## The Network Church Report and Accounts Year ended 31 December 2020 1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk ## **THE NETWORK CHURCH** ## **LEGAL AND ADMINISTRATIVE DETAILS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** ADDRESS FOR CORRESPONDENCE 33 Mayflower Road Park Street St Albans AL2 2QP GOVERNING DOCUMENT Declaration of Trust dated 16 August 1999 CHARITY REGISTRATION NUMBER 1078577 TRUSTEES RESPONSIBLE FOR L Singlehurst MANAGING THE CHARITY T Withers T Miles (resigned October 2020) J Featherby (resigned May 2020) J K Foulger C Hanbury (appointed May 2020) R Kinahan (appointed May 2020) BANKERS The Co-operative Bank plc National Westminster Bank plc INDEPENDENT EXAMINER Jaimée Young Stewardship 1 Lamb's Passage LONDON EC1Y 8AB ## **INDEX** Page 1 Legal and Administrative Details Pages 2-4 Trustees' Report Page 5 Independent Examiner's Report Page 6 Receipts and Payments Account Page 7 Statement of Assets & Liabilities Pages 8-9 Notes to the Accounts Page 1 ## **THE NETWORK CHURCH** ## **REPORT OF THE TRUSTEES** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** The Trustees have pleasure in submitting the Report and Accounts for the year ended 31 December 2020. ## **Objects of the charity** The charity, which is a church, is governed by a trust deed. The community of Network Church exists to commit our lives to serve the Gospel of Jesus Christ. Our primary responsibility as a church is to:- - a) Build and nurture a Christian community - b) Serve those outside the community in a variety of different ways - c) Provide a forum for those who do not know God to explore the possibility of a relationship with him. ## **Our Mission Statement** A community of God's people working together to see God's Kingdom extended in our spheres of influence. We are a church built around small groups which means that an important focus of the life of the church is the midweek 'cell groups'. These meet weekly and are where the group members worship together, encourage one another, and share their lives with families and friends. The cell groups come together for larger meetings as the weekly Sunday morning meeting, where we experience God in corporate worship, and receive teaching from the Bible. Due to the Covid-19 pandemic restrictions, during 2020 most of these meetings have taken place online using the Zoom platform. When it has been possible our cell groups and Sunday meetings have taken place outdoors. ## **Governance** There are five Trustees, one of whom is also the team leader of the Leadership Team, who are responsible for the day to day running of the Church. We meet across the week in a number of small midweek groups, and we all come together as a church for Sunday services. We follow a cell church structure, in that the leadership team supports and trains several cell leaders, who support and train their cell members. The trustees are responsible for overseeing the financial decisions that are made by the leadership team. Network Church is part of the Pioneer group of Churches, who support our Leadership Team, and oversee our progress and decisions. The policy and operating decisions of the charity rest with the Trustees who meet regularly to monitor the activities of the Charity. Page 2 New trustees are recruited and appointed by the existing trustees, who discuss and agree on the capabilities and likely profile need to fill the role. This takes into account considerations such as the capabilities of the current trustees, specialist skills available and diversity considerations. ## **Summary of the charity's main activities and achievements** To further the above objects and mission, the charity's main activities and achievements were as follows: We support and encourage those with a faith to deepen their relationship with God, and to increase the reach and effectiveness of their positive contribution to society. We provide financial assistance for people linked to Network Church to attend spiritual retreats or counselling courses, and provide occasional financial support to individuals in need that are known to someone in Network Church, irrespective of their faith. We give regular financial support to various charities and individuals, including to people in YWAM Tanzania, and support local charities either financially and/or with practical help, such as St Albans & Harpenden Education Project, Harpenden Money Advice Centre, Azalea, and The Living Room. We have strong links with YWAM Tanzania, where several people are supported by Network Church or by individuals within the church. We regularly send a team to help with building projects there both practically and financially (e.g. schools, and nurseries), and church individuals occasionally visit as well. Various projects supported by people within Network Church have included a shoemaking workshop, a tailoring school, and the raising of chickens for sale by individuals within