**Charity registration number 1115631**
**Company registration number 5664908 (England and Wales)**
## **WELCOME CHURCH**
## **ANNUAL REPORT AND FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 MARCH 2022**
## **WELCOME CHURCH**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Michael David Deavin||
|---|---|---|
||(Chairman)||
||John Allan Flewitt||
||Lisa Marie Green||
||Peter Lawrence Gill||
||Michael William Reid||
||Robin Bryan David Willison|(Appointed 26 April 2021)|
|**Eldership Team**|Steve Petch|Lead Elder|
||Dean Guy|Elder|
||David Everitt|Elder|
||Mike Reid|Elder|
||Christopher Hawes|Elder|
||Eugene Engelbrecht|Elder|
||Robin Willison|Elder|
||Nnamdi Anyaegbunum|Elder|
|**Secretary**|John Allan Flewitt||
|**Charity number**|1115631||
|**Company number**|5664908||
|**Registered office**|Welcome Church||
||Church Street West||
||Woking||
||Surrey||
||GU21 6DJ||
|**Auditor**|Frances Wilde FCCA DChA||
||Warner Wilde||
||Chartered Certified Accountants||
||4 Marigold Drive||
||Bisley||
||Surrey||
||GU24 9SF||
|**Bankers**|Barclays Bank Plc||
||Town Gate House||
||Church Street East||
||Woking GU21 6AE||
|**Bank (Mortgage)**|CAF Bank Ltd||
||25 Kings Hill Ave||
||Kings Hill||
||West Malling ME19 4JQ||
## **WELCOME CHURCH**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
## **Project Managers**
## **Solicitors**
Michael Edwards Consultants Limited Oak House Tanshire Park Elstead Surrey GU8 6LB Moore Barlow LLP Concord House 165 Church Street East Woking GU21 6HJ
## **WELCOME CHURCH**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 6|
|Statement of trustees' responsibilities|7|
|Independent auditor's report|8 - 11|
|Statement of financial activities|12 - 13|
|Balance sheet|14 - 15|
|Statement of cash flows|16|
|Notes to the financial statements|17 - 29|
## **WELCOME CHURCH**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
The trustees present their annual report and financial statements for the year ended 31 March 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and "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 January 2019)".
## **Change of Charity Name**
Welcome Church was first established in Woking in 1879, and was originally named “Woking Baptist Church”. Over the last 142 years we have changed our name a few times and have been known as “The Coign Church” for about the last 50 years.
Three years ago we began trading as Welcome Church. This name was chosen because it closely reflected our ethos of wanting to be a Church that was open and welcome to everyone in our town.
In line with this, on 11 th May 2021 we formally changed our company name to “Welcome Church”. This was a 2 step process, changing from “The Coign Church Trust” to “Welcome Church Limited” on 19 th April 2021, and then to “Welcome Church” on 11 th May.
## **Objects and activities**
The charity's objects as set out in the governing document are:
- a. to advance the Christian faith.
- b. to relieve persons who are in conditions of need or hardship or who are aged or sick and to relieve the distress caused thereby.
- c. To advance education in accordance with Christian principles.
T here has been no change in these during the year.
Welcome Church primarily fulfils these objectives by:
1. Holding regular church meetings to worship God and to train, teach and care for the church members; to equip them as effective Christians.
2. Preaching the gospel, and planning and implementing an on-going strategy of evangelism.
3. Providing pastoral support and care (and practical support and provision where appropriate) for those who attend.
4. Facilitating and equipping teams of volunteers to run church activities, to care for one-another and to share the gospel with others.
5. Providing training and encouragement to all individuals to live a Christ-like lifestyle of prayer and commitment to God.
6. Run and/or support a range of community projects that directly provide social benefit and care to the community (eg. free lunches for poor and needy, parent and toddler groups, Foodbank etc).
7. Resourcing, equipping and supporting (including the provision of personnel, finance and training) of other churches and of Christian work and ministries both in the UK and overseas.
- 1 -
## **WELCOME CHURCH**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
At the start of this report period the UK was still in lockdown and unable to meet in the normal way and many of these objectives had to be fulfilled in different ways. The rules for lockdown had started to change and be reduced by the start of this period and we very closely followed all UK Government advice and increased our activities exactly in line with the 4-step unlocking “roadmap” that had been announced by the UK Government.
This meant that we began holding restricted hybrid in-person / online meetings with social distancing and other measures early in the financial period and returned to full in-person meetings on 19 th July 2021, and most church activities returning to normal by September 2021. Covid undoubtedly still influenced individual’s attitudes and actions beyond that date and these in turn will have affected the church, but in general we have attempted to operate “as normal” for as much of the year as possible, including:
- Sunday worship and teaching meetings – From step 3 of the unlocking onwards Welcome Church has held two Sunday meetings each week in our re-opened new building!.
