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2020-12-31-accounts

Aish Hatorah UK Limited

(by guarantee)

Company number 03413207 Charity number 1069048

Trustees’ Report

And

Financial Statements

For the year ended

31 December 2020

Aish Hatorah UK Limited

Contents Page
Legal and administrative information 1
Trustees’ report 2 - 6
Auditors’ report 7 – 9
Statement of financial activities 10
Balance sheet 11
Statement of cash flows 12
Notes to the financial statements 13 - 21

Page 1

Aish Hatorah UK Limited

Legal and administrative information

Directors / Trustees

A Cohen (resigned 15 June 2021) S Fine D Green S Green (appointed 17 November 2020) D Meshulam (appointed 6 October 2020) A Moshal J S Newman (Chair) J Rashbass A Steene (appointed 23 September 2020)

Key management personnel

D Rowe (Chief Executive)

Company Secretary

D Rowe

Principal Address and Registered Office

379 Hendon Way London NW4 3LP

Details of Incorporation

The company was incorporated on 1 August 1997 in England under company registration number 03413207, and was registered with the Charity Commission on 6 April 1998, with charity number 1069048.

Auditors

Crowe UK LLP Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL

Bankers

National Westminster Bank Plc 5 Central Circus Hendon Central London NW4 3LE

Page 2

Aish Hatorah UK Limited

Trustees’ Report

The trustees, who are also directors of the charity for the purposes of the Companies Act, submit their annual report and the financial statements of Aish Hatorah UK Limited (the Company) for the year ended 31 December 2020. The trustees confirm that the annual report and financial statements of the Company comply with current statutory requirements, the requirements of the Company’s governing document and the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” issued in 2015.

Legal and administrative information set out on page 1 forms part of this report.

Structure and Governance

Aish Hatorah UK Limited is a company limited by guarantee and registered as a charitable company. The Charity’s objects are set out below.

The trustees, who are also the directors for the purpose of company law, and who served during the year were A Cohen, S Fine, D Green, S Green, D Meshulam, A Moshal, JS Newman, J Rashbass and A Steene. None of the trustees has any beneficial interest in the Company.

Jewish Futures Trust Limited, the parent company, is the only member of the Company and guarantees to contribute £1 in the event of a winding up. Key Management Personel are considered to be the Trustees and the Chief Executive as listed on Page 1.

The management of the Charity is the responsibility of the trustees who are appointed under the terms of the Articles of Association. The number of trustees shall not be subject to any maximum but shall not be less than two. The appointment and training of a new trustee is subject to the oversight of current trustees.

There are no specific restrictions imposed by the governing document concerning the way the Charity can operate.

Charity’s Objectives and Activities

The Charity aims to reach out to young Jewish people in the UK in order to make the wisdom, depth and beauty of their heritage accessible, and thus to help promote a vibrant future for the British Jewish community. Over the past few years the educational remit has widened to allow for a broader spectrum of the community to benefit from the educational expertise and experience of the Charity. The core of the educational philosophy is to share with young people a sense of moral responsibility and ethical values that instil a sense of pride in Jewish heritage as well as upright citizenship in wider society.

The Charity seeks to achieve this objective through regular educational, social and religious events across the UK, with overseas educational programmes in the summer and at other key points in the year. All activity continues to be focused for the benefit of young people in the UK.

Achievements and Performance

The main, specific achievements of the Charity in the period under review, impacted by the Covid-19 pandemic that started in March 2020, include:

Page 3

Aish Hatorah UK Limited

Trustees’ Report (continued)

Achievements and Performance, continued

Against the backdrop of the Covid-19 pandemic, the Company successfully raised £2.505m (2019: £2.573m) of donated income, participant contributions of £87,803 (2019: £153,131) and received Furlough grants for staff of £245,216 (2019 : £nil).

With the huge uncertainities of the Covid-19 pandemic lockdown, management needed to ensure that supporter donations were having the maximum impact for charitable activities, so much effort and work has been put into reducing non-core overheads. Where staff have left, all efforts have been made to see if current staffing levels can absorb the work of leavers instead of looking for replacements.

