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2020-12-31-accounts

REGISTERED CHARITY NUMBER: 1168872

REPORT OF THE TRUSTEES AND

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

FOR

LINKS INTERNATIONAL

Brindley Millen Ltd Chartered Accountants and Statutory Auditors 167 Turners Hill Cheshunt Hertfordshire EN8 9BH

LINKS INTERNATIONAL

CONTENTS OF THE FINANCIAL STATEMENTS for the Year Ended 31 December 2020

Page
Report of the Trustees 1 to 7
Report of the Independent Auditors 8 to 9
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Cash Flow Statement 13
Notes to the Financial Statements 14 to 24
Detailed Statement of Financial Activities 25

LINKS INTERNATIONAL

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

Charitable Objectives

The Charity has four purposes set out in its constitution, each of which has equal value and importance. These are:

The Charity seeks to advance these purposes across many different countries throughout the world.

Links International's vision is to Confront Poverty, Create Potential and Connect People, by facilitating transformational, holistic solutions to international development, because we believe that there is a new world being formed in the shell of the old. We do this by creating connections and partnerships with key nationals and innovative organisations around the world to provide training, resources and financial support.

Links works specifically into the five areas of Faith, Health, Business, Education and Social Justice.

Faith

Our Christian Faith underpins all of the work that we do and we believe that international development is the logical outworking of the Christian message of God's restoration of all things through the finished work of Christ. We carry out extensive work around the areas of church partnerships, starting new faith communities and raising up leaders.

Health

Links Community Healthcare (CHC) provides preventative health training to teams of volunteer CHC workers throughout the majority world, working into slums, tribal communities and rural areas with limited medical facilities. Our SHINE Programme comprises sanitation, hygiene, immunisation, nutrition and education, which eliminates many of the problems faced by the majority world.

A significant number of our projects also have a direct impact on healthcare, whether these are agricultural projects, clean water projects, latrines providing greater sanitation or clinics meeting the needs of communities.

Business

Through business development, whether on a micro or macro level, Links has seen many tens of thousands of families come out of extreme poverty through training and micro-loan systems.

Links also facilitates the development of income generating projects to empower organisations in the majority world to raise much needed funds to cover their core costs, thus freeing them from the tyranny of having to constantly rely on funds being raised from the so called 'developed' world.

Links has a strong portfolio of business development training resources for both loan recipients and micro-finance management committees.

Education

Links' education branch seeks to empower our partners around the world to provide innovative forms of education, from schooling to training and teaching in business, health, leadership and a range of sociological, political and theological issues.

Social Justice

Some of the key areas that we focus on are racial and gender equality, children's rights and protection, developing local justice systems, awareness of dangers, such as the predatory nature of people traffickers and dismantling cultural norms that contradict the culture of the Kingdom of God.

The Trustees regularly consider and review the public benefit arising from the activities of the Charity. The focus of the Charity is to maximise public benefit by supporting those who are in need, are disadvantaged or are economically deprived. The Trustees confirm that they have regard to the Charity Commission's public benefit guidance when exercising any powers or duties to which the guidance is relevant.

Page 1

LINKS INTERNATIONAL

for the Year Ended 31 December 2020

REPORT OF THE TRUSTEES

OBJECTIVES AND ACTIVITIES

Public benefit

The trustees have reviewed the extent of public benefit derived from our activities. Their focus remains on maximising public benefit by supporting those in need, disadvantaged or economically deprived. The activities of Links International bring significant public benefit. Details of our particular projects and activities are best described on our web-site www.linksinternational.org.uk. The trustees confirm that they had regard to the Charity Commission's public benefit guidance when exercising any powers or duties to which the guidance was relevant.

ACHIEVEMENT AND PERFORMANCE

Introduction

2020 has been both an extremely challenging, but also rewarding year for us in Links International.

As most charities, we were quickly forced to pivot the focus and systems of our work to deal with the restrictions of the pandemic.

Links' focus is usually more heavily around the areas of rehabilitation and development. However, with communities facing extreme hunger and no opportunities to work, we found ourselves working alongside our partners, providing food, aid and relief. We also quickly saw the need to ensure good hygiene and sanitation were in place and began to provide PPE and sensitisation programs for our partners around the world. Adding to the strain through Covid, we also responded to the crisis caused by Hurricane Iota in the Caribbean and also mass flooding in Sri Lanka.

