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2020-12-31-accounts

LINCOLN BAPTIST CHURCH

Consolidated Accounts

For the year ending:

31[st] December 2020

(Including Notes and Subsidiary Accounts)

1

Lincoln Baptist Church

The Trustees Report on pages 3 - 6, the Consolidated Accounts set out on pages 7 & 8 with the Notes following on pages 9 - 13 relating to the year ending 31st December 2020 have been approved by the Leadership Team as Managing Trustees of the Church in compliance with the Statement of Recommended Accounting Practice. Further Subsidiary Accounts on pages 14 - 15 relate to the same year and are provided for the information of Church Members for their approval at the March Church Members meeting.

Signed:

Mr Richard J Wood Treasurer Dated: 1[st] March 2021

Independent Examiner's Report to Lincoln Baptist Church

This report on the accounts of the church for the year ended 31st December 2020, which are set out on pages 2 to 13, is in respect of an examination carried out under s.43 of the Charities Act 1993.

Respective responsibilities of trustees and examiner

As the members of the Leadership Team you are responsible for the preparation of the accounts; you consider that the audit requirement of section 43(2) of the Charities Act 1993 (the Act) does not apply. It is my responsibility to issue this report on these accounts in accordance with the terms of Regulation 7 of the Charities (Accounts and Reports) Regulations 1995.

Terms of Independent examiner's report

My examination was carried out in accordance with the General Directions given by the Charity Commissioners under section 43(7)(b) of the Act. That examination includes a review of the accounting records kept by the church and a comparison of the accounts with those records. It also entails considering any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken cannot provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the overview given by the accounts.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

(1) Which gives me reasonable cause to believe that in any material respect the requirements to keep accounting records in accordance with section 41 of the Act; and to prepare accounts which accord with the accounting records and comply with the regulations, as also contained in the Church Accounting Regulations have not been met;

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

(3) the accounts do not comply with any of the requirements of Regulation 3 of the Charities (Accounts and Reports) Regulations 1995. However, I am not required to and do not express an opinion on whether the accounts give a true and fair view.

Cassells Ltd., Perry Yarnell BA (Hons), FCCA 28 Queen Street, MARKET RASEN LN8 3EH

Dated 1[st] March 2021

2

Lincoln Baptist Church – Registered Charity 1130524

Report of Trustees 2013 Constitution and Rules

Lincoln Baptist Church is governed under God by the Church Meeting, being those properly admitted members under the rules. It is affiliated to the Baptist Union of Great Britain and holds property under the ultimate trust of the East Midland Baptist Trust Company who permits the Church to manage their affairs locally. Further details are contained in:

The Baptist Union Corporation, Baptist House, 149 Broadway, DIDCOT, Oxon

Under these rules the Leadership Team including the Minister act as Trustees of a Charity (Lincoln Baptist Church Reg 1130524 13[th] July 2009 and revised in 2017) and Managing Trustees of the property. They are now appointed and elected in accordance with the Governing Document.

The following leaders were elected during the last three years to serve on the Leadership Team alongside the Minister: (when in post)

The Trusteeship Secretary of the East Midland Baptist Association is Mr Tim Chowns contactable at the Baptist House (see above).

Agents and Advisors

Cassell’s Ltd

Chartered Certified Accountants 28 Queen Street, MARKET RASEN

as Independent Examiner

Anthony Collins 134 Edmund Street, BIRMINGHAM B32ES

as Solicitors

Golding and Young Station Road, NORTH HYKEHAM as Valuers in earlier years

Investment Powers

The Treasurer and other members of the leadership team manage the church's monies independently under the authority of the Church Meeting and are permitted to authorise capital expenditure (according to a schedule of authorities) for repairs, renewals, improvements, investments and loans. Matters concerning sale, lease or licence of lands and buildings require consultation with our Ultimate Trustees.

