CHAI NETWORK
TRUSTEES' REPORT AND ACCOUNTS
FOR THE YEAR ENDED 31 AUGUST 2024
Charity No: 1091208
CHAI NETWORK
INDEX TO THE ACCOUNTS
| CHARITY DETAILS | 1 |
|---|---|
| TRUSTEES' ANNUAL REPORT | 2-4 |
| INDEPENDENT EXAMINER'S REPORT | 5 |
| STATEMENT OF FINANCIAL ACTIVITIES | 6 |
| BALANCE SHEET | 7 |
| NOTES TO THE ACCOUNTS | 8-11 |
CHAI NETWORK
CHARITY DETAILS
CHARITY NUMBER 1091208 TRUSTEES Bernard Verby Gary Glickman BANKERS NatWest plc PRINCIPAL OFFICE 3 Milton Crescent Cheadle Cheshire SK8 1NT
Page 1
CHAI NETWORK
TRUSTEES' REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
The trustees present their report along with the financial statements of the charity for the year 1 September 2023 to 31st August 2024. The financial statements have been prepared in accordance with the accounting policies set out on page 8 and 9 and comply with the charity's trust deed and applicable law.
Charity details
The details of the charity are given on page 1.
Constitution and objects
Chai Network is constituted under a declaration of trust dated 20th December 2001, and is a registered charity number 1091208.
The objects of the charity are to spread knowledge of the Jewish religion and culture by the following means:
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the publication of books, monographs, pamphlets and other reading material
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the holding of seminars whether residential or otherwise
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the establishment and extension of libraries
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the provision of social and recreational facilities to enable and assist in the spreading and knowledge of the Jewish religion
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such other means as the trustees shall from time to time think fit.
Objectives and activities
The main objectives are 'preparing ourselves for the ultimate redemption' and 'ensuring Jewish continuity' by reinforcing Jewish identity by providing nourishing educational and social activities, and reaching out to all, whether in times of crisis, celebration and in daily life. The charity's main income is from donations which enables the charity to achieve its objectives.
Achievements and performance
During the year the charity continued to run and expand on the following programmes and activities Youth Activities
Educational Services One to One Learning Alef Bet Club C-Kids Boys Bet Medrash Bat Mitzvah Club C-Teens Special Festival Celebrations Adult Education One to One learning Torah studies Office learning Lunch & Learn Guest Speakers JLI - Jewish Learning Institute Women programs Power Hour. Challah Bake Special Events and Guest Lectures Women's Mikva General & Ongoing Shabbat & Festival Dinners Shabbat Morning Minyan with Kiddush Bikur Cholim – Room & Board for families of patients Meals on Wheels Judaica Services www.chainetwork.com
continued
Page 2
CHAI NETWORK
TRUSTEES' REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
Review of activities and achievements during the year
Building on the success of our pilot initiative in Trafford—where we identified a strong appetite for localised support—we are pleased to report that Chabad of Trafford is now fully independent and operating outside of the Chai Network. As part of our continued commitment to expanding access to meaningful opportunities, we have launched a similar pilot in Didsbury. This initiative aims to bring the same high-quality educational, social, and spiritual programmes to a new and growing community. The pilot will allow us to assess local engagement and community needs, with the aspiration that Didsbury too will eventually become a fully independent branch, empowering local residents to lead and shape their own vibrant hub.
We provide a wide range of support services to meet the diverse needs of our community. These include weekly food packages for those facing food insecurity, a variety of in-person and online programmes for all ages, and personalised assistance to ensure no one feels isolated or alone.
Many of these services were developed or significantly expanded in response to the Covid-19 pandemic, which highlighted the importance of flexible, inclusive support. What began as emergency provision has now become an integral part of our ongoing work, ensuring that every member of the community feels connected and cared for.
The charity had an excess of expenditure over income of £39,674 in the year, as detailed on page 6 of the accounts.
Review of results for the period
Overall the charity has a net deficit of funds of £80,354, as detailed on page 7 of the accounts. Fund-raising campaigns are continuing to generate funds.
