Charlty ReElstratlon No. Z74779 C(ryary Reglstration No. 01206976 (England and Walesl A.l.E.S.E.C. (U.K.) LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2022 A.I.E.S.E.C. IU.K.) LIMITED LEGAL AND ADMINI￿RATIVE INFORMATION Trustees ASiaLu J Ryan Rcook C R3portaru S Shah C Moore LArcher W Harris (Appointed l August 20Z21 Seuetary ASiaL Charlty number 274779 CoM￿nY nurnber 012￿976 R¢8lst¢rtd offit* le MÈntmore Tetra¢e London En813nd E8 3LKI Audltor HW Fisher LLP Acre House 11-15 William Road London NWI 3ER United Kingdorn anktrs CAF Bank Limited 25 Kings Hill A%*nue Kings Hill West MallinB Kent ME194NI A.I.E.S.E.C. IU.K.) LIMITED CONTENTS Trustees. report Statement of Trustees, responsibilths Independent auditor'5 report statement of financlal èctlvittes io 8alance sheet li Statsment of cash flows 12 Note5 to the linan¢ièl 5tatemehts 13-23 ## **A.I.E.S.E.C. (U.K.) LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** ## _**FOR THE YEAR ENDED 31 JULY 2022**_ ___________________________________________________________________________ The Trustees present their report and financial statements for the year ended 31 July 2022. The financial statements preparing their accounts in accordance w (FRS 102) (effective 1 January 2019). ## Objectives and Activities AIESEC (UK)'s vision and role are identical to all AIESEC countries as set out by The AIESEC Way: What we Envision: Peace and fulfilment of humankind's potential. ## Our Impact: Our international platform enables young people to explore and develop their leadership potential to have a positive impact in society. ## The way we do it: AIESEC provides its members with an integrated development experience comprised of leadership opportunities, international internships and participation in a global learning environment. The objectives of the charity are achieved in the following ways: 1. Youth Leadership Development: Providing students and recent graduates with the opportunity to work in a team and lead a group of their peers while at university. Exposure to different cultures, AIESEC (UK) organises and delivers a range of internal and external educational conferences, seminars, and events to improve member and non-member management skills, business acumen and leadership potential. 2. The International Traineeship Scheme ("Exchange Programme"): This is a reciprocal programme, which enables UK students and recent graduates to work overseas in any of over 120 AIESEC member countries and raises placements for foreign students and graduates to gain experience with UK companies. Trainees are selected for their technical suitability and their ability to represent AIESEC and the UK favourably, and to learn through exposure to another culture. These students go abroad to take up traineeships in management, technical, development and educational areas. 3. The Access Tier 5 (AT5) programme Energy and Industrial Strategy, which enables AIESEC (UK) to act as the sponsoring body for students and facilitate the sourcing of top talent for short term employment on internship roles with UK companies. These placements further the professional education and cultural awareness of the students who participate. The Trustees have paid due regard to guidance on public benefit issued by the Charity Commission in deciding what activities the charity should undertake. ## Covid-19 The government removed most covid restrictions at the beginning of the financial year which allowed the organisation to return to some form of normality. However, many universities remained virtual for some or much of the term, and the arrival of the omicron variant in November led to a new and significant surge in cases across the UK. The organisation continued to monitor the situation and take a precautionary approach, in some cases reducing or cancelling face to face interactions when - 1 ## **AIESEC (UK) LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** ## _**FOR THE YEAR ENDED 31 JULY 2022**_ ## ___________________________________________________________________________ deemed high risk despite government guidance allowing it. Altogether this has limited the operations of the organisation on a local level within universities and at a national level as discussed throughout this report. ## Performance and Achievements ## Membership and leadership development: The volunteer membership consisted of 336 students from across 15 universities (2021: 13) in the UK. Recruitment of new volunteer members was done primarily virtually due to many universities maintaining covid 19 restrictions or limiting activities on campus. We received 713 applications (2021: 336) to become volunteer members and recruited 382 new members (2021: 210). Educational conferences and seminars were held to advance members leadership and management skills. All the conferences and events were delivered virtually due to Covid 19 precautions. The conferences held and attendance achieved this year were: - held in September for Local Committee Presidents (LCPs) - to prepare them for Recruitment and finding their successors. - MAXIS (in person - 120 attendees) an October conference designed for the induction of new LC members, introducing them to AIESEC's background, values, philosophy and to give training in AIESEC's core activities. - held in November for both the current and newly elected Local - Committee Presidents to prepare them for transition and closing/opening their experiences. - EBGo (virtual - 90 attendees) held in February, it