We have strengthened our fundraising output and effort with a much stronger fundraising team, developing the role of an in-house fundraising Manager as well as using an outside Fundraising Consultancy. This has vastly improved the intentionality of our fundraising endeavours and improved funds coming into cover the core costs of running the charity. Our infrastructure and spending are kept to a minimum but in the current climate it remains a challenge to raise these kinds of funds. We have been fortunate to receive several legacies which put us in a position to have healthy reserves.

This year has also been very successful for the business of some of our corporate partners, which in turn has been very beneficial for Links as their donations have increased considerably.

Review of the Year

Links has continued to support and invest in our partnership with organisations overseas and within the UK, throughout the year through:

Staff Team

The Staff team has gone over and above in 2020 to adapt to the restrictions and limitations of the global pandemic. Everyone quickly pivoted to working remotely and training using software such as Zoom and live streaming platforms such as Streamyard.

The office-based staff quickly adapted to all the cloud-based options of work and have all learnt a great deal throughout this time. Much of our work has become more efficient and time/cost effective.

The Fundraising team has developed considerably this year as donors have stepped up to give into emergency appeals. We have become more intentional in our yearly rhythm of appeals, updates and communications with our donors.

Throughout the pandemic we only needed to put one member of staff on furlough, as their role revolves specifically around team and trip administration. Everyone else's role increased significantly as the toll of covid accentuated the already massive needs of the global poor.

Page 2

LINKS INTERNATIONAL

REPORT OF THE TRUSTEES for the Year Ended 31 December 2020

Overseas trips

Clearly due to the pandemic we have been unable to carry out teams and trips in the same way throughout 2020. However, this has not limited the impact of our training with a mixture of leadership, healthcare and business training taking part in the following countries:

- Colombia
- India
- Peru
- Nicaragua
- Malawi
- Zambia
- Uganda
- Sri Lanka

In early 2020, before travel restrictions were imposed, we were able to visit our partners in Uganda to provide leadership training and to audit a newly built medical clinic, which is a large-scale project for us in Links International.

Projects

Our vision is for projects to be self-sustaining, holistic, empowering and income generating. Projects are often connected to specific areas of our work, whether that be business, health, education or social benefit focussed, and often arise out of the needs seen during team trips.

Working with both targeted funds from partners and general funds, in 2020 we were able to support a range of projects mainly connected to our covid relief appeal and Hurricane Iota Appeal. These included works aimed at:

- Healthcare and sanitation
- PPE and training
- Oxygen concentrators and ventilators
- Safe water supply
- Malaria prevention
- Rebuilding of living spaces
- Agricultural and livestock initiatives
- Sustainable transport for village teams
- Medium-size business start-ups to provide employment and income streams for partners

Alongside these we were also able to fund new micro-enterprise projects and maintain the value of existing MED scheme funds.

Act4You Accounts Handling

Under our Act4You initiative, the number of accounts managed by Links has again increased. By the end of the year we were handling 130 accounts on behalf of 100 individuals, businesses and organisations involved in charitable work in approximately 30 countries, as well as offering consultancy services where required.

National Offices

Relationships with the Links USA office remain strong and together we collaborate on several projects and initiatives around the world. Together, we are in the process of setting up a regional office for Central America in El Salvador.

We are also now at the point of establishing an Africa based regional office in Malawi to better serve our partners throughout the continent. We are also looking at the possibility of both a South American and Asian office in the not-too-distant future

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LINKS INTERNATIONAL

REPORT OF THE TRUSTEES for the Year Ended 31 December 2020

Communications

Our communications have improved considerably throughout the year with a vast increase in social media following, YouTube, magazine and e:link subscription.

We are also in the process of migrating all of our data to a new database which will significantly improve the way that we communicate with our various donors and stakeholders.

Fundraising

The Fundraising team has developed considerably this year as donors have stepped up to give into emergency appeals and as we have become more intentional in our yearly rhythm of appeals, updates and communications with our donors.

The main areas of our fundraising work:

All of the above areas have grown due to intentional strategic development.

