DRAFT BAITUL AMAN MOS UE AND CULTURAL CENTRE LIMITED COMPA,YY REC.I.STERF.D NO: 03278247 CHARITY REGISTERED NO: 1093925 101 Braintrec Street London England E2 OFT STATEMF.NT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 NOVEMBER 2023 MHC ACCOUNTANTS LTD Cliartered Accountants 22 Cavell Street, London E12HP Tel.. 020 7790 0416 email.. mhLissainf)mhc )rou .co.uk BAITUL AMAN MOS UE AND CULTURAL CENTRE LIMITED Contents Legal aiid Administrativ¢ Enfonnation Trustees Annual Report Independent Examiner" s Report InLom¢ and Expenditure Account Balance Sheet Notes forniing part of the Financial Statemenls 01 02-04 05 06 07 08-12 PAGF.-01 BAITUL AMAN MOS UE AND CULTURAL CENTRE LIMITED LEGAL AND ADMINISTRATIVE INFORMATION Chairman Shamsul Hoque General Secretory Monjur Ali Treasurer Nurul Hoque Trustees Khalil Uddin Khairul Islam Saiful151am AmirAIi Abdullah Monsur Address l O l Braintree Street I,ondon E2 OFT depend¢nt Examiner MHC Accouniants Ltd Chartered Accounlants 22 Cavell Street London EI 2FIP Bankers Lloyds Bank HSBC Bank PAGE-02 BAITUL AMAN MOSQUE AND CULTURAL CENTRE LIMITED TRUSTEES, ANLNUAL RF.PORT TO THE ACCOUNTS FOR THE YEAR ENDED 30 NOVF.MBF.R 2(123 STRCTURE, GOVERNANCE AND MAIYAGEMENT Governing Document The Charity is constitutcd as a Company limited b! guarantee and is therefore governed by its Memorandum and ArticlesofAssociation incorporated 14 Novemb¢r1996as amended by special resolution daled 15 April 2007. Appointment of trustees All membcrs are requested to send nomination of trusiees (directors) prior to the election day and are intomied of the outgoing directors. Votingi is by bal lot and 15 Supervised by two independent commissioners appointed b). the board. Trustee induction and training New trustees are briefed on their legal oblibyation under charit}, and company law, the ¢onleni of Memorandiim and Articles of Association: the committee and decision making processes and recent financial plan of-the charity. This ensures that new Iru5tees are aware of the scope of iheir responsibilities Organisation The board of truslee5 administer the charity. The board meets regularlv and is assisted by a managJement commiicee which is elected by members lo assist the board in day to dav operation5 covering religJious functions. education of all abJe groups, supervising maintenance and renovation work, collection L)f funds and other matters arising, from time io lime. All the trustees and the managemcnl committee gJive their lime freely and receive no remuneration or other financial benefits. Risk M#nagem¢nt The charity trustees have considered the major risks to ivhich the charity is exposed and have reviewed those risks and steps have been taken to address those risks as follows.. i) Health and safety disLussion at Board M¢etillg7S. 2) Financial policies and cash Ilow discussions with the bankers and frequent discussions with members. 3) Security and protection of property.. staff, volunteer5, Students and congregation with the police, security fimi, and insurance brokers. PAGE-03 Objectives And activities The Charity's object and its principal activity continues lo be that of maintaining the mosque premises for prajers and worship.. providing Islamic education, and promoting? the IslamiL faith. The Charit}. is org)anised so thal the board of directors. %￿h0 are the Trustees of the Company, Ineet regltlarly in order to managJ¢ its affairs as there is no full-time administrator. Achievements and performance l-here has been a si¢ady increase in worshipers attending the mosque. Facil ities for bathing and shrouding of dead in line with Islami¢ teachings are available in the mosque. Necessary repairs were carried out to the mosque and investment properties in order lo maintain these in good condition. Being ihe mosque was closed for refurbishment and improvemen( the donation received during the year were significantly lower than the last year. The trustee5 consider that after the improvement the mosque startcd to run in full tledge and the perfomance is very satisfactory. The educational activity of the Trust ha% been activel )' engaged in copingT with the increase in students