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2022-12-31-accounts

REGISTERED CHARITY NUMBER: 1072264

Report of the Trustees and

Financial Statements for the Year Ended 31 December 2022

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 2022

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 2022

The trustees present their report with the financial statements of the charity for the year ended 31 December 2022. 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.

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 2022

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 £11,630 (2021: £6,135) were made to individuals and £3,344 (2021: £25,000) to institutions. Institution grants included Compassion £1,344; Nissi Homes £2,000.

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 250 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

Unrestricted giving to the church increased by 3.7% compared to the 2021 year. However, restricted giving to the building fund project fell and this is major contributor to the fact that the overall income fell by 4.4%.

Covid grants ceased which had accounted for almost £10,000 of income in the 2021 year.

The church held its first Youth Weeekend in September 2022, commencing with a Schools Tour culminating in over 800 secondary school aged young people attending the church for a Friday evening concert. The event was highly successful and has justified the £10,000 investment. A larger event is now planned for 2023.

Overall costs increased during the year increased including an additional member of staff. However, the church has been protected from the worst of the increases in energy costs due to a fixed deal which runs through to March 2024.

The trustees are satisfied with the financial position of the charity given the post Covid challenges.

Principal funding sources

The principle source of funding for the charity is tithes, offerings and donations from its congregation. Expenditure has been primarily towards the advancement of the Christian faith.

Page 2

Champions Church

for the Year Ended 31 December 2022

Report of the Trustees

FINANCIAL REVIEW

Reserves

At 31 December 2022 the charity had unrestricted funds totalling £1,719,536 (2021: £1,737,164) 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 £652,826 (2021: £570,562) - 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 2023 and 2024

  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 2022

Principal address

83/84 Cinder Bank Netherton Dudley West Midlands DY2 9

Trustees

T Jackson M Burchell N Mudenha (resigned 30.4.23)

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 3 May 2023 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 2022.

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 member of the 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 The Institute of Chartered Accountants in England and Wales

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

3 May 2023

Page 5

Champions Church

Statement of Financial Activities

for the Year Ended 31 December 2022

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/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
Unrestricted
funds
£
456,562
16,230
21,350
3,131
34,479
2,540
-
10
534,302
26,149
15,705
3,269
309,928
15,333
33,907
4,301
143,338
551,930
(17,628)
1,737,164
1,719,536
Restricted
funds
£
82,264
-
-
-
-
-
-
-
82,264
-
-
-
-
-
-
-
-
-
82,264
570,562
652,826
31.12.22
Total
funds
£
538,826
16,230
21,350
3,131
34,479
2,540
-
10
616,566
26,149
15,705
3,269
309,928
15,333
33,907
4,301
143,338
551,930
64,636
2,307,726
2,372,362
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

The notes on page 0 form part of these financial statements

Page 6

Champions Church

Statement of Financial Position

31 December 2022

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
£
3,775,584
20,654
20,760
41,414
(136,860)
(95,446)
3,680,138
(1,960,602 )
1,719,536
Restricted
funds
£
604,716
-
48,110
48,110
-
48,110
652,826
-
652,826
31.12.22
Total
funds
£
4,380,300
20,654
68,870
89,524
(136,860)
(47,336)
4,332,964
(1,960,602 )
2,372,362
1,719,536
652,826
2,372,362
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

The financial statements were approved by the Board of Trustees and authorised for issue on 3 May 2023 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 2022

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 2022

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
31.12.22 31.12.21
£ £
Bank interest receivable 10 5
TRUSTEES' REMUNERATION AND BENEFITS
31.12.22 31.12.21
£ £
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

Rev Mark Burchell receives a salary in his role as Senior Pastor and not for his Trustee responsibilities

Trustees' expenses

Travel and subsistence expenses of £1,377 (2021: £1,014) was paid to one trustee during the year.

4. STAFF COSTS

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

31.12.22 31.12.21
Pastoral and ministry 7 7
No employees received emoluments in excess of £60,000.
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted Restricted Total
funds funds funds
£ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 461,218 121,728 582,946
Charitable activities
Youth & Children 4,496 - 4,496
Coffee shop 13,606 - 13,606
Other departments 4,385 - 4,385
Events 30,542 - 30,542
Building hire 2,470 - 2,470
Community activities 6,622 - 6,622

continued...

Page 9

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

5.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
Restricted
funds
funds
£
£
Investment income
5
-
Total
523,344
121,728
EXPENDITURE ON
Charitable activities
Youth & Children
4,997
-
Coffee shop
9,170
-
Other departments
3,924
-
Pastoral and ministry
241,827
-
Missions work
31,135
-
Events
25,566
-
Community activities
8,790
-
Building Management Costs
147,504
9,688
Total
472,913
9,688
NET INCOME
50,431
112,040
RECONCILIATION OF FUNDS
Total funds brought forward
1,686,733
458,522
TOTAL FUNDS CARRIED FORWARD
1,737,164
570,562
Total
funds
£
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

continued...

