COMPANY REGISTRATION NUMBER: 05889208 CHARITY REGISTRATION NUMBER: 1119056 Jamia Al-Karam Company Limited by Guarantee Unaudited Financial Statements 31 August 2024 K B M UK LIMITED Chartered Certified Accountants 1 Concord Business Centre Concord Road London UK W3 OTJ
Jamia Al-Karam Company Limited by Guarantee Flnanclal Statements Year ended 31 August 2024 Page Trustees, annual report (incorporating the director's report) Independent examiner's report to Ihe trustees Statement of financial activities (including income and expenditure account) Statement of financial position Statement of cash flows Notes lo the financial statements 10
Jamia Al-Karam Company Llmlted by Guarantee Trustees, Annual Report (Incorporating the Director's Report) Year ended 31 August 2024 The trustees. who are also the directors for the purposes of company law, present thelr report and the unaudited financial statements of the charity for the year ended 31 August 2024. Reference and admlnlstratlve details Reglslered charity name Jamia Al-Karam Charlty reglstratlon number 1119056 Company registration number 05889208 Principal office and reglstered Eaton Hall office Rettord Nottinghamshire DN22 OPR The trustees Mr M l H Pirzada Mrs G Fatima Mr l Hussain MrABGAIi Mr, Bakhtyar H Pirzada Company secretary B.H. Pirzada Independent examlner Mr. Mohammad Afzaal Bhatti For and on behall of K B M UK Ltd 1 Concord Buslness Centre Concord Road London UK W3 OTJ sINcture, governance and managemonl Gov8mlng document The Jamia Al-Karam is a company limited by guarantee goverened by its Memorandum and Articles of Association dated 27 July 2006.11 is registered as a charity with the Charity Commission. Appointmenl of trustees The first trustees shall be the subscribers to Ihe Memorandum of the Charity. The number ol trustees shall not be less than three and shall not be more than fifteen. The board may appolnt a person who meels the criteria set out in the Articles of Association, and who is willing to act to be trustee, by a resolution of the Board passed by a majority of not less than three quarters of the trustees present and voting at the meeting of the board.
Jamia Al-Karam Company Llmlted by Guarantee Trustees. Annual Report (Incorporating the Director's Report) {¢onUnu8d) Year ended 31 August 2024 siructure. governance and managemeni (contlnwd) Oryanlsaiion The trustees of the charity are legally responsible for the overall management of Jamia Al-Karam. The day to day running of the educational institution is led by the founder and Irustee, Mr M l H Plrzada. who delegates tasks and responsibilities to members of staff. In the case of a dlspute at trustee meeting, the decision is made by a majorty vote. If the number of votes is equal, Mr M l H Plrzada has a casting vole. Relaled partles The charity has a close relationship wilh Jamia Al-Karam: Islamic Education and Cultural Trust the charily which holds the freehold of the premises the school operaies from. Mr M. l. H. Pirzada is also trustee of that charity. The Muslim Charity: Helping the Needy give donations to the charity. It is also a relaied party o* which Mr M. l. H. Pirzada is trustee and the founder. On 31 st December 2020, the land and buildings foming the school were leased for 5 years from the Jamia Al-Karam Islamic Educational and Cultural Trust, for an annual rent of £4,000. The charty shall be responsible for ihe maintenance and insurance of the school. Rlsk Managemenl The trustees of Jamia Al-Karam are responsible for the management of risks faced by the charlty. Senior members of management have conducted a review of some of the risks that the charlty may be exposed to. A risk register has been established and is reviewed on an annual basls. Where appropriate, procedures have been put into place to miligate the rlsks. As far as the wemises owned and occupied by Jamia Al-Karam are concerned, a detailed and thorough lire risk assessment and a health and safety risk assessment have been conducted by a compelenl company and a complete report provided. Procedures are In place to control and mlnlmlze the risks in those spe¢lflc areas. All such assessments are revlewed on an annual basis.
