2023-03-31-accounts

COMPANY REGISTRATION NUMBER: 03237328 CHARITY REGISTRATION NUMBER: 1058661

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE UNAUDITED FINANCIAL STATEMENTS

31 MARCH 2023

LANGARD LIFFORD HALL LIMITED

Accountants and Registered Auditors Lifford Hall Lifford Lane Kings Norton Birmingham B30 3JN

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

	Page
Trustees' annual report (incorporating the director's report)	1
Independent examiner's report to the trustees	7
Statement of financial activities (including income and expenditure
account)	8
Statement of financial position	9
Notes to the financial statements	10 - 17

1

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S REPORT)

YEAR ENDED 31 MARCH 2023

The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 March 2023.

Reference and administrative details

Registered charity name Action International Ministries (UK) Charity registration number 1058661

Company registration number 03237328

Principal office and registered	Bethany
office	Balfour Road
	Wallasey
	Wirral
	CH44 5SQ
The trustees
	G Edwards
	J Farren
	R Farren
	R P Hughes
	M J Rutter
	D Taylor
Independent examiner	Richard D Coton FCCA
	Langard Lifford Hall Limited
	Lifford Hall
	Lifford Lane
	Kings Norton
	Birmingham
	B30 3JN

2

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S

REPORT) (continued)

YEAR ENDED 31 MARCH 2023

Structure, governance and management

Governing document

The Charity is controlled by its governing document, a deed of trust and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

A resolution to amend the Company's Articles of Association was passed in September 2022, as filed with Companies House.

Recruitment and appointment of new trustees

A new succession generational leadership is being built in ACTION (UK) with new team and board members. Currently a new operational base is to be added in the Worcester area.

Related parties

There were no related party transactions that require disclosure during the year.

Risk management

The trustees have a risk management strategy which comprises:

• an annual review of the risks that the Charity may face,

• the establishment of systems and procedures to mitigate those risks identified in the plan,

• the implementation of procedures designed to minimise any potential impact on the Charity should those risks materialise.

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 or error.

The trustees have reviewed the controls in place and are satisfied that the risks mentioned above are minimised.

Objectives and activities

The Charity is established to:

a) promote the Christian faith and to proclaim the Gospel of Jesus Christ throughout the world

• b) relieve poverty and sickness

c) advance education

We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives they have set.

Strategic report

The following sections for achievements and performance and financial review form the strategic report of the charity.

3

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S

REPORT) (continued)

YEAR ENDED 31 MARCH 2023

Achievements and performance

1. Development of a clear strategic plan for the future of ACTION International Ministries (UK), hereafter AIM(UK), and growing a team of specialists to serve the global release of human resources

The operational year 2022/23 marks a generational transition for AIM(UK) during which the board extended their deep gratitude to retiring Directors Ingo Abraham and William Hammons and Administrator Doris Abraham, for their long and faithful service.

As a board we took the opportunity to strategically evaluate the trajectory of AIM(UK), our global role within the 'ACTION International family' for global ministry and re-establish our base for sending mission workers and volunteers globally, both for short and long-term service. Whilst similar mission agencies of the past characteristically supported field workers in one location for a lifetime of service, the dynamics of our post covid, crisis ridden world, demands a more flexible approach to appropriate service within the constant and fast-moving global emergence of ever-increasing humanitarian issues through online collaborative mission networks.

This period also coincided with an increasing and very prominent leadership role for AIM(UK) with worldwide ACTION international and partner organisations, in relation to the extended humanitarian crisis following Russia's increased invasion and war on Ukraine. This concentrated our efforts to progress the growth of a diverse collaborative team of UK workers, volunteers and facilities who can facilitate critical mission initiatives, with a priority of further understanding and communicating context in areas where we have served for many years. We work closely with our USA and Canadian agencies on such issues. With numerous humanitarian and natural disasters in this period in both Eastern (Greater) Europe and ACTION's global strategic development countries (notably Asia; Nepal, Pakistan, India, Bangladesh, The Philippines etc.) the need has intensified for AIM(UK) to have a team with core competencies available to serve other agencies and countries (over 30) that ACTION International operates in.

