**CHARITY REGISTRATION NUMBER: 1053707** ## **Kollel Zichron Shaul Unaudited Financial Statements** ## **31 May 2022** ## **HAFFNER HOFF LTD** Accountants 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL ## **Kollel Zichron Shaul** ## **Financial Statements** ## **Year ended 31 May 2022** ||**Pages**| |---|---| |Trustees' annual report|**1 to 2**| |Independent examiner's report to the trustees|**3**| |Statement of financial activities|**4**| |Statement of financial position|**5**| |Notes to the financial statements|**6 to 12**| ## **Kollel Zichron Shaul** ## **Trustees' Annual Report** ## **Year ended 31 May 2022** The trustees present their report and the unaudited financial statements of the charity for the year ended 31 May 2022. ## **Reference and administrative details** **Registered charity name** Kollel Zichron Shaul **Charity registration number** 1053707 **Principal office** 221a Coatsworth Road Gateshead Tyne & Wear NE8 1SR **The trustees** D Steinberg S Steinberg A J Schechter **Independent examiner** D Schwarz FCCA 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL ## **Structure, governance and management** Kollel Zichron Shaul is a charitable trust constituted by a Deed of Trust dated 1 March 1996 and is a registered charity, number 1053707. The Trustees have the authority to appoint new trustees as the need arises.A new trustee would receive copies of the previous years' Annual Report and Accounts and a copy of the Charity Commission leaflet 'The Essential Trustee : What you need to know'. ## **Risk Management** The trustees have identified and reviewed the major risks to which the charity is exposed. Both manual and automated checks are regularly invoked, particularly those relating to the operations and finance of the charity. The trustees are satisfied that these systems and procedures mitigate any perceived risks. **- 1 -** Kollel Zichron Shaul Trustees. Annual Report (continued) Year ended 31 May 2022 Objectives and activities The objectives of the charrty are the promotion and 8dvancement of Jewish religious education. Public Benefit Policy We have referred to the guidance contained in the Charity Commiss¥Jn's general guKlance on public benefit when reviewing our aims and objectives and in planning our future activrties. GrarFt Making Policy GrarTrts are made lo charrtable institutions. organisations and indivduals who accord wrth the objects of the charty. Achievernents and performance During the year the charty received £480.433 in donations and £2.195 in interest receivable. The charity spent £395,154 promoting Jewish re1￿lOuS education in accordance with ils objects. Fundraising costs for the year amounted to £9.278. There was a net incon* and nel n￿vement in fttnds of £78,1SE_ Flnancial review As * 30 May 2022 the charrty held free reserves of £251,467 {2021..£195.1061 all of which are unrestricted. The charity has designated these funds towards refvrtjishing their building. to bring the facilrties up lo date This refurbishment is currently taking pla￿. Reserves Policy The Unreslricled Fund represents the unrestricted funds arising from past operating results. The trustees are satisfied that the balance of the Fund is an acceptable level of reserves. The Charty has a policy to relain reserves in order lo ensure that it is in a position to continue ils grant making activities and cover contingencies of addrtional calls being made upon the Charity for support of org8nisalions in limes of need. The trustees, annual report was approved on 24 March 2023 and signed on behalf of the board of Iruslees by Trustee ## **Kollel Zichron Shaul** ## **Independent Examiner's Report to the Trustees of Kollel Zichron Shaul** ## **Year ended 31 May 2022** I report to the trustees on my examination of the financial statements of Kollel Zichron Shaul ('the charity') for the year ended 31 May 2022. ## **Responsibilities and basis of report** As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’). I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent examiner's statement - matter of concern identified** Since the charity’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 in England and Wales (ICAEW), 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 charity as required by section 130 of the Act; or 2. the financial statements do not accord with those records; or 3. the financial statements 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. ## **D Schwarz FCCA** Independent Examiner 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL 24 March 2023 **- 3 -** ## **Kollel Zichron Shaul** ## **Statement of Financial Activities** ## **Year ended 31 May 