3

Aim of the Church

The Church has a vision stating: “To Make and To Grow Disciples in Jesus.” This was further underpinned by an adopted set of values “ To be devoted to Teaching the Bible, Sharing in Fellowship, Gospel through Communion, Meaningful Prayer and Worship.”

Public Benefit

As a charity, we also need to address the public benefit reporting requirements that now apply. This report concentrates on what the charity seeks to achieve, through the Aim of the Church and the activities of the church in seeking to meet the needs of its members, friends and the wider community.

When planning our activities, the Leadership Team have considered the Charity Commission’s guidance on public benefit, and in particular the specific guidance on charities for the advancement of religion in particular. We try to enable ordinary people to live out their faith as part of the community through:

Activities

The Pastor, Church Secretary or other members of the Leadership Team normally preside over the main activities of the church which include:

The Church meeting and Leadership team delegate authority to others within the fellowship to lead the House groups, various youth groups, and a variety of activities listed below.

The Church meeting also sends, when possible, representatives to various organisations with whom we co-operate or which we support or subscribe to:

The Pastor or Leadership team members act on behalf of the church in local social action and support groups including the Children’s Services Advisory Board.

4

The Coronavirus Pandemic during 2020 had a significant impact on the life of Lincoln Baptist Church. With effect from the 22 March most church based activities ceased with the exception of LiFT and the Children’s Centre which also ceased to function in July.

Sunday Church services went “on-line” and bi-weekly Leadership Team meetings and Church Members meeting were conducted via “Zoom”. Bi-weekly prayer meetings and eventually House Group meetings were also facilitated by “Zoom”.

The development of on-line services, including daily teaching and worship material which quickly attracted a global following, resulted in the need to update and improve the Churches website and on-line capability. Towards the end of the year the church entered into a short term contract for these improvements to be made.

For those not able to access services via the internet, paper copies of sermon and other teaching and prayer materials were posted out to members and friends.

Financial Affairs

Funds are raised in a variety of ways:

In August 2017 a five year lease agreement was signed (backdated to 14 June 2016) between Lincoln Baptist Church as the landlord, and Lincolnshire County Council (Children’s Services) as the tenant. This permitted use of the Abbey suite of rooms at the church premises on Croft Street by the tenant each weekday from 8.30am – 5.00pm. Under the terms of the lease which was approved and countersigned by East Midlands Baptist Trust Co. Ltd as well as both parties, calculated utility costs, service charges (cleaning and waste), car parking and premises rent are now invoiced to the tenant, a year in advance, according to the terms of the lease.

All cash coming into the main church fund is handled by a Leader or member and a second listed member together, entered onto the weekly offering sheet and banked by a member of the finance team. Small payments may be made from this against petty cash items. All other payments from the church general fund are managed by on-line BACS payments, cheque or other bank transaction.

The main costs of the church are the salaries and operating expenses of the Pastor, maintenance of the church building, heating and lighting, and administration. Payroll includes the salary of a part-time caretaker.

During 2020 the church removed the pulpit and redesigned the platform area at a cost of £4,892 which included new carpets; carried out improvements and repairs to the lighting in the large hall, £1,748 and made some improvements to the central heating in the Children’s Centre which cost £1,098.

Improvements to the manse drive were carried out during 2020 at a cost of £2,146.

The disbursement of funds beyond the church is equally varied:

5

All organisations and individuals who have received significant sums are listed in the accounts.

The Annual General Meeting at the end of 2000 agreed to permit temporary resort to overdraft in future years. Giving to outside causes from unrestricted funds can be reduced if income falls. All employees' contracts include a clause allowing termination within no more than nine months ensuring that the commitments of the organisation can be matched to its actual resources.

The Treasurer Mr Richard Wood is assisted by a finance team comprising, Mr Pete Davison (Covenant Tax claims) and Mr Malcolm Morton (Finance administration). Church members Mr Colin Evans, Mr Malcolm Morton, and Mr Richard Wood (Treasurer) along with Mr James Hewson, non-church member are signatories for the church bank accounts, with any two required to sign cheques. Mr Malcolm Morton is approved to make on-line payments, using the agreed e-mail authorisation and internal audit processes.

