## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** Report and Unaudited Financial Statements for the year ended 31 December 2020 Charity registration number: 1138665 **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Contents of the financial statements for the year ended 31 December 2020** ||**Page**| |---|---| |Charity information|**2**| |Trustees’ report|**3 - 6**| |Independent examiner's report to the trustees|**7**| |Statement of financial activities|**8**| |Statement of financial position|**9**| |Notes to the financial statements|**10 - 12**| 1 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Charity information for the year ended 31 December 2020** ## **Reference and Administrative Information** Charity Name: Dar-Al-Arqam (House of Arqam) Trust Charity number: 1138665 Operational address: 543-545 Cable Street London E1W 3HB ## **Trustees** Rajib Ahmed Chairman Joynal Hussain Treasurer Mohamed Afzal Bhaktary Sayed Miah Bilal Sheikh Resigned on 15 May 2021 Appointed on 23 January 2021 ## **Principal professional advisers** ## **Bankers** HSBC Bank 75 Whitechapel Road London E1 1DU ## **Independent examiner** Maple Wharf Chartered Certified Accountants Unit 118, Craft Central The Forge 397-411 Westferry Road Isle of Dogs London, E14 3AE 2 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Trustees’ report for the year ended 31 December 2020** ## **Objectives and activities** The Trustees present their report and the financial statements for the year ended 31 December 2020. 1. To advance education and provide facilities, in particular but not exclusively for the Muslim community living in the United Kingdom, in the interests of social welfare for recreation and other leisure time occupation with the object of improving the conditions of life of such people. 2. To promote for the benefit of the public the culture and history of the Muslim community living the United Kingdom, in particular but not exclusively, the London boroughs of Tower Hamlets and Newham. ## **Trustees and officers** The following served as Trustees and Officers during the year. ## **Trustees** Rajib Ahmed Chairman Joynal Hussain Treasurer Mohamed Afzal Bhaktary Sayed Miah Resigned on 15 May 2021 Bilal Sheikh Appointed on 23 January 2021 ## **Trustees’ responsibilities** The Trustees are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and regulations. 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 Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Trust. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgments and accounting estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The Trustees are also responsible for keeping adequate accounting records that are sufficient to show and explain the Trust's transactions and disclose with reasonable accuracy at any time the financial position of the charity. 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 ensuring that adequate arrangements are in place to manage risk and uncertainty as expanded further on page 5. The Trustees confirm that they have paid due regard to the guidance contained in the Charity Commission’s general guidance on public benefit when setting the charity’s objectives and planning its activities. This report explains the Charity’s activities and demonstrates how they contribute to the Charity’s purposes and provide public benefit. 3 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Trustees’ report - continued for the year ended 31 December 2020** ## **Strategic report** ## **The main activities undertaken in relation to those purposes during the year:** - Deliver onsite courses - Deliver online courses - Produce and broadcast educational publications ## **The main activities undertaken during the year to further the charity's purpose for the public benefit:** The charity has benefited the public by carrying out its objectives. Courses were established, as much as COVID-19 rules permitted, and open to residents of Tower Hamlets, Newham and other boroughs. There was an increase in online courses due to COVID-19 lockdown measures. All courses were freely accessible to the public; they were delivered in various languages to reach the ethnically diverse population. In addition, educational materials were published in both short and long form media. There was also an increase in courses tailored to women to facilitate the growing female student base, and an accentuated increase in online activities during Ramadan to mitigate the impact of mosque closures on the Muslim community during the season. The trustees have had regard to the Charity Commission's guidance on public benefit in managing the activities of the charity. ## **The main achievements of the charity were as follows:** - Regular courses throughout the year - Increased