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2021-06-30-accounts

Registered number: 5328511 Charity number: 1107956

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2021

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

CONTENTS

Page
Reference and administrative details of the Company, its Trustees and advisers 1
Trustees' report 2 - 5
Independent auditors' report on the financial statements 6 - 9
Statement of financial activities 10
Balance sheet 11 - 12
Statement of cash flows 13
Notes to the financial statements 14 - 30

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 30 JUNE 2021

Trustees

A Boshoff A Gava Miss N Heyneke

I Marais

R Harmse

C Nel

Company registered number

5328511

Charity registered number

1107956

Registered office

46 Commercial Road London E1 1LP

Independent auditors

Baldwin Scofield Limited Chartered Accountants Statutory Auditors 3 Newhouse Business Centre Old Crawley Road Horsham West Sussex RH12 4RU

Bankers

HSBC 191 High Road Loughton Essex IG10 4LN

Page 1

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 30 JUNE 2021

The Trustees present their annual report together with the audited financial statements of the Company for the 1 July 2020 to 30 June 2021. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019) as amended by Update Bulletin 1 (effective January 2019).

Since the Company qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.

Objectives and activities

Policies and objectives

The company is constituted under a Memorandum of Association dated 10 January 2005 and is a registered charity number 1107956.

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)'.

Page 2

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Achievements and performance

Review of activities

During the year under review the church continued to host Sunday celebration services, weekly homecell and prayer meetings, trainings and community outreaches for the benefit of the members of the church and local communities in and around Greater London, Kent and Essex.

Due to the national lockdown, Sunday celebration services were hosted online from the start of the financial year in July until December 2020 when churches were allowed to reopen. Online alternatives of Sunday celebration services remained available for those who preferred to not meet in person due to COVID-19.

Other meetings were also initially hosted virtually, and as government restrictions lifted, in person meetings resumed in small groups in adherence to government guidelines.

Two campuses reopened in December 2020, in Bromley by Bow in East London and in Sevenoaks in Kent. The church progressed plans to launch two new campuses in two different parts of the West of London in September 2021, to accommodate members from the surrounding areas.

The church continued to support CRC Poland throughout the period under review and continued with support to Pastors and churches India.

The COVID-19 fund continued to provide food and medical relief to those affected by the pandemic.

In addition to the above and COVID-19 support initiatives, financial contributions were made towards other missions with similar causes including:

Financial review

Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Company 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.

Reserves policy

The directors 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 level of financial commitments held. The directors 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 directors will endeavour not to set aside funds unnecessarily.

Principal risks and uncertainties

The Trustees have assessed the major risks to which the company is exposed, in particular those related to the operations and finances of the company, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.

Page 3

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Principal funding

The church’s main source of income remains donations from church members. Income increased by 27% with expenses increasing by 0.5% resulting in a net surplus of £628,947 (2020: £130,754).

Total reserves stood at £2,152,726 (2020: £1,523,779) at 30 June 2021 of which £1,213,714 (2020: £994,388) were unrestricted funds.

Structure, governance and management

Constitution

Revival Church Europe is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

Methods of appointment or election of Trustees

The management of the Company is the responsibility of the Trustees who are elected and co-opted under the terms of the Memorandum of Association.

Policies adopted for the induction and training of Trustees

The management of the company is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association.

Statement of Trustees' responsibilities

The Trustees (who are also the directors of the Company for the purposes of company law) 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).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company 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 Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 4

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

Auditors

The auditors, Baldwin Scofield Limited, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.

Approved by order of the members of the board of Trustees on 27 April 2022 and signed on their behalf by:

Miss N Heyneke

Page 5

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF REVIVAL CHURCH EUROPE

Opinion

We have audited the financial statements of Revival Church Europe (the 'charitable company') for the year ended 30 June 2021 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 6

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF REVIVAL CHURCH EUROPE (CONTINUED)

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Page 7

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF REVIVAL CHURCH EUROPE (CONTINUED)

Auditors' responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant are those that relate to the reporting framework in conformity with the requirements of the Companies Act 2006 and Charities Act 2011 and the relevant direct and indirect tax compliance regulations in the United Kingdom.

