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2022-03-31-accounts

Charity number: 1096992

PATHWAYS CHURCH

UNAUDITED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2022

PATHWAYS CHURCH

CONTENTS

Page
Reference and administrative details of the charity, its Trustees and advisers 1
Trustees' report 2 - 5
Independent examiner's report 6
Statement of financial activities 7
Balance sheet 8
Notes to the financial statements 9 - 17

PATHWAYS CHURCH

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2022

Trustees

Darren Eagles, Trustee (resigned 5 May 2022) Dan Maudhub, Trustee David Needham, Trustee (appointed 30 March 2018) Luke Wilson, Trustee (appointed 5 May 2022)

Charity registered number

1096992

Principal office

9 Ashford Road, Maidstone, Kent, ME14 5BJ

Accountants

IT & Accounting Solutions Limited, 28 Harrow Way, Maidstone, Kent, ME14 5TU

Bankers

HSBC, 1/5 Week Street, Maidstone, Kent, ME14 1QW

Page 1

PATHWAYS CHURCH

TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2022

The Trustees present their annual report together with the financial statements of the charity for the 1 April 2021 to 31 March 2022.

The charity previously traded under the former name Jubilee Church Maidstone.

Objectives and activities

l Policies and objectives

The principal objects of the charity is (a) the advancement of the Christian faith, (b) the relief of persons who are in conditions of need, hardship or distress or who are aged or sick, (c) the advancement of education on the basis of Christian principles; principally in the vicinity of Kent, but extending to national and international where deemed necessary by the trustees.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

l Strategies for achieving objectives

The heart of Pathways Church is to develop mature disciples and train leaders to see lives, communities and nations impacted and transformed to achieve their God given destiny. Pathways Church's mission statement is to be a loving family, keeping Christ at the centre as we serve our community.

l Volunteers

We rely on many in the congregation to serve and volunteer for the various church activities to function. The Trustees would like to thank all the volunteers for all their time, effort and financial resources that they have given to make this another successful year.

l Main activities undertaken to further the charity's purposes for the public benefit

• The advancement of the Christian faith - teaching and encouraging growth in the Christian Faith. As well as regular teaching and small group work at Pathways, we work together with other churches including Pathways Church’s local Anglican church, St Mary’s, in several areas.

• The prevention or relief of poverty - we have supported local families and some of our congregation with practical help and monetary support.

Strategic report

Achievements and performance

l Review of activities

Pathways Church is very much focused on being a church for the local community whilst having a global outlook and perspective. It is our aim to give those who join us the opportunity to be part of a loving, supportive, uplifting family, no matter what their background or circumstances. We encourage growth in the Christian faith and keep that central to everything we do. We work towards being a church that contributes to the life of the community that we live in. We are part of Church of the Nations (COTN) and within this, a part of ‘Acts Life Cluster’ led by Dave and Carol Cape. Our relationship with the COTN cluster churches gives us the opportunity to have a more national and international relevance, whilst enabling us to operate in our local

Page 2

PATHWAYS CHURCH

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Strategic report (continued)

Achievements and performance (continued)

community. We financially support the cluster for further advancement of the Christian faith, and for training and equipping of leaders and volunteers.

Pathways Church is very well linked with Jubilee Church in Maidstone, and enjoy a tremendous level of support from their leaders and congregation. After a year of preparation, in October 2021 we transitioned the lead role of the church from Johnny and Estelle McCabe to Ben and Kaat Doggett.

We have been meeting twice a month on the first and third Sundays, for a celebration service - which includes a time of fellowship, worship and teaching. This has now returned to being an in person gathering after a long period of meeting over Zoom during the Covid lockdowns. We have continued to offer Zoom for those whose health or travels do not allow them to join us in person.

We also meet weekly during term time in smaller groups to encourage our faith, to worship and develop a sense of belonging in a family. This happens in the homes of various people within the congregation.

We continue to support the local community in a variety of practical ways such as joining with litter picking mornings and volunteering to staff community events.

In August 2021 we also held a weekend away in Hertfordshire. Most of the church were able to join for an excellent weekend of fellowship, fun and growing in our Christian faith.

Pathways Church supports Louise Buys financially. She is part of Koinonia Church in Modimolle, South Africa and heads up a Bible teaching school. Louise has been connected with Pathways Church since its launch, and reports back regularly on the work she does to promote the Christian faith.

Acts Life Cluster

Although a separate charity, Pathways Church donates a monthly contribution to facilitate the continued training and equipping of leaders and volunteers from churches in the UK, as well as churches in Jamaica, South Africa, Ukraine and Sri Lanka.

