**REGISTERED CHARITY NUMBER: 1044649**
## **REPORT OF THE TRUSTEES AND**
**UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2020**
## **FOR**
## **MENORAH FOUNDATION SCHOOL**
Joseph Kahan Associates LLP Chartered Accountants 923 Finchley Road London NW11 7PE
**MENORAH FOUNDATION SCHOOL**
**CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2020**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|3|
|**Independent Examiner's Report**||4||
|**Statement of Financial Activities**||5||
|**Statement of Financial Position**||6||
|**Statement of Cash Flows**||7||
|**Notes to the Statement of Cash Flows**||8||
|**Notes to the Financial Statements**|9|to|14|
**MENORAH FOUNDATION SCHOOL**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020**
The trustees present their report with the financial statements of the charity for the year ended 31st August 2020. The trustees have adopted the provisions of 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).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and Activities for the Public Benefit**
The objectives of the charity are as follows:-
- To advance Orthodox Jewish Education, including, in particular, but without prejudice, as to the generality of the aforegoing, providing financial support to the Menorah Foundation School.
- To advance the religion of the Jewish faith in accordance with Orthodox practice.
- Other purposes as are recognised by the law of England and Wales as charitable.
The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities.
## **ACHIEVEMENT AND PERFORMANCE**
The Trustees consider that the performance of the Charity this year has been satisfactory.
The Trustees are pleased to report that the charity has continued to be able to support the Menorah Foundation School, with increased donations during the year.
The School continues to grow and develop, and the Trustees are proud to be able to support the institution. Particularly, the Trustees were happy to be able to continue to develop the school site, with additional security equipment, IT equipment and Air Conditioning plant installed over the year.
## **FINANCIAL REVIEW**
## **Financial position**
The Statement of Financial Activities shows a deficit of £90,273 for the year (2019 : surplus of £230,576). As at the year end, our reserves stand at a surplus of £2,431,689 ( 2019: £2,521,962)
The Trustees consider that the performance of the Charity this year has been satisfactory.
During the year the Charity has raised £960,142 (2019 - £1,043,446 ) from donations and gifts. There was no fund raising dinner function this year.
The Charity's cash reserves stood at £173,896 (unrestricted fund), £8,386 (restricted fund) .
Additional funds have subsequently been raised to enable the Charity to continue in operation for the foreseeable future.
## **Reserves policy**
The charity's reserves policy is to maintain sufficient reserves to enable the charity to continue its activities and services at a meaningful level, should there be a drop in income. As all income is derived from voluntary donations, the trustees review this position on a regular basis.
Page 1
**MENORAH FOUNDATION SCHOOL**
**REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020**
## **FUTURE PLANS**
Across the educational sector, funding is becoming an increasing challenge. The trustees are determined that the level of education in the school should not be affected by the reduced resources offered by Government. To this end, the trustees are working on fundraising to enable the charity to continue to make donations to support the school's educational activities.
The trustees have made plans to meet the demand of increasing pupil numbers by upgrading the facilities in the school. Included in this are plans to build a new school hall and fundraising for this is underway.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
## **Trustees and Organisational Structure**
The Trust is an unincorporated trust constituted under a trust deed dated 10th April 1992. Appointment of Trustees is governed by the Trust Deed of the Charity. The Board of Trustees is authorised to appoint new Trustees to fill vacancies arising through resignation or death of an existing Trustee. The Trust Deed authorises the Trustees to make and hold investments using the general funds of the Charity, but no such investments are presently held.
## **Induction and training of new trustees**
Any new trustees would upon appointment be fully trained by existing trustees and external training courses to ensure they achieve and maintain the high standards that are expected of them.
## **Risk management**
The principal risks facing the trust stem from the economic strength of the U.K. economy which has a direct impact upon the level of donations it receives from its donees. The trustees have due regard to the level of donations received when determining its financial capacity to support its key beneficiary.
The Trustees actively review the major risks which the Charity faces on a regular basis and believe that maintaining reserves at current levels, combined with annual reviews of key financial systems, will provide sufficient resources in the event of adverse conditions.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
1044649
## **Principal address**
13 Beaufort Gardens Hendon London NW4 3QN
## **Trustees**
S J Goldberg M Wechsler P M Kreditor J Kon A J Perrin A Jacobs
The trustees hold title to the property collectively in trust for the objects of the charity.
Page 2
**MENORAH FOUNDATION SCHOOL**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST AUGUST 2020**
## **REFERENCE AND ADMINISTRATIVE DETAILS Independent Examiner**
Joey Joseph FCA MCMI Joseph Kahan Associates LLP Chartered Accountants 923 Finchley Road London NW11 7PE
## **Bankers**
HSBC Bank Plc Leeds DSC Arlington Business Centre Millshaw Park Lane Leeds LS11 0PA
Approved by order of the board of trustees on 27th May 2021 and signed on its behalf by:
A Jacobs - Trustee
Page 3
**INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MENORAH FOUNDATION SCHOOL**
## **Independent examiner's report to the trustees of Menorah Foundation School**
I report to the charity trustees on my examination of the accounts of Menorah Foundation School (the Trust) for the year ended 31st August 2020.
