Registered Charity Number 1114798
Huda Community Association
Report and Accounts
For The Year Ended 31st March 2022
Report and Accounts
Huda Community Association Report and accounts Contents
| Page | |
|---|---|
| Charity information | 1 |
| Trustee's Report | 2 |
| Statement of trustees' responsibilities | 4 |
| Accountants' report | 4 |
| Statement of Financial Activities | 6 |
| Income and Expenditure account | 7 |
| Statement of total recognised gains and losses | 8 |
| Recognised Gains and Losses | 9 |
| Movements in Accumulated Funds | 9 |
| Balance sheet | 10 |
| Notes to the accounts | 13 |
Huda Community Association Charity Information
Trustees
Mr Mustafa Sheikh Abdulrahman Mr Ahmed Hirsi Mr Ibrahim Ahmed Mrs Safiya Mowlid Dr Zakaria Yusuf
Chairperson
Mr Mustafa Sheikh Abdulrahman
Secretary
Mrs Safiya Mowlid
Treasurer
Dr Zakaria Yusuf
Accountants
Mr Mohamed Jibrill Elmi AFA MIPA 26 Grange Road Small Heath, Birmingham, B10 9QN Fax: 0121 247 5366 info@starlinkaccountants.co.uk www.starlinkaccountants.co.uk
Bankers
HSBC BANK 130 New Street, Birmingham B2 4JU
BARCLAYS BANK 534 Coventry Rd, Birmingham, West Midlands B10 0UP
Registered office
1 Unett Street, Birmngham B19 3BP
Registered number
1114798
1
Huda Community Association
The report of the trustees for the year ended 31 March 2022
Introduction
The trustees present their annual report and accounts for the year ended 31st May 2021. The board of trustees are satisfied with the performance of the charity during the year and the position at 31st March 2021 and consider that the charity is in a strong position to continue its activities during the coming year, and that the charity's assets are adequate to fulfil its obligations.
Name, registered office and constitution of the charity
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|The Full name of the charity is:|Huda Community Association|
|Date of formation|22 June 2006|
|The Principal Office is|1 Unett Street Birmingham B19 3BP|
|Charity Registration Number|1114798|
|The telephone number is|01214480580|
|A summary of the objects of the charity as set out in its governing document.|
|Structure, Governance and Management|
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Governing Document
The Charity is governed by a constitution adopted on 12th January 2010. Beside this constitution, there is memorandum and articles of association approved by the Charity’s members to help the Trustees and the Executive Committee in their roles and responsibilities.
Organisational Structure Huda Community Association is managed by Trustees of 5 members, elected at the General Meeting once every 3 years. The Trustees delegate the day-to-day activities of the charity to be run by an executive committee consisting of : Huda Centre manager, Deputy & fundraising officer, sports and youth officer and women & family officer, education officer, project & media officer , Admin & secretary officer . The executive committee is chaired by a
Nature of the Governing Document and constitution of the charity
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|Risk Review|
|Financial Review|The Trustees have conducted their own review of the major risks to which the Charity is exposed, and systems|
|have been established to mitigate those risks. These procedures are periodically reviewed to ensure they still|
|meet the needs of the Charity.|
|Aims and Objectives|
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The charity runs Huda Community Centre which is situated in Newtown, the north of the inner city area of Birmingham, where it has been established to serve the local community, particularly in meeting their religious, educational, social and cultural needs. We aim to advance the education level of our community and provide facilities for social welfare, recreation and leisure with the objective of improving the conditions of life for all residents in the area.
It is a popular facility which welcomes, includes and benefits the whole community and one which responds flexibly, compassionately and creatively to community needs. We believe strongly in the importance of community and always consider how our Centre can play a key role in the community as a whole. 1) Health & Well-Being 2) Community services 3) Youth activity & Services to Muslim community 4) After-school Homework clubs & Local authority surgeries
Activities The whole country has, unfortunately, been on lock down for the best parts of this financial year due to COVID19. Therefore, the usual activities have been on hold. Transactions and Financial position The financial statements have been prepared implementing the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities (the FRSSE) (effective 1 January 2015) and in Charity Law requires the Board to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements the Board is required to:A. Select suitable accounting policies and then apply them consistently; B. Make judgements and estimates that are reasonable and prudent; C. State whether applicable accounting Standards and Statements of Recommended Practice have been followed, subject to any departures disclosed and explained in the financial statements; and D. Prepare the financial statements on the going concern basis unless it is inappropriate to assume that the charity will continue in business.