is a gathering of Executive Board members to elect a new national President and to discuss plans and strategies to be implemented at local level in the coming year. Motivational speakers from industry and the professions attend, and seminars are organised to allow various perspectives on leadership and management to be examined and discussed. - EXTRA (in person - 126 attendees) held in March to provide training in the areas of sales, marketing and coaching to local committee members to assist them in delivering the exchange and leadership programmes. ## Exchange: The Exchange Programme continued to reopen this year, albeit still affected by travel restrictions and a lack of opportunities available throughout the AIESEC network due to some programmes being paused globally. For the year ended 31 July 2022, AIESEC (UK) facilitated 19 students and recent graduates to travel abroad and brought 21 international students and recent graduates to work in partner organisations in the UK, resulting in a total number of 40 exchanges (2021: 19). A total of 7 interns also extended their internships in the UK. ## Access Tier 5: As a Tier 5 Government Authorised Exchange body, in the period to 31 July 2022, AIESEC (UK) has sponsored 925 people (2021: 724) from around the world for short-term employment with UK companies. ## Volunteers: The National Executive and national office staff are the only salaried staff working in AIESEC (UK) Limited. Occasionally, fulltime volunteers managing projects are paid a modest daily allowance to avoid financially disadvantaging them. Volunteers who are entirely unpaid, but highly motivated by the objectives of the organisation perform most of the work done by LCs. We anticipate that this will continue well into the future. During the financial year, AIESEC (UK) received in-kind support (e.g., pro-bono practical advice on organising events, guidance in relation to team building, working remotely, etc.) primarily from alumni. However, this support is purely ad-hoc in nature and has required very minimal involvement from each of the individual corporate sponsors. This support is not considered material from an overall organisation perspective. ## Principal risks and uncertainties The Trustees have assessed the major risks to which the charity is exposed and are comfortable that systems are in place to mitigate exposure to the major risks. - 2 ## **AIESEC (UK) LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** ## _**FOR THE YEAR ENDED 31 JULY 2022**_ ___________________________________________________________________________ The principal risks and uncertainties that the trustees consider that the charity faces are set out below, along with the tru plans and strategies for managing them: - Global programmes restrictions globally the organisation suspended the volunteer exchange programme to review the process and embed new quality standards into the delivery of the product. British youth going on volunteering hampered the restarting of exchange post covid. AIESEC UK has submitted all required documentation to be able to participate in the restarting of the programme, and it is expected that a renewed focus on quality will be a welcome change in the future. - Disruption due to Omicron the resurgence of covid 19 in the form of omicron posed numerous challenges to the organisation. Although no formal lockdown was announced by the government, AIESEC took a precautionary approach by limiting the physical interaction of members at local and national gatherings. Once cases were back under control and the risk deemed low enough, the organisation resumed face-to-face gatherings in line with all government guidance at the time. - Weaker local footprint the organisation at a local level continues to show severe signs of weakness, primarily due to the effects that covid has had on recruitment of new volunteers, and their ability to attend in person conferences and training sessions. Moving forward investment in getting members to conferences and training sessions has been made a priority, as has providing on the ground and intensive support for LCs that need it to try and rebuild. - Varying international travel rules a patchwork of international travel rules and restrictions have posed a challenge to the restarting of the exchange programme. It is expected that travel will continue to open up in the future, however until such a time, AIESEC (UK) continued to monitor the situation and focus the exchange programme on countries that have a lower risk of disruption. ## Financial review and reserves policy The charity's activities generated a surplus for the year amounting to £147,085 (2021: £216,152). Despite COVID restricting key parts of operations, the organisation has posted a surplus for the financial year ending July 31 2022. The main reasons for this include: - AT5 Revenues despite a slow start, the AT5 programme outperformed expectations and budgets by 22% due to a significant return of business from premium partners in the second half of the year. - Cost Controls the organisation continued to implement tight cost controls during the year due to ongoing covid concerns and the resurgence of the virus in the form of omicron. s management accounts on a regular basis and as part of the monthly Trustee meetings attended by the National Executive. It became apparent in the second half of the financial year that revenues were to be significantly higher than budgeted. The organisation continued