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← We Are Purposeful

2020-08-31-accounts

Company Registration Number: 10346701 Charity Registration Number: 1169844

We Are Purposeful (Formally known as Purposeful Productions) (a company limited by guarantee)

Annual Report and Financial Statements for the Year ending 31 August 2020

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We Are Purposeful

Contents

Reference and Administrative Detail 3-4
Trustees’ Report 5-21
Statement of Trustees’ Responsibilities 22
Independent Auditor’s Report 23-25
Statement of Financial Activities 26
Balance Sheet 27
Cash Flow Statement 28
Notes to the Financial Statements 29-41

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Reference and Administrative Details

Company Registered Number 10346701 Charity Registered Number 1169844

The charity is incorporated in England and Wales.

Principle Offices:

Studio 3a Blue House Yard 5 River Park Road Wood Green London N22 7TB UK

2 Lewis Drive Hill Station Freetown Sierra Leone

The charity is governed by the Board of Trustees. The trustees are responsible for overseeing the management of all the affairs of Purposeful and delegate day-to-day management of the charity to the Executive Leadership Team.

The Advisory Board in Sierra Leone provides an advisory role and continues to play a vital role in Purposeful’s development and programming. The boards consist of:

UK Board of Trustees Appointed Sierra Leone Advisory Board
Mrs Margaret Collier (Chair) 25 August 2016 Asmaa James
Ms Jody Myrum 25 August 2016 Farouk Sessay
Ms Christina Cochrane Fuller 25 August 2016 Valnora Edwin
Rev. Dr. Marie Barnett 2 July 2019 Rev. Dr. Marie Barnett
Mrs Chloe Pope 20 April 2020
Dr Ramatu Bangura 31 July2020

With and For Girls Strategic Advisory Board

Comic Relief Wellspring Philanthropic Foundation
Empower NoVo Foundation
FRIDA–The Young Feminist Fund Plan International UK
MamaCash Ford Foundation
The Global FundforChildren The Global Fundfor Women

Purposeful - Executive Leadership Team

Chernor Bah Co- founder / Chief Executive Officer Rosa Bransky Co-Founder / Chief Strategy Officer Sian Lord-Baptiste - Chief Operating Officer

Senior Leadership Team

Zanele Sibanda- Programme Director Purity Kagwiria - Director of With and For Girls Collective Annemarieke Murthi – Head of Finance

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Safeguarding Team Chernor Bah Designated Safeguarding Lead Aminata Kamara Designated Safeguarding Person – Network / Karo Kura Haja Umu Jalloh Designated Safeguarding Person – Karo Kura Haja Sowa Designated Safeguarding Person – Karo Kura Girls Circles Valnora Edwin Designated Safeguarding Person – Advisory Board Sierra Leone Jody Myrum Designated Safeguarding Person – UK Trustee

Full biographies of the whole Purposeful team are available on the website www.wearepurposeful.org

Professional Advisors

The following organisations provide professional advice and services to Purposeful:

Banks

NatWest Commercial & Private Banking Ground Floor Gredley House 1-11 Broadway, Stratford, E15 4WG UK

Guaranty Trust Bank (SL) Ltd Sparta Building Freetown Sierra Leone

Solicitors

Bates Wells Braithwaite 10 Queen Street Place London EC4R 1BE UK

KMK Solicitors Top Floor, 81 Pademba Road Freetown Sierra Leone

Auditors

Moore Kingston Smith Devonshire House 60 Goswell Road London EC1M 7AD UK

Moore Sierra Leone 55 Sir Samuel Lewis Road, Freetown 1278 Sierra Leone

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We Are Purposeful Annual Report and Financial Statements for the Year Ending 31 August 2020

STRUCTURE, GOVERNANCE AND LEADERSHIP

Purposeful is a charitable company limited by guarantee, incorporated under the name of Purposeful Productions on the 28th August 2016, and registered as a charity with the UK Charity Commission. On 9[th] March 2021 the name was changed to We Are Purposeful to better align to the values, ethos and activities of the charity. The charity’s articles of association provide that its trustees are the only members of the charity.

Its principal office is Studio 3a, Blue House Yard, 5 River Park Road, Wood Green, London N22 7TB, with a country office located at 2 Lewis Drive, Hill Station, Freetown, Sierra Leone.

The charity is governed by the Board of Trustees. The trustees are responsible for overseeing the management of all the affairs of Purposeful and delegate day-to-day management of the charity to the Executive Leadership Team.

WHO WE ARE – OUR VALUES AND MISSION

Purposeful is an Africa-rooted global hub for girls’ activism. For millennia girls have played a critical role in struggles for freedom and liberation. From Africa’s anti-colonial movements to the Arab spring to climate justice organising and everything in between - their resistance has always sparked and sustained transformational change. And yet, too often girls are separated from resources and shut out from decision-making spaces, their power deliberately obscured and hidden from view.

Centering the political power of young feminists across the world, we work so that girls and their allies have access to the resources, networks and platforms they need to power their activism and remake the world.

Our vision:

Girls are living in safety, dignity and freedom, and the world is transformed.

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Our Values:

A set of core beliefs and values guide all that we do at Purposeful, from the decisions we make to our organisational policies and practices, and most importantly, how we show up in this work as girls’ allies and advocates, holding ground so that girls can step into their power.

Taking bold action Many ways of knowing Centering lived expertise Deep embodiment Cultivating radical imagination Joy as resistance Power in diversity Rooted in sisterhood

What We Do:

Centering the political power of girl activists, we enter all of our work through a powerbuilding lens - redistributing power assets, building collective power, organising power holders and transforming power structures.

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LETTER FROM THE CHAIR

In so many ways this has been an unprecedented year - and in so many ways the Purposeful team has stepped up and responded for girls and the movements we love and support. We have responded with a speed and scale that is quite frankly unprecedented - launching a multichannel media brand airing daily on radios across Sierra Leone and reaching an estimated 100,000 girls and hundreds of thousands of community members; we have fundraised close to a million dollars, including from a range of new donors; we have launched a new global fund operating in 5 languages; launched 2 new Sierra Leone specific funds, including the countries first fund mobilisation platform #BySaloneForSalone; we’ve constituted two advisory committees with young activists from across the world; set up a mechanism to connect with 800 mentors and 15,000+ girls across Sierra Leone, through mobile phones acquired and distributed in the first 10 days of the crisis, so that we can support girls to stay connected during the lock-down.

And we’ve done this all working from home, while caring for babies and toddlers and teenagers and aging relatives. We’ve worked through personal crisis, loss, fear and deep uncertainty. We’ve held each other with grace and care and forgiveness. And we’ve laughed. And we’ve made music. And we’ve even danced.

Through challenging and exhilarating times, Purposeful has worked hard to hold onto the core of who we are and what we believe, holding the line on our feminist values, our commitments to reaching the girls others shut out or ignore, and holding on to our deep belief that if we can model what a feminist future can look like in the Purposeful family, our dreams of freedom and liberation will be a little closer in reach. During this challenging year, Purposeful has prioritised time and space for self care and wellbeing, with team radical reading, exploring inspirational and revolutionary quotes and text to motivate, inspire and collectively reflect. We have a full time specialist to provide in house mental health and psychological support to the team holding healing space for us collectively and individually; we’ve fundraised resources to provide coaching support for team members across the organisation; and we’ve prepared for our summer shut down, a moment for some much deserved #radicalrest

Never have we more deservedly declared, WeArePurposeful.

