8. Financial Report Financlal audit for Karmand Community A5soclation Trustees. for year ending 31 March 2025. Registered CharSty number., 1060210 Prepared by: Shenward LLP Chartered Accountants & Staiutory Auditors Summit House, Woodland Park, Bradford Road, Cleckheaton West Yorkshire. BD19 6BW KARMAND ANNUAL REPORT 1 25 Karmand CommunityAssociation Report of the Trustees year ending 31 March 2025 Thé Ifuslees present Ihélr r8lM)rt vrtth Ihe fH)aDGlal statements ol the cha￿Y lor the yoaf ended 31 MaTch 2025 The tru8le8s have aijopled the pr0¥181on8 ol Accounllng and Reporting by Charllies sktemenl of Recornmended Prathce appllcable lo Charitlva piepanng their accoun1$ In a¢cordance whth the Financlal Reportlng Slandard appllcable In the UK and Republ￿ ol Ireland IFRS 102) Ioffoclive 1 January 20191 STRUCTURE, GOVERNANCE AND MANAGEMENT Govemlng documont The charty Is conlidléd by goverrlng documenl, a deed ol trust and COnSlitulèS an unincorporaled charity REFERENCE AND ADMIN18TRATIVE DeTAILS R•gl8tered Chartty nurnb¢r I¢￿0210 Prlnclp•l •ddre•• Kfjrmand Community Centre Barkerend Rood Bradford We8t York*yre 8D3 9EP Tru•t¢•8 S M8hmood Vic• Chalr18ppoinled 25 9 241 T M Hu$sa n Sècrelary R Mahmood M P Sheikh (apptynled 25 9.24) Y Hussa￿ Chair K A Khan {8ppolnl¢d 2S.9,24) M Mushlaq lapwnted 25 9.241 Z Hus$4 AZKhan M Iqbal A Ra$hid l Ahmed Treasufer A J8hangir T Plohmood L Falimo M Kashila Co-omed K Chibbu Co.opied Audltor4 Shenwafd LLP Chartered Ac£ountsnls & Statutory Audllors Summil House Wocmlland Pa 8radlord Road Ckckheaion Wesl Yorkshre BD19 6BW STATEMENT OF TRUSTEES. RESPONSIBILITIES Thè Irusle8$ are responsible for pr8parlng the Report of the Trustees and thè financlal sl8lemenls in acc¢Nd8nce wilh applicable faw and Unrted Kfftgdom A¢counbng Stand8rds (Uni¢ed Kingdom Generally Accepted Accounting Practs'cel including Flnanclal Ropo￿ng Standard 1Q2 'The Flnanclal Reporting Slandard apPI￿able In Iho UK and Republlc of Ireland.. KARMAND ANNUAL REPORT , 26 Karmand Community Association Report of the Trustees year ending 31 March 2025 STATEMENT OF TRUSTEES, RESPONSI8ILITIE8 . Contlnued The law applic8ble to charilles In England and Wakrys, th• charil￿S Act 2011, Charity (Accounts 8nd Reports) Regulat￿n6 2fy)8 and provis￿nS of Ihe tru81 deed requlr88 th& Irusie88 lo prepare ffinanoal slalemenl8 lor è8¢h fin8n¢ial year vthlch glve a truo 8nd lak vièw of the Jlaie ol 8ffairs of the charty and of th8 Incoming resource8 and app11cal￿n of resources. including Ihè income and expendrture. ol the charty lor that ￿TIOd In preparing Ihose flnanclal slaleménts, thé Irusloe5 are requK8d lo selecl suilable accountwlg polreJe8 and thon appty them consislontly.. ob8eN• the methods and prlndpl83 In Ihé Charity SORP. make ludggmeTrls and eslimates that are reasonable prudent. stai• whélh8f appllcablè aCc￿ni1￿9 81ondards havo baon followed, suble¢i to any m4ierral departureÈ disuosed and explainecl in Ihe financial s181ements: prepare Ihe financi81 st81effienls on the going concèrn basia unlets il 18 Inappropr￿le lo pre8ume that th• charlly wlll conllnue in businèis. The Iru61e?s are re8ponsibl• for keeping proper accouniing records whlch disclose with réasonablé aceuraev al any lime the