**Charity number: 1171159**
## **TRANSFORM IRAN**
## **UNAUDITED**
**TRUSTEES' REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2023**
## **TRANSFORM IRAN**
## **CONTENTS**
||Page|
|---|---|
|**Reference and Administrative Details of the Charity, its Trustees and Advisers**|1|
|**Trustees' Report**|2 - 6|
|**Independent Examiner's Report**|7 - 8|
|**Statement of Financial Activities**|9|
|**Balance Sheet**|10|
|**Notes to the Financial Statements**|11 - 17|
## **TRANSFORM IRAN**
## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2023**
**Trustees** Reverend Lazarus Yeghnazar Dr David Lister Mrs Jane Lister Mr Edgar Allan Rich Mr Michael John Thomas Mr Martin John Wade Reverend Maggie Yeghnazar **Charity registered number** 1171159 **Principal office** 11 Frances Road Basingstoke RG 21 3DB **Bankers** Lloyds Bank Plc
Page 1
**TRANSFORM IRAN**
## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2023**
The Trustees present their annual report together with the financial statements of the Transform Iran for the year 1 January 2023 to 31 December 2023.
## **Structure, Governance and Management**
## _Constitution and Objectives_
The Charity is constituted under a CIO Foundation Constitution dated 17th January 2017 and is a Charitable Incorporated Organisation (the Charity) registered in England and Wales, No. 1171159. The objects of the Charity are:
- To advance the Christian faith for the benefit of all people in accordance with the statement of beliefs in such parts of the world as the Trustees consider appropriate;
- To provide charitable support and relief to people in such parts of the world as the Trustees consider appropriate, and;
- To further other such charitable purposes as the Trustees from time to time consider appropriate.
## _Organisation_
The appointment of Trustees is governed by the Constitution. Existing Trustees are authorised to appoint new Trustees, and to fill vacancies arising through resignation, or death, of one of their number.
Trustees meet to manage the activities of the Charity. The Chairman, L.Yeghnazar, together with the International Projects Director, are primarily responsible for implementing the decisions of the Trustees.
## _Investment Powers_
The Constitution authorises the Trustees to make, and hold, investments using the general funds of the Charity. No such investments are presently held.
.
Page 2
**TRANSFORM IRAN**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Structure**
The Charity, also known as 222 Ministries International, is part of the Transform Iran international church family and fully accountable under UK regulation.
Transform Iran operations are largely centred on the Middle East and Europe. The Charity works in partnership with other Transform Iran and 222 Ministries’ charitable bodies registered in Germany, Netherlands, Turkey and USA, each charity being accountable under their own national regulations. The Charity complies with UK and International Regulations which include the prohibition on sending financial resources to Iran.
Worldwide co-ordination and development is through an International Board comprising eight representatives of the various registered charitable bodies, including four from the Charity. The Charity’s chairman presides over this board. The Charity has one employee and relies significantly on the full-time voluntary work and skills of the Chairman, and his wife as well as the active participation and financial support of other trustees and supporters to maintain and develop the work.
## **Background**
The people of Iran face poverty, unemployment and the threat of war. Anxiety and depression are at an all time high, suicide rates are increasing. Sanctions are biting. People are traumatised in a myriad of ways, including from the brutality of the hard line Islamic regime. Transform Iran seeks to reach every man, woman and child with the transforming love and message of Christ.
Life for 222’s refugee churches in Turkey has become increasingly difficult. Christian refugees were already living hand to mouth but with inflation at 65%, a lack of employment and healthcare protection, a frequent doubling or tripling of rents without notice resulting in lost homes has created an unsustainable cost of living. Increasingly Turkish authorities are pressurised to reduce the growing numbers of foreign residents and refugees. The consequences of deportation to Iran for 222’s refugees are unthinkable.
## **Activities**
These are centred around three core themes.
- Evangelism: Bringing the life changing gospel of Jesus Christ to Iranians and connected people
- groups in and out of Iran through television, radio, social media.
- Discipleship: Strengthening Christian believers, developing servant leaders and growing the Church through Bible based initiatives and resources.
- Transformation: Implementing strategic projects that will bring lasting transformative change through every aspect of Iran’s society from the elite to the destitute.
There are four key spheres in which Transform Iran engages.
- Harnessing the power of the media through satellite TV, radio, mobile applications and the internet.
- Bible translation into heart languages. Around 55% of Iran’s population do not speak Farsi at home. We have identified key languages for full Bible translation. The first New Testament translation in Gilaki was completed this year.
- Answering questions and meeting needs. This includes trauma ministry, apologetics and meeting practical and humanitarian refugee needs.
- Building, strengthening, and empowering the Body of Christ through follow up and discipleship, leadership development and training, and digital Church
.
Page 3
**TRANSFORM IRAN**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Some Transform Iran Highlights**
The Charity contributed both financially and/or through human resource in these activities.
- The full New Testament translated into Gilaki (the heart language of 3 million Iranian Gilaks).
- 50 Open Bible Stories translated into fifteen languages
- Turkey was hit by four earthquakes. 10 tons of aid was distributed to the earthquake victims in a very timely manner.
