REGISTERED CHARITY NUMBER: 1047323
Report of the Trustees and
Unaudited Financial Statements for the Year Ended 31 December 2021
for
B K Charitable Trust
Freedman Frankl & Taylor Chartered Accountants Reedham House 31 King Street West Manchester M3 2PJ
B K Charitable Trust
Contents of the Financial Statements for the Year Ended 31 December 2021
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 2 |
| Independent Examiner's Report | 3 | ||
| Statement of Financial Activities | 4 | ||
| Balance Sheet | 5 | ||
| Notes to the Financial Statements | 6 | to | 11 |
B K Charitable Trust
Report of the Trustees for the Year Ended 31 December 2021
The trustees present their report with the financial statements of the charity for the year ended 31 December 2021. 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 aims
The principal object of the charity is the furtherance of orthodox Jewish education, relief of poverty and any other charitable activity. The charity is to apply the income and all such part or parts of the capital at such time or times and in such manner to or for the benefit of such exclusively charitable objects and purposes in any part of the world as the Trustees may in their discretion think fit.
Public benefit
The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit.
Grantmaking
The intention is to utilise the income from the funds to make grants and donations to various charitable causes known to the Trustees or in respect of which the Trustees may receive specific applications. In certain cases capital sums may be distributed as well.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
During the year, the charity's incoming resources amounted to £167,298. Total resources expended amounted to £163,443. After taking into account of the decrease in valuation of investments of £3,059, the fund reserve reserves have increased by £796 decreasing its deficit from £21,220 to a deficit of £20,424.
Investment performance
In accordance with the Trust Deed, the Trustees have the power to invest in stocks, shares, investments and properties in the UK as they see fit. The Trustees consider that the performance of investments during the year was satisfactory and the objectives of the charity have been met.
The Trustees have absolute discretion in determining the selection of investments for the Trust.
FINANCIAL REVIEW
Reserves policy
It is the aim of the charity to maintain unrestricted funds at a level sufficient to enable it to continue to operate and meet day to day running costs.
At 31st December 2021 the charity had a deficit in its reserves of £20,424 (2020: £21,220). Before the year end the charity had refurbished the property and has commenced renting the property at its full market rental value, in an effort to eliminate the deficit.
It has also been actively seeking donations.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The charity is constituted by the Trust Deed dated 30 May 1995 and registered with the Charity Commission under charity number 1047323.
Recruitment and appointment of new trustees
The management of the charity is responsibility of the Trustees who are elected and co-opted under the terms of the Trust Deed.
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B K Charitable Trust
Report of the Trustees for the Year Ended 31 December 2021
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 1047323
Principal address
Cornbrook, 2 Brindley Road Old Trafford Manchester M16 9HQ
Trustees
Z Klyne Mrs R Klyne Y S Klyne (resigned 24.5.21) Dr J M Hasleton (appointed 24.5.21)
Independent Examiner
Adam Caplan ACA Freedman Frankl & Taylor Chartered Accountants Reedham House 31 King Street West Manchester M3 2PJ
Approved by order of the board of trustees on 21 November 2022 and signed on its behalf by:
Z Klyne - Trustee
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Independent Examiner's Report to the Trustees of B K Charitable Trust
Independent examiner's report to the trustees of B K Charitable Trust
I report to the charity trustees on my examination of the accounts of B K Charitable Trust (the Trust) for the year ended 31 December 2021.
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
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:
-
accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
-
the accounts do not accord with those records; or
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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.
Adam Caplan ACA Freedman Frankl & Taylor Chartered Accountants Reedham House 31 King Street West Manchester M3 2PJ
- 22 November 2022
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B K Charitable Trust
Statement of Financial Activities for the Year Ended 31 December 2021
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 159,298 Investment income 2 8,000 Total 167,298 EXPENDITURE ON Charitable activities General 12,903 Donations 150,540 Total 163,443 Net gains/(losses) on investments (3,059) NET INCOME 796 RECONCILIATION OF FUNDS Total funds brought forward (21,220) TOTAL FUNDS CARRIED FORWARD (20,424) |
Restricted fund £ - - - - - - - - - - |
2021 Total funds £ 159,298 8,000 167,298 12,903 150,540 163,443 (3,059) 796 (21,220) (20,424) |
2020 Total funds £ 115,727 - 115,727 9,233 105,296 114,529 5,735 6,933 (28,153) (21,220) |
|---|---|---|---|
The notes form part of these financial statements
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B K Charitable Trust
Balance Sheet 31 December 2021
| Unrestricted fund Notes £ FIXED ASSETS Investments Investments 6 12,958 Investment property 7 475,221 488,179 CURRENT ASSETS Debtors 8 1,374 Cash at bank 3,967 5,341 CREDITORS Amounts falling due within one year 9 (513,944) NET CURRENT ASSETS/(LIABILITIES) (508,603) TOTAL ASSETS LESS CURRENT LIABILITIES (20,424) NET ASSETS/(LIABILITIES) (20,424) FUNDS 10 Unrestricted funds TOTAL FUNDS |
Restricted fund £ - - - - - - - - - - |
2021 Total funds £ 12,958 475,221 488,179 1,374 3,967 5,341 (513,944) (508,603) (20,424) (20,424) (20,424) (20,424) |
2020 Total funds £ 16,017 407,847 423,864 2,087 4,709 6,796 (451,880) (445,084) (21,220) (21,220) (21,220) (21,220) |
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 21 November 2022 and were signed on its behalf by:
Z Klyne - Trustee
The notes form part of these financial statements
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B K Charitable Trust
Notes to the Financial Statements for the Year Ended 31 December 2021
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, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
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.