The trustees have reviewed the solvency of the charity and as a consequence have put in place a 5 year plan with the agreement of the creditors to clear the charity's debts and together with increased focus on fund raising to bring the charity's reserves back to a positive position.
Future plans
The trustees plan to continue working and increasing in the charities fundraising efforts.
Recruitment and appointment of new trustees
The appointment of new trustees is at the discretion of the serving trustees. All decisions made on behalf of the charity are made by the trustees.
Public benefit
The main activities of the charity are described in the Trustees' Report above. All the charitable activities focus on spreading knowledge of the Jewish religion and culture, and are undertaken to further charitable purposes for the public benefit.
The trustees confirm that they have complied with the duty in section 17(5) of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission.
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CHAI NETWORK
TRUSTEES' REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
Trustees' responsibilities
The trustees are required under the Charities Act 2011 to prepare financial statements for each financial year which give a true and fair view of the charity's financial activities during the year and of its financial position at the end of the year (unless the charity is entitled to prepare accounts on the alternative receipts and payments basis).
In preparing financial statements giving a true and fair view, the trustees should follow best practice and:
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(a) select suitable accounting policies and apply them consistently;
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(b) make judgements and estimates that are reasonable and prudent;
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(c) state whether applicable accounting standards and statements of recommended practice have been followed, subject to any departures disclosed and explained in the financial statements;
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(d) prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy the financial position of the charity and which enable them to ascertain the financial position of the charity and which enable them to ensure that the financial statements comply with applicable law and regulations. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report was approved by the trustees on 30 June 2025, and is signed on behalf of them all.
Bernard Verby
Gary Glickman
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CHAI NETWORK
Independent examiner's report to the trustees of Chai Network
I report on the accounts of the charity for the year 1 September 2023 to 31st August 2024, which are set out on pages 6 to 11.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this year under section 144 (2) of the Charities Act 2011 (the 2011 Act)) and that an independent examination is needed. The charity's gross income does not exceed £250,000 and I am qualified to undertake the examination by being a qualified member of ACCA.
It is my responsibility to:
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examine the accounts under section 145 of the 2011 Act;
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to follow the procedures laid down in the General Directions given by the Charity Commissioners under section 145 (5)(b) of the 2011 Act; and
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to state whether particular matters have come to my attention.
Basis of independent examiners' report
My examination was carried out in accordance with the General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and the seeking of explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and, consequently, no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.
Independent examiners' statement
In connection with my examination, no matter has come to my attention:
- which gives me reasonable cause to believe that, in any material respect, the requirements:
(a) to keep accounting records in accordance with section 130 of the 2011 Act; and
(b) to prepare accounts which accord with the accounting records and to comply with the accounting requirements of the 2011 Act
have not been met;
In connection with my examination, the following matter has come to my attention:
- to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. I refer you to note 11 of the accounts on page 11 in reference to the overall deficit in the funds of the charity.
………………………………………….
H J Pinczewski and Co Chartered Certified Accountants Rico House Upper Floor George Street Prestwich M25 9WS
Date 30 June 2025
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CHAI NETWORK
STATEMENT OF FINANCIAL ACTIVITIES
(INCLUDING INCOME AND EXPENDITURE ACCOUNT)
FOR THE YEAR ENDED 31 AUGUST 2024
| Notes INCOMING RESOURCES Donations and legacies 2 Charitable activities 3 Total income RESOURCES EXPENDED Costs of charitable activities Activities and programmes 4 General administration 4 Bank charges and interest 4 Depreciation of fixed assets 4 Loss on disposal of investments Total expenditure Reconciliation of funds Net expenditure for the year Net movement in funds Movement restricted funds Total funds brought forward Total funds carried forward 7 |
Year-ended Year-ended Year-ended 31-Aug-24 31-Aug-24 31-Aug-24 £ £ £ Restricted Unrestricted Total funds funds funds - 160,697 160,697 - 14,342 14,342 - 175,039 175,039 - 98,696 98,696 - 87,904 87,904 - 345 345 - 27,268 27,268 - 500 500 - 214,713 214,713 - (39,674) (39,674) 16,302 (16,302) (16,302) (24,378) (40,680) 0 (80,354) (80,354) |
Year-ended 31-Aug-23 |
|---|---|---|
| £ Total funds 147,208 1,524 |
||
| 148,732 | ||
| 99,089 90,407 218 28,228 0 |
||
| 217,942 | ||
| (69,210) 28,530 |
||
| (40,680) |
The statement of financial activities includes all gains and losses recognised in the period
All income and expenditure derive from continuing activities.