YWAM Tanzania. We receive regular updates, prayer requests and photographs from these people and projects. In planning the activities the Trustees have applied the guidance on public benefit issued by the Charity Commission. ## **Connected organisations** Network church is part of Pioneer, and we also have close links with YWAM, Cell UK, and other St Albans & Harpenden churches. One of the trustees of Network Church, Laurence Singlehurst, is also a trustee of Cell UK. ## **Financial review** During the year overall income increased by £12,200, to £109,000, and expenditure decreased by £3,400, to £107,100. As a result the cash held by the charity increased by £1,800, to £62,000, of which £61,200 is unrestricted and can be used for any charitable purpose. We gave away 20% of our income during 2020 to a variety of organisations, and to individuals in need. An annual budget is prepared by the Leadership Team, approved by the Trustees, and presented to the Church as a whole. At least twice a year, the actual figures are compared to the targets. All of the Leadership Team and one Trustee are bank signatories. Two signatories are required on cheques and all bank documents. Page 3 ## **Impact of Covid-19** Donated income dropped slightly during 2020, a trend which accelerated towards the end of the year as our members began to feel the pinch of reduced income themselves. This had no impact on reserves and, due to corresponding reduced expenditure during 2020, this is not of concern for year ending 31/12/20. However, it did necessitate revising the budget for 2021 to take account of an ongoing reduction in donations. ## **Reserves policy** The trustees have determined that the charity should aim to hold unrestricted cash of no less than £20,000 (which equates to about 3 months' of unrestricted expenditure) so that the charity could continue to operate should income and / or expenditure vary adversely. At the year end, the charity held unrestricted cash of £61,200 and the charity is holding excess funds; we continue to invest in the pottery project, and in the years 2018-2020 we have invested in research into effective ways of leading churches and mobilising members for service. ## **Risk statement** The Trustees have reviewed the risks to which a small charity operating with few employees is exposed. Appropriate procedures are in place to identify, monitor and review these risks on a regular basis. ## **Responsibilities of trustees** Charity law requires us as Trustees to prepare financial statements for each accounting year which record the receipts and payments of the charity for the year. We are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable us to ensure that the financial statements comply with the Charities Act 2011. We also have a responsibility to safeguard the assets of the charity and to take reasonable steps to prevent fraud or any other irregularities. ## **Approval** This report was approved by the trustees and signed on their behalf by: ## T. Withers Date: 23 June 2021 Page 4 ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF** ## **THE NETWORK CHURCH** I report to the trustees on my examination of the accounts of The Network Church ('the charity') for the year ended 31 December 2020 on pages 6 to 9 following. ## **Responsibilities and basis of report** As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’). I report in respect of my examination of the charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. ## **Independent examiner’s statement** 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 accordance with section 130 of the 2011 Act; or 2. the accounts do not accord with the accounting records. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached. Jaimée Young Stewardship 1 Lamb's Passage LONDON EC1Y 8AB Date: 23 June 2021 Page 5 ## **THE NETWORK CHURCH** ## **RECEIPTS AND PAYMENTS ACCOUNT** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** |Notes
**_Income receipts_**
Donations and grants
Gift aid receipts
Income from charitable activities
Investment
Other
**_Total receipts_**
**_Payments_**
2
3
**_Total payments_**
Transfers between funds
5
**Net movement in funds**
Cash funds as at last year end
**Cash funds at this year end**
A
Net
of
receipts
/
(payments)
before
transfers
Grants
paid
in
relation
to
charitable
activities undertaken by others
Payments
in
relation
to
charitable
activities undertaken directly
Purchase of investments||General
Designated
Funds
Funds
£
£
64,376
-
15,156
-
-
361
0
-
-
-
79,532
361
64,378
-
14,820
-
79,198
-
-
-
-
-
79,198
-
334
361
517
-
850
361
59,997
-
60,847
361
Unrestricted Funds|Restricted
Funds
£
27,621
1,438
-
-
-
29,058
10,724
17,199
27,923
-
-
27,923
1,135
(517)
618
145
763|Total
2020
£
91,997
16,594
361
0
-
108,951
75,102
32,019
107,121
-
-
107,121
1,830
-
1,830
60,142
61,971|Total
2019
£| |---|---|---|---|---|---| |||General
Funds
£
64,376
15,156
-
0
-
79,532
64,378
14,820
