DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 **Charity Registration No. 1181619** **Company Registration No. 10462003 (England and Wales)** ## **THE ALTRO FOUNDATION LIMITED** **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **LEGAL AND ADMINISTRATIVE INFORMATION** ## **Trustees** Ms S M De Los Rios Mr R J Kahn Dr G D Shannon Ms A Kydd **Charity number** 1181619 **Company number** 10462003 **Registered office** Works Road Letchworth Garden City Hertfordshire United Kingdom SG6 1NW ## **Independent examiner** Azets Audit Services Gladstone House 77-79 High Street Egham Surrey United Kingdom TW20 9HY DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 3| |Independent examiner's report|4| |Statement of financial activities|5| |Balance sheet|6| |Notes to the financial statements|7 - 11| DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ The trustees present their report and financial statements of The Altro Foundation Limited ("the Foundation") for the year ended 31 December 2020. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Foundation's governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2019). ## **Objectives and activities** The Foundation's objects are 1. to promote the physical and mental health and the saving of lives, including the prevention or relief of sickness, disease or human suffering, as well as the advancement of health, and the improvement of public medical facilities within developing countries; and 2. to relieve sickness and to preserve the health of people by providing or assisting in the provision of equipment, items, facilities and support services not normally provided by the statutory authorities or ancillary to those provided by doctors; and 3. to relieve sickness and ease the suffering or assist the recovery of people who are sick, convalescent, disabled or infirm, by improving and refurbishing medical facilities in developing countries; and 4. to assist in the treatment and care of people suffering from mental and physical illness of any description or in need of rehabilitation as a result of such illness, by the provision of medical facilities for work and recreation; and 5. to promote and protect the physical and mental health of sufferers of various medical conditions in developing countries through the provision of financial assistance, support, medical education and practical advice; and 6. to support other registered charities through the provisions of grants, donations, goods and services. There has been no change in these during the year. The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Foundation should undertake. ## **Achievements and performance** In 2020 the Foundation made good progress against its charitable objectives, with COVID-19 having a minimal impact on both its operations and ability to make grants. New grants were made to fund the provision and operation of a mobile clinic and wellness centre in Kenya. The Foundation also continued to fund targeted access to essential medicines for remote communities in Peru. In allowing it to continue to do so, the Foundation generated £174k of donation income (2019: £124k). ## **Financial review** The statement of financial activities is set out on page 5. At 31 December 2020, the Foundation had cash of £340k (2019: £411k) and unrestricted reserves of £292k (2019: £226k). The Foundation continues to look to make progress in furthering its objectives both through new and ongoing projects. As part of this it intends to undertake further expenditure on projects to provide access to health services to underserved populations in Kenya. It is the policy of the Foundation that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Foundation’s current activities while consideration is given to ways in which additional funds may be raised. As at 31 December 2020, the foundation had free reserves of £292k (2019: £226k), which exceeds the target set by the trustees. - 1 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ The trustees have assessed the major risks to which the Foundation is exposed (as set out below) together with the mitigating actions and systems, and are satisfied that these are appropriate. |**Major risks and impacts**|**Mitigating actions and responses**|

| |---|---|---| |**Financial insolvency**
**Inadequate funding to cover committed**
**expenditure.**
**Asset donation goes to waste**
**Insufficient understanding of community needs**
**Health and safety travel risk**
**Breakdown of partnership**
**Political unrest**
**Natural disaster**
**Local stakeholder unrest**
**Vandalism**|Monitoring cash balances with an appropriate level
of reserves on hand.
Efficient cost monitoring, management and
budgeting.
Robust project evaluation and selection, project
management, manage expectations, MoU
(Memorandum of Understanding).
In-depth research, better engagement with locals.
Good travel insurance required, travel guidance and
planning in place, local assistance, risk assessment
carried out before each trip, foreign office
announcements monitored, send more experienced
travellers.
Robust selection of partners, MoU.
To have a clear exit plan, insurance for people on the
ground.
