2021-12-31-accounts

Arise Foundation Report and Accounts

Year ended 31 December 2021

Charity Registration Number 1165248

About Arise

Arise is a charity based in New York City and London, founded on the belief that more should be done to support grass-roots anti-slavery networks worldwide.

Our mission is to help these networks reach their potential by providing the support they need.

As an organisation, Arise consists of two charities, one established in the United States and one registered in England and Wales. The following set of accounts, for the year ended 31 December 2021 only shows those activities that took place in the UK entity principal source of funding US accounts.

To gain further information on the ongoing projects of the whole organisation please visit our website at http://arisefdn.org.

Arise Foundation

Contents

Reports	Reports
Reference and administrative details of the
charity, its trustees and advisers			2
			3
			11
Accounts
Statement of financial activities			15
Balance sheet			16
Statement of cash flows			17
Principal accounting policies			18
Notes to the accounts			22

Arise Foundation

Reference and administrative details of the charity, its trustees and advisers

----- Start of picture text -----
Trustees Rt Hon Prof the Lord Alton of Liverpool
David John Bringle
Sister Lynda Dearlove RM MBE
Rt Hon the Lord Hogan-Howe QPM
Mrs Jane Leek
Sister Patricia Murray IBVM
Mr Peter Smith
Ms Beatrix Brenninkmeijer Schürholz
Ms Wendy Strauss
Director Mr Luke de Pulford
Administrative address Nazareth House
175,169 Hammersmith Road
W6 8DB
Telephone [phone]
Charity registration number 1165248
Auditor Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Principal bankers HSBC
PO Box 260
46 The Broadway
London
W5 5JR
Legal advisors Edward A. Scofield, Esq
Attorney at Law
201 East 87th Street
Suite 3D
New York, NY 10128
----- End of picture text -----

Arise Foundation 2

Year ended 31 December 2021

The trustees present their report together with the accounts of the Arise Foundation (the charity) for the year ended 31 December 2021.

The accounts have been prepared in accordance with the accounting policies set out on e Charities Act 2011 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 United Kingdom and Republic of Ireland (FRS 102).

Charitable objects

The object of the charity, as set out in its constitution, is the promotion of human rights (as conventions and declarations) and elimination of the infringement of human rights by people trafficking anywhere in the world.

The principal aims and activities of the charity cover the following:

• Raising awareness of human rights issues;

• Monitoring abuses of human rights;

• Promoting public support for human rights;

• Providing technical advice to government and others on human rights matters;

• Commenting on human rights legislation;

• Obtaining redress for the victims of human rights abuse;

• Promoting respect for human rights among individuals and corporations; and

• Relieving the need among the victims of human rights abuse.

When setting the aims of the charity, the trustees have complied with their duty under on public benefit. The trustees believe they have demonstrated in detail throughout this report the ways in which the charity has been faithful to this guidance.

Our vision

respected.

Our mission

Arise was founded to confront the problem of human trafficking and slavery through frontline abolitionists. We seek to weave threads of solidarity between those devoted to the defence of human dignity at local level and those in a position to help them.

Arise Foundation 3

Year ended 31 December 2021

Our values

Respect for human dignity

No human being should be treated as a commodity. Yet we live in a world where human beings are bought, sold and forced into exploitation in their tens of millions. Every case of exploitation represents a failure of someone to uphold the inherent human dignity of another. Above all, therefore, we are committed to promoting individual human dignity, from which all rights and freedoms flow.

Solidarity

Where human dignity is under attack within the human family, solidarity demands we defend it. Belief in human dignity makes it impossible to turn your back on human suffering, regardless of creed, colour or other status. This confers a collective responsibility. The same solidarity demands that we challenge systems where unjust practices have become enshrined, leading to exploitation, and in the worst cases, direct enslavement, mutilation, and death. We are active in our commitment to solidarity - convening and connecting people of good will across all social and professional boundaries.

A front-line approach

At Arise we are committed to disrupting the structures of slavery permanently. This means seeking sustainable local solutions. Flowing from this commitment, we choose to collaborate with those working to provide direct services. These are selected individuals and organisations which reflect our values, which are running locally led, and - preferably - - approach promotes greater local ownership amongst beneficiary communities, which improves participation and project longevity.

