Charity Registration No. 1122809
Company Registration No. 05717237 (England and Wales)
PEARL OF AFRICA CHILD CARE LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
PEARL OF AFRICA CHILD CARE LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees
R G Whaite, Chairman
R Brocken
D Tonge
E Tonge
L Bell
J Griffiths
Charity number
1122809
Company number
05717237
Registered office
2 Mill Cottages
Llangynidr
Crickhowell
NP8 1NW
Independent examiner
Rickard Luckin Limited
1st Floor
County House
100 New London Road
Chelmsford
Essex
CM2 0RG
Bankers
NatWest Bank Plc - Lewes
11 High Street
Lewes
East Sussex
BN7 2ZX
Barclays Bank plc
Burgess Hill
Lewes Area Branches 1
Lewes
East Sussex
RH15 9BD
PEARL OF AFRICA CHILD CARE LIMITED
CONTENTS
Page
Trustees' report
1 - 9
Independent examiner's report
10
Statement of financial activities
11 - 12
Balance sheet
13
Notes to the financial statements
14 - 22
PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 1 -

The trustees present their annual report and financial statements for the year ended 28 February 2023.

Objectives and activities

Pearl of Africa Child Care Ltd (PoACC) is a registered charity whose purpose is to improve access to education, health and welfare for children suffering through disease, war and poverty in Uganda.

We work towards this purpose by supporting our beneficiaries the Molly and Paul Child Care Foundation (MPCCF, or Molly and Paul Foundation), a registered Ugandan non-governmental organization (NGO) and charity (registered number (Uganda) S.5914/481 NGO), with whom we have a close working relationship. This relationship is governed by a Memorandum of Understanding. With origins over 40 years old, today MPCCFs team runs 5 schools, a kindergarten, 10 childrens homes, and a clinic in Masaka, Southern Uganda. They provide education, food, accommodation and basic healthcare for over 1,200 children, many of whom are marginalised and living below the International Poverty Line.

Working together, our main areas of activity are:

 

It is confirmed that, in carrying out the charitys activities, the Trustees have had regard to the Charity Commissions guidance on public benefit.

We continue to rely on the generosity of volunteers across the country who gift their time, money and enthusiasm to the work of the Charity. Many of our volunteers have shown extraordinary commitment and we are indebted to them all.

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 2 -

Safeguarding

The Trustees of Pearl of Africa Child Care (PoACC) recognise the importance of its work with children, young people and adults in need of protection and its responsibility to protect everyone entrusted to our care.

 

PoACC is committed to the safeguarding of children, young people, adult choir members, accompanying adults and vulnerable adults and ensuring their well-being and we respect the rights of children as described in the United Nations Convention on the Rights of the Child.

 

We recognise that we all have a responsibility to help prevent the physical, sexual, emotional abuse and neglect of children and young people (those under 18 years of age) and to report any such abuse that we discover or suspect. Beyond the statutory categories of children and vulnerable adults, PoACC also recognises the potential vulnerability of the adult Ugandans we work with, both here in the UK and in Uganda.

 

PoACC has long had a designated Safeguarding Officer and Deputy Safeguarding Officer and has adopted the procedures set out in the PoACC Safeguarding Policy in accordance with statutory guidance and the ten safeguarding standards developed by Thirtyone Eight (formally known as CCPAS) – an independent Christian charity of which PoACC is a member. This policy is subject to regular review by the Officers and Board, with recent attention being particularly directed to the growing problems of exploitation through the internet and social media.

PoACC strives to ensure no child or adult will be disadvantaged should they make a disclosure or allegation of abuse and aims to empower choir members and accompanying adults to tell us if they are suffering harm, whether here in the UK or in Uganda.

 

During MPCCFs fund-raising choir tours in the UK, all relevant host families are subject to enhanced Disclosure & Barring Service (DBS) checks, and in accordance with best practice we have a policy of renewing DBS checks every 3 years.

 

PoACC has worked closely with MPCCFs Board to draft and implement a Child Protection Policy for use in the Foundation and all of the units. This has included ongoing training for all members of staff within MPCCF.

 

We are proud to support an organisation that is one of very few NGOs in Uganda with both a Child Protection Policy and Child Protection Officer. (At the time of writing, the post of C.P.O. is temporarily vacant.) We have shared the Ugandan Child Protection Policy with other interested charities and NGOs, to help protect other vulnerable children.

