Registered number 07338966
Living Word Community Church
Company Limited By Guarantee
Report and Unaudited Accounts
31 March 2021
Charity Number 1141829
TRUEMAN BROWN CHARTERED ACCOUNTANTS 7 FOXGLOVE ROAD SOUTH OCKENDON ESSEX. RM15 6EU
## **Living Word Community Church Company Limited By Guarantee Report and accounts Contents**
||**Page**|
|---|---|
|Company information|1|
|Trustees Report|2|
|Statement of financial activities|7|
|Balance sheet|8|
|Cash flow statement|9|
|Notes to the accounts|10|
## **Living Word Community Church Company Limited By Guarantee Company Information**
## **Directors**
S Blake D J Donoghue B Foster S Mulaka
## **Accountants**
Trueman Brown 7 Foxglove Road South Ockendon Essex RM15 6EU
## **Registered office**
7 Foxglove Road South Ockendon Essex RM15 6EU
**Registered number** 07338966
1
## **Living Word Community Church Company Limited By Guarantee Trustees Annual Report**
The Trustees, who are also directors for the purposes of company law, have pleasure in presenting their report and the unaudited financial statements of the charity for the year ended 31st March 2021.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
**Registered charity name** Living Word Community Church **Charity registration number** 1141829 **Company registration number** 7338966 **Registered office** 7 Foxglove Road South Ockendon Essex, RM15 6EU
## **THE TRUSTEES**
The trustees who served the charity during the year were as follows:
S Blake D J Donoghue B Foster S Mulaka **Accountants** Trueman Brown Chartered Accountants 7 Foxglove Road South Ockendon Essex. RM15 6EU
2
**Living Word Community Church Company Limited By Guarantee Trustees Annual Report**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The organisation is a charitable company limited by guarantee, incorporated on 6th August 2010 and registered as a charity on 11th May 2011. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1.
## **Recruitment and appointment of management committee**
The directors of the company are also charity trustees for the purposes of charity law and under the company's Articles are known as members of the Management Committee.
Under the requirements of the Memorandum and Articles of Association the members of the Management Committee are elected to serve for a period of three years after which they must be re-elected at the next Annual General Meeting.
One third of the trustees who are subject to retirement by rotation or, if their number is not three or a multiple of three, the number nearest to one third shall retire from office.
The first trustees to retire shall be decided by lots drawn amongst themselves.
In selecting individuals for appointment as trustees, the trustees must have regard to the skills, knowledge and experience required for the effective administration of the charity.
## **Trustee training and induction**
Most trustees are already familiar with the practical work of the charity.
Additionally, new trustees will be invited and encouraged to attend a series of short training sessions (of no more than an hour) to familiarise themselves with the charity and the context within which it operates. These cover:
- The obligations of Management Committee members;
- The main documents which set out the operational framework for the charity including the Memorandum and Articles;
- Resourcing and the current financial position as set out in the latest published accounts;
- Future plans and objectives;
A Question and Answer pack has also been prepared drawing information from the various Charity Commission publications signposted through the Commission's guide "the Essential Trustee" as a follow up to these sessions. This is distributed to all new trustees along with the Memorandum And Articles and the latest financial statements.
3
## **Living Word Community Church Company Limited By Guarantee Trustees Annual Report**
## **Risk management**
The Management Committee has conducted a review of the major risks to which the charity is exposed. A risk register has been established and is updated at least annually. Where appropriate, systems or procedures have been established to mitigate the risks the charity faces. Significant external risks to funding have led to the development of a strategic plan which will allow for the diversification of funding and activities. Internal control risks are minimised by the implementation of procedures for authorisation of all transactions and projects. Procedures are in place to ensure compliance with health and safety of staff, volunteers, clients and visitors to the centre.
## **Organisational structure**
The Company has a Management Committee of no less than 3 Trustees who meet regularly and are responsible for the strategic direction and policy of the charity. At present the Committee has five Trustees from a variety of professional backgrounds relevant to the work of the charity.
A scheme of delegation is in place and day to day responsibility for the provision of the services rest with the Pastor and the Administration Assistant. The Pastor is responsible for ensuring that the charity delivers the services specified and that key performance indicators are met. The Administration Assistant has responsibility for the day to day operational management of the charity and working practices in line with good practice.