We understood how the charitable company is complying with those frameworks by making enquiries of management to understand how the charitable company maintains and communicates its policies and procedures in these areas and corroborated this by reviewing supporting documentation and minutes of meetings of those charged with governance.

We assessed the susceptibility of the charity’s financial statements to material misstatement, including how fraud might occur by considering the risk of management override to be a fraud risk. In addition, we considered the risk of management override by sampling from the entire population of journals, identifying specific transactions which did not meet our expectations based on specific criteria and investigated these to gain an understanding and then agree back to source documentation.

Based on this understanding we designed our audit procedures to identify noncompliance with such laws and regulations. Our procedures involved verifying that material transactions were recorded in compliance with Financial Reporting Standards in conformity with the requirements of the Companies Act 2006 and Charities Act 2011.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.

Page 8

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF REVIVAL CHURCH EUROPE (CONTINUED)

Use of our report

This report is made solely to the charitable company's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company's trustees those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Baldwin Scofield Limited

Chartered Accountants Statutory Auditors 3 Newhouse Business Centre Old Crawley Road Horsham West Sussex RH12 4RU 27 April 2022

Baldwin Scofield Limited are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 9

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 JUNE 2021

Note
Income from:
Donations and legacies
3
Charitable activities
4
Other trading activities
5
Investments
6
Total income
Expenditure on:
Raising funds
Charitable activities
7
Total expenditure
Net income before net (losses)/gains
on investments
Net (losses)/gains on investments
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Restricted
funds
2021
£
597,181
-
-
1,100
598,281
-
188,660
188,660
409,621
-
409,621
529,391
409,621
939,012		 Unrestricted
funds
2021
£
1,841,623
47,163
12,705
-
1,901,491
9,613
1,664,951
1,674,564
226,927
(7,601)
219,326
994,388
219,326
1,213,714		 Total
funds
2021
£
2,438,804
47,163
12,705
1,100
2,499,772
9,613
1,853,611
1,863,224
636,548
(7,601)
628,947
1,523,779
628,947
2,152,726		 Total
funds
2020
£
1,909,934
30,950
32,896
-
1,973,780
7,293
1,848,144
1,855,437
118,343
12,411
130,754
1,393,025
130,754
1,523,779

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

The notes on pages 14 to 30 form part of these financial statements.

Page 10

REVIVAL CHURCH EUROPE (A company limited by guarantee) REGISTERED NUMBER: 5328511

BALANCE SHEET AS AT 30 JUNE 2021

Note
Fixed assets
Tangible assets
12
Investments
14
Investment property
13
Current assets
Debtors
15
Investments
16
Cash at bank and in hand
Creditors: amounts falling due within one
year
17
Net current assets
Creditors: amounts falling due after more
than one year
18
Total net assets
Charity funds
Restricted funds
20
Unrestricted funds
20
Total funds		 473,151
48,971
1,030,250
1,552,372
(129,657)		 2021
£
1,326,222
400
90,000
1,416,622
1,422,715
(686,611)
2,152,726
939,012
1,213,714
2,152,726		 445,366
49,520
771,737
1,266,623
(56,859)		 2020
£
313,615
400
-
314,015
1,209,764
-
1,523,779
529,391
994,388
1,523,779

The entity was entitled to exemption from audit under section 477 of the Companies Act 2006.

The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006.

However, an audit is required in accordance with section 144 of the Charities Act 2011.

The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.

The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.

Page 11

REVIVAL CHURCH EUROPE (A company limited by guarantee) REGISTERED NUMBER: 5328511

BALANCE SHEET (CONTINUED) AS AT 30 JUNE 2021

The financial statements were approved and authorised for issue by the Trustees on 27 April 2022 and signed on their behalf by:

Miss N Heyneke

The notes on pages 14 to 30 form part of these financial statements.

