UNDER ONE SKY (CIO) REGISTERED CHARITY NUMBER: 1198901
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 10 MAY 2023
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Contents of the Report and Accounts
| Page | |
|---|---|
| Legal and Administrative Information | 3 |
| Trustees’ Report | 4-11 |
| Independent Examiners Report | 12-13 |
| Statement of Financial Activities | 14 |
| Balance Sheet | 15 |
| Notes to the Accounts | 15 |
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Reference and administrative details for the year ended 10 May 2023
Charity name: Under One Sky CIO Company registration number: CE028773 Charity registration number: 1190570 Registered office and principal 71-75 Shelton Street address: London WC2H9JQ Directors/Trustees Julia Lalla-Maharajh OBE (Chair) Sara Carnegie (Safeguarding Lead) Amrit Signh Maan OBE (Treasurer)
Secretary and Principal Staff Mikkel Juel Iversen
(Lead Advisor)
Independent Examiner Guy Ryckaert 18 Woodcote Green Road Epsom KT18 7DH
Bankers
Barclays Bank 1 Churchill Place London E15 5HP
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Directors/Trustees’ Report
The Trustees are pleased to present their report and the independently examined financial statements of Under One Sky CIO for the year ended 10 May 2023.
1. Objectives and activities
When planning the activities for the year the trustees have considered the Commission’s guidance on public benefit.
1.1. Summary of the purposes of the charity
Under One Sky’s mission is to relieve the needs of persons who are in need due to being homeless or having recently been homeless, in particular but not exclusively by:
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a) Providing such persons with food, care, accommodation or other assistance.
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b) Educating such persons to develop their capacities so that they may find employment and otherwise integrate into society.
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c) To inform and educate the public on issues concerning homelessness.
1.2. Summary of the main activities in relation to those purposes for the public benefit
The charity organises its activities along 3 pillars.
1) Shifting public opinion: Our focus is on evolving the homelessness narrative to focus more on the causes of homelessness, the human cost of homelessness and ways for society to make a positive impact. Our channels to achieve this includes education of others, including volunteers/corporate partners, public speaking events and reporting on social media.
2) Building community: The charity facilitates this by empowering communities to take action. In addition to the hundreds of volunteers involved in the charity, Under One Sky also actively engages companies, educational institutions and adjacent sector organisations in our work.
3) Changing lives: Our engagement on the street is constant and personal. Through our friendship approach with those we support, they develop a sense of both safety and connection. These are critical for individuals to empower themselves to take positive steps related to their life’s purpose.
Under One Sky’s core activity is street outreach where its teams of volunteers provide human connection, food, drinks, clothing, toiletries, mobile phones and other life necessities. The charity also
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sponsors additional services where there is a specific need such as wheelchairs, glasses, transportation for people to end their homelessness by reconnecting with family and friends.
In cases where Under One Sky’s teams come across individuals who are considered very vulnerable e.g. age related (young people/elderly) and health related (awaiting surgery, discharged prematurely, pregnancies) the charity provides emergency accommodation until a suitable next step has been arranged.
In the last year the charity operated in 6 areas of London plus Brighton and Durham. It delivered close to 600 outreach events. Each event involves a team of 5 people providing support in a specific geographical area. As a result the charity delivered 3,000 volunteer engagements on the front line (600 outreach events x 5 volunteers per event team).
2. Achievements and performance
In the past year the charity has delivered approximately 30,000 connections with people affected by homelessness. Each connection consists of both a moment of personal connection between the person being offered support and the Under One Sky team and an offer of life essential supplies. Our teams usually counts 5 people which means each connection delivers 5 human interactions between team members and the person being supported. Therefore 30,000 connections equate to 150,000 human interactions.
The charity delivered approximately 600 outreach events. The average number of people supported per event is 50 persons (30,000 interactions divided by 600 events).
In the year of reporting our teams provided 600,000 essential items of supplies (food, drink, clothing, toiletries and other essentials) to vulnerable people on the streets.
A hallmark of our service is reliability. The charity operates a weekly fixed rota of outreach events and cancellations are a rarity. Everyone involved in our work understands that consistency and compassion build trusting relationships with people who have lived lives full of broken promises.
For similar reasons Under One Sky increases its service levels during periods where other homeless sector services tend to reduce levels such as the Christmas period, the summer holiday period and specific to this year, the King’s Coronation.
In the past year the charity expanded its reach by establishing two new areas: Hackney in London and Durham in collaboration with Durham University.
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Educating the coming generations is a key priority for Under One Sky. Across the last year we have actively engaged pupils from Alleyn’s School, Redcliffe Garden’s School and Surbiton High in our activities. Equally we have engaged a significant number of corporations and involved their employees directly on the front line.
