢ments'. to ke¢p accounting records in accordance with S¢¢tion 386 and 387 of the Companies Act 2006 and Section 44(1 Xa) of the 2005 Act" and to prepare Accounts which a¢ei)rd with the accounting records and compty with the accounting requirements of the Companies Aci 2006, Section 44(1 Xb) of th¢ 2005 Act and Regulation 8 of the 2(K)6 Accounts Regulations have not been met. or (2) to which, in my opinion. attention should ￿ drawn in Order to enable a prOF￿r understanding of the financial statemenls to be reached. Brian Miller C.A. 94 Blenheim Place Aberdeen AL125 2DY 21 August 2024 10 ## **THE KERUSSO TRUST Company Limited by Guarantee** ## **Charity Number: 1145560/SC044848 Company Number: SC413002** ## **Statement of Financial Activities for the year ended 31 December 2023** |**Note**
**Income and endowments from:**
Donations and legacies
2
Charitable activities
Other trading activities
Investment income
3
**Total Income**
**Expenditure on:**
Raising funds
4
**Charitable activities**
Direct service provision
Grant funding of partners
Support costs
**Total Expenditure**
Net gains/(losses) on investments
**Net Income/(Expenditure)**
Transfers between funds
**Net Movement in Funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**|**2023**
2022
**Restricted**
**funds**
**Unrestricted**
**funds**
**Endowment**
**funds**
**Total**Restricted
funds
Unrestricted
funds
Endowment
funds
Total
**£**
**£**
**£**
**£**
£
£
£
£
32,892
50,757
-
**83,649**
31,425
51,162
-
82,587
-
18
-
**18**
-
8
-
8
-
2,742
-
**2,742**
-
1,688
-
1,688
-
24,196
2,715
**26,911**
-
22,780
2,311
25,091| |---|---| ||**32,892 **
**77,713**
**2,715**
**113,320**
**31,425**
**75,638**
**2,311**
**109,374**| ||-
4,104
-
**4,104**
-
5,267
-
5,267
-
11,310
-
**11,310**
-
5,017
-
5,017
37,528
62,123
-
**99,651**
11,147
74,567
-
85,714
-
6,881
-
**6,881**
-
5,455
-
5,455| ||**37,528**
**84,418**
**-**
**121,946**
**11,147**
**90,306**
**-**
**101,453**| ||-
-
1,586
**1,586**
-
-
(6,907)
(6,907)
**(4,636)**
**(6,705)**
**4,301**
**(7,040)**
20,278
(14,668)
(4,596)
1,014
-
-
-
-
**(4,636)**
**(6,705)**
**4,301**
**(7,040)**
20.278
(14,668)
(4,596)
1,014
30,506
32,000
847,763
**910,269**
10,228
46,668
852,359
909,255| ||**25,870**
**25,295**
**852,064**
**903,229**
**30,506**
**32,000**
**847,763**
**910,269**| **Continuing Operations:** All income and expenditure has arisen from continuing activities. 11 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Charity Number: 1145560/SC044848 Company Number: SC413002** ## **Balance Sheet as at 31 December 2023** |||**Restricted**|**Unrestricted**|**Endowment**|**2023**|2022| |---|---|---|---|---|---|---| ||**Note**|**funds**|**funds**|**funds**||| |||**£**|**£**|**£**|**£**|£| |**Fixed assets**
||||||| |Tangible assets
|
7|**-**|**1,376**|
**775,000**|**776,376**|775,999| |**Current assets**
||||||| |Stock
||-|-|
-|**-**|-| |Debtors
|
8|-|1,100|
-|**1,100**|4,053| |Investments
|
9|-|-|
35,064|**35,064**|60,763| |Cash at bank and in hand
||25,870|25,544|
42,000|**93,414**|71,014| |||**25,870**|**26,644**|
**77,064**|**129,578**|135,830| |Creditors - amounts falling|10|-|(2,725)|-|**(2,725)**|(1,560)| |due within one year
||||||| |**Net current assets**
||**25,870**|**23,919**|
**77,064**|**126,853**|134,270| |**Net assets**
||**25,870**|**25,295**|
**852,064**|**903,229**|910,269| |
**Funds**
|
12,13|||||| |Restricted funds
|||||**25,870**|30,506| |Unrestricted funds
|||||**25,295**|32,000| |Endowment funds
|||||**852,064**|847,763| |**Total funds**
