## SOVEREIGN WORLD TRUST
CHARITY NUMBER 1198177 FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023
**C O N T E N T S**
||**Page**|
|---|---|
|Charity Information||
|Trustees' Report|1|
|Independent Examiner's Report|5|
|Statement of Financial Activities|6|
|Balance Sheet|7|
|Notes to the Accounts|8 – 12|
SOVEREIGN WORLD TRUST
REPORT OF THE TRUSTEES
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
|Charity Name:|Sovereign World Trust|
|---|---|
|Charity Registration Number:|1198177 (formerly 327284)|
|Trustees:|Tony Miles-Prouten|
||Paul Caneparo|
||Michael John Fawcett|
||Calvin Timothy Easton|
|Principal Address and|PO Box 777|
|Registered Office:|Tonbridge|
||Kent|
||TN11 0ZS|
|Bankers:|CAF Bank Limited|
||25 Kings Hill Avenue|
||Kings Hill|
||West Malling|
||Kent|
||ME19 4JQ|
||Barclays Bank plc|
||73-75 Calverley Road|
||Tunbridge Wells|
||Kent|
||TN1 2UZ|
|Independent Examiner:|T Lane|
||Director in M N Jenks & Co Limited|
||72 Commercial Road|
||Paddock Wood|
||Tonbridge, Kent|
||TN12 6DP|
SOVEREIGN WORLD TRUST
REPORT OF THE TRUSTEES
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
The trustees have pleasure in submitting their report and the accounts for the year ended 30 September 2023 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 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2015.
The accounts have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure has involved following 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 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
## **Objectives**
The overall objective of Sovereign World Trust is to promote the advancement of the Christian faith, primarily by providing Christian literature (mainly of a teaching nature) to any parts of the world where such books are unobtainable or unaffordable.
## _Mission_
To help build the Kingdom of God and to strengthen the Church in the developing nations of the world by supplying quality Christian literature to pastors, leaders, colleges and libraries free of charge.
## _Aims of the Trust_
The aims of the Trust are:
- To purchase new quality teaching books that would be culturally relevant to the readers.
- To identify and resource key leaders, pastors, colleges and libraries in developing nations. Many of these come through personal referral.
- To assist indigenous publishers to get 'Sovereign' books into local languages.
- To pioneer in new areas, particularly Islamic nations and regions.
- To inform UK churches of the needs of leaders in many parts of the world and to help resource missions.
- To encourage prayer.
- To work in co-operation or partnership with individuals, churches and other agencies.
In determining our projects each year, we have considered the Charity Commission's general guidance on public benefit and in particular the specific guidance on charities for the advancement of religion, together with the specific mission and aims of the Trust.
## **Governance and organisational structure**
Sovereign World Trust was first constituted by a charitable Trust deed dated 3 October 1986 which as last updated in November 1996. It was registered with the Charity Commission on 10 November 1986 (registration 327284).
On 8 March 2022 Sovereign World Trust was re-registered as CIO (1198177) and the former charity closed.
The accounts herein, being continuous with last years’ accounts therefore relate to both charities. This change has not affected the operation of the charity in any way. The Trustees remain the same.
The Board of Trustees manages the business of Sovereign World Trust according to the powers and duties as defined in the Charities Act of 1993. New members of the Board are appointed following consultation with the Chief Executive and existing Board Members.
Day to day operational decisions are taken by the staff of Sovereign World Trust.
1
SOVEREIGN WORLD TRUST
REPORT OF TRUSTEES (CONTINUED)
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
## **Review of Development and Activities**
A much fuller 16-page report with anecdotes and colour photographs for our supporter readership is available on our website. It provides detail on points made in this more formal Trustees’ report. https://www.sovereignworldtrust.org.uk/admin/userfiles/About_us_images/SWT%20Annual%20Report%202023 %20-%20low%20res.pdf
Now in its 38[th] year, the Trust continues with its mission to supply Biblical Teaching resources to church leaders, Bible and Theological colleges and libraries in the poorest parts of the world where resources are scarce and unaffordable.
