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2023-12-31-accounts

Charity registration number 1185764

Company registration number 07171690 (England and Wales)

RAINFOREST ALLIANCE LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

RAINFOREST ALLIANCE LIMITED

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr J Tank Ms G Yu Ms V Foster (Appointed 24 April 2023) Charity number 1185764 Company number 07171690 Registered office Unit 2.7, The Green House 244-254 Cambridge Heath Road London E2 9DA Auditor Goldwins Limited 75 Maygrove Road West Hampstead London NW6 2EG

Trustees’ report 1 - 6
Independent auditor’s report 7 - 9
Statement of financial activities 10
Balance sheet 11
Statement of cash flows 12
Notes to the financial statements 13 - 21

The trustees present their annual report and financial statements for the year ended 31 December 2023.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with he 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)" (effective 1 January 2019).

The objectives of the Company are as follows:

Advance the education of the public in subjects relating to sustainable development including ethical standards of conduct in social and environmental responsibility in farming and land use practices, business practices, consumer behaviour and promote sustainable development for the benefit of the public.

*Sustainable development means

The Company is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 11[th] October 2019 and is a registered charity number 1185764.

general guidance on public benefit when setting the chari

.

The management of the Company is the responsibility of the Directors who are elected and co-opted under the terms of the Articles of Association. The appointment of new directors is at the discretion of the existing directors (and/or the Guarantor, the Rainforest Alliance, Inc.).

Policies for the induction and training of new directors follow those of the ultimate parent, the Rainforest Alliance, Inc.

Rainforest Alliance Limited is a company limited by guarantee, whose registered number is 0717690. It is also a registered charity, number 1185764. The Company is governed by a Memorandum and Articles of Association of 26[th] February 2010, as amended by special resolution on 2[nd] October 2019. The charity was set up by a Memorandum of Association on 11th October 2019. The Company is controlled by the Directors who are also the Trustees. The company was founded by the Rainforest Alliance, Inc., who is the immediate and ultimate parent undertaking, sole member and guarantor. The Company does not have share capital. Directors are appointed by a majority of other Directors or the Guarantor. The Directors have delegated the day to day activity of the Company to Kylie Norton, Director, Program Management, but retain responsibility for major strategic and governance decisions.

serve biodiversity and ensure sustainable livelihoods by transforming land-use practices, business practices and consumer behaviour.

The Directors have considered the risks to the company and other climate factors, and these include the threat to supply chains around the world. Our revenue from supply chains remain strong and grants for new projects have increased.

The directors are satisfied that the Rainforest Alliance continues to be strong and that we are uniquely positioned to del

The Company has made qualifying third-party indemnity provisions for the benefit of its directors which were made during the year and remain in force at the date of this report.

36 years ago, Rainforest Alliance launched a market-based sustainability model that was so practical it was radical. As we look at our world today, the hard truth is that the old sustainability models are good, but not good enough. We need to not only stop harmful practices but also accelerate those that heal, restore and regenerate the landscapes and communities on which our lives depend.

Our future depends on rainforests and tropical forests which are threatened by farming and forestry. At the same time, farm and forest communities are facing extreme poverty and losing many of their rights. These are connected crises, and to solve them, the way we do business must change.

We want markets to become the fastest and most scalable solution to the collapse of critical ecosystems. Our strategy is to accelerate the speed and scale of impact through a virtuous cycle; where more sustainable farming leads to more committed companies and consumers, leading to more investment and support for farmers, and so on.

In 2023, the Rainforest Alliance worked in 62 countries where we have sustainability projects and/or certified farmers. There are 170 countries where you can buy products with the Rainforest Alliance Certified seal. There are 14 million acres of farmland certified globally against our sustainability standards. We work with more than 7,600 companies to source certified ingredients and improve their business practices.

To increase the speed and scale of change, we aim to grow our alliance from 7.5 million to 100 million farmers and workers by 2030.

Based on third-party auditing by independent certification bodies, our assurance system ensures businesses and farms follow the requirements of Rainforest Alliance certification.

In 2023, we made this system more effective by:

iconic and threatened landscapes is central to our work at the Rainforest Alliance. To make the greatest impact, we focus on five key farming landscapes.

takes a unique and powerful approach: we centre the vision for landscape sustainability that the communities and their alliances establish. It is this vision that forms the foundation and fuel for all our work to build a more sustainable future.

