Annual Report & Statement of Accounts st For 1 April 2021 to 31st March 2022 (FY22) THE TESFA SPONSORSHIP TRUST UK Charity Registration No 1177205 Christmas messages from the sponsored children at CBISDO'S programme Page l of12 TheTesfa Sponsorship Trust UK Annual Report & Statement of Accounts For 1 St April 2021 to 31 sl March 2022 Contents Admlnlstratlve infomiatlon Page 3 Independent Examlners Report Page 4 Trustees Report Page 5-9 Summary of Receipts and Payments Page 10 Statement of Slgnlficant varlances between FY21 and FY22 Page 11 Statement of Assets & Llabllitles Page 12 Page 2 of 12 TheTesfa Sponsorship Trust UK Administrative information Charity Number 1177205 Trustees on 31.03.2022 Benjamin Booth Simon Pa￿or Paul Wib Governing Instrument Trust Deed dated 12th December 2016 Objectlves The prevention or relief of povety in Addis Ababa. Ethiopia by providing.. grants, rtems and services lo individuals in need andlor chafities. or other organisabons working to prevenl or relieve povety. Correspondence Address 3 Bryant Way Toddinglon Dunstab Bedfordshire LU5 6EX Primary Bankers Nahvesl Bank 4 High Street North Dunslable LU6 1JU Independent Examiner Clive Beesley 32 Lippitts hill Lulon Bedfordshire LU2 7YN Page 3 of12 TheTesfa Sponsorship Trust UK Independent Examiners Report on the Accounts Report to the Trusteeslmember5 of TheTesfa Sponsorship Trust UK on the accounts for the 124rtronth periTrJ ended 31* March 2022. My work has been undertaken so that I may state to the charities trustees those matters l am required to state in my independent eXaminat￿n and for no other purpose. To the fullest extent pemiitted by law. I do not accept or assume responsibility lo anyone other than the charity and the charities trustees f(K my examinalion wot1(, for this report. or the opinions I have formed. Respectlve responsibilities of trustees and examiner The charity's trustees are responsible for the preparats'on of the accounts. The charity's trustees consider Ihat an audit is not required for this year (under section 43121 of the Chanties Act 1993 and that an independent examinabon is needed. It is my responsibility lo: . Examine the accounts under section 43121 of the Acl; Follow the procedures laid down in the general directions given by the charity comrnissioners under section 4317)Ibl of the Acl. and Stale whether particular matters have come to my attention. Basls of Independent examlners statement My exarninalion was undertaken in accordance with general direclions given by the charity cornmissioners. An examinab.on indudes a rewew of the accounting records kept by the charity and a compari50n of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounls and seeking explanations from the Iruslees concerning any such mallers. The procedures undertaken do not provide 811 the evidence that would b8 required in an audit. and consequently I do not express an audit opinion on the accounts. Independent examlners ststement I connection with my examination, no matter has come to my attentton: which gives me reasonable cause to believe that in any material respect the requirements.. to keep accounting records in accordance v￿th the Charib'es Act (section 411 to prepare acc(yJnt5 which accc*d y￿th the a¢countsng records and Comply with the accounting requirements of the Act have not been met: or understsnding of the accounts to be reathed. Clive Beesley Independent examiner Date Page 4 of12 TheTesfa Sponsorship Trust UK Trustees Report For 1st April 2021 to 31st March 2022 Introduction: These accounts detail the period 1¥ April 2021 to 31° March 2022. For tax purposes the charity is a registered chaTrty and is known as.. - The Te5fa Sponsorship Trust UK {hereafter Tesfa-). Charity Number 1177205 Purpose of the Trust: The prevention OT relief of poverty in Addis Ababa, Ethiopia by providing.. grants, items and services to individuals in need andlor ¢harits'es, or other organisalions wotking to prevenl or relieve poverty. Achievemènts in the Flnancial year: At the time of reporting. the number ol children being Sponsored through Tesfa is 164 a￿ng with 18 elderly persons. We remain hugely grateful for the contsnued commitment of our sponsors and supporters by investing in the lives of the most needy children and elderty In the communities we support in Addis Ababa, Ethiopia the support conlinued throughout the pandemic which is a leslimony to the commitment ol our supporter base and their belief In how much of a difference sponsorship can make to ihe live$ and futures of those in most need. Sponsorship funds of £30,988 and additional gifts of £9.537 weffj sent lo our 2 partners In Addis Ababa, supports.ng their wcKk as follows..: CBISDO {Community Based Integrated Suslainable Development Organisalion) - at