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2021-12-31-accounts

REGISTERED CHARITY NUMBER: 1072264

Report of the Trustees and

Financial Statements for the Year Ended 31 December 2021

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 2021

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 2021

The trustees present their report with the financial statements of the charity for the year ended 31 December 2021. 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.

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.

Social investments

Since returning to full services after the Covid 19 pandemic the church currently holds one sunday morning service 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.

Prayer meetings are held three times each week and life groups meet every two weeks in congregational homes.

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.

Annual conferences for men and women along with regular events are held. There are mentoring courses for both men an women running throughout the year.

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 2021

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 £6,135 (2020: £9,882) were made to individuals and £25,000 (2020: £6,793) to institutions. Institution grants included Dream Center £15,000 and Soul Church Norwich £10,000.

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

Giving to the church increased by 13% over the 2020 year. This is partly explained by the recovery after the Covid 19 pandemic but also due to increased giving to the phase 3 building project. Overall income increased by 21% due to the fact that annual events that had not been possible during the pandemic could be held again.

The overall position of the charity has strengthened during the pandemic and overall giving has now returned to above pre-pandemic levels.

The charity benefited from a 12 month capital holiday on it's mortgage from May 2020, as an assistance during the pandemic, ending in April 2021. Full repayments on the mortgage resumed during the year.

The trustees are satisfied that the charity has come through the pandemic period in a good financial position.

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.

Page 2

Champions Church

for the Year Ended 31 December 2021

Report of the Trustees

FINANCIAL REVIEW

Reserves

At 31 December 2021 the charity had unrestricted funds totalling £1,737,164 (2020: £1,686,733) 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 £570,562 (2020: £458,522) - these mainly tied up in the building infrastructure of the church.

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 full service coffee shop/meeting place, seminar room 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 2022 and 2023

  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

No related party transactions have taken place in the year

REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number

1072264

Page 3

Champions Church

Report of the Trustees

for the Year Ended 31 December 2021

Principal address

83/84 Cinder Bank Netherton Dudley West Midlands DY2 9

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 27 October 2022 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 2021.

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

27 October 2022

Page 5

Champions Church

Statement of Financial Activities

for the Year Ended 31 December 2021

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
Charitable activities
Youth & Children
Coffee shop
Other departments
Events
Building hire
Community activities
Investment income
2
Total
EXPENDITURE ON
Charitable activities
Youth & Children
Coffee shop
Other departments
Pastoral and ministry
Missions work
Events
Community activities
Building Management Costs
Total
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
461,218
4,496
13,606
4,385
30,542
2,470
6,622
5
523,344
4,997
9,170
3,924
241,827
31,135
25,566
8,790
147,504
472,913
50,431
1,686,733
1,737,164		 Restricted
funds
£
121,728
-
-
-
-
-
-
-
121,728
-
-
-
-
-
-
-
9,688
9,688
112,040
458,522
570,562		 31.12.21
Total
funds
£
582,946
4,496
13,606
4,385
30,542
2,470
6,622
5
645,072
4,997
9,170
3,924
241,827
31,135
25,566
8,790
157,192
482,601
162,471
2,145,255
2,307,726		 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

The notes on page 0 form part of these financial statements

Page 6

Champions Church

Statement of Financial Position

31 December 2021

Notes
FIXED ASSETS
Tangible assets
6
CURRENT ASSETS
Debtors
7
Cash at bank
CREDITORS
Amounts falling due within one year
8
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
CREDITORS
Amounts falling due after more than one year
9
NET ASSETS
FUNDS
13
Unrestricted funds
Restricted funds
TOTAL FUNDS		 Unrestricted
funds
£
3,859,043
5,654
21,314
26,968
(140,201)
(113,233)
3,745,810
(2,008,646 )
1,737,164		 Restricted
funds
£
492,325
-
78,237
78,237
-
78,237
570,562
-
570,562		 31.12.21
Total
funds
£
4,351,368
5,654
99,551
105,205
(140,201)
(34,996)
4,316,372
(2,008,646 )
2,307,726
1,737,164
570,562
2,307,726		 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

The financial statements were approved by the Board of Trustees and authorised for issue on 27 October 2022 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 2021

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 2021

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. INVESTMENT INCOME

3.