To this end we have identified several volunteers who we continue to establish and invest in as a team for the long term, believing that each will individually and collectively grow into fuller specialist roles that not only benefit AIM(UK) administration, or serve globally in situ, as field workers, but also serve wider international objectives through short or long-term development task force groups. This particularly highlights the needs of experienced pastors and senior practitioners in pastoral care (trauma, initiation of mission / church planting), human resources and financial administration. These core competencies and giftings facilitate many situations across the world with the UK often leading in compliance and training of best practice to help others.

Our express desire is to build such a team whilst at the same time maintaining a tight grip on cost of operations so that contextual mission, aid, and development are the prioritised beneficiaries of all our efforts, both relationally and financially. To this end we are so grateful to a growing number of volunteers who work extensively, strategically, and regularly in long term commitment. We are also grateful to their UK churches who pay and fundraise in order for their time and resources to be released regularly in an ongoing commitment to AIM(UK). Without such generosity this year's growth would not have been possible and enables AIM(UK) to maintain its identity as a faith mission, not a business. Those who volunteer, work, and invest in AIM(UK) do so with a clear sense of ministry calling.

This model in the long term reduces operational costs for AIM(UK) but increases reach and impact to mobilise a growing team and makes best use of our wealth of human resources as a longstanding agency of experience and strength in world mission and pastoral leadership development.

4

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S

REPORT) (continued)

YEAR ENDED 31 MARCH 2023

The importance of investing in the welfare of those who serve

We do however seek to appropriately care for such workers who are oftentimes operational in contexts of deep social and human distress. We support with regular pastoral care, strategic and compliance counsel. We are thankful that this model is working well with a new generation of volunteers, workers and specialists and we will seek to maintain a level of critical funding to enable this model to remain healthy for both pastoral care for this growing team whilst operating in the context of global crisis and relief, and in the UK support structure.

As part of this strategy, with a more thorough network of worker wellbeing support, we will seek to restart the sending of long-term global field workers in 2023/24 with strategic appointments for both UK office support and more regular support of short term / task force mission teams to development areas. In short, we are seeking to put resources into people for the longer-term mission and generational development of AIM(UK)'s global network and in doing so minimise infrastructure and asset cost in the UK. To this end we have sought to reduce use of our ageing central premises, increase flexible home working, online calls, and collaborative team days in appropriate locations. In this regard many areas of operations have transitioned or are transitioning to online systems including our financial system.

2. Country and project developments

As AIM(UK)'s leading care and mission base in Europe we have sought to work closely with those on the ground in Ukraine, coordinating to help the Ukrainian crisis with humanitarian aid, trauma help, and long-term rebuilding initiatives. This crisis has significantly impacted and irreversibly changed the face of European mission and collaboration in mission. Some partnerships sought to serve an initial 6 -12-month care of displaced peoples through AIM (UK)'s sponsored hubs based on trusted long-term partnerships with local churches in Ukraine. Humanitarian aid networks reached to each of the frontline situations and continues to do so. Several significant opportunities for fuller collaboration emerged from this initial period of displacement and refugee ministry to rebuild through longer term care. Such needs are considerably greater than even the initial displacement of millions from Ukraine, as limited government support ceases or reduces placing a heavier burden on non-government organisations and local churches. AIM(UK) has taken the lead in these things to build a network of humanitarian aid and church support for the longer term with fledgling partnerships in Poland, Germany, Romania, Serbia, and Montenegro. Our commitment to each will grow on the basis of either refugee need where primarily Ukrainian (and some Russian) citizens remain in longer term displacement or with like-minded registered charities who operate to serve needs of poverty, human and spiritual, through the establishment of local churches where high numbers of displaced have settled with little infrastructure or church support, with need of education, skills, and employment mentoring. An example would be AIM(UK) engagement and subsequent agency agreement with a charity foundation near the Czech Republic border in Poland. This relationship came through their repeated and generous service of Polish humanitarian transport of displaced peoples to the border in conjunction with AIM(UK) contacts working in Ukrainian church hubs, only for us to discover that their foundation itself served Polish children and young people in a highly deprived area of social poverty, and a context of high unemployment, homelessness, and addiction. As the only church in that area functioning locally in such activities, we are delighted to be working closely with them in their context and look towards the establishment of a longer-term partnership with joint initiatives / support of volunteers and charity workers. Such contexts are typical areas of AIM(UK)'s ministry over decades. The need for new church and mission initiatives in social depravity is sadly not limited to other distant parts of the world, but very apparent in Europe, particularly Eastern Europe and the Balkans.