The following section in the church undertake it’s own banking via current or savings accounts.

Each organisation with its own banking is required to have two signatories for transactions and to adhere to Rules for Church Organisations. These funds are reported in the following Accounts and consolidated into the Church Statement.

The Treasurer draws up a budget for approval at the November Church meeting (or at the next quorate Church meeting). This sets out the financial plan and objectives for the year, authorising the Treasurer, Leaders and other delegates. Income during 2020 exceeded budget expectations mainly as a result of increased targeted giving; gifts and the timing of the Gift Aid claim which covered a 15 month period. Expenditure was less than expected due to the move away from a site supervisor role which was replaced by a part time-caretaker and reduced contract cleaning costs due to the fact that the Children’s Centre was closed for a significant period during 2020. Additional expenditure occurred as a result of significant payments made of a “caring “ nature.

The financial performance is tracked during the year and reported on a regular basis by statements circulated amongst the Leadership team and church members. The Treasurer, Pastor and Church Secretary have the authority to agree expenditure of up to a maximum of £500 on one item, and the Leadership team have the authority to spend up to a maximum of £2,000 on one item. In addition, both the Caretaker and Fabrics coordinator have the authority to spend up to a maximum of £250 on one item in the case of an emergency. Expenditure of £2,000 or over must be agreed by the Members by vote at a Church Meeting. (These figures were revised by Members during 2015.) Annual Accounts are presented after Independent Examination to a meeting of Members each spring.

As a result of the pandemic during 2020 Church Members agreed in July to give the Leadership Team, temporary authority until it is safe and legal to convene a proper church members meeting, to spend up to £5,000 on any one item on the understanding that any such expenditure would be reported to a subsequent Church Members meeting.

6

LINCOLN BAPTIST CHURCH

Consolidated Statement of Financial Activities For The Year Ended 31 December 2020

Note
INCOMING RESOURCES
Offerings
Gifts to the Church
Dedicated gifts
Church events
Legacies
Interest received
Other income
Gain on sale of property
TOTAL INCOMING RESOURCES
RESOURCES USED
Ministerial expenses
Church care and upkeep
Administration
Church events and projects
Outward giving
TOTAL RESOUCES USED
NET INCOMING/(OUTGOING) RESOURCES
BALANCES BROUGHT FORWARD
FUNDS TRANSFER
BALANCES CARRIED FORWARD		 General
Restricted
Total Funds
Total Funds
Fund
Funds
2020
2019
£
£
£
£
86,308
-
86,308
73,648
2,606
7,726
10,332
1,743
-
-
-
10,571
-
-
-
123
4,093
-
4,093
-
1,031
-
1,031
726
47,693
-
47,693
46,537
-
-
-
145,431
141,731
7,726
149,457
278,779
37,760
-
37,760
45,007
38,545
-
38,545
58,111
12,143
441
12,584
14,750
3,521
3,713
7,234
8,357
26,301
-
26,301
16,536
118,270
4,154
122,424
142,761
23,461
3,572
27,033
136,018
813,357
493
813,850
677,832
-
-
-
-
836,818
4,065
840,883
813,850