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CHAI NETWORK
BALANCE SHEET AS AT 31ST AUGUST 2024
| Year-ended Notes 31-Aug-24 £ Fixed assets Tangible assets 5 14,828 Investments 6 - 14,828 Currrent assets Bank 1,881 Gift Aid receivable - 1,881 Creditors: amounts falling due within one year PAYE 10,145 Net wages 30,399 Loans 37,990 Bank loan 3,004 81,538 Net current liabilities (79,657) Total assets less current liabilities (64,829) Creditors: due after more than one year Bank loan (15,525) (80,354) Funds of the charity Restricted income funds - Unrestricted income funds (80,354) Total charity funds 7 (80,354) |
Year-ended 31-Aug-23 £ 42,096 500 42,596 8,803 272 9,075 7,023 18,107 44,821 5,600 75,551 (66,476) (23,880) (16,800) (40,680) (16,302) (24,378) (40,680) |
Year-ended 31-Aug-23 |
|---|---|---|
| £ 42,096 500 |
||
| (23,880) (16,800) |
||
| (40,680) | ||
| (16,302) (24,378) |
||
| (40,680) |
Approved by the trustees on 30 June 2025 , and is signed on behalf of them all.
Bernard Verby
Gary Glickman
Page 7
CHAI NETWORK
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
(1) Accounting policies
Charity information
Chai Network is a charity registered with the Charity Commission.
1.1 Basis of preparation of accounts and accounting convention.
The accounts have been prepared on an accruals basis.
The accounts have been prepared in accordance with the charity's governing document, with applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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)' (as amended for accounting periods commencing from 1 January 2016) and with the Charities Act 2011, which have been applied consistently (except as otherwise stated). The charity is a Public Benefit Entity as defined by FRS 102.
The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The accounts have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2 Accounting period
These accounts cover the year 1 September 2023 to 31 August 2024. The comparative figures are for the year 1 September 2022 to 31 August 2023.
1.3 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Voluntary income and donations received in cash are accounted for as received by the charity. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised the time of the donation.
1.4 Costs of charitable activities
The costs of charitable activities includes all expenditure directly related to the charitable activity and fundraising ventures.
1.5 Restricted funds
Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund. Further details are given in the notes to the accounts.
1.6 Unrestricted funds
Unrestricted funds are donations and other incoming resources receivable or generated for the objects of the charity without further specified purpose and are available for general funds.
1.7 Tangible assets for use by the charity and depreciation
Tangible assets for use by the charity are stated at cost less depreciation and any impairment losses. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Mikvah on a straight line basis over 10 years Motor vehicles on a reducing balance basis 25%
The gain or loss arising on a disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
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CHAI NETWORK
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
(1) Accounting policies
1.8 Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the charity estimates the recoverable amount of the cash-generating unit to which the asset belongs.
1.9 Investments
Fixed asset investments are stated at cost less provision for diminution in value.