Person-centered

No two cases of exploitation are the same. For this reason, meeting the needs of survivors requires unflinching attentiveness, tenacity and an entrepreneurial spirit. At the same time, survivors are sometimes so affected by what they have endured that meeting their needs means providing stable, unconditional accompaniment over long periods. We believe that the qualities of creativity and unconditionality - which, to some degree, are in tension - are key to keeping human dignity at the heart of front line work and the antidote to commodification.

A patient catalyst

For all of the reasons above, we choose to work in a way which respects the expertise and right to self-determination of local activists. We aim to contribute to the building up of local networks in recognition of the truth that no one organisation alone can end slavery. We aim not to impose our ideas from the centre, but to listen, amplifying local voices, practising patience with our collaborators. It is our belief that this way of operating means that we can be a catalyst for positive change in the front line movement against modern slavery, adding capacity where we can, and supporting in other ways where our role is better fulfilled that way.

Arise Foundation 4

Year ended 31 December 2021

Our activities

Our approach is rooted in the belief that ending slavery is a joint enterprise. Collaboration is at the heart of what we do, finding and developing dynamic partnerships with front-line abolitionists which are formative for both giver and beneficiary. We catalyse exemplary front-line work against slavery. This might be through the provision of financial assistance. It might also be through the provision of advice, administrative or capacity building support, or raising awareness.

Prevention focus

One thread running through our selection of partners is an emphasis on prevention, which -pillar paradigm of anti-trafficking work: Prevention, Protection, Prosecution and Partnership. Prevention work we support includes education, the provision of viable alternatives to the promises of traffickers, awareness raising, and, in some cases, protection.

The United Nations Secretary General has repeatedly called for more attention to be given to such efforts. Yet, despite this, there has been little convincing movement. New antitrafficking NGOs operating in this space have concentrated heavily on rescue, rehabilitation and prosecution, and the pattern of public and private investment has tended to follow.

respond to the consequences of human trafficking without coming any nearer to seeing its (United States Department of State 2016 Trafficking in Persons Report)

Grant making policy

The trustees apply the funds of Arise Foundation at their discretion and in accordance with the charitable purposes and objectives of the charity.

The trustees have delegated a Grant Making Committee to consider the distribution of beneficial grants on its behalf, comprising elected trustees and others. The Committee makes recommendations in accordance with the charitable purposes and objectives of the Arise Foundation. Ultimate responsibility for the administration of grants remains with the trustees.

The number of projects that can be supported by the trustees is necessarily limited to the funding available for distribution each year. The trustees have determined that the priorities for the current funding period are:

• Organisations working to prevent trafficking in persons. Following a strategic review, the trustees determined that the work of the foundation would fall broadly into four categories: strategic investment, capacity building, amplification, and research. While most of our effort should always be focused on the first two categories (strategic investment and capacity building), Arise reached a point in our growth where it is clear that the current international development paradigms will not change unless the research consensus changes, and until there are people to advocate for that change. Believing that Arise is too small to change the landscape of anti-trafficking work alone, we realise the centrality of these two pillars - amplification and research - to our work.

Grant making policy (continued)

Arise Foundation 5

Year ended 31 December 2021

• Organisations and their networks located in Eastern Europe, India, the Philippines, and Nigeria. Arise may also, from time to time, provide support to organisations in other countries.

Activities and achievements during the 2021 financial year

This year Arise positively impacted the lives of 48,664 people, breaking down into 5,900 families in 71 cities or regions. As anticipated, COVID-19 continued to have a heavy impact vulnerability carried over from previous waves, meant that COVID-19 impacted almost all -19 funding streams, we were able to support our Arise has expanded, opening offices in Nigeria and the Philippines. We have also taken up key new projects from developing strategic plans for 8 regions in India, to supporting the network of religious women working across Nigeria to address exploitation, and mission, and we are delighted to be able to return to it albeit it more often over Zoom than in person.

We are deeply proud of what has been achieved this year. In a time when many of our partner charities have suffered, we have found growth. In 2021, Arise reached more people with long-term programs to build resilience to trafficking than ever before amidst a global pandemic. The pandemic has coincided working, which we believe has started to take root with others. Arise is proud to do things differently: we are unashamed of our respect for faith-based work, we are laser-focused on trust, and we will not allow ourselves to be limited by a reductive understanding of impact. Sticking close to our principles has helped us to build an architecture around capacity building and grant giving that is different.

