MIDDLE EAST DEVELOPMENT SERVICES
ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023
A Company Limited by Guarantee and not having a Share Capital Registration No 04076242
Charity Registration No 1083440
MIDDLE EAST DEVELOPMENT SERVICES
LEGAL AND ADMINISTRATIVE INFORMATION
| Charity number | 1083440 |
|---|---|
| Company number | 04076242 |
| Registered office | 124 City Road |
| London | |
| EC1V 2NX | |
| ADVISORS | |
| Bankers | National Westminster Bank plc |
| 89 Mount Pleasant Road | |
| Tunbridge Wells | |
| Kent TN1 1QJ | |
| Solicitors | Wellers |
| Tennison House | |
| 45 Tweedy Road | |
| Bromley | |
| Kent BR1 3NF | |
| Accountants | Alongside Accounting |
| 124 City Road | |
| London | |
| EC1V 2NX | |
| Independent Examiner | Ashleigh Martin |
| Simple Support Solutions | |
| 4 Acomb Close | |
| NE61 2YH |
MIDDLE EAST DEVELOPMENT SERVICES
CONTENTS
ANNUAL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023 .......................................1 ......................................................................................................5 STATEMENT OF FINANCIAL ACTIVITY FOR THE YEAR ENDED 31 MARCH 2023......................................6 BALANCE SHEET AS AT 31 MARCH 2023.................................................................................................7 NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 ......................................................8
MIDDLE EAST DEVELOPMENT SERVICES
ANNUAL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023
statements of Middle East Development Services (MEDS) for the year ended 31 March 2023 which purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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 (FRS102) (effective 1 January 2015).
OBJECTIVES AND ACTIVITIES FOR THE PUBLIC BENEFIT PRINCIPAL OBJECT
The object of Middle East Development Services is the relief of poverty and the advancement of education in the areas of social and cultural awareness, healthcare and economic development in the Middle East and worldwide together with other such charitable purposes as the Trustees shall from time to time think fit.
SPECIFIC RESTRICTIONS IMPOSED BY THE GOVERNING DOCUMENT
The income of the Charity shall be applied solely towards the promotion of the objects and no part shall be paid or transferred, directly or indirectly, to profit the members of the Charity. No Trustee received any such payments in the financial year.
POLICIES
The policies adopted to attain this object have been to foster an interest in the ministries of Middle East Development Services amongst Christian people, resulting in a commitment to service and support through prayer and finance. There have been no material changes in those policies during the financial year.
ACHIEVEMENTS AND PERFORMANCE FINANCIAL REVIEW
The total income for the year was £41,684 (2022: £23,402). Total charitable expenditure was £30,372 (2022: £25,894). At 31 March 2023 the unrestricted funds were £40,490 (2021: £26,891).
Income is derived from churches, individuals and other charities and is not guaranteed. The Charity has continued its work in Northern Iraq and has earned additional income by letting parts of the premises that are currently not being used directly.
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MIDDLE EAST DEVELOPMENT SERVICES
RESERVES POLICY
The Charity remits monies to the areas of operation as needed, normally on a three to four monthly cycle. It monitors income and expenditure very closely in order to maintain a fund for working capital, which is essential to ensure the continuity of the charity and to maintain the level of service it provides. As the costs of all expatriate workers are borne by their seconding agencies, the Trustees feel that a sum equal to three months project and running expenses is a prudent reserve. In the opinion of the Trustees £5,000 is sufficient for this. As at 31 March 2023 US$ 5,809 was held in Iraq.
Due to the timing of two significant donations our year-end free reserves balance at 31 March 2023 was higher than usual, at £36,100 (2022: £22,501). We expect our continuing funding commitments and future charitable activities will mean this is used early in the coming year.
REVIEW OF ACTIVITIES
The Trustees confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the trust's aims and objectives and in planning future activities.
In the Middle East, MEDS receives all its expatriate workers by secondment from other organisations. It solicits and passes on financial support to local agencies which employ local workers and pays small amounts on a contract basis to local workers who assist in administering MEDS locally.
