Charity No. 1110256 (England & Wales)
MINORITY ENTERPRISE DEVELOPMENT TRUST
TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
MINORITY ENTERPRISE DEVELOPMENT TRUST
CONTENTS
| Legal and administrative information | 2 |
|---|---|
| Report of the trustees | 3-4 |
| Independent examiner’s report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the financial statements | 8-13 |
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MINORITY ENTERPRISE DEVELOPMENT TRUST LEGAL AND ADMINISTRATIVE INFORMATION
| Charity number | 1110256 (England & Wales) |
|---|---|
| Address | Bangor Street Community Centre |
| Norwich Street | |
| Blackburn | |
| BB1 6NZ | |
| Trustees | Tahir Mohsan |
| Habiburehman Patel | |
| Khalid Saifullah | |
| Accountants | Ambledene Accountancy |
| Cotton Court | |
| Church Street | |
| Preston | |
| PR1 3BX | |
| Independent examiner | Dr Marcie Towell PhD |
| The Storey | |
| Meeting House Lane | |
| Lancaster | |
| LA1 1TH | |
| Bankers | HSBC Bank plc |
| 49A Fishergate | |
| Preston | |
| PR1 8BQ |
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MINORITY ENTERPRISE DEVELOPMENT TRUST
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
The Trustees present their report and financial statements for the year ended 31 March 2022 and confirm they comply with the requirements of the Charities Act 2011, the trust deed and the Charities SORP (FRS 102).
The Trustees who served during the period and up to the date of this report are shown on page 2.
Structure, governance and management
Minority Enterprise Development Trust is a registered UK charity constituted on 29 October 2004 under charity number 1110256. It is an unincorporated charity and the governing document is a Trust Deed.
Objectives and activities
The objectives of the Charity as set out in the governing document are:
-
the advancement of education and training of people in need, in particular, but not exclusively ethnic-minority communities, by supporting projects that develop business skills in the community and multi-cultural and multi-racial harmony in the businesses; and
-
to promote any other charitable purpose in furtherance of the objects as the Trustees from time to time determine.
The Trustees have had due regard to the Charity Commission guidance on Public Benefit.
Achievements and performance
The Charity derives rental income from freehold investment property. The rental income which is generated from this will be used to further the objectives of the Charity.
In October 2015, the Charity tendered for and was awarded a long lease for the management of Bangor Street Community Centre (BSCC) on asset transfer from Blackburn with Darwen Borough Council (BWDBC).
BSCC continues be run for the benefit of the local community by the Charity and managed on its behalf by Bangor Street Limited (BSL), a wholly-owned subsidiary incorporated for that purpose on 1 December 2015. The trustees consider that the activities of the Community Centre are largely charitable in nature and consistent with the long-term objectives of the Charity.
The trustees are pleased to report that BSCC continues to be well supported by licensees and the local community. During the coronavirus-related lockdowns, activity in the Centre was severely restricted; however, operations returned to normal in September 2021 and the Centre is back at full capacity.
The Charity continues to fund the development of an Islamic App for children which launched in early 2022. The aim is to provide a resource that is free to use, free from adverts and able to provide young children with the basics of religion. The App will be offered to other community organisations completely free of charge.
Financial review
It is the policy of the Charity to maintain unrestricted funds at a level which equate to approximately 12 months unrestricted expenditure. This provides sufficient funds to cover management, administration, and support costs. The adequacy of the reserves policy is reviewed annually.
The surplus of income over expenditure in the year to 31 March 2022 was £28,532 (2021: £6,610). This increase was principally due to the reopening of the Bangor Street Community Centre following the Coronavirus pandemic.
The unrestricted funds amounted to £535,620 (2021: £507,088) at the end of the year.
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MINORITY ENTERPRISE DEVELOPMENT TRUST
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
Future activities
The trustees continue to fund the development of the facilities in BSCC and, on 1 April 2022, on behalf of the Charity, BSL took over the running of the gyms at the Centre following the acquisition of the gym equipment from Blackburn with Darwen Healthy Living, a long-term-licencee at the Centre. The trustees will invest in new equipment and in an upgrade of the facilities.
On 25 October 2022, the Charity incorporated a new wholly-owned subsidiary, East Lancashire Cricket Club Limited, with a view to acquiring the trade and assets of The East Lancashire Club, a Community Amateur Sports Club, which promotes participation across the local community in sport generally but, in particular, cricket, bowling and squash.