financi81 posrtlon ol Ihe charity and lo enAble Ihem lo ensuTe IhBI the fin8nci81 st8lemenli compty w￿th the Charrtie8 Ad 2011, the Charty (Accoun15 and Reports) Regulalions 2CM)8 and thè provision$ of the Iru61 <1ged Théy are 8150 fe$ponsibl8 lor safeguarding lh8 8ssel8 of the charlly and hence lor t8kln9 reasonable slep• lor Ihe prevenlfon and (Jelecllon of Iraud and olher Irregularltses, Appro¥•d by order ol the board ol tw8lees on aftd signed on Its behalf bv. rrugle8 KARMAND ANNUAL REPORT , 27 Karmand Community Association Report of the Trustee5 year ending 31 March 2025 ¢Jplnlon We have audited tho financlal slAtements ol Karmafio Community Assoclalion {ttw '¢ttailty'l for th• year ended 31 March 2025 whlch cofflprise Ihe Slatem¢nl of Flnancial Actlvlll8$. Ihé Sl8temont of Financial Po$ilion, the Slalemenl of Cash Flows and notes 10 tha finan¢ial slalem8nls. indudln9 8 summary ol signillc8nl accouiiling policies. The financlal r8POrtlng tramewofk that has been applitid in Ihelr prepaTalioD is appll¢able law and Unlled Klngdom Accounting Standards Iunlled Kingdom Generally Accepted A¢counling Pracllcé), Including Flnanclal Reporting Slandard 102 'The Flnancial Reporting Sl8nd8Td apFI￿Bb1o in Ihe UK and R8publK ol118land. In oplnim Ihe financlal slal•monl•'. givè a Irue and tslr view of Iha Stste ol the charty's affairs ag at 31 March 2025 and of Ns incorning re80u(¢es and applkallon of fèsources, for the yéar then endefl. have bein propety pMp8red in accordanu Viith United Kingdom Gengralty A¢copted Accounllft9 Pracilc•, Includlng Fin8nci•l Reporting Slandard 102 'Tho Financlal Reporln9 Standard appllcablè wi the UK and Republic of Ireland and h•ve been p￿Pared in acc￿rdance wrth the r8quliements ol tho Ch8rillos Act 2011, B••l• lor oplnlon We conducted OUT eudft In accordance wth International Slandards on Auditing (UK) IISAS (UKI> and applicable law. Our responsibllilies under those slandard8 are further desrJibed in the Auditors. resFonslbllitl88 lof Ihg èudil ol Iho financ181 slalemenls section of our report. We are indopndonl of Ihe chafty in accordance ￿th Ihe elhkal requlremenls Ihal are relevanl Io Our 8udil ol Ihe financial slalemenls the UK. Includlng tho FRC'S Elhlcal siandard. and we have fulfilled our olher elhlcal responsibllllie8 In aCCOfdance wilh those feouirefflenls We bglle¥e that the audit ovldencé wè have oblalned 1$ lUff￿lent and appropriate lo provldg a basw lor our opmion. Conclu8lon8 relatlng to golng concern In audlllng the financial stalemenls. we conclud¢d that th• trusiee$' use ol Iha gofftg ¢oncem bajis ol counllng in Ihe proparotlon of the fin•nclal sialamenls Is 8pproprlale. 8a88d on Ihe woth we hav• pertormed, we have nol idenlrfled any malecial uncertainties relaling lo evenls oi condrtlon8 Ihol, indi¥idually or CA)Ile¢ilvely, may co$1 signlfi¢anl doubl on Ihe charllY8 abilrty lo conlinuè as golng concern lor a period of al le8$1 t4vel¥e months Irom vthen Ihe financi81 slalemenl$ are aulhoflsed for 138ue Our r88pon$iblh'lle5 and Ihe responsib1lil￿9 of the liustee$ w￿h respect Io going ¢oncem ale described In the ielev8nl sections ol th'8 ieport Olher Inlorm•llon The Iruslees ar8 ieBpon$ible for Ihe other Informatlon. The other mformal￿n