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← Khedrubje Centre

2023-12-31-accounts

COMPANY REGISTRATION NUMBER 2688423

KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE FINANCIAL STATEMENTS

31 DECEMBER 2023

Charity Number 1010758

T Pennington-Brookfield Chartered Accountant 23 Peacefield, Marple, SK6 7QQ

KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

CONTENTS PAGE
Trustees Annual Report 1
Independent examiner's report to the members 5
Statement of financial activities 7
Income and expenditure account 8
Balance sheet 9
Notes to the financial statements 11

KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT

YEAR ENDED 31 DECEMBER 2023

The trustees, who are also directors for the purposes of company law, have pleasure in presenting their report and the unaudited financial statements of the charity for the year ended 31 December 2023.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered charity name Khedrubje Centre Charity registration number 1010758 Company registration number 2688423 Registered office 196 Coltman Street Hull HU3 2SQ

THE TRUSTEES

The trustees who served the charity during the period were as follows:

T Hackett J Andrews Secretary Toby Pennington Bankers National Westminster 1 Market Place York YO1 9YH

STRUCTURE, GOVERNANCE AND MANAGEMENT

The charity is a non-profit religious organisation which is seen as belonging to and dedicated to the benefit of the general public. It has been created with the authorisation of the New Kadampa Tradition - International Kadampa Buddhist Union (NKT-IKBU) and will always be a member of the NKT-IKBU along with hundreds of other Buddhist Centres worldwide. The charity consists of trustees currently numbering 3 but with the capacity for 4 and members consisting of local members (which can be to a maximum of 21 who currently number 15), the Spiritual Director of the Centre and the resident teachers of all NKT-IKBU Centres in the UK. The structure, governance and management of the charity is clearly set out within the articles of association and memorandum of association which have been approved by the Charity Commission and are shared by other centres of the NKT-IKBU.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (continued)

YEAR ENDED 31 DECEMBER 2023

The charity has a resident teacher who is responsible for teaching the subjects that form part of the three NKT study programmes, the resident teacher is appointed by the NKT General Spiritual Director. The teacher also has responsibility for the spiritual welfare of the Buddhist practitioners. The resident teacher is not on the board of trustees. The trustees are nominated by Members and elected at Annual Members Meetings (AMM). One trustee retires from office by rotation at each AMM .

There is an 'Administrative Director' who is the chief executive officer of the centre but is not a member of the board of trustees. There is a Treasurer who is responsible for maintaining the accounts and finances of the charity in conjunction with the Administrative Director, this person is appointed by the Administrative Director and Trustees. There is also an Education Programme Co-ordinator (EPC) who works for the implementation of the study programmes, this person is appointed by the Resident Teacher. Together the resident teacher, administrative director, education programme co-ordinator and treasurer for the charity management and are responsible for running the day to day activities of the charity. In order to carry out this function the charity management meet once a week.

The trustees meet as required to discuss issues that have arisen and to decide on ways to promote and carry through the aims of the Charity. These meetings are minuted. The Administrative Director calls, co-ordinates and convenes meetings and sets their agenda after consultation with the Trustees and the Management. Decisions are made at these meetings and are usually agreed by all the directors although a two-thirds majority is acceptable within the constitution. New Trustees are required to read and understand the Internal Rules of the NKT-IKBU and agree to abide by them and during meetings they gradually learn the practicalities of the job of trustee with the help and advice of the other trustees.

Local members are appointed at the members meetings and must sign a written consent to become a Member.

Risk management is addressed during the management & directors' meetings and telephone/email contact and is on-going. Risks are assessed on their likelihood of occurrence and the likelihood of impact on the Charity from the point of view of the Charity's operational performance, its reputation and on its ability to continue to pursue its objectives and are managed accordingly. Risk management is also used in forward planning for the Charity as well as in assessing the current status of the Charity.

