Charity number: 1172282 THE MARANDI FOUNDATION UNAUDITED TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021
THE MARANDI FOUNDATION CONTENTS Page Referenc• and Admlnlstratlve Detall$ of tha Charity. Èis Trustet$ and Advlsors Trustee5' Report Independent Examinerfs Report Statemant of Financial Activities Balanca Sheet Stat9mgnt of Cash Flows Notes to the Flnanclal Statoments 10-14
THE MARANDI FOUNDATION REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 5 APRIL 2021 Trusto0$ Javad Marandi Narmina Marandi Sir Michael Lockett {appointed 31 July 2020) Charity registered number 1172282 Princlpal office 103 Mount Street London W1K2TJ Dlrector Jo Clunia Bankers Coutts & Co 440 Strand London WC2R OQS Solicitors Bales Wells and Brailhwaile 10 Queen Slfeet Place London EC4R 1BE Page 1
THE MARANDI FOUNDATION TRUSTEES. REPORT FOR THE YEAR ENDED 5 APRIL 2021 The Trustees present their annual report together with the financial 51atemenls of tho Charlty for the year ended 5 April 2021. The financial slalemenls have been prepared in accordance with the Charities Act 2011. The requlrements of the charity's governing document and the provisions of the Statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS102) leffeclive 1 January 20191. OblaGtlvg$ and activities a. Pollcles and oblactlves The objeclwe of The Marandi Foundation, as stipulated in the Trust Deed, is lo apply funds and income upon trust for the publlc benefit of all objects which are exclusively charitable under the law of England and Wales. The Foundation delivers ils charitable objects through granl-making. The Trustees confirm that they have had due rfjgard to the Charity Commission's guldance on public benefit. b. Activities und•rtakon to achieve objocttves The Charity uses gr8nt-making lo achieve its objectives and in particular makes grants to UK-registered charities which advance educats'on. c. Grant-making policies The Trustees of the Foundation provide financial awards lo registered charities that promote the arts. positive mental health and educational attainment. d. Main activities undertaken to further tho charits purposes for tho publlc benefit The Marandi Foundation has made grants lolalling £254,17512020.. £613,499) lo Ihree12020.. four) charities during the year. Grants mada in the ear The European Funding Clrclè- £SO.00012020: £nll) Providing a contribution to support the building and slrenglhening of holding5 of key work by artists and philanthropists will lead Tate in realising transformative acquisitions that will both challenge and complement familiar narratives of modem and contemporary artistic practi. Thg Sarpentine Trust- £50,000 (2020: £13,667) Providing a contribution lo support an exhibition of James Bamor's work at The Serpentine Gallery entitled 'Portrails of the FulLtre.' A Celebration of James BarnDrf. The Latymer Foundation - £154,175 {2020: £nil} Providing means lesled bursaries for boys who would otherwise be unable to attend Latymer due lo their family's financlal CircumstanS. The children selected are able lo benefit from the exlIent academic, pa51oral and social experience of attending Latymer. In the year ended 5 April 2021, The Marandi Foundation made a commitment of £104,175 payable over five years. Grants made in the com aratlve riod The Watercolour World - £nll12020: £395,000) The Walercolour Worfd is creating a unique visual history of the world through documentary walercolours painted before 1900. The programme fryrmally launched on 31 January 2019 at the Royal Academy of Arts. The website comprises tens of thousands of images creating significant new Sour of global history. This free, new, online library Includes topographical. anthropological and botanical subjects. plus observed historical events. Page 2
