2022-05-31-accounts

FRIENDS OF KIPKELION

A Company Limited by Guarantee

Report and Financial Statements

Year Ended 31 May 2022

Registered Charity number: 1188612

Company number: 12388504 (England and Wales)

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FRIENDS OF KIPKELION REPORT OF THE DIRECTORS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2022

CONTENTS	Page
Company information	3
Report of the Directors
Introduction	4
Legal and Administrative	4
Achievements	5
Financial Review	9
Reserves policy	9
Structure, governance and management	10
Risk management	10
Trustees' responsibilities statement	11
Statement on disclosure to Independent Examiners	12
Statement of financial activities:
Income and expenditure account	13
Balance sheet	14
Notes to the financial statements	16-19
Independent Examiner’s report to the
Trustees of Friends of Kipkelion	20

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FRIENDS OF KIPKELION

COMPANY INFORMATION

FOR THE PERIOD ENDED 31 MAY 2022

Directors

John Michael Deriaz (Chairman) Peter John Scholes Nicholas Edmund Kyrkewood Sara Elizabeth O’Neill Aedana Una Ward Geraldine Angela Baskerville Mynors

Registered Office

1 Townshend Road, Richmond, Surrey, TW9 1XH

Registered Number

12388504 (England and Wales)

Charity Registered Number 1188612

Independent Examiner

Catherine Hyams CA

Bankers Barclays Bank

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FRIENDS OF KIPKELION REPORT OF THE DIRECTORS FOR THE PERIOD ENDED 31 MAY 2022

The Directors, who also act as Trustees for the charitable activities of the company, present their report with the financial statements of the company for the year ended 31 May 2022.

Introduction

The Company was incorporated on 6 January 2020. It was registered as a charity with the Charity Commissioners for England and Wales on 18 March 2020. It was dormant until July 2020 when it took over the charitable activities of The Friends of Kipkelion Charitable Trust (“FOK Trust”), a trust established under English law which was itself a registered charity. FOK Trust transferred all its assets and liabilities to the Company under the terms of a Merger Deed dated 31 July 2020. This was accepted by the Charity Commission as a “relevant charity merger” within the meaning of Section 306 Charities Act 2011 and was entered in the Register of Charity Mergers. Since then, the Company has carried on all the charitable activities formerly carried on by FOK Trust.

The purpose of the merger was to enable the charitable activities formerly carried on by FOK Trust to be carried on by a charity which is a body corporate. This was considered desirable in terms of providing more rigorous and transparent governance and facilitating partnerships with potential funders and supporters.

The accounts of the Company are made up to 31 May annually.

Legal and administrative information

The company is constituted as a Company Limited by Guarantee and the governing document of the Company is its Memorandum and Articles of Association.

Trustees/Directors

A list of the Directors is given above on page 3. Each director served throughout the year.

Charitable Objects and Principal Activities

The charitable objects of the Company are:

The prevention or relief of poverty in the Kipkelion East and Kipkelion West sub-counties of the Republic of Kenya and in other marginalised communities in East Africa, by providing grants,

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items and services to individuals in need, and/or to charities and other organisations working to prevent or relieve poverty.

The Company provides support to the people of Kipkelion to enable them to have access to basic services including healthcare, education, sanitation and clean water. We do this through close co-operation with our implementing partners, Brighter Communities Worldwide (“BCW”), a Kenyan registered NGO based in Kipkelion. The Trustees are extremely grateful to BCW for their vision, their energy and their continuing commitment to their partnership with us.

Public Benefit

The Trustees confirm that they have had due regard to the Charity Commission's guidance on public benefit. The Trustees are committed to helping the people of Kipkelion and similar areas in the most effective way possible, ensuring that our projects are accessible to all members of the local community and that their impact is sustainable.

Achievements

Covid 19 prevention

The Covid-19 vaccines started arriving in Kenya in March 2021, thanks to donations from foreign governments. However, the challenging task of distributing the vaccines to all parts of Kenya was left to the Kenya Ministry of Health. Most people in Kipkelion live many miles from a hospital or clinic and the poor roads can make travelling to a clinic very difficult. Thanks to

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contributions from a range of donors and supporters, we were able to support the efforts of the Ministry of Health to distribute the vaccines, for example by providing PPE for the vaccinators and cool boxes to help bring vaccines to hard-to-reach areas, so that vaccinators could travel to remote villages in Kipkelion where over 20,000 people were offered the vaccine.

