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2020-12-31-accounts

Sumerian Foundation

(a company limited by guarantee)

Report of the trustees and financial statements for the year ended 31 December 2020

Company Registered Number: 10234246 Charity Registered Number: 1169532

SUMERIAN FOUNDATION

Contents

Trustees, directors, officers and advisors ........................................................................................................... 3 Report of the trustees ......................................................................................................................................... 4 Independent examiner ’ s report .......................................................................................................................... 8 Statement of financial activities (incorporating Income and Expenditure Account) ......................................... 9 Balance sheet ............................................................................................................................................... 10 Statement of cash flows…………………………………………………………………………………………………………………………..11 Notes to the financial statements ................................................................................................................ 12

SUME RI A N F OU ND AT I ON

www.sumerianpartners.com/sumerian-foundation/

Trustees, directors, officers and advisors

Trustees (who are also directors)

The trustees of the Foundation who were in office during the year and up to the date of signing the financial statements were:

Dr Chris West Ms Isabelle Irani Mr Nicholas Colloff Mr Rupesh Chatwani Chair Ms Clare Woodcraft

Registered Office Two Temple Place London WC2R 3BD

Independent Examiner

Shruti Soni Ltd 117A St. Johns Hill Sevenoaks TN13 3PE

Bankers

HSBC plc 25 Islington High Street London N1 9LJ

Solicitors

Skadden, Arps, Slate, Meagher & Flom (UK) LLP 40 Bank Street Canary Wharf London E14 5DS

3

Report of the trustees for the year ended 31 December 2020

The trustees, who are also directors of the Foundation for the purpose of the Companies Act, present their annual report and financial statements for the year ended 31 December 2020. This is also a Directors’ Report as required by Companies Act 2006.

The information with respect to trustees and advisors set out on page 3 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association, applicable Accounting Standards in the United Kingdom, the Statement of Recommended Practice ‘Charities SORP (FRS 102)’ effective 1[st] January 2019, the Companies Act 2006 and the Charities Act 2011.

Structure, Governance and Management

Status and Administration

Sumerian Foundation (‘the Foundation’ or ‘SF’) is a charitable company limited by guarantee, incorporated on 15 June 2016 (company registration number 10234246) and registered with the Charity Commission as a charity on 7 October 2016 (charity registration number 1169532). Its governing document is its Memorandum and Articles of Association.

Governance and Internal Controls

The trustees are appointed by the sole member of the Foundation (Sumerian Partners Limited) and by the Board of Trustees, in consultation with the existing trustees. The constitution requries the Foundation to have a minimum of five trustees, majority of whom should be independent to Sumerian Partners Ltd. Each trustee has one vote.

New trustees are provided with information on trustee guidelines as prepared by the Charity Commission, and information on the Foundation as appropriate. Briefing discussions are held with the current trustees. Trustees are requested annually to confirm any related party transactions.

The trustees meet formally twice each year, where they review and approve:

– A major risk assessment has been performed, and systems and procedures including a risk matrix and and bi– annual reviewy by the Trustees have been established. The key risks relate to the Foundation’s ability to grow its internal capacity, and ability to secure funding for future growth.

Relationship with Sumerian Partners Limited

The Foundation was formally incorporated on 15 June 2016 and registered as a charity on 7 October 2016. Between incorporation and 31 December 2016, unrestricted donations of £25,000 were received from Sumerian Partners Limited.

To ensure clarity in the relationship of the Foundation to Sumerian Partners Limited, the Board of Trustees includes independent mem bers who have no direct relationship with Sumerian Partners Limited, known as the ‘Nominated Trustees’, who are appointed by the Board. They are selected for their experience of and eminence in the Foundation's field of activities and its objectives. Currently there are three independent trustees on the Board of the Foundation.

4

Report of the trustees for the year ended 31 December 2020 (cont.)

Objectives and Activities for the Public Benefit

The primary objectives of the Foundation are stated in its governing document, these are: ‘ for the public benefit to further any purpose which is exclusively charitable under the law of England and Wales (provided that the Charity may not further any purposes which are not charitable in accordance with the laws of Scotland and Northern Ireland). ’

These objectives have been met through SF’s activities during the year, as shown below:

Focus Area Objectives and Activities in 2020 Expenditure
UK Social inequality We aimed to obtain further funds for work on this area,
and make additional ‘impact first’ investments in social
enterprises in the UK.		 134,193
Africa Healthcare We aimed to provide a continuation in post investment
support to ourone ‘impact first’ investment social
enterprise in Africa.		 32,390
Advocacy on venture philanthropy We aimed to develop our tools for venture philanthropy,
including our own impact management, and work with
other organisations to share these tools.		 24,549