comprises Ihé inlofmalion cluded in Ihe Annual Report. other than the llnanci81 giatemenls and our Report of the Independent Auditors Ihereon. Our opinlon on Ihe ffflancial sla18ments doe8 not covffi the 0￿￿r Informalion and. except to the extenl olhewse explicilly staled in our ieport. we do not expfe85 any fomi of a$$wance con¢lusion thefeon. In ¢onnecllon wlth our audil of Iha financlal sta*menls. our responsibllty Is to read Ihe other Inforrnallon and doing so. Gonsidei whether Ihe olher infom181ion ￿ rnalerially inconsi51ent with the finan(ial stalemenls or our knowbd9e obialnÈd in the audit or otherwise appeats lo be maleflalty m￿Stated. If we ￿￿ntify such material inconsist8￿188 or 3pporenl malerlal mis6iat6menl$, we ore required lo deiermine ￿ether Ihb6 9ive3 n8e lo a m81eiial mls4alemenl in the fin0nC￿l slatemenls themselvgs. If. based on the woik we have performed, we conclude Ihat there Is a material ffllssialement of Ihis other Info(malion. we are required to report Ihat fad. We have nolhing to rewl In this regard KARMAND ANNUAL REPORT 128 Karmand Community Association Report of the Trustees year ending 31 March 2025 Mil¢ern on whlch we ar• requlred to rgport by exceptlon We have noihing to rewrt kn respect of the loN¢wing matter8 where the Charluos {Ac¢ounlB and Report8) Regulations 2008 r&qwra8 U8 to ieport lo you If, ￿ oui opinion. thè Inforrnallon given In th@ Réport ol lh8 Tru8lee8 is Inconslsleni in any mal•nal respecl wllh the financlal $lalements. or sufflcl8nl aG¢ounling records have nol bèèn kept. or Ihe fln8nclal slatements Af8 not In agreemenl with Ihe accounllng racords and relurn8.' or wè have not re¢6ived all the InfOrMa￿On and explanatlons we require for our èudil R••pon•lbllltle$ ol tru•lee• As oxplained more lully in the Sialomonl ol Truslees, R￿ponsIbIl￿re4. Ihe trustae5 are responslt4e lor Ihe prepBratlon of the financtal slalemenls which give 8 Irue and fa¥ vlew. and for such inlefn81 Gr)ntrol aj Ih Irusleos determin• 1$ necèssary lo enab e ihe preparalion of fin8nc•l statemenls Ihal are fr•e from matari•l mi8sialement, whelher due lo fraud w errty. In preparlng Ihe finand81 81818menls. th• trustees are responsble l¢Y as8•s¥ing the chailt¢s 8blhty to ¢onllnue as a going concerfi. th'6clo$ing. as 8ppl.cable m8tters relal8d lo uoing concein ènd usmg the 9olng con¢ern b861$ ol accounilng unle86 th8 tW51¢es wlher Intend lo liquidale iho chaTIty Qf lo ¢ea$e operations. or havè no realisll¢ allernalive l)ut lo do so KARMAND ANNUAL REPORT 1 29 Karmand Community Association Report of the Trustees year ending 31 March 2025 Our Mpon*lb1111104 for th• audlt ol th• flnanclal g¢al•m•nt• We h8ve beon appolnled as audltors under Sg¢liaD 144 of the Charlhes Act 2011 and r?porl In accord8n¢e wilh the Act and relevant fegulat￿n$ rnade of haV￿g effect Ihereunder Our c￿jects¥e5 ar8 lo obtain roasonable assurance about whelher th8 financ￿1 stalernenls as a whole ale Ir8• Irom malorial misslalemenl. whelher due to Iraud or error. and lo Issue a Reporl ol ihe Indopendenl Aucliiors Ihal Includes our opnlon Reasonable a8suranrA Is a high level of Bssuwanco. bul 1$ not a guarant&8 that an autht conduded In 8c(ordancè wllh iSAg IUKI wll always dètect a materi81 