As our turnover has grown, our approach to grant giving has adjusted. We are now in a position to plan ahead, and so at our Grants Committee quarterly meetings, we consider applications on the basis of geographical focus area and a set of pre-agreed criteria. At the same time, Arise has recently been awarded larger grants with a view to sub-granting to smaller frontline organisations which has had an impact on our granting strategy. For this reason, we have not sought to increase our quarterly grant-giving, despite a larger turnover, because the gross number of grants Arise has to administer is still considerably larger owing to sub-grants. We are also keenly aware of the need to expand grants administration capacity in London to manage the increased workload.

ne in the Philippines, one in India, and a rapidly expanding team in London and New York. While we remain committed to keeping our central staff as lean as possible, it is essential that we have adequate resources to support our model, which at times requires intensive accompaniment of frontline organisations.

Arise Foundation 6

Year ended 31 December 2021

Activities and achievements during the 2021 financial year (continued)

Finally our program or research is beginning to mature, with the publication of several pieces of work that we hope will help to forge a new research agenda surrounding issues that are important to our community of frontline abolitionists: trust, accompaniment, prevention, and person centred work. At the moment, the research consensus around

anti-slavery impact does not have much room for these concepts, and we believe that helping to demonstrate authoritatively their importance, will have a longer-term benefit to the communities we serve.

Financial review

Results for the period

Total income for the year amounted to £882,443 (2020 £533,807) and was derived from donations from both individuals and organisations.

Expenditure in the year totalled £636,063 (2020 £505,978). Expenditure includes expenditure on charitable activities of £574,345 (2020 £490,666) and expenditure on raising funds of £61,718 (2020 £15,312). Details of charitable grants are included in note 3 to the accounts.

Net income for the year and increase in funds for the year, therefore, was £246,380 (2020 net income of £27,829).

Financial position

The balance sheet shows total funds of £399,544 at 31 December 2021 (2020 £153,164).

Reserves policy and going concern assessment

The charity was established in January 2016 and has a policy of six months of operational expenditure in recognition of responsibilities towards staff and grantees. Free reserves are total unrestricted funds less the amount held within fixed assets and any funds which are £150,127), the equivalent to 7 months of reserves (2020 3.6 months).

In considering the level of reserves, the trustees have given specific consideration to the impact of COVIDcontinue as a going concern for the foreseeable future. As lockdowns eased and populations adjusted. Arise has moved away from issuing emergency COVID grants towards a grant-giving strategy focused on enabling communities to move towards the most part, these transitional grants are of a similar size and form to Arise's normal pattern of grant-giving. For this reason, we do not anticipate a change in our work due to COVID after 2021.

Arise Foundation 7

Year ended 31 December 2021

Governance, structure and management

Governing document

Arise Foundation is a Charitable Incorporated Organisation (CIO) governed by a constitution dated 20 January 2016. It is a registered charity, Charity Registration Number: 1165248.

Trustees

The charity has nine trustees. There must be at least three charity trustees and no more than twelve.

Every trustee must be appointed by a resolution passed at a properly convened meeting of the charity trustees. In selecting individuals for appointment, the trustees must have regard to the skills, knowledge and experience needed for the effective administration of the charity.

The names of the trustees who served during the year and at the time of approving the accounts are set out below. All trustees served for the entire year except where stated.

Trustee Appointed/resigned Rt Hon Prof the Lord Alton of Liverpool Sister Lynda Dearlove RSM MBE Rt Hon the Lord Hogan-Howe QPM kt John Studzinski (Founding President) Resigned 13th January 2021 Madawi Al Saud Resigned 13th January 2021 David John Bringle Appointed 15[th] December 2020 Mrs Jane Leek Sister Patricia Murray IBVM Mr Peter Smith Ms Beatrix Brenninkmeijer Schürholz Ms Wendy Strauss

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 period 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 the accounts the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles 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 United Kingdom and Republic of Ireland (FRS 102);

• make judgements and estimates that are reasonable and prudent;

Arise Foundation 8

Year ended 31 December 2021

• 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 which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the accounts comply with the Charities Act 2011, applicable Charity 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.