the lime of reporting, 137 children and 17 elderly people were being sponsored by our supporters AHISDO (Addls Hiwot Integrated sustainab￿ Development OrganisatTonl - at the lime of reporting, 27 children and 1 eldedy person were being sponsored by our supporters. Please see Iheir website for more detsils and an overview of what they provlde for the community they serve h The extra monies include £￿0 for AHISDO lo purchase a new computer and £8.925 to support the elderly sponsor program at CBISDO received from a newly developed relationship wlh the Kunde Foundation la tharilable tnjst set up by a cbse fn'end of the late Founder of CBISDO and AHISDO wth very similar MIS￿on to Tesfa)- We also hugely benefited fr(￿ Ihe continued monitonng through our appointed Consullanl based in Addis Ababa wth 3 reK)orbng cycles having been completed in the financial year. This has proved invaluable in being able to better supwrt CBISDO and AHISDO during thi$ lough COVID-19 pandemic, esperyalty with the Tesfa Trustees being unable again to undertake a monitoring visit in FY22 due to the pandemic and other factors. Page 5 of12 In temis of other notable achlevements: Partner Capacity Bulldlng.. Through our consultant, were able to fijnd the delivery of vital and bmely govemance training of the AHISDO Board and Management team. 111 Vllblll,l!l = AIII%DO Gtw¢ral Assembty Bo*rd Ilembers OTienl*lioTr TraiDiDg on Cioi'ernance Role% amd Respon￿blIttle1- Il*> 2KX). 2021 Talks are underway for similar training for CBISDO'S Board and Management too as Tesfa contsnues lo took for opportunitses to capacity build our partners Pagc 6 of12 Families of the sponsored chlldren and the Elderly continue to recelve essential support of foodstuffs and sanitary materials as well as core sponsorship services A proportion of the sponsor funds have been used by both of the project areas to prowde basic foodstuffs such as Teff flour, pasta, rice and oil. It also provided fvnding for hygiene related products. such as hand sanitszer and cloth face masks. This support has made such a difference to families dunng this pandemic and will have helped reduce the spread of Covid in an area where people live dose together in often thallenging circumstances. RICE J9.•.. p*ty) Addo bfpx4rtstryta1￿1bl* 1S.¢ -4 (1591t SHOE . p4 HiwOtkntg￿1Jl r)eY. 0 121223 Page 7 of 12 Fonnal key details: Treasurer Role undertaken by the Trustee. Paul Wilson throughout the financial period Independent Examiner The 2021122 accounts were reviewed by: _ Clive Beesley of 32 Lippitts Hill. Beds. LU2 7YN Trustees There are ujffently Ihree trustees.. - Benjamin Booth Simon Paylor Paul Wilson {Chairperson) The trustees review the examined accounts each yeaf and subrnit these with the appropri818 fomis lo the Charity Commission. To date the trustees have nol daimed any p8ym6nts for their actsvities other than for either reimbursement of trip expenses whenever visiting Addis Ababa on a monitoring trip representin9 Tesfa or for stationery costs incurred in the administration of the charity. Reportlng". A 5urnmary of the unrestricted funds is presented to the periodic Trustees meeting l¢urrently monthly). Each year tt)e account is examined by 8n Independent and qualified person outside the chanty and thi5 is in tum Teported to the Trustees at the AGM. A copy of the examined account is also provided lo the tFUStees and tharity commission each year. Income The majority of income is rèc8ived by slanding order dlrectly from the indivldual or by cheque and relates to the individual's sponsorship of a child or elderfy person in the projects that Tesfa supports. In addition, one-off donations are received and treated as unrestricted funds unless the donor expressly slates the fvnds are for a specific purpose. Of the £16,611.53 cash balance al the financial year end, 'Reslricted ReseNès' ropresenled 58.10 of th8 cash. being £7,149.47 of Child and Ekjerty sponsor funds building up for the next semesler paymenl (due after 1st June 20221 and £2,509.87 of Seed Capital remaining from supporter gift. Summary of Bank Account: Current Account: . XXXX2619 This account is managed by the Treayjrer and is the general account. All payments from this account are by ￿ther bank payment, direct debit or by theque all of which require two signatures. Gift Aid applications to the Inland Revenue for income to this account is applied for annually with such funds treated as unrestricted. Authorised signatories on the account are.. Benjamin Bcrf)th, Simon Paylor and Paul Wilson. All expenditure (be that via Bank transfers or cheque payments) requires two signatures for authorisation from the three &gnatories on the account (all of whom are trustees) Page 8 of12 Conclusion: The main areas of payments will (x)ntinue to be the prowsion of funding for the sponsorship of children and eldedy people within the Kebeles where Ihe Ethiopian NGOS operate that Tesfa supports ICBISDO and AHISDO} in Addis Ababa. Ethiopia. In addition, unrestricted funds will be invested in two main areas.. lo ensure Tesfa Is fulty compliant wrth the Charity Commision for England & Wales regulations and best practices and the effective monitoring & evaluatson of the charitable partners with ￿orn Tesfa has a formal partnership currenuy CBISDO and AHISDO. This will be achieved through both the commissioning of a consullanl in Addi5 Ababa who will be reporting to Tesfa periodically {currently every 4 months) and an annual monrtoring visit by al least one Trustee of Tesfa. Tnp plans were regreliably deferred again due lo the continuing concems over both the COVID-19 pandemic and the security siluationl. 11 is the Trustees. intention tr) use the locally based Consultant to greater effect dunng this pandemic. Trustees, Responsibilities The Charilies Act 1993 requires the Iruslees lo prepare financial slalemenls for each financial year which give a true and fair view of the stale of affairs of the trust and the surplus of the trust for that period. In prepanng Ihose financial statements the trustees are required to,. Select suitable accounting policaes and apply them consistently. Make judgements and estimates Ihal are reasonablè and prudent. Prepare financial slalemenls on the going ¢oncem basis unless it is inappropriate to presume that the trust will contsnue in existence. The Iruslees are responsible for keeping proper accountsng records, which disclose wilh reasonable accuracy al any time the financial position of the trust. They are also responsible for safeguarding the assets of the trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Signed on ￿haff of the tnjslees: Paul Wilson Dale Page9of12 The Tesfa Sponsorship Trust UK Statement of Receipts and Payments st For 1°, April 2021 to 31 March 2022 R•¢wts .$43 ri) 4.950 fy) p•yv% Sp)DsN*w. no¥4*W)nsfroM Lle thur(hlJl 32,OA 00 Cthw ofts121 GltfvJdT4< irt•r** 12,016.97 f4LO.B7 ie.237 74 A12U.74 Trf•l P*rf )),9&.ts) 1537 83 Cthw ofis Jb4(Aal 63&08 24000 B•r* pym•ntf••s Trnsteeffip costs ID Y•J & I Lso oj 3.Q28 CQ T*X*IP¥yTr Cath 10.401 10 6.2(fJ 83 J6hii SJ Represertby 16hll 53 iknr•5tn(*•JR¢vThYsl4) R•Stn(t￿A￿￿%$IS} &95219 965SISrf P*t•s'. L)SpOn￿ ILAidsnov*edlrom Ll*OMwth. r4*e510 %pcrfwA)rsth h•J ydto Th￿aItI0 Te4a aThd payityrno 21,￿her ThSudesÉ%(l)04rt￿ to•¥fr Irom itroXurde6offid*iLknfdr C￿$00 PwenrstoTaess&￿1aIè * *Adis*b*a bas•dcrffjgJt•* ro forlo4a Iilthèrnthtonngwd cé (BI￿ a)d HSDO. cortr* 41Unre5trrtedrew¥¥represwisad(h*on4 hasno spe0fi￿ PL¥POSÈ *i%hèdto InCDmel the1￿44 IuTK15I5usg1 tom¥wT•sfa byp￿r￿￿50I Tesfa wheDMpproYa4 Wiaquwterly Trust* meetyylor ￿.￿o¢Wh￿l W￿re￿) S)ReAr￿t￿dF￿dSlrylw￿.$pQngy￿W￿1%r*thV￿￿n￿ ydto bErk*￿￿•￿ cé E7.L4947arwlaSe•Y Capial 8ltcl E2￿87r￿￿1nWY Page IOof12 TheTesfa Sponsorship Trust UK Statement of significant financial variances between FY21 and FY22 Receipts Sponsorship receipts have increased slightly despite a small decrease in the number of sponsors, primarily linked to the economic impact of the covid pandetnic. We continue to enjoy having so many loyal supporters who value the opportunity to invest in the lives of children and elderty through sponsorship. There were several more sponsors switching their standing orders from Life Church as they novated from paying Tesfa through Life Church, South Bedfordshire. We are forever grateful for the ongoing support from Life Church as we continued to novate the remaining sponsors to Tesfa, a process that started in late 2018. The Lrfe Church bank account was closed on the 31, March 2022 to end the novation process. Payments Operational costs reduced to £3,028 being 6°/0 of total income (FY21 was 9.70/0) - this includes £2,150 paid to the appointed Addis Ababa consultant for ongoing Monitoring & Evaluation of the NGOS with whom we partner over the full year. This consultancy has become even more critical due to Covid travel restriction meaning we have had to be adaptive with the Trustees monitoring having to be 'remote' at present. At the reporting date, Tesfa's consultant was reporting on a further monitoring visit and if this fixed fee of £900 had been included in FY22, then the Operating Cost % would have increased to 7.8 /0 but sts'll below that of FY21. Pagell of12 The Tesfa Sponsorship Trust UK Statement of Assets & Liabilities st as at 31 March 2022 The Tesfa Sponsorship Trust UK Statement of Assets and LiatrA"lits'es year ended 31st March 2022 £ 6.95119 £ 9,ffa.34 £ 15.611.$3 £ 10,401.7D £ 6.952 19 £ 9,ffa.34 £ %.61153 É 10,401.70 a#•litst•d thlahj £ 18,611.53 £ 10401.70 Page 12of12