REGISTERED CHARITY NUMBER: 1154027
Report of the Trustees and
Unaudited Financial Statements for the Year Ended 31 December 2020
for
Reed Family Foundation
Reed Family Foundation
Contents of the Financial Statements for the Year Ended 31 December 2020
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Independent Examiner's Report | 3 | ||
| Statement ofFinancial Activities | 4 | ||
| Balance Sheet | 5 | ||
| NotestotheFinancialStatements | 6 | to | Ill |
Reed Family Foundation
Report of the Trustees for the Year Ended 31 December 2020
The trustees present their report with the financial statements of the charity for the year ended 31 December 2020. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
The charity's objectives are to further such exclusivity charitable purposes according to the law of England and Wales as its trustees in their discretion determine from time to time.
The charity makes grants to organisations and individuals for exclusively charitable purposes.
The charity has a grant-making policy in place which sets out priorities for funding, the process the trustees follow in making grants and what is required from grant recipients in terms of monitoring and reporting.
ACHIEVEMENT AND PERFORMANCE
No donations were received in the year and the charity committed to making | grant totalling £50,000 (2019: 3 grants totalling £42,000) out of resources brought forward from the previous year.
FINANCIAL REVIEW
Financial position
During the year under review, total income was £3,007 (2019: £4,174) total expenditure was £63,996 (2019: £54,855) and net gains on investments totalled £289,861 (2019: £238,557), resulting in the unrestricted reserves for the year carried forward of £1,670,639 (2019: £1,441,767).
Reserves policy
The charity has significant reserves and the charity pays grants based on its ability to do so taking into account commitments already made. The reserves policy of Reed Family Foundation is to maintain sufficient free reserves (total reserves less restricted funds and fixed assets) to enable the charity to meet these grant making objectives. The current level of free reserves is £71,549.
FUTURE PLANS
The trustees intend to continue to identify projects worthy of charitable support throughout the next financial period. The trustees shall continue to review the grant-making strategy and the priorities for funding.
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Reed Family Foundation
Report of the Trustees
for the Year Ended 31 December 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT
The charity's governing document is its Constitution adopted on 1 October 2013 as amended on 20 January 2015, and it is constituted as a "Charitable Incorporated Organisation" (CIO).
Apart from the first trustees, new trustees will be appointed by the founding trustee, Richard Reed in accordance with clause 10 of the governing document. If he ceases to be a trustee, the remaining trustees have power to appoint new trustees.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered Charity number 1154027
Principal address C/O Womble Bond Dickinson 112 Quayside St Ann's Wharf NEWCASTLE NE1 3DX
Trustees
R Reed CA Reed KE May
Independent Examiner
Christopher Beaumont BA(Hons) BFP FCA DChA Clive Owen LLP Chartered Accountants 140 Coniscliffe Road DARLINGTON Co Durham DL3 7RT
Approved by order of the board of trustees on 5 July 2021 and signed on its behalf by:
R Reed - Trustee
Page 2
Independent Examiner's Report to the Trustees of Reed Family Foundation
Independent examiner's report to the trustees of Reed Family Foundation
I report to the charity trustees on my examination of the accounts of Reed Family Foundation (the Trust) for the year ended 31 December 2020.
