REGISTERED CHARITY NUMBER: 1073906
REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021 FOR NORTH WEST KENT MUSLIM ASSOCIATION
Adams and Moore Chartered Certified Accountants Adams and Moore House Instone Road Dartford KENT DA1 2AG
NORTH WEST KENT MUSLIM ASSOCIATION
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021
| Page | |
|---|---|
| Report of the Trustees | 1 to 3 |
| Independent Examiner's Report | 4 |
| Statement of Financial Activities | 5 |
| Balance Sheet | 6 |
| Notes to the Financial Statements | 7 to 12 |
| Detailed Statement of Financial Activities | 13 |
NORTH WEST KENT MUSLIM ASSOCIATION
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021
The trustees present their report with the financial statements of the charity for the year ended 30 June 2021. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) 'Accounting and Reporting by Charities' issued in March 2005.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 1073906
Principal address
NORTH WEST KENT MUSLIM ASSOCIATION 6O CRAYFORD HIGH STREET DARTFORD DA1 4EF
Page 1
NORTH WEST KENT MUSLIM ASSOCIATION
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021
REFERENCE AND ADMINISTRATIVE DETAILS Trustees
The trustees present their report and financial statements for the year ended 30 June 2021
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's [governing document], the Charities Act 2011 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 Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016)
Objectives and activities
The charity exists for the benefit of the public, especially Muslim inhabitants of North West Kent (which includes Dartford, Crayford, Swanley, Bexley and surrounding areas). T here has been no change to this during the year.
The specific aims of the charity are:-
a) To advance the Islamic religion.
b) To advance the education in accordance with the tenets and doctrines of Islam.
c) To relieve Muslims and others who are in need by reason of poverty, sickness and/or distress.
d) To provide and assist in the provision of facilities for recreation and other leisure time occupations in the interest of social welfare and with the objective of improving conditions of life of the said inhabitants. The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Achievements and performance
Financial review
During the year the charity raised donations of £61,068 (2020: £63,782 ). The total resources expended amounted to £24,684 (2020: £61,061).
There was a net surplus, that increases the reserves held by the charity of £36,384.58 (2020: £2,721).
This year sees the continuation of a programme of improvements, and alterations to the property. Over a 4 year period, from 2017, it is envisaged that approximately £150,000 will be spent on the internal space and external look of the premises. All of this expenditure is viewed as revenue expense and will be met in part from donations and also a reduction in the unrestricted fund balance.
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The trustees has 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 trustees who served during the year and up to the date of signature of the financial statements were: Mr L Wahed
Mr S S Alum Mr M A Munim
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
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NORTH WEST KENT MUSLIM ASSOCIATION
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021
REFERENCE AND ADMINISTRATIVE DETAILS Independent examiner
Adams and Moore Chartered Certified Accountants Adams and Moore House Instone Road Dartford KENT DA1 2AG
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes an unincorporated charity.
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
ACHIEVEMENT AND PERFORMANCE Charitable activities
During the pandemic a 24/7 helpline was set up to help and support diverse community and residents of Dartford Borough Council and Borough of Bexley Council.
The services included:
-
24/7 phone line to assist any member of community in deed regardless of any ethnic background or religion
-
Providing a friendly phone service to help people that may be isolated or lonely
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Referring members of the community to correct services in time of needs
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Food parcel delivery free of charge to residents who are having difficulty to cope
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Assist with shopping and delivery
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Posting mail/parcel
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Online tutoring
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Prescription's collection
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Advice and counselling
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Provided NHS staff with food at Darent Valley Hospital
We worked in liaison with;
Bexley Help line (Bexley council services), rethink mental health (helping Syrian refugee family), Healthy Living Centre (Dartford), daily Bazar halal grocery shop, Help the aged, Kent together (Dartford council services), Age UK (North West Kent), Crayford Baptist Church, Age UK (Bexley) Samaritans 24 hour Help line counselling.
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
............................................. S Alum - Trustee
Page 3
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF NORTH WEST KENT MUSLIM ASSOCIATION
I report on the accounts for the year ended 30 June 2021, which are set out on pages five to twelve.
