## **It’s Humanity Foundation, UK (IHF UK) Report and Financial Statements** **Charity Number: 1201232** ## **Financial Year End: 5 April 2024** ## **Reference and Administrative Information** ## **Board of Trustees** Stephen Wills, Chair of Trustees Alexander F L Newberry, Trustee Afshana Huda Chowdhury (resigned 4[th] Sept 2023) ## **Principle Address** 3 Coastside 1 Studland Road Bournemouth Dorset, BH4 8HZ United Kingdom ## **Independent Examiner** Rowlands Webster Austin House 43 Poole Road Bournemouth Dorset, BH4 9DN Registered in England & Wales No. 06465035 ## **Bank** Co-operative Bank, UK ## **Report of the trustees for the period ending 5[th] April 2024** The Trustees present their annual report and accounts for the period ended 5[th] April 2024. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Declaration of Trust Deed, 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 (FRS 102)" (effective 1 January 2019). 1 ## **Objectives and Activities** The prevention or relief of poverty for children and their affected families in Bangladesh by assisting in the provision of education, basic healthcare services, training in vocational skills and emergency relief. The area of benefit is in Bangladesh. ## **Charity Overview** IHF UK is actively working to benefit children in Bangladesh who currently lack access to free education. Children who are compelled to work instead of attending school are being supported through a flexible and agile educational approach. Additionally, parents are being assisted with vocational skills development and access to health services, aimed at helping them secure employment, thus reducing the need for their children to work and enabling them to attend school. In times of crises, such as floods, IHF UK will seek additional support to benefit affected communities, particularly those where the children live. This support will include the provision of food, water, medicines, and other essential supplies, facilitated through IHF Bangladesh and their local partners. ## **Achievements and Performance for Reporting Period** Since its inception in 2022, IHF UK has been driven by two main objectives: first, to raise awareness of the charity and the work it supports in Bangladesh; and second, to secure funding for new and ongoing projects and programmes in Bangladesh. ## **Governance Structure** IHF UK has established a governance framework comprising a small number of trustees alongside a growing team of volunteer expert advisers. This structure is designed to effectively support the charity’s activities. IHF UK is governed by its constitution, produced in 2022. ## **Funding Successes** During the reporting period, IHF UK achieved several key funding milestones. Notably, the charity secured three substantial donations, amounting to nearly £39,000 in total. Additionally, smaller donations were received, further contributing to our financial resources. The income exceeded expectations. ## **Awareness Raising Events** To bolster support for the charity and its initiatives, the IHF UK team organised several awareness-raising events. These events were deliberately kept small and treated as pilot projects to gain insights into reaching new audiences more effectively. The target groups included the Bangladeshi diaspora, media, and businesses with strong connections to Bangladesh. These events not only provided opportunities to raise funds but also helped in expanding our supporter base. 2 ## **Supporting Projects in Bangladesh** Through its collaboration with IHF Bangladesh, the charity has undertaken several significant projects: _Chakar School Bus Initiative:_ The design and construction of a second dedicated school bus operating in the slum areas of Dhaka has been a notable achievement. This mobile school teaches two cohorts of primary-aged children six days a week, with one class in the morning and another in the afternoon. The bus complements an existing Chakar school and is unique in the Bangladeshi context, as it takes the school to the children, thus making free education more accessible to highly marginalised communities. A second grant has been provided to cover ongoing operational support costs for the Chakar schools. _Teacher Training Programme:_ IHF UK has also funded the training of 60 teachers in Bangladesh. These educators are part of IHF Bangladesh and have benefited from a bespoke teacher training and development programme tailored to their needs. The course was a six-day residential programme. _Flood Relief Efforts:_ Given the annual occurrence of major floods, IHF UK has successfully secured additional donations specifically aimed at supporting flood relief efforts in Bangladesh, facilitated by IHF Bangladesh. This support encompasses the provision of food, shelter, school repairs, and access to health services. _See appendix A for more information_ ## **Financial Review** During the reporting period from 5th December 2022 to 5th April 2024, IHF UK successfully raised £50,388.89. The majority