EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
EASTWOOD ANABA MINISTRIES
FINANCIAL STATEMENT AS OF 31 DECEMBER 2022
CHARITY REGISTRATION: 1146397
1
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
Contents
| 1. | Trustees Report .......................................................................................................... 3 |
|---|---|
| 1.1 Source of Financing and allocation of funding..................................................... 5 |
|
| 2. | Accountants' Independent Report ............................................................................... 7 |
| 3. | Eastwood Anaba Ministries Annual Report for the year ended 31 December 2022 .... 8 |
| 3.1 Scope of Operation and Undertaken Activities .................................................... 8 |
|
| 3.2 Income and Expenditure Summary as of 31 December 2022 ............................... 8 |
|
| 3.3 Status of Position (Balance Sheet) as of 31 December 2022 ................................ 9 |
|
| 4 | Notes to the accounts: Year ended 31 December 2022 ............................................. 10 |
| 4.1 Accounting Policies ........................................................................................... 10 |
|
| 4.1.1 Basis of measurement and preparation of accounts ..................................... 10 |
|
| 4.1.2 Tangible Fixed Assets Depreciation Policy ................................................. 10 |
|
| 4.1.3 Income Recognition .................................................................................... 10 |
|
| 4.1.4 Expenditure ................................................................................................ 10 |
|
| 4.1.5 Valuation information and policy ................................................................ 10 |
|
| 4.2 Trustees Commitment ....................................................................................... 10 |
|
| 4.3 Detailed Income and Expense Performance Statement as of 31 December 2022 11 |
|
| 4.4 Fixed Asset and Depreciation as of 31 December 2022 ..................................... 12 |
2
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
1. Trustees Report
The report and financial statements for the year ending on 31 December 2022, are hereby presented by the Trustees of Eastwood Anaba Ministries (EAM). We are delighted to announce that during this fiscal year, our services experienced significant development and extension within our local community, as well as in our assistance to underprivileged children on a global scale.
Principal Focus:
The primary focus of EAM remains centred on Christ-centred ministry endeavours. Additionally, we are committed to serving humanity and the local community in a broader context. Within the United Kingdom, we have extended our humanitarian efforts and intentionally partnered with charities that support vulnerable individuals in our local communities.
Throughout the year, we organised various prayer and teaching conferences at regular intervals, which were well-attended. Furthermore, we offered training seminars for preachers and evangelists.
Challenges and Limitations:
While we successfully navigated various challenges during the financial year, our most significant obstacle has been the insufficient funding sources to meet the growing demand for our services, particularly in support of young gospel ministers dealing with social issues.
We are enthusiastic about expanding the reach of our support and offering training and education to volunteers whenever necessary. Nevertheless, our goals are frequently restricted by the financial resources at our disposal. The extensive lockdowns imposed in the UK due to the COVID-19 pandemic greatly curtailed our ability to host scheduled events until the latter part of the year. Consequently, we've had to readjust our prior aims and objectives in the aftermath of the COVID19 pandemic.
Achievements in the Year:
We successfully accomplished all our intended goals and initiatives, with a particular focus on maintaining and growing our membership numbers. The most significant hurdle, which was beyond our control, was the far-reaching impact of the COVID-19 pandemic. Owing to the multiple lockdowns enforced by national and local authorities, we extended our assistance to members by providing essential supplies to ease their challenges. In the aftermath of the COVID-19 pandemic, we are preparing to offer substantial support to numerous individuals and families, and we anticipate an increased emphasis on providing personal humanitarian aid to our members in the years ahead.
EAM Ghana manages EAM's activities in Ghana, and collectively, we helped many underprivileged children during the COVID-19 pandemic. This has now become the standard practice in the post-COVID-19 era. To streamline operations and cut down on expenses, our Trustees initiated a collaboration with other EAM organisations worldwide, notably EAM Ghana. Since EAM primarily relies on funding from global events, it was determined that EAM Ghana would assume responsibility for organising these events on our behalf, with both parties sharing
3
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
the hosting costs equitably. To further optimise costs, we made the decision to purchase event equipment rather than rent, with an asset capitalization period of 2 years. We invested £15,777.00 in event laptops, cameras, and accessories, and these assets are now under the supervision of EAM Ghana.
