CHARITY REGISTRATION NUMBER: 1122820
British Friends of Yeshivas Shaarei Chochmo Unaudited Financial Statements
30 June 2023
HAFFNER HOFF LTD
Accountants 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
British Friends of Yeshivas Shaarei Chochmo
Financial Statements
Year ended 30 June 2023
| Page | |
|---|---|
| Trustees' annual report | 1 |
| Independent examiner's report to the trustees | 5 |
| Statement of financial activities | 6 |
| Statement of financial position | 7 |
| Statement of cash flows | 8 |
| Notes to the financial statements | 9 |
British Friends of Yeshivas Shaarei Chochmo
Trustees' Annual Report
Year ended 30 June 2023
The trustees present their report and the unaudited financial statements of the charity for the year ended 30 June 2023.
Reference and administrative details
Registered charity name British Friends of Yeshivas Shaarei Chochmo Charity registration number 1122820 Principal office 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL The trustees S Krausz M Rosenberg N Rosenberg Independent examiner Mr Howard Schwalbe ACA 2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
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British Friends of Yeshivas Shaarei Chochmo
Trustees' Annual Report (continued)
Year ended 30 June 2023
Structure, governance and management
British Friends of Yeshivas Shaarei Chochmo is constituted under a trust deed dated 19 January 2008. It is a registered charity number 1122820.
Recruitment and appointment of new trustees would be in line with the Trust Deed and with the consent of the trustees. The criteria set for the suitable candidate would be someone who is sensitive to the needs and demands of the organisation.
There is no chief executive officer. The day to day affairs are undertaken by Mr Krausz on behalf of the trustees. All major decisions are taken collectively by the trustees and all the trustees give of their time freely. The trustees are unpaid and details of any related party transactions are disclosed as applicable in the notes to the accounts. The arrangements for setting the pay of the charity’s employees are the sole domain of the trustees.
It is not currently the intention of the trustees of the charity to appoint new trustees. Should the situation change in the future, the Trustees will apply suitable recruitment training and induction procedures.
Risk review
The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems are in place to manage our exposure to the major risks.
The risks faced by the trust are principally operational risks from ineffective grant making. These risks are managed by the trustees researching potential beneficiaries before granting donations.
Report back and review procedures strengthen these safeguards to ensure public benefit is achieved from all grants.
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British Friends of Yeshivas Shaarei Chochmo
Trustees' Annual Report (continued)
Year ended 30 June 2023
Objectives and activities
The objects of the charity are the advancement of education in and the religion of the orthodox Jewish faith in Israel.
Public benefit
The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education when reviewing the charity's aims and objectives and in planning future activities and setting grant making policy for the year.
Grant making policy
The charity is funded by donations and legacies. The charity gives out grants in line with the above objects.
Grants made during the year to institutions are as detailed in the accounts.
The application of the funds by way of grants to either institutions or individuals.
The trustees consider they have met the public benefit test and outline these achievements below.
The trustees measure the success of achieving the stated aims by the number and value of grants paid out for each object. The grants paid out in the year are detailed in the notes to the accounts and the trustees consider they have met their aims successfully this year.
The trustees consider the shorter term aims to be similar to the longer term aims and assess the achievement of the charity in the same way.
Achievements and performance
The charity received £757,883 in donations during the year.
The charity paid out £655,040 by way of grants and direct charitable expenditure and support costs during the year. These grants were made in line with the stated objects of the charity. The grants are for educational purposes to fund the Yeshiva and Kollel in Israel.
The charity incurred £9,563 of fundraising costs during the year.
The charity has low governance costs comprising professional fees. All other office costs were borne by the trustees and have not been charged to the charity.
Grants over £1,000 made during the year to institutions are as detailed in the accounts.
There were no investments made during the year.
There were no related party transactions in the reporting period.
There was net income and net movement in funds for the year amounting to £93,280.
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British Friends of Yeshivas Shaarei Chochmo
Trustees' Annual Report (continued)
Year ended 30 June 2023
Financial review
The trustees feel that the activity during the year reflects the profile and standing within the local community. The impact for future year's expenditure is self evident and the trustees would like to record their appreciation for all the financial support received from benefactors during the course of the year.