courses for women - Increased online activities and outreach - Introduction of new programmes including Book Reading Clubs - Courses available free of charge for the public to benefit - Increased educational publications - Increased fundraising initiatives ## **The difference the charity's performance during the year has made to the beneficiaries of the charity:** The beneficiaries have benefited in many ways because of the performance of the charity. They have received training in personal development, Islamic academia, upskilling and spirituality. They have found solace in the services offered during a difficult pandemic. **The degree to which the achievements and performance during the year have benefited wider society:** The courses provided by the charity has benefited the society by facilitating learning in areas of personal development, Islamic academia, upskilling and spirituality, and ultimately increasing the utilitarian impact of our students and participants on the wider society. ## **The methods used to recruit and appoint new charity trustees:** There must be at least three trustees. Apart from the first trustees, every trustee must be appointed by a resolution of the trustees passed at a special meeting. In selecting individuals for appointment as trustees, the trustees must have regard to the skills, knowledge and experience needed for the effective administration of the charity. The trustees must make available to each new trustee, on his or her first appointment: 4 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Trustees’ report - continued for the year ended 31 December 2020** The trustees must make available to each new trustee, on his or her first appointment: - a copy of this deed and any amendments made to it; - a copy of the charity’s latest report and statement of accounts. ## **Financial review** The financial results are set out in the Statement of financial activities on page 8. The total income for the year amounted to £179,205. ## **Financial reserves** The Trustees will review reserves at least annually and maintain unrestricted reserves sufficient to maintain the Charity’s operations, in the event that income is unexpectedly reduced from current levels. The Trustees consider the probability of a reduction in and security of each source of income together with the ability to reduce the expenses. ## **Going concern** The Trustees consider that the Charity is in a strong position and is well placed to manage the operational risks. The current year surplus indicate that trustees have put adequate measures in place such as increased online courses, fundraising initiatives and cash flow projections taking into consideration the current economic climate and its potential impact on the various sources of income and planned expenditure, to mitigate risks especially those incurring from COVID-19 and lockdown measures. The Trustees therefore have a reasonable expectation that the organisation has sufficient resources to continue in operational existence for the foreseeable future and believe that there are no reasonable uncertainties that call into doubt the ability of Dar-Al-Arqam (House of Arqam) Trust to continue as a going concern. ## **Risk and uncertainty** The Trustees have overall responsibility for ensuring that the Charity has an appropriate system of controls, financial and otherwise. They are also responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and enable the financial statements comply with the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102). They are also responsible for safeguarding the assets of Dar-Al-Arqam (House of Arqam) Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reasonable assurance that: - The Charity is operating efficiently and effectively - Its assets are safeguarded against unauthorised use or disposition - Proper records are maintained and financial information used within the charity or for publication is reliable - The Trust complies with relevant laws and regulations 5 DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST Trustees, report - contlnued for the year ended 31 December 2020 The systems of Internal control are desl8ned to provlde reasonable. but not absolute. assurance a8alnst materlal mlsstatement or loss. They Include: Conslderatlon by the Truslees of flnanclal results and cash flow foretasts Delegatlon of authorlly and segregatlon of dutles, Includlng that all payments requlre the approval of two authorlsed slgnatorles Identlflcatlon and management of rlsks The Tru51ees have examlned the major rlsks whlch Dar-Al-Arqam (House of Arqaml Trust faces and confirm they have establlshed procedures to ensure re8ular reportin8 takes place so that necessary step5 can be undertaken to mlnlmise rlsks. Independent