During the year, EAM maintained its earlier choice to suspend hosting events for television broadcasts until it became financially viable to justify the use of TV stations for event broadcasting. The funds previously allocated for TV broadcasting were redirected to enhance EAM's online presence, including platforms like YouTube, Zoom, and other social media channels recommended by our members. This approach substantially expanded our online footprint and our mission's reach, resulting in a notable increase in both membership and donations.
EAM Ghana's involvement in event management has led to a reduction of more than 35% in administrative and operational expenses compared to what would have been incurred in the UK. We anticipate a substantial increase in our equitable cost-sharing going forward, particularly in terms of investments in training and technology.
Building Project Participation
EAM typically organises indoor events that necessitate renting ceremonial halls in the UK, incurring substantial costs. Following consultations with PMCT Accountants & Consultants, it was unanimously agreed that a lasting solution was imperative. This led us to participate in ongoing building initiatives alongside other EAM affiliates worldwide. This project is estimated to take 5 years to complete, and upon its culmination, we will no longer be burdened with significant expenses for renting event venues for our frequent programs. To this end, we strategically planned and earmarked a sum as restricted funds starting in 2020, contributing £35,000.00 to the building project. The actual contribution was lower than expected due to limitations with our banking facilities.
Charitable Contributions:
In the United Kingdom, we allocated a minimum of £19,443.31 to our core activities, distributing these funds across three primary areas of support. We made charitable contributions of £6,000.00 to UK charities, including £1,000.00 to Great Ormond Street Hospital, £1,000.00 to Christian Against Poverty, £1,000.00 to Transforming Lives for Good, and £3,000.00 to Trinity Hope Centre for orphans. An additional £3,290.00 was designated for Christian ministries, £2,300.00 went towards aiding individuals stranded in Ukraine, and £7,853.31 was allocated to support our members and families in urgent need.
Continuing our commitment, we extended our assistance to Help Foundation, a charitable organisation based in Northern Ghana, where the need for support, especially among children, is particularly evident. Despite the ongoing demand for medium to long-term aid, we honoured our
4
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
commitment by contributing £28,884.13 to Help Foundation. This support was corroborated with video evidence, as per the recommendations of PMCT Accountants & Consultants.
EAM Trustees visit to Ghana
The Chairman of the EAM board, along with another trustee, visited Ghana to assess EAM's operations and activities in the region. During their visit to Ghana, EAM trustees journeyed to the northern parts of the country and spent time with the Help Foundation and many underprivileged children, especially those who have been orphaned or face challenges due to religious faith beliefs. It became clear that EAM's humanitarian support is making a more significant impact than initially anticipated, and the videos and photos documenting this were highly valued by EAM members. Following the trustees' visit, it became evident that more needs to be done to alleviate the effects of poverty on children. However, EAM faces constraints, both in terms of the availability of funds and the limitations of its banking facilities, in providing urgent humanitarian support.
1.1 Source of Financing and allocation of funding
We aim to diversify our sources of funding to reduce our heavy reliance on contributions from Eastwood Anaba Ministries members. Our goal is to seek external assistance, including claiming eligible Gift Aid on contributions from UK taxpayers, to meet the ever-growing demand for our services.
The strategic use of technology and the shifting of controllable expenses to EAM Ghana have several justifications. For example, our income has seen consistent growth, increasing from £32,530.00 in 2018 to £59,083.00 in 2019 (an increase of £26,553.00). In 2020, our income further rose by £61,161.00, reaching £120,244.00, and in 2021, it increased by £106,742.00 to £226,957.00. In 2022, our revenue was £210,134.00.
Our finances for the year ending on December 31, 2022, remained stable due to the relocation of events primarily to online platforms and the effective utilization of social media channels. Our income exceeded our projections, and we want to express our heartfelt gratitude to the generous donations and contributions of EAM members, who have largely funded our programs.