The Charity is grateful to unpaid volunteers, who provide office support and encourage supporters. This year, we have appointed a Bookkeeper and Company Secretary for an annual fee. Other than him, no paid staff are employed in the United Kingdom and all facilities are given freely.
OBJECTIVES ACCOMPLISHED IN THE YEAR ENDED 31 MARCH 2023
MEDS has shared in the work of a Centre for Children with special needs in Erbil, through:
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Making payments to support the staff who work at the Centre, which is a major part of the wellbeing of the children and their families and carers
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Facilitating staff training and providing opportunities to explore appropriate frameworks to strengthen local safeguarding procedures
MEDS continued to develop reading resources for primary children and their teachers:
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Five Graded Reading booklets in Sorani Kurdish and English have been used by local primary schools as the combined languages make the books a versatile resource for teachers
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The books have been used in Child Friendly spaces for vulnerable, displaced and refugee children in both Erbil area and Halabja, and are also appreciated as a useful resource serving the Kurdish community in UK
We have begun to write and publish these books in other local languages
Within the framework provided by our overall objectives and policies, our objectives for the year April 2023 to March 2024 are to:
- Continue supporting the developing work of our Arabic and Kurdish-speaking partners who run the Centre for Children with Special Needs
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MIDDLE EAST DEVELOPMENT SERVICES
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Bring suitably qualified trainers to the staff of this Centre and others like it, with skills and expertise that can serve in similar development projects, especially those addressing the needs of vulnerable and marginalised individuals and communities.
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Develop the use of Sorani Kurdish Graded Readers among the host community, offering supplementary learning resources to be used alongside currently available Readers. Produce these existing resources for children who have different mother tongues. The trustees Middle East Development Services (MEDS) for the year ended 31 March 2023 which are also purposes.
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The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, 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 (FRS102) (effective 1 January 2015).
DIRECTORS AND TRUSTEES
The directors of the charitable company (the charity) are its trustees for the purposes of charity law. The trustees and officers serving during the year were as follows:
Trustees Rev M Parker Mr J Bradley Ms C Crawford
STRUCTURE, GOVERNANCE AND MANAGEMENT
CONSTITUTION
MEDS was incorporated on 22 September 2000 under company registration number 04076242. It is a company limited by guarantee and not having a Share Capital. It was registered with the Charity Commission under number 1083440. The trustees are also the directors.
APPOINTMENT OF TRUSTEES
The existing Trustees appoint new Trustees on the basis of the skills required. Prior to appointment, prospective Trustees are invited to talk with the chairman and a decision is made whether or not to invite them to become Trustees. If invited to join, they are put forward for election as Trustees at the next Annual General Meeting of the company.
The Trustees are kept well informed of the work of the charity through correspondence and personal visits.
Trustees retire by rotation in accordance with the provisions of the Articles of Association. One third of the Board retires each year.
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MIDDLE EAST DEVELOPMENT SERVICES
ORGANISATION
MEDS is directed by the Trustees, all of whom are volunteers. They meet at least twice a year to discuss the issues facing the Charity and to support and encourage the work. The board seeks to make decisions by consensus rather than majority vote, unless a vote is legally required.
TRANSACTIONS WITH TRUSTEES
No trustees received any fees or expenses during the year.
RISK MANAGEMENT
The Trustees have given careful consideration to the major risks which the Charity faces and confirm that the Programme Manager and Chair of Trustees have been given the responsibility of reviewing this at least annually. The Charity operates in an area of political tension and all practical precautions are taken to safeguard those working with it, both expatriate and national.
The charity Trustees (who are also the directors of MEDS for the purposes of company law) are responsible for preparing the Report of the Trustees and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the charity Trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the company for that period.