FINANCIAL REVIEW

Financial position of the Charity

Funding

The main source of funding for Links are regular monthly donations from supporters via standing orders. Appeals are run at regular intervals during the year for various aspects of Links work. We also run emergency appeals when natural disasters occur in areas that we work into. In 2020, as soon as the pandemic hit, an appeal was put in place to raise funds to support our partners who were worst affected by COVID. Links also has a few business connections and those business supporters give generously to projects and core costs.

A financial budget had been put in place for 2020, but spending during the year was not as extensive as had been estimated, due to the restrictions of the pandemic. However, these restrictions also limited the amount of fundraising that could take place. The main fundraiser for core costs is usually the London Marathon. However, due to its cancellation, a significant amount of fundraising support was lost. Other smaller fundraising events were set up and despite limitations, were successfully implemented, which made up some of the shortfall.

Financial projections

Links is in a very healthy financial position at this point in time and there is no cause for concern regarding the continuation of Links International.

Reserves

The trustees aim to maintain an ongoing reserve within general unrestricted funds of at least three to six months of usual operating costs. At present reserves are in excess of this and the Trustees are considering options to ensure the most effective long-term return on investments to secure the future activities of the Charity.

Page 4

LINKS INTERNATIONAL

REPORT OF THE TRUSTEES

for the Year Ended 31 December 2020

FUTURE PLANS

Links will continue to grow as an organisation that exists to serve the local church to impact the world, by providing holistic solutions to international development, that changes lives and transforms communities. We will operate regional offices to cover the different continents of the globe and cascade our work out to a far greater audience, client base and global community. As such we will be well known as a key provider of these services in both the faith and secular community.

Links will continue to have a large portfolio of resources and ways to serve partners both at home and overseas, with a focus on the 5 areas of faith, health, business, education and justice. We will serve a large selection of businesses, organisations, individuals, schools and the local church to engage in meaningful and intentional ways with the needs around the world.

The 'Links Family' of ministries will be a diverse, multi-cultural and multi-generational team working together to bring cross pollination of ideas and initiatives. We will be known as an organisation characterised by faith, adventure, risk, fun, servant heartedness and willingness to fight for change.

We will always position ourselves as the guide, standing alongside the real heroes out on the ground making a difference.

Some key short-term objectives are:

STRUCTURE, GOVERNANCE AND MANAGEMENT

Structure, Governance and Management

The Charity is established as a charitable incorporated organisation (CIO) and is governed by a constitution, the current version of which was adopted on 23 August 2016 on the incorporation of the Charity. The Charity is registered with the Charity Commission for England and Wales.

The governance of the Charity rests with the Board of Trustees. The Trustees are the persons with the general control and management of the administration of the Charity. The Trustees carry the overall responsibility for the Charity including its financial stability and the implementation of its charitable aims and objectives. Strategic decisions as to the aims, activities, planning and budgets of the Charity are made by the Trustees. The Board meets at least four times per year.

The constitution provides that there must be at least three Trustees but does not specify an upper limit on the size of the Board. In practice, the Charity seeks to operate within the range of six to twelve Trustees at any time. Appointment of Trustees is governed by the constitution. Every Trustee is appointed for a term of three years by way of a resolution passed by the Board. In selecting individuals for appointment as Trustees, the Board has regard to the skills, knowledge and experience needed for the effective administration of the Charity. The Chief Executive is responsible for coordinating the induction of new Trustees, together with the Chair.

Day-to-day management of the Charity is delegated to the staff team via the Chief Executive. The staff team are supported by a team of dedicated volunteers. Volunteers will assist the team in areas such as mailing Links' communication, administration assistance and translation skills. Their role tends to be sporadic around times of the year that Links sends out various communications.

Links International has subsidiary offices in the USA, El Salvador and Malawi. These regional offices take their lead from the UK headquarters with regards to vision, mission and values. They also take their guidance on brand identity and communications from Links International centrally. However, they also have varying levels of autonomy. For instance, the US office is a registered charity in its own right with its own Board of Trustees.