to monitor the external environment and managed costs proactively. Although expenditure relating to charitable activities increased by 51%, the organisation decided to continue to use unbudgeted surpluses to bolster reserves and buffer against any new Covid-19 restrictions in the future. As at 31 July 2022, the charity had net assets of £731,777 (2021: £584,692). This represents restricted funds of £56,921 (2021: £54,730) and unrestricted funds of £674,856 (2021: £529,962). The charity works primarily on a fee-for-service model, but does conduct limited fundraising primarily from corporate partners through sponsorship. Donations from the general public, consisting of alumni, made up less than 1% of the organisation s revenues. The charity's funds have been applied in financing the projects outlined above and in maintaining reserves to ensure the organisation is sustainable in the short and long term. The charity's income tends to fluctuate, and this has caused considerable curtailment of the operations during past economic downturns. To mitigate/ minimise this risk, the trustees monitor the level of reserves carefully. It is policy that unrestricted funds which have not been designated for a specific use should be maintained to ensure the charity is able to sustain its operations in the short-term. During the year, the charity consistently maintained unrestricted - 3 ## **AIESEC (UK) LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** ## _**FOR THE YEAR ENDED 31 JULY 2022**_ ___________________________________________________________________________ ## Structure, governance and management AIESEC (UK) Limited ("the charity" / "AIESEC (UK)") is a registered charity and is constituted as a company limited by guarantee. Its objects and powers and other constitutional matters are dealt with in its Memorandum and Articles of Association. The Directors of the charity are its Trustees for the purpose of charity law and throughout this report are collectively referred to as "the Trustees". The Board of Trustees is non-executive and meets monthly to take strategic and other material decisions. The National Executive is a team of recent graduates elected and selected by representatives of the members in accordance with the Articles of Association, the Trustees and the current National Executive. They are in office for one year and the Trustees delegate day-to-day operations to them. The Trustees, who are also the Directors for the purpose of company law, who served during the year, and to the date of this report were: I Priestley (resigned 27 August 2022) A Sia Lu C Galindo (resigned 21 September 2022) R Cook J Ryan C Raportaru S Shah C Moore L Archer W Harris (appointed 01 August 2022) New Trustees are selected by existing Trustees and invited to join the board. The new Trustees are appointed by a majority vote at a quorate Board meeting. All new Trustees are given a thorough briefing on how the charity operates by the existing Trustees. Most new Trustees have had previous involvement with the organisation. The National Executive co-ordinates the strategy and support activities run by the Loc structured as student societies at the relevant universities. AIESEC (UK) does not guarantee any liabilities of the LC's. AIESEC has branches in over 120 countries: some are also constituted as limited companies. All of these, including the international secretariat AIESEC International in Montreal (Canada), which co-ordinates international activities, bear the name AIESEC. However, AIESEC (UK) has no legal relationship to any of these. AIESEC Foundation, a registered charity (Registered Charity Number 1095750), was incorporated as a company limited by guarantee on 22 November 2002 (registered company number: 04598851). fundraise and safeguard the activities of AIESEC in the UK and overseas. Although a separate legal entity, the Foundation supports projects that benefit AIESEC in the UK and overseas. ## Remuneration of key management personnel AIESEC (UK) employ a National Executive of recent graduates along with an office manager, and a sales and compliance team dedicated to the Access Tier 5 scheme. In the year ended 31 July 2022 there were 10 (2021: 10) salaried employees. The President of the National Executive is considered to be key management personnel. The remuneration of the National Executive President is set by the Trustees as a fixed salary towards the lower end of the range provided by large employers to graduates entering management training schemes. ## Future plans Following the end of the year there have been no significant changes to the aims, objectives or activities of the charity. The size of the salaried team will be increased by one in order to invest in growth post covid, and alternative forms of revenue - 4 ## **AIESEC (UK) LIMITED** ## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** ## _**FOR THE YEAR ENDED 31 JULY 2022**_ ___________________________________________________________________________ plans to meet the aims and objectives of the charity and these have been reviewed and agreed with the Trustees. Disclosure of information to auditor Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information. ## Auditor The re-appointment of HW Fisher LLP as auditors for the ensuing year will be proposed at our Annual General Meeting. On behalf of the Board of Trustees S Shah Trustee Dated: - 5 A.I.E.S.E.C. IU.K.) LIMITED ATEMENT OF TRU￿EE5. RESPONSIBIUTIES FOR THE YEAR ENDED 31 JULY2022 The