OBJECTIVES AND ACTIVITIES

The specific purpose or objective of the Centre is to promote the Buddhist Faith under the spiritual guidance of the elected General Spiritual Director of the New Kadampa Tradition -Kadampa Buddhist Union. This is done principally through the activities of teaching, study practice and the observance of moral discipline all within the Mahayana Buddhist tradition of Atisha and Je Tsongkhapa as taught by Venerable Geshe Kelsang Gyatso. Geshe Kelsang Gyatso is the Founder of the New Kadampa tradition - - International Kadampa Buddhist Union. There are three New Kadampa Tradition Study Programmes which are continuously implemented. These are the General Programme, the Foundation Programme and the Teacher Training Programme. The aims of the Centre is to fulfil the purpose as stated above through offering the study programmes, courses, retreats and other religious activities to the people of Hull and the surrounding areas or to whomsoever can avail themselves of the said opportunities. Each activity promotes the Buddhist faith as set out in the objective of the Centre. We offer a variety of religious activities whereby people can come together to join in with prayers and meditation on a regular basis. The Centre is also residential which means that the residents themselves have the opportunity to take part in furthering the objectives through helping with the day to day tasks and attending the teaching programmes.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (continued)

YEAR ENDED 31 DECEMBER 2023

The charity is run by volunteers who help to care for the centre both in terms of cleanliness and repair and also in furthering the objectives of the charity through assisting the teacher, teaching, as directors, members and so forth.

ACHIEVEMENTS AND PERFORMANCE

In 2023, we were excited to reopen two new weekly branch classes, one in Scunthorpe and the other in Garden Village, East Hull. This marks an important step toward fulfilling one of the primary aims of our centre—bringing Kadam Dharma teachings to the communities of Hull and North Lincolnshire. To kick off the Garden Village class, we hosted a public talk that drew an impressive attendance of over 50 people. The Scunthorpe class has also seen steady interest, having had previous demand from classes held there in the past.

We continue to offer a full and diverse program of classes, which includes general program classes, the foundation program, as well as various courses and retreats. The retreats, in particular, remain popular and well-attended, but our courses also maintain a committed group of regular participants who benefit from these teachings.

Our café has undergone a major update with the completion of a new bespoke bar. The bar is designed to be mobile, allowing us to offer either a self-service option or a traditional served experience, giving us flexibility to cater to different needs.

On the residential side, one resident has recently moved out, bringing the total number of residents to seven. However, despite this change, our residential income has risen from £17,276 to £21,760, driven by the need to raise rent due to higher borrowing and energy costs in 2023.

Lastly, our shop and café have continued to show improvement, with income growing from £7,075 to £8,095. This increase has finally brought us back to the pre-pandemic income levels of 2019, a significant milestone for us.

FINANCIAL REVIEW

The incoming resources have increased to £52,283 from £47,281 with expenditure increasing to £47,571 from £40,383 this has resulted in an increase in funds of £4,712 (2022: £6,898) for the period.

The total funds of the charity at the period end are now £166,349 (2022 £161,078) with the majority being invested in the property on which there are mortgages totalling £ 136,020 (2022: £142,854).

RESPONSIBILITIES OF THE TRUSTEES

The trustees (who are also the directors of Khedrubje Centre for the purposes of company law) are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and regulations.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

TRUSTEES ANNUAL REPORT (continued)

YEAR ENDED 31 DECEMBER 2023

Company law requires the trustees to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the income and expenditure of the charitable company for that period.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Registered office: 196 Coltman Street Hull HU3 2SQ

Signed on behalf of the trustees

Trevor Hackett Trustee

___ September 2024

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

INDEPENDENT EXAMINER'S REPORT TO THE MEMBERS OF KHEDRUBJE CENTRE

YEAR ENDED 31 DECEMBER 2023

I report on the accounts of the charity for the year ended 31 December 2023 set out on pages 7 to 16.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND INDEPENDENT EXAMINER

The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2012 (the 2012 Act) and that an independent examination is needed. The charity's gross income did not exceed £250,000 and I am qualified to undertake the examination by being a qualified member of the Association of Certified Chartered Accountants.

Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

BASIS OF INDEPENDENT EXAMINER'S STATEMENT

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 my examination, no matter has come to my attention:

(1) which gives me reasonable cause to believe that in any material respect the trustees have not met the requirements to ensure that:

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

INDEPENDENT EXAMINER'S REPORT TO THE MEMBERS OF KHEDRUBJE CENTRE (continued)

YEAR ENDED 31 DECEMBER 2023

Thomas Pennington-Brookfield FCCA

23 Peacefield, Marple, SK6 7QQ

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

STATEMENT OF FINANCIAL ACTIVITIES

YEAR ENDED 31 DECEMBER 2023

Unrestricted Restricted Total Funds Total Funds
Funds Funds 2023 2022
Note £ £ £ £
INCOMING RESOURCES
Incoming resources from
generating funds:
Voluntary income 2 658 – 658 1,341
Incoming resources from
charitable activities 3 51,625 – 51,625 45,940
───────── ──── ───────── ─────────
TOTAL INCOMING
RESOURCES 52,283 – 52,283 47,281
───────── ──── ───────── ─────────
RESOURCES EXPENDED
Charitable activities 4/5 (37,442) – (37,442) (34,329)
Governance costs 6 (10,129) – (10,129) (6,054)
───────── ──── ───────── ─────────
TOTAL RESOURCES
EXPENDED (47,571) – (47,571) (40,383)
───────── ──── ───────── ─────────
NET
INCOMING/(OUTGOIN
G) RESOURCES FOR
THE YEAR 7 4,712 – 4,712 6,898
RECONCILIATION OF
FUNDS
Total funds brought forward 127,127 33,950 161,077 154,179
───────── ───────── ───────── ─────────
TOTAL FUNDS CARRIED
FORWARD 131,839 33,950 165,789 161,077
═════════ ═════════ ═════════ ═════════

The Statement of Financial Activities includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All of the above amounts relate to continuing activities.

The notes on pages 11 to 16 form part of these financial statements.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

INCOME AND EXPENDITURE ACCOUNT

YEAR ENDED 31 DECEMBER 2023

2023 2022
Note £ £ £
INCOME 52,283 47,281
TOTAL EXPENDITURE (37,442) (34,329)
───────── ─────────
OPERATING SURPLUS 7 14,841 12,952
INTEREST PAYABLE
Interest payable: Bank loans (10,129) (6,054)
─────── ───────
RETAINED SURPLUS/(DEFICIT) FOR THE
FINANCIAL YEAR 4,712 6,898
═══════ ═══════

The Income and Expenditure Account includes all gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.

All of the above amounts relate to continuing activities.

The notes on pages 11 to 16 form part of these financial statements.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

BALANCE SHEET

31 DECEMBER 2023

2023 2022
Note £ £ £
FIXED ASSETS
Tangible assets 9 292,724 293,073
CURRENT ASSETS
Stocks 10 150 150
Cash at bank and in hand 17,650 18,975
───────── ─────────
17,800 19,125
CREDITORS: Amounts falling due within one
year 11 (8,155) (8,266)
───────── ─────────
NET CURRENT ASSETS 9,645 10,859
────────── ──────────
TOTAL ASSETS LESS CURRENT LIABILITIES 320,369 303,932
CREDITORS: Amounts falling due after more
than one year 12 (136,020) (142,854)
────────── ──────────
NET ASSETS 166,349 161,078
══════════ ══════════
FUNDS
Restricted income funds 13 33,950 33,950
Unrestricted income funds 14 132,399 127,128
───────── ─────────
TOTAL FUNDS 166,349 161,078
═════════ ═════════

The trustees are satisfied that the charity is entitled to exemption from the provisions of the Companies Act 2006 (the Act) relating to the audit of the financial statements for the year by virtue of section 477, and that no member or members have requested an audit pursuant to section 476 of the Act.