Maggie Collier Chair, We Are Purposeful Board of Trustees

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PURPOSEFUL TRUSTEES’ REPORT

HIGHLIGHTS – SEPTEMBER 2019 – AUGUST 2020

Year in Numbers:

Countries where we’ve funded:

Algeria, Angola, Armenia, Bangladesh, Belarus, Benin, Bhutan, Bosnia and Herzegovina, Brazil, Bulgaria, China, Colombia, Costa Rica, Cote D'Ivoire, Croatia, DRC, Ecuador, Egypt, El Salvador, Federated States of Micronesia, France, Georgia, Ghana, Guatemala, India, Indonesia, Jordan, Kazakhstan, Kenya, Lebanon, Libya, Malawi, Malaysia, México, Morocco, Namibia, Nepal, Netherlands, Nicaragua, Nigeria, Pakistan, Palestine, Papua New Guinea, Peru, Philippines, Puerto Rico, Romania, Samoa, São Tomé e Príncipe, Senegal, Serbia, Sierra Leone, Somalia, South Africa, South Sudan, Sri Lanka, St Lucia, Tanzania, Thailand, Togo, Tunisia, Turkey, Uganda, Ukraine, United States, Uzbekistan, Venezuela, Vietnam and Zimbabwe.

Programmatic issues Purposeful has supported:

LGBTIQAI+ rights, Gender-Based Violence, Sexual Reproductive Health and Rights, Economic empowerment, Disability rights, Arts and Creativity, Mobilisation/ Strengthening Movements, Climate and Environmental rights and justice, Early and Forced Marriage, Female Genital Mutilation, Gender Equality policies and legal Systems, Access to education, Leadership, Migration and displacement, Racial justice, Indigenous rights, Abortion Assistance / Rights, Mental Health, Strengthening movements. Leadership Training, Safe spaces, Livelihoods, Life Skills, Counselling and Psychosocial support, Racial Justice, Refugee Rights, Sports, WASH, Land rights, Trafficking and Modern Day Slavery, Peace and Conflict, Covid 19 Emergency Response.

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Key Initiatives September 2019 - August 2020:

Redistributing Power Assets:

Building Collective Power:

Organising power holders:

Transforming Power Structures:

SUPPORTING GIRLS THROUGH A GLOBAL HEALTH CRISIS

COVID-19, like any other crisis, is exposing and exacerbating all of the existing systemic inequality and violence that positions girls as particularly vulnerable – especially girls who face multiple forms of oppression. Public health, the economy and girls’ safety and bodily autonomy are inextricably linked. All over the world — across countries and context — girls play the role of primary caregivers for so many in the community. In a health crisis, this caregiving burden increases dramatically. In the absence of functioning health and social care services in so many places, girls become frontline health responders. Girls also face huge cultural pressures to provide for their families, even though they are the most likely to be distanced from assets like money, goods, services, transportation and so on. Closing of schools and other learning settings not only limit girls' access to education, but further isolate them from communities of other girls. When girls and young women are removed from their peers, we know rates of violence, teenage pregnancy and forced marriage soar.

But this is only part of the story. While we know girls face extreme vulnerabilities, we also know that they are immensely powerful. Across the world, local communities are organising and collectivising at an unprecedented scale. Never has there been a truer example of citizen organising power, and of the deep transnational bonds that connect us all as humans. Whether they know it or not, these communities are using the very organising tools that girl activists and their feminist allies have been using for decades in their struggles for justice. Indeed, it has never been more important to learn from the leadership of the girls and young women who live through lock-downs, political uncertainty and economic instability every day.

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Our Covid Response, globally and in Sierra Leone, has responded to the specific needs, potentials and possibilities of and for girl led change, including:

THE GLOBAL RESILIENCE FUND

The Global Resilience Fund for Girls and Young Women was conceived in April 2020 and officially launched on May 28th. The Fund is a collective effort in response to the Covid-19 crisis. It has so far brought together 24 partners and, by the close of the final funding round in Autumn 2020, expects to have leveraged close to $1 Million for young feminist activists across the world. The Fund expects to make approximately 160 rapid and fully flexible grants with a ceiling of $5,000 to girls collectives and organisations led by girls or young women under 30 years and whose income is below $50,000 a year. The fund is operating in 5 languages and to date we have received 900 applications.

The fund utilises a participatory decision making process, with an advisory panel of activists from 32 countries scoring proposals, debating the distribution of resources and ultimately deciding who should be a recipient of funding. Across 3 cycles, the fund will distribute grants of up to $5,000 to approximately 120-150 grass-roots groups led by young people.

Aligned to the Global Resilience Fund, the KK Resilience Fund takes extra steps to lower barriers for girls and young women to access funds in Sierra Leone. In June Purposeful published flyers and radio ads inviting girl-led and young-women led groups to apply for small grants. Girls submitted applications by email, phone, online, and through WhatsApp. Over 300 applications were received and reviewed by a girl-only panel. Panelists recommended 12 groups to receive funds. We look forward to sharing our reflection on the process and telling the inspiring story of the groups and celebrating the panelists.

Direct from grantees:

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Virtual Safe Spaces and Mass Media in Sierra Leone

At the programmatic level, all of our work aims to connect girls with each other , with critical assets (including information) and with community level mentors, in order that they can learn - together, support each other and imagine alternative futures for themselves and their communities. We do this through the provision of evidence based safe-spaces - run by grass-roots partners and young women mentors, underpinned by best in class curriculum designed specifically for marginalised girls in Sierra Leone.

As the COVID-19 pandemic unfolded in Sierra Leone and social distancing measures were inevitably put into place, the potential for girls to be together with mentors will greatly diminish. Drawing on extensive experience developing communications for social change initiatives - in and beyond emergencies - we created a virtual safe space for adolescent girls through a mixture of factual and fictional radio/audio content that was pushed to mentors via mobile phones to be consumed by small groups of girls still meeting in safe-space groupings, and via radio for mass girls’ consumption.

The Talkshow presenters set up a weekly theme and encourage discussion and reflection about issues raised in the drama, support girls to ‘come together’ around particular discussion topics, and provide a platform for girls voices and views and can provide key information about laws, rights and services for girls - as well as messaging directly related to the COVID-19 virus.

The Drama engages the audience emotionally and models new norms and behaviors without putting potential audiences off by ‘preaching’. They are an ideal medium to showcase role models – or put a spotlight on negative behaviour. As such, they can help girls develop aspirations that go beyond the models of womanhood they see around them, and they can provide role models for gender-sensitive masculinity and parenting.

Weekly one-page discussion guides are sent to mentors who are able to bring together small groups of girls to support them to build trust amongst the group, and go deeper on core-topics, in preparation for full programme delivery once the crisis is over.

