2021-01-31-accounts

Registered Charity No: 1114568 Company No: 05343009

WORLD CHURCH OF MESSIAH UK

(A CHARITABLE COMPANY LIMITED BY GUARANTEE)

FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JANUARY 2021

WORLD CHURCH OF MESSIAH UK

CONTENTS

	Page
Legal and administrative information	1
Trustees’ report	2 - 5
Independent Examiners report	6
Statement of financial activities	7
Balance sheet	8
Notes to the accounts	9 – 12

WORLD CHURCH OF MESSIAH UK LEGAL AND ADMINISTRATIVE INFORMATION

Name known as	Johrei Association
Trustees and directors	A De Souza Neto
	R Miyamichi
	D Artero
	E Borri Rosenthal
	K Miura
Charitable Company registration number	1114568
Company number	05343009
Principle office	Unit 2
	465a Hornsey Road
	London
	N19 4DR
Registered office	3rdFloor
	24 Old Bond Street
	London
	W1S 4AP
Independent Examiner	Price Bailey LLP
	3rdFloor
	24 Old Bond Street
	London
	W1S 4AP

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WORLD CHURCH OF MESSIAH UK A COMPANY LIMITED BY GUARANTEE WITHOUT SHARE CAPITAL TRUSTEES’ REPORT

Structure, governance and management

The Trustees, who are also the Directors of World Church of Messiah UK, for the purposes of Company Law, present their Report and Financial Statements for the year ended 31 January 2021. They comply with the current statutory requirements, the Memorandum and Articles of Association and are applicable to Charities preparing accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Companies Act 2006.

Governing document

World Church of Messiah UK is a Charitable Company limited by guarantee, incorporated on 26 January 2005. Charitable Company registration was confirmed on 6 June 2006. The Company was established under a Memorandum of Association which established the objects and powers of the Charitable Company and is governed under its Articles of Association. It is registered in the United Kingdom (Co. Number 05343009). It is registered with the Charitable Company Commission under the Charities Act 2011 (Charity Number 1114568).

Recruitment and Appointment of Trustees

The directors of the Company are also Charitable Company Trustees for the purpose of Company law and under the Company’s articles are known as members of the Board of Trustees. Under the requirements of the Memorandum and Articles of Association, at each Annual General Meeting one third of the elected Trustees or such member of elected Trustees as in nearest to one third shall retire and shall immediately be eligible for re-election. The Trustees to retire shall be those who have been in office for the longest period since their last appointment or re-appointment, but as between persons who became or were last re-appointed on the same day those to retire shall be determined by a secret ballot of all the Directors.

Risk Management

The Trustees have examined the major strategic business and operational risks which the Charitable Company faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks.

The Trustees have noted that COVID-19 could have a negative impact on the charitable company’s income and cash flows. They will take sufficient mitigating action where required, such as reducing expenditure such as travel, to ensure the charitable company can continue to settle its liabilities as they fall due for at least the next 12 months after the authorisation of these financial statements.

Despite the negative outcomes expected as a result of the COVID-19 pandemic during 2020/2021, the Charity has coped very well with all liabilities being met successfully, and we expect the Charity to continue to do so going forward.

Fundraising

Fundraising statement Section 162a of the Charities Act 2011 requires charities to make a statement regarding fundraising activities.

Although we do not undertake widespread fundraising from the general public, the legislation defines fundraising as “soliciting or otherwise procuring money or other property for charitable purposes”.

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WORLD CHURCH OF MESSIAH UK A COMPANY LIMITED BY GUARANTEE WITHOUT SHARE CAPITAL TRUSTEES’ REPORT

Such amounts receivable are presented in our accounts as “Donations and legacies” and are all voluntary in nature.

In relation to the above we confirm that all solicitations are managed internally, without involvement of commercial participators or professional fundraisers, or third parties.

Although the Charity is not required to be bound by any regulatory scheme, the Charity complies with the relevant codes of practice. We have received no complaints in relation to fundraising activities (2020 – none).

