Charity registration number: 1154244 The Arah Foundation Annual Report and Financid Ststements for the Year Ended 31 March 2025 WESTCOTTS CHAR TEIIED ACCOU14TANTS 4 14LISINESS ADVISERS
The Arah Foundation Contents (continu8d) Reference and Administrative Details Trustees, Report 2to4 Independent Examinerfs Report ststement of Financial Activities Balance Sheet Notes to the Financial Statements 8t015
The Arah Foundation Reference and Administrative Details Mrs AArah MrWJArah Charlty Registration Number 1154244 Principal Office clo Mcfarlanes LLP 10 Norwch Street London ED4A 1BD Independent Examiner Westcotts (SW) LLP Timberty South Street Axminster Devon EX13 SAD Page 1
The Arah Foundation Trustees. Report The trustees present the annual report together wth the financial statements of the charity for the year ended 31 March 2025. Objectlves and activities Objects and aims The Trusys objectives are the provision of funds for general charitable purposes, education, training, arts and culture. human rights and religious and racial harmony. The Trust operates in England & Wale4 St Vincent and Grenadines and Turkey. The aims of the Trust are to provide funds for the following" 1. General charitable purposes 2. Education and training 3. Arts and culture 4. Human rights 5. Religious and racial harmony The Trust seeks to aid established charities in these areas by general grants seeking to support the full range of fields that the charity is involv8J in. The Trust is open to more targeted grants but these wll only be made following discussion by the Trustees. The Trust is unwilling to account for more than 10°/o of the funding of a charity but may do so in exceptional cases following a decision by the Trustees. By making grants to the chosen charities the Trust is furthering its aims and objectives. Being able to continue to support the chosen charities is how the success is measured. Publk benaflt The trustees confirm that they have complied wth the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales. Achievements and perforniance During the year, the Trust made donations totalling £59,900 to a variety of charities and foundations in order to further the mentioned objectives. The trustees therefore consider that they have achieved the charitable objectives during the year and have available funds to continue m*ting these objectives in the foreseeable future. Grant funding the charities has allowed existing charities to continue and expand their areas of supportlactivity. Grant making to other organisations is the only significant charitable activity undertaken during the period. Page 2
The Arah Foundation Trustees. Report (continued) Financial review The Trust's work is entirely reliant on voluntary income. This voluntary income is then invested to generate income for the Trust. The Fund received a substantial donation during the 2018 financial year. This funding V[1 allow the Trust to continue and expand its support of related charities. Policy on reseNes The trustees will ensure that sufficient reseNes are Maintain to continue the work of the Trust for the foreseeable future. As at the 31 March 2025 the charity held £13.076,496 in unrestricted funds. £11,000,000 vras invested into gilts in order to achieve a return on the funds held. As at 31 March 2025, the investment held was worth £11.760,049. The level of grants made each year is variable and as such, the funds in place are deemed adequate to allow the Trust to continue and give grants as they see fit. Plans for future perlods The trustees will continue to invite applications from individuals and organisations for funds to further benefit the causes that the Trust was set up to benefit. The Trust wtll seek support from its trustees where required in the future. structure, governance and management Racrultment and appointment of trustees The Trustees review from time to time any names bought forward for their consideration of those vtho have a skill or qualificab-on that wll benefit the Trust. If there is a unanimous wish that they be appointed, the role is discussed with the nominee and if relevant, this is made at the next possible meetirvJ of the trustees follovRd by appropriate induction pr0dureS. Organisationalstnjcture The Trust has no employees and none are envisaged. All decisions are made by the Trustees. The Trust only makes grants to established charities. Proposed grants are discussed by the Trustees. If the sum considered is below £20,000 then grants can be made on recommendation wthout further re3earch or contact. For sums above this figure and en the Charity is not a household name (eg Save the Children) then Executives l Representatives of the charity under consideration are contacted. relevant materials requested and meetings held. During the current year and for the forv3eeable future, the trust*s are involved in the key management of the Trust and therefore no remuneration is paid to these individuals Page 3
The Arah Foundation Trustees, Report (continued) Relationships with related parties Trustees The Trust's only related parties are the trustees. Statement of Trustees, Responsibilities The trustees are responsible for preparing the trustees, report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations. The law applicable to charities requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements. the trustees are required to.. select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP., make judgements and estimates that are reasonable and prudent; state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements., and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose wth reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008, and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the Maintenan and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in otherjurisdiction& The annual report was approved by the trustees of the charity on 2411L l L> behalf by- and signed on its Mrs A Arah Trustee Page 4