The team managed to develop and deliver the weekly show to air in just 8 weeks with the show broadcast on 32 stations across the country over 70 times a week. In addition the radio show and discussion guides for mentors are sent directly to their mobile phones along with additional resources including Covid 19 - Posters, PSA’s and animations.

In a short space of time the radio content has had a huge impact on cultural conversations in Sierra Leone, with FCDO agreeing to fund the initiative beyond the emergency for a full 2 year term.

AN OVERVIEW OF OUR CORE PROJECTS THIS YEAR

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London at the Southbank Centre. 55 extraordinary activists from 23 countries speaking 5 official languages (English, Spanish, Arabic, Russian and Nepali), took part in a series of conversations and convergences discussing what it looks like to organise, collectivise, produce knowledge, learn and lead in communities that are intersectional and intergenerational to collectively imagining a Feminist Future with Girls at the centre. 25 girl-led and girl-centred organisations chosen by girl panellists from 5 global regions received awards in recognition for their work at the Ceremony. This included a new 'Emerging Award' which allowed 5 smaller organisations to receive funding.

A full list of the With and For Girls 2019 Award Winners and their profiles can be found on our website www.wearepurposeful.org

Unfortunately the WFG collaboration and visibility grants had to be paused due to the Covid-19 pandemic.

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Sesay and Idris Elba. In just three months the fund raised $112,306 from individuals, businesses and institutions. In August Purposeful hosted an event to publicly present funding to the four organisations selected. Rainbo Initiative , Aberdeen Women’s Center , Legal Access through Women Yearning for Equality Rights and Social Justice (L.A.W.Y.E.R.S), and SMART Women’s Initiative, are using funds to coordinate their services for a more survivor centered holistic response.

The network continues to share resources and evidence-based best practices, coordinate a range of campaigns and catalysed collective voice with and for girls. The Network successfully formed 4 district chapters in Koinadugu, Kambia, Kono and Moyamba which now consist of a total of 62 members.

“ Purposeful has proven to be a committed and hard-working delivery partner, dedicated to empowering girls through evidence-based and gender transformative approaches. They have invested significant time and resources in strengthening their internal systems, and those of their downstream partners and ensuring they have the right partners in place to support effective delivery.”

★ Alternative Rites of Passage: Funded by Canada Fund for Local Initiatives (CFLI). This small grant funded a six month initiative on an alternative rite of passage for girls in Sierra Leone. Developed in partnership with two local organisations, the Amazonian Initiative Movement for the Port Loko and Tonkolilli districts and Girlz Empowered for the Western Area Rural district. The results achieved included:

○ 70 adolescent girls who went through the alternate right of passage. They are now members of the Bondo Society, but did not have to suffer the harmful effects of FGM

○ 40 soweis have put down their knives and will no longer use cutting in the rite of passage

○ 180 stakeholders increased their understanding of the negative impacts of FGM and shown support for the alternate rite of passage by supporting their daughters to go through the alternate rites

○ 391 young people, most of them girls, have increased their skills as spokespersons. They are speaking out on the harmful effects of FGM and educating other youth and adults in their communities

○ 50 leaders trained as advocates, therefore expanding the number of leaders speaking out and advocating for the end of FGM and use of alternate rites of passage.

Purposeful launched ‘A Bloodless Rite’, a documentary on the power of the alternate rite of passage during international day of the girl, which will be used to stimulate further dialogue and discussion on FGM in Sierra Leone and fundraise to expand this work.

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A Bloodless Rite - https://www.youtube.com/watch?v=dQtl2g_muhU

Purposeful has supported, co-organised and facilitated girls participation in the following events:

Women of the World Festival - March 2020

Purposeful also coordinated the inclusion of 28 girls in the Women of the World (WOW) 24 hour Global Festival, watched by thousands of people attending the festival online across the globe, in the current context of COVID-19 worldwide. Free 24 hour online WOW Festival uniting women and girls across the world. With the overarching theme of “Women and Girls in a Time of Crisis”, WOW Global 24 Festival analysed the issues, explored solutions, and spotlit what is already being done, hearing from women, girls and people of all genders who are working towards a better, post Covid-19 world. Girls got involved by filming and submitting a video, one of which featured after every presentation. Girls spoke about where they are from, what is important to them, how girls’ leadership is vital in their local community and the work they are doing.

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civic space

LOOKING FORWARD – WFG STRATEGIC PLANNING

Under the leadership of new Fund Director, WFG started a strategic planning process in February 2020 to fully integrate within Purposeful and discover, then establish the most effective and impactful delivery mechanism for the girls and allies we fund. This process covers the following three phases and is due to conclude by the end of April 2021:

Phase 1: Grounding. Going back to basics to critically assess the design process, this involved candid conversations on why we needed a new strategic plan, speaking with staff and partners to reflect on the history and to dream about the future of WFG. We acknowledged the journey so far with this fund and considered how it was meeting our dreams, or where it needed revising to truly lift up girls enabling them to step into their power.

Phase 2: Understanding the ecosystem. This phase involved questioning what is the ecosystem of funding girls, what it's like to be a girl led group or girl centered group seeking funding and what is the cost of that. WFG desires to bring girls along in the spaces that have been closed to them and the way to do that is to question the existing ecosystem and seek to do right by girls. We have also spent time analysing the data we’ve collected as well as listening to girls in order for us to truly include their views in re-designing this fund to truly reflect the girls it seeks to serve.

As a result, we have constituted a Creative Design Team made up of girls and young women aged 14-30 years old to provide critical voices of girls and young women within the process.

Phase 3: Synthesis and generation of any shifts to key priorities / pillars / strategies, scenarios of governance & structure

This phase involves more difficult questions and conversations as we seek to shift the fund to truly reflect feminist politics in its grantmaking, and truly align with Purposeful’s strategic plan.

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THE PURPOSEFUL TEAM

Purposeful continues to build an extraordinary team of leaders, activists and advocates with a diverse range of experience, knowledge and technical expertise. This year we have grown from a team of 25 to 49 staff in Sierra Leone and the UK. This has been supported by a number of freelance consultants who have brought their external expertise to developing our MEL, strategic plans and media products.

Purposeful strengthened its senior leadership team to support the expansion of the team and programmes and welcomed a new Head of Operations in Sierra Leone, Head of Finance in the UK, Director of With and For Girls and Senior Insights and Learning Manager.

As a proudly feminist organisation with a deep commitment to embodying our values in all that we do, we have invested heavily in visioning and values alignment and a comprehensive onboarding process for all new staff. In 2020 due to the pandemic we have not been able to come together face to face but have invested in additional activities that regularly bring the team together including weekly Radical Reading, a political feminist education session that provides space for the team as a whole to consider a reading and weave it into their practice and also group wellness to connect and support the team through the additional stress and anxiety caused by the pandemic as well as manage the emotional impact of the work. In the height of the pandemic the leadership team also met three times a week to review and revise operational and delivery plans during the emergency response and staff supervision and team meetings were increased to ensure consistent communication and delivery.

A new Trustee Chloe Pope joined the board in April 2020 with specific experience in financial management and Dr Ramatu Bangura was approved as a new board member in July and will join the Purposeful board of Trustees in November 2020. She brings wealth of knowledge in advocacy, philanthropic funding and girls programming and will be an additional asset to the already dynamic board of Trustees.