Jamia Al-Karam Company Llmlted by Guarantee Trustees. Annual Report (Incorporating the Director's Report) (continued) Year ended 31 August 2024 Objectives and actlvllles The objectives of the charity are: To promote the faith of Islam and Islamic charitable institutions in the United Klngdom and overseas, In particular, but without prejudice to the generality of the foregoing, by: 1. The advancement of the Islamlc Falth; 2. The advancment of education and in particular the provision of schools for Muslim children and the education and training of muslim Scholars and the provision of Muslim education in men and women; 3. The relief of the infirm, aged, poor and needy; 4. Such other purposes that are charitable in English Law which further the faith of Islam. Strateglc report The following sections for achievements and performance and financial review form the strategic report of the charty. Achlevements and performance Over the past year, the charity has continued to strengthen rts fundralslng actlvlties, resulting in a steady increase in lunds raised. This growth has been drlven by enhanced donor engagement" initiatives and improvements to online donation plalforms. Notably, the charltys Ramadan campalgns provided key opportunities to showcase its educational and communlty projects, leadlng to greater donor support and increased contributions. The annual live telethon also dellvered a slgnlflcanl boosi in donations, further contributing to the charitls financial stability. As a result of this increased fundlng, the campus has continued its programme of development and gradual refurbishment, enhancSng the facililies available to students and the communty. Educationally, the charity's programmes continue to thrive, wlth many graduates now servlng their communities as chaplains, Imams, teachers, and professionals. The Instltutlon malntalns a curriculum that integrates faith-based education with a strong emphasls on citizenshlp, preparlng students 10 embrace both their faith and British identity, and to contribute positively to society. During the year, the institution expanded ts reach by launchlng educatlonal courses in various towns and cities through partnerships with alumni and local centres. In addltlon, onllne CPD {CoMinuing Professional Development} and training programmes have been successfully Smplemented, wldenlng access to professional development opportunities. The JAK 2024 Convention further strengthened communlty tles, drawlng large numbers of attendees who engaged with the institution's work and contributed lo Sts ongolng success. Support for the charity's educational and cultural projects continues to grow within the communlty, underplnnlng a strong foundation for future achievements.
Jamia Al-Karam Company Limlted by Guarantee Trustees. Annual Report (Incorporating the Dlrector's Report) (conllnued) Year ended 31 August 2024 Flnancial revlew This is the sixteen year that the charlty has run a boardlng educational institution. There was an operating surplus of £41,036 for the year. The restricted funds are £Nil and the unrestricted funds are in surplus by £855,342. Total Incoming resources for the year, including the donations, toialled £643,309. The trustees. annual report and the stralegic report were approved on 28 April 2025 and signed on behalf of Ihe board of trustees by: Mr M l H Pirzada Trustee
Jamia Al-Karam Company Limited by Guarantee Independent Examiner's Report to the Trustees of Jamia Al-Karam Year ended 31 August 2024 I report to the trustees on my examination of the financial statements of Jamia Al-Karam Cthe charty,) for the year ended 31 August 2024. Responslblllties and basis ol report As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 {Ihe 2006 Act,). Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination ol the charitys accounts as carried out under section 145 of the Charities Act 2011 {'the 2011 Act.). In carrying out my examination I have follovrfed the Directions given by the Charity Commission under section 145(5)Ib) of the 2011 Act. Independent examiner's statement Since the charlty's gross Income exceeded £250,000 your examlner must be a member of a body listed in sectlon 145 of the 2011 Act. I conflrm that l am quallfled to undertake the examSnatlon because l am a member of the Assoclatlon of Chartered Certified Accountants, whlch Is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: accounting records were not kept in respect of the charity as required by section 386 of Ihe 2006 Act; or the financial statements do not accord wrlh those records. or the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair, view which is not a matter considered as part of an independent examination., or the flnanclal statements have noi been prepared In accordance wlth Ihe methods and prlnclples ol the Statement of Recommended Pracuce for accountlng and reportlng by charltles applicable to charltles preparlng their accounts In accordance wlth the Flnanclal Reporting Standard applicable in the UK and Republlc of Ireland (FRS 102).
Jamia Al-Karam Company Limlted by Guarantee Independent Examiner's Report to the Trustees of Jamla Al-Karam (¢ontlnuod) Year ended 31 August 2024 I have no concerns and have come across no other matters in connectlon wlth the examinatlon to which attention should be drawn in this rep)rt in order to enable a proper understanding of the accounts to be reached. Mr. Mohammad Afzaal Bhatti For and on behalf of KBMUKLtd Independent Examiner 1 Concord Business Centre Concord Road London UK W3 OTJ 2810412025
Jamia Al-Kararn Company Limited by Guarantee Statement of Financlal Activltles (Including income and expenditure account) Year ended 31 August 2024 2024 Unrestricted funds Total funds Total funds 2023 Nole Income and endowments Donations and legacies Charitable actlvlties 469,520 173,789 469.520 173,789 643,309 403,719 170,173 Total Income 643.309 573,892 Expendlture Expenditure on raising funds: Costs of raising donations and legacies Expenditure on charitable activities Total expenditure 14,244 588,029 602,273 14,244 588,029 602,273 6,215 616,028 622,243 Net incomel(expenditure) and nei movement In funds 41,036 41.036 {48,351) Reconciliation of funds Total funds brought forward Total funds carrled forward 814,306 855,342 814,306 855,342 862,657 814,306 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 10 to 17 form part of these flnanclal slatements.
