Charity number: 1116216
Apex Trust
Trustees' Report and Financial Statements
For the year ended 31 August 2021
Apex Trust
| Contents | |
|---|---|
| Page | |
| Legal and administrative information | 3 |
| Trustees' report | 4 – 8 |
| Independent examination report | 9 |
| Statement of financial activities | 10 |
| Balance sheet | 11 |
| Notes to the financial statements | 12 - 15 |
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Apex Trust
Legal and administrative information
Charity Number 1116216 Trustees Gulraze Akhtar Imtiaz Ahmed Anjuman Iftikhar Meherun Hamid Sanel Haskic Registered Office Apex Primary School 60-62 Argyle Road Ilford, Essex IG1 3BG Bankers HSBC 23 Ripple Road Barking Essex, IG11 7NW
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Apex Trust
REPORT OF THE TRUSTEES FOR THE YEAR ENDED AUGUST 2021
The Trustees of Apex Trust have pleasure in presenting their Trustees' Annual Report and Accounts for the year ending 31 August 2021.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Apex Trust was registered as a charitable organisation in the United Kingdom on the 26[th] September 2006. It is governed by a deed of trust dated 26[th] September 2006 and witnessed by the above trustees. The charity is administered by the trustees. Governors are appointed by the trustees to serve as the school's governing body.
Appointment and retirement / termination of trustees
(i)There must be at least three trustees. Apart from the first trustees, every trustee must be appointed for a term of two years by a resolution of the trustees passed at a special meeting called under clause 15 of the deed.
(ii) In selecting individuals for appointment as trustees, the trustees must have regard to the time, integrity, commitment, sincerity, skills, knowledge and experience needed for the effective administration of the charity.
(iii) The trustees are to keep a record of the name and address and the dates of appointment, re-appointment and retirement of each trustee.
(iv) The trustees must make available to each new trustee, on his or her first appointment:
(a) a copy of the deed and any amendments made to it;
(b) a copy of the charity's latest report and statement of accounts.
(v) The first trustees shall hold office for the following years respectively: five years.
A trustee shall cease to hold office if he or she:
(i) is disqualified from acting as a trustee by virtue of section 72 of the Charities Act 2011 or any statutory re-enactment or modification of that provision;
(ii) becomes incapable by reason of mental disorder, illness or injury of managing his or her own affairs;
(iii) is absent without the permission of the trustees from all their meetings held within a year of six months and the trustees resolve that his or her office be vacated; or
(iv) notifies to the trustees a wish to resign (but only if enough trustees will remain in office when the notice of resignation takes effect to form a quorum for meetings).
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Apex Trust
Main Activities
The prime activities of Apex Trust is to advance the education of the pupils at Apex Primary School by providing and assisting in the provision of facilities not required to be provided by the local education authority for education at the school. Included in the prime activities of the trust is to advance the Islam faith for the benefit of the pupils and public through holding of prayer meetings, lectures, producing and/or distributing literature on Islam. The school ranges from nursery to primary six.
Accountancy Year
The 2020-21 accounts ended on 31st August 2021 and have been prepared for filing in accordingly.
STRATEGY
At the termly Trustees meeting, the Trustees agree the broad strategy and areas of activity for the Trust including risk management, policies, performance and grant making. The day-to-day administration and activities of the Trust is delegated to the appointed Trustees and Offices made up of the Head teacher and other administrative staff, who meet every month to discuss Trust issues and monitor the progress of activities. In its Annual General Meeting the Trustees set key priorities for the year which generates a range of activities and business planning. They consider areas of activity, new grant applications and recommendations for funding in their regular termly meetings.
OBJECTIVES OF THE TRUST
To advance the education of the pupils at Apex Primary School by providing and assisting in the provision of facilities not required to be provided by the local education authority for education at the school.
To advance the Islam faith for the benefit of the pupils and public through holding of prayer meetings, lectures, producing and/or distributing literature on Islam.
To educate and assist young people through their leisure time activities so to develop their physical, mental and spiritual capacities that they may grow to full maturity as individuals and members of society and that their conditions of life may be improved
Encouraging other charitable activities through which parents may help the children.
