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2023-10-31-accounts

CHARITY REGISTRATION NUMBER: 1059112

HIS GRACE WORLD OUTREACH TRUST Unaudited Financial Statements

31 October 2023

HIS GRACE WORLD OUTREACH TRUST

Financial Statements

Year ended 31 October 2023

Page
Trustees' annual report 1
Independent examiner's report to the trustees 5
Statement of financial activities 6
Statement of financial position 7
Notes to the financial statements 8

HIS GRACE WORLD OUTREACH TRUST

Trustees' Annual Report

Year ended 31 October 2023

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 October 2023.

Reference and administrative details

Registered charity name HIS GRACE WORLD OUTREACH TRUST Charity registration number 1059112 Principal office 75 East Hill Dartford DA1 1SN

The trustees

Rev. Paul Fadeyi Mr E A Onifade Rev Joe Nwokoye Mrs M O Adeyemi Ms Omowunmi Morohundiya Mrs Joyce Adejoke Fadeyi Mr Babatunde Ojetola (Appointed 30 December 2023) Independent examiner Harry Koranteng FCCA,ACMA 5 Greenwich Quay Clarence Road London SE8 3EY

Structure, governance and management

Governing Document

The charity is governed by deed of trust dated 8 October 1996.It is registered as a charity with the Charity Commission on 14 November 2006.

Appointment of Trustees

A new trustee may be appointed by a resolution of the Trustees passed at a meeting of the Trustees at which there is a majority of the Trustees present and such resolution shall be recorded in the minutes and signed by the new Trustee and by the chairman of the meeting and such records shall be conclusive evidence of his appointment.

Trustee Induction and Training

New trustees undergo an orientation day to brief them on their legal obligations under charity law,the committee and decision processes and the recent financial performance of the charity.Trustees are encouraged to attend appropriate external training events where these will facilitate the undertaking of their duties.

Organisation

The board of trustees consisting of 6 members, who meet half yearly, administer the charity. There are sub-committees covering spiritual development,membership and welfare,finance and administration.The finance and administration sub-committee is charged with the management of the day to day operations of the charity

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HIS GRACE WORLD OUTREACH TRUST

Trustees' Annual Report (continued)

Year ended 31 October 2023

Objectives and activities

The main objects of the charity is to advance the Christian faith in London and in such other parts of the United Kingdom or the world as the trustees may from time to think fit.

In planning our activities for the year we kept in mind the Charity Commission's guidance on public benefit. The focus of our activities continued to be that of worshiping God and furtherance of the gospel of our Lord Jesus Christ and the general advancement of the Christian faith. This benefits the general public through relieving people who are in conditions of need or hardship or who are aged or sick and to advance education in accordance with Christian principles in London and in such other parts of the United Kingdom or the world as the trustees may from time to time think fit and also to promote and fulfil such other charitable purposes beneficial to the community in London and in such other parts of the United Kingdom or the world as the trustees may from time to time think fit.

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HIS GRACE WORLD OUTREACH TRUST

Trustees' Annual Report (continued)

Year ended 31 October 2023

Achievements and performance

The accounting year ending 2023 was a very unique year with exciting new opportunities for growth and development in line with the overall objective of the Trust which is to advance the Christian faith in our immediate community and other places where there is an opportunity to extend the frontier of God's kingdom.

There were various opportunities to build upon the progress we made in the previous accounting year with regard to maintaining stability in the management structure of the day to day affairs of the church services. This was made possible through the supporting role all our faithful church members who faithfully volunteered to serve and give of their financial support.

Furthermore, there was much more eagerness among church members to go out for outdoor evangelism in the vicinity of our current place of worship. This has resulted to a greater awareness of what we do in the area and our availability to offer holistic support in our community. It has also resulted in the increase in of more people from all ages attending our Sunday worship services and our Friday bible study meeting. A good number of the people who came in as visitors have since made the commitment to become a born again Christian and our church members.

In addition, the various leadership training programs during the financial year has helped us to train and equip some of the church members to now take up certain ministerial responsibilities. This is also very much in line with one of our church missions which is to raise believers with godly leadership skills.

While door of church services remains open to all and sundry, we still have a good number of people from far and near who continue to connect with all our various church programs through the social media platforms. This is evidenced by the number of people calling the church office for prayers and counselling.

We have been able to invest in the purchase of additional audio visual equipments to help us improve on the quality of our media production in order to package and present the gospel on various social media platforms. So far so good, the feedback we've received has been very encouraging and positive.

Our profound love and appreciation goes to all our faithful church members, partners and friends for the steadfast financial support we received during this particular accounting period. This has tremendously helped us to meet all our monthly financial obligations as we consistently build a good reserve fund to take care of future projects. The principle of sowing and reaping remains part of our practice. As a ministry, we are very grateful to God for the opportunity to also make financial donations to support other ministries and missions endeavour geared towards helping people in their times of need. This we intend to continue to do, by the special grace of God and with the support of our partners in progress.