The strategies employed to achieve this are:
## **Book mailings**
This has traditionally been the Trust’s main activity. It is, however, as described in last year’s report, becoming increasingly challenging. For a variety of reasons, our experience is that it is less reliable than in times past. Out approach is to send small mailings to recipients to prove successful delivery before attempting larger packages. We continue to receive good feedback by post, email and WhatsApp
Messages which are incorporated into our Facebook news updates and our annual report for supporters. We have been given a consignment of books (The Gospel centred Life by Ivan Raskino) one of our partners in India which will be the core of our forthcoming offer.
## **Preloved Book Collections**
We have received donations from retiring ministers and other people and organisations downsizing. These books complement the mailings offer and are mostly used to compile bespoke collections for college and library start-ups. Many items are reference books and can be a shared benefit to several individuals. The content is tuned to the needs of recipients by email consultation. The potential to expand this activity is considerable, with many potential donors being declined. The Trust is well stocked with useful titles but freight costs are high and so we are proceeding cautiously.
## **The Mark Project**
This is an in-house project to develop a resource based on Michael Eaton’s proven Preaching through the Bible series. Copies of the first copies are now in the hands of possible users with a view to setting up Zoom groups to embark on the first trial groups.
## **Digital Teaching letters and resources website**
Our offer of digital resources continues to expand, and feedback has been positive. Our recipients do prefer printed material and frequently say so. We are adapting much of this material so that it can be accessed using a web browser on smart phones which are very common whereas laptops and desktops are not. We have two resources sides: slices.org.uk (for Michael Eaton’s material teaching) and ibtr.org.uk for everything else including our teaching letters and other PDF versions of books. The pendulum is swinging towards this being our core activity, given both the challenges and cost of physical mailings.
## **Bulk Distribution by container**
A container consignment of 16,500 books was sent to Kampala in Uganda, arriving 1[st] June for distribution in Uganda and the surrounding nations working with trusted partners, this work continued over many months as resources are delivered by hand.
2
SOVEREIGN WORLD TRUST
## REPORT OF TRUSTEES (CONTINUED)
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
## **Publishing and Printing Projects**
We have been assigned the rights for Mission Possible’s Essentials series together with some funding to reprint locally in English and other languages.
## **Russian Translation**
A small-scale project to translate Michael Eaton’s Mark is nearing completion, much of the material is available on our Slices website.
## **Review of Financial Position**
This period saw a slight upturn in our income, and looking forward to next year we envisage a further increase with grants for specific projects and a legacy about which we have been informed. Overheads are low as we had reduced our premises costs and have a small part-time staff team supplemented by volunteers.
## Reserves Policy
The Trust aims to carry unrestricted reserves equivalent to three months' running costs less expected income from standing orders. At 30 September 2023, unrestricted cash reserves amounted to £18,892 (2022 - £21,942). The Trustees, together with the Chief Executive, continue to actively seek ways to increase revenues and to minimise costs.
Restricted funds as at 30 September 2023 amounted to £25,858 (2022 - £26,748).
## Principal Funding Sources
The Trust's main source of income is giving. Giving to the general fund during the year amounted to £34,924 (2022 - £29,156), of which £14,238 (2022 - £17,057) was pledged regular giving through the Book Club.
Restricted income consisted of donations totalling £1,290 (2022 - £1,060).
3
SOVEREIGN WORLD TRUST
## REPORT OF TRUSTEES (CONTINUED)
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
## **Statement of Trustees' Responsibilities**
Charity Law requires the Trustees to prepare, in respect of each financial year of the Charity, a statement of accounts complying with such requirements as to its form and contents as may be prescribed by regulations made by the Secretary of State.
In preparing those financial statements the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- prepare financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.
Signed on behalf of the Trustees
TONY MILES-PROUTEN TRUSTEE
Dated: 29 July 2024
4
INDEPENDENT EXAMINER'S REPORT TO
## THE TRUSTEES OF SOVEREIGN WORLD TRUST
I report on the financial statements of the Charity for the year ended 30 September 2023 set out on pages 6 to 12.