7

LINCOLN BAPTIST CHURCH

Balance Sheet as at 31 December 2020

Note
FIXED ASSETS
4
Tangible fixed assets
1,458,127
CURRENT ASSETS
Loans
-
Prepayments
-
Cash at bank and in hand
197,854
197,854
CURRENT LIABILITIES
Loan
-
Creditors and advance receipts
330
330
NET CURRENT ASSETS
197,524
TOTAL ASSETS LESS CURRENT LIABILITIES
1,655,651
Financed by:
ACCUMULATED FUNDS
5
General Fund
836,818
Restricted Funds:
Memorial fund
-
Building fund
-
Christmas fund
-
Subsidiary funds
4,065
4,065
Revaluation reserve
814,768
1,655,651
2020		 Note
FIXED ASSETS
4
Tangible fixed assets
1,458,127
CURRENT ASSETS
Loans
-
Prepayments
-
Cash at bank and in hand
197,854
197,854
CURRENT LIABILITIES
Loan
-
Creditors and advance receipts
330
330
NET CURRENT ASSETS
197,524
TOTAL ASSETS LESS CURRENT LIABILITIES
1,655,651
Financed by:
ACCUMULATED FUNDS
5
General Fund
836,818
Restricted Funds:
Memorial fund
-
Building fund
-
Christmas fund
-
Subsidiary funds
4,065
4,065
Revaluation reserve
814,768
1,655,651
2020		 Note
FIXED ASSETS
4
Tangible fixed assets
1,458,127
CURRENT ASSETS
Loans
-
Prepayments
-
Cash at bank and in hand
197,854
197,854
CURRENT LIABILITIES
Loan
-
Creditors and advance receipts
330
330
NET CURRENT ASSETS
197,524
TOTAL ASSETS LESS CURRENT LIABILITIES
1,655,651
Financed by:
ACCUMULATED FUNDS
5
General Fund
836,818
Restricted Funds:
Memorial fund
-
Building fund
-
Christmas fund
-
Subsidiary funds
4,065
4,065
Revaluation reserve
814,768
1,655,651
2020		 £
£
1,466,681
-
-
162,267
162,267
-
330
330
161,937
1,628,618
813,357
-
-
-
493
2019
1,655,651
836,818
4,065
814,768
493
814,768
1,628,618
1,655,651

8

LINCOLN BAPTIST CHURCH Notes To The Accounts For The Year Ended 31 December 2020

1. ACCOUNTING POLICIES

The accounts have been prepared in accordance with applicable Accounting Standards and the Charities SORP (Statements of Recommended Practice).

The accounts have been prepared under the historical cost convention as modified by the revaluation of the Church land and buildings.

A. Funds

General funds represent the funds of the Church that are not subject to any restrictions regarding their use and are available for application on the general purposes of the Church. Funds designated for a particular purpose by the trustees are also unrestricted.

The accounts include all transactions, assets and liabilities for which the trustees are responsible in law. They do not include the accounts of church based groups that owe their main affiliation to another body nor those that are informal gatherings of Church members.

B. Incoming resources

Donations

Collections are recognised when received or certificated by or on behalf of the Church. Planned giving receivable under covenant is recognised only when received.

Income tax recoverable on covenants or gift aid donations is recognised when the income is received. Grants and legacies are accounted for as soon as the Church is notified of its legal entitlement and the amount due.

Other income

Other income is accounted for when payment is received. Income from investments

Dividends and interest are accounted for when receivable.

C. Fixed assets

The Church land and buildings

Church is regarded as a specialised building under the provisions of Financial Reporting Standard no. 15 and is valued on the basis of depreciated replacement cost. The trustees' best estimate of this value is the rebuilding costs for insurance purposes plus the market value of the land. The surplus over the original cost is credited to a revaluation reserve which is shown separately on the balance sheet. There are considerable practical difficulties in obtaining the precise measurement of the original cost of the land and buildings not least due to the passage of time. The Treasurer and Finance team have made the most accurate assessment that is possible in the circumstances. The amount of the Church valuation transferred to Capital Reserve, therefore, is the best estimate available. Manse land and buildings

The manse is a non-specialised building and included in the accounts at valuation less accumulated depreciation. Depreciation is charged at the annual rate of 2% on cost.

Other fixtures, fittings and office equipment

Depreciation of equipment used within the church premises is on a ‘straight-line’ basis at the rate of 10% or 20% per annum according to the anticipated 5 or 10 year life of the asset. The register has been updated to reflect the situation at the end of 2020 and to include only those items with a purchase value of £500 or above.