THE MARANDI FOUNDATION TRUSTEES. REPORT Icontinuedl FOR THE YEAR ENDED 5 APRIL 2021 oln multl èar commltmènts Tho Royal Foundatlon- Thlrd tranche of £100,00012020: £100.0001 pald in the year The Roy81 Foundation supports a broad and ambitious spectrum of activity looking lo support innovations In mentsl health, e8rly years, young people and conservation. In the year ended 5 April 2019. The Marandi Foundation made a commitment of £300,000 payable over three years. St Paul's School- Nil {2020'. £100,000) pald In tha year Providing means tested bLJrsaries for boys who would otherwise be unable lo attend Sl Paul's ¢Jue lo family financial ¢ircumslan¢es. The Chlldren selected are able lo benefit from the excellent 8¢8demic, paslor818nd social experien¢e of attending Sl Paul's School. In the year ended 5 April 2018, The Marandi Foundation made a commitment of £500,000 payable over five years 8nd 815 Aprll 2021 a grant ¢ommilmenl of £200,000 exists. Subsequent lo the year end, £100,000 was paid lo Sl Paul's and the partnership was then drawn to a close. The Foundation intends to redistribute the funds for use on projects elsewhere. Achievements and performance Flnanclal revl Going concern The Charity has limited fixed running costs but has grant commitments totalling £283,34012020 £300,000) at the year end. The Charity's sole benefactors, who are also the Trustees, have pledged donations equ81 lo the amount of the multi year grants made and will pay these donabons across al the lime the grant payment is due lo the re¢ipient charities. It is not Ihe policy of the charity to hold long term cash balances 81 this lime. There is a fomial agreement from Ihg Trustses lo provide financial support as and when required lo ensufe the continued operation of the Charity. Management therefore considers th81 The Marandi Foundation is a going concern. as il expects the Charity lo be able to meet its debts as they fall due for a period of al least 12 months from the dale of signing of these financial statements. Just before the start of the financial year, COVID-19 was declared a pandemic by the Worfd Health Organisalion and varlous soclal and economic reslriclions were applied In the UK and across the worfd. This impacted financial markets bul has not been considered lo impact the Foundation due lo ils limited assets being held as cash. b. Roservos pollcy Once The Marandi Foundation has identified and agreed a grant amount lo be provided lo a beneficiary it will receive the agreed funds from ils sole benefactors, Javad and Narmina Marandi, in order lo pay the beneficlary at the agreed payment dale. The charity therefore holds only a small level of reserves lo ensure that il can omft)rtably meet ils operating costs and pay its debts as they fall due. As at the year end, The Marandl Foundation had unrestricted reserves of £52,23912020.. £67,583). c. Financial revigw Income for the year ended 5 April 2021 was £263,34012020'. £679,869) wllh £254,175 {2020.. £613,499) of this being expended as grants. Due lo its size. The Marandi Foundation is abSe lo operate with minimal overhead costs. As such, 91 % (2020: 96%} of lolal expendllure In the year is in the form of grants glven. Page 3
THE MARANDI FOUNDATION TRUSTEES. REPORT Icontlnuodl FOR THE YEAR ENDED 5 APRIL 2021 Structuro, governanc8 and management a. Constitution The Marandi Foundation is a registsred charity. number 1172282, and is constituted under a Trust deed dated 6 March 2017. b. Methods of appolntment or algctlon of Trustees The management of the Charfty Is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed. c. Organl$8tlonal $tructura and decision-maklng poll¢les The FoundaOn comprSses three Trustees and a Dlreclor who meet twice per year. d. Policies adopted for thè inductlon and training of Trustees New Trustees are recruited as and when required with reference lo their abSlltles that will enhance and further the Charity's objectives. When new Trustees are appointed, training both in-house with existing Tru51ees or exlemally through appropriate trustee Irainlng courses is provided. New Trustees are appointed by deed under authority of 8 resolution of the Trustees. Plans for future periods The Trustees expect lo continue lo support educational charities in the medium lem and wtll continue lo buSld on their relationships with some of the charities they have worked with in the Current year. Page 4