INTERNAL POLICIES AND COMPLIANCE

Policy Development:

In depth work took place last year to update and revise Purposeful’s internal policies and processes to support the expansion of the organisation and projects. There were a number of minor updates that were outstanding that have now been completed including the Safeguarding, Procurement, Bribery and Anti Corruption, Value for Money Policy and the development of the organisation’s Internal Controls.

In response to Covid -19, Purposeful revised its working practices and introduced proactive measures to ensure the welfare of our team and mitigate against any additional risks. These are and continue to be monitored by the senior leadership team and regularly revised as required.

Legal:

Work is taking place with Purposeful legal teams in the UK and Sierra Leone to review and strengthen the legal agreements and governing documents between the two entities. Final amendments and recommendations are currently being finalised and will be shared with the

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board on completion.

Purposeful has now registered in the US and now has 501(c)(3) charitable status. Further work to establish a fully functioning entity in the US is taking place, including opening a bank account and building up infrastructure to allow the organisation to employ staff and receive funding. This process should be completed in the next financial year.

Safeguarding:

Purposeful’s safeguarding policy was revised last year and amendments to the policy were adopted by the Purposeful Board of Trustees in July 2020. The main purpose of this policy revision was to ensure a robust policy to support the expansion of our team and programmatic activity in Sierra Leone and globally.

Purposeful’s Safeguarding Policy is a statement of intent that outlines our commitment to safeguard adolescent girls, children, young people and vulnerable adults who may come into contact with our organisation. Purposeful staff, volunteers and others working on behalf of our organisation are obliged to create and maintain environments that prevents sexual exploitation and abuse and child abuse and promotes the implementation of this policy, which the policy provides a framework of principles, standards and guidelines for both individual and organisational practice.

Purposeful is committed to ensuring that staff, volunteers and others working on behalf of our organisation receive training, understand and prioritise the safety and welfare of adolescent girls, children, young people, vulnerable adults and the wider community at all times.

Purposeful continues to work with Global Fund for Children’s (GFC) safeguarding team to further strengthen the organisation's safeguarding policy and processes. All staff, freelancers, partners and Trustees have received training on the updated processes and policies. GFC will also act as an advisory partner and carry out an annual audit on our policies and processes. The following safeguarding training has taken place this year:

Trustee and Senior Leadership Team - Safeguarding Training - 25th November 2019 Purposeful Safeguarding Team - Advanced Safeguarding Training - 4th December 2019 Purposeful All Staff Safeguarding Training - 12th December 2019 With and For Girls Awards - Safeguarding Training - WFG -27th February 2020 Purposeful All Staff - Safeguarding Refresher Training - 27th July 2020

In addition all our implementing partners in Sierra Leone received safeguarding training in August 2020.

Annual Risk Statement

Purposeful considers good risk management to be a vital part of its operational requirements. Purposeful recognises that risk is an everyday part of charitable activity and managing it effectively is essential to achieve our key objectives and meet our obligation to use the funding we receive responsibly and in an efficient and effective manner, despite the challenges faced. Purposeful’s revised risk management policy was approved by the Board of Trustees on the 21st May 2019.

Risk management is an ongoing concern and risk registers are reviewed and updated monthly

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by the leadership team. Risk management updates are included in the organisations quarterly review and presented to the Board of Trustees at every board meeting. Purposeful’s risk appetite is a key factor in setting our reserves policy.

Overall our risks fall into external, delivery, safeguarding, fiduciary, reputational and operational risks.

Coronavirus Risk Mitigation

Currently the greatest source of external risk is the ongoing presence of COVID-19, which impacts various aspects of our work.

In response to Covid 19, Purposeful developed a responsive strategy to ensure the retention of staff and delivery of programming for girls as outlined in this report. The leadership team meets weekly to review and revise plans according to the developing situation, which includes programming, budgets and operational constraints.

Safeguarding Risks are ever present given our focus on vulnerable adolescent girls. A range of mitigation strategies have been put in place as outlined in the safeguarding section above.

Most recently our fiduciary risks increased due to the funding cuts from DFID. During the pandemic this remains a risk due to the uncertainty of the current financial climate.

Overall our risk levels are moderate to major, with impacts also falling in moderate to major. Risks and their impacts are higher for fiduciary risks (e.g. risk of fraud in a cash economy) and safeguarding. For each risk we have identified mitigating actions, which are integrated into our ongoing engagement with partners.

Full details of Purposeful’s approach to Risk management is included in our Risk Management Policy which is available to all members of staff, freelancers, partners, donors, volunteers and Trustees.

Public Benefit

The Trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission of England and Wales.

Remuneration of the Executive Leadership Team

The Trustees signed initial remuneration for the Executive Leadership team at the beginning of Purposeful for the duration of the initial three-year Novo grant. Remuneration levels were reviewed in April 2020, with the board agreeing an initial 10% increase and asking a subcommittee to conduct a more thorough benchmarking exercise to critically assess market rates and recommend new remuneration levels to the wider board for adoption. Following this process, the CEO and Co-Founders’ remuneration was revised on 1st January 2021 again to bring it in line with market conditions. These new rates will form part of the 2020-21 financial statements and disclosures.

Reserves Policy

The majority of the funding received is restricted to specific programmes under Purposeful,

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namely With and For Girls, or the FCDO funded SAGE programme that we refer to as Karo Kura Girls’ Circles. These include both direct and indirect cost allocation.

Purposeful ensures that all key operational activities are covered and are within the terms of the grants provided before allocating surplus funds as grants to grassroots organisations. Due to the organisation’s current growth phase, the increased uncertainty on the fundraising landscape due to the economic fallout of the Covid-19 pandemic, and the ambition to continue innovating and strategically responding to crises as they deepen and disproportionately affect girls, Purposeful seeks to hold unrestricted reserves of £1m. We will seek to add to our current unrestricted reserves over the next 2 years to gradually bring them to this level using the existing Novo operating grant whilst maintaining a focus on fundraising unrestricted grants.

Going Concern

The effects of the Covid-19 pandemic continue to be felt globally. As part of Purposeful's commitment to flexible working under feminist principles, systems and processes for remote working already existed prior to the pandemic, and as such, there has not been a material impact to Purposeful's ability to continue working in the UK and internationally. Our multi-year unrestricted funding grants remain in place, and cash reserves are being kept at over £1m to ensure sufficient liquidity. Purposeful has been successful at galvanising a collective response to girl-led groups globally throughout the pandemic to help respond to the changing needs of girls globally in this pandemic, allowing us to continue our organisational growth trajectory.

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FINANCIAL REVIEW

In our fourth year of operating, Purposeful has seen a dramatic increase in activity as we had a full year of programming for both the FCDO Girls’ Circles Safe Space+ programme and the With and For Girls programme. Towards the end of the year, we were also proud to mobilise a rapid grant making model in response to the challenges that girl groups face globally due to the Covid-19 pandemic.