The trustees are also responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which are sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with regulations made under the Charities Act. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The members of the Board of Trustees of the Charity during the year ended 31st March 2022 were :-
Mr Mustafa Sheikh Abdulrahman Mr Ahmed Hirsi Mr Ibrahim Ahmed Mrs Safiya Mowlid Dr Zakaria Yusuf
2
Huda Community Association
The report of the trustees for the year ended 31 March 2022
Statement of Trustees' Responsibilities
Charity Law requires the Board to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity as at the end of the financial year and of the surplus or deficit of the charity. In preparing those financial statements the Board is required to :-
The trustees are also responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which are sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with regulations made under the Charities Act. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees' Report
The report of the trustees for the year ended 31 March 2022
Financial Review and Future Plans
At the end of this financial year, the charity has £77,258 at bank. The trustees are not expecting any financial hardship in the coming year, but still reserved £10,000.00 for emergency use. In this reporting period, we secured a total income of: £86,985 mainly from fund raising activities, Friday collections, members’ contribution, and community donations. The most notable source of income for this financial year was the generous donations from the community we serve. The charity owns a tangible fixed asset premises estimated at £281,080.00.
Future Plans
We have already started the building works of the extension project in this financial year. We are aiming to finish this in a couple of years. It remains to be at the top our priorities in the coming financial year. As the lock down has eased and community gatherings are now permitted, arange of community and youth activities will be carried out in the coming financial year.
3
Huda Community Association Independent Examiner's Report to the members of the charity
Report of the Independent Examiner to the trustees on the accounts of the Charity for the year ende31 March 2022
I report on the financial statements of the Charity on pages 6 which have been prepared in accordance with the Charities Act 1993 and with the Financial Reporting Standard for Smaller Entities (FRSSE), effective January 2007 , adapted to meet the needs of unincorporated organisations, as modified by the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales, effective April 2008 as modified in June 2008. (The SORP), under the historical cost convention and the accounting policies set out.
Respective responsibilities of trustees and examiner
The Charity's trustees are responsible for the preparation of the financial statements. The trustees are satisfied that the audit requirement of Section 43(2) of the Charities Act 1993 (the Act) does not apply, and that there is no requirement in the governing document or constitution of the Charity for the conducting of an audit. As a consequence, the trustees have elected that the financial statements be subject to independent examination.
Having satisfied mysef that the charity is not subject to audit, and is eligible for independent examination, it is my responsibility to:-
a) examine the accounts under section 43 of the Act;
b) to follow the procedures laid down in the General Directions given by the Charity Commission under section 43(7)(b) of the Act; and;
c) to state whether particular matters have come to my attention.
4
Basis of opinion and scope of work undertaken
I conducted my examination in accordance with the General Directions given by the Charity Commissioners for England & Wales in relation to the conducting of an independent examination, referred to above. An independent examination includes a review of the accounting records kept by the Charity and of the accounting systems employed by the Charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements , and seeking explanations from you as trustees concerning such matters. The purpose of the examination is to establish as far as possible that there have been no breaches of the Charities legislation and that the financial statements comply with the Statement of Recommended Practice issued by the Charity Commissioners for England & Wales ( effective April 2008 ), on a test basis, of evidence relevant to the amounts and disclosures in the financial statements.
The procedures undertaken do not provide all the evidence that would be required in an audit , and information supplied by the trustees in the course of the examination is not subjected to audit tests or enquiries, and consequently I do not express an audit opinion on the view given by the financial statements, and in particular, I express no opinion as to whether the financial statements give a true and fair view of the affairs of the charity, and my report is limited to the matters set out in the statement below.
I planned and performed our examination so as to satisfy myself that the objectives of the independent examination are achieved and before finalising the report I obtain written assurances from the trustees of all material matters.
