## The Good Shepherd Mission
Report and Accounts Year ended 31 March 2021
1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk
## **THE GOOD SHEPHERD MISSION**
## **COMPANY INFORMATION**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **Trustees**
Darren Prince Jenny Bollans Sally Dixon Satnam Sokhal (resigned 6 July 2021) Pip Chisholm (appointed 12 July 2020) Katherine Gough (appointed 12 July 2020) Paul Moughtin (appointed 12 July 2020, resigned 10th November 2021) Ryan Lynch (resigned 31 March 2020; appointed 12 July 2020; resigned 21 July 2021)
**Company Secretary** Sally Dixon (appointed 12 July 2020) **Governing Document** Memorandum and Articles of Association dated 9th March 1995 **Company Registration Number** 03031141 **Charity Registration Number** 1047068 **Registered Office & Principal** 17 Three Colts Lane **Address** Bethnal Green London E2 6JL **Independent Examiner** Archie McDowall BA, CA Stewardship 1 Lamb's Passage London EC1Y 8AB **Bankers** Barclays Bank plc 1 Churchill Place London E14 5HP
|**Contents**|**Page**|
|---|---|
|Company Information|1|
|Trustees' Annual Report|2-9|
|Independent Examiner's Report|10|
|Statement of Financial Activities|11|
|Balance Sheet|12|
|Notes to the Accounts|13 - 19|
|Detailed Statement of Financial Activities with Comparatives|20|
Page 1
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT**
## **(INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
The Trustees present their report and the audited financial statements for the year ended 31st March 2021. The Trustees confirm that the annual report and financial statements of the Charity comply with current statutory requirements, the requirements of the Charity’s governing document and the provisions of the Charity Commission’s Statement of Recommended Practice (SORP) ‘Accounting and Reporting by Charities’ FRSSE.
The Directors have pleasure in submitting the report and accounts for the year.
## **Structure, Governance and Management**
The Good Shepherd Mission (GSM) is constituted as a registered charity and a company limited by guarantee and has no share capital, the Charity Trustees being Directors of the company. The liability of each member in the event of winding up is limited to £10.
Trustees are normally elected at the Annual General Meeting (AGM). Non-executive Trustees retire after a period of three years’ service and may be re-elected for a second term to serve a maximum of six years. Trustees can be appointed during the year to serve until the next AGM, when they have to stand for election. All major decisions that have financial or staffing implications are made by the Board
Our Board of Trustees, known informally as the ‘Leadership Team’, holds responsibility for all areas of the Mission’s activities. The Board met approximately every three weeks during the year either in person or virtually on Zoom due to Government guidance in response to the COVID-19 pandemic.
From March 2020 a group of six GSM members called “GSM COVID-19 Response Team” was formed to consult and advise the Trustees on matters relating to the COVID-19 crisis. The individual members of the group, comprising both Trustees and non-Trustees, were tasked with closely monitoring Government updates, consulting with the Trustees, and offering professional expertise as well as pastoral wisdom. The team was chosen by reference to individuals’ giftings and professional experience and each of its six members took responsibility for one of the following aspects of our response to the COVID-19 crisis: safeguarding, NHS, pastoral care, outreach, gatherings and communications. Once additional Trustees were appointed at our AGM in July 2020, these responsibilities were shifted from the non-Trustees back to the Trustee Board as a larger team of eight.
## **Objectives and activities**
The objects of the Charity as set out in our constitution are:
- ●The advancement of the Christian faith;
- ●The relief of persons in conditions of poverty, need or other hardship, or who are aged or sick;
- ●The advancement of Christian public education; and
- ●Other charitable purposes for the benefit of the community.
Page 2
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
These objects are pursued through a range of activities in the different areas of the Charity’s work which are summarised below. These are generally led by teams comprising staff members, Mission members and others from across the East End.
We are mindful of the public benefit tests for charities and have complied with the duty in the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission. Our midweek activities and Sunday meetings are open to all who live in the surrounding area. Both are accessed by a wide range of people of varied ages and backgrounds.
On 17 March 2020, in line with prevailing Government guidance at the time concerning COVID-19, we closed our buildings for all gatherings and activities. The Sunday morning meeting became a Sunday evening meeting by video conference, and communication to the church family was co-ordinated by five individuals (being Trustees and one recently retired Trustee) for five separate geographically-based groups. These groups became the focus of church-based communication, addressing needs in the relevant geographic area covered by the group and prayer and encouragement for those in the relevant group. Church members were encouraged to pray for, and care for those in their local community.