Fundraising

The Charity is committed to the highest standards in fundraising. At all times we will ensure that we are respectful, open, honest and accountable to our supporters.

Our fundraising is personal and targeted and is primarily focussed on those individuals and institutions who have expressed interest in our work. We do not engage in fundraising activities like mass mailings or doorto-door campaigns, but focus on campaigns that target those who have previously engaged with or supported the Charity.

The Charity has a small fundraising team composed of the Chief Executive, a Fundraiser, and an Administrator. The Trustees provide oversight of fundraising strategy and delivery. The Fundraising Team receive regular training and guidance and aim to adhere to methods of best practise including the Fundraising Regulator’s Code of Fundraising Practice.

The Charity does not use third party organisations to raise funds, and under no circumstances does the Charity share personal information of our supporters for the purposes of third party marketing or processing.

There have been no complaints about fundraising activities reported in the year to 31 December 2020, or subsequently.

The Charity is a signatory of the Fundraising Regulator’s Code of Fundraising Practice. This code was established in 2016 with an aim of setting and maintaining the standards for charitable fundraising while ensuring that fundraising is respectful, open, honest and accountable to the public. All the Charity's fundraising activities will now comply with the Fundraising Code and the Charity has agreed to adhere to the Code’s requirement on handling any breaches of the Code or complaints about the Charity’s fundraising activities.

Financial Review

The Charity generated a surplus for the year of £559,239 (2019 : deficit £44,467). This reflects a broadly maintained level of income, before furlough grants and a significant reduction in programming and activity costs and overheads, while engagement with clients moved swiftly to digital media sources, at increased levels than in previous years. As at 31 December 2020 the Charity had net reserves of £573,232 (2019: £13,994).

The Charity had Free Reserves (its current assets less current liabilities) as at 31 December 2020 of £520,973 (2019: £nil).

The Charity is supported by a broad spectrum of donors from across the community, ranging from grassroots student-level program participants and alumni to a number of philanthropists who partner with our Charity and encourage our activities.

Page 4

Aish Hatorah UK Limited

Trustees’ Report (continued)

Financial Review , continued

Most fundraising is done through direct relationships with our partners and through effective communication of the importance of our work to the wider audience of our supporters. The Charity is seeking to improve its fundraising capabilities as, at present, the large majority of the fundraising responsibility still remains with the Chief Executive. The Charity is seeking to ensure that this responsibility is more broadly shared and is exploring how best to optimise its fundraising activities.

All of the Charity’s expenditure is focused on creating and delivering a wide range of successful high-quality educational courses and popular, impactful activities that deliver its stated charitable objectives.

Key Risks and Uncertainties

The trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks. A reduction in donor base could cause cash flow issues; any delayed receipt of pledged donations income could also potentially cause cash flow issues. The major risks facing the Charity are reviewed regularly at management meetings. Regular reviews of cash flow projections and budget forecasts are also undertaken, as well as a continual drive to manage expenditure.

The Impact of Covid-19

The ongoing Covid-19 crisis has significantly impacted upon Aish UK’s planned activities. Initially all staff had to work from home and a number were furloughed as we had to severely curtail the scope of our activities and move our programme delivery online. Trips and social activities had to be postponed or cancelled but were replaced by an extensive programme of online events. Staff are now returning to work from our offices and are planning to return to running activities on university campuses and from their homes.

Covid-19 has also affected the range of our fundraising activities as we have not been able to meet with supporters and potential donors. However, our donors have recognised how well Aish UK has adapted its activities to the current crisis and continue to be supportive. In January 2021 the Company organised a 36 hour fundraising campaign that raised £2million for our 2021 activities.

Reserves

Aish UK has had a low level of reserves for many years and has managed its activities on this basis and has controlled its costs to the level that is financeable from its annual income. This policy has continued during the Covid-19 crisis and Aish UK has cut its costs due to the lower level of activity that is possible and to reflect its ongoing level of income. The Trustees are satisfied that they will be able to continue to manage their costs within the level of its annual income.

