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2024-12-31-accounts

Annual Report & Financial Statements 2024 Charity Number: 1184807

Trustees’ Report for the year ending 31[st] December 2024

Objectives & Activities

Internet of Production’s charitable objects are, for the public benefit, the relief of human suffering or assistance of people in need in any part of the world who are affected by war or natural disaster or catastrophe by providing aid and capacity building to identify and help meet their needs. Internet of Production is a trading name of Internet of Production UK. Our team worked remotely and were based in the UK, Denmark, USA and Mexico, and were joined by employees based in an office near London for the second half of the year.

The Internet of Production’s activities were delivered through two funded projects in 2024, each described below. Our work focused on makerspaces in particular. We envision makerspaces as being important nodes in the distributed network of local manufacturers that we are trying to support. The two projects complemented each other well: the first developed the open digital infrastructures needed for a future ‘Internet of Production’ and tested them directly with makerspaces across Africa and Europe; the second allowed us to support particular makerspaces in four African countries in more depth. Both projects were celebrated at a very special gathering of African makerspaces that we hosted in Cape Town in November. Internet of Production, its partners and its allies will use and maintain this work for years to come.

African European Makerspace Eco-systems (mAkE)

This was the critical year for Internet of Production’s deliverables in this European Horizon 2020 funded project. All deliverables were completed on time and budget, and we exceeded our targets. Our work largely finished in November 2024, and the project ended in January 2025. An end-of-project evaluation took place in early April 2025 with independent evaluators. We are delighted to report that the project received an outstanding evaluation and that our work was particularly highly regarded. The project website is at www.mAkEafricaeu.org.

The purpose of the project was to establish African-European eco-systems between ‘Digital Innovation Hubs’, which in this case were makerspaces. Our contribution was to develop some of the critical digital innovations needed – each a significant effort – which can be summarised as:

The great success of this project, the strength of the project’s team (across 9 participating organisations in the consortium) and the quality of its work not only sets a strong platform on which the Internet of Production intends to build but is already leading to new collaborations in future European and international projects.

Innovative Manufacturing in Africa

Distributed Manufacturing Ltd in Kisumu, Kenya, again contracted the Internet of Production to manage the ‘Innovative Manufacturing in Africa’ project. This second phase ran from July 2024 to February 2025. This project was instigated by the Internet of Production team and so it aligned very closely with our work on the Internet of Production Alliance and mAkE projects. We continued to invest in nine makerspaces in Kenya, Ghana and South Africa, and also provided additional support to a nascent local manufacturing network across Nigeria. The project allowed us to trial our innovations in distributed manufacturing, skills recognition, the mapping of machines and makerspace business models alongside the mAkE project. It was a highly successful and exciting project – led by a small staff team – that gathered excellent feedback, created some great work and had big impacts.

The project was funded by the UK Government’s Foreign, Commonwealth & Development Office (FCDO) through their ‘Research & Innovation Systems in Africa’ (RISA) fund managed by Chemonics in Nairobi, Kenya. The work was match-funded by the mAkE project. Donor feedback was excellent, but UK Aid cuts prevented further activity.

The purpose of this project was to invest in research and innovation eco-systems in Africa, particularly by positioning makerspaces as hubs for innovative manufacturing. This second phase focused on sustaining and furthering what we achieved last year, with an emphasis on supporting the financial sustainability of makerspaces. Amongst the many deliverables we created in a short space of time were:

The wonderful work created during this project remains active, particularly through the new ‘Africa Makerspaces’ organisation. The landmark makerspaces track at the AfriLabs annual conference will be continued into the future, and we hope to support further editions of the African Makerspace Eco-system Gathering in the years ahead.

Internet of Production Alliance

Internet of Production was able to continue its work supporting its Alliance throughout the year, despite the lack of dedicated funding after our project supported by the Alfred P. Sloan Foundation came to an end. The final report of that project is a celebration of the Alliance and its work, and is available on our website.

The Internet of Production launched its new brand, thanks to the in-kind support of strategic communications firm Prophet during 2023. The re-brand was very well received and was very quickly put to excellent use.