- Mid-week small groups (Life Groups) - These are groups of about 10-15 people that meet in homes during the week, are led by volunteers and enable all church members to support, encourage and build each other up in the Christian faith. During the year these groups moved from online back to inperson meetings.
- Meetings for specific interest groups - Amongst others, these include supporting students, parent and toddlers groups, and a group for single parents.
- Youth Groups - This has included Sunday mornings and a varied programme of Friday evening events including a youth weekend away.
- Alpha Course - The Alpha Course is an internationally recognised course that enables people who do not yet attend a church and have no Christian faith to engage with the church and begin a journey towards understanding and accepting the Christian faith. The Church has run Alpha several times during this period, each time with a large number of people attending both in-person and online
- Helping new people integrate and join – We hold a regular programme of Newcomer Lunches and a Belong, Believe, Become Course to help everyone who is new to Welcome Church to get to know other people, get to know the leadership and what we believe and value as a church.
- Children’s Groups - The church has an exciting programme of activities for the children who attend on a Sunday. These groups are arranged to provide age-specific involvement for all children from birth to school year 6.
- Our mid-week Parent and Toddlers Group restarted in September 2021 and was immediately oversubscribed. This has continued to run at maximum capacity for 2 mornings a week and is very popular with local parents and tots.
- Prayer meetings - Prayer is a vital element of the Christian life and the church holds a number of prayer meetings at different times during the year including regular weekly online prayer meetings.
- Outreach or Guest Events – the church has run a number of specific outreach or guest events during the year. These are designed to help non-church goer’s find out about Welcome Church and to be able to come along and be involved. Covid has restricted these events during this report period, and an uprising of Covid infections in Winter significantly reduced our Carol Service attendance. But despite this, we have continued to see many new people coming along, visiting on a Sunday and joining us.
- Welcome Works, and particularly our connection with Christians Against Poverty (CAP) and our support group for single Mums have both continued to thrive and see growth through the year. In September 2021 we launched the Welcome Café which runs each Monday and provides low priced, affordable meals, alongside facilitating the promoting and running of many CAP courses (money management, overcoming of addiction, job club etc).
The above list of activities is just a snapshot of the churches principal activities. The full list of the church’s activities would be too long to list in full and would almost certainly miss out some activities. This is particularly the case because almost all that the church does is resourced, managed and led by large teams of volunteers.
- 2 -
## **WELCOME CHURCH**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
The trustees have considered the guidance published by the Charity Commission regarding public benefit and the work of the charity.
Like the previous year, the Covid pandemic has impacted this financial year and has meant that much of April 2021 to March 2022 has been a very difficult time for the world and for Welcome Church. The church is a people-based organisation and not being able to meet together, or needing to restrict how we meet, for a period of this year has an impact on us.
During the previous year we had made large adjustments to the way we operated to accommodate Covid and during this year we slowly moved from that position back to fully operating in an “in-person” style again. In doing this we carefully reviewed and followed all Government guidelines and increased our activities fully inline with the 4-step roadmap for unlocking that was released in Feb 2021.
A rise in Covid cases during the winter impacted both our Carol Service and a planned church social event in January 2022. The Carols went ahead with reduced numbers, and the social event was delayed until April 2022.
We have continued to operate a livestream of our Sunday meetings and to provide an online alternative to various groups to assist those that are away, unwell or unable to attend for other reasons. Our online Sunday meetings are typically viewed by 30-50 screens each meeting.
After lockdown, in-person attendance on a Sunday morning began at a level of between 500-600 people during September 2021 but increased from there. By March 2022 our Sunday meetings were over 600 almost every week. This growth has continued into the new year financial year.
It has been wonderful to get back into our new building, now 2 years old, and start to use it properly for the first time. The staff office, known as the Hub, was opened for the first time in September 2021.
From a governance point of view, Trustees met online during the pandemic and continued to closely monitor and review the situation and all risks involved. Contingency plans were written and reviewed that covered the situation of any staff member or key person becoming ill with Covid, and becoming incapacitated. Actions were taken to minimise expenditure and closely monitor cash flow and finances during this period. Trustees were able to meet in person on 18 th October 2021 for the first time in 21 months.
## **Staff Changes**
There have been two staff changes during this financial year. On 1 st August 2021 Uti Anyaegbunam joined our team as our new Operations Manager, and on 2 nd December 2021 Hannah Oliver joined as our Administration Assistant. Both of these roles report to Darren Forsdyke, our Director of Operations, and rebuild our Operations support team that was depleted during the pandemic.
By the end of the financial year we had begun interviews for a Communications Manager to join our staff early
in the next financial year.
