COMPANY REGISTRATION NUMBER: 14505296 CHARITY REGISTRATION NUMBER: 1084163
BABYLON EDUCATIONAL FOUNDATION Company Limited by Guarantee Unaudited Financial Statements
31 July 2023
AL-MAHARI & CO
Chartered Certified Accountants THE WIMBLEDON ARCHES 1 ARCHWAY CLOSE LONDON SW19 8UL
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Financial Statements Year ended 31 July 2023
| Page | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 |
| Independent examiner's report to the trustees | 3 |
| Statement of financial activities (including income and | |
| expenditure account) | 4 |
| Statement of financial position | 5 |
| Accounting policies | 6 |
| Notes to the financial statements | 8 |
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 31 July 2023
The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 July 2023.
Reference and administrative details
Registered charity name
BABYLON EDUCATIONAL FOUNDATION
Charity registration number 1084163
Company registration number 14505296
Principal office and registered 424 EDGWARE ROAD office LONDON W2 1EG
The trustees
MR SHAKIR SHABAA MR NADEEM MOHAMMED MR JAWAD SHABAA
Independent examiner
SALAM HASAN BSc FCCA THE WIMBLEDON ARCHES 1 ARCHWAY CLOSE LONDON SW19 8UL
Structure, governance and management
The charity is organised so that the trustees meet at regular intervals to manage its affairs.
Objectives and activities
The charity's object and its activity continue to be that of the advancement of education and welfare of the Arabic and Kurdish speaking young people in the Greater London area. In addition, the trustees continue to reach out to support families of children in the Middle East who are being forced into shunning education in favour of joining the workforce in order to assist their families.
Strategic report
The following sections for achievements and performance and financial review form the strategic report of the charity.
Achievements and performance
The trustees consider that the performance of the charity has been satisfactory.
Financial review
The statement of financial activities shows a net surplus for the year of £66,340. The general fund stands at £112,028.
- 1 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 July 2023
The trustees' annual report and the strategic report were approved on 26 April 2024 and signed on behalf of the board of trustees by:
MR SHAKIR SHABAA Trustee
- 2 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Independent Examiner's Report to the Trustees of BABYLON EDUCATIONAL FOUNDATION
Year ended 31 July 2023
I report to the trustees on my examination of the financial statements of BABYLON EDUCATIONAL FOUNDATION ('the charity') for the year ended 31 July 2023.
Responsibilities and basis of report
As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act’).
Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 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.
Independent examiner's statement
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
-
the financial statements do not accord with those records; or
-
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair' view which is not a matter considered as part of an independent examination; or
-
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
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.
SALAM HASAN BSc FCCA Independent Examiner
THE WIMBLEDON ARCHES 1 ARCHWAY CLOSE LONDON SW19 8UL
- 3 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 31 July 2023
| 2023 | 2022 | |||
|---|---|---|---|---|
| Unrestricted | ||||
| fundsTotal funds | Total funds | |||
| Note | £ | £ | £ | |
| Income and endowments | ||||
| Donations and legacies | 4 | 301,938 | 301,938 | 247,277 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total income | 301,938 | 301,938 | 247,277 | |
| ================================ | ================================ | ================================ | ||
| Expenditure | ||||
| Expenditure on raising funds: | ||||
| Costs of raising donations and legacies | 5 | 181,599 | 181,599 | 298,856 |
| Expenditure on charitable activities | 6 | 53,999 | 53,999 | 64,103 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total expenditure | 235,598 | 235,598 | 362,959 | |
| ================================ | ================================ | ================================ | ||
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Net income/(expenditure) and net movement in funds | 66,340 | 66,340 | (115,682) | |
| ================================ | ================================ | ================================ | ||
| Reconciliation of funds | ||||
| Total funds brought forward | 45,688 | 45,688 | 161,370 | |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total funds carried forward | 112,028 | 112,028 | 45,688 | |
| ================================ | ================================ | ================================ |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 8 to 10 form part of these financial statements.
- 4 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Statement of Financial Position
| 31 July | 2023 | |||
|---|---|---|---|---|
| 2023 | 2022 | |||
| Note | £ | £ | £ | |
| Fixed assets | ||||
| Tangible fixed assets | 10 | 1 | 1 | |
| Current assets | ||||
| Debtors | 11 | 22,409 | 22,809 | |
| Cash at bank and in hand | 92,268 | 62,881 | ||
| -------------------------------- | ---------------------------- | |||
| 114,677 | 85,690 | |||
| Creditors: amounts falling due within one year | 12 | 2,650 | – | |
| -------------------------------- | ---------------------------- | |||
| Net current assets | 112,027 | 85,690 | ||
| -------------------------------- | ---------------------------- | |||
| Total assets less current liabilities | 112,028 | 85,691 | ||
| Creditors: amounts falling due after more than | ||||
| one year | 13 | – | 40,003 | |
| -------------------------------- | ---------------------------- | |||
| Net assets | 112,028 | 45,688 | ||
| ================================ | ============================ | |||
| Funds of the charity | ||||
| Unrestricted funds | 112,028 | 45,688 | ||
| -------------------------------- | ---------------------------- | |||
| Total charity funds | 14 | 112,028 | 45,688 | |
| ================================ | ============================ |
For the year ending 31 July 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
-
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476;
-
The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the board of trustees and authorised for issue on 26 April 2024, and are signed on behalf of the board by:
MR SHAKIR SHABAA Trustee
The notes on pages 8 to 10 form part of these financial statements.
