Registered number
OPEN DOOR BAPTIST CHURCH
Report and Unaudited Financial Statements
5 April 2022
OPEN DOOR BAPTIST CHURCH Report and accounts Contents
| Page | |
|---|---|
| Trustees' report | 1 |
| Financial Review | 2 - 3 |
| Independent Examiner's Report | 4 |
| Profit and loss account | 5 |
| Balance sheet | 6 |
| Statement of changes in equity | 7 |
| Notes to the Financial Statements | 8 - 12 |
OPEN DOOR BAPTIST CHURCH Registered number: Trustees' Report
The Directors of the Charity are its Trustees for the purpose of the Charity Law and throughout this report are collectively referred to as the Trustees. Their responsibilities include all the responsibilities of Directors under the Companies' Acts and of Trustees under the Charities Act.
Name and registered office
Name: Open Doors Baptist Church Registered office: Downs Road, Hackney, London. E5 8DS Bankers: HSBC Bank Plc, Mare Street Hackney London E8 1PJ
Objectives achieved in the year
The board of trustees are satisfied with the performance of the charity during the year and the position at 5 April 2022 and consider that the charity is in a strong position to continue its activities during the coming year, and that the assets are adequate to fulfil its obligations.
Contributions of volunteers
In additions to members' financial contributions to the charity, some do provide very valuable voluntary services. Some of these roles and activities voluntarily provided include counselling, teachings in the schools, community work, administrative duties, music ministry and other areas of church life. Measurement issues including attributing an economic value to such unpaid contributions, prevents inclusion of such contributions within the Statement of Financial Activities.
Structure, Governance and Management
The pastor and the deacons retain oversight of all church matters. These are the managing trustees. The trustees meet regularly to discuss and plan objectives and implementation thereof. Matters of general concern are raised with all members.
All matters are subject to prayer and God's direction and the Trustees of the Church. Major decisions at any church meetings are determine by simple majority votes cast by members present with each members having one vote. In the event of equal votes, the chair may exercise a second vote as a casting vote.
Small company provisions
This report has been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime.
This report was approved by the board on 12 September 2022 and signed on its behalf.
Babatunde Emmanuel Oyetunji
Director
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OPEN DOOR BAPTIST CHURCH
Financial Review
Transactions and Financial Position
The financial statements are set out on pages 5 to 7. The financial statements have been prepared implementing the Statement of Recommended Practice for Accounting and Reporting by Charities issued by the Charity Commission for England and Wales (effective April 2005) and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2005). The Trustees consider the financial position of the charity during the year has been satisfactory.
The statement of Financial Activities show gross resources for the year of a revenue nature of £48,163 Expenses for the year was £30,630 leaving a net surplus of £17,533. Reserves at the year end was £472,415
The board of trustees are satisfied that the charity's assets are available and adequate to fulfil its obligations in the foreseeable future.
The charity relies on offerings, tithes and various donations from the members as identified in the accounts, whose support is greatly valued.
Other areas of source of funds are Covenant Gift and bank investment income. These funds enables the charity to carry out its obligations during the year.
Major risks to which the charity is exposed and systems to mitigate those risks
Financial
The charity is open to the usual financial risks of any organisation, and the charity has introduced controls to minimise these risks, such as two signature being required for payments from the bank account, an appointed deacon/pastor of the church is required to authorise payments for purchases and also the accounts are regularly explained to members of the charity and are open for member's inspection at any time
Children and Vulnerable adults
Work with children and vulnerable adults are open to risks. The policy is that visitation, counselling and any work involving children and vulnerable adults are done by trained persons who work in pairs. New volunteers to the children ministry are recruited on the basis of Baptist Union's policy for the recruitment of volunteers for children's ministry which are in line with Government policy.
Statement of Directors' and Trustees Responsibilities
Charity Law requires the Board to prepare the financial statement for each financial year which gives a true and fair view of the state of affairs of the charity as at the end of the financial year and the surplus or deficit of the charity. In preparing those financial statements, the Board is required to:-
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select suitable accounting policies and then apply them consistently;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial
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● statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume
- that the charity will continue in business.
The Trustees are also responsible for keeping proper accounting records which disclose with reasonable accuracy at anytime the financial position of the charity which is sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with the Charities Act. 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.