Links partners with many charities and organisations around the world to pursue our objectives to alleviate poverty in all its forms and to advance the Christian Faith. These partner organisations range from small, localised organisations in the various countries we work into, to national and international organisations such as Youth with a Mission (YWAM). In the UK, Links partners with a number of church networks such as The Pioneer Network, The Ground Level Network and the 24-7 Prayer Movement. Alongside our church partnerships we also connect with a number of businesses forming corporate partnerships, providing an opportunity for them to work alongside Links for their CSR offering.

The Charity does not have a trading subsidiary.

Page 5

LINKS INTERNATIONAL

REPORT OF THE TRUSTEES for the Year Ended 31 December 2020

STRUCTURE, GOVERNANCE AND MANAGEMENT

Risk Management

The Trustees review their assessment of the major risks to which the Charity is exposed on a regular basis each year or when circumstances significantly change if earlier. Procedures, policies and systems are reviewed at least annually to mitigate these risks.

Currently, Links is in a very strong position with risks being mitigated against by a healthy team and healthy reserves in place. We also have a strong strategy in place for ongoing endeavours and the raising of funds for these.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1168872

Principal address

P O Box 198 Littlehampton West Sussex BN16 3UQ

Trustees

P Moore Chairperson G Jones Honorary Treasurer (appointed 28.7.20) C Read A King D Kirby (appointed 26.2.20) B Ansell (appointed 26.2.20) B Gisbey (appointed 26.2.20) E Gladwell (appointed 22.8.20) M Bell (resigned 20.5.20) S Dendy (resigned 20.5.20) L Hills (resigned 20.5.20)

Auditors

Brindley Millen Ltd Chartered Accountants and Statutory Auditors 167 Turners Hill Cheshunt Hertfordshire EN8 9BH

Solicitors Swaby Clerk and Norris 16-20 Wakering Road Barking Essex IG11 8QN

Chief Executive Officer Joe Gisbey

Principal Bankers Lloyds Bank 1 Silver Street Enfield EN1 3EE

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"

Page 6

LINKS INTERNATIONAL

REPORT OF THE TRUSTEES for the Year Ended 31 December 2020

STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued

The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed 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, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.

Approved by order of the board of trustees on ............................................. and signed on its behalf by: Oct 26, 2021

..............................................................................

P Moore - Trustee

Page 7

REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF LINKS INTERNATIONAL

Opinion

We have audited the financial statements of Links International (the 'charity') for the year ended 31 December 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' 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 in the UK, including the FRC's Ethical Standard, and we have fulfilled our 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 statements, we have concluded that the trustees' use of the going concern basis 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 or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue 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.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, 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 this gives rise to a material misstatement in the financial statements themselves. 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 where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which 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 trustees are responsible for assessing the charity's ability to 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.

Page 8

REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF LINKS INTERNATIONAL

Our responsibilities for the audit of the financial statements

We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes 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.

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:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the charity and determined that the most significant are those covered by the Statement of Recommended Practice for Charities (SORP 2019) and the Charities Act 2011. We assessed the risk of material misstatement in respect of fraud by making enquiries of management and trustees and by testing the implementation of accounting controls in place.

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above by making enquiries with key personnel and reviewing relevant documentation such as minutes of Trustee meetings and correspondence with regulatory bodies. We considered the risk of fraud through management override by incorporation testing of journal entries and reviewing any requirements to meet performance targets. We also considered, and tested for, the possibility of unauthorised payments to related parties.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

mwbrindley

mwbrindley (Oct 26, 2021 16:31 GMT+1)

Brindley Millen Ltd Chartered Accountants and Statutory Auditors Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006 167 Turners Hill Cheshunt Hertfordshire EN8 9BH

Date: ............................................. Oct 26, 2021

Page 9

LINKS INTERNATIONAL

STATEMENT OF FINANCIAL ACTIVITIES for the Year Ended 31 December 2020

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Investment income
3
Total
EXPENDITURE ON
Raising funds
4
Charitable activities
5
Trust activities (UK office)
Projects
Total
Net gains on investments
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
186,317
4,231
190,548
14,833
170,505
64,331
249,669
2,739
(56,382)
332,917
276,535		 Restricted
funds
£
1,110,146
-
1,110,146
-
-
980,338
980,338
-
129,808
396,856
526,664		 31.12.20
Total
funds
£
1,296,463
4,231
1,300,694
14,833
170,505
1,044,669
1,230,007
2,739
73,426
729,773
803,199		 31.12.19
Total
funds
£
1,041,831
2,507
1,044,338
30,392
162,798
876,484
1,069,674
10,474
(14,862)
744,635
729,773