THE MARANDI FOUNDATION TRUSTEES. REPORT (continued) FOR THE YEAR ENDED 5 APRIL 2021 Statemgnt of Tru$to9$' rgspon$lbllltlgS The Trustees are responslble for preparing Ihtr Trustees, Report and the financial slalemenls in accordance wllh applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Pr8¢ticel. The law applicable lo charities in England & Wales requires the Trustees to prepare financl81 stalernents for each financial year which give a true and fair view of the state of affairs of the Charity and of ils incoming resources and appli¢ation of resources, including ils income and expenditure, for that period. In preparing these financial statements, tho Truslges are required lo.. select suitablè accounting policies and ther7 apply them consistenuy., observe the methods and principles of the Charities SORP IFRS 1021.. make judgments and accounting estimates that are reasonable and prud&nt', slate whether applicable UK Accounting Standards IFRS 102} have been followed. subje¢l to any material departures disclos&d and explained In the financial statements- prepare the financial slalemenls on the going concern basis unless it is inappropriate lo presume that the Charity will continue in business. The Trustees are responsible for keeping adequate a¢counllng records that are sufficient lo show and explain the Charfty's transactions and disclose with reasonable accuracy al any lime the financial position of the Charity and enable them lo ensure th81 the flnancial 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 oi /it /tl and slgned on their behalf by.. Javad Marandi (Chair of Trusteasl Page 5
THE MARANDI FOUNDATION INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 5 APRIL 2021 Indgpgndent Examiner's Report to the Trustees of The Marandl Foundation I report lo the charity Trustees on my examination of the ac¢ounls of The Marandi Foundation for the year ended S April 2021, whlch comprise the Slalemenl of Financial Aclivilies, the Balance Sheet, the Slalemenl of Cash Flows and the notes lo the accounts. including 8 summary of significant accounllng policies. Respocilva responsibiliti•s of trustO0$ and examiner and b8sl$ of raport As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance w((h the requirements of the Charities Act 20111'lhe 2011 Acl'l. I report in respect of my examination of the Charfty's 8ccounls carried out under section 145 of the 2011 Act and in carrying out rny examination I have followed the applicable Directions given by the Charity Comrnission under section 14515llbl of the 2011 A¢1. Independènt Examlnor's Statement sin the Charity's gross income exceeded £250,000 your examiner musl be a member of a body listed in section 145 of th& 2011 A¢1. I confirrn that l am qualifled lo undertake the exafftinalion because l am a member of the Institute of Chartered Accountants in England & Wales, whlch is one of the listed bodies. I have completed my examinauon. I confirm that no matters have come to rny attention in connection wllh the examlnatSon gn9 me cause to believe that In any material respect.. accounting records were not kept in respect of the Charity as required by sectlon 130 of the 2011 Act,. or the accounts do not accord with those records., or the accounts do not comply wllh the applicable requirements concerning the form and content of ac¢ounts sel out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement th81 the accounts give a 'lrue and fair, view which is not a matter considered as part of an independonl examin8ti0n. I have no concerris and have come across no other matters in connection with the èxaminatlon lo which attention should be drawn In this report in order lo enable a proper understanding of the accounts to be re8¢hed. Signed= Dated.. 14 December 2021 Jeffrey Selden. Fellow of The Institute of Chartered Accounlanls in England & Wales Srnith & Williamson LLP Onslow House Onslow Street Guildlord GU1 4TL Page 6
THE MARANDI FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2021 Unrostrlcted funds 2021 Total funds 2021 Total funds 2020 Note Income from: Donations and legacies 263,340 263.340 679,869 Total income 263.340 263,340 679,869 Expendituro on: Charitable activities 278.684 278.684 638,003 Total expenditure 278,684 278,684 638,003 Net movement in funds 115,3441 {15,3441 41,866 Reconciliation of funds.. Total funds brought forward 67.583 67.583 25.717 Total funds carrled fonvard 52,239 52.239 6T,583 The notes on pages 10 10 14 form part of these financial statements. Page 7