Community Health

Our Community Health programme continued during the year, with funding from our FCDO grant and many other donations. Much of the programme was adapted to maximise Covid-19 prevention through the distribution of soap, vaccines and PPE. The programme included the training of over 300 Community Health Volunteers and Health Workers in Covid prevention. We also facilitated a number of outreach clinics in remote areas which brought essential medical services, including children’s vaccinations and health checks, to 11,000 people.

Menstrual Hygiene

Period poverty continues to be a major issue in Kipkelion, and the economic strains caused by the pandemic have made the problem worse. Originally our menstrual health programme took place mainly in schools, but the pandemic resulted in the closure of schools in Kipkelion for many months and when they re-opened there were severe restrictions on visitors. This meant that we had to modify our approach, and our partners BCW now bring the menstrual health programme to the whole community rather than simply targeting girls attending school.

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During the year we helped our partners BCW to train 201 women and men from 21 villages in Kipkelion to act as Menstrual Health Ambassadors. These Ambassadors work in their own communities explaining to local community members the facts about menstruation and dispelling the myths. They distribute starter kits of reusable sanitary pads and show their neighbours how to supplement these by making their own reusable pads out of available materials such as old cotton tee shirts. Both adult women and girls are benefiting from this new approach, with girls now able to attend school regularly throughout the month and women able to work more productively and support their families more easily.

FGM prevention

The closure of schools and the lockdowns in Kenya during the pandemic have led to a resurgence in reported cases of FGM in the past year, as many girls have dropped out of

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education early and their parents are often keen to marry them off as soon as possible. We have received generous funding from our supporters and from trusts and foundations which has made it possible for us to continue the fight against FGM by enabling girls in Kipkelion to choose an “Alternative Rite of Passage” instead of undergoing FGM. Our activities were again modified this year to ensure that girls were protected from Covid during these activities and that all Kenyan social distancing rules were followed. The Alternative Rite of Passage courses were also moved from December to the April school holidays, as the school calendar in Kenya was disrupted by the pandemic. In March and April 2022, we were able to help protect 2,396 girls in Kipkelion who would otherwise have been at risk of FGM.

Economic Empowerment

Towards the end of the year we began to support the Economic Empowerment initiatives organised in Kipkelion by our partners BCW. These involve training groups of people in Kipkelion in basic business skills, including learning how to prepare a business plan, budgeting, record keeping and marketing. Each group that produces a satisfactory business plan by the end of the training course is presented with a donation of business equipment (eg chicken coops or a bee hive) costing about £80. We hope that this initiative, which aims to reach over 500 people in the next year, will provide a boost to business activity in Kipkelion. We are particularly keen to involve people with disabilities as participants in these courses, as they are often excluded from traditional economic activities such as subsistence farming. To date around 8% of participants in the training courses have been people with disabilities.

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Fundraising and Support

The fundraising environment continues to be challenging. The recent cuts to the UK Aid budget have led to the closure of FCDO’s Small Charities Challenge Fund, from which we have benefited for the last four years. Other institutions which have funded us in the past have also been unable to do so this year because of limitations in their resources and increasing requests for support from other charities and NGOs. Nevertheless, we were able to receive a total of £46,725 in grants from trusts and foundations during the year. These grants supported our menstrual hygiene campaign, our work towards eradicating FGM in Kipkelion and in particular our programme supporting the distribution of the Covid 19 vaccine to remote areas of Kipkelion. In addition, our Big Give Christmas Challenge campaign was among our most successful ever, raising £10,530 from our grassroots supporters to combat FGM. As the UK emerged from lockdown, many traditional fundraising activities resumed and we were delighted to receive £6,500 raised by supporters through marathon runs and other sponsored sports activities and £892 from schools in the UK which fundraised for us.

Financial Review

The Charity received donations totalling £105,692 during the year . The three biggest sources of funding were the Foreign, Commonwealth and Development Office (FCDO, formerly DFID) (£20,670), the Big Give Christmas Challenge (£10,530 including match funding and Gift Aid) and Mazars Charitable Trust (£10,125). The supporter base continues to grow, with many new donors contributing during the year.

