THE ROMANIAN CHALLENGE APPEAL TRUSTEES' REPORT AND UNAUDITED ACCOUNTS FOR THE YEAR ENDED 30 JUNE 2014

Transcription

1 Charity Registration No THE ROMANIAN CHALLENGE APPEAL TRUSTEES' REPORT AND UNAUDITED ACCOUNTS

2 LEGAL AND ADMINISTRATIVE INFORMATION Trustees Mr Nigel. J Squibb Ms Sally. E Solomon Rev. Fr. Wilton Charity number Principal address Independent examiner Bankers Avon House 435 Stratford Road Shirley Solihull West Midlands B90 4AA Jerroms The Exchange Haslucks Green Road Shirley Solihull West Midlands B90 2EL Lloyds TSB Bank plc 9-11 Poplar Road Solihull West Midlands National Westminster Bank PLC 1 St Philips Place Birmingham West Midlands B3 2PP

3 CONTENTS Page Trustees' report 1-3 Independent examiner's report 4 Statement of financial activities 5 Balance sheet 6 Notes to the accounts 7-11

4 TRUSTEES' REPORT The Trustees present their report and accounts for the year ended 30 June The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charity'Trust deed, the Charities Act 2011 and the Statement of Recommended Practice, "Accounting and Reporting by Charities", issued in March Structure, governance and management The charity was established by a charitable trust deed dated 22 May The Trustees who served during the year were: Mr Nigel. J Squibb Ms Sally. E Solomon Rev. Fr. Wilton Recruitment and appointing of new Trustee's is governed by a policy laid down by the Trustee's and is avaliable for inspection. Statement of Trustees' responsibilities The Trustees are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the Trustees to prepare accounts 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 year. In preparing these accounts, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts; and -prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The Trustees are responsible for keeping sufficient accounting records that disclose with reasonableaccuracy at any time the financial position of the Charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonablesteps for the prevention and detection of fraud and other irregularities. The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the ebsite. Legislation in the United Kingdom governing the preparation and dissemination of accounts may differ from legislation in other jurisdictions. The Trustees has assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks. -1 -

5 TRUSTEES' REPORT (CONTINUED) Objectives and activities The Charity was founded in 1991 to work towards the relief of poverty and mental or physical sickness amongst people in Romania and in particular the children by all charitable means including the provision of medical assistance and education. It established the independent Romanian humanitarian foundation O Nouă Viaţă (ONV) in 1997 to work with the Romanian state and has strong representation on its management committee. RCA has for many years had the goal of supporting and guiding the work of ONV, rather than direct intervention by a foreigncharitable organisation, and since the early 2000s, all funds raised by RCA have been donated to ONV. Plans for Next Year To: Continue the handover of fundraising to ONV, and to generally wind down fundraising activities within the UK. It is anticipated that going forward, the majority of funds used for projects within Siret and Suceava will be raised within Romania directly by ONV. Continue support of ONV with whatever funding is available, together with mentoring members of the ONV committee, who have similar responsibilities to a charity trustee in the UK. Continue working on fundraising strategies and campaigns with ONV. Handover management of the monthly sponsorship programs currently run by RCA to ONV. This should facilitate more meaningful contact between the sponsors and the recipients, and a better flow of information. Operate within the UK for the lowest possible cost. The transitional CEO was not replaced after his contract finished in August 2013, and the charity now has no permanent staff. Continue promoting the goals set out in 1991 when the charity was formed. Achievements and performance Fundraising for Romania within the UK has become increasingly difficult for all charities over the last few years, and RCA's fundraising performance has been disappointing. Against this background, we are confident that our decision to wind down activities with the UK and concentrate on support of ONV is correct. The RCA office has been closed, and the charity now operates from a small serviced office, with minimal administrative overheads. ONV has started independent fundraising activities within Romania. A Sponsored Walk with many commercial sponsors took place in September which raised over 16,000, and it is planned to make this an annualevent. -2 -

6 TRUSTEES' REPORT (CONTINUED) Financial review It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month s expenditure. The Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year. The Trustees have the powers to invest as they see fit and they also have the power to appoint investment managers. At the present time there are no investments held by or on behalf of the Charity. On behalf of the board of Trustees Mr Nigel. J Squibb Trustee Dated: 28 November

7 INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE ROMANIAN CHALLENGE APPEAL We report on the accounts of the Charity for the year ended 30 June 2014, which are set out on pages 5 to 11. Respective responsibilities of Trustees and examiner The charity's Trustees are responsible for the preparation of the accounts. The charity's Trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act)and that an independent examination is needed. It is our responsibility to: (i) examine the accounts under section 145 of the 2011 Act; (ii) 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 (iii) to state whether particular matters have come to my attention. Basis of independent examiner's report My examination was carried out in accordance with the general Directions given by the Charity 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 you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently 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. Independent examiner's statement In connection with our examination, no matter has come to our attention: (a) which gives us reasonable cause to believe that in any material respect the requirements: (i) to keep accounting records in accordance with section 130 of the 2011 Act; and (ii) to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act; have not been met; or (b) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. Jerroms Chartered Certified Accountants The Exchange Haslucks Green Road Shirley Solihull West Midlands B90 2EL Dated: 28 November