The Trustees are also responsible for the contents of the trustees' report, and the responsibility of the auditors in relation to the trustees' report is limited to examining the report and ensuring that, on the face of the report, there are no inconsistencies with the figures disclosed in the financial statements.
This report was approved by the Board of Trustees on 12 September 2022.
Signed: -
Name… Chime Egembah
Trustee
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Independent Examiner's Report on the Financial Statement for Open Doors Baptist Church
For the year ended 5 April 2022
Report to the trustees of Open Doors Baptist Church on the financial statements for the year ended 5 April 2022 as set out on pages 5 to 12
Respective responsibilities of trustee and examiner
The Charity trustees are responsible for the preparation of the accounts. The Charity's trustees consider that an audit is not required for the year (under section 43 (2) of the Charities Act 1993 (the Act) and that an independent examination is needed.
It is my responsibility to:-
- examine the accounts (under section 43 (3) (a) of the Act;
to follow the procedures laid down in the General Directions given by the Charity Commissioners
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(under section 43(7)(b) of the Act; and
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to state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination was carried out accordance with General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the financial statements.
Independent examiner's statement
In connection with my examination, no matter has come to my attention
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which gives me reasonable cause to believe that in any material respect the requirements
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to keep accounting records in accordance with section 41 of the 1993 Act; and
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to prepare financial statements which accord with the accounting records and
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- comply with the account requirements of the Act have not been met; or
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to which, in my opinion, attention should be drawn in order to enable a proper understanding of the
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● accounts to be reached.
Signed: ……
Date:- 12 September 2022
Name:- Soladex Financial Services Ltd
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OPEN DOOR BAPTIST CHURCH Profit and Loss Account for the year ended 5 April 2022
| Unrestricted funds Note 2022 £ Incoming Resources 6 47,818 Resources Expended Cost of activities 7 26,330 Management and administration 4,300 Total Resources Expended 30,630 Net Incoming Resources before Transfers 17,188 Gross Transfers between funds:- 17,188 Net Movement in funds 17,188 Total funds brought forward 60,648 Total funds carried forward 77,836 Capital grants, legacies & donations Net Incoming Resources before revaluations & Investment asset disposals |
Restricted funds 2022 £ 345 - 345 345 345 394,234 394,579 |
Total funds 2022 £ 48,163 26,330 4,300 30,630 17,533 17,533 17,533 454,882 472,415 |
Prior Period funds 2021 £ 76,516 45,947 26,966 72,913 3,603 3,603 3,603 451,280 454,883 |
|---|---|---|---|
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OPEN DOOR BAPTIST CHURCH Registered number: Balance Sheet as at 5 April 2022
| Notes Fixed assets Tangible assets 2 Current assets Stocks Other Debtors 3 Cash at bank and in hand Creditors: amounts falling due within one year 4 Net current assets Total assets less current liabilities Net assets Capital and reserves Unrestricted Funds Restricted Funds Reserves |
- 24,771 9,859 34,630 3,571 |
2022 £ 441,356 441,356 31,059 472,415 472,415 77,836 394,579 472,415 |
- 5,266 8,356 13,622 4,111 |
2021 £ 445,371 445,371 9,511 454,882 454,882 394,234 60,648 454,882 |
|---|---|---|---|---|
The Board of Trustees acknowledge their responsibility for ensuring the organisation keeps proper accounting records in accordance with the requirements of the Charities Act 2005 as more fully set out under 'Trustees' Responsibilities' in the report of the Trustees.
The members have not required the company to obtain an audit in accordance with the Charities Act 2011.
Babatunde Emmanuel Oyetunji Director Approved by the board on 12 September 2022
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OPEN DOOR BAPTIST CHURCH Statement of Changes in Equity for the year ended 5 April 2022
| At 6 April 2020 Profit for the financial year Total comprehensive income for the financial year At 5 April 2021 At 5 April 2021 as restated At 6 April 2021 Profit for the financial year Total comprehensive income for the financial year At 5 April 2022 |
Profit and loss account £ 451,279 3,603 3,603 454,882 454,882 454,882 17,533 17,533 472,415 |
Total £ 451,279 3,603 3,603 454,882 454,882 454,882 17,533 17,533 472,415 |
|---|---|---|
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OPEN DOOR BAPTIST CHURCH Notes to the Financial Statements for the year ended 5 April 2022
1 Accounting policies
Basis of preparation
The Financial Statements have been prepared in accordance with the Charities Act 1993 and with the Financial Reporting Standard for Small Entities (FRSSE), and all other applicable accounting standards, effective June 2002, as modified by the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England and Wales, effective October 2000, adapted to meet the needs of unincorporated organisations.
