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2020-12-31-accounts

REGISTERED CHARITY NUMBER: 1072264

Report of the Trustees and

Financial Statements for the Year Ended 31 December 2020

for

Champions Church

Altus Business Consulting Chartered Accountants 88-89 High Street Wordsley Stourbridge West Midlands DY8 5SB

Champions Church

Contents of the Financial Statements for the Year Ended 31 December 2020

Page
Report of the Trustees 1 to 4
Independent Examiner's Report 5
Statement of Financial Activities 6
Statement of Financial Position 7
Notes to the Financial Statements 8 to 15
Detailed Statement of Financial Activities 16 to 17

Champions Church

Report of the Trustees for the Year Ended 31 December 2020

The trustees present their report with the financial statements of the charity for the year ended 31 December 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Summary of objectives

A summary of the objectives of the charity set out in the governing documents are as follows:

i. The advancement of the Christian Faith in accordance with the doctrines set out in the governing document and the worship of God by any means whatsoever.

ii. The relief of persons who are in conditions of need, hardship or who are aged or sick.

iii. The advancement of education on the basis of Christian principles.

Significant Activities

Champions Church exists primarily to advance the Christian faith by the preaching and teaching of the bible as Gods word to mankind and as such teaches that each member is to worship God both corporately and individually by any means as an act of devotion to God.

Champions Church promotes that all men are equal before God and as such we are to share with all people in a practical way in order to alleviate hardship and distress without showing favouritism to anyone.

Champions Church provides opportunity to receive education based on Christian principles that will help them become better citizens and the opportunity to become champions for life.

During the year the Covid - 19 pandemic meant that the church building was closed for a significant period of the year. The church invested in further technology to be able to continue it's services, housegroups and other activities online. The church moved very quickly to fully live stream services which have continued throughout and are planned to continue into the future.

The levels of need within the local community increased dramatically during the pandemic and the church outreach programmes were expanded including the delivery of food/meals to well over 300 households each week.

By the end of 2020 church services had returned to 'in person' attendance but with reduced capacity, pre-registration required and Covid precautions. The live stream online services via, YouTube, the church website and facebook continue.

Social investments

The church holds two sunday morning services to worship God and for bible teaching. The church youth ministry runs on a Friday evening and a further gathering for young adults takes place on a Sunday evening.

Other activities include a weekly Soup Kitchen, Outreach Team, mentoring schemes run in a number of local primary and secondary schools. Champions Crèche and Champions Kids run alongside the Sunday morning services.

As already outlined the Covid 19 pandemic dictated a significant shift in the way these activities were delivered.

Objectives for the year

The church's objectives for the year are to regularly see people of all ages, background, race and culture brought to faith in Jesus Christ and regular attendance at the church through personal contact, advertising and promotion through community projects and website.

Page 1

Champions Church

for the Year Ended 31 December 2020

Report of the Trustees

OBJECTIVES AND ACTIVITIES

Grant making policies

Grants are made to individuals and organisations based on the following criteria;

During the year grants totalling £7,831 (2019: £9,622) were made to individuals and £6,793 (2019: £9,650) to institutions. Institution grants included Dream Center £6,793

Use of volunteers

Champions Church believes in giving as many people the opportunity to serve within the church and community in order to give them a sense of purpose and belonging in restoring hope to the community and creating a team spirit within the church. Many activities rely on individuals who serve on a voluntary basis. Well over 300 individuals are involved in voluntary activities in relation to worship services and community activities during the week.

ACHIEVEMENT AND PERFORMANCE

Fundraising activities

The church gains the vast majority of it's income in donations from it's congregation.

Public benefit

The charity trustees are satisfied that they have complied with the duty in section 4 of the Charities Act 2006 to have due regard to the public benefit guidance published by the Commission.

They consider that the activities detailed in the review of activities demonstrate public benefit.