During the first half the report period all staff followed the Government’s guidelines to work at home if possible and were all therefore based at home.
- 3 -
## **WELCOME CHURCH**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **Building Project**
The building project for the new building was completed and opened in January 2020 and the new office area was completed at Easter 2020 (although not then opened or used until September 2021). Although the building is now 2 years old, because of lockdown it has not been used and it has been wonderful to come back into a “new” building. As we have started to use the building we have also started to discover enhancements or changes we wanted to make and equipment and furnishings that we wanted to be able to make full use of the facilities.
Regular monthly payments were made to CAF Bank during the year to begin the repayment of the £2m commercial mortgage.
## **Other Activities**
The church has continued to be part of the Commission family of churches. Welcome Church has supported Commission financially and also practically by providing leadership input to support Commission's Churches locally and overseas. Steve Petch is involved providing direct oversight of all UK churches within Commission as part of the Commission Leadership Team.
Because of Covid and changes of support staff at Commission, the Commission UK Leadership team decided not to go ahead with the annual “Connect Festival” in August 2022. In March 2022 Darren Forsdyke was asked to support Commission and our family of churches by heading up the team that will deliver Connect Festival 2023.
We have continued to operate our Hardship Fund, with some gifts coming in and some going out. So far, requests on the fund haven not been as high as initially expected, but we remain ready to see what happens with the UK economy over the next year or two.
In February 2022 Russia invaded Ukraine and caused a refugee crisis both in and outside of the country. We joined with many other Churches to take up a special offering to help provide food, shelter and basic support for thousands of displaced victims of the war in Ukraine. This support was provided via other churches in our church family that are in the area and neighbouring countries. Many people within Welcome Church have also opened their homes to provide places for Ukrainians that have fled to the UK to live.
## **Financial review**
The Trustees and Elders set a budget (income and expenditure) at the start of the year and this is monitored closely through the year with the Trustees and Elders receiving monthly written reports as well as verbal reports during Trustee meetings.
Total income for the 12 months ending 31st March 2022 was £1,057,411, and income to the General
(unrestricted fund) were £967,744.
Total repayments of £79,984.17 were made during the year against the bank loan leaving an outstanding
balance of £1,825,939.14.
We gave away £143,155 of our total income throughout the year (with £73,556.00 coming from unrestricted funds) representing 14% of total income and 8% of gifts to the unrestricted fund. We also gave an additional £27,337 of unrestricted funds to pay for supporting the poor in Woking via our own social action (Welcome Works) activities (bringing totals to just over 16% and 10% respectively).
We finish the year with a general fund unallocated surplus of £308,223.
- 4 -
## **WELCOME CHURCH**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
At the end of the financial year the church’s unrestricted reserves totalled £1,558,841. This is higher than initially budgeted flowing a couple of years of reduced spending during Covid lockdown. Over the next few years, we will be looking at how this is split between future growth and development costs and potential reduction of our building loan. It is the aim of the charity to keep a minimum of £100,000 in reserves to cover approximately 3 months employment needs and to act as operating capital.
The principal source of funds is the gifts and offerings that are given by those that attend and are part of Welcome Church.
All activities of the church are covered by risk assessments and actions are taken to minimise all operating risks to an acceptable level.
The largest individual risk to the church at the current time is the Covid pandemic. It provides a double risk – firstly for the ongoing health and safety of key staff and volunteers, but also it stops the church meeting together to build the church community. Emergency measures were put into place to minimise expenditure as Covid first hit and cash flow was monitored and reviewed daily. Emergency recovery plans were developed to cover either the temporary or permanent loss of key individuals due to the virus.
Other ongoing risks include loss of reputation and cyber attacks or data breaches.
## **Structure, governance and management**
Welcome Church is an incorporated company limited by guarantee under the memorandum and articles dated 3rd January 2006, which began to operate on 1st October 2006.
The trustees, who are also the directors for the purpose of company law, and who served during the period and up to the date of signature of the financial statements were:
- Michael David Deavin (Chairman)
- John Allan Flewitt
- Lisa Marie Green
- Peter Lawrence Gill
- Michael William Reid
- Robin Willison (Appointed 26th April 2021)
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Michael David Deavin (Chairman) John Allan Flewitt Lisa Marie Green Peter Lawrence Gill Michael William Reid Robin Bryan David Willison (Appointed 26 April 2021)
- 5 -
WELCOME CHURCH
TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2022
De¢l$lon making structure
The day lo day work of the charity is managed by a small stsff leadership team and all decision-maklng
authorily is delegated to this team. In January 2022 this structure was formalised by the creation of an
Executive Team (consisting of Steve Pelch. Christopher Hawes and Darren Forsdykol, and a Strategic
Leadership Team (consisting of a wider group of men and women frtsm across the churchl. The leadership
team pOrtS (via the Lead Ejder and Director of Operab'onsl to tho Trustees iegularty and reports on
progress. issues, finances and any other relevant items.
