2023-08-31-accounts

Charity registration number 1123950

Company registration number 06545357 (England and Wales)

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE)

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) LEGAL AND ADMINISTRATIVE INFORMATION

Trustees	D Gillis
	A Kleinman
	D Waterman
	J M Sobel
	A B Sweiry
	S Diston
	J F Palmer
	R A Goldmeier
	T E Cohen
	J H Sumroy
	J N Davis
	G M Silverman
	D A Tamman	(Appointed 22 May 2023)
Secretary	D Gillis
Charity number	1123950
Company number	06545357
Auditor	Glazers
	843 Finchley Road
	London
	NW11 8NA

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) CONTENTS

	Page
Trustees' report	1 - 3
Statement of trustees' responsibilities	4
Independent auditor's report	5 - 8
Statement of financial activities	9
Balance sheet	10
Statement of cash flows	11
Notes to the financial statements	12 - 22

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 AUGUST 2023

The trustees present their annual report and financial statements for the year ended 31 August 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Memorandum and Articles of Association, the Companies Act 2006 and the Statement of Recommended Practice, "Accounting and Reporting by Charities", applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) effective 1 January 2015.

Objectives and activities

The organisation exists to manage and administer the Edgware Adath Yisroel Congregation (EAYC)Synagogue, and to advance orthodox Jewish religion and orthodox Jewish religious education.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

The main function has been to ensure the continued running of the Synagogue in all its facets.

EAYC runs the EAYC nursery through a separately appointed Board of Governors.

There is an active education committee who arrange learning activities at all levels for all ages.

EAYC runs a charitable fund designed to help those in need within the community and collects funds for distribution to independent charities engaged in either Jewish religious education or the relief of poverty.

All the services provided by the Synagogue are available to the community without charge.

EAYC is fortunate enough to have been the beneficiary of a security grant aggregating £61,973 from the Community Security Trust, a registered charity, to assist in covering the cost of securing the synagogue premises.

Achievements and performance

EAYC has continued to provide a high quality service to the community and a range of events and services with a welcoming atmosphere. We believe the outbreak of Coronavirus has had a notable impact on the charity's incoming resources.The charity was able to make use of the coronavirus job retention scheme to lessen the impact.

Financial review

EAYC operated with a deficit in the last financial year.The financial results for the period under review are set out in the attached financial statements together with the notes thereon.

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to six month’s normal budgeted expenditure plus a contingency fund. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the company's current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

General running expenses of the Synagogue have historically been covered by membership and general donations and the Council of Management see no reason why this should not continue in the future. The loan with Barclays Bank plc is secured against the freehold property. The Trustees consider that ongoing pledges and building fund commitments made by members and other well-wishers, together with future fundraising activities, will be sufficient to cover this arrangement.

• 1 -

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 AUGUST 2023

Structure, governance and management

The charity is a company limited by guarantee, registered at Companies House on 26 March 2008. The operation of the organisation is controlled by its Memorandum and Articles of Association which were adopted by the members on 31 March 2008.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

D Gillis

A Kleinman D Waterman

J M Sobel A B Sweiry S Diston J F Palmer R A Goldmeier T E Cohen J H Sumroy J N Davis G M Silverman D A Tamman (Appointed 22 May 2023) M D Jaeger (Appointed 30 May 2023 and resigned 21 November 2023) L S Hakkak (Appointed 30 May 2023 and resigned 1 September 2023)

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company. All members of the company guarantee to contribute £1 in the event of a winding up.

A Council of Management consisting of two wardens, two joint treasurers, and an honorary secretary (referred to as the Honorary Officers) and eight other persons are elected each year at tthe Annual General Meeting. In addition to their appointment as the Council of Management, each person elected is a director of the company and effectively then becomes a trustee of the Charity.

There are inextricable links between EAYC and Beit Shvidler Primary School (BSPS). The Articles of Association require one member of the Council of Management to be a governor of the school, and a reciprocal arrangement exists for a nominated governor of BSPS to hold office as a trustee of the charity.

EAYC operates the EAYC nursery which has its own Board of Governors who are appointed annually at the nursery's annual general meeting. The transactions of the nursery are included in these accounts.

EAYC has connections with the Edgware Eruv Committee, registered charity number 1111850.

Auditor

In accordance with the company's articles, a resolution proposing that Glazers be reappointed as auditor of the company will be put at a General Meeting.

