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← Sound Church

2024-08-31-accounts

Charity number: 1072196 Company number: 03642766

(England and Wales)

Sound Church Ltd

Report of the Trustees and Audited Financial Statements

For the year ended 31 August 2024

Sound Church Ltd Contents Page For the year ended 31 August 2024

Report of the Trustees including Directors Report 1 to 11
Report of the Auditors 12 to 14
Statement of Financial Activities 15
Statement of Financial Position 16
Statement of Cash Flows 17
Notes to the Financial Statements 19 to 28

Sound Church Ltd

Report of the Trustees including Directors report For the year ended 31 August 2024

The Trustees, who are also directors for the purposes of company law, have pleasure in presenting their report and the financial statements for the charitable company for the year ended 31 August 2024. The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's Memorandum and Articles of Association, the Companies Act 2006, and 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 the Republic of Ireland (FRS 102) (effective 1 January 2019).

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

OBJECTIVES AND ACTIVITIES

Objectives and aims

As Trustees we seek to ensure as a church we have considered the Commissions guidance on Public Benefit when planning our activities. Specifically with respect to the guidance on the advancement of religion. With this in mind the charities objects and principal activities are:

These objectives enable us to provide public benefit in various ways through the various activities of the charity.

Events are hosted and attended throughout the year to further the charities objects, including Sunday services, midweek meetings, social events and the Church Weekend Away in which the majority of the church go away to be strengthened and encouraged in their faith. These events are strategic in enabling people to connect with each other and with Jesus.

Missions are those activities where by the charity seeks to reach out to others helping to advance the Christian faith and or relieve poverty. A significant amount of our missions activities are through the provision of grants to individuals and charities who are undertaking work that contribute toward the objects of the charity as listed above. As well as giving to others we also run our own activities which also serve to reach out to the local and international community. These varied activities act to see the relief of poverty and the advancement of the Christian faith. Many of our small groups in church get involved in helping the communities they live in practical ways. With this in mind we work with social services to help some of the people most in need in our cities.

Activities seek to care for, support and help people to move on in their lives both practically and spiritually. These activities are carried out to bring relief to the poor and needy and the sick and elderly, those requiring emotional and spiritual support. The provision of pastoral support has been continued throughout the year by the Senior Pastor, assisted by members of the pastoral team. This has enabled us to help both people inside and outside of the church as they seek to move forward in their lives.

The core of the church's activities are found in its meetings, which are usually held on Sundays and many midweek evenings. These meetings are specifically aimed at teaching and growing people in their faith. Enabling them to help and encourage others in their daily life with Jesus and each other.

Our measures of success are as follows:

A) The local church:

B) How much are we impacting the community in a positive way:

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

The trustees have considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'.

Grant making

Mission is the generic term we give to gifts that we make to other organisations and individuals that furthers our charitable objects. When gifts are given the following criteria are always looked at before the gift is given:

Volunteers

We have approximately 145 volunteers who are a part of teams to enable to smooth running of events & services. Members volunteer in teams such as welcome teams, hosting, car parking, café, lunch teams, audio team, AV team, band, kids & youth clubs as well as the Uniform Cupboard, Grief Café and other social action response teams. The teams have meals and social times together, as well as training and meetings to enable the volunteer work to abide by all governance and policies.

We are intentional about providing volunteering opportunities as volunteering not only helps foster a sense of belonging in the community, it has been evidenced by researchers to be beneficial for mental health and well-being.

ACHIEVEMENTS AND PERFORMANCE

Significant activities

Throughout 2023-2024, Sound Church continue in the same vision to advance the Christian faith, provide relief to those in need in the church & community, and are working to support church leaders, missionaries, and frontline workers in the UK and around the world. In 2023 we self-published a book titled 'Jesus Heals', which was a collection of some of the 141 stories and significant testimonies of how Jesus had changed people's life during services & times of prayer in the previous few months.

In November we released our first worship song 'You are Worthy' from Sound Church Worship, and parallel instrumental version 'Breath' from Beyond Words MSC. The release of these songs was significant for us as a Church as they publicly reflected one aspect of how creativity is crucial to the character of God and specifically as a part of our mandate as a Church. The songs collectively received more than 56,000 streams across DSPs.