allending, b). r¢¢ruiting part time teachers. "I'he voluni¢¢rs involved in ihis activity are an important resource in iinproving learning ¢nvironment keeping in view the core Islami¢ values. The trustees consider the perfomiance of the Charity this year has been satisfactory. Financial review The net in¢ome during the year amounted lo £176,434 followin&Tr appeals to raise funds for improvement and refurbishment of the mosque. Costs were contained within budget. The dir¢¢tors consider the tinancial position of the Charity, as shown in the Financial Ststemenis, to be satisfactory. Plans for future periods The aims ot Baitul Aman Mosque include: To connect students to authentic Islamic teachings. To build and augment Islamic knowledge so as to understand how 10 live Islam practically. To enable a positive atmosphere conductive to productive learningi and development. 'I'o incrcase student'5 love of Allah and His Messenger. To inspirc students to embody the teachings of Islam and io be productive communily role models. To in still confidence to respect others and their environments. PAGE-04 There are also plans to develop community programmes with wider community and other organisations as the trustees plaLe gTreat importance on sharing a good understanding of Islam with others whilsl gFainingy an understandinbJ ol. oiher cultures and traditions. Consideration is being given to build another floor above the secondarj, hall in order to accommodate increasing number of Madrasa attendees. Small companv provisions This report has been prepared in accordance with the provisions applicable to companies entitled lo the %mall eompanies, exemption. The trustees, annual report was approved on 12 August 2024 and signed on behalf of the board of trustees by- (Monjur Ali) General Secretory PAGE-05 BAITUL AMAN MOSQUE AND CULTURAL CENTRE LIMITED INDEPENDENT EXAMINF.R'S REPORT TO THE TRUSTEES The charity's Truslees consider that an audit is not required for this year under section 144 of the Charities Act 2011 (the Charities Act), and that an independent examination is needed. It is my responsibility to: examine the accounts under section 145(1) of the Charities Act 2011. to follow the procedures laid down in ihe general Directions given by the Charity Commission (under section 145(5)(b) of ihe 201 l Aci), and io state whether piirticular matters have come to my altention. Basis of inde endent examiner's re ort Mv examination was Larried oul in acc()rdance with &ieneral directions gyiven by the Charity Commission. An examination includes a review of the aecountinby records kept by the charity and a comparison of the accounts presenied with those records. It also includes consideration of ny unusual iiems or disclosures in the acLount8 and seeking explanations from the trustees concerningy any such malters. The procedures undertaken do not provide all the evidence that would be required in an audit. and consequently no opininn is gyiven as to ￿hether the accounts present a 'true and fair view, and the report is limited to those matters 5¢t out in thL' slalemenl below. Inde endellt exam iner's statement In connection i￿11h Ill￿ exaininalion: no material matter has come to my aitention: which gives Ine reasonable cause to believe that in, any material re5peel, Ihe requirements: to keep accounting records in accordance with section 130 of Ihe Charities Act to prepare accounts ￿..hich accord with the accounting records and Comply with the accounting requirements of the Charities Act have not been met,. or 2. lo ivhich, in my opinion, atlention should be drawn in order lo ¢nable a proper understanding of the accounis to be reached. Md Mudabbir Hussain MHC Accountants Lid Chartered Accountants 22 Cawell Sireet London EI 2HP Date.. 1210812024 PAGE-06 BAITUL AMAIY MOSQUE AND CULTURAL CENTRE LIMITED (Companv Limited bTr Guarantee) INCOME AND EXPENI)ITURE ACCOUNT FOR THE YEAR 01 DF.CEMBF.R 2022 TO 30 NOVEMBER 2023 2023 INCOME Notes Donation and Legacies Income from charitable activities Investment Income 166,658 74,386 27.770 Total Income 268,814 LESS: EXPENDITURE Accounlanc}' lees Advertising and PR Bank charges Lighi and heat