Covid-19 pandemic

Since schools in Uganda reopened in January 2022, the number of children returning to Molly and Paul Foundation schools has decreased from 2,000 to 1,200. The Covid-19 pandemic significantly impacted communities around Molly and Paul Foundation schools who were already marginalized — and often struggling for the basics, including food, adequate sanitary facilities and medical care. During the pandemic as families lost income, children who would have usually been in school took up additional responsibilities at home, which continued even after schools reopened. Girls have been hardest hit with the number of adolescent pregnancies significantly increasing during the pandemic. A challenging re-entry policy in Uganda for pregnant and young mothers has also made it difficult for them to return to school post-pandemic.

 

As reported in 2022, even for students who have returned, a large proportion are no longer able to contribute even partially towards school fees, which has meant the MPCCF schools have faced another tough financial year.

 

Because of the continuing uncertainties about travel restrictions in the UK and Uganda, and the fact that vaccine coverage for the adults was not complete, Trustees - in consultation with Tour Area Coordinators and loyal school partners - in Spring 2022 made the difficult decision not to arrange a choir tour for Autumn 2022.

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 3 -
Achievements and performance

As a consequence of the cancellation of the Choir Tours and other fundraising opportunities, in 2020 PoACC was forced to scale back its financial support of MPCCF. In consultation with MPCCF, the Trustees of PoACC decided that the regular transfers to MPCCF would be reduced by ⅓ in order to extend our funds further during this time of reduced income to the Charity. This measure was taken reluctantly, as we were aware of the impact this decision would have on lives in Uganda. These measures remained in place during the 2022-2023 financial year, and allowed PoACC to continue with bi-monthly payments to MPCCF throughout 2022-2023. This continued funding was made possible by the regular receipts from our base of loyal supporters who had committed to donate by way of standing orders; they kept the show on the road” and we are immensely grateful to them all.

 

During 2022, Trustees began to plan for a Choir Tour in Autumn 2022, and made initial contact with previous area coordinators, volunteers and schools to gather feedback, and gauge interest levels and commitment. Although initial feedback was positive, a greater degree of certainty was required before we could commit to a full choir tour, so there was no tour in 2022.

 

In December 2022, Trustees decided to invite Annet Kaigwa, Managing Director of Molly and Paul Foundation, to the UK in Spring 2023 for two weeks to connect with past supporters, to explore the potential of new areas, and drive engagement for a tour in Autumn 2023

 

During the planning for these visits Trustees continued to look for other fundraising opportunities, and were delighted to receive considerable donations again from Ormskirk Clocktower Rotary Club and individual supporters based in the North West and North East of England alongside our regular-giving donors located across the country. We continue to thank each and every one of our supporters for their loyalty during these very difficult and challenging times; it simply would not have been possible to continue to support MPCCF without this.

 

In 2022-23 we continued to fund the audit of MPCCF accounts by reputable auditors in Uganda with expertise in the field of NGOs. Because of travel restrictions and delays in Uganda due to the Covid-19 pandemic, one audit had been delayed and so two audits of the Molly and Paul Foundation were completed in 2022. Alongside other volunteer organisations, charities and individuals, we continue to provide professional support and advice to MPCCF, especially in the fields of teaching, management and accounting, agriculture, and safeguarding.

 

Through our close working relationship, we are confident that MPCCF deliver the financial accountability and transparency to a level that eludes similar organizations in many countries, and supported by a volunteer in the UK we continue to monitor the Foundations accounts on a monthly basis to check they appropriately apply the funds entrusted to them, working through any queries raised by the auditors or ourselves

 

In February 2023 we were delighted that three Trustees were able to visit the MPCCF in Uganda; the last visit had been in February 2020, just before Covid-19 restrictions began.