Since involving EAM Ghana, our income stream has grown significantly, rising from £32,530.00 in 2018 to £226,957.00 in 2021, representing an increase of £106,743.00 in 2021 from £120,244.00 in 2020. During the same period under consideration, costs increased by £113,647.00, going from £20,960.00 in 2018 to £134,607.00 in 2021, indicating an increase of £55,943.00 in 2021 from £78,664.00 in 2020. In summary, our net income since involving EAM Ghana in 2018 stands at £80,810.00, meaning that for every £1.00 spent, it generates a net income of £0.71 (71.11%).
Strategically involving EAM Ghana and making extensive use of social media and online broadcasts have played a major role in the substantial income growth, going from £20,930.00 in 2017 to £210,134.00 in 2022, marking an impressive increase of £189,204.00 or 904%. Furthermore, EAM's humanitarian and support efforts have continued to expand since 2017, with a remarkable growth of 942%.
5
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
To reduce costs, EAM will persist in hosting its events in Ghana, which comparatively lowers expenses while increasing income. Rather than duplicating the same cost elements in the UK, where expenses are even higher, we will contribute to long-term accommodation for administering and hosting our programs in Ghana. Based on a cost-benefit analysis, contributing the agreed annual amount of £25,000.00 since 2020 towards the EAM building project in Ghana is £20,000.00 more cost-effective than pursuing similar considerations in the UK. This reduction in administrative and operational costs, totalling £20,000.00, forms a part of EAM's committed annual support of £28,000.00 to alleviate poverty and improve literacy levels in Northern Ghana, in partnership with the Help Foundation in Ghana. This arrangement has been independently certified by PMCT Accountants & Consultants in both the UK and Ghana.
We have set aside £60,000.00 as a committed restricted reserve on our balance sheet. We are dedicated to contributing our fair share to the ongoing building projects that will host EAM events in Ghana until the project is completed, as it promises to save us costs in the medium to long term. Upon the project's completion, we plan to extend our current commitment to other humanitarian initiatives in the UK. With EAM's contribution to the ongoing building project, it is expected that, upon completion, there will be no significant rental expenses.
Enhancing the Diversity of Professional Resources
EAM has achieved considerable success in broadening its programs by collaborating with affiliated organizations and utilizing online and social media engagement to augment its revenue and income streams. EAM's event hosting allocations have continued to excel with significantly reduced operational costs. The utilization of on-site specialists for administration and management, as recommended by PMCT Accountants & Consultants, has proven to be remarkably effective.
The PMCT Accountants & Consultants office in Ghana has advised us to take proactive measures to mitigate risks by regularizing the availability and commitment of contractors to EAM projects, given that their fees offer a competitive advantage for EAM. This approach will help prevent the loss of specialized skill sets to non-governmental organizations operating across Africa. We aim to negotiate agreements with identified professionals, securing their exclusive commitment to EAM initiatives. We have also assured our members, who raised similar concerns, of our unwavering commitment to retaining experienced professionals and maintaining cost-effectiveness in our operations.
All in all, it has been a successful year, and we will continue to review our strategies and considerations.
Signed: kwadwoBossman
Kwadwo Twum-Bossman
Chairman of the Trust
For and on behalf of Trustees and Members of Eastwood Anaba Ministries Date: 19 October 2022
6
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
2. Accountants' Independent Report
In our capacity as accountants, we submit a report on the unaudited accounts to the Trustees of Eastwood Anaba Ministries. It is our duty to determine, based on the procedures outlined in the General Directions issued by the Charity Commissioners under section 43 (7) (b) of the Act, whether there are any matters that have come to our attention.
Respective roles of the trustees and examiner
As indicated on the balance sheet, the Trustees of Eastwood Anaba Ministries are responsible for preparing the accounts for the year ending on 31 December 2022, as presented on the following pages. The Trustees believe that the charity is exempt from the audit requirement of section 43 (2) of the Charities Act 2016 (the Act). In accordance with the instructions of the Trustees of Eastwood Anaba Ministries, we have compiled these unaudited accounts to facilitate the fulfilment of the Trustees' statutory obligations. This compilation is based on the charity's accounting records, information, and explanations provided to us, leading to reasonable assumptions and prudent estimations as deemed appropriate.