## RESPECTIVE RESPONSIBILITIES OF THE TRUSTEES AND INDEPENDENT EXAMINER
The charity's trustees are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this year (under section 144 of the Charities Act 2011 (the Charities Act)) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to audit and is eligible for independent examination, it is my responsibility to:
- examine the accounts (under section 145 of the Charities Act);
- to follow the procedures laid down in the General Directions given by the Charity Commissioners (under section 145(5)(b) of the Charities Act); and
- to state whether particular matters have come to my attention.
## BASIS OF INDEPENDENT EXAMINER'S REPORT
My examination was carried out in accordance with the General Directions given by the Charity Commissioners. 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 the seeking of explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and, consequently, I do not express an audit opinion on the view given by the accounts, and the report is limited to the matters set out in the statement below.
## 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 giving me cause to believe that in any material respect:
- the accounting records were not kept in accordance with section 130 of the Charities Act; or
- the accounts did not accord with the accounting records; or
- the accounts did not comply with the applicable requirements concerning 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 fair' 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.
29 July 2024 72 Commercial Road Paddock Wood, Tonbridge, Kent
T Lane Director in M N Jenks & Co Ltd Chartered Accountants
5
SOVEREIGN WORLD TRUST
STATEMENT OF FINANCIAL ACTIVITIES
## FOR THE YEAR ENDED 30 SEPTEMBER 2023
|Unrestricted
Restricted
Funds
Funds
£
£
Income and endowments from:
Donations and Legacies
34,924
1,290
Investments – UK interest receivable
678
-
Income from Charitable Activities – Sales of books
-
-
Activities for Generating Funds - Rent
120
-
Other Income Resources
126
-
Total Income and endowments
35,848
1,290
Expenditure on:
Raising Funds
2,473
-
Charitable Activities
34,356
2,180
Total Expenditure(Note 2)
36,829
2,180
Net Income / (Expenditure)
(981)
(890)
Transfers between funds
-
-
Net movement in funds
(981)
(890)
Balances brought forward at 1 October 2022
24,673
26,748
Balances carried forward at 30 September 2023
£ 23,692
£ 25,858
£|Total
Funds
Total
Funds
2023
2022
£
£
36,214
30,216
678
89
-
120
120
120
126
-
37,138
30,545
2,473
2,958
36,536
41,331
39,009
44,289
(1,871)
(13,744)
-
-
(1,871)
(13,744)
51,421
65,165
49,550
£ 51,421|
|---|---|
The Charity had no recognised gains or losses other than the net income or expenditure shown above for the two financial years.
The notes set out on pages 8 to 12 form an integral part of these financial statements.
6
SOVEREIGN WORLD TRUST
## BALANCE SHEET
## 30 SEPTEMBER 2023
|FIXED ASSETS
Tangible Assets
CURRENT ASSETS
Stock
Debtors
Cash at Bank and In Hand
CREDITORS:Amounts falling due within one year
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
Unrestricted Funds
Restricted Funds (page 12)
TOTAL FUNDS|Notes
5
1(i)
6
7
£
8
£||
|---|---|---|
These financial statements were approved on behalf of the Trustees and signed on their behalf by:
TONY MILES-PROUTEN TRUSTEE
Approved by the Board: 29 July 2024
The notes set out on pages 8 to 12 form an integral part of these financial statements.
7
SOVEREIGN WORLD TRUST
NOTES TO THE FINANCIAL STATEMENTS
## 30 SEPTEMBER 2023
## 1 ACCOUNTING POLICIES
## (a) Basis of Accounting
These financial statements have been prepared under the historical cost convention.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The Charity constitutes a public benefit entity as defined by FRS102.
## (b) Income Recognition
Voluntary income is received by way of donations and is included in full in the Statement of Financial Activities as soon as the Charity is entitled to receipt and the amount can be measured with reasonable certainty. Legacies are included as soon as the Charity has entitlement and receipt is probable. Tax recoverable on covenants and gift aid income received has been included as a debtor (Note 4).
No incoming resources have been deferred.
Investment income is recognised on an accruals basis.
## (c) Value Added Tax
The Charity is not registered for VAT purposes and all costs are inclusive of VAT.