Page 12

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 30 JUNE 2021

Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Purchase of investment property
Net cash used in investing activities
Cash flows from financing activities
Cash inflows from new borrowing
Repayments of borrowing
Net cash provided by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2021
£
754,511
(1,110,165)
(90,000)
(1,200,165)
708,470
(4,303)
704,167
258,513
771,737
1,030,250		 2020
£
160,609
(122,372)
-
(122,372)
-
-
-
38,237
733,500
771,737

The notes on pages 14 to 30 form part of these financial statements

Page 13

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

1. General information

Revival Church Europe is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association.

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 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Revival Church Europe 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 Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

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.

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

All expenditure is inclusive of irrecoverable VAT.

2.4 Tangible fixed assets and depreciation

Tangible fixed assets costing £500 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.

Page 14

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

2. Accounting policies (continued)

2.4 Tangible fixed assets and depreciation (continued)

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following bases:

2.5 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of financial activities.

Investments in subsidiaries are valued at cost less provision for impairment.

2.6 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.

2.7 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.

2.8 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 Company 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.

2.9 Financial instruments

The Company 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.

Page 15

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

2. Accounting policies (continued)

2.10 Pensions

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 Company and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

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

3. Income from donations and legacies

Donations
Similar incoming resources
Total 2020		 Restricted
funds
2021
Unrestricted
funds
2021
£
£
597,181
1,816,437
-
25,186
597,181
1,841,623
183,869
1,726,065		 Total
funds
2021
£
2,413,618
25,186
2,438,804
1,909,934		 Total
funds
2020
£
1,880,024
29,910
1,909,934

4. Income from charitable activities

Unrestricted
funds
2021
£
Income from charitable activities
47,163
Total 2020
30,950		 Total
funds
2021
£
47,163
30,950		 Total
funds
2020
£
30,950

Page 16

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

5. Income from other trading activities

Income from non charitable trading activities

Unrestricted
funds
2021
£
Trading income - charity shop
12,010
Trading income - fundraising
695
12,705
Total 2020
32,896
6.
Investment income
Restricted
funds
2021
£
Investment income - local investment properties
1,100
7.
Analysis of expenditure on charitable activities
Summary by fund type
Restricted
funds
2021
Unrestricted
funds
2021
£
£
Direct costs of charitable activities
188,660
1,664,951
Total 2020
255,792
1,592,352		 Total
funds
2021
£
12,010
695
12,705
32,896
Total
funds
2021
£
1,100
Total
funds
2021
£
1,853,611
1,848,144		 Total
funds
2020
£
19,634
13,262
32,896
Total
funds
2020
£
-
Total
funds
2020
£
1,848,144

Page 17

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

8. Analysis of expenditure by activities

Direct costs of charitable activities
Total 2020		 Activities
undertaken
directly
2021
£
1,844,023
1,841,544		 Support
costs
2021
£
9,588
6,600		 Total
funds
2021
£
1,853,611
1,848,144		 Total
funds
2020
£
1,848,144

Analysis of direct costs

Staff costs
Depreciation
Bookshop and student resources
Conferences, events and seminars
Gifts and donations
Professional fees
Materials and equipment
Premises costs
Mortgage interest
Support church plant
Support other ministries
Travelling and subsistence
Venue hire
Communications
Resources
Bank charges
Accounting and legal fees
Hospitality
Miscellaneous
Member donations		 Total
funds
2021
£
813,484
97,558
-
134,154
87,522
49,838
56,479
215,258
8,754
28,900
48,369
98,828
141,384
19,843
462
12,456
19,574
215
10,945
-
1,844,023		 Total
funds
2020
£
718,428
95,276
898
136,949
55,365
5,411
60,952
191,825
-
49,962
115,803
127,189
230,615
24,815
255
12,383
2,686
1,606
7,726
3,400
1,841,544