The Arah Foundation Independent Examiner's Report to the trustees of The Arah Foundation I report to the trustees on my examination of the accounts of The Arah Foundation for the year ended 31 March 2025. Responsibilities and basis of report As the charity trustees of The Arah Foundation 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 The Arah Foundation's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5){b) of the Act. Independent examiner's statement I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 1. accounting records were not kept in respect of The Arah Foundation as required by section 130 of the Act" or 2. the accounts do not accord with those records., or 3. the accounts do not comply with the accounting requirements concerning the form and content of accounts set out in the Charities {Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection wth the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Robyn Gifford-England ACA Westcotts (SW) LLP Timberly South Street Axminster Devon EX13 SAD 1610112L Page 5
The Arah Foundation ststement of Financial Activities for the Year Ended 31 March 2025 Unrestricted funds Total 2025 Total 2024 Note Income and Endowments from: Investment income 68,134 68,134 61,818 Total income 68,134 68,134 61,818 Expenditure on: Charitable activities 85,534 85,534 312,653 Total expenditure Gainsllosses on investment assets (85,534) 466,792 (85,534) 466,792 (312,653) 328,186 Net income 449,392 449,392 77,351 Net movement in funds 449,392 449,392 77,351 Reconciliation of funds Total funds brought forward Total funds carried forward 12,627,103 12,627,103 12,549,752 13 13,076,495 13,076,495 12,627,103 All of the charitls activities derive from continuing operations during the above two periods. The funds breakdown for 2024 is shown in note 13. The notes on pages 8 to 15 form an integral part of these financial statfimftnts. Page 6
The Arah Foundation (Registration number: 1154244) Balance Sheet as at 31 March 2025 2025 2024 Note Fixed assets Investments 11,760,049 11,319.452 Current assets Debtors Cash at bank and in hand 10 11 20,463 1,297,389 19,246 1,289,604 1,308,850 1,317.852 Creditors: Amounts falling due within one year Net current assets 12 (1,406) 1,199 1.316.446 1,307,651 Net assets 13,076,495 12.627,103 Funds of the charity: Unrestricted income funds Unrestricted funds 13,076,495 12,627, 103 Total funds 13 13,076,495 12,627,103 The financial statements on pages 6 to 15 were approved by the trustees, and authorised for issue on 14liZ.11?.. and signed on their behalf by- Trustee The notes on pages 8 to 15 fom an integral part of these financial statements. Page 7
The Arah Foundation Notes to the Financial Statements for the Year Ended 31 March 2025 l Accounting policies Statement of compliance The financial statements have been prepared in accordance with the second edition of the Charities statement of Recommended Practi issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. Basis of preparation The Arah Foundation meets the definition of a public benefit entity under FRS 102. The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note{s) to these accounts. Going concern The trust&s consider that there are no material uncertainties about the charity's ability to continue as a going concem. Income and endowments All income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income: income from donations or grants is recognised en there is eviden of entitlement to the gift, receipt is probable and its amount can be measured reliably. income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts en received if the value can be reliably measured. No amounts are included for the contribution of general volunteer& Investment income Dividends are recognised once the dividend has b*n declared and notification has been reiVed of the dividend due. Page 8
The Arah Foundation Notes to the Financial Statements for the Year Ended 31 March 2025 (continued) Expendlture Expenditure is recognised on an accruals basis as a liability is incurred. ExpendituE includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates.. expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods. expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities. other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities. All costs are allocated to expenditure categories reflectirKJ the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned beeen the activities they contribute to on a reasonable, justifiable and consistent basis. Charltable activities Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support thern. Grantpmvisions Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable. Governance costs These include the costs attributable to the charity's Complian wth constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses. Taxatlon The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purp)ses. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes. Page 9