The notes form part of these financial statements

Page 10

LINKS INTERNATIONAL

BALANCE SHEET

31 December 2020

Unrestricted
funds
Notes
£
CURRENT ASSETS
Debtors
13
46,165
Cash at bank and in hand
238,283
284,448
CREDITORS
Amounts falling due within one year
14
(7,912)
NET CURRENT ASSETS
276,536
TOTAL ASSETS LESS CURRENT LIABILITIES
276,536
NET ASSETS
276,536
FUNDS
15
Unrestricted funds
Restricted funds
TOTAL FUNDS		 Restricted
funds
£
-
526,663
526,663
-
526,663
526,663
526,663		 31.12.20

Total
funds
£
46,165
764,946
811,111
(7,912)
803,199
803,199
803,199
276,536
526,663
803,199		 31.12.19
Total
funds
£
27,123
709,985
737,108
(7,335)
729,773
729,773
729,773
332,917
396,856
729,773

Oct 26, 2021 The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

Gareth JOnes

Gareth JOnes (Oct 26, 2021 14:44 GMT+1) .............................................

G Jones - Trustee

The notes form part of these financial statements

Page 11

LINKS INTERNATIONAL

CASH FLOW STATEMENT

for the Year Ended 31 December 2020

31.12.20 31.12.19
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 50,730 (19,786)
Net cash provided by/(used in) operating activities 50,730 (19,786)
Cash flows from investing activities
Interest received 4,231 2,507
Net cash provided by investing activities 4,231 2,507
Change in cash and cash equivalents in the
reporting period 54,961 (17,279)
Cash and cash equivalents at the beginning of
the reporting period 709,985 727,264
Cash and cash equivalents at the end of the
reporting period 764,946 709,985

The notes form part of these financial statements

Page 12

LINKS INTERNATIONAL

NOTES TO THE CASH FLOW STATEMENT for the Year Ended 31 December 2020

1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

ACTIVITIES
31.12.20 31.12.19
£ £
Net income/(expenditure) for the reporting period (as per the Statement of
Financial Activities) 73,426 (14,862)
Adjustments for:
Interest received (4,231) (2,507)
Increase in debtors (19,042) (2,821)
Increase in creditors 577 404
Net cash provided by/(used in) operations 50,730 (19,786)
  1. ANALYSIS OF CHANGES IN NET FUNDS
At 1.1.20 Cash flow At 31.12.20
£ £ £
Net cash
Cash at bank and in hand 709,985 54,961 764,946
709,985 54,961 764,946
Total 709,985 54,961 764,946

The notes form part of these financial statements

Page 13

LINKS INTERNATIONAL

NOTES TO THE FINANCIAL STATEMENTS for the Year Ended 31 December 2020

1. ACCOUNTING POLICIES

Basis of preparing the financial statements and assessment of going concern

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.

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

The financial statements are presented in sterling (£).

Critical accounting judgements and key sources of estimation uncertainty

No significant judgements have been made during the course of preparing these financial statements. There are no sources of estimation uncertainty.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

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.

Raising funds

All resources expended are classified under activity headings that aggregate all costs related to the category. Irrecoverable VAT is charged against the category of resources for which it was incurred.

Fundraising costs

These comprise of the direct costs of fundraising.

Allocation and apportionment of costs

Expenses are allocated directly to charitable activities.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 25% on reducing balance Computer equipment - 25% on cost

All assets with an original cost of more than £400 are capitalised.

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.

Net current assets

Debtors

Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid.

continued...

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LINKS INTERNATIONAL

NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

1. ACCOUNTING POLICIES - continued

Net current assets

Cash at bank and in hand

Cash at bank and in hand includes cash, current bank accounts and deposit bank accounts with no withdrawal limitations.

Creditors

Creditors are recognised where the charity has a present obligation resulting from a past event that will result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are recognised at their settlement amount.

Foreign currencies

Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction.

Operating leases

Rentals applicable to operating leases where substantially all the benefits and risks of ownership remain with the lessor are charged to the Statement of Financial Activities as they become payable.