To have a clear exit plan, insurance for people on the
ground.
To have a clear exit plan, insurance for people on the
ground, risk assessment, local permissions.
Robust partner selection, MoU.|| ## **Structure, governance and management** The Foundation is a company limited by guarantee and is a registered charity. It is governed by the trustees. They set the Foundation’s long-term strategy and approve its spending plans. They monitor its progress against objectives, and ensure that the principal risks and uncertainties to the Foundation are identified and appropriate controls are in place. They are also responsible for the day to day running of the Foundation. - 2 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **Structure, governance and management (continued)** The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: Ms S M De Los Rios Mr R J Kahn Dr G D Shannon Ms A Kydd The management of the Foundation is the responsibility of the trustees who are elected and co-opted under the terms of the Articles of Association. Potential trustees are identified by various methods. No person or external body other than the trustees is entitled to appoint trustees. None of the trustees has any beneficial interest in the company. The members of the company guarantee to contribute £1 in the event of a winding up. ## **Political donations and expenditure** There were no political contributions (2019: nil). ## **Public benefit statement** The trustees confirm that they have had regard to the Charity Commission’s guidance on public benefit in reporting on the Charity’s objectives and achievements on pages 1-2. In preparing this report, the trustees have taken advantage of the small companies exemptions provided by section 415a of the Companies Act 2006. Preparing the accounts for a small company does not require the preparation of a Strategic Report, although much of the typical content is included within the Trustees' report. The Trustees report was approved by the Board of Trustees. .............................. **Mr R J Kahn** Trustee 23 July 2021 | 11:25:09 AM BST Dated: ......................... - 3 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF THE ALTRO FOUNDATION LIMITED** I report to the trustees on my examination of the financial statements of The Altro Foundation Limited (the Foundation) for the year ended 31 December 2020. ## **Responsibilities and basis of report** As the trustees of the Foundation (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 Foundation are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Foundation’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. ## **Independent examiner's statement** 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 Foundation 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 396 of the 2006 Act 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; or - 4 the financial statements have not 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. Paul Creasey FCA Azets Audit Services Gladstone House 77-79 High Street Egham Surrey TW20 9HY United Kingdom Dated: .........................23 July 2021 - 4 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** ## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ |||**Unrestricted**|Unrestricted| |---|---|---|---| |||**funds**|funds| |||**2020**|2019| ||**Notes**|**£**|**£**| |**Income from:**|||| |Donations and legacies|**3**|174,147|123,523| |**Expenditure on:**|||| |Charitable activities|**4**|107,515|94,155| |||66,632|29,368| |**Net income for the year and net movement in funds**||66,632|29,368| |Fund balances at 1 January 2020||225,723|196,355| |**Fund balances at 31 December 2020**||292,355|225,723| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. - 5 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **BALANCE SHEET** ## _**AS AT 31 DECEMBER 2020**_ |**Notes**
**Current assets**
Debtors
**9**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**10**
Net current assets
**Income funds**
Unrestricted funds|**2020**
**£**
257
340,173
340,430
(48,075)|2019
**£**
£
-
410,630
410,630
(184,907)
292,355
292,355
292,355|£
225,723| |---|---|---|---| ||||225,723| ||||225,723| The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 December 2020. The directors acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company. The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. 23 July 2021 | 11:25:09 AM BST The financial statements were approved by the Trustees on ......................... .............................. Mr R J Kahn **Trustee** ## **Company Registration No. 10462003** - 6 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **1 Accounting policies** ## **Charity information** The Altro Foundation Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is Works Road, Letchworth Garden City, Hertfordshire, SG6 1NW, United Kingdom. ## **1.1 Accounting convention** The financial statements have been prepared in accordance with the Foundation's governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2019). The Foundation is a Public Benefit Entity as defined by FRS 102. The Foundation has taken advantage of the provisions in the SORP not to prepare a Statement of Cash Flows. The financial statements are prepared in sterling, which is the functional currency of the Foundation. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the trustees have a reasonable expectation that the Foundation has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Foundation. ## **1.4 Income** Income is recognised when the Foundation is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the Foundation has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. ## **1.5 Expenditure** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Foundation to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses including support and governance costs are allocated or apportioned to applicable expenditure headings. - 7 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **1 Accounting policies** ## **(Continued)** ## **1.6 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## **1.7 Financial instruments** The Foundation has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the Foundation's balance sheet when the Foundation becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the Foundation’s contractual obligations expire or are discharged or cancelled. ## **2 Critical accounting estimates and judgements** In the application of the Foundation’s accounting policies, the 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 accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. - 8 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **3 Donations and legacies** ||**Unrestricted**|Unrestricted| |---|---|---| ||**funds**|funds| ||**2020**|2019| ||**£**|£| |Donations and gifts|174,147|123,523| ## **4 Charitable activities** |**Charitable**
**expenditure**
Charitable
expenditure
**2020**
2019
**£**
£
Wellbeing and health projects
6,120
26,127
Grant funding of activities (see note 5)
92,488
52,000
Share of support costs (see note 6)
8,907
16,028
107,515
94,155|**Charitable**
**expenditure**
Charitable
expenditure
**2020**
2019
**£**
£
Wellbeing and health projects
6,120
26,127
Grant funding of activities (see note 5)
92,488
52,000
Share of support costs (see note 6)
8,907
16,028
107,515
94,155|**Charitable**
**expenditure**
Charitable
expenditure
**2020**
2019
**£**
£
Wellbeing and health projects
6,120
26,127
Grant funding of activities (see note 5)
92,488
52,000
Share of support costs (see note 6)
8,907
16,028
107,515
94,155| |---|---|---| ||**2020**
**£**
6,120
92,488
8,907
107,515|2019
£
26,127
52,000
16,028| |||94,155| ## **5 Grants payable** ## Charitable expenditure During the year, a grant of £49,980 was awarded to the Psychiatric Disability Organization, for the provision of mental health services to undeserved populations through a mobile clinic in Nakuru County, Kenya. During the year, a grant of £50,000 was awarded to MAMA CBO, for the design, build and sustaining of the MAMA Wellness Centre. An amount for £7,492 was over accrued for a grant in prior years which has not subsequently been settled, this has been reversed as at 31 December 2020. - 9 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **6 Support costs** |Administration expenses
Independent examiners'
fees
Legal and professional
Analysed between
Charitable activities|**Support**
**costs**
**Governance**
**costs**
**£**
**£**
1,861
-
3,680
-
3,366
-
8,907
-
8,907
-|**2020**
**£**
1,861
3,680
3,366
8,907
8,907|Support
costs
Governance
costs
£
£
279
-
3,870
-
11,879
-
16,028
-
16,028
-|2019
£
279
3,870
11,879| |---|---|---|---|---| |||||16,028| |||||16,028| ## **7 Trustees** None of the trustees (or any persons connected with them) received any remuneration, benefits or reimbursement of expenses from the Foundation during the year. ## **8 Employees** There were no employees during the year. |**9**
**Debtors**
**Amounts falling due within one year:**
Prepayments and accrued income
**10**
**Creditors: amounts falling due within one year**
Other creditors
Accruals and deferred income|**2020**
**£**
257
**2020**
**£**
44,245
3,830
48,075|2019
**£**
-| |---|---|---| |||2019
£
180,167
4,740| |||184,907| Included in other creditors are grant instalments totalling £44,245 (2019: £15,795). - 10 - DocuSign Envelope ID: 65FE94BF-08A9-4F46-8EB1-C2979FDA3E18 ## **THE ALTRO FOUNDATION LIMITED** **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_ ## **11 Related party transactions** Mr R J Kahn is a director of Altro Limited which made donations to the Foundation of £174,147 (2019: £123,523) and incurred costs on its behalf of £nil (2019: £27,707). The amount due to Altro Limited at the year-end was £nil (2019 £164,372). - 11 -