2022** |||**2022**||2021| |---|---|---|---|---| |||Unrestricted||| |||funds**Total funds**||Total funds| ||**Note**|**£**|**£**|£| |**Income and endowments**||||| |Donations and legacies|**4**|480,433|**480,433**|502,594| |Investment income|**5**|2,195|**2,195**|750| |||--------------------------------|--------------------------------|--------------------------------| |**Total income**||482,628|**482,628**|503,344| |||================================|================================|================================| |**Expenditure**||||| |Expenditure on raising funds:||||| |Costs of raising donations and legacies|**6**|9,278|**9,278**|19,062| |Expenditure on charitable activities|**7,8**|395,154|**395,154**|360,135| |||--------------------------------|--------------------------------|--------------------------------| |**Total expenditure**||404,432|**404,432**|379,197| |||================================|================================|================================| |||--------------------------------|--------------------------------|--------------------------------| |**Net income and net movement in funds**||78,196|**78,196**|124,147| |||================================|================================|================================| |**Reconciliation of funds**||||| |Total funds brought forward||275,316|**275,316**|151,169| |||--------------------------------|--------------------------------|--------------------------------| |**Total funds carried forward**||353,512|**353,512**|275,316| |||================================|================================|================================| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. **The notes on pages 6 to 12 form part of these financial statements.** **- 4 -** Kollel Zichron Shaul ststement of Financial Position 31 May 2022 2022 2021 Nots Fixed assets Tangible fixed assets 15 143,712 130.210 Current assets Debtors Cash at bank and in hand 16 135.258 126,231 22,217 186,649 261,489 208.866 Creditors: amounts falling due wlthln one year Net current asset$ 17 10.022 13,780 251,467 195,106 Total assets less current liabilities 395,179 325.316 Creditors.. amounts talling due after more than one year 18 41.667 50.000 Net assets 353.S12 275,316 Funds ofthe ¢harfty Unrestricted funds 353,512 275.316 Totsl charity funds 19 353.512 275.316 These financial slalements were approved by the board of trustees and aulhorised for issue on 24 March 2023. atxl are signed on khaLf of the board by.. Trustee Th• notes on pag•5 6 to 12 lonn part of th0$8 financial statements. ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** ## **Year ended 31 May 2022** ## **1. General information** The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 221a Coatsworth Road, Gateshead, Tyne & Wear, NE8 1SR. ## **2. Statement of compliance** These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011. ## **3. Accounting policies** ## **Basis of preparation** The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure. The financial statements are prepared in sterling, which is the functional currency of the entity. ## **Going concern** There are no material uncertainties about the charity's ability to continue. ## **Judgements and key sources of estimation uncertainty** The preparation of the financial statements did not require management to make judgements, estimates or assumptions that affect the amounts reported at the year end. ## **Fund accounting** Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment. Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds. ## **Incoming resources** All income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income: - income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably. **- 6 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **3. Accounting policies** _**(continued)**_ ## **Resources expended** Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates: - expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods. - expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities. - other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities. All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis. ## **Tangible assets** Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities. ## **Depreciation** Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows: Equipment - 10% reducing balance **- 7 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **3. Accounting policies** _**(continued)**_ ## **Financial instruments** A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted. ## **4. Donations and legacies** ||Unrestricted|**Total Funds**|Unrestricted|Total