Structure and management reporting

The trustees are ultimately responsible for the policies, activities and assets of the charity. As a result of the international scope of their work, they meet formally as often as necessary to review developments with regard to the charity or its activities and make any important decisions. The trustees use electronic means to be informed and kept up to date with developments within the charity. When necessary, the trustees seek advice and -to-day management of the Officer.

Key management

The trustees consider that they comprise the key management of the charity in charge of directing and controlling, running and operating the charity on a day-to-day basis. They receive no remuneration or reimbursement of expenses in connection with their duties as trustees.

Risk management

The trustees believe the significant risks facing the charity to be:

• Staffing: The Foundation currently depends heavily on a limited number of people. This poses a risk to the sustainability of the charity, as much of the knowledge of internal systems and management of external relationships are currently the responsibility of a few people. To bring structural stability and to prepare adequately for succession Arise has employed more people, and will invest in ensuring that they are adequately trained to take on extra responsibility should the need arise.

• Funding : Arise and its operations depend upon charitable giving. While we believe that there is sufficient support in the philanthropic community and among public bodies to sustain this work, we also acknowledge the inherent instability of this model. In order to mitigate these risks, our fundraising programme seeks to secure a core base of endowments in addition to working towards employing a member of staff with responsibility for development. We made progress on securing multi year donations in 2021, and will continue on this course.

• Misallocation of grants : As a grant-giving charity, there are risks associated with misappropriation and misallocation of funds by beneficiaries which carry reputational risks for the charity and for the security of its funding. Arise is working in areas judged by the international financial community to be high risk - getting the balance right between due diligence and adopting a trusting posture towards our grantees is not straightforward. We are vigilant to ensure that our approach is not undermined by imposing sufficient controls, and vice versa.

Arise Foundation 9

Year ended 31 December 2021

• Failure to deliver on large grants due to circumstances beyond out control . We are now in receipt of large multi-year grants from various organisations which pushes Arise towards a service delivery model, through our partners. Due to COVID-19, all program delivery schedules have been affected, and though our grantors are understanding, we are mindful of the need to deliver.

• Frontline relationships impacted by COVID-19 upon the development of trusting relationships. Building and maintaining those relationships through COVID has been difficult. We anticipate that normal patterns of travel will not resume for some time yet. In light of this, Arise is seeking to to supplement our normal contact with frontline partners in others way, to allow room for those strong and enduring bonds to grow.

• Amplification work undermining frontline work . As Arise becomes better known, we are under increasing pressure to advocate on behalf of our network. Sometimes this will bring us into conflict with governments which may not welcome criticism. Where there exists a clear and present danger to our frontline network as a result of advocacy, we always prioritise the well-being of our frontline.

• Cyber threats. Arise is constantly vigilant of the threat of cyber attacks. Many of our trustees and staff have a public profile which increases this threat. Arise has recently performed a security audit and is moving to offer trainings to trustees for this reason

• Data Protection : We have a GDPR policy in place, which is kept under regular review.

• Fundraising : The foundation aims to ensure compliance with best practice when undertaking fundraising activities. The foundation is not currently registered with the Fundraising Regulator. When donations from individuals are received the foundation aims to protect personal data and never sells data or swaps data with other organisations. The charity manages its own fundraising activities. The foundation undertakes to react to and investigate any complaints regarding its fundraising activities and to learn from them and improve its service. During 2021, the foundation received no complaints about its fundraising activities.

The trustees are due to renew a formal review of risks, with the aim of updating the risk register to formally identify risks and implement mitigating actions.

Signed on behalf of the trustees:

Trustee

Approved by the trustees on 28[th] June 2022

Arise Foundation 10

Year ended 31 December 2021

Opinion

December 2021 which comprise the statement of financial activities, the balance sheet, principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including The Financial Reporting Standard applicable in the UK and Republic of (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• December 2021 and of its income

• and expenditure for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Charities Act 2011.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements r other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Arise Foundation 11

Year ended 31 December 2021

Other information

The trustees are responsible for the other information. The other information comprises the information i report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

• istent in any material respect with the

• financial statements; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of trustees

preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trust continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from mat

our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Arise Foundation 12

Year ended 31 December 2021

(continued)

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

How the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

• The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

• We identified the laws and regulations applicable to the charity through discussions with management and trustees and from our knowledge and experience of the charity sector;

• We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the activities of the charity. These included but were not limited to the Charities Act 2011; and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102) (effective 1 January 2019); and

• We assessed the extent of compliance with laws and regulations identified above by making enquiries of management and representativ

fraud might occur by:

• Making enquiries of management and representatives of the trustees as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected, and alleged fraud; and

• Considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

• Performed analytical procedures to identify any unusual or unexpected relationships;

• Tested and reviewed journal entries to identify unusual transactions;

• Tested the authorisation of expenditure;

• Tested the implementation of key financial controls;

• Assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and

• Investigated the rationale behind significant or unusual transactions.