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 4 -

Upon arriving at Kamuzinda Childrens Village, where PoACC supports two schools, ten homes and a clinic, the impact of Covid-19 was evident to Trustees, with many school buildings, classrooms, accommodation and sanitation facilities in dire need of repairs. During the visit, Trustees and volunteers funded or helped to:

 

 

During the visit, Trustees met with Directors from the Molly and Paul Child Care Foundation to discuss the challenges they were facing. The main challenges highlighted include -

 

KAMUZINDA

 

NKB

 

WHEELING

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 5 -

Trustees discussed with Annet Kaigwa, Managing Director of The Molly and Paul Foundation the implications of the new curriculum that had been brought in by the Government, and the requirements in the classroom. Trustees observed that the new curriculum moves away from theory-based learning and looks to incorporate vocational aspects of learning; however, the teaching materials are very limited (including books, electronic devices, wi-fi, etc.) which presents huge challenges. Teaching staff had not had the time to read and understand the new curriculum before it was rolled out and as a result the quality of teaching has been affected.

 

In April 2022, Trustees had made the difficult recommendation to MPCCF that operations at the Farm School needed to cease. With fewer students returning post-pandemic, the unit cost per head far exceeded that of other schools. Although this was a difficult decision MPCCF agreed with the recommendation and closed the school, incorporating O-Level classes into Nazarene High School. During the Trusteesvisit, it was observed that a small number of volunteers from within the MPCCF school community were using facilities at the Farm School to support feeding initiatives within the homes. Additionally, these volunteers were also teaching children boarding at school in Kamuzinda skills in agriculture. Trustees thought that this was an excellent use of the facilities and hope in the future there will be a large enough demand that the Farm School can reopen.

 

The Kamuzinda Clinic has continued to offer invaluable services to the Molly and Paul Foundation school children and staff. In addition, it is the only clinic offering services to the local population within a 7-mile radius (8 villages) and its licence has been renewed as a level 3clinic overseen by a Clinical Officer, who visits weekly.

 

Abubakar, the senior lab technician who runs the Clinic, continues to complete training (funded by a UK volunteer) to become a Clinical Officer, thereby reducing the need to employ a visiting C.O.

 

The Clinic continues to health-screen all MPCCF school children and, thanks to the additional investment in WASH facilities and awareness during Covid-19, general hygiene continues to improve. Treatment at the Clinic has remained free to all MPCCF staff and students. Local community members who use the clinic contribute a little towards their treatment costs, but also live in extreme poverty making it difficult for the Clinic to recoup costs.

 

Most admissions are of those with malaria during the two rainy seasons.  Staff have had to resort to using both first and second lines of treatment compared to only using first-line treatment in the past. The provision of mosquito nets to the MPCCF homes always fluctuates and one of this Charitys main priorities is to improve the provision of protection against malaria.

 

30% of the Clinics budget goes on drugs, yet supply of drugs is precarious because of funding pressures. When adequate funding has ensured a good supply of drugs, the Clinic has been busy, diagnosing and treating malaria and other conditions, offering in-patient treatment and referrals when necessary to Masaka Hospital. Approximately two-thirds of the Clinics costs are met by contributions from the UK; PoACC is seeking to reduce the shortfall.

 

Upon visits to schools operated in Kampala by the Molly and Paul Foundation, similar challenges were presented with school buildings, classrooms and sanitation in need of repair. Unfortunately, because of the limited funding available, only emergency repairs could be completed. This decision was taken as these schools typically support fewer children, and those who do attend because they are based near the city can often pay a little towards fees meaning the school has a little more funding it can rely on, compared with Kamuzinda which is based in a very rural community.

Another highlight during 2022 was the ongoing support from partner school Richard Lander (Truro). Pupils and staff at Richard Lander have continued to support the Molly and Paul schools in Uganda, particularly with Nazarene Vocational High School. Fundraising at Richard Lander School continues to support an agriculture project (for building timber and firewood), the day-to-day running of Nazarene Vocational High School and specific projects. Prior to the Covid-19 pandemic, students from Richard Lander School would visit Uganda on a regular basis and although no visit took place in 2022, fundraising continued and the school scheduled a visit to Uganda in July 2023. During the visit, students focused on improving living and learning conditions for Ugandan students, repairing and maintaining buildings and sanitation, and providing learning resources.

 

Pearl of Africa Child Care would like to thank all the trustees and volunteers who visited MPCCF at their own expense in 2023, and staff within The Molly and Paul Foundation for their time, commitment, openness, and hospitality during the trustee visit.

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 6 -
Financial review

Of outside sources or bodies, PoACC continues to make the biggest contribution towards MPCCF operations.