5

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S

REPORT) (continued)

YEAR ENDED 31 MARCH 2023

3. Growth in Pastoral Leadership Development (PLD) global ministry

Following the numerical growth of our workers and volunteers with senior pastoral experience, we have increased our UK commitment to global online and in person training of pastors. Regular connections with Eastern Europe, Pakistan, Nepal, and The Philippines continues to develop into network initiatives amongst ACTION International global networks, churches, and areas where there are no churches. With the majority of the world's pastors having no formal (seminary) training, AIM(UK)'s initiative to bring training contextually and appropriately is greatly valued, especially in areas of high poverty. In the past our 'Bookshare' and printing initiatives have served this purpose for PLD ministry and printed resources. However, there is an increasing shift towards online and audio ministry, especially in areas of high illiteracy. An example would be our work amongst the Nepalese in Himalayan regions where illiteracy is the norm, travel is difficult, yet good mobile (3/4/5g) service, solar power on mountain sides and electronic connections are good. Audio players and audio/ video files are the main source of training, and our funding profile will change in time to reflect this. AIM(UK) continues to grow a contemporary ministry shape in such areas with regular investment into online teaching and resources alongside occasional short term team visits.

With increasing opportunities, influence, and trust in such contexts there also comes a growing danger of militant opposition to Christianity and initiatives linked with Faith based organisations which places a greater emphasis on the growing UK support team to prepare appropriate risk analysis, cyber security, pastoral care and due diligence for operations and ministry. We continue to work increasingly closely with our USA counterparts in such matters.

4. Ministry growth and future plans

We are grateful for the clear development and trajectory as it emerges through the next generation of AIM(UK)'s team workers, volunteers, and wider donor supporters. The increase of short-term applications and team visits to Ukraine, Poland, Serbia, Montenegro, The Philippines, and Colombia demonstrate increased confidence and growth in post covid times amongst a younger generation of volunteers and workers. This is critical for long term health of the charity and our commitment to follow through in partner locations globally. Senior ACTION (UK) delegates represented ACTION (UK) in South Africa at our international leaders JVA conference, with increased connectivity across a growing global network. We look to continue this growth in 2023/24 through the establishment of a long-term UK team and more lasting global affiliations with deep pastoral care, regular holistic support and contextual helpfulness for the generational partnership and progress.

Financial review

It is encouraging to note that as we continue to assist financially across the global ministry of AIM(UK), 2022/23 has seen a significant move to supporting a wider ministry of both teaching and pastoral support. This shift has been appreciated by those that we have supported over many years and new partners alike. This allows a much more informed and targeted approach to funding, building on all of the solid work of the past, as our ministry funding grows and is used both in person and remotely, online. It is within this framework that the AIM(UK) Board is pleased to report stability of donations and increasingly a growing and evolving donor base.

6

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

TRUSTEES' ANNUAL REPORT (INCORPORATING THE DIRECTOR'S

REPORT) (continued)

YEAR ENDED 31 MARCH 2023

Financial review (continued)

This at a time of great economic difficulty in the UK with high inflation and contraction of general spending, fuelled by an ever-diminishing margin of disposable income for the majority. It is within this context that we remain so grateful to God for the stability of resources at our disposal and for the privilege of being able to distribute more funds in this financial year through our grants to institutions, including General Missionary support to individuals.

Revitalised financial controls and a move to online banking has also allowed greater transparency and efficiency in monitoring management of individual funding streams and allocation of funds. With efficiencies made and costs controlled, we work towards revising our Levy system downwards in 2023/24, re-investing any reduction in those ongoing ministries supported by donors and encouraging growth in our 'Where Need is Greatest' general reserve. The latter is particularly notable as we strive to have even more flexibility responding to global need in an increasingly purpose driven manner.