The trustees acknowledge their responsibilities for:

The Balance sheet continues on the following page. The notes on pages 11 to 16 form part of these financial statements.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

BALANCE SHEET (continued)

31 DECEMBER 2023

These financial statements were approved by the members of the committee on the ___ September 2024 and are signed on their behalf by:

T Hackett Trustee

Company Registration Number: 2688423

The notes on pages 11 to 16 form part of these financial statements.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

1. ACCOUNTING POLICIES

Basis of accounting

The financial statements have been prepared under the historical cost convention and in accordance with applicable United Kingdom accounting standards, the Statement of Recommended Practice "Accounting and Reporting by Charities" issued in March 2005 (SORP 2005) and the Companies Act 2006, and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Incoming resources

Donations are accounted for when each donation is receivable or received whichever is the earlier providing it is certain that the donation will be received. Gifts in kind and donated services are not valued and accounted for unless there is a monetary value to the charity when it would be account for at valuation by the trustees.

Charitable trading

As part of the objects the charity provides accommodation and teachings in the Buddhist manor and operates a shop selling Buddhist items which are all considered to be charitable activities.

All income and expenditure is shown gross with no netting off.

Fund accounting

General unrestricted funds are funds available to be used at the discretion of the trustees. Separate restricted funds are created where funds are received for a specific purpose whether the restriction has been imposed by the donor or where funds are raised by the charity for a specific purpose. Transfers between funds would be made by the trustees but the principal relating to restricted funds would be maintained.

Resources expended

Liabilities are accounted for as each liability is incurred or when the expenditure is known to be payable. Expenditure that covers more than one type of activity is allocated by apportionment on the best basis by the trustees which is usually by estimation where specific apportionment is not possible.

Fixed assets

All fixed assets are initially recorded at cost.

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

1. ACCOUNTING POLICIES (continued)

Depreciation

Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:

Fixtures & Fittings

In the opinion of the trustees the freehold property has a value higher than the cost therefore no depreciation is charged.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

2. VOLUNTARY INCOME

Unrestricted Total Funds Total Funds
Funds 2023 2022
£ £ £
Donations
Donations 658 658 1,341
═══════
═══════		 ═══════
INCOMING RESOURCES FROM CHARITABLE ACTIVITIES
Unrestricted Total Funds Total Funds
Funds 2023 2022
£ £ £
Income from charitable activities-Educational 21,625 21,625 21,561
Income from charitable activities -Accommodation 21,905 21,905 17,304
Income from charitable activities -Shop 8,095 8,095 7,075
─────────
─────────		 ─────────
51,625 51,625 45,940
═════════
═════════		 ═════════

3. INCOMING RESOURCES FROM CHARITABLE ACTIVITIES

4. COSTS OF CHARITABLE ACTIVITIES BY FUND TYPE

Unrestricted Total Funds Total Funds
Funds 2023 2022
£ £ £
Educational 10,148 10,148 8,764
Accommodation 22,274 22,274 22,977
Shop 5,020 5,020 2,588
Support costs - - -
─────────
─────────		 ─────────
37,442 37,442 34,329
═════════
═════════		 ═════════

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

5. COSTS OF CHARITABLE ACTIVITIES BY ACTIVITY TYPE

Activities Grant
undertaken funding
Support		 Total Funds Total Funds
directly activities
costs		 2023 2022
£ £ £ £ £
Educational 10,148 –
–		 10,148 8,764
Accommodation 22,274 –
–		 22,274 22,977
Shop 5,020 –
–		 5,020 2,588
───────── ───────
────
─────────		 ─────────
37,442 –
–		 37,442 34,329
═════════ ═══════
════
═════════		 ═════════
GOVERNANCE COSTS
Unrestricted Total Funds Total Funds
Funds 2023 2022
£ £ £
Accountancy fees - - -
Interest payable 10,129 10,129 6,054
Other financial costs - - -
───────
───────		 ───────
10,129 10,129 6,054
═══════
═══════		 ═══════

6. GOVERNANCE COSTS

7. NET INCOMING/(OUTGOING) RESOURCES FOR THE YEAR

This is stated after charging:

2023 2022
£ £
Depreciation 350 411
════ ════
STAFF COSTS AND EMOLUMENTS
Total staff costs were as follows:
2023 2022
£ £
Wages and salaries 4,344 4,375
Social security costs – –
─────── ───────
4,344 4,375
═══════ ═══════

8. STAFF COSTS AND EMOLUMENTS

Total staff costs were as follows:

None of the trustees received any remuneration or expenses during the year.

