Company Registration Number 6112422
Charity Registration Number 1119064
THE GOSHEN TRUST
(a company limited by guarantee and not having a share capital)
REPORTS AND AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 5 APRIL 2023
THE GOSHEN TRUST
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
| Pages | |
|---|---|
| Trustees’ Annual Report (including Directors’ Report) | 1 to 4 |
| Independent Auditor’s Report to the Members | 5 to 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Statement of Cash Flows | 10 |
| Notes to the Financial Statements | 11 to 19 |
Page 1
THE GOSHEN TRUST
TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 5 APRIL 2023
The trustees/directors are pleased to present their report, together with the audited financial statements of the charitable company (the charity) for the year ended 5 April 2023.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 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’, published on 16 July 2014 (as amended by Update Bulletin published in October 2019).
LEGAL AND ADMINISTRATIVE INFORMATION
| Company Registration No: | 6112422 |
|---|---|
| Charity Registration No: | 1119064 |
| Registered Office: | Spitfire House |
| 19 Falcon Court | |
| Preston Farm Industrial Estate | |
| Stockton-on-Tees | |
| TS18 3TU | |
| Trustees/Directors: | Mr A G Dicken |
| Mrs P B Dicken | |
| Mr J R Dicken | |
| Mrs A Dicken | |
| Ms R A Dicken | |
| Auditors: | Baines Jewitt Limited |
| Chartered Accountants | |
| Spitfire House | |
| 19 Falcon Court | |
| Preston Farm Industrial Estate | |
| Stockton-on-Tees | |
| TS18 3TU | |
| Solicitors: | Knights Plc |
| Lakeside House | |
| Kingfisher Way | |
| Stockton-on-Tees | |
| TS18 3NB | |
| Bankers: | Barclays Bank plc |
| 19-23 Wellington Square | |
| Stockton-on-Tees | |
| TS18 1NA |
Page 2
THE GOSHEN TRUST
TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 5 APRIL 2023
GOVERNANCE, STRUCTURE AND MANAGEMENT
Governing Instrument
The Goshen Trust is a company limited by guarantee, registered in England (date of incorporation 16 February 2007).
The charity’s activities are regulated by its Memorandum and Articles of Association. The objects of the charity are to apply the income and capital of the charity for such charitable purposes as the charity shall in its absolute discretion determine. ‘Charitable’ means charitable according to the law of England and Wales.
Trustees
The charity currently has five trustees. The trustees of the charity are also directors of the company for the purpose of company law.
Day to Day Management
The day to day management and running of the charity is undertaken by Mrs. A. Dicken, Trustee.
Objects and Activities
The principal activity of the charity is to encourage and develop Christian projects, although other worthy causes are also considered.
Appointment and Training of Trustees
The charity ensures that existing trustees are kept informed of the activities and performance of the charity and are provided with regular management information. Trustees meet periodically throughout the year to review all aspects of the charity’s activities. The trustees keep the composition of the Board under review and will seek to appoint additional members known to have the appropriate skills and expertise should the need arise. Interested parties are given details of the background of the charity in order to make them aware of current activities.
Procedures and Policies for Grant Making
The charity invites written applications for grants from Christian organisations in England and Wales, although grants are made to other parts of the UK and overseas, and the trustees are particularly interested in supporting charities in the North East of England where possible. The charity receives many more applications than it has funds to support.
The trustees consider that the number of charities supported during the year demonstrates to its beneficiaries, and through them to the public, that the charity meets the Charity Commission’s guidance on Charity and Public Benefit.
All applications are logged, referenced on receipt and acknowledged via email stating that, should the applicant not receive further communication after the date of the, stated, next trustees meeting, then they should consider the application to have been unsuccessful.
The trustees generally meet three times a year to consider and review applications which have already been referenced and a summary distributed to the trustees. Some grant making decisions may already have been agreed verbally by the trustees in the interim period and these are ratified at the next trustees meeting.
ACHIEVEMENTS AND PERFORMANCE
When planning the activities for the year, the trustees have considered the Charity Commission’s guidance on public benefit and, in particular, the specific guidance on charities for the advancement of religion. The charity is based in the North East of England but aims to support charitable activities both in the UK and abroad. This support is achieved by means of loans and grants and the charity aims to provide finance to help churches and other charitable organisations. The charity hopes to continue this work in future years.
Page 3
THE GOSHEN TRUST
TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 5 APRIL 2023
ACHIEVEMENTS AND PERFORMANCE (continued)
During the year, the charity has continued to pursue its main objectives as outlined above. The trustees have also entered into informal arrangements with UK churches to provide aid and support following global natural disasters, thus enabling accountability to be readily available.
The main achievement during the year was:
- Grants and donations totalling £302,246 (2022: £307,745) were made to more than 30 charitable organisations.
Success is measured by the level of charitable donations that are able to be made, monitoring of beneficiary responses, requesting information on outcomes and visiting projects supported by the charity.