Financial review

l Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

l Reserves policy

The trustees aim to maintain free reserves in unrestricted funds at a level which equates to approximately three months of unrestricted charitable expenditure.

l Principal funding

The primary source of income remains tithes and offerings from the local congregation.

Page 3

PATHWAYS CHURCH

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Structure, governance and management

l Constitution

Pathways Church is a registered charity, number 1096992, and is constituted under a Trust deed.

l Methods of appointment or election of Trustees

The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.

l Organisational structure and decision-making policies

Charity Trustees are defined as the people responsible for controlling the management and administration of the Charity. The Trustees are committed to give time to the efficient administration of the charity and the fulfillment of its charitable objectives. They are selected on the basis of their relevant experience and skills and take an active part in the running of the Charity.

The spiritual leadership of the church rests with the Elders as church leadership. The Elders set out the vision and activities to fulfil the vision; whilst the Trustees set out the legal requirements or restrictions that would allow or prevent the activities from taking place.

The Trustees are responsible for ensuring that the Charity fulfills its aims and objectives by monitoring budgets and managing risk. It is the Eldership team who oversee the day-to-day expenditure and decision-making of the church.

Page 4

PATHWAYS CHURCH

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2022

Statement of Trustees' responsibilities

The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. 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.

Approved by order of the members of the board of Trustees on 19 October 2022 and signed on their behalf by:

David Needham

Page 5

PATHWAYS CHURCH

INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2022

Independent examiner's report to the Trustees of Pathways Church ('the charity')

I report to the charity Trustees on my examination of the accounts of the charity for the year ended 31 March 2022.

Responsibilities and basis of report

As the Trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').

I report in respect of my examination of the charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Your attention is drawn to the fact that the charity has prepared the accounts 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) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

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 that in any material respect:

  1. accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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.

This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity's Trustees those matters I am required to state to them in an Independent examiner'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 charity and the charity's Trustees as a body, for my work or for this report.

Signed: Dated: 19 October 2022 Marcel Jung ICPA (Fellow), FFA/FIPA, FAIA

IT & Accounting Solutions Limited Certified Public Accountants

Page 6

PATHWAYS CHURCH

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022

Note
Income from:
Donations and legacies
3
Charitable activities
4
Investments
5
Total income
Expenditure on:
Charitable activities
7
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2022
£
39,372
2,325
4
41,701
35,185
35,185
6,516
34,536
6,516
41,052		 Total
funds
2022
£
39,372
2,325
4
41,701
35,185
35,185
6,516
34,536
6,516
41,052		 Total
funds
2021
£
35,004
-
7
35,011
20,558
20,558
14,453
20,083
14,453
34,536

The Statement of financial activities includes all gains and losses recognised in the year.

The notes on pages 9 to 17 form part of these financial statements.

Page 7

PATHWAYS CHURCH

BALANCE SHEET AS AT 31 MARCH 2022

Note
Fixed assets
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one
year
14
Net current assets
Total assets less current liabilities
Net assets excluding pension asset
Total net assets
Charity funds
Restricted funds
16
Unrestricted funds
16
Total funds		 7,497
33,785
41,282
(1,341)		 2022
£
1,111
1,111
39,941
41,052
41,052
41,052
-
41,052
41,052		 4,726
30,080
34,806
(974)		 2021
£
704
704
33,832
34,536
34,536
34,536
-
34,536
34,536

The financial statements were approved and authorised for issue by the Trustees on 19 October 2022 and signed on their behalf by:

David Needham

The notes on pages 9 to 17 form part of these financial statements.

Page 8

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

1. General information

Pathways Church was setup on 20 December 2002 as an unincorporated charitable trust and registered with the Charity Commission for England and Wales (charity number 1096992) on 11 April 2003. The registered address is Jubilee Resource Hub, 9 Ashford Road, Maidstone, Kent, ME14 5BJ.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements 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 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Pathways Church 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.

2.2 Income

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Grants are included in the Statement of financial activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

2.3 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Page 9

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. Accounting policies (continued)

2.3 Expenditure (continued)

Expenditure on charitable activities is incurred on directly undertaking the activities which further the charity's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

2.4 Government grants

Government grants relating to tangible fixed assets are treated as deferred income and released to the Statement of financial activities over the expected useful lives of the assets concerned. Other grants are credited to the Statement of financial activities as the related expenditure is incurred.

