Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **The Esprit Foundation** 

(a charitable incorporated organisation) 

**REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024** 

**Companies House Number CE029070 Charity Number 1198436** 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **CONTENTS PAGE** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

|Legal and administrative details|2|
|---|---|
|Report of the trustees|3-6|
|Independent Examination report|7|
|Statement of financial activities|8|
|Balance sheet|9|
|Notes to the financial statements|10-14|



1 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **LEGAL AND ADMINISTRATIVE DETAILS** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

|**Trustees**|Stuart Malcolm Chapman|
|---|---|
||Rupinder Kaur Ashworth|
||Vincent Alfred O’Brien|
|**Registered Office**|20 Garrick Street|
||London|
||WC2E 9BT|
|**Company number:**|CE029070|
|**Charity number:**|1198436|
|**Independent Examiner:**|Siobhan Holmes ACA DChA|
||Haysmacintyre LLP|
||10 Queen Street Place|
||London|
||EC4R 1AG|
|**Solicitors**|BDB Pitmans LLP,|
||One Bartholomew Close,|
||London|
||EC1A 7BL|
|**Bankers**|HSBC Innovation Banking,|
||Alphabeta, 14-18 Finsbury Square,|
||London,|
||EC2A 1BR|



2 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **TRUSTEES’ REPORT** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

The Trustees present their annual report and financial statements of The Esprit Foundation (‘the Charity’) for the year ended 31 March 2024. The financial statements have been prepared in accordance with the accounting policies set out in note 2 to the accounts and comply with the Charity’s Charitable Incorporated Organisation (CIO) Constitution, the Charities Act 2011 and the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Report Standard applicable in the UK and Republic of Ireland (FRS102). 

## **Structure, governance and management** 

The Charity is a charitable incorporated organisation which was registered with the Charity Commission on 30 March 2022. The Charity’s governing document (i.e. its Constitution) is based on the ‘association’ model with its sole member being Molten Ventures plc with registered company number 09799594. 

The Constitution requires there to be at least three Trustees. Trustees are appointed by the member and must retire by rotation; Trustees are eligible for re-appointment and may serve no more than three consecutive terms unless the remaining Trustees unanimously recommend to the member that it would be in the Charity’s best interest for a particular Trustee to serve an additional term.  On or before their appointment as a Trustee, the Trustee will be given a copy of the Constitution and the Charity’s latest Trustees’ annual report and statement of accounts. 

The names of all those who were the Charity’s Trustees on the date the report was approved are listed on page 2. 

## **Objectives and activities** 

The objects of the Charity as stated in its Constitution are: 

_“for such charitable purposes as the Trustees think fit including but not exclusively, the advancement of education for the public benefit and especially those under the age of 30, in particular but not solely by the promotion and understanding of:_ 

- _(a) the use and application of technology and technological research; and_ 

- _(b) business and entrepreneurship.”_ 

The Charity has in place policy guidelines that outline the factors to which the Trustees should have regard when determining whether to make a grant. 

## **Achievements and performance** 

## Income 

Total income for the year was £267,653 (2023: £250,010) as a result of a donation of £261,460 (2023: £250,000) and associated interest income. 

## Grants 

During the year, the Charity awarded four separate grants of £25,000 each (total £100,000) to the organisations and charitable institutions set out below, all of which were considered by the Trustees to fall within the remit of the Charity’s objects. 

During the previous year, donations were received by the Charity, however no grants were awarded. As such there are no earlier achievements or performance metrics to be tracked or updated beyond those set out in this section of the Trustee’s report. 

3 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **TRUSTEES’ REPORT** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## The Social Mobility Foundation (July 2023) 

The Social Mobility Foundation’s ( **SMF** ) stated mission is to “unlock potential, broaden horizons and create opportunities with and for ambitious young people who face structural barriers in education & work because of where they grew up and went to school or the occupation of their parents/guardians.” 

The £25,000 grant awarded by the Charity was for usage in the development and delivery of the SMF’s Aspiring Professionals Programme targeted at Year 12 students aged 16-18 within London from a low socio-economic background, exemplified through personal access to free school meals or attending a school with a high percentage of students eligible for free school meals. Each year, the SMF provides this programme to approximately 800 young people using a tailored method of support to provide participants with the knowledge, skills, networks and confidence to help reach their potential. 