## (d) Resources Expended
Expenditure is included when incurred. The irrecoverable element of VAT is included within the item of expense to which it relates. Fund-raising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. Charitable activities costs comprise those costs incurred directly on the objects of the company and also those costs of an indirect nature necessary to support them. Governance costs are those incurred in connection with administration of the Charity and compliance with constitutional and statutory requirements.
Pension costs are charged to the statement of financial activities for the year in which they are payable.
## (e) Gifts in Kind
Books have been donated by publishers and authors at nil cost. The cost of these books has been estimated at £Nil (2022 - £100) and included in donations.
## (f) Tangible Fixed Assets and Depreciation
Assets costing more than £250 are capitalised. Depreciation on tangible fixed assets is calculated to write off the cost less estimated residual values at the following rates: Office Equipment - 25% on straight line basis Furniture & Fittings - 15% on straight line basis
## (g) Allocation of Costs
All costs are allocated between the expenditure categories of the Statement of Financial Activities on a basis
8
SOVEREIGN WORLD TRUST
## NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
## 30 SEPTEMBER 2023
## 1 ACCOUNTING POLICIES (Continued)
designed to reflect the use of the resource.
## (h) Funds Accounting
Funds held by the Charity are either:
- _Unrestricted general funds_ - these are funds, which can be used in accordance with the charitable objects at the discretion of the Trustees.
- _Designated funds_ - these are funds set aside by the Trustees out of unrestricted general funds for specific future purposes or projects.
- _Restricted funds_ - these are funds that can only be used for particular restricted purposes within the objects of the Charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## (i) Stock
Stock is valued at the lower of cost and net realisable value.
## (j) Allocation of Costs
Those costs which cannot be allocated directly to a functional classification have been apportioned on a usage basis. These include (i) staff costs which have been apportioned between ministry, support development and governance costs and (ii) office costs are apportioned equally between ministry, support development and governance.
9
SOVEREIGN WORLD TRUST
## NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
## 30 SEPTEMBER 2023
## 2 TOTAL RESOURCES EXPENDED
|
Costs directly allocated:
Books (inc. Carriage and Packing)
Salaries
Premises Costs
Office Costs
Other Costs
Web-based Projects
Foreign Editions
Independent Examiner's Fees
Depreciation/Loss on Disposal|
Support
Costs
£
-
6,480
897
1,006
847
-
-
-
-
£ 9,230|Charitable Activities
Ministry
Expenses
Governance
Fund-raising
Costs
2023
Total
2022
Total
£
£
£
£
£
6,676
-
-
6,676
4,680
11,438
1,440
1,440
20,798
23,514
4,187
598
299
5,981
8,712
856
163
734
2,759
4,237
175
259
-
1,281
1,746
-
-
-
-
340
396
-
-
396
-
-
558
-
558
500
560
-
-
560
560
£ 24,288
£ 3,018
£ 2,473
£ 39,009
£ 44,289|Charitable Activities
Ministry
Expenses
Governance
Fund-raising
Costs
2023
Total
2022
Total
£
£
£
£
£
6,676
-
-
6,676
4,680
11,438
1,440
1,440
20,798
23,514
4,187
598
299
5,981
8,712
856
163
734
2,759
4,237
175
259
-
1,281
1,746
-
-
-
-
340
396
-
-
396
-
-
558
-
558
500
560
-
-
560
560
£ 24,288
£ 3,018
£ 2,473
£ 39,009
£ 44,289|
|---|---|---|---|
|||Ministry
Expenses
£
6,676
11,438
4,187
856
175
-
396
-
560
£ 24,288||
|||||
Fund-raising costs are incurred in connection with direct mailing of the Trust's supporters.
|3|STAFF COSTS
Staff Costs are as follows:
Wages and Salaries
Social Security Costs
Employers Pension Costs|Total 2023
£
20,319
-
479
£ 20,798|Total 2022
£
22,830
-
684
£ 23,514|
|---|---|---|---|
|||£|£|
The Trust had 4 part-time employees during the year to 30 September 2023 (2022 – 4), one of whom was involved in ministry, while the other three employees were involved in general support and governance. The full-time equivalent was 1.0 (2022 – 1.0).