Vacancies are filled from within the church. The Church Elders and Trustees wlll nomlnale. discuss and
approve any candidates for the role of Trustee. The indivKIu81 is then consvKed l interviewed by al least one
member of the Eldership and Trustee team. After feedback to the rest of the Eldership and Trustees. if
everyone is in agreement the individual will be appointed.
To ensure that the skills and competencies ol the Trustees are kept up to the reqUId standards, training is
undertaken as required. All new Trustees are given appropriate brpfing and induction training by Ihfy Chair of
Trustees. They will also be made aware of ielevanl Charity Comrnission publlcafjons that they can access via
the Charity Commission's website. Updates on charity law and olheT Trustee mallers are clrculaled and
discussed as appropriate.
Welcome Church has membership andlor relationship with sever81 wider organisalions. These organlsadons
include..
Welcome Chur¢h Is part of the Commtssion family of Churches, which in turn, is part of Newfvonliers.
Welcome Church plays a part In the local neiworks of churches induding Churches Together in
Woking.
Welcome Church is part of the Evangelal Alliance.
Welcome Church is in partnership with Compassion UK lo support children in poverty In Togo.
Welcome Church works in partnership with Christians Against Poverty to provide courses and
servi$ to help those in need in Woking.
Auditor
In accordance with the company's articles, a resolution proposing that Frances Wilde FCCA DChA
reappointed as auditor of the company will be pul al a General Mee14'ng.
The trustees. report was approveij by the Board of Trustees.
Ml¢hael Davld Deavin IChalrman}
Trustee
Dated.. Zozz
## **WELCOME CHURCH**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 MARCH 2022**_
The trustees, who are also the directors of Welcome Church for the purpose of company law, are responsible for preparing the Trustees' 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
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;
- make judgements and estimates that are reasonable and prudent; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity 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 charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
- 7 -
## **WELCOME CHURCH**
## **INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF WELCOME CHURCH**
## **Opinion**
We have audited the financial statements of Welcome Church (the ‘charity’) for the year ended 31 March 2022 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice) .
In our opinion, the financial statements:
- give a true and fair view of the state of the charitable company's affairs as at 31 March 2022 and of its incoming resources and application of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the _Auditor's responsibilities for the audit of the financial statements_ section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
- 8 -
## **WELCOME CHURCH**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF WELCOME CHURCH**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the trustees' r eport; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the s tatement of trustees' r esponsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
- 9 -
## **WELCOME CHURCH**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF WELCOME CHURCH**
## **Auditor's responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
we identified the laws and regulations applicable to the charity through discussions with trustees and other management, and from our knowledge and experience of the charity and faith sector;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity, the Charities Act 2011,, taxation legislation, data protection, employment, environmental and health and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud;
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and
testing controls with walk through procedures and substantive transaction testing;
To address the risk of fraud through management bias and override of controls, we:
performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions;
assessed whether judgements and assumptions made in determining any accounting estimates were indicative of potential bias;
investigated the rationale behind significant or unusual transactions; and
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of meetings of those charged with governance;
enquiring of management as to actual and potential litigation and claims;
reviewing correspondence with HMRC and relevant regulators such as the Charity Commisison .
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below .