Disclosure of information to auditor

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The trustees' report was approved by the Board of Trustees.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) TRUSTEES' REPORT (CONTINUED)(INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 AUGUST 2023

D Waterman Director Dated: 28 May 2024

• 3 -

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 AUGUST 2023

The trustees, who are also the directors of Edgware Adath Yisroel Congregation Limited for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Charities SORP;

• make judgements and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF EDGWARE ADATH YISROEL CONGREGATION LIMITED

Opinion

We have audited the financial statements of Edgware Adath Yisroel Congregation Limited (the ‘charity’) for the year ended 31 August 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

• give a true and fair view of the state of the charitable company's affairs as at 31 August 2023 and of its incoming resources and application of resources, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

• the information given in the financial statements is inconsistent in any material respect with the trustees' report; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records; or

• we have not received all the information and explanations we require for our audit.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF EDGWARE ADATH YISROEL CONGREGATION LIMITED

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF EDGWARE ADATH YISROEL CONGREGATION LIMITED

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, we considered the following:

1) Enquiries of management concerning the charity's policies and procedures relating to:

• identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance

• detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; and

• the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations;

2) Discussions among the engagement team regarding how and when fraud might occur in the financial statements and any potential indicators of fraud.

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory framework that the charity operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and IFRS as issued by the IASB and adopted by the EU, and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the charity's ability to operate or avoid a material penalty.

As a result of performing the above, we did not identify any key audit matters related to the potential risk of fraud or non-compliance with laws and regulations.

In addition to the above, our procedures to respond to risks identified included the following:

• Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;

• Enquiring of management concerning actual and potential litigation and claims;

• Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;

• In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

We note that our audit is not primarily designed to detect non-compliance with laws and regulations and the Trustees and other management are responsible for such internal control as the Trustees and other management of the Charity determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to errors or fraud, including compliance with laws and regulations. Additionally, owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF EDGWARE ADATH YISROEL CONGREGATION LIMITED

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees 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 charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Philippe Herszaft ACA (Senior Statutory Auditor) for and on behalf of Glazers 28 May 2024 Chartered Accountants Statutory Auditor 843 Finchley Road London NW11 8NA

Glazers is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 AUGUST 2023

Unrestricted Designated Restricted funds funds funds Notes £ £ £ Income from: Donations and legacies 3 385,575 - 77,378 Charitable activities 4 - 183,743 - Investments 5 4,611 - - Coronavirus support - - - Total income 390,186 183,743 77,378 Expenditure on: Charitable activities 6 378,784 179,858 125,669 Net incoming/(outgoing) resources before transfers 11,402 3,885 (48,291) Gross transfers between funds 17,668 - (17,668) Net income/(expenditure) for the year/ Net movement in funds 29,070 3,885 (65,959) Fund balances at 1 September 2022 2,597,268 15,000 141,386 Fund balances at 31 August 2023 2,626,338 18,885 75,427	Total 2023 £ 462,953 183,743 4,611 - 651,307 684,311 (33,004) - (33,004) 2,753,654 2,720,650	Total 2022 £ 379,559 169,507 50 448
		549,564
		515,654
		33,910 -
		33,910 2,719,744
		2,753,654

The statement of financial activities includes all gains and losses recognised in the year.

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) BALANCE SHEET

AS AT 31 AUGUST 2023

Notes Fixed assets Tangible assets 12 Current assets Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 15 Net current assets Total assets less current liabilities Creditors: amounts falling due after more than one year 16 Net assets Income funds Restricted funds 17 Unrestricted funds Designated funds 19 General unrestricted funds Revaluation reserve	2023 £ £ 2,762,720 74,851 183,396 258,247 (53,354) 204,893 2,967,613 (246,963) 2,720,650 75,427 18,885 1,076,338 1,550,000 2,645,223 2,720,650	2022 £ £ 2,763,651 66,213 247,035 313,248 (55,111) 258,137 3,021,788 (268,134) 2,753,654 141,386 30,947 1,050,935 1,550,000 2,628,215 2,753,654

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 August 2023, although an audit has been carried out under section 144 of the Charities Act 2011.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on 28 May 2024

D Waterman

Trustee

Company Registration No. 06545357

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 AUGUST 2023

Notes Cash flows from operating activities Cash (absorbed by)/generated from operations 22 Investing activities Purchase of tangible fixed assets Investment income received Net cash generated from/(used in) investing activities Financing activities Repayment of bank loans Net cash used in financing activities Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year	2023 £ (596) 4,611 (21,171)	£ (46,483) 4,015 (21,171) (63,639) 247,035 183,396	2022 £ (576) 50 (27,925)	£ 20,189 (526) (27,925) (8,262) 255,297 247,035

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

1 Accounting policies

Charity information

Edgware Adath Yisroel Congregation Limited is a private company limited by guarantee incorporated in England and Wales. The registered office is 265 Hale Lane, Edgware, Middlesex HA8 8NW.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements

The outbreak of the COVID-19 during 2020 has presented the charity with some challenges regarding fundraising income. In addition, the uncertainty surrounding Brexit may also impact the UK economy and sources of income for the charity. These risks are beyond the control of the charity and represent uncertainty to the income of the charity in the next 12 months and the valuation of its assets. However the charity has sufficient reserves to cover temporary loss of income and the Trustees have the ability to exercise control over the charity's expenditure. Based on this the Trustees believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments that would result from this basis of preparation being inappropriate.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

1 Accounting policies

(Continued)

Grants are recognised on receipt, unless performance or other conditions require deferral.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

The cost of renovating the property at 265 Hale Lane Edgware has been capitalised.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Land and buildings nil Fixtures, fittings & equipment 25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

1 Accounting policies

(Continued)

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

	Unrestricted	Restricted	Total	Unrestricted	Restricted	Total
	funds	funds		funds	funds
	2023	2023	2023	2022	2022	2022
	£	£	£	£	£	£
Donations and gifts	385,575	77,378	462,953	316,581	62,978	379,559

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

4 Charitable activities

Nursery income Grants	2023 £ 150,020 33,723 183,743	2022 £ 128,236 41,271
		169,507

5 Investments

	Unrestricted	Unrestricted
	funds	funds
	2023	2022
	£	£
Interest receivable	4,611	50

6 Charitable activities

Synagogue £ Staff costs 156,031 Depreciation and impairment 1,527 Synagogue expenses 219,426 Nursery expenses - Restricted fund charitable expense - Bank interest - 376,984 Share of support costs (see note 7) 1,800 378,784	Nursery Restricted funds £ £ 144,412 - - - - - 35,446 - - 107,756 - 17,913 179,858 125,669 - - 179,858 125,669	Total 2023 £ 300,443 1,527 219,426 35,446 107,756 17,913 682,511 1,800 684,311	Total 2022 £ 272,625 2,061 184,833 28,753 16,394 9,668
			514,334 1,320
			515,654

EAYC is fortunate enough to have been the beneficiary of a security grant aggregating £61,973 from the Community Security Trust, a registered charity, to assist in covering the costs of securing the synagogue premises.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

7 Support costs

Support costs Governance costs 2023 £ £ £ Audit fees - 1,800 1,800 - 1,800 1,800 Analysed between Charitable activities 1,800 1,800 8 Net movement in funds The net movement in funds is stated after charging/(crediting): Fees payable for the audit of the charity's financial statements Depreciation of owned tangible fixed assets	2022 Basis of allocation £ 1,320 Governance 1,320 1,320 Governance 2023 2022 £ £ 1,800 1,320 1,527 2,061

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration during the year.

10 Employees

The average monthly number of employees during the year was:

Synagogue and welfare Nursery Total Employment costs Wages and salaries	2023 Number 7 12 19 2023 £ 300,443	2022 Number 8 9
		17
		2022 £ 272,625

There were no employees whose annual remuneration was more than £60,000.

Remuneration of key management personnel

The remuneration of key management personnel was as follows:

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 AUGUST 2023

11 Taxation

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

12 Tangible fixed assets

Cost At 1 September 2022 Additions At 31 August 2023 Depreciation and impairment At 1 September 2022 Depreciation charged in the year At 31 August 2023 Carrying amount At 31 August 2023 At 31 August 2022 Debtors Amounts falling due within one year: Trade debtors Other debtors Prepayments and accrued income Loans and overdrafts Bank loans Payable within one year Payable after one year	Land and buildings £ 2,761,597 - 2,761,597 - - - 2,761,597 2,761,597		Fixtures, fittings & equipment £ 78,523 595 79,118 76,468 1,527 77,995 1,123 2,054 2023 £ 19,970 49,030 5,851 74,851 2023 £ 274,963 28,000 246,963	Total £ 2,840,120 595
				2,840,715
				76,468 1,527
				77,995
				2,762,720
				2,763,651
				2022 £ 25,706 35,251 5,256
				66,213
				2022 £ 296,134
				28,000 268,134

13 Debtors

14 Loans and overdrafts

The bank loan is secured by a fixed charge over the charity's freehold property.

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

15 Creditors: amounts falling due within one year

Notes Bank loans 14 Other taxation and social security Trade creditors Accruals and deferred income Creditors: amounts falling due after more than one year Notes Bank loans 14	2023 £ 28,000 5,142 6,955 13,257 53,354 2023 £ 246,963	2022 £ 28,000 3,968 4,590 18,553
		55,111
		2022 £ 268,134

16 Creditors: amounts falling due after more than one year

Of the above balance, £162,279 (2022 £187,528) is repayable after more than five years.

17 Restricted funds

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

	At 1	Incoming	Resources	Transfers At	31 August
	September	resources	expended		2023
	2022
	£	£	£	£	£
Building Fund account	24,726	10,855	(17,913)	(17,668)	-
Kol Nidre and related appeals	18,390	8,000	(8,000)	-	18,390
Rabbi's fund for the needy	55,337	24,089	(49,923)	-	29,503
Eruv Fund	13,833	8,607	(15,185)	-	7,255
Board of Deputies	4,379	2,525	(4,648)	-	2,256
Kimche d'Pische	24,721	23,302	(30,000)	-	18,023
	141,386	77,378	(125,669)	(17,668)	75,427

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

17	Restricted funds					(Continued)
	Previous year:	At 1	Incoming	Resources	**Transfers **	At 31 August
		September	resources	expended		2022
		2021
		£	£	£	£	£
	Building Fund account	(15,232)	12,200	(9,668)	37,426	24,726
	Tzedokah Fund	1,913	-	-	(1,913)	-
	Kol Nidre and related appeals	25,523	8,000	(15,133)	-	18,390
	Rabbi's fund for the needy	41,767	14,670	(1,100)	-	55,337
	General and Baby G'Mach	7,783	-	-	(7,783)	-
	Eruv Fund	6,658	7,175	-	-	13,833
	Education and books fund	(2,405)	-	-	2,405	-
	Sefer Torah Repair Fund	786	-	-	(786)	-
	Board of Deputies	2,129	2,250	-	-	4,379
	Kimche d'Pische	6,199	18,683	(161)	-	24,721
	Youth	9,231	-	-	(9,231)	-
		84,352	62,978	(26,062)	20,118	141,386

Residual balances on certain funds which are no longer required have been reallocated to the building fund by the trustees, as has the sum of £48,043 surplus to requirements on designated funds.

18 Designated Funds

The designated fund represents the operation of the EAYC Nursery.

	At 1	Incoming	Resources	Transfers At	31 August
	September	resources	expended		2023
	2022
	£	£	£	£	£
	15,000	183,743	(179,858)	-	18,885
Previous year:	At 1	Incoming	Resources	Transfers At	31 August
	September	resources	expended		2022
	2021
	£	£	£	£	£
	27,714	169,507	(134,178)	(48,043)	15,000

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

19 Unrestricted funds

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At 1 September 2022 Incoming resources Resources expended £ £ £ EAYC Nursery 15,000 180,812 (179,858) General funds 2,582,268 209,374 (198,926) 2,597,268 390,186 (378,784) Previous year: At 1 September 2021 Incoming resources Resources expended £ £ £ EAYC Nursery 27,714 169,507 (134,178) General funds 2,579,964 147,572 (221,236) 2,607,678 317,079 (355,414)	Transfers At 31 August 2023 £ £ - 15,954 17,668 2,610,384 17,668 2,626,338 Transfers At 31 August 2022 £ £ (48,043) 15,000 75,968 2,582,268 27,925 2,597,268

• 20 -

EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

20 Analysis of net assets between funds Unrestricted funds Designated funds Restricted funds 2023 2023 2023 £ £ £ Fund balances at 31 August 2023 are represented by: Tangible assets 2,762,720 - - Current assets/(liabilities) 110,581 18,885 75,427 Long term liabilities (246,963) - - 2,626,338 18,885 75,427	Total Unrestricted funds Designated funds Restricted funds 2023 2022 2022 2022 £ £ £ £ 2,762,720 2,763,651 - - 204,893 101,751 15,000 141,386 (246,963) (268,134) - - 2,720,650 2,597,268 15,000 141,386	Total 2022 £ 2,763,651 258,137 (268,134) 2,753,654

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EDGWARE ADATH YISROEL CONGREGATION LIMITED (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2023

21 Related party transactions

There were no disclosable related party transactions during the year (2022 - none).

22	Cash generated from operations		2023	2022
			£	£
	(Deficit)/surpus for the year		(33,004)	33,910
	Adjustments for:
	Investment income recognised in statement of financial activities		(4,611)	(50)
	Depreciation and impairment of tangible fixed assets		1,527	2,061
	Movements in working capital:
	(Increase) in debtors		(8,638)	(4,960)
	(Decrease) in creditors		(1,757)	(10,772)
	Cash (absorbed by)/generated from operations		(46,483)	20,189
23	Analysis of changes in net (debt)/funds
		At 1 September	Cash flows	At 31 August
		2022		2023
		£	£	£
	Cash at bank and in hand	247,035	(63,639)	183,396
	Loans falling due within one year	(28,000)	-	(28,000)
	Loans falling due after more than one year	(268,134)	21,171	(246,963)
		(49,099)	(42,468)	(91,567)

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