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

• Agreeing financial statement disclosures to underlying supporting documentation;

Arise Foundation 13

Year ended 31 December 2021

Reading the minutes of meetings of trustees; and

Enquiring as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of noncompliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the

Use of our report

This report is made solely to the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit work has been red to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or work, for this report, or for the opinions we have formed.

Buzzacott LLP Statutory Auditor 130 Wood Street London EC2V 6DL

Date 13 July 2022

Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Arise Foundation 14

Statement of financial activities Year to 31 December 2021

(including income and expenditure account)

----- Start of picture text -----
2021 2021 2021 2020
General Restricted Total Total
Notes Funds £ Funds £ Funds £ Funds £
Income from
Donations 1 725,368 156,865 882,233 533,807
Other income 210 210
Total income 725,578 156,865 882,443 533,807
Expenditure on
Raising funds 2 61,718 61,718 15,312
Charitable activities: Elimination of the infringement of human rights 3 417,480 156,865 574,345 490,666
Total expenditure 479,198 156,865 636,063 505,978
Net income for the year and net movement in funds 5 246,380 246,380 27,829
Balances brought forward at the start of the year 153,164 153,164 125,335
Balances carried forward at the end of the year 399,544 399,544 153,164
----- End of picture text -----

All income and expenditure during the previous year was unrestricted.

All recognised gains and losses for the period are included in the statement of financial activities.

Arise Foundation 15

Balance sheet 31 December 2021

----- Start of picture text -----
2021 2021 2020 2020
Notes £ £ £ £
Tangible assets
Fixed assets 8 2,369 3,037
Current assets
Debtors 9 17,516 17,285
Cash at bank and in hand 429,147 145,177
446,663 162,462
Current liabilities
Creditors: amounts falling due
within one year 10 (49,488) (12,335)
Net current assets 397,175 150,127
Total net assets 399,544 153,164
Represented by:
The funds of the charity
General Funds 399,544 153,164
----- End of picture text -----

Approved by the trustees and signed on their behalf by:

Trustee

Approved by the trustees on 28[th] June 2022

Arise Foundation 16

Cash flows 31 December 2021

----- Start of picture text -----
2021 2020
£ £
Cash flows from operating activities
Net cash provided by / (used in) operating activities A 284,563 (4,171)
Cash flows from investing activities B (593) (3,400)
Change in cash and cash equivalents in the year 283,970 (7,571)
Reconciliation of net cash flow to movement in net funds:
Cash and cash equivalents at 1 January 145,177 152,748
Cash and cash equivalents at 31 December C 429,147 145,177
----- End of picture text -----

A Reconciliation of net income to net cash (used in) from operating activities

	2021 £	2020 £
Net income for the reporting period (as per the statement of financial activities)	246,380	27,829
Adjusted for:
Depreciation charges	1,261	2,116
Increase in debtors	(231)	(11,732)
Increase /(decrease)in creditors	37,153	(22,384)
Net cashprovided by /(used in) operating activities	284,563	(4,171)

B Cash flows from investing activities

----- Start of picture text -----
2021 2020
£ £
Purchase of tangible fixed assets (593) (3,400)
Net cash used in investing activities (593) (3,400)
----- End of picture text -----

C Analysis of changes in net debt

----- Start of picture text -----
At 1 At 31
January December
2021 Cash flows 2021
£ £ £
Cash and cash equivalents 145,177 283,970 429,147
----- End of picture text -----

Arise Foundation does not have any borrowings or lease obligations. Net debt consists therefore of the cash at bank and in hand only.

Principal accounting policies Year to 31 December 2021

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below:

Basis of preparation

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 (Charities SORP FRS 102), the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

These accounts have been prepared for the year to 31 December 2021 with the comparatives for year ended 31 December 2020.

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 charity constitutes a public benefit entity as defined by FRS 102.

