DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
**COMPANY REGISTRATION NUMBER: 07413901 CHARITY REGISTRATION NUMBER: 1139322**
## **The AA Trust**
## **Company Limited by Guarantee**
## **Unaudited Financial Statements**
**For the period ended**
**30 September 2022**
**COHEN ARNOLD**
Chartered Accountant New Burlington House 1075 Finchley Road LONDON NW11 0PU
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Financial Statements**
**Period from 1 November 2021 to 30 September 2022**
||**Page**|
|---|---|
|Trustees' annual report (incorporating the director's report)|**1**|
|Independent examiner's report to the trustees|**4**|
|Statement of financial activities (including income and expenditure||
|account)|**5**|
|Statement of financial position|**6**|
|Notes to the financial statements|**7**|
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Trustees' Annual Report (Incorporating the Director's Report)**
## **Period from 1 November 2021 to 30 September 2022**
The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the period ended 30 September 2022.
## **Reference and administrative details**
**Registered charity name** The AA Trust **Charity registration number** 1139322 **Company registration number** 07413901 **Principal office and registered** Lower Ground Floor **office** 43 Stamford Hill London N16 5SX **The trustees** Mr A Lipschitz Mrs D Ost Mrs E Lipschitz **Independent examiner** Asher Sternlicht, FCA Cohen Arnold New Burlington House 1075 Finchley Road LONDON NW11 0PU
## **Structure, governance and management**
## **Structure**
The charity is an incorporated entity limited by guarantee established on 20 October 2010.
The Trustees administer the day-to-day affairs of the Charity. All Trustees give their time voluntarily and no benefit or expense was paid to them in the year.
## **Governance and management**
The Articles of Association provide for a minimum of three trustees. It is not currently the intention of the Trustees of the Charity to appoint new Trustees. Should the situation change in the future, the Trustees will provide suitable recruitment training and induction procedures.
## **Risk management**
The Trustees have identified and reviewed the major risks to which the Charity is exposed, in particular those relating to the operations and finances of the Charity, and are satisfied that the systems are in place to manage those risks.
**- 1 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **Objectives and activities**
## **Objectives**
The company is established to further those purposes for the public benefit as are exclusively charitable according to the laws of England and Wales as the trustees may determine and in particular, but not exclusively,:
1. The relief of poverty particularly but not exclusively among persons of the Jewish faith in any part of the world.
2. The advancement of the Jewish religion in any part of the world.
3. The advancement of the education of the public in any part of the world in the knowledge of the Jewish religion and Jewish history and culture.
4. Such other charitable purposes for the benefit of persons particularly but not exclusively of the Jewish faith in any part of the world as the trustees shall from time to time decide.
## **Activities**
The charity makes grants to various institutions and bodies which are identified by the trustees as advancing the objectives of the charity.
The charity's principal income was generated from the charity's investment properties.
## **Public benefit**
The trustees have considered the Charity Commission's guidance on public benefit and consider that the charity conforms with them.
## **Achievements and performance**
During the year the charity continued its philanthropic activities and its support of its charitable objects with grants and donations totalling £150,192.
## **Financial review**
The financial position of the charity is satisfactory.
The charity's financial statements show a net surplus of £2,548 (2021: £5,340) and total reserves of £1,804,035 (2021: £1,801,487). Income from donations aggregated £55,090. Net income from the charity's investment properties aggregated £132,571.
The financial results of the charity's activities for the year to 30 September 2022 are fully reflected in the attached financial statements together with the notes thereon.
## **Investment policy**
The trustees have set a policy that the expendable endowment should be invested so as to maximise the total return with a low level of risk.
## **Reserves policy**
It is the policy of the charity to maintain unrestricted funds at a level which the Trustees consider appropriate after taking account of its future commitments.
## **Plans for future periods**
The Charity plans to continue the activities outlined above in the forthcoming years subject to satisfactory incoming resources.
**- 2 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Trustees' Annual Report (Incorporating the Director's Report)** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **Small company provisions**
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
The trustees' annual report was approved on 17 July 2023 and signed on behalf of the board of trustees by:
Mr A Lipschitz Trustee
**- 3 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Independent Examiner's Report to the Trustees of The AA Trust**
## **Period from 1 November 2021 to 30 September 2022**
I report to the trustees on my examination of the financial statements of The AA Trust ('the charity') for the period ended 30 September 2022.