Jamla Al-Karam Company Llmlled by Guarantee Statement of Financial Position 31 August 2024 2024 2023 Nole Fixed assets Tangible fixed assets 14 301,109 311,336 Currem assets Debtors Cash at bank and in hand 15 29,907 536,217 566.124 26.982 516.079 543,061 Credltors: amounts lalllng due wFthin one year Net current assets 16 11,891 40,091 502,970 814,306 554,233 855,342 855,342 Total ass$ less current Ilabllltles Nel assets 814.306 Funds of the charlty Unrestricted funds 855,342 855,342 814,306 814,306 Toial charhy lunds 17 For the year ending 31 August 2024 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. Directors, responsibilities: The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476. The directors acknowledge their responsibilities foT complying with the requirements of the Act with respect lo accounting records and the preparation of financial statements. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies. regime. These financial statements were approved by the board of trustees and authorised for issue on 28 Aprll 2025, and are slgned on behalf of the l)oard by: Mr M l H Pirzada Trustee The notes on Pag 10 to 17 form part ol these linancial stslement3.
Jamia Al-Karam Company Limtted by Guarantee Slatement of Cash Flows Year ended 31 August 2024 2024 2023 Cash flows from operatlng activities Nei incomel{8xpenditure) 41.036 {48,351) Adjustments for.. Depreciation of tangible fixed assets Interest payable and similar charges 111,435 5,468 104.266 6.210 Changes in.. Trade and other debtors Trade and other creditors (2,925) (28,200) 126,814 {7,843) {5,459) 48,823 Cash generated from operations Interest paid Net cash from operatlng actlvltles (5,468) 121,346 (6.210) 42,613 Cash flows from Invesllng aciivities Purchase of tangible assets Net cash used in investing activities (101,208) (101,208> {49,892) (49.892) Net Increasel{decrease) in cash and cash equivalents Cash and cash equlvalents at beginnlng of year Cash and cash equlvalenls al end of year 20,138 516,079 536,217 (7,279) 523,358 516,079 The noté$ on pages 10 to 17 lorm part of these financial statements.
Jamia Al-Karam Company Llmlled by Guarantee Notes to the Financlal Statements Year ended 31 August 2024 General Informatlon The charity is a public benefit enttiy and a private company limited by guarantee. registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Eaton Hall, Retford, Nottinghamshire, DN22 OPR. Statement of compliance These financial slatements have been prepared in compliance with FRS 102. The Financial Reporting Slandard applicable in the UK and the Republic of Ireland,. the Staternent of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Slandard applicable in the UK and Republic of Ireland {FRS 102) {Charities SORP (FRS 102)) and the Companies Act 2006. Aecountlng pollcles Basls of preparatlon As at 31st August 2024, the Charitable Companrfs balance sheet shows nei current assets of £554,233. The principal accounting policies adopted in the preparation of the financlal statements are set OLrt below. Going concern There are no material uncertainties about Ihe charitys ability to continue. Judgements and key sources of estIMlon uncertalnty The preparation of the financial statements requires managemenl to make judgements, estimates and assumptions Ihat affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors. including expectations of future events Ihat are believed to be reasonable under the circumstances. Fund accountlng General funds are unrestricted funds which are available lor use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance wilh specrfic restrictions imposed by donors, or which have been raised by the Charity for particular purposes. The cost of raising and administering such funds are charged against the specific lund. The aim and use of each resiricted fund is set out in the notes to Ihe financial statements. Sludent Fe8 Income Fee income is attributed to the period into which it relales. Voluntary Income Voluntary income is accounted for in the period in which the charity is errtitled to receipl, unless expressly specified otherwise by the donor. 10-
Jamia Al-Karam Company Llmlted by Guarantee Notes to the Flnanclal Statements (contlnued) Year ended 31 August 2024 Accountlng pollcles (contIn) Incoming resources All incoming resources are included In the statement of flnanclal actlvltles when entFtlement has passed 10 the charity; it is probable that the economlc benefSts aSSocated with the transactlon wlll flow to the charlty and the amount can be rellably measured. The following speclflc FK)Ilcles are applled to partlcular categories of Income: income from donations or grants is recognised when there is evidence of entitlement to the gtft, receipt is probable and its amount can be measured reliably. legacy income is recognised when receipl is probable and entitlement is