The trustees are determined to build up the Charity’s reserves with the intention that reserves cover three months of projected overheads (£600,000) in order to give the charity greater financial stability. This has almost been achieved as at 31 December 2020.

Pay policy for key management personnel

Pay and remuneration of key management personnel is determined by a variety of contributory factors, including the size of the Charity and the level of experience of the staff member. In addition to this, levels of pay may be affected by the ability to recruit key management personnel and retain them in post, which all coincides with the charity’s appointment and pay policies. All amendments to key management’s pay and remuneration are discussed and agreed by the trustees. While trustees are considered key management personnel, no trustee receives any remuneration or is paid expenses for their services as trustee.

Page 5

Aish Hatorah UK Limited

Trustees’ Report (continued)

Public Benefit

The trustees acknowledge the duty in Section 4 of the Charities Act 2011 to have due regard to the Charity Commission’s published general and relevant sub-sector guidance on public benefit.

All activities undertaken by the Charity are for the public benefit. With a focus on providing education, the Charity’s operation is very much geared to providing benefit to the Jewish and wider community as is highlighted by the activities reported herein. The core of the educational philosophy is to share with young people a sense of moral responsibility and ethical values that instil a sense of pride in Jewish heritage as well as upright citizenship in wider society. This will continue to be central to future plans.

Plans for the Future

The main activities intended to be undertaken by the Charity will continue to be the provision of regular educational, social and religious events across the UK and with overseas educational programmes. If funds permit the trustees aim to expand branches and programmes to increase the amount of opportunities, programmes and events that we can offer.

Disclosure of information to Auditors

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditors are unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditors are aware of such information.

Statement of Trustees’ Responsibilities

The trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards) and applicable law.

Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the net incoming reserves for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Company’s transactions and disclose with reasonable accuracy at any time the financial position of the charitable Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 6 Aish H%torAh UK Llmlted Trn$tees' Report {continued) Statement of Trustee5' R¢spon$ihilitie4 continu The trust¢¢s are r¢syonsible for th¢ maintenanee and integrity of the ¢wpor2te and financia] information included on the charity's website. Insofar a8 each of the tru5te¢s of the CoTnpany at the date of approval of this report is aware there is no relevant audit inf0m￿tion linformalion needed by the Company's auditor in Co[￿ectIon with preparing the audit rcportl of whiLh thc Comparty's auditor 1$ vnaware. Each trustee hastaken all of the steps that h¢ should have t&ken &$ a trustee in order to make himbclf aware of any r¢levant audit inforM￿lon and to e5t4blish that the CompaTLy'S auditors ate aware of Inforn)￿l0ll. Sm911 Companiu EKemptlo In prq)arin¥ this report, the directors have token advance of the Sm￿1 etsmpanies exemption provid¢d by S¢rtion 415A of thc Companic5 Act 2W6. Audltori Crowe UK LLP h&$ expressed a Willin￿￿% to contirtue in office. A retsolution lo appoitit them will b¢ proposed at the AJ)nual General M¢¢ting. This report ha8 been approv¢d by th¢ truslees on 17 Ausu8t 2021 and ¥I￿d on their behaifby: J S N•YttL#

Page 7

Aish Hatorah UK Limited

Independent Auditor’s Report to the Members of Aish Hatorah UK Ltd

Opinion

We have audited the financial statements of Aish Hatorah UK ltd for the year ended 31 December 2020 which comprise Statement of Financial Activities, Balance Sheet, Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 8

Aish Hatorah UK Limited

Independent Auditor’s Report to the Members of Aish Hatorah UK Ltd (continued)

Opinions on other matters prescribed by the Companies Act 2006

In our opinion based on the work undertaken in the course of our audit

Matters on which we are required to report by exception

In light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on pages 5 and 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Page 9

Aish Hatorah UK Limited

Independent Auditor’s Report to the Members of Aish Hatorah UK Ltd (continued)