THE MARANDI FOUNDATION BALANCE SHEET AS AT 5 APRIL 2021 2021 2020 Not Current a$sats Donatlons receivable 120,835 200,000 Debtors due after more than one year= Donations receivable 162,505 100.000 Cash at bank and in hand 57,967 70,583 341,307 370.583 Creditors= amounts falllng due within one year (126,5631 (203,tnlJ current assats 214.744 167,583 Creditors.. amounts falling due in more than one year- grant cornmilmenls {162,505) (100,000) Not assets 52.239 67,583 Charlty furxls General ftjnds 52.239 Total funds 52.239 61.583 The financial stslements were approved and aulhorlsed for issue by the Trustees on 01 /11 (zi and signed on their behalf by.. Javad Marandi (Chair of Trusleesl The notes on pages 10 10 14 form part of these finanaal stslements. Page 8
THE MARANDI FOUNDATION STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 5 APRIL 2021 2021 2020 Co$h flows from operatlng o¢tlvlt19S Nel c8sh used in operating activities {nole 11} (12.616} 41.739 Change in cash and cash equivalents in the year {12,616) 41,739 Cash and cash equivalents al the beginning of the year 70,583 28,844 Cash and cash equlvalents at tho end of the yoar The notes on pages 10 to 14 form part of these finanaal statements Page 9
THE MARANDI FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021 General infomiation The Marandi Foundation Is a registered charity in Eng18nd and Wales. number 1172282. The address of its registered office is 103 Mount Street, London. W1 K 2TJ. Accounting policie$ 2.1 Basis of preparation of flnan¢lal statements The financial statements have been prepared in accordance wlth the Charities SORP IFRS 1021- Accounting and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts In a¢¢ordance with the Financial Reportlng Stsndard applicable in the UK and Republi¢ of Ireland {FRS 1021 (effective 1 January 20191. the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) and the Charities Act 2011. The Marandi Foundation 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 slated in the relevant a¢counting policy. 2.2 Going concern The financial statements have been prepared on a golng concem basis. The Trustees have revlewod the expected future cashflows of the Charity. including an a55essmenl of the potential impact of COVID-19. The Charity 15 reliant on the continLJing 5UPPOrt of the Trustees lo provide funds to allow the Charlty lo rneet its liabilities as they fall due. As explained in the Trustees, Annual Report. the policy of the Trustees is lo provide funding al the bme payment is due and the charity does not currently hold significant cash reserves. The Trustees have provided a letter of support which stales that they will provide such fLJnds as are needed to allow the Charity lo do so. The Tiusle¢s therefore have a reasonable expectstion that the Charity has adequate resources to continue in operational existence for the forese08ble future, and that there is no material uncertainty relating lo going concern. 2.3 Income All income 15 recognlsed once the Charity has entlllemenl to the income, il is probable that the income will be received and the amount of income receivable can be measured reliably. 2.4 Expgndltura Expenditure is recognised once there is a legal or conslruclive obligation to transfer economic benefit lo a third paty, 11 is probable that a transfer of economic benefits will be required Sn settlenienl and the amount of the obbigabon can be measured reliably. Expenditure is classified by ac14'vily. The costs of each acllvity are made up of the lotsl of direct costs and shared c051s, n¢luding SLJPPOrt costs involved in undertaklng each activity. Direct costs attributable lo a single 8¢tivily are allo¢aled directly to that activity. Shared costs which contribute lo more than one activity and support costs which are not attributable to a single activity are apportioned beNveen those activities on a basis conslslenl with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation char9es allocated on the portion of the asset's use. Expenditure on charitable activities is incurred on directly undertaking the acllvllles which further the Ch8riVs obleclives, as well as any assoclaled support costs. Page 10