INVESTMENT INCOME
31.12.21 31.12.20
£ £
Bank interest receivable 5 -
TRUSTEES' REMUNERATION AND BENEFITS
31.12.21 31.12.20
£ £
Trustees' salaries 55,000 55,000
Trustees' social security 6,383 6,383
Trustees' pension contributions to money purchase schemes 1,313 1,313
62,696 62,696

Trustees' expenses

Travel and subsistence expenses of £1,014 (2020: £400) was paid to one trustee during the year.

4. STAFF COSTS

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

31.12.21 31.12.20
Pastoral and ministry 7 7
No employees received emoluments in excess of £60,000.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted Restricted Total
funds funds funds
£ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 458,690 55,273 513,963
Charitable activities
Youth & Children 2,394 - 2,394
Coffee shop 7,820 - 7,820
Other departments 677 - 677
Events 2,973 - 2,973
Building hire 150 - 150
Community activities 2,608 - 2,608

5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

continued...

Page 9

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

5.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
Restricted
funds
funds
£
£
Total
475,312
55,273
EXPENDITURE ON
Charitable activities
Youth & Children
3,182
-
Coffee shop
4,955
-
Other departments
1,070
-
Pastoral and ministry
278,965
-
Missions work
16,675
-
Events
2,977
-
Community activities
15,117
-
Building Management Costs
106,048
31,714
Total
428,989
31,714
NET INCOME
46,323
23,559
RECONCILIATION OF FUNDS
Total funds brought forward
1,640,410
434,963
TOTAL FUNDS CARRIED FORWARD
1,686,733
458,522		 Total
funds
£
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

continued...

Page 10

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

6. TANGIBLE FIXED ASSETS

Fixtures
Freehold
and
property
fittings
£
£
COST
At 1 January 2021
4,223,521
250,796
Additions
47,596
26,033
At 31 December 2021
4,271,117
276,829
DEPRECIATION
At 1 January 2021
-
172,363
Charge for year
-
25,416
At 31 December 2021
-
197,779
NET BOOK VALUE
At 31 December 2021
4,271,117
79,050
At 31 December 2020
4,223,521
78,433
7.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other debtors
Prepayments
8.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Bank loans and overdrafts (see note 10)
Finance leases (see note 11)
Taxation and social security
Other creditors		 Motor
vehicles
£
18,575
-
18,575
16,973
401
17,374
1,201
1,602
31.12.21
£
654
5,000
5,654
31.12.21
£
60,029
12,000
22,328
45,844
140,201		 Totals
£
4,492,892
73,629		 Totals
£
4,492,892
73,629
4,566,521
189,336
25,817
215,153
4,351,368
4,303,556
31.12.20
£
-
13,312
13,312
31.12.20
£
60,029
11,907
2,116
49,749
123,801

continued...

Page 11

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

9. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

Bank loans (see note 10)
Finance leases (see note 11)
Other creditors
10.
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
11.
LEASING AGREEMENTS		 31.12.21
£
1,935,646
3,000
70,000
2,008,646
31.12.21
£
60,029
32,033
92,062
60,029
180,087
1,695,530
70,000		 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

Minimum lease payments under finance leases fall due as follows:

Finance leases
31.12.21 31.12.20
£ £
Net obligations repayable:
Within one year 12,000 11,907
Between one and five years 3,000 -
15,000 11,907

continued...