Pension costs and other post-retirement benefits

The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially settled at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2. DONATIONS AND LEGACIES

3.

4.

Gifts
Legacies
INVESTMENT INCOME
Deposit account interest
RAISING FUNDS
Raising donations and legacies
Publications, advertising and postage
Travelling and conferences
Fundraising costs		 31.12.20
£
1,296,463
-
1,296,463
31.12.20
£
4,231
31.12.20
£
7,149
3,709
3,405
14,263		 31.12.19
£
1,008,564
33,267		 31.12.19
£
1,008,564
33,267
1,041,831
31.12.19
£
2,507
31.12.19
£
14,635
11,430
3,793
29,858
29,858

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

4. RAISING FUNDS - continued

Investment management costs
31.12.20 31.12.19
£ £
Portfolio management 570 534
Aggregate amounts 14,833 30,392
5. CHARITABLE ACTIVITIES COSTS
Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS		 Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS		 Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS		 Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS		 Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS		 Investment management costs
31.12.20
31.12.19
£
£
Portfolio management
570
534
Aggregate amounts
14,833
30,392
5.
CHARITABLE ACTIVITIES COSTS
Trust activities (UK office)
Projects
6.
GRANTS PAYABLE
Projects
The total grants paid to institutions during the year was a
General missions
Children
Healthcare
Food
Books and CDs
Teaching
Micro Enterprise
Education
Travel
Staff
Welfare
Counselling
Admin fees charged		 Direct
Costs
£
162,015
-
162,015
s follows:		 Grant
funding of
activities
(see note
6)
£
-
1,044,669
1,044,669		 Support
costs (see
note 7)
£
8,490
-
8,490
31.12.20
£
1,044,669
31.12.20
£
700,304
103,231
58,437
5,552
-
5,000
4,267
52,221
10,308
22,306
-
5,144
77,899
1,044,669		 Totals
£
170,505
1,044,669
1,215,174
31.12.19
£
876,484
31.12.19
£
542,954
103,595
33,398
14,400
664
11,932
5,648
52,367
51,164
6,822
769
1,932
50,839
876,484

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

7. SUPPORT COSTS

8.

SUPPORT COSTS
Governance
costs
£
Trust activities (UK office) 8,490
AUDITORS' REMUNERATION
31.12.20 31.12.19
£ £
Fees payable to the charity's auditors for the audit of the charity's financial statements 3,220 3,180

9. 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.

The charity consider its key management personnel to comprise the trustees and chief executive officer. Total key personnel remuneration for the year was £40,535 with additional pension contributions of £1,291 (2019: £32,993 with additional personal pension contributions of £739)

Trustees' expenses

Trustees' expenses
10.
STAFF COSTS
Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Direct charitable expenditure
Administration
No employees received emoluments in excess of £60,000.
11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
214,289
Investment income
2,507
Total
216,796
EXPENDITURE ON
Raising funds
30,392		 31.12.20
£
-
31.12.20
£
137,301
4,176
2,102
143,579
31.12.20
4
1
5
Restricted
funds
£
827,542
-
827,542
-		 31.12.19
£
171
31.12.19
£
129,463
4,781
1,807
136,051
31.12.19
3
1
4
Total
funds
£
1,041,831
2,507		 31.12.19
£
171
31.12.19
£
129,463
4,781
1,807
136,051
31.12.19
3
1
4
Total
funds
£
1,041,831
2,507
1,044,338
30,392

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

11.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
Restricted
funds
funds
£
£
Charitable activities
Trust activities (UK office)
162,798
-
Projects
62,568
813,916
Total
255,758
813,916
Net gains on investments
10,474
-
NET INCOME/(EXPENDITURE)
(28,488)
13,626
RECONCILIATION OF FUNDS
Total funds brought forward
361,404
383,231
TOTAL FUNDS CARRIED FORWARD
332,916
396,857
12.
TANGIBLE FIXED ASSETS
Fixtures
and
Computer
fittings
equipment
£
£
COST
At 1 January 2020 and 31 December 2020
6,923
6,482
DEPRECIATION
At 1 January 2020 and 31 December 2020
6,923
6,482
NET BOOK VALUE
At 31 December 2020
-
-
At 31 December 2019
-
-
13.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.20
£
Other debtors
46,165		 Total
funds
£
162,798
876,484
1,069,674
10,474
(14,862)
744,635
729,773
Totals
£
13,405
13,405
-
-
31.12.19
£
27,123