The report below covers activities from the closure of our building for gatherings and activities at the end of March 2020 up to 31 March 2021.
## **A Year Like No Other**
After a year like no other, this is a Trustee Report like no other. Virtually every aspect of our church gatherings and activities was affected by the rise of the COVID-19 pandemic and the subsequent lockdowns throughout the remainder of 2020 and the start of 2021. Whilst many of our activities were forced to come to an end, many new things sprang to life. Old initiatives morphed and changed. New innovations enabled us to remain true to our vision, values and charitable objectives.
COVID-19 tested us as an organisation. But the Trustees are pleased to share that, by God’s grace, GSM has not only adjusted for the pandemic restrictions, we have innovated on old ideas and initiated surprising new beginnings. COVID-19 allowed us an opportunity to reach back to the rich heritage of our founding years and bring it forward into the present day. This report is a testimony to the faithfulness of God, the resilience of God’s people, and the enduring nature of the Christian mission in our local area.
## **Staff Transitions and Furloughs**
In March of 2020 when our buildings were closed to gatherings and activities, our paid staff were directed to work from home in keeping with Government guidelines. By April, all staff apart from three part time workers (the Finance Administrator and two paid Church Leaders) were placed on short term furlough.
As restrictions loosened, staff returned to work under the flexible furlough scheme beginning in late July 2020.
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## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
In December of 2020 unpaid ministry intern Kalley Fosso returned to the United States and ended her two year placement in agreement with her sponsoring partner with the Alliance for Transatlantic Theological Training.
In March of 2021 Emily Bennett resigned from her position on the staff team as the Early Years, Children and Families Worker.
## **A Food Bank Reopens the Doors**
At the end of July 2020, paid staff and volunteer members worked together to re-open the church building and offices in a clean and COVID-safe way.
A new vision to repurpose our building and weekly activities emerged. Staff redesigned their outreach programmes to combine towards a collaborative venture soon to be called the GSM Community Hub. New activities were launched, in keeping with pandemic guidelines. New volunteer teams were recruited.
A trial food hub was launched in August 2020 in a collaborative partnership with an existing food bank charity called Children With Voices. For the months of August through October, 80 individuals and families were served weekly either at the GSM doorstep or through deliveries carried by GSM volunteers.
In November of 2020 the Children With Voices trial partnership ended and the weekly food bank operation was handed over entirely to the staff and volunteers of GSM. With new systems put into place, the GSM Food Hub continues to distribute 55 grocery parcels weekly. This project is funded largely by member donations, local grants, and in collaboration with food waste elimination programmes through the borough.
An array of linked ministry initiatives have arisen through the relationships and connections established by the weekly GSM food bank. New ESOL classes for asylum seekers, conversational English classes with men and women, and a women’s crafts space are more recent additions to the GSM Hub weekly schedule.
## **Youth And Children's Work Pivots**
With in person activities limited over most of 2020, activities for children and young people moved online. A fortnightly youth group provision called Pizza and Pool moved to a weekly format on Zoom and Haslemere New Year also took to Zoom. Primary children received weekly home-delivered activity packs with Bible lessons from a creative and dedicated team of volunteers.
In August 2020 a summer holiday club was offered for 40 local primary aged students. In a collaboration with David and Jess Butler of St Peter’s Bethnal Green, GSM volunteers, including young people, worked with Early Years, Children and Families Worker Emily Bennett to deliver five days of outdoor holiday club on Weavers Fields. New contacts were made with children and families who began attending GSM as a result.
Page 4
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
Thursday Club resumed indoors at an earlier time-slot during the Autumn weeks. With new restrictions imposed in early 2021, the primary aged provision on Thursday evenings moved to an online format. Splash (primary aged Sunday provision) also moved online for an hour session each week until just after Easter.
Thursday Club is currently paused as an ongoing activity, until new leadership and volunteers can be identified and recruited. Currently, a summer holiday club is being planned for August of 2021.
## **Recovery Groups Join the GSM Hub**
A local Narcotics Anonymous (NA) group who had lost their previous meeting space during the pandemic approached GSM about use of the hall, in a COVID secure way, on a Thursday evening. From September 2020 groups of up to 40 people have been meeting weekly to share their progress in the 12 Step recovery programme. GSM staff welcomed the group into the building each week and a small dinner and Bible-study was added prior to the meeting for anyone interested in attending. Many NA attendees have shared how valuable the in-person meetings have been, and how grateful they are for the welcome they’ve received at GSM.