Particulars of employees:

The average number of employees during the year, calculated on the basis of full-time equivalents, was as follows:

was as follows:
2023 2022
No No
Number of staff 1 1
════ ════

No employee received remuneration of more than £60,000 during the year (2022 - Nil).

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

9. TANGIBLE FIXED ASSETS

Freehold Fixtures &
property Fittings
Total
£ £ £
COST
At 1 January 2023 290,742 28,031
318,773
Additions – –
–
Disposals – –
–
────────── ─────────
──────────
At 31 December 2023 290,742 28,031
318,773
══════════ ═════════
══════════
DEPRECIATION
At 1 January 2023 – 25,699
25,699		 25,288
Charge for the year – 350
350		 411
Disposed of – –
–		 –
──── ─────────
─────────		 ────────
At 31 December 2023 – 26,049
26,049		 25,288
════ ═════════
═════════		 ═════════
NET BOOK VALUE
At 31 December 2023 290,742 1,982
292,724
══════════ ═══════
══════════
At 31 December 2022 290,742 2,331
293,073
══════════ ═══════
══════════
10. STOCKS
2023 2022
£ £
Stock 150
150
════
════
11. CREDITORS: Amounts falling due within one year
2023 2022
£ £
Bank loans and overdrafts 5,865
5,865
credit Card 568
258
Accruals 1,722
2,143
───────
───────
8,155
8,266
═══════
═══════
The following liabilities disclosed under creditors falling due within one year are secured by the
charity:
2023 2022
£ £
Bank loans and overdrafts 5,865
5,865
═══════
═══════
12. CREDITORS: Amounts falling due after more than one year
2023 2022
£ £
Bank loans and overdrafts 136,020
142,854
══════════
══════════

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

12. CREDITORS: Amounts falling due after more than one year (continued)

The following liabilities disclosed under creditors falling due after more than one year are secured by the charity:

2023 2022
£ £
Bank loans and overdrafts 136,020 142,854
══════════ ═════════

The following aggregate liabilities are repayable in whole, otherwise than by instalments, and are due for repayment after more than five years from the balance sheet date:

2023 2022
£ £
Bank loans and overdrafts 113,591 120,425
══════════ ═════════

13. RESTRICTED INCOME FUNDS

Balance at
1 Jan 2023 and at
31 Dec 2023
£
New Centre Fund 33,075
Other Small Restricted Funds 875
─────────
33,950
═════════

There have been no movements on restricted funds during the year ended 31 December 2023.

The New Centre Fund are specific funds which have been and are being used for the purchase and refurbishment of the Centre. Other Small Restricted Funds are amounts received specifically for particular purposes and each Fund is less than £1000.

14. UNRESTRICTED INCOME FUNDS

Balance at Incoming Outgoing Balance at
1 Jan 2023 resources resources 31 Dec 2023
£ £ £ £
General Funds 127,127 52,283 (47,571) 131,839
═════════ ═════════ ═════════ ═════════

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KHEDRUBJE CENTRE COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 DECEMBER 2023

15. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible Net current Long term
fixed assets assets liabilities Total
£ £ £ £
Restricted Income Funds:
New Centre Fund 33,075 – – 33,075
Other Small Restricted Funds 875 – – 875
───────── ──── ──── ─────────
33,950 – – 33,950
───────── ──── ──── ─────────
Unrestricted Income Funds 258,774 9,645 (136,020) 131,839
────────── ───────── ────────── ─────────
Total Funds 292,724 9,645 (136,020) 166,349
══════════ ═════════ ══════════ ═════════

16. COMPANY LIMITED BY GUARANTEE

The Company is limited by guarantee whereby upon a winding up each member has to contribute a maximum of £1.

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