Reserves policy
The Unrestricted Fund represents the unrestricted funds arising from past operating results.
The Trustees are satisfied that the balance of the Fund is an acceptable level of reserves given the nature of revenue receipts against grants payable.
In considering the financial obligations of the charity, the trustees have resolved to maintain a minimum reserve, being the current assets of the charity.
The trustees are delighted to have made many valuable contributions to the community as a result of this income and hope to be able to do so for many years to come.
The trustees feel that the activity reflects the profile and standing within the local community. The impact for future years' expenditure is self evident and the trustees would like to record their appreciation for all the financial support received from benefactors during the course of the year.
The free reserves of the charity stand at £106,362, all of which are unrestricted.
The trustees' annual report was approved on 16 April 2024 and signed on behalf of the board of trustees by:
S Krausz Trustee
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British Friends of Yeshivas Shaarei Chochmo
Independent Examiner's Report to the Trustees of British Friends of Yeshivas Shaarei Chochmo
Year ended 30 June 2023
I report to the trustees on my examination of the financial statements of British Friends of Yeshivas Shaarei Chochmo ('the charity') for the year ended 30 June 2023.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner's statement
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the charity as required by section 130 of the Act; or
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the financial statements do not accord with those records; or
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the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Mr Howard Schwalbe ACA
Independent Examiner
2nd Floor - Parkgates Bury New Road Prestwich Manchester M25 0TL
16 April 2024
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British Friends of Yeshivas Shaarei Chochmo
Statement of Financial Activities
Year ended 30 June 2023
| 2023 | 2022 | |||
|---|---|---|---|---|
| Unrestricted | ||||
| fundsTotal funds | Total funds | |||
| Note | £ | £ | £ | |
| Income and endowments | ||||
| Donations and legacies | 4 | 757,883 | 757,883 | 527,977 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total income | 757,883 | 757,883 | 527,977 | |
| ================================ | ================================ | ================================ | ||
| Expenditure | ||||
| Expenditure on raising funds: | ||||
| Costs of other trading activities | 5 | 9,563 | 9,563 | 8,459 |
| Expenditure on charitable activities | 6,7 | 655,040 | 655,040 | 519,436 |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total expenditure | 664,603 | 664,603 | 527,895 | |
| ================================ | ================================ | ================================ | ||
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Net income and net movement in funds | 93,280 | 93,280 | 82 | |
| ================================ | ================================ | ================================ | ||
| Reconciliation of funds | ||||
| Total funds brought forward | 13,082 | 13,082 | 13,000 | |
| -------------------------------- | -------------------------------- | -------------------------------- | ||
| Total funds carried forward | 106,362 | 106,362 | 13,082 | |
| ================================ | ================================ | ================================ |
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 9 to 15 form part of these financial statements.
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British Friends of Yeshivas Shaarei Chochmo
Statement of Financial Position
30 June 2023
| 2023 | 2022 | |||
|---|---|---|---|---|
| Note | £ | £ | £ | |
| Current assets | ||||
| Debtors | 14 | 46,193 | – | |
| Cash at bank and in hand | 61,759 | 16,043 | ||
| -------------------------------- | ---------------------------- | |||
| 107,952 | 16,043 | |||
| Creditors: amounts falling due within one year | 15 | 1,590 | 2,961 | |
| -------------------------------- | ---------------------------- | |||
| Net current assets | 106,362 | 13,082 | ||
| -------------------------------- | ---------------------------- | |||
| Total assets less current liabilities | 106,362 | 13,082 | ||
| -------------------------------- | ---------------------------- | |||
| Net assets | 106,362 | 13,082 | ||
| ================================ | ============================ | |||
| Funds of the charity | ||||
| Unrestricted funds | 106,362 | 13,082 | ||
| -------------------------------- | ---------------------------- | |||
| Total charity funds | 16 | 106,362 | 13,082 | |
| ================================ | ============================ |
These financial statements were approved by the board of trustees and authorised for issue on 16 April 2024, and are signed on behalf of the board by:
S Krausz Trustee
The notes on pages 9 to 15 form part of these financial statements.