- 10 -
WELCOME CHURCH
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE TRUSTEES OF WELCOME CHURCH
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## **WELCOME CHURCH**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**Current financial year**
**Unrestricted**
**Restricted**
**funds**
**funds**
**2022**
**2022**
**Notes**
**£**
**£**
**Income and endowments from:**
Donations and legacies
**3**
956,620
82,631
Charitable activities
**4**
-
4,895
Investments
**5**
63
-
Other income
**6**
11,061
2,141
**Total income**
967,744
89,667
**Expenditure on:**
Charitable activities
**7**
632,184
213,441
Other
**12**
-
49,887
**Total expenditure**
632,184
263,328
**Net incoming/(outgoing) resources before transfers**
335,560
(173,661)
Gross transfers between funds
(27,337)
27,337
**Net income/(expenditure) for the year/**
**Net movement in funds**
308,223
(146,324)
Fund balances at 1 April 2021
1,250,618
3,762,814
**Fund balances at 31 March 2022**
1,558,841
3,616,490|**Total**
**2022**
**£**
1,039,251
4,895
63
13,202
1,057,411
845,625
49,887
895,512
161,899
-
161,899
5,013,432
5,175,331|**Total**
**2021**
**£**
1,017,899
(1,165)
388
32,482
1,049,604
572,919
50,663
623,582
426,022
-
426,022
4,587,410
5,013,432|
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 12 -
## **WELCOME CHURCH**
## **STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **Prior financial year**
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2021**
**2021**
**Notes**
**£**
**£**
**Income and endowments from:**
Donations and legacies
**3**
862,542
155,357
Charitable activities
**4**
(1,310)
145
Investments
**5**
388
-
Other income
**6**
24,332
8,150
**Total income**
885,952
163,652
**Expenditure on:**
Charitable activities
**7**
478,487
94,432
Other
**12**
-
50,663
**Total expenditure**
478,487
145,095
**Net incoming/(outgoing) resources before transfers**
407,465
18,557
Gross transfers between funds
(12,522)
12,522
**Net income/(expenditure) for the year/**
**Net movement in funds**
394,943
31,079
Fund balances at 1 April 2020
855,675
3,731,735
**Fund balances at 31 March 2021**
1,250,618
3,762,814|**Total**
**2021**
**£**
1,017,899
(1,165)
388
32,482
1,049,604
572,919
50,663
623,582
426,022
-
426,022
4,587,410
5,013,432|
|---|---|
- 13 -
## **WELCOME CHURCH**
## **BALANCE SHEET**
## _**AS AT 31 MARCH 2022**_
|**Notes**
**Fixed assets**
Tangible assets
**13**
**Current assets**
Debtors
**14**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**16**
Net current assets
**Total assets less current liabilities**
**Creditors: amounts falling due after**
**more than one year**
**17**
**Net assets**
**Income funds**
Restricted funds
**20**
Unrestricted funds - general|**2022**
**£**
**£**
6,398,112
172,067
534,789
706,856
(186,393)
520,463
6,918,575
(1,743,244)
5,175,331
3,616,490
1,558,841
5,175,331|**2021**
**£**
**£**
6,393,476
163,045
375,173
538,218
(91,609)
446,609
6,840,085
(1,826,653)
5,013,432
3,762,814
1,250,618
5,013,432|
|---|---|---|
- 14 -
WELCOME CHURCH
BALANCE SHEET (CONTINUED)
ASAT31 MARCH 2022
The Company is enlilled lo the exemption from the audit requirement eontained in section 477 of the Companies
Act 2006, for the year ended 31 March 2022. although an audit has been Carried out under section 144 of the
CharitiesAct 2011.
The dlrectOTS acknowbdge thelr SponSibl11t1eS for complylng with the requirements of the Companies Act 2006
with respect lo accounting records and the pieparalion of finanaal slalemenls.
The members have not required the company lo obtsin an aj11 ol ils financial slalements under the
requirements of the Companies Act 2006. for the year in question in accordan(E with section 476.
These financbal statements have been prepared in accordan¢e with the provisions applicable to companies
subject lo the small companies regime.
The financial stalernents were approved by the Trustees on .........................
Michael David Deavin {Chaiman)
Trustee
Company reglstratlon number 5664908
15-
## **WELCOME CHURCH**
## **STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|||**2022**||**2021**||
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**Cash flows from operating activities**||||||
|Cash generated from operations|**23**||353,974||433,609|
|**Investing activities**||||||
|Purchase of tangible fixed assets||(114,436)||(155,362)||
|Proceeds on disposal of tangible fixed||||||
|assets||-||2,315||
|Investment income received||63||388||
|**Net cash used in investing activities**|||(114,373)||(152,659)|
|**Financing activities**||||||
|Repayment of bank loans||(79,984)||(78,323)||
|**Net cash used in financing activities**|||(79,984)||(78,323)|
|**Net increase in cash and cash equivalents**|||159,617||202,627|
|Cash and cash equivalents at beginning of year|||375,173||172,546|
|**Cash and cash equivalents at end of year**|||534,789||375,173|
- 16 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **Charity information**
Welcome Church is a private company limited by guarantee incorporated in England and Wales. The registered office is The Welcome Centre, Church Street West, Woking, Surrey, GU21 6DJ.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and "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 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling , which is the functional currency of the charity . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
## **1.5 Expenditure**
A liability is recognised when either a legal or constructive obligation is identified. Irrecoverable VAT is allocated to the same expense heading as the cost to which it relates.
- 17 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **(Continued)**
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The Welcome Centre 2% (excluding land value) Plant and machinery 20% straight line Fixtures, fittings & equipment 20% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .
Tangible fixed assets acquired for below £1,000 are treated as an expense in the year of acquisition and not capitalised.
## **1.7 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
## **1.8 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## **1.9 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity 's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
- 18 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **1 Accounting policies**
## **(Continued)**
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity ’s contractual obligations expire or are discharged or cancelled.