Basis of the independent examiner's report
Our examination was conducted in accordance with the General Direction provided by the Charity Commissioners. This examination involves reviewing the charity's accounting records and comparing the presented accounts with those records. It also encompasses the evaluation of any unusual items or disclosures in the accounts and requesting clarifications from you, the trustees, on such matters. The procedures performed do not encompass all the evidence required for an audit, and consequently, we do not express an audit opinion on the accuracy of the accounts. We recommend that EAM consider registering with HMRC for Gift Aid claims, and we are willing to assist with the necessary due diligence for bookkeeping and anti-money laundering (AML) compliance.
Independent examiner's statement
In accordance with our examination, no matter has come to our attention:
(1) Which gives us reasonable cause to believe that in any material respect the requirements:
(a) To keep accounting records in accordance with section 41 of the Act: and
(b) To prepare accounts which accord with the accounting records and to Comply with the accounting requirements of the Act have not been met, or
(2) To which, in our opinion, attention should be drawn to enable a proper understanding of the accounting to be reached.
Signature: VincSant
PMCT Accountants senior partner: Vincent Santeng – FCCA
In a Capacity as a Qualified Chartered and Certified Accountant. Date: 19 October 2022
7
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
3. Eastwood Anaba Ministries Annual Report for the year ended 31 December 2022
- 3.1 Scope of Operation and Undertaken Activities
The Trustees report that the financial year ended 31 December 2022 continued to bring new challenges for the organisation.
In line with our Christian ethos, during the year, various teachings and prayer seminars were organised on a regular basis. Again, attendance to these activities has continued to increase, especially in the areas of helping young and new ministers of the Gospel to live a Christ-centred life.
3.2 Income and Expenditure Summary as of 31 December 2022
| 31/12/2022 | 31/12/2021 | |
|---|---|---|
| INCOME: | ||
| Donations | 210,134 | 226,987 |
| 210,134 | 226,987 | |
| EXPENSES | ||
| Direct Charitable Expenditure on Direct Charitable Objectives | 142,638 | 103,628 |
| Management and Administration Expenses | 49,323 | 31,479 |
| Total Expense | 191,962 | 135,107 |
| Net Surplus / Deficit | 18,173 | 91,880 |
| Income and Expense Reserve Brought Forward | 149,311 | 57,431 |
| Profit and Loss Reserve | 167,484 | 149,311 |
The net movement in funds for the year stated above arose entirely from continuing activities. There are no recognised gains or losses for the year above other than those included in the above Statement of Financial Activities. The notes from Pages 9 to 10 form part of these accounts.
Eastwood Anaba Ministries' performance statement above and the Balance Sheet below reflect a true and fair view of the trust position as of 31 December 2022.
8
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
3.3 Status of Position (Balance Sheet) as of 31 December 2022
| 31/12/2022 | 31/12/2021 | |
|---|---|---|
| FIXED ASSETS | 32,226 | 13,676 |
| CURRENT ASSETS | ||
| Balance at Bank and in Hand | 154,711 | 153,235 |
| LIABILITIES: | ||
| Amounts fallingdue within oneyear(Note) | 19,453 | 16,039 |
| Net Current Assets | 135,258 | 137,196 |
| Net Assets | 167,484 | 150,872 |
| FUNDS | ||
| Restricted Funding Committed - Administration Office Project inGhana |
60,000 | 50,000 |
| Accumulated Unrestricted Reserve | 107,484 | 100,872 |
| Total Reserve | 167,484 | 150,872 |
Approved by the Board of Trustees on 19 October 2022
Signed: kwadwoBossman
Kwadwo Twum-Bossman
Chairman of EAM
For and on behalf of Trustees and Members of Eastwood Anaba Ministries (EAM) Date: 19 October 2022
The notes to accounts are on pages 10 to 12.
9
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
-
4 Notes to the accounts: Year ended 31 December 2022
-
4.1 Accounting Policies
4.1.1 Basis of measurement and preparation of accounts
The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (Effective April 2008).
The financial statement reflects the requirements of the revised Statement of Recommended Practice 'Accounting for Charities' (SORP). The charity complied with best practices at the time of preparing these accounts.