In addition to this, we had 800 people attend our Carol Service & Light shows throughout the weeks leading up to Christmas. 300 of these were Children from 3 different primary school around Bath, who attended our Kids Carol services where we were able to help them fulfil both the creative, and religious education curriculum requirement & advance the Christian faith by telling the story of the birth of Jesus at Christmas.

Over 1,000 items were given in our Christmas hampers campaign, with a total of 2,303 items given away across the Uniform Cupboard, and Hampers and The Wardrobe (prom dresses and suits). We have supported 11 schools, and specifically helped 231 families through our Community Impact projects this year,

Amongst other significant moments for Sound Church, we continued we held our annual conferences 'The Weekend Away' and our Men's & Women's conferences where there was opportunity for connection, prayer and teaching. Summer Socials in 2024 were also worthy of note, as we held multiple large gatherings in the park for games amongst well attended weekly prayer meetings, which provided great opportunity for connection during a holiday period.

Achievements against objectives

The Church has 470 people who are active members, with a regular Sunday attendance of 240 people in the morning service, with up to 110 people engaged in lunch and activities after church, and 60 people in the evening prayer meeting. Sound Church engaged with 64 Youth on Fridays, with around 200 people attending groups and other functions throughout the week. Whilst our active members reflected in the address book shows a decrease from the previous year, our regular Sunday attendance, those engaged with youth and people in groups has grown year on year. As discipleship is a crucial to our mission, numbers alone do no reflect the measure of this and the extent that we see transformation of individuals, and the impact on community.

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

FINANCIAL REVIEW

There was a net surplus on general funds for the year of £12,240, leaving unrestricted funds of £2,234,288 at 31st August 2024 (all unrestricted).

We run several significant events, such as our weekend away, as a main way to integrate people into the organization so that they feel a sense of belonging and feel known by others. Whilst it can be a financial risk to run larger events, the impact is positive, both for those who attend and the sense of stability of the organization and those who attend feeling that they know more people and are known by more people.

Significant events

Most significantly the charity saw a significant increase in interest paid on the mortgage during the reporting period with an increase of £34,577 on the previous year in line with the Bank of England interest rates. The trustees have monitored the increased costs and ensured financial planning has reflected the rises. The church continues to have regular mortgage reviews with Stewardship.

There have been no significant incidents that required reporting to the Charity Commission in the reporting period.

Principal funding sources

Funding is generated predominantly through tithes and offerings given to the church from its members and other organisations. As such a significant source of income is the Gift Aid claimed on gifts. In addition, the car park at Freedom House is let to a Trust who use it for their employees during the week and parts of Freedom House are let to another registered charity to carry out their work supporting the local community. The lease between Sound Church and the trust will end and be subject to review in advance of July 2025.

Reserves

It was decided by the Trustees of the church to hold in savings, non-restricted funds equivalent to at least one month's staff salaries as well as other outgoings in order to cover any unexpected shortfall in the giving to the Charity. Therefore, the Charity seeks to hold a minimum of £65,000 in reserve.

The Trustees realise the Church is short of this figure. . Whilst the trustees seek to increase the church's reserves, they are also aware that the Leaders of the church may choose to call for a special offering to raise additional funds. A practice that has been used in the past (and by other churches) which is regarded as an offering in addition to normal tithes.

PLANS FOR FUTURE PERIODS

The future of the charity is to continue the morning services and evening prayer and healing nights, alongside continuing the excellent kids and youth programme and young adults and 40+ programmes. We have seen these take place successfully this year, and momentum is increasing both with numbers and enthusiasm.

Sound Church's plans to launch a Pastoral & Creative College in 2024 has been fruitful and received an encouraging number of applications with 9 students being accepted onto the programme, which begins in October 2024.

We will continue to provide support to pastors and their families as a Church, and Betsy de Thierry is working to create an evidencebased programme with the support of an educational institution to support such Senior Leaders and their families.

The social action arm of the church's projects are continuing to grow in momentum as many people in the city are beginning to come to the church when they are in need. This team has enabled many others to be a part of a positive team with a sense of purpose in helping others.

We have a 2 day training day for the Prayer & Ministry Team at Sound Church, where we expect to see 60+ people further equipped with more training.