Trustees, who are a150 the directors of A.l.E.S.E.C. IU.K.l Limf(ed for the purpose of company law. are reswnsible for preparing the Trustee5' Report and the financial staternents In accordance with applirable law and United Kingthm AcLx)untin8 Standard5 Iunited Kingdorn Generally Accepted Accounting Practice). Company Law requires thè Trustees to prÈparÈ hnantièl statements foT t￿h financial whith w a true and fair wew of the stste of affairs of the charity and of the intorning ￿sour(eS and applitatfjon ol rewuTCeS. Includi￿ the incorne and expènditure, of the Charitable tompèny for that yeaf. In preparin8 these flnantial ststements, theTrustees are required to.. - selett suStable accoUn￿n8 policSes and then apply them consSstentlv.' - observe the methods and prindples In the CharStiesSORP; - make judgements and estimates that are reasonable and prudent.. and - prepare the linancial Statements on the Roing concern t￿15 unle55 it is inappropri*e to presume that the charity will continue in operadon. The Tru5tee5 are re5pon5ible for keepng adequate ￿cOUnting records that disclose with reasonable accurary at 3ny tirne the Hn3ncial position of the charity and enable Ihem to ensure that the financial statements comply with the Companie5 Act 21N)6. Thev are ilso re5pon5ible fr)r 5afeguardin8the è55et50f the charity and hence for tsking reasonable steps for the pre￿n￿on and detecyon of fraud ènd other irreguloritie5. A.I.E.S.E.C. IU.K.) LIMITED INDEPENOENT AUDITOR'S REPORT TO THE MEMBERS OF A.I.E.S.E.C. {U.K.) LIMITED Oplnlon We have audiied the financial statements of A.l.E.S.E.Q IU.K.l Limited Ithe'charity'l lor the year ended 31 July 2022 which comprise the sratement of financial activities. the balan￿ sheei. the ststement of cash flows and rhe notes ro the financial statements, including significant accounDng policies The financial repomng framework thai has been applied in their preparation is applicable law and United Kingdom Accounrng 5tsndards. including FR5 102 The Ftnonctol ReporringSrotrJdwdopplicoble tn rhe UKondRepublic of Ireljnd (uni￿ Kingdom Generally Accepted Accounting Practicel. In our opinion, the financial ststernents.. Éive a true and fair vSew of the state of the chafiiable company's aflairs as at 31 July ZOZ2 and of Its Incemlng resources and pplication of resources. Including its Income and expenditure. lor the year then ended., hbve been property prepared in accordance with United Kingdom Generally Aciepted Ac£ountin8 Pra¢tio.' ond have been prepared in accordance with the fequirementsof thecompanies Act 21￿. ea￿S for oplnlon We conducted our audlt In accordance wlth International stsndaids on Audi￿￿$ IUKI 11&4s IUKII and appllcable law. Our responsibllifjes under those stsndards are further *Jescribed in the Auditors rewnsibilil*eslor the oudir ol thefinortciol sti*ements secfjon of our report. We are Independent ef the charity in accor¢Jance with the ethical ieouirements that are relevant to our audlt of the h-n8ncSal statemenis In the UK, includin8 the FRC'S Ethical 5taodard. and we have fulfi-lled our other ethical responsibilifjes In accordance with these requirements. We believe th* the audit ewdence we hawe obtsined 15 5uffi"cierrt and appropriate to provlde a basis for our opinion. Concluslon5 rela￿￿&to8￿n1 wicern In audifjn8 the flnancièl statements, we concluded that the Trustees. use of the Wn8 cot)cern ba￿S of aCcoun￿ng In the prepiratton of the financial statements is appropriate. Based en the work we h￿e performed, we hève not Identsfied any mètsrial uncertalnfjes relating to events or condlfjons that, individually or collecfjvely, may cast signifi.cani doubt on the charity's ability to confjnue as a ￿Ing concern for a perled of at least twelve months frem when the fi.nancial ststements ale authorised for issue. Our responslblllttes and the responslbSllttes of the Trustees wlth respect to 8oln6 concern are de5crlbed In the rel￿ant secdons of Other Informadon The other infermafjon Cemprises the informatson included in the annual report other than the financial statements ènd our auditor's report thereon. The Trustses are responsible for the other information contained within the annual report. Our opinion on the financlal statements does net cever the other Infomiation and. except to the extent otherwise emplicitly stèted In our report, we do not express èny form of assurance conclusion thereon. Our responsibility is to read the other Inforwtion ènd. In doing so, conslder whether the other Informanon Is materially inconsistent wilh the financial statements or our knowledge obtèined In the course of the udlt, or otherwise appears to be materiall¥ misstated. 11 we identyfy such material Inconsistencies er apparent material misstaternents. we are required ro ddermine whether rhis gNes rise to a material misstatement in financial ststements themselves. If. based on the work we have Ferformed. we condude that there is a material misststement of this other inform3thon, we are required to report rhat fact. We have nothing to report in this regard. Oplnlons on other matters presulbed bythe CompanSesArt 2￿6 In our opinion, based on the work undertaken In the course of our èudlt-. the inforrnation 8wen in the Trustees. report, which include5 the dirertor5' report prepared for the purp05e5 Gf cotnpany law, for the financial year for which the linan£ial 5taternents are wepared is con5i5tentwith the finanaal statements,. and the director5, report induded within theTrustees' repon has been prepared in accordance with applicable legal requirements. Matters on whlch we are requlredto repwt by excepti In the light of the knowledze and understsndinÉ of the charity and its enwr¢)nment obiained in the course of the audit, we have not identih.ed material misstatements in the dirertors. included within theTrustses' report. A.I.E.S.E.C. IU.K.) LIMITED INDEPENOENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF A.I.E.S.E.C. {U.K.) LIMITED We have nothin8 to report in respect ol the following matters in relati¢)n to which the Cornpanies kt 2Tr)6 requires u5 to report to you if, in our opinion.. adeouate accounnng records have not èeen tr*pt. crf returns adequate forour audit hawe not been re￿ived from branches not visited by us.