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks within which the company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities SORP (FRS102) 2019 and Companies Act 2006.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management and the recognition of income. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, sample testing on income recognized in the accounts and reviewing accounting estimates for biases.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Alastair Lyon

Senior Statutory Auditor For and on behalf of

Crowe U.K. LLP

Statutory Auditor Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL

17 August 2021

Page 10

Aish Hatorah UK Limited

Statement of Financial Activities for the year ended 31 December 2020

Note 2020 2019
£ £
Income from:
Donations and legacies 4 2,505,939 2,573,263
Charitable activities:
Participant payments 4 87,803 153,131
Other Income 4 245,216 0
Total income 2,838,958 2,726,394
__ __
Expenditure on:
Raising funds:
Donor fundraising costs 5 171,212 281,185
Expenditure on charitable activities:
Charitable activities 6 2,108,507 2,477,176
Charitable donations - 12,500
Total expenditure 2,279,719 2,770,861
__ __
Net income/ (expenditure) for the year 7 559,239 (44,467)
Reconciliation of funds:
Total funds brought forward 13,994 58,461
Total funds carried forward 573,233 13,994
======= =======

The Statement of Financial Activities includes all gains and losses recognised in the year.

All income and expenditure derives from continuing activities.

The notes on pages 13 to 21 form part of these accounts.

Pagell Aish HatorAh UK Llmlted C¥Jmpmy numb¢r 03413207 Balance Sheet A$ It 31 D¢¢¢mber 202 Note 2020 2019 FSAed A$￿ts Tangtble ￿ets Heritage Assets 10 10 52.260 52,260 52,260 52,260 Current Awts Dcbt1￿S Cash at bank and in h4nd 73,112 170,625 590,369 190.977 Cr¢dltor$: Amounts falling due within one year 12 Net current (IlabS1Sd¢i) 520,973 (38,2661 Totsl M8ets lttl eurretht Ilbli Itle 573.233 13.994 N•t 573,233 13,994 FuDd• UTtre5trict¢d fvnds 14 573,233 13,994 Tot1 573,233 13,994 Ththc fltwicial utat¢rnert¢s have been WVTed in accordance with the provi510n5 relating to cornrAnie8 subject lo the Small oompanie5 ￿girne within P2rt 15 of the Companies Act 2¢106 The accounts were approved by the uus'teey ajjd auth0ri5ed for i&8ue on 17 August 2021 J S NeY4wo Th¢ not¢$ on pag¢s 13 to 21 fmn part of ￿¢)￿nIs.

Page 12

Aish Hatorah UK Limited

Statement of Cash Flows As at 31 December 2020


Cash flows from operating activities:
Net incoming resources/ (expenditure)
Decrease/ (increase) in debtors
(Decrease)/increase in creditors other than bank loans
Net cash provided/ (used) by operating activities
Cash flows from investing activities
Purchase of heritage assets
Net cash used for investing activities
Cash flows from financing activities
Bank overdraft and credit cards advances/(repayments)
Borrowings on Loans
Repayment of other loans
Net cash (spent on)/ provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Total cash and cash equivalents at the end of the year		 2020

£
559,239
97,513
(82,044)
574,708
-
-
(7,803)
(70,000)
-
(77,803)
496,905
20,352
517,257
=====		 2019
£
(44,467)
(23,754)
(183,322)
(251,363)
(11,368)
(11,368)
838
70,000
(20,000)
50,838
(211,893)
232,243
20,352
======

Page 13

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

1 Company information

The principal activity of Aish Hatorah UK Limited is the advancement of Jewish education and culture. The Company is registered as a charitable company limited by guarantee (company number: 03413207, charity number 1069048). It is incorporated and domiciled in the UK. The address of the registered office is 379 Hendon Way, London NW4 3LP.

2

Accounting Policies

a. Basis of Accounting

The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP 2015), applicable UK accounting standards including the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Companies Act 2006. The Company meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. The principal accounting policies adopted in the preparation of the financial statements are as follows:

b. Going Concern

The Charity generated a surplus of £559,239 (2019: deficit of £44,467), with net reserves at 31 December 2020 of £573,233 (2019 £13,993).