The team were able to attend a wide range of events throughout the year, including: the HumanitarianX conference in London; the Humanitarian Networks & Partnerships Week in Geneva; the very special FabX 10-year anniversary conference of FabLabs across the Philippines in Bohol; a Systems Science conference and the Global Digital Development Forum conference in Washington DC; the African Open Science & Hardware Conference in Accra; the global conference of FabLabs called Fab25 Mexico in Puebla; the IEEE Global Humanitarian Technology Conference in Philadelphia; the additive manufacturing trade show FormNext in Frankfurt; the VULCA Seminar of European makerspaces in Erlangen; and many online events and meetings.

A significant investment was made in fundraising during the year. Unfortunately, this was met with limited success. Our analysis is that this was partly a function of the very difficult government donor environment and massive over-subscription of any available grant funds, but also the unusual ‘eco-system’ nature of our work. We have however developed excellent concepts and bids. We intend to build on our successes in 2024, to make the most of our new identity and brand and to seek out much larger projects and longer-term funding.

Financial Review

Internet of Production UK recognised £386k of funds towards its projects (2023: £222k), of which £359k was restricted (2023: £222k). Restricted funds matched expenditure for the year, so restricted funds ended the year with a zero balance (2023: £0). However, unrestricted funds showed a small surplus of £8k in the year (2023: £0).

At the end of the year, as the Charity anticipated reducing operating costs to zero in early 2025, there is no requirement to hold reserves. As such, the trustees had not adopted a formal reserves policy during the period.

At the end of 2023, Internet of Production UK entered into a client accounting arrangement to allow it to operate bank accounts for itself, and remaining unspent funds held by other organisations were distributed back to Internet of Production UK during the year. The Charity therefore held a small cash balance at the end of the year. The Charity holds no investments.

This report and accounts are filed later than expected due to a dispute on payroll taxes payable in the UK that would have materially affected the accounts had it not been resolved. The resolution is now complete with no adverse effect on the Charity’s results.

Structure, Governance & Management

The Internet of Production UK is a Charitable Incorporated Organisation, registered with the Charity Commission for England and Wales (charity number: 1184807) on 7th August 2019. It operates under its Articles of Association of the same date, updated to reflect the Charity’s name change on 23[rd] April 2023.

The Trustees operate as a Board to manage the charity. New trustees are appointed on election by the existing trustees on confirmation that they meet the relevant requirements. The trustees delegate management decisions to a Chief Executive.

The Internet of Production UK is not affiliated with any other Internet of Production entity. The Charity remains legally independent of all other entities, and the Board have sole power to make decisions and set the Charity’s policies and priorities.

Reference & Administrative Details

Legal Name Internet of Production UK
Charity Registration Number 1184807
Registered Office c/o The Centre for Global Equality
74 Eden Street
Cambridge
CB1 1EL
Trustees Serving to date of approval Stuart Davis
Dr Lucia Corsini
Christina Rebel

Independent Examiner’s report to the Trustees of Internet of Production UK

I report to the trustees on the accounts for the year ended 31 December 2024 that are set out on the attached pages.

Respective responsibilities of the Trustee’s and the examiner

The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is my responsibility to:

Basis of Independent Examiner’s Statement

My examination was carried out in accordance with the General Directions given by the Charity Commission.

An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you, as trustees, concerning such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a “true and fair view” and the report is limited to those matters set out in the statement below.