Accordingly, total income is at a record level this year of £4.6m (increasing by 137%) with an increase in public donations received in respect of the Survivors Solidarity Fund (and to a lesser extent, the Global Resilience Fund). Critically, a new unrestricted grant agreement was signed with the Novo Foundation for $6m over 4 years, which combined with the FCDO and WFG collective funding has driven the increase in charitable activities income.

Our expenditure this year has been driven by grant making (37% of total expenditure, up 402% from 2019), whether through FCDO, Karo Kura, WFG, the Global Resilience Fund, Tar Kura or the Survivors Solidarity Fund demonstrating the commitment to resourcing girls’ resistance and capacity building. This year has been the first year of the WFG grant cycle within Purposeful, and we aim to bring all of these grant making mechanisms together under one umbrella With and For Girls fund in future.

Our balance sheet at the year end is representative of our organisational growth, with all balances increasing compared to last year. We ended August in a highly liquid position again this year, mainly due to the fundraising for the Global Resilience Fund which was received in advance of grants being paid out (the second round of grants began disbursement in September 2020). We expect our balance sheet to continue to grow, as we invest in a new office building in Sierra Leone that will future proof our operations and provide a sustainable home for the girls’ rights movement.

Group net assets in the balance sheet of £2.4m have increased by 20% from £1.96m at the end of last year, reflecting the increase in Purposeful operations through the With and For Girls and FCDO programmes, and the targeted activity with respect to the Global Resilience Fund at the end of the financial year.

Purposeful’s restricted reserves remain strong, and critically, our unrestricted reserves have increased by 3,436% to £0.85m, thanks to the new operating grant from Novo.

Principle funding sources

Following on from the initial 3 year grant, the Novo Foundation continues to be an important funding source, with a new $6m unrestricted funding grant secured over the next 4 years. This unrestricted funding source is allowing Purposeful to build up unrestricted reserves to mitigate some of the risks of FCDO funding, and allows Purposeful to maintain a risk appetite for innovation in the sector.

In 2020, Purposeful’s funding has diversified, with FCDO (previously DFID) now the biggest funder of Purposeful activities for the Girls Circles’ Safe Space+ programme. Despite a 30% budget cut between April 2020 and March 2021, our accountable grant currently remains valued at £6.5m until June 2022.

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However, there is significant uncertainty around the level of future budget cuts to this grant from April 2021. The UK tactics to contain the Covid-19 pandemic have had a significant economic impact, with the UK economy shrinking by nearly 10% in 2020, the worst economic performance in peace time for 300 years. As the UK Overseas Development Assistance (ODA) budget is tied to the performance of the UK economy, there has been a significant cut to the ODA budget. This has been compounded by the UK Government’s decision to temporarily cut the percentage of GNI allocated to overseas aid from 0.7% to 0.5%. Consequently, we anticipate severe cuts to our Girls’ Circles programme in 2020/21 and 2021/22.

Significant contributions from Ford Foundation and Wellspring Philanthropic Foundation (a 2 year grant), as well as continuing contributions from the rest of the WFG collective have fully covered the grant making and operational costs of the programme this year. Operating costs are forecast to significantly decrease for the programme as synergies with Purposeful’s grant making model are realised under the new strategy for all grant making sitting in one global, Africa led, hub.

The Global Resilience Fund has also brought incredible exposure to other key players in the philanthropic sector, with funding received from Ford Foundation, Wellspring Philanthropic Foundation, Oak Foundation, Chanel Foundation (to be received in 20/21) as well as institutional funders such as UNICEF, Plan International and Fund for Global Human Rights. Other partners in the sector who have also contributed directly to Purposeful include Women Win, MamaCash and Madre, though other partners have granted directly to groups as part of the fund but outside of Purposeful.

We have also seen public donations for the first time this year, with the launch of the Survivors Solidarity Fund in Sierra Leone which, as with the Global Resilience Fund, committed to disbursement of all donations as we covered all overheads internally.

21

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

TRUSTEES’ RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The charity trustees (who are also the directors of We Are Purposeful for the purposes of company law) are responsible for preparing the Trustees’ Report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires trustees to prepare financial statements for each financial year that 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 the financial statements, the trustees are required to:

The trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charitable company at any time and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charitable company and hence take all reasonable steps for the prevention and detection of fraud and any other irregularities.

This report has been prepared in accordance with the special provisions of Part 15 of Companies Act 2006.

STATEMENT AS TO DISCLOSURE TO OUR AUDITORS

In so far as the trustees are aware at the time of approving our trustees’ annual report:

This report has 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 UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

This report was approved by the board of directors and trustees on 26 May 2021 and signed on its behalf by:

Ms Maggie Collier

Chair of the Purposeful Board of Trustees

22

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES OF PURPOSEFUL PRODUCTIONS LIMITED

Opinion

We have audited the financial statements of Purposeful Productions (the ’company’) for the year ended 31 August 2020 which comprise the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Group 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, including FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

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 Auditor’s Responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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 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.

23

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Act 2011 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 22, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the 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 trustees are responsible for assessing the group and parent charitable company’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 group or parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts.

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 an auditor’s report 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

24

detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and, in respect of the consolidated financial statements, to the charity’s trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters which we are required 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 assume responsibility to any party other than the charitable company, the charitable company’s members, as a body, and the charity’s trustees, as a body, for our audit work, for this report, or for the opinion we have formed.

James Saunders (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP, Statutory Auditor

Date:

Devonshire House 60 Goswell Road London EC1M 7AD

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

25

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[ST] AUGUST 2020

31ST AUGUST 2020
2020 2019
Note Unrestricted Restricted Total Unrestricted Restricted Total
funds funds funds funds funds funds
£’000 £’000 £’000 £’000 £’000 £’000
Incoming resources
Income and endowments
from:
Grants, Donations and 3,13 - 365 365 - 2 2
legacies
Charitable activities 3,13 1,034 3,192 4,226 - 1,909 1,909
Total 1,034 3,557 4,591 - 1,911 1,911
Resources expended
Expenditure on:
Raising funds 4,13 - 1 1 - 1 1
Charitable activities 4,13 203 3,987 4,190 20 1,273 1,293
Total 203 3,988 4,191 20 1,274 1,294
Net (expenditure) / 831 (431) 400 (20) 637 617
income
Other recognised Gains
/ (Losses)
Exchange differences on - (2) (2) - (4) (4)
translation
Net movement in funds 831 (429) 402 (20) 641 621
Reconciliation of funds:
Total funds brought 13 24 1,935 1,959 44 1,294 1,338
forward at 1stSeptember
2019
Total funds carried 13 855 1,506 2,361 24 1,935 1,959
forward at 31stAugust
2020