Alcoholics Anonymous (AA) soon approached GSM about a weekly Wednesday afternoon meeting. Up to 50 individuals have met in the church hall every week starting in December 2020, again adhering to COVID regulations. Bible studies, hosted by GSM partner InnerCHANGE, have been added along the way for interested AA attendees.
One encouraging note with the development of the GSM Hub has been the growing cross-over between the various activities. Food Hub volunteers have become regulars at The Cinema Club. AA attendees have become Food Hub volunteers. Asylum seekers who benefited from the Food Hub have joined in English classes or participated in Genesis Football (see below).
## **The Church Keeps Being The Church**
Though meeting in person was limited at times, the GSM fellowship continued to meet for discipleship, teaching, worship, fellowship and mutual encouragement throughout the whole year.
Weekly church services continued on Sunday evenings in the Zoom meeting format. Lasting roughly an hour, attendees had the opportunity to worship, pray, hear a talk, share communion and stay on for informal conversations afterwards. The GSM service leaders, preaching team, tech and worship leaders, all put tremendous effort towards keeping online gatherings stable and accessible.
New formats for church discipleship and growth were introduced, including a series of Zoom ‘Mission Equipping Calls’. The first round, over June and July of 2020, touched on a number of equipping topics such as living with loss, discipling children, sharing the Gospel with co-workers, and caring for the poor and marginalised. A second round of calls in September and October included a series of short interviews with GSM-affiliated missionaries or church workers around the world sharing highlights and challenges about their work.
Page 5
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
A GSM Vision Sunday was offered by the Leadership Team in September 2020 with the aim of recapping the developments of 2020 to date and pointing towards what was ahead. The vision for the GSM Community Hub was shared, along with the launch of a teaching series in Acts with Acts 9:31 shared as a theme verse for the series and season ahead, “Then the church . . . enjoyed a time of peace and was strengthened. Living in the fear of the Lord and encouraged by the Holy Spirit, it increased in numbers.”
Daily prayer continued on Zoom at 2pm Mondays through Fridays. Early morning prayer was offered on Tuesdays and Thursdays.
The Church did month-long Zoom read-throughs of two books from the Bible in late 2020: Acts and the Gospel of John. In December the fellowship was encouraged towards a year-long chronological readthrough of the Bible called ‘As it Happened’ which launched in January.
A third series of Zoom meetings called ‘Marriage Equipping Calls’, designed to strengthen and equip marriages within GSM ran from January to March 2021. All of the Mission and Marriage Equipping Calls hosted a range of 12-15 people depending on the topic.
Two devotional series were written by GSM members in collaboration with the Leadership Team: one for Advent and another for Lent. Both contained daily or weekly scripture reflections and were shared by email or in print.
Home groups and small groups continued, mostly online (unless numbers could meet safely within Government guidelines). Some home groups grew in number due to the convenience of Zoom.
In-person services were offered for Christmas Day 2020, as well as Good Friday and Easter 2021. All three were a welcome relief from online church gatherings and were conducted in our COVID-safe building in keeping with Government guidelines.
## **Redeveloped Work with Marginalised Adults**
While the Community Hub attracts people from various walks of life and of all ages, a large part of the historical work of GSM has included work with vulnerable or marginalised adults.
The Food Hub naturally catered both to guests from local hostels and hotels as well as local residents in need from British, Bengali or other ethnic backgrounds. Asylum seekers from various countries soon ended up in local hotels and came into contact with GSM through a partnership with ‘Care for Calais’.
Women’s ESOL on Thursday mornings was relaunched in early 2021 and grew to beyond-capacity participation due to a wider invitation offered through the Food Hub on Mondays and some excellent Bengali translation offered by local volunteers. A waiting list was created and then eventually grew beyond capacity as well.
New activities in the GSM building hosted vulnerable and marginalised adults, including a Tuesday Cinema Club and a Wednesday Pool Club. Food, fun and activities were offered in a safe and welcoming environment away from the streets.
Page 6
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
GrowTH Night Shelter continued with the support of GSM volunteers, though not in our own building. GSM members provided cakes and other items for guests sleeping in a COVID-safe hotel.
Genesis football re-launched in the Spring of 2021 when group outdoor sports were able to resume. While the post-match lunch and the Bible study didn’t return in the way it had existed previously, many participants quickly returned from playing football in order to catch an ESOL lesson offered by Ben Newton and other volunteers. Many then stayed on for pizza and a game of pool or table-tennis.
## **Mission Statement**
‘Loving Jesus, loving our neighbours and seeing lives transformed.’
