2020-08-31-accounts - Madrasah Imam Bukhari

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REGISTERED COMPANY NUMBER: 06951099 (England and Wales) REGISTERED CHARITY NUMBER: 1131563

TRUSTEES' REPORT AND

FINANCIAL STATEMENTS FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

FOR

MADRASAH IMAM BUKHARI (A COMPANY LIMITED BY GUARANTEE)

Watergates Ltd 109 Coleman Road Leicester LE5 4LE

MADRASAH IMAM BUKHARI

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

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Page
Trustees' Report 1 to 2
Independent Examiner's Report 3
Statement of Financial Activities 4
Statement of Financial Position 5 to 6
Notes to the Financial Statements 7 to 11
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MADRASAH IMAM BUKHARI

TRUSTEES' REPORT FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the period 1st April 2019 to 31st August 2020. The trustees have adopted the provisions of 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).

OBJECTIVES AND ACTIVITIES

Objectives and aims

Madrasah Imam Bukhari aims to advance the religion of Islam by providing Islamic education in accordance with the sunni school of thought.

Public benefit

The School provides language and citizenship classes as well encouraging the students to promote racial and religious harmony.

ACHIEVEMENT AND PERFORMANCE

Charitable activities

Although the school has managed to successfully complete another year due to the Covid-19 crisis students were unable to sit the end of year assessments.However teaching continued through an online remote basis.

The school provides a unique teaching system with continual assessment for its students and teaching staff. Where on a weekly basis a teaching plan is given to individual teachers and at the the end of the week the students are assessed on what they have been taught through the teaching plan.

The school has a tailored syllabus for its eldest students 12 to 13 year olds where the syllabus is drawn up according to relevance rather than the norm of working through teaching books.

The adult women classes introduced last year which run 4 days a week continued in the year, these were provided on a voluntary basis.

FINANCIAL REVIEW

Reserves policy

The school runs a minimum reserves policy with an aim to offset costs and keep a modest surplus.

The school has had a lower uptake of new students and those completing studies, as well as a number of parents who through financial hardship have been unable to pay fees, which has reflected in lower fee income.

The current situation with Covid-19 has meant that the madrasah had to be closed to students since late March, with teaching taking place on a remote online basis Unfortunately with the students not being onsite a considerable number of student fees were not received meaning it could not sustain ongoing costs. The madrasah had to make the difficult decision of temporary closure in late May to the end of August resuming for the new academic year in September 2020.

Despite the Covid-19 related issues and financial difficulties the madrasah was able continue meeting costs through the support of donations and government grants.

FUTURE PLANS

The Madrasah is planning to increase its intake of students for the future and utilize the spare capacity and taking admissions for a nursery class

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

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MADRASAH IMAM BUKHARI

TRUSTEES' REPORT FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number

06951099 (England and Wales)

Registered Charity number 1131563

Registered office

159 Loughborough Road Leicester Leicestershire LE4 5LR

Trustees

Mr Z H Patel Principal and Chair Mr A R Kali Sales Assistant Mr Y Makadam Manager Mr A A Moti Self-employed Mr K A Patel Minister of Religion

Company Secretary Mr K A Patel

Independent Examiner

Watergates Ltd 109 Coleman Road Leicester LE5 4LE

Approved by order of the board of trustees on ............................................. and signed on its behalf by:

................................................................. Mr Z H Patel - Trustee

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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MADRASAH IMAM BUKHARI

Independent examiner's report to the trustees of Madrasah Imam Bukhari ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the period 1st April 2019 to 31st August 2020.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
the accounts do not accord with those records; or
the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for 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)).

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.

Nazir Malida FCCA FCCA Watergates Ltd 109 Coleman Road Leicester LE5 4LE

Date: .............................................

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MADRASAH IMAM BUKHARI

STATEMENT OF FINANCIAL ACTIVITIES FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

Notes INCOME AND ENDOWMENTS FROM Donations and legacies Charitable activities Educational services	PERIOD 1.4.19 TO 31.8.20 Unrestricted fund £ 2,561 137,272	YEAR ENDE 31.3.19 Total funds £ 2,501 98,651
Total EXPENDITURE ON Charitable activities Educational services	139,833 132,198	101,152 102,328
NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward	7,635 8,590	(1,176) 9,766
TOTAL FUNDS CARRIED FORWARD	16,225	8,590

The notes on page 0 form part of these financial statements

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MADRASAH IMAM BUKHARI

STATEMENT OF FINANCIAL POSITION 31ST AUGUST 2020

31/8/20
Unrestricted
fund
Notes
£
FIXED ASSETS
Tangible assets
6
333
CURRENT ASSETS
Debtors
7
9,240
Cash at bank and in hand
8,452
17,692
CREDITORS
Amounts falling due within one year
8
(1,800)
NET CURRENT ASSETS
15,892
TOTAL ASSETS LESS CURRENT
LIABILITIES
16,225
NET ASSETS
16,225
FUNDS
9
Unrestricted funds
16,225
TOTAL FUNDS
16,225

31/3/19
Total
funds
£
839
2,724
8,293
11,017
(3,266)
7,751
8,590
8,590
8,590
8,590

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the period ended 31st August 2020.

The members have not required the company to obtain an audit of its financial statements for the period ended 31st August 2020 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

The notes on page 0 form part of these financial statements

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MADRASAH IMAM BUKHARI

STATEMENT OF FINANCIAL POSITION - continued 31ST AUGUST 2020

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

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

............................................. Mr Z H Patel - Trustee

The notes on page 0 form part of these financial statements

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MADRASAH IMAM BUKHARI

NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

1. ACCOUNTING POLICIES

BASIS OF PREPARING THE FINANCIAL STATEMENTS

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

INCOME

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

EXPENDITURE

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

TANGIBLE FIXED ASSETS

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings - 15% on cost

TAXATION

The charity is exempt from corporation tax on its charitable activities.

FUND ACCOUNTING

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

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MADRASAH IMAM BUKHARI

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

2. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

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|||| |---|---|---| |PERIOD| |1.4.19| |TO|YEAR ENDED| |31.8.20|31.3.19| |£|£| |Depreciation - owned assets|506|674|

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3. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the period ended 31st August 2020 nor for the year ended 31st March 2019.

Mr Z H Patel is a trustee of the Charity in the current and previous year. Mr Z H Patel was paid £11,561 (31/03/2019 - £8,652) for his duties as principal.

TRUSTEES' EXPENSES

There were no trustees' expenses paid for the period ended 31st August 2020 nor for the year ended 31st March 2019.

4. STAFF COSTS

The average monthly number of employees during the period was as follows:

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|||| |---|---|---| |PERIOD| |1.4.19| |TO|YEAR ENDED| |31.8.20|31.3.19| |Teaching staff|17|19| |Administrative staff|3|4| |20|23|

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No employees received emoluments in excess of £60,000.

5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

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||| |---|---| |Unrestricted| |fund| |£| |INCOME AND ENDOWMENTS FROM| |Donations and legacies|2,501| |Charitable activities| |Educational services|98,651| |Total|101,152|

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EXPENDITURE ON

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MADRASAH IMAM BUKHARI

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

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5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
fund
£
Charitable activities
Educational services 102,328
NET INCOME/(EXPENDITURE) (1,176)
RECONCILIATION OF FUNDS
Total funds brought forward 9,766
TOTAL FUNDS CARRIED FORWARD 8,590
6. TANGIBLE FIXED ASSETS
Fixtures
and
fittings
£
COST
At 1st April 2019 and 31st August 2020 4,494
DEPRECIATION
At 1st April 2019 3,655
Charge for year 506
At 31st August 2020 4,161
NET BOOK VALUE
At 31st August 2020 333
At 31st March 2019 839
7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31/8/20 31/3/19
£ £
Trade debtors 9,113 2,275
Prepayments and accrued income 127 449
9,240 2,724
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MADRASAH IMAM BUKHARI

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

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8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31/8/20 31/3/19
£ £
Social security and other taxes - 393
Wages control account - 393
Accruals and deferred income 1,800 2,480
1,800 3,266
9. MOVEMENT IN FUNDS
Net
movement At
At 1.4.19 in funds 31.8.20
£ £ £
Unrestricted funds
General fund 8,590 7,635 16,225
TOTAL FUNDS 8,590 7,635 16,225
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
General fund 139,833 (132,198) 7,635
TOTAL FUNDS 139,833 (132,198) 7,635
Comparatives for movement in funds
Net
movement At
At 1.4.18 in funds 31.3.19
£ £ £
Unrestricted funds
General fund 9,766 (1,176) 8,590
TOTAL FUNDS 9,766 (1,176) 8,590
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MADRASAH IMAM BUKHARI

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 1ST APRIL 2019 TO 31ST AUGUST 2020

9. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds General fund TOTAL FUNDS	Incoming resources £ 101,152 101,152	Resources expended £ (102,328) (102,328)	Movement in funds £ (1,176) (1,176)

10. RELATED PARTY DISCLOSURES

There were no related party transactions for the period ended 31st August 2020.

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