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British Friends of Yeshivas Shaarei Chochmo
Statement of Cash Flows
Year ended 30 June 2023
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income | 93,280 | 82 |
| Adjustments for: | ||
| Accrued income | – | (668) |
| Changes in: | ||
| Trade and other debtors | (46,193) | – |
| Trade and other creditors | (1,371) | 1,371 |
| ---------------------------- | ----------------------- | |
| Cash generated from operations | 45,716 | 785 |
| ---------------------------- | -------------- | |
| Net cash from operating activities | 45,716 | 785 |
| ============================ | ============== | |
| Net increase in cash and cash equivalents | 45,716 | 785 |
| Cash and cash equivalents at beginning of year | 16,043 | 15,258 |
| ---------------------------- | ---------------------------- | |
| Cash and cash equivalents at end of year | 61,759 | 16,043 |
| ============================ | ============================ |
The notes on pages 9 to 15 form part of these financial statements.
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements
Year ended 30 June 2023
1. General information
The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 2nd Floor - Parkgates, Bury New Road, Prestwich, Manchester, M25 0TL.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Charities Act 2011.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Foreign currencies
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.
Foreign currencies
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.
Fair value
Debtors and creditors are fairly stated.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements did not require management to make judgements, estimates or assumptions that affect the amounts reported.
Foreign currencies
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
3. Accounting policies (continued)
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.
Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
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income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
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legacy income is recognised when receipt is probable and entitlement is established.
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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.
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income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
3. Accounting policies (continued)
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
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expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
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expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
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other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Financial instruments
A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the amount receivable or payable including 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 otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.
Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with 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 statement of financial activities in which the initial gain was recognised.
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
3. Accounting policies (continued)
Financial instruments (continued)
For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets 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 impairment not previously been recognised.
4. Donations and legacies
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2023 | Funds | 2022 | |
| £ | £ | £ | £ | |
| Donations | ||||
| Donations | 757,883 | 757,883 | 527,977 | 527,977 |
| ================================ | ================================ | ================================ | ================================ |
5. Costs of other trading activities
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2023 | Funds | 2022 | |
| £ | £ | £ | £ | |
| Fundraising expenses | 9,563 | 9,563 | 8,459 | 8,459 |
| ======================= | ======================= | ======================= | ======================= |
6. Expenditure on charitable activities by fund type
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2023 | Funds | 2022 | |
| £ | £ | £ | £ | |
| Charitable grants | 650,498 | 650,498 | 517,805 | 517,805 |
| Support costs | 4,542 | 4,542 | 1,631 | 1,631 |
| -------------------------------- | -------------------------------- | -------------------------------- | -------------------------------- | |
| 655,040 | 655,040 | 519,436 | 519,436 | |
| ================================ | ================================ | ================================ | ================================ |
7. Expenditure on charitable activities by activity type
| Activities | |||||
|---|---|---|---|---|---|
| undertaken | Grant funding |
Support | Total funds | Total fund | |