m18stslomonl when It 8xi$ls. Mlsslalem8nls ean anso ffom fiaud or error and ar8 coniK1erèd mat•rlal 11, Indlvldually or m the a99regate, Ihey could reasonably Oe oxpocled to inlluenc• the 8conomic d8¢I810n6 01 u88fS 18ken on the ba818 01 thoso finanaal 81alem8nl8. Th8 exlonl io wNth Ouf procedur•s are c•patlo 01 (ietécting irr•gularrti•8, Including fraud Is d8ialled below. However th8 prlrnary responsllNIIty for the weventlon and d61ectw ol Iraud rests wrth both Ihose charged ¥Yrfh gov¢rnance of Ihe Char￿Y and minagemenl Irrogulafllias, Inc￿dIng Iraud are In$l8n¢es of non-COm￿"anca htylh laws and rngulallons. Wa dg819n procedures h Ilne with our respon8lb#itses outlined above and on the Financ￿1 Rwirtlng Councll'$ wèb$llè, lo dete¢l material m1s81alwnon18 In fe$pKI of iiregularlll88. Induding fraud We oblaln and updalo pur under8land,n9 of the onl￿. Ils 8cbvllles Ils conlrol onvironm•nl. 8nd likely I￿Ur• dovelopmenls, Includlng in felabon lo the legal and regulaiory ffamvwork appllc8bl8 and how Ihe eDIIty Is complylng wllh that Irameworx. Based on IhiG underslanding, we Idenlity and 88Sos$ the fl8k8 ol mal?rlal mlsslalemènl ol the fknanclal stalernonis. whelh•r due lo fraud or errof. deslgn and pertorm audll procèdur08 responsive to Ihose ri8ks, 8nd obtaln ￿di1 e¥￿enCe that 16 sufficlenl and appropfiaie io provide a ba819 lor our oplnlon This Includ•s ctsn8lde(allon of the rlsk of acl8 by Iho enl4ty thai were contrary lo applicable lawg and regulations. Includin9 fraud In response to thè (ilk ol Irregul*the$ and non-complonce wrth laws and requl41ions. in¢ludlng Iraud. we designe¢J proceOure¥ whi¢h ￿ClUded. Enquiry of managem¢nl and Ihos• char￿d wlth governance around aclual and potonllgl Iiligal*¥n and cl•ms a$ wem 88 atlual, 8u8pecled and alleged fiaud. . Revievlng mlnul8s of rneellngs ol tho86 cnafged with governance.. . Assesslng the 8xienl of compllanc8 with the laws and rggulallon8 considered 10 h•v• 8 dlrecl material efte on Ihe flnancial 81alemenl8 or the ￿erat￿n$ ol the onilty IhiouW enquiry and inspection: R8viev4ing finana¥l slalemenl d1sclo8u￿3 and lostlng lo supportin9 documentab'on to aS8ess compliance Ith appllcable lawj and [eg￿8t￿n9, Parformlng audit work over tho rlsk ol management bla3 and overrldo of controls. including le8lin9 of i¢)urnal entries ansl other adjuslmenls for app￿Pri&lOfiQ$8. evaluallryj Ihe buslnes8 rab'on818 of $19nificanl Iran$actions oulside Ihe norrnal COUf8e of business 8nd reviewing gccounling esllmales lor Indicalors of pxenliol bi•8. 8ècau8e ol Ihe inherenl Ilmiiation6 of an audlt, there16 a nsk Ihat wo will nol dete￿ au wreguléritiès. Includlng Iho•e leadlng lo a material mis8tatement in lh¢ fin8nci818lalemenl8 or Thjn-compllance wrth regulalion Thls risk increases Ihe more Ih81 compliance wilh a law or regulat￿n is removed Irom Ihe ¢venls and Iransaclions refl•cled In the ffinanckl slat¢menls, as we will b8 less Ilkgly io beeome awar8 of inslanc•8 01 non-compliance The r15k is Also grealer regarding Irr8gul8rlt*s occurrlng due to fraud ralher than error, 85 fraud Involvé8 inl8ntiono1 concealment. I￿ery, Co1￿$10n, omission or rnisfepresenlalion. A fvrthor descdptson of our re8ponslbitslies for Ihe au(lil of Ihè f￿anCIal s1g1omeni8 