## **THE PRAYER AND PROPHETIC CENTRE LTD** **Charity No. 1056589** **Company No. 05477337** **Trustees' Report and Unaudited Accounts** **31 March 2021** **THE PRAYER AND PROPHETIC CENTRE LTD Contents** ||Pages|| |---|---|---| |Trustees' Annual Report|2 to 4|| |Independent Examiner's Report||5| |Statement of Financial Activities||6| |Summary Income and Expenditure Account||7| |Balance Sheet||8| |Statement of Cash flows||9| |Notes to the Accounts|10 to|17| Page 1 **THE PRAYER AND PROPHETIC CENTRE LTD Trustees Annual Report** The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the unaudited financial statements of the charity for the year ended 31 March 2021. ## **REFERENCE AND ADMINISTRATIVE DETAILS** ## **Company No. 05477337** ## **Charity No. 1056589** ## **Principal Office** 3rd Floor 777 Old Kent Road London SE15 1NZ ## **Registered Office** 3rd Floor 777 Old Kent Road London SE15 1NZ ## **Directors and Trustees** The Directors of the charitable company are its Trustees for the purposes of charity law. The following Directors and Trustees served during the year: D. Amuah (Resigned 31 July 2022) W. Danso E. Obeng D. Smith (Resigned 1 August 2020) ## **Accountants** Spearmans 333 Edgware Road London NW9 6TD ## **Bankers** Barclays Bank Plc Leicester LE87 2BB ## **OBJECTIVES AND ACTIVITIES** The objects of the charity as set out in its governing document are: the advancement of the christian religion; Relief of hardship for the distressed, aged and sick; relief of poverty and homelessness. The objects are charitable and operate for the public benefit. In determining how best to pursue these objects the Trustees have given regard to the Charity Commission's guidance on public benefit. The main activities undertaken in relation to those purposes are: Page 2 **THE PRAYER AND PROPHETIC CENTRE LTD** ## **Trustees Annual Report** Sunday and mid-week worship services, children's ministries, prayer and ministry training, bible studies and small group meetings Ministering to the congregation and the local community through family life, relationship and other ministry programmes Social programmes to provide food, clothes and shelter for the needy and care for the sick Educate and equip the congregation and other churchesin the practice of ministry through GSC based conferences ## **ACHIEVEMENTS AND PERFORMANCE** A summary of the main achievements of the charity, identifying the difference the charity's work has made to its beneficiaries and society as a whole is summarised below. The church is open to both christians and non-christians. The communityhas been attracted to and enjoyed our services including weekly worship services,monthly destiny changing programmes, new year's eve watch night service and our annual music and cultural nights. The popularity of the month end programmes and the music and performing arts has often seen professional artists and speakers from home and abroad come to minister and impact lives We continue to provide and maintain buildings for church services at Old Kent Road in Southwark. We minister to the congregation and the local community by emphasising on the virtues and importance of strong families, values of voting and social responsibility, continually advocating self-development and business enterprise through seminars, workshops and practical advice The church also seeks new followers or adherents. The members in general and the evangelism team regularly go out to preach the gospel in different locations and areas. We aid the local community by providing career counselling, pre and post marital counselling, bereavement counselling, hospital visits, welfare provision, prayer support, men and women's meetings, supplementary school and supporting local charities ## **FINANCIAL REVIEW** Please refer to the annexed accounts for the details of the financial statements for the year ended 31 March 2020 ## **PLANS FOR FUTURE PERIODS** The church would continue to seek new worshippers both in the UK and around the world to advance the christian faith. Also it would continue to support the needy in society. The church will expand it's TV and online broadcast to further propagate the gospel. ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** The charity is controlled by the it's governing document, the constitution adopted on 23 October 1993 and amended on 22 March 2007. There are no restrictions in the governing document on the operation of the charity or on it's investment powers other than those imposed by general charity law. The church is run on a day to day basis by a leadership team that normally includes majority of trustees. The team comprises of professionals from all disciplines including business, finance and legal. New trustees undergo orientation where they are briefed on their legal obligations under charity law, the content of the constitution and the processes on decision making within the organisation. The charity encourages trustees to attend at their discretion appropriate external training events were these will be of use for the undertaking of the role. Page 3 **THE PRAYER AND PROPHETIC CENTRE LTD** ## **Trustees Annual Report** The leadership team is responsible for the administration and management of the church, general purposes, finances and personnel. Capital projects and expenditure require the approval of the leadership team. Appointments of officers are governed by the constitution of the church. All decisions at any meeting are determined by simple majority votes cast by members present, with each member having one vote. The leadership team meet regularly to discuss and plan objectives and implementation thereof. All matters are subject to prayer and God's direction. The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The board of trustees actively review the major risks facing the charity on a regular basis and ensure measures are put in place to safeguard the charuty's fund and assets. The trustees also ensure that legal advice is sought when necessary on crucial issues concerning the ministry. The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006. The Trustees are also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities. The above report has been prepared in accordance with the provisions applicable to companies subject to the small companies regime as set out in Part 15 of the Companies Act 2006 and in accordance with the Charities SORP (FRS 102). Signed on behalf of the board W. Danso Trustee 27 September 2022 Page 4 **THE PRAYER AND PROPHETIC CENTRE LTD Independent Examiners Report** ## **Independent Examiner's Report to the trustees of THE PRAYER AND PROPHETIC CENTRE LTD** I report to the charity trustees on my examination of the accounts of THE PRAYER AND PROPHETIC CENTRE LTD for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet, the Statement of Cash Flows and the related notes. ## **Responsibilities and basis of report** As the trustees of the charity (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 charity 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** I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that: - accounting records were not kept in accordance with section 386 of the 2006 Act ; or - the accounts do not accord with those records; or - the accounts do not comply with the accounting requirements under 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 - the accounts have not been prepared in accordance with the Charities SORP (FRS 102). 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. Lance Kadiri ACCA Spearmans 333 Edgware Road London NW9 6TD 27 September 2022 Page 5 **THE PRAYER AND PROPHETIC CENTRE LTD Statement of Financial Activities** ## **for the year ended 31 March 2021** |**Notes**
**Income and endowments**
**from:**
Donations and legacies
3
Investments
4
Other
5
**Total**
**Expenditure on:**
Raising funds
6
Other
7
**Total**
Net gains on investments
**Net expenditure**
8
Transfers between funds
**Net expenditure before other**
**gains/(losses)**
**Other gains and losses**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**|**Unrestricted**
**funds**
**2021**
**£**
39,230
5
33,175|**Total funds**
**2021**
**£**
39,230
5
33,175|**Total funds**
**2020**
**£**
205,683
82
-| |---|---|---|---| ||72,410
3,238
131,760|72,410
3,238
131,760|205,765
20,336
198,422| ||134,998
-|134,998
-|218,758
-| ||(62,588)
-|(62,588)
-|(12,993)
-| ||(62,588)|(62,588)|(12,993)| ||(62,588)
22,658|(62,588)
22,658|(12,993)
35,651| ||(39,930)|(39,930)|22,658| Page 6 **THE PRAYER AND PROPHETIC CENTRE LTD Summary Income and Expenditure Account** ## **for the year ended 31 March 2021** |Income
Interest and investment income
**Gross income for the year**
Expenditure
Interest payable
Depreciation and charges for
impairment of fixed assets
**Total expenditure for the year**
Net expenditure before tax for the year
**Net expenditure for the year**|**2021**
**£**
72,405
5
72,410
127,537
-
7,461
134,998
(62,588)
(62,588)|**2020**
**£**
205,683
82| |---|---|---| |||205,765| |||208,807
1
9,950| |||218,758| |||(12,993)| |||(12,993)| Page 7 **THE PRAYER AND PROPHETIC CENTRE LTD Balance Sheet** ## **at 31 March 2021** |**Company No.**