In preparing the financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity 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 MEDS 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 MEDS and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the Trustees on 31st October 2023 and signed on its behalf by
Michael Parker, Chair of Trustees Company Number 04076242 England and Wales
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MIDDLE EAST DEVELOPMENT SERVICES
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2023.
purposes of company law), you are responsible for the preparation of the accounts in accordance
Having satisfied myself that the accounts of the Company are not required to be audited for this year under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect Charity Commission (under section 145(5)(b) of the 2011 Act.
I have completed my examination. I confirm that no material matters have come to my attention which gives me cause to believe that:
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accounting records were not kept in accordance with section 386 of the Companies Act 2006; or the accounts do not accord with such records; or
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the accounts do not comply with relevant accounting requirements under section 396 of the
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which is not a matter considered as part of an independent examination; or the accounts have not been prepared in accordance with the Charities SORP (FRS102).
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.
Ashleigh Martin Simple Support Solutions 4 Acomb Close NE61 2YH 31 October 2023
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MIDDLE EAST DEVELOPMENT SERVICES
STATEMENT OF FINANCIAL ACTIVITY FOR THE YEAR ENDED 31 MARCH 2023
| Note INCOME Donations and Gifts Income Tax Recoverable Rental Income Other Income TOTAL EXPENDITURE Charitable Activities: Charitable Activities Support Costs 2 TOTAL NET INCOME/(EXPENDITURE) Transfers between funds NET MOVEMENT IN FUNDS FUNDS AT 1 APRIL 2022 FUNDS AT 31 MARCH 2023 Represented by: Fixed Assets Current Assets Current Liabilities |
Unrestricted Funds £ 24,253 1,340 2,953 138 28,684 - 10,590 10,590 18,094 (4,495) 13,599 26,891 40,490 4,390 37,535 (1,435) 40,490 |
Restricted Funds £ 13,000 - - - 13,000 19,782 - 19,782 (6,782) 4,495 (2,287) 2,287 - - - - - |
2023 Total £ 37,253 1,340 2,953 138 41,684 19,782 10,590 30,372 11,312 - 11,312 29,178 40,490 4,390 37,535 (1,435) 40,490 |
2022 Total £ 19,126 1,392 2,762 122 23,402 15,203 10,691 25,894 (2,492) - |
|---|---|---|---|---|
| (2,492) 31,670 29,178 4,390 24,788 - 29,178 |
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MIDDLE EAST DEVELOPMENT SERVICES
BALANCE SHEET AS AT 31 MARCH 2023
| 2023 Note £ FIXED ASSETS 3 CURRENT ASSETS Other Debtors 4 2,732 Cash at Bank 34,803 Total current assets 37,535 CREDITORS: Amounts falling due with one year Accruals 5 (1,435) NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CAPITAL AND RESERVES Unrestricted Funds General Funds 5 Restricted Funds 6 |
2023 £ 4,390 36,100 40,490 40,490 - 40,490 |
2022 £ 1,392 23,396 24,788 - - |
2022 £ 4,390 24,788 29,178 26,891 2,287 29,178 |
|---|---|---|---|
The company was entitled to exemption from audit under s477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to accounting records and the preparation of accounts. These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small companies regime and in accordance with FRS102 SORP.
These accounts were approved by the trustees on 31st October 2023 and signed on their behalf by
Michael Parker, Chair of Trustees Company Number 04076242 England and Wales
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MIDDLE EAST DEVELOPMENT SERVICES
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023
1. Accounting Policy
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
(a) Basis of preparation and assessment of going concern
The financial statements have been prepared in accordance with 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 2015) (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Middle East Development Services meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.
a going concern. At the time of approving the accounts, the Trustees have a reasonable expectation that the Charity has adequate reserves to continue in operational existence for the foreseeable future.
(b) Reconciliation with previous Generally Accepted Accounting Practice
In preparing the accounts, the trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 a restatement of comparative items was needed. At the date of transition, no restatements were required.
(c) Income Recognition
All income is recognised once the charity has entitlement to the income, there is sufficient certainty of receipt and so it is probable that the income will be received, and the amount of income receivable can be measured reliably.