- Operation Christmas Joy blessed 933 vulnerable children with gifts and warm clothing and wherever possible a joyful celebration.
- 850 men, women and youth trained at strategic leadership development events
- The interactive digital Persian Community Church drew between 100 to 400 devices each week and was also aired live on YouTube. In 2023 314,762 attended or viewed a PCC meeting across all channels, averaging 26,320 each month.
## **Financial review**
Income increased 40% to £281,406. The not for profit sector contributed over half of all income. It was encouraging that during a time of continuing personal financial constraint church and individual donations grew. Despite inflationary pressures we were also able to reduce our General Funds cost base and therefore maintained our minimum reserves level at £40,000.
We would like to express thanks to all our donors and prayer supporters. The Charity has no endowment funding and is dependent on donor support to fulfil its mission. We are confident that with this continuing support, together with faith in God’s abundant provision the Charity has adequate resources to fulfil its objectives.
## **Outlook**
Operating conditions in Iran and amongst the Iranian diaspora present Transform Iran with demanding challenges every day. The Charity will continue to provide strategic leadership and support to passionate gifted teams of full time, part time and volunteer workers as we pray and work together to bring the transformative love of Christ to their communities in Iran and the diaspora.
Page 4
**TRANSFORM IRAN**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Objectives and activities (continued)**
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
In determining the programmes Trustees have regard for the Charity Commission’s general guidance on public benefit, including those aspects related to the relief of poverty. The Trustees ensure that the Charity’s programmes are in line with its charitable objects and aims.
## **Stated Reserves Policy**
Following review Trustees maintained the Reserves Policy at £40,000. This represents over six months of anticipated General Funds operating costs. At the year-end unrestricted funds were £68,185, an excess of £28,185 above the minimum reserves policy.
## _Risk Management and Financial Controls_
The Trustees have established risk management policies and procedures to enable them to assess the major risks faced by the Charity and to take mitigating action where appropriate. Trustees have also established financial controls to comply with good practice and to meet guidelines recommended by the Charity Commission. Policies are reviewed annually to ensure they remain appropriate to the Charity's needs and that they are aligned to the Charity's overall governance framework.
.
Page 5
**TRANSFORM IRAN**
## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
## **a. Going concern**
After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
## **Structure, governance and management**
## **a. Constitution**
Transform Iran is a registered charity, number 1171159, and is constituted under a Trust deed.
## **b. Methods of appointment or election of Trustees**
The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.
## **Statement of Trustees' responsibilities**
The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles of the Charities SORP (FRS 102);
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the members of the board of Trustees on 30 June 2024 and signed on their behalf by:
**Reverend Lazarus Yeghnazar Dated:** 30 June 2024
Page 6
**TRANSFORM IRAN**
## **INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 DECEMBER 2023**
## **Independent Examiner's Report to the Trustees of Transform Iran ('the Charity')**
I report to the charity Trustees on my examination of the accounts of the Charity for the year ended 31 December 2023.
## **Responsibilities and Basis of Report**
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent Examiner's Statement**
Since the Charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Chartered Institute of Management Accountants UK, which is one of the listed bodies.
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.
I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
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 Charity as required by section 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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.
Page 7
**TRANSFORM IRAN**
## **INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023**
This report is made solely to the Charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an Independent Examiner's Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my work or for this report.
Signed:
Dated: 30 June 2024
## **Kolade Andrew Alli ACMA**
10 Gatcombe Gardens West End, Hampshire SO18 3NA
Page 8
**TRANSFORM IRAN**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023**
|**Note**
**Income from:**
Donations and legacies
2
**Total income**
**Expenditure on:**
Charitable activities
3
**Total expenditure**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Unrestricted**
**funds**
**2023**
**£**
**73,233**
**73,233**
**72,027**
**72,027**
**1,206**
**66,979**
**1,206**
**68,185**|**Restricted**
**funds**
**2023**
**£**
**208,173**
**208,173**
**190,736**
**190,736**
**17,437**
**167,012**
**17,437**
**184,449**|**Total**
**funds**
**2023**
**£**
**281,406**
**281,406**
**262,763**
**262,763**
**18,643**
**233,991**
**18,643**
**252,634**|_Total_
_funds_
_2022_
_£_
_201,166_
_201,166_
_220,202_
_220,202_
_(19,036)_
_253,027_
_(19,036)_
_233,991_|
|---|---|---|---|---|
The Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 11 to 17 form part of these financial statements.
Page 9
## **TRANSFORM IRAN**
## **BALANCE SHEET AS AT 31 DECEMBER 2023**
|**Fixed assets**
**Note**
**Current assets**
Stocks
6
Cash at bank and in hand
**Net current assets**
**Total assets less current liabilities**
**Net assets excluding pension asset**
**Total net assets**
**Charity funds**
Restricted funds
7
Unrestricted funds
7
**Total funds**|**1,650**
**250,984**
**252,634**|**2023**
**£**
**-**
**252,634**
**252,634**
**252,634**
**252,634**
**184,449**
**68,185**
**252,634**|_1,650_
_232,341_
_233,991_|_2022_
_£_
_-_
_233,991_|
|---|---|---|---|---|
|||||_233,991_|
|||||_233,991_|
|||||_233,991_|
|||||_167,012_
_66,979_|
|||||_233,991_|
The financial statements were approved and authorised for issue by the Trustees on 30 June 2024 and signed on their behalf by:
## **Reverend Lazarus Yeghnazar**
The notes on pages 11 to 17 form part of these financial statements.
