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2020-06-30-accounts

Y•* •4 SALAM CHARITY ANNUAL REPORT 2019/2020 -1¢ U Salam Chaiity

Salam Charity Annual Report 2019/2020

We helped more than

50[,] 000

people in their fight against poverty and hardship.

Working with our network of trusted partners we are continuing to find ways to relieve people from hardship and poverty and offer them hope of a brighter future. Here are some of our proudest moments of 2019/20:

2

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Salam Charity Annual Report 2019/2020

Contents

Foreword by our Chairman 6
STRATEGIC REPORT
About us 10
Income at a glance 11
Expenditure at a glance 12
OUR WORK
Delivering aid across the world 20
Covid-19 response 21
Winter Survival 22
Food Aid 26
WASH 30
Shifa Clinic 34
Medina Square 38
Emergency Response 42
Qurbani 46
Shelter 50
OUR FUNDRAISING 54
OUR PLANS FOR 2020/21 62
FINANCIAL REVIEW AND ACCOUNTS 72

4

MARYAM was one of the first people we helped with our sustainability projects in Bangladesh. After tragically losing her husband to a road accident, life has been a daily struggle for Maryam and unable to find work she would find it difficult to support her three children.

Salam Charity has been able to offer Maryam a lifeline by providing the tools she needs to allow her to grow her own fruit and vegetable which means that she can now support herself and her children without having to rely on handouts.

5

Salam Charity Annual Report 2019/2020

Foreword by our Chairman

SHARIF BANNA

2019/20 has been an extremely difficult year for us all. We have seen the onslaught of a pandemic that has swept the globe on a scale that we have not witnessed before, killing thousands of people, and spreading to every corner of the world. I want to pay tribute to all those who have lost their lives to this new and deadly disease and extend our deepest condolences to their families and loved ones.

Yet amidst all the panic, confusion and uncertainty Salam Charity has soldiered on and continued to help those most in need. We have kept focus on what’s important and have tackled obstacles head on. Our rapid COVID-19 Response unit was able to deploy quickly into the camps to sanitise people’s homes and educate them about the effects of the virus and how to keep their families safe.

We have also launched an initiative that will bring sustainability through education to the forefront of our work. Medina Square is an ambitious project that will create future leaders and champions of industry by creating an environment where children can learn and thrive.

This was the first year that we took teams of volunteers and staff to the Syrian and Rohingya refugee camps in Lebanon and Bangladesh to help rebuild lives. Our overseas volunteering projects has created a culture of openness and transparency by offering the donors a chance to go out and see the results of their kind donations & support for themselves.

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2020/21 LOOKS T
DIFFICULT THAN
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2020/21 looks to be even more difficult than 2019/20 with new lockdown measures put in place, but as we race to find a vaccination for the virus, we will remain vigilant against the increased threats of disease and poverty that will be faced by those already living below the poverty line.

Together we can defeat this virus and continue to fight against poverty so that every human being has the right to a life of dignity.

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Serving those less fortunate | TOGETHER AS ONE

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TO BE EVEN MORE
N 2019/20
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7

Salam Charity Annual Report 2019/2020

8

Serving those less fortunate | TOGETHER AS ONE

2019 /2020

This report will outline into who we are and what we stand for, what we have delivered in 2019/20 and take a look into our strategic plans for the coming year.

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Salam Charity Annual Report 2019/2020

About us

Poverty is an injustice that has no place in the modern world. At Salam Charity we want to see a world where people can live with dignity free from hardship and suffering.

We believe in people and the power to lead themselves out of poverty that’s why we want to create lasting change by empowering communities through sustainable development programmes, education and providing lifesaving healthcare, food aid and shelter.

OUR NETWORK OF PARTNERS

We are working in some of the poorest countries in the world through a network of trusted partners to deliver aid where it is needed the most. Using partners alongside our regular staff ensures that we can carry out accurate needs assessments and help to strengthen the wider economy.

CORE VALUES

We work tirelessly, alongside our trusted partners on the ground, to make sure hat we continue the fight against poverty and pave the way for a future where every single person has the right to a life with dignity.

VISION

We want to see a world where people live with dignity.

