# CORNERSTONE PENTECOSTAL CHURCH CHARITY REGISTRATION No: 1097402 **CORNERSTONE PENTECOSTAL CHURCH** ## CONTENTS Page 3 Legal and Administrative Information Page 5 Independent Examiner's Report to the Trustees Page 6 to 7 Trustees' Report Page 8 Statement of Financial Activities Page 9 Balance Sheet Pages 10 to 15 Notes to the Financial Statement 2 **CORNERSTONE PENTECOSTAL CHURCH** ## **LEGAL AND ADMINISTRATIVE INFORMATION** **CHARITY NUMBER** 1097402 **START OF FINANCIAL YEAR** 1st January 2021 **END OF FINANCIAL YEAR** 31st December 2021 ## **TRUSTEES AT 31ST DECEMBER 2021** Samuel Abdullahi David Osei‐Kwaku Keith King **LEGAL STATUS** Unincorporated Charity **GOVERNING INSTRUMENT** Declaration of Trust Dated 21st February 2003. ## **OBJECTS** (a) The advancement of the Christian religion in accordance with the statement of beliefs, set out in the first schedule and in particular in London and at the discretion of the church council elsewhere in the United Kingdom or the World. (b) The relief of poverty and sickness regardless of nationality, religious, political or other opinion in London and at the discretion of the church council elsewhere in the United Kingdom or the World ## **CORRESPONDENCE ADDRESS** c/o Wealdstone Baptist Church High Street Wealdstone Harrow Middlesex HA3 7AH 3 **CORNERSTONE PENTECOSTAL CHURCH** ## **PRIMARY BANKERS** Barclays Bank Plc Wembley & Park Royal Branch Acorn House 36 ‐ 38 Park Royal Road London NW10 7JA ## **INDEPENDENT EXAMINER** Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF 4 ## **INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS** Report to the trustees / members of Cornerstone Pentecostal Church on the accounts for the year ended 31st December 2021 set out on pages 8 to 15. ## **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 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed. It is my responsibility to: - **ꞏ** examine the accounts under section 145 of the Charities Act, - **ꞏ** to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and - **ꞏ** to state whether particular matters have come to my attention ## **Basis of independent examiner’s statement** My examination was carried out in accordance with general Directions given by the Charity Commission. 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 seeking explanations from the 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 examiner's statement** In connection with my examination, no matter has come to my attention 1. which gives me reasonable cause to believe that in, any material respect, the requirements: - **ꞏ** to keep accounting records in accordance with section 130 of the Charities Act; and **ꞏ** to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act have not been met; or 2. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. Keith Richards Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF Date: 27th October, 2022 5 **CORNERSTONE PENTECOSTAL CHURCH** ## **TRUSTEES REPORT FOR THE YEAR ENDED 31ST DECEMBER 2021** Cornerstone Church Harrow is a Bible Believing, Christ‐centered, Evangelical church that meets each Sunday in Wealdstone, Harrow where there has been an established congregation since 1999. The church‘s mission is to be a place, a home, where everyone is welcomed, and a Christian community where people are equipped to live effective Christian lives and to have an active Christian presence and impact in the local community, nationally and globally. The essence of this is captured by Cornerstone’s mission statement, **'Sharing Our Faith, Growing Healthy Christians'** and motto “ **Loving God Loving People”.** During the year Pastors Toks Odofin, Darlington Mutsekwa and John Osei Kweku continued to serve as the pastoral team. Samuel Abdullahi, David Osei‐Kwaku and Keith King remained as trustees. The church began the year in lockdown with weekly services online. The average attendance/listeners per service (online) was 30 people, which consisted of men, women and children. In early 2021 the challenges of lockdown continued. Cornerstone Church met online with weekly Sunday services, Saturday prayer sessions and monthly bible studies. The website and social media platforms were critical in the way the church reached out to its congregations and others alike. The two years of lockdown brought many changes, the core congregation reduced as members left the local area. When lockdown restrictions finally eased the church started church lunches again to re‐engage the congregation, encourage new relationships and reach out to those in the local area. The Church continued its partnership with Christian charity Compassion UK where members of the church collectively support children through sponsorship for education and medical purposes. The church also sponsors children through the charity World Vision, whose mission is to work with the poor and oppressed, to promote human transformation, seek justice and bear witness to the good news of God. **Finances:** Cornerstone’s income solely comes from the donations of its congregation. Despite the challenges faced by individuals and not being able to meet in person many of the church members continued to give. Towards the end of the year the members of the church decided to invest in a property to make best use of church funds (which were not earning any interest) and secure a steady income. At the 31[st] December 2021, the Church had net funds of **£104,649** (including a £58,000 rental investment property). ## **What’s Next?