The trustees confirm they have complied with the guidance contained in the Charity Commission’s general guidance on public benefit in section 4 of the Charities Act 2011 when reviewing SF ’s aims and objectives and will do when considering grants or ‘ impact first ’ investments (social investments where the primary motive is positive social impact) to be awarded. SF ’s Articles permit it to make grants or ‘impact first’ investments to further these objectives anywhere in the world. KPIs for each of these grant s or ‘impact first’ investments are co-designed with the partner we are investing in, and minitored on a quarterly basis. Our policy is to use ‘impact first’ – or programme related – investment where this is the most appropriate way to maximise public benefit.

Achievements and Performance

During 2020 Sumerian Foundation has focused on the objectives and activities outlined above. To this end, the main achievements of the year have been:

As part of these achievements, SF now has a portfolio of seven ‘impact first’ investees as at 31[st] December 2020, being a mixture of equity investments and concessionary loans. These are held on the Balance Sheet at cost – there is no indication of impairment at this time. During the year longer term partnerships have been developed with other UK Foundations, which will significantly help SF achieve its future goals.

The future plans of Sumerian Foundation include:

5

Report of the trustees for the year ended 31 December 2020 (cont.)

Financial Review

Financial Activities

The Statement of Financial Activities is included with the financial statements on page 7. During the year SF obtained funding of £120k (2019: £526k), of which £71k is restricted for use on ‘impact first’ investments in social enterprises in the UK and Africa, and supporting those social enterprises as they grow. £191k (2019: £177k) was spent on charitable activities, being supporting SF’s portfolio of social enterpr ises and advocating for a venture philanthropy approach in the sector. £170 k was used as ‘impact first’ investments, £70k being in the form of concessionary loans. At the year end, total funds were £749k (2019: £819k), of which £732k is restricted (2019: £798k).

Principal Funding Sources

During 2020 , the Foundation’s funding source was donations and a recourse loan from other charities. Further funding sources are being sought for 2021 and beyond.

Principle Risks and Uncertainties

SF relies on funding from philanthropic sources – individuals and other Foundations – to fund its work. Most funding received is long term (three years) in nature, mitigating the risk of large fluctuations year on year. SF continues to work on identifying additional funding to grow its social impact, and holds reserves to cover its core operating costs (see below), given the uncertainties over securing unrestricted funds. Other risks include exposure to foreign exchange rate fluctuations, as SF works in Africa. Almost all expenditure, however, is incurred in GBP, so this exposure is limited. Future financial performance and position are likely to be affected by both SF’s ability to raise further funds to achieve its objectives, and the performance of th e social enterprises SF supports.

Reserves

The Foundation has set a reserves policy to hold at least one year’s expenditure on core operating costs in free reserves (being unrestricted liquid reserves). One year’s expediture is currently forecast around £4k, as the majority of operating costs are covered by restricted funding. At the year end the Foundation held total funds of £749k, of which £16,818 was in free reserves, which is sufficient to cover core operating costs for at least one year, and will reduce to the reserves policy level accordingly over the next few years.

Trustees' responsibilities statement

The trustees (who are also directors of Sumerian Foundation for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law 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 charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial

6

Report of the trustees for the year ended 31 December 2020 (cont.)

statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

T he company has taken advantage of the small companies’ exemption in preparing the report above.

The Trustees’ Report (including directors’ report) was approved by the trustees and signed on their behalf by order of the Board:

Mr Rupesh Chatwani Trustee

10[th] September 2021

7

Independent Examiner’s Report to the Trustees of Sumerian Foundation

I report to the charity trustees on my examination of the accounts of the company for the year ended 31 December 2020 which are set out on pages 9 to 17.

Responsibilities and basis of report

As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Signed:

Shruti Soni ACCA Date: 14 September 2021 Shruti Soni Ltd ● Chartered Certified Accountants 117A St Johns Hill, Sevenoaks TN13 3PE

8

Statement of financial activities (incorporating an Income and Expenditure Account) for the year ended 31 December 2020

Company Registered Number: 10234246

Unrestricted
Restricted
Total
Funds
Funds
Funds
2020
2020
2020
Note
£
£
£		 Total
Funds
2019
£
Income & endowments from
- Donations & legacies
2
31,868
71,000
102,868
- Charitable activities
2
16,760
-
16,760		 507,742
18,000
Total Income
48,628
71,000
119,628		 525,742
Expenditure on
- Charitable activities
(53,617)
(137,515)
(191,133)		 (177,194)
Total Charitable Activities
3
(53,617)
(137,515)
(191,133)		 (177,194)
Total Expenditure
(53,617)
(137,515)
(191,133)		 (177,194)
Net income/(expenditure)
(4,989)
(66,515)
(71,504)
Other gains/(losses)
-
1,525
1,525		 348,548
(21,426)
Net Movement in Funds
(4,989)
(64,990)
(69,979)
Fund balances brought
forward at 1 January
21,807
797,518
819,325		 327,122
492,203

The Statement of Financial Activities includes all gains and losses in the period. All incoming resources and resources expended derive from continuing activities.

