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2021-03-31-accounts

REGISTERED COMPANY NUMBER: 3810948 (England and Wales)
REGISTERED CHARITY NUMBER: 1080666

Report of the Trustees and
Audited Financial Statements for the Year Ended 31 March 2021
for
Mushkil Aasaan Limited
(A Company Limited by Guarantee)

Nasir Mahmud FCA
Chartered Accountant
Falcon House
257 Burlington Road
New Malden
Surrey
KT3 4NE

Mushkil Aasaan Limited
(A company limited by guarantee)

Contents of the Financial Statements
for the Year Ended 31 March 2021
Page
Reference and Administrative Details 1
Strategic Report 2 to 4
Report of the Trustees 5 to 10
Report of the Independent Auditor 11 to 13
Statement of Financial Activities 14
Balance Sheet 15
Cash Flow Statement 16
Notes to the Cash Flow Statement 17
Notes to the Financial Statements 18 to 25
Detailed Statement of Financial Activities 26 
Mushkil Aasaan Limited
(A company limited by guarantee)

Reference and Administrative Details
for the Year Ended 31 March 2021

TRUSTEES Mrs. Shaheen Farhat
Mrs. Khalida Mehal
Mrs. Habib Lateef
COMPANY SECRETARY Mrs. Naseem Aboobaker
REGISTERED OFFICE 220-222 Upper Tooting Road
London
SW17 7EW

REGISTERED COMPANY NUMBER  3810948 (England and Wales)

REGISTERED CHARITY NUMBER  1080666

INDEPENDENT AUDITOR

Nasir Mahmud FCA
Chartered Accountant
Falcon House
257 Burlington Road
New Malden
Surrey
KT3 4NE

Page 1

Mushkil Aasaan Limited

(A company limited by guarantee)

Strategic Report
for the Year Ended 31 March 2021

The trustees present their strategic report for the year ended 31 March 2021

REVIEW OF BUSINESS

Mushkil Aasaan continues to demonstrate a clear commitment to ensure communication
of the ethos and strategy for the organisation reaches people at all levels.
Investors in People observes that 'Mushkil Aasaan is to be congratulated in
maintaining the sustainability of the organisation over very challenging times. All
of which have been enabled by excellent leadership, management and staff
development'.

Mushkil Aasaan successfully overcame the challenges last year with switching from
Wandsworth borough to Direct Payments for Homecare services. This success was
primarily due to considerable engagement and support from the whole community. It
also regained its status as a specialist ‘Spot-Purchase Provider’

We entered the year with a heightened sense of uncertainty in a backdrop of
unprecedented and exceptionally complex challenges in a constantly changing
environment in the Charity’s history. This included working more collaboratively with
Local and Central Government Agencies and multiple sources, who required regular
updated Covid 19 Data and Statistics.

Throughout the Lockdown, we continued to provide our Domiciliary Care Service and
End of Life Care as Key Workers under the direction of Daily Government Guidance on
Infection Control and Personal Protective Equipment (PPE).  We were re awarded the
NHS AQP Provider Contract in December 2020.

CQC Emergency Support Framework in May 2020 observed that there were systems to assess
and respond to risks regarding infection prevention and control and to ensure policies
conducive to containing an outbreak were clear and accessible to people using the
service.  Essential equipment, such as personal protective equipment, was available
in sufficient quantities and there were enough suitably skilled staff to provide
people with safe care in a respectful and dignified way during the Covid-19 pandemic

Systems enabled the continued management of known risks, as well as enabling to
respond to new and emerging risks. There were realistic and workable contingency plans
for staffing shortfalls and emergencies during the pandemic. Staff health, safety
and wellbeing were protected despite the increased pressures associated with
COVID-19.

Action had been taken to properly respond to incidents, alerts or potential
safeguarding incidents at the service with effective systems to monitor the overall
quality and safety of care being provided at the service during the COVID19 pandemic.
Working arrangements and information sharing with system partners during the Covid-19
pandemic were effective.

Investors in People accreditation undertaken during the Covid 19 Pandemic [June2020]
confirmed the organisation had clarity of vision and purpose, alongside decisive
leadership. “The wonderful caring culture and ethos of the organisation, remains as
positive as it always has been. The feedback from staff suggests the vast majority
are extremely proud of the organisation, their visibility in the communities,
including their training and career development opportunities, they secure in their
working with the Charity.”

Staff health and wellbeing and training sessions helped promote staff motivation of
working in their roles and desire of acting in the service of others. Managing
Infection Control and PPE supplies to keep them safe, propagating multilingual
literature, faith perspectives and zoom seminars resulted in a successful rate of
weekly testing and a 98% vaccinated Workforce.

Page 2

Mushkil Aasaan Limited

(A company limited by guarantee)

Strategic Report

for the Year Ended 31 March 2021

Through lockdown we mobilised and re-organized to maximise upon our limited
resources, within a more focused manner to outreaching remotely to those in greatest
need, while addressing and managing the panic and fear being expressed in the
communities about the well-being of their elderly, in particular those living in
intergenerational households or residential care.

Dissemination of daily Government Guidance in multilingual formats enabled us to
share our learning, in highlighting the health inequalities that existed within our
communities, which was further exacerbated by the presence of the Covid Pandemic.