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Taxation and social security
Other creditors
15.
MOVEMENT IN FUNDS
Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
France
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nicaragua
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 At 1.1.20
£
317,840
15,077
332,917
8,292
105
965
9,828
1,335
233
899
12,881
215
18,486
31,380
2,534
10,077
584
6,269
17,964
17,522
41,605
685
466
1,337
39,400
1,882
18,596
3,319
16
429
149,552
396,856
729,773		 31.12.20
£
2,586
5,326
7,912
Net
movement
in funds
£
(49,053)
(7,328)
(56,381)
(1,316)
28
51
6,245
(1,335)
739
381
453
220
8,166
2,088
17,906
864
-
(6,269)
4,116
33,679
663
5
2,020
313
368
3,700
924
16,055
(16)
54
39,705
129,807
73,426		 31.12.19
£
2,036
5,299
7,335
At
31.12.20
£
268,787
7,749
276,536
6,976
133
1,016
16,073
-
972
1,280
13,334
435
26,652
33,468
20,440
10,941
584
-
22,080
51,201
42,268
690
2,486
1,650
39,768
5,582
19,520
19,374
-
483
189,257
526,663
803,199

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

15. MOVEMENT IN FUNDS - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
Ethopia
France
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 Incoming
resources
£
188,038
2,510
190,548
50
38
18,409
112,048
505
694
7,611
16,721
44,903
240
46,089
62,035
36,377
12,265
1,800
22,857
49,032
28,568
1,500
7,090
1,443
20,848
6,000
109,749
46,574
-
3,102
453,598
1,110,146
1,300,694		 Resources
expended
£
(239,830)
(9,838)
(249,668)
(1,366)
(10)
(18,358)
(105,803)
(505)
(2,029)
(6,872)
(16,340)
(44,450)
(20)
(37,923)
(59,947)
(18,471)
(11,401)
(8,069)
(18,741)
(15,353)
(27,905)
(1,495)
(5,070)
(1,130)
(20,480)
(2,300)
(108,825)
(30,519)
(16)
(3,048)
(413,893)
(980,339)
(1,230,007 )		 Gains and
losses
£
2,739
-
2,739
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
2,739		 Movement
in funds
£
(49,053)
(7,328)
(56,381)
(1,316)
28
51
6,245
-
(1,335)
739
381
453
220
8,166
2,088
17,906
864
(6,269)
4,116
33,679
663
5
2,020
313
368
3,700
924
16,055
(16)
54
39,705
129,807
73,426

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

15. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
France
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nicaragua
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 At 1.1.19
£
342,662
18,742
361,404
13,188
(25)
901
23,156
-
238
824
14,203
765
15,722
26,129
6,707
8,480
584
2,799
17,372
14,137
41,373
-
900
2,923
29,769
2,182
19,683
9,396
725
819
130,281
383,231
744,635		 Net
movement
in funds
£
(24,822)
(3,665)
(28,487)
(4,896)
130
64
(13,328)
1,335
(5)
75
(1,322)
(550)
2,764
5,251
(4,173)
1,597
-
3,470
592
3,385
232
685
(434)
(1,586)
9,631
(300)
(1,087)
(6,077)
(709)
(390)
19,271
13,625
(14,862)		 At
31.12.19
£
317,840
15,077
332,917
8,292
105
965
9,828
1,335
233
899
12,881
215
18,486
31,380
2,534
10,077
584
6,269
17,964
17,522
41,605
685
466
1,337
39,400
1,882
18,596
3,319
16
429
149,552
396,856
729,773