2.5 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.6 Tangible fixed assets and depreciation

Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following bases:

2.7 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.8 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Page 10

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

2. Accounting policies (continued)

2.9 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

2.10 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.11 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Investment income, gains and losses are allocated to the appropriate fund.

3. Income from donations and legacies

Unrestricted
funds
2022
£
Tithes and offerings
29,312
Gifts
3,485
Gift aid income
6,575
39,372		 Total
funds
2022
£
29,312
3,485
6,575
39,372		 Total
funds
2021
£
30,501
-
4,503
35,004

Page 11

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

4. Income from charitable activities

Unrestricted
funds
2022
£
Events
2,325
Investment income
Unrestricted
funds
2022
£
Investment income - local cash
4
Analysis of grants
Grants to
Institutions
2022
£
Grants, Local charities
4,585
Grants to
Institutions
2021
£
Grants, Local charities
3,363		 Total
funds
2022
£
2,325
Total
funds
2022
£
4
Grants to
Individuals
2022
£
10,546
Grants to
Individuals
2021
£
2,148		 Total
funds
2021
£
-
Total
funds
2021
£
7
Total
funds
2022
£
15,131
Total
funds
2021
£
5,511

5. Investment income

6. Analysis of grants

The charity has made the following material grants to institutions during the year:

Page 12

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

6. Analysis of grants (continued)

Name of institution
Acts Life Cluster (charity no 1098683)
Saturation Trust (charity no 1136361)		 2022
£
3,585
1,000
4,585
4,585		 2021
£
3,363
-
3,363
3,363

7. Analysis of expenditure on charitable activities

Summary by fund type

Unrestricted
funds
2022
£
Local charities
31,872
Events
3,313
35,185		 Total
2022
£
31,872
3,313
35,185		 Total
2021
£
20,558
-
20,558

8. Analysis of expenditure by activities

Local charities
Events		 Activities
undertaken
directly
2022
£
14,586
3,313
17,899		 Grant
funding of
activities
2022
£
15,131
-
15,131		 Support
costs
2022
£
2,154
-
2,154		 Total
funds
2022
£
31,871
3,313
35,185

Page 13

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

8. Analysis of expenditure by activities (continued)

Activities Grant
undertaken funding of Support Total
directly activities costs funds
2021 2021 2021 2021
£ £ £ £
Local charities 13,470 5,511 1,577 20,558

9. Independent examiner's remuneration

2022 2021
£ £
Fees payable to the charity's independent examiner for the independent
examination of the charity's annual accounts 440 440
Fees payable to the charity's independent examiner in respect of:
All other services not included above 1,000 1,000

10. Staff costs

2022
£
Wages and salaries
9,780
9,780
The average number of persons employed by the charity during the year was as follows:
2022
No.
Part time pastoral staff
3		 2021
£
10,060
10,060
2021
No.
2

No employee received remuneration amounting to more than £60,000 in either year.

Page 14

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

11. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2021 - £NIL) .

During the year ended 31 March 2022, no Trustee expenses have been incurred (2021 - £NIL) .

12. Tangible fixed assets

Cost or valuation
At 1 April 2021
Additions
At 31 March 2022
Depreciation
At 1 April 2021
Charge for the year
At 31 March 2022
Net book value
At 31 March 2022
At 31 March 2021
13.
Debtors
Due within one year
Trade debtors
Other debtors		 Music
equipment
£
1,318
806
2,124
896
231
1,127
997
422		 Office
equipment
£
1,207
-
1,207
925
168
1,093
114
282
2022
£
6,575
922
7,497		 Total
£
2,525
806
3,331
1,821
399
2,220
1,111
704
2021
£
4,503
223
4,726

Page 15

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

14. Creditors: Amounts falling due within one year

Trade creditors
Accruals and deferred income		 2022
£
351
990
1,341		 2021
£
300
674
974

15. Financial instruments

2022 2021
£ £
Financial assets
Financial assets measured at fair value through income and expenditure 33,785 30,081

Financial assets measured at fair value through income and expenditure comprise cash balances.

16. Statement of funds

Statement of funds - current year

Balance at
Balance at 1 31 March
April 2021 Income Expenditure 2022
£ £ £ £
Unrestricted funds
General Funds - all funds 34,536 41,701 (35,185) 41,052

Page 16

PATHWAYS CHURCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022

17. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted
funds
2022
£
Tangible fixed assets
1,111
Current assets
41,282
Creditors due within one year
(1,341)
Total
41,052		 Total
funds
2022
£
1,111
41,282
(1,341)
41,052

18. Related party transactions

Donations of £ Nil (2021: £12,451) were received during the year from the Trustees.

Page 17