Cleaning Depreciation Insurance Other legal and prol. Refreshmenl Repair and maintenance Wages and salaries 0￿7CC expenses Telephone and internet Service charg?es Sialionery and printing Subscription Water Donation 750 3,179 843 26,612 1,130 1.804 2.813 4,496 2,682 2,469 28.908 5.018 382 714 302 475 3,000 6,803 Total Expenditure 92,380 Excess of Income over Expenditure 176,434 We hereby approve the above accounts and confirm thai we have supplied all the Intormation and explanation5 requir¢d for the preparalion of these accounts. roved b (Monjur Ali) General Secretory (Nurul Hoque) Treasurer PAGE-07 BAITUL AMAN MOSQUE AND CULTURAL CENTRE LIMITED (Companv Limited bv Guarantee) BALANCE SHEET AS ON 30 NOVEMBER 2023 2023 FIXF.D ASSF.TS Tangible Assets Notes 2,758,133 CURRENT ASSETS Cash at Bank- HSBC Cash in Bank- Lloyds Cash in Bank-Lloyds [Savings] Cash in Hand 184 224,775 2,505 3.258 230,722 LESS: CURRENT LIABILITIES Amount lalling due within one year 10 (1,902) NET CURRENT ASSETS/(LIBITIES) 228,820 LESS: CREDIROTS Amouni talling due after one year. (105.350) TOTAL NET ASSETS 2,881,603 REPRESENTED BY: Fun(Js Opening Balance Add.. Excess of Income over Expenditure 2,705,169 176,434 Balance carried foThard 2,881,603 PAGE-08 BAITUL AMAN MOSQUE AND CULTURAL CENTRE LIMITED NOTES TO TEIE Accouf4TS FOR THE YEAR ENDED 30 NOVEMBER 2023 . GENF.RAL INFORMATION The Lharil>' is a public benetil entily 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 l O l Braintree Street, l.ondon E2 OFT. 2. STATEMENT OF COMPLIANCE These financial stdlements have been prepared in compliance wilh FRS 102, 'The Financial Reporting Standard dppliLdble in the UK and the Republic of Ireland,. the Statement of ReLommended Practice applicable to charities preparing! heir accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charitie SORP (FRS 102)) and the Companies Act 2006. 3. ACCOUNTING POLICIES 3.1 Basis of preparation The Sinancial statements have been prepared on the historical cost basis. a5 modified bv the revaluaiion ot certain financial assets and liabilili¢S and investment properties measured al fair value throusJh income or expenditure. The financial 5talements are prepared in sterling, which is the functional currency of the entity. 3.2 Going coD¢ern. There are no rnaterial uncertainties about the charity's abilily to continue. 3J Diselosure exemptions No cash flow statement has been presented for the company. 3.4 Judgemenls and key sources of estimation uncertainty The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and.judgiemenis are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. PAGE-09 3.5 Fund accounting Unrestricted fuiids ar¢. available for use at the discretion of the trustees to further any of the charity's purposes. Designated funds are unrestricted funds earniarked by the trustees for particular fuiure project or commitmenl. ReslriLled funds are subjected to restrictions on their expenditure declared bv the donor or through the terms of an appeal and fall inio one of two sub- classes: restricted income funds or endowment funds. 3.6 Ineom ing resources All incomingi resources are included in the statement of finan¢i81 acliviiies when entiilement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow lo the charity and the amount can be reliably measured. The lollow ing specitic policies are applied io particular categories of income.. income from donaiions or grants is recognised when there is evidenee of eniiilcmcnt to ihe gift, reLeipl is prc)bable, 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 resal¢ value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounls are included for the contribution of general volunteers, income from contracts for the suppl). of services is recogFllised with the delivery of the Lontracted service. This is classitied a5 unre51fiLled funds unless there is a conlractual requirement tor il to be Spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted. 3.7 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 headinbjs of the statement of financial aciivilies to which it relales.. expenditure on raising funds includes the costs of all fundraisinbF