RISK MANAGEMENT
The Charity Trustees have considered the major risks to which the Charity is exposed and have reviewed those risks and established systems and procedures to manage those risks. The Trustees consider speed of expansion, areas of operation, capacity, and cash flow to constitute the charity's major risks. They have established business planning and a system of accounting which tracks each activity of the Trust on a receipt and payment systems which facilitates the transfer of funds to support grant making and uneconomic activities. Certain activities are also designated as having restricted funds which are set aside for this use only. The Trust uses secondments and self-employed consultants where possible to reduce the risk of permanent employment responsibilities.
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Apex Trust
ACTIVITIES OF THE TRUST
The Trust engages in a number of activities in relation to income generation and securing funding streams which include; grant funding and donations. The primary source of funding is the school fees. There is no taxable purpose trading. There are full-time staff as well as staff seconded from other Islamic schools on a needs basis and trustees who operate on a voluntary basis. The Trust is a charitable not for profit organisation working for the benefit of the local community.
Grant Funding
The formation of Apex Trust as an educational institution with charitable status has allowed it to apply for grants open to voluntary organisations as opposed to the public sector.
Donations
The trust receives donations from individuals and local businesses. Also, as a registered charity, it is able to increase its fund-raising returns by 25% through Gift Aid. This scheme will be developed within the next financial year.
Tax Exempt
As a charity the Trust does not pay tax on any profits and charges are exempt from VAT. The increased flexibility of the Trust as a charitable organisation enables it to be engaged in other activities including acquiring property either freehold or leasehold, investing funds and borrowing money. This will support the school in the future in developing specialist off-site facilities if it so wishes.
Non-Domestic Rates Relief (NDR)
As a registered Charity the School is able to obtain a reduction of its NDR payments for any buildings in its ownership or ones it holds in Trust.
FINANCIAL REVIEW
The Trust is reliant on its primary activity for its income which was sufficient to establish a range of community Trust based activities not previously available. Surplus funds generated in one area were able to subsidise other less profitable programmes, hence many more members of the community have access to activities and services irrespective of ability to pay.
The Trust is currently looking into the possibility of paying part of its long-term liability, with the agreement of its funders.
INVESTMENTS AND RESERVES POLICY
The Trustees have established a reserves policy whereby the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be at a level of three months running costs, which equates to £50,000 in free reserves. At this level, the Trustees feel that they would be able to continue the current activities of the charity in the event of a significant drop in funding.
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Apex Trust
Achievements and Performance
The thematic teaching and curriculum development continued during the year and a new maths scheme was purchased. Fees were raised this year after eight years to ensure operating costs were covered and to meet the rising costs. To assist with the increase in fees, existing parents were offered a gradual increase and new parents were offered school places at the new school fee. The trust hope to bring all fees in line within the next three years and develop the Waqf fund to offer subsidised places or scholarship bursaries to those most in need.
Due to Covid19 restrictions, small fundraising and publicity efforts took place during the year. The charity partnered with the charity Lonely orphans to start a campaign called “The Apex Village”. Apex Trust retained 20% of the proceeds for the provision of education.
School trips took place within Covid19 guidelines and Friday PE provision resumed.
The two investment properties purchased for the Waqf fund remained dormant. One of the properties with occupants were served with a tenancy agreement but were unresponsive. The other property was vacated, accessed and secured.
The impact of Covid-19 continued during the year. The Trustees, Senior leadership team and staff managed this well during the year and maintained continuity in education for students.
Grants of £3,1618 were claimed for the impact of COVID19 that includes £14,000 for additional restriction Grant and £17,618 for Furlough grant. Maintenance works to improve hygiene facilities for the students such as the hall washing facilities were renovated.
The development works for the front driveway continued during the year. The impact of Covid19 caused delays and presented further challenges in sourcing specialist materials.
PLANS FOR THE FUTURE
The charity will continue to invest in the development of the Thematic curriculum and develop subject specialist teaching staff.
The Trustees will look into the next steps for the properties purchased to start the Waqf fund and expanding the trust team.
Marketing and Fundraising co-ordinator role will be developed further and maintain working in partnership with other organisations such as Lonely Orphans. Social media coverage will continue to be developed. The Trustees will seek to consider Secondary school provision as a result of demand from parents.