26

BALANCE SHEETS AS AT 31[ST] AUGUST 2020

Note
Fixed assets
Intangible assets
9.1
Tangible assets
9.2
Total fixed assets
Current assets
Debtors
10
Cash at bank and in hand
Total current assets
Current Liabilities
Creditors and accruals
11
Net current assets
Total assets less current liabilities
Non-current Liabilities
11
Provisions for liabilities
12
Total net assets or liabilities
Funds of the Charity
Restricted income funds
13
Unrestricted funds
13
Total funds		 Consolidated Group
Parent
2020
2019
2020
2019
£’000
£’000
£’000
£’000
6
11
6
11
23
20
6
6
29
31
12
17
459
192
420
170
2,039
1,870
1,634
1,749
2,498
2,062
2,054
1,919
125
133
87
75
2,373
1,929
1,967
1,844
2,402
1,960
1,979
1,861
-
1
-
-
41
-
-
-
2,361
1,959
1,979
1,861
1,506
1,935
1,125
1,837
855
24
854
24
2,361
1,959
1,979
1,861

The notes on p29 to p41 form a full part of these financial statements. The financial statements were approved and authorised for issue on the authority of the board and signed on its behalf by:

Ms Maggie Collier Chair of the Purposeful Board of Trustees 26 May 2021

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CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31[ST] AUGUST 2020

2020 2019
£’000 £’000
Cash Flows from Operating Activities
Net Income 402 621
Depreciation and amortisation 9 8
Exchange differences on translation (2) 4
Changes in Debtors and Prepayments (267) (154)
Changes in Creditors & Accruals (8) 91
Changes in Provisions 40 -
Net Cash Flows from Operating
Activities 174 570
Cash Flows from Investment Activities
Purchase of Property Plant and Equipment (5) (31)
Net Cash Flows from Investment Activities (5) (31)
Net Increase in cash 169 539
Beginning Cash Balance 1,870 1,331
Ending Cash Balance 2,039 1,870

28

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31[ST] AUGUST 2020

1. Charity Status

The Charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.

The address of its registered office is: Studio 3a Blue House Yard 5 River Park Road Wood Green London N22 7TB

2. Accounting Policies

2.1 Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

2.2 Statement of compliance

The financial statements 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 Standards applicable in the UK and Republic of Ireland (FRS102) effective 1 January 2015 - (Charities SORP (FRS 102)). They also comply with the Companies Act 2006 and Charities Act 2011.

2.3 Basis of preparation

Purposeful Productions meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. The financial statements are prepared in Sterling, which is the functional currency of the company. Monetary amounts are rounded to the nearest thousand pounds.

2.4 Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity. The charity has sufficient funds for project delivery and has a commitment from funders to continue programming during the Covid-19 pandemic and beyond. Cash levels at the time of signing remain above $1m, providing ample liquidity for Purposeful to meet its obligations to suppliers, partners, staff and girls globally, and we are predicting increased cash levels in the next 12 months as new donor relationships crystalise. The trustees have reviewed the charity’s projections and forecasts for a period of at least 12 months from the date of approval of these financial statements and are satisfied that there is a reasonable expectation that the charity will continue in operational existence for the foreseeable future, Accordingly they continue to prepare the financial statements on a going concern basis.

2.5 Income and endowments

All income is recognised once the charity has entitlement to the income, it is probably that the income will be received, and the amount of income receivable can be measured reliably.

Donations and legacies

Donations are recognised on a receipt basis unless a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds. In this case, 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 these conditions will be fulfilled in the reporting period. Legacies are recognised when Purposeful is notified, there is probability of receipt and the amount is quantifiable.

Grants receivable

Grants are recognised when the charity has entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.

29

Gifts in kind

Gifts in kind are recognised in different ways depending on how they are used by the charity: (i) Those donated for onward transmission to beneficiaries are included in the Statement of Financial Activities as incoming resources and resources expended when they are distributed. They are valued at the amount the charity would have had to pay to acquire them.

(ii) Those donated for use by the charity itself are included when receivable. They are valued at the amount the charity would have had to pay to acquire them.

Donated services and facilities

Donated services and facilities are valued at the amount the charity would have had to pay to acquire them.

2.6 Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs into that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of assets' use. Other support costs are allocated based on the spread of staff costs.

Raising funds

There are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Grant expenditure

Grants payable are payments made to third parties in the furtherance of the charitable objectives. Where the charity gives a grant with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the Statement of Financial Activities once the recipient of the grant has provided the specific service or output.

Grants payable without performance conditions are recognised in the accounts when a commitment has been made and communicated to the recipient, and there are no conditions to be met relating to the grant which remain in the control of the charity.

Grant provisions

Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.

2.7 Support Costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas or per capita, staff costs by the time spent and other costs by their usage.#

2.8 Governance Costs

These include the costs attributable to the charity's compliance with constitutional and statutory requirements, including audit, strategic management and trustee's meetings and reimbursed expenses.

2.9 Taxation

The charity is considered to pass the test set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

2.10 Fixed Assets

Individual fixed assets costing £150 or more are initially recorded at cost.

30

Depreciation and amortisation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset Class Depreciation method and rate Computer Equipment 3 years straight line Intangible Software 3 years straight line Vehicles 3 years straight line Furniture and Fixtures 4 years straight line

2.11 Cash and cash equivalents

Cash and cash equivalents comprise of cash on hand and call deposits with original maturities of three months or less.

2.12 Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement to the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

2.13 Foreign Exchange

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are reported at the rates of exchange prevailing at that date.

The results of overseas operations are translated at the average rates of exchange during the period and their balance sheets at the rates ruling at the balance sheet date. Exchange differences arising on translation of the opening net assets and results of overseas operations are reported in the Statement of Financial Activities and accumulated in the appropriate fund.

Other exchange differences are recognised in the Statement of Financial Activities in the period in which they arise, except for:

1) exchange differences on transactions entered into to hedge certain foreign currency risks (see above). 2) exchange differences arising on gains and losses on non-monetary items which are recognised in other comprehensive income.

2.14 Fund structure

Unrestricted funds are donations and other incoming resources receivable or generated from the objectives of the charity without further specific purpose and are available as general funds.

Restricted funds are to be used for the specific purpose as laid down by the donor. Expenditure which meets this criteria is charged to the fund, together with a fair allocation of management and support costs, where applicable.

2.15 Pensions and other post-retirement benefits

The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all the employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

2.16 Financial Instruments

Classification

Financial assets and financial liabilities are recognised when the charity becomes party to the contractual provisions of the instrument.

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Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.

Recognition and measurement

All financial assets and liabilities are initially measured at transaction price (including transaction costs) except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs) unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Financial assets are derecognised when and only when: a) the contractual right to the cash flows from the financial asset expire or are settled

b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or

c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.

2.17 Judgements and key sources of estimation uncertainty

In the application of the charity’s accounting policies, trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to the accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of revision and future periods if the revision affects the current and future periods.

The most significant estimates and assumptions which affect the carrying amounts of assets and liabilities in the financial statements relate to:

The useful economic lives of assets, which Purposeful have estimated to be 3 years. Most Purposeful assets relate to computer equipment and furniture and fixtures where historical experience has formed the basis of this judgement.

Preparation of the accounts on a going concern basis, which Purposeful trustees judge to be a fair assumption based on the intentions of Purposeful for the next 12 months and availability of funding.