The trustees' annual report and the strategic report were approved on 27 November 2023 and signed on behalf of the board of trustees by:

R P Hughes Trustee

M J Rutter Trustee

AcfioN INTERNATIONAL MINISTRIES (UK) COMPANY LIMrrED BY GUARANTEE INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF AcfioN IiwrERNATIONAL MINISTIUES (UK) YEAR ENDED 31 MARCH 2013 I report to the trustees on my examination of the firwicial ststements of Action International Ministries (UK) ('the charity,) for the year ended 31 March 20ZI. Responsibilities and basis of report As the trustees of the company (and also its dirttiors for the pUr￿)seS of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2(MK> ('the 2(KK) Act,). Having sattsfied niyself that the accottnls of the company are not required to ￿ audited under Part 16 of the 2(X)6 Act and are eligible for independent examination, I wrt in respect of my examirkation of the charitys accounts as carrÉed out under section 145 of the Charitie5 Act 2011 {'the 2011 Acy). In carying out my examination I have followed the Directions gÈven by the Charity Commission under section 145(5)(b) of the 2011 ACL Independent examiner's Statement I have completed my eXamI￿tio[L I confirm that no matters have come to my attention in connection with the examination giving me cause to iElieve: accounting records were not kept in respect of the charity as required by section 386 of the 20(kn ACL or the financial statements do not accord with Ihose records: or Ihe financial statements do not compty with the accountill8 requirements of section 396 of the 2(M)6 Act other than any requirement that the accounts give a'true and fair, vkew which is Thot a matter considered as part of an indyndent examination,. or the financiaI statements have not ￿￿en prepared in accordan￿ with the methods and principles OE the Ststement of RecoMll￿nded Pradice for accounting and Teporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). I have no Co￿eMS and have come across no other matters in c()nr￿tIOn with the examxnation to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. e¢ Richard D Coton FCCA Independent Examiner Langard Lifford Hall LAmited Lifft)rd Hall Lifford Lane Kings Norton Birmingha B30 3JN 27 NOVem￿r 20

8

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT)

YEAR ENDED 31 MARCH 2023

			2023		2022
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	5	31,008	205,070	236,078	244,575
Investment income	6	–	444	444	10
		------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
Total income		31,008	205,514	236,522	244,585
		==========================================	==========================================	==========================================	==========================================
Expenditure
Expenditure on charitable activities	7,8	34,488	220,959	255,447	206,942
		------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
Total expenditure		34,488	220,959	255,447	206,942
		==========================================	==========================================	==========================================	==========================================
		------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
Net (expenditure)/income and net
movement in funds		(3,480)	(15,445)	(18,925)	37,643
		==========================================	==========================================	==========================================	==========================================
Reconciliation of funds
Total funds brought forward		20,887	299,004	319,891	282,248
		------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
Total funds carried forward		17,407	283,559	300,966	319,891
		==========================================	==========================================	==========================================	==========================================

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 10 to 17 form part of these financial statements.

9

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

STATEMENT OF FINANCIAL POSITION

31 MARCH 2023

		2023	2022
	Note	£	£
Fixed assets
Tangible fixed assets	15	14,236	14,306
Current assets
Stocks	16	50	50
Debtors	17	11,005	3,345
Cash at bank and in hand		287,501	314,491
		------------------------------------------	------------------------------------------
		298,556	317,886
Creditors: amounts falling due within one year	18	11,826	12,301
		------------------------------------------	------------------------------------------
Net current assets		286,730	305,585
		------------------------------------------	------------------------------------------
Total assets less current liabilities		300,966	319,891
		------------------------------------------	------------------------------------------
Net assets		300,966	319,891
		==========================================	==========================================
Funds of the charity
Restricted funds		283,559	299,004
Unrestricted funds		17,407	20,887
		------------------------------------------	------------------------------------------
Total charity funds	19	300,966 ==========================================	319,891 ==========================================

For the year ending 31 March 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;

• The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

These financial statements were approved by the board of trustees and authorised for issue on 27 November 2023, and are signed on behalf of the board by:

M J Rutter Trustee

The notes on pages 10 to 17 form part of these financial statements.

10

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2023

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Bethany, Balfour Road, Wallasey, Wirral, CH44 5SQ.