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Apex Trust
TRUSTEES' RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS
The law applicable to charities in England and Wales requires the Trustee(s) to prepare financial statements for each financial year, which give a true and fair view of the charity's financial activities during the year and of its financial position at the end of the year. In preparing financial statements giving a true and fair view, the trustees should follow best practice and:
-
select suitable accounting policies and then apply them consistently;
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make judgements and estimates that are reasonable and prudent;
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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;
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prepare the financial statements on an ongoing concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy, the financial position of the charity and which enable them to ascertain the financial position of the charity and which enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations and the provisions of the trust deed. The trustees are responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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Apex Trust
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF APEX TRUST FOR THE YEAR ENDED 31 AUGUST 2021
I report on the accounts of The Apex Trust for the year ended 31 August 2021, which are set out on pages 10 to 15.
Respective responsibilities of trustees and examiner
The charity's trustee is responsible for the preparation of the accounts. The charity's trustee considers that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.
It is my responsibility to:
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examine the accounts under section 145 of the 2011 Act;
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to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
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to state whether particular matters have come to my attention.
Basis of independent examiner's report
My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
(1) which gives me reasonable cause to believe that in any material respect the requirements:
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to keep accounting records in accordance with section 130 of the 2011 Act; and
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to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act
have not been met; or
(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Mr Anees Rehman Director London Tax Accountant Limited Chartered Certified Accountants 47 Fairlands Avenue, Buckhurst Hill, England, IG9 5TF
Date: 16/01/2023
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Apex Trust
Statement of financial activities For the year ended 31 August 2021
| Notes INCOMING RESOURCES Incoming resources from Charitable Activities School & Club Fees Grant Registration processing Fee Incoming resources from Generated Funds Voluntary Income Activities for generating funds Other Incoming resources Other Income Sundry Income Total Incoming Resources RESOURCES EXPENDED Charitable activities expenditure School Activities 2 Governance costs 3 Activities for generating funds Total Resources Expended NET INCOMING RESOURCES & MOVEMENT IN FUNDS* |
Unrestricted Funds 2020/21 294,739 - 800 5,031 31,099 31,618 616 363,903 285,977 385 2,683 289,045 74,858 |
Restricted Total Total Funds Funds Funds 2020/21 2020/21 2019/20 - 294,739 311,019 71,555 71,555 106,255 - 800 540 - 5,031 2,066 - 31,099 4,766 31,618 53,845 - 616 17,245 |
|---|---|---|
| 71,555 435,458 495,736 |
||
| 85,422 371,399 354,288 115 500 500 2,683 5,873 |
||
| 85,837 374,582 360,662 |
||
| (13,982) 60,876 135,074 |
Other income Includes £17,618 for Furlough and £14,000 for additional restriction Grant The notes on pages 12 to 15 form an integral part of these financial statements.*
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Apex Trust
Balance sheet As at 31 August 2021
| Notes FIXED ASSETS Tangible assets 4 Investment Property 5 CURRENT ASSETS Debtors 6 Bank & Cash CREDITORS: Amounts due within one year 7 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS: 8 Amounts due after more than one year TOTAL NET ASSETS REPRESENTED BY: Unrestricted funds 9 Restricted fund 9 TOTAL FUNDS |
£ 110,597 369,621 480,218 (180,445) |
2020/21 £ 705,692 65,437 771,129 299,773 1,070,902 (134,663) |
£ 13,650 406,911 420,561 (172,172) |
2019/20 £ 724,550 65,437 789,987 |
|---|---|---|---|---|
| 248,389 | ||||
| 1,038,376 (163,013) |
||||
| 936,239 783,077 153,162 936,239 |
875,363 | |||
| 708,219 167,144 875,363 |
The notes on pages 12 to 15 form an integral part of these financial statements.
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Apex Trust
Notes to the financial statements for the year ended 31 August 2021
1. Accounting policies
The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and the preceding year.
1.1. Basis of accounting
The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008), the Statement of Recommended Practice 'Accounting and Reporting by Charities' issued in March 2005 (SORP 2005).
1.2. Incoming resources
All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:
Income is received by way of school fees, donations and gifts and is included in full in the Statement of Financial Activities when receivable. Gifts donated for resale, if any, are included as income when they are sold.