## Included VC Limited (October 2023) 

Included VC’s ( **Included** ) stated mission is to “change the face of the venture capital industry, dramatically increasing diversity and maximising fund success by transforming networks, staff, deal flow and investments globally.” 

The £25,000 grant awarded by the Charity was for usage in Included’s 5-month fully funded global fellowship programme where candidates from diverse, overlooked communities are provided with exclusive access, education and mentorship from top venture capital firms in order to support them in entering the VC ecosystem. Diversity metrics tracked by Included, incorporate ethnicity, gender, neurodiversity, socioeconomic, LGBTQIA+, disability and refugee status. 

## Foundervine CIC (October 2023) 

Foundervine’s stated mission is to “remove the social and economic barriers to innovation, so we can create a world where ambitious leaders, creators, and innovators have the tools to build the organisations of tomorrow, regardless of their background”. 

The £25,000 grant awarded by the Charity was for usage towards Foundervine’s Black Venture Growth Programme – a 16-week programme designed to help propel the growth of early stage businesses that have been founded by individuals of a black or ethnically diverse background by removing some of the traditional barriers to fundraising; increasing network capability; and providing additional workshops and targeted support and guidance for participating founders. 

## The UK Career Academy Foundation, operating under the name Career Ready (January 2024) 

Career Ready’s stated mission is to “boost social mobility by delivering a structured programme of mentoring, paid internships, masterclasses, and workplace visits for young people from under-represented backgrounds”. 

The £25,000 grant awarded by the Charity was for usage towards the Career Ready Programme which is run annually for c.40 young people aged 16-18 from low socio-economic backgrounds and living within Birmingham. The Programme includes mentoring, a paid summer internship, masterclasses, workplace visits and access to the alumni network designed to enhance the students’ communication skills, confidence and employment prospects. 

4 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **TRUSTEES’ REPORT** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **Financial review** 

During the year, the Charity raised donations of £261,460 (2023: £250,000). 

The Charity made grants of £100,000 (2023: £Nil). Funds carried forward at the year-end were £397,083 (2023: £239,210). 

The Charity maintained ample funds during the year to meet all associated costs, liabilities and grants. 

## **Reserves policy** 

Having regard to the aggregate quantum of donations received; annual level of expenses and liabilities incurred; and actual and anticipated volume of grants, the Trustees determined at a meeting held on 5 September 2023 to adopt a reserves policy during the financial year, confirming the minimum level of free reserves that the Charity will seek to maintain at all times. The level of such reserves policy was determined to be £15,000, being an amount in excess of one year’s ongoing recurring governance, support and operational costs incurred by the Charity. In arriving at this level, the Trustees had due regard for the existing controls maintained by the Charity over its volume and quantum of grants which can be approved or curtailed by the Charity at any time relative to the level of donations and any other income received and maintained, and the fact that it does not employ staff nor make payments to Trustees for their service to the Charity. 

## **Risk management** 

The Trustees have a duty to identify and review the risks to which the Charity is exposed and to ensure appropriate controls are in place to provide reasonably assurance against fraud and error. The Trustees will continue to develop appropriate methodologies to manage major risks as the operations of the Charity are developed. 

## **Going concern** 

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. 

## **Public benefit statement** 

The Trustees, having regard to the public benefit guidance published by the Charity Commission in accordance with section 17 of the Charities Act 2011, consider that the purposes and activities of the Charity satisfy the requirements of the public benefit test set out in section 4 of the same Act. The Charity carries out these objects by providing grants to individuals and organisations whose objects comply with the Charity’s criteria. 

5 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **TRUSTEES’ REPORT** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **Trustees’ responsibilities in relation to the financial statements** 

The Trustees are responsible for preparing the Trustees’ report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards. The law applicable to charities in England and Wales 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 of the charity 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 of the Charities SORP; 

- make judgements and accounting estimates that are reasonable and prudent; 

- state whether applicable accounting standards have been followed, subject to any departures disclosed and explained in the financial statements; and 

- prepare the 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 keeping accounting records which disclose with reasonable accuracy the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Constitution. 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. 

Approved by the Trustees on 29 October 2024 and signed on their behalf by: 


Stuart Chapman Trustee 

Date: 29 October 2024 

6 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF THE ESPRIT FOUNDATION** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

I report to the Trustees on my examination of the accounts of The Esprit Foundation for the year ended 31 March 2024 which are set out on pages 8 to 14. 

