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2024-03-31-accounts

Charity No. 1110256 (England & Wales)

MINORITY ENTERPRISE DEVELOPMENT TRUST

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024

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 8-14

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
Cotton Court
Church Street
Preston
PR1 3BX
Bankers HSBC Bank plc
49A Fishergate
Preston
PR1 8BQ

2

MINORITY ENTERPRISE DEVELOPMENT TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024

The Trustees present their report and financial statements for the year ended 31 March 2024 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 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.

Bangor Street Community Centre (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. 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.

During the year, significant improvement works were started on the shower rooms and toilet facilities on the ground floor to allow for the addition of a sauna. The trustees believe that the sauna will be well used by gym members and the public and will provide a further draw for new users of the Centre.

The trustees are pleased to report that BSCC continues to be well supported by licensees and the local community.

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 and staff had transferred from ELC to ELCCL. The trustees have been in discussions with the existing club committees and members on how best the charity can secure the future of the club and boost participation in sport. More information on the club can be found in Note 8.

The Charity Commission have sanctioned the disposal of the land and buildings (once the transfer is complete) through a new lease at market value with ELCCL.

3

MINORITY ENTERPRISE DEVELOPMENT TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2024

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 deficit of income over expenditure in the year to 31 March 2024 was £15,852 (2023: £27,149 surplus).

The unrestricted funds amounted to £546,917 (2023: £562,769) at the end of the year.

Future activities

New tenants are being sought for the freehold investment property as the current lease expires in February 2025. The trustees are optimistic that the building will continue to be occupied without a rental void.

The charity will continue to fund the development of the facilities in BSCC, and the new sauna became operational in November 2024. It has been warmly welcomed by users.

The trustees are optimistic that all transfers of the land and buildings will have been completed by the start of the cricket season in April 2025 and the lease completed with ELCCL. A new board of ELCCL is being formed and the trustees believe that, with new strong leadership, the club can flourish encouraging a new generation to participate in sport, particularly cricket.

Through these initiatives at BSCC and ELCCL, the Charity intends to promote amateur sport and fitness to the local communities in Blackburn in furtherance of its charitable objectives.

Approved by the Trustees on 29 January 2025 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 2024 which comprise the statement of financial activities, the balance sheet and related notes set out on pages 6 to 14.

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:

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:

  2. to keep accounting records in accordance with section 130 of the Charities Act; and

  3. to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act

  4. have not been met; or

  5. 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: 29 January 2025

5

MINORITY ENTERPRISE DEVELOPMENT TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2024

Notes
Incoming resources
Incoming resources from generating
funds:
Voluntary income
2
Investment income
3
Total incoming resources
Resources expended
Costs of generating funds:
Investment management costs
4
Charitable activities
5
Governance costs
7
Total resources expended
Net (deficit)/surplus for the year
Total funds brought forward
Total funds carried forward
Unrestricted
funds
£
-
125,085
125,085
127,530
499
12,908
140,937
(15,852)
562,769
546,917
2024
Total
£
-
125,085
125,085
127,530
499
12,908
140,937
(15,852)
562,769
546,917
2023
Total
£
-
160,498
160,498
126,146
778
6,425
133,349
27,149
535,620
562,769

6

MINORITY ENTERPRISE DEVELOPMENT TRUST

BALANCE SHEET AS AT 31 MARCH 2024

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
328,800
2024
£
328,901
218,016
547,917
546,917
546,917
£
101
275,000
2023
£
275,101
287,668
85,101
191,070
83,930
228,719
276,171
58,155
312,649
24,981
562,769
562,769
562,769

The financial statements were approved by the Trustees on 29 January 2025 and signed on their behalf by:

Habiburehman Patel Khalid Saifullah Trustee Trustee

The notes on pages 8 to 14 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:

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.

Leasehold improvements are included at cost. No depreciation is provided this year as the assets have not been brought into use.

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
£
-
-
-
2024
Total
£
-
-
-
2023
Total
£
-

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
£
20,886
104,199
125,085
2024
Total
£
20,886
104,199
125,085
2023
Total
£
20,913
139,585
160,498

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
Design & app development
Subscriptions
Bank charges
Unrestricted
funds
£
46,486
739
12,366
67,352
587
127,530

Unrestricted
funds
£
499
Basis of
allocation
Direct cost
Direct cost
Direct cost
2024
Total
£
46,486
739
12,366
67,352
587
127,530
2024
Total
£
499
2024
Total
£
120
317
62
499
2023
Total
£
26,463
1,916
10,348
87,419
-
126,146
2023
Total
£
778
2023
Total
£
375
340
63
778

10

MINORITY ENTERPRISE DEVELOPMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

7. Governance costs

Accountancy fees
Independent examiner’s fees
Professional fees
Unrestricted
funds
£
4,883
675
7,350
12,908
2024
Total
£
4,883
675
7,350
12,908
2023
Total
£
4,200
600
1,625
6,425

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 2024 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
2024
Total
£
156,831
27,792
129,039
129,039
-
-
1
2023
Total
£
101,942
-
101,942
101,942
-
-
1

11

MINORITY ENTERPRISE DEVELOPMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

ELCCL was dormant in the period ended 31 March 2023. A summary of the unaudited trading results for the year ended 31 March 2024 is shown below:

East Lancashire Cricket Club 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
2024
Total
£
40,582
23,595
16,987
36,837
(19,850)
(19,850)
(19,750)

The above results do not represent a full year of trading and do not include the 2023 cricket season as the trade was only acquired from The East Lancashire Club on 1 October 2023. The cricket season runs from April to September so the income and expenditure resulting from the 2024 season will be fully reflected in next years accounts.

12

MINORITY ENTERPRISE DEVELOPMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

9. Tangible fixed assets

Cost/valuation
At 1 April 2023
Additions
At 31 March 2024
Accumulated depreciation
At 1 April 2023
Charge for year
At 31 March 2024
At 31 March 2024
At 31 March 2023
Investment
property
£
275,000
-
275,000
-
-
-
275,000
275,000
Leasehold
improvements
£
-
53,800
53,800
-
-
-
53,800
-
Total
£
275,000
53,800
328,800
-
-
-
328,800
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
2024
£
12,009
72,877
215
85,101
2023
£
11,726
71,989
215
83,930

13

MINORITY ENTERPRISE DEVELOPMENT TRUST

NOTES TO THE FINANCIAL STATEMENTS

11. Creditors: Amounts falling due within one year

Trade creditors
Accruals and deferred income
Other creditors
VAT Payable
12. Analysis of net assets between funds
Fund balances at 31 March 2024
as represented by:
Tangible fixed assets
Current assets
Current liabilities
13.
Unrestricted funds
Unrestricted funds
At 1 April 2023
Incoming resources
Outgoing resources
At 31 March 2024

Purposes of unrestricted funds

All funds are available for the furtherance of the charity’s objectives.

14