COMPANY REGISTRATION NUMBER: 10415309 CHARITY COMMISSION FOR ENGLAND AND WALES REGISTRATION NUMBER: 1173025 iheart Principles Limited Company Limited by Guarantee Financial Statements 30 June 2024 HICKS AND COMPANY Chartered Accountants Vaughan Chambers Vaughan Road Harpenden AL5 4EE iheart Principles Limited Company Limited by Guarantee Financial Statements Year ended 30 June 2024 Page Trustees, annual report (incorporating the directorfs report) Independent examiner's report to the trustees Statement of financial activities (including income and expenditure account) Statement of financial position Notes to the financial statements iheart Principles Limited Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) Year ended 30 June 2024 The trustees, who are also the directors for the purposes of company law. present their report and the financial statements of the charity for the year ended 30 June 2024. Reference and admlnlstratlve detalls Reglstered charlty name iheart Principles Limited Charlty Commlsslon for England and Wales reglstratlon number 1173025 Company reglstratlon number 10415309 Prlnclpal office Suite 2 3 Sunny Place London NW4 1RS Reglsterad offlc• Vaughan Chambers Vaughan Road Harpenden AL5 4EE The trustees JCBull I C Garner-Patel T Kahan A S Kessel E G Krell T A Rubenstein Resigned 7 May 2024 Resigned 7 May 2024 Appointed 7 May 2024 Resigned 7 May 2024 Appointed 7 May 2024 Appointed 7 May 2024 Indepandant •xamlner Hicks and Company Chartered Accountants Vaughan Chambers Vaughan Road Harpenden AL5 4EE Bank Metro Bank iheart Principles Limited Company Limited by Guarantee Trustees. Annual Report (Incorporatlng the Directorfs Report) {¢ontlnued) Year ended 30 June 2024 Structure. govarnanc• and management Thè charity is a company limited by guarantee and is govemed by its articles and memorandum of association. The trustees, who are also the directors for the purpose of company law, and who served during the period and up to the date of the signature of the financial statements were.. Julian Christopher Bull (resigned 7 May 2024) Ila Caroline Garner-Patel (resigned 7 May 2024) Toby Kahan (appoinled 7 May 2024) Anthony Stephen Kessel (resigned 7 May 2024) Ethan Gabriel Krell (appointed 7 May 2024) Terry Ann Rubenstein (appointed 7 May 2024) In keeping with the rotational nature of the charity's Trustee Board, and as the previous incumbents had been in their posts for several year. the previous trustees announced their intention to step down at the beginning of May 2024. New trustees were appointed on 7 May 2024 and participated in an onboarding and induction process. iheart recruit and appoint Irustees as required. The charity aims to have a minlmum of 3 truslees at any given time, but have set an ideal largel of having 5 trustees appointed before the end of the next financial year. If the need for a new trustee appointment arises, the current leadership team (including the charity's founders) and trustees will recommend suiiable candidates at the next trustee meeting. ProspectlV8 trustees are assessed based upon their commitment to the cor8 purpose of the charily and the mental health education philosophy which underpins the charity's work, as well as other experience, skills and value they bring. All new trustees are encouraged to allend on8 of the iheart courses in order to gain a better understanding of the core purpose of the charity and the approach we take. None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the evenl of winding up. The affairs of the charity are governed by the Board of Trustees. They are responsible, with the support of the CEO and senior management team. for setting the strategic direction of the charity, consideration of reserves, risk management, performance review and affirming general organisatlonal policy. iheart carri8S Out quarterly trustee meetings which are also attended by the CEO. Other meetings occur on an ad hoc basis as required. The strategic direction and key dècisions are discussed and debated and then presented and agreed with the trustees in the quarterly trustee meetings. ObAectlves and actlvities The purpose of iheart is to relieve 111 mental health and to promote and protect good mental health Ihrough the provision of courses and workshops in the subjects of resilience and the principles of innate health. The main activity undertaken in relation to the purposes is the educating of young people through prevention-based programmes in mental health education, wellbeing and resilience wilh a focus on young people aged 9-18 years. The accredited iheart resilience training delivers programmes in schools and other youth settings, and offers facilitator training in the iheart curriculum to teachers and staff in schools and youthlcommunity organisations. iheart Principles Limited Company Llmlted by Guarantee Trustees. Annual Report (Incorporating the Dlrector's Report) (continued) Year ended 30 June 2024 The core objective of the charity is achieved by maximising the delivery of our programmes. The strategies in place to achieve this are: 1) Training teacherslstaff to deliver the programme to young people in schools, educational settings. youlh groups, community settings etc. 2) The core iheart team delivering the programme to young people in schools and other educational settings through applying for grants and fundraising. 3) Utilising technology to further increase reach. This includes the development of digital programmes that can be delivered without facilitator input. 4) 1-1 and small group follow up support where required. 