## **Respective responsibilities of trustees and examiner** 

The Trustees are responsible for the preparation of the accounts in accordance with the Charities SORP. The Trustees are satisfied that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and have chosen instead to have an independent examination. 

Having satisfied myself that the accounts of the charitable incorporated organisation are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Charity’s accounts as carried out under section 145 of the 2011 Act. In carrying out my examination I have followed the applicable directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. 

## **Independent examiner’s statement** 

Since the Charity’s income is in excess of £250,000, your examiner must be a member of a body listed in the 2011 Act. I can confirm that I am qualified to undertake the examination because I am a registered member of the Institute of Chartered Accountants in England and Wales which is one of the listed bodies. 

I have completed my examination. I confirm that no matters have come to my attention giving me cause to believe that in any material respect: 

1. accounting records were not kept in respect of the Charity as required by section 386 of the 2006 Act; or 

2. the accounts do not accord with those records; or 

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or 

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 

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. 


Siobhan Holmes ACA DChA Haysmacintyre LLP, 10 Queen Street Place London EC4R 1AG Date: 29 October 2024 

7 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **STATEMENT OF FINANCIAL ACTIVITIES (Incorporating income and expenditure account)** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

||**Note**|**Total**|**Total**|
|---|---|---|---|
|||**2024**|**2023**|
|||**£**|**£**|
|**Income from:**||||
|Donations and legacies|3|261,460|250,000|
|Interest||6,193|10|
|||-----------------|-----------------|
|**Total income**||267,653|250,010|
|||-----------------|-----------------|
|**Expenditure on:**||||
|Charitable activities|4|100,000|-|
|Other expenditure|5|9,780|10,800|
|||----------------|----------------|
|**Total expenditure**||109,780|10,800|
|||-----------------|-----------------|
|||109,780|10,800|
|||-----------------|-----------------|
|**Net movement in funds**||157,873|239,210|
|**Reconciliation of funds:**||==========|==========|
|**Reconciliation of funds:**||||
|**Total funds brought forward**||239,210|239,210|
|Net movement in funds||157,873|-|
|||-----------------|-----------------|
|**Total funds carried forward**||397,083|239,210|
|||==========|==========|



All of the Charity’s funds in the current year were unrestricted. 

The Statement of Financial Activities includes all gains and losses recognised in the year. 

The notes set out on pages 10 to 14 form part of these financial statements. 

8 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **BALANCE SHEET** 

## **FOR THE YEAR ENDED 31 MARCH 2024 Company number: CE029070** 

|||**2024**|**2023**|
|---|---|---|---|
||Note|**£**|**£**|
|**Current assets**||||
|Cash at bank and in hand||406,203|250,010|
|||---------------|---------------|
|**Creditors: amounts falling due**||||
|**within one year**|8|(9,120)|(10,800)|
|||---------------|---------------|
|**Total net assets**||397,083|239,210|
|||========|========|
|**Charity funds**||||
|Unrestricted funds|9|397,083|239,210|
|||---------------|---------------|
|**Total funds**||397,083|239,210|
|||========|========|



The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of the financial statements. 

The directors consider that the Charity is entitled to exemption from audit under section 477 of the Companies Act 2006 and members have not required the Charity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006. 

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. 

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime and in accordance with the provisions of FRS 102 Section 1A - small entities. 

and signed on its behalf by: 


Stuart Chapman Trustee 

The notes set out on pages 10 to 14 form an integral part of these financial statements. 

9 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **1. General information** 

The Esprit Foundation, the 'Charity' is a charitable incorporated organisation, charity number 1198436 and company number CE029070 registered in England and Wales. Its registered office is 20 Garrick Street, London, WC2E 9BT. 

The objectives of the Charity are set out in the Trustees Report, as stated on page 3 of these financial statements. 

## **2. ACCOUNTING POLICIES** 

## **2.1 Basis of preparation of financial statements** 

The financial statements have been prepared in accordance of with the Charities SORP (FRS 102) – Accounting and Reporting by Charities: Statement of Recommended Practise 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 Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. 

The Esprit Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. 

The financial statements are presented in UK Sterling. 

## **2.2 Going Concern** 

After making appropriate enquiries, the Trustees have a responsible expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. 

## **2.3 Fund Accounting** 

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for the other purposes. 

## **2.4 Income** 

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. 

## **2.5 Expenditure** 

Expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities, they have been allocated on a basis consistent with the use of resources. 