**05477337**
**Notes**
**2021**
**£**
**Fixed assets**
Tangible assets
11
27,210
27,210
**Current assets**
Debtors
12
6,290
Cash at bank and in hand
367
6,657
**Creditors:**Amount falling due within one year
13
(23,797)
**Net current liabilities**
(17,140)
**Total assets less current liabilities**
10,070
**Creditors:**Amounts falling due after more than one year
14
(50,000)
**Net (liabilities)/assets excluding pension asset or liability**
(39,930)
**Total net (liabilities)/assets**
(39,930)
**The funds of the charity**
**Restricted funds**
15
**Unrestricted funds**
15
General funds
(39,930)
(39,930)
**Reserves**
15
**Total funds**
(39,930)|**2020**
**£**
29,847| |---|---| ||29,847
6,290
1,775| ||8,065
(15,254)| ||(7,189)
22,658
-| ||22,658| ||22,658| ||22,658| ||22,658| ||22,658| These accounts have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. For the year ended 31 March 2021 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts. Approved by the board on 27 September 2022 And signed on its behalf by: W. Danso Trustee 27 September 2022 Page 8 **THE PRAYER AND PROPHETIC CENTRE LTD Statement of Cash flows for the year ended 31 March 2021** |**Cash flows from operating activities**
**Net expenditure per Statement of Financial Activities**
**Adjustments for:**
Depreciation of property, plant and equipment
Dividends, interest and rents from investments
Increase in trade and other receivables
Increase in trade and other payables
**Net cash (used in)/provided by operating activities**
**Cash flows from investing activities**
Payments for property, plant and equipment
Dividends, interest and rents from investments
**Net cash from/(used in) investing activities**
**Cash flows from financing activities**
Repayment of borrowings
**Net cash from financing activities**
**Net decrease in cash and cash equivalents**
**Cash and cash equivalents at the beginning of the year**
**Cash and cash equivalents at the end of the year**
**Components of cash and cash equivalents**
Cash and bank balances|**2021**
**£**
(62,588)
7,461
(33,180)
-
8,543
(79,764)
(4,824)
33,180
28,356
50,000
50,000
(1,408)
1,775
367
367
367|**2020**
**£**
(12,993)
9,950
(82)
(6,290)
12,855| |---|---|---| |||3,440
(7,400)
82| |||(7,318)| |||-| |||-| |||| |||(3,878)| |||5,653| |||1,775| |||| |||1,775| |||| |||1,775| Page 9 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## **for the year ended 31 March 2021** - 1 **Accounting policies** ## **Basis of preparation** The financial statements have been prepared in accordance with 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 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. ## **Change in basis of accounting or to previous accounts** There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years. ## **Fund accounting** - Unrestricted funds These are available for use at the discretion of the trustees in furtherance of the general objects of the charity. - Designated funds These are unrestricted funds earmarked by the trustees for particular purposes. Revaluation funds These are unrestricted funds which include a revaluation reserve representing the restatement of investment assets at their market values. - Restricted funds These are available for use subject to restrictions imposed by the donor or through terms of an appeal. ## **Income** - Recognition of Income is included in the Statement of Financial Activities (SoFA) when the charity income becomes entitled to, and virtually certain to receive, the income and the amount of the income can be measured with sufficient reliability. - Income with related Where income has related expenditure the income and related expenditure is expenditure reported gross in the SoFA. Donations and Voluntary income received by way of grants, donations and gifts is included in the legacies the SoFA when receivable and only when the Charity has unconditional entitlement to the income. - Tax reclaims on Income from tax reclaims is included in the SoFA at the same time as the donations and gifts gift/donation to which it relates. Donated services These are only included in income (with an equivalent amount in expenditure) and facilities where the benefit to the Charity is reasonably quantifiable, measurable and material. Volunteer help The value of any volunteer help received is not included in the accounts. Investment income This is included in the accounts when receivable. Gains/(losses) on This includes any gain or loss resulting from revaluing investments to market value revaluation of fixed