 

As has been previously reported, the cost of MPCCFs operations exceeds the funds available to it and so, with advisory input from us and others, MPCCF continues to review, the scale and nature of its operations: MPCCF aspires to be self-sustainable and continues to move towards this objective, developing schemes that generate more income locally.

 

The Covid pandemic, and subsequent economic conditions and the climate crisis faced by communities in sub-Saharan Africa together provide a very challenging operating environment.

 

Our incoming resources for the year amounted to £55,240, compared with £73,260 the previous year. As a result of the pandemic, the Charity, as explained above, has been forced to scale back its financial support to MPCCF.

 

At the year end the charity held total funds of £41,164 (2022: £62,742) this consisted of unrestricted totalling £30,809 (2022: £52,146) and restricted funds of £10,355 (2022: £10,596).

 

We recognise that dependency on fundraising tours needs to be reduced by attracting funding from a greater variety of sources, and initiatives are being taken in this direction.

 

The net funds raised are allocated in proportion to the MPCCFs budget for the relevant calendar year and we make transfers by instalments, normally on a bi-monthly basis.

 

PoACC governance costs and expenses are kept to a minimum. Apart from the cost of running the tour (when a tour is possible), insurance, and bank charges for the transfers to Uganda, all our income is transferred to benefit the children we support. Some funding we send is restricted for particular purposes, such as specific projects for food or building work as per donor requests.

Reserves

Ordinarily our reserves would be kept at a level that allows us both to spread our budgeted funding over the financial year and, monitoring our beneficiariesneeds, to meet occasional emergencies should they arise. The loss of income caused by the pandemic represents a prolonged emergency and, accordingly, we have been forced to draw on those reserves. Our budgets are discussed in advance with MPCCF and they are aware of our current financial situation.

 

PoACC does not generally incur liabilities (such as rent or salaries) and uses, directly or indirectly, virtually all its funds for its beneficiaries in Uganda. The level of unrestricted (designated) reserves is kept to a minimum consistent with a fairly even distribution throughout the year.

Risk management

The Trustees have regularly reviewed the risks to which the charity is exposed and focusing on the Charity Commissions Risk Assessment Cycle, have implemented a risk management strategy that comprises:

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 7 -

Certain risks are inevitable because of the nature of the activities we engage in and their location in Uganda. We actively manage these risks.

 

Certain risks relate to the size and structure of the beneficiary organisation and its need to become more self-sufficient. To help manage the available resources, and to mitigate such risks, we seek to appoint a Chief Operating Officer to MPCCF to strengthen its management, and help oversee development. This plan has been agreed in principle by the Boards of both PoACC and MPCCF

 

We have a Memorandum of Understanding (MoU) with MPCCF. This governs our working relationship, and provides for accounting, reporting, and other essential matters. The MoU codified and built on the TAPprinciples that have applied since the start of the relationship: that is, the principles of Transparency, Accountability, and Participation (i.e. active participation by all parts of MPCCF, not just senior management). Pursuant to the MoU, the Charity's relationship with MPCCF is itself subject to regular review.

 

With the ease on travel restrictions Trustees will aim to visit the Ugandan Foundation we support at least every 2 years for the purpose of assessing and monitoring their activities; between these visits, Trustees of PoACC are in frequent contact with MPCCF by email or phone (including media such as WhatsApp) to obtain additional information and explanation as required, supplementing the regular reports.

Plans for future periods

Among the consequences of the Covid pandemic were loss of the funds generated by the Choir Tours (normally annual) in the UK and increased running costs for MPCCF in Uganda, both of which were causing severe difficulties for MPCCF. Trustees resolved for the coming year (from 1st March 2023) to counter both problems, working (i) to re-establish the Choir Tour and continue to seek alternative or supplementary sources of funding, and (ii) to support and develop agricultural projects, with the aims of producing more food crops within the Molly and Paul Foundation (so as to reduce the costs of purchasing foodstuffs) and also cash crops (such as firewood and building timber).

 

As to re-establishing the Choir Tour for Autumn 2023, Trustees decided (as mentioned above) to lay foundations, after 3 fallow years, by arranging first a pathfinding visit to England by Annet Kaigwa (Headteacher and Managing Director) for Spring 2023, to help to re-connect with existing supporters in key areas, and to explore the potential of adding new areas to the Choir’s itinerary. This visit took place in April, achieving both objectives and confirming there would be sufficient support across the country for a viable tour in the autumn.