FINANCIAL REVIEW

Financial position

The financial position of the Charity has strengthened during the year as giving has increased by

Principal funding sources

The principle source of funding for the charity is tithes, offerings and donations from its congregation. The church also received Government support from the furlough scheme during the year. Expenditure has been primarily towards the advancement of the Christian faith.

Reserves

At 31 December 2020 the charity had unrestricted funds totalling £1,686,733 (2019: £1,640,410) for use in achieving its objectives. the majority of these funds are tied up in the building and infrastructure of the church.

Restricted funds amounted to £458,522 (2019: £434,963)

Page 2

Champions Church

Report of the Trustees for the Year Ended 31 December 2020

FUTURE PLANS

  1. To promote the auditorium for conferences, presentations etc.

  2. To continue fund raising for the phase 3 of the building to incorporate expanded catering and church offices

  3. To increase the charity's circle of influence and effectiveness in meeting its aims and objectives by advertising to a wider audience during 2021 and 2022

  4. To continue to expand our outreach programmes into the community

  5. To continue to develop the growing schools work in the local area

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.

The Charity is an unincorporated trust which is governed by it's Trust document

Organisational structure

Trustees: For the ongoing running of the charity
Pastors support team: For the ongoing vision, direction and disciplines of the church. Headed by senior pastor.
Pastoral team: For the ongoing oversight of the church congregation with regard to pastoral issues.
Personal advice and counsel is given at this level.

New trustees

Recruitment of new trustees is from within the existing leadership of the church and is only open to those with a proven track record and credibility both within and outside the church.

The existing trustees discuss the nominations for the new trustees as put forward by the Senior Pastor. Counsel, with regard to the appointment of a new trustee may be sought from within the senior leadership of the church wherever necessary. Once approached, potential new trustees are given a period of time, set by the trustees, to consider the invitation. When a decision has been reached appropriate measures are taken to record and notify the relevant parties, including the charities commission.

The induction of new trustees takes place at the next meeting of the trustees where any information and training is given.

Related parties

Related party transactions have taken place in the year, as detailed in note 17 to the accounts.

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1072264

Principal address

83/84 Cinder Bank Netherton Dudley West Midlands DY2 9

Page 3

Champions Church

Report of the Trustees for the Year Ended 31 December 2020

Trustees

T Jackson M Burchell D Burchell (resigned 31.3.21) L Cartwright (resigned 31.3.21) N Mudenha (appointed 1.1.21)

Independent Examiner

Altus Business Consulting Chartered Accountants 88-89 High Street Wordsley Stourbridge West Midlands DY8 5SB

Bankers

Lloyds Bank Plc 114-116 Colmore Row Birmingham B3 3DP

Approved by order of the board of trustees on 29 October 2021 and signed on its behalf by:

T Jackson - Trustee

Page 4

Independent Examiner's Report to the Trustees of Champions Church

Independent examiner's report to the trustees of Champions Church

I report to the charity trustees on my examination of the accounts of Champions Church (the Trust) for the year ended 31 December 2020.

Responsibilities and basis of report

As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of Institute of Chartered Accountants in England and Wales which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Altus Business Consulting Ltd Institute of Chartered Accountants in England and Wales Altus Business Consulting Chartered Accountants 88-89 High Street Wordsley Stourbridge West Midlands DY8 5SB