There were no employees with emoluments above £60,000 p.a. (2022 - £60,000).
## Trustee Expenses:
No expense payments were made to Trustees during the year and no remuneration was paid to Trustees during the year.
10
SOVEREIGN WORLD TRUST
## NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
## 30 SEPTEMBER 2023
|4
5
6
7|OUTGOING)/INCOMING RESOURCES FOR THE YEAR
Net Outgoing/Incoming Resources for the year is stated after charging:-
Depreciation on Tangible Fixed Assets
Loss on Disposal of Tangible Fixed Assets
Independent Examiner's Fees
TANGIBLE FIXED ASSETS– For Charity Use
Total
£
Cost:
At 1 October 2022
10,168
Additions
-
Disposals
-
At 30 September 2023
10,168
Depreciation:
At 1 October 2022
8,487
Charge for Year
560
Released by Disposals
-
At 30 September 2023
9,047
BOOK VALUE:
At 30 September 2023
£ 1,121
At 30 September 2022
£ 1,681
All tangible fixed assets are used in direct furtherance of the Trust's objects.
DEBTORS
Income Tax Recoverable
Prepayments
Other Debtors
CREDITORS:Amounts falling due within one year
Accruals
Other Creditors|OUTGOING)/INCOMING RESOURCES FOR THE YEAR
Net Outgoing/Incoming Resources for the year is stated after charging:-
Depreciation on Tangible Fixed Assets
Loss on Disposal of Tangible Fixed Assets
Independent Examiner's Fees
TANGIBLE FIXED ASSETS– For Charity Use
Total
£
Cost:
At 1 October 2022
10,168
Additions
-
Disposals
-
At 30 September 2023
10,168
Depreciation:
At 1 October 2022
8,487
Charge for Year
560
Released by Disposals
-
At 30 September 2023
9,047
BOOK VALUE:
At 30 September 2023
£ 1,121
At 30 September 2022
£ 1,681
All tangible fixed assets are used in direct furtherance of the Trust's objects.
DEBTORS
Income Tax Recoverable
Prepayments
Other Debtors
CREDITORS:Amounts falling due within one year
Accruals
Other Creditors|2023
£
560
-
560
Office
Equipment
£
7,300
-
-|2022
£
-
-
500
Furniture
& Fittings
£
2,868
-
-|2022
£
-
-
500
Furniture
& Fittings
£
2,868
-
-|
|---|---|---|---|---|---|
|||||&||
|||||||
||||7,300||2,868|
||||5,619
560
-||2,868
-
-|
||||6,179|||
||||£ 1,121|||
|||£ 1,681|£ 1,681|||
||||2023
£
3,794
335
-
£ 4,129
1,292
259
£ 1,551
|||
11
SOVEREIGN WORLD TRUST
## NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
## 30 SEPTEMBER 2023
|8|RESTRICTED FUNDS
Legacy Fund
Golden Stable
Michael Eaton
'Go Global' Project
Teelgu Translation
Azeri
Nm Journey Through the Bible
Sudan Libraries
Other Libraries
Tanzania Fund
Acorn Seed Ministries
Michael Eaton Branch
Commentary Fund|Balance at
1.10.2022
£
4,694
13,573
4,499
336
100
225
37
26
71
687
2,500
-|Incoming
Resources
£
-
-
-
1,290
-
-
-
-
-
-
-
-|
Expenditure
£
(584)
-
-
(1,200)
-
-
-
-
-
-
(396)
-|Transfers
£
-
-
-
-
-
-
-
-
-
-
-
-|Balance at
30.9.2023
£
4,110
13,573
4,499
426
100
225
37
26
71
687
2,104
-|
|---|---|---|---|---|---|---|
|||£ 26,748|£ 1,290|£ (2,180)|£ -|£ 25,858|
|Unrestricted
Restricted
Funds
Funds
£
£
Fund Balances at 30 September 2023 are
represented by:
Tangible Fixed Assets
1,123
-
Current Assets
24,120
25,858
Current Liabilities
(1,551)
-
£ 23,692
£ 25,858
£|Total
Funds
£
1,123
49,978
(1,551)
49,550|
|---|---|
12