## **1.10 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **1.11 Retirement benefits**
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## **3 Donations and legacies**
||**Unrestricted**|**Restricted**|**Total**|Unrestricted|Restricted|Total|
|---|---|---|---|---|---|---|
||**funds**|**funds**||funds|funds||
||**general**|||general|||
||**2022**|**2022**|**2022**|2021|2021|2021|
||**£**|**£**|**£**|£|£|£|
|Donations and gifts|956,620|82,631|1,039,251|862,542|155,357|1,017,899|
- 19 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**3**
**Donations and legacies**
**Donations and gifts**
Offerings and Gifts
Missionary and Wider
Gifts (inc tax refund)
Tax Refunds|799,460
-
157,160
956,620|52,120
16,385
14,126
82,631|851,580
16,385
171,286
1,039,251|715,136
-
147,406
862,542|**(Continued)**
68,866
784,002
69,271
69,271
17,220
164,626
155,357
1,017,899|
|---|---|---|---|---|---|
## **4 Charitable activities**
|Activities Income
Analysis by fund
Unrestricted funds - general
Restricted funds|**Activities**
**2022**
**£**
4,895
-
4,895|**Activities**
**2021**
**£**
(1,165)
(1,310)
145|
|---|---|---|
## **5 Investments**
||||||**Unrestricted**|Unrestricted|
|---|---|---|---|---|---|---|
||||||**funds**|funds|
||||||**general**|general|
||||||**2022**|2021|
||||||**£**|£|
|Interest receivable|||||63|388|
|**Other income**|||||||
||**Unrestricted**|**Restricted**|**Total**|Unrestricted|
Restricted|Total|
||**funds**|**funds**||funds|
funds||
||**general**|||general|||
||**2022**|**2022**|**2022**|2021|
2021|2021|
||**£**|**£**|**£**|£|
£|£|
|Other income|11,061|2,141|13,202|24,332|
8,150|32,482|
## **6 Other income**
- 20 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **7 Charitable activities**
|**Charitable**
**Activities**
**Missionary**
**& Wider**
**Gifts**
**2022**
**2022**
**£**
**£**
Staff costs
343,757
-
Depreciation and
impairment
109,801
-
Premises Costs
89,500
-
Equipment
29,981
-
Evangelism and Outreach
11,806
-
Training and Conferences
9,006
-
Refreshments and
Catering
5,068
-
Children's Work
2,879
-
YP and Impact
11,658
-
Deaf Ministry
9,340
-
Money Ministries
13,302
-
Professional Fees
4,768
-
Development
2,789
-
Sundries
32,221
-
675,876
-
Grant funding of activities
(see note 8)
-
143,155
Share of support costs
(see note 9)
19,811
-
Share of governance costs
(see note 9)
6,783
-
702,470
143,155
**Analysis by fund**
Unrestricted funds -
general
558,628
73,556
Restricted funds
143,842
69,599
702,470
143,155|**Total**
**2022**
**Charitable**
**Activities**
**Missionary**
**& Wider**
**Gifts**
**2021**
**2021**
**£**
**£**
**£**
343,757
324,939
-
109,801
7,832
-
89,500
18,536
-
29,981
6,970
-
11,806
1,991
-
9,006
4,493
-
5,068
227
-
2,879
10
-
11,658
1,781
-
9,340
7,033
-
13,302
8,497
-
4,768
2,237
-
2,789
3,751
-
32,221
6,917
-
675,876
395,214
-
143,155
-
154,973
19,811
16,774
-
6,783
5,958
-
845,625
417,946
154,973
632,184
395,828
82,659
213,441
22,118
72,314
845,625
417,946
154,973|**Total**
**2021**
**£**
324,939
7,832
18,536
6,970
1,991
4,493
227
10
1,781
7,033
8,497
2,237
3,751
6,917
395,214
154,973
16,774
5,958
572,919
478,487
94,432
572,919|
|---|---|---|
- 21 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **8 Missionary and Wider Gifts**
|Grants to institutions (14 grants):
Commission Apostolic Trust Ltd
Zimbabwe Project
Dwaar Church - Delhi
Emergency Relief Ukraine
Your Sanctuary
Mongolia church Project
Prison Fellowship - Angel Tree
Turkey Church
Woking Street Angel
Brazil Church Project
Useful Wood Company
Woking Food Bank
Welcome Church, Austin USA
Lebanon Church Project
Commission - India
Emergency Relief - Philipians
Emergency Relief - Turkey
Other
Grants to individuals (19 grants)|**2022**
**£**
66,000
2,753
3,375
33,386
2,000
-
-
3,860
2,000
11,275
-
2,000
825
6,702
350
-
-
1,210
7,419
143,155|**2021**
**£**
42,000
5,145
3,500
-
163
24,935
800
3,765
500
11,473
13,208
-
1,865
7,281
19,459
5,000
5,000
1,109
9,770
154,973|
|---|---|---|
- 22 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **9 Support costs**
|**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Staff costs
-
-
Staff Travel
1,504
-
Office Expenses
5,784
-
Printing and Stationery
2,947
-
Telephone and Postage
2,763
-
ITC/PIC/Commission
211
-
Other staff costs
6,602
-
Audit fees
-
6,783
19,811
6,783
Analysed between
Charitable activities
19,811
6,783|**2022**
**£**
-