During the current year, from 1 January 2021, the trustees are expecting to generate a modest surplus reflecting continuing support from donors and control on expenditure. At the date of the signing of these accounts, the organisation’s short term creditor position is vastly improved in comparison to previous years.

The Charity continues to analyse its expenditure very carefully and to reduce costs where possible.

For all these reasons, the trustees consider that there are no material uncertainities about the Charity’s ability to continue as a going concern and have reasonable expectations that the Charity has adequate resources to continue its activities for the foreseeable future. Accordingly they continue to adopt the going concern basis of accounting in preparing the annual financial statements.

c. Income

All incoming resources are included on the Statement of Financial Activities when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.

Page 14

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

Accounting Policies (continued)

d. Expenditure

Costs of fundraising activities are those costs incurred in attracting voluntary income.

Charitable activities include expenditure associated with the delivery of its activities and include both the direct costs and support costs relating to these activities.

Support costs include office rental, residential rental for Rabbis, travel costs and professional fees. These costs have been allocated to the expenditure categories based on the management’s estimate of the proportion of time and resources consumed by each of the key activities of the Charity.

e. Liability Recognition

Liabilities are recognised as soon as there is a legal or constructive obligation committing the Charity to the expenditure.

f. Tangible Fixed Assets

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the costs of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Improvements to leasehold property - Over the term of the lease Plant and equipment - 25% reducing balance Fixtures and fittings - 25% reducing balance/33% straight line Motor vehicles - 25% reducing balance

Additions to tangible fixed assets of less than £1,000 are treated as an expense.

g. Heritage Assets

Aish Hatorah UK Limited owns religious scrolls. These assets are untarnished and used to further the Charity’s objectives. They are reflected as heritage assets and are included in the Balance Sheet at cost. Their carrying amounts are reviewed where evidence of impairment exists and reduced where an impairment is deemed to have incurred.

In accordance with FRS102, depreciation is not provided on heritage assets as they are considered to have indefinite lives. The cost of maintenance and repair of heritage assets is written off in the year incurred.

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date.

Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.

Exchange gains and losses are recognised in the Statement of Financial Activities.

Page 15

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

Accounting Policies (continued)

i. Operating Leases

Rentals under operating leases are charged to the Statement of Financial Activities on a straight line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the period until the date the rent is expected to be adjusted to the prevailing market rate.

j. Financial Instruments

The Charity holds only financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments include debtors and creditors. Debtors and creditors are initially recognised at transaction value and subsequently measured at fair value. Note 18 provides more information on financial instruments where future cash flows are anticipated, with financial assets referring to debtor balances excluding prepayments, and financial liabilities referring to all creditor balances excluding deferred income and other taxation and social security.

k. Government Grants

Grants are accounted for under the performance model as permitted by the charity SORP. Coronavirus Job Retention Scheme grant income is therefore recognised on a straight line basis over the furlough period for each relevant employee.

3 Key Judgements and Estimates

In the application of the Charity’s accounting policies, which are described in note 2, trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects the current and future periods.

The trustees consider that there are no material judgements in applying accounting policies or key sources of estimation uncertainty.

4 Income

Income
2020 2019
£ £
Donations and legacies 2,080,724 £2,045,267
Fundraising Telethon 2020 /Dinners 2019 425,215 527,996
Total income from donations and legacies 2,505,939 2,573,263
======== ========
Income from charitable activities:
Trip and event participant payments 87,803 153,151
======= =======
Other income
Furlough grants from Government Job Retention Scheme 245,216 -
======== =====

Income in 2020 and 2019 is all unrestricted.

Page 16

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

2020 2019
5 Donor fundraising costs £ £
Donor relations 8,939 14,327
Telethon/ Dinner events 33,553 173,425
Travel and accommodation 1,230 1,950
Staff costs 112,361 73,162
Support costs 15,129 18,321
171,212 281,185
======= =======

Costs in both years are all unrestricted.