Through these two initiatives, the Charity hopes to promote amateur sport and fitness to the local communities in Blackburn in furtherance of its charitable objectives.
Approved by the Trustees on 30 January 2023 and signed on their behalf by:
Habiburehman Patel
Trustee
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MINORITY ENTERPRISE DEVELOPMENT TRUST
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF MINORITY ENTERPRISE DEVELOPMENT TRUST
I report on the financial statements of Minority Enterprise Development Trust for the year ended 31 March 2022 which comprise the statement of financial activities, the balance sheet and related notes set out on pages 6 to 13.
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:
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examine the accounts under section 145 of the Charities Act,
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● 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
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to state whether particular matters have come to my attention.
Basis of independent My examination was carried out in accordance with general examiner’s statement 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 In connection with my examination, no matter has come to my s576 statement attention:
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which gives me reasonable cause to believe that in, any material respect, the requirements:
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to keep accounting records in accordance with section 130 of the Charities Act; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act
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have not been met; or
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to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Dr Marcie Towell PhD Independent Examiner
Date: 30 January 2023
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MINORITY ENTERPRISE DEVELOPMENT TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022
| Unrestricted | 2022 | 2021 | ||
|---|---|---|---|---|
| funds | Total | Total | ||
| Notes | £ | £ | £ | |
| Incoming resources | ||||
| Incoming resources from generating | ||||
| funds: | ||||
| Voluntary income | 2 | 4,000 | 4,000 | 41,036 |
| Investment income | 3 | 138,660 | 138,660 | 68,491 |
| Total incoming resources | 142,660 | 142,660 | 109,527 | |
| Resources expended | ||||
| Costs of generating funds: | ||||
| Investment management costs | 4 | 102,096 | 102,096 | 75,067 |
| Charitable activities | 5 | 1,650 | 1,650 | 21,950 |
| Governance costs | 7 | 10,382 | 10,382 | 5,900 |
| Total resources expended | 114,128 | 114,128 | 102,917 | |
| Net surplus for the year | 28,532 | 28,532 | 6,610 | |
| Total funds brought forward | 500,478 | 500,478 | 500,478 | |
| Total funds carried forward | 535,620 | 535,620 | 507,088 |
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MINORITY ENTERPRISE DEVELOPMENT TRUST
BALANCE SHEET AS AT 31 MARCH 2022
| Notes Fixed assets Investments 8 Tangible assets 9 Current Assets Debtors 10 Cash at bank and in hand Creditors: Amounts falling due within one year 11 Net current assets Total assets less current liabilities Funds Unrestricted funds 13 Total funds |
£ 1 275,000 |
2022 £ 275,001 260,619 535,620 535,620 535,620 |
£ 1 275,000 |
2021 £ 275,001 232,087 |
|---|---|---|---|---|
| 26,515 276,182 |
7,006 293,094 |
|||
| 302,697 42,078 |
300,100 68,013 |
|||
| 507,088 | ||||
| 507,088 | ||||
| 507,088 |
The financial statements were approved by the Trustees on 30 January 2023 and signed on their behalf by:
Habiburehman Patel Khalid Saifullah Trustee Trustee
The notes on pages 8 to 13 form part of these financial statements.
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
1. Accounting policies
The financial statements have been prepared under the historical cost convention (except that investment properties are shown at market value) and in accordance the Charities SORP (FRS102) and the Charities Act 2011.
The financial statements have been prepared on a going concern basis.
The principal accounting policies, which are summarised below, have been consistently applied through this and the preceding period.
Incoming resources
All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:
-
a) Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity are recognised when the charity becomes unconditionally entitled to the grant.
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b) Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.
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c) Gifts donated for resale are included as incoming resources within activities for generating funds when they are sold.
-
d) Income from investments is included in the period in which it is receivable.
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 reported as part of the expenditure to which it relates.
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.
Tangible fixed assets
Investment properties are stated at their market value at the balance sheet date. Any movement in market value is taken through a revaluation reserve unless that would result in a deficit. A deficit is taken to the statement of financial activities. No depreciation is provided for on investment properties.
Where a property has been reclassified in the year, any movement in cost and the accumulated depreciation are adjusted through the revaluation reserve.