We operated a constantly available helpline to providing a safety net for the
vulnerable families and elderly experiencing social isolation. This was further
cushioned by delivering our outreach support services through assistance with
shopping and collecting prescriptions and daily hot meals. More importantly
maintaining family links with their loved ones in hospital was imperative through
the Hospital Chaplaincy Service, while directly supporting bereaved families.

Accordingly, there was a notable increase in assisting welfare rights claimants,
domestic violence victims, and mental health concerns, along with homelessness. Our
Counselling and Advocacy Service was over-subscribed with “Children In Need” and
family relationships becoming very stressed in a climate of financial uncertainties
and unemployment and family breakdown.

The year ended on a positive note with a very successful Ramadan and Easter Playscheme
for Children and their families under the DFE funded Holiday Activities and Food
Programme (HAF). The aim of the programme was to provide free stimulating activities
and promote nutritious meals to children in a Covid safe environment.

PRINCIPAL RISKS AND UNCERTAINTIES

The reduced annual grant of £45,468 from the Wandsworth Council caters for the
over-subscribed Service Level Agreement. Spot-Purchase of our Specialist Domiciliary
Services is the Charity's main source of income.

The Trustees are conscious of the reliance on the grant and tentative spot—purchased
Domiciliary Care income and the importance to reduce dependency through sustainable
and creative initiatives, while increasing revenue and control costs within models
of best value.

The unit cost has remained considerably reduced to remain competitive in the market
position. Adherence to regulatory requirements and challenges of Covid 19 have
resulted in a reduction in earned income to break-even point and raises credible
concerns for costings of all subsidised services and future development visions.

As with all entities, no future is assured and an element of risk looms over the future
of the Charity. The economic climate and changing patterns of delivery has its own
impact on Social Services commissioning. In comparison to last year there has been
a sustained level of income generated through the spot-purchasing of Domiciliary
Care.

FUTURE PROSPECTS

Possible Future Opportunities

The Charity's future direction and existing sustainability is influenced by its grant
funding and spot-purchase commissioning.

Current strategic planning explores a range of approaches encompassing better
outcomes for our service users and carers as set out in our vision and values.

-
With our renewed NHS AQP Pan London Provider Status there is scope to venture

Page 3

Mushkil Aasaan Limited

(A company limited by guarantee)

Strategic Report

for the Year Ended 31 March 2021

into surrounding boroughs to provide these much-needed services. To develop an
End-of-Life Care Service in Croydon whilst promoting Carework as a viable
profession and providing appropriate training.

This report was approved by the Board on 29[th] December 2021 signed on its behalf by

Mrs. Shaheen Farhat - Trustee

Page 4

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended31 March 2021

The trustees who are also directors of Mushkil Aasaan Limited for the purposes of
the Companies Act 2006, present their report with the financial statements of the
charity for the year ended 31 March 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).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes
a limited company, limited by guarantee, as defined by the Companies Act 2006.

Mushkil Aasaan is a Registered Charity (No 1080666) and a Company Limited by Guarantee
(No 3810948). Its objectives are expressed in the Memorandum of Association. Its
Trustees are supported by a Board of Management and two Patrons. The Trustees have
had regard to the Charity Commission’s guidance on public benefit.

The Trustees, who are also Directors for the purposes of Company Law and who served
during the year and up to the date of this report are set out on page 1.

All Trustees and Directors collectively monitor and ensure delivery of its charitable
objectives and strategic direction, while upholding the Charity' s values. They have
responsibility for ensuring good practice, effective governance and management,
accurate and transparent financial management and reporting.

Furthermore, they ensure that the Charity complies with relevant laws and
requirements of regulatory bodies, such as Care Quality Commission and NHS. They
desire that Mushkil Aasaan remains successful and can continue to serve its diverse
community as intended.

The priority of our organisation remains, to seek to recruit and appoint new board
members / trustees while expanding the skill bank of our organisation through formal
training relevant to the Charity needs with clear procedures on roles and

responsibilities as trustees.

Key Objectives of the Charity are:

 To provide care, support, education and training for individuals and
families and their carers

 To provide support to people affected by poverty, sickness, family
breakdown and social exclusion.

 To develop the capacity and skills of members of socially and/or poor
communities to help identify and meet their needs and enable them to participate more
fully in society.
 To support people in accessing legal advice and other professional advice
and support.

 To provide a service responsive to assessed needs, with equal access to
all, regardless of sex, race, income, social class, or other socio—demographic
factors.

Mushkil Aasaan is committed to upholding the rights and dignity of the individual
and the family. This is within a holistic model of support, through a range of
opportunities, choices, and effective solutions

Embracing diversity and capitalizing on the strengths of the Communities we serve,
our uniqueness lies within the ethos of our Service while addressing inequalities

Page 5

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended 31 March 2021

through community representation, development and advocacy.

We remain committed to supporting our communities that enhances their overall
wellbeing, through lifestyle choices and our shared activities, not least women and
children who have no recourse to public funds or are experiencing Domestic Violence.

Risk Assessment

Spot—Purchase of our Specialist Domiciliary Services is the Charity's main source
of income. The reduced annual grant of £45,468 from the Wandsworth Council caters
for the over—subscribed Service Level Agreement.