6 Analysis of expenditure on charitable activities

Basis of
allocation
Staff costs
Direct
Programme & trip expenditure
Direct
General office
Direct
Audit fees (Governance Costs)
Direct
Support costs
Total charitable activity expenditure
( All unrestricted activities)		 Charitable
activities
£
637,226
696,400
-
-
1,333,626
774,881
2,108,507		 Charitable
activities
£
637,226
696,400
-
-
1,333,626
774,881
2,108,507		 Support
costs
2020 Total
£
£
349,191
986,417
0
696,400
417,130
417,130
8,560
8,560
774,881
2,108,507
(774,881)
-
-
2,108,507		 Support
costs
2020 Total
£
£
349,191
986,417
0
696,400
417,130
417,130
8,560
8,560
774,881
2,108,507
(774,881)
-
-
2,108,507		 2019
Total
£
967,731
995,603
505,148
8,694
2,477,176
-
2,477,176

Page 17

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

7 Net income for the year
2020 2019
This is stated after charging: £ £
Auditors’ remuneration
- audit fees 8,800 8,694
===== =====
8 Analysis of staff costs, trustee remuneration and expenses
2020 2019
Staff Costs: £ £
Wages and salaries 921,593 870,696
Pension costs 16,863 14,828
Social security costs 83,918 78,239
Other staff costs 76,405 77,130
1,098,779 1,040,893
__ __

Total remuneration paid to key management personnel was £76,059 (2019: £77,668).

All trustees are included as key personnel but have received £Nil remuneration for their services (2019: £Nil).

During the year, no trustee received any benefits in kind for their role as trustee (2019: £Nil). During the year, no trustee received any reimbursement of expenses for their role as trustee (2019: £Nil).

The average number of employees during the year was: 2020 2019
Educational 30 30
Operational 3 3
Administrative 3 3
36 36
== ==

9 Employees

One employee (2019: one) received emoluments between £60,000 and £70,000. One employee (2019: none) received emoluments between £70,000 and £80,000

Page 18

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

10 Tangible fixed assets

Leasehold
improvements
Plant and
equipment
Furniture and
fittings
Motor
vehicles
£
£
£
Cost
At 1 January 2019 and
2020
249,876
147,520
254,393
11,301
Depreciation
At 1 January 2019 and
2020
249,876
147,520
254,393
11,301
Net Book Value
At 31 December 2019
and 2020
-
======
-
======
-
======
-
======
Heritage assets
2020
£
At 1 January 2020
52,260
Addition in year
-
_
At 31 December 2020
52,260
======
=		 Total
£
663,090
663,090
-
======
2019
£
40,892
11,368
_
52,260
=====

The Charity owns 2 religious scrolls that cost £52,260. They are classified as heritage assets in accordance with SORP charity accounting standards.

11
Debtors
Trade debtors
Amounts owed by other Jewish Futures Trust group charities
Other debtors
Prepayments and accrued income		 2020
£
900
9,610
24,279
38,323
73,112		 2019
£
15,100
30,030
30,424
95,071
170,625

Page 19

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

12
Creditors:Amounts falling due within one year
Bank loans and credit cards
Trade creditors
Amounts owed to other Jewish Futures Trust group charities
Social security and other taxation
Loans
Other creditors
Accruals and deferred income
==		 2020
2019
£
£
7,674
15,477
9,544
26,322
78
13,876
19,779
23,306
-
70,000
8,217
34,328
24,104
45,934
69,396
229,243
=====
=======		 2019
£
15,477
26,322
13,876
23,306
70,000
34,328
45,934

13 Capital commitments

Amounts contracted for, but not provided in the accounts, amount to £Nil (2019: £Nil).