THE MARANDI FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021 Accounting policies (continued) 2.4 Expenditure {continuedl Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such gran15 being recognised as expenditure when the Conditions attaching are fulfilled. Grants offered subject lo conditions which have not been mel al the year end are noted as a comrnitment, bul not accrued as expenditure. All expenditure is inclusive of irrecoverable VAT. 2.5 Cash at bank and In hand C8sh al bank and In hand Includes cash and short-term highly liquid investments with a short maturity of three months or less from the dale of acquisition or opening of the deposll or similar account. 2.6 Liabilities and provisions Liabilities are recognised when there is an obllgalion 81 the Balance Sheet dale as a result of a past event. It Ss probable that a transfer of economic benefit will be required in setuement. and the amount of the settlement can be eslimaled reliably. 2.7 Flnanclal Instruments The Charity only has financial assets and financial liabilities of a kind that qu811fy as basic financial inslrurnents. Basic financial instruments are initially recognlsed al transaction value and subsequenuy measured at their settlement value wllh the exception of bank loans which are subsequendy measured al amortised cost using the effective interest method. 2.8 Fund accountlng General funds are unreslricled funds which are available for use at the discretion of the Trustees in furlherance of the general obje¢lives of the Ch8rlty and whlch have not been designated for other purposfjs. Income from donatlons and legacios Unrestricted funds 2021 Total funds 2021 Total fvnds 2020 Donations Page 11
THE MARANDI FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021 Analysis of charltable expanditure Grants to Institutions 2021 Grants lo Inslilulions 2020 The Water¢olour Worfd 395.000 Senlebale 50,000 Orphan Dlsease 154.832 The Serpentine Trust 50,000 13,667 Tale Foundation 50,000 The Latymer Foundation 154,175 Direct costs Direct cosls 2021 2020 Computsr and sofvare 2.960 1.680 Bank charges 120 365 Professional fees 1,066 176 Exchange rale variance 479 1204} Governance costs.. Independent examination fees 5,394 3,000 Grants administration 14.490 19,487 Page 12
THE MARANDI FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021 Employeas and staff costs The average number of employees during the year was nil12020 - nil). No employees received employee benefits in excess of £60.000 {2020- none}. The key management personnel of the Charity comprise the Trustees only who received no remuneration in respect of their services to the Charily12020 - £nill. ND expenses have been reimbursed lo key management personnel. Independent examlngr's ramuneration 2021 2020 Fees payable lo the Charity's Independent examiner in respect of prior years 1.734 Fees p8y8ble to the Charity's independent examiner for the independent examination of the Charity's annual accounts Creditors- Amounts falllng dua within on8 yoar 2021 2020 Grant commitrnen15 120,835 200.000 other creditors 2,068 AccruaSs 3,660 3,000 126,563 203,000 Creditors: Amounts falllng duo after more than one year 2021 2020 Grant commitments 162 505 100,000 Page 13
THE MARANDI FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2021 R8lat8d party transactions During the year J Marandl, a Iruslee, made payments of £280,00012020 - £879,869) lo the Charity and pledged donations of £263,34012020 - £679,869) lo the Charity. The total of oulstsnding pledges as at 5 April 2021 was £283,340 12020 - £300,000). These amounts represent agreed donations which will be paid lo the Charity al the Ilme the monies are required lo fulfil multi-year grant commitrnenls. 10. Post balan¢9 $haet events Subsequent lo the year end. the partnership wth St Paul's was drawn to a close, with the Foundation intending lo ulilise ils funds on other projects. There is no impact on the net income for 5 Aprll 2022 as a result of this event. Raconciliation of not movement In funds to net cash flow from opgratlng activities 2021 2020 Nel incorne for the period las per Stslemenl of Financlal Advllles} {15.344) 41,866 Adjustmants for: Decrease in debtors 16.660 200,000 Decrease in creditors 113.9321 1200,1271 Net cash providèd by operatlng actlvltlos 12. Analysls of Net Cash At 6 April 2020 Cash flows At 5 April 2021 Cash al bank and In hand 70.583 {12.6161 57,967 Page 14