2. EMPLOYEES' REMUNERATION

Total remuneration (excluding employer's contributions) for the year was £30,307 No employee earned £40,000 p.a. or more.

9

The number of paid staff for the year was: 2

  1. Pastor (from 1 August 2018)

  2. Caretaker (part-time)

3. TRUSTEES REMUNERATION AND EXPENSES

The Pastor is also a trustee of Lincoln Baptist Church. Remuneration (including pension contributions and benefits in kind) for the Pastor was £26,186 during 2020

Expenses and church costs amounting to £1,295 were reimbursed to the Pastor during 2020 these included: Travel £216; Telephone £728 and Training £200.

Notes to the Accounts

For The Year Ended 31 December 2020

4. FIXED ASSETS - Tangible

4. FIXED ASSETS - Tangible
COST OR VALUATION
At 1 January 2020
Additions
Disposals
Revaluation
At 31 December 2020
DEPRECIATION
At 1 January 2020
Charge for the year
On disposals
At 31 December 2020
NET BOOK VALUE
At 31 December 2020
At 1 January 2020		 Fixtures and
Total
Church
Manse
Equipment
£
£
£
£
1,164,081
288,054
68,854
1,520,989
-
-
2,894
2,894
-
-
-
-
-
-
-
-
1,164,081
288,054
71,748
1,523,883
-
5,761
48,547
54,308
-
5,761
5,687
11,448
-
-
-
-
-
11,522
54,234
65,756
1,164,081
276,532
17,514
1,458,127
1,164,081
282,293
20,307
1,466,681

5. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Tangible fixed assets
Prepayments and debtors
Cash at bank and in hand
Transfers
Creditors and advance receipts
Total net assets		 General
Restricted
Building fund
Revaluation
Fund
Funds
Reserve
Total
£
£
£
£
£
643,359
-
-
814,768
1,458,127
-
-
-
-
-
193,789
4,065
-
-
197,854
-
-
-
-
-
330
-
-
-
-
330
-
836,818
4,065
-
814,768
1,655,651

10

Supplementary financial information

LINCOLN BAPTIST CHURCH
Accounts 31/12/2020		 BUDGET
2020		 Actual
Position
31/12/2020
2020 2020
RECEIPTS
Offerings: Envelope scheme 1,000 693
Standingorders 51,500 56,524
Loose offering 10,000 6,626
Sub total: 62,500 63,843
Gift aid recovery: 10,000 22,464
Dedicatedgifts: Missions 1,500 -
Donations(In mem;misc etc) 500 1,685
Caring 4,000 8,335
LIFT - 976
Books sold - 488
"Yellow box" 750 921
Lettings: Room hire & donations 2,500 1,405
Lease LCC 25,000 22,991
Carparking 11,000 7,330
Other: Legacies/Gifts - 4,093
Misc. Income 1,000 6,169
TOTAL RECEIPTS 118,750 140,700

11

Supplementary financial information (continued)

PAYMENTS BUDGET
2020		 Actual
Position
31/12/2020
Staffing Ministerial salary 26,400 26,186
Ministirial Pension 3,000 3,152
Travel expenses 1,000 216
Telephone 750 728
Training 2,000 200
General expenses 1,000 151
Caretaker 9,300 4,121
Caretaker Pension 900 -
Employers NI 2,650 1,829
Cleaning 12,000 2,762
Sub total: 59,000 39,346
Manse: Insurances 500 401
Maintenance 3,000 2,251
Council tax & Water rates 3,000 2,460
Sub total: 6,500 5,112
Church: Maintenance 4,000 10,590
Insurances 3,500 3,155
Water rates 800 257
Gas 3,750 2,125
Electricity 4,000 3,052
Fire,security,health & safety 750 1,182
Service delivery 1,300 1,536
Housekeepingmaterials 1,500 1,416
Sub total: 19,600 23,313
Admin: Administration 1,200 453
Photocopier 500 434
Printing&publicity 300 27
Phone & broadband 1,200 1,117
Auditors 300 216
Subscriptions & licences 1,200 1,083
Bank charges 200 112
Fellowshipmeals/refreshments e
1,500		 447
Bookpurchases - 756
Misc. Expenditure 3,800 4,259
Sub total: 10,200 8,905

12

Supplementary financial information (continued)

BUDGET
2020		 Actual
Position
31/12/2020
Community involvement LIFT 3,500 4,460
Local evangelism 500 -
Universities 500 447
Other communityinvolvement 500 100
Sub total: 5,000 5,007
Teaching & Pastoral Care: Resources 500 497
Caring 5,000 12,822
Training 500 696
Pulpit supply 700 185
Sub total: 6,700 14,200
Youth: Junior church & creche 500 355
Midweek activities 500 -
Sub total: 1,000 355
Missions: Baptist MissionarySociety 4,000 4,000
EMBA Home Mission 3,000 3,000
Other missions 1,500 4,205
"Yellow box" 750 500
Other donations 1,500 1,775
Sub total: 10,750 13,480
TOTAL PAYMENTS 118,750 109,717
Total Surplus/ Deficit - 30,983
Balance in current account 31/12/2020 £88,433 £119,411.80
Cash in hand(not banked) 31/12/2020 £648 £0.00
Uncleared cheques 31/12/2020 -£903 -£250.00
sub total **£88,178 ** £119,161.80
Balance savings account 31/12/2020 £73,595 £74,626.53
Balance in all LBC accounts 31/12/2020 **£161,773 ** £193,788.33

13

Supplementary financial information (continued)

LINCOLN BAPTIST CHURCH

Notes and Subsidiary accounts 2020

Baptist Missionary Society

Baptist Missionary Society
From Church General Funds 4000 To BMS (general funds) 4000
Total 4000 Total 4000
EMBA Home Mission
From Church General Funds 3000 To Home Mission 3000
Total 3000 Total 3000
Tear Fund
From Church General Funds To Tear Fund 500
Total 500 Total 500
Leprosy Mission
Donations 100 To Leprosy Mission 600
From Church General Funds 500
Total 600 Total 600

Other church giving to organisations from general funds and special collections

Shepherd Food Ministry 1035
FISH 850
St Barnabas Hospice 425
Lincoln CU 400
EMU Music 100
20 Schemes Music 100
Waterways Chaplaincy 250
New Tribes Mission 1000
Monks Abbey School 250
Coningsby Baptist Church 250
Total 4660

Organisations to which the Church subscribes

Baptist Union of Great Britain 329
Evangelical Alliance 80
Information Commission - Data Protect 35
CCLI for song books and CD rom 639
Total 1083

14

Supplementary financial information (continued)

Operating Accounts of Church Organisations

LIFT

Receipts Payments
Balance - Cash in hand @ 01/01/2020 324 Food - LIFT 1064
Balance - Cash in bank @ 01/01/2020 145 Food - breakfast 367
Donations - specific needs 75 Food - CAP 12
Donations - general 7618 Loans - specific needs 202
Donations - clothing 33 Grants- specific needs 215
Mileage 68
General - other 891
Covid-19 1311
Cash in hand @ 31/12/2020 190
Cash in bank @ 31/12/2020 3875
Total 8195 Total 8195
Bank Balances
Current a/c @ 31/12/2019 88,433 Current a/c @ 31/12/2020 119,412
add accrued income 648 add accrued income 0
less uncleared cheques -903 less uncleared cheques -250
Cambridge & Co Bank a/c @ 31/12/2019 73,595 Cambridge & Co Bank a/c @ 31/12/2020 74,627
Total 161,773 Total 193,789
Bank Interest interest earned 2020 1031

15