 

At the time of writing this Report, this tour has just finished; as soon as all the information has been gathered in Trustees will review and analyse it and begin planning for next year, 2024. We take this opportunity to thank all the schools, churches, and other venues for having invited and hosted the Choir for workshops and performances, and to thank our many volunteer supporters whose generosity and commitment made the Tour possible.

 

As for the agricultural projects, MPCCF continues to use the Farm School for food production (even though teaching there has been suspended - see above). Also, Richard Lander School are managing, as a pilot project, a plantation of eucalyptus trees, where - depending on how long the tree is allowed to grow before harvesting - the timber can be used or sold either as firewood or for building. Together, we expect these measures to make a significant difference.

We will continue to monitor these projects and MPCCF’s activities in general by means of the regular reports and accounts, and will underwrite the audit of MPCCFs annual accounts for the current year.

Structure, governance and management

Pearl of Africa Child Care Limited has charitable status: registered charity (England & Wales) number 1122809.

 

PoACC is controlled by its Memorandum & Articles of Association, and constitutes a limited company (registration (England and Wales) number 05717237), limited by guarantee, as defined by the Companies Act 2006.

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 8 -

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

R G Whaite, Chairman
R Brocken
D Tonge
E Tonge
R Byass
(Resigned 6 September 2022)
L Bell
S Mulcahy
(Resigned 10 March 2023)
J Griffiths

Trustee selection methods including details of any constitutional provisions e.g. election to post or name of any person or body entitled to appoint one or more trustees.

 

The criteria are as follows:

1. Membership of PoACC.

2. Commitment to the aims and the objectives of PoACC.

3. A specific set of skills and experience needed by the Charity and complementary to that of the other trustees.

4. The ability and preparedness to give time regularly to the running of the Charity.

The minimum number of Trustees is three with a maximum of nine. Each year one-third of Trustees (or the nearest number to one-third) are required to retire and may stand for re-election. Potential new trustees are identified by the board for the particular skills, knowledge or experience they can bring to enhance its skill set. The induction of new Trustees normally involves: attendance at one or more meetings as an observer prior to co-option, provision of recent minutes, financial reports and other relevant materials, and close liaison with other Trustees.

The Trustees are guided in their responsibilities by the Companys Memorandum of Association and the Charity Commissions publication Good Governance – A code for the Voluntary and Community Sector”. The Trustees embrace the Codes six key principles which describe how an effective board provides good governance and leadership:

None of the Trustees or volunteers supporting PoACC, received remuneration for their work. The Charity has mechanisms in place to allow for claiming reimbursement for reasonable out-of-pocket expenses, though frequently our Trustees and supporters forgo such claims.

 

PEARL OF AFRICA CHILD CARE LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 9 -

The trustees' report was approved by the Board of Trustees.

R G Whaite, Chairman
Trustee
28 November 2023
PEARL OF AFRICA CHILD CARE LIMITED
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF PEARL OF AFRICA CHILD CARE LIMITED
- 10 -

I report to the trustees on my examination of the financial statements of Pearl Of Africa Child Care Limited (the charity) for the year ended 28 February 2023 which comprise the Statement of Financial Activities, the Balance Sheet and related notes.

 

This report is made solely to the charity’s trustees, as a body, in accordance with section 145 of the Charities Act 2011. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in this report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for my work, for this report, or for the opinions I have formed.

Responsibilities and basis of report

As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

 

An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the financial statements. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no opinion as to whether the financial statements present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement.

Independent examiner's statement

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

1

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

2

the financial statements do not accord with those records; or

3

the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

4

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

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

J Mansfield FCA
Rickard Luckin Limited
1st Floor
County House
100 New London Road
Chelmsford
Essex
CM2 0RG
Dated: 29 November 2023
PEARL OF AFRICA CHILD CARE LIMITED
STATEMENT OF FINANCIAL ACTIVITIES
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 11 -
Current financial year
Unrestricted
Unrestricted
Restricted
Total
Total
funds
funds
funds
general