MISSION

To serve humanity by developing and implementing campaigns that directly tackle the treats of poverty and injustice. Guided by our core values, we aim to:

To serve humanity by developing and implementing campaigns that directly tackle the treats of poverty and injustice. Guided by our core values, we aim to:

To serve

We have been granted the privilege to be able to serve mankind and promote social justice

With transparency

To be held accountable for all our actions. To serve with openness and honesty according to our Islamic values

Restore dignity

Restoring people’s dignity by providing them the means to lead themselves out of poverty.

Unite in brotherhood

All united in one common goal – to change the world for the better!

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Serving those less fortunate | TOGETHER AS ONE

Income & expenditure at a glance

Salam Charity gross income for 2019/20 was £448,416 Total expenditure in 2019/20 was £291,218

INCOME

Our income for 2019/20 was £448,416 , an increase of £276,772 from the previous year. This was achieved in a number of ways including increased presence online, employing the services of dedicated fundraisers and delivering projects efficiently.

We have had a number of humanitarian appeals which have been promoted by influencers reaching a much wider audience than the previous year.

TOTAL INCOME £448,416

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TOTAL INCOME
£448,416
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26.8% 10 NIGHTS OF RAMADAN – £120,175.49

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Salam Charity Annual Report 2019/2020

Expenditure

TOTAL EXPENDITURE £291,218

TOTAL EXPENDITURE £291,218.00

64.5% CHARITABLE ACTIVITIES - £187,921.00 6.4% RAISING FUNDS - £18,681.00

10% ADMINISTRATIVE COSTS - £29,121.80 19.1% OTHER - £55,494.20

TOTAL INCOME AGAINST TOTAL EXPENDITURE:

Total income and Total expenditure Total expenditure endowments on raising funds on charitable £448,216 (£18,681) activities (£187,921)

Total Total expenditure expenditure on Other Administration (£55,494.20) (£29,121.80)

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Serving those less fortunate | TOGETHER AS ONE

This means that for every £1 we raise we spend 64p on helping to change lives for the better 6p on raising the next £1

10p on administrative costs including IT and Finance

and 19p on other costs including fees and surcharges.

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Salam Charity Annual Report 2019/2020
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Our work

It’s hard to believe that in some countries people still have to walk for hours every day just to collect water from stagnant pools shared by livestock and wild animals.

The saddest part about it is that it’s often children who are tasked with collecting water which means that they are denied an education and a childhood.

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Salam Charity Annual Report 2019/2020

OUR F

OUR WORK IN NUMBERS In 2019/20 we have extended our reach to many more countries and included a number of projects that not only tackle emergencies but also at sustainable living for our beneficiaries. Here are just some of the highlights of our work in 2019/20:

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Serving those less fortunate | TOGETHER AS ONE

WORKING WITH OUR PARTNERS Salam Charity operates a system where we have a mixture of regular staff and trusted partners who we work with to deliver aid to some of the poorest people in the world. Working with partners whilst building our own capacity for delivery is a longterm strategy that fits into the overall aims of Salam Charity. Some of the benefits of our working system are listed below:

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WHAT WE DID We were able to rapidly de Lebanon and Bangladesh spread of COVID-19 by sa

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to help stop the nitising homes to the most

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Salam Charity Annual Report 2019/2020

Delivering aid across the World

Poverty ruins lives every single day.

Millions of people go hungry, not knowing where their next meal will come from. Working alongside our trusted partners, Salam has been able to offer a lifeline to some of the poorest people in the world and continue our fight against poverty.

We have developed a new 3 point aid delivery policy which helps us research and identify the root causes of poverty and create programs to tackle these issues head on.

RESPOND

In this stage our researchers in various countries will determine where aid is needed most. From responding quickly to natural disasters, to identifying the need to empower women, this stage looks at all the issues that are holding people in the grips of poverty.

SERVING WITH COMPASSION

We deliver aid according to the CHS Alliance guidelines to make sure that our aid is relevant and reaching the right people, whilst being held accountable for all our actions.

Our aims and objectives were set out to improves the lives of people living in poverty and hardship by spearheading innovative projects that tackle immediate needs as well as planning for the long term.

REBUILD

Restore dignity by rebuilding lives. Tackling the root causes of poverty we will empower people to lead themselves out of poverty by providing them the basic needs that restrict them from escaping this vicious cycle.