In September 2024 we also plan to host an Alpha Course, which the church has been praying for & inviting friends to. Alongside this, we plan for our Christmas Carol & Light Show to be a significant focus for outreach by inviting friends and family to church who don't have a faith to come along.

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Trustees, who are also the directors for the purpose of company law, and who served during the year were:

Mrs E de Thierry Mr JM Needham Ms K Ottley Mr A McWilliam Mr J Inkster (appointed 11/9/23; resigned 4/5/24)

The Chair of Trustees appoints trustees with relevant business and/or church experience to serve as trustees for a period of normally at least 2 years. Trustees are active members or supporters of Sound Church.

Most Trustees are already familiar with the activities undertaken by the charity as commonly active members of or long term supporters of the church are selected for the role. Copies of the Memorandum and Articles of Association are made available and an overview of recent activities, obligations and plans are given to them at a meeting with the Chairman of the Trustees.

The charity is led by the lead pastor, Mrs E deThierry, with the support of the pastoral team. The church is part of wider church networks such as the Evangelical Alliance and Wave Church Network.

The board meet four or five times a year to administer the charity. They are not a board of elders and have no pastoral function, their role is to oversee the legal and financial aspects (governance) of the charity and to ensure compliance with statutory reporting requirements and that risks to which the charity is exposed are reviewed, minimised and managed accordingly. Mrs E de Thierry will present those plans which have a financial cost to the trustees who will advise and make recommendations on the best method of implementation or compliance.

Induction and training of trustees

Trustees are recruited to the Board with relevant experience to create a balance skillset across all the trustees. All new trustees are supplied with Charity Commission guidance on being an effective trustee and are provided training as needed.

Related parties

Freedom Bath + Bristol Developments Limited is a limited company which was engaged by the charity to carry out the design and build contract for the erection of the new auditorium.

The charity also supports the Trauma Recovery Centre financially. Mrs E de Thierry is the founder and a Trustee of Trauma Recovery Centre.

Trauma Recovery Global Ltd is a limited company that provides professional support to members of the church. Mrs E de Thierry is director/shareholder of the company.

Pay policy for senior staff

Following the work that the trustees undertook in regards to assess and create an appropriate pay scale for Bath which has similarities to London pay, due to rising cost of house prices and cost of living in the area, the trustees increased pay for the majority of staff where appropriate, and created open dialogue with the staff who have been strongly encouraged to ask for help if they need it.

Risk management

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.

The auditor, Caladine Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

Accountants Chippendale and Clark
7/8 Avon Reach
Chippenham
SN15 1EE

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Sound Church Ltd

Report of the Trustees including Directors report Continued For the year ended 31 August 2024

RESPONSIBILITIES OF THE TRUSTEES

The Trustees, who are also directors of Sound Church Ltd for the purposes of Company Law are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The Trustees are required to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources of the charitable company for that period. In preparing those financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records which 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

Approved by the Board of Trustees and signed on its behalf by

............................................................................. Mrs E de Thierry

12 May 2025

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

Year Review Sept 2023 August 2024

2023

September

Heart & Soul Marriage Course Women’s Breakfast Youth Weekend Away Freshers Lunches Betsy spoke at Doorbrekers Diamonds Conf.

October

Freshers Lunches cont. Glow Party Sound Church Worship Recording Fuel Night Uniform Cupboard All Church International Bring & Share Lunch Encounter Evening

November

Church Bonfire Night Singles Released & Listening Party:

  1. You Are Worthy (Sound Church Worship)

  2. Men’s 2. Conference Breath (Beyond Words MSC)

Young Adults Thanksgiving Wine & Cheese evenings Encounter Evening

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

December

Sound Church on Ice Uniform Cupboard Kids Carol Service Carol Service Nativity Christingle Made hampers for Children around Bath in need

2024

January

Group Hub YA Welcome Drinks Heart & Soul Baptisms Alan McWilliam with us Encounter Evening

February

Women’s Conf Kids Conference Youth Day Away Encounter evening What Now Groups Started