- er the linancial ststÈmÈnts arÈ not ill a8rÈÈmÈnt with thÈ attounting records and rÈtUTns: or certsin disclosures of tru5tee5' remuneration specified by laware not made: or we hève not recelved all the informatton expl3nattonswe require for our audit., or the Tru5tee5 were not entitled to prepare the financial 5tatement5 in accordance with the small companie5 regime and take athiantage of the small companies, exernpts'on5 in PTeparing the Tru5tee5' report and from the requirement to prepare a strBtegic repDrt. Re5ponslblllt6es olTru51oes As explained more fully In the 5tatemeTht of Trustees. responsibilities. the Trustees, who are 3150 the directors ol the charity for the purpose of company law, are responsible for the preparation of the financi31 ststements and for being satisfied that they give a true and fair view, and for such internal control as the Tru5tee5 determine is nece55ary to enable the prepar3bon of financial ststements that are free from material mi55tatement, whether tlue to fraud or error. In preparing the financial ststements, the Tru5tee5 are re5pon5ible for a55e55ing the charity'5 3ts.lity to continue as a 80in8 concern, di5c105in& as 41plicable, matter5 related to 801Th8 concern and u5in8 the goin8 concern basis of accountin8 unless the Trv5tee5 either intend to liquidate the charitable company or to cease operattons, or have no reali5tir alternatwe trtjt to do so. Audltor'5 r¢5ponslbllltlesfor the •udll of Ih¢fftnan¢lal stalemw Our objectbves are te obtain reasonable assurance about whether the financlal statements a5 1 whole are free from materlal mlsstaternent. whether due te traud or error. and to issue an auditor's report that includes our D￿ri00. Reasonable assurance 15 a high level of assurance but Is not a guarantee that an audit conducted in accordance with IUKI will always detect a Material missiaternent when It e¥i5ts. mI￿tatementS can arise from fraud or error and are considered material if, Indiwdually or In the a86regate, they could reasonably be expected to infiuence the econornic decisions of users taken on the basis of these financial ststements. Irre8ularlYe5, including fravd, Jre Instances of non-r¢mpliance with laws and Teguladon5. We dey8n PTocedvres In Ilne with our re5pon5ibilities, outlined ab¢)ve, to detect mateiial mi$5ta¢emeTh¢5 in resped of irre8vlarities, indudin8 fraud. The extent to which our procedures ère upable of dete¢¢in8 irre8ularit*s. in¢lydin8 fr•ud, is detsiled below. A5 part of our plannin8 pr(Ke$5'. We enquired of rnènagement the systems afid tontrals the t￿rity has ih pla¢e, the areas of the lin4n¢ial statements that are most su&ieptible to the risk of irre8ularities and frèud, and whether there was any known, su5peLted or alle8ed fraud. Thè charity did not inform u5 of any known, su5PÈ£ted or alle￿d frèud. We obtbined an under5tsndin8 of the le￿1 and re8ul3tory fTameworks applicaNe to the company. We determined that the followin8wÈre most relevant.. the Chèrity SORP, FPS 102. Charilles Act 2011. Companies Att 20C6. We considered the incentlves ènd opportunittÈs that exist in the charity, includin8 the extent of mèna8ement blas. which present a potential for irrÈ8ularittes and fraud to be perwuated. and tsilored eur risk assessment èccordin81y. Using our knowled8e of the charity, together wTth the dixussions hel¢J wTth the chèrity at the plannin8 Sts8e, we fermed conclusion on the risk of misststement to irregularittes includin8 fraud and tailored our precethres according to thls rlsk assessment. A.I.E.S.E.C. IU.K.) LIMITED INDEPENOENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF A.I.E.S.E.C. {U.K.) LIMITED The key protrdure5 we undertookto detect irre8ularthes includingfraud during the course oftheaudit included.. Identifyingand testing joumal entrie53nd the overall aC￿￿￿ting record5. in particularthose that were significant and unusual. Reviewingthe linanci315tatement disclosures and determinin8 whether accounting Fx)licies have bpen appropriately applied. Reviewing and challengingthe 355umptions and judgernents Used by management in their 5i8nificant ￿Counting estimate5. Asses5ingthe extent of tompliante. or latk of. with the rdevant laws and Tegulations. Tèsting kÈy income lines, in pa￿[ular cut-off, for evidence of managÈrnent bias. Assessin8 the validity of the dasSi￿allOn of intome. txpèndituit, assets and liabilitlès ljetween unrestrlcted and reStr￿ted funds. Performin8 a physical verification of key assets. Obtalnlng third-party confirmation ol materièl bank ba1￿Ces. Documenting and verityng all sl8nSficènt related party balances and transactlons. Reviewing documentafjen such as thecharity boar*J minutes fordiscussions ol 1rre8u1ar5￿eS Sncludlng fraud. Owlng to the Inherent IimitaDons of an audit. there is an unawoidable risk that we may net have LÈtected some matsrial rnisstatements In the financial starements even rhouEh we hawe properly planned and performed our audit In accordance with auditing standard5, The primary responsibility for the prevention and detection of Irregular￿e5 and fraud rest5 Wlth the tru5tee5 of A further description of our responsibilit*5 is aValtsb￿ on the FinarKial Aekwb'ng Council's website 3t.. https.'