Donations are recognised when they have been received. Tax recoverable on gift aid is accounted for on the date the associated gift was received.
Investment income is recognised when received.
(d) Expenditure recognition
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Expenditure on Charitable Activities are costs incurred directly on the objects of the charity and the associated support and governance costs.
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MIDDLE EAST DEVELOPMENT SERVICES
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 (CONTINUED)
(e) Allocation of support and Governance Activities
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include head office costs, finance and governance costs which support the charitable activities. These costs have been allocated to the charitable activities concerned.
(f) Funds Accounting
Unrestricted Funds are expendable at the discretion of the Trustees in the furtherance of the Objects of the Charity.
Restricted Funds are monies raised for, and their use restricted to, a specific purpose or donation subject to conditions imposed by the donors.
(g) Tangible Fixed Assets
Tangible fixed assets comprise one building. A provision for depreciation was provided for the first four years of ownership but, the trustees consider that no further depreciation is necessary as the building is kept in good repair.
(h) Debtors
Debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid after taking account of any discounts due.
(i) Creditors
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured reliably. Creditors and provisions are measured at their settlement amount after allowing for any discounts.
(j) Financial Instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
(k) Foreign currency
Foreign currencies have been converted using the year end exchange rate of
£1 = 1.2002 USD
£1 = 1751.49 IQD
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MIDDLE EAST DEVELOPMENT SERVICES
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 (CONTINUED) 2. Expenditure
| Unrestricted Funds £ Charitable activities - Administrative expenses 3,986 Wages and salaries 1,476 Premises costs 2,625 Professional fees 2,027 Independent examination 475 10,589 3. Tangible Fixed Assets Freehold Property Cost At 1 April 2022 and at 31 March 2023 Depreciation At 1 April 2022 and at 31 March 2023 Net Book Value At 31 March 2023 At 31 March 2022 4. Other Debtors Income Tax Recoverable 5. Creditors: amounts falling due within one year Accruals |
Restricted Funds £ 19,782 - - - - - 19,782 £ 7,314 2,924 4,390 4,390 2023 £ 2,732 2,732 2023 £ 1,435 1,435 |
2023 Total £ 19,782 3,986 1,476 2,625 2,027 475 30,371 2022 £ 1,392 1,392 2022 £ - - |
2022 Total £ 15,203 8,818 1,083 - 790 - 25,894 |
||
|---|---|---|---|---|---|
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MIDDLE EAST DEVELOPMENT SERVICES
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 (CONTINUED)
6. Unrestricted Funds General Fund
| At 1 April 2022 Income Expenditure Transfer to Ankawa Rejin Center Fund At 31 March 2023 |
Income and Expenditure Account Revalution Reserve £ £ 22,501 4,390 28,684 - (10,590) - (4,495) 36,100 4,390 |
Total £ 26,891 28,684 (10,590) (4,495) 40,490 |
|---|---|---|
7. Restricted Funds
| At 1 April 2022 Income Expenditure Transfer from General Fund At 31 March 2023 |
Ankawa Rejin Center Fund £ 2,287 13,000 (19,782) 4,495 - |
Total £ 2,287 13,000 (19,782) 4,495 - |
|---|---|---|
The Ankawa Rejin centre fund consists of donations specifically given for the support of work at the Ankawa Rejin Centre.
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(a) The Company is limited by guarantee and has no share capital.
(b) At 31 March 2023 there were 4 members on the register (2022: 4).
(c) In accordance with the Memorandum of Association each member is liable for such sum, not exceeding £10, as may be required in the event of the company being wound up, for the period of membership or within one year after ceasing to be a member.
9. Staff Costs
1 member of staff was directly employed in Northern Iraq during the year (2022: 1) with a wage and salary cost of £1,476 (2022: £1,083)
10. Trustees and Related Parties
No trustee received any remuneration or payment for professional or other services provided to the charity in the year (2022: Nil). No Trustee expenses were claimed (2022: Nil).
MEDS is an independent charity. There are no related party transactions to disclose (2022: nil).
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