designated

2023
2023
2023
2023
2022
Notes
£
£
£
£
£
Income and endowments from:
Donations and legacies
3
45,190
-
10,050
55,240
73,255
Other income
4
-
-
-
-
5
Total income
45,190
-
10,050
55,240
73,260
Expenditure on:
Raising funds
5
-
839
-
839
743
Charitable activities
6
5,112
60,497
10,370
75,979
117,049
Total expenditure
5,112
61,336
10,370
76,818
117,792
Net incoming/(outgoing) resources before transfers
40,078
(61,336)
(320)
(21,578)
(44,532)
Net incoming/(outgoing) resources before transfers
40,078
(61,336)
(320)
(21,578)
(44,532)
Gross transfers between funds
(9,307)
9,228
79
-
-
Net income/(expenditure) for the year/
Net movement in funds
30,771
(52,108)
(241)
(21,578)
(44,532)
Fund balances at 1 March 2022
38
52,108
10,596
62,742
107,274
Fund balances at 28 February 2023
30,809
-
10,355
41,164
62,742

The statement of financial activities includes all gains and losses recognised in the year.

 

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
PEARL OF AFRICA CHILD CARE LIMITED
STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)
INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 12 -
Prior financial year
Unrestricted
Unrestricted
Restricted
Total
funds
funds
funds
general

designated

2022
2022
2022
2022
Notes
£
£
£
£
Income and endowments from:
Donations and legacies
3
64,812
-
8,443
73,255
Other income
4
5
-
-
5
Total income
64,817
-
8,443
73,260
Expenditure on:
Raising funds
5
-
743
-
743
Charitable activities
6
4,548
102,961
9,540
117,049
Total expenditure
4,548
103,704
9,540
117,792
Net incoming/(outgoing) resources before transfers
60,269
(103,704)
(1,097)
(44,532)
Gross transfers between funds
(60,269)
60,269
-
-
Net income/(expenditure) for the year/
Net movement in funds
-
(43,435)
(1,097)
(44,532)
Fund balances at 1 March 2021
38
95,543
11,693
107,274
Fund balances at 28 February 2022
38
52,108
10,596
62,742
PEARL OF AFRICA CHILD CARE LIMITED
BALANCE SHEET
AS AT 28 FEBRUARY 2023
28 February 2023
- 13 -
2023
2022
Notes
£
£
£
£
Current assets
Debtors
11
10,703
6,815
Cash at bank and in hand
34,841
59,827
45,544
66,642
Creditors: amounts falling due within one year
12
(4,380)
(3,900)
Net current assets
41,164
62,742
Income funds
Restricted funds
14
10,355
10,596
Unrestricted funds
Designated funds
13
-
52,108
General unrestricted funds
30,809
38
30,809
52,146
41,164
62,742

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 28 February 2023.

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

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 28 November 2023
R G Whaite, Chairman
Trustee
Company registration number 05717237
PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 14 -
1
Accounting policies
Charity information

Pearl Of Africa Child Care Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is 2 Mill Cottages, Llangynidr, Crickhowell, NP8 1NW.

 

The charity is a private company limited by guarantee and consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.

1.1
Accounting convention

The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "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). The charity is a Public Benefit Entity as defined by FRS 102.

 

The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Designated funds comprise funds which have been set aside at the discretion of the trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4
Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income from fundraising activities represents income raised from appeals and are recognised on receipt.

1.5
Expenditure

Liabilities and all expenses are included in the Statement of Financial Activities on an accruals basis.

Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes.

PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
1
Accounting policies
(Continued)
- 15 -

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

1.6
Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

2
Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 16 -
3
Donations and legacies
Unrestricted
Restricted
Total
Unrestricted
Restricted
Total
funds
funds
funds
funds
general
general
2023
2023
2023
2022
2022
2022
£
£
£
£
£
£
Donations and gifts
41,335
6,160
47,495
58,676
3,936
62,612

Gift Aid Tax Reclaimed

3,855
-
3,855
6,136
-
6,136

Appeals and Donations

-
3,890
3,890
-
4,507
4,507
45,190
10,050
55,240
64,812
8,443
73,255
4
Other income
Total
Unrestricted
funds
general
2023
2022
£
£
Other income
-
5
5
Raising funds
Unrestricted
Unrestricted
funds
funds

designated

designated

2023
2022
£
£

Raising Funds

 

Advertising
129
129
Other fundraising costs
710
614

Raising Funds

 

839
743
839
743
PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 17 -
6
Charitable activities