/lw¥vw.frc.or8,ukl auditor5re5pon5ibilities. This description forms part ol our auditor'5 report. Use of pur report This report Is made solely to the charitsble company's members. asa body, it) accoidance with Chapter 3 of Part 16 of the Companles Act 2006. Our audlt work has been undertaken so that we mi8ht State to the charltable company's Mem￿15 those matters we are requSred to State to them in an audltorfs report and for no other purpose. To the fullest ￿ent permltted by law, we do not aC￿p1 or assume responsibility to anyone other than the charitable company and the chanta￿e company's members as a body, for our audlt work, for thls report. er for the opinions we have lormed. ro Andrew Rl¢h (Senlor Ststutory for amd Om behalf ol HW Flther LLP Chartered Accountants ststutory Auditor Acre House 11-IS William Roèd London NWI 3ER United Kingdom .02.F8kn2023.... A.I.E.S.E.C. IU.K.) LIMITED ATEMENT OF FINANCIAL A￿1VITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY2022 Total Unrestricted Restrirted Total fvnds 2022 fvnds 2022 fund5 2021 2022 2021 2021 Notes Incoming resources from charitable activities Investments 656.850 433 2.191 659,041 433 555,180 2.￿2 3,425 555.180 2.902 3.425 Other intome 4.187 4,187 Tot*1 Intome 661.470 2.191 663,661 $61,507 561,507 Raisin8 funds 69.138 69,138 48.418 48.418 Charitable activities 7,438 447.438 296.937 296,93? Tplal resour¢es expended 516.576 516.576 345.355 345,355 Net In￿melOrthe yearl Ntt movtm*Nt In lunds 144.894 2.191 147,085 216.152 216,152 Fund balances èt i August 2021 As erlginally reported Prior year adjustment 545,987 (16,0251 54,730 6LX7.717 {1&0251 344.380 (15,2851 54,730 383,825 (15,2B51 As restated 529.962 54.730 584,692 329,095 S4,730 368,540 Fund b•lantes•t 31Julv 2022 674,856 56.921 731,777 529.962 $4,730 584,692 All intome and expÈnditurÈ derwe from t0ntirbuln8atti￿tiÈ$. The statement of financial aCti￿tIeS èlso complies with the requirements lor an income and expÈnditure ètcount under the Companies Att 2￿6. 10- A.I.E.S.E.C. IU.K.) LIMITED BALANCE SHE ASAT31 JUIY2022 2022 2021 as restated Flxed ass￿$ Intangible assets Tangible a55et5 li 149 149 Currefit assÈts Debtors Cèsh at bank and In hand 84,272 761,601 97,778 655,198 845.873 1114,(Y361 752,976 1125,4061 Cr¢dltors'. •moynts lalllngdye wlthln y¢•r Net current assets 731,777 627,570 Total assets less tur￿lt Il*blllt5es 731,777 617,719 Credltors.. amounts lallln8due after mNe than one y￿r 143,0271 Net assets 731,777 584,692 Income fund5 Restricted funds Unrestricted funds 17 56,921 674,856 54,730 529,962 731,777 584,692 02 Feb 2023 The financi•l ststements were approved by theTru5tees¢ii......................... S Shah Trustee Cornparby Re815tration No. 01206976 11 A.I.E.S.E.C. IU.K.) LIMITED ATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 JULY2022 2021 Noies Cash flows from operatln8 aCtl¥llle5 Cash 8enerètÈd from operatkns 21 148.997 226,602 In¥estlni ath¥Mes Investment income re￿ived 433 2,902 433 2,902 Flnanclni acdvlt5es Proceeds of new bank loan5 Repayment of bank loans 43,027 143.0271 Net fash Iu5ed InV&eneratedfr•m financlr 143,0271 43,027 Net Increase In ￿5h al￿ ush equI￿lents 1(6.403 272,531 Cash and cash equivalents at beBlnnlng of yeai 655.198 382,667 C*sh ush ¢iulv*l*nts * *nd tyl￿*r 761.601 655,198 12- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs FOR THE YEAR ENDED 31 JULY2022 Ac¢ountin8 poll¢ies Charity irTrlormatioTr A.I.E.5 E C. IU K.> Limited 15 a priwate compaTh¥ limited byguarantee incorporated in England and Wale5. The registered office Is le MentmoreTerratr. London. En&and, E8 3tyi 1.1 Accountin8 Convention The finèncSal statements have been Prepared In accordan￿ with the charSty'S Memorandum & Arttcles of Assoclatton, the Companies Att 20(￿ and"AccountinE and ReportinE by Charities". Statement of Recommended PracDce applicable to charlttes preparinÉ their accounts in accordance with the Financial Reportingstandard applicable in the UK and Republic of Ireland (FR5 1021" leffective l January 20191. The charity is a Public Benefit Envty as defined by FRS 102. The financial statement5 are prepared in Sterli￿ whith is the functional Currency of the charity. Monetary 3mount5 In these linancial statements ère rounded to the nearest £. The financi315tstements have been prepared Under the historical cost con%tntion. The principal accounting policie5 odopted re Set out below. A5 stated in the Trustees, Report, the Trustee5 h3ve considered the effect of the Co¥i&l9 outbreak on the Charity. Covid-19 continued to diyupt the 3thiitie5 of the charty throughout the ￿ar, partKularly in rel3bon to Exch3n8e Scheme actlvibes. owever the chariiy had a very successful year in relatioTh to its ATS 3ctivitieg. which helped to oft5et the fall in income from Exchange kheme. In additron to this, the charity took steps to reduce cost5 where possible, and was succe55fvl in reducing expenditure Significantly in the year. 8ased on the charity's cash reserves and financial projecbon5, the Trvstees hove a reasonable expectatton that the Charity can conttnue as a goin8 ¢oncern for the loreseeable future and thus the finanrial ststements have been prepared on the 80in8concem b•si5. 