Finally, the Trustees are once again very grateful for all the church members, friends and partners of the ministry who gave financial and moral support through their regular donations for the execution of our programs and mission work. May God bless and reward their generosity.

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HIS GRACE WORLD OUTREACH TRUST

Trustees' Annual Report (continued)

Year ended 31 October 2023

Financial review

The total incoming resources decreased by 10% to £279,690 (2022 - £310,779). The Total Outgoing resources however increased by 8.95% to £298,780 (2022 - £274,235). This thus resulted in a Net expenditure of £19,090 (2022 - Net income of £36,544). The principal funding sources continued to be tithes and offerings from members.

Plans for future periods

Our future plans includes:

  1. Continue to build on the success of 2023 with regard to the advancement of Christian faith through more social media coverage.

2.To continue to train and develop more church members to take up leadership roles as part of our succession plan.

  1. To put plans in place for a successful celebration of thirty years church anniversary next year 2025. 4. To Continue to explore more opportunities to present the good news of the gospel within and outside the UK.

The trustees' annual report was approved on 28 August 2024 and signed on behalf of the board of trustees by:

Mrs M O Adeyemi Trustee

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HIS GRACE WORLD OUTREACH TRUST

Independent Examiner's Report to the Trustees of HIS GRACE WORLD OUTREACH TRUST

Year ended 31 October 2023

I report to the trustees on my examination of the financial statements of HIS GRACE WORLD OUTREACH TRUST ('the charity') for the year ended 31 October 2023.

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

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 Association of Chartered Certified Accountants, 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.

Harry Koranteng FCCA,ACMA

Independent Examiner

6 Greenwich Quay Clarence Road London SE8 3EY

29 August 2024

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HIS GRACE WORLD OUTREACH TRUST

Statement of Financial Activities

Year ended 31 October 2023

2023 2023 2022
Unrestricted
funds Total funds Total funds
Note £ £ £
Income and endowments
Donations and legacies 4 264,016 264,016 244,830
Investment income 5 74 74 91
Other income 6 15,600 15,600 65,858
  
Total income 279,690 279,690 310,779
  
Expenditure
Expenditure on raising funds:
Costs of raising donations and legacies 7 12,532 12,532 10,994
Expenditure on charitable activities 8,9 281,317 281,317 262,051
Other expenditure 10 4,931 4,931 1,190
  
Total expenditure 298,780 298,780 274,235
  
  
Net (expenditure)/income and net movement in
funds (19,090) (19,090) 36,544
  
Reconciliation of funds
Total funds brought forward 563,614 563,614 527,070
  
Total funds carried forward 544,524 544,524 563,614
  

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 8 to 15 form part of these financial statements.

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HIS GRACE WORLD OUTREACH TRUST

Statement of Financial Position

31 October 2023

2023 2022
Note £ £
Fixed assets
Tangible fixed assets 15 613,096 632,459
Current assets
Debtors 16 28,021 43,174
Cash at bank and in hand 34,795 46,142
 
62,816 89,316
Creditors:amounts falling due within one year 17 5,702 14,132
 
Net current assets 57,114 75,184
 
Total assets less current liabilities 670,210 707,643
Creditors:amounts falling due after more than one
year 18 (125,686) (144,029)
 
Net assets 544,524 563,614
 
Funds of the charity
Unrestricted funds 544,524 563,614
 
Total charity funds 21 544,524 563,614
 

These financial statements were approved by the board of trustees and authorised for issue on 28 August 2024, and are signed on behalf of the board by:

Mrs M O Adeyemi Trustee

The notes on pages 8 to 15 form part of these financial statements.

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements

Year ended 31 October 2023

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 The Place, 75 East Hill, Dartford, DA1 1RX.

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 and assumptions.

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.

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

3. Accounting policies (continued)

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:

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:

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.

Operating leases

Rentals paid under operating leases are charged to the profit & loss account on straight line basis over the term of the lease.

Tangible assets

All fixed assets are initially recorded at cost.

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

3. Accounting policies (continued)

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:

Freehold Property - 2% straight line Fixtures and Fittings - 25% reducing balance Motor Vehicle - 25% reducing balance Equipment - 25% reducing balance

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.

Finance leases and hire purchase contracts

Assets held under finance leases and hire purchase contracts are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset.

Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Defined contribution plans

Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund.

When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as an expense in the period in which it arises.