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 Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements of the charitable company, which is a public benefit entity under FRS102, 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 Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

• the requirements of Section 7 Statement of Cash Flows;

• the requirements of paragraph 3.17(d);

• the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48a(iii), 11.48a(iv), 11.48b and 11.48c;

• the requirements of paragraphs 12.26, 12.27, 12.29a, 12.29b and 12.29A;

• the requirements of paragraph 33.7.

Going concern

There are no material uncertainties about the charity's ability to continue.

11

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

3. Accounting policies (continued)

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 incoming resources are 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.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

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.

12

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

3. Accounting policies (continued)

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:

Fixtures and fittings	-	25% reducing balance
Equipment	-	25% reducing balance
Property improvements	-	Not depreciated

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cashgenerating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Stocks

Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stock to its present location and condition.

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.

13

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

4. Limited by guarantee

The Charity is a limited company by guarantee. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member.

5. Donations and legacies

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2023
	£	£	£
Donations
Donations	31,008	205,070	236,078
	==========================================	==========================================	==========================================
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2022
	£	£	£
Donations
Donations	36,939	207,636	244,575
	==========================================	==========================================	==========================================

6. Investment income

Investment income
	Restricted	Total Funds	Restricted	Total Funds
	Funds	2023	Funds	2022
	£	£	£	£
Bank interest received	444	444	10	10
	==========================================	==========================================	==========================================	==========================================
Expenditure on charitable activities by fund type
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2023
		£	£	£
Charitable activities		12,900	220,260	233,160
Support costs		21,588	699	22,287
		------------------------------------------	------------------------------------------	------------------------------------------
		34,488	220,959	255,447
		==========================================	==========================================	==========================================
		Unrestricted	Restricted	Total Funds
		Funds	Funds	2022
		£	£	£
Charitable activities		6,733	184,908	191,641
Support costs		14,959	342	15,301
		------------------------------------------	------------------------------------------	------------------------------------------
		21,692	185,250	206,942
		==========================================	==========================================	==========================================

7. Expenditure on charitable activities by fund type

14

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

8. Expenditure on charitable activities by activity type

	Grant
	funding of		Total funds	Total fund
	activities	Support costs	2023	2022
	£	£	£	£
Charitable activities	233,160	22,287	255,447	206,942
	==========================================	==========================================	==========================================	==========================================

9. Analysis of grants

9.	Analysis of grants
		2023	2022
		£	£
	Grants to institutions
	Street Children - general	3,680	757
	Street Children - Europe	5,750	1,511
	Educational Child Sponsor - Philippines	1,800	–
	Project Europe	500	6,700
	Project Colombia	3,494	10,502
	Child Education Sponsorship - Colombia	4,984	11,640
	Project Asia	28,426	6,764
	Action Feeding Programme	3,500	45,798
	Relief & Development	1,191	910
	Work Fund - I & D Abraham	1,223	34,990
	Work Fund - R Homenuke	–	527
	Project Latin America	8,200	–
	General Missionary Support	54,199	2,419
	Project Africa	1,213	–
	Project Ukraine	50,290	–
	Project Israel	1,000	–
	Project Afghanistan	4,191	–
		------------------------------------------	------------------------------------------
		173,641	122,518
		------------------------------------------	------------------------------------------
	Total grants	173,641	122,518
		==========================================	==========================================
10.	Net (expenditure)/income
	Net (expenditure)/income is stated after charging/(crediting):
		2023	2022
		£	£
	Depreciation of tangible fixed assets	1,514	833
		==========================================	==========================================
11.	Independent examination fees
		2023	2022
		£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial statements	4,200 ==========================================	4,612 ==========================================

15

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

12. Staff costs

The average head count of employees during the year was Nil (2022: Nil).

No employee received employee benefits of more than £60,000 during the year (2022: Nil).

13. Trustee remuneration and expenses

There was no trustees' remuneration or other benefits for the year ended 31 March 2022, nor for year ended 31 March 2021.

During the year travelling expenses of £12,900 (2022 £2,356) and office administration expenses of £9,130 (2022 £Nil) was paid on behalf of trustees.

14. Transfers between funds

A transfer of unrestricted levy income is made annually from restricted support payments and totalled £19,880 in the year (2022 £25,178). These form part of the income from donations.