The accompanying notes form part of these financial statements.

9

Balance sheet as at 31 December 2020

Unrestricted
Funds
2020
Restricted
Funds
2020
Total
Funds
2020
Note
£
£
£		 Total
Funds
2019
£
Fixed Assets
Social investments
6
-
377,000
377,000
Total Fixed Assets
-
377,000
377,000
Current Assets
Debtors
7
16,760
421,704
438,464
Cash at bank and in hand
8
1,438
247,157
248,595
Total Current Assets
18,198
668,861
687,059
Creditors - accruals: amounts falling due
within one year
9
(1,380)
(33,333)
(34,713)		 277,000
277,000
311,111
382,413
693,525
(51,200)
Net Current Assets
16,818
635,528
652,346		 642,325
Total Assets less Current Liabilities
16,818
1,012,528
1,029,346
Creditors–long term loan: amounts falling
due after more than oneyear
9
-
(280,000)
(280,000)		 919,325
(100,000)
Net Assets
16,818
732,528
749,346		 819,325
The funds of the Foundation:
Unrestricted funds
10
16,818
-
16,818
Restricted funds
10
-
732,528
732,528		 21,807
797,518
Total Funds
16,818
732,528
749,346		 819,325

The accompanying notes form part of these financial statements.

The company was entitled to exemption from audit under s477 of the Companies Act 2006 relating to small companies. The member has not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small companies regime and in accordance with FRS102 SORP.

The financial statements on pages 9 to 17 were approved by the trustees and signed on their behalf by:

Mr Rupesh Chatwani Trustee 10[th] September 2021

Sumerian Foundation: a company limited by guarantee, Company Registration No.10234246 (England & Wales)

10

Statement of Cash Flows for the year ended 31 December 2020

Statement of Cash Flows
for the year ended 31 December 2020
2020
£		 2019
£
Cash flows from operating activities
Net cash (used in)/provided by operating activities
(215,344)
Cash flows from investing activities
Purchase of programme related investments
(100,000)
Net cash provided by (used in) investing activities
Cash flows from financing activities
(100,000)
Cash inflows from new borrowing
180,000
Net cashprovided by (used in) financing activities
180,000		 157,545
-
-
100,000
100,000
Change in cash and cash equivalents in the reporting period
(135,344)		 257,545
Cash and cash equivalents at the beginning of the reporting period
382,413
Change in cash and cash equivalents due to exchange rate movement
1,525		 146,295
(21,426)
Cash and cash equivalents at the end of the reporting period
248,595		 382,413
Reconciliation of net income to net cash flow from operating activities
Net income for the reporting period (as per the statement of financial activities)
(71,504)
Adjustments for:
(Increase)/decrease in debtors
(127,353)
Increase/(decrease)in creditors
(16,487)		 348,548
(171,111)
(19,892)
Net cashprovided by (used in) operating activities
215,344		 157,545

11

Notes to the financial statements for the year ended 31 December 2020

1 Summary of Significant Accounting Policies

Basis of Preparation

These financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevent notes to these accounts. The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by 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) (Charities SORP FRS 102), the Financial Reporting – Standard in UK and Republic of Ireland (FRS 102 1A), the Charities Act 2011 and the Companies Act 2006.

Going concern

The financial statements have been prepared on a going concern basis, as the charity has free reserves of £16,818 and sufficient funds to undertake its activities in 2021. The trustees consider that there are no material uncertainties about the Foundation’s ability to continue as a going concern.

Fund accounting

Funds held by the Foundation are either:

Income

Donations are included in the Statement of Financial Activities when the Foundation becomes entitled to the income, receipt is probable and its amount can be measured reliably. Donated services, if applicable, are included in income at a valuation, which is an estimation of the value to the Foundation if it can be reliably measured.

Expenditure

Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the Foundation to pay out resources and the amount of the obligation can be measured with reasonable certainty. Support costs are allocated across charitable activities in proportion to the direct costs attributed to those activities.