Funds| |---|---|---|---|---| ||Funds|**2022**|Funds|2021| ||£|**£**|£|£| |**Donations**||||| |Donations|441,067|**441,067**|414,434|414,434| |**Other donations and legacies**||||| |Miscellaneous income|39,366|**39,366**|88,160|88,160| ||--------------------------------|--------------------------------|--------------------------------|--------------------------------| ||480,433|**480,433**|502,594|502,594| ||================================|================================|================================|================================| ## **5. Investment income** ||Unrestricted|**Total Funds**|Unrestricted|Total Funds| |---|---|---|---|---| ||Funds|**2022**|Funds|2021| ||£|**£**|£|£| |Bank interest receivable|94|**94**|53|53| |Other interest receivable|2,101|**2,101**|697|697| ||-----------------------|-----------------------|--------------|--------------| ||2,195|**2,195**|750|750| ||=======================|=======================|==============|==============| ## **6. Costs of raising donations and legacies** ||Unrestricted|**Total Funds**|Unrestricted|Total Funds| |---|---|---|---|---| ||Funds|**2022**|Funds|2021| ||£|**£**|£|£| |Costs of raising donations and||||| |legacies|9,278|**9,278**|19,062|19,062| ||=======================|=======================|============================|============================| **- 8 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **7. Expenditure on charitable activities by fund type** ||Unrestricted|**Total Funds**|Unrestricted|Total Funds| |---|---|---|---|---| ||Funds|**2022**|Funds|2021| ||£|**£**|£|£| |Charitable activities|191,935|**191,935**|167,944|167,944| |Grants payable|195,707|**195,707**|191,170|191,170| |Support costs|7,512|**7,512**|1,021|1,021| ||--------------------------------|--------------------------------|--------------------------------|--------------------------------| ||395,154|**395,154**|360,135|360,135| ||================================|================================|================================|================================| ## **8. Expenditure on charitable activities by activity type** ||Activities||||| |---|---|---|---|---|---| ||undertaken|
Grant funding|Support|**Total funds**|Total fund| ||directly|
of activities|costs|**2022**|2021| ||£|£|£|**£**|£| |Charitable activities|191,935|
–|5,958|**197,893**|167,944| |Grants payable|–|
195,707|–|**195,707**|191,170| |Governance costs|–|
–|1,554|**1,554**|1,021| ||--------------------------------|--------------------------------|-----------------------|--------------------------------|--------------------------------| ||191,935|
195,707|7,512|**395,154**|360,135| ||================================|================================|=======================|================================|================================| ## **9. Analysis of support costs** ||Analysis of||| |---|---|---|---| ||support costs||| ||activity 1|**Total 2022**|Total 2021| ||£|**£**|£| |Staff costs|5,784|**5,784**|–| |General office|174|**174**|–| |Governance costs|1,554|**1,554**|1,020| ||-----------------------|-----------------------|-----------------------| ||7,512|**7,512**|1,020| ||=======================|=======================|=======================| |**Analysis of grants**|||| |||**2022**|2021| |||**£**|£| |**Grants to individuals**|||| |Grants to individuals||**195,707**|191,170| |||--------------------------------|--------------------------------| |Total grants||**195,707**|191,170| |||================================|================================| ## **10. Analysis of grants** All grants were made to individuals for the advancement of Jewish religious education. ## **11. Net income** Net income is stated after charging/(crediting): ||**2022**|2021| |---|---|---| ||**£**|£| |Depreciation of tangible fixed assets|**169**|188| ||==============|==============| **- 9 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **12. Independent examination fees** ||**2022**|2021| |---|---|---| ||**£**|£| |Fees payable to the independent examiner for:||| |Independent examination of the financial statements|**1,122**|1,020| ||=======================|=======================| ## **13. Staff costs** The average head count of employees during the year was 27 (2021: 27). The average number of full-time equivalent employees during the year is analysed as follows: ||**2022**|2021| |---|---|---| ||**No.**|No.