examlner Each of the persons who Is a Trustee at the date when thls report Is approved conflrms that: So far as the Tru5tee15 aware, there Is no relevant Informatlon of whlch the Independent examlner Is unaware: and The Trustee has taken all the step5 helshe ought to have taken as a Trustee to make hlmselflherself aware of any relevant Informailon and to establlsh that the charIt￿S Independent examiner Is aware of that information Maple Wharf Llmlted has expressed Its wllllngness to contlnue as Independent exèmlner for the next financial year. Acknowledgements The Trustees would like to take thls opportunity to thank everyone who ha$ shown thelr dedicatlon and commitment to ourcharity. The Trustee5' Report the￿in ha5 been approved by the Trustees on examlnatlon, and slgned on thelr behaw by.. . after independent RaJlbAhmed Chalrman ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Independent examiner's report** ## **to the trustees of Dar-Al-Arqam (House of Arqam) Trust for the year ended 31 December 2020** I report on the accounts of the charity for the year ended 31 December 2020 which are set out on pages 8 to 12. ## **Responsibilities and basis of report** The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. ## **It is my responsibility to:** - examine the accounts under section 145 of the 2011 Act - to follow the procedures laid down in the general Directions given by the commission under section 145(5)(b) of the 2011 Act - to state whether particular matters have come to my attention ## **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 that in any material respect: - the accounting records were not kept in accordance with section 130 of the Charities Act; or - the accounts do not accord with those records; or - the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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. - 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. --------------------------------------- Zuber Ahmed ## **Maple Wharf Limited** Unit 118, Craft Central The Forge 397-411 Westferry Road Isle of Dogs London, E14 3AE _________________ 2021 28 September 7 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Statement of financial activities for the year ended 31 December 2020** |**Note**
**INCOMING RESOURCES**
Donations
**3**
Other activities
**Total incoming resources**
**RESOURCES EXPENDED**
Expenditure on the management and
administration of the charity
**4**
**Total resources expended**
**NET MOVEMENTS IN FUNDS**
**TOTAL FUNDS brought forward**
**TOTAL FUNDS carried forward**|**Restricted**
**Funds**
-
-
-
-
-
-
-
**-**|**2020**
**Unrestricted**
**Funds**
166,646
12,559
**179,205**
(47,709)
**(47,709)**
**131,496**
**20,080**
**151,576**|**Total**
**Funds**
166,646
12,559
**179,205**
(47,709)
**(47,709)**
**131,496**
**20,080**
**151,576**|**2019**
**Total**
**Funds**
**38,851**
**10**| |---|---|---|---|---| |||||**38,861**| |||||**(34,261)**| |||||**(34,261)**| |||||**4,600**
**15,480**| |||||**20,080**| 8 DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST Statement of financial position As at 31 December 2020 Note NonRent
Rates
Service charge
Building insurance
Heat and light
Repairs and maintenance
Freelancers
Printing and stationery
Travel and subsistence
Salaries and wages
Training
Accountancy
IT, software and equipment
Legal and professional
Sundry expenses
Bank fees
Telephone
Depreciation|**2020**
**£**
216
22,000
-
2,443
-
1,062
597
7,707
64
24
8,392
1,015
720
1,616
-
59
57
456
1,281
**47,709**|**2019**
**£**
717
12,247
2,690
500
250
-
7,140
-
-
-
4,800
-
720
436
2,929
720
-
-
1,112| |---|---|---| |||**34,261**| ## **5** . **Trustees' remuneration** The trustees received £Nil remuneration. ## **6. Employee information** The member of staff employed by the charity was 1 (2019: 1). 11 ## **DAR-AL-ARQAM (HOUSE OF ARQAM) TRUST** ## **Notes to the financial statements - continued** ## **For the year ended 31 December 2020** ## **7. Property, plant and equipment** |**7. Property, plant and equipment**||| |---|---|---| |**Costs**
At 1 January 2020
Addition
At 31 December 2020
**Depreciation and impairment**
At 1 January 2020
Depreciation charged in the year
At 31 December 2020
**Carrying amount**
At 31 December 2020
At 31 December 2019
**8. Current assets**
Other receivables
Rent deposit
Prepayment
**9. Current liabilities**
Other taxation and social security|
**2020**
**£**
406

5,500
5,500
**11,406**
**2020**
**£**
142

**142**
|**£**
4,449
2,470| |||6,919| |||3,232
1,281| |||4,513| |||**2,406**| |||**1,217**| |||**2019**
**£**
-
5,500
5,500| |||**11,000**| |||**2019**
**£**
-| |||**-**| ## **10. Taxation** The Company is a registered charity and is exempt from taxation under the provision of the Income and Corporation Taxes Act 1988. 12