29 October 2021

Page 5

Champions Church

Statement of Financial Activities

for the Year Ended 31 December 2020

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
Charitable activities
Youth & Children
Bookshop
Coffee shop
Other departments
Events
Building hire
Community activities
Total
EXPENDITURE ON
Charitable activities
Youth & Children
Coffee shop
Other departments
Pastoral and ministry
Missions work
Events
Building hire
Community activities
Building Management Costs
Total
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
458,690
2,394
-
7,820
677
2,973
150
2,608
475,312
3,182
4,955
1,070
278,965
16,675
2,977
-
15,117
106,048
428,989
46,323
1,640,410
1,686,733		 Restricted
funds
£
55,273
-
-
-
-
-
-
-
55,273
-
-
-
-
-
-
-
-
31,714
31,714
23,559
434,963
458,522		 31.12.20
Total
funds
£
513,963
2,394
-
7,820
677
2,973
150
2,608
530,585
3,182
4,955
1,070
278,965
16,675
2,977
-
15,117
137,762
460,703
69,882
2,075,373
2,145,255		 31.12.19
Total
funds
£
562,156
4,869
2,689
20,965
2,874
39,328
2,790
3,145
638,816
5,735
15,257
2,829
295,642
25,326
38,809
550
8,529
167,873
560,550
78,266
1,997,107
2,075,373

The notes on page 0 form part of these financial statements

Page 6

Champions Church

Statement of Financial Position

31 December 2020

Notes
FIXED ASSETS
Tangible assets
5
CURRENT ASSETS
Debtors
6
Cash at bank
CREDITORS
Amounts falling due within one year
7
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
CREDITORS
Amounts falling due after more than one year
8
NET ASSETS
FUNDS
12
Unrestricted funds
Restricted funds
TOTAL FUNDS		 Unrestricted
funds
£
3,858,827
13,312
18,684
31,996
(123,801)
(91,805)
3,767,022
(2,080,289 )
1,686,733		 Restricted
funds
£
444,729
-
13,793
13,793
-
13,793
458,522
-
458,522		 31.12.20
Total
funds
£
4,303,556
13,312
32,477
45,789
(123,801)
(78,012)
4,225,544
(2,080,289 )
2,145,255
1,686,733
458,522
2,145,255		 31.12.19
Total
funds
£
4,276,985
7,200
24,916
32,116
(100,932)
(68,816)
4,208,169
(2,132,796 )
2,075,373
1,640,410
434,963
2,075,373

The financial statements were approved by the Board of Trustees and authorised for issue on 29 October 2021 and were signed on its behalf by:

T Jackson - Trustee

The notes on page 0 form part of these financial statements

Page 7

Champions Church

Notes to the Financial Statements for the Year Ended 31 December 2020

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes including the charity's shop.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 20% on reducing balance Motor vehicles - 20% on reducing balance

Only fixed assets costing in excess of £1,000 are capitalised and valued at historic cost. All other assets are written off directly to the Statement of Financial Activities.

Taxation

The charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

continued...

Page 8

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

1. ACCOUNTING POLICIES - continued

Defined contribution pension schemes

The pension costs charged in the financial statements represent the contribution payable by the charity during the year.

Irrecoverable vat

Irrecoverable VAT is charged against the category of resources expended for which it was incurred.

2. TRUSTEES' REMUNERATION AND BENEFITS

TRUSTEES' REMUNERATION AND BENEFITS
31.12.20 31.12.19
£ £
Trustees' salaries 55,000 53,333
Trustees' social security 6,383 6,176
Trustees' pension contributions to money purchase schemes 1,313 -
62,696 59,509

Trustees' expenses

Travel and subsistence expenses of £400 (201: £2,100) was paid to one trustee during the year.

3. STAFF COSTS

The average monthly number of employees during the year was as follows:

4.

Pastoral and ministry
No employees received emoluments in excess of £60,000.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
467,479
Charitable activities
Youth & Children
4,869
Bookshop
2,689
Coffee shop
20,965
Other departments
2,874
Events
39,328
Building hire
2,790
Community activities
-
Total
540,994		 31.12.20
7
Restricted
funds
£
94,677
-
-
-
-
-
-
3,145
97,822		 31.12.19
7
Total
funds
£
562,156
4,869
2,689
20,965
2,874
39,328
2,790
3,145		 31.12.19
7
Total
funds
£
562,156
4,869
2,689
20,965
2,874
39,328
2,790
3,145
638,816

continued...