1.3 c￿TI￿bIe fund5 Unrestritted funds are avallable for useatthe discretkn of the Trustees in lurtheranceof their charitable objecfves. Restri¢ied funds.. funds svbjert to spe¢ifi¢ ¢ondi￿0Th$ •$ to how they may be used. The purposes and uses of the restrl¢ted funds ère set out in the notès to the finèhcial statements. 1.4 Incomln8 re$our£es Income is rece8nised when the charity is legally entttled to Tt after any performance coThdittons have been met, the amounts can be measured reliably, and it is probable that income will be re￿IVed. Cè5h donations ire retO8nised on receipt. Other dofiation5 are [￿O￿nIsed once the charity ha5 been notilied of the donation, unle55 performancÈ tonditiOll5 require deferral of the amount. Income tsx rÈ£o¥erable in relation to donètion5 received under Gift Aid is reco8nised ètthe time of the donation. 1.5 Resaurce5 expended All expenditvre is accounted for on an accruals basis and has been induded under expenses categones that èggregate all costs for allocation to 3th¥ities Where cosrs cannot be directl¥ aitribuied to parricular acDviries they hawe been èllocated on a basis consistent with the useof the resource5. Support Costs are those cost5 incurred in 5uprrt of achieving Ihe objectwes of the tharity. G￿ernance costs a￿ those incurred in compliance with conslitutional and Strt￿ory requirements. 1.6 ItKanElblefixed assets Intangible a55et5 are recognTsÈd at C05t and are subsequentty tnÈasuTÈd at (05t less atcumulated amDrb5ation and accurnulated impairment1055e5. 13- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 Accountins policie5 Icontinuedl Amorti5ation is recognised 50 as to write off the cost of 355ets le5S their residual value5 over their useful lives. which Is e5tirnated at 3 year5. 1.7 TIn￿ble flxed assets Tangible fixed a55et5 are initialty measured at C05t and 5ub5equently rneasured at C05L netof depreciation and any irnpairrnent 1055e5. Depreciation is providetl at rate5 calculated to write olf the c05t of each asset over its experted useful life, which 15 e5tirnated at 3 year5. The gain or loss arising on the disposal of an a55et 15 determined as the difterence between the sale proceed5 and the carrying value of the asset, and is recognised Irs net incomellexpenditurel forthe year. 1.8 Cash and eash eq¥lvalents Cash and cash equivalents include ¢a5h in hand. deposits held at ¢411 with banks, other 5hort-terrn liquld Investment5 Wlth original m•turiOes ol thre¢ molllhsor les& 1.9 Flnintlil Ihrtruments The charity has elected to 3pply the provisions ol Secbon 11 Tasic Financial In5trument< and Section 12 '0ther Financial In5trvment5 15sues' of FRS 102 to all of it5financial in5trument5. The Chèrity onty has Nnandal asset5 afKI financlal Ilabilitle5 01 a kind that qualify as bè5K Inancial instrurnents. 8a5k financial instruments are inittolly recognised at tran￿￿on value and 5vbsequentty measured at their 5e¢tlement value. 1.10 Employee b*nehts The cest of any unused holldayentstlement 15 reco8Trlsed in the Feriod kn which the employee's se￿ceS are re￿Ived. Termination benefits are recognlsetl Immediately as an expense when the charlty15 demonstrably commltted to terrninate the employment of an employee or to prowde teiminatKin benefits. 1.11 Reyrement beneffts Payments te defined Contribu￿On retirement benefft sthemes are char8ed asan expense astheyfall due. crI￿(al accouTrtlng eSdm*esar￿1￿d8eO￿nts The Tru5tee5 are satisfied thereare no material e5ty"rnate5 or judgernents in the financial 5tsternents. 14- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 Inromlng resourcesfrom charltable acty¥ities Unre5trlrted Unre5trlrted fvnds fvnds 2022 2021 Fees from Exchange Scherne Fees from Atcessfier 5 programme 96.324 562,717 20.508 534,672 659,041 555,180 Analysis by fund Unrestricted funds Restricted fund5 656,850 2.191 555,180 659,041 555,180 Inve#ments UThresthcted funds Unrestrlcted funds 2021 2021 Interest recÈivèble 433 2.902 Other In¢orne Unrestrlrted lunds funds zozz 2021 Other income 4,187 3,425 15- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 Ralslns fvnds Unrestricted Unrestricted lunds funds 2022 2021 Other fundraising Costs StafF costs Support £ests Governance costs 216 37,352 29,729 1,841 216 35,022 11,420 1.760 69,138 48.418 16- LD O fn r4 ) t¥ A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 Support ¢Q5ts ZOZZ Support costs Gevernance costs 2021 Staff costs Depreciation offi Markettng Other Le831 and proftsslonal 51.987 149 55.208 1.647 61.132 4.751 51,987 149 55,208 1,647 61.132 4,751 39,243 120 43,474 160 127.1211 11.299 39,243 120 43,474 160 11.299 Audlt fees Board Meetingcosts 16.059 2,276 16,059 2,276 8,850 1,505 8,850 1,505 174.874 18.335 193,209 67.175 10,355 77,530 Analysed bètween 29.729 145,145 1,841 16,494 31,570 161,639 11.420 55,755 1,760 8,595 13,180 64,350 Chafitable acttvltbes 174.874 18.335 193,209 67,175 10,355 77,530 Trustees None of the trustees lor any persons connected with theml recelved any femunerafjon or were relmbursed for expenses durin8the year12021'. nonel. io Employee5 The average monthly number employee5duringthe ￿ar wa5.. 2022 Number 2021 Number li io Employmeffl costs 2021 Wa￿5 and salaries Social security costs Other pensien tosts 281.[￿Jg 19,490 4,113 267.030 6,528 3,492 304,612 277,050 There We￿ no employee5vih05e annual remuneration was É60.