Page 10

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

6. TANGIBLE FIXED ASSETS

Fixtures
Freehold
and
property
fittings
£
£
COST
At 1 January 2022
4,271,116
276,829
Additions
25,521
31,300
At 31 December 2022
4,296,637
308,129
DEPRECIATION
At 1 January 2022
-
197,779
Charge for year
-
27,588
At 31 December 2022
-
225,367
NET BOOK VALUE
At 31 December 2022
4,296,637
82,762
At 31 December 2021
4,271,116
79,050
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
17,374
300
17,674
901
1,201
31.12.22
£
20,654
-
20,654
31.12.22
£
60,029
9,720
33,034
34,077
136,860
Totals
£
4,566,520
56,821
Totals
£
4,566,520
56,821
4,623,341
215,153
27,888
243,041
4,380,300
4,351,367
31.12.21
£
654
5,000
5,654
31.12.21
£
60,029
12,000
22,328
45,844
140,201

continued...

Page 11

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

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
31.12.22
£
1,877,804
12,798
70,000
1,960,602
31.12.22
£
60,029
12,433
72,462
60,029
180,087
1,637,688
70,000
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

Minimum lease payments under finance leases fall due as follows:

Finance leases
31.12.22 31.12.21
£ £
Net obligations repayable:
Within one year 9,720 12,000
Between one and five years 12,798 3,000
22,518 15,000

continued...

Page 12

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

12. SECURED DEBTS

The following secured debts are included within creditors:

31.12.22 31.12.21
£ £
Bank loans 1,937,833 1,995,675

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 1.1.22
£
1,737,164
570,562
2,307,726
Incoming
resources
£
534,302
82,264
616,566
Net
movement
in funds
£
(17,628)
82,264
64,636
Resources
expended
£
(551,930)
-
(551,930)
At
31.12.22
£
1,719,536
652,826
2,372,362
Movement
in funds
£
(17,628)
82,264
64,636

continued...

Page 13

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

13. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

At 1.1.21
£
Unrestricted funds
General fund
1,686,733
Restricted funds
Building fund
458,522
TOTAL FUNDS
2,145,255
Comparative net movement in funds, included in the above are as follows:
Incoming
resources
£
Unrestricted funds
General fund
523,344
Restricted funds
Building fund
121,728
TOTAL FUNDS
645,072
A current year 12 months and prior year 12 months combined position is as follows:
At 1.1.21
£
Unrestricted funds
General fund
1,686,733
Restricted funds
Building fund
458,522
TOTAL FUNDS
2,145,255
Net
movement
in funds
£
50,431
112,040
162,471
Resources
expended
£
(472,913)
(9,688)
(482,601)
Net
movement
in funds
£
32,803
194,304
227,107
At
31.12.21
£
1,737,164
570,562
2,307,726
Movement
in funds
£
50,431
112,040
162,471
At
31.12.22
£
1,719,536
652,826
2,372,362

continued...

Page 14

Champions Church

Notes to the Financial Statements - continued for the Year Ended 31 December 2022

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 Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 1,057,646 (1,024,843 ) 32,803
Restricted funds
Building fund 203,992 (9,688) 194,304
TOTAL FUNDS 1,261,638 (1,034,531 ) 227,107

14. RELATED PARTY DISCLOSURES

In her role as Senior Pastor Mrs Gillian Burchell received a salary, she is the spouse of Senior Pastor and Trustee Mark Burchell.

In his role as Youth Pastor Mr Caleb Burchell received a salary, he is the son of Trustee Mark Burchell

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 2022

Detailed Statement of Financial Activities
for the Year Ended 31 December 2022
31.12.22 31.12.21
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Building donations 82,265 121,730
Church donations 395,412 381,467
Gift aid refunds 61,149 67,130
Grants - 12,619
538,826 582,946
Investment income
Bank interest receivable 10 5
Charitable activities
Youth & Children's 16,230 4,496
Coffee shop 21,350 13,606
Other departments income 3,131 4,385
Events 34,479 30,542
Building hire 2,540 2,470
Community activities - 6,622
77,730 62,121
Total incoming resources 616,566 645,072
EXPENDITURE
Charitable activities
Trustees' salaries 55,000 55,000
Trustees' social security 6,383 6,383
Trustees' pension contributions 1,313 1,313
Wages 162,971 135,888
Social security 9,909 6,979
Pensions 1,654 1,500
Youth & Children 26,149 4,997
Coffee shop 15,705 9,170
Other departments 3,269 3,924
Events 33,907 25,566
Community activities 4,301 8,790
Service Costs 11,176 10,476
Grants to institutions 3,344 25,000
Grants to individuals 11,630 6,135
346,711 301,121

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 2022

Detailed Statement of Financial Activities
for the Year Ended 31 December 2022
31.12.22 31.12.21
£ £
Support costs
Management
Equipment hire 15,912 12,240
Rates and water 4,047 3,249
Light and heat 25,976 23,936
Advertising 1,135 3,233
Rent 4,905 4,296
Repairs and maintenance 15,010 17,001
Insurance 13,811 14,977
Motor and travelling costs 8,294 3,231
Other office expenses 20,672 15,727
Depreciation and impairment 27,888 25,817
137,650 123,707
Governance costs
Bank Charges 2,057 2,097
Mortgage 65,512 55,676
67,569 57,773
Total resources expended 551,930 482,601
Net income 64,636 162,471

This page does not form part of the statutory financial statements

Page 17