Responsibilities and basis of report
As the charity's trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I have examined your charity's accounts as required under section 145 of the Charities Act 2011 ('the Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
My role is to state whether any material matters have come to my attention giving me cause to believe:
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that accounting records were not kept as required by section 130 of the Act; or
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that the accounts do not accord with those records; or
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that the accounts do not comply with the accounting requirements of the Act; or
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that there is further information needed for a proper understanding of the accounts.
Independent examiner's statement
I have completed my examination and have no concerns in respect of the matters (1) to (4) listed above and, in connection with following the Directions of the Charity Commission I have found no matters that require drawing to your attention.
Adams and Moore Chartered Certified Accountants Adams and Moore House Instone Road Dartford KENT DA1 2AG
Date: .............................................
Page 4
NORTH WEST KENT MUSLIM ASSOCIATION
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 JUNE 2021
| 30.6.21 | 30.6.20 | ||
|---|---|---|---|
| Unrestricted | Total funds | ||
| fund | |||
| Notes | £ | £ | |
| INCOMING RESOURCES | |||
| Incoming resources from generated funds | |||
| Voluntary income | 61,068 | 63,782 | |
| RESOURCES EXPENDED | |||
| Costs of generating funds | |||
| Costs of generating voluntary income | 2 | 7,247 | 31,234 |
| Investment management costs | 3 | 3,540 | 14,090 |
| Charitable activities | |||
| Charitable Activity | 13,897 | 15,737 | |
| Total resources expended | 24,684 | 61,061 | |
| NET INCOMING RESOURCES | 36,384 | 2,721 | |
| RECONCILIATION OF FUNDS | |||
| Total funds brought forward | 483,414 | 480,693 | |
| TOTAL FUNDS CARRIED FORWARD | 519,798 | 483,414 |
The notes form part of these financial statements
Page 5
NORTH WEST KENT MUSLIM ASSOCIATION
BALANCE SHEET AT 30 JUNE 2021
| 30.6.21 | 30.6.20 | ||
|---|---|---|---|
| Unrestricted | Total funds | ||
| fund | |||
| Notes | £ | £ | |
| FIXED ASSETS | |||
| Tangible assets | 6 | 457,005 | 457,682 |
| Investment property | 7 | 10,000 | 10,000 |
| 467,005 | 467,682 | ||
| CURRENT ASSETS | |||
| Cash at bank and in hand | 62,793 | 25,732 | |
| CREDITORS | |||
| Amounts falling due within one year | 8 | (10,000) | (10,000) |
| NET CURRENT ASSETS | 52,793 | 15,732 | |
| TOTAL ASSETS LESS CURRENT | |||
| LIABILITIES | 519,798 | 483,414 | |
| NET ASSETS | 519,798 | 483,414 | |
| FUNDS | 9 | ||
| Unrestricted funds | 519,798 | 483,414 | |
| TOTAL FUNDS | 519,798 | 483,414 |
The financial statements were approved by the Board of Trustees on ............................................. and were signed on its behalf by:
............................................. S Alum -Trustee
The notes form part of these financial statements
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021
1. ACCOUNTING POLICIES
Accounting convention
The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 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 Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Restricted funds , when held, 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
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
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.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes.
Resources expended
Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs 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.
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life .
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 30 JUNE 2021
1. ACCOUNTING POLICIES - continued
Accounting convention
Land and buildings Not depreciated Plant and machinery 20% reducing balance
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.
Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually, and whenever there is an indication that the asset may be impaired.
Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p yamen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Taxation
The charity is exempt from tax on its charitable activities.
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 30 JUNE 2021
1. ACCOUNTING POLICIES - continued
Accounting convention
Fund accounting
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 the 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.
Incoming resources
All incoming resources are included on the Statement of Financial Activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.
Resources expended
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.
Investment property
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in market value is transferred to a revaluation reserve.
2. COSTS OF GENERATING VOLUNTARY INCOME
| Support costs 3. INVESTMENT MANAGEMENT COSTS Property repairs & maintenance Support costs |
30.6.21 £ 7,247 30.6.21 £ 2,210 1,330 3,540 |
30.6.20 £ 31,234 30.6.20 £ 4,390 9,700 14,090 |
|---|---|---|
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 30 JUNE 2021
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 30 June 2021 nor for the year ended 30 June 2020.