activities. events. non_charitable trading activities, and the sale of donated &Joods. expenditure on charitable a¢tivilies includes all costs incurred by a charity in undertaking activities that lurther ils charitable aims for the benefit ot its beneficiaries, includin&F those support costs and costs relating lo the governance of the Lharil>' apporiioned to charitable aclivilies. other expenditure includes all expenditure that is neither related to raisinb, funds for the charity nor part of its expenditure on charitable activities. All costs are allocated to expenditure categories retlecting the use of the resource. Direct costs attributable lo a sing?le aLtivity are allocated directlv to that aciivitv. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis. PAGE-10 3.8 Tangible assets Freehold Pr()perty is not depreciated a8 il is maintained to such a standard th￿ the estimated residual value is not likely to be less than the cost. 3.9 Depreciation Depreciation is calculated so as to write off the c05t or valuation of an assei, less its residual value, over the useful economic life of that asset as follows-. Fixtures and Fittings - 20 0/0 Straight line 3.10 Loalls and borrowings Loans and borrowin&Js are initially recognised at the Éraclions price. Including transition costs. Private Loans: 'Qard Hasanah" is a interest free loans from the charity's beneficiaries. which only have a moral oblisTation io repay as per agreement. Qard Hasanah is recognised when received /paid and recorded under liabil ities due ii.'iihin one year andlor more than one year. 4. LIMITED BY GUARANTEE The C.ompanv was incorporated as a company limited by guarantee and not having a share, ¢apital. Every member of Ihe company has undertaken to contribute to the assels of Ihe company, in the event of its being7 wound up while a member. within one year after ceasing to be a member, an amount not exceeding £1 00. 5. DONATIONS AND LEGACIES Particulars General Donations Gift Aid 166,658 166,658 6. INCOMING FROM CHARITABLE ACTIVITIES Particulars Juinmah Colleciions Poi Collections 56,923 1,913 Ramadan Donations, Sab-e-Qador. & Sab-e-Borat Eid Colleciions, 11.408 4,142 74J86 7. INVESTMF.NT INCOME Particulars Rental Income 27,770 27,770 PAGE-I I 8. WAGF.S, SALARIES, & NI Baitul Aman Mosque and Cultural Centre Limited has a PA YE (Pay as you earn) Scheme and registered with HMRC as an employer. Net amount ot Wages, salaries & Nl payment to Imam, Muazzin & Caretaker as an employee of Baitul Aman Mosque and Culiural Centre Limited. 9. FIXF.D ASSF.TS There are no Iixed assets reg)isler of Baitul Amiin Mosque and Cultural Centre Limited. The Executive Committee should maintain a fixed asset rcgislcr lo ¢ontrol the amount off fixed Assets. The fixed assets schedule for the year as follows: Freehold Property Fixture & Fittings Total Cost Opening Balance as at 0111212022 Addition during the Year 2,651.598 97,100 28,223 2,219 2,679,821 99,319 Closing Balance as at 3011112023 2.748,698 30,442 2,779,140 reeiation Opening Balance as at O 111212022 Charge for the year 19.203 1,804 19,203 1,804 ClosinsJ Balance as at 3011112023 21,007 21,007 NF.T BOOK VALUE as at 3011112023 2,748,698 9,435 2,758,133 10. CREDITORS-falling due within one year: Partieulxrs Mhc AcLounlanls Lid HMRC 750 1,152 1,902 PAGE-12 11. CREDITORS-falling due after more than one year: Particulars Qard Flasanah- Private Loan 105.350 105,350 11.1 Qard Hasanah- Private Loans 'Qard I lasanah" are loans from charity's beneficiaries, which are repayable on request. There is no interest due. or security given tor these loans. Long-term Qard Ha5anah l()an% have been contractually agreed with private individuals. as not repayable within 12 months. Short-terni loans can be repayable at any time. 11.2 FRS 102 Departure (Prii'atc loans disclosure) FRS I O? requires long-lerm interest free loaiis to be staled al their present value. Eflectively this would mean loan amounts states in the account are I0￿.er than the aclual amounls payable in future. This has potential to confuse the charity'5 Stakeholder, as such the trustees have opted not to follow FRS102 treatment for Ihe5e loans.