## **Responsibilities and basis of report**
As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements 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 the 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:
1. accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
2. the financial statements do not accord with those records; or
3. the financial statements 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
4. the financial statements 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.
Asher Sternlicht, FCA Cohen Arnold Independent Examiner
New Burlington House 1075 Finchley Road LONDON NW11 0PU
Date: 17 July 2023
**- 4 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Statement of Financial Activities (including income and expenditure account)**
## **Period from 1 November 2021 to 30 September 2022**
|||**Period from** **1 Nov 21 to**|**Period from** **1 Nov 21 to**|Year to|
|---|---|---|---|---|
|||**30 Sep 22**||31 Oct 21|
|||Unrestricted|||
|||funds**Total funds**||Total funds|
||**Note**|**£**|**£**|£|
|**Income and endowments**|||||
|Donations and legacies|**5**|55,090|**55,090**|10,900|
|Investment income|**6**|173,530|**173,530**|253,656|
|||-------------------------------------|-------------------------------------|-------------------------------------|
|**Total income**||228,620|**228,620**|264,556|
|||=====================================|=====================================|=====================================|
|**Expenditure**|||||
|Expenditure on raising funds:|||||
|Investment management costs||(40,959)|**(40,959)**|(85,032)|
|Expenditure on charitable activities||(185,113)|**(185,113)**|(174,184)|
|||-------------------------------------|-------------------------------------|-------------------------------------|
|**Total expenditure**||(226,072)|**(226,072)**|(259,216)|
|||=====================================|=====================================|=====================================|
|Net gains on investments|**8**|–|**–**|850,000|
|||-------------------------------------|-------------------------------------|-------------------------------------|
|**Net income and net movement in funds**||2,548|**2,548**|855,340|
|||=====================================|=====================================|=====================================|
|**Reconciliation of funds**|||||
|Total funds brought forward||1,801,487|**1,801,487**|946,147|
|||-----------------------------------------------|-----------------------------------------------|-----------------------------------------------|
|**Total funds carried forward**||1,804,035|**1,804,035**|1,801,487|
|||===============================================|===============================================|===============================================|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
**The notes on pages 7 to 12 form part of these financial statements.**
**- 5 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Statement of Financial Position**
## **30 September 2022**
|||**30 Sep**|**22**|31 Oct|21|
|---|---|---|---|---|---|
||**Note**|**£**|**£**|£|£|
|**Fixed assets**||||||
|Investments|**11**||**2,750,000**||2,750,000|
|**Current assets**||||||
|Debtors|**12**|**6,154**||8,311||
|Cash at bank and in hand||**4,495**||20,697||
|||-------------------------------||-------------------------------||
|||**10,649**||29,008||
|**Creditors: amounts falling due**||||||
|**within one year**|**13**|**(68,618)**||(49,842)||
|||-------------------------------||-------------------------------||
|**Net current liabilities**|||**(57,969)**||(20,834)|
||||-----------------------------------------------||-----------------------------------------------|
|**Total assets less current liabilities**|||**2,692,031**||2,729,166|
|**Creditors: amounts falling due after**||||||
|**more than one year**|**14**||**(887,996)**||(927,679)|
||||-----------------------------------------------||-----------------------------------------------|
|**Net assets**|||**1,804,035**||1,801,487|
||||===============================================||===============================================|
|**Funds of the charity**||||||
|Unrestricted funds|||**1,804,035**||1,801,487|
||||-----------------------------------------------||-----------------------------------------------|
|**Total charity funds**|**15**||**1,804,035**||1,801,487|
||||===============================================||===============================================|
For the period ending 30 September 2022 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
- The members have not required the company to obtain an audit of its financial statements for the period in question in accordance with section 476;
- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the board of trustees and authorised for issue on 17 July 2023, and are signed on behalf of the board by:
Mr A Lipschitz Trustee
**The notes on pages 7 to 12 form part of these financial statements.**
**- 6 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust Company Limited by Guarantee**
## **Notes to the Financial Statements**
## **Period from 1 November 2021 to 30 September 2022**
## **1. General information**
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is Lower Ground Floor, 43 Stamford Hill, London, N16 5SX.