The Arah Foundation Notes to the Financial Ststements for the Year Ended 31 March 2025 (continued) Fixed asset investments Fixed asset investments, other than programme related investments, are included at market value at the balan sheet date. Realised gains and losses on investments are calculated as the differen between sales prOedS and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Statement of Financial Activities in the pericJ of disposal. Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year end. Cash and cash equivalents Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. Fund structure Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity. Financial instruments Classffication A financial asset or a financial liability is recognised only then the entity becomes a party to the contractual provisions of the instrument. Recognition and measurement Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument Current asts and current liabilities are subsequently measured at the cash or other consideration expected to be paid or reiVed and not discounted. Fair value measurement The best evidence of fair value is a quoted pri for an identical asset in an active market. When quoted prices are unavailable, the price of a rent transaction for an identical asset provides eviden of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time Sin the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a gocrfj estimate of fair value, the fair value is estimated by using a valuation technique. Page 10
The Arah Foundation Notes to the Financial Statements for the Year Ended 31 March 2025 (continued) 2 Investment Income Unrestrlcted funds General Total 2025 Interest receivable and similar income; Interest e1Vable on bank deposits Other income from fixed asset investments 50,942 17,192 68,134 50,942 17,192 68,134 Unrestricted funds General Total 2024 Interest receivable and similar income" Interest receivable on bank deposits Other income from fixed asset investments 17,889 43,929 17,889 43,929 61,818 61,818 3 Expenditure on charftsble activities Unrestricted funds General Total 2025 Note Grant funding of activities Governan costs 59,900 25,634 59,900 25,634 85,534 85,534 Unrestricted funds General Total 2024 Note Grant funding of activities Governan costs 299,400 13,253 299,400 13,253 312,653 312,653 Page11
The Arah Foundation Notes to the Financial Statements for the Year Ended 31 March 2025 (continued) 4 Analysis of governance and support costs Governance costs Unrestrlcted funds General Total 2025 Independent examiner fees Examination of the financial statements Other fees paid to examiners Other govemance costs 516 999 24,119 25,634 516 999 24,119 25,634 Unrestrlcted funds General Total 2024 Audit fees Other fees paid to auditors Independent examiner fees Examination of the financial statements Other fees paid to examiners other governance costs (40) (40) 440 848 12,005 13,253 440 848 12,005 13,253 5 Grant-maklng Analysis of grants The trust has opted to use the disclosure exemption which therefore means that an analysis of grant recipients is not required. 2025 2024 Grants to Institutions All grants to institutions Activity Grant makirKJ 59,900 299,400 6 Trustees remuneration and expenses No trustees, nor any persons connected with them, have re1V8 any remuneration from the charity during the year. No trustees have reiVed any reimbursed expenses or any other benefits from the charity during the year. Page 12
The Arah Foundation Notes to the Financial Ststements for the Year Ended 31 March 2025 (continued) 7 Independent examlnerfs remuneration 2025 2024 Examination of the financia statements 516 440 Other fees to examiners All other *rvices 999 8 Taxation The charity is a registered charity and is therefo exempt from taxation. 9 Fixed asset investments Other investments Listed investments Total Cost or Valuation At 1 April 2024 Additions Revaluation Movement in cash balance held 11,319,453 11,319,453 (11,725,000) (11,725,000) 466,792 466,792 11,698,804 11,698,804 At 31 March 2025 11,760,049 11,760,049 Net book value At 31 March 2025 11,760,049 11,760,049 At 31 March 2024 11,319,453 11,319,453 Page 13
The Arah Foundation Notes to the Financial Statements for the Year Ended 31 March 2025 (continued) 10 Debtor8 2025 2024 Accrued income 20,463 19.246 11 Cash and cash equivalents 2025 2024 Cash at bank 1,297,389 1,289,604 12 Creditors: amounts falling due within one year 2025 2024 Accruals 1,406 1,199 13 Funds Balance at 1 April 2024 other Incoming Resources recognised resources expendethJainsl(losses) Balance at 31 March 2025 Unrestrfcted funds General 12,627,103 68,134 {85,534) 466,792 13,076,495 Balance at Other Incoming Rasourcas recognised resources expendethJainsl{losses) Balance at 31 March 2024 2023 Unrestrictsd funds General 12,549,752 61,818 312,653 328,186 12,627,103 14 Analysis of net assets between funds Unrestricted funds General Total funds at 31 March 2025 Fixed asset investments Current assets Current liabilities 11,760,049 1,317,852 1,406 11,760,049 1,317,852 1,406 Total net assets 13,076,495 13,076,495 Page 14
The Arah Foundation Notes to tha Financial Statements for the Year Ended 31 March 2025 (continued) Unrestrlctsd funds General Total funds at 31 March 2024 Fix8J asset investments Current assets Current liabilities 11,319,452 1,308,850 (1,199) 12,627,103 11,319.452 1,308,850 {1,199) 12,627.103 Total net assets 15 Related party transactions There were no related party transactions in the year. Page 15