Rainforest Alliance Ltd reports the UK activities of a worldwide organisation. To best understand the global activities of the entire organisation one should view the annual report of our parent non-profit organisation, Rainforest Alliance Inc. The annual report can be found at our website www.rainforest-alliance.org, and it gives details of our work. The report and accompanying accounts for RA Inc also show that our work is securely funded with a healthy balance sheet. All expenditure that is made in the UK, has been commissioned by the worldwide organisation and is fully funded and guaranteed by the parent organisation, RA Inc.

Rainforest Alliance are fortunate to have the strength of diverse income streams and a healthy reserve balance. While diversity of revenue is a key financial health and resilience factor for us, we also recognize that the uncertainty of the economy as we move through uncertain times requires us to plan for a revenue downturn.

The Directors have confirmed that the major sources of grant funding are assured and the delivery of the activities can be carried out.

Furthermore, the Directors are confident that costs will only be incurred to the extent that funding is secured. These financial statements are prepared on the going concern basis since Rainforest Alliance, Inc. have undertaken to provide written confirmation of continuing financial support to enable the Company to meet its obligations as and when they fall due

The Directors are therefore confident that the Company and its ultimate parent undertakings, the Rainforest Alliance, Inc., has adequate resources to continue operating for the foreseeable future and, for this reason, the Trustees continue to adopt the going concern basis in preparing the accounts.

Neither the Directors nor any persons connected with them have received remuneration or reimbursements for their services as trustees of the Company during the year ended 31 December 2023.

The main source of income is through the provision of financial support from the Rainforest Alliance, Inc.

Any communications to the public made in the course of carrying out fundraising activity shall be truthful and reflect our ethos and values, that our appeals will state whether funds raised are for general funds or a specific purpose, and that all money raised via fundraising activities will be for the stated purpose of the appeal and will comply with d mission and purpose.

The Company does not undertake any activity that could be classified as intrusive or persistent in its approach to individuals (vulnerable or otherwise), ensuring that it does not apply undue pressure to donors to support fundraising activities.

We have had no fundraising complaints in the last financial year. If someone wants to make a complaint about our fundraising, we will provide details of our complaints procedure to them in writing upon request.

Total income for the year ended 31 December 2023 amounted to £2,408,353 (2022 £1,902,404 ). Expenditure amounted to £2,408,353 (2022 £1,902,404 ), giving an overall surplus/(deficit) of £NIL (2022: £NIL). No restricted income was received, or restricted expenditure incurred, in the period.

The funds at year-end are £NIL (2022: £NIL).

The financial performance and position of the company is closely monitored on a regular basis to ensure that sufficient cash is available for the continued operations of the company.

Rainforest Alliance does not hold reserves because it is fully funded by Rainforest Alliance Inc. Future expenses are expected to be met by ongoing financial support by Rainforest Alliance Inc, as a result a target reserve is set out at £Nil (2022: £Nil) as it will be unnecessary and inappropriate to hold reserves as future obligations will be met as and when they fall due.

All funds received are used on a timely basis to maximise our charitable impact.

The Board and leadership team have developed and approved a strategy to take the organization forward from 2023 to 2030. This strategy is focused on accelerating the transformation of key landscapes through the work of food, agriculture and forestry sectors at speed and scale .

The Company is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 11[th] October 2019 and is a registered charity number 1185764.

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:

Mr A Morgan (Resigned 24 February 2023) Mr J Tank Ms G Yu Ms V Foster (Appointed 24 April 2023)

The trustees, who are also the directors of RAINFOREST ALLIANCE LIMITED for the purpose of company law, are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. 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.

Goldwins Limited were appointed as auditor to the company and a resolution proposing that they be re-appointed will be put at a General Meeting.

In preparing this report, the Directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

The trustees’ report was approved by the Board of Trustees.

.............................. Mr J Tank Date: .............................................