Page 9

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

4. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued

EXPENDITURE ON
Charitable activities
Youth & Children
Coffee shop
Other departments
Pastoral and ministry
Missions work
Events
Building hire
Community activities
Building Management Costs
Total
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
5.
TANGIBLE FIXED ASSETS
COST
At 1 January 2020
Additions
At 31 December 2020
DEPRECIATION
At 1 January 2020
Charge for year
At 31 December 2020
NET BOOK VALUE
At 31 December 2020
At 31 December 2019		 Freehold
property
£
4,200,433
23,088
4,223,521
-
-
-
4,223,521
4,200,433		 Unrestricted
funds
£
5,735
15,257
2,829
295,642
25,326
38,809
550
7,229
83,789
475,166
65,828
1,574,582
1,640,410
Fixtures
and
fittings
£
226,532
24,264
250,796
152,115
20,248
172,363
78,433
74,417		 Restricted
funds
£
-
-
-
-
-
-
-
1,300
84,084
85,384
12,438
422,525
434,963
Motor
vehicles
£
18,575
-
18,575
16,440
533
16,973
1,602
2,135		 Total
funds
£
5,735
15,257
2,829
295,642
25,326
38,809
550
8,529
167,873
560,550
78,266
1,997,107
2,075,373
Totals
£
4,445,540
47,352
4,492,892
168,555
20,781
189,336
4,303,556
4,276,985

continued...

Page 10

Champions Church

Notes to the Financial Statements-continued
for the Year Ended 31 December 2020
6.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Prepayments
7.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 9)
Finance leases (see note 10)
Taxation and social security
Other creditors
8.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Bank loans (see note 9)
Other creditors
9.
LOANS
An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank loan
Congregational Loans
Amounts falling between one and two years:
Bank loan
Amounts falling due between two and five years:
Bank loans - 2-5 years
Amounts falling due in more than five years:
Repayable by instalments:
Bank loans more 5 yr by instal
Repayable otherwise than by instalments:
Congregational Loans		 31.12.20
£
13,312
31.12.20
£
60,029
11,907
2,116
49,749
123,801

31.12.20
£
1,977,056
103,233
2,080,289
31.12.20
£
60,029
33,600
93,629
60,029
180,087
1,736,940
103,233		 31.12.19
£
7,200
31.12.19
£
54,866
-
6,131
39,935
100,932
31.12.19
£
2,002,363
130,433		 31.12.19
£
7,200
31.12.19
£
54,866
-
6,131
39,935
100,932
2,132,796
31.12.19
£
54,866
33,000
87,866
60,029
191,265
1,751,069
130,433

continued...

Page 11

Champions Church

Notes to the Financial Statements - continued

for the Year Ended 31 December 2020

10. LEASING AGREEMENTS

Minimum lease payments under finance leases fall due as follows:

Finance leases
31.12.20 31.12.19
£ £
Net obligations repayable:
Within one year 11,907 -
11. SECURED DEBTS
The following secured debts are included within creditors:
31.12.20 31.12.19
£ £
Bank loans 2,037,085 2,057,229

The bank loan is secured by a legal charge over the land and buildings known Champions Church at Cinderbank, Netherton, Dudley, West Midlands.

12. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Restricted funds
Building fund
TOTAL FUNDS
Net movement in funds, included in the above are as follows:
Unrestricted funds
General fund
Restricted funds
Building fund
TOTAL FUNDS		 At 1.1.20
£
1,640,410
434,963
2,075,373
Incoming
resources
£
475,312
55,273
530,585		 Net
movement
in funds
£
46,323
23,559
69,882
Resources
expended
£
(428,989)
(31,714)
(460,703)		 At
31.12.20
£
1,686,733
458,522		 At
31.12.20
£
1,686,733
458,522
2,145,255
Movement
in funds
£
46,323
23,559
69,882
69,882

continued...

