REGISTERED CHARITY NUMBER: 1047323
Report of the Trustees and
Unaudited Financial Statements for the Year Ended 31 December 2022
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 2022
| 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 2022
The trustees present their report with the financial statements of the charity for the year ended 31 December 2022. 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 £246,551. Total resources expended amounted to £245,909. After taking into account of the decrease in valuation of investments of £1,951, the fund reserve reserves have decreased by £1,309 increasing its deficit from £20,424 to a deficit of £21,733.
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 31 December 2022 the charity had a deficit in its reserves of £21,733. The charity has refurbished the property and has been renting the property at its full market rental value, in an effort to eliminate the deficit.
It will also continue to actively seek donations in order to try to eliminate this deficit.
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.
REFERENCE AND ADMINISTRATIVE DETAILS
Registered Charity number
1047323
Page 1
B K Charitable Trust
Report of the Trustees for the Year Ended 31 December 2022
Principal address
Cornbrook, 2 Brindley Road Old Trafford Manchester M16 9HQ
Trustees
Z Klyne (resigned 23.11.22) Mrs R Klyne (resigned 23.11.22) Dr J M Hasleton Mrs B N Rice (appointed 23.11.22) M Davis (appointed 23.11.22)
Independent Examiner
Adam Caplan FCA Freedman Frankl & Taylor Chartered Accountants Reedham House 31 King Street West Manchester M3 2PJ
Approved by order of the board of trustees on 27 October 2023 and signed on its behalf by:
Mrs B N Rice - Trustee
Page 2
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 2022.
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
-
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 FCA
Freedman Frankl & Taylor Chartered Accountants Reedham House 31 King Street West Manchester M3 2PJ
30 October 2023
Page 3
B K Charitable Trust
Statement of Financial Activities for the Year Ended 31 December 2022
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 228,951 Investment income 2 17,600 Total 246,551 EXPENDITURE ON Charitable activities General 2,558 Donations 243,351 Total 245,909 Net gains/(losses) on investments (1,951) NET INCOME/(EXPENDITURE) (1,309) RECONCILIATION OF FUNDS Total funds brought forward (20,424) TOTAL FUNDS CARRIED FORWARD (21,733) |
Restricted fund £ - - - - - - - - - - |
2022 Total funds £ 228,951 17,600 246,551 2,558 243,351 245,909 (1,951) (1,309) (20,424) (21,733) |
2021 Total funds £ 159,298 8,000 167,298 12,903 150,540 163,443 (3,059) 796 (21,220) (20,424) |
|---|---|---|---|
The notes form part of these financial statements
Page 4
B K Charitable Trust
Balance Sheet 31 December 2022
| Unrestricted fund Notes £ FIXED ASSETS Investments Investments 6 10,270 Investment property 7 475,222 485,492 CURRENT ASSETS Debtors 8 1,317 Cash at bank 5,402 6,719 CREDITORS Amounts falling due within one year 9 (513,944) NET CURRENT ASSETS/(LIABILITIES) (507,225) TOTAL ASSETS LESS CURRENT LIABILITIES (21,733) NET ASSETS/(LIABILITIES) (21,733) FUNDS 10 Unrestricted funds TOTAL FUNDS |
Restricted fund £ - - - - - - - - - - |
2022 Total funds £ 10,270 475,222 485,492 1,317 5,402 6,719 (513,944) (507,225) (21,733) (21,733) (21,733) (21,733) |
2021 Total funds £ 12,958 475,222 488,180 1,373 3,967 5,340 (513,944) (508,604) (20,424) (20,424) (20,424) (20,424) |
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 27 October 2023 and were signed on its behalf by:
B N Rice - Trustee
The notes form part of these financial statements
Page 5
B K Charitable Trust
Notes to the Financial Statements for the Year Ended 31 December 2022
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 2022. 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 2022
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 Beis Menachem Sha'arei Misaskim L'Chaim Foodbank Bonei Olam Broughton Jewish Casel Fox Young Lubavitch Choimel Dalim Manchester Jewish School for Special Education SMD Foundation B' Ohr Chabad Beis Menachem Beis Menechem Chabad Lubavitch Beis Menachem Shahare Chesed Beis Sorah Schenierer Seminary Bury & Whitefield Jewish Primary School Chabad Lubavitch of Bloomsbury Chabad Lubavitch of Trafford Friends of Shamir Wellsprings Chabad UK Gives Ltd Others - less than £1,000 |
2022 £ 17,600 2022 £ 243,351 2022 £ - 61,920 22,400 - 1,800 72,313 - 9,502 1,895 1,540 - - 3,100 10,180 18,512 1,000 1,000 1,800 10,000 1,000 22,300 3,089 243,351 |
2021 £ 8,000 2021 £ 150,540 |
2021 £ 8,000 |
|---|---|---|---|
| 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 |
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2022 nor for the year ended 31 December 2021.