December 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102

(United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the section of our report. We are independent of the charity in accordance with the ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

In our opinion, based on the work undertaken in the course of our audit:

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion;

As explained more fully in the statement of trustees’ responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, our procedures included the following:

concernin

instances of non-compliance; owledge of any actual, suspected, or alleged fraud; -compliance with laws and

regulations.

an understanding of the legal and regulatory framework that the charity operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the charity from our professional and sector experience.

compliance with applicable laws and regulations.

nexpected relationships that may indicate

risks of material misstatement due to fraud.

journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable as a body, for our audit work, for this report, or for the opinions we have formed.

.........................

75 Maygrove Road West Hampstead London NW6 2EG

24 July 2024

ies
anuary 2023
13 to 21 form part of these financial statements.		 16,774
2,385,279
2,402,053
2,402,053
2,402,053
-
-
-		 8,76
1,893,63
1,902,40
1,902,40
1,902,40
99,564
in hand
36,441
136,005
(144,804)		 8,799
45,853
50,719
96,572
(109,814)
(8,799)
-
-
-		 13,242
(13,242)
-
-
-

The notes on pages 13 to 21 form part of these financial statements.

The financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.

The financial statements were approved by the trustees on .........................

.............................. Mr J Tank

Company registration number 0717690 (England and Wales)07171690

Cash (absorbed Cash (absorbed Cash (absorbed by)/generated from by)/generated from by)/generated from by)/generated from by)/generated from by)/generated from by)/generated from by)/generated from
operations (14,278) 19,189
- -
- -
(14,278) 19,189
Cash and cash equivalents at beginning of year 50,719 31,530
36,441 50,719
The notes on pages 13 to 21 form part of these financial statements.

RAINFOREST ALLIANCE LIMITED is a private company limited by guarantee incorporated in England and Wales. The registered office is Unit 2.7, The Green House, 244-254 Cambridge Heath Road, London, E2 9DA.

The accounts (financial statements) have been prepared in accordance with the Charities SORP (FRS102) applicable to charities preparing their accounts in accordance with FRS102 the Financial Reporting Standard applicable in the UK and Republic of Ireland, the Companies Act 2006 and the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2015. Assets and liabilities are recognised at historical cost or transactional value unless otherwise stated in the accounting policies. The company meets the definition of a public benefit entity under FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention.

The financial statements have been prepared on a going concern basis, as the trustees believe that no material uncertainties exist. External risks, such as extreme climate events, global diseases, and war in Ukraine all present serious threats to the globa mitigate the risks occurring all round the world because of climate change.

The Trustees have confirmed that the major sources of grant funding are committed and the delivery of the activities can adjust and react in order to ensure our mission continues to protect landscapes and communities from climate change and other new conditions.

Furthermore, the Trustees are confident that costs will only be incurred to the extent that funding is secured. The company continues to be funded by its ultimate parent undertaking, the Rainforest Alliance. The Directors are confident that the company and its ultimate parent undertakings, the Rainforest Alliance, has adequate resources to continue operating for the foreseeable future, defined as a 12 month period from the date of approving these accounts. For this reason, the Trustees continue to adopt the going concern basis in preparing the accounts.

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 or grantors 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.

All income is included in the Statement of Financial Activities when the company is legally entitled to the income and the amount can be quantified with reasonable accuracy and the likelihood of receipt of the income is probable.

The major income streams for Rainforest Alliance, funding the work of its worldwide mission, including Royalties and Grants, is collected and reported by RA Inc. RA UK, spends funds in UK as programmed and directed by the parent company and then is fully re-imbursed by the parent company. These re-imbursement payments constitute the majority of income received by RA UK. A smaller stream of donations is collected in the UK and is used to support the overall mission of RA in UK and worldwide. Donation income is counted on receipt.

All income is included in the Statement of Financial Activities when the company is legally entitled to the income and the amount can be quantified with reasonable accuracy and the likelihood of receipt of the income is probable.

Income comprises amounts funded during the year.

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Expenditure on charitable activities includes support costs for those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the Companys operations and activities.

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold improvements 25% SL Fixtures and fittings 20% SL

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

The company has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Financial assets held at amortised cost comprise cash and bank and in hand, together with trade and other debtors. Financial liabilities held at amortised cost comprise bank loans and overdrafts, trade and other creditors.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

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.