(M) or rnNe. 18- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 li Intsnsiblefixed assets Websfte Cost At I Au8USt 2021 and 31 2022 18,688 Amort(satlon At l August 2021 and 31Juty 2022 18.688 At 31 July 20213nd 31 July 2022 Tan8fjble flxed assets Flxtures.fftd￿s & e4ulprMnt Cost At l August 2021 4,898 At 31 July 2022 4.898 O*precl*don ¥nd lrnp•lnn•nt At l Augusi 2021 0epreela￿0n char8ed ifi the year 4,749 149 At 31 July 2022 4,898 At 31 July 2022 At 31 July 2021 149 Debtws zozz 2021 Arnourbtslalllns due wlthln (￿e￿ar= Trade debtor5 Other debtors Prepayments and accrued income 59,448 20,286 4,538 87,814 5,0(N) 4,964 84,272 97,778 19- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 14 Credltors-. amoyntsfallingdue ¥thin one zozz 2021 a5 re5tsted Other taxation and social 5ttvrity Trade creditors Other creditors Accruals and deferred income 73,846 5,322 21,428 13,500 74,768 567 38,846 11.225 114,C86 125,406 Prlor perlod adlu#ment The prior period adjustment of GBP 16.025 relate5t• amoynt5tywin8to HMRC in respert of a ¢han8e in VAT poliry that AIESEC hwe implemented p05t the finan¢i#l yetyr. Follo¥Yin8 a wluntsry rfftpiew ol the VAT position. the ¢h#rity has filed updated VAT talculèdons for the previou$ 36 months to ètcount lor the than8e ifi the VAT positlon. Post yèar en4 the tharlty has fully settled the amounts owln8 to HMRC. 15 Credltors: amounts lalllnidue iftermore ane yea 2022 2021 6ank loans 43,027 This loan was taken out èt the be8Tnnin8 of the COVID 19 pandemic, due to the uncertainly of how slgnlficant the impatt of the virus would be te the charity. In the end, the Charity did not need to use thesefunds, and therefere paid them back. The loan was fully re￿Id on 18 October 2021. 16 Retlrement bwefft sthemes Deflned sthemes The chèrity opÈr*e5 a defined contiibufjon pension scheme for a119ualifyin8 employees. The assets of the scheme are held separately from those of the charity in an independÈntly administered fund. The £har8e to profft or loss In respertof defined Contributlon sthemeswas £4,11312021- £3,492>. -20- A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 17 Restrlded fvnds The incorne funds of the charity include Testricted lund5 Compri￿￿8 the fDllowng unexpended balances of donation5 and grants held on trust for Speci￿ purpDses'. Movement In funds Lince•t IAuBWt IOZO Balanreat l Aug￿1 Z021 Incornthi ealance at 31 july 202Z AIESEC IUKI Exchange D￿pment Fund AIESEC IUKI Travel Fund AIESEC IUKI LC Developrnent Fund AIE5EC IUKI Conference Contin8ency Fund AIESEC IUKI Contingency Fund 1,004 5,000 3.436 5,000 42.481 14.7941 1.245 9.794 1.245 2.191 52.275 19.7941 42,481 54.730 54.730 2,191 56,921 Pvrp¢s¢ of Restrirted Funds AIESEC IUKI Confjn8enty Fund In the year to 31 July 2017, a resolU￿On wès passed by the membtrs of AIESEC IUKI and rèiiAed bythe Trustees of the AIESEC Founda￿On to trènsfer the LC Restrirted Funds back to AIESEC UK fvom AIESEC Foundètton. This wès u￿ert3keTh on I November 2016 with the transfer of £75,237. AIESEC IUKI Exchan8e Development Fund The Fund exists to èssist exchan8e deb*lopment in local committees. k￿ld1t)8 stsbsldles frJr local commlttees to work on Exchange durln8 holiday periods, capital for Exchan8e related projertsand money to hold receptton events in the UK. AIE5EC IUKI Travel Fund The Fund exists to pro￿de hnanclal asslstsnce to hxal ¥dUn￿r5 to offset the wsts of trawel ro nafjonal and Interna￿onal conferences. AIESEC IUKI Conference Contyngency Fund This Fund wa5 previously known as the Naty"oTral Support Fund. The fund exists to bring internation* trainers to UK conferences and to subsidise training arbvibes at conlewces and UK local committee5. AIESEC IUKI Local Committee Developrnent Fund Thi5 Fund exists to provide linancial a5515tanceto l(K41 comrnittee5 who demonstrate a need. 21 A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 alysls of net avts brtwttn lunds Restrfc*d funds 2022 Totsl Unrestricted funds 2021 Restricted funds 2021 Total fvnds 2022 2022 2021 Fund balances at 31 July 2022 are represented by= T3nwble assets 149 572,840 143.0271 149 627,570 143.0271 674.856 56.921 731.777 54,730 Lon8term liabilitie5 674.856 56,921 731.777 529,962 54,730 584,692 19 Operatlng lease commltmeThts At the repothng Ènd dbte the charity had outstanding Mmmitments for fvture mlnimum le•se payments under non- cancell3blÈ opÈratln8 leases, which fall dueas follows.. 1021 2021 Withln ¢ne year 36,300 39.325 io Rdated wrtytranslthons There were no related p•rtytronsa¢ikns in theyear12021.' rbwel. RemUMern￿0tt ofkey manayment pÈrsMmtl management personnel In the year ended 31 Jul¥ 2022 comwised the board of Trustees and the ATS team, Totsl remvnerotyon paid to key management per￿nnel is showTh below. The trustees receive no remuneration. 2022 2021 Aggregate remuneration 132,383 113,311 A.I.E.S.E.C. IU.K.) LIMITED NOTE5 TO THE FINANCIAL ￿ATEmENTs {CONTINUED) FOR THE YEAR ENDED 31 JULY2022 21 sh 8enerated from operatiw$ 2022 2021 Surplu5 forthe year 147,085 216,152 Adju5trnent5for.' Investment Income recoEnised in statement of fi.nancial actmties Oepreciation and impairment oltanwble fixed a55ets 14331 149 12,9021 120 Movements in workin8 capital.. Decreasellincreasel In debtors IDecreaselllncrease in cieditors 13,506 154,1021 67,334 Cash ienerated from ¢>pevatlons 148,997 226,602 22 Analy￿5 of (han8es In ￿ funds iW2021 At31 July2022 Cash èt bènk and In hand 655,198 IC6,403 761,601 Loansfallin8 due after more thèn oneyear 143,0271 43,027 612,171 149,430 761,601 -23-