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity’s objectives, as well as any associated support costs. 

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure. 

All expenditure is inclusive of irrecoverable VAT. 

10 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024** 

## **2 Accounting policies** _(continued)_ 

## **2.6 Debtors** 

Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid. 

## **2.7 Cash at bank and in hand** 

Cash at bank and 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. 

## **2.8  Creditors and provisions** 

Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle that obligation can be measured or estimated reliably. Creditors and provisions are initially recognised at transaction value as none represent a financing transaction. They are only derecognised when they are extinguished. 

## **2.9 Critical accounting judgements or estimation** 

The Trustees do not consider there to be any significant judgements or sources of estimation uncertainty in relation to the preparation of the financial statements. 

## **2.10 Taxation** 

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes. 

## **2.11 Financial Instruments** 

The Charity only 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. 

## **3. Income from donations and legacies** 

||**Total**|**Total**|
|---|---|---|
||**Funds**|**Funds**|
||**2024**|**2023**|
||**£**|**£**|
|Donations|261,460|250,000|
||========|========|



11 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **4. Analysis of Grants** 

|**4.**|**Analysis of Grants**|||
|---|---|---|---|
||Grants have been awarded as follows:|**2024**<br>£|**2023**<br>£|
||The Social Mobility Foundation|25,000|-|
||Foundervine CIC|25,000|-|
||Included VC Limited|25,000|-|
||The UK Career Academy|25,000|-|
|||------------|------------|
||**Total 2024 Grants**|100,000|-|
|||=======|=======|
|**5.**|**Other expenditure**|||
|||**Total**|**Total**|
|||**Funds**|**Funds**|
|||**2024**|**2023**|
|||**£**|**£**|
||Independent Examiner and|||
||accountancy fees|9,780|10,800|
|||=======|=======|



## **6. Staff costs** 

During the year, there were no staff costs (2023: no staff costs). The Trustees are considered to be the key management personnel of the Charity. 

## **7.     Trustees renumeration and expenses** 

During the year, no Trustee received any remuneration, expenses or other benefits. (2023: £Nil remuneration, expenses or other benefits were paid out). 

## **8. Creditors: Amounts falling due within one year** 

||**2024**|**2023**|
|---|---|---|
||**£**|**£**|
|Trade creditors|1,560|3,600|
|Accruals|7,560|7,200|
||----------------|----------------|
||9,120|10,800|
||=========|=========|



12 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **9. Statement of Funds** 

||**Balance at**|||**Balance at**|
|---|---|---|---|---|
||**1 April**|||**31 March**|
||**2023**|**Income**|**Expenditure**|**2024**|
||**£**|**£**|**£**|**£**|
|**Unrestricted funds**|||||
|General Funds|239,210|267,653|(109,780)|397,083|
||------------------|------------------|------------------|---------------|
||239,210|267,653|(109,780)|397,083|
||==========|==========|==========|========|



|**10.**|**Analysis of net assets between funds**|||
|---|---|---|---|
|||**Total**|**Total**|
|||**Funds**|**Funds**|
|||**2024**|**2023**|
|||**£**|**£**|
||Current assets|406,203|250,010|
||Creditors due within one year|(9,120)|(10,800)|
|||---------------|---------------|
||Total|397,083|239,210|
|||========|========|
|**11.**|**Analysis of cash and cash equivalents**|||
|||**2024**|**2023**|
|||**£**|**£**|
||Cash at bank|406,203|250,010|
|||---------------|---------------|
||Total cash and cash equivalents|406,203|250,010|
|||========|========|



## **12. Reconciliation of net movement in funds to net cash flow from operating activities** 

||**2024**|**2023**|
|---|---|---|
||**£**|**£**|
|Cash at bank|406,203|250,010|
||---------------|---------------|
|Total cash and cash equivalents|406,203|250,010|
||========|========|



13 



Docusign Envelope ID: EC692823-97D8-43A7-A553-453FB51EC447 

## **THE ESPRIT FOUNDATION** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 MARCH 2024** 

## **13. Related party transactions** 

During the year, donations of £250,000 (2023: £250,000) were received from the chair of The Esprit Foundation. The chair is a Director of Molten Ventures PLC, a connected company. £11,460 (2023: £Nil) of expenses relating to Esprit Foundation were paid by Molten Ventures PLC, a connected company. This is included within donations for the year. There were no other related transactions during the financial year (2023: £Nil). 

14