Independent examiner’s statement

In connection with my examination no matter has come to my attention:

  1. which gives me reasonable cause to believe that in any material respect the requirements:

  2. to keep accounting records in accordance with section 130 of the 2011 Act; and

  3. to prepare accounts which accord with the accounting records and comply with the requirements of the 2011 Act and Regulations have not been met; or

  4. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Kirsam Ltd

Signed on behalf of Kirsam Ltd

Dated 26[th] April 2024

Internet of Production UK Statement of Financial Activities

For the year ending 31 December 2024

Not
es
Income
Income From Charitable Activities
3
Total Income
Expenditure
Expenditure on Charitable Activities
4, 5
Total Expenditure
Net Movement in Funds
Reconciliation of Funds:
Total Funds Brought Forward
Movement in the Year
Total Funds Carried Forward
2024
2024
2024
2023
Unrestricted
Funds
Restricted
Funds
Total Funds
Total Funds
£
£
£
£
26,147
359,402
385,549
221,998
26,147
359,402
385,549
221,998
17,708
359,402
377,110
221,998
17,708
359,402
377,110
221,998
8,439
0
8,439
0
0
0
0
0
8,439
0
8,439
0
8,439
0
8,439
0

Internet of Production UK Balance Sheet

As at 31 December 2024

Balance Sheet
As at 31 December 2024
Notes
Fixed Assets
Tangible Fixed Assets
Total Fixed Assets
Current Assets
Cash in hand and at bank
8
Debtors
9
Total Current Assets
Creditors: amounts falling due within one10, 11
Net Current Assets / Liabilities
Total assets less current liabilities
Creditors: amounts falling due after one year
Total net assets or liabilities
Funds of the Charity
Unrestricted funds
Restricted funds
Total funds
2024
Total Funds
£
0
0
2,488
67,089
69,577
61,138
8,439
8,439
0
8,439
8,439
0
8,439
2023
Total Funds
£
0
0
0
105,511
105,511
105,511
0
0
0
0
0
0
0

The Financial Statements were approved by the Board of Trustees on 30th April 2024. Signed on behalf of the Board:

Stuart Davis

Internet of Production UK Notes to the Accounts

1. Corporate Status

Internet of Production UK is a charitable incorporated organisation in England and Wales (charity number: 1184807) and domiciled in the United Kingdom. The address of the registered office is: c/o The Centre for Global Equality, 74 Eden Street. Cambridge, CB1 1EL.

Internet of Production UK is a public benefit entity. The nature of its operations and its principal activities, and how these meet the public benefit criteria, are set out in the trustees' report that accompanies these accounts.

2. Accounting Policies

2.1 Basis of Preparation

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.

The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014. The charity constitutes a public benefit entity as defined by FRS 102.

2.2 Going Concern

The Trustees have considered the ability of the charity to meet its commitments over the medium term, and have concluded that it is appropriate to prepare the charity's accounts on a going concern basis.

2.3 Fund Accounting

The charity has adopted the following definitions of funds:

2.4 Incoming Resources

All incoming resources are accounted for when the charity has entitlement, there is certainty of receipt, and the amount is measurable. Grants and donations are only included in the SoFA when the general income recognition criteria are met. Income is accrued and deferred when it is in respect of work to be carried out in other periods than when it is received.

2.5 Resources Expended

Expenditure is recognised when a liability is incurred. Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty. Contractual arrangements and performance-related grants are recognised as services are supplied.

All expenditure is stated gross of VAT as the Internet of Production is not registered for VAT, and no VAT costs are recoverable.

Expenditure related to charitable activities comprise those costs incurred by the charity in the delivery of its activities and services for its beneficiaries, and includes both costs that can be allocated directly to such activities, plus those costs of an indirect nature necessary to support them.

2.6 Liability Recognition

Liabilities are recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.

2.7 Grants with Performance Conditions

Where the charity gives a grant with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the SoFA once the recipient of the grant has provided the specified service or output.

2.8 Creditors

The charity has creditors which are measured at settlement amounts less any trade discounts.

2.9 Debtors

Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.