REVISIT

Our work does not end with aid delivery. We will continue to be on the ground to ensure that people do not fall back into hardship.

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Serving those less fortunate | TOGETHER AS ONE

COVID-19 Response

COVID-19 has changed the world forever. From the first signs of the disease in 2019 it spread rapidly all over the globe within months and it is the poorest areas that will suffer the most. Millions of people are in risk of losing their livelihoods due to lockdown measures and many more will suffer from the virus without the means to access any sort of treatment.

We were able to deploy teams quickly and efficiently to the refugee camps in Lebanon and Bangladesh to sanitise people homes and distribute thousands of Personal Protection Equipment including 10,000 face masks, gloves, and hand sanitisers to the families in the greatest danger of being afflicted by the virus.

In Somalia we distributed 5000 PPE items and held training sessions to educate and inform people of the dangers of the disease and how to keep their families safe.

STATS AT A GLANCE

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Winte Survi

al

Salam Charity Annual Report 2019/2020

Winter survival

Winters are the toughest time of the year for millions of people and thousands die every year from the relentlessly bitter conditions. This is felt most keenly in the Syrian refugee camps in Lebanon where thousands of people, especially the young and the frail, will not know whether they will live to see the spring. By providing fuel, food, bedding, blankets, and warm clothing we were able to help 5000 people stay safe this winter.

Bangladesh has one of the highest rates of poverty in the world and with the winters getting colder most people are massively under equipped to face the cold conditions. To ease some of their struggles we distributed blankets, pillows, and warm clothing to 2000 families, that’s lifegiving warm to more than 10,000 individuals.

Our Winter Survival projects have helped more than 20,000 people around the world who can now sleep well at night thanks to our supporters and ambassadors.

Stats at a glance

Helped more than 10,000 people with winter survival kits

More than 2000 families given bedding and warm clothing

5000 litres of heating and cooking fuel distributed

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Food Aid

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Salam Charity Annual Report 2019/2020

Food aid

Around the world more than 690 million people go to bed hungry every night, not knowing when they will get their next meal. 9.2% of the global population live in extreme poverty having to survive on less than £1.40 per day.

We believe that the UN’s Sustainable Goal No. 2 – Zero Hunger, which aims to eradicate hunger by 2030, is only possible if we all stand united in the fight against hunger, that is why we have created food aid programmes to meet the immediate needs of people facing hunger while we work with the beneficiaries to explore more sustainable solutions to poverty.

We helped more than 50,000 people in Yemen, Bangladesh, Pakistan, Palestine, Somalia, Lebanon, and Sudan with food packs to feed a family of 5 for a whole month. This Ramadan we provided more than 500,000 Iftar meals to Muslim’s breaking their fast in the holiest month in the Islamic calendar.

Stats at a glance

100,000 Iftars meals served

2,000 people helped with monthly food pack

600,000 meals served

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WASH (WATER. SANITATION

Salam aMR7ty TEtrAPrtAL 020 www.salamcharity.org.uk & HYGIENE)

Salam Charity Annual Report 2019/2020

Wash

(Water, Sanitation, and Hygiene) Water is easy to take for granted, but if we had to walk 10 miles every day just so that we can have a sip of the precious liquid, only then would we truly understand how lucky we are. It is estimated that almost 3 billion people live in water stressed areas, with 1.4 billion of those people living in areas of extremely high water vulnerability (UN, 2020)

At Salam Charity, we have pledged to help more than 1,000,000 people in some of the most remote and water strained areas in the world to access clean, safe drinking water. We have begun our ambitious journey by providing lifesaving water wo more than 50,000 people with deep water wells in Pakistan, Bangladesh, and Yemen.

In Yemen, the scarcity of water, the mountainous terrain and the ongoing conflict has left millions of people desperately clinging on to life. We have built and rehabilitated water wells that have fallen into disrepair to again provide lifesaving water to more than 10,000 people.

Stats at a glance

1.4 billion people live in areas of extremely high water vulnerability

Our pledge to help 1,000,000 people with lifesaving water

50,000 people have access to clean water

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'Shifa, Clinic

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Salam Charity Annual Report 2019/2020

Shifa clinic

Jakigonj, a rural village in the outskirts of Sylhet, is one of the poorest areas of Bangladesh with thousands of people living below the international poverty line. After careful consideration and rigorous needs assessments, it was here that we decided to open our first Shifa Clinic.