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NOTE 3 - ANALYSIS OF INCOME

2020 2019
Unrestricted Total Prior
funds Restricted funds funds year
£’000 £’000 £’000 £’000
Donations and legacies:
Donations and gifts - 365 365 2
Grants including capital grants:
Grants provided by government/other
charities 1,034 3,192 4,226 1,909
Donatedgoods, facilities and services - - - -
Total 1,034 3,557 4,591 1,911

NOTE 4 - ANALYSIS OF EXPENDITURE

NOTE 4 - ANALYSIS OF EXPENDITURE
2020 2019
Unrestricted Restricted
funds funds Total funds Prior year
£’000 £’000 £’000 £’000
Expenditure on raising funds
Fundraising - 1 1 1
Total expenditure on raising funds
 - 1 1 1
Expenditure on charitable activities
Grants Awarded - 1,563 1,563 312
Capacity Building & Movement 24 588 611 92
Advocacy and Influencing - 192 192 -
Global Projects - 129 129 82
Staff Costs 103 1,084 1,187 647
Operating Costs 62 338 400 60
Governance 14 94 108 100
Total expenditure on charitable activities 203 3,988 4,190 1,293
TOTAL EXPENDITURE 203 3,989 **4,191 ** **1,294 **

NOTE 5 – AUDIT FEE

NOTE 5 – AUDIT FEE
2020 2019
£’000 £’000
Audit Fee – UK 15 15
Audit Fee–Overseas Subsidiary 3 5
Total Audit Fees 18 20

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NOTE 6 – STAFF COSTS

6.1 – Staff Costs

2020 2019
£’000 £’000
Salaries and wages 980 487
Consultants and Contractors 102 97
Social security costs 45 39
Pension costs (defined contribution scheme) 9 5
Other employee benefits 51 18
Total staff costs 1,187 646
Band Number of employees Number of employees
2020 2019
£70,000 to £79,999 1
£80,000 to £89,999 1
£90,000 to £99,999 1

The total pension costs made by Purposeful in respect of the individuals above was £2,554 (2019: £1,019).

The key management personnel of the charity comprises of the Co-Founders and Chief Operating Officer. The total remuneration and employee benefits, including salary, employer’s National Insurance and employer’s pension contributions of the key management personnel of the charity was £307,811 (2019: £251,461).

6.2 – Average headcount in the year

2020 2019
Charitable Activities 32 13
Governance 3 2
35 15
Total

NOTE 7 – PENSION SCHEME

Purposeful operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £8,813 (2019 - £5,385)

34

NOTE 8 – GRANT EXPENDITURE BY REGION

2020 2019
£’000 £’000
Grants awarded 1,563 311

8 Analysis of grants paid (included in cost of charitable activities)

2020 2019
£’000 £’000
Sierra Leone Projects 981 300
Asia Pacific 133 -
Middle east and North Africa 146 -
Europe and Central Asia 131 5
Americas and the Caribbean 96 -
Sub Saharan Africa 76 6
Total 1,563 311

NOTE 9 – FIXED ASSETS

9.1 – Intangible assets for Group and Charity

9.1 – Intangible assets for Group and Charity
Computer Total
Software
Cost or valuation £’000 £’000
As at 1st September 2019 and 31st August 14 14
2020
Depreciation and impairments
As at 1st September 2019 3 3
Amortisation 5 5
As at 31st August 2020 8 8
Net book value
As at 31 August 2019 11 11
As at 31 August 2020 6 6

35

9.2 – Tangible assets

9.2 – Tangible assets
Cost or valuation
As at 1st September 2019
Additions		 Computer
Equipment
Plant,
machinery
and motor
vehicles
Fixtures and
fittings
Total
£’000
£’000
£’000
£’000
9
13
10
32
3
-
2
5
As at 31st August 2020 12
13
12
37
Depreciation and impairments
As at 1st September 2019
Depreciation		 2
6
3
11
1
-
3
4
As at 31st August 2020 3
6
6
15
Net book value
As at 31 August 2019 7
7
7
21
As at 31 August 2020 9
7
6
15
Tangible assets – Parent Only
Cost or valuation
As at 1st September 2019
Additions
As at 31st August 2020
Depreciation and impairments
As at 1st September 2019
Depreciation
As at 31st August 2020
Net book value
As at 31 August 2019
As at 31 August 2020		 Computer
Equipment
Plant,
machinery
and motor
vehicles
Fixtures and
fittings
Total
£’000
£’000
£’000
£’000
6
-
1
4
4
-
-
3
10
-
1
11
1
-
-
1
3
-
-
3
4
-
-
4
5
-
-
6
6
-
1
7

36

NOTE 10 – DEBTORS AND PREPAYMENTS

Consolidated Group Parent Charity
2020 2019 2020 2019
£’000 £’000 £’000 £’000
Trade debtors - 6 - -
Accrued Income 406 140 406 140
Staff Working Cash Advances 19 - - -
Prepaymentsa 34 46 14 30
accrued income
Total 459 192 420 170

NOTE 11 – CREDITORS AND ACCRUALS

Amounts falling due within one year

Consolidated Group Consolidated Group Parent Charity
2020 2019 2020 2019
£’000 £’000 £’000 £’000
Trade creditors 62 45 56 34
Taxation and social security 48 44 16 13
Accruals and deferred income 15 44 15 28
Total 125 133 87 75

Amounts falling due after more than one year

Consolidated Group Parent Charity
2020 2019 2020 2019
£’000 £’000 £’000 £’000
Accruals and deferred income - 1 - -
Total - 1 - -

NOTE 12 – PROVISIONS

Balance at 1st September 2019
Provision during the year
Payments
Balance at 31st August 2020		 2020
2019
£'000
£'000
-
-
41
-
-
-
41
-

The provision relates to the end of service benefits made for staff within the group as at 31st August 2020 based on the Sierra Leone gazette.

37

NOTE 13 – FUNDS

NOTE 13 – FUNDS
Balance at 1 Incoming Resources Balance at
September
2019		 Resources Expended 31 August
2020
£’000 £’000 £’000 £’000
Unrestricted Funds (24) (1,034) 203 (855)
Restricted Funds
Novo (1,265) - 1,030 (235)
Global Girl Academy (146) - 146 -
Fund for Global Human Rights - (22) 16 (6)
DFID (120) (1,699) 1,479 (340)
With and For Girls (404) (1,185) 1,033 (556)
Global Resilience Fund - (456) 198 (258)
Wellspring Philanthropic Foundation - (80) 3 (77)
Restricted Funds in Sierra Leone - (35) 22 (11)
Survivors’ Solidarity Fund - (81) 60 (21)
Total Restricted Funds (1,935) (3,558) 3,987 (1,506)
Total Funds (1,959) (4,592) 4,190 (2,361)
Parent Charity
Unrestricted Funds (24) (1,033) 203 (854)
Restricted Funds
Novo (1,167) - 1,103 (65)
Global Girl Academy (146) - 146 -
Fund for Global Human Rights - (22) 18 (3)
DFID (120) (1,699) 1,654 (165)
With and For Girls (404) (1,185) 1,033 (556)
Global Resilience Fund - (456) 198 (258)
Wellspring Philanthropic Foundation - (80) 3 (77)
Survivors’ Solidarity Fund - (46) 45 (1)
Total Restricted Funds (1,837) (3,488) 4,200 (1,125)
Total Funds (Parent) (1,861) (4,521) 4,403 (1,979)