is loc8ted on the Financial Reporting Counal's websile al frc.or9 uklaudllorsre8ponsibiliknes. Th18 desuiplion foTms part of our Report of Ihe Independont Audllors KARMAND ANNUAL REPORT , 30 Karmand Community Association Report of the Trustees year ending 31 March 2025 U¥• ol our f•POrt Thls report Is made $018ly lo Ihe charity'5 Iruslees, a8 a b¢yJy, In accordane• wllh Parl 4 of Ihe Charlliès (Accounts and Roport81 Regulalion5 2008 Our audit work haj been undertaken so Ih81 we might $181e to tho ch8nw8 IfUSlae$ those matt8r8 w6 are requlred to slaté lo them In an audiiors, report and for no other PUfpo$e To Ihe fuHe$t exlonl permrtled by 18w. w& do not accept or 88sume responslbllty lo anyone other Ihon the chanty and Ihe ch•riVi trustees as a body. for Our audil Work. lor th18 report, or lor the aplnlons we have formed LLP Shenward LLP Chartered Accountants & Slatulory Audllors Swnmll Hou80 Woodland Pa Bradl￿d Ro•d Cleckhèalon We51 Yorkshire 8019 68W Dote 27 Augy.$t. 2Q25. ......., KARMANO ANNUAL REPORT 31 Karmand Community Association Report of the Trustees year ending 31 March 2025 STATEMENT OF FINANCIAL ACTIVITIES 202S Total lunds 2024 Toi81 funds Unrestilctèd funds Resirided funds Notes INCOME AND ENDOWMENTS FROM Oonalion$ and legacles 146.844 721,944 866.788 1074.218 Charllablo actlvltl•• Community Centre Day￿re Nursory 42.298 42.298 7.647 45.792 25,188 6,T51 12,193 7,647 45,792 Othér tfadlng aclivrties Inveslment Income 11,699 29.477 28.452 28.452 Total 217.594 775,383 992,977 1,159.520 EXPGNDITURE Otl Ch•rltabl• •etlvlil•• Community Cantr• Advi¢e Daycace Tralnhg Nuisery 350,162 {918) 367,851 48.204 114.342 152.218 349.244 367.851 48.204 114,342 152,218 80,7S9 429.286 89.998 462.581 229.482 Other 47.123 3.940 51,063 215.914 Tot•1 397,285 683.037 1,080,922 1.488,0(J) NET INCQhlEIIEXPENOITUREI Tr•n•forn b•iw•on lund8 (179.691) 209.963 91,746 (209 963) 187,9451 (308 480 14 N•t mov•m•nt In lund• 30,272 1118,217) (87.945 (308,4801 RECONCILIATION OF FUN08 Total lunds brought loThYard 1242,584 749 797 1.992,381 2,300 881 TOTAL FUND3 CARAIED FORWARO 1.272,856 631.580 1.904,436 1,992.381 KARhAAND ANNUAL REPORT 132 Karmand Community Association Report of the Trustees year ending 31 March 2025 STATEMENT OF FINANCIAL POSITION 2025 Tolal fvnds Unreslrieied RestnGled lund8 lunds 2024 Totsl funds Nol FixeD ASSETS Tangible as6815 11 903.703 631.$81 1,535,284 1,562.860 CURRENT A8seTS D8btors Ca3h ai bank and in h8nd 12 402.386 42.937 581.529 402,386 402 386 402.388 624.468 CREDITORS Amounls falling due wNhln one ￿ar 13 (33.234) (33,234) {194.745) NET CURRENT AS8ET8 369 152 389.152 429 721 TOTAL A38ET3 LE88 CURReNT LIA81LITIES 1,272,855 831581 1.904.436 1992.381 NET ASSET8 1,272.855 831,581 I,W4,438 1,992,381 FUNDS UnreslTi¢ied funds Reslricied lunds 14 1.272,855 631,581 1.242.584 749.797 TOTAL FUNDS 1.904,436 1,992,381 Thè finan¢i81 slatementj w8re approved by Ihe Boaid of Tru61eés and aulhoriged for i$$u• on . 