The unit cost has remained considerably reduced to remain competitive in the market
position. Adherence to the requirements of the Care Act and rising National Minimum
Wages, Travel Costs, and Electronic Call Monitoring costs have resulted in a reduction
in earned income to break—even point and raises credible concerns for costings of
all subsidised services and future development visions.

The Trustees are conscious of the reliance on the grant and tentative spot— purchased
Domiciliary Care income and the importance to reduce dependency through sustainable
and creative initiatives, while increasing revenue and control costs within models
of best value.

Reserves Policy

In view of the risks identified, the Trustees consider it prudent to hold unrestricted
free reserves to cover approximately 6 months running costs. For the year ended, this
amounted to approximately £500, 000.

Any additional unrestricted free reserves have been designated for an identified
Supported Housing Project and to enhance the existing services provided as and when
deemed necessary.

Objectives and activities and Achievements and performance

The values of Mushkil Aasaan form the basis of how and why the organisation was first
created. The senior team describe the values to be imperative for all of the team
to display. The key values include respect and dignity of the service users and also
empowering them to have their own identity, having a purpose in life and developing
themselves.

Investors in People accreditation undertaken during the Covid 19 Pandemic [June2020]
confirmed the organisation had clarity of vision and purpose, alongside decisive
leadership. “The wonderful caring culture and ethos of the organisation, remains as
positive as it always has been. The feedback from staff suggests the vast majority
are extremely proud of the organisation, their visibility in the communities,
including their training and career development opportunities, they secure in their
working with the Charity.”

Amongst the Charities Key Objectives is to provide holistic support and services to
women, children, families, young people, and the elderly, responsive to unmet needs.
Furthermore, to those affected by social disadvantage and exclusion, including
homelessness, family breakdown and domestic violence, while including education and
skills-based learning, with equal access to all.

The Covid 19 Pandemic presented our organisation with a refocused learning agenda,
in a backdrop of unprecedented and exceptionally complex challenges in a constantly
changing environment in the Charity’s history.

Throughout Lockdown we mobilised and re-organized to maximise upon our limited

Page 6

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended 31 March 2021

resources, within a more focused manner to outreaching remotely to those in greatest
need. While addressing and managing the panic and fear being expressed in the
communities about the well-being of their elderly, those living in intergenerational
households or residential care.

There was a notable increase in assisting welfare rights claimants, domestic violence
victims and mental health concerns, along with homelessness and bereaved families
as an outcome of Covid. Family relationships were becoming very stressed in a climate
of financial uncertainties and unemployment. “Children In Need” stressed by family
breakdown and bereavement

Operating a constantly available helpline to providing a safety net for the vulnerable
families and elderly, in our communities that we serve. This was cushioned by
delivering outreach support services to our Elderly experiencing social isolation
by providing daily hot meals, assistance with shopping and collecting prescriptions.

Another key service was maintaining family links with their loved ones in hospital
through the Chaplaincy Service, while directly supporting bereaved families. Several
Volunteers have trained with the Spiritual Centre at St Georges Hospital as part of
the Chaplaincy Team to visit and support patients in the Wards.

Dissemination of daily Government Guidance in multilingual formats included working
more collaboratively with Local and Central Government Agencies and multiple sources,
who required regular updated Covid 19 Data and Statistics. This further enabled us
to share our learning, in highlighting the health inequalities that existed within
our communities, which was further exacerbated, by the presence of the Covid Pandemic.

For context the Charity was inspected by the Care Quality Commission in the middle
of the Covid 19 Pandemic [May 2020] CQC rated the work of the Charity as safe,

effective, caring responsive and a well led, while overall Good in all aspects of
its care provision.

CQC found that Careworkers understood the Service Users care needs well and individual
preferences while, personnel care was delivered to them in a sensitive manner,
including respecting service users’ dignity within Covid Safety guidelines of PPE
and Infection Control.

Despite the high risks of the pandemic, we manged in the “call for action” to provide
a Key Service to all our clients. Our training sessions helped promote care staff
motivation and health of working in their roles and desire of acting in the service
of others.

Managing guidance on weekly testing, and PPE supplies to keep them safe, propagating
multilingual literature, faith perspectives and zoom seminars resulted in a 98%
vaccinated work force.

We were re-awarded the contract of End-of-Life Care Services under Pan London NHS
Qualified Provider in December 2020. In line with our intrinsic ethos of caring in
a culturally appropriate and faith-sensitive manner with professional training and
processes and procedures, this Service provides assurance to patients and families
at a sensitive time. With this Provider Status there is scope to venture into
surrounding boroughs to provide these much-needed services.

The land at the Community Garden at North Drive is used by the local Tooting Transition
Project as part of an organic ecology project in which they involve those who are
committed to the cause. Children from the local Gatton School have teamed up for the
outdoor experience as well as CARAS, the Refugee Group. This served a very therapeutic
role for Users during the Pandemic when they were able to come and be near nature
in isolation.

Page 7

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended 31 March 2021

We now have an independent provider delivering Nursery provision at the Zakia Family
Centre. This also addresses the objective of providing a service to Children in Need
within the statutory definitions while delivering unmet childcare needs for mothers
who want to maximise upon the opportunities within the employment market to raising
the economic base of the family. We have kept two places in reserve for children whose
family are facing a personal crisis in which they have a need for short-term nursery
provision, as part of our Charitable purposes.