The charity’s approach to solving problems is pragmatic and immediate. As a result Under One Sky was able to prevent 12 people from homelessness in the moment they had arrived on the street in Oct 2022.
The key strength of Under One Sky’s work lies in the thousands of conversations with people affected by homelessness. Through those the Under One Sky teams develop a sense of safety and connection for those individuals. They also help uncover further ways Under One Sky can assist (or should assist where safeguarding is an issue) those individuals. This involves providing emergency shelter, connecting to prospective employers and facilitating reconnection with family/friends by sponsoring transportation both in the UK and abroad. Under One Sky’s deep international volunteer base enables us to communicate with most people on the streets in their local language where beneficial.
In terms of the benefits to our volunteers, whether they are individuals, corporate organisations or other charity partners, these are manifold. We check in with the well-being of volunteers before and after every outreach event and we know from this that each volunteer often reports positivity and connection following their interactions. We also hold regular feedback sessions with our volunteer team leaders so that we are learning and adjusting continuously. All of our volunteers are connected on WhatsApp groups which provide everyone with a sense of purpose and community. Corporate feedback is also powerful, showing that different organisations want to find a way to address homelessness and be part of solutions, but have rarely found of a way to interact. Similarly, our fellow charity partners find us accessible, innovative and reliable.
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3. Financial review
3.1. Review of the charity’s financial position at the end of the period
Per our accounts, total income for the year was £112,972 which was made up of £103,922 in unrestricted donations/grants, £5,750 in restricted grants and £3,300 in revenue from event sales. The main source of income was private donations (63% of total income).
Total costs amounted to £138,246. Direct costs related to the charity’s core activity of outreach support amounted to £68,791 (excluding cost for operations staff). The main direct cost category relates to purchasing of supplies (mainly food and clothing items) for our outreach events.
At the start of the year (11 May 2022) the charity had a cash balance of £54,608 and closed the year with a finishing cash balance of £29,335 (of which £28,585 was unrestricted).
The net result for the year was a deficit of -£25,273 but given the cash balance at the start of the year, the trustees were satisfied by this. Given this is the charity’s first full year of operation, the trustees believe the future outlook for fundraising is promising, given we will now have 12 months of charity accounts, making us more eligible for grant income.
Short-term liabilities (due within 12 months) amount to £37,932.
As the charity reports its accounts using cash basis the figures above do not include any in-kind donations. The estimated value of in-kind donations was £87,720. The three main sources of in-kind donations were; £27,300 (clothing), £25,000 (brand & website development) and £19,800 (storage space). Given total financial income amounted to £112,972 per above, it is clear that in-kind donations play a significant role in the charity’s current operating model.
3.2. Reserves policy
Under One Sky has a reserves policy which has outlined two levels for funds: ideal reserves (£15,500) and crucial reserves (£4,500). Crucial reserves equate to one month of operation at a reduced level of service.
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3.3. Principal risks facing the charity
Given this is Under One Sky’s first year of operating as a charity the key challenge for the charity is establishing a sizable, reliable and diversified income stream to uphold and grow its current service levels in the face of the growing issue of homelessness in London which has been exacerbated by the cost of living crisis. Official statistics show that homelessness in the capital grew by approximately 20% in the previous year. Under One Sky’s internal service figures align with the official statistics. In addition to the increase in service demand, costs are also increasing due to the high rate of inflation.
The charity operates with low fixed costs partly due to the fact it doesn’t occupy office space. As a result Under One Sky is well positioned to react and absorb adverse financial impacts from the current uncertain economic conditions.
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4. Structure, governance and management
4.1. Governing document and constitution
Under One Sky is a Charitable Incorporated Organisation, governed by its Constitution, registered in England & Wales.
4.2. Trustee selection methods including details of any constitutional provision
Trustees are appointed for a term of three years by resolution passed at a properly convened meeting of the charity trustees. In selecting individuals for appointment as charity trustees, the charity trustees have regard to the skills, knowledge and experience needed for the effective administration of the CIO.
4.3 . Board structure and management
The board of trustees consisted of Julia Lalla-Maharajah OBE (Chair), Sara Carnegie (Safeguarding) and Amrit Singh Maan OBE (Treasurer). Trustees and the lead advisor held four formal minuted board meetings in the year of reporting. In addition four informal meetings were held to develop a united and coherent management team.
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6. Responsibilities of the Trustees
The Trustees are responsible for preparing the Trustees' report and financial statements in accordance with applicable law and regulations.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with company law, the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland.