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NOTE 13.1 – PRIOR YEAR CONSOLIDATED AND PARENT FUNDS

Restated Restated Restated Restated
Balance at 1 Incoming Resources Balance at
September Resources Expended 31 August
2018 2019
Unrestricted Funds (44) - 20 (24)
Restricted Funds
Restricted Funds
Novo (1,038) (1,078) 851 (1,265)
Global Girl Academy (256) - 110 (146)
Fund for Global Human Rights - (28) 28 (0)
DFID - (139) 19 (120)
With and For Girls - (666) 262 (404)
Total Restricted Funds (1,294) (1,911) 1,270 (1,935)
Total Funds (1,338) (1,911) 1,290 (1,959)
Parent Charity
Unrestricted Funds (44) - 20 (24)
Restricted Funds
Novo (607) (1,078) 519 (1,167)
Global Girl Academy (256) - 110 (146)
Fund for Global Human Rights - (28) 28 -
DFID - (139) 19 (120)
With and For Girls - (666) 262 (404)
Total Restricted Funds (863) (1,911) 938 (1,837)
Total Funds (Parent) (907) (1,911) 958 (1,861)

The specific purpose of the funds are as follows:

Unrestricted Fund / General Fund – reserves available for general operating costs Novo – to support projects which promote advocacy for girls in Sierra Leone

Global Girl Academy – to support inter agency co-operation and act as a point of contact in Sierra Leone

Fund for Global Human Rights – to support our participatory grant making model, Tar Kura, in Sierra Leone

DFID – to support our Safe Space+ programme in Sierra Leone

With and For Girls – to support our With and For Girls programme for girl led global advocates and activists.

Global Resilience Fund – to provide emergency funding to global grass roots activists through the Covid-19 pandemic

Wellspring Philanthropic Foundation – to support Purposeful organisational development and document learning

Restricted Funds in Sierra Leone – comprises Irish Aid funding to support policy development of the Radical Inclusion education policy, and the Canadian Fund for Local Initiatives in our work against FGM Survivors’ Solidarity Fund – to support 4 local partners in Sierra Leone providing services to girls who have survived sexual abuse and rape

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NOTE 14 – COMMITMENTS UNDER LEASES

Total future minimum lease payments under operating leases are given in the table below for each of the following periods:

the following periods:
Consolidated Group Parent Charity
2020 2019 2020 2019
£’000 £’000 £’000 £’000
Buildings
No later than oneyear 3 3 3 3
Total 3 3 3 3

NOTE 15 – NON-ADJUSTING EVENTS AFTER THE REPORTING PERIOD

Building Purchase

In January 2021, Purposeful purchased a building for a new office in Sierra Leone, to provide a permanent, sustainable home for our movement building hub. The building will allow us to focus on longstanding movement building and provide a feminist ‘home’ for girl activists. It is anticipated that Purposeful will move into the building in early 2022.

FCDO Funding

Covid-19 has also had a severe impact on the UK economy, which creates a significant risk as our funding from FCDO, our largest funder, is based on a percentage of GNI. In addition to this, in November 2020 the UK Government temporarily lowered the allocation of GNI to the Overseas Aid Budget (ODA) from 0.7% GNI to 0.5% GNI. This has compounded the decreasing effect of the ODA budget, and it is anticipated that Purposeful will experience significant cuts to FCDO funding. We therefore anticipate a slight decrease in FCDO income in 20/21 with a more significant decrease in 21/22. Fundraising from other donors continues as part of existing plans for beyond the FCDO programme, and we do not believe this affects our status as a going concern due to other existing, multiyear funding agreements.

NOTE 16 – RELATED PARTY TRANSACTIONS

During the year, Purposeful made the following related party transactions:

Chernor Bah (Chief Executive Officer)

During the year, Purposeful paid Chernor Bah £102,117 (2019: £97,388) for partnership and advocacy services and reimbursed expenses totalling £nil (2019: £1,341) for expenses incurred on behalf of Purposeful during the year. At the balance sheet date the amount due to / from Chernor Bah was £nil (2019: £Nil).

As agreed with the Board of Trustees, medical insurance payments were also made by Purposeful for Chernor Bah directly to Cigna Life totalling £14,569 (2019: £7,983).

Jody Myrum (Trustee)

Jody Myrum has been a Trustee of Purposeful since its incorporation as a registered charity. During the 19/20 financial year, Jody worked for the NoVo Foundation, a key funder of Purposeful, as Director - Initiative to Advance Adolescent Girls' Rights. In 2019/20, Purposeful received total grant income of £1,212,461 from the NoVo Foundation (2019: £1,431,880). Jody left the NoVo Foundation on 31st December 2020.

Dr Rev Marie Barnett

Dr Rev Marie Barnett has been a trustee of Purposeful since July 2019. During the year, the board gave Dr Rev Marie special approval to act as a consultant on an Irish Aid contract for Purposeful in Sierra Leone. She received £5,247.24 for travel and facilitation expenses in respect of this work which contributed to the radical inclusion policy for girls' education in Sierra Leone.

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NOTE 17 – ANALYSIS OF NET ASSETS BY FUND
Consolidated Group
Unrestricted
Funds
Restricted
Funds
Total
£'000
£'000
£'000
As at 31 August 2020
Fixed Assets
4
24
28
Current Assets
862
1,635
2,497
Current Liabilities
(11)
(114)
(125)
Non Current Liabilities
-
(40)
(40)
Total Net Assets
855
1,505
2,360
As at 31 August 2019
Fixed Assets
7
24
31
Current Assets
51
2,011
2,062
Current Liabilities
(9)
(124)
(133)
Non-Current Liabilities
-
(1)
(1)
Total Net Assets
49
1,910
1,959		 Parent Charity
Unrestricted
Funds
Restricted
Funds
Total
£'000
£'000
£'000
4
8
12
862
1,191
2,503
(11)
(87)
(98)
-
-
-
As at 31 August 2020
Fixed Assets
Current Assets
Current Liabilities
Non Current Liabilities
Total Net Assets
As at 31 August 2019
Fixed Assets
Current Assets
Current Liabilities
Non-Current Liabilities
Total Net Assets
855
1,112
1,967
7
10
17
51
1,868
1,919
(9)
(66)
(75)
-
-
-
49
1,812
1,861

NOTE 18 – SUBSIDIARY PERFORMANCE

The Board of We Are Purposeful has effective control over Purposeful Productions Sierra Leone, a NonGovernmental Organisation, limited by guarantee in Sierra Leone. Summary financial information for Purposeful Sierra Leone is as follows (detailed information is given in the full financial statements of Purposeful Productions Sierra Leone):

Statement of Income and Expenses
Income
Expenditure
Surplus / (Deficit)
Balance Sheet as at 31 August 2019
Fixed Assets
Current Assets
Creditors: Amounts falling due within one year
Creditors: Amounts falling due after more than one year		 2020
2019
£'000
£'000
2,049
272
(1,746)
(604)
303
(332)
39
15
440
137
(48)
(59)
(57)
(1)
374
92

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