## _**Values**_
1. We want everything we do to result in the worship of **Jesus** Christ.
2. We are a **community on mission** together.
3. We welcome people from all walks of life through our **hospitality** .
4. We walk with people for the **long term** .
5. We use **innovation** to creatively adapt and change how we do things.
6. We are motivated by **love** demonstrated in words and action.
7. We partner with others who share our **kingdom focus** .
## _**Building**_
There were no captial works beyond routine maintenance during the year.
## _**Challenges for the Coming Year**_
Some of the challenges facing us are:
- ●balancing income and expenditure, while retaining appropriate reserves (between 6-12 months expenditure at any one time);
- ●fundraising for our new programme of events, particularly the GSM Community Hub;
- ●working with a reduced staff team and a limited volunteer pool;
- ●recruiting and appointing the right workers for the right jobs in the new pandemic climate;
- ●growing Sunday attendance and participation after more than a year of being online;
- ●developing meaningful partnership agreements with external groups who wish to use the building;
- ●adjusting to COVID-19 realities and uncertainties.
## _**Finance Report**_
The results for the year are set out on pages 11-20. Income was £383,698 (2020: £248,175) and expenditure £247,577 (2020: £321,170) resulting in a surplus for the year of £136,121 (2020: deficit £72,995). Total funds increased to £1,124,238 (2020: £998,117) of which £44,772 (2020: £40,488) was restricted.
Page 7
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT (INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## _**Reserves Policy**_
The Charity’s reserves policy states that the Charity will seek to maintain the level of free reserves at between 6 and 12 months of budgeted expenditure. Free reserves exclude designated reserves and restricted funds. Free reserves protect the Charity from short-term fluctuations in income and expenditure, and give it time to take appropriate action in the face of fundamental changes in financial conditions. Free reserves at the year-end were 9.1 months of budgeted expenditure.
## **Risks Review**
The Trustees have formally assessed business risks, and this has involved assessing the types of risk facing the Charity, prioritising them in terms of the potential impact and likelihood of occurrence, and identifying means of mitigating the risks. As part of this process the Trustees have assessed the adequacy of the Charity’s internal controls and the costs of operating particular controls relative to the benefits obtained. The Internal Financial Controls Policy was formally accepted by Trustees on 14th October 2020.
## **Statement of Trustees’ Responsibilities**
The Trustees (who are also Directors of GSM for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).
Company law requires the Trustees to prepare financial statements for each financial year. 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 of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:
- ●select suitable accounting policies and then apply them consistently;
- ●observe the methods and principles of the Charity Commission’s SORP;
- ●make judgments and estimates that are reasonable and prudent;
- ●state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- ●prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, 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 and the provisions of the Charity’s constitution. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. .
Page 8
## **THE GOOD SHEPHERD MISSION**
## **Trustees' ANNUAL REPORT**
## **(INCORPORATING DIRECTORS' REPORT)**
## **FOR THE YEAR ENDED 31 MARCH 2021**
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of the financial statements may differ from legislation in other jurisdictions.
## **Independent Examiners**
At the Annual General Meeting held in July 2020, a resolution was passed to appoint Stewardship of 1 Lamb's Passage, London, EC1Y 8AB as Independent Examiners to The Good Shepherd Mission for the year 1st April 2020 to 31st March 2021.
## **Approval**
This report was approved by the Trustees and signed on their behalf by:
Sally Dixon
Date: 13 December 2021
Page 9
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF**
## **THE GOOD SHEPHERD MISSION ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2021 on pages 11 to 20 following, which have been prepared on the basis of the accounting policies set out on pages 13 and 14.
## **Responsibilities and basis of report**
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent examiner’s statement**
Since the Company’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants of Scotland, which is one of the listed bodies.
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:
1. accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts 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 accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.
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.
Archie McDowall BA, CA Institute of Chartered Accountsnts of Scotland
Stewardship 1 Lamb's Passage London EC1Y 8AB
Date: 16 December 2021
Page 10
## **THE GOOD SHEPHERD MISSION**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Investments
Other income
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities
5
**Total expenditure**
**Net income/(expenditure)**
**Transfers between funds**
13
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
13|Unrestricted
Funds
£
237,281
9,600
1,189
700
248,770
117,065
117,065
131,705
132
131,837
947,629
1,079,466|Restricted
Funds
£
134,928
-
-
-
134,928
130,512
130,512
4,416
(132)
4,284
40,488
44,772|Total
Funds
2021
£
372,209
9,600
1,189
700
383,698
247,577
247,577
136,121
-
136,121
988,117
1,124,238|Total
Funds
2020
£
232,949
10,060
2,788
2,378|
|---|---|---|---|---|
|||||248,175|
|||||321,170|
|||||321,170|
||||||
|||||(72,995)
-|
|||||(72,995)
1,061,112|
|||||988,117|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing operations.