The Charity spent £101,870 supporting projects in Kipkelion, in fulfilment of the Charity’s objects.

The Charity’s surplus funds are now held in cash and no investment income was received in the year.

The expenses of the Charity remain very low, as all Trustees serve on a voluntary basis and the Charity has a strict expenses policy which keeps costs to a minimum.

Reserves Policy

The reserves policy of the Charity is to keep the equivalent of 3-6 months expenditure in reserve. As expenditure on projects in Kipkelion is currently running at approximately £100,000 per year, the Trustees consider that the reserves held at 31 May 2022 of £33,404 are appropriate. These reserves fulfil the following purposes:

• They ensure that, in the event that the Charity had to cease operations suddenly for any reason, we would be able to continue sending money to our partners BCW during the six-month notice period specified in the MOU between BCW and the Charity.

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• They enable the Charity to maintain sufficient cash flow so that grants which have been promised by third parties but not yet received can be spent on projects without delay.

• They are in line with the published guidance of the Charity Commission.

Structure, Governance and Management

The Charity is a Company Limited by Guarantee and its memorandum and articles of association are in the standard form recommended by the Charity Commission. The Trustees of the Charity were each originally invited to join the Board of Trustees by the Chairman. The Trustees were approached by the Chairman on the basis of their personal and professional skills and knowledge, and their commitment to the objects of the Charity.

Each Trustee serves for a period of three years, which may be renewed.

The Board of Trustees meets four times a year.

The Charity has the following policies and procedures, each of which was reviewed during the year:

Code of Ethics

Child and Vulnerable Adults Safeguarding Policy

Equal Opportunities Policy

Anti-Bribery Policy

Expenses Policy

Foreign Exchange Policy

Risk Management Policy

Fraud and Whistleblowing Policy

Data Protection Policy

The Charity also maintains a Risk Register .

The Charity depends for the execution of its projects on a partner organisation, Brighter Communities Worldwide (BCW). BCW is an Irish registered charity (number CHY 16505), and operates in Kenya through a local partner organisation, also called Brighter Communities Worldwide, which is registered as an NGO in Kenya. Relations between the Charity and BCW are governed by a Memorandum of Understanding dated 3 June 2020.

Risk Management

The Trustees regularly review and mitigate the risks associated with the activities of Friends of Kipkelion. The Charity has a Risk Management Policy and maintains a Risk Register which is reviewed regularly. The principal risks that have been identified are:

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• Failure to protect trustees, volunteers and beneficiaries

• Loss of capacity in our implementing partners BCW

• Fraud losses in UK, Ireland or Kenya

• Major donors dissatisfied with progress

• Change of NGO regulations in Kenya

• Political disturbance in Kenya

• Disease outbreak in Kenya

To address and mitigate these risks, the Trustees seek to:

• Ensure that Safeguarding and Health and Safety considerations are understood by all trustees and volunteers and are kept constantly in mind.

• Ensure that the relationship with BCW is maintained and monitored through regular meetings and visits.

• Follow rigorous financial procedures to minimise the risk of fraud.

• Keep major donors updated regularly on the progress of projects in Kenya.

• Monitor the evolving regulatory framework in Kenya through BOND, BCW and other contacts in Kenya.

• Monitor the evolving political situation in Kenya.

• Adapt activities and programmes to ensure that projects in Kenya are implemented in a Covid safe manner.

Trustees’ Responsibility Statement

The Trustees (who are also Directors of Friends of Kipkelion for the purposes of company law) are responsible for preparing the Trustees’ Annual 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 charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently.

• observe the methods and principles in the Charities SORP 2015 (FRS 102)

• make judgements and estimates that are reasonable and prudent.

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements.

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• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Statement as to Disclosure to Independent Examiner

In so far as the Trustees are aware:

• there is no relevant information of which the charitable company’s Independent Examiner is unaware; and

• the Trustees have taken all steps that they ought to have taken to make themselves aware of any relevant information and to establish that the Independent Examiner is aware of that information.