Page 12

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

12. SECURED DEBTS

The following secured debts are included within creditors:

31.12.21 31.12.20
£ £
Bank loans 1,995,675 2,037,085

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

13. 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 1.1.21
£
1,686,733
458,522
2,145,255
Incoming
resources
£
523,344
121,728
645,072		 Net
movement
in funds
£
50,431
112,040
162,471
Resources
expended
£
(472,913)
(9,688)
(482,601)		 At
31.12.21
£
1,737,164
570,562		 At
31.12.21
£
1,737,164
570,562
2,307,726
Movemen
in funds
£
50,431
112,040
162,471
162,471

continued...

Page 13

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

13. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.1.20
£
Unrestricted funds
General fund
1,640,410
Restricted funds
Building fund
434,963
TOTAL FUNDS
2,075,373
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
475,312
Restricted funds
Building fund
55,273
TOTAL FUNDS
530,585
A current year 12 months and prior year 12 months combined position is as follows:
At 1.1.20
£
Unrestricted funds
General fund
1,640,410
Restricted funds
Building fund
434,963
TOTAL FUNDS
2,075,373		 Net
movement
in funds
£
46,323
23,559
69,882
Resources
expended
£
(428,989)
(31,714)
(460,703)
Net
movement
in funds
£
96,754
135,599
232,353		 At
31.12.20
£
1,686,733
458,522
2,145,255
Movement
in funds
£
46,323
23,559
69,882
At
31.12.21
£
1,737,164
570,562
2,307,726

continued...

Page 14

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2021

13. MOVEMENT IN FUNDS - continued

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

Incoming
resources
£
Unrestricted funds
General fund
998,656
Restricted funds
Building fund
177,001
TOTAL FUNDS
1,175,657		 Resources
Movement
expended
in funds
£
£
(901,902)
96,754
(41,402)
135,599
(943,304)
232,353		 Resources
Movement
expended
in funds
£
£
(901,902)
96,754
(41,402)
135,599
(943,304)
232,353
232,353

14. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2021.

15. OTHER LOANS

The loans from congregation members represent amounts from two members of the congregation. These loans have no interest. One loan is being repaid with a final repayment date of March 2023, Two loans have no repayment schedule.

Page 15

Champions Church

Detailed Statement of Financial Activities for the Year Ended 31 December 2021

Detailed Statement of Financial Activities
for the Year Ended 31 December 2021
31.12.21 31.12.20
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Building donations 121,730 55,275
Church donations 381,467 382,699
Gift aid refunds 67,130 61,974
Grants 12,619 14,015
582,946 513,963
Investment income
Bank interest receivable 5 -
Charitable activities
Youth & Children's 4,496 2,394
Coffee shop 13,606 7,820
Other departments income 4,385 677
Events 30,542 2,973
Building hire 2,470 150
Community activities 6,622 2,608
62,121 16,622
Total incoming resources 645,072 530,585
EXPENDITURE
Charitable activities
Trustees' salaries 55,000 55,000
Trustees' social security 6,383 6,383
Trustees' pension contributions 1,313 1,313
Wages 135,888 146,536
Social security 6,979 10,900
Pensions 1,500 1,599
Youth & Children 4,997 3,182
Coffee shop 9,170 4,955
Other departments 3,924 1,070
Events 25,566 2,977
Community activities 8,790 15,117
Service Costs 10,476 16,028
Grants to institutions 25,000 6,793
Grants to individuals 6,135 9,882
301,121 281,735

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 2021

Detailed Statement of Financial Activities
for the Year Ended 31 December 2021
31.12.21 31.12.20
£ £
Support costs
Management
Equipment hire 12,240 11,016
Rates and water 3,249 3,426
Light and heat 23,936 21,535
Advertising 3,233 3,032
Rent 4,296 6,623
Repairs and maintenance 17,001 13,510
Insurance 14,977 14,376
Motor and travelling costs 3,231 1,454
Other office expenses 15,727 23,068
Depreciation and impairment 25,817 20,782
123,707 118,822
Governance costs
Bank Charges 2,097 2,636
Mortgage 55,676 57,510
57,773 60,146
Total resources expended 482,601 460,703
Net income 162,471 69,882

This page does not form part of the statutory financial statements

Page 17