2 () 258nd were 819ned on il¥ beh811 by KARMAND ANNUAL REPORT 133 Karmand Community Association Report of the Trustees year ending 31 March 2025 STATEMENT OF CASH FLOWS 2025 2024 Noteg G•oh flaw8 from op•rnllng xtlvltl Cash 98neraied Ifom aperatrons Nfjl cash used in operdu)g a¢tIvIt￿5 (179,143 {31.242) (179,1431 {31,2421 Cash IIow8 lrnm In¥ogtlng actlvlll•• Purchase ol18n9ibl8 fixed as$¢ls Investment Income {12,339) 29,471 Not e8$h provided by Investlng acbw1108 17,132 ¢hang• In c4•h And emh •9ul¥•l•nt• In lh• r•portlng p•rlod Cash •nd ¢a•h équlv•l•nt• It tho b•glnnlng of th• r•portlng perlod Cuh and ¢a8h •qulv•l•nl• •t th• •nd ol tho rnportlng P•flod (179,143) (14,110> 581 $29 595.639 402.386 581.529 KARMAND ANNUAL REPORT 1 14 Karmand Community Association Report of the Trustees year ending 31 March 2025 STATEMENT OF CASH FLOWS- NOTES RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES 2025 2024 N•t exwndlture lor th9 r•portlng pDrlod 1813441 TOTAL FUNDS 1.159.520 (1,468,OCQI 1308.480) A current year 12 months 8n¢J prior year 12 months combined posllion is 8$ lollthvs. Nel Transler8 movemenl be￿tren In lunds lunds A11423 31325 Unrmtrlcied tund• Genero1 lund 1.61Q,038 1406.828> 89,645 1.272,855 Re•lfl¢*d lund• Reslrlcted lundj 890,823 1D.403 169.645) 631,581 TOTAL FUNDS 2.300,881 1396,425 1,904,436 A currenl year 12 months and Pfior year 12 months combined n6t mo¥ement in funds. In¢￿￿ed in the above are as loth)w5 Incoming resource8 Re$oufces exp8nded Movemenl In funds Unr•itrlcted fund• General fund 520,818 (927.646) {406,828) Re¥lrlcted funds Restncled lund$ 1,631.679 1,621,276) 10,403 TOTAL FUNDS 2,152,497 12,548.922) {396.425} 1 S. RELATED PARfi DISCL¢YdURES Thwe were no relalèd party trafi68Gtions lor the year ended 31 March 2025 KARMAND ANNUAL REPORT 142 Karmand Community Association Report of the Trustees year ending 31 March 2025 FINANCIAL ACTIVITIES - DETAILS 2025 2024 INCOIAE AND ENDOWMENTS Donatlon• and1•gKI•• G1ft8 DonAlton8 Gr8nt8 3.600 865,185 2.500 f 071,717 868,788 1.074,2 18 Olher tr•dlng a¢tlvltl•• General RKharge 11699 Inv•8tm•nt Ineom• Renls recei¥?d Inter&Bt rec8lv8ble 24.050 4.402 24.303 S188 28,452 29.471 Charltabl• a¢tlvltle• D8y care Income Hlre of room Nursery lees Other Income 7,847 41.444 45.792 6,751 25. 188 12,193 95,737 44,132 Tol•l Incomlng re•our¢ 992,977 1159,520 EXPENQITURE Ch•rlt#ble actlvlll•• Wago# Pen$lon$ Mlnlbus T18￿mIng Projec4 expendllure Audllors rémuneralion 808 209 10.874 13,215 1.527 299.881 4.356 822.621 29.351 37.742 2.878 334,015 938 CQ2 1.226,805 Other Renl,rales.lighl 8nd ho41 Fw)ding bid developemenl costs Goverfiance Co8ls 46.189 74.039 1,750 2.728 46,189 78.517 Support C08ts Manogom•nt Insur8nc8 Carrled forward 2,412 2.412 6389 6.389 ARMANDANNUAL REPORT , 43 Karmand Community Association Report of the Trustees year ending 31 March 2025 FINANCIAL ACTIVITIES - DETAILS 2025 2024 M4n•9•m•nt 8rou9hl lo￿ard Telgphon& Posla9e and stat￿nery Advertising 2.412 4927 7.313 8.389 4704 3.335 4.176 14 852 18.604 FlnanG• Sundne$ Bank chargvs Ffeehokl prop6rty Plant and ma¢hlnary Fixtures and fftltln98 13,846 150 6043 188 26.151 2650 49.483 1 654 25.722 41.372 84.515 Infofmatlon t•¢hnolooy R¢pair9 4nd renewals 29.691 34,278 Other Sharo ol Governance cooli Sh816 cl Support c￿19 11.899 13 782 25.481 Gov•man¢• co•t• Audilors, remUneral￿n lor non audrt Wofk A¢counlancy and le9al lee$ 4200 6756 10,956 Total iewurco$ expe￿1•d 1.080,922 1.468,000 N*t •It￿NdItUT* 187.9451 1308,4801 KARMAND ANNUAL REPORT