| |Number of faculty staff|**26**|26| |Number of administrative staff|**1**|1| ||--------------|--------------| ||**27**|27| ||==============|==============| No employee received employee benefits of more than £60,000 during the year (2021: Nil). ## **14. Trustee remuneration and expenses** No remuneration or other benefits from employment with the charity or a related entity were received by the trustees. ## **15. Tangible fixed assets** ||Land and||||| |---|---|---|---|---|---| ||buildings Torah Scrolls||Equipment|Library|**Total**| ||£|£|£|£|**£**| |**Cost**|||||| |At 1 June 2021|106,539|20,000|3,229|1,978|**131,746**| |Additions|13,671|–|–|–|**13,671**| ||--------------------------------|----------------------------|-----------------------|-----------------------|--------------------------------| |**At 31 May 2022**|120,210|20,000|3,229|1,978|**145,417**| ||================================|============================|=======================|=======================|================================| |**Depreciation**|||||| |At 1 June 2021|–|–|1,536|–|**1,536**| |Charge for the year|–|–|169|–|**169**| ||--------------------------------|----------------------------|-----------------------|-----------------------|--------------------------------| |**At 31 May 2022**|–|–|1,705|–|**1,705**| ||================================|============================|=======================|=======================|================================| |**Carrying amount**|||||| |**At 31 May 2022**|120,210|20,000|1,524|1,978|**143,712**| ||================================|============================|=======================|=======================|================================| |At 31 May 2021|106,539|20,000|1,693|1,978|130,210| ||================================|============================|=======================|=======================|================================| **- 10 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **16. Debtors** ||**2022**|2021| |---|---|---| ||**£**|£| |HMRC Gift Aid|**18,508**|2,568| |Other debtors|**116,750**|19,649| ||--------------------------------|----------------------------| ||**135,258**|22,217| ||================================|============================| |**Creditors:** **amounts falling due within one year**||| ||**2022**|2021| ||**£**|£| |Accruals and deferred income|**1,122**|1,020| |Other creditors|**8,900**|12,740| ||----------------------------|----------------------------| ||**10,022**|13,760| ||============================|============================| |**Creditors:** **amounts falling due after more than one year**||| ||**2022**|2021| ||**£**|£| |Bank loans and overdrafts|**41,667**|50,000| ||============================|============================| **17. Creditors: amounts falling due within one year** ## **18. Creditors: amounts falling due after more than one year** ## **19. Analysis of charitable funds** ## **Unrestricted funds** |**Unrestricted funds**|||||| |---|---|---|---|---|---| |||At|||**At**| ||1|June 2021|Income|Expenditure|**31 May 2022**| |||£|£|£|**£**| |General funds||275,316|482,628|(404,432)|
**353,512**| |||================================|================================|================================|================================| |||At|||At| ||1|June 2020|Income|Expenditure|31 May 2021| |||£|£|£|£| |General funds||151,169|503,344|(379,197)|
275,316| |||================================|================================|================================|================================| **- 11 -** ## **Kollel Zichron Shaul** ## **Notes to the Financial Statements** _**(continued)**_ ## **Year ended 31 May 2022** ## **20. Analysis of net assets between funds** ||Unrestricted|**Total Funds**| |---|---|---| ||Funds|**2022**| ||£|**£**| |Tangible fixed assets|143,712|**143,712**| |Current assets|261,489|**261,489**| |Creditors less than 1 year|(10,022)|
**(10,022)**| |Creditors greater than 1 year|(41,667)|
**(41,667)**| ||--------------------------------|--------------------------------| |**Net assets**|353,512|**353,512**| ||================================|================================| ||Unrestricted|Total Funds| ||Funds|2021| ||£|£| |Tangible fixed assets|130,210|130,210| |Current assets|208,866|208,866| |Creditors less than 1 year|(13,760)|
(13,760)| |Creditors greater than 1 year|(50,000)|
(50,000)| ||--------------------------------|--------------------------------| |**Net assets**|275,316|275,316| ||================================|================================| ## **21. Related parties** Mr D Steinberg and Mr A J Schechter, trustees of Kollel Zichron Shaul are also directors and trustees of IFT Properties Ltd. At the beginning of the year, Kollel Zichron Shaul had a balance of £1,010 owing to IFT Properties, this was fully repaid during the year. During the year, Kollel Zichron Shaul made a loan of £1,750 to IFT Properties,a registered UK Charity, this loan is interest free and was outstanding at the year end. **- 12 -**