** Cornerstone Church Harrow has a vision to continue being a place of worship, that proclaims the gospel through sound biblical teaching and it’s spiritual and practical application. The church would like to see growth in the numbers of people that are part of the church, to see spiritual, personal and active growth in the members of Cornerstone, and coming together with other local churches and organizations to have a greater impact in meeting needs both locally and nationally. For 2022, the church continues to be hopeful, as God is faithful and this gives us confidence for the future. 6 CORNERSTONE PENTECOSTAL CHURCH And let us not grow weory while doing good, for in due set750n we shall reap if we do not lose heart. Galatians 6.9 Trustees Responsibllities The Charities Art 2011 require the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affair5 of the trust and of the surplus of the trust for that period. In preparing those financial statements the trustees are required to= Select suitable accounting policies and apply them consistently Make judgements and estimates that are reasonable and prudent Prepare financial statements on the going concern basis unless it is inappropriate to presume that the trust will continue in existence. The trustees are responsible for keeping proper accounting records, which disclose with reasonable accurary at any time the financial position of the trust. They are also responsible for safeguarding the assets of the trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Approved by the Trustees on ... 23KD OCT(￿ ?plt Signed on their behalf by . Printed Name: OhVlQ osEI- kwAKu **CORNERSTONE PENTECOSTAL CHURCH** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2021** 8 CORNERSTONE PEMfECOSTAL CHURCH BALANCE SHE￿ AS AT 31ST DECEMBER 2021 Unrestricled Fvnd$ Resiricied Total 2021 Total 2020 F5xed Assets T3ngiWe assets 58.009 58.000 Current Assets Debtois & Pffepayrnents Cash at bank and in h3nd 10.000 38.479 10.000 38.479 6.000 83 383 Cred4tors- Amounts tslltng due %*ithin ofte year B 1.830 1.830 1.140 NET CURRENT ASSETS 104.649 104,649 88.243 NET A55ETS 104.649 104.649 88.243 CAPITAL AND RESERVES Funds of the charity General Funds Restncted Funds 104.649 104.649 71947 16 296 Tothl 104 6d9 104.649 88.243 Approved by the Trustee5 on . Signed on their behalf by . Printed Name: Dhvio ogEI - **CORNERSTONE PENTECOSTAL CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31[st] DECEMBER 2021** ## **1. ACCOUNTING POLICIES** ## **Basis of Preparation & Assessment of Going Concern** ## **Basis of Preparation** The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2015) ‐ (Charities SORP ‐ FRS102) and the Charities Act 2011. The Charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost unless otherwise stated in the relevant accounting policy notes. ## **Assessment of Going Concern** These are only included in incoming resources (with an equivalent amount in resources expended) where the benefit to the charity is reasonably quantifiable, measurable and material. The value placed on these resources is the estimated value to the charity of the service or facility received. Preparation of the accounts is on a going concern basis. The trustees consider that there are no material uncertainties about the Charity’s ability to continue as a going concern. ## **Incoming Resources** ## _**Recognition of Incoming Resources**_ These are included in the Statement of Financial Activities (SOFA) when: - the charity becomes entitled to the resources; - the trustees are virtually certain they will receive the resources; and - the monetary value can be measured with sufficient reliability ## _**Incoming Resources with Related Expenditure**_ Where incoming resources have related expenditure (as with fundraising or contract income) the incoming resource and related expenditure are reported gross in the SOFA. ## _**Grants and Donations**_ Grants and Donations are only included in the SOFA when the charity has unconditional entitlement to the resources. ## _**Tax Reclaims on Donations and Gifts**_ Incoming resources from tax reclaims are included in the SOFA during the same period as the gift to which they relate ## _**Contractual Income and Performance Related Grants**_ This is only included in the SOFA once the related goods or services has been delivered. 