8 STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT Unrestricted Restricted Total Total funds funds Notes Incoming resources from generated funds Donations and legacies 2 50,850-50,850 83,001 Investment income ,850-50,850 83,007 Incoming resources from charitable activities ,203 Other incoming resources 5 9,770-9,770 5,984 Total incoming resources 60,620-60,620 92,194 Resources expended 6 Governance costs 43,537 30,000 73, ,727 Total resources expended 43,537 30,000 73, ,727 Net income/(expenditure) for the year/ Net movement in funds 17,083 (30,000) (12,917) (22,533) Fund balances at 1 July ,488 30,000 36,488 59,021 Fund balances at 30 June ,571-23,571 36,

9 BALANCE SHEET AS AT 30 JUNE Notes Fixed assets Tangible assets Current assets Debtors 10 10,630 5,189 Cash at bank and in hand 14,801 39,264 25,431 44,453 Creditors: amounts falling due within one year 11 (1,860) (8,298) Net current assets 23,571 36,155 Total assets less current liabilities 23,571 36,488 Income funds Restricted funds - 30,000 Unrestricted funds 23,571 6,488 23,571 36,488 The accounts were approved by the Trustees on 28 November 2014 Mr Nigel. J Squibb Trustee -6 -

10 NOTES TO THE ACCOUNTS 1 Accounting policies 1.1 Basis of preparation The accounts have been prepared under the historical cost convention. The accounts have been prepared in accordance with applicable accounting standards, the Statement of Recommended Practice, "Accounting and Reporting by Charities", issued in March 2005 and the Charities Act Incoming resources Legacies to which the charity is entitled are included in the statement of financial activities unless they are incapable of measurement. Cash collected to which the charity is legally entitled but which has not been received at the yearend is included as income 1.3 Resources expended Expenditure which is charged on an accruals basis, is allocated between: i)the costs of generating funds. These include: a) Costs of generating voluntary income b) Costs of fundraising trading ii) The costs of charitable activities. These comprise all the resources applied by the charity in undertaking its work to meet its charitable objectives; iii) The costs of governance. These include the costs of governance arrangements which relate to the general running of the charity and the compliance with constitutional and statutory requirements. Unrestricted funds are donations and other incoming resources received or generated for expenditureon the general objectives of the charity. 1.4 Tangible fixed assets and depreciation Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows: Plant and machinery 33% straight line 1.5 Pensions The Charity operates a defined contributions pension scheme. Contributions are charged in the accounts as they become payable in accordance with the rules of the scheme. 1.6 Foreign currency translation Transactions denominated in foreign currencies are recorded at the rate ruling at the date of the transaction. -7 -

11 NOTES TO THE ACCOUNTS (CONTINUED) 2 Donations and legacies Donations and gifts 30,791 61,389 Grants receivable for core activities 20,059 21,612 50,850 83,001 3 Investment income Total Total Interest receivable Incoming resources from charitable activities Total Total Income from Raffle Tickets - 3,093 Ticket sales interest ,203 5 Other incoming resources Gift Aid 9,770 5,

12 NOTES TO THE ACCOUNTS (CONTINUED) 6 Total resources expended Staff Other Total Total costs costs Governance costs 9,653 63,884 73, ,727 Staff wages costs include national insurance contributions of 321 ( ,202) Other costs: Insurance 458 Donations to O' Noua Viata 48,703 Telephone and fax 216 Motor expenses 30 Travelling 917 Project consultancy fees 1,460 Bookkeeping expense 3,600 Accountancy 1,740 Sundry expenses 1,410 Bank charges 265 Depreciation 333 Incidental expenses - Office and stationery 611 Rent and rates 4,079 Exchange rate gain 62 63,884 Payments to O'Noua Viata (a charitable foundation, established in Romania) consists of general charitable purposes costs. 7 Trustees None of the Trustees (or any persons connected with them) received any remuneration during the year. -9 -

13 NOTES TO THE ACCOUNTS (CONTINUED) 8 Employees Number of employees The average monthly number of employees during the year was: Number Number Site worker in Romania - 1 Fundraising & Administration Employment costs Wages and salaries 9,653 79,469 There were no employees whose annual remuneration was 60,000 or more. 9 Tangible fixed assets Fixtures, fittings & equipment Cost At 1 July 2013 and at 30 June ,549 Depreciation At 1 July ,216 Revaluation 333 At 30 June ,549 Net book value At 30 June At 30 June

14 NOTES TO THE ACCOUNTS (CONTINUED) 10 Debtors Other debtors Gift Aid 9,770 4,325 Prepayments and accrued income ,630 5, Creditors: amounts falling due within one year Trade creditors Taxes and social security costs - 1,671 Other creditors - 4,791 Accruals 1,450 1,450 1,860 8, Related parties Romanian Challenge Appeal has set up a Romanian charity called O Noua Viata ( A New Life) and now work closely with local government and the Romanian Child Protection Department. The aim is to provide training to local Romanians to run O Noua Viata and organising fundings from within Romania so that one day the charity will run independently of international aid. During the year 48,703 (2013-6,000) was spent on general charitable purposes for O Noua Viata. 13 Control There is no ultimate controlling party