Objectives and Activities

Objectives

The purpose of the Charitable Company is to promote and advance religion and education in accordance with the doctrines of Meishu-Sama and in particular but not exclusively to benefit the public by teaching and practice of Johrei, natural farming, artistic activities and activities to aid the preservation and regeneration of the environment.

Activities

To achieve the objectives there are normally regular services of worship, provision of regular lectures/talks/workshops/courses on the doctrines of Meishu-Sama and spiritual guidance to the general public, as well as special visits by ministers of religion from Japan, Germany and other countries to deliver talks and workshops at the premises of the World Church of Messiah UK in London.

Starting from the first COVID-19 lockdown in March 2020, these face-to-face activities have moved online, focussing mainly of daily services of worship and regular study sessions on the doctrines of Meishu-Sama. These activities have remained online throughout the remainder of the period covered by the present report. About 30 volunteers remained actively involved in these activities, but mainly by providing guidance and support to members and frequenters online.

Support is also being given to a group of volunteers based in Dublin, Ireland, which would normally be in the form of regular visits by Ministers of Religion of the World Church of Messiah to provide spiritual guidance to this group. During the period of lockdowns in 2020, this support moved online with activities focussed on spiritual guidance and support to members and frequenters through virtual meetings, in close collaboration with the World Church of Messiah Ireland.

In shaping our objectives for the year and planning our activities, the Trustees have paid due regard to the Charitable Company Commission’s guidance on public benefit.

It is the judgement of the trustees that the activities in pursuit of the above objectives fully meet the public benefit test, which they have kept in mind in all operational and strategic planning decisions.

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WORLD CHURCH OF MESSIAH UK A COMPANY LIMITED BY GUARANTEE WITHOUT SHARE CAPITAL TRUSTEES’ REPORT

Achievements and Performance

The regular support and activities promoted by the Word Church of Messiah UK have resulted in a general deepening of the understanding of the doctrines of Meishu-Sama among the followers throughout the UK. Despite the closure of the London premises because of the COVID-19 pandemic, and all challenges individuals faced as a result of lockdowns and other restrictive measures, during most of the period covered in the present report the World Church of Messiah UK congregation remained strong in their faith, with a steady number actively participating in online activities.

Financial Review

The trustees continue to apply their funds in accordance with the objectives of the charity. Total receipts, on unrestricted funds totalled £84,264 (2020 - £74,493). The charity expenditure totalled £37,799 (2020 - £49,166).

Reserves

It is the policy of the Charitable Company that the unrestricted funds, not specifically designated, should be maintained at a level equivalent to between three and six months expenditure, which is considered to be a reasonable target. As funds come exclusively from voluntary donations, it is felt that if these donations ceased a six month period should be long enough to assess why donations have ceased and to seek additional funding sources.

The current level of reserves £439,143 (2020: £392,678) is in excess of this three to six month requirement and is necessary to maintain charitable operations given the current uncertainty caused by the Coronavirus Pandemic. The unrestricted funds in place as at 31 January 2021 will be essential to ensure the charity remains a going concern, and to endeavour to support the expansion of other related activities, such as Nature Farming (which forms part of the objects of the Charitable Company) in the near future. With such future investments, the Charitable Company plans to place itself in a position to further its objects more effectively.

Trustees' responsibilities statement

The trustees (who are also directors of World Church of Messiah UK for the purposes of company law) are responsible for preparing the Trustees’ Annual 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, which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP 2019 (FRS 102);

• make judgements and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

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WORLD CHURCH OF MESSIAH UK A COMPANY LIMITED BY GUARANTEE WITHOUT SHARE CAPITAL TRUSTEES’ REPORT

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

• there is no relevant audit information of which the charitable company’s independent examiner is unaware; and

• the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the independent examiner is aware of that information.

The report has been prepared having taken advantage of the small companies exemption in the Companies Act 2006.

This report was approved by the Board of Trustees and signed on its behalf by:

Director E de Souza Neto

Date: 14/12/2021

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INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF WORLD CHURCH OF MESSIAH UK – A CHARITABLE COMPANY LIMITED BY GUARANTEE

I report to the charity trustees on my examination of the accounts of the company for the year ended 31 January 2021 which are set out on pages 7 to 12.