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted fund £ INCOME AND ENDOWMENTS FROM Donations and legacies 159,298 Investment income 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) 6. FIXED ASSET INVESTMENTS MARKET VALUE At 1 January 2022 Disposals Revaluations At 31 December 2022 NET BOOK VALUE At 31 December 2022 At 31 December 2021 There were no investment assets outside the UK. Investments comprise listed securities on the NASDAQ amounting to £10,270. |
Restricted Total fund funds £ £ - 159,298 - 8,000 - 167,298 - 12,903 - 150,540 - 163,443 - (3,059) - 796 - (21,220) - (20,424) Listed investments £ 12,958 (737) (1,951) 10,270 10,270 12,958 |
|---|---|
The historic cost of the investments at 31 December 2022 is £504,603
continued...
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B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
7. INVESTMENT PROPERTY
£
| FAIR VALUE At 1 January 2022 and 31 December 2022 NET BOOK VALUE At 31 December 2022 At 31 December 2021 |
475,222 |
|---|---|
| 475,222 | |
| 475,222 |
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.
8. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||
|---|---|---|
| 2022 | 2021 | |
| £ | £ | |
| Other debtors | 797 | 140 |
| Taxation recoverable | 520 | 1,233 |
| 1,317 | 1,373 | |
| CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||
| 2022 | 2021 | |
| £ | £ | |
| Other creditors | 513,944 | 513,944 |
9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
10. MOVEMENT IN FUNDS
| Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are Unrestricted funds General fund TOTAL FUNDS |
as follows: Incoming resources £ 246,551 246,551 |
At 1.1.22 £ (20,424) (20,424) Resources expended £ (245,909) (245,909) |
Net movement At in funds 31.12.22 £ £ (1,309) (21,733) (1,309) (21,733) Gains and Movemen losses in funds £ £ (1,951) (1,309) (1,951) (1,309) |
Net movement At in funds 31.12.22 £ £ (1,309) (21,733) (1,309) (21,733) Gains and Movemen losses in funds £ £ (1,951) (1,309) (1,951) (1,309) |
|---|---|---|---|---|
| (1,309) |
continued...
Page 9
B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
10. MOVEMENT IN FUNDS - continued
Comparatives for movement in funds
| At 1.1.21 £ Unrestricted funds General fund (21,220) TOTAL FUNDS (21,220) Comparative 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) |
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 |
|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Net | |||
|---|---|---|---|
| movement | At | ||
| At 1.1.21 | in funds | 31.12.22 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | (21,220) | (513) | (21,733) |
| TOTAL FUNDS | (21,220) | (513) | (21,733) |
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 £ 413,849 413,849 |
Resources expended £ (409,352) (409,352) |
Gains and Movement losses in funds £ £ (5,010) (513) (5,010) (513) |
|---|---|---|---|
continued...
Page 10
B K Charitable Trust
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
11. RELATED PARTY DISCLOSURES
At 31 December 2022, there was a balance of £513,664 due to a company in which some of the trustees are directors.
During the year donations amounting to £126,000 were made by companies in which some of the trustees are directors.
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 2022 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.
Page 11