The Zakia Cultural Heritage Workshop continues to provide an opportunity to women
of multi—faith background opportunities to join in with activities such as sewing,
knitting, arts and crafts, while enhancing skills—sharing and positive citizenship
and zoom meetings during Covid.

The year ended on a very positive and creative note with the Dfe awarding funding
to run the HAF programme to combat poverty and mental well-being needs amongst
children. Mushkil Aasaan’ s programme was well received and appraised by the Local
Authority.

Sustainability, Social Responsibility and Public Impact

Mushkil Aasaan continues to promote a strong citizenship—based culture of involvement
and social responsibility through a range of activities and forums. We continue to
strengthen our support networks and links within the wider diverse communities of
South London. The importance of developing a shared understanding and cooperation
between statutory and secular communities cannot be emphasized enough. Consultancy
to Co—professionals and Community representation to statutory services remains a key
objective in highlighting unmet needs.

Mushkil Aasaan continues to build its links and support networks with the statutory

and voluntary sector and the wider diverse communities of South London which was
overwhelmingly evident at its Covid Support.

IIP notes that 'Mushkil Aasaan has a very friendly, positive culture and people
throughout the organisation enjoy working there and appear to be loyal and dedicated.

As ever, much of our accomplishments this year could not have been achieved without
the continued dedication, and commitment of our Careworkers, Volunteers, Trustees,
Management Board and Office—Based Support Team.

The daily complexities and challenges of coordinating an effective ongoing
development Project such as Mushkil Aasaan remains for the most part in the hands
of Naseem Aboobaker our Project Director and Bernadette Khan our Consultant Social
Worker, both of whom work tirelessly beyond the call of duty for the Communities we
serve.

To name but a few accomplishments in the year were:
More than 78, 922 hours of Domiciliary Care throughout the year. At least 30 hours
per week of face to face and remote Counselling, Casework and Advocacy Support. Over
50 hours weekly of Volunteering and Crisis Support.  At least 500 Users weekly of
Support Groups and Centre Activities, Seminars and Events will resume as reopening
plans are underway post-Covid.

We remain passionate about our work and support to the families and communities we
serve. Our success lies in our ethos of our commitment to address unmet needs with
a holistic model of support that promotes best value.

Across a spectrum of very complex and unmet needs, our early interventionist practice
model of assessment and support reduces the call later costlier statutory services.

Page 8

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended 31 March 2021

This model of delivery must make significant and huge saving for the local authority
and indeed the public purse, while reducing inequalities.

Our Support Groups, Volunteering and Career Development impact on reducing isolation,
promoting well—being and reducing dependency on welfare rights.

Furthermore, our Domiciliary Care Services empower the elderly to remain in their
homes and reduce the demands on hospitalisation and other statutory health and social
care services.

Financial review

The charity made a net surplus of £258,108 during the year. At the balance sheet date,
total unrestricted funds amounted to £7,632,207, including a net revaluation reserve
of £932,400 and a deficit of £30,175 on restricted funds.

Employee involvement

Supporting, identifying, nurturing, and providing the opportunities for people to
be empowered and to improve themselves is fundamental to the culture of Mushkil
Aasaan.  Most staff are extremely proud of the organisation, their visibility in the
community and the support that is given to the families and communities in the area.

We operate within a culture which supports collaborative working and strong
intra-team support. The job shadowing, paired working, training sessions and the
informal weekly visits to the office enable this to take place. In addition, people
are encouraged to discuss their individual needs and to share and support their team
members.

Career development amongst our staff remains an organisational key objective. The
central focus of our recruitment, retention and practices is promoting and empowering
those who seek such opportunities. This manifests itself in continuing to provide
inclusive employment opportunities for male and female Careworkers and Volunteers.
The open and transparent leadership of the office team and senior staff sets a positive
tone for aspiring leaders and managers throughout the organisation.

There is a considerable amount of training opportunities in this year including both
face to face and online. Recent ongoing key training requirement has been related
to COVID-19 and Infection Control, Handwashing, Donning and Doffing PPE. Remote
online opportunities during the pandemic offered more accessible training on
essential topics such as Care Certificate, Level 2 and 3 in Manual Handling, Dementia,
End of Life, Skin Care, Depression and Anxiety, and Palliative Care. Management
Training has included Care Planning, Covid 19 and Domiciliary Care, Food Hygiene,
and Spiritual Support and Psychological Therapies.

Statement as to disclosure of information to auditors

In so far as the trustees are aware:

there is no relevant audit information of which the charitable company's auditors
are unaware; and the trustees have taken all steps that they ought to have taken to
make themselves aware of any relevant audit information and to establish that the
auditors are aware of that information.

STATEMENT OF TRUSTEES RESPONSIBILITIES

The trustees (who are also the directors of Mushkil Aasaan Limited (A company limited
by guarantee) for the purposes of company Law) are responsible for preparing the
Report of the Trustees and the financial statements in accordance  with
applicable law and United Kingdom Accounting Standards (United Kingdom Generally
Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial
year which give a true and fair view of the situation of the charitable company and
of  the  incoming  resources  and  application  of resources,

Page 9

Mushkil Aasaan Limited

(A company limited by guarantee)

Report of the Trustees

for the Year Ended 31 March 2021

including the income and expenditure, of the charitable company for that period. In
preparing those financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently. observe the
methods and principles in the Charity SORP.

make judgements and estimates that are reasonable and prudent.

prepare the financial statements on the going concern basis unless it is inappropriate
to presume that the charitable company will continue in business.