The charity continues to reduce its monthly giving to enable it to be sustainable for the future, ultimately looking to spend only the income for each year.
FINANCIAL REVIEW
The charity has received incoming resources amounting to £354,945 (2022: £317,751). Total resources expended amounted to £427,193 (2022: £414,168) including grants and donations of £302,246 (2022: £307,745). There was an unrealised loss of £434,664 (2022: unrealised gain of £294,034) arising on the revaluation of investments and investment property during the period under review.
Investment Policy
The trustees are looking to minimise the Trust’s overall cash reserves and look for additional charitable partnerships which will give a better return on finances. We have invested in Green Pastures, a charity which provides churches with housing for the homeless. This meets our charitable and investment strategies. This investment, together with listed securities held with Investec and the Charities Official Investment Fund, are held with a view to sustained income and capital growth. The charity follows an investment strategy with a view to maintaining an income stream to meet existing and future donations. The charity also holds programme related investments in the form of freehold property and concessionary loans. These are all held to further the charitable objectives of the charity.
Reserves Policy
The charity receives income from rents and interest on investments; in addition, unsolicited gifts, which are generally of an unrestricted nature, are received and distributed in accordance with the charity’s general purposes under its Memorandum and Articles of Association. In order to continue to make charitable donations over the longer term, the trustees accept that the charity must maintain a significant level of reserves. This is because the trustees have historically donated more than the yearly income.
The charity’s policy is to spend any cash income received in the year and to use reserves for any expenditure over and above this income. However, any surplus may be carried forward for use in the foreseeable future.
Risk Management
The trustees have considered the major risks to which the charity may be exposed and have taken necessary steps to mitigate the impact of these risks should unforeseen circumstances arise. The major risk noted by the trustees is that of stock market volatility. As a significant amount of investments are on deposit with various financial institutions, there is a risk that stock market volatility will have a detrimental impact on income. The trustees seek to mitigate this risk by utilising both short-term and longer-term investments to achieve the most beneficial return and ensure that loans made are at appropriate rates.
Given the simplicity of operations, no other significant risk factors are noted.
Related Parties
None of the charity’s trustees receive remuneration or other benefit from their work with the charity. For details of related party transactions during the year under review please see note 24 to the financial statements.
PLANS FOR FUTURE PERIODS
The trustees intend to continue investing in Christian projects and activities in accordance with the charity’s governing document and also to safeguard the fixed and net current asset base as a means of generating sustainable annual income for this purpose.
With the above in mind, the trustees seek to reduce expenditure in line with income to make the trust viable for the longer term.
Page 4
THE GOSHEN TRUST
TRUSTEES’ ANNUAL REPORT (INCLUDING DIRECTORS’ REPORT) FOR THE YEAR ENDED 5 APRIL 2023
TRUSTEES’ RESPONSIBILITIES STATEMENT
The trustees (who are also directors of The Goshen Trust for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP 2019 (FRS 102);
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company 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 charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
-
there is no relevant audit information of which the charitable company’s auditor is unaware; and
-
the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.
The trustees have prepared this report in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
Approved by the trustees on 20 December 2023 and signed on their behalf by:
Mrs A Dicken Trustee
Page 5
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GOSHEN TRUST FOR THE YEAR ENDED 5 APRIL 2023
Opinion
We have audited the financial statements of The Goshen Trust (the ‘charitable company’) for the year ended 5 April 2023 which comprise the Statement of Financial Activities including Income and Expenditure Account, 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 5 April 2023 and of its incoming resources and application of resources, including its income and expenditure, 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 charitable company 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 company’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 regard to going concern are described in the relevant sections of this report.
Other Information
The other information comprises the information included in the trustees’ 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, except to the extent otherwise explicitly stated in our report, 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.
Opinion on Other Matter Prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the trustees’ report which includes the directors’ report prepared for the purpose of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the directors’ report included within the trustees’ report has been prepared in accordance with applicable legal requirements.
Page 6
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GOSHEN TRUST FOR THE YEAR ENDED 5 APRIL 2023
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees/directors’ remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of Trustees
As explained more fully in the trustees’ responsibilities statement set out on page 4, the trustees (who are also the directors of the charitable company for the purposes of charity 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 charitable company’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.
Auditor’s Responsibilities for the Audit of the Financial Statements
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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined about, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below;
Based on our understanding of the charitable company, we identified that the principal risks of non-compliance with laws and regulations related to Company and Charity law, and we considered the extent to which non-compliance might have a material effect on the financial statements.
We evaluated management’s opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls). Audit procedures performed by the engagement team include:
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enquiring of management concerning actual and potential litigation and claims;
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performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
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testing the appropriateness of journal entries and other adjustments;
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assessing whether the judgements made in making accounting estimates were indicative of a potential bias; and
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reviewing minutes of meetings of those charged with governance.