## **Responsibilities and basis of report**
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner's statement**
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of FCA MCMI which is one of the listed bodies.
I have completed my examination. I confirm that no material 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 Trust as required by section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
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 accounts to be reached.
Joey Joseph FCA MCMI Joseph Kahan Associates LLP Chartered Accountants 923 Finchley Road London NW11 7PE
27th May 2021
Page 4
**MENORAH FOUNDATION SCHOOL**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST AUGUST 2020**
|Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
3
Investment income
4
**Total**
**EXPENDITURE ON**
**Charitable activities**
5
Donations to Menorah Foundation School
Donations to other institutions
Grants paid to individuals
Audit fees
Auditor's remuneration non - audit
Depreciation and amortisation costs
Charity running costs
**Total**
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
fund
£
996,326
137
996,463
989,002
-
-
-
2,640
84,264
10,830
1,086,736
(90,273)
2,471,962
2,381,689|Restricted
fund
£
-
-
-
-
-
-
-
-
-
-
-
-
50,000
50,000|2020
Total
funds
£
996,326
137
996,463
989,002
-
-
-
2,640
84,264
10,830
1,086,736
(90,273)
2,521,962
2,431,689|2019
Total
funds
£
1,211,670
122|
|---|---|---|---|---|
|||||1,211,792
874,718
437
9,800
4,800
2,400
89,061
-|
|||||981,216|
|||||230,576
2,291,386|
|||||2,521,962|
The notes form part of these financial statements
Page 5
**MENORAH FOUNDATION SCHOOL**
## **STATEMENT OF FINANCIAL POSITION 31ST AUGUST 2020**
|Notes
**FIXED ASSETS**
Tangible assets
9
**CURRENT ASSETS**
Debtors
10
Cash at bank
**CREDITORS**
Amounts falling due within one year
11
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**NET ASSETS**
**FUNDS**
12
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Unrestricted
fund
£
2,206,957
10,676
173,896
184,572
(9,840)
174,732
2,381,689
2,381,689|Restricted
fund
£
41,614
-
8,386
8,386
-
8,386
50,000
50,000|2020
Total
funds
£
2,248,571
10,676
182,282
192,958
(9,840)
183,118
2,431,689
2,431,689
2,381,689
50,000
2,431,689|2019
Total
funds
£
2,302,541
6,799
232,176
238,975
(19,554)
219,421
2,521,962
2,521,962
2,471,962
50,000
2,521,962|
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 27th May 2021 and were signed on its behalf by:
M Wechsler - Trustee
A Jacobs - Trustee
The notes form part of these financial statements
Page 6
## **MENORAH FOUNDATION SCHOOL**
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST AUGUST 2020**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash (used in)/provided by operating activities
**Cash flows from investing activities**
Purchase of tangible fixed assets
Net cash used in investing activities
**Change in cash and cash equivalents in**
**the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end of**
**the reporting period**|2020
£
(19,600)
(19,600)
(30,294)
(30,294)
(49,894)
232,176
182,282|2019
£
329,992
329,992
(191,650)
(191,650)
138,342
93,834
232,176|
|---|---|---|
The notes form part of these financial statements
Page 7
**MENORAH FOUNDATION SCHOOL**
## **NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31ST AUGUST 2020**
## **1. RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**OPERATING ACTIVITIES**|||
|---|---|---|
|**Net (expenditure)/income for the reporting period (as per the**
**Statement of Financial Activities)**
**Adjustments for:**
Depreciation charges
Increase in debtors
(Decrease)/increase in creditors
**Net cash (used in)/provided by operations**|2020
£
(90,273)
84,264
(3,877)
(9,714)
(19,600)|2019
£
230,576
89,061
(6,799)
17,154|
|||329,992|
## 2. **ANALYSIS OF CHANGES IN NET FUNDS**
||At 1/9/19|Cash flow|At 31/8/20|
|---|---|---|---|
||£|£|£|
|**Net cash**||||
|Cash at bank|232,176|(49,894)|182,282|
||232,176|(49,894)|182,282|
|**Total**|232,176|(49,894)|182,282|
The notes form part of these financial statements
Page 8
**MENORAH FOUNDATION SCHOOL**
**NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST AUGUST 2020**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
The charity's funds comprise of both an unrestricted general fund and a restricted purpose fund. There are no permanent endowed funds or expendable endowments.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
|Asset under construction|- not provided|
|---|---|
|Leasehold Property|- 2% on cost|
|Security equipment|- 25% on reducing balance|
|Fixtures and fittings|- 25% on reducing balance|
|Plant & Machinery|- 20% on reducing balance|
|Computer equipment|- 33.33% on cost|
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Grants received**
Grants received by the charity from London Borough of Barnet in respect of building works being funded by them , are recognised on a receipts basis as permitted under the SORP.
Page 9
**MENORAH FOUNDATION SCHOOL**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020**
## **2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY**
Depreciation is calculated in accordance with UK GAAP and the rates applied have been disclosed as a separate accounting policy.