## **OBJECTIVES AND ACTIVITIES**
The company's objects and principal activities are to:
- advance the Christian faith in accordance with the Statement of Beliefs in such parts of Basildon, the United Kingdom or the World as the Trustees may from time to time think fit;
- to relieve persons who are in conditions of need, financial hardship or sickness and who may be aged and to relieve the distress caused thereby in the said location and in such other parts of the United Kingdom or the World as the Trustees may from time to time think fit;
- advance Christian education in The said location and in such other parts of The United Kingdom the World as the Trustees may from time to time think fit;
- provide or assist in the provision of facilities in the interests of social welfare for recreation or other leisure time occupation of individuals who have need of such facilities by reason of their youth, age, infirmity or disability, financial hardship or social circumstances with the object of improving their conditions of life.
## **ACHIEVEMENTS AND PERFORMANCE**
The company represents the incorporation of the charitable trust, Essex In Harvest (Billericay) Trust, which was registered with Charities Commission under the number 293710.
The company commenced its activities on 23rd December 2011.
4
## **Living Word Community Church Company Limited By Guarantee Trustees Annual Report**
## **FINANCIAL REVIEW**
The company, with the aid of sound financial management and the support of both its staff and volunteers generated a positive financial outcome for the period with a net decrease in fund of £102,582 (2020: Increase of £8,757).
The company will rely on the generosity of the congregation attending our weekly church meetings and Sunday Services provided at the Wat Tyler Centre.
## **PLANS FOR FUTURE PERIODS**
The company will continue its core activities for the foreseeable future.
## **RESPONSIBILITIES OF THE TRUSTEES**
The trustees (who are also the directors of Living Word Community Church for the purposes of company law) are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. 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 judgements and 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 charitable company will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees 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.
5
## **Living Word Community Church Company Limited By Guarantee Trustees Annual Report**
## **ACCOUNTANTS**
Trueman Brown are deemed to be re-appointed under section 487(2) of the Companies Act 2006.
This report was approved by the trustees on 19 May 2021 and signed on its behalf.
D J Donoghue Director
6
## **Living Word Community Church Company Limited By Guarantee Statement Of Financial Activities (Incorporating The Income And Expenditure Account) for the year ended 31 March 2021**
|**Notes**
Incoming resources from generating funds:
Voluntary Income
2
Investment income
3
Other incoming resources
4
**Total incoming resources**
Charitable activities
5
Governance costs
7
8
Total funds brought forward
**Total funds carried forward**
**Net incoming resources for the year/Net**
**income for the year**|**Unrestricted**
**Restricted**
**Total**
**Total**
**Funds**
**Funds**
**Funds**
**Funds**
**2021**
**2021**
**2021**
**2020**
**£**
**£**
**£**
**£**
82,059
95,180
177,239
81,320
1,626
-
1,626
2,220
4,188
-
4,188
3,258
87,873
95,180
183,053
86,798
(73,844)
-
(73,844)
(74,550)
(7,838)
-
(7,838)
(21,005)
6,191
95,180
101,371
(8,757)
249,905
-
249,905
258,662
256,096
95,180
351,276
249,905|
|---|---|
The Statement of Financial Activities includes all the gains and losses in the year and therefore a statement of total recognised gains and losses has not been prepared.
All of the above amounts relate to continuing activities
7
## **Living Word Community Church Company Limited By Guarantee Balance Sheet as at 31 March 2021**
|**Notes**
**Fixed assets**
Tangible assets
10
**Current assets**
Debtors
11
Cash at bank and in hand
**Creditors: amounts falling due**
**within one year**
12
**Net current assets**
**Net assets**
**Funds**
Unrestricted income funds
14
**TOTAL FUNDS**|**2021**
**2021**
**Unrestricted**
**Restricted**
**£**
**£**
3,634
-
663
-
251,821
95,180
252,485
95,180
(23)
-
252,462
95,180
256,096
95,180
256,096
95,180
256,096
95,180|**2021**
**2020**
**Total**
**Total**
**£**
**£**
3,634
1,774
663
663
347,001
247,491
347,664
248,154
(23)
(23)
347,642
248,131
351,276
249,905
351,276
249,905
351,276
249,905|
|---|---|---|
The directors are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit in accordance with section 476 of the Act.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.