The trustees are responsible for keeping proper accounting records which disclose
with reasonable accuracy at any time the financial position of the charitable company
and to enable them to ensure that the financial statements comply with the  Companies
Act  2006.  They are also  responsible  for safeguarding the assets of the
charitable company and hence for taking reasonable steps for the prevention and
detection of fraud and other irregularities.

In so far as the trustees are aware:

there is no relevant audit information of which the charitable company's auditor is
unaware; and the trustees have taken all steps that they ought to have taken to make
themselves aware of any relevant audit information and to establish that the auditor
is aware of that information.

AUDITOR

The auditor, Nasir Mahmud FCA, will be proposed for re-appointment at the forthcoming
Annual General Meeting.

Report of the trustees, incorporating a strategic report, approved by order of the
board of trustees, as the company directors, on 29[th] December 2021 and signed on the
board's behalf by:

Mrs. Shaheen Farhat - Trustee

Page 10

Report of the Independent Auditor to the Members of
Mushkil Aasaan Limited

(A company limited by guarantee)

Opinion

I have audited the financial statements of Mushkil Aasaan Limited (A company limited
by guarantee) (the 'charitable company') for the year ended 31 March 2021 which
comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow
Statement and notes to the financial statements, including a summary of significant
accounting policies. The financial reporting framework that has been applied in their
preparation is applicable law and United Kingdom Accounting Standards (United Kingdom
Generally Accepted Accounting Practice), including Financial Reporting Standard 102
'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In my opinion the financial statements:

Basis for opinion

I conducted my audit in accordance with International Standards on Auditing (UK) (ISAs
(UK)) and applicable law. My responsibilities under those standards are further
described in the Auditor responsibilities for the audit of the financial statements
section of my report.  I am independent of the charitable company in accordance with
the ethical requirements that are relevant to my audit of the financial statements
in the UK, including the FRC's Ethical Standard, and I have fulfilled my other ethical
responsibilities in accordance with these requirements.  I believe that the audit
evidence I have obtained is sufficient and appropriate to provide a basis for my
opinion.

Conclusions relating to going concern

I have nothing to report in respect of the following matters in relation to which
the ISAs (UK) require me to report to you where:

Other information

The trustees are responsible for the other information. The other information
comprises the information included in the Annual Report, other than the financial
statements and my Report of the Independent Auditor thereon.

My opinion on the financial statements does not cover the other information and,
except to the extent otherwise explicitly stated in my report, I do not express any
form of assurance conclusion thereon.

In connection with my audit of the financial statements, my responsibility is to read
the other information and, in doing so, consider whether the other information is
materially inconsistent with the financial statements, or my knowledge obtained in
the audit or otherwise appears to be materially misstated. If I identify such material
inconsistencies or apparent material misstatements, I am required to determine
whether there is a material misstatement in the financial statements or a material
misstatement of the other information. If, based on the work I have performed, I
conclude that there is a material misstatement of this other information, I am
required to report that fact.  I have nothing to report in this regard.

Page 11

Report of the Independent Auditor to the Members of
Mushkil Aasaan Limited
(A company limited by guarantee)

Opinions on other matters prescribed by the Companies Act 2006

In my opinion, based on the work undertaken in the course of the audit:

Matters on which I am required to report by exception

In the light of the knowledge and understanding of the charitable company and its
environment obtained in the course of the audit, I have not identified material
misstatements in the Report of the Trustees.

I have nothing to report in respect of the following matters where the Companies Act
2006 requires me to report to you if, in my opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, the trustees
(who are also the directors of the charitable company for the purposes of company
law) are responsible for the preparation of the financial statements and for being
satisfied that they give a true and fair view, and for such internal control as the
trustees determine is necessary to enable the preparation of financial statements
that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing
the charitable company's ability to continue as a going concern, disclosing, as
applicable, matters related to going concern and using the going concern basis of
accounting unless the trustees either intend to liquidate the charitable company or
to cease operations, or have no realistic alternative but to do so.

My responsibilities for the audit of the financial statements

My objectives are to obtain reasonable assurance about whether the financial
statements as a whole are free from material misstatement, whether due to fraud or
error, and to issue a Report of the Independent Auditor that includes my opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit
conducted in accordance with ISAs (UK) will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are considered
material if, individually or in the aggregate, they could reasonably be expected to
influence the economic decisions of users taken on the basis of these financial
statements.

Irregularities, including fraud, are instances of non-compliance with laws and
regulations. I design procedures

in line with my responsibilities, outlined above, to detect material misstatements
in respect of irregularities,

including fraud. The extent to which my procedures are capable of detecting
irregularities, including fraud is
detailed below:

around actual and potential litigation and claims.

and regulations.

Page 12

Report of the Independent Auditor to the Members of
Mushkil Aasaan Limited

(A company limited by guarantee)

" Reviewing financial statement disclosures and testing to supporting documentation
to assess compliance

with applicable laws and regulations.