established. income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers. income from contracts for the supply of seNices is recognised with the delivery of the contracled service. This is classrfied as unrestricted funds unless there is a conlractual requirement for it to be spent on a particular purpose and returned if unspent. in which case it may be regarded as restricted. Resources expended All the expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to thai category. Costs of generating funds are those incurred in seeking voluntary contributions. Cosls of charitable activities are those costs incurred directly in support of expenditure on the objectives of the charity. Governance costs are those incurred in connection with administration of the charity and compliance with the constitutional and statutory requirements. Depreeiatlon Depreclatlon has been computed to write off the cost of fixtures and fittings and equipments over thelr expected useful Ilves using 150/0 per annum of net book value and to write off the cost of leasehold improvements over their expected useful life using 10rJ/o per annum of cost. Operatlng loases Rentals applicable to operating18ases are charged to the SOFA over the perlod In which the cost is incurred. Tangible a8s0ts All fixed assets are initially recorded at cost. 11
Jamia Al-Karam Company Llmlted by Guarantee Notes to the Flnanclal Slatements {contlnued) Year ended 31 August 2024 Accounting pollcleg (contlnued) Depreclallon Depreciation is calculated so as to write off the cost or vauation of an asset, less its residual value, over the useful economic life of that asset as follows-. Leasehold Property Fixtures & Fittings Equipment 1 OV• Straight line 15V• reducing balance 15Y• reducing balance Impalrment of fixed assets A review for indicaiors of impairment is carried out at each reporting date. with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior Impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when h is not possible to estimate the recoverable amount of an Indiv5dual asset, an estimate is made of the recoverable amount of the cash- generatlng unlt to whlch Ihe assei belongs. The cash-generatlng unlt Is the smallest idenllfiable group of assets that Includes the asset and generates cash Inflows that largely Independent of the cash infbws from other assets or groups of assets. For Impalrment testing of goodwill, the goodwill acquired in a business combination is, from the acqulsltlon date, allocated to each of the Cashenerating units that are expected to benefit from the synergles of the comblnatlon, Irrespective of whether other assets or liabilities of the charty are assigned to those unlts. Flnanclal Inruments A financial asset or a financial liability is recognised only when the charity becomes a party to the contraclual provisions of the instrument. Basic financial instruments are InitlY recognised at the amount receivable or payable inclLKling any related transaction costs. Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted. Debt instruments are subsequently measured at amortised cost. Where investments in shares are publicly traded or their fair value can otheMise be measured reliably. the investment is subsequently measured at fair value wilh changes in fair value i• recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment. Other financial inslruments. including derivatives. are initially recognised al fair value. unless payment for an asset is deferred beyond normal business terms or linanced at a rate of inleresl that is not a market rale. in which case the asset is measured al Ihe present value of the future payments discounted at a market rate of interest for a similar debl instrument. 12-
Jamia Al-Karam Company Llmlted by Guarantee Notes to the Financial Statements (ntInu•d} Year ended 31 August 2024 Accounting polici85 (¢ontinu•d) Financial inslruments (contlnued) Other financial instruments are subsequently measured al fair value, with any changes recognised in the statement of financial activities, Mbith the exception of hedging instruments in a designated hedging relationship. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment. an impairment loss is recognised under the appropriate heading in the statemerrt of financial activities in which the initial gain was recognised. For all equity instruments regardless of significarKe, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assels are either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised immediately. to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairmenl not previously been recognised. Llmited by guarantee The charity Is company Ilmlted by guarantee and has no share capital. The liability of each member In the event of wlndlng up is limited to £1. Donaiions and 18gacle8 Unrestricted Total Fund8 Unrestrlcted Toial Funds Funds 2024 Funds 2023 Donations Donations 469,520 469.520 403,719 403,719 Charitabl8 aciivities Unrestricted Total Fund8 Unrestricted Total Funds Funds 2024 Funds 2023 Student fees Rent Received 153,989 19,800 1 53.989 19,800 173,789 150,373 19,800 150,373 19,800 173.789 170,173 170,173 Costs ot raising donaliong and legacies Unrestricted Total Funds Unrestricted Total Funds Funds 2024 Funds 2023 Costs of raising donations and legacies Donations 14,244 14,244 6,215 6,215 13-