1,504
5,784
2,947
2,763
211
6,602
6,783
26,594
26,594|Support
costs
Governance
costs
£
£
3,025
-
293
-
6,082
-
2,804
-
4,129
-
441
-
-
-
-
5,958
16,774
5,958
16,774
5,958|2021
£
3,025
293
6,082
2,804
4,129
441
-
5,958
22,732
22,732|
|---|---|---|---|
## **10 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
## **11 Employees**
The average monthly number of employees during the year was:
|Employees
**Employment costs**
Wages and salaries
Social security costs
Other pension costs|**2022**
**Number**
6
**2022**
**£**
291,888
28,958
22,911
343,757|**2021**
**Number**
6
**2021**
**£**
280,948
25,680
21,336
327,964|
|---|---|---|
- 23 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**11**|**Employees**||**(Continued)**|
|---|---|---|---|
||The number of employees whose annual remuneration was more than|||
||£60,000 is as follows:|||
|||**2022**|**2021**|
|||**Number**|**Number**|
||60,001 - 70,000|1|1|
Contributions totalling £5,028 (2021: £4,777) were made to defined contribution pension schemes on behalf of employees whose emoluments exceed £60,000.
## **12 Other**
|Financing costs
**Tangible fixed assets**
**The Welcome**
**Centre**
**£**
**Cost**
At 1 April 2021
6,502,935
Additions
114,436
At 31 March 2022
6,617,371
**Depreciation and impairment**
At 1 April 2021
152,468
Depreciation charged in the year
98,753
At 31 March 2022
251,221
**Carrying amount**
At 31 March 2022
6,366,150
At 31 March 2021
6,350,467|**Plant and**
**machinery**
**£**
42,132
-
42,132
4,245
8,426
12,671
29,461
37,887|**Restricted**
**funds**
**2022**
49,887
49,887
**Fixtures,**
**fittings &**
**equipment**
**£**
13,107
-
13,107
7,985
2,621
10,606
2,501
5,122|Restricted
funds
2021
50,663
50,663
**Total**
**£**
6,558,174
114,436
6,672,610
164,698
109,800
274,498
6,398,112
6,393,476|
|---|---|---|---|
## **13 Tangible fixed assets**
- 24 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**14**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Other debtors
Prepayments and accrued income
**15**
**Loans and overdrafts**
Bank loans
Payable within one year
Payable after one year
Amounts included above which fall due after five years:
Payable by instalments|**2022**
**£**
2
168,140
3,925
172,067
**2022**
**£**
1,825,939
82,695
1,743,244
1,318,306|**2021**
**£**
3,176
159,869
-
163,045
**2021**
**£**
1,905,923
79,270
1,826,653
1,430,304|
|---|---|---|
The long-term loans are secured by first fixed charges over the land and buildings, The Welcome Centre, Church Street West, Woking, Surrey, GU21 6JD.
The charity has a long term loan of £2,000,000 from CAF Bank Ltd for the purpose of building the Auditorium. The term of the loan is 20 years from the date of the first drawdown and interest is charged at 2.5% above Bank of England base rate. The loan is repaid in instalments monthly.
There would be prepayment fees should the loan be repaid early and the charity must maintain a debt service ratio of 1:1.
## **16 Creditors: amounts falling due within one year**
|**Notes**
Bank loans
**15**
Deferred income
**18**
Trade creditors
Other creditors
Accruals|**2022**
**£**
82,695
13,662
15,181
880
73,975
186,393|**2021**
**£**
79,270
-
6,465
-
5,874
91,609|
|---|---|---|
- 25 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**17**
**Creditors: amounts falling due after more than one year**
**Notes**
Bank loans
**15**
**18**
**Deferred income**
Other deferred income
Deferred income is included in the financial statements as follows:
Deferred income is included within:
Current liabilities
Movements in the year:
Deferred income at 1 April 2021
Resources deferred in the year
Deferred income at 31 March 2022|**2022**
**£**
1,743,244
**2022**
**£**
13,662
**2022**
**£**
13,662
-
13,662
13,662|**2021**
**£**
1,826,653
**2021**
**£**
-
**2021**
**£**
-
-
-
-|
|---|---|---|
## **19 Retirement benefit schemes**
## **Defined contribution schemes**
The charity operates a defined contribution pension scheme for all qualifying employees in accordance with the requirement to provide a workplace pension scheme . The assets of the scheme would be held separately from those of the charity in an independently administered fund. However, all employees currently opt out of the workplace scheme and have chosen instead to have contributions made to other personal schemes of their choice as is permitted under workplace pensions legislation.