Uganda

Uganda

2023
2022
£
£

Kamuzinda

10,370
9,540

MPCCF

60,497
102,961
70,867
112,501
Share of support costs (see note 7)
732
648
Share of governance costs (see note 7)
4,380
3,900
75,979
117,049
Analysis by fund
Unrestricted funds - general
5,112
4,548
Unrestricted funds - designated
60,497
102,961
Restricted funds
10,370
9,540
75,979
117,049
For the year ended 28 February 2022
Unrestricted funds - general
4,548
Unrestricted funds - designated
102,961
Restricted funds
9,540
117,049
PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 18 -
7
Support costs
Support costs
Governance costs
2023
Support costs
Governance costs
2022
Basis of allocation
£
£
£
£
£
£

Bank charges

697
-
697
613
-
613

Support

Subscriptions and membership fees

35
-
35
35
-
35

Support

Legal and professional
-
4,380
4,380
-
3,900
3,900
Governance
732
4,380
5,112
648
3,900
4,548
Analysed between
Charitable activities
732
4,380
5,112
648
3,900
4,548

Legal and professional costs includes payments of £4,380 (2022- £3,900) for independent examiner fees.

PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 19 -
8
Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.

 

No trustees' expenses occurred during the year.

9
Employees

The average monthly number of employees during the year was:

2023
2022
Number
Number
Total
-
0
-
0
There were no employees whose annual remuneration was more than £60,000.
10
Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

11
Debtors
2023
2022
Amounts falling due within one year:
£
£
Other debtors
9,991
6,136
Prepayments and accrued income
712
679
10,703
6,815
12
Creditors: amounts falling due within one year
2023
2022
£
£
Accruals and deferred income
4,380
3,900
PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 20 -
13
Designated funds
The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:
Balance at
1 March 2021
Resources expended
Transfers
Balance at
1 March 2022
Resources expended
Transfers
Balance at
28 February 2023
£
£
£
£
£
£
£
Kamuzinda Fund
95,543
(103,704)
60,269
52,108
(61,336)
9,228
-
95,543
(103,704)
60,269
52,108
(61,336)
9,228
-

The Kamuzinda Fund has been designated for the support of the Molly and Paul Childcare Foundation. Support is provided in the Kamuzinda area in Central Uganda.

PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 21 -
14
Restricted funds
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
Movement in funds
Movement in funds
Balance at
1 March 2021
Incoming resources
Resources expended
Balance at
1 March 2022
Incoming resources
Resources expended
Transfers
Balance at
28 February 2023
£
£
£
£
£
£
£
£
Capital Project
-
738
(738)
-
-
-
-
-
Kamuzinda Clinic
2,306
3,198
(5,393)
111
6,160
(3,763)
-
2,508
Kamuzinda Feeding
1,540
4,507
(3,409)
2,638
3,890
(6,607)
79
-
Afripads
3,750
-
-
3,750
-
-
-
3,750
Kibuye feeding
1,977
-
-
1,977
-
-
-
1,977
BackSch
2,120
-
-
2,120
-
-
-
2,120
11,693
8,443
(9,540)
10,596
10,050
(10,370)
79
10,355

 

Kamuzinda Clinic: The funds are restricted to be spent on projects to improve access to basic healthcare for children and familities in Kamuzinda

 

Kamuzinda Feeding: The funds are restricted to be spent on projects to support improving the nutrition of children in schools in Kamuzinda

 

Afripads: The funds are restricted to be spent on projects to improve health, nutrition and care

 

Kibuye Feeding: The funds are restricted to be spent on projects nutrition of children in schools in Kibuye.

 

BackSch: The funds are restricted to be spent on projects to ensure greater access to education for children at risk of not attending school.

PEARL OF AFRICA CHILD CARE LIMITED
NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 28 FEBRUARY 2023
- 22 -
15
Analysis of net assets between funds

Unrestricted funds

Designated funds

Restricted funds

Total

Unrestricted funds

Designated funds

Restricted funds

Total
2023
2023
2023
2023
2022
2022
2022
2022
£
£
£
£
£
£
£
£
Fund balances at 28 February 2023 are represented by:
Current assets/(liabilities)
30,809
-
10,355
41,164
38
52,108
10,596
62,742
30,809
-
10,355
41,164
38
52,108
10,596
62,742

 

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