Taxation
The charity is exempt from UK Tax on charitable activities.
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
2. Voluntary income
| . Voluntary income |
|||
|---|---|---|---|
| Donation Income Coronavirus grant schemes |
Unrestricted funds £ - 4,000 4,000 |
2022 Total £ - 4,000 4,000 |
2021 Total £ - 41,036 |
| 41,036 |
During the year, the charity received several grants from Blackburn with Darwen Borough Council as part of the various National coronavirus support schemes in England. The grants were unconditional and form part of unrestricted funds.
3. Investment income
| . Investment income |
|||
|---|---|---|---|
| Income from UK investment property Income from community centre |
Unrestricted funds £ 20,866 117,794 138,660 |
2022 Total £ 20,866 117,794 138,660 |
2021 Total £ 22,958 45,533 |
| 68,491 |
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
4. Investment management costs
| 4. Investment management costs |
|||
|---|---|---|---|
| Light and heat Rates and water Insurance Property management charge Facilities management contracts 5. Costs of charitable activities – by fund type Support costs (note 6) 6. Analysis of support costs Graphic design Website/app development Subscriptions Bank charges |
Unrestricted funds £ 26,838 653 8,868 62,783 2,954 102,096 Unrestricted funds £ 1,650 Basis of allocation Direct cost Direct cost Direct cost Direct cost |
2022 Total £ 26,838 653 8.868 62,783 2,954 102,096 2022 Total £ 1,650 2022 Total £ 550 - 1,080 20 1,650 |
2021 Total £ 31,006 - 8,370 35,691 - |
| 75,067 | |||
| 2021 Total £ 21,950 2021 Total £ 1,950 20,000 - - 21,950 |
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
7. Governance costs
| Accountancy fees Independent examiner’s fees Legal & consultancy fees |
Unrestricted funds £ 3,780 500 6,102 10,383 |
2022 Total £ 3,780 500 6,102 10,382 |
2021 Total £ 4,200 500 1,200 |
|---|---|---|---|
| 5,900 |
8. Fixed asset Investments
The charity had one subsidiary during the year:
- (1) Bangor Street Limited was incorporated on 1 December 2015 to manage the Bangor Street Community Centre on behalf of the charity. Bangor Street Limited is 100% owned by the charity. The charity holds one ordinary share of £1 in Bangor Street Limited.
A summary of the unaudited trading results for the period ended 31 March 2022 is shown below:
| Bangor Street Limited Profit and loss account Turnover (all derived within the UK) Direct costs Gross profit Administrative expenses Profit/(loss) on ordinary activities before and after taxation Retained in subsidiary Member’s Funds |
2022 Total £ 72,892 - 72,892 72,892 - - 1 |
2021 Total £ 35,691 - |
|
|---|---|---|---|
| 35,691 35,691 |
|||
| - - 1 |
|||
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
9. Tangible fixed assets
| Tangible fixed assets | ||
|---|---|---|
| Cost/valuation At 1 April 2021 & 31 March 2022 Accumulated depreciation At 1 April 2021 & 31 March 2022 Net book values At 31 March 2022 At 31 March 2021 |
Investment property £ 275,000 - 275,000 275,000 |
Total £ 275,000 |
| - | ||
| 275,000 | ||
| 275,000 |
The investment property was valued by Peter Conroy, an RICS registered valuer, in November 2014 at an open market value of £275,000. In the opinion of the trustees, this valuation remains reasonable.
10. Debtors
| Trade debtors Amounts owed by group company Prepayments |
2022 £ 10,726 14,509 1,280 26,515 |
2021 £ 1,009 5,997 - |
|---|---|---|
| 7,006 |
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MINORITY ENTERPRISE DEVELOPMENT TRUST
NOTES TO THE FINANCIAL STATEMENTS
11. Creditors: Amounts falling due within one year
| Trade creditors Other creditors Accruals and deferred income VAT Payable 12. Analysis of net assets between funds Fund balances at 31 March 2022 as represented by: Tangible fixed assets Current assets Current liabilities 13. Unrestricted funds Unrestricted funds At 1 April 2021 Incoming resources Outgoing resources At 31 March 2022 |
||||
|---|---|---|---|---|
Purposes of unrestricted funds
All funds are available for the furtherance of the charity’s objectives.
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