This report was approved by order of the Board on 14 September 2022 and signed on its behalf by:

J M Deriaz Chairman

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FRIENDS OF KIPKELION

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)

FOR THE 12 MONTHS ENDED 31 MAY 2022

Note Income and endowments from: Donations 4 Investments Total income Expenditure on: Raising funds 5 Charitable activities 6 Other costs Total expenditure Net (expenditure) / income 7 Net movement in funds Reconciliation of funds: Total funds brought forward Total funds carried forward	Unrestricted Funds £ 26667 0 26667 210 23116 168 23494 3173 3173	Restricted Funds £ 79025 0 79025 0 78754 0 78754 271 271	Total P/E 2022 31/5/21 £ 105692 111468 0 (885) __ 105692 110583 210 84 101870 106722 168 168 ____ 102248 106794 3444 3609 ---------- 3444 3609 29960 33404

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FRIENDS OF KIPKELION BALANCE SHEET AS AT 31 MAY 2022

Note Fixed assets: Tangible assets 8 Current assets: Debtors 9 UK Government Securities Cash at bank and in hand Creditors: Amounts falling due within one year 10 Net current assets Total assets less current liabilities Net assets Funds Unrestricted funds 11 Restricted funds 11 Total funds carried forward	£ £ 1148 0 32256	Year ended 31 May 2022 Period ended 31 May 2021 £ 0 0
		0 0
		250 0 29710 29960 0 33404 29960
	33404 0 33404
		33404 29960
		33404 29960
		31080 27907 2324 2053
		33404 29960

Trustee statements required by the Companies Act 2006

In approving these financial statements, the trustees, who are directors for the purposes of company law, hereby confirm:

• that for the year stated above the company was entitled to the exemption conferred by section 477 of the Companies Act 2006;

• that no notice has been deposited at the registered office of the company pursuant to section 476 of the Companies Act 2006 requesting that an audit be conducted for the year ended 31 May 2022;

• that the company as a charity is subject to audit under the Charities Act 2011; and

• that we acknowledge our responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.

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

The financial statements were approved by the Board on 14 September 2022 and signed on its behalf by:

J M Deriaz, Director and Trustee

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FRIENDS OF KIPKELION

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MAY 2022

Net cash used in operating activities Cash flows from investment activities: Interest income Purchase of tangible fixed assets Cash used in investing activities (Decrease)/Increase in cash and cash equivalents Cash and cash equivalents at beginning of period Total cash and cash equivalents at end of period	Year Ended 31 May 2022 £ 3444 0 - 0 3444 29960 33404	Period to 31 May 2021 £
		4494
		(885) -
		3609
		3609
		26351
		29960

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FRIENDS OF KIPKELION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2022

1. Accounting policies

The principal accounting policies are set out below. The accounting policies have been adopted consistently throughout the year.

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" (FRS 102), The Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic Ireland (FRS 102) (effective 1 January 2019) (the SORP) and in accordance with the Companies Act 2006, from which there were no material departures.

The financial statements have been prepared under the historical cost convention and are prepared on a going concern basis.

Friends of Kipkelion meets the definition of a public benefit entity under FRS 102.

Going concern

The financial statements have been prepared on a going concern basis. Please refer to the Statement as to disclosure to the Independent Examiner. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure are sufficient with the level of reserves for the charity to be able to continue as a going concern.

Income and endowments

All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy.

Expenditure

Expenditure is recognised on an accrual basis as a liability is incurred. The following specific policy is applied to particular categories of expenditure:

• Expenditure on raising funds is costs incurred in attracting voluntary income including costs incurred by the Charity as part of its fundraising activities.

• Expenditure on charitable activities is costs incurred by the Charity in the course of meeting its charitable aims

Fund structure

The funds held by the Charity comprise:

• Unrestricted general funds – the ‘free’ funds held by the charity to be used in accordance with the charitable objects at the discretion of the Trustees.

• Restricted funds – funds held to be used only for restricted purposes within the objects of the charity. Restrictions arise when specified by donors and grant making bodies or when funds are raised for particular purposes.

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FRIENDS OF KIPKELION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2022

2. Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding-up is limited to a maximum £10.

3. Taxation

The company is recognised as a charity by H M Revenue 8 Customs for taxation purposes and all its income is applied for charitable purposes. As a result there is no liability to taxation on any of its income.