Accountants
The professional qualifications of the examiner are :- Mr Mohamed Jibrill Elmi AFA MIPA
Tel: 0121 270 3966 Fax: 0121 247 5366 info@starlinkaccountants.co.uk www.starlinkaccountants.co.uk Starlink Accountants 26 Grange Road, Small Heath Birmingham B10 9QN The date upon which my opinion is expressed is :- 04 January 2023
5
Huda Community Association Statement of Financial Activities for the year ended 31 March 2022
| Funds | Funds | Funds | Total Funds | ||
|---|---|---|---|---|---|
| Notes | 2022 | 2022 | 2022 | 2021 | |
| £ | £ | £ | £ | ||
| Incoming resources | |||||
| Incoming resources from generated funds | |||||
| Voluntary Income | 43,517 | - | 43,517 | 15,942 | |
| Activities for generating funds | - | 33,579 | 33,579 | 42,369 | |
| Incoming resources from charitable activities | - | - | - | 12,642 | |
| Other Incoming Resources | - | 9,889 | 9,889 | 15,254 | |
| Total incoming resources | 43,517 | 43,468 | 86,985 | 86,207 | |
| Costs of generating funds | |||||
| Costs of generating voluntary income | - | 690 | 690 | 108 | |
| Costs of charitable activities | 37,277 | 60,796 | 98,073 | 66,537 | |
| Total resources expended | 37,277 | 61,486 | 98,763 | 66,645 | |
| (Net outgoing resources)/net incoming resources | |||||
| before transfers between funds | 6,240 | (18,018) | (11,778) | 19,562 | |
| (Net outgoing resources)/net incoming resources before | |||||
| Other recognised gains and losses | 6,240 | (18,018) | (11,778) | 39,124 | |
| Other recognised gains and losses | |||||
| Net movement in funds | 6,240 | (18,018) | (11,778) | 39,124 | |
| Reconciliation of funds | |||||
| Total funds brought forward | 370,116 | - | 370,116 | 347,577 | |
| Total Funds carried forward | 376,356 | (18,018) | 358,338 | 386,701 |
The net movement in funds referred to above is the net incoming resources as defined in the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commission for England & Wales and is reconciled to the total funds as shown in the Balance Sheet on page 10 as required by the said statement.
All activities derive from continuing operations
6
Huda Community Association Statement of Financial Activities for the year ended 31 March 2022
Income and Expenditure Account for the year ended 31 March 2022
| Turnover Direct costs of turnover Gross (deficit)/surplus Operating (deficit)/surplus Realised Gains on investments (Deficit)/surplus on ordinary activities before tax (Deficit)/surplus for the financial year Gift Aid Payments Retained (deficit)/surplus for the financial year All activities derive from continuing operations |
2022 £ 77,096 98,763 (21,667) (21,667) 9,889 (11,778) (11,778) - (11,778) |
2021 £ 70,953 66,645 4,308 4,308 15,254 19,562 19,562 - 19,562 |
|---|---|---|
7
Huda Community Association Statement of Financial Activities for the year ended 31 March 2022
Statement of Total Recognised Gains and Losses for the year ended 31 March 2022
| Excess of Expenditure over income before realisation of assets Realised Gains on investments Profit per Profit and Loss account Net Movement in funds before taxation |
2022 2021 (21,667) 4,308 9,889 15,254 (11,778) 19,562 (11,778) 19,562 |
|---|---|
Movements in revenue and capital funds for the year ended 31 March 2022
| Revenue accumulated funds Accumulated funds brought forward Recognised gains and losses before transfers Closing revenue accumulated funds Designated revenue funds At 1 April At 31 March |
Unrestricted Restricted Total Last year Funds Funds Funds Total Funds 2022 2022 2022 2021 £ £ £ £ - - - - 6,240 (18,018) (11,778) 19,562 6,240 (18,018) (11,778) 19,562 6,240 (18,018) (11,778) 19,562 Total Last year Funds Total Funds 2022 2021 £ £ - 23,327 - 23,327 |
|---|---|
The purposes for which the designated funds have been established are described in the notes to the accounts
| Fixed asset funds At 1 April At 31 March |
Designated Restricted Total Last year Funds Funds Funds Total Funds 2022 2022 2022 2021 £ £ £ £ - - - 324,250 - - - 324,250 |
|---|---|
The purpose of the transfers between Revenue Reserves,Designated Funds and Fixed Asset Funds is described in the notes to the accounts.
8
Huda Community Association Statement of Financial Activities for the year ended 31 March 2022
| Summary of funds Revenue accumulated funds Revenue designated funds Fixed asset funds Total funds |
£ £ £ £ Designated Unrestricted Restricted Total Last Year Funds Funds Funds Funds Total Funds 2022 2022 2022 2022 2021 - 6,240 (18,018) (11,778) 19,562 - - - - 23,327 - - - - 324,250 - 6,240 (18,018) (11,778) 367,139 |
|---|---|
The statement of changes in resources applied for fixed assets for Charity use is shown in the notes to the accounts
9
Huda Community Association Balance Sheet as at 31 March 2022
| Notes The assets and liabilities of the charity : Tangible assets 8 Total fixed assets Current assets Cash at bank and in hand 77,258 Net current assets Total assets less current liabilities Creditors:- amounts due after more than one year Net assets including pension asset / liability The funds of the charity : Unrestricted income funds Net revenue funds 11,778 - Unrestricted capital funds 49,789 Restricted revenue accumulated funds 320,327 Total unrestricted funds Total charity funds Mrs Hibo Gelle Trustee Approved by the trustees on 4 January 2023 |
2022 £ 281,080 281,080 77,258 358,338 - 358,338 358,338 |
89,036 19,562 30,227 320,327 |
2021 £ 281,080 281,080 89,036 370,116 370,116 370,116 370,116 |
|---|---|---|---|
10
Huda Community Association Notes to the Accounts for the year ended 31 March 2022
1 Accounting policies
Basis of preparation of the accounts
The financial statements have been prepared in accordance with the Financial Reporting Standard for Smaller Entities (FRSSE), effective January 2007 , and all other applicable accounting standards, as modified by the 2005 Revision of the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales, effective April 2005, adapted to meet the needs of unincorporated organisations . The accounts have been drawn up in accordance with the provisions of the Charities Acts , and include the results of the charity's operations which are described in the Trustees' Report, all of which are continuing.