Company law requires Trustees to prepare financial statements for each financial year giving a true and fair view of the charitable company's state of affairs at the end of the year and net income or expenditure for the year. In preparing those financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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make judgements and estimates that are reasonable and prudent; and
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prepare the financial statements on a going concern basis unless it is not appropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping proper accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the charity's financial position and enable them to ensure compliance with the Companies Act 2006. They are also responsible for safeguarding the charity's assets and for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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7. Independent Examiner
Trustees appointed Guy Ryckaert as the charity’s Independent Examiner.
8. Small company provisions
This report has been prepared in accordance with the special provisions applicable to small companies under Part 15 of the Companies Act 2006.
Approved by the Board of Trustees on 06/10/23 and signed on their behalf by:
Julia Lalla-Maharajh OBE Chair
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Independent Examiner’s Report to the Directors/Trustees of Under One Sky CIO
for the year ended 10 May 2023
I report on my examination of the accounts of the charity for the year ended 10 May 2022, which are set out on pages [14] to [16].
Respective responsibilities of Trustees and Examiner
The charity's Trustees (who are also the directors of the company for the purposes of company law) 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 2011 Act) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to audit under Part 16 of the Companies Act 2006 and is eligible for independent examination, it is my responsibility to:
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examine the accounts under section 145 of the 2011 Act;
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to follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
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to state whether particular matters have come to my attention.
Basis of Independent Examiner’s Report
My examination was conducted in accordance with the General Directions given by the Charity Commission. 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 seeking explanations from the Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair' view and the report is limited to those matters set out in the statement below.
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Independent Examiner’s Statement
In connection with my examination, no matter has come to my attention:
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1) which gives me reasonable cause to believe that in any material respect the requirements:
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to keep accounting records in accordance with section 386 of the Companies Act 2006; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of section 396 of the Companies Act 2006 and with the methods and principles of the Charities SORP (FRS 102) have not been met; or
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2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Guy Ryckaert Independent Examiner 18 Woodcote Green Road Epsom KT18 7DH
Date: 05 Oct 2023
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Statement of Financial Activities (Including an income and expenditure account)
for the year ended 10 May 2023
Statement of Receipts and Payments
| Note | Unrestricted Funds £ |
Restricted Funds £ |
Total Funds 2023 £ |
Total Funds 2022 £ |
|
|---|---|---|---|---|---|
| Revenue Receipts Donations, legacies, grants Events sales Total Revenue Receipts A1 Total Receipts Payments Cost of outreach events Cost of emergency support Storage space Staffing Costs Marketing IT Insurance Tax Sundry Total Revenue Payments A3 Total Payments Net Receipts/(Payments) A4 Transfers between funds Cash funds last year end A6 Cash funds this year end |
103,922 3,300 107,222 |
5,750 109,672 - 3,300 5,750 112,972 |
- - - |
||
| 107,222 | 5,750 112,972 |
- | |||
| 53,870 4,720 5,201 59,030 510 2,911 330 6,392 281 133,246 |
5,000 58,870 - 4,720 - 5,201 - 59,030 - 510 - 2,911 - 330 - 6,392 - 281 5,000 138,246 |
- - - - - - - - - - |
|||
| 133,246 | 5,000 138,246 |
- | |||
| - 26,023 - 54,608 28,585 |
750 - 26,273 - - - 54,608 750 29,335 |
- - - - |
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Balance Sheet
as at 10 May 2023
Statement of assets and liabilities at the end of the period
| Note | Unrestricted Funds £ |
Unrestricted Funds £ |
Restricted Funds £ |
Restricted Funds £ |
|
|---|---|---|---|---|---|
| Cash funds Cash in bank Total cash funds B1 Liabilities(amounts falling due) B5 Staffing Costs Cargobike Business tax Total liabilities Total cash funds of the charity |
28,585 28,585 33,054 2,909 1,969 35,023 |
750 750 - 2,909 - 2,909 |
|||
| 28,585 | 750 |
For the financial year ended 10 May 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these financial statements under the requirements of the Companies Act 2006.
The Directors/Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime on the grounds that the charity qualifies as a small company for the year ended 10 May 2023.
Approved by the Directors/Trustees on 06/10/2023 and signed on their behalf by:
Julia Lalla-Maharajh OBE Chair
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Notes to the Accounts
for the year ended 10 May 2023
1) ‘Last Year’ comparison figures: Under One Sky became a registered CIO on 11 May 2023 and for that reason does not have a set of submitted accounts for previous year.
2) Donated goods and services: The charity benefits from use of storage space (not fit for commercial rental), occasional use of a van, donations of clothing (new and used), second hand made mobile phones and food items for distribution to its beneficiaries. The estimated value of donated goods and services (if they were to be purchased) is £88,000.
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