There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely it is that we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Page 7
INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE GOSHEN TRUST FOR THE YEAR ENDED 5 APRIL 2023
Use of our Report
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members, as a body, for our audit work, for this report, or for the opinions we have formed.
Mr J Lester FCA (Senior Statutory Auditor) for and on behalf of Baines Jewitt Limited Statutory Auditors Spitfire House 19 Falcon Court Preston Farm Industrial Estate STOCKTON ON TEES TS18 3TU
Dated: 20 December 2023
JL/AJW
Page 8
THE GOSHEN TRUST
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2023 (including Income and Expenditure Account)
| Unrestricted Funds | Unrestricted Funds | Restricted Funds | Restricted Funds | Total | Funds | ||
|---|---|---|---|---|---|---|---|
| Notes | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |
| £ | £ | £ | £ | £ | £ | ||
| INCOME | |||||||
| Grants, donations and legacies | 4 | 22 | 29 | - | - | 22 | 29 |
| Income from charitable activities | 5 | 96,840 | 92,490 | - | - | 96,840 | 92,490 |
| Investment income | 6 | 238,146 | 211,026 | - | - | 238,146 | 211,026 |
| Other income | 7 | 19,937 | 14,206 | - | - | 19,937 | 14,206 |
| --------------- | --------------- | ---------- | ---------- | --------------- | --------------- | ||
| TOTAL INCOME | 354,945 | 317,751 | - | - | 354,945 | 317,751 | |
| ========= | ========= | ====== | ====== | ========= | ========= | ||
| EXPENDITURE ON: | |||||||
| Raising funds | 8 | 43,262 | 46,883 | - | - | 43,262 | 46,883 |
| Charitable Activities | 9 | 383,931 | 367,285 | - | - | 383,931 | 367,285 |
| ____ | ____ | _ | _ | ____ | ____ | ||
| TOTAL EXPENDITURE | 427,193 | 414,168 | - | - | 427,193 | 414,168 | |
| ========= | ========= | ====== | ====== | ========= | ========= | ||
| Net Outgoing Resources | |||||||
| for the Year | 14 | (72,248) | (96,417) | - | - | (72,248) | (96,417) |
| Net Gains/(Losses) on | |||||||
| Investments | 17 | (415,795) | 371,590 | - | - | (415,795) | 371,590 |
| --------------- | ------------------ | --------------- | --------------- | --------------- | ------------------ | ||
| Net Movement in Funds | (488,043) | 275,173 | - | - | (488,043) | 275,173 | |
| Reconciliation of funds: | |||||||
| Total funds brought forward | 22 | 9,954,688 | 9,679,515 | - | - | 9,954,688 | 9,679,515 |
| ______ | ______ | ___ | ___ | ______ | ______ | ||
| Total Funds Carried Forward | 22 | 9,466,645 | 9,954,688 | - | - | 9,466,645 | 9,954,688 |
| =========== | =========== | ======== | ======== | =========== | =========== |
The Statement of Financial Activities includes all gains and losses recognised in the year.
All incoming resources and resources expended derive from continuing activities.
The notes on pages 11 to 19 form part of these financial statements
Page 9
THE GOSHEN TRUST Company Registration Number 6112422
BALANCE SHEET 5 APRIL 2023
| 2023 | 2022 | ||||
|---|---|---|---|---|---|
| Note | £ | £ | £ | £ | |
| FIXED ASSETS | |||||
| Tangible assets | 16 | 795,675 | 889,407 | ||
| Investments | 17 | 7,855,246 | 8,278,673 | ||
| Investment property | 18 | 413,000 | 306,000 | ||
| ______ | ______ | ||||
| 9,063,921 | 9,474,080 | ||||
| CURRENT ASSETS | |||||
| Debtors | 19 | 464,924 | 507,372 | ||
| Cash at bank and in hand | 18,595 | 52,257 | |||
| ____ | ___ | ||||
| 483,518 | 559,629 | ||||
| CREDITORS: Amounts falling due within | |||||
| one year | 20 | (80,795) | (79,021) | ||
| ___ | ___ | ||||
| NET CURRENT ASSETS | 402,724 | 480,608 | |||
| ______ | ______ | ||||
| TOTAL ASSETS LESS CURRENT LIABILITIES | 21&22 | 9,466,645 | 9,954,688 | ||
| =========== | =========== | ||||
| FUNDS | |||||
| Unrestricted funds | 21&22 | 9,466,645 | 9,954,688 | ||
| =========== | =========== |
These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
Approved and authorised for issue by the trustees on 20 December 2023 and signed on their behalf by:
Mrs A Dicken Trustee
The notes on pages 11 to 19 form part of these financial statements
Page 10
THE GOSHEN TRUST
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MAY 2023
| Notes | 2023 | 2022 | |
|---|---|---|---|
| £ | £ | ||
| Cash outflow from operating activities | 25 | (315,968) | (294,496) |
| ======== | ======== | ||
| Cash flow from investing activities: | |||
| Investment income received | 222,216 | 196,007 | |
| Interest received on concessionary loans | 21,378 | 13,446 | |
| Purchase of tangible fixed assets | - | (1,389) | |
| Sale of fixed assets | - | 304 | |
| Purchase of investments | (429,869) | (533,062) | |
| Proceeds of sale of investments | 246,975 | 578,342 | |
| Repayment of concessionary loans | 68,742 | 80,483 | |
| ___ | ____ | ||
| Net cash outflow from investing activities | 129,442 | 334,131 | |
| ======== | ========= | ||
| Increase/(Decrease) in cash and cash equivalents in year | (186,526) | 39,635 | |
| Cash and cash equivalents at the beginning of the year | 508,987 | 469,352 | |
| ____ | ____ | ||
| Cash and cash equivalents at the end of the year | 322,461 | 508,987 | |
| ========= | ========= | ||
| Cash and cash equivalents consist of: | |||
| Cash at bank and in hand | 18,595 | 52,257 | |
| Short term deposits | 17 | 303,866 | 456,730 |
| ____ | ____ | ||