Page 18

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

9. Auditors' remuneration

2021 2020
£ £
Fees payable to the Company's auditor for the audit of the Company's
annual accounts 6,900 6,600

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2021
£
734,065
63,966
15,453
813,484		 2020
£
649,401
54,580
14,447
718,428

The average number of persons employed by the Company during the year was as follows:

Activities in furtherance of organisation's objectives
Management and administration		 2021
No.
15
11
26		 2020
No.
14
10
24

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2021 2020
No. No.
In the band £60,001 - £70,000 - 1
In the band £80,001 - £90,000 - 1
In the band £130,001 - £140,000 1 -

Page 19

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

11. Trustees' remuneration and expenses

During the year, one or more Trustees has been paid remuneration or has received other benefits from an employment with the Company. The remuneration of Trustees employed as pastors of the charity is permitted under clause 7 of the Articles of Association. The church provides rented manse accomodation to the senior pastor and his family and is included under other benefits. During the year the church purchased a manse for the pastor's use which has not been evaluated under the remuneration. The value of Trustees' remuneration and other benefits was as follows:

2021 2020
£ £
I Marais Remuneration (incl. K Marais) 125,275 88,000
Pension contributions paid 2,288 2,280
Other benefits 58,358 39,703
Miss N Heyneke Remuneration 52,175 66,543
Pension contributions paid 1,565 1,560
Other benefits 924 957

During the year ended 30 June 2021, expenses were reimbursed or paid directly to 2 Trustees (2020 - to 2 Trustees) broken down as follows:

Travel
Insurance		 2021
£
13,438
3,415
16,853		 2020
£
13,857
2,820
16,677

Page 20

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

12. Tangible fixed assets

Cost or valuation
At 1 July 2020
Additions
At 30 June 2021
Depreciation
At 1 July 2020
Charge for the year
At 30 June 2021
Net book value
At 30 June 2021
At 30 June 2020		 Freehold
property
£
-
998,000
998,000
-
-
-
998,000
-		 Short-term
leasehold
property
£
18,205
-
18,205
18,204
-
18,204
1
1		 Plant and
machinery
£
741,085
81,857
822,942
506,614
79,091
585,705
237,237
234,471		 Fixtures
and fittings
£
107,539
26,910
134,449
42,449
9,426
51,875
82,574
65,090		 Computer
equipment
£
42,879
3,398
46,277
34,930
3,783
38,713
7,564
7,949		 Other fixed
assets
£
21,047
-
21,047
14,943
5,258
20,201
846
6,104		 Total
£
930,755
1,110,165
2,040,920
617,140
97,558
714,698
1,326,222
313,615

The charity has purchased freehold property amounting to £998,000 during the year for the use of the pastor as a manse. The property at Willow Farm, Chevening Road, Chipstead, Sevenoak, Kent TN13 2SB, is security for the mortgage the details of which are set out in note 18.

Page 21

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

13. Investment property

Valuation
Additions
At 30 June 2021		 Freehold
investment
property
£
90,000
90,000

The charity received by way of a gift in kind two properties at 55 Victoria Road and 17A Alma Road Great Yarmouth, Norfolk NR30 3BH. These have been included in the balance sheet at the market valuation as at 30 June 2021. The properties have been valued by Ruth Warnes, MRICS for and on behalf of Watsons, 1 Bank Plain, Norwich, NR2 4SF

14. Fixed asset investments

Cost or valuation
At 1 July 2020
At 30 June 2021
Net book value
At 30 June 2021
At 30 June 2020		 Investments
in
subsidiary
companies
£
400
400
400
400

Page 22

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

14. Fixed asset investments (continued)

Principal subsidiaries

The following were subsidiary undertakings of the Company:

Names Company Registered office or principal Principal activity Class of Holding Included in
number place of business shares consolidation
Soul Productions Ltd 08510025 46 Commercial Road, London, IT services Ordinary 100% No
E1 1LP
Mend Limited 08509910 46 Commercial Road, London, Construction and Ordinary 100% No
E1 1LP maintenance
ACTS Accounting Services Ltd 08510045 46 Commercial Road, London, Bookkeeping services Ordinary 100% No
E1 1LP
Education Champs Ltd (dormant) 08489829 46 Commercial Road, London, Child care Ordinary 100% No
E1 1LP

The financial results of the subsidiaries for the year were:

Names Income Expenditure Profit/(Loss) Net assets
£ £ / Surplus/ £
(Deficit) for
the year
£
Soul Productions Ltd - 44 (44) (10,997)
Mend Limited - 31 (31) (21,142)
ACTS Accounting Services Ltd 1,954 1,954 - 99
Education Champs Ltd (dormant) - - - 6,486

Page 23

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

15. Debtors

Due within one year
Trade debtors
Amounts owed by group undertakings
Other debtors
Prepayments and accrued income
Tax recoverable		 2021
£
20,264
45,455
24,543
288,000
94,889
473,151		 2020
£
24,950
45,455
22,565
288,000
64,396
445,366

16. Current asset investments

2021 2020
£ £
Unlisted investments 48,971 49,520

17. Creditors: Amounts falling due within one year

Bank loans
Trade creditors
Amounts owed to group undertakings
Other taxation and social security
Pension contributions payable
Other creditors
Accruals and deferred income		 2021
£
17,556
39,263
2,367
32,943
3,046
3,617
30,865
129,657		 2020
£
-
(2,371)
1,053
20,823
2,728
4,871
29,755
56,859

Page 24

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

18. Creditors: Amounts falling due after more than one year

Bank loans
Included within the above are amounts falling due as follows:
Between one and two years
Bank loans
Between two and five years
Bank loans
Over five years
Bank loans		 2021
£
686,611
2021
£
18,229
58,991
609,391		 2020
£
-
2020
£
-
-
-

The aggregate amount of liabilities payable or repayable wholly or in part more than five years after the reporting date is:

Payable or repayable by instalments 2021
£
609,391
609,391		 2020
£
-
-

The mortgage has a term of 25 years and attracts interest at 3.67% over base rate. The mortgage as stated above is secured on the charity's property Willow Farm, Chevening Road, Chipstead, Sevenoaks, Kent TN13 2SB, which was purchased on 1 March 2021 for £998,000.

19. Financial instruments

2021 2020
£ £
Financial assets
Financial assets measured at fair value through income and expenditure 1,079,221 821,257

Financial assets measured at fair value through income and expenditure comprise funds held in bank accounts and current asset investments.

Page 25

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

20. Statement of funds

Statement of funds - current year

Unrestricted funds
Designated funds
Training centre fund
General funds
General fund
Total Unrestricted funds
Restricted funds
Builders club fund
Media fund
Total of funds		 Balance at 1
July 2020
£
32,201
962,187
994,388
514,819
14,572
529,391
1,523,779		 Income
£
26,825
1,874,666
1,901,491
598,281
-
598,281
2,499,772		 Expenditure
£
(16,541)
(1,658,023)
(1,674,564)
(188,660)
-
(188,660)
(1,863,224)		 Gains/
(Losses)
£
-
(7,601)
(7,601)
-
-
-
(7,601)		 Balance at
30 June
2021
£
42,485
1,171,229
1,213,714
924,440
14,572
939,012
2,152,726

Page 26

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

20. Statement of funds (continued)

Statement of funds - prior year

Unrestricted funds
Designated funds
Training centre fund
General funds
General fund
Total Unrestricted funds
Restricted funds
Builders club fund
Media fund
Total of funds		 Balance at
1 July 2019
£
15,587
776,125
791,712
588,994
12,321
601,315
1,393,027		 Income
£
21,527
1,768,384
1,789,911
181,617
2,251
183,868
1,973,779		 Expenditure
£
(4,913)
(1,594,733)
(1,599,646)
(255,792)
-
(255,792)
(1,855,438)		 Gains/
(Losses)
£
-
12,411
12,411
-
-
-
12,411		 Balance at
30 June
2020
£
32,201
962,187
994,388
514,819
14,572
529,391
1,523,779

Restricted funds

The Builders club fund is for the purchase of new buildings and and other relevant activities relating to the development and expansion of the work of the church, including hire of venues.