Jamia Al-Karam Company Limited by Guarantee Notes to the Financial Statements {eonrfnu•d) Year ended 31 August 2024 Expenditure on charftable actlvltles by fund type Unreslricted Total Funds Unrestricted Totsl Funds Funds 2024 Funds 2023 Charitable Activities SuFPOrt costs 570.328 17.701 570.328 17.701 588.029 595,782 20,246 616,028 595,782 20,246 616,028 588,029 Expendilure on tharltable acllvllles by acllvlty type Acllvltles undertaken directly SuN)ort costs Total funds 2024 Total fund 2023 Charitable Activities Governance costs 570,328 570,328 17,701 588,029 595,782 20,246 17,701 17.701 570,328 616,028 10. Nei Incomel(8xpenditure) Net incomel(expenditure) is stated after chargingl(crediling): 2024 2023 Depreciation of tangible fixed assets Operating lease rentals 111,435 104,266 4.000 11. Independeni oxamination fees 2024 2023 Fees payable to the independent examiner for: Independent examination of the financial statemenls Other financial services 1,200 5,271 6,471 1,200 4,986 6,186 12. Staff cosis The total staff costs and employee benefits for Ihe reporting period are analysed as follows: 2024 2023 Wages and salaries 237.552 226,888 The average head count of employees durlng the year was 11 (2023., 12). The average number of full-time equivalent employees during the year is analysed as tollow5: 2024 No. 2023 No. Number of employees 11 12 14-
Jamia Al-Karam Company Llmlted by Guarantee Notes to the Financial Statements (contlnued) Year ended 31 August 2024 12. Staff c¢)stS (continu•dJ No employee received employee benefits of more than £60,000 during the year (2023: Nil). 13. Trustee remuneratlon and expenses The Trustees received no remuneration or expenses for acting as trustees. During the year the total of expense reimbursed to the trustees, Incurred In the course of acting as members of the charity, amounted to £NII. 1Q Tanglblo flxed assais Long leasehold Fixtures and property fittings Equipment Total Co At 1 September 2023 Additions 879,598 96,644 233,628 3,034 242,636 1,530 1.355,862 101,208 1,457,070 At 31 August 2024 Depreclatlon At 1 September 2023 Charge for the year At 31 August 2024 Carrying amount At 31 August 2024 At 31 August 2023 976,242 236,662 244,166 688.390 92.731 222,589 2,111 133.547 16,593 1.044.526 111.435 781.121 224,700 150,140 1,155,961 195,121 191,208 11,962 11,039 94,026 109,089 301,109 311,336 15. Debtors 2024 2023 Prepayments and accrued income Other deblors 29.7 25,469 1.513 29,907 26.982 16. Credltors: amounts falllng dua wlthin one year 2024 2023 Trade creditors Accruals and deferred income Social securty and other taxes Other creditors 5205 26.257 3,645 812 9,377 3.041 11,891 40,091 15-
Jamla Al-Karam Company Limited by Guarantee Notes to the Financial Slatements Icontlnued) Year ended 31 August 2024 17. Analysis of charitable lunds Unrestricted funds At 1 September 2023 At 31 August 20 24 Income Expenditure Unrestricted Fund 814,306 643,309 1602,273) 855,342 At 1 September 2022 Al 31 August 20 23 Income Expenditure Unrestricted Fund 862,657 573,892 (622,243) 814.306 18. Analysis of net assets between funds Unrestricted Total Funds Funds 2024 Tangible fixed assets Current assets 301,109 554,Z33 301,109 554.233 855,342 Net assets 855,342 Unrestrlcted Total Funds Funds 2023 Tangible fixed assels Current assets Creditors greater Ihan 1 year Net assels 311,336 502,970 311,336 502,970 814,306 814,306 19. Flnanclal Instruments The carryfjng amount for each category of financial inslrurnent is as follows: 2024 2023 Flnanclal assets measured at talr value through Income and expendlture Financial assets measured at fair value through income and expenditure 566.124 543,061 20. Analysis of changes in net debt At Al 1 Sep 2023 Cash flows 31 Aug 2024 Cash at bank and in hand 516.079 20.138 536,217 16-
Jamia Al-Karam Company Limited by Guarantee Notes to the Financial Statements Icontlnued) Year ended 31 August 2024 21. Relaiod parties On the 1 st June 2007 the charity was granted a five years, lease of propety with annual rent of £2.000 and renewed on 31 December 2015 wtlh same £2.1)00 rent belonging to Jamia Al-Karam Islamic Educational and Cultural Trust, a charity of which Mr M l H Pirzada is also trustee. On the same day. the activities of the boarding school, including the fixtures and fittings and equipment were transferred from that charity. This lease has been renewed on 31 December 2020 for a term of 5 years at the rent of of £4,000 per annum. 17-