Sustainability

The Trustees' strategic financial objective is to make the Project self sufficient in respect of its annual running costs through a combination of endowment income and regular standing orders. Although local salary and other living costs are low by UK standards, Tanzanian inflation is running at a high level and is constantly pushing up the annual income target.

At the time of writing (August 2009), the Zawadi School, paid for from the General Fund, has recurrent annual costs of £13,000 of which salary costs for a local team of 12 account for £8,500. Recurrent income from the endowment fund and from standing order donations covers some £10,800 of this. This leaves just over £2,000 to make up from other sources, primarily one-off donations and various fund raising activities. Capital and other non recurrent expenditure amounted to almost £9,000 this year meaning that a total of £11,000 had to be raised other than from predictable income.

The Nigel Lloyd Fund is committed to meeting the long term educational costs of, at the moment, 108 orphans and plans to add a further 25 each year. The cost of this programme (which includes help with living essentials and medical care) is running at £8,600 annually, but this can also be expected to rise steadily. Recurrent income (again from standing orders and its separate endowment fund is running at only £2,100 so that a further £6,500 has to be raised from other sources. That said, the expenditure for this programme is less likely to include non recurrent items and it is therefore easier to manage.

The Trustees aim to ensure that 100% of donations go to the above programmes on the ground in Tanzania. All the costs incurred in the UK in managing the Project, including necessarily substantial travel costs, are paid for out of income which is not donated (for example fund raising events, sponsorship and gift aid). To date this aim has been comfortably achieved.