Responsibilities and basis of report

As the charity trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or

2. the accounts do not accord with those records; or

3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or

4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Michael Cooper-Davis FCCA ACA For and on behalf of Price Bailey LLP Chartered Accountants

Price Bailey LLP 3[rd] Floor 24 Old Bond Street London W1S 4AP

Date: 20 December 2021

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WORLD CHURCH OF MESSIAH UK STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JANUARY 2021 (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT)

	Note
		2021	2020
		Unrestricted	Unrestricted
		Fund	Fund
		£	£
INCOME
Donations and legacies	2	59,264	74,493
Charitable activities	2	25,000	-
		______	______
TOTAL INCOME		84,264	74,493
		═════	═════
EXPENDITURE
Charitable activities	3	37,799	42,965
		_____	_____
TOTAL EXPENDITURE		37,799	42,965
		_____	_____
NET INCOME		46,465	31,528
		_____	_____
NET MOVEMENT IN FUNDS		46,465	31,528
TOTAL FUNDS BROUGHT FORWARD		392,678	361,150
		______	______
TOTAL FUNDS CARRIED FORWARD		439,143	392,678
		═════	═════

The Charitable Company has no recognised gains and losses and therefore no separate statement of total recognised gains and losses has been presented.

All of the Charitable Company’s activities are derived from continuing activities.

The notes on pages 9 to 12 form part of these financial statements.

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WORLD CHURCH OF MESSIAH UK BALANCE SHEET AS AT 31 JANUARY 2021 COMPANY NUMBER 05343009

	Note
		2021	2020
		£	£
CURRENT ASSETS
Debtors	6	8,508	10,514
Cash at Bank		437,308	385,995
		______	______
		445,816	396,509
CREDITORS: Amounts falling	7	(6,673)	(3,831)
due within one year		______	______
NET ASSETS		439,143	392,678
		═════	═════
GENERAL FUNDS
Unrestricted funds		439,143	392,678
		═════	═════

The notes on pages 9 to 12 form part of these financial statements.

For the year ended 31 January 2021 the Charitable Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the Charitable Company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act;

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

Approved by the Trustees on: 14/12/2021

and signed on their behalf by

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E De Souza Neto
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WORLD CHURCH OF MESSIAH UK NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 JANUARY 2021

1. Accounting policies

1.1 Basis of preparation

The financial statements have been prepared in accordance with 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 October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Companies Act 2006. The registered office is 3[rd] Floor, 24 Old Bond Street, London, W1S 4AP. The principle office is Unit 2, 465a, Hornsey Road, London, N19 4DR.

The Charitable Company meets the definition of a public benefit entity, under FRS 102. Assets and liabilities are initially recognised at historic cost or transaction value, unless otherwise stated in the accounting policy notes. The financial statements are presented in Sterling (£).

1.2 Company status

The charity is a Company limited by guarantee, incorporated in England and Wales. In the event of the Charitable Company being wound up, the liability in respect of the guarantee is limited to £1 per member of the Charitable Company.

1.3 Income

Donations and gifts are accounted for on a received basis. No amounts are included in the financial statements for services donated by volunteers.

Income from grants (including government grants) are recognised when the charity has established entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

1.4 Expenditure

Expenses are accounted for on an accruals basis.

Charitable activities are those costs incurred directly in support of expenditure on the objects of the Charitable Company. Governance costs are those incurred in connection with administration of the Charitable Company and compliance with constitutional and statutory requirements.

1.5 Taxation

The Company is accepted as a Charitable Company for tax purposes. It is, therefore, exempt from tax on its income and gains to the extent that income and gains are applicable to and are applied for charitable purposes only.

1.6 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 Charitable Company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charitable Company for particular purposes.

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WORLD CHURCH OF MESSIAH UK NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 JANUARY 2021 (continued)

1.7 Going Concern

The financial statements have been prepared on a going concern basis which forecasts that the Company will have adequate resources to continue in operational existence for a period of at least 12 months from the date of this financial report.

The trustees have reviewed the charity’s requirements to remain a going concern for a period of more than 12 months from the date of approval of these financial statements. Despite factoring in reasonable downsides to their review, the trustees are confident that the charity has sufficient resources so as to meet the liabilities of the charity as they fall due.