In the view of the trustees, no assumptions concerning the future or estimation uncertainty affecting assets and liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

Donations and gifts 16,774 8,765

----- Start of picture text -----
Grants 2,385,279 1,893,639
Unrestricted funds 2,385,279 1,893,639
Staff costs 2,089,603 1,616,152
Depreciation and impairment 4,443 4,443
Rent and rates 51,151 46,680
Computer costs 106 2,498
Sundry consumable supplies 6,076 7,913
Training 43,303 9,264
Accountancy fees 6,300 7,656
Consultancy fees 63,343 51,011
Subscriptions/membership fees 2,781 4,220
Travel & subsistence 99,895 94,415
Bank charges 1,088 1,373
Telephone, postage & advertising 4,166 1,032
Insurance 3,215 7,029
Recruitment costs - 8,640
Repairs and maintenance 14,883 12,178
2,390,353 1,874,504
Governance 11,700 27,900
2,402,053 1,902,404
Unrestricted funds 2,402,053 1,902,404
----- End of picture text -----

1
1
1
in funds is stated after charging/(crediting):
e audit of the charity’s financial statements

ed tangible fixed assets
 1,700
27,
1,700
27,
1,700
27,
9,750
23,
4,443
4,

The Trustees supervise the activities of the Foundation and ensure that the aims and objectives are being met. The principal leadership of Rainforest Alliance (RA Inc) is held by a worldwide leadership team, dedicated to the worldwide mission of the organisation. The Chief Executive Officer of RA Worldwide is Santiago Gowland. The executive staff member leading the management of activities in the United Kingdom is Kylie Norton.

During the year, the Trustees received no remuneration, benefits in kind or reimbursement of expenses (2022: none).

The average monthly number of employees during the year was:

33 29

s and salaries
l security costs
pension costs
umber of employees whose annual remuneration was more than £60,000
ollows:
band £60,001- £70.000
band £70,001- £80,000
band £80,001- £90,000
emuneration of key management personnel was as follows:
gate compensation		 1,788,296
228,547
72,760
2,089,603
4
3
1
792,650		 1,387,484
161,62
67,04
1,616,152
653,56

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

----- Start of picture text -----
At 1 January 2023 755 21,373 22,128
At 31 December 2023 755 21,373 22,128
At 1 January 2023 336 8,550 8,886
Depreciation charged in the year 168 4,275 4,443
At 31 December 2023 504 12,825 13,329
At 31 December 2023 251 8,548 8,799
At 31 December 2022 419 12,823 13,242
Other debtors 24,296 5,865
Amounts owed by group undertakings 75,268 39,988
99,564 45,853
Other taxation and social security 37,771 29,549
Trade creditors 53,330 -
Other creditors - 12,423
Accruals and deferred income 53,703 67,842
144,804 109,814
Charge to profit or loss in respect of defined contribution schemes 72,760 67,044
----- End of picture text -----

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

Operating lease commitments

At 31 December 2023 the Company had future minimum lease payments under non-cancellable operating leases as follows:

year
o and five years		 58,368
14,592
72,960		 58,368
72,960
131,328

The company is under the control of the Rainforest Alliance Inc., a company incorporated in the United States of America.

The principal objects of the Rainforest Alliance Inc. are to advance the education of the public in subjects relating to sustainable development including ethical standards of conduct in social and environmental responsibility in farming and land use practices, business practices, consumer behaviour and promote sustainable development for the benefit of the public.

Control can be exercised by the Rainforest Alliance Inc. through the power to appoint or remove the majority of trustees.

The address from which the public can obtain the consolidated accounts that include the subsidiary charity’s accounts is Rainforest Alliance, 298 Fifth Avenue, 7[th] Floor, New York, NY10001.

Rainforest Alliance Inc. granted funds of £2,350,000 (2022: £1,855,000) to Rainforest Alliance Limited to fund its operation in the UK. During the 12 months ended 31 December 2023 the Rainforest Alliance Limited spent more than expected by £35,279 (2022: £38,639).

At the year-end Rainforest Alliance Limited was owed amounts by Rainforest Alliance Inc. totalling £75,268 (2022 : £39,988).

Deficit for the year - -
Adjustments for:
Depreciation and impairment of tangible fixed assets 4,443 4,443
Movements in working capital:
(Increase) in debtors (53,711) (39,638)
Increase in creditors 34,990 54,384
(14,278) 19,189

The charity had no material debt during the year.

There are no subsequent events to disclose at reporting date.