14
Statement of Funds
1 January
2020
£
Unrestricted Fund
General funds
13,994		 Incoming
resources &
gains
Outgoing resources
& losses
31 December
2020
£
£
£
2,838,958
(2,279,719)
573,233

15 Operating lease commitments

The following annual commitments existed in respect of non-cancellable operating leases:

2020
£
Leases expiring:
In less than one year
179,147
Between one and five years
-
179,147
=======
 2019
£
252,894
58,144
311,038
========

Page 20

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

16 Related Party Transactions

Jewish Futures Trust Ltd (JFT) is the sole member of the Company. During the year, the Company received donations to the value of £238,250 (2019: £218,035) from JFT. During the year the Company was charged £294,602 (2019: £404,421) by JFT for its share of JFT operating central facilities and services. During the year the Company charged JFT £14,002 (2019 £20,218) for administrative services. At the year end, the Company was owed by JFT £4,511 (2019: £25,025).

Chazak Ltd is a subsidiary of JFT, the sole member of the Company, and originally began as a project of the Company. Although it has now operates as a fully separate organisation, the Company has continued to support Chazak Ltd, providing ongoing advice and support. In acknowledgement of this support, Chazak Ltd has made donations to the Company during the year totalling £90,295 (2019: £146,052). These donations are included within “Donations and Legacies” as part of “Incoming resources from Generated Funds” (see note 4). At the year end, the Company was owed £5,092 (2019: £nil) by Chazak Ltd.

Jroots Ltd is a subsidiary of JFT, the sole member of the Company. The Company ran 3 trips (2019: 4 trips) using the services of Jroots Ltd during the year which meant that Jroots Ltd incurred net costs on behalf of the Company to the value of £89,620 (2019: £136,494). The net costs of these trips were paid to Jroots Ltd. In 2020 Jroots gave no grants (2019: £18,000) to cover some trip costs. At the year end the Company owed Jroots £78 (2019 : Jroots owed the Company £4,080).

Forum for Jewish Leadership Ltd (FJL) is a subsidiary of JFT, the sole member of the Company. The Company supports the costs of FJL’s UK activities as they benefit the Company’s clients and supporters. At the end of the year the Company accrued a contribution charge of £Nil (2019: £10,000) towards these FJL costs. At the year end the Company owed FJL £Nil (2019: £13,876).

JFT-Jewish Futures Foundation Inc is a charity in the USA which shares a trustee with the Company. During the year, the Company received donations from JFT Jewish Futures Foundation Inc totalling £5,309 (2019: £4,526). At the year end, JFT-Jewish Futures Foundation Inc owed the Company £672 (2019: £2,485).

Give It Forward Today Ltd (GIFT) is a subsidiary of JFT, the sole member of the Company. GIFT shared office space in Manchester to support its services and paid the Company a contribution of £2,700 during the year (2019: £Nil).

On 23 December 2019 the Company received an interest free loan from J S Newman totalling £70,000. It was repaid in full on 17 March 2020.

On 5 November 2018 J S Newman provided a guarantee for the monthly rental payments of £2,625 on a one-year lease on a property used by the Company. On 1 September 2019 J S Newman provided a guarantee on the quarterly rental of £2,250 for a lease of office space in Manchester used by the Company.

17 ULTIMATE PARENT UNDERTAKING AND CONTROLLING PARTY

The Company is a 100% subsidiary of Jewish Futures Trust Limited (JFT), a limited liability company, registered number 07884678 and a registered charity number 1151066. JFT is involved in public education and cultural activities.

The trustees regard JFT as the immediate and ultimate parent company. JFT prepares consolidated annual accounts, including the results of the Company. A copy of the consolidated accounts can be obtained from the JFT head office at 379 Hendon Way, London NW4 3LP.

Page 21

Aish Hatorah UK Limited

Notes to the Accounts – 31 December 2020

18
Financial intruments
Charity
Financial assets measured at amortised cost
Financial liabilities measured at amortised cost		 2020
£
552,047
65,753		 2019
£
94,981
184,136		 2019
£
94,981

Financial assets measured at amortised cost include trade debtors, amount owed by group undertakings, other debtors and cash equivalents.

Financial liabilities measured at amortised cost comprise trade creditors, other creditors and accruals excluding deferred income.