1.10 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.11 Critical accounting estimates and judgements
In the application of the charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
(2) Income from donations and legacies
| (2) Income from donations and legacies Donations (3) Income from charitable activities Educational services |
2024 2023 £ £ 160,697 147,208 |
| 2024 2023 £ £ 14,342 1,524 |
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CHAI NETWORK
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 31 AUGUST 2024
| (4) Costs of charitable activities | Activities | Bank | Depreciation | |||
|---|---|---|---|---|---|---|
| and | General | charges and | of fixed | Total | Total | |
| programmes | administration | interest | assets | 2024 | 2023 | |
| £ | £ | £ | £ | £ | £ | |
| Holidays and shabbat | 57,133 | 57,133 | 54,409 | |||
| Youth activities & adult education | 9,693 | 9,693 | 9,320 | |||
| Women programs | 6,430 | 6,430 | 7,670 | |||
| Social and Bikur | 12,320 | 12,320 | 15,240 | |||
| Women's Mikvah | 13,120 | 13,120 | 12,450 | |||
| Council tax | 13,550 | 13,550 | 10,610 | |||
| Insurance | 4,881 | 4,881 | 4,203 | |||
| Utilities | 18,587 | 18,587 | 18,017 | |||
| Telephone | 3,546 | 3,546 | 2,081 | |||
| Maintenance | 3,062 | 3,062 | 6,565 | |||
| Wages | 24,409 | 24,409 | 33,494 | |||
| Professional fees | - | 4,590 | ||||
| Bank charges | 1,284 | 345 | 1,629 | 218 | ||
| Depreciation of Mikvah | 24,389 | 24,389 | 24,389 | |||
| Depreciation of motor vehicles | 2,879 | 2,879 | 3,839 | |||
| Travel and other expenses | 17,293 | 17,293 | 10,847 | |||
| Interest on overdue tax | 1,292 | 1,292 | - | |||
| 98,696 | 87,904 | 345 | 27,268 | 214,213 | 217,942 | |
| (5) Tangible fixed assets for use by the charity | Building | Motor | ||||
| of Mikvah | Vehicles | Total | ||||
| Cost | £ | £ | ||||
| At 1 September 2023 | 243,892 | 25,199 | 269,091 | |||
| Additions | - | - | - | |||
| At 31 August 2024 | 243,892 | 25,199 | 269,091 | |||
| Depreciation | ||||||
| At 1 September 2023 | 213,313 | 13,682 | 226,995 | |||
| Charge for the period | 24,389 | 2,879 | 27,268 | |||
| Disposals | - | - | - | |||
| At 31 August 2024 | 237,702 | 16,561 | 254,263 | |||
| Net book value | ||||||
| 31 August 2024 | 6,190 | 8,638 | 14,828 | |||
| 31 August 2023 | 30,579 | 11,517 | 42,096 | |||
| (6) Investments | Shares | |||||
| Cost - other investments | £ | |||||
| At 1 September 2023 | 500 | |||||
| Disposals | (500) | |||||
| At August 2024 | - | |||||
| (7) Movements in funds | Balance at | Movement | Gift Aid | Funds | ||
| 01/09/2023 | restricted funds | Income | Allocation | sent out | ||
| Donation purpose | £ | £ | £ | £ | ||
| Building & maintenance of Mikvah - total | (16,302) | 16,302 | - | - | - | |
| restricted funds | ||||||
| Unrestricted funds | (24,378) | (16,302) | 164,673 | 10,366 | (214,713) | |
| Total funds | (40,680) | 164,673 | 10,366 | (214,713) | ||
| The building of the Mikveh has been completed and the restricted funds have been released. |
(8) Related party and trustee transactions
No trustees, nor any persons connected to them, have received any remuneration or expenses, and there have been no related party transactions.
Page 10
CHAI NETWORK
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 AUGUST 2024
| (9) Staff costs Wages and salaries Social security costs Average number of full time employees There were no employees with emoluments above £60,000. (10) Key management personnel compensation Wages and salaries in total of key personnel |
2024 2023 £ £ 24,409 33,494 - - |
|---|---|
| 24,409 33,494 |
|
| 2 3 |
|
| 2024 2023 £ £ 18,720 18,720 |
(11) Solvency
The trustees have reviewed the solvency of the charity and as a consequence have put in place a 5 year plan with the agreement of the creditors to clear the charity's debts and together with increased focus on fund raising to bring the charity's reserves back to a positive position.
Page 11