The charge to profit or loss in respect of payments to defined contribution schemes was £22,911 (2021: £21,336).
- 26 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **20 Restricted funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
|Missionary and Wider Gifts
Activities Income
Buildings Fund
Welcome Church Buildings
Welcome Works
Hardship fund|**Balance at**
**1 April 2020**
**£**
-
-
2,613,229
1,118,506
-
-
3,731,735|**Movement in funds**
**Incoming**
**resources**
**Resources**
**expended**
**Transfers**
**£**
**£**
**£**
69,271
(68,753)
-
-
-
-
16,103
(50,663)
-
-
-
-
8,540
(21,062)
12,522
69,739
(4,618)
-
163,653
(145,096)
12,522|**Balance at**
**1 April 2021**
**£**
518
-
2,578,669
1,118,506
-
65,121
3,762,814|**Movement in funds**
**Incoming**
**resources**
**Resources**
**expended**
**Transfers**
**31**
**£**
**£**
**£**
63,140
(63,147)
-
5,568
(14,470)
-
10,854
(148,653)
-
-
-
-
3,242
(30,579)
27,337
6,863
(6,479)
-
89,667
(263,328)
27,337|**Balance at**
**March 2022**
**£**
511
(8,902)
2,440,870
1,118,506
-
65,505
3,616,490|
|---|---|---|---|---|---|
## **Missionary and Wider Gifts**
Income received and associated tax credits for missionary and wider gifts were paid out in the year as grants,
## **Activities Income**
This relates to income generated from events/youth activities.
## **Buildings fund**
The fund was established by the Trustees for the following purpose:
To provide for the redevelopment and maintenance of the current properties and site; the purchase, development and maintenance of a new building and site; and any ancillary costs. Preparatory costs of developing the site, including legal costs and the employment of a project manager, have been and are continuing to be paid form this fund.
- 27 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
## **21 Analysis of net assets between funds**
|**Unrestricted**
**funds**
**Restricted**
**funds**
**Total**Unrestricted
funds
**2022**
**2022**
**2022**
2021
**£**
**£**
**£**
£
Fund balances at 31
March 2022 are
represented by:
Tangible assets
2,781,622
3,616,490
6,398,112
2,630,662
Current assets/
(liabilities)
520,463
-
520,463
446,609
Long term liabilities
(1,743,244)
-
(1,743,244) (1,826,653)
1,558,841
3,616,490
5,175,331
1,250,618|Restricted
funds
Total
2021
2021
£
£
3,762,814
6,393,476
-
446,609
-
(1,826,653)
3,762,814
5,013,432|
|---|---|
## **22 Related party transactions**
## **Remuneration of key management personnel**
The remuneration of key management personnel is as follows.
||**2022**|**2021**|
|---|---|---|
||**£**|**£**|
|Aggregate compensation|305,032|248,779|
For the purposes of this note, Key Management Personnel has been defined as the Elders. Compensation includes salary plus additional costs of employment such as employer's national insurance and employer's pension contributions.
Mr M Deavin, who is a trustee, is also a trustee of The Really Useful Wood Company which received £2,500 (2021: £13,208) from the church during the year. Mr Deavin has declared his interest and does not vote on decisions regarding grants made to The Really Useful Wood Company.
|**23**
**Cash generated from operations**
Surplus for the year
Adjustments for:
Investment income recognised in statement of financial activities
Depreciation and impairment of tangible fixed assets
Movements in working capital:
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Increase in deferred income
**Cash generated from operations**|**2022**
**£**
161,899
(63)
109,801
(9,022)
77,696
13,662
353,973|**2021**
**£**
426,022
(388)
7,832
76,508
(76,365)
-
433,609|
|---|---|---|
- 28 -
## **WELCOME CHURCH**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2022**_
|**24**
**Analysis of changes in net (debt)/funds**
**At 1 April 2021**
**£**
Cash at bank and in hand
375,173
Loans falling due within one year
(79,270)
Loans falling due after more than one year
(1,826,653)
(1,530,750)|**Cash flows At 31 March 2022**
**£**
**£**
159,616
534,789
(3,425)
(82,695)
83,409
(1,743,244)
239,600
(1,291,150)|
|---|---|
- 29 -