|||||**903,229**|910,269| The directors’ statements required by Sections 475 (2) and (3) are shown on the following page, which forms part of this Balance Sheet. The notes on pages 14 to 18 form an integral part of these financial statements. 12 ## **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023** ## **1. Basis of preparation and principal accounting policies** - **1.1 Basis of preparation of financial statements** The Kerusso Trust is a charitable company, limited by guarantee, registered in Scotland. It is also registered as a charity by the Charity Commission for England and Wales and the Office of the Scottish Charity Regulator (OSCR). The registered numbers and address of the registered office can be found in the Report of the Trustees. The financial statements of the charitable company, which is a public benefit entity under FRS102, have been prepared in accordance with Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland", the Charities SORP (FRS 102) second edition – October 2019, the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charity Accounts (Scotland) Regulations 2006 (as amended). The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling which is the functional currency of the charity. ## **1.2 Income** All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount 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 trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred. ## **1.3 Expenditure** Tangible Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. ## **1.4 Support Costs** Support costs are those that assist the work of the charity but do not directly represent charitable activities and include governance costs. They are incurred directly in support of expenditure on the objects of the charity. ## **1.5 Tangible Fixed Assets** Depreciation is provided at a rate of 33% on cost to write off each asset over its estimated useful life. 14 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023 continued** ## **1.6 Investment Property** Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. ## **1.7 Investments** Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value with changes recognised in 'net gains / (losses) on investments' in the SoFA if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment. Current asset investments are short term highly liquid investments and are held at fair value. These include cash on deposit and cash equivalents with a maturity of less than one year. ## **1.8 Debtors and Creditors** Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure. ## **1.9 Taxation** The charity is exempt from corporation tax on its charitable activities. Value added tax is not recoverable by the charity, and as such is included in the relevant costs in the Statement of Financial Activities. ## **1.10 Fund Accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. ## **1.11 Ultimate Controlling Party** The entity is controlled by the trustees. ## **2 Donations and legacies** |
Donations receivable
Tax recoverable|**Unrestricted**
**Restricted**
**2023**
2022
**Funds**
**Funds**
**Total**
Total
**£**
**£**
**£**
£
46,490
30,242
**76,732**
75,947
4,267
2,650
**6,917**
6,640| |---|---| ||**50,757**
**32,892 **
**83,649**
82,587| ## **3 Investment Income** |**ment Income**|| |---|---| |
Rent received
Income from investments held
Deposit account interest|**Unrestricted**
**Funds**
**Endowment**
**Funds**
**2023**
**Total**
2022
Total
**£**
**£**
**£**
£
23,600
-
**23,600**
22,500
-
2,715
**2,715**
2,311
596
-
**596**
280| ||**24,196**
**2,715**
**26,911**
25,091| 15 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023 continued** ## **4 Raising Funds** |
Raising donations
Trading activities
Rent collection