As part of their review the trustees have additionally considered the implications of the current Coronavirus Pandemic on the going concern assumption.

The economic impact on the charity due to the Coronavirus Pandemic is subject to an unprecedented level of uncertainty with the full range of possible effects unknown. Whilst there is evidence of potential negative effects on income and cash flows, the resulting reviews continue to support the going concern assumption and the trustees are confident they can take sufficient mitigating action to ensure that available funds will be sufficient for the charity’s needs.

1.8 Financial Instruments

The Charitable Company only has financial assets and liabilities that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently recognised at the settlement value. All assets are recorded at cost which is their fair value.

1.9 Cash flow statement

The Charitable Company qualifies as a small entity under the Companies Act 2006 and as a consequence, it is exempt from the requirement to publish a cash flow statement under Section 7 of Financial Reporting Standard 102 ‘Cash flow statement’.

1.10 Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.11 Creditors

Creditors are recognised where the Charitable Company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due.

1.12 Key sources of judgement and estimation uncertainty

No significant judgements, accounting policies or assumptions have been made by management in applying the Charitable Company’s accounting policies.

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WORLD CHURCH OF MESSIAH UK NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 JANUARY 2021 (continued)

2. Donations and Legacies

Monetary donations Charitable activities – grants received	2021 £ 59,246 25,000 84,264	2020
		£ 74,493 - 74,493

All grants received were from local government, there were no unfulfilled conditions or other contingencies attached to the grant.

3. Total expenditure

Charitable activities

Charitable activities
			Total
	Charitable	Governance	2021
	Activities		£
Travelling and subsistence	841	-	841
Accounting fees	-	1,929	1,929
Independent examination fees	-	3,456	3,456
Premises	29,555	-	29,555
General expenses	2,018	-	2,018
	_____	_____	______
	32,414	5,385	37,799
	════	════	════

Charitable activities

Charitable activities
			Total
	Charitable	Governance	2020
	Activities		£
Travelling and subsistence	4,979	-	4,979
Accounting fees	-	-	-
Independent examination fees	-	3,590	3,590
Premises	29,309	-	29,309
General expenses	5,087		5,087
	_____	_____	______
	39,375	3,590	42,965
	════	════	════

4. Trustees Remuneration

No remuneration or expenses were paid to Trustees during the year (2020: £Nil)

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WORLD CHURCH OF MESSIAH UK NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 JANUARY 2021 (continued)

5. Staff costs

There were no employees who received any emoluments during the year or the prior year. The average number of staff in the year was nil (2020 - nil). There is also no remuneration received by key management personnel who are considered to be the charitable company directors (2020: £Nil).

6. Debtors

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||||| |---|---|---|---| |2021|2020| |Prepayments 4,508 6,514| |Rent deposit|4,000|4,000| |_|| |8,508|10,514| |════ ════| |7.|Creditors: falling due within one year|2021|2020| |Bank loan and overdraft|2,843|371| |Accruals|3,460|3,090| |Other creditors|370|370| |__|______| |6,673|3,831| |════ ════|

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8. Financial commitments

At 31 January 2021 the Charitable Company was committed to making the following payments under non-cancellable operating leases, relating to land and buildings, as follows:-

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|||| |---|---|---| |2021|2020| |Operating Leases that expire:-| |Within a year|18,000|24,000| |Between two and five years|-|18,000| |Later than 5 years| |__ ____| |18,000|42,000| |════ ════|

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Total lease payments recognised as an expense was £24,000 in 2021 (2020: £24,000)

9. Share capital and funds

The Company is limited by Guarantee with no share capital. Each member of the Charitable Company undertakes to contribute to the assets of the Charitable Company in the event of winding up or if the liabilities of the Charitable Company exceed the assets within one year of ceasing to be a member. The Members are the subscribers to the Memorandum of Association and the contribution is limited to £1 for each member. The Members also act as the Trustees of the Charitable Company. During the year there were 5 members (2020: 5). The members are the ultimate controlling party.

10. Related party transactions

No related party transactions occurred in the year (2020: none).

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