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

4. Donations and legacies
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Donations
Donations - Tithes & Offerings 264,016 264,016 244,830 244,830
   
5. Investment income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Bank interest receivable type 74 74 91 91
   
6. Other income
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
HMRC Charity Gift Aid 15,600 15,600 65,858 65,858
   
7. Costs of raising donations and legacies
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Costs of raising donations and legacies
- Donations 12,532 12,532 10,994 10,994
   
8. Expenditure on charitable activities by fund type
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Salaries and other admin expenses
159,668 159,668 166,973 166,973
Motor vehicle and travel expenses 12,220 12,220 12,950 12,950
Hire of equipment 619 619 1,102 1,102
Rates, water, light and heat 13,235 13,235 11,197 11,197
Support costs 95,575 95,575 69,829 69,829
   
281,317 281,317 262,051 262,051
   

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

9. Expenditure on charitable activities by activity type

Activities
undertaken Total funds Total fund
directly Support costs 2023 2022
£ £ £ £
Salaries and other admin expenses 159,668 159,668 166,973
Motor vehicle and travel expenses 12,220 12,220 12,950
Hire of equipment 619 619 1,102
Rates, water, light and heat 13,235 13,235 11,197
Honorarium 8,600 8,600 2,489
Music ministry 49,343 49,343 43,274
Television and advertising 17,111 17,111 6,512
Video ministry 6,177 6,177 5,140
Welfare and hospitality 7,374 7,374 5,726
Governance costs 6,970 6,970 6,688
   
185,742 95,575 281,317 262,051
   
10. Other expenditure
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Office expenses 4,931 4,931 1,190 1,190
   
11. Net (expenditure)/income
Net (expenditure)/income is stated after charging/(crediting):
2023 2022
£ £
Depreciation of tangible fixed assets 20,736 22,357
Operating lease rentals 619 1,102
 
12. Independent examination fees
2023 2022
£ £
Fees payable to the independent examiner for:
Independent examination of the financial statements 3,000 3,000
 
13. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
2023 2022
£ £
Wages and salaries 88,293 93,312
Social security costs 6,849 4,630
Employer contributions to pension plans 3,834 3,834
 
98,976 101,776
 

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

13. Staff costs (continued)

The average head count of employees during the year was 4 (2022: 3). The average number of full-time equivalent employees during the year is analysed as follows:

Number of staff

2023 2022 No. No. 4 3  

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

14. Trustee remuneration and expenses

Included in the wages and salaries was remuneration of £48,448 paid to Rev Paul Fadeyi and £18,800 paid to Mrs Joyce Fadeyi respectively.

15. Tangible fixed assets

Freehold Fixtures and Motor
property fittings vehicles Equipment Total
£ £ £ £ £
Cost
At 1 November 2022 724,859 30,569 81,552 175,434 1,012,414
Additions 1,373 1,373
    
At 31 October 2023 724,859 31,942 81,552 175,434 1,013,787
    
Depreciation
At 1 November 2022 115,977 27,368 68,056 168,554 379,955
Charge for the year 14,498 1,144 3,374 1,720 20,736
    
At 31 October 2023 130,475 28,512 71,430 170,274 400,691
    
Carrying amount
At 31 October 2023 594,384 3,430 10,122 5,160 613,096
    
At 31 October 2022 608,882 3,201 13,496 6,880 632,459
    

16. Debtors

2023 2022
£ £
Other debtors 28,021 43,174
 
Creditors: amounts falling due within one year
2023 2022
£ £
Bank loans and overdrafts 397 644
Trade creditors 177 100
Accruals and deferred income 3,000 3,000
Social security and other taxes 1,373 1,646
Obligations under finance leases and hire purchase contracts 435 8,422
Other creditors 320 320
 
5,702 14,132
 

17. Creditors: amounts falling due within one year

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

18. Creditors: amounts falling due after more than one year

2023 2022
£ £
Bank loans and overdrafts 125,686 139,332
Obligations under finance leases and hire purchase contracts 4,697
 
125,686 144,029
 

19. Finance leases and hire purchase contracts

The total future minimum lease payments under finance leases and hire purchase contracts are as follows:

as follows:
2023 2022
£ £
Not later than 1 year 435 8,422
Later than 1 year and not later than 5 years 4,697
 
435 13,119
 

20. Pensions and other post retirement benefits

Defined contribution plans

The amount recognised in income or expenditure as an expense in relation to defined contribution plans was £3,834 (2022: £3,834).

21. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
At At
1 November 2 31 October 2
022 Income Expenditure 023
£ £ £ £
General funds 563,614 279,690 (298,780) 544,524
   
At At
1 November 2 31 October 20
021 Income Expenditure 22
£ £ £ £
General funds 527,070 310,779 (274,235) 563,614
   
Restricted funds
At At
1 November 2 31 October 2
022 Income Expenditure 023
£ £ £ £
At At
1 November 2 31 October 20
021 Income Expenditure 22
£ £ £ £

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HIS GRACE WORLD OUTREACH TRUST

Notes to the Financial Statements (continued)

Year ended 31 October 2023

22. Analysis of net assets between funds

Unrestricted Restricted Total Funds
Funds Funds 2023
£ £ £
Tangible fixed assets 613,096 613,096
Current assets 62,816 62,816
Creditors less than 1 year (5,702) (5,702)
Creditors greater than 1 year (125,686) (125,686)
  
Net assets 670,210 (125,686) 544,524
  
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Tangible fixed assets 632,459 632,459
Current assets 89,316 89,316
Creditors less than 1 year (14,132) (14,132)
Creditors greater than 1 year (144,029) (144,029)
  
Net assets 707,643 (144,029) 563,614
  

23. Related parties

There were no related party transactions other than that disclosed in Note 14.

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