Property maint. & insurance|**Unrestricted**
**Funds**
**Endowment**
**Funds**
**2023**
**Total**
2022
Total
**£**
**£**
**£**
£
42
-
**42**
80
176
-
**176**
440
1,699
-
**1,699**
1,620
2,187
-
**2,187**
3,127| |---|---| ||**4,104 **
**-**
**4,104 **
5,267| ## **5 Net Income/(Expenditure)** Net income/(expenditure) is stated after charging/(crediting): ||**Unrestricted**
**Funds**|**Endowment**
**Funds**|**2023**
**Total**|2022
Total| |---|---|---|---|---| ||**£**|**£**|**£**|£| |Depreciation on assets|938|**-**|**938**|871| ## **6 Trustees’ Remuneration and Benefits** There were no trustees’ remuneration or other benefits for the year ended 31 December 2023 nor for the year ended 31 December 2022. There were no expenses paid to trustees in their capacity as charity trustees for the year ended 31 December 2023 nor for the year ended 31 December 2022. ## **7 Tangible Fixed Assets** ||**Land and**
**Buildings**|**Plant and**
**Machinery**|**Totals**| |---|---|---|---| ||**£**|**£**|**£**| |**Cost**|||| |At 1 January 2023|775,000|5,660|780,660| |Additions|-|1,315|1,315| |Disposals|-|-|-| |**As at 31 December 2023**|**775,000**|**6,975**|**781,975**| |**Depreciation**|||| |At 1 January 2023|-|4,661|4,661| |Disposals|-|-|-| |Charge|-|938|938| |**As at 31 December 2023**|**-**|**5,599**|**5,599**| |**Net book value**|||| |**At 31 December 2023**|**775,000**|**1,376**|**776,376**| |At 31 December 2022|775,000|999|775,999| 16 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023 continued** If the property had not been revalued it would have been included at historic cost of £439,051. The property was valued on an open market basis on 31 December 2021 by Harpers Estate Agents who buy and sell property in the locality of the investment property. |Valuation in 2021
Valuation in 2019
Valuation in 2017
Valuation in 2016
Valuation in 2015
Valuation in 2014
Valuation in 2013
Valuation in 2012
Cost|£
80,000
45,000
50,000
25,000
50,000
50,000
25,000
10,949
439,051| |---|---| ||**775,000**| The next property valuation will be conducted in 2024 following the completion of enhancement work being conducted during the year. ## **8 Debtors and Prepaid Expenses** |Other debtors
Prepayments
**9**
**Current Asset Investments**
Market value at 1stJanuary
Add: cost of purchases
Less: market value of disposals
Unrealised gain/loss on investments
Market value at 31stDecember
Investments at cost|**2023**
2022
**£**
£
1,100
1,833
-
2,219| |---|---| ||**1,100**
4,052| ||**2023**
2022
**£**
£
**60,763**
65,359
**33,561**
2,311
**(60,846)**
-
**1,586**
(6,907)| ||**35,064**
60,763| ||**33,561**
46,563| Investments are stated at current market value. 17 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023 continued** ## **10 Creditors** |Accrued expenses
Other creditors|**2023**
2022
**£**
£
2,725
1,560
-
-| |---|---| ||**2,725**
1,560| ## **11 Related Party Disclosures** Costs totalling £1,734 (2022: £898) spent in connection with the activities of the charity were reimbursed to trustee Dr J Groves during the period. Costs totalling £95 (2022: £61) spent in connection with the activities of the charity were reimbursed to trustee Mrs A R Groves during the period. The charity paid travel and subsistence costs of £8,255 (2022: £5,017) in connection with work done for the charity by Jonathan & Ruth Groves in providing consultancy, training, ministry and oversight services. ## **12 Movement in Funds** |**Restricted funds**
COVID-19 response
Storm Ana response
Sports ministry
School bursary
Imbwa “Light for Life”
Radio ministry
Community Fundraiser
Salaries - Anthony
Pastor hardship fund
Cyclone Freddy resp.