## **2. Statement of compliance**
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Companies Act 2006.
## **3. Accounting policies**
## **Basis of preparation**
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
## **Going concern**
There are no material uncertainties about the charity's ability to continue.
## **Disclosure exemptions**
The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102:
(a) No cash flow statement has been presented for the company.
(b) Disclosures in respect of financial instruments have not been presented.
## **Judgements and key sources of estimation uncertainty**
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
**- 7 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Notes to the Financial Statements** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **3. Accounting policies** _**(continued)**_
## **Resources expended**
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
- expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
- expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
- other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
## **Financial instruments**
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.
Debt instruments are subsequently measured at amortised cost.
## **4. Limited by guarantee**
The AA Trust is a company limited by guarantee and accordingly does not have a share capital.
Every member of the company undertakes to contribute such amount as may be required not exceeding £1 to the assets of the company in the event of its being wound up while he or she is a member, or within one year after ceasing to be a member.
**- 8 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Notes to the Financial Statements** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **5. Donations and legacies**
|**5.**|**Donations and legacies**|||||
|---|---|---|---|---|---|
|||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|||Funds|**2022**|Funds|2021|
|||£|**£**|£|£|
||**Donations**|||||
||Donations|55,090|**55,090**|10,900|10,900|
|||===============================|===============================|===============================|===============================|
|**6.**|**Investment income**|||||
|||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|||Funds|**2022**|Funds|2021|
|||£|**£**|£|£|
||Income from investment properties|173,530|**173,530**|253,656|253,656|
|||=====================================|=====================================|=====================================|=====================================|
|**7.**|**Analysis of grants**|||||
||||||**Period from**|
||||||**1 Nov 21 to**|
||||||**30 Sep 22**|
||||||**£**|
||**Grants to institutions**|||||
||Kollel Yeshuas Chaim||||**24,985**|
||British Friends of Chatzer Hakodesh|Viznitz|||**18,000**|
||The Grosvenor Foundation Limited||||**10,000**|
||The North West London Talmudical|College Limited|||**9,000**|
||Kahal Chassidim Bobov||||**8,600**|
||Mifal Hachesed Vehatzedokoh||||**6,000**|
||Ovos Ubonim/Yagdil Torah||||**5,500**|
||Shir Chesed Beis Yisroel||||**5,350**|
||Keren Chochmas Shloma Trust||||**5,000**|
||Bederech Kovod||||**5,000**|
||Friends of Bobov||||**4,210**|
||Keren Shlomo Trust||||**3,800**|
||The Z.S.V. Trust||||**3,720**|
||UTRY||||**3,600**|
||Ateres||||**3,500**|
||Other grants below £3,000||||**30,752**|
||||||-------------------------------------|
||||||**147,017**|
||**Grants to individuals**|||||
||Grants to individuals||||**3,175**|
||||||-------------------------------------|
||Total grants||||**150,192**|
||||||=====================================|
Grants were made in pursuit of the charity's objects in the fields of religion, education and the relief of poverty.
**- 9 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Notes to the Financial Statements** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **8. Net gains on investments**
|**8.**|**Net gains on investments**|||||
|---|---|---|---|---|---|
|||Unrestricted|**Total Funds**|Unrestricted|Total Funds|
|||Funds|**2022**|Funds|2021|
|||£|**£**|£|£|
||Gains on investment property|–|**–**|850,000|850,000|
|||================|================|=====================================|=====================================|
|**9.**|**Independent examination fees**|||||
|||||**Period from**||
|||||**1 Nov 21 to**|Year to|
|||||**30 Sep 22**|31 Oct 21|
|||||**£**|£|
||Fees payable to the independent|examiner for:||||
||Independent examination of the|financial statements||**3,180**|3,300|
|||||==========================|==========================|
## **10. Trustee remuneration and expenses**
No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.
## **11. Investments**
|**Investments**||
|---|---|
||**Investment**|
||**properties**|
||**£**|
|**Fair value**||
|**At 1 November 2021 and 30 September 2022**|**2,750,000**|
||===============================================|
|**Impairment**||
|**At 1 November 2021 and 30 September 2022**||
|**Carrying amount**||
|**At 30 September 2022**|**2,750,000**|
||===============================================|
|At 31 October 2021|2,750,000|
||===============================================|
All investments shown above are held at valuation.