of these funds were secured through restricted grants aimed at delivering projects in Bangladesh, in collaboration with our partner, IHF Bangladesh. Additionally, the charity raised the remaining funds through one-off donations, which were part of appeals such as Zakat and Flood Relief, as well as donations received during charity events in London and Brighton. A small surplus was retained to reinvest in future events and to assist with the general running costs of the charity. ## **Policy on Reserves** The nature of IHF UK's activities is such that the charity does not have significant ongoing expenditure commitments. Income received is used for the charity's objectives, meaning there is no need to hold reserves. However, IHF UK ensures that a small amount of unrestricted funds is maintained to avoid deficits and to cover day-to-day operational costs. ## **The Charity’s Principal Sources of Funds (including any fundraising)** Grants from educational and wider international development grant providers 3 ## **A Description of the Principal Risks Facing the Charity** _Competitive Funding Environment_ : Ongoing and intense competition for securing grants and donations presents a significant challenge. _Cost of Living Crisis:_ The current cost of living crisis is exerting additional pressure on the ability of regular supporters to donate. _Expansion of Governance Team_ : There is a need to broaden the trustee and advisor team to enhance volunteer capacity and expertise. ## **Structure, Governance and Management** CIO Foundation Constitution. Charitable Incorporated Organisation (Foundation Structure), whose only voting members are its trustees. ## **Trustees** Stephen Wills, Chair of Trustees Alexander F L Newberry, Trustee None of the trustees has any beneficial interest in the charity. ## **Names of Advisers** Afshana Huda Chowdhury, London UK Tasleema Alam, London, UK Moonis Alam, London, UK Jessie Kay Stanbrook, Brighton, UK None of the advisors has any beneficial interest in the charity. ## **Declarations** **The trustees declare that they have approved the trustees’ report above. Signed on behalf of the charity’s trustees** ## **Signature** **Full name:** Stephen Wills **Position:** Chair of Trustees > **Date:** 21/01/25 **Signature** **Full name:** Alexander F L Newberry **Position:** Trustee > **Date:** 21/01/25 4 |**Financial Activities It’s Humanity Foundation UK - 1201232**|**Financial Activities It’s Humanity Foundation UK - 1201232**| |---|---| |**Reporting period: 5th December 2022 to 5th April 2024**|| |**Income**|**2023**| |**Fundraising and other income**|| |Restricted grants1|£44,412.55| |General donations|£3,990.39| |Flood relief appeal|£1,985.95| |**Total income**|**£50,388.89**| |**Expenditures**|| |Payments to Bangladesh2, 3|£44,912.61| |Event expenses4|£1,128.87| |Postage|£12.90| |**Total Expenditures**|**£46,054.09**| |**Net income/(expenditure)**|**£4,334.80**| |**Balance sheet**|| |**Cash at bank and in hand**|| |Co-operative Bank|£4,334.52| |**Total cash at bank and in hand**|**£4,334.52**| |**Creditors**|| |Current liabilities|£0| |**Total liabilities**|**£0**| |**Total net assets (liabilities)**|**£4,334.52**| |**Charity funds**|| |Retained earnings brought forward|£0| |Surplus/(deficit) in year|**£4,334.52**| |**Total Charity Funds**|**£4,334.52**| ## **Notes:** 1. Three separate grants: Community Partnerships Initiative, USA (£13,060.25) to support ongoing Chakar School operational costs; Deutsche Gesellsch, Germany (£6,398.77) to support teacher training and development for 60 educators; Brentwood Communications, USA (£19,294.42) to design and build 1 new Chakar school in Dhaka. 2. There is a formal agreement between IHF UK and IHF Bangladesh concerning the transfer of funds to support IHF Bangladesh’s activities in Bangladesh. This agreement was officially signed in February 5 2023. IHF Bangladesh was registered as a non-profit organisation in 2015 under the Government of Bangladesh (registration number S-12186/2015). 3. Due to government banking controls in Bangladesh, funds have been transferred to IHF Bangladesh through three separate secure methods: 1) via the IHF Bangladesh online donation portal using a IHF UK credit card, 2) direct payment to the IHF Bangladesh bank account using a IHF UK credit card, and 3) direct payment to the IHF Bangladesh (Protibha) bank account (a social enterprise wholly owned by IHF Bangladesh) using a IHF UK credit card. All transfers mentioned above were paid into the same IHF Bangladesh bank account (EBC - Eastern Bank Limited). Over this reporting period, the process has generated international credit card fees amounting to £1,116.59. In 2025, IHF UK aims to find a more cost-effective and streamlined method for transferring funds to IHF Bangladesh, ideally through online bank transfers. IHF Bangladesh is registered in Bangladesh, with its head office at House 136, Road 22, Mohakhali DOHS, Dhaka 1206, Bangladesh (https://www.itshumanity.org). IHF UK and IHF Bangladesh