Investment property
Investment properties for which fair value can be measured reliably without undue cost or effort are measured at fair value at each reporting date with changes in fair value recognised in 'net gains/ (losses) on investment' in the SOFA.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
Valuation of investments
All investments are valued at their market value at 31 December 2021. Any gain or loss on revaluation is taken to the Statement of Financial Activities.
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2021
2. INVESTMENT INCOME
| Rents received 3. GRANTS PAYABLE Donations The total grants paid to institutions during the year was as follows: Yeshivas Lubavitch Manchester Chai Network Colel Chabad Broughton Jewish Opportunities Fund Beis Menachem Sha'arei L'Chaim Foodbank Bonei Olam Broughton Jewish Casel Fox North Manchester Jewish Cemetries Young Lubavitch Choimel Dalim Manchester Jewish School for Special Education SMD Foundation Others - less than £1,000 |
2021 £ 8,000 2021 £ 150,540 2021 £ 10,000 28,400 3,600 - 11,200 55,800 5,000 19,562 - - 2,500 10,000 1,000 3,478 150,540 |
2020 £ - 2020 £ 105,296 2020 £ - 42,650 7,400 4,121 - 45,300 - - 1,800 1,205 - - - 2,820 105,296 |
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4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2021 nor for the year ended 31 December 2020.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2021 nor for the year ended 31 December 2020.
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted fund £ INCOME AND ENDOWMENTS FROM Donations and legacies 115,727 EXPENDITURE ON Charitable activities General 9,233 Donations 105,296 Total 114,529 |
Restricted fund £ - - - - |
Total funds £ 115,727 9,233 105,296 114,529 |
|---|---|---|
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2021
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
| Unrestricted fund £ Net gains on investments 5,735 NET INCOME 6,933 RECONCILIATION OF FUNDS Total funds brought forward (28,153) TOTAL FUNDS CARRIED FORWARD (21,220) 6. FIXED ASSET INVESTMENTS MARKET VALUE At 1 January 2021 Revaluations At 31 December 2021 NET BOOK VALUE At 31 December 2021 At 31 December 2020 There were no investment assets outside the UK. Investments comprise listed securities on the AIM amounting to £12,958. The historic cost of the investments at 31 December 2021 is £536,250 7. INVESTMENT PROPERTY FAIR VALUE At 1 January 2021 Additions At 31 December 2021 NET BOOK VALUE At 31 December 2021 At 31 December 2020 |
Restricted Total fund funds £ £ - 5,735 - 6,933 - (28,153) - (21,220) Listed investments £ 16,017 (3,059) 12,958 12,958 16,017 £ 407,847 67,374 475,221 475,221 407,847 |
|---|---|
In the opinion of the trustees, the market value of the investment property is not materially different from the amounts stated in the financial statements.
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2021
8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Other debtors Taxation recoverable 9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors 10. MOVEMENT IN FUNDS At 1.1.21 £ Unrestricted funds General fund (21,220) TOTAL FUNDS (21,220) Net movement in funds, included in the above are as follows: Incoming Resources resources expended £ £ Unrestricted funds General fund 167,298 (163,443) TOTAL FUNDS 167,298 (163,443) Comparatives for movement in funds At 1.1.20 £ Unrestricted funds General fund (28,153) TOTAL FUNDS (28,153) |
2021 2020 £ £ 140 220 1,234 1,867 1,374 2,087 2021 2020 £ £ 513,944 451,880 Net movement At in funds 31.12.21 £ £ 796 (20,424) 796 (20,424) Gains and Movement losses in funds £ £ (3,059) 796 (3,059) 796 Net movement At in funds 31.12.20 £ £ 6,933 (21,220) 6,933 (21,220) |
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continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2021
10. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 115,727 115,727 |
Resources expended £ (114,529) (114,529) |
Gains and Movement losses in funds £ £ 5,735 6,933 5,735 6,933 |
|---|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Unrestricted funds | At 1.1.20 £ |
Net movement At in funds 31.12.21 £ £ |
|---|---|---|
| General fund | (28,153) | 7,729 (20,424) |
| TOTAL FUNDS | (28,153) | 7,729 (20,424) |
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 TOTAL FUNDS |
Incoming resources £ 283,025 283,025 |
Resources expended £ (277,972) (277,972) |
Gains and Movement losses in funds £ £ 2,676 7,729 2,676 7,729 |
|---|---|---|---|
11. RELATED PARTY DISCLOSURES
At 31 December 2021, there was a balance of £513,664 (2020: £451,600) due to a company in which some of the trustees are directors.
During the year donations amounting to £138,500 were made by companies in which some of the trustees are directors.
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2021
12. ULTIMATE CONTROLLING PARTY
The charity is jointly controlled by the trustees.
13. GOING CONCERN
The charity's financial statements for the year ended 31 December 2021 have been prepared on a going concern basis as, after making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future.
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