## **Investment properties**
Investment property is initially recorded at cost, which includes purchase price and any directly attributable expenditure. Investment property is revalued to its fair value at each reporting date by the trustees and any changes in fair value are recognised in profit or loss.
## **12. Debtors**
|**Debtors**|||
|---|---|---|
||**30 Sep 22**|31 Oct 21|
||**£**|£|
|Prepayments and accrued income|**953**|874|
|Other debtors|**5,201**|7,437|
||--------------------------|--------------------------|
||**6,154**|8,311|
||==========================|==========================|
**- 10 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Notes to the Financial Statements** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **13. Creditors: amounts falling due within one year**
|**Creditors:** **amounts falling due within one year**|||
|---|---|---|
||**30 Sep 22**|31 Oct 21|
||**£**|£|
|Mortgage loans|**22,298**|31,000|
|Trade creditors|**–**|1,234|
|Accruals and deferred income|**6,480**|6,000|
|Other creditors|**39,840**|11,608|
||-------------------------------|-------------------------------|
||**68,618**|49,842|
||===============================|===============================|
|**Creditors:** **amounts falling due after more than one year**|||
||**30 Sep 22**|31 Oct 21|
||**£**|£|
|Mortgage loans|**765,729**|777,746|
|Bank loans and overdrafts|**26,667**|35,833|
|Other creditors|**95,600**|114,100|
||-------------------------------------|-------------------------------------|
||**887,996**|927,679|
||=====================================|=====================================|
## **14. Creditors: amounts falling due after more than one year**
## **15. Analysis of charitable funds**
## **Unrestricted funds**
|**Unrestricted funds**||||||
|---|---|---|---|---|---|
||At||||**At 30**|
||1 November|||Gains and|**September**|
||2021|Income|Expenditure|losses|**2022**|
||£|£|£|£|**£**|
|General funds|409,541|228,620|(226,072)|–|**412,089**|
|Fair value reserve|1,391,946|–|–|–|**1,391,946**|
||-----------------------------------------------|-------------------------------------|-------------------------------------|----------------|-----------------------------------------------|
||1,801,487|228,620|(226,072)|–|**1,804,035**|
||===============================================|=====================================|=====================================|================|===============================================|
||At||||At 31|
||1 November|||Gains and|October|
||2020|Income|Expenditure|losses|2021|
||£|£|£|£|£|
|General funds|404,201|264,556|(259,216)|–|409,541|
|Fair value reserve|541,946|–|–|850,000|1,391,946|
||-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|-----------------------------------------------|
||946,147|264,556|(259,216)|850,000|1,801,487|
||=====================================|=====================================|=====================================|=====================================|===============================================|
**- 11 -**
DocuSign Envelope ID: 1BB01721-D221-495F-B0FF-5709E31CEB7C
## **The AA Trust**
## **Company Limited by Guarantee**
## **Notes to the Financial Statements** _**(continued)**_
## **Period from 1 November 2021 to 30 September 2022**
## **16. Analysis of net assets between funds**
|**Analysis of net assets between funds**|||
|---|---|---|
||Unrestricted|**Total Funds**|
||Funds|**2022**|
||£|**£**|
|Investments|2,750,000|**2,750,000**|
|Current assets|10,649|**10,649**|
|Creditors less than 1 year|(68,618)|
**(68,618)**|
|Creditors greater than 1 year|(887,996)|
**(887,996)**|
||-----------------------------------------------|-----------------------------------------------|
|**Net assets**|1,804,035|**1,804,035**|
||===============================================|===============================================|
||Unrestricted|Total Funds|
||Funds|2021|
||£|£|
|Investments|2,750,000|2,750,000|
|Current assets|29,008|29,008|
|Creditors less than 1 year|(49,842)|
(49,842)|
|Creditors greater than 1 year|(927,679)|
(927,679)|
||-----------------------------------------------|-----------------------------------------------|
|**Net assets**|1,801,487|1,801,487|
||===============================================|===============================================|
## **17. Related parties**
Donations received includes amounts aggregating £36,000 of donations from companies connected to the Trustees. No conditions were attached to any of the donations.
**- 12 -**