Page 10
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1. Accounting policies**
## **1.1 Basis of preparation of financial statements**
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
Transform Iran 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.
## **1.2 Income**
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
## **1.3 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **1.4 Stocks**
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
## **1.5 Cash at bank and in hand**
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
Page 11
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **1. Accounting policies (continued)**
## **1.6 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Page 12
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
|**2. Income from donations and legacies**||
|---|---|
||**Restricted**
**Unrestricted**
**funds**
**Total**
**Total**|
||**funds**
**General**
**2023**
**2022**|
||**£**
**£**
**£**
**£**|
|Gift aid|2,837
5,409
8,246
15,650|
|Donations|189,981
64,068
254,049
165,241|
|Income from trade|4,105
358
4,463
3,470|
|Miscellaneous income|11,250
3,398
14,648
13,805|
|Legacies|0
0
0
3,000|
|||
||208,173
73,233
281,406
201,166|
Page 13
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
|**3. Expenditure on charitable activities**||
|---|---|
||**Restricted**
**Unrestricted**
**funds**
**Total**
**Total**|
||**funds**
**General**
**2023**
**2022**|
||**£**
**£**
**£**
**£**|
|Charitable Expenditure|190,736
72,027
262,763
220,202|
|||
||190,736
72,027
262,763
220,202|
## **4. Independent examiner's remuneration**
|Fees payable to the Charity's independent examiner for the independent|||
|---|---|---|
|examination of the Charity's annual accounts|**4,200**|_3,500_|
Page 14
## **TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **5. Trustees' remuneration and expenses**
During the year the charity made the following transactions with trustees; (2022: £2,150)
Lazarus Yeghnazar - £1,512.97 - All related to essential operational work or fundraising for the Trust
Maggie Yeghnazar - £608.17 - All related to essential operational work or fundraising for the Trust
Edgar Allan Rich - £28.80 - Operational travel expenses.
No Trustees have received any other benefits from the charity during the year.
## **6. Stocks**
||**2023**|_2022_|
|---|---|---|
||**£**|_£_|
|Rent Deposit|**1,650**|_1,650_|
Page 15
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **7. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted funds**
General Funds
**Restricted funds**
Business Development
Church Planting
Humanitarian Relief
Ministry in Turkey
Publications Restricted
Support to Pastors
Training
TV/DVD Production
Bible Translation
**Total of funds**|**Balance at 1**
**January**
**2023**
**£**
**66,979**
**7,776**
**51,583**
**63,098**
**8,671**
**1,879**
**4,619**
**17,630**
**901**
**10,855**
**167,012**
**233,991**|**Income**
**£**
**73,233**
**-**
**53,446**
**93,333**
**2,709**
**4,715**
**12,290**
**7,831**
**8,120**
**25,729**
**208,173**
**281,406**|**Balance at**
**31**
**December**
**Expenditure**
**£**
**2023**
**£**
**(72,027)**
**68,185**
**-**
**7,776**
**(37,431)**
**67,598**
**(83,694)**
**72,737**
**(6,538)**
**4,842**
**(3,208)**
**3,386**
**(7,791)**
**9,118**
**(17,414)**
**8,047**
**(873)**
**8,148**
**(33,787)**
**2,797**
**(190,736)**
**184,449**
**(262,763)**
**252,634**|
|---|---|---|---|
Page 16
**TRANSFORM IRAN**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023**
## **7. Statement of funds (continued)**
## **Statement of funds - prior year**
|**Unrestricted funds**
General Funds
**Restricted funds**
Business Development
Church Planting
Humanitarian Relief
Ministry in Turkey
Publications Restricted
Support to Pastors
Training
TV/DVD Production
Bible Translation
**Total of funds**|_Balance at_
_1 January_
_2022_
_£_
_76,491_
_7,776_
_61,296_
_87,234_
_5,923_
_2,009_
_2,419_
_7,448_
_2,023_
_408_
_176,536_
_253,027_|_Income_
_£_
_69,925_
_-_
_32,089_
_57,777_
_3,672_
_3,218_
_3,660_
_19,566_
_11_
_11,248_
_131,241_
_201,166_|_Expenditure_
_£_
_(79,437)_
_-_
_(41,802)_
_(81,913)_
_(924)_
_(3,348)_
_(1,460)_
_(9,384)_
_(1,133)_
_(801)_
_(140,765)_
_(220,202)_|_Balance at_
_31_
_December_
_2022_
_£_
_66,979_
_7,776_
_51,583_
_63,098_
_8,671_
_1,879_
_4,619_
_17,630_
_901_
_10,855_
_167,012_
_233,991_|
|---|---|---|---|---|
Page 17