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

15. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
Ethopia
France
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 Incoming
resources
£
210,546
6,250
216,796
644
150
10,388
88,897
500
1,415
9,900
16,228
62,039
240
47,321
52,658
17,608
11,311
7,020
20,667
32,133
15,984
1,500
8,936
2,554
25,141
6,000
75,797
29,010
11,984
5,816
265,701
827,542
1,044,338		 Resources
expended
£
(245,842)
(9,915)
(255,757)
(5,540)
(20)
(10,324)
(102,225)
(500)
(80)
(9,905)
(16,153)
(63,361)
(790)
(44,557)
(47,407)
(21,781)
(9,714)
(3,550)
(20,075)
(28,748)
(15,752)
(815)
(9,370)
(4,140)
(15,510)
(6,300)
(76,884)
(35,087)
(12,693)
(6,206)
(246,430)
(813,917)
(1,069,674 )		 Gains and
losses
£
10,474
-
10,474
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
10,474		 Movement
in funds
£
(24,822)
(3,665)
(28,487)
(4,896)
130
64
(13,328)
-
1,335
(5)
75
(1,322)
(550)
2,764
5,251
(4,173)
1,597
3,470
592
3,385
232
685
(434)
(1,586)
9,631
(300)
(1,087)
(6,077)
(709)
(390)
19,271
13,625
(14,862)

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

15. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nicaragua
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 At 1.1.19
£
342,662
18,742
361,404
13,188
(25)
901
23,156
238
824
14,203
765
15,722
26,129
6,707
8,480
584
2,799
17,372
14,137
41,373
-
900
2,923
29,769
2,182
19,683
9,396
725
819
130,281
383,231
744,635		 Net
movement
in funds
£
(73,875)
(10,993)
(84,868)
(6,212)
158
115
(7,083)
734
456
(869)
(330)
10,930
7,339
13,733
2,461
-
(2,799)
4,708
37,064
895
690
1,586
(1,273)
9,999
3,400
(163)
9,978
(725)
(336)
58,976
143,432
58,564		 At
31.12.20
£
268,787
7,749
276,536
6,976
133
1,016
16,073
972
1,280
13,334
435
26,652
33,468
20,440
10,941
584
-
22,080
51,201
42,268
690
2,486
1,650
39,768
5,582
19,520
19,374
-
483
189,257
526,663
803,199

continued...

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NOTES TO THE FINANCIAL STATEMENTS - continued for the Year Ended 31 December 2020

15. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
Unrestricted funds
Major Projects Donation Fund
Restricted funds
Africa
Bangladesh
Brazil
Columbia
Ethopia
France
Honduras
Ibiza
India
Jamaica
Kenya
Malawi
Mexico
Nepal
Nigeria
Philippines
Sierra Leone
South Africa
South Asia
Sri Lanka
Tanzania
Thailand
Togo
Uganda
UK
Zambia
Zimbabwe
General/Worldwide
TOTAL FUNDS		 Incoming
resources
£
398,584
8,760
407,344
694
188
28,797
200,945
1,005
2,109
17,511
32,949
106,942
480
93,410
114,693
53,985
23,576
8,820
43,524
81,165
44,552
3,000
16,026
3,997
45,989
12,000
185,546
75,584
11,984
8,918
719,299
1,937,688
2,345,032		 Resources
expended
£
(485,672)
(19,753)
(505,425)
(6,906)
(30)
(28,682)
(208,028)
(1,005)
(2,109)
(16,777)
(32,493)
(107,811)
(810)
(82,480)
(107,354)
(40,252)
(21,115)
(11,619)
(38,816)
(44,101)
(43,657)
(2,310)
(14,440)
(5,270)
(35,990)
(8,600)
(185,709)
(65,606)
(12,709)
(9,254)
(660,323)
(1,794,256 )
(2,299,681 )		 Gains and
losses
£
13,213
-
13,213
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
13,213		 Movement
in funds
£
(73,875)
(10,993)
(84,868)
(6,212)
158
115
(7,083)
-
-
734
456
(869)
(330)
10,930
7,339
13,733
2,461
(2,799)
4,708
37,064
895
690
1,586
(1,273)
9,999
3,400
(163)
9,978
(725)
(336)
58,976
143,432
58,564

16. RELATED PARTY DISCLOSURES

Mr B Gisby joined the Board of Trustees during 2020, his brother, Mr J Gisby has been the CEO of the charity for a number of years. During the year Mr J Gisby received gross pay of £38,478 and employer pension contributions of £2,291. Mr B Gisby takes no part in discussions regarding his brother's remuneration package.

Page 24