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

March

Kingdom Builders Evening Rise & Build Hosted the TRG Conference in the Sound Auditorium Hosted a TRG Critical Response Meeting in the Sound Auditorium Evening Service for Bath Half Betsy spoke at Europoort Church International Celebrating Women

April

Easter Sunday! Uniform Cupboard & Community Afternoon Sound Tots Men’s Overnight1 TripH Care Team Training Betsy spoke at CLC (City Life Church)

May

Young Families Soft Play Youth Alpha Started Group Leaders Hub Weekend Away (24[th] - 26[th] ) Health & Safety Audit of Sound Church Buildings

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Sound Church Ltd Report of the Trustees including Directors report Continued For the year ended 31 August 2024

June

First Wedding in the Auditorium Uniform Cupboard Celebrating Men Encounter Afternoon

July

John Greenow with us Summer Midweek Prayer Meetings Youth went to ‘The Send ~~—~~ UK’ at Wembley Summer of Fun begins! Summer Socials: Rounders in the Park & Youth Socials

August

Summer of Fun (incl. Thomas Trilby & Clare’s Circus) Summer of Speakers BBQ After Church & Sunday Picnics in the Park Summer Midweek Prayer Meetings Uniform Cupboard Rounders in the park with 60+ people, Golf, Family Bike Rides & Youth Socials

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Independent auditors' report to the members of Sound Church Ltd

Opinion

We have audited the financial statements of Sound Church Ltd (the 'charity') for the year ended 31 August 2024 which comprise the statement of financial activities, the statement of financial position, the statement of cash flows and the 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 FRS 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 charity 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 charity'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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. 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 course of 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.

Opinions on other matters prescribed by the Companies Act 2006

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

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Independent auditors' report to the members of Sound Church Ltd Continued

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity 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:

-certain disclosures of trustees' remuneration specified by law are not made; or

Responsibilities of trustees

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the charity for the purpose 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 charity'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.

Auditors 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.

The extent to which the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, was as follows:

We assessed the susceptibility of the charity's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

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Independent auditors' report to the members of Sound Church Ltd Continued

Audit response to risks identified

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council's website at: http://www.frc.org.uk/auditorsresponsibilities.

-----------------------------------------------------------

15 May 2025

John Richard Caladine FCCA CTA FCIE (Senior Statutory Auditor)

For and on behalf of Caladine Limited

Chartered Certified Accountants

Statutory Auditor

Chantry House 22 Upperton Road Eastbourne East Sussex BN21 1BF

14 of 2 98

Sound Church Ltd

Statement of Financial Activities (including Income and Expenditure Account) Continued For the year ended 31 August 2024

Notes
Income and endowments from:
Donations and legacies
2
Charitable activities
3
Other trading activities
4
Investments
5
Other income
6
Total
Expenditure on:
Charitable activities
7/8
Total
Net income/expenditure
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
£
820,665
57,098
30,000
376
609		 Restricted
funds
£
-
-
-
-
-		 2024
£
820,665
57,098
30,000
376
609		 2023
£
807,250
55,646
30,000
178
546
908,748 - 908,748 893,620
(896,508) (3,349) (899,857) (880,875)
(896,508) (3,349) (899,857) (880,875)
12,240
2,222,048		 (3,349)
3,349		 8,891
2,225,397		 12,745
2,212,652
2,234,288 - 2,234,288 2,225,397

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Registered Number : 03642766

Sound Church Ltd Statement of Financial Position As at 31 August 2024

Notes 2024 2023
£ £
Fixed assets
Tangible assets 14 4,126,790 4,202,285
4,126,790 4,202,285
Current assets
Debtors 15 19,070 22,601
Cash at bank and in hand 30,534 17,976
49,604 40,577
Creditors: amounts falling due within one year 16 (109,737) (101,325)
Net current assets (60,133) (60,748)
Total assets less current liabilities 4,066,657 4,141,537
Creditors: amounts falling due after more than one year 17 (1,832,369) (1,916,140)
Net assets 2,234,288 2,225,397
The funds of the charity
Restricted income funds 18 - 3,349
Unrestricted income funds 2,234,288 2,222,048
Total funds 2,234,288 2,225,397

The financial statements were approved and authorised for issue by the Board and signed on its behalf by:

Mrs E de Thierry Trustee

12 May 2025

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Sound Church Ltd Statement of Cash Flows For the year ended 31 August 2024

Cash flows from operating activities 2024 2023
Surplus for the year 8,891 12,745
Adjustments for:
Investment income recognised in the statement of financial activities (376) (178)
Loss/(gain) on disposal of property, plant & equipment (609) (546)
Depreciation and impairment of property, plant & equipment 78,398 81,703
Movements in working capital
Decrease / (increase) in trade & other receiveables 3,531 (6,916)
(Decrease) / increase in Creditors & other payables (2,966) 10,189
(Decrease) / increase in deferred income (30,000) (30,000)
Cash (absorbed by) / generated from operations 56,869 66,997
Investing activities
Purchase of property, plant & equipment (3,594) (16,110)
Proceeds on disposal of property, plant & equipment 1,300 1,000
Investment income received 376 178
Net cash used in investing activities (1,918) (14,932)
Financing activities
Proceeds of new bank loans - -
Repayment of bank loans (42,394) (70,218)
Net cash generated from financing activities (42,394) (70,218)
Net decrease in cash and cash equivalents 12,558 (18,153)
Cash and cash equivalents at beginning of year 17,977 36,130
Cash and cash equivalents at end of year 30,535 17,977

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Sound Church Ltd Notes to the Financial Statements For the year ended 31 August 2024

1. Accounting Policies

Basis of accounting

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

Sound Church Ltd 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 note(s).

Sound Church Ltd is a charitable company limited by guarantee incorporated in England and Wales.

These financial statements are prepared in Sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

Going concern

The Church is dependent upon the continued support of its congregation and its bankers to meet its on-going needs. The Trustees are confident that funding will continue to be forthcoming from the congregation members. Therefore, it is the opinion of the Trustees that the Church has adequate resources to continue its operational existence for the foreseeable future and the Trustees continue to adopt the going concern basis of accounting in preparing these financial statements.

Funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Incoming resources

All incoming resources are included in the statement of financial activities when the Charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation as unrestricted income.

Voluntary income is received by way of donations and gifts. It is shown in full in the Statement of Financial Activities when received.

In July 2019 the charity received the sum of £180,000 from a local housing association as an advance payment for use of the charity's car park. The remaining amount is shown as deferred income on the balance sheet, with the income being recognised at a rate of £30,000 per year over the 6 year lease period to July 2025.

Resources expended

Liabilities are recognised as resources expended when there is a legal or constructive obligation committing the Charity to the expenditure:

Taxation

The Trustees consider that none of the income of the charity is subject to UK taxation.

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Sound Church Ltd Notes to the Financial Statements Continued

For the year ended 31 August 2024

Tangible fixed assets

Tangible fixed assets, other than freehold land, are stated at cost or valuation less depreciation and any provision for impairment. Fixed assets that cost over £500 are capitalised in the accounts.

Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:

Freehold property - 2% on a straight line basis

Fixtures, fittings and equipment - 25% on a reducing balance basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset and is recognised in net income/(expenditure) for the year.

2. Income from donations and legacies

2024 2023
£ £
Unrestricted funds
Donations received 820,665 807,250
Comparative for Income from donations and legacies
Unrestricted Restricted
funds funds 2023
£ £ £
Donations received 791,237 16,013 807,250

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Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

4. Income earned from other activities

Unrestricted funds
Letting of Car Park
nvestment income
Unrestricted funds
Bank interest receivable
Other income
Unrestricted funds
Gain / loss on disposal of assets
osts of charitable activities by fund type
Advancement of Christian faith
Support costs		 Unrestricted
funds
£
471,155
425,353		 Restricted
funds
£
-
3,349		 2024
£
30,000		 2023
£
30,000
30,000 30,000
2024
£
376		 2023
£
178
376 178
2024
£
609		 2023
£
546
609 546
2024
£
471,155
428,702		 2023
£
459,294
421,581
896,508 3,349 899,857 880,875

5. Investment income

6. Other income

7. Costs of charitable activities by fund type

Comparison for costs of charitable activities by fund type

Advancement of Christian faith
Support costs		 Unrestricted
funds
Restricted funds
2023
£
£
£
459,294
-
459,294
408,917
12,664
421,581
868,211
12,664
880,875