The accounts have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime, so far as applicable to charities.
D J Donoghue Director Approved by the board on 19 May 2021
8
## **Living Word Community Church Statement Of Cash Flows for the year ended 31 March 2021**
|**Note**
**Cash used in operating activities**
17
**Cash flows from investing activities**
Interest income
Purchase of tangible fixed assets
**Net increase/(decrease) in cash**
Cash at bank and in hand less overdrafts at 1 April
**Cash at bank and in hand less overdrafts at 31 March**|**2021**
**£**
100,957
1,626
(3,072)
(1,446)
99,510
247,491
347,001|**2020**
**£**
(10,205)
2,220
(1,154)
1,066
(9,138)
256,629
247,491|
|---|---|---|
9
**Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
## **1 Accounting policies**
## _**Basis of preparation**_
The accounts have been prepared under the historical cost convention and in accordance with applicable United Kingdom accounting standards, the Statement Of Recommended Practice "Accounting and Reporting By Charities" issued in March 2005 (SORP 2005) and the Companies Act 2006 and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).
## _**Fund accounting**_
Unrestricted income funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objectives.
## _**Resources expended**_
Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation commiting the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings tht aggregate all costs related to that category. Donations payable are payments made to third parties in furtherance of the charitable objectives of the charity. Single or multi-year donations are accounted for when either the recipient has a reasonable expectation that they will receive the donation.
## _**Depreciation**_
Depreciation has been provided at the following rates in order to write off the assets over their estimated useful lives.
Equipment
25% on the written down value
## _**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.
## _**Cash at bank and in hand**_
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## _**Creditors and provisions**_
Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt.
10
## **Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
|**2**
**Voluntary Income**
**Unrestricted**
**Funds**
**2021**
**£**
Tithes
48,308
Gift aid tax recovered
13,741
Gifts, donations and offerings
20,010
82,059
**3**
**Investment income**
**Unrestricted**
**Funds**
**2021**
**£**
Bank interest receivable
1,626
1,626
**4**
**Other incoming resources**
**Unrestricted**
**Funds**
**2021**
**£**
Other income
4,188
4,188
**5**
**Cost of charitable activities by fund type**
**Unrestricted**
**Funds**
**2021**
**£**
Programme activity costs
56,282
Support of outside causes
17,562
73,844|**Restricted**
**Funds**
**2021**
**£**
-
-
95,180
95,180
**Restricted**
**Funds**
**2021**
**£**
-
-
**Restricted**
**Funds**
**2021**
**£**
-
-
**Unrestricted**
**Funds**
**2021**
**£**
-
-
-|**Total**
**Funds**
**2021**
**£**
48,308
13,741
115,190
177,239
**Total**
**Funds**
**2021**
**£**
1,626
1,626
**Total**
**Funds**
**2021**
**£**
4,188
4,188
**Total**
**Funds**
**2021**
**£**
56,282
17,562
73,844||
|---|---|---|---|
||||**Total**
**Funds**
**2020**
**£**
49,796
15,830
15,694
81,320|
|||||
||||**Total**
**Funds**
**2020**
**£**
2,220
2,220|
|||||
||||**Total**
**Funds**
**2020**
**£**
3,258
3,258|
|||||
||||**Total**
**Funds**
**2020**
**£**
61,935
12,615
74,550|
11
**Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
## **6 Costs of charitable activities by activity type**
The charity undertakes its charitable activity by a programme of activities and by giving donations to a number of institutions in furtherance of its charitable activities.