" Auditing the risk of management override of controls, including through testing
journal entries and other

adjustments for appropriateness, and evaluating the business rationale of
significant transactions outside the
normal course of business.

A further description of my responsibilities for the audit of the financial statements
is located on the Financial Reporting Council's website at
www.frc.org.uk/auditorsresponsibilities. This description forms part of my Report
of the Independent Auditor.

Use of my report

This report is made solely to the charitable company's members, as a body, in
accordance with Chapter 3 of Part 16 of the Companies Act 2006. My audit work has
been undertaken so that I might state to the charitable company's members those
matters I am required to state to them in an auditor's report and for no other purpose.
To the fullest extent permitted by law, I do not accept or assume responsibility to
anyone other than the charitable company and the charitable company's members as a
body, for my audit work, for this report, or for the opinions I have formed.

Nasir Mahmud FCA (Senior Statutory auditor)

For and on behalf of

Nasir Mahmud FCA
Chartered Accountant
Falcon House
257 Burlington Road
New Malden
Surrey
KT3 4NE
Date: 29[th] December 2021

Page 13

Mushkil Aasaan Limited

(A company limited by guarantee)

Statement of Financial Activities
for the Year Ended 31 March 2021
31.3.21 31.3.20
Unrestricted Restricted
Total		 Total
funds fund funds funds
Notes
£		 £ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies 2 85,649 45,468 131,117 47,918
Other trading activities 3 1,361,244 - 1,361,244 1,516,484
Investment income 4 182,754 - 182,754 162,215
Total 1,629,647 45,468 1,675,115 1,726,617
EXPENDITURE ON
Raising funds 5 69,222 - 69,222 130,407
Charitable activities 6
Spot Purchases 942,813 - 942,813 973,275
Charitable activity 380,679 47,393 428,072 388,792
Governance costs 17,000 - 17,000 14,000
Total 1,410,114 47,393 1,457,506 1,506,474
Net gains on investments 40,500 - 40,500 -
NET INCOME/(EXPENDITURE) 260,033 (1,925) 258,108 220,143
RECONCILIATION OF FUNDS
Total funds brought forward 7,372,174 (28,250) 7,343,924 7,123,781
TOTAL FUNDS CARRIED FORWARD 7,632,207 (30,175) 7,602,032 7,343,924 
The notes form part of these financial statements

Page 14

Mushkil Aasaan Limited

(A company limited by guarantee)

Balance Sheet 31 March 2021

Notes
FIXED ASSETS
Tangible assets
12
Investment property
13


CURRENT ASSETS
Debtors
14
Cash at bank and in hand


CREDITORS
Amounts falling due within one year 15
NET CURRENT ASSETS/(LIABILITIES)

TOTAL ASSETS LESS CURRENT LIABILITIES

PROVISIONS FOR LIABILITIES
16
NET ASSETS

FUNDS
17
Unrestricted funds:
General fund
Revaluation Reserve
Restricted funds:
Restricted Fund
TOTAL FUNDS		 31.3.21
Total
funds
£
507,094
4,250,000
4,757,094
271,840
2,987,764
3,259,604
(196,166)
3,063,438
7,820,532
(218,500)
7,602,032
6,699,807
932,400
7,632,207
(30,175)
7,602,032
31.3.20

Total

funds
£
520,964
4,200,000
4,720,964
326,250
2,676,020
3,002,270
(170,310)
2,831,960
7,552,924
(209,000)
7,343,924
6,480,274
891,900
7,372,174
(28,250)
7,343,924		 
The financial statements were approved by the Board of Trustees and authorised for
issue on 29[th] December 2021 and were signed on its behalf by:

Mrs. Shaheen Farhat - Trustee

The notes form part of these financial statements

Page 15

Mushkil Aasaan Limited

(A company limited by guarantee)

Cash Flow Statement
for the Year Ended 31 March 2021
31.3.21 31.3.20
Notes £ £
Cash flows from operating activities
Cash generated from operations 1 312,568 181,732
Interest paid (2,104) (4,316)
Net cash provided by operating activities 310,464 177,416
Cash flows from investing activities
Purchase of tangible fixed assets - (3,180)
Interest received 1,279 6,700
Repayment of loan (183,797)
Net cash provided by investing activities 1,279 (180,277)
Change in cash and cash
equivalents in the reporting 311,743 (2,861)
period
Cash and cash equivalents at the
beginning of the reporting 2,676,020 2,678,881
period
Cash and cash equivalents at the
end of the reporting period 2,987,763 2,676,020 
The notes form part of these financial statements

Page 16

Mushkil Aasaan Limited

(A company limited by guarantee)

Notes to the Cash Flow Statement
for the Year Ended 31 March 2021

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

31.3.21
31.3.20
£ £
Net income for the reporting period (as per the 258,108 212,043
Statement of Financial Activities)
Adjustments for:
Depreciation charges 13,870 13,870
(Gains) / Losses on investments (40,500)
8,100
Interest received (1,279)
(6,700)
Interest paid 2,104 4,316
Decrease/(increase) in debtors 54,410 (55,912)
Increase/(decrease) in creditors 25,855 6,015
Net cash provided by operations 312,568 181,732
ANALYSIS OF CHANGES IN NET FUNDS
At 1.4.20 Cash flow At 31.3.21
£ £ £
Net cash
Cash at bank and in hand 2,676,020 311,743 2,987,763
2,676,020 311,743 2,987,763
Total 2,676,020 311,743 2,987,763

2. ANALYSIS OF CHANGES IN NET FUNDS

The notes form part of these financial statements

Page 17

Mushkil Aasaan Limited
(A company limited by guarantee)

Notes to the Financial Statements
for the Year Ended 31 March 2021

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, 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 Companies Act 2006. The financial statements have been prepared under the
historical cost convention, as modified by the revaluation of certain assets.

