2022-04-05-accounts - The Martin Reach

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

The Martin Reach

Financial Statements Year Ended 5 April 2022 Charity No.: 1165113

The Martin Reach

Report and Financial Statements for the year ended 5 April 2022

Contents Page: 1 Reference and administrative information 2-5 Report of the Trustees 6 Accountants' Report 7 Statement of Financial Activities 8 Balance Sheet 9-11 Notes forming part of the Financial Statements Trustees Anthony Martin Cathrine Chimbidzikai Martin Richard Nagle Principal Office BDO LLP, 55 Baker Street, London, W1U 7EU Accountants BDO LLP, 55 Baker Street, London, W1U 7EU Bankers CAF Bank Limited, 25 Kings Hill Avenue, Kings Hill, West Malling, Kent, ME19 4JQ Metro Bank PLC, One Southampton Row, London, WC1B 5HA Solicitors Farrer & Co LLP, 66 Lincoln’s Inn Fields, London, WC2A 3LH

The Martin Reach

Report of the Trustees for the year ended 5 April 2022

The Trustees present their report for the year ended 5 April 2022 under the Charities Act 2011, together with the accounts for the year, and confirm that they comply with the requirements of the Act, the Constitution and 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 (FRS102).

Structure, Governance and Management

Governance

The Charity was created by a constitution dated 11 January 2016 as a Charitable Incorporated Organisation (CIO) exclusively for charitable purposes, ‘charitable’ meaning charitable according to English Law. The Trustees, principal office and advisors are as detailed on page 1.

Organisational Structure and Administration

The Charity is administered by three unpaid Trustees. The three Trustees are considered to be the Key Management Personnel of the Charity and are actively involved in the administration of the Charity. At present with the Charity being in its early stage of growth and set up, Trustee meetings held at present are concerned with establishing the Charity. It is anticipated that in the future Trustees will meet on a regular basis to consider grants and to review the financial position of the Charity. All major decisions concerning the Charity will be made at these meetings, and responsibility for enacting those decisions will be delegated to specific individual Trustees who will report accordingly at each meeting.

The charity constitution dated 11th January 2016 details the following with regard to Trustees:

The Trustees shall manage the affairs of the CIO and may for that purpose exercise all the powers of the CIO.
It is the duty of each Trustee to exercise their powers and to perform their functions in their capacity as a Trustee of the CIO in the way they decide in good faith would be most likely to further the purposes of the CIO;
Every Trustee must be a natural person.
There must be at least three Trustees with no maximum.
Apart from the first charity Trustees, every Trustee must be appointed for a term of three years by a resolution passed at a properly convened meeting of the Trustees, but any such appointment is subject to the approval of the Members.
A Trustee ceases to hold office if they retire by notifying the CIO in writing; is absent without the permission of the Trustees from all their meetings held within a period of twelve months and the trustees resolve that their office be vacated; dies; becomes physically or mentally incapable of acting as a Trustee; is removed by resolution passed at a properly convened meeting of the Trustees after the meeting has invited the views of the Trustee concerned and considered the matter in the light of any such views; or is disqualified from acting as a Trustee by virtue of sections 178-180 of the Charities Act 2011. Any person retiring as a Trustee is eligible for reappointment.

The Martin Reach

Report of the Trustees for the year ended 5 April 2022 (continued)

Statement of Trustees’ Responsibilities

The Trustees are responsible for preparing the Trustees’ report and accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the Charity and of the income and expenditure of the Charity for that period. In preparing these accounts, the Trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the UK and Republic of Ireland;
make judgements and estimates that are reasonable and prudent;
state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts; and
prepare the accounts on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Charity’s constitution. They 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.

Activities, specific objectives and relevant policies

Activities and specific objectives

The Charity’s ethos is to be focused on building dreams through education because it believes education reverses poverty, creating routes to opportunity, happiness and prosperity. The Charity believes that education is the great equalizer, levelling the field between those who have and those who do not. The Charity has identified its main target area that is in need of assistance to be Africa.

The objects as detailed in the constitution are the prevention and relief of poverty amongst those in need by reason of financial hardship. The advancement of education, in particular by the provision of bursaries and other forms of financial assistance to pupils and students. The relief of sickness and the promotion and preservation of health. The assistance of those in need by reason of ill-health, disability, social exclusion or other disadvantage and the advancement of such other purposes that are exclusively charitable according to the law of England and Wales as the trustees in their absolute discretion think fit.

The Trustees intend to identify potential recipients for donations who fall within the Charity’s objectives in future years. Any potential recipient will be considered by the Trustees collectively and if a grant is approved an appropriate donation will be determined. The Trustees intend on visiting or otherwise contacting recipients of grants made in the future to ensure that the anticipated benefit has been realised from the grant.