at the end of the year. assets Gains/(losses) on This includes any gain or loss on the sale of investments. investment assets Page 10 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## **Expenditure** - Recognition of Expenditure is recognised on an accruals basis. Expenditure includes any VAT which expenditure cannot be fully recovered, and is reported as part of the expenditure to which it relates. - Expenditure on These comprise the costs associated with attracting voluntary income, fundraising raising funds trading costs and investment management costs. Expenditure on These comprise the costs incurred by the Charity in the delivery of its activities and charitable activities services in the furtherance of its objects, including the making of grants and governance costs. - Grants payable All grant expenditure is accounted for on an actual paid basis plus an accrual for grants that have been approved by the trustees at the end of the year but not yet paid. - Governance costs These include those costs associated with meeting the constitutional and statutory requirements of the Charity, including any audit/independent examination fees, costs linked to the strategic management of the Charity, together with a share of other administration costs. - Other expenditure These are support costs not allocated to a particular activity. ## **Taxation** The charity is exempt from corporation tax on its charitable activities. ## **Freehold investment property** Investment properties are measured initially at cost and subsequently at fair value at each balance sheet date and are not depreciated. All gains or losses are taken to the Statement of Financial Activities as they arise. ## **Stocks** Stock is included at the lower of cost or net realisable value. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market. ## **Trade and other debtors** Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. ## **Cash and cash equivalents** Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management. ## **Trade and other creditors** Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. Page 11 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## **Research and development** Expenditure on research and development is written off in the year in which it is incurred. ## **Foreign currencies** Monetary assets and liabilities denominated in currencies other than the functional currency of the charity are translated at the rates of exchange prevailing at the end of the reporting period. Transactions in currencies other than the functional currency of the charity are recorded at the rate of exchange on the date that the transaction occurred. All exchange differences are are taken into account in arriving at net income/expenditure. ## **Leased assets** Where the charity enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease. Leases which do not transfer substantially all the risks and rewards of ownership to charity are classified as operating leases. Assets held under finance leases are initially recognised as assets of the charity at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the charity's policy on borrowing costs. Assets held under finance leases are depreciated in the same way as owned assets. Operating lease payments are recognised as an expense on a straight-line basis over the lease term. In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis. ## **Pension costs** The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the company in independently administered funds. ## **Receipt of donated goods, facilities and services** All donated goods, facilities and services received are recognised within incoming resources and expenditure at an estimate of the value to the charity. ## 2 **Company status** The company is a private company limited by guarantee and consequently does not have share capital. Page 12 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** - 3 **Income from donations and legacies** |Tithes, offering and voluntary
income
4
**Income from investments**
Bank interest
5
**Other income**
Sundry income
6
**Expenditure on raising funds**
_Costs of generating voluntary_
_income_
Tithes, offering and voluntary
income|**Unrestricted**
**£**
39,230
39,230
**Unrestricted**
**£**
5
5
**Unrestricted**
**£**
33,175
33,175|**Total**
**2021**
**£**
39,230
39,230
**Total**
**2021**
**£**
5
5
**Total**
**2021**
**£**
33,175
33,175|**Total**
**2020**
**£**
205,683| |---|---|---|---| ||||205,683| ||||**Total**
**2020**
**£**
82| ||||82| ||||**Total**
**2020**
**£**
-| ||||-| ||||| ||**Unrestricted**