Responsibilities and basis of report
As the charity trustees of the Trust 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 Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all 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 the Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Christopher Beaumont BA(Hons) BFP FCA DChA
Clive Owen LLP Chartered Accountants 140 Coniscliffe Road DARLINGTON Co Durham DL3 7RT
5 July 2021
Page 3
Reed Family Foundation
Statement of Financial Activities
for the Year Ended 31 December 2020
----- Start of picture text -----
|||||||
|---|---|---|---|---|---|
|2020|2019|
|Unrestricted|Total|
|fund|funds|
|Notes|£|£|
|INCOME|AND|ENDOWMENTS|FROM|
|Investment|income|2|3,007|4,174|
|EXPENDITURE|ON|
|Raising|funds|
|Investment management|costs|3|7,766|9,808|
|7,766|9,808|
|Charitable|activities|4|
|Grants|payable|50,000|42,000|
|Support|costs|of grant making|6,230|3,047|
|Total|63,996|54,855|
|Net|gains|on|investments|289,861|238,557|
|NET INCOME|228,872|187,876|
|RECONCILIATION|OF|FUNDS|
|Total|funds|brought|forward|1,441,767|1,253,891|
|TOTAL|FUNDS|CARRIED FORWARD|1,670,639|1,441,767|
----- End of picture text -----
The notes form part of these financial statements
Page 4
Reed Family Foundation
Balance Sheet
31 December 2020
| 2020 | 2019 | ||
|---|---|---|---|
| Unrestricted | Total | ||
| fund | funds | ||
| Notes | £ | £ | |
| FIXED ASSETS | |||
| Investments | 9 | 1,599,090 | 1,314,400 |
| CURRENT ASSETS | |||
| Cash atbank | 74,469 | 132,392 | |
| CREDITORS | |||
| Amounts falling due within one year | 10 | (2,920) | (5,025) |
| NETCURRENT ASSETS | 71,549 | 127,367 | |
| TOTAL ASSETS LESS CURRENT | |||
| LIABILITIES | 1,670,639 | 1,441,767 | |
| NETASSETS | 1,670,639 | 1,441,767 | |
| FUNDS | 11 | ||
| Unrestricted funds | 1,670,639 | 1,441,767 | |
| TOTALFUNDS | 1,670,639 | 1,441,767 |
The financial statements were approved by the Board of Trustees and authorised for issue on 5 July 2021 and were signed on its behalf by:
R Reed - Trustee
The notes form part of these financial statements
Page 5
Reed Family Foundation
- ACCOUNTING POLICIES
Notes to the Financial Statements for the Year Ended 31 December 2020
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland’ and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Critical accounting judgements and key sources of estimation uncertainty
In the application of the charity's accounting policies the Trustees are required to make judgements, estimates and assumptions about the carrying amount of certain assets and liabilities. The estimated and associated assumptions are based on historical experience and other factors that are considered to be relevant.
Incoming resources
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio.
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of these conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period. Donations in the Statement of Financial Activities include any associated gift aid. Expenditure 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.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Taxation
The charity is exempt from tax on its charitable activities.
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.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
All funds held at 31 December 2020 and 31 December 2019 together with all transactions throughout the years related to unrestricted funds.
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continued...
Reed Family Foundation
- ACCOUNTING POLICIES - continued
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
Financial instruments
The charity has financial assets and financial liabilities as basic financial instruments. They are initially recognised at transactions value and subsequently measured as their settlement value, with charges recognised in profit or loss.
Investments
Fixed asset investments in quoted shares, traded bonds and similar investments are valued initially at cost and subsequently at fair value (their market value) at the year end. Any gains or losses on revaluation are taken to the Statement of Financial Activities. Where a reliable valuation cannot be obtained investments will be held at cost.
INVESTMENT INCOME
| 2. | INVESTMENT INCOMEINCOME | ||||
|---|---|---|---|---|---|
| 2020 | 2019 | ||||
| £ | £ | ||||
| Dividends received | 2,870 | 3,578 | |||
| Bank account interest | 137 | 596 | |||
| 3,007 | 4,174 | ||||
| 3. | INVESTMENT MANAGEMENT COSTS | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Investment advice | 7,766 | 9,808 | |||
| 4. | CHARITABLE ACTIVITIES COSTS | ||||
| Grant | |||||
| funding | of | ||||
| activities | Support | ||||
| (see note | costs (see | ||||
| 5) | note 6) | Totals | |||
| £ | £ | £ | |||
| Grants payable | 50,000 | - | 50,000 | ||
| Support costs ofgrantmaking | - | 6,230 | 6,230 | ||
| 50,000 | 6,230 | 56,230 | |||
| 5. | GRANTS PAYABLE | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Grants payable | 50,000 | 42,000 | |||
| The total grants paid to institutions during the yearwas as follows: | |||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Just Like Us | - | 5,000 | |||
| Five Rivers | - | 2,000 | |||
| Greenpeace | 50,000 | 35,000 | |||
| 50,000 | 42,000 |
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continued...
Reed Family Foundation
Notes to the Financial Statements - continued
- SUPPORT COSTS
for the Year Ended 31 December 2020
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Legal& professional fees | 3,459 | 4,023 |
| Independent examination | 2,500 | 2,300 |
| Foreign exchange differences | 271 | (3,276) |
| 6,230 | 3,047 |
- TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2019.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2020 nor for the year ended 31 December 2019.
- COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted | |
|---|---|
| fund | |
| £ | |
| INCOME AND ENDOWMENTS FROM | |
| Investment income | 4,174 |
| EXPENDITURE ON | |
| Raising funds | |
| Investmentmanagement costs | 9,808 |
| 9,808 | |
| Charitable activities | |
| Grants payable | 42,000 |
| Support costs ofgrantmaking | 3,047 |
| Total | 54,855 |
| Net gains on investments | 238,557 |
| NETINCOME | 187,876 |
| RECONCILIATION OF FUNDS | |
| Total funds brought forward | 1,253,891 |
| TOTALFUNDSCARRIEDFORWARD | 1,441,767 |
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continued...
Reed Family Foundation
- FIXED ASSET INVESTMENTS
Notes to the Financial Statements - continued for the Year Ended 31 December 2020
| FIXED ASSET INVESTMENTS | ||
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Shares | 1,475,803 | 1,202,434 |
| Other | 123,287 | 111,966 |
| 1,599,090 | 1,314,400 | |
| Additional information as follows: | ||
| Listed | ||
| investments | ||
| £ | ||
| MARKET VALUE | ||
| At 1 January2020 | 1,202,434 | |
| Additions | 404,614 | |
| Disposals | (276,484) | |
| Revaluations | 145,239 | |
| At 31 December 2020 | 1,475,803 | |
| NET BOOK VALUE | ||
| At 31 December 2020 | 1,475,803 | |
| At 31 December 2019 | 1,202,434 | |
| Investment Summary | Cost | Currentvalue |
| £ | £ | |
| Far East | 30,000 | 41,874 |
| NorthAmerica | 322,903 | 534,219 |
| International | 505,500 | 899,710 |
| Total | 858,403 | 1,475,803 |
| Investments (neither listed nor unlisted) were as follows: | ||
| 2020 | 2019 | |
| £ | £ | |
| Cashheldinportfolio | 123,287 | 111,966 |
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continued...
Reed Family Foundation
Notes to the Financial Statements - continued for the Year Ended 31 December 2020
10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 2020 | 2019 | ||||
|---|---|---|---|---|---|
| £ | £ | ||||
| Other creditors | 2,920 | 5,025 | |||
| 11. | MOVEMENT IN FUNDS | ||||
| Net | |||||
| movement | At | ||||
| At 1.1.20 | in funds | 31.12.20 | |||
| £ | £ | £ | |||
| Unrestricted funds | |||||
| General fund | 1,441,767 | 228,872 | 1,670,639 | ||
| TOTAL FUNDS | 1,441,767 | 228,872 | 1,670,639 | ||
| Netmovement in funds, included in the above are as follows: | |||||
| Incoming | Resources | Gains and | Movement | ||
| resources | expended | losses | in funds | ||
| £ | £ | £ | £ | ||
| Unrestricted funds | |||||
| General fund | 3,007 | (63,996) | 289,861 | 228,872 | |
| TOTAL FUNDS | 3,007 | (63,996) | 289,861 | 228,872 | |
| Comparatives for movement in funds | |||||
| Net | |||||
| movement | At | ||||
| At 1.1.19 | in funds | 31.12.19 | |||
| £ | £ | £ | |||
| Unrestricted funds | |||||
| General fund | 1,253,891 | 187,876 | 1,441,767 | ||
| TOTAL FUNDS | 1,253,891 | 187,876 | 1,441,767 | ||
| Comparative net movement in funds, included in the above are as follows: | |||||
| Incoming | Resources | Gains and | Movement | ||
| resources | expended | losses | in funds | ||
| £ | £ | £ | £ | ||
| Unrestricted funds | |||||
| General fund | 4,174 | (54,855) | 238,557 | 187,876 | |
| TOTALFUNDS | 4,174 | (54,855) | 238,557 | 187,876 |
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continued...
Reed Family Foundation
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
11. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined position is as follows:
| Net | |||
|---|---|---|---|
| movement | At | ||
| At 1.1.19 | in funds | 31.12.20 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 1,253,891 | 416,748 | 1,670,639 |
| TOTALFUNDS | 1,253,891 | 416,748 | 1,670,639 |
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Gains and | Movement | |
|---|---|---|---|---|
| resources | expended | losses | in funds | |
| £ | £ | £ | £ | |
| Unrestricted funds | ||||
| General fund | 7,181 | (118,851) | 528,418 | 416,748 |
| TOTALFUNDS | 7,181 | (118,851) | 528,418 | 416,748 |
Unrestricted funds are held to make grants to projects worthy of charitable support as identified by the trustees.
- RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 December 2020 or 31 December 2019.
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