Page 12

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

12. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.1.19
£
Unrestricted funds
General fund
1,574,582
Restricted funds
Building fund
422,525
Community Fund
-
422,525
TOTAL FUNDS
1,997,107
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
540,994
Restricted funds
Building fund
94,677
Community Fund
3,145
97,822
TOTAL FUNDS
638,816		 Net
movement
in funds
£
65,828
10,593
1,845
12,438
78,266
Resources
expended
£
(475,166)
(84,084)
(1,300)
(85,384)
(560,550)		 At
31.12.19
£
1,640,410
433,118
1,845		 At
31.12.19
£
1,640,410
433,118
1,845
434,963
2,075,373
Movement
in funds
£
65,828
10,593
1,845
12,438
78,266
12,438
78,266

continued...

Page 13

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

12. MOVEMENT IN FUNDS - continued

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
Restricted funds
Building fund
Community Fund
TOTAL FUNDS		 At 1.1.19
£
1,574,582
422,525
-
422,525
1,997,107		 Net
movement
in funds
£
112,151
34,152
1,845
35,997
148,148		 At
31.12.20
£
1,686,733
456,677
1,845
458,522
2,145,255

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 1,016,306 (904,155) 112,151
Restricted funds
Building fund 149,950 (115,798) 34,152
Community Fund 3,145 (1,300) 1,845
153,095 (117,098) 35,997
TOTAL FUNDS 1,169,401 (1,021,253 ) 148,148

13. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2020.

continued...

Page 14

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2020

14. OTHER LOANS

The loans from congregation members represent amounts from three members of the congregation. These loans have no interest. One loan will be fully repaid within one year, one has a repayment schedule over 3 years and one has no repayment date.

Page 15

Champions Church

Detailed Statement of Financial Activities for the Year Ended 31 December 2020

Detailed Statement of Financial Activities
for the Year Ended 31 December 2020
31.12.20 31.12.19
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Building donations 55,275 94,678
Church donations 382,699 401,925
Gift aid refunds 61,974 65,553
Grants 14,015 -
513,963 562,156
Charitable activities
Youth & Children's 2,394 4,869
Bookshop - 2,689
Coffee shop 7,820 20,965
Other departments income 677 2,874
Events 2,973 39,328
Building hire 150 2,790
Community activities 2,608 3,145
16,622 76,660
Total incoming resources 530,585 638,816
EXPENDITURE
Charitable activities
Trustees' salaries 55,000 53,333
Trustees' social security 6,383 6,176
Trustees' pension contributions 1,313 -
Wages 146,536 141,260
Social security 10,900 8,049
Pensions 1,599 2,933
Youth & Children 3,182 5,735
Coffee shop 4,955 15,257
Other departments 1,070 2,829
Events 2,977 38,809
Building hire - 550
Community activities 15,117 8,529
Service Costs 16,028 9,566
Grants to institutions 6,793 9,650
Grants to individuals 9,882 16,977
281,735 319,653

This page does not form part of the statutory financial statements

Page 16

Champions Church

Detailed Statement of Financial Activities for the Year Ended 31 December 2020

Detailed Statement of Financial Activities
for the Year Ended 31 December 2020
31.12.20 31.12.19
£ £
Support costs
Management
Equipment hire 11,016 20,882
Rates and water 3,426 3,183
Light and heat 21,535 19,735
Advertising 3,032 9,726
Rent 6,623 8,365
Repairs and maintenance 13,510 16,334
Insurance 14,376 15,290
Motor and travelling costs 1,454 30,290
Legal and professional fees - 544
Other office expenses 23,068 25,896
Depreciation and impairment 20,782 21,389
118,822 171,634
Governance costs
Auditors' remuneration - 2,000
Bank Charges 2,636 4,568
Mortgage 57,510 62,695
60,146 69,263
Total resources expended 460,703 560,550
Net income 69,882 78,266

This page does not form part of the statutory financial statements

Page 17