3. Analysis of Income

3. Analysis of Income
Charitable Activities:
Grants from Institutional Donors
Total Income from Charitable Activities
Total Income
4. Analysis of Expenditure
Charitable Activities:
Expenditure on Programmes
Total Expenditure on Charitable Activities
Total Expenditure
5. Analysis of Spend on Charitable Activities
mAkE
RISA
SMEP Phases 1 and 2
Other IoP Projects
Total Expenditure on Charitable Activities
Previous Year
6. Fees for Independent Examination
Independent examiner’s fees
Assurance services other than independent examination
Tax advisory fees
Other fees
Total
2024
Unrestricted
Funds
£
26,147
2024
Restricted
Funds
£
359,402
2024
2023
Total Funds
Total Funds
£
£
385,549
208,510
221,998
26,147 359,402 385,549
208,510
221,998
26,147 359,402 385,549
208,510
221,998
2024
Unrestricted
Funds
£
17,708
2024
Restricted
Funds
£
359,402
2024
2023
Total Funds
Total Funds
£
£
377,110
208,510
221,998
17,708 359,402 377,110
208,510
221,998
17,708 359,402 377,110
208,510
221,998
2024
Activities
undertaken
directly
£
180,859
111,685
66,858
17,708
2024
Grant
funding of
activities
£
0
0
0
0
2024
Total this
year
£
180,859
111,685
66,858
17,708
377,110
0
377,110 0
221,998 0
2024
£
0
0
0
0
2023
£
540
0
0
0
0 540
7. Staff Costs
2024
117,399
8. Cash at bank and in hand
2024
Cash at Bank
2,488
Total Cash at bank and in hand
2,488
9. Analysis of Debtors
2024
£
Trade debtors
49,699
Prepayments and accrued income
2,390
Other debtors
15,000
Total Debtors
67,089
2023
0
2023
0
0
2023
£
0
105,511
0
105,511

10. Analysis of Creditors

10. Analysis of Creditors
Trade creditors
Accruals and deferred income
Other creditors
Total Creditors
11. Movement in Deferred Income
2024
2023
2024
2023
£
£
£
£
34,538
46,294
0
0
0
59,217
0
0
26,600
0
0
0
Amounts falling due within 1
year
Amounts falling due after 1
year
61,138 105,511
0
0
11. Movement in Deferred Income
Balance at the start of the reporting period
Amounts added in current period
Amounts released to income from previous periods
Balance at the end of the reporting period
2024
2023
£
£
105,511
142,181
0
105,511
(105,511)
(142,181)
0
105,511

12. Trustee Expenses and Related Party Disclosures

No trustees claimed expenses during the period (2023: £0)

Stuart Davis is the director and beneficial owner of Stuart Davis Consulting Ltd ("SDC"), a company that provides finance and operational services to charities and Not-for-profit organisations. The SDC team prepared these accounts for no fee (2023: £1,000). SDC has also provided project-related accounting support across the year for a combined fee of £21,300 (2023: £2,025), and pro bono operational and administrative support to the Board.

13. Analysis of Charitable Funds

Current Period
Restricted Funds:
mAkE
RISA
SMEP Phases 1 and 2
Total Restricted Funds
Unrestricted Funds
Total Charitable Funds
2024
Fund
balances
brought
forward
£
0
0
0
2024



Income
£
180,859
111,685
66,858
2024
Expenditure
£
(180,859)
(111,685)
(66,858)
2024
Transfers
£
0
0
0
2024
2024
Gains and
losses
Fund
balances
carried
forward
£
£
0
0
0
0
0
0
0 359,402 (359,402) 0 0
0
0 26,147 (17,708) 0 0
8,439
0 385,549 (377,110) 0 0
8,439
Prior Period
Restricted Funds:
IOP Set-up funded by Sloan Foundation
mAkE
Distributed Manufacturing
Code for Society
SMEP Phases 1 and 2
Total Restricted Funds
Unrestricted Funds
Total Charitable Funds
2023
Fund
balances
brought
forward
£
0
0
0
0
0
2023



Income
£
114,656
14,241
45,717
5,498
41,886
2023
Expenditure
£
(114,656)
(14,241)
(45,717)
(5,498)
(41,886)
2023
Transfers
£
0
0
0
0
0
2023
2023
Gains and
losses
Fund
balances
carried
forward
£
£
0
0
0
0
0
0
0
0
0
0
0 221,998 (221,998) 0 0
0
0 0 0 0 0
0
0 221,998 (221,998) 0 0
0