Insofar as the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales, effective April 2005 requires compliance with specific Financial Reporting Standards other than the FRSSE then the specific Financial Reporting Standards have been followed where
Accounting convention
The financial statements are prepared,on a going concern basis, under the historical cost convention
Incoming Resources
Incoming resources consist donations and membership contributions are accounted for on a receivable basis
Fixed assets and depreciation
Fixed assets recorded however in the future, All tangible fixed assets, are stated at cost.
No depreciation has been provided at the following rates in order to write off the assets (less their estimated residual value ) over their estimated useful economic lives, however, it will be as follows in the future.
11
Huda Community Association Notes to the Accounts for the year ended 31 March 2022
- 2 Winding up or dissolution of the charity
If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.
| objects to the charity. | ||
|---|---|---|
| 3 | (Deficit)/surplus for the financial year | 2022 |
| £ | ||
| This is stated after crediting :- | ||
| Revenue Turnover from ordinary activities | 77,096 | |
| and after charging:- | ||
| Rentals and Rates | 3,066 | |
| - |
Funds belonging to the charity have been used for the charitable activities for the benefit of the charity the sum expended on such activities was as indicated in the above schedule.
4 Detailed analysis of certain transactions required by the 2005 revision to the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales (effective April 2005)
Various items which are required by the 2005 revision to the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales (effective April 2005) to be disclosed in the notes to the accounts are set out in the Detailed Schedule to the Statement of Financial Activities and which should be read together with these notes.
- 5 Staff Costs and Emoluments
Staff Costs and Emoluments 2022 £ Gross Salaries 32,755
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Huda Community Association Notes to the Accounts for the year ended 31 March 2022
| 6 | Analysis of the Net Movement in Funds Net movement in funds from Statement of Financial Activities Net resources applied on functional fixed assets Realised gains on investments Net investment in programme related investments Net movement in funds available for future activities |
2022 £ (21,667) (21,667) 9,889 9,889 (23,556) |
|---|---|---|
The net resources applied on functional fixed assets and the net investment in programme related investments represents the cost of additions less proceeds of any disposals.
| Net movement in funds available for future activities (23,556) The net resources applied on functional fixed assets and the net investment in programme related investments represents the cost of additions less proceeds of any disposals. |
Net movement in funds available for future activities (23,556) The net resources applied on functional fixed assets and the net investment in programme related investments represents the cost of additions less proceeds of any disposals. |
Net movement in funds available for future activities (23,556) The net resources applied on functional fixed assets and the net investment in programme related investments represents the cost of additions less proceeds of any disposals. |
|
|---|---|---|---|
| 7 | Particulars of Individual Funds and analysis of assets and liabilities representing funds | ||
| Tangible Fixed Assets | funds funds funds £ £ 281,080 - |
£ - |
|
| Current Assets | 77,258 - |
- | |
| 358,338 308,549 |
- | ||
| 716,676 £ £ £ Funds at Movements Transfers 2021 in Between Funds funds as below £ £ £ |
|||
| 370,116 (378,917) |
- | ||
| (370,116) 378,917 Analysis of movements in funds as shown in the table above Incoming Outgoing Gains & Resources Resources Losses £ £ |
- £ |
||
| 86,985 98,763 |
- | ||
| (86,985) (98,763) |
- |
13
Huda Community Association Schedule to the Statement of Financial Activities for the year ended 31 March 2022
Status of this schedule to the Statement of Financial Activities
The schedules on the following pages are required by the disclosure requirements of the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales, effective April 2005.