**£**
1,150
2,088
3,238|**Total**
**2021**
**£**
1,150
2,088
3,238|**Total**
**2020**
**£**
8,958
11,378| ||||20,336| Page 13 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## 7 **Other expenditure** |7|**Other expenditure**|||| |---|---|---|---|---| |||**Unrestricted**|**Total**|**Total**| ||||**2021**|**2020**| |||**£**|**£**|**£**| ||Bank loan and overdraft
interest payable|-|-|1| ||Employee costs|52,809|52,809|60,477| ||Motor and travel costs|12,937|12,937|23,877| ||Premises costs|37,557|37,557|84,465| ||Amortisation, depreciation,|||| ||impairment, profit/loss on|7,461|7,461|9,950| ||disposal of fixed assets|||| ||General administrative costs|18,531|18,531|17,752| ||Legal and professional costs|2,465|2,465|1,900| |||131,760|131,760|198,422| |8|**Net expenditure before transfers**|||| |||**2021**||**2020**| ||This is stated after charging:|**£**||**£**| ||Depreciation of owned fixed assets|-||(849)| ||Depreciation of assets held under finance|7,461||10,799| ||leases and hire purchase contracts|||| |9|**Trustee remuneration and expenses**|||| ||One or more of the trustees has been paid expenses in the current or prior periods.|||| |||**2021**||**2020**| |||**Number**||**Number**| ||Number of trustees paid expenses|3||3| ||The nature of the reimbursed expenses|Travel and professional fees were|paid to Trustees|| |||**£**||**£**| ||Total expenses reimbursed to trustees|3,000||8,840| |10|**Staff costs**|||| ||Salaries and wages|35,324||52,298| ||Social security costs|418||2,885| ||Pension costs|4,774||6,608| |||40,516||61,791| ||No employee received emoluments in excess of £60,000.|||| Page 14 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## 11 **Tangible fixed assets** |**Cost or revaluation**
At 1 April 2020
Additions
At 31 March 2021
**Depreciation and**
**impairment**
At 1 April 2020
Depreciation charge for the
year
At 31 March 2021
**Net book values**
At 31 March 2021
At 31 March 2020
12 **Debtors**
Other debtors
13 **Creditors:**
amounts falling due within one year
Other taxes and social security
Other creditors|**£**
78,818
4,824
83,642
54,037
6,195
60,232
23,410
24,781
**2021**
**£**
6,290
6,290
**2021**
**£**
4,710
19,087
23,797|**£**
25,941
-
25,941
20,875
1,266
22,141
3,800
5,066|**£**
104,759
4,824| |---|---|---|---| ||||109,583| ||||74,912
7,461| ||||82,373| ||||27,210| ||||29,847| ||||**2020**
**£**
6,290| ||||6,290| ||||**2020**
**£**
4,067
11,187| ||||15,254| ||||| |14 **Creditors:**
amounts falling due after more than one year
Bank loans and overdrafts|**2021**
**£**
50,000
50,000||**2020**
**£**
-| ||||-| Page 15 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## 15 **Movement in funds** |**Restricted funds:**
**Unrestricted funds:**
**General funds**
**Revaluation Reserves:**
**Total funds**
16 **Analysis of net assets between funds**
Fixed assets
Net current assets
Creditors due in more than one year and
provisions
17 **Reconciliation of net debt**
Cash and cash equivalents
Bank loans
Net debt|**At 1 April**
**2020**
22,658
22,658|**Incoming**
**resources**
**(including**
**other**
**gains/losses**
**)**
**£**
72,410
72,410
**At 1 April**
**2020**
**£**|**Resources**
**expended**
**£**
(134,998)
(134,998)
**Unrestricted**
**funds**
**£**
27,210
(17,140)
(50,000)
(39,930)
**Cash flows**
**£**|**At 31**
**March**
**2021**
**£**
(39,930)| |---|---|---|---|---| |||||(39,930)| |||||**Total**
**£**
27,210
(17,140)
(50,000)| |||||(39,930)| |||||**At 31**
**March**
**2021**
**£**| |||1,775|(1,408)|367| |||1,775
-
-
1,775|(1,408)
(50,000)
(50,000)
(51,408)|367
(50,000)| |||||(50,000)| |||||(49,633)| Page 16 **THE PRAYER AND PROPHETIC CENTRE LTD Notes to the Accounts** ## 18 **Commitments** ## _**Operating lease commitments**_ Annual commitments under non-cancellable operating leases are as follows: |**_Operating lease commitments_**
Annual commitments under non-cancellable operating leases are as follows:|| |---|---| |**2021**
**2021**
**2020**
**Land and**
**buildings**
**Other**
**Land and**
**buildings**
**£**
**£**
**£**
Operating leases with expiry date:
**_Pension commitments_**
**2021**
**£**
The pension cost charge to the company
amounted to:
2,387
19 **Related party disclosures**
_Name of related party_
A Danso
_Description of relationship_
_between the parties_
Family
_Description of transaction_
_and general amounts_
_involved_
Payments for consultancy services
**_Controlling party_**|**2020**
**Other**
**£**
**2020**
**£**
875| ||| The company is limited by guarantee and has no share capital; thus no single party controls the company. Page 17