15. Tangible fixed assets

Tangible fixed assets
	Freehold	Fixtures	Computer	Property
	property	and fittings	equipment	improvements	Total
	£	£	£	£	£
Cost
At 1 April 2022	1,600	19,751	7,530	16,202	45,083
Additions	–	–	1,444	–	1,444
	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
At 31 March 2023	1,600	19,751	8,974	16,202	46,527
	==========================================	==========================================	==========================================	==========================================	==========================================
Depreciation
At 1 April 2022	–	19,640	4,333	6,804	30,777
Charge for the year	–	28	1,162	324	1,514
	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
At 31 March 2023	–	19,668	5,495	7,128	32,291
	==========================================	==========================================	==========================================	==========================================	==========================================
Carrying amount
At 31 March 2023	1,600	83	3,479	9,074	14,236
	==========================================	==========================================	==========================================	==========================================	==========================================
At 31 March 2022	1,600	111	3,197	9,398	14,306
	==========================================	==========================================	==========================================	==========================================	==========================================

16. Stocks

Raw materials and consumables

2023 2022 £ £ 50 50 ========================================== ==========================================

16

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

17. Debtors

	2023	2022
	£	£
Prepayments and accrued income	–	479
Other debtors	11,005	2,866
	------------------------------------------	------------------------------------------
	11,005	3,345
	==========================================	==========================================

18. Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
	2023	2022
	£	£
Accruals and deferred income	4,657	5,302
Other creditors	7,169	6,999
	------------------------------------------	------------------------------------------
	11,826	12,301
	==========================================	==========================================

19. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
	At			At
	1 Apr 2022	Income	Expenditure	31 Mar 2023
	£	£	£	£
General funds	20,887	31,008	(34,488)	17,407
	==========================================	==========================================	==========================================	==========================================
	At			At
	1 Apr 2021	Income	Expenditure	31 Mar 2022
	£	£	£	£
General funds	5,640	36,939	(21,692)	20,887
	==========================================	==========================================	==========================================	==========================================
Restricted funds
	At			At
	1 Apr 2022	Income	Expenditure	31 Mar 2023
	£	£	£	£
General Ministry Funds	249,338	204,116	(219,515)	233,939
Bookshare / Pastoral Leadership
Development	39,630	1,398	–	41,028
Office Development	10,036	–	(1,444)	8,592
	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
	299,004	205,514	(220,959)	283,559
	==========================================	==========================================	==========================================	==========================================

17

ACTION INTERNATIONAL MINISTRIES (UK)

COMPANY LIMITED BY GUARANTEE

NOTES TO THE FINANCIAL STATEMENTS (continued)

YEAR ENDED 31 MARCH 2023

19. Analysis of charitable funds (continued)

	At			At
	1 Apr 2021	Income	Expenditure	31 Mar 2022
	£	£	£	£
General Ministry Funds	227,760	205,004	(183,426)	249,338
Bookshare / Pastoral Leadership
Development	38,470	2,642	(1,482)	39,630
Office Development	10,378	–	(342)	10,036
	------------------------------------------	------------------------------------------	------------------------------------------	------------------------------------------
	276,608 ==========================================	207,646 ==========================================	(185,250) ==========================================	299,004 ==========================================

General Ministry Funds

The purpose of these funds are to fund the individual ministry programmes and projects throughout the world.

Bookshare / Pastoral Leadership Development

The purpose of this fund is to fund the Pastoral Leadership Development Ministries, which includes training conferences. It also funds Christian Book Publishing activities.

Office Development

The purpose of this fund is to fund the refurbishment and replacement of office equipment relating to the head office.

20. Analysis of net assets between funds

Analysis of net assets between funds
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2023
	£	£	£
Tangible fixed assets	4,039	10,197	14,236
Current assets	27,156	271,400	298,556
Creditors less than 1 year	(4,657)	(7,169)	(11,826)
	------------------------------------------	------------------------------------------	------------------------------------------
Net assets	26,538	274,428	300,966
	==========================================	==========================================	==========================================
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2022
	£	£	£
Tangible fixed assets	4,854	9,452	14,306
Current assets	21,336	296,550	317,886
Creditors less than 1 year	(5,302)	(6,999)	(12,301)
	------------------------------------------	------------------------------------------	------------------------------------------
Net assets	20,888	299,003	319,891
	==========================================	==========================================	==========================================