- 5 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Accounting Policies
Year ended 31 July 2023
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees in the furtherance of the general objectives of the charity. Designated funds are unrestricted funds earmarked by the Management Committee for particular purposes. Restricted funds are for specific use as directed by the donor.
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
•income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
•legacy income is recognised when receipt is probable and entitlement is established.
•income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
•income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
- 6 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Accounting Policies (continued)
Year ended 31 July 2023
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
•expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
•expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
•other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Tangible assets
All fixed assets are initially recorded at cost.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Equipment
- 25% straight line
- 7 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 31 July 2023
1. General information
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 424 EDGWARE ROAD, LONDON, W2 1EG.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Limited by guarantee
Limited by guarantee.
4. Donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2023 | Funds | 2022 | |
| £ | £ | £ | £ | |
| Donations | ||||
| Donations | 219,093 | 219,093 | 169,328 | 169,328 |
| Gifts | ||||
| HMRC gift aid | 56,721 | 56,721 | 54,304 | 54,304 |
| Other donations and legacies | ||||
| Student fees | 26,124 | 26,124 | 23,645 | 23,645 |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 301,938 | 301,938 | 247,277 | 247,277 | |
| ================================ | ================================ | ================================ | ================================ |
5. Costs of raising donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2023 | Funds | 2022 | |
| £ | £ | £ | £ | |
| Costs of raising donations and | ||||
| legacies - Donations | 178,777 | 178,777 | 297,406 | 297,406 |
| Events and functions | 2,822 | 2,822 | 1,450 | 1,450 |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 181,599 | 181,599 | 298,856 | 298,856 | |
| ================================ | ================================ | ================================ | ================================ |
6. Expenditure on charitable activities by activity type
| Support | Total funds | Total fund | |
|---|---|---|---|
| costs | 2023 | 2022 | |
| £ | £ | £ | |
| Governance costs | 53,999 | 53,999 | 64,103 |
| ============================ | ============================ | ============================ |
- 8 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 July 2023
7. Independent examination fees
2023 2022 £ £ Fees payable to the independent examiner for: Independent examination of the financial statements 750 750 Other financial services 2,000 2,000 --------------------------------------------- 2,750 2,750 ======================= =======================
8. Staff costs
The average head count of employees during the year was 1 (2022: 1). The average number of full-time equivalent employees during the year is analysed as follows:
Number of staff
2023 2022 No. No. 1 1 ============== ==============
No employee received employee benefits of more than £60,000 during the year (2022: Nil).
9. Trustee remuneration and expenses
-
no remuneration or other benefits from employment with the charity or a related entity were received by the trustees; or
-
one or more trustees has been paid remuneration or received other benefits from employment with the charity or a related entity.
10. Tangible fixed assets
| Equipment | Total | |
|---|---|---|
| £ | £ | |
| Cost | ||
| At 1 August 2022 and 31 July 2023 | 8,398 | 8,398 |
| ======================= | ======================= | |
| Depreciation | ||
| At 1 August 2022 and 31 July 2023 | 8,397 | 8,397 |
| ======================= | ======================= | |
| Carrying amount | ||
| At 31 July 2023 | 1 | 1 |
| ======================= | ======================= | |
| At 31 July 2022 | 1 | 1 |
| ======================= | ======================= | |
| Debtors | ||
| 2023 | 2022 | |
| £ | £ | |
| Prepayments | 600 | 1,000 |
| Other debtors | 21,809 | 21,809 |
| ---------------------------- | ---------------------------- | |
| 22,409 | 22,809 | |
| ============================ | ============================ |
11. Debtors
- 9 -
BABYLON EDUCATIONAL FOUNDATION
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 July 2023
----- Start of picture text -----
12. Creditors: amounts falling due within one year
2023 2022
£ £
Trade creditors 2,650 –
======================= ==============
13. Creditors: amounts falling due after more than one year
2023 2022
£ £
Bank loans and overdrafts – 40,003
============== ============================
14. Analysis of charitable funds
Unrestricted funds
At
1 August 202 At
2 Income Expenditure 31 July 2023
£ £ £ £
General funds 45,688 301,938 (235,598) 112,028
============================ ================================ ================================ ================================
At
1 August 202 At
1 Income Expenditure 31 July 2022
£ £ £ £
General funds 161,370 247,277 (362,959) 45,688
================================ ================================ ================================ ============================
----- End of picture text -----
- 10 -