Foreign currency transactions

Items of income and expenditure in non-GBP currencies are converted at the transaction date exchange rate where known, or otherwise at the average rate for the year. Monetary assets and liabilities denominated in currencies other than GBP are converted to GBP at the rate ruling at the balance sheet date. All realised gains and losses on exchange rates are reflected in the Statement of Financial Activities.

Investments

Impact first investments (social investments, which are also programme related investments, where the primary aim is a positive social impact) are carried at cost less any provision for impairment. Such investments are not able to be carried at fair value as they cannot be measured reliably as there is no open market for such investments. All impact first investments are subject to review, and any impairment is charged to the Statement of Financial Activities.

Debtors

Where the Charity makes concessionary loans, these are initially recognised at the amount paid, with the carrying amount adjusted in subsequent years to reflect repayments and any accrued interest, less any provision for impairment. Any impairment is charged to the Statement of Financial Activities.

12

Public benefit entity

The charitable company meets the definition of a public benefit entity under FRS 102.

Key Judgement and Estimates

There are no key judgements that the charitable company has made which have a significant effect on the accounts. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

Statutory information

Sumerian Foundation is a Charitable Company in England registration number 10234246. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 3 of these financial statements.

2 Income and Endowments

2020
£		 2019
£
Unrestricted
Donations & gifts
750
Charitable activities
16,760
Restricted
Donations & gifts
71,000
Donated services
Unrestricted
Donations &gifts
31,118		 750
18,000
489,612
17,381
119,628 525,742

Included within restricted donations & gifts are grants from The Connect Fund totalling £21,000 (2019: £58,000) for developing learning materials on venture philanthropy, and developing Sumerian Foundation’s impact management processes for future growth. Donated services consist of pro bono legal services received during the year.

3 Charitable Activities Expenditure

3
Charitable Activities Expenditure
Unrestricted
Funds
2020
Restricted
Funds
2020
Total
Funds
2020
£
£
£		 Total
Funds
2019
£
UK Social Inequality facility
(25,682)
(108,511)
(134,193)
Africa Healthcare facility
(6,357)
(26,033)
(32,390)
Advocacy on venture philanthropy
(21,578)
(2,971)
(24,549)		 (78,332)
(13,816)
(85,046)
(53,617)
(137,515)
(191,133)		 (177,194)
Analysis of expenditure on charity activities:
Direct
costs
Support
costs
Total
2020
£
£
£		 Total
2019
£
UK Social Inequality facility
(100,000)
(34,193)
(134,193)
Africa Healthcare facility
(24,752)
(7,638)
(32,390)
Advocacy on venture philanthropy
(18,760)
(5,789)
(24,549)		 (78,332)
(13,816)
(85,046)
(143,512)
(47,621)
(191,133)		 (177,194)

13

Prior period comparatives:

Charitable Activities Expenditure

Charitable Activities Expenditure
Unrestricted
Funds
2019
Restricted
Funds
2019
£
£		 Total
Funds
2019
£
UK Social Inequality facility
(8,332)
(70,000)
Africa Healthcare facility
(1,470)
(12,346)
Advocacy on venture philanthropy
(27,046)
(58,000)		 (78,332)
(13,816)
(85,046)
(36,848)
(140,346)		 (177,194)
Analysis of expenditure on charity activities:
Direct
costs
Support
costs
£
£		 Total
2019
£
UK Social Inequality facility
(70,000)
(8,332)
Africa Healthcare facility
(12,346)
(1,470)
Advocacy on venture philanthropy
(76,000)
(9,046)		 (78,332)
(13,816)
(85,046)
(158,346)
(18,848)		 (177,194)

Support costs consist of governance costs and administration costs such as bank charges, and donated legal services, and are allocated across activities in proportion to the direct costs of those activities. A fee of £1,200 has been recognised for independent examination of the accounts (2019: £1,200). No fees were incurred during the year on assurance or tax services. The Foundation does not have any employees.

4 Trustee Information

No trustee received any remuneration from the Foundation during the year. No Trustee expenses have been incurred during the year. No indemnity insurance for trustees’ liability has been purchased by the Foundation. However, because all trustees are appointed by Sumerian Partners (the sole member) they are automatically covered by Sumerian Partners’ Directors and Officers liability insurance poli cy. Insurance cover is permitted under clause 21 of the Foundation’s Articles of Association.

5 Taxation

The Foundation is a registered charity, and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried out in furtherance of the Foundation's primary objectives, if these profits and surpluses are applied solely for charitable purposes. The Foundation is registered for VAT with HMRC as part of a VAT Group with Sumerian Partners Ltd (VAT number 319 1548 01).