have a formal agreement in place, signed by both parties in 2022. _See appendix B for more information._ 4. Expenses for room hire/refreshments and overnight accommodation for two fundraising events (London and Brighton). ## **These accounts were approved by the Trustees on** ## **Date: 20/01/2025** **Signed:** **Print name:** Stephen Wills ## **Chair of Trustees** 6 ## **Appendix A** ## **Overall Summary** ## **Charity Overview** _Purpose:_ Support children in Bangladesh lacking access to free education _Focus:_ Providing flexible education for working children and vocational training for parents to ensure sustainable livelihoods _Crisis Support:_ Mobilise aid for communities during crises, e.g., floods, through local partnerships. ## **Key Achievements** ## _**Since Inception in 2022**_ ## 1. Awareness Raising: - Target groups: Bangladeshi diaspora, media, businesses connected to Bangladesh. - Conducted small, pilot awareness events to refine outreach strategies. ## 2. Funding Success: - Secured £50,388.89 during the reporting period (5 Dec 2022 – 5 April 2024) - Three major donations totalling nearly £39,000 - Smaller donations from appeals (Zakat, Flood Relief) and events ## 3. Projects in Bangladesh: - Chakar School Bus Initiative: - Launched a second mobile school bus serving children in Dhaka slums. - Operates six days a week, providing two daily educational sessions. - Teacher Training: - Funded a bespoke six-day residential program for 60 Bangladeshi teachers. - Flood Relief Efforts: - Secured funds for food, shelter, school repairs, and health services in flood-affected regions. ## **Governance Structure** - Foundation Type: Charitable Incorporated Organisation (CIO) with trustees as the only voting members. - Team: Small trustee base supported by volunteer expert advisers. - Policy Framework: Governed by a constitution established in 2022. 7 **Financial Review** Income Sources: - Majority from restricted grants for education and development projects. - Additional funds from appeals and charity events. Reserve Policy: - Minimal reserves held to avoid deficits and meet day-to-day costs. ## **Key Challenges** - Competitive Funding: Increased difficulty securing grants and donations. - Cost of Living Crisis: Diminished capacity of supporters to contribute. - Governance Expansion: Need to grow the trustee and adviser team for greater capacity. ## **Vision Moving Forward** IHF UK continues to strive for: 1. Enhanced education access for underprivileged children in Bangladesh. 2. Expanded community support during crises. 3. Sustainable development through collaborative efforts with IHF Bangladesh and local partners. This strategy positions IHF UK as a vital bridge between UK-based donors and impactful projects on the ground in Bangladesh. 8 ## **Appendix B:** ## **Addressing Transaction Fee Challenges and Implementing Mitigation Measures** The IHF UK account has incurred substantial transaction fees totalling £1,116.59 during the reporting period, primarily due to the current method of transferring funds to Bangladesh for various projects. ## **Challenges with High Fees** - **Significant Costs** : Each transfer incurs fees, which cumulatively represent a considerable expense. - **Impact on Projects** : These fees reduce the funds directly available for project implementation. ## **Payment Restrictions** - As an interim measure, funds are often processed via POS machines in Bangladesh, requiring cardholders to be physically present for transactions. ## **Progress Toward Resolution** - It’s Humanity Foundation Bangladesh will set up a new bank account that supports international bank transfers, enabling lower and more manageable transaction fees. ## **Anticipated Future Benefits** - **Reduced Fees** : Transitioning to direct bank transfers will significantly decrease transaction costs. - **Improved Efficiency and Transparency** : Direct transfers will streamline fund allocation and enhance accountability. ## **Conclusion** The current high transaction fees are a temporary but necessary cost as IHF Bangladesh establishes the infrastructure needed for independent international transfers. In the meantime, IHF UK remains dedicated to minimising these costs wherever possible, ensuring that funding continues to reach and support essential projects effectively. 9 ## **Independent examiner's report on the accounts** Report to the trustees of It’s Humanity, UK CIO on the accounts for the period ended 05/04/2024. Charity number **1201232** I report to the trustees on my examination of the accounts of the above charity (“the Trust”) for the period ended 04/04/2024 As the charity's trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (“the Act”). I report in respect of my examination of the Trust’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which gives 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 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. J Webster 20/01/2025 Austin House, 43 Poole Road, Bournemouth BH4 9DN 10