79,198
-
-
79,198
334
517
850
59,997
60,847|||| ||||||81,173
15,107
274
98
75| ||||||96,726| ||||||74,950
25,548| ||||||100,497| ||||||10,000| ||||||10,000| ||||||| ||||||110,497| ||||||(13,771)
-| ||||||(13,771)
73,913| ||||||60,142| The notes on pages 8 - 9 form part of these accounts. Page 6 ## **THE NETWORK CHURCH** ## **STATEMENT OF ASSETS AND LIABILITIES** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** |**A**
**Cash funds**
Cash at bank with immediate access
**B**
**Other monetary assets**
Gift aid due to charity
CCLA investment
**C**
**Liabilities**
**Falling due within one year:**
NEST [pension]
Fee for Independent Examination|General
Designated
funds
funds
£
£
60,847
361
**60,847**
**361**
697
-
44,350
-
**45,047**
**-**
-
-
960
-
**960**
**-**
Unrestricted Funds|Restricted
funds
£
763
**763**
-
-
**-**
-
-
**-**|Total
2020
£
61,971
**61,971**
697
44,350
**45,047**
-
960
**960**|Total
2019
£| |---|---|---|---|---| |||||60,142| |||||**60,142**| |||||7,957
40,393| |||||**48,350**| |||||281
960| |||||**1,241**| |**D**
**Assets retained for charity's own use**
Equipment and fittings|Value
2020
£
10,597
**10,597**|Value
2019
£| |---|---|---| |||10,090| |||**10,090**| The trustees have used insurance values as the trustees are unable to reliably estimate current values; insurance values may differ materially from current values. The accounts were approved by the trustees and signed on their behalf **----- Start of picture text -----**
by date
T. Withers 23 June 2021
**----- End of picture text -----**
The notes on pages 8 - 9 form part of these accounts. Page 7 ## **THE NETWORK CHURCH** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** ## **1 Accounting policies** The accounts have been prepared on a receipts and payments basis and comprise a statement that shows the charity's receipts and payments, a statement that summarises the charity's assets and liabilities and related notes. The accountancy profession have determined that only accounts prepared in accordance with applicable accounting standards present a 'true and fair' view and, as these receipts and payments accounts have not (and cannot) be prepared in accordance with accounting standards, these accounts do not present (and are not intended to present) a 'true and fair' view of the charity's financial activities and state of affairs. General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects. |**2**
**Payments in relation to charitable activities undertaken directly**
Employment costs
Note 4
Venue hire
Church activities and Community events
Gifts
Courses / conferences / training
Phone
Insurance
Office and administrative expenses
Computer and internet
Governance
Pottery
Sundry
**3**
**Grants and gifts paid to others**
Organisations:
YWAM Tanzania
STEP
Cell UK Ministries
Pioneer Trust
Organisations < £1,000
Individuals||Unrestrict|Designated
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
ed Funds|Restricted
Funds
£
7,000
-
-
-
-
-
-
-
-
-
3,724
-
10,724
14,759
60
-
-
-
2,380
17,199|Total
2020
£
63,965
805
803
678
525
440
399
1,681
252
960
4,135
459
75,102
15,959
2,760
3,000
1,440
2,880
5,980
32,019|Total
2019
£| |---|---|---|---|---|---|---| |||General
funds
£
56,965
805
803
678
525
440
399
1,681
252
960
411
459
64,378
1,200
2,700
3,000
1,440
2,880
3,600
14,820||||| |||||||63,704
2,945
2,272
781
535
670
381
1,395
241
739
752
536| |||||||74,950| |||||||7,552
2,726
3,000
1,440
3,500
7,330| |||||||25,548| ## **4 Transactions with related parties** Mr Trevor Withers, Team Leader, was paid £49,659 [2019: £48,841] for serving in that capacity, not for serving as a trustee; as permitted by the charity's governing document. Page 8 ## **THE NETWORK CHURCH** ## **NOTES TO THE ACCOUNTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** **5 Movement of funds** ||||||| |---|---|---|---|---|---| |**vement of funds**
General funds
Designated funds
Pottery
Restricted funds
Mission support
Pottery grant
Hardship fund
MDP Employment
Total funds|Balance at
31Dec2019
£
59,997
-
59,997
145
-
-
-
145
60,142|Receipts
£
79,532
361
79,893
16,650
3,858
1,550
7,000
29,058
108,951|Payments
£
(79,198)
-
(79,198)
(15,938)
(3,724)
(1,261)
(7,000)
(27,923)
(107,121)|Transfers
£
517
-
517
(517)
-
-
-
(517)
-|Balance at
31Dec2020
£
60,847
361| ||||||61,208| ||||||340
134
289
-| ||||||763| ||||||| ||||||61,971| The Mission Support fund relates to donations given for the support of mission organisations and missionaries. The transfer from this fund relates to an administration fee which is taken from the recovered gift aid, with the permission of the donors. The Pottery grant relates to a Community Fund which provides financial support for community projects in the Harpenden area with grants for specific projects designed to develop, improve or enhance their work or for facilities for their members. The MDP Employment fund relates to a grant provided for the purpose of supporting this ministry. Page 9