Trustees' expenses
There were no trustees' expenses paid for the year ended 30 June 2021 nor for the year ended 30 June 2020.
5. STAFF COSTS
| 30.6.21 £ Wages and salaries 7,247 The average monthly number of employees during the year was as follows: 30.6.21 Average number of employees 1 No employees received emoluments in excess of £60,000. 6. TANGIBLE FIXED ASSETS Freehold property Plant and machinery £ £ COST At 1 July 2020 and 30 June 2021 454,297 37,594 DEPRECIATION At 1 July 2020 - 34,209 Charge for year - 677 At 30 June 2021 - 34,886 NET BOOK VALUE At 30 June 2021 454,297 2,708 At 30 June 2020 454,297 3,385 7. INVESTMENT PROPERTY MARKET VALUE At 1 July 2020 and 30 June 2021 NET BOOK VALUE At 30 June 2021 At 30 June 2020 |
30.6.20 £ 31,234 30.6.20 3 Totals £ 491,891 34,209 677 34,886 457,005 457,682 £ 10,000 10,000 10,000 |
|---|---|
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 30 JUNE 2021
8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| 30.6.21 | 30.6.20 | ||
|---|---|---|---|
| £ | £ | ||
| Other creditors | 10,000 | 10,000 | |
| 9. | MOVEMENT IN FUNDS | ||
| Net movement | |||
| At 1.7.20 | in funds | At 30.6.21 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund 483,414 |
36,384 | 519,798 | |
| TOTAL FUNDS 483,414 |
36,384 | 519,798 | |
| Net movement in funds, included in the above are as follows: | |||
| Incoming | Resources | Movement in | |
| resources | expended | funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund 61,068 |
(24,684) | 36,384 | |
| TOTAL FUNDS 61,068 |
(24,684) | 36,384 | |
| Comparatives for movement in funds | |||
| Net movement | |||
| At 1.7.19 | in funds | At 30.6.20 | |
| £ | £ | £ | |
| Unrestricted Funds | |||
| General fund 480,693 |
2,721 | 483,414 | |
| TOTAL FUNDS 480,693 |
2,721 | 483,414 | |
| Comparative net movement in funds, included in the above are as follows: | |||
| Incoming | Resources | Movement in | |
| resources | expended | funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund 63,782 |
(61,061) | 2,721 | |
| TOTAL FUNDS 63,782 |
(61,061) | 2,721 |
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NORTH WEST KENT MUSLIM ASSOCIATION
NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 30 JUNE 2021
9. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined position is as follows:
| Net movement | |||
|---|---|---|---|
| At 1.7.19 | in funds | At 30.6.21 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 480,693 | 39,105 | 519,798 |
| TOTAL FUNDS | 480,693 | 39,105 | 519,798 |
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 in | |
|---|---|---|---|
| resources | expended | funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 124,850 | (85,745) | 39,105 |
| TOTAL FUNDS | 124,850 | (85,745) | 39,105 |
Page 12
NORTH WEST KENT MUSLIM ASSOCIATION
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 JUNE 2021
| INCOMING RESOURCES Voluntary income Tithed giving Grants Other income Total incoming resources RESOURCES EXPENDED Investment management costs Property repairs & maintenance Charitable activities Rent & Rate Motor expenses Light and Heat Telephone Advertisement Grants to individuals Support costs Human resources Wages Depreciation of tangible fixed assets Other Premises Expenses Total resources expended Net income |
30.6.21 £ 53,788 4,335 2,945 61,068 61,068 2,210 1,586 116 1,464 146 3,350 6,558 13,220 7,247 677 7,924 1,330 24,684 36,384 |
30.6.20 £ 57,220 2,322 4,240 63,782 63,782 4,390 2,696 3,060 6,813 346 - 1,976 14,891 31,234 846 32,080 9,700 61,061 2,721 |
|---|---|---|
This page does not form part of the statutory financial statements
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