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.

Tangible fixed assets

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

Freehold property -Straight line over fifty years
Fixtures and fittings -25% Straight line

Investment property

Investment property is shown at most recent valuation. Any aggregate surplus
or deficit arising from changes in fair value is recognised in the Statement
of Financial Activities.

Taxation

The charity is exempt from corporation tax on its charitable activities.
However, it is subject to income tax on net rental income, and capital gains
tax on any capital gains.

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.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme.
Contributions payable to the charitable company's pension scheme are charged
to the Statement of Financial Activities in the period to which they relate.

continued...

Page 18

Mushkil Aasaan Limited

(A company limited by guarantee)

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

2. DONATIONS AND LEGACIES

2. DONATIONS AND LEGACIES
31.3.21
31.3.20
£ £
Grants 122,495 47,918
Receipts under Job Retention Scheme 8,622 -
131,117 47,918
This is further analysed as:
Unrestricted:
Covid Infection Control Grant 77,027 -
Receipts under Job Retention Scheme 8,622 -
85,649
 -
Restricted:
Wandsworth Borough Council 45,468 47,918
3. OTHER TRADING ACTIVITIES
31.3.21
31.3.20
£ £
Spot purchase services 1,361,244 1,516,484
4. INVESTMENT INCOME
31.3.21
31.3.20
£ £
Rents received 181,475 155,515
Deposit account interest 1,279 6,700
182,754 162,215
5. RAISING FUNDS
Other trading activities
31.3.21
31.3.20
£ £
Bad debts 22,336 36,116
Investment management costs
31.3.21
31.3.20
£ £
Professional fees - 48,000
Property repairs 19,485 21,292
Tax on rental income 27,801 24,999
47,286 94,291
Aggregate amounts 69,622 130,407 
continued...

Page 19

Mushkil Aasaan Limited

(A company limited by guarantee)

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

6. CHARITABLE ACTIVITIES COSTS

6.
CHARITABLE ACTIVITIES COSTS
Direct Direct
Costs Costs
2021 2020
£ £
Spot Purchases 942,813 973,275
Charitable activity 428,071 388,792
Governance costs17,000 14,000
1,435,170 1,376,067

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):
Depreciation - owned assets
Fees payable for the audit of the financial statements
8.
AUDITOR’S REMUNERATION


Fees payable to Nasir Mahmud
Fees payable for the audit of the financial statements
Fees payable to the company's auditor and its associates
for other services:
Other non-audit services
 31.3.21
£
13,870
7,300
21,170
2021

£

7,300


9,700		 31.3.20
£
13,870
7,300
21,170
2020
£
7,300
9,700

9. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended
31 March 2021 nor for the year ended 31 March 2020.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 March 2021 nor for
the year ended 31 March 2020.

continued...

Page 20

Mushkil Aasaan Limited

(A company limited by guarantee)

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

10. STAFF COSTS

STAFF COSTS
31.3.21
31.3.20
£ £
Wages and salaries 1,114,050 1,125,355
Social security costs 58,953 57,745
Other pension costs 14,972 16,092
1,187,975 1,199,192
The average monthly number of employees during the year was as follows:
31.3.21
31.3.20
Care Services 120
97
Administration09 10
Total129 107 
The number of employees whose employee benefits (excluding employer pension
costs) exceeded £60,000 was:
31.3.21
31.3.20
£70,001 - £80,000 1 1 
continued...

Page 21

Mushkil Aasaan Limited
(A company limited by guarantee)

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

11. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted Restricted Total Restricted Total Restricted Total
funds fund funds
£ £ £
INCOME AND ENDOWMENTS FROM
Donations and legacies - 47,918 47,918
Other trading activities 1,516,484 - 1,516,484
Investment income 162,215 - 162,215
Total 1,678,699 47,918 1,726,617
EXPENDITURE ON
Raising funds 130,407 - 130,407
Charitable activities
Spot Purchases 973,275 - 973,275
Charitable activity 340,313 48,479 388,792
Governance costs 14,000 - 14,000
Total 1,457,995 48,479 1,506,474
Net gains on investments (8,100) - (8,100)
NET INCOME/(EXPENDITURE) 212,604 (561)
212,043
RECONCILIATION OF FUNDS
Total funds brought forward 7,151,470 (27,689) 7,123,781
TOTAL FUNDS CARRIED FORWARD 7,372,174 (28,250) 7,343,924
12. TANGIBLE FIXED ASSETS
Fixtures
Freehold and
property fittings
Totals
£ £ £
COST
At 1 April 2020 and 31 March 2021 710,534 18,529 729,063
DEPRECIATION
At 1 April 2020 196,707 11,392 208,099
Charge for year 10,700 3,170 13,870
At 31 March 2021 207,407 14,562 221,969
NET BOOK VALUE
At 31 March 2021 503,127 3,967 507,094
At 31 March 2020 513,827 7,137 520,964 
Included in cost or valuation of land and buildings is freehold land of £175,000
(2020 - £175,000) which is not depreciated.

continued...