The statement of financial activities also complies with the requirements for an income and expenditure account required by the Companies Act 2006.
The notes on page 13-20 form part of these accounts.
Page 11
## **THE GOOD SHEPHERD MISSION**
## **BALANCE SHEET**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|Note
**FIXED ASSETS**
Tangible assets
7
**CURRENT ASSETS**
Stock
8
Debtors
9
Cash at bank and in hand
10
**CREDITORS: Amounts falling**
**due within one year**
11
**Net current assets / (liabilities)**
**TOTAL NET ASSETS**
**FUND BALANCES**
13
Unrestricted Funds
General funds
Designated funds
Restricted Funds|Unrestricted
Funds
£
773,230
773,230
100
9,435
307,394
316,928
(10,693)
306,235
1,079,466
243,236
836,230
1,079,466
-
1,079,466|Restricted
Funds
£
-
-
-
-
44,772
44,772
-
44,772
44,772
-
-
-
44,772
44,772|Total
Funds
2021
£
773,230
773,230
100
9,435
352,166
361,701
(10,693)
351,008
1,124,237
243,236
836,230
1,079,466
44,772
1,124,238|Total
Funds
2020
£
809,026|
|---|---|---|---|---|
|||||809,026|
|||||-
42,781
146,333|
|||||189,114
(10,023)|
|||||179,091|
||||||
|||||988,117|
|||||78,241
869,388|
|||||947,629
40,488|
|||||988,117|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2021.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2021 in accordance with Section 476 of the Companies Act 2006 however, in accordance with Section 145 of the Charities Act 2011, the accounts have been examined by an independent examiner and their report has been included in these financial statements.
- The directors (who are the charitable company's trustees for the purposes of charity law) acknowledge their responsibilities (a) ensuring that the charitable company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and
- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its net income or expenditure for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.
The financial statements were approved by the Board of Directors and were signed on its behalf by:
Sally Dixon
Date: 13 December 2021
Company number: 03031141
The notes on page 13-20 form part of these accounts.
Charity number: 1047068
Page 12
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **1 Statutory Information**
The charity is a charitable company limited by guarantee and is incorporated in the United Kingdom. The company's registered number and registered office address can be found on the Company Information page.
## **2 Accounting Policies**
These financial statements are prepared on a going concern basis, under the historical cost convention.
These financial statements have been prepared in accordance with the "Statement of Recommended Practice: Accounting and Reporting by Charities" preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102"), with the Companies Act 2006 and with the Charities Act 2011. The charity meets the definition of a public benefit entity as set out in FRS 102.
The principles adopted in the preparation of the financial statements are set out below.
## a) Going concern
The trustees (who are the charitable company's directors for the purposes of company law) have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
In making this assessment the trustees have considered the impact of Covid-19 and have concluded that its impact on reserves can be managed.
## b) Income
Income including investment income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Income from donations and legacies includes recoverable gift aid. This is recognised when the related donation is received. Gift aid that has not been recovered by the balance sheet date is included as a debtor.
The charity relies on volunteers to carry out many of its activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.
Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects. It includes income from church events and rental received from letting a flat.
Investment income represents income generated by the charity's assets and includes income from bank interest.
## c) Expenditure
Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably.
The charity makes grants to other institutions and individuals to further its charitable objectives. Grants payable are recognised as constructive obligations arise, which is generally when the charity expresses a commitment to the recipient that can be measured reliably and then only to the extent that any conditions associated with the grant are outside of the control of the charity.
The cost of raising funds is not significant and has not been separately disclosed.
Page 13
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity.
## d) Fund accounting
- General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects.
## e) Tangible fixed assets
Items purchased or donated for the charity's own use are capitalised when the cost of purchased items, or the fair value of donated items, is more than £500 and the item is expected to benefit the charity over more than one accounting period. Depreciation is charged on a straight line basis so as to write down the value of each asset to its estimated residual value (if any) over its expected useful economic life. To achieve this objective the following rates of depreciation are charged:
Freehold land Is not depreciated (because it is not consumed by use) Freehold buildings Over 50 years after taking account of the building's residual value Equipment Over 3 to 7 years
The carrying values of tangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate that the carrying value may not be recoverable.