5) Support of parents where required. The trustees have paid due regard to guidance issues by the Charity Commission in deciding what activities the charity should undertake and consider that the activities of the charity have been for the public benefit. iheart's stralegy over the next 12 rnonths will continue to be based on a whole-school approach, meaning training leachers and support staff within schools wherever possible. Our accumulated experience has shown us that teachers are often best placed to provide ongoing, sustainable support to their pupils. This approach is also more costeffective, enabling us to reach more young people whilst costing less in facilitated delivery costs. In order to achieve this, we are carrying out the followlng aclivities; 1. Developing key strategic partnerships with schools and other organisalions. We are talking to several partners. including other charities and public sector organisations iheart is applying for grants to enable the above to tak8 place, whilst managing existing multi- year grants and donor relationships. Achlevements and p•rformanca During this perlod iheart has continued to dellv8r programmes to young people in schools. other youth seltings, and private groups. This year saw some an increase in schools undertaking in-house training so that their staff could be trained and supported by iheart. Thls is a significant step as it enables iheart to become embedded and sustainable within the school's own system. The continued and successful roll-out of the ignite digital programme to children aged 9-13, which does not need facilitation or training for teachers. is an important development. The short, impactful programm8 was designed to solve th8 problem of lack of timetable capacity in schools for the full curriculum programm8. iheart continues in its mission to sustainably support young people by also educating and supporting the adults around them by offering training programmes to reach teachers in schools where feasible. Iheart sets out clearly defined fundraising activities and financial targets as part of its overall budgeting each year. The financial affairs of the charity are reviewed at the trustee meetings. We carried out a successful community-based crowd and match fundraising campaign in January 2025 which proved vital given the tougher climate Ihat we experienced around the availability of grant funding proved vital given the tougher climate that we experienced around the availability of grant funding financial year. iheart Principles Limited Company Limited by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (contlnued) Year ended 30 June 2024 Financial review For the period ended 30 June 2024 total income was £311.350. Of this figure, £230,920 was received as donations and grants and £80,100 was received from charitable activities. A further £330 was received as investrnent and other income. Total unrestricted funds carried forward are £75,997. These funds will be used to deliver programm8S In line with the charity's objectives. All financlal matters are discussed at the quarterly trustee meetings includlng rlsks to the charity and key strategies to manage and mitigate these. The broader fundraising environment has continued to be challenging over the past 12 months. We have seen that this is true across the charily sector and is not unique to our organisation. In response. and in order to ensure iheart remains a going concern, iheart has reduced its expenditure to correlate with reduced fundraising income, particuSarly from grant-makers (trusts and foundations). The trustees and management team have implemented this strategy by deciding not to replace departing staff members, consolidaling positionslroles and removing other non-essential operating costs wherever possible. The organisation has also elected not to create any new programmes for the time being. We have narrowed the focus of the charity to the primary activity of delivering programrnes in schools and other educational and community institutions, ensuring Ihat funds raised are used for the primary purpose of the charity, namely wellbeing and resilience programmes for young people and the teachers and parents who support youth. The trustees expect that the charity will be able to meet its obj8Ctives and continue as a going concem. These accounts have therefore been prepared on a going concèrn basis. Reserves poIIcy The charity aims to hold sufficient funds in reserves to cover its short-term operating costs along with any funds which have been allocated to designated funds. iheart Principles Limited Company Limited by Guarantee Trustees. Annual Report (Incorporating the Directorfs Report) (¢ontInu￿) Year ended 30 June 2024 Trustees, responslbilitles statement The Irustees, who are also directors for the purposes of company law, are responsible for preparing the trustees, report and Ihe financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the stale of affairs of the charitable company and the incoming resources and application of resources. including the income and expenditure, for that period. In preparing these financial statemenls, the trustees are required to: select suitable accounting policies and then apply them consistently., observe the methods and principles in the applicable Charities SORP; make judgments and accounting estimates that are reasonable and prudent., 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 sufficienl 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 stalements comply with the Cornpanies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevenlion and detection of fraud and other irregularities. Small ¢ompany provlslons This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies. exemption. The trustees, annual report was approved on 26 March 2025 and signed on behalf of the board of trustees by: Tery Rubensteln Chair of Trustees iheart Principles Limited Company Limited by Guarantee Independent Examiner's Report to the Trustees of iheart Principles Limited Year ended 30 June 