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

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the trustees to make significant judgements and estimates.

Other than the allocation of governance and support costs between the various categories of expenditure, there are no items in the accounts where key judgements and estimates have been made.

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.

The trustees of the charity 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. Despite the global uncertainty in relation to COVID-19, there are no co concern.

Income recognition

Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.

Arise Foundation 18

Principal accounting policies Year to 31 December 2021

Income recognition (continued)

The principal source of income is donations.

Donations, receivable in cash, are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. 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 those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

Donated services and facilities provided to the charity are recognised in the period when it is probable that the economic benefits will flow to the charity, provided they can be measured reliably. This is normally when the service is provided/the facilities are used by the charity. An equivalent amount is included as expenditure. Donated services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain facilities or services of equivalent economic benefit on the open market.

In accordance with the Charities SORP FRS 102 volunteer time is not recognised.

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. The classification between activities is as follows:

• Expenditure on raising funds comprises the cost of fundraising events as well as support costs;

• Expenditure on charitable activities includes all other costs associated with furthering the charitable purposes of the charity; the elimination of the infringement of human rights by people trafficking anywhere in the world by all or any means possible. Such costs

Grants payable are included in the statement of financial activities when approved and when the intended recipient has either received funds or been informed of the decision to make the grant and has satisfied all performance conditions. Grants approved but not paid at the end of the financial period are accrued. Grants where the beneficiary has not been informed or has to fulfil performance conditions before the grant is released are not accrued but are disclosed as financial commitments in the notes to the accounts.

All expenditure is stated inclusive of irrecoverable VAT.

Arise Foundation 19

Principal accounting policies Year to 31 December 2021

Allocation of support and governance costs

Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support including in the form of financial procedures.

Governance costs comprise the costs involving the public accountability of the charity (including audit costs) and costs in respect to its compliance with regulation and good practice.

Support and governance costs are apportioned using percentages based on the direct expenditure incurred on each of the activities of the charity.

Tangible fixed assets

Individual assets with an expected useful life exceeding one year are capitalised at cost. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Computers and equipment 33% on a straight line basis

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

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.

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. They have been discounted to the present value of the future cash payment where such discounting is material.

Fund structure

Restricted funds comprise monies raised for, or their use restricted to, a specific purpose, or contributions subject to donor imposed conditions.

Unrestricted funds comprise those monies which may be used towards meeting the charitable objectives of the charity and which may be applied at the discretion of the trustees.

Foreign currencies

Assets and liabilities in foreign currencies are translated into Sterling at the rate of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into Sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the net movement in funds.

Arise Foundation 20

Principal accounting policies Year to 31 December 2021

Financial instruments

The charity only holds basic financial instruments as defined in FRS 102. The financial assets and financial liabilities of the charity and their measurement basis are as follows:

Financial assets other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments.

Cash at bank classified as a basic financial instrument and is measured at face value.

Financial liabilities accruals and other creditors are financial instruments, and are measured at amortised cost.

Pension costs

scheme are charged to the statement of financial activities in the period in which they become payable to the scheme.

Arise Foundation 21

Notes to the accounts Year to 31 December 2021

1 Income from: Donations

----- Start of picture text -----
2021 2020
£ £
Donations
Arise Foundation America Inc. 440,438 180,205
Gift Aid 49,410 54,086
Trustees (see note 12) 31,000 14,000
John Studzinski (founding president) 226,916 261,449
Other 134,469 24,067
882,233 533,807
----- End of picture text -----

Donations include donations in kind amounting to £62,916 (2020 - £62,916) in relation to staff costs.

2 Expenditure on: Raising funds

----- Start of picture text -----
2021 2020
£ £
Allocated support and governance costs (note 4) 61,718 15,312
61,718 15,312
----- End of picture text -----

• 3 Expenditure on: Charitable activities

----- Start of picture text -----
2021 2021
General Restricted 2021 Total 2020 Total
Funds £ Funds £ Funds £ Funds £
Grants
. India 86,574 66,833 153,407 242,324
. UK 500
. Philippines 40,543 40,543 10,000
. Albania 139,687 139,687 48,366
Total grants awarded 266,804 66,833 333,637 301,190
Grants to be returned
. India (4,700)
Total grants charged 266,804 66,833 333,637 296,490
Direct costs
. Program costs 14,353 14,353
. Bank fees 565 565 1,699
. Depreciation 58 58
. Professional fees 16,932 16,932
. Website external maintenance 2,956
. Meetings & Conferences 6,622 6,622
. Travel costs 8,675 8,675 202
. Staff costs (note 6) 94757 37,120 131,877 129,802
141,962 37,120 179,082 134,659
Allocated support and governance costs 8,714 52,912 61,626 59,517
417,480 156,865 574,345 490,666
----- End of picture text -----