The Media fund relates to bookshop activity.

Page 27

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

21. Summary of funds

Summary of funds - current year

Designated funds
General funds
Restricted funds		 Balance at 1
July 2020
£
32,201
962,187
529,391
1,523,779
Balance at
1 July 2019
£
15,587
776,125
601,315
1,393,027		 Income
£
26,825
1,874,666
598,281
2,499,772
Income
£
21,527
1,768,384
183,868
1,973,779		 Expenditure
£
(16,541)
(1,658,023)
(188,660)
(1,863,224)
Expenditure
£
(4,913)
(1,594,733)
(255,792)
(1,855,438)		 Gains/
(Losses)
£
-
(7,601)
-
(7,601)
Gains/
(Losses)
£
-
12,411
-
12,411		 Balance at
30 June
2021
£
42,485
1,171,229
939,012
2,152,726
Balance at
30 June
2020
£
32,201
962,187
529,391
Summary of funds - prior year
Designated funds
General funds
Restricted funds
1,523,779

22. Analysis of net assets between funds

Analysis of net assets between funds - current year

Tangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Restricted
funds
2021
Unrestricted
funds
2021
£
£
1,268,466
57,756
-
400
90,000
-
284,713
1,267,659
(17,556)
(112,101)
(686,611)
-
939,012
1,213,714		 Total
funds
2021
£
1,326,222
400
90,000
1,552,372
(129,657
(686,611
2,152,726

Page 28

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

22. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Restricted
funds
2020
Unrestricted
funds
2020
£
£
Tangible fixed assets
514,819
(201,204)
Fixed asset investments
-
400
Current assets
14,572
1,252,049
Creditors due within one year
-
(56,859)
Total
529,391
994,386
23.
Reconciliation of net movement in funds to net cash flow from operating activities
2021
£
Net income for the year (as per Statement of Financial Activities)
628,947
Adjustments for:
Depreciation charges
97,558
Gains/(losses) on investments
549
Increase in debtors
(24,385)
Increase/(decrease) in creditors
51,842
Net cash provided by operating activities
754,511
24.
Analysis of cash and cash equivalents
2021
£
Cash in hand
1,030,250
Total cash and cash equivalents
1,030,250		 Total
funds
2020
£
313,615
400
1,266,621
(56,859)
1,523,777
2020
£
130,754
95,276
(10,904)
(18,945)
(35,572)
160,609
2020
£
771,737
771,737

Page 29

REVIVAL CHURCH EUROPE

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

25. Analysis of changes in net debt

Cash at bank and in hand
Debt due within 1 year
Debt due after 1 year
Liquid investments		 At 1 July
2020
£
771,737
(2,728)
-
49,520
818,529		 Cash flows
£
258,513
(318)
-
(549)
257,646		 New loans
£
-
(17,556)
(686,611)
-
(704,167)		 At 30 June
2021
£
1,030,250
(20,602)
(686,611)
48,971
372,008

26. Pension commitments

The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable by the charity to the fund and amounted to £15,453 (2020: £14,447) Contributions amounting to £3,046 (2020: £2,728) were payable to the fund at the balance sheet date and are included in creditors.

27. Related party transactions

Two trustees, I Marais (together with his wife) and N Heyneke are remunerated by the charity for their work as pastors in the church. Their remuneration is disclosed in note 11.

Page 30