## 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)
1
## 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|
2
## 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
3
## 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,_
4
## _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
5
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.
6
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
7
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.
8
## 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.
9
- 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:
10
- 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.
11
- 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
12
## **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|
|---|---|---|---|
13
## **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**
14
**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|
15
## **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.
16
## 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|
6. Expenditure on charitable activities
17
## 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|
|---|---|---|---|
|||||
|||
||
|||||
|||||
|||||
|||||
18
## 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|
19
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- chfF<.¢
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