## f) Pension scheme arrangements
- The charity operates defined contribution pension schemes for its employees. Obligations for contributions to these schemes are recognised as an expense when the liability arises. The assets of these schemes are held separately from those of the charity in independently administered funds.
## g) Taxation
The company is a registered charity; it has taken advantage of the various reliefs from taxation available to charities and no tax is payable on the charity's income.
## h) Financial instruments
The charity's financial assets and financial liabilities all qualify as basic financial instruments, as defined by FRS102. Except for loans, creditors and debtors are measured at their expected settlement value (normally the amount of cash that the charity expects to pay or receive). The charity recognises liabilities for the principal of those loans that remains outstanding at the year end (i.e. the liabilities exclude any interest chargeable on the loans in future years).
## i) Exemption from preparing a cashflow statement
The charity has taken advantage of an exemption conferred by the Charities SORP and has not prepared a cash flow statement.
## j) Critical accounting estimates and areas of judgement
The trustees do not consider that there are any material sources of estimation or uncertainty at the balance sheet date that could result in a material adjustment to the carrying values of assets and liabilities in the next reporting period.
## **3 Donations and legacies**
|**Donations and legacies**|||
|---|---|---|
|Donations of cash and similar
Donations in kind (Food Hub)
Other grants receivable
Income tax recoverable
**Income from charitable activities**
Church retreats and events
Other charitable activities|2021
£
271,909
350
40,953
58,997
372,209
2021
£
-
9,600
9,600|2020
£
193,552
-
2,000
37,397|
|||232,949|
|||2020
£
-
10,060|
|||10,060|
## **4 Income from charitable activities**
Page 14
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **5 Charitable expenditure**
|**a**
**Costs incurred directly on specific activities**
Church activities
Adult outreach
Children and youth
Salaries and related costs
Food Hub & Community Hub costs
Grants payable (note 5c)
Donations in kind expensed (Food Hub)
**b**
**Costs incurred on support & administration**
Governance costs
Independent examiner's fee
Other
Depreciation of tangible fixed assets
Utilities
Telephone
Repairs and maintenance
Administration and insurance
Cleaning
Office Supplies
IT costs and equipment
Professional fees
Training
Other expenses
**Total expenditure**|2021
£
3,927
2,724
1,719
169,750
4,508
100
250
182,976
3,125
119
3,244
35,798
6,452
2,653
4,603
3,130
3,045
1,619
831
3,226
-
-
64,601
247,577|2020
£
11,484
8,153
6,228
208,921
-
2,520
-|
|---|---|---|
|||237,306|
|||2,820
4|
|||2,824
39,458
5,045
2,706
8,115
5,702
5,235
1,892
4,553
3,074
425
4,836|
|||83,864|
|||321,170|
The fee payable to the independent examiner for preparing and examining the accounts was £2,700 (2020: £2,820). No other payments were made to Stewardship (2020: £nil) for any other services.
## **c Grants payable**
|Grants for UK and overseas mission
Grants for the relief of poverty
The comparatives for the previous year are as follows:
Grants for UK and overseas mission
Grants for the relief of poverty
Grants for more than £1,000 were made to the following organisations
Ambassadors football club|Institutions
£
100
100
Institutions
£
2,520
-
2,520|Individuals
£
-
-
Individuals
£
-
-
-
2021
£
-|2021
£
100
-|
|---|---|---|---|
||||100|
||||2020
£
2,520
-|
||||2,520|
||||2020
£
2,520|
||||2,520|
Page 15
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **6 Analysis of staff costs, the cost of key management personnel and trustee remuneration and expenses**
|Gross wages and salaries
Social security
Pension costs
Termination payment|2021
£
149,348
8,057
11,905
-
169,310|2020
£
164,368
10,067
13,364
20,000|
|---|---|---|
|||207,799|
The average monthly number of employees during the year was 7 (2020: 9). Most of the charity's activities are carried out by volunteers.
No staff received salaries at a rate of more than £60,000 per annum.
The charity's key management comprise the trustees and the key staff named on the Company Information page. Total employment benefits payable to key management for the year were as follows:
|Employer
Wages &
pension
salaries
contributions
Trustees:
D Prince
15,924
874
J Bollans
25,488
2,039
R Lynch
32,662
2,613|2021
£
16,798
27,527
35,275|
|---|---|
||79,600|
D Prince, J Bollans and R Lynch all served as church leaders and received the above payments for serving in that capacity, not for serving as trustees; these payments are permitted by the charity's governing document.