| 322,461 | 508,987 | ||
| ========= | ========= |
The notes on pages 11 to 19 for part of these financial statements
Page 11
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
1. CHARITY INFORMATION
The charity (registered number 1119064) is a public benefit entity incorporated in the UK on 16 February 2007 as a company limited by guarantee. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statements. The charity’s operation and principal activity is to encourage and develop Christian projects which otherwise would not be able to reach an effective operational conclusion.
2. BASIS OF PREPARATION OF THE FINANCIAL STATEMENTS
Basis of Preparation and Assessment of Going Concern
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared on a going concern basis under the historical cost convention and in accordance with applicable accounting standards, the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Charities Act 2011 and the Companies Act 2006. The trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern.
3. ACCOUNTING POLICIES
(a) Income Recognition
All income is recognised once the charity has entitlement to income, there is sufficient certainty of receipt and so it is probable that the income will be received, and the amount of income can be measured reliably.
Grants and Donations
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when donors specify that grants or donations must be used in a future accounting period, the income is deferred until those periods;
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when donors impose conditions which have to be fulfilled before the charity becomes entitled to use such income, the income is deferred until the period in which the pre-conditions are met.
When donors specify that grants or donations are for a particular restricted purpose, which do not amount to pre-conditions regarding entitlement, the income is included in incoming resources within restricted funds when receivable.
Legacies
Legacies are accounted for as incoming resources either upon receipt or where the receipt of the legacy is probable in that confirmation has been received from the personal representatives of the estate that payment will be made.
(b) Resources Expended
Resources expended are included in the Statement of Financial Activities on an accruals basis, inclusive of VAT.
Any expenditure which is for a specific purpose is shown against the restricted fund for that purpose. All other expenditure is deemed to be for the general purposes of the charity and is recorded against general unrestricted funds.
Individual costs are allocated between the various headings in the Statement of Financial Activities by reference to the underlying nature or reason for which those costs were incurred.
Grants and donations payable are accounted for when the trustees have accepted a legal or moral obligation to make a donation.
Other expenditure includes costs incurred in the management of the charity’s assets, organisational administration and compliance with constitutional and statutory requirements.
(c) Tangible Fixed Assets
Tangible fixed assets are included at cost less depreciation. Assets costing under £1,000 are not capitalised but are written off to expenditure as incurred.
Depreciation is provided on a straight line basis and is calculated to write off the cost of the assets over their expected useful economic lives at the following annual rates.
| Freehold land and buildings | - | 2% per annum |
|---|---|---|
| Fixtures and fittings | - | 15% per annum |
| Office equipment | - | 25% per annum |
Page 12
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
3. ACCOUNTING POLICIES (Continued)
(d) Investments
Marketable investment assets are included in the financial statements at market value, either at closing market prices (listed investments) or through independent valuation (unlisted direct property) or from valuations provided by the investment manager (unlisted hedge funds, private equity and indirect property). All investment and currency gains and losses are recognised as incurred.
Programme related investments are included at cost less any provision for diminution in value.
Investment properties are included in the financial statements at fair value. Any surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.
- (e) Foreign Currencies
Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Monetary assets and liabilities are re-translated at the rate of exchange ruling at the Balance Sheet date. All differences are taken to the Statement of Financial Activities.
- (f) Financial Instruments
The charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost using the effective interest method.
Financial assets held at amortised cost comprise cash at bank, together with trade and other debtors. Financial liabilities held at amortised cost comprise trade and other creditors.
Concessionary loans include those receivable from third parties which are interest free or below market interest rates and are made to advance charitable purposes. All loans are measured at cost less impairment.
(g) Operating Leases
Rentals applicable to operating leases, where substantially all the benefits and risks of ownership remain with the lessor, are charged against revenue on a straight line basis over the period of the lease.