## **3. DONATIONS AND LEGACIES**
|Donations and gifts
Gift aid
Local Authority grants for building works
**4.**
**INVESTMENT INCOME**
Interest receivable
**5.**
**CHARITABLE ACTIVITIES COSTS**
Donations to Menorah Foundation
School
Auditor's remuneration non - audit
Depreciation and amortisation costs
Charity running costs|Direct
Costs
£
-
-
84,264
10,830
95,094|Grant
funding of
activities
(see note
6)
£
989,002
-
-
-
989,002|2020
£
885,098
75,044
36,184
996,326
2020
£
137
Support
costs (see
note 7)
£
-
2,640
-
-
2,640|2019
£
963,835
79,611
168,224|
|---|---|---|---|---|
|||||1,211,670|
|||||2019
£
122
Totals
£
989,002
2,640
84,264
10,830|
|||||1,086,736|
All Charitable Activities Costs relate to unrestricted funds.
## **6. GRANTS PAYABLE**
|**GRANTS PAYABLE**|||
|---|---|---|
|Donations to Menorah Foundation School
Donations to other institutions
Grants paid to individuals|2020
£
989,002
-
-
989,002|2019
£
874,718
437
9,800|
|||884,955|
Last year, the charity made a donation of £9,800 towards the cost of critical medical treatment through dedicated fundraising within the school.
Page 10
**MENORAH FOUNDATION SCHOOL**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020**
## **7. SUPPORT COSTS**
Auditor's remuneration non - audit
Governance costs £ 2,640
## **8. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31st August 2020 nor for the year ended 31st August 2019.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31st August 2020 nor for the year ended 31st August 2019.
## **9. TANGIBLE FIXED ASSETS**
|**COST**
At 1st September 2019
Additions
At 31st August 2020
**DEPRECIATION**
At 1st September 2019
Charge for year
At 31st August 2020
**NET BOOK VALUE**
At 31st August 2020
At 31st August 2019|Asset
under
construction
£
28,730
12,884
41,614
-
-
-
41,614
28,730|Leasehold
Property
£
2,594,133
9,600
2,603,733
444,064
52,076
496,140
2,107,593
2,150,069|Security
equipment
£
55,110
-
55,110
42,181
3,232
45,413
9,697
12,929|
|---|---|---|---|
Page 11
## **MENORAH FOUNDATION SCHOOL**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020**
## **9. TANGIBLE FIXED ASSETS - continued**
|Fixtures
and
Plant &
fittings
Machinery
£
£
**COST**
At 1st September 2019
30,475
145,338
Additions
-
-
At 31st August 2020
30,475
145,338
**DEPRECIATION**
At 1st September 2019
28,159
50,419
Charge for year
579
18,984
At 31st August 2020
28,738
69,403
**NET BOOK VALUE**
At 31st August 2020
1,737
75,935
At 31st August 2019
2,316
94,919
**10.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Gift Aid receivable
**11.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Other creditors
**12.**
**MOVEMENT IN FUNDS**
At 1/9/19
£
**Unrestricted funds**
General fund
2,471,962
**Restricted funds**
Restricted
50,000
**TOTAL FUNDS**
2,521,962|Computer
equipment
£
38,482
7,810
46,292
24,904
9,393
34,297
11,995
13,578
2020
£
10,676
2020
£
9,840
Net
movement
in funds
£
(90,273)
-
(90,273)|Totals
£
2,892,268
30,294|Totals
£
2,892,268
30,294|
|---|---|---|---|
|||2,922,562||
|||589,727
84,264||
|||673,991||
|||2,248,571||
|||2,302,541||
|||2019
£
6,799
2019
£
19,554
At
31/8/20
£
2,381,689
50,000|2019
£
6,799|
||||2019
£
19,554|
|||2,431,689||
Page 12
**MENORAH FOUNDATION SCHOOL**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020**
## **12. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
996,463
996,463|Resources
expended
£
(1,086,736 )
(1,086,736 )|Movement
in funds
£
(90,273)|
|---|---|---|---|
||||(90,273)|
## **Comparatives for movement in funds**
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|At 1/9/18
£
2,710,256
-
2,710,256|Prior
year
adjustment
£
(418,870)
-
(418,870)|Net
movement
in funds
£
180,576
50,000
230,576|At
31/8/19
£
2,471,962
50,000|
|---|---|---|---|---|
|||||2,521,962|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Incoming
resources
£
1,161,792
50,000
1,211,792|Resources
expended
£
(981,216)
-
(981,216)|Movement
in funds
£
180,576
50,000|
|---|---|---|---|
||||230,576|
Page 13
**MENORAH FOUNDATION SCHOOL**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31ST AUGUST 2020**
## **12. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|At 1/9/18
£
2,710,256
-
2,710,256|Net
movement
in funds
£
90,303
50,000
140,303|At
31/8/20
£
2,800,559
50,000|
|---|---|---|---|
||||2,850,559|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Incoming
resources
£
2,158,255
50,000
2,208,255|Resources
expended
£
(2,067,952 )
-
(2,067,952 )|Movement
in funds
£
90,303
50,000|
|---|---|---|---|
||||140,303|
## **13. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31st August 2020.
Page 14