The following amounts were payable in the previous year:
|following amounts were payable in the previous year:||
|---|---|
|Employer
Wages &
pension
salaries
contributions
Trustees:
D Prince
10,752
860
J Bollans
25,080
2,006
R Lynch
32,256
2,580|2020
£
11,612
27,086
34,836|
||73,534|
Payroll costs included redundancy and termination payments totalling £nil (2020: £20,000) and comprise statutory payments and exgratia payments where this was considered appropriate. Redundancy and termination payments are charged when the liability or obligation arises.
|**7**
**Tangible fixed assets**
Cost or valuation
At 1 April 2020
Additions
At 31 March 2021
Accumulated depreciation
At 1 April 2020
Charge for the year
At 31 March 2021
Net book value
At 31 March 2021
At 1 April 2020|Freehold
Property
£
500,000
-
500,000
-
-
500,000
500,000|Leasehold
Improvements
£
866,455
-
866,455
558,567
34,658
593,225
273,230
307,888|Fixtures,
fittings and
equipment
£
64,006
-
64,006
62,868
1,138
64,006
-
1,138|Total
2021
£
1,430,461
-|
|---|---|---|---|---|
|||||1,430,461|
|||||621,435
35,796|
|||||657,231|
|||||773,230|
|||||809,026|
Page 16
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **8 Stock**
|Donated goods
For distribution to beneficiaries
**Debtors**
**Falling due within one year:**
Tax recoverable
Other debtors
Prepayments and accrued income
**Total debtors**
**Cash at Bank and in Hand**
Cash at bank with immediate access
Notice deposits (with a term of three months or less)
Petty cash
**Creditors: liabilities falling due within one year**
HMRC - PAYE and NI
Accruals|2021
£
100
100
2021
£
7,039
1,123
1,273
9,435
2021
£
15,092
337,065
9
352,166
2021
£
5,845
4,848
10,693|2020
£
-|
|---|---|---|
|||-|
|||2020
£
39,137
-
3,644|
|||42,781|
|||2020
£
68,858
77,466
9|
|||146,333|
|||2020
£
3,299
6,724|
|||10,023|
## **9 Debtors**
## **10 Cash at Bank and in Hand**
## **11 Creditors: liabilities falling due within one year**
## **12 Pension commitments**
During the year employer’s pension contributions totalling £11,905 (2020: £13,364) were payable to defined contribution personal pension schemes. Pension contributions of £1,126 were owing at the balance sheet date (2020: £nil).
## **13 Funds**
During the year the movements in the charity's funds were as follows:
|_Designated Funds_
Staff fund
Building and equipment fund
Building contingency fund
Equipment contingency fund
_General Unrestricted Funds_
Total Unrestricted Funds
_Restricted Funds_
Youth Fund
CAUSE
Food Hub
Salary Fund
Community Hub
Aggregate of funds|Opening
balance
2021
£
21,500
807,888
30,000
10,000
869,388
78,241
947,629
35,830
4,658
-
-
-
40,488
988,117|Incoming
resources
2021
£
-
248,770
248,770
30,000
-
4,428
100,000
500
134,928
383,698|Outgoing
resources
2021
£
(34,658)
(34,658)
(82,407)
(117,065)
(25,755)
-
(4,533)
(100,000)
(224)
(130,512)
(247,577)|Transfers
in the year
2021
£
-
1,500
-
1,500
(1,368)
132
-
(3,132)
3,000
-
-
(132)
(0)|Closing
balance
2021
£
21,500
773,230
31,500
10,000|
|---|---|---|---|---|---|
||||||836,230
243,236|
||||||1,079,466|
||||||40,075
1,526
2,895
-
276|
||||||44,772|
||||||1,124,238|
Page 17
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **Analysis of net assets by fund**
The assets and liabilities of the various funds were as follows:
|Tangible fixed assets
Stock
Debtors
Cash at bank and in hand
Creditors falling due within one year
In the previous year the movements in the charity's funds
_Designated Funds_
Staff fund
Building and equipment fund
Building contingency fund
Equipment contingency fund
_General Unrestricted Funds_
Total Unrestricted Funds
_Restricted Funds_
Youth Fund
CAUSE
Employment support
Aggregate of funds|General
Designated
funds
funds
£
£
-
773,230
100
9,435
-
244,394
63,000
(10,693)
-
243,235
836,230
were as follows:
Opening
Incoming
Outgoing
balance
resources
resources
2020
2020
2020
£
£
£
21,500
-
-
842,546
-
(34,658)
30,000
-
-
10,000
-
-
904,046
-
(34,658)
133,846
189,610
(243,965)
1,037,892
189,610
(278,623)
18,457
37,500
(20,127)