4. Income from donations

ncome from donations
Donations Grants from Foundations FCDO Grants	Unrestricted Funds £ 21667 5000 0 26667	Restricted Funds £ 16630 41725 20670 79025	Year ended 31 May 2022 £ 38297 46725 20670 105692	Period to 31 May 2021 £ 63847 5500 42121
				111468

5. Expenditure on raising funds

xpenditure on raising funds
Marathon entry fee Just Giving fees xpenditure on charitable activities Projects in Kipkelion		Unrestricted Funds £ 138 72 210 Unrestricted Funds £ 23116		Restricted Funds £ - - Restricted Funds £ 78754	Year ended 31 May 2022 £ 138 72 210 Year ended 31 May 2021 £ 101870 101870		Period to 31 May 2021 £ 84 84 Period to 31 May 2021 £ 106722 106722
		23116		78754		101870		106722

1. Expenditure on charitable activities

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FRIENDS OF KIPKELION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2022

7. Net Income for the year This is stated after charging: Independent Examiner’s remuneration Depreciation 8. Tangible fixed assets Cost: At 1 June 2021 Additions At 31 May 2022 Depreciation: At 1 June 2021 Provision for the year At 31 May 2022 Net book value: At 1 June 2021 At 31 May 2022 9. Debtors Prepayments and accrued income	Land & Fixtures & Buildings Fittings £ £ 0 - 0 0 0 0 0 0 Year ended 31 May 2022 £ 1148 1148	Fixtures & Fittings £	Year ended Period to 31 May 2022 31 May 2021 £ £ 0 0 0 0 0 0 2022 2021 Total £ 0 0 0 - - 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Period ended 31 May 2021 £ 250 250

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FRIENDS OF KIPKELION

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MAY 2022

10. Creditors

reditors
Trade creditors Other creditors and accruals	Year Ended 31 May 2022 £ 0 0 0	Period to 31 May 2021 £ 0 0
		0

11. Restricted and Unrestricted funds

Restricted funds Year ended 31 May 2022

Balance at 01/06/2021 £ 2053 2053	Income £ 79025 79025	Expenditure £ (78754) (78754)	Transfers £	Balance at 31/05/2022 £ 2324
				2324

Unrestricted funds Period ended 31 May 2022	01/06/2021 £ 27907 27907	Income £ 26667 26667	Expenditure £ (23494) (23494)	Transfers £	31/5/2022 £ 31080
					31080

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CHARITY COMMISSION FOR ENGLAND AND WALES Independent examiner, s report on the accounts Report to the trustees/ members of Charity Name FRIENDS OF KIPKELION On accounts for the year ended Charity no (if any) 31 MAY 2022 1188612 Set out on pages 1-19 I report to the trustees on my examination of the accounts of the above charity ("the Trust.) for the year ended 3110512022. Responslbllltles and basls of report As the charity's trustees, you are responsible for the preparatlon of the accounts in accordance with the requirements of the Charities Act 2011 ('the ACV,). I report in respect of my examinatlon of the Trusys accounts carried out under sectlon 145 of the 2011 Act and in carryln8 out my examlnation, I have followed all the applicable Dirertlons glven by the Charlty Commission under section 145(5)(b) of the Act. Independent examiner's statement I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination (other than that disclosed below '} which gives me cause to believe that in, any material respect: the accountlng records were not kept In accordance with section 130 of the Charities Act; or the accounts did not accord with the accountlng records. or 20

the accounts did not comply wlth the applicable requirements concernlng the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fairf view which is not a matter considered as part of an Independent examination. 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 accounts to be reached. * Please delete the words in the brackets if they do not apply. Slgned: Date: 81q/22 Name: Crtrk-lt Q iTrJE HYAMS Relevant professlonal quallficatlon(s) or body (If any): C'KGfk ¢icè I¥cc o-,1 F In Ik,trK)fr( d- ch￿fF<.￿¢ Ccoijn t Address: o Lfj k-on Only complete if the examiner needs lo highlight material matters of concem (see CC32, Independent examination of charlty accounts: directions and guldance for examiners). 21

Give here brlef detalls of any Items that the examlner wishes to disclose. 22