As such, they form a part of the accounts required by the Charities (Accounts and Reports) Regulations 2008.
| **Unrestricted ** | Restricted | Total | Prior Period | |
|---|---|---|---|---|
| Funds | Funds | Funds | Total Funds | |
| 2022 | 2022 | 2022 | 2021 | |
| £ | £ | £ | £ | |
| Incoming Resources | ||||
| Donations | ||||
| Grants, legacies and donations | ||||
| Other voluntary income | ||||
| Members' Contributions | 2,955 | - | 2,955 | 2,850 |
| Friday Collections | 40,562 | - | 40,562 | 13,092 |
| Total other voluntary income | 43,517 | - | 43,517 | 15,942 |
| Total Voluntary Income | 43,517 | - | 43,517 | 15,942 |
| Activities for generating funds Fundraising activities Building Project Donations |
- - |
- 33,579 |
- 33,579 |
6,748 35,621 |
| Total of activities for generating funds | - | 33,579 | 33,579 | 42,369 |
| Incoming resources from charitable activities Birmingham City Council Ciyizens UK Charity Other Income |
- - - |
- - - |
- - - |
10,000 1,000 1,642 |
| charitable activities | - | - | - | 12,642 |
| Other Incoming Resources Furlough Income |
- | 9,889 | 9,889 | 15,254 |
| - | 9,889 | 9,889 | 15,254 | |
| Total Incoming Resources | 43,517 | 43,468 | 86,985 | 86,207 |
| Costs of generating funds Costs of generating voluntary income Cost of fundraising activities |
- | 690 | 690 | 108 |
| - | 690 | 690 | 108 | |
| Total costs of generating voluntary income | - | 690 | 690 | 108 |
| Charitable expenditure Gross wages and salaries - charitable activities Salaries,pensions & NI recharged to other organisations Covid-19 Essencials |
17,871 4,995 - |
9,889 - - |
27,760 4,995 - |
28,455 4,410 185 |
| 22,866 | 9,889 | 32,755 | 33,050 | |
| Employee costs: Training and welfare DBS Check HMRC Payment |
62 - 260 |
- - - |
62 - 260 |
- 26 111 |
| 322 | - | 322 | 137 | |
| Premises Costs Rates, water and service charges Light and heat Waste collection Maintenance & Repairing Building Expenses Council tax |
1,643 4,602 300 - - - |
- - - 3,315 47,592 - |
1,643 4,602 300 3,315 47,592 - |
1,275 - - 6,627 15,499 607 |
| 6,545 | 50,907 | 57,452 | 24,008 | |
| General administrative expenses: | ||||
| Telephone and fax | 528 | - | 528 | 550 |
| Stationery and printing | 300 | - | 300 | 270 |
14
Huda Community Association Schedule to the Statement of Financial Activities for the year ended 31 March 2022
Status of this schedule to the Statement of Financial Activities
The schedules on the following pages are required by the disclosure requirements of the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales, effective April 2005.
As such, they form a part of the accounts required by the Charities (Accounts and Reports) Regulations 2008.
| Information & publication Community Event & Refreshments Petty cash expenses Health and safety costs Bank charges Sundry expenses Professional fees in support of charitable activities Accountancy fees other than examiners/auditors Consultancy fees Total Support costs Total Expended on Charitable Activities |
Unrestricted Restricted Total Prior Period Funds Funds Funds Total Funds 2022 2022 2022 2021 £ £ £ £ 278 - 278 562 3,066 - 3,066 - 1,966 - 1,966 668 1,000 - 1,000 5,140 56 - 56 2 - - - 120 7,194 - 7,194 7,312 350 - 350 350 - - - 1,680 350 - 350 2,030 37,277 60,796 98,073 66,537 37,277 60,796 98,073 66,537 |
|---|---|
The basis for the allocation of costs as shown above is explained in the accounting policies and the notes to the accounts
Analysis of transfers between funds
| Insert text | - - - 19,562 - - - 19,562 |
|---|---|
15
Huda Community Association
Appendix 1
Analysis of Total Incoming & Outgoing Resources by Activity for the year ended 31 March 2022
| Incoming resources from generated funds Members contributions Donations Investment Income Incoming resources from charitable activities Other Incoming Resources Total Incoming Resources Costs of generating funds Costs of generating voluntary income Fundraising trading - costs of goods and other costs Investment management costs Costs of charitable activities Governance costs Other resources expended Total resources expended Net Incoming Resources by activity |
2022 2021 FundraisingOther Activity 2 Activity 3 Activity 4 Activity 5 Total Total Activities £ £ £ £ £ £ £ £ - - - - - - 43,517 15,942 - - - - - - 33,579 42,369 - - - - - - - - - - - - - - - 12,642 - - - - - - 9,889 15,254 - - - - - - 86,985 86,207 - - - - - - 690 108 - - - - - - - - - - - - - - - - - - - - - - 98,073 66,537 - - - - - - - - - - - - - - - - - - - - - - 98,763 66,645 - - - - - - (11,778) 19,562 |
|---|---|