Arise Foundation 22

Notes to the accounts Year to 31 December 2021

4 Support and governance costs

----- Start of picture text -----
2021 2020
£ £
Staff costs (note 6) 52,837 23,758
Office costs 43,732 32,066
Travel 4,869 1,113
Website costs 833 3,049
Governance costs:
. Staff costs (note 6) 16,405 10,223
4,668 4,620
123,344 74,829
----- End of picture text -----

Support and governance costs have been allocated to expenditure on raising funds and charitable activities as follows:

----- Start of picture text -----
2021 2020
£ £
Raising funds 61,718 15,312
Charitable activities 61,626 59,517
123,344 74,829
----- End of picture text -----

The charity allocates its support costs using percentages based on the direct expenditure incurred on each of the activities of the charity.

5 Net income for the period

This is stated after charging:

----- Start of picture text -----
2021 2020
£ £
. Statutory audit fees 4,668 4,620
----- End of picture text -----

6 Staff costs and remuneration of key management personnel

Staff costs during the year were as follows:

----- Start of picture text -----
2021 2020
£ £
Wages and salaries 180,491 148,175
Social security costs 14,404 11,001
Pension costs 6,225 4,609
201,120 163,785
----- End of picture text -----

The average number of staff employed during the year is 3 full-time (2020 - 3) and 3 part-time (2020 - 2)

Arise Foundation 23

Notes to the accounts Year to 31 December 2021

6 Staff costs and remuneration of key management personnel (continued)

No members of staff received employee benefits (excluding employer pension costs) of more than £60,000.

Included in staff costs above is £62,916 (2020 - £62,916) total remuneration paid on behalf of the charity. The value of the time spent in this role is also included within donations in kind income.

The trustees consider that they, together with all staff of the Foundation, comprise the key management of the charity in charge of directing and controlling, running and operating the charity contributions) of the key management personnel for the year was £201,120 (2020 - £163,785).

No trustee received reimbursement of travelling expenses in the year (2020 £nil).

7 Taxation

Arise Foundation is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

• 8 Tangible fixed assets

----- Start of picture text -----
Computers
and
equipment
£
Cost
At 1 January 2021 8,449
Additions 593
Disposals (2,699)
At 31 December 2021 6,343
Depreciation
At 1 January 2021 5,412
Charge for year 1,261
Disposals (2,699)
At 31 December 2021 3,974
Net book value
At 31 December 2021 2,369
At 31 December 2020 3,037
----- End of picture text -----

• 9 Debtors

----- Start of picture text -----
2021 2020
£ £
Gift Aid receivable 11,999 12,650
Other debtors 5,517 4,635
17,516 17,285
----- End of picture text -----

Arise Foundation 24

Notes to the accounts Year to 31 December 2021

10 Creditors: amounts falling due within one year

----- Start of picture text -----
2021 2020
£ £
Accruals 12,853 7,620
Other creditors 36,635 4,715
49,488 12,335
----- End of picture text -----

11 Restricted funds

----- Start of picture text -----
At At
1 January New Utilised/ 31 December
2021 designations Released 2021
£ £ £ £
Projects fund 156,865 (156,865)
156,865 (156,865)
----- End of picture text -----

Projects fund

The projects fund relates to income received from funders which are restricted to use on specific projects. All restricted funds received during the year were fully used in projects as intended to fund overheads, staff salaries and grants to India.

12 Related party transactions

During the year ended 31 December 2021, 1 trustee made donations to the Arise Foundation, of £31,000 (2020 £275,449 donated by two trustees) (see note 1).

13 Related entity

The charitable company is closely related to Arise Foundation America Inc, a US tax exempt organisation registered in the state of Delaware and was founded to carry out the work of that entity in the UK.

Apart from the donations received as shown in note 1 to the accounts, there were no transactions with the parent during the period.

Arise Foundation 25