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Sound Church Ltd Notes to the Financial Statements Continued

For the year ended 31 August 2024

Comparison for costs of charitable activities by activity type

Activities
directly Support
undertaken costs 2023
£ £ £
Advancement of Christian faith 459,294 421,581 880,875

9. Analysis of Grants

2024 2023
Community Action Team 5,237 136
Gilead - 3,000
Hillsong - 5,840
Rebuild Leaders 8,673 8,267
Trauma Recovery Centre 43,075 10,059
Other 5,454
14,926
62,440
42,228
~~2~~
Individuals 5,413 13,571

10. Analysis of Support costs

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Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

11. Staff costs and emoluments

12. Trustee remuneration and related party transactions

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Sound Church Ltd

Notes to the Financial Statements Continued For the year ended 31 August 2024

13. Comparative for the Statement of Financial Activities

Comparative for the Statement of Financial Activities
Income and endowments from:
Donations and legacies
Charitable activities
Other trading activities
Investments
Other income
Total
Expenditure on:
Charitable activities
Total
Net income
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
£
791,237
55,646
30,000
178
546		 Restricted
funds
£
16,013
-
-
-
-		 2023
£
807,250
55,646
30,000
178
546
877,607 16,013 893,620
(868,211) (12,664) (880,875)
(868,211) (12,664) (880,875)
9,396
2,212,652		 3,349
-		 12,745
2,212,652
2,222,048 3,349 2,225,397

14. Tangible fixed assets

Cost or valuation
At 01 September 2023
Additions
Disposals
At 31 August 2024
Depreciation
At 01 September 2023
Disposals
Charge for year
At 31 August 2024
Net book values
At 31 August 2024
At 31 August 2023		 Land and
Buildings
£
4,382,015
-
-		 Fixtures and
Fittings
£
209,436
3,594
(10,732)		 Total
£
4,591,451
3,594
(10,732)
4,382,015 202,298 4,584,313
228,495
-
65,440		 160,671
(10,042)
12,959		 389,166
(10,042)
78,399
293,935 163,588 457,523
4,088,080 38,710 4,126,790
4,153,520 48,765 4,202,285

23 of 28

Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

15. Debtors

Debtors
Amounts due within one year:
Trade debtors
Amounts due by group and associated undertakings
Prepayments and accrued income
Other debtors		 2024
£
3,676
4,104
11,060
230		 2023
£
-
1,944
19,817
840
19,070 22,601

16. Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
Loans and overdrafts
Trade creditors
Other creditors
PAYE & social security
Accruals and deferred income		 2024
£
59,573
4,015
8,947
37,202		 2023
£
45,130
2,205
7,178
46,812
109,737 101,325

24 of 28

Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

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

Creditors: amounts falling due after more than one year
Loans and overdrafts
Accruals and deferred income		 2024
£
1,832,369
-		 2023
£
1,889,205
26,935
1,832,369 1,916,140

B orrowings

2024 2023 £ £ Bank loans 1,891,941 1,934,335 Payable within one year 59,573 45,130 Payable after one year 1,832,369 1,889,205

The property loan from Stewardship Services (UKET) Ltd is secured on Freedom House, Lower Bristol Road, Bath, BA2 1EP and land lying west of Technology House, Lower Bristol Road, Bath, BA2 1EP. The property was remortgaged in February 2022 at an interest rate of 3.25% above the Bank of England Base Rate and is repayable over 19 years.

Deferred income

£ Deferred income at 1 September 2023 56,935 Deferred income released in the year (30,000) Deferred income at 31 August 2024 26,935

In July 2019 Sound Church entered into a lease agreement for the use of its Car Parking spaces. The full amount of the agreement, £180,000, was received upfront. This was deferred and is being released over the term of the lease.

18. Movement in funds

Restricted Funds

Boiler / roof fund Balance at
01/09/2023
£
3,349		 Incoming
resources
£
-		 Outgoing
resources
£
(3,349)		 Balance at
31/08/2024
£
-
3,349 - (3,349) -

25 of 28

Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

Restricted Funds - Previous year

Boiler / roof fund Balance at
01/09/2022
£
-		 Incoming
resources
£
16,013		 Outgoing
resources
£
(12,664)		 Balance at
31/08/2023
£
3,349
- 16,013 (12,664) 3,349

In the previous year boiler and roof repairs were carried out at Freedom House. A separate fund was created to record these transactions. The remaining funds at 31 August 2023 were used at the beginning of this year to complete the repairs required.