6 Social investment assets

6
Social investment assets
Programme related Programme related
investments investments
2020 2019
£ £
Cost less impairment brought forward at 1 January 277,000 277,000
Purchases 100,000 -
Sales - -
Impairment - -

14

Total social investments

377,000

277,000

The Foundation holds three impact first investments (social investments where the primary aim is positive social impact); an investment in transferable shares in East End Fair Finance, a Community Benefit Society registered in the UK, transferable shares in East Lancs Moneyline (IPS) Ltd, and preference shares in Innovating Minds CIC Ltd. Both East End Fair Finance and East Lancs Moneyline are Community Benefit Societies providing affordable credit to people who would be otherwise financially excluded in the UK. Innovating Minds provides early intervention mental health support and training to help people access education and employment.

7 Debtors

2020
£		 2019
£
Other debtors <1yr
30,760
Other debtors >1yr
407,704		 10,000
301,111
Total social investments
438,464		 311,111

Debtors due in more than one year consist of the following concessionary loans:

8 Cash at bank and on hand

8
Cash at bank and on hand
2020
£		 2019
£
Cash at Bank
248,595		 382,413
Total cash at bank and on hand
248,595		 382,413
9
Creditors
2020
£		 2019
£
Creditors due <1yr
34,713
Creditors due after more than fiveyears
280,000		 51,200
100,000
Total creditors
314,713		 151,200

Creditors due after more than five years consist of a non-recourse loan, to be repaid in 2029.

10 Funds

10
Funds
Balance
Incoming
Resources
1 Jan
2020
Resources
Expended
£
£
£		 Balance
31 Dec
2020
£
Unrestricted Funds
Restricted Funds		 21,807
48,628
(53,617)
797,518
71,000
(135,990)		 16,818
732,528
819,325
119,628
(189,607)		 749,346

15

The prior year funds and movements were:

Balance
Incoming
Resources
1 Jan
2019
Resources
Expended
£
£
£		 Balance
31 Dec
2019
£
Unrestricted Funds
Restricted Funds		 22,524
36,131
(36,848)
469,678
489,612
(161,772)		 21,807
797,518
492,203
525,742
(198,620)		 819,325

Restricted funds in the prior year relates to the Foundation’s UK Social Inequality charitable activities , and in the current year to the Foundation’s UK Social Inequality charitable activities and Africa Healthcare charitable activities. Of the restricted fund balance at the 2020 year end, £799k represents investments and concessionary loans in seven social purpose organisations as explained in notes 6 and 7.

11 Prior year Balance Sheet

11
Prior year Balance Sheet
Unrestricted
Funds
2019
Restricted
Funds
2019
£
£		 Total
Funds
2019
£
Fixed Assets
Social investments
-
277,000
Total Fixed Assets
-
277,000
Current Assets
Debtors
-
311,111
Cash at bank and in hand
23,007
359,406
Total Current Assets
23,007
670,518
Creditors - accruals: amounts falling due within one year
(1,200)
(50,000)		 277,000
277,000
311,111
382,413
693,525
(51,200)
Net Current Assets
21,807
620,518		 642,325
Total Assets less Current Liabilities
21,807
897,518
Creditors–long term loan: amounts falling due after
more than oneyear
-
(100,000)		 919,325
(100,000)
Net Assets
21,807
797,518		 819,325
The funds of the Foundation:
Unrestricted funds
21,807
-
Restricted funds
-
797,518		 21,807
797,518
Total Funds
21,807
797,518		 819,325

12 Capital

The Foundation is a company limited by guarantee. The sole member has undertaken to contribute £1 to the assets of the Foundation to meet its liabilities if called on to do so.

13 Related party transactions

The sole member of the Foundation is Sumerian Partners Limited, a company registered in England and Wales. Dr Chris West and Ms Isabelle Irani, both trustees of the Foundation, are also directors of Sumerian Partners Ltd. During 2016 Sumerian Partners Limited gave an unrestricted donation of £25,000 to Sumerian Foundation, for the

16

furtherance of its charitable objects.

In 2017 Sumerian Foundation engaged Sumerian Partners Limited to provide business skills support and mentoring to the Foundation’s social investments. A Service Level Agreement has been put in place by the independent Trustees of the Foundation for this work. During the year £145,512 was incurred under this agreement with Sumerian Partners Limited (2019: £158,346) which is included in direct costs in note 3. The agreement also allows for pro bono services to be provided by Sumerian Partners Limited to the Foundation, including office space and administration. The Trustees believe that the value of pro bono services cannot be measured reliably, hence these have not been included in the financial statements. The agreement is reviewed annually by the Independent Trustees.

17