2024 Independent examlnerfs report to the Irustees of iheart Principles Limited ('the Company. I report to the trustees on my examination of the financial statements of iheart Principles Limited for the year ended 30 June 2024, which are set oul on Pages 7 to 17. Responslbllltles and basls of report As the charity's trustees (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 {'the 2006 Act,) Having satisfied myself that the financial statements of the Company are not required to be audited and are eligible for independent examination. I report in respect of my examination of your charity's financial statements as carried out under section 145 of the Charities Act 2011 ('the 2011 Acl,). In carrying Out my examination I have followed the applicable directions given by the Charity Commission under seclion 145(5)(b) of the 2011 Act. Independent •xamln•rf$ Statemont I have completed my examination. l Confirrn that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect.. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act: or 2. the financial statements do not accord with those records; or 3. the financial statements do not comply with the accounting requirements of Section 386 of the 2006 Act other than any requirement that the financial statements glve a true and fair view which is not matter considered as part of an independent examinalion., or 4. the financial statements have nol been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)). I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached. Philip De nFGA Hicks and inpany Chartered Accountants Vaughan Chambers Vaughan Road Harpenden AL5 4EE 26 March 2025 iheart Principles Limited Company Limited by Guarantee Statement of Financial Activities (including income and expenditure account) Year ended 30 June 2024 Year to 30 Jun 23 Year to 30 Jun 24 Unrestricted Reslricted funds funds Total funds Total funds Noto Income and endowments Donations and legacies Charitable activities Other income Investment income 221.219 80.100 150 180 9,701 230,920 80.100 150 180. 696,242 278,110 1,235 288 Total Incom• 301,649 9,701 311,350 975,875 Expendlture Expenditure on raising funds Expenditure on charitable activities Total expendlture 1,163 408,214 1,163 417.915 12,982 931,333 9,10 9,701 409,377 9.701 419.078 944,315 Net (expendlture)Ilncome and net movement In funds (107,728) (107,728) 31,560 R•conclllatlon of funds Total funds brought fO￿ard Total funds carrl•d forward 183,725 183,725 152,165 75,997 75,997 183,725 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. iheart Principles Limited Company Limited by Guarantee Statement of Financial Position 30 June 2024 2024 2023 Note Fixed assets Tangible fixed assets 16 4,338 6,802 4.338 6,802 Current assets Debtors Cash at bank and in hand 17 59,992 19,903 98.788 142.260 79,895 241,048 Crèdilors: amounts falling due wlthln one year Not currant ass•t$ 18 8,236 71,659 75,997 64.125 176.923 Total assets le88 current Ilabllltl•s 183,725 Net assets 75,997 183,725 Funds of the charlty Unrestricted funds 75,997 183.725 Total charlty funds 21 75,997 183.725 The charitable company is enlitled to exemption frorn audit under section 477 of the Companies Act 2006 for the year ended 30 June 2024. The members hav6 not required the company to obtain an audit of Its financial ststements for the year ended 30 June 2024 in accordance with section 476 of the Companies Act 2006. The Trustees acknowledge their responsibilities for.. ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance wlth the requirements of Sections 394 and 395 and which otherwise comply wSth the requirements of the Companies Act 2006 relating to financial statements. so far as applicable to the charitable company. These financial statements have been prepared in accordance with the provisions applicable lo charitable companies subject to the small cornpanies, regime. These fi'nancial statements were approved by the board of trustees and authorised for issu8 on 26 March 2025, and are signed on behalf of the board by: Terry Rubenstein Chair of Trustees Company registration number: 10415309 iheart Principles Limited Company Limlted by Guarante8 Notes to the Financial Statements Year ended 30 June 2024 General Information The charity is a public benefit entity and a private company limited by guarantee. registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Vaughan Chambers, Vaughan Road, Harpenden, AL5 4EE. Statement of compllance These financial statements have been prepared In compliance with the Companies Act 2006, the Charities Act 2011. the Charities Statement of Recommended Practice (FRS 102), and FRS 102 The Financial Reporting Standard applicable In the UK and Republic of Ireland. Accountlng pollcles Basls of pr•paratlon The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure. The financial statements are prepared in sterling, which is the functional currency of the entity. Golng concern In order to ensure iheart remains a going concern, iheart has reduced its expenditure to correlate with reduced fundraising income, particularly from grant-makers (trusts and foundations). The trustees and manag8m8nt team have implemented this strategy by deciding not to replace departing staff members, consolidating positionslroles and removing other non-essential operating costs wherever possible, The organisation has also elected not to create any new programmes for the tim8 b6ing. Additionally, the three most senior members of the management team took voluntary pay cuts of 50°/0 from September 2023 in order to help reduce costs, Finally, we have narrowed the focus of the charity to the primary activity of delivering programmes in schools and other educational instilutions. All other activities (e.g. facilitator training for adults., podcast, etc) which are deerned 'non