18. Analysis of net assets between funds

Unrestricted funds
General
General
Restricted funds
Previous year
Unrestricted funds
General
General
Restricted funds
Boiler / roof fund		 Intangible
fixed assets
Tangible
fixed assets
Net current
assets /
(liabilities)
Creditors >
one year
Net Assets
£
£
£
£
£
-
4,126,790
(60,133)
(1,832,369)
2,234,288
-
4,126,790
(60,133)
(1,832,369)
2,234,288
Intangible
fixed assets
Tangible
fixed assets
Net current
assets /
(liabilities)
Creditors >
one year
Net Assets
£
£
£
£
£
-
4,202,285
(64,097)
(1,916,140)
2,222,048
-
-
3,349
-
3,349
-
4,202,285
(60,748)
(1,916,140)
2,225,397

19. Company limited by guarantee

Sound Church Ltd is a company limited by guarantee and accordingly does not have a share capital.

26 of 28

Sound Church Ltd Notes to the Financial Statements Continued For the year ended 31 August 2024

21. Detailed Statement of Financial Activity

INCOME AND ENDOWMENT
Donations and legacies
Donations
Gift Aid
Charitable activities
Sales of Christian Resources
Cafe income
Youth & Student work income
Rental Income (Freedom House)
Other income
Church weekend away income
Other trading activities
Income from Letting of Car Park
Investments
Bank interest receivable
Other income
Gain / loss on disposal of assets
Total incoming resources
EXPENDITURE
Charitable activities
Staff costs - wages & salaries
Staff costs - social security costs
Staff costs - pension contributions
Pastoral expenses
Sunday catering & supplies
Youth Work
Childrens Work
Church weekend away
Events - other
Training & resources
Resources for resale & album costs
Grants to institutions
Grants to individuals
SUPPORT COSTS
Management
Depreciation
Garage rent & storage		 £
2024
689,416
131,249
820,665
1,161
5,934
5,231
19,201
14,154
11,417
57,098
30,000
30,000
376
376
609
609		 £
2023
673,114
134,136
807,250
1,365
4,181
7,618
19,200
13,240
10,042
55,646
30,000
30,000
178
178
546
546
908,748
(296,806)
(25,323)
(9,535)
(9,974)
(9,349)
(6,058)
(2,388)
(2,452)
(38,357)
(1,844)
(1,216)
(62,440)
(5,413)
(471,155)
(78,398)
(1,064)		 893,620
(297,190)
(21,377)
(8,165)
(10,903)
(10,906)
(6,924)
(1,595)
(9,561)
(33,580)
(2,407)
(887)
(42,228)
(13,571)
(459,294)
(81,703)
-

27 of 28

Sound Church Ltd

Notes to the Financial Statements Continued For the year ended 31 August 2024

Church & office equipment
Software, graphics & IT
Printing, postage & stationery
Telephone
Other office expenses (inc cleaning, H&S, website)
Utilities
Insurance
Travel & accommodation
Rates
Bank charges
Subscriptions
Loan interest
Building repairs & maintenance
Legal fees
Marketing
Governance costs
Wages and salaries
Accountancy fees
Audit fees
Legal fees
Total resources expended
Net Income		 (3,905)
(21,949)
(1,183)
(2,948)
(24,466)
(37,141)
(9,239)
(6,837)
(20,313)
(4,179)
(6,371)
(133,173)
(11,115)
(15,324)
(2,859)
(380,464)
(28,062)
(11,453)
(8,723)
-
(48,238)		 (2,611)
(19,837)
(2,320)
(2,909)
(22,947)
(47,082)
(8,425)
(7,534)
(14,929)
(3,734)
(4,566)
(98,596)
(36,570)
(17,780)
(1,260)
(372,803)
(27,708)
(10,740)
(8,315)
(2,015)
(48,778)
(899,857) (880,875)
8,891 12,745

28 of 28