|Programme activity costs
Support of outside causes
The recipients of donations included:
Barnabas
Lifelink
Zimbabwe Mission
School Teams Ministry
Overseas Mission
O2H Mission|**Activities**
**Undertaken**
**Directly**
**2021**
**£**
56,282
17,562
73,844|**Total**
**Funds**
**2021**
**£**
56,282
17,562
73,844
**2021**
**£**
-
4,952
4,220
920
-
300||
|---|---|---|---|
||||**Total**
**Funds**
**2020**
**£**
61,935
12,615
74,550|
|||||
||||**2020**
**£**
630
4,481
-
950
160
-|
## **7 Governance costs**
|Staff training & welfare
Insurance
Cleaning
Hire of premises
Legal & other professional fees
Telephone and internet
Depreciation
Computer expenses
Printing, postage, stationary and
advertising
Information and publications
Bank charges
Repairs and maintenance
Accountancy fees
Subscriptions
Sundry expenses|**Unrestricted**
**Funds**
**2021**
**£**
-
299
130
1,200
945
1,095
1,212
692
480
273
88
129
473
80
742
7,838|**Unrestricted**
**Funds**
**2021**
**£**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-|**Total**
**Funds**
**2021**
**£**
-
299
130
1,200
945
1,095
1,212
692
480
273
88
129
473
80
742
7,838|**Total**
**Funds**
**2020**
**£**
343
541
-
13,759
1,122
949
591
-
1,234
-
38
205
633
-
1,590
21,005|
|---|---|---|---|---|
12
## **Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
## **8 Net incoming resources for the year**
|This is stated after charging:
Depreciation of owned fixed assets
**Staff costs and emoluments**
Total staff costs were as follows:
Wages and salaries
Social security costs
Pension costs
Particulars of employees
Number of pastoral staff|**2021**
**£**
1,212
**2021**
**£**
40,237
4,409
6,360
51,006
**2021**
**No.**
1|**2020**
**£**
591|
|---|---|---|
||||
|||**2020**
**£**
41,711
4,329
6,243
52,283|
||||
|||**2020**
**No.**
1|
## **9 Staff costs and emoluments**
No employee received remuneration of more than £60,000 during the year (2017 - Nil).
## **10 Tangible fixed assets**
|**Cost**
At 1 April 2020
Additions
At 31 March 2021
**Depreciation**
At 1 April 2020
Charge for the year
At 31 March 2021
**Net book value**
At 31 March 2021
At 31 March 2020|**Plant and**
**machinery**
**etc**
**£**
8,290
3,072
11,362
6,516
1,212
7,728
3,634
1,774|
|---|---|
13
## **Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
## **11 Debtors**
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|Unrestricted|Unrestricted|Total|Total|
|Funds|Funds|Funds|Funds|
|2021|2021|2021|2020|
|£|£|£|£|
|Other debtors|663|-|663|663|
|12|Creditors: amounts falling due within one year|
|Unrestricted|Unrestricted|Total|Total|
|Funds|Funds|Funds|Funds|
|2021|2021|2021|2020|
|Other creditors|23|-|23|23|
|23|-|23|23|
|13|Restricted Income Funds|
|Building|Building|
|Maintenance Fund|Fund|Total|
|£|£|£|
|-|-|-|
|Balance Brought Forward|
|Incoming Resources|10|95,170|95,180|
|-|-|-|
|Resources Expended|
|10|95,170|95,180|
**----- End of picture text -----**
## Building Fund
Funds to be used to purchase the United Reform Church building in Basildon, Essex.
## Building Maintenance Fund
Funds to be used to maintain the United Reform Church building, once the purchase has been completed.
## **14 Unrestricted income funds**
**----- Start of picture text -----**
|||||
|---|---|---|---|
|Opening|Net incoming|Closing|
|balance|resources|balance|
|£|£|£|
|General funds|249,905|6,191|256,096|
**----- End of picture text -----**
14
## **Living Word Community Church Company Limited By Guarantee Notes to the Accounts for the year ended 31 March 2021**
## **15 Analysis of net assets between funds**
|**Restricted income funds**
Building funds
Building maintenance funds
**Unrestricted income funds**
General funds
**Total Fund**|**Tangible**
**fixed**
**assets**
**£**
-
-
3,634
3,634|**Net**
**current**
**assets**
**£**
95,170
10
252,462
347,642|**2021**
**£**
95,170
10
256,096
351,276|
|---|---|---|---|
## **16 Company limited by guarantee**
Living Word Community Church 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 charitable company in the event of its being wound up while he or she is a member, or within one year after he or she ceases to be a member.
## **17 Reconciliation of net movement in fund to net cash flows from operating activities**
|Net movement in funds
Add back depreciation charge
Deduct interest income in investing activities
(Decrease)/Increase in creditors
Decrease/(Increase) In debtors|**£**
**-**
**£**
101,371
1,212
(1,626)
-
-
100,957|**£**
**-**
**£**
(8,757)
591
(2,220)
(743)
924
(10,205)|
|---|---|---|
15