Donated assets are included at the value to the charity where this can be quantified, and a third party is bearing the cost. The value of services provided by volunteers has not been included.
Grants, including grants for the purchase of fixed assets, are recognised in full in the Statement of Financial Activities in the year in which they are receivable.
1.3. Resources expended
Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates.
Resources expended are recognised in the year in which they are incurred.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.
1.4 Tangible fixed assets and depreciation
Depreciation is provided at rates calculated to write off the cost or valuation less residual value of each asset over its expected useful life, as follows:
Freehold buildings - 2%
Fixtures, fitting and equipment - 20%
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Apex Trust
Notes to the financial statements for the year ended 31 August 2021 (Continued)
| 2. School activities Staff costs Printing Postage Stationary Learning resources and aids Utilities Cleaning costs Rent and Rates Advertising and marketing Sundry expenses Write offs Bank charges Interest on Bank loan Legal and professional fees Subscriptions Insurance Repairs and maintenance Depreciation 3. Governance costs Accountant remuneration 4. Tangible Fixed Assets Cost 1st September 2020 Additions 31st August 2021 Depreciation 1st September 2020 Charge for the year 31st August 2021 Net Book Value At 31st August 2021 At 31st August 2020 |
Buildings 994,226 - |
2021 251,994 2,019 3,792 8,164 9,070 5,486 1,443 1302 - 2,092 24,720 418 7,438 8,355 24,718 20,388 371,399 2021 500 Furniture & Equipment 245 1,530 |
2020 255,364 2,873 8,249 8,328 7,008 4,846 60 - 10,223 - 24,720 2,624 4,154 5,698 209 19,933 |
|---|---|---|---|
| 354,289 | |||
| 2020 500 |
|||
| Total 994,471 1,530 |
|||
| 994,226 | 1,775- | 996,001 | |
| 269,873 19,885 |
48 503 |
269,921 20,388 |
|
| 289,758 | 551 - |
290,309 | |
| 704,468 | 1,224 - |
705,692 |
|
| 724,353 | 197 - |
724,550 |
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Apex Trust
| Notes to the financial statements for the year ended 31 August 2021 (Continued) | Notes to the financial statements for the year ended 31 August 2021 (Continued) | Notes to the financial statements for the year ended 31 August 2021 (Continued) |
|---|---|---|
| **5. Investment Property ** | 2021 | 2020 |
| Fair Value as at 1st September 2020 | 65,437 | - |
| Addition of Asset | - | 65,437 |
| gain/loss from fair value adjustment | - | - |
| 65,437 | 65,437 | |
| 6. Debtors | 2021 | 2020 |
| Fees | 4,256 | 4,970 |
| Qarz e Husna | 102,000 | 7,000 |
| VAT | 4,340 | 1,680 |
| 110,597 | 13,650 | |
| 7. Creditors: Falling due in one year | 2021 | 2020 |
| Bank loan | 28,350 | 28,350 |
| Prepaid fees | 110,895 | 118,062 |
| Other creditors | 100 | - |
| Accruals | 41,101 | 25,760 |
| 180,445 | 172,172 | |
| 8. Creditors: Due after more than one year | 2021 | 2020 |
| Bank loan | 134,663 | 163,013 |
| 134,663 | 163,013 | |
| 8. Bank loan repayment analysis | 2021 | 2020 |
| Payable within 1 year | 28,350 | 28,350 |
| Payable within 2 - 5 years | 113,400 | 113,400 |
| Payable 5 years and over | 21,263 | 49,613 |
| 163,013 | 191,363 |
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Apex Trust
Notes to the financial statements for the year ended 31 August 2021 (Continued)
| 9. Movement in funds Unrestricted funds General Fund Restricted Fund Reserve fund Education Grant TOTAL FUNDS |
Balance at Net Movement Balance at 01/09/2020 in funds 31/08/2021 708,219 74,858 783,077 |
|---|---|
| 708,219 74,858 - 783,077 |
|
| 152,529 152,529 - 14,615 (13,982) 633 |
|
| 167,144 (13,982) - 153,162 |
|
| 875,363 60,876 - 936,239 |
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