**Charity No. 1110256 (England & Wales)**
## **MINORITY ENTERPRISE DEVELOPMENT TRUST**
**TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
## **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|
1
**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**|Stewart Advisory Ltd|
||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|
2
## **MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
The Trustees present their report and financial statements for the year ended 31 March 2023 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.
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 organizations 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 2023 was £27,149 (2022: £28,532).
The unrestricted funds amounted to £562,769 (2022: £535,620) at the end of the year.
3
## **MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023**
## **Future activities**
The trustees continue to fund the development of the facilities in BSCC and, on 1 April 2022, 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-licensee at the Centre. The trustees will continue to 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 (ELCCL), to acquire the trade and assets of The East Lancashire Club (ELC), a Community Amateur Sports Club, which promotes participation across the local community in sport generally but, in particular, cricket, bowling and squash.
At the date of this report, the donation of the land and buildings owned by ELC had yet to be completed but trade had transferred from ELC to ELCCL. The trustees are optimistic that all transfers will have been completed by the start of the cricket season in April 2024.
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 22 January 2024 and signed on their behalf by:
**Habiburehman Patel** Trustee
4
## **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 2023 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:
- examine the accounts under section 145 of the Charities Act,
- ● 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
- 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 s576 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:
- to keep accounting records in accordance with section 130 of the Charities Act; and
- 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.
## **Dr Marcie Towell PhD Independent Examiner**
Date: 22 January 2024
5
## **MINORITY ENTERPRISE DEVELOPMENT TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023**
|||**Unrestricted**|**2023**|**2022**|
|---|---|---|---|---|
|||**funds**|**Total**|**Total**|
||**Notes**|**£**|**£**|**£**|
|**Incoming resources**|||||
|Incoming resources from generating|||||
|funds:|||||
|Voluntary income|2|-|-|4,000|
|Investment income|3|160,498|160,498|138,660|
|**Total incoming resources**||**160,498**|**160,498**|**142,660**|
|**Resources expended**|||||
|Costs of generating funds:|||||
|Investment management costs|4|126,146|126,146|102,096|
|Charitable activities|5|778|778|1,650|
|Governance costs|7|6,425|6,425|5,900|
|**Total resources expended**||**133,349**|**133,349**|**114,128**|
|**Net surplus for the year**||**27,149**|**27,149**|**28,532**|
|Total funds brought forward||535,620|535,620|535,620|
|**Total funds carried forward**||**562,769**|**562,769**|**535,620**|
6
**MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **BALANCE SHEET AS AT 31 MARCH 2023**
|**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**|**£**
101
275,000|**2023**
**£**
**275,101**
**287,668**
**562,769**
562,769
**562,769**|**£**
1
275,000|**2022**
**£**
**275,001**
**260,619**|
|---|---|---|---|---|
||83,930
228,719||26,515
276,182||
||**312,649**
**24,981**||**302,697**
**42,078**||
||||||
|||||**535,620**|
|||||535,620|
|||||**535,620**|
The financial statements were approved by the Trustees on 22 January 2024 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.
7
## **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 summarized 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 recognized when the charity becomes unconditionally entitled to the grant.
- 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.
- 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 recognized 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.
8
**MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **2. Voluntary income**
|**.**
**Voluntary income**||||
|---|---|---|---|
|Donation Income
Coronavirus grant schemes|**Unrestricted**
**funds**
**£**
-
-
**-**|**2023**
**Total**
**£**
-
-
**-**|**2022**
**Total**
**£**
-
4,000|
||||**4,000**|
During the year and the prior year, the charity did not receive any donation income.
## **3. Investment income**
|Income from UK investment property
Income from community centre|**Unrestricted**
**funds**
**£**
20,913
139,585
**160,498**|**2023**
**Total**
**£**
20,913
139,585
**160,498**|**2022**
**Total**
**£**
20,866
117,794|
|---|---|---|---|
||||**138,660**|
9
## **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
Subscriptions
Bank charges|**Unrestricted**
**funds**
**£**
26,463
1,916
10,348
87,419
-
**126,146**
**Unrestricted**
**funds**
**£**
778
**Basis of**
**allocation**
Direct cost
Direct cost
Direct cost|**2023**
**Total**
**£**
26,463
1,916
10,348
87,419
-
**126,146**
**2023**
**Total**
**£**
778
**2023**
**Total**
**£**
375
340
63
**778**|**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**|
10
## **MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **7. Governance costs**
|Accountancy fees
Independent examiner’s fees
Legal & consultancy fees|**Unrestricted**
**funds**
**£**
4,200
600
1,625
**6,425**|**2023**
**Total**
**£**
4,200
600
1,625
**6,425**|**2022**
**Total**
**£**
3,780
500
6,102|
|---|---|---|---|
||||**10,382**|
## **8. Fixed asset Investments**
The charity had two subsidiaries 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 2023 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**||**2023**
**Total**
**£**
101,942
-
**101,942**
101,942
-
**-**
**1**|**2022**
**Total**
**£**
72,892
-|
|---|---|---|---|
||||**72,892**
72,892|
||||-
**-**
**1**|
|||||
- (2) East Lancashire Cricket Club Limited (ELCCL) was incorporated on 25 October 2022 to acquire and run The East Lancashire Club on behalf of the charity. ELCCL is 100% owned by the charity. The charity holds 100 ordinary shares of £1 in ELCCL.
ELCCL was dormant in the period ended 31 March 2023.
11
**MINORITY ENTERPRISE DEVELOPMENT TRUST**
**NOTES TO THE FINANCIAL STATEMENTS**
## **9. Tangible fixed assets**
|**Tangible fixed assets**|||
|---|---|---|
|**Cost/valuation**
At 1 April 2022 &
31 March 2023
**Accumulated depreciation**
At 1 April 2022 &
31 March 2023
**Net book values**
**At 31 March 2023**
At 31 March 2022|**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|**2023**
**£**
11,726
71,989
215
**83,930**|**2022**
**£**
10,726
14,509
1,280|
|---|---|---|
|||**26,515**|
12
## **MINORITY ENTERPRISE DEVELOPMENT TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **11. Creditors: Amounts falling due within one year**
|Trade creditors
Accruals and deferred income
VAT Payable
**12. Analysis of net assets between funds**
**Fund balances at 31 March 2023**
**as represented by:**
Tangible fixed assets
Current assets
Current liabilities
**13.**
**Unrestricted funds**
**Unrestricted funds**
At 1 April 2022
Incoming resources
Outgoing resources
**At 31 March 2023**|||||
|---|---|---|---|---|
||||||
||||||
||||||
## **Purposes of unrestricted funds**
All funds are available for the furtherance of the charity’s objectives.
13