Page 22

Mushkil Aasaan Limited

(A company limited by guarantee)

Notes to the Financial Statements - continued

for the Year Ended 31 March 2021

13. INVESTMENT PROPERTY

INVESTMENT PROPERTY
£
FAIR VALUE
At 1 April 2020 4,832,757
Revaluation 50,000
At 31 March 2021 4,882,757
AMORTISATION
At 1 April 2020
and 31 March 2021 632,757
NET BOOK VALUE
At 31 March 2021 4,250,000
At 31 March 2020 4,200,000

14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.21
31.3.20
£ £
Trade debtors 217,338 251,942
Provision for bad debts (99,409) (77,073)
Prepayments and accrued income 153,911 151,381
271,840 326,250
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.21
31.3.20
£ £
Tax 27,801 24,999
Social security and other taxes 33,136 28,443
Other creditors 49,146 46,642
Accruals and deferred income 86,083 70,226
196,166 170,310
PROVISIONS FOR LIABILITIES
31.3.21
31.3.20
£ £
Deferred tax 218,500 209,000

15. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

16. PROVISIONS FOR LIABILITIES

continued...

Page 23

Mushkil Aasaan Limited

(A company limited by guarantee)

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

17. MOVEMENT IN FUNDS

MOVEMENT IN FUNDS
Net
movement
At
At 1.4.20 in funds
31.3.21
£ £ £
Unrestricted funds
General fund 6,480,274 219,533 6,699,807
Revaluation Reserve 891,900 40,500 932,400
7,372,174 260,033 7,632,207
Restricted funds
Restricted Fund (28,250) (1,925)
(30,175)
TOTAL FUNDS 7,343,924 258,108 7,602,032
Net movement in funds, included in the above are as follows:
Incoming
Resources		 Gains and
Movement
resources
expended		 losses
in funds
£ £ £ £
Unrestricted funds
General fund 1,629,647 (1,410,114) - 219,533
Revaluation Reserve - - 40,500 40,500
1,629,647 (1,410,114) 40,500 260,033
Restricted funds
Restricted Fund 45,468 (47,393) - (1,925)
TOTAL FUNDS 1,675,115 (1,457,507) 40,500 258,108

Comparatives for movement in funds

Net
movement
At
At 1.4.19 in funds
31.3.20
£ £ £
Unrestricted funds
General fund 6,259,570 220,704 6,480,274
Revaluation Reserve 891,900 - 891,900
7,151,470 220,704 7,372,174
Restricted funds
Restricted Fund (27,689) (561) (28,250)
TOTAL FUNDS 7,123,781 220,143 7,343,924 
continued...

Page 24

Mushkil Aasaan Limited
(A company limited by guarantee)

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

17. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources
expended		 in funds
£ £ £
Unrestricted funds
General fund 1,678,699 (1,457,995) 220,704
Restricted funds
Restricted Fund 47,918 (48,479) (561)
TOTAL FUNDS 1,726,617 (1,506,474) 220,143

18. RELATED PARTY DISCLOSURES

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

19. POST BALANCE SHEET EVENT

Mushkil Aasaan continues to operate without a formal service level agreement
for providing homecare services. The contract was not renewed by the Wandsworth
Borough Council.

This page does not form part of the statutory financial statements

Page 25

Mushkil Aasaan Limited

(A company limited by guarantee)

Detailed Statement of Financial Activities
for the Year Ended 31 March 2021
Detailed Statement of Financial Activities
for the Year Ended 31 March 2021
31.3.21
31.3.20
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Grants 122,495
47,918
Donated services and facilities 8,622
-
131,117 47,918
Other trading activities
Spot purchase services 1,361,244 1,516,484
Investment income
Rents received 181,475
155,515
Deposit account interest 1,279
6,700
182,754 162,215
Total incoming resources 1,675,115 1,726,617
EXPENDITURE
Other trading activities
Bad debts 22,336
36,116
Investment management costs
Professional fees -
48,000
Property repairs 19,485
21,292
Tax on rental income 27,801
24,999
69,622 94,291
Charitable activities
Wages 1,114,050 1,125,355
Social security 58,953
57,745
Pensions 14,972
16,092
Rates and water 8,480
8,250
Insurance 41,393
34,741
Light and heat 7,111
5,927
Telephone 7,244
5,822
Postage and stationery 8,124
7,309
Sundries 21,205
5,897
Travelling 1,074
2,071
Audit 7,300
6,000
Accountancy 24,018
16,981
Consultancy fees 20,020
18,200
Professional fees 32,931
34,873
Repairs and maintenance 3,036
9,868
Community care 2,000
2,750
Freehold property 10,700
10,700
Fixtures and fittings 3,170
3,170
Bank interest 2,104
1,665
Bank loan interest -
2,651
1,387,885 1,376,067
Total resources expended 1,457,507 1,506,474
Net income 239,944
220,143		 
This page does not form part of the statutory financial statements

Page 26