Accounting convention
The Financial Statements are prepared, on a going concern basis, under the historical cost convention.
Incoming Resources
Incoming resources are accounted for on a receivable basis.
Investment Income
Bank interest is included in the income and expenditure account on a receivable basis.
Deferred Income
In accordance with the statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England & Wales grants, received in advance and specified by the donor as relating to specific accounting periods or alternatively which are subject to conditions which are still to be met are deferred on an accruals basis to the period to which they relate.
Such deferrals are shown in the notes to the accounts and the sums involved are included as creditors in the financial statements.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first in first out method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised.
Debtors
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.
Recognition of Liabilities
Liabilities are recognised on the accruals basis in accordance with normal accounting principles, modified where necessary in accordance with the guidance given in the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England and Wales.
Charitable Expenditure
Charitable expenditure includes all expenditure directly related to the charity and comprises the following:-
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OPEN DOOR BAPTIST CHURCH Notes to the Financial Statements for the year ended 5 April 2022
Activities in furtherance of the charity's objectives
The cost of activities in furtherance of the charity's objectives represents the cost of goods and services and ancillary trading costs that have been incurred in charitable activities.
Management and administration of the charity
Management and administration costs represent expenditure incurred in the management of the Charity's assets, organisational administration and compliance with the charitable and statutory requirements.
Allocation of costs within types of resources expended
The charity's operating costs include staff costs, rent and other related costs. Such costs are allocated between types of resources expended on the basis of estimates made by the trustees.
Administration expenditure includes all expenditure not directly related to direct charitable activity. In respect of certain items of expenditure it is a matter of judgement as to whether such items are direct charitable expenditure or administrative, and the trustees have applied what they consider to be reasonable judgement in apportioning such costs.
The Companies Act 1985 requires all properties belonging to companies to be depreciated. However, this requirement conflicts with the generally accepted principle set out in SSAP 19 and the overriding requirement to show a true and fair view. The Board of Trustees considers that because the property is not held for consumption, but for its investment potential, to depreciate it would not give a true and fair view, and that although the charity is exempt from the full application of SSAP 19, and has not had a formal professional valuation, of the property, but has relied on the best of the board of the market value, in order to conserve funds for the charitable purposes of the charity.
If this policy had not been adopted, the deficit for the financial year would have been increased by depreciation. However, the amount of depreciation cannot reasonably be quantified because depreciation is only one of many factors reflected in the annual valuation and the amount to which might otherwise have been shown cannot be separately identified.
Fixed Asset and Depreciation
The tangible fixed assets are stated at cost less depreciation.
Depreciation has been provided at the following rates in order to write off the assets (less their expected value) over their estimated useful lives.
A regular annual review of the likelihood of asset impairment is undertaken.
The principal annual rates used for depreciation are as follows:
| Land and Building | 0% per annum straight line. |
|---|---|
| Office Equipment | 25% per annum straight line. |
| Fixtures, fittings, tools and equipment | 25% per annum straight line. |
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OPEN DOOR BAPTIST CHURCH Notes to the Financial Statements for the year ended 5 April 2022
Capital Grants
The Board of Trustees considers that, in order to comply with the Statement of Recommended Practice for Accounting and Reporting issued by the Charity Commissioners for England and Wales (effective October 2000), grants of a capital nature given for specific purposes and fully utilised in the furtherance of the purposes of the charity should be credited to the fixed assets fund after the funds have been properly expended on the restricted purpose. The related assets is shown in the balance sheet at the cost of acquisition or subsequent valuation.
The related assets are subject to restrictions by the grant making organisation on their use and disposal, and these restrictions are noted in the fixed asset section of these accounts. The fixed asset fund so created is treated as a restricted fund.
Taxation
As a charity, the organisation is exempt from income and corporation tax to the extent that its income and gains are applicable to charitable purposes only. Value Added Tax (VAT) is not recoverable by the organisation, and is therefore included in the relevant costs in the Statement of Financial Activities.
Funds Structure Policy
The charity maintains a general unrestricted fund which represents funds which are expendable at the discretion of the trustees in furtherance of the objects of the charity. Such funds may be held in order to finance both working capital and capital investment.
Restricted funds have been provided to the charity for particular purposes, and it is the policy of the trustee to carefully monitor application of those funs in accordance with the restrictions placed upon them.
There is no formal policy on the allocation of funds to designated funds.
There is no formal policy to transfer between funds, other than that described under the Capital Gains policy above. Any proposed transfer between funds would be considered on the particular circumstances.
Analysis of incoming resources and analysis of management and administration costs
The details required by the Statement of Recommended Practice for the Accounting and Reporting issued by the Charity Commissioners for England and Wales are shown in the detailed schedule to the Statement of Financial Activities on pages………..
| Staff costs and Emoluments Salaries and wages PAYE & National Insurance Cont. Pension Contributions Number of full time employees or full time equivalents |
2022 £ 591 3,709 4,300 1 |
2021 £ 15882 3421 7663 26,966 1 |
|---|---|---|
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OPEN DOOR BAPTIST CHURCH Notes to the Financial Statements for the year ended 5 April 2022
There were no employees with emoluments in excess of £50,000 per annum.
2 Tangible fixed assets
| Cost At 6 April 2021 Additions At 5 April 2022 Depreciation At 6 April 2021 Charge for the year At 5 April 2022 Net book value At 5 April 2022 At 5 April 2021 3 Other Debtors Construction of Manse Historical Debt 4 Loan Creditors Amount at 6 April 2021 Additional Loan Interest re-payment on loans Balances outstanding 5 April 2022 5 Accruals and amounts payable within one year Loan creditors (as per note 2) Accountancy fees Repairs and Maintenance |
Church Building £ 1,817,369 - 1,817,369 1,386,370 - 1,386,370 430,999 430,999 |
Manse £ 168,653 - 168,653 164,653 - 164,653 4,000 4,000 |
Equipment's, Fixtures & Musical Instruments £ 113,218 - 113,218 102,846 4,015 106,861 6,357 10,372 2022 £ 19,505 5,266 24,771 2022 £ 3,179 - (408) 2,771 2022 £ 2,771 800 - 3,571 |
Total £ 2,099,240 - 2,099,240 1,653,869 4,015 1,657,884 441,356 445,371 2021 £ - 5,266 5,266 2021 £ 3,179 - - 3,179 2021 £ 3,179 800 132 4,111 |
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OPEN DOOR BAPTIST CHURCH Notes to the Financial Statements for the year ended 5 April 2022
| 6 Incoming Resources Grant, Legacies & Donations Tithes & offering Anniversary & Thanksgiving Gift aid receivable Other donations Church building funds HMRC JRS Grant Charity shop contribution |
Unrestricted funds £ 18,017 5,340 12,530 2,931 9,000 47,818 |
Restricted funds £ 345 345 |
2022 Total funds £ - 18,017 5,340 - 12,530 345 2,931 9,000 48,163 |
2021 Prior year total funds £ 5,500 37,847 2,552 11,962 1,440 1,815 6,400 9,000 76,516 |
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Charitable Expenditure - Cost of activities in furtherance of the
| 7 charity's objectives Manse expenses Children & Youth Ministry Depreciation Music & Publicity Missions support & outreach Honorarium Telephone, Fax & Internet Training & Development Seminars, Conf. & Revivals Repairs & Maintenance Water, Gas & Electricity Insurance Governance cost Social & Entertainment Subscriptions & Licences Printing, postage & stationery Welfare donations Anniversary expense 8 Capital & Reserve At 6 April 2021 Net movement in funds At 5 April 2022 |
Unrestricted funds £ 60,648 17,188 77,836 |
Restricted funds £ 394,234 345 394,579 |
2022 £ 969 60 4,015 1,305 509 1,100 1,113 4,407 2,078 6,365 1,854 1,741 814 26,330 2022 Current Year Total £ 454,882 17,533 472,415 |
2021 £ 3,981 100 4,722 2,769 375 - 2,233 - - 4,407 4,701 5,601 870 - 102 528 15,558 - 45,947 2021 Prior Year Total £ 451,280 3,602 454,882 |
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