- (h) Fund Accounting
Funds held by the charity are either:
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unrestricted funds - these are funds which can be used in accordance with the objects of the charity at the discretion of the trustees. They may include designated funds which have been set aside by the trustees for particular purposes.
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restricted funds - these are funds which can only be used for particular restricted purposes within the objects of the charity; whether it be for the purchase or construction of a fixed asset or in respect of a specific project. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Once the restrictions imposed by the provider of the grant/the donor have been observed, the fund is then transferred to unrestricted funds but designated where relating to a specific ongoing purpose.
(i) Going Concern
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.
Page 13
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
4. GRANTS, DONATIONS AND LEGACIES
| 4. | GRANTS, DONATIONS AND LEGACIES | ||||||
|---|---|---|---|---|---|---|---|
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Grants and donations | 22 | 29 | - | - | 22 | 29 | |
| ====== | ====== | ====== | ====== | ====== | ====== | ||
| 5. | INCOME FROM CHARITABLE ACTIVITIES | ||||||
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Rent from property in furtherance of charitable | |||||||
| purposes (programme related investments) | 96,840 | 92,490 | - | - | 96,840 | 92,490 | |
| ======== | ========= | ====== | ====== | ======== | ========= | ||
| 6. | INVESTMENT INCOME | ||||||
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Dividends from UK companies | 25,593 | 26,962 | - | - | 25,593 | 26,962 | |
| Unit trust/OIEC dividends | 13,810 | 10,340 | - | - | 13,810 | 10,340 | |
| Bank interest | 32,947 | 30,582 | - | - | 32,947 | 30,582 | |
| Interest from UK securities | 980 | 889 | - | - | 980 | 889 | |
| Unit trust/OIEC interest | 8,113 | 5,866 | - | - | 8,113 | 5,866 | |
| Overseas interest and other income | 25,473 | 16,324 | - | - | 25,473 | 16,324 | |
| COIF Charities Investment Fund Income Units | 81,100 | 77,798 | - | - | 81,100 | 77,798 | |
| REIT income | 7,900 | 7,980 | - | - | 7,900 | 7,980 | |
| Loan stock interest | 15,000 | 15,065 | - | - | 15,000 | 15,065 | |
| Rental income | 27,230 | 19,220 | - | - | 27,230 | 19,220 | |
| ____ | ____ | ____ | ____ | ____ | ____ | ||
| 238,146 | 211,026 | - | - | 238,146 | 211,026 | ||
| ========= | ========= | ========= | ========= | ========= | ========= | ||
| 7. | OTHER INCOME | ||||||
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Interest generated from programme related | |||||||
| investments (concessionary loans) | 19,937 | 14,206 | - | - | 19,937 | 14,206 | |
| ======= | ======= | ====== | ====== | ======= | ======= | ||
| 8. | EXPENDITURE ON RAISING FUNDS | ||||||
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Investment management costs | 43,262 | 46,883 | - | - | 43,262 | 46,883 | |
| ======= | ======= | ====== | ====== | ======= | ======= | ||
| 9. | EXPENDITURE ON CHARITABLE ACTIVITIES | ||||||
| Unrestricted Funds | Restricted Funds | Total | Funds | ||||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||
| £ | £ | £ | £ | £ | £ | ||
| Grants and donations - see note 10 | 302,246 | 307,745 | - | - | 302,246 | 307,745 | |
| Property expenses | 44,617 | 26,748 | - | - | 44,617 | 26,748 | |
| Bad debts | - | (3,600) | - | - | - | (3,600) | |
| Support costs - see note 11 | 28,087 | 27,992 | - | - | 28,087 | 27,992 | |
| Governance costs - see note 12 | 8,981 | 8,400 | - | - | 8,981 | 8,400 | |
| ____ | ____ | ____ | ____ | ____ | ____ | ||
| 383,931 | 367,285 | - | - | 383,931 | 367,285 | ||
| ========= | ========= | ========= | ========= | ========= | ========= |
Page 14
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
10. GRANTS AND DONATIONS
| GRANTS AND DONATIONS | ||
|---|---|---|
| 2023 | 2022 | |
| £ | £ | |
| African Pastors | - | 1,000 |
| Angel Foundation | 10,000 | 7,500 |
| Bible Reading Fellowship | 3,000 | - |