The Martin Reach

Report of the Trustees for the year ended 5 April 2022 (continued)

Objectives and activities for the public benefit

The Trustees confirm that they will refer to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Charity’s aims and objectives and in planning future activities and setting the grant making policy for future years to come.

The Charity aims to carries out these objects by giving equal access to the tools and resources required to make dreams happen. They intend to accomplish this goal by funding projects that create a safe environment to learn, supplement tuition costs for those who cannot afford to pay and provide additional resources (from books to computers, and from desks to paper). To do whatever it takes to help children reach for their dreams higher, longer and easier.

The Charity recognises that poor countries all face the same problems: food, water, shelter, industry, jobs and opportunities. These problems are especially prevalent throughout Africa, exacerbated by the fact there is not a good, free education system. Upward mobility is difficult, if not impossible, so the rich stay rich, the poor stay poor. While the middle class is growing and they undoubtedly face obstacles and challenges trying to escape the poverty cycle, it's the poor who continue to suffer the most. In a social system that doesn't support entrepreneurship nor give poor children a name or a face, the poverty cycle seems never-ending. Cast aside as not worthy and unable to afford an education, these children have no opportunity, no future and no ability to dream, so the cycle continues like a hamster running on a wheel, trying to keep up, unable to get off. The Charity recognises that education is the difference between working to survive in the world and working to transform the world. The Charity’s goal is to help children transform.

The Trustees therefore consider that the Trust’s activities are for the benefit of the public generally.

Achievements, Performance and Financial Review

A summary of the year’s results is given on page 7 of the accounts.

The Charity is still in the early stages of its development. Previously the Charity has received donations of £150,500 from its founder Trustee Anthony Martin. The Charity remains keen to target its support to areas in the world most in need.

The Charity as at 5 April 2022 has applied £13,562 (2021: £9,680) towards charitable activities, administering the Charity and towards governance costs. The result being a deficit of £13,547 (2021: £9,639).

The Trustees feel that they will achieve their objectives in the near future and are also looking into possibly investing their surplus cash with an investment broker but at this stage this is still under consideration.

Plans for Future Periods

The Trustees anticipate that from the income received in the previous period together with potential promised donations to be made to the Charity in the future that it will be able to make a positive step towards realising its objectives.

The Martin Reach

Report of the Trustees for the year ended 5 April 2022 (continued)

Reserves Policy

The charity has an accumulated excess on unrestricted funds of £86,897 (2021: £100,444). Net expenditure for the year was £13,547 (2021: £9,639).

Following its initial set-up phase it is the Trustees’ policy to spend all the income arising in each period, but not, save exceptionally, to commit income in excess of that anticipated to be generated.

Risk Policy

The Trustees are responsible for the management of the risks faced by the charity. Risks are identified and assessed and controls are established throughout the year. A formal review of the charity’s risk management process is undertaken on an annual basis and the key risks identified are as follows:

Ineffective financial controls
Cash These risks are mitigated by having income mandated direct to the Trust bank account, expenses must be authorised and cheques issued must be signed by 2 Trustees. Also all grants are approved at Trustee meetings and included in the minutes.
Inadequate financial planning
These risks are mitigated by preparing income and expenditure statements which are presented at Trustees meeting. Committing to donations is only undertaken on review of projected income.
The key controls used by the charity include agendas and minutes for all Trustee meetings, planning, budgeting and accounting and authorisation and approval levels of all grants and other expenditure.

Through the risk management processes established, the Trustees are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable but not absolute assurance that major risks have been adequately managed. The major risks to which the charity is exposed as identified by the Trustees have been reviewed and systems have been established to mitigate those risks.

For and on behalf of the Trustees:

Approved by Anthony Martin on behalf of the Trustees on 9 January 2023.

A Martin Trustee

Date:

The Martin Reach

Accountants’ Report

Chartered accountants’ report to the Trustees on the unaudited financial information of The Martin Reach

In accordance with the letter of engagement dated 30 April 2020, we have prepared for your approval the financial information of The Martin Reach for the year ended 5 April 2022 which comprise Balance Sheet, Income and Expenditure Account, Capital Account and the related notes from the entity’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at https://www.icaew.com/ regulation/a-z.

You have approved the financial information for the year and have acknowledged your responsibility for it, for the appropriateness of the financial reporting framework adopted and for providing all information and explanations necessary for its compilation.

We have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the financial information.

Use of our report

This report is made solely to you, in accordance with the terms of our engagement letter dated 30 April 2020. Our work has been undertaken solely to prepare for your approval the financial information of The Martin Reach and state those matters that we have agreed to state to you in this report in accordance with ICAEW Technical Release TECH08/16AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Trustees for our work or for this report.