Booklet publishing
**Unrestricted funds**
General fund
**Endowment funds**
Building
Other
**Total Funds**|**At 01.01.23**
**Incoming**
**Resources**
**Outgoing**
**Resources**
**Gains &**
**Losses/**
**Transfers**
**At 31.12.23**
**£**
**£**
**£**
**£**
**£**
63
-
-
(63)
-
233
-
-
(233)
-
482
3,687
(3,509)
-
660
3,970
4,897
(4,204)
-
4,663
1,017
472
(1,489)
-
-
8,884
1,500
(2,158)
-
8,226
8,787
6,933
(15,789)
-
(69)
6,250
3,912
(3,924)
-
6,238
820
38
-
-
858
-
6,405
(6,389)
296
312
-
5,048
(66)
4,982| |---|---| ||30,506
32,892
(37,528)
-
25,870| ||32,000
77,713
(84,418)
-
25,295
775,000
-
-
-
775,000
72,763
2,715
-
1,586
77,064| ||847,763
2,715
-
1,586
852,064| ||**910,269**
**113,320**
**(121,946)**
**1,586**
**903,229**| 18 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Notes to the financial statements for the year ended 31 December 2023 continued** ## **13 Analysis of Net Assets Between Funds** ||**Restricted**|**Unrestricted**|**Endowment**|**Total**| |---|---|---|---|---| ||**Funds**|
**Funds**|**Funds**|**2023**| ||**2023**|**2023**|**2023**|| ||**£**|**£**|**£**|**£**| |Tangible Fixed Assets|-|1,376|775,000|776,376| |Current Assets|25,870|26,644|77,064|129,578| |Current Liabilities|-|(2,725)|-|(2,725)| |**Net Assets At 31 Dec**|**25,870**|**25,295**|**852,064**|**903,229**| ||**Restricted**|**Unrestricted**|**Endowment**|**Total**| ||**Funds**|**Funds**|**Funds**|**2022**| ||**2022**|**2022**|**2022**|| ||**£**|**£**|**£**|**£**| |Tangible Fixed Assets|-|999|775,000|775,999| |Current Assets|30,506|32,561|72,763|135,830| |Current Liabilities|-|(1,560)|-|(1,560)| |**Net Assets At 31 Dec**|**30,506**|**32,000**|**847,763**|**910,269**| 19 **THE KERUSSO TRUST Company Limited by Guarantee** ## **Detailed Statement of Financial Activities for the Year Ended 31 December 2023** |**Income and Endowments**
**Donations and legacies**
Donations
Gift aid
**Other trading activities**
Fundraising events
Trading payments received
**Investment income**
Rents received
Other investment income received
Deposit account interest
**Charitable activities**
Primary purpose trading
**Total incoming resources**
**Expenditure**
**Raising donations and legacies**
Primary purpose trading costs
Raising donations costs
**Other trading activities**
Trading costs
**Investment management costs**
Rent collection
Property maintenance
Property insurance|
|**2023**
2022
**£**
£
76,732
75,947
6,917
6,640| |---|---|---| |||83,649
82,587| |||-
-
2,742
1,688| |||2,742
1,688| |||23,600
22,500
2,715
2,311
596
280| |||26,911
25,091| |||18
8| |||**113,320**
**109,374 **| |||3
4
42
80| |||45
84| |||173
436
1,699
1,620
1,728
2,730
459
397| |||3,886
4,747| 20 ## **THE KERUSSO TRUST Company Limited by Guarantee** This page is for information only and does not form part of the accounts. ## **Detailed Statement of Financial Activities for the Year Ended 31 December 2023 (continued)** |**Charitable activities**
J-Life Ministries

Secondary School Bursaries for Girls
Academic Scholarships
Gifts to Individuals in Malawi
Gifts to other Organisations in Malawi
UK Ministry
UK Office Costs
Equipment - Depreciation
**Governance costs**
Independent examiners fee
Other
**Total charitable resources expended**
**Total resources expended**
**Net income/(expenditure)**|**2023**
2022
**£**
£
105,383
87,598
4,204
1,997
-
507
140
18
9
49
3,274
674
3,273
3,859
938
871| |---|---| ||117,221
95,573| ||600
600
21
13| ||621
613| ||**117,842**
**96,186**| ||**121,946**
**101,453**| ||| ||**(8,626)**
**7,921**| This page is for information only and does not form part of the accounts. 21