4,763
2,315
(2,420)
-
18,750
(20,000)
23,220
58,565
(42,547)
1,061,112
248,175
(321,170)
Unrestricted Funds|Restricted
funds
£
-
-
44,772
-
44,772
Transfers
in the year
2020
£
-
-
-
-
-
(1,250)
(1,250)
-
-
1,250
1,250
-|2021
£
773,230
100
9,435
352,166
(10,693)|
|---|---|---|---|
||||1,124,238|
||||Closing
balance
2020
£
21,500
807,888
30,000
10,000|
||||869,388
78,241|
||||947,629|
||||35,830
4,658
-|
||||40,488|
||||988,117|
## **Analysis of net assets by fund**
In the previous year, the assets and liabilities of the various funds were as follows:
|Tangible fixed assets
Debtors
Cash at bank and in hand
Creditors falling due within one year||General
Designated
funds
funds
£
£
1,138
807,888
42,781
-
44,345
61,500
(10,023)
-
78,241
869,388
Unrestricted Funds|Restricted
funds
£
-
-
40,488
-
40,488|2020
£
809,026
42,781
146,333
(10,023)|
|---|---|---|---|---|
|||General
funds
£
1,138
42,781
44,345
(10,023)
78,241|||
|||||988,117|
The **Staff Fund** is maintained to ensure sufficient funds are available to cover statutory redundancy to staff in the event that is required.
The **Building and Equipment Fund** reflects the net book value of capital assets owned by the Mission.
The B **uilding Contingency Fund** is maintained to provide funds in the event of unexpected building repairs.
Page 18
## **THE GOOD SHEPHERD MISSION**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
The E **quipment Contingency Fund** is maintained to provide funds for the repair and purchase of equipment
The Y **outh Fund** is maintained to provide funds for the Charity's youth work.
The **CAUSE fund** is in place to support an initiative undertaken with community leaders to better understand the cause and impact of crime and violence in the local area.
The **Employment support fund** is maintained to receive donations specific to funding employment related matters.
The **Food Hub Fund** is maintained to provide funds for those in food poverty in our local community
The **Community Hub Fund** is maintained to foster individual and community well-being by providing holistic activities that tackle loneliness, addiction, segregation, and inactive lifestyles as well as helping develop spoken English for asylum seekers and speakers of other languages.
## **14 Transactions with related parties**
During the year the charity received donations totalling £16,696 (2020: £23,648) from related parties (which includes trustees, any other members of key management and anyone closely connected to them).
Except as disclosed above and in note 6 'Analysis of staff costs', there have been no other transactions with related parties during the year.
## **15 Members**
Each member of the company commits to contribute if the charity is wound up an amount of £10.
Page 19
## **THE GOOD SHEPHERD MISSION**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|Note
**INCOME AND ENDOWMENTS FROM:**
Donations and legacies
3
Charitable activities
4
Investments
Other income
**Total income and endowments**
**EXPENDITURE ON:**
Charitable activities:
5
**Total Expenditure**
**Net income/(expenditure)**
**Transfers between funds**
13
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
13||General
Designated
2021
2021
£
£
237,281
-
9,600
-
1,189
-
700
-
248,770
-
82,407
34,658
82,407
34,658
166,363
(34,658)
(1,368)
1,500
164,995
(33,158)
78,241
869,388
243,236
836,230
Unrestricted funds|Restricted
2021
£
134,928
-
-
-
134,928
130,512
130,512
4,416
(132)
4,284
40,488
44,772|Total
2021
£
372,209
9,600
1,189
700
383,698
247,577
247,577
136,121
(0)
136,121
988,117
1,124,238|||General
Designated
2020
2020
£
£
174,384
-
10,060
-
2,788
-
2,378
-
189,610
-
243,965
34,658
243,965
34,658
(54,355)
(34,658)
(1,250)
-
(55,605)
(34,658)
133,846
904,046
78,241
869,388
Unrestricted funds|Restricted
2020
£
58,565
-
-
-
58,565
42,547
42,547
16,018
1,250
17,268
23,220
40,488|Total
2020
£
232,949
10,060
2,788
2,378
248,175
321,170
321,170
(72,995)
-
(72,995)
1,061,112
988,117|
|---|---|---|---|---|---|---|---|---|---|
Page 20