BDO LLP Chartered Accountants

55 Baker Street London W1U 7EU

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127)

Date:

The Martin Reach

Statement of Financial Activities for the year ended 5 April 2022

Notes Income and endowments from Investments 2 Total Expenditure on Charitable activities Grants paid or payable 3 Support costs 4 Total Net movement in funds Total funds at 6 April 2021 Total funds at 5 April 2022 Net (expenditure)/income and net movement in funds	2022 2022 £ £ 15 15 15 15 10,000 10,000 3,562 3,562 13,562 13,562 (13,547) (13,547) 100,444 100,444 86,897 86,897	2021 £ 41
		41
		5,000 4,680
		9,680
		(9,639) 110,083
		100,444

All funds are unrestricted and relate to continuing activities.

The notes on pages 9 to 11 form part of these financial statements.

The Martin Reach

Balance Sheet as at 5 April 2022

Notes Current Assets Cash at bank and in hand 6 Liabilities Creditors: amounts falling due within one year 7 Net current assets Total net assets Funds Unrestricted Funds	£ £ 90,236 (3,339) 86,897 86,897 86,897 2022	£ £ 103,950 (3,506) 100,444 100,444 100,444 2021	£ £ 103,950 (3,506) 100,444 100,444 100,444 2021

			100,444
			100,444

Approved by the Trustees and signed on their behalf by:

Approved by Anthony Martin on behalf of the Trustees on 9 January 2023.

A Martin

Trustee

Date:

The notes on pages 9 to 11 form part of these financial statements.

The Martin Reach

Notes to the financial statements for the year ended 5 April 2022

1 Principal Accounting Policies

(a) These accounts have been prepared for the period to 5 April 2022.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The accounts have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (Charities SORP FRS 102) the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The Charity constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

(b) Income recognition

All income is recognised in the period in which the charity is entitled to receipt, the amount can be measured with reasonable certainty and it is probable that the income will be received.

(c) Expenditure recognition

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 settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings.

Expenditure is included in the statement of financial activities when incurred and includes attributable VAT which cannot be recovered.

Charitable activities comprise governance costs which include costs which are directly attributable to legal procedures necessary for compliance with statutory requirements.

(d)[Taxation]

The Charity is a registered charity under the Charities Act 2011 and is not liable to UK income, corporation or capital gains tax on its income and chargeable gains as these fall within the various exemptions available to registered charities.

(e) Fund accounting

Unrestricted funds comprise those funds which the trustees are free to use in accordance with their charitable objects.

The Martin Reach

Notes to the financial statements for the year ended 5 April 2022

1 Principal Accounting Policies (continued)

(f) Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition.

(g) Creditors and provisions

Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the Charity anticipates it will pay to settle the debt.

(h) Assessment of going concern

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect to a period of one year from the date of approval of these accounts.

At the period end the Charity had positive unrestricted reserves. The Trustees believe that the Charity’s financial statements should be prepared on a going concern basis on the grounds that the Charity has sufficient liquid resources.

The Trustees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees are of the opinion that the Charity will have sufficient resources to meet its liabilities as they fall due. The most significant areas of judgement that affect items in the accounts are detailed above. With regard to the next accounting period, the year ending 5th April 2022, the most significant areas that affect the carrying value of the assets held by the Charity are the level of projects to be supported but the Trustees take the view that projects will only be supported by the Charity if the Charity has the resources.

2 Investment income Interest 3 Grants paid or payable Charity No. CAFOD 1160384 288158 The Union Of The Sisters Of Mercy Of Great Britain	2022 £ 15 2022 £ - 10,000 10,000	2021 £ 41
		2021 £ 5,000 -
		5,000

The Martin Reach

Notes to the financial statements for the year ended 5 April 2022

4 Support Costs Accountancy fees - prior year under provision Bank charges	2022 £ 3,339 185 38 3,562	2021 £ 3,506 1,105 69
		4,680

5 Remuneration of Trustees and key management personnel

The Trust considers its key management personnel to be all of the trustees.

No trustee received any remuneration in respect of their services during the period.

6 Cash at bank and in hand CAF Gold Account CAF Cash Account Metro Business Instant Account Metro Community Current Account 7 Creditors: Amounts falling due within one year Accountancy Fees	2022 £ - - 86,323 3,913 90,236 2022 £ 3,339	2021 £ 101,185 2,765 - -
		103,950
		2021 £ 3,506

8 Trustees' remuneration and benefits

None of the Trustees have been paid any remuneration or received any other benefits from the Charity.

9 Trustees' expenses

No trustees' expenses were incurred in the year ended 5 April 2022 (2021: £Nil).

10 Related parties

There have been no transactions with persons or entities that are closely connected to the charity or its trustees (2021: none).