4.1.2 Tangible Fixed Assets Depreciation Policy
All fixed Assets are capitalised after taking account of any grants receivable (if any), at the following annual rates to write off each asset over its estimated useful life. The charge for depreciation is calculated to write off the costs of fixed assets and is capitalised over their usefulness on the following bases:
-
Equipment 18% on Net Book Value (reducing balancing capitalising method)
-
Furniture 18% on Net Book Value (reducing balancing capitalising method)
-
Fittings 18% on Net Book Value (reducing balancing capitalising method)
-
Camara and laptops would be depreciated by 2 years.
-
Administration and Program Hosting newly built ongoing building is depreciated by 2 years
4.1.3 Income Recognition
Income is accounted for on an accrual basis, except for donations, which are credited to income when received during the period.
4.1.4 Expenditure
AII expenditure is accounted for on an accrual basis. Direct charitable expenditure relates to those incurred or grants payable, which directly relate to the furtherance of the charity's objects.
Management and administration costs include wages and related costs of central administration.
4.1.5 Valuation information and policy
Where applicable valuations would be undertaken as the lower of cost and net realisable value, after making do allowance for obsolete. Cost includes all direct expenditures and an appropriate proportion of fixed and variable overheads.
4.2 Trustees Commitment
No amounts were paid to any trustees during the year in respect of their duties as trustees. The office of Ministers was also not paid for duties as full-time Christian Ministers. The need to
10
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
remunerate Eastwood Anaba Ministries’ ministers will be addressed as part of our future consideration.
4.3 Detailed Income and Expense Performance Statement as of 31 December 2022
| 31/12/2022 | 31/12/2021 | |
|---|---|---|
| Income | ||
| Donations | 210,134 | 226,987 |
| **210,134 ** | **226,987 ** | |
| Expenses | ||
| Direct Charitable Expenditure on Direct Charitable Objectives | ||
| Rentals | 24,733 | 10,614 |
| Administration | 15,139 | 17,600 |
| OperationalCost | 26,727 | 8,050 |
| Community Involvement | 48,327 | 50,331 |
| Travel andSubsistence | 25,661 | 15,134 |
| Telephone | 2,050 | 1,899 |
| 142,638 | 103,628 | |
| Management and Administration Expenses | ||
| Advertisingand Marketing | 6,050 | 19,829 |
| Hire of Equipment and Consultants for programs | 5,934 | 1,848 |
| Depreciation | 32,226 | 6,839 |
| Software | 3,613 | 1,963 |
| Accountants | 850 | 500 |
| Consultants | 650 | 500 |
| 49,323 | 31,479 | |
| Total Expenses | 191,962 | 135,107 |
| Yearly Net Surplus Position | 18,173 | 91,880 |
| Income and Expense Reserve Brought Forward | 149,031 | 57,151 |
| Income and Expense Performance Reserve | 167,203 | 149,031 |
11
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk
EASTWOOD ANABA MINISTRIES (EAM)
FINANCIAL STATEMENT - YEAR ENDED 31 December 2022
4.4 Fixed Asset and Depreciation as of 31 December 2022
| 2022 | 2021 | |
|---|---|---|
| General Pool: Camera, Accessories and Laptop | ||
| Cost Brought Forward | 24,753 | 12,712 |
| Cost Addition | 15,777 | 12,041 |
| Total Cost | 40,530 | 24,753 |
| Depreciation | ||
| Brought Forward | 11,077 | 4,238 |
| Depreciation Addition | 14,726 | 6,839 |
| Total Depreciation | 25,804 | 11,077 |
| Net Book Value | 14,726 | 13,676 |
| 2022 | |
|---|---|
| Investment in Building Projects | |
| Cost Brought Forward | |
| Cost Addition | 35,000 |
| Total Cost | 35,000 |
| Depreciation | |
| Brought Forward | |
| Depreciation Addition | 17,500 |
| Total Depreciation | 17,500 |
| Net Book Value | 17,500 |
12
Accounts prepared and certified by: PMCT Chartered and Certified Accountants Address: 322B Ability House, 121 Brooker Road, Waltham Abbey, Essex, EN9 IJH, UK Telephone: +44 208 004 8040. Website: www.pmct.co.uk