| directly | of activities |
costs | 2023 | 2022 | |
| £ | £ | £ | £ | £ | |
| Charitable grants | 77,193 | 573,305 |
2,398 | 652,896 | 518,344 |
| Governance costs | – | – |
2,144 | 2,144 | 1,092 |
| ---------------------------- | -------------------------------- | ----------------------- | -------------------------------- | -------------------------------- | |
| 77,193 | 573,305 |
4,542 | 655,040 | 519,436 | |
| ============================ | ================================ | ======================= | ================================ | ================================ |
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
8. Analysis of support costs
| Analysis of | ||||
|---|---|---|---|---|
| support costs | Total 2023 | Total 2022 | ||
| £ | £ | £ | ||
| General office | 2,398 | 2,398 | 538 | |
| Governance costs | 2,144 | 2,144 | 1,092 | |
| ----------------------- | ----------------------- | ----------------------- | ||
| 4,542 | 4,542 | 1,630 | ||
| ======================= | ======================= | ======================= | ||
| 9. | Analysis of grants | |||
| 2023 | 2022 | |||
| £ | £ | |||
| Grants to institutions | ||||
| Maynei Simcha | 34,935 | 28,571 | ||
| Ner Moshe | – | 2,381 | ||
| Yeshivas Shaarei Chochmo | 320,045 | 187,914 | ||
| Ziv Hatorah | 9,170 | 16,429 | ||
| SCHSCH Charitable Trust | 5,500 | – | ||
| -------------------------------- | -------------------------------- | |||
| 369,650 | 235,295 | |||
| Grants to individuals | ||||
| Educational Grants | 203,655 | 154,737 | ||
| -------------------------------- | -------------------------------- | |||
| Total grants | 573,305 | 390,032 | ||
| ================================ | ================================ | |||
| 10. | Net income | |||
| Net income is stated after charging/(crediting): | ||||
| 2023 | 2022 | |||
| £ | £ | |||
| Foreign exchange differences | 831 | (365) | ||
| ============== | ============== | |||
| 11. | Independent examination fees | |||
| 2023 | 2022 | |||
| £ | £ | |||
| Fees payable to the independent examiner for: | ||||
| Independent examination of the financial statements | 1,590 | 1,590 | ||
| ======================= | ======================= |
12. Staff costs
The average head count of employees during the year was Nil (2021: Nil)
No employee received employee benefits of more than £60,000 during the year (2021: Nil)
13. Trustee remuneration and expenses
No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
14. Debtors
| 2023 | 2022 | ||
|---|---|---|---|
| £ | £ | ||
| Other debtors | 46,193 | – | |
| ============================ | ============== | ||
| 15. | Creditors: amounts falling due within one year | ||
| 2023 | 2022 | ||
| £ | £ | ||
| Trade creditors | – | 1,371 | |
| Accruals and deferred income | 1,590 | 1,590 | |
| ----------------------- | ----------------------- | ||
| 1,590 | 2,961 | ||
| ======================= | ======================= |
16. Analysis of charitable funds Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | |||||
| At | 30 June 202 | ||||
| 1 July 2022 | Income | Expenditure | 3 | ||
| £ | £ | £ | £ | ||
| General funds | 13,082 | 757,883 | (664,603) | 106,362 |
|
| ============================ | ================================ | ================================ | ================================ | ||
| At | At | ||||
| 1 July 2021 | Income | Expenditure | 30 June 2022 | ||
| £ | £ | £ | £ | ||
| General funds | 13,000 | 527,977 | (527,895) | 13,082 |
|
| ============================ | ================================ | ================================ | ============================ | ||
| 17. | Analysis of net assets between funds | ||||
| Unrestricted | Total Funds | ||||
| Funds | 2023 | ||||
| £ | £ | ||||
| Current assets | 107,952 | 107,952 | |||
| Creditors less than 1 year | (1,590) | (1,590) |
|||
| -------------------------------- | -------------------------------- | ||||
| Net assets | 106,362 | 106,362 | |||
| ================================ | ================================ | ||||
| Unrestricted | Total Funds | ||||
| Funds | 2022 | ||||
| £ | £ | ||||
| Current assets | 16,043 | 16,043 | |||
| Creditors less than 1 year | (2,961) | (2,961) |
|||
| ---------------------------- | ---------------------------- | ||||
| Net assets | 13,082 | 13,082 | |||
| ============================ | ============================ |
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British Friends of Yeshivas Shaarei Chochmo
Notes to the Financial Statements (continued)
Year ended 30 June 2023
18. Analysis of changes in net debt
| At | |||||
|---|---|---|---|---|---|
| At | 1 | Jul 2022 | Cash flows | 30 Jun 2023 | |
| £ | £ | £ | |||
| Cash at bank and in hand | 16,043 | 45,716 | 61,759 | ||
| ============================ | ============================ | ============================ |
19. Taxation
British Friends of Yeshivas Shaarei Chochmo is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.
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