| Billy Graham Hatai | - | 2,000 |
| British Legion | 250 | - |
| Caro Oliver | - | 2,500 |
| Castleton Bowling Club | 500 | - |
| Castleton Village Hall | 5,000 | - |
| Christian Broadcasting Network – Europe | 5,000 | - |
| Christian Broadcasting Network - Ukraine | - | 1,000 |
| Christian Friends of Israel | 250 | - |
| Christian Institute | 15,000 | 15,000 |
| Cornerstone | 5,000 | - |
| Crosslands | - | 1,500 |
| Crosslinks | - | 1,000 |
| Elizabeth Calvert | 2,800 | - |
| Hebron Hall | - | 5,000 |
| Hexham Community Church | 1,000 | - |
| Hillsong Church | 10,000 | 10,000 |
| HOPE for Justice | - | 21,000 |
| House on the Hill | 1,800 | 1,800 |
| Isaih 61 Movement | 5,000 | - |
| Just-ice | 2,500 | - |
| Kiwoko Hospital | 24,000 | 27,000 |
| Kondanani | 20,120 | 20,120 |
| Leading the Way | - | 12,000 |
| Nsumbi Trust | 1,000 | 2,000 |
| Operation Mobilisation | 2,500 | - |
| Pavers Foundation | 5,000 | - |
| Philo Trust | - | 5,000 |
| Samaritans Purse | 7,700 | - |
| Sowing Seeds Ministries | 15,200 | 10,200 |
| Sporting Marvels | - | 2,500 |
| St. Paul’s Stockton | - | 5,000 |
| Teen Challenge | 37,100 | 36,000 |
| Teesside Hospice | 1,000 | - |
| Tees Valley Community Church | 5,000 | - |
| The Good Shepherd re The Vardy Foundation | - | 25,000 |
| Thirtyone:eight | 3,526 | - |
| Torch Trust | 2,000 | 2,000 |
| Trans4M International | 16,000 | 25,000 |
| Tyneside Evangelical Library | - | 2,000 |
| United Christian Broadcasters | 5,000 | - |
| Urban Saints | 60,000 | 60,000 |
| Whitby Christian Fellowship | 30,000 | - |
| World Vision | - | 2,500 |
| ____ | ____ | |
| 302,246 | 305,620 | |
| Sundry Donations | - | 2,125 |
| ____ | ____ | |
| Total Grants and Donations | 302,246 | 307,745 |
| ========= | ========= |
Page 15
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
11. SUPPORT COSTS
| SUPPORT COSTS | ||||||
|---|---|---|---|---|---|---|
| Unrestricted Funds | Restricted Funds | Total | Funds | |||
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |
| £ | £ | £ | £ | £ | £ | |
| Conferences, hospitality and travel | 1,709 | 490 | - | - | 1,709 | 490 |
| Professional fees | 600 | - | - | - | 600 | - |
| Depreciation | 24,393 | 26,005 | - | - | 24,393 | 26,005 |
| Loss on disposal of fixed assets | - | 24 | - | - | - | 24 |
| Bank charges and interest | 153 | 114 | - | - | 153 | 114 |
| Telephone | 600 | 575 | - | - | 600 | 575 |
| Sundry expenses | 632 | 784 | - | - | 632 | 784 |
| __ | __ | __ | __ | __ | __ | |
| 28,087 | 27,992 | - | - | 28,087 | 27,992 | |
| ======= | ======== | ======== | ======== | ======== | ======== |
12. GOVERNANCE COSTS
| GOVERNANCE COSTS | ||||||
|---|---|---|---|---|---|---|
| Unrestricted | Funds | Restricted | Funds | Total | Funds | |
| 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |
| £ | £ | £ | £ | £ | £ | |
| Audit and accountancy | 8,640 | 8,400 | - | - | 8,640 | 8,400 |
| Trustee meeting costs | 341 | - | - | - | 341 | - |
| _ | _ | _ | _ | _ | _ | |
| 8,981 | 8,400 | - | - | 8,981 | 8,400 | |
| ====== | ====== | ====== | ====== | ====== | ====== |
13. TRUSTEES’ / DIRECTORS’ REMUNERATION
No remuneration was paid to the trustees in the year (2022: nil).
Reimbursement of expenses to three trustees (2022: three trustees) during the year was as follows:
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Travel | 509 | 490 |
| Mobile phone | 600 | 575 |
| Trustee meeting costs | 341 | - |
| _ | ______ | |
| 1,450 | 1,065 | |
| ====== | ===== | |
| NET OUTGOING RESOURCES FOR THE YEAR | ||
| This is stated after charging: | 2023 | 2022 |
| £ | £ | |
| Depreciation of tangible fixed assets | 24,393 | 26,005 |
| Loss on disposal of fixed assets | - | 24 |
| Auditor’s remuneration: | ||
| - audit fee | 5,000 | 4,690 |
| - accounting and other services | 3,580 | 3,350 |
| - under-provision re previous year | 60 | 360 |
| ====== | ====== |
14. NET OUTGOING RESOURCES FOR THE YEAR
15. TAXATION
As a registered charity, The Goshen Trust is exempt from tax on its income under section 505 of the Taxes Act 1988 provided that such income is applied for charitable purposes only.
Page 16
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
| TANGIBLE FIXED ASSETS | Programme Related | Programme Related | ||
|---|---|---|---|---|
| Investments: | ||||
| Freehold Land | Office | |||
| and Buildings | Equipment | Total | ||
| £ | £ | £ | ||
| Cost | ||||
| As at 6 April 2022 | 1,282,937 | 1,389 | 1,284,326 | |
| Additions | - | - | - | |
| Disposals | - | - | - | |
| Transfer to investment property | (80,623) | - | (80,623) | |
| ______ | _ | ______ | ||
| As at 5 April 2023 | 1,202,314 | 1,389 | 1,203,703 | |
| =========== | ====== | =========== | ||
| Depreciation | ||||
| As at 6 April 2022 | 394,572 | 347 | 394,919 | |
| Charge for year | 24,046 | 347 | 24,393 | |
| Eliminated on disposal | - | - | - | |
| Transfer to investment property | (11,284) | - | (11,284) | |
| ____ | _____ | ____ | ||
| As at 5 April 2023 | 407,334 | 694 | 408,028 | |
| ========= | ===== | ========= | ||
| Net Book Value | ||||
| As at 6 April 2022 | 888,365 | 1,042 | 889,407 | |
| ========= | ===== | ========= | ||
| As at 5 April 2023 | 794,980 | 695 | 795,675 | |
| ========= | ===== | ========= |
16. TANGIBLE FIXED ASSETS
The above freehold land and buildings were all purchased specifically to enable third parties to undertake particular activities that reflect the charitable purposes of The Goshen Trust.
The trustees have considered the current market values of the freehold properties and in their opinion they are not materially different to the values shown in the accounts.
Page 17
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
17. INVESTMENTS HELD AS FIXED ASSETS
| INVESTMENTS HELD AS FIXED ASSETS | ||
|---|---|---|
| 2023 | 2022 | |
| Investments at Market Value comprised: | Total | Total |
| £ | £ | |
| Fixed Interest Securities: | ||
| UK Fixed Interest (including accrued interest) | 265,058 | 338,902 |
| Overseas Fixed Interest | 457,326 | 213,501 |
| Loan stock | 350,000 | 350,000 |
| Equities: | ||
| United Kingdom | 840,491 | 889,482 |
| North American | 650,056 | 752,784 |
| Europe | 258,077 | 257,492 |
| Japan | 92,681 | 100,641 |
| Far East and Australasian | 188,437 | 236,696 |
| Other International Equities | 327,419 | 266,936 |
| Alternative Assets | 620,328 | 703,257 |
| COIF Charities Investment Fund | 2,653,117 | 2,791,109 |
| Emerging Economies | 106,493 | 118,257 |
| UK Property | 120,814 | 175,925 |
| International Property | 21,083 | 26,961 |
| 10 Year subordinated bonds | 600,000 | 600,000 |
| ______ | ______ | |
| Total Investments | 7,551,380 | 7,821,943 |
| Short term cash deposits | 303,866 | 456,730 |
| ______ | ______ | |
| 7,855,246 | 8,278,673 | |
| =========== | =========== | |
| The movement in market values of investments was as follows: | ||
| 2023 | 2022 | |
| Total | Total | |
| £ | £ | |
| Market value at 6 April 2022 | 8,278,673 | 7,867,562 |
| Add:Additions to investments at cost | 929,588 | 1,277,242 |
| Less:Disposals at carrying value | (899,559) | (1,224,641) |
| Net gain/(loss) on investment disposals | 18,869 | 77,556 |
| Unrealised gain/(loss) on revaluation of investments | (472,325) | 280,954 |
| ______ | ______ | |
| Market value at 5 April 2023 | 7,855,246 | 8,278,673 |
| =========== | =========== | |
| Total gains/(losses) on investments were made up as follows: | ||
| 2023 | 2022 | |
| Total | Total | |
| £ | £ | |
| Unrealised gain/(loss) on revaluation of investments | (472,325) | 280,954 |
| Gain on revaluation of investment property - note 18 | 37,661 | 13,080 |
| _____ | ____ | |
| Total unrealised gains/(losses) | (434,664) | 294,034 |
| Gain/(loss) on disposal of investments | 18,869 | 77,556 |
| _____ | ____ | |
| Total investment and currency gains/(losses) | (415,795) | 371,590 |
| ========== | ========= |
Page 18
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
17. INVESTMENTS HELD AS FIXED ASSETS ( Continued )
The total investment portfolio valuation comprises the following amounts held with/managed by individual organisations:
| 2023 | 2023 | 2022 | 2022 | |
|---|---|---|---|---|
| Total | % | Total | % | |
| £ | £ | |||
| Charities Official Investment Fund | 2,653,117 | 33.78 | 2,791,109 | 33.71 |
| Investec | 4,029,297 | 51.29 | 4,306,141 | 52.01 |
| Kingdom Bank | 767,558 | 9.77 | 796,196 | 9.62 |
| Virgin Money | 55,274 | 0.70 | 35,227 | 0.43 |
| Green Pastures | 350,000 | 4.46 | 350,000 | 4.23 |
| ______ | __ | ______ | __ | |
| 7,855,246 | 100.00 | 8,278,673 | 100.00 | |
| =========== | ======= | =========== | ======= | |
| INVESTMENT PROPERTY | ||||
| 2023 | ||||
| £ | ||||
| Value as at 6 April 2022 | 306,000 | |||
| Transfer from tangible fixed assets | 69,339 | |||
| Revaluation in 2023 | 37,661 | |||
| ____ | ||||
| Value as at 5 April 2023 | 413,000 |
18. INVESTMENT PROPERTY
Value as at 5 April 2023
=========
Investment properties are valued at £413,000. In the opinion of the trustees, this is a reasonable estimation of market value at 5 April 2023.
| DEBTORS | 2023 | 2022 | |
|---|---|---|---|
| £ | £ | ||
| Amounts falling due within one year: | |||
| Concessionary loans receivable | 36,343 | 71,297 | |
| Prepayments and accrued income | 121,366 | 95,071 | |
| ____ | ____ | ||
| 157,709 | 166,368 | ||
| ========= | ========= | ||
| Amounts falling due after more than one year: | |||
| Concessionary loans receivable | 307,215 | 341,004 | |
| ========= | ========= | ||
| Aggregate amounts | 464,924 | 507,372 | |
| ========= | ========= | ||
| CREDITORS: Amounts falling due within one year | 2023 | 2022 | |
| £ | £ | ||
| Accruals and deferred income | 80,795 | 79,021 | |
| ======== | ======== | ||
| ANALYSIS OF NET ASSETS BETWEEN FUNDS | Unrestricted | Restricted | Total |
| £ | £ | £ | |
| Tangible fixed assets | 795,675 | - | 795,675 |
| Investments | 7,855,246 | - | 7,855,246 |
| Investment property | 413,000 | - | 413,000 |
| Net current assets | 402,724 | - | 402,724 |
| ______ | ___ | ______ | |
| 9,466,645 | - | 9,466,645 | |
| =========== | ======== | =========== |
19. DEBTORS
20.
21. ANALYSIS OF NET ASSETS BETWEEN FUNDS
Page 19
THE GOSHEN TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023
22. MOVEMENT IN FUNDS
| MOVEMENT IN FUNDS | |||||
|---|---|---|---|---|---|
| As at | Investment | As at | |||
| 06.04.22 | Income | Expenditure | Gains/(losses) | 05.04.23 | |
| £ | £ | £ | £ | £ | |
| Unrestricted Funds | |||||
| General | 9,954,688 | 354,945 | 427,193 | (415,795) | 9,466,645 |
| ______ | ____ | ____ | ____ | ______ | |
| Total Funds | 9,954,688 | 354,945 | 427,193 | (415,795) | 9,466,645 |
| =========== | ========= | ========= | ========= | =========== | |
| Previous year | As at | Investment | As at | ||
| 06.04.21 | Income | Expenditure | Gains/(losses) | 05.04.22 | |
| £ | £ | £ | £ | £ | |
| Unrestricted Funds | |||||
| General | 9,679,515 | 317,751 | 414,168 | 371,590 | 9,954,688 |
| ______ | ____ | ____ | ____ | ______ | |
| Total Funds | 9,679,515 | 317,751 | 414,168 | 371,590 | 9,954,688 |
| =========== | ========= | ========= | ========= | =========== |
23. CONTROLLING PARTY
Throughout the current and previous year, the charity was under the control of the Board of Trustees.
24. RELATED PARTY TRANSACTIONS
Other than the payment of expenses as detailed in note 13, there were no transactions with related parties in the year (2022: none).
25. RECONCILIATION OF NET MOVEMENTS IN FUNDS TO CASH FLOW FROM OPERATING ACTIVITIES
| RECONCILIATION OF NET MOVEMENTS IN FUNDS TO | ||
|---|---|---|
| CASH FLOW FROM OPERATING ACTIVITIES | 2023 | 2022 |
| £ | £ | |
| Net movement in funds | (488,043) | 275,173 |
| Investment losses/(gains) | 415,796 | (371,590) |
| Investment income and bank deposit interest | (238,146) | (211,026) |
| Interest on concessionary loans | (19,937) | (14,206) |
| Depreciation charge | 24,393 | 26,005 |
| Loss on disposal of fixed assets | - | 24 |
| (Increase)/decrease in debtors | (11,805) | 6,200 |
| Increase/(decrease) in creditors | 1,774 | (5,076) |
| _____ | ____ | |
| Cash Outflow from Operating Activities | (315,968) | (294,496) |
| ========== | ========= |
26. FINANCIAL INSTRUMENTS
At the year end the charity held financial assets at amortised cost of £343,558 (2022: £412,301) and financial assets at fair value through income or expenditure of £8,268,246 (2022: £8,584,673).
During the year the charity’s income from financial assets at amortised cost was £19,937 (2022: £14,206).
During the year the charity’s income, expenditure and net investment gains/(losses) for financial assets held at fair value were £238,146, £43,262 and a loss of £453,456 respectively (2022: £211,026, £46,883 and a gain of £358,510).