10 **CORNERSTONE PENTECOSTAL CHURCH** ## **1. ACCOUNTING POLICIES (continued)** ## _**Gifts in Kind**_ Gifts in kind are accounted for at a reasonable estimate of their value to the charity or the amount actually realised. Gifts in kind for sale or distribution are included in the accounts as gifts only when sold or distributed by the charity. Gifts in kind for use by the charity are included in the SOFA as incoming resources when receivable. ## _**Donated Services and Facilities**_ These are only included in incoming resources (with an equivalent amount in resources expended) where the benefit to the charity is reasonably quantifiable, measurable and material. The value placed on these resources is the estimated value to the charity of the service or facility received. ## _**Volunteer Help**_ The value of any voluntary help received is not included in the accounts but is described in the trustees' annual report ## _**Investment Income**_ This is included in the accounts when receivable. ## _**Investment gains and losses**_ This included any gain or loss on the sale of investments and any gain or loss resulting from revaluing investments to market value at the end of the year. ## **Expenditure and Liabilities** ## _**Liability Recognition**_ Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources. ## _**Governance costs**_ Include costs of the preparation and examination of statutory accounts, the costs of the trustees meetings and cost of any legal advice to trustees on governance or constitutional matters. ## _**Grants with Performance Conditions**_ Where the charity gives a grant with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the SOFA once the recipient of the grant has provided the specified service or output. ## _**Grants payable without Performance Conditions**_ These are only recognised in the accounts when a commitment has been made and there are no conditions to be met relating to a grant which remain in control of the charity ## _**Change in Accounting Policies and Previous Accounts**_ There has been no change to the accounting policies (variation rules and methods of accounting) since last year, and no changes to the previous accounts. 11 **CORNERSTONE PENTECOSTAL CHURCH** ## **1. ACCOUNTING POLICIES (continued)** ## _**Fixed Assets**_ These are capitalised if they can be used for more than one year, and cost at least £1,800. They are valued at cost or, if gifted, at the value to the charity on receipt. ## _**Depreciation Expenses**_ Depreciation is calculated at a rate to write off the cost of tangible fixed assets on a reducing balance over their estimated useful lives. ## **2. TANGIBLE FIXED ASSETS** The Charity purchased a rental property in November 2021 for £58,000. The annual commitments under non‐cancelling operating leases and capital commitments are as follows: 31st December 2021: None 31st December 2020: None 12 **CORNERSTONE PENTECOSTAL CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS (continued)** 13 CORNERSTONE PENTECOSTAL CHURCH & RE5TAflED FUWO>' ClKd1E￿ F￿*C￿L YEAR Tr￿1 3141¢¢41 Fw 1629$ 16298 16 16 Ji-D•¢QO 16295 16.296 16 CASII AT BAIKAIID To Fund Jl.479 38.419 7. tt8TORSAflD PKPAYMEWTS Fur 31*-* 31*41 10.000 10.0 & CRENfoR&' A￿￿￿￿$ FALLI￿ ￿l￿rIllI OllE ITAR Fur F￿nd J1thc40 J1&cQl 14 **CORNERSTONE PENTECOSTAL CHURCH** ## **NOTES TO THE FINANCIAL STATEMENTS (continued)** ## **10. TRUSTEES AND OTHER RELATED PARTIES** No payments were made to trustees or any persons connected with them during this financial period. No material transaction took place between the organisation and a trustee or any person connected with them. ## **11. RISK ASSESSMENT** The trustees actively review the major risks which the charity faces on a regular basis and believe that maintaining the free reserves stated combined with the annual review of the controls over key financial systems carried out on an annual basis will provide sufficient resources in the event of adverse conditions. The trustees have also examined other operational and business risks which they face and confirm that they have established systems to mitigate the significant risks. ## **12. RESERVES POLICY** The trustees have considered the level of reserves they wish to retain, appropriate to the charity's needs. This is based on the charity's size and the level of financial commitments held. The trustees aim to ensure the charity will be able to continue to fulfil its charitable objectives even if there is a temporary shortfall in income or unexpected expenditure. The trustees will endeavour not to set aside funds unnecessarily. ## **12. PUBLIC BENEFIT** The charity acknowledges its requirement to demonstrate clearly that it must have charitable purposes or ‘aims’ that are for the public benefit. Details of how the charity has achieved this are provided in the Trustees report. The Trustees confirm that they have paid due regard to the Charity Commission guidance on public benefit before deciding what activities the charity should undertake. 15