The grand opening of our free primary health centre was welcomed by the residents of Jakigonj who previously had to travel for over 2 hours to get to the nearest medical clinic.

Since the opening, our trained male and female doctors have examined thousands of patients and have issued more than 10,000 prescriptions for free medicine that they can collect from our on-site pharmacy.

Our finite resources means that we have a strict selection process with priority given to orphans, widows and the elderly. We currently serve around 200 people per week but that is expected to rise sharply as the COVID outbreak spreads to this region. The current cost of maintaining the clinic and distributing free medicine is £30,000 per year.

Stats at a glance

200 patients examined 10,000 people given free every week medicine since clinic opened

Staff include 2 male doctors, 1 female doctor, 2 nurses and 1 pharmacist

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Medin Squar

Salam Charity Annual Report 2019/2020

Medina square

THE SQUARE

Medina Square is Salam Charity’s most ambitious project. It will comprise a mosque, shelter, academy, play area and community centre. Salam Medina Square is a community led initiative to provide education and leadership skills in one of the poorest areas of Sylhet.

Although Bangladesh has made significant progress in its fight to eradicate poverty and has successfully reduced the number of people living below the poverty line from 82% in 1972 to 13% in 2016, almost 13m people still live below the poverty line.

Salam Charity have been able to secure almost 2 acres of land in one of the poorest areas of Sylhet, and now our ambitious project to lift an entire community out of poverty has truly got under way. There is a long road ahead of us to make our vision into reality, but we believe that we can make a serious impact on poverty and uplift whole communities.

Stats at a glance

13 million people in Bangladesh live on less than £1.40 per day

Secure almost 2 acres of land

Poverty has fallen from 82% to 13%

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Salam Charity Annual Report 2019/2020

Emergency response

In 2019, prolonged heavy rainfall caused floods in 15 different states within Sudan including Khartoum. 190,000 people were affected, and 60 people were killed including 2 small children in Kassala.

34,000 homes were damaged leaving thousands of people in desperate need of shelter, sanitation, food, water and medicine. Many families had t seek refuge in schools and public building to protect themselves from the floods.

With our network of partners, we were able to distribute much needed aid including hygiene kits, food and water to those who had lost their livelihoods to the floods.

Stats at a glance

190,000 people affected

34,000 homes damaged

60 people killed

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Salam Charity Annual Report 2019/2020

Qurbani

During the sacred period of Dhul Hijja, we sacrifice an animal in remembrance of the Prophet Ibrahim (AS), and distribute the meat to our families, neighbours and those living in poverty. During these festivities, we rarely give a thought to the animal that has blessed us with life sustaining meat. What kind of life did it lead? Was it healthy?

That’s why at Salam Charity we have developed the Ethical Qurbani which looks at the welfare of the animal before sacrifice and how the meat is distributed. We have provided much need meat to families in Yemen, Bangladesh, Pakistan, Somalia and Lebanon distributing over 15,000 kg’s of meat.

The key factors of the Ethical Qurbani are:

Stats at a glance

Animal must be over the age of 2

Animals must carry at least 6 months welfare record

25,000 kgv of meat distributed

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Salam Charity Annual Report 2019/2020 | Foreword by our Chairman

Shelter

Salam Charity has been working in Idlib, Syria to rehabilitate homes which have been damaged during the decade-long conflict. By focusing on homes occupied by IDP’s and vulnerable Syrian’s as well as host-communities, Salam Charity has been able to revive small, local economies and businesses. Evaluation reports have revealed improved relations between host-communities and IDP populations and an increase in people returning to the area. We lift some of the burden from the IDP’s by helping them with 6 months rent to get them back on their feet.

In Kashmir, we have 2-bedroom, permanent homes that will offer people a safe place to call home. Alongside the homes, we have given the tenants free medical care at the local hospital for 1 year.

These have become a flagship projects for Salam Charity from the impact they have had and will continue to feature prominently in our long-term strategies. We have rehoused almost 200 people and have given them hope of a brighter future.

Stats at a glance

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200 people rehoused
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2-bedroom homes in 6 months’ rent paid
Kashmir
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ssfