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2021-08-31-accounts

DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

Company Registered number: 07031673 Charity Registered number: 1137219

CAMBRIDGE MUSLIM COLLEGE LIMITED

(A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 AUGUST 2021

DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Contents Pages
Company information 1
Trustees' report 2 - 4
Auditors' report 5 - 7
Statement of financial activities 8
Balance sheet 9
Cash flow statement 10
Notes to the financial statements 11 - 18

DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) COMPANY INFORMATION

Trustees

Professor David Ford Professor Abdel Haleem Professor Lejla Demiri Dr Ali Almihdar Dr Sohaira Zahid Siddiqui Dr Muhammad Arfan Ismail (resigned 31 January 2021) Dr Timothy Winter (appointed 30 October 2020) Mustafa Davies (appointed 4 December 2021) Dr Haroon Sidat (appointed 4 December 2021)

COMPANY REGISTERED NUMBER

CHARITY REGISTERED NUMBER

07031673 (England and Wales)

1137219 (England and Wales)

REGISTERED OFFICE

14 St Paul's Road Cambridge CB1 2EZ

AUDITORS

Chater Allan LLP Statutory Auditors Beech House 4a Newmarket Road Cambridge CB5 8DT

PRINCIPAL BANKERS

HSBC Bank PLC 63-64 St Andrews Street Cambridge CB2 3BZ

SOLICITORS

Ashton Legal Solicitors Cambridge Chequers House 77-81 Newmarket Road Cambridge CBS BEU

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

Trustees/Directors

The Trustees are pleased to present the Trustees Report together with the financial statements of the charity for the year ended 31 August 2021, which are also prepared to meet the requirements for a Directors’ Report and accounts for Companies Act purposes. Members of the Board of Trustees are ‘Directors’ for the purposes of company law and ‘Trustees’ for the purpose of charity law. They will be referred to as Trustees throughout this document and for the purposes of the financial statements.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

Memorandum and Articles of Association Incorporated 28 September 2009.

Appointment of trustees

Election by simple majority. Candidates must be nominated by a member entitled to vote not less than fourteen or more than thirty five days before the date of the meeting. Such nomination to be signed by the nominator and the nominee accompanied by all details required by Companies house and the Charity Commission for England and Wales.

New trustees are made familiar with the College’s operations and other issues relevant to the trustees' duties.

Risk management

The agenda of each Annual General Meeting contains an item under which the trustees consider potential risks faced by the charity, which is considered sufficient to identify and manage risks facing the charity.

Arrangements for setting pay and remuneration of key management personnel

Cambridge Muslim College uses Cambridge University pay grade scale as a reference for setting pay and remuneration for its staff and key management personnel.

Day to day delegation of management

Working under the overall direction of the Board of Trustees, the College management team headed by the College Principal is entrusted to perform day to day functions of the College

OBJECTIVES AND ACTIVITIES

To advance the religion of Islam for the public benefit in accordance with the beliefs and practices of the four recognised Sunni schools of thought, including the provision of education and training of Muslim leaders and scholars to work in the United Kingdom and elsewhere, and through this to promote and advance religious and racial harmony within the United Kingdom.

PUBLIC BENEFIT

Free accommodation and/or living costs and tuition fees for on average 10-15 full-time students are available internally from the College for those who can demonstrate sufficient financial need (after taking into account any assistance that they may already be receiving from external scholarships).

The College serves not only the interests of the Muslim community but the wider community, by encouraging Muslim faith leaders to play a leading part in building bridges with other religious groups, in order to enhance social cohesion and mobility, and to overcome negative perceptions of Muslims in society. The College aims to facilitate access to higher education among its graduates.

The College welcomes applications from both genders, and intends to enhance greater participation by women in the life of the Muslim community.

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CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

DIRECTORS AND MEMBERS OF THE BOARD OF TRUSTEES

The Directors and Members of the Board of Trustees who served during the year were:

REVIEW OF ACTIVITIES

The second cohort of students for our BA in Islamic Studies, accredited by the Open University, have completed their first year of studies. The third cohort of BA students are currently undergoing their foundational year of Arabic Language tuition and will start the first year of BA studies in 2022/23. For this cohort we are bringing the Arabic Language course in-house. The BA was recently reaccredited by the Open University and our academic advisors continue to be very satisfied with its ongoing evolution.

Our new Postgraduate Diploma in Islamic Psychology has proven to be highly popular, resulting in a significant increase in quantity and calibre of applicants for the 2022/23 course which in turn has led to a significantly expanded intake.

The College arranged several public lectures and events (online and virtually) given by internationally-known speakers in various subject areas of interest to the College. More online courses are being developed, and it is hoped these will also serve to prove an effective shop-window for would-be future full-time students and/or future Patrons, Donors & supporters.

FINANCIAL REVIEW

Incoming resources for the year amounted to £3,340,426 (2020: £1,161,374), which was mainly comprised of donations. Expenditure amounted to £922,152 (2020: £823,720), mainly on education, teaching and scholarship activities.

The closing balance of total reserves is £6,356,787 which has increased from £3,931,503 from the previous year. Restricted reserves totalled £64,592 an increase of £62,085 in the previous year.

The company is dependent on donated income which by its very nature is an uncertain source of income. The Trustees aim to have a reserve level of approximately 6 months' of expenditure, slightly higher than if income was more certain. Unrestricted expenditure for 6 months is estimated at £349,411. Free reserves at the end of the year were £705,933.

PLANS FOR FUTURE PERIODS

The Trustees are very satisfied with the progress of the BA & the launch of the Postgraduate Diploma in Islamic Psychology, and therefore have approved the renewal of the Postgraduate Diploma for 2022/23. Further research activity is now being sponsored by the University of Birmingham and the John Templeton foundation, amongst others.

The Trustees are continuing to work on the launch of a revived taught Diploma in Contextual Islamic Studies, a further expansion of Research activity, online/virtual Continuing Education courses and exploring avenues for securing endowments for the College. Recently the College has started to hold outdoor events, and with the expansion of student activity that all of this entails, the College has been raising funds to expand its facilities.

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CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) TRUSTEES' REPORT FOR THE YEAR ENDED 31 AUGUST 2021

GOING CONCERN

COVID 19 has had an impact on the College being able to hold events, in-house face-to-face tuition, and rental income. All external events have been postponed or cancelled until recently, however the College had continued to provide a first-class education to its students during this difficult period whilst ensuring the safety and wellbeing of its students and staff in doing so. COVID-19 hasn't had a significant financial impact on the College, with face-to-face events having been replaced by online/virtual events and courses, face-to-face tuition being replaced by video conferencing, and rental income not being a significant source of income. The encouraging news is that worst of the pandemic appears to be behind us now and to that end we have successfully reintroduced face-to-face tuition and events. No-one will miss the pandemic, however it has enabled the College to reach out to a wider audience through developing its online content. Thanks to this and the continued generous support of its benefactors, the College remains in a stable financial position with no risk to its ability to continue its operations as a going concern.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The Trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charitable company and of the income, expenditure and financial activities of the charity for that year. In preparing these financial statements, the Trustees are required to:

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

So far as the trustees are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the charity’s auditors are unaware, and each trustee has taken steps that he or she ought to have taken as a trustee in order to make himself or herself aware of any relevant audit information and to establish that the charity’s auditors are aware of that information.

Auditors

The auditors, Chater Allan LLP will be proposed for re-appointment at the forthcoming Annual General Meeting.

This report, which has been prepared in accordance with the Statement of Recommended Practice – Accounting and Reporting by Charities and in accordance with the special provisions of Part 15 of the Companies Act 2006 applicable to small entities.

This report was approved by the Trustees on 26th May 2022 and signed on their behalf, by:

………………………………………………….

Dr Sohaira Zahid Siddiqui Trustee

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee)

Opinion

We have audited the financial statements of Cambridge Muslim College, (the charitable company) for the year ended 31 August 2021 which comprise Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements, including a summary of 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:

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 charitable company 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 charitable company'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 trustees are responsible for the other information. The other information comprises the information included in the trustees' annual report , other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee)

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 to required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company 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 charitable company’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 regulations made under section 154 of that act

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee)

Auditor’s responsibilities for the audit of the financial statements (continued)

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the annual financial statements from our general commercial and company specific experience, through discussion with the Directors (as required by auditing standards), and from inspection of the company's regulatory correspondence, and we discussed with the Directors the policies and procedures regarding compliance with laws and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indication to non-compliance throughout the audit; the audit team are deemed both competent and capable of identifying non-compliance with rules and regulations.

The potential effect of these laws and regulations on the annual financial statements varies considerably. Firstly, the company is subject to laws and regulations that directly affect the annual financial statements including financial reporting legislation and taxation legislation, and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related annual account items. Secondly, the company is subject to other laws and regulations where the consequences of non-compliance could have a material effect on the amounts or disclosures in the financial statements, for instance non-compliance with industry regulations. We assessed the risk of fraud in the financial statements through discussion with management and from our experience of the company. We communicated identified fraud risk areas throughout our team and remained alert to any indication of fraud throughout the audit. In particular, we assessed the potential impact of the global pandemic known as Covid-19 on the risk of fraud. We did not identify any instances of fraud during the course of our audit.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and inspection of regulatory and legal correspondence, if any. Through these procedures, we did not become aware of any actual or suspected non-compliance with laws and regulations. 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.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilites. This description forms part of our auditors report

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members 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 charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Naomi Hedger (Senior Statutory Auditor) For and on behalf of Chater Allan LLP Chartered Accountants & Statutory Auditors Beech House 4a Newmarket Road Cambridge CB5 8DT

30 May 2022 Date:

Chater Allan LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) STATEMENT OF FINANCIAL ACTIVITIES (Incorporating the Income and Expenditure Account) FOR THE YEAR ENDED 31 AUGUST 2021

Notes
Income from:
Grants and donations
2
Charitable activities
4
Other trading activities
3
Total income
Expenditure on:
Charitable activities
5
Total expenditure
7
Net (losses)/gains on investments
Net income/(expenditure)
Transfer between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
£
2,932,803
110,098
9,439
3,052,340
712,322
712,322
7,010
2,347,028
16,171
2,363,199
3,928,996
6,292,195		 Restricted
Fund
£
226,892
59,844
1,350
288,086
209,830
209,830
-
78,256
(16,171)
62,085
2,507
64,592		 2021
2020
Total
Total
Funds
Funds
£
£
3,159,695
978,670
169,942
116,475
10,789
66,229
3,340,426
1,161,374
922,152
823,720
922,152
823,720
7,010
3,582
2,425,284
341,236
-
-
2,425,284
341,236
3,931,503
3,590,267
6,356,787
3,931,503

Continuing Operations

None of the charity's activities were discontinued during the current or previous year. All of the charity's activities are continuing.

The notes on pages 11 to 18 form part of these financial statements.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

Registered number: 07031673

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) BALANCE SHEET AS AT 31 AUGUST 2021

Notes
Fixed Assets
Tangible assets
10
Investments
11
Current Assets
Debtors
12
Cash at bank and in hand
Liabilities
Creditors: amounts falling due
within one year
13
Net Current Assets
Liabilities
Creditors: amounts falling due
14
within one year
Net Assets
The funds of the charity:
Restricted Funds
16
Unrestricted Funds
16
Total charity funds		 2021
£
5,688,748
67,343
5,756,091
24,572
991,832
1,016,404
(415,708)
600,696
-
6,356,787
64,592
6,292,195
6,356,787		 2020
£
3,581,992
62,479
3,644,471
83,853
644,355
728,208
(283,676)
444,532
(157,500)
3,931,503
2,507
3,928,996
3,931,503

The financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the board of directors on 26th May 2022 and signed on its behalf by:

Dr Sohaira Zahid Siddiqui Trustee

The notes on pages 11 to 18 form part of these financial statements.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 AUGUST 2021

2021 2020
£ £
Cash flows from operating activities:
Net cash provided by operating activities 2,535,281 331,779
Cash flows from investing activities:
Acquisition of investments (797) (863)
Disposal of investments 2,943 -
Purchase of property, plant and equipment (2,189,950) (9,658)
Net cash provided by investing activities (2,187,804) (10,521)
Change in cash and cash equivalents in the
reporting period 347,477 321,258
Cash and cash equivalents at the beginning
of the reporting period 644,355 323,097
Cash and cash equivalents at the end of the
reporting period 991,832 644,355
Cash and cash equivalents at the end of the
reporting period
Cash at bank and in hand 991,832 644,355
991,832 644,355
Reconciliation of net income/(expenditure) to net cash flow from operating activities
2021 2020
£ £
Net income/ (expenditure) for the reporting period 2,425,284 341,236
Adjustments for:
Depreciation charges 83,194 73,126
(Gains)/losses on investments (7,010) (3,582)
(Increase)/decrease in debtors 59,281 8,017
Increase/(decrease) in creditors (25,468) (87,018)
Net cash provided by operating activities 2,535,281 331,779

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. STATEMENT OF ACCOUNTING POLICIES

1.1 Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention, as modified by the revaluation of investments, and in accordance Financial Reporting Standard 102 – 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' ('FRS 102'), 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 (FRS102) (effective 1 January 2015) and the Companies Act 2006.

Cambridge Muslim College meets the definition of a public benefit entity under FRS 102.

The presentation currency of the financial statements is the Pound Sterling (£).

1.2 Company status

The company is limited by guarantee. The members of the company are the trustees named on page 1. In the event of the company being wound up, the liability in respect of the guarantee is limited to £10 per member of the company.

1.3 Fund accounting

General funds are unrestricted funds which are available for use at the direction of the trustees in the furtherance of the general objectives of the company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the company for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

1.4 Income

Voluntary income including donations, gifts and legacies and grants that provide core funding or are of a general nature are recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability. Such income is only deferred when:

Investment income is included when receivable.

1.5 Expenditure

All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources. Expenditure includes any VAT which cannot be fully recovered.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

1. STATEMENT OF ACCOUNTING POLICIES (CONTINUED)

1.6 Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.7 Creditors and provisions�

Creditors and provisions are recognised where Cambridge Muslim College has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

1.8 Going concern

The Trustees have a reasonable expectation that the college has adequate resources to continue in operational existence for the foreseeable future. The Trustees have considered the potential impact on the company of the current global pandemic known as COVID-19. In the opinion of the Trustees there will be no material adverse effect on the company's ability to continue. The trustees believe the company is well placed to manage its business risks successfully despite the current uncertain economic outlook. Accordingly, they continue to adopt the going concern basis in preparing the annual report and accounts.

1.9 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Land Not depreciated Building 2% per annum straight line Furniture and equipment 25% per annum straight line

The Trustees have estimated the value of land in proportion to the land and building and have considered that an estimate of 20% of the original purchase costs is reasonable and should not be depreciated.

1.10 Investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

All gains and losses are taken to the SOFA as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value (purchase date if later). Unrealised gains and losses are calculated as the difference between the fair value at the year end and opening carrying value (purchase date if later).

Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

Unrestricted Restricted 2021 2020
funds Fund Total Total
£ £ £ £
2. DONATIONS AND LEGACIES
Donations 2,932,803 226,892 3,159,695 978,670
2,932,803 226,892 3,159,695 978,670
3. TRADING ACTIVITIES
Rental income 8,776 1,350 10,126 64,208
Other trading activities 663 - 663 2,021
9,439 1,350 10,789 66,229
4. INCOME FROM CHARITABLE ACTIVITIES
Education and teaching 110,098 59,844 169,942 116,475
110,098 59,844 169,942 116,475
5. CHARITABLE EXPENDITURE AND GOVERNANCE COSTS
Education and teaching (including depreciation) 255,150 209,830 464,980 564,634
Support costs
(note 6)		 452,372 - 452,372 254,286
Governance costs 4,800 - 4,800 4,800
712,322 209,830 922,152 823,720
The charity incurs support costs in the form of fundraising and administration costs and are allocatted on a
50:50 basis between charitable activities and other general activities.
6. SUPPORT COSTS
Education and teaching 226,186 - 226,186 127,143
Other general activites 226,186 - 226,186 127,143
452,372 - 452,372 254,286

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

7. ANALYSIS OF RESOURCES EXPENDED BY EXPENDITURE TYPE

Staff costs
Depreciation Other Costs
& Amortisation
£
£
£
Education, teaching and admin
147,390
83,194
234,396
Support costs
202,628
-
249,744
Governance costs
-
-
4,800
350,018
83,194
488,940
8. NET INCOME
The excess of expenditure over income is stated after charging:
Depreciation of fixed assets - owned by the charity
Auditors' remuneration
9. STAFF COSTS
Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Project workers and administrative staff		 2021
Total
£
464,980
452,372
4,800
922,152
2021
£
83,194
4,800
2021
£
301,851
31,019
17,148
350,018
2021
8		 2020
Total
£
564,634
254,286
4,800
823,720
2020
£
73,126
4,800
2020
£
281,490
24,454
6,275
312,219
2020
9

No employee received remuneration totalling to more than £60,000 in either this year or the previous year.

One member of the Board received remuneration of £4,416 (2020: £49,260) in his then capacity as the Dean.

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

10. TANGIBLE FIXED ASSETS
10. TANGIBLE FIXED ASSETS
Freehold
Land and
Buildings
£
Cost:
At 1 September 2020
4,077,113
Additions
2,189,950
At 31 August 2021
6,267,063
Depreciation:
At 1 September 2020
509,981
Charge for year
76,105
At 31 August 2021
586,086
Net book value:
At 31 August 2021
5,680,977
At 31 August 2020
3,567,132
Fixed assets are all used for charitable purposes.
11. INVESTMENTS
At 1 September 2020
Additions
Disposals
Realised gains/(losses)
Unrealised (losses)/gains
At 31 August 2021
The historical cost of the investments at 31 August 2021 was £42,705.
12. DEBTORS
Prepayments and accrued income
Other debtors		 Furniture &
Equipment
£
54,644
-
54,644
39,784
7,089
46,873
7,771
14,860
2021
£
62,479
797
(2,943)
-
7,010
67,343
2021
£
5,422
19,150
24,572		 Total
£
4,131,757
2,189,950
6,321,707
549,765
83,194
632,959
5,688,748
3,581,992
2020
£
58,034
863
-
-
3,582
62,479
2020
£
3,164
80,689
83,853

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

13. CREDITORS: amounts falling due within one year
Social security and other taxes
Other creditors
Accruals and deferred income
Long term loan - current portion
The loan is payable by equal installements of £157,500 per annum.
The loan is secured on the Perne Road property.
14. CREDITORS: amounts falling due more than one year
Long term loan
15. ANALYSIS OF NET ASSETS BETWEEN FUNDS
Unrestricted
Restricted
Funds
Funds
£
£
Fixed assets
5,756,091
-
Current assets
951,812
64,592
Current liabilities
(415,708)
-
Long term loan
-
-
6,292,195
64,592
16. MOVEMENT IN FUNDS
At 1
September
Incoming
Outgoing
2020
Resources
Resources
£
£
£
Unrestricted Funds
3,928,996
3,052,340
(705,312)
Resticted Funds:
COSARAF Fund
-
4,000
(4,000)
Aziz Foundation Fund
1,891
56,609
(57,329)
-
15,000
-
BCI
-
51,844
(34,663)
Randeree
-
64,624
(64,624)
Al Tarmidhi Foundation
616
-
-
Templeton
-
51,009
(43,864)
Zouq Foundation
-
20,000
(3,850)
Salonica
-
15,000
(1,500)
Alassar
-
10,000
-
2,507
288,086
(209,830)
Total funds
3,931,503
3,340,426
(915,142)
Perne Road Fund (Balance
Sheet contribution)		 2021
£
9,219
7,594
241,395
157,500
415,708
-
-
2021
Total
£
5,756,091
1,016,404
(415,708)
-
6,356,787
Transfers
£
16,171
-
(1,171)
(15,000)
-
-
-
-
-
-
(16,171)
-		 2020
£
5,828
2,034
118,314
157,500
283,676
157,500
157,500
2020
Total
£
3,644,471
728,208
(283,676)
(157,500)
3,931,503
At 31
August
2021
£
6,292,195
-
-
-
-
17,181
-
616
7,145
16,150
13,500
10,000
64,592
6,356,787

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

17. Restricted Funds (continued)

COSARAF -The Donation will be used to fund one scholarship per academic year for the BA (Hons) in Islamic Studies at the Cambridge Muslim College. The scholarship will be known as the Sheikh Family Scholarship.

Aziz Foundation - Muslim Leadership Development - to support the employment of 1x Professor (90% of his salary), 1x College Lecturer and 1x Student Mentor/Chaplain.

Perne Road Fund (Balance Sheet contribution) - Donations received in the year to be spent on repaying the long term loan in respect of the 77 Perne Road acquisition.

BCI - All the course costs (eg. tuition, accommodation, living, materials etc.) of a student selected by the College.

Randeree - Tuition fees and related costs of designated students (excluding support they are getting from other external scholarships).

Al Tarmidhi Foundation - Tuition fees and living costs of one student.

Templeton - Defined research activity.

Zouq Foundation - Tuition and/or accommodation for financially needy students of any programme.

Salonica - Tuition and/or accommodation for financially needy students of any programme and research activity not already funded by other grants.

Alassar - Tuition and/or accommodation for financially needy students of any programme.

18. SHARE CAPITAL

The company is limited by guarantee and as such has no share capital.

19. RELATED PARTY TRANSACTIONS

The charity is not controlled by any one individual. During the year there were no material related party transactions.

20. OPERATING LEASE COMMITMENTS

OPERATING LEASE COMMITMENTS
2021 2020
At 31 August 2021, the company had the following operating lease commitments
Due less than one year 33,600 33,600
Due after more than one year - -
33,600 33,600

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DocuSign Envelope ID: B496241E-3FC0-43EE-93CE-F98B228F9145

CAMBRIDGE MUSLIM COLLEGE LIMITED (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2021

22. PRIOR YEAR STATEMENT OF FINANCIAL ACTIVITIES

Income from:
Donations and legacies
Charitable activities
Other trading activities
Total income
Expenditure on:
Charitable activities
Total expenditure
Net (losses)/gains on investments
Net income/(expenditure)
Transfer between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
£
770,535
99,675
21,820
892,030
603,789
603,789
3,582
291,823
50,000
341,823
3,587,173
3,928,996		 Restricted
2020
Fund
Total funds
£
£
208,135
978,670
16,800
116,475
44,409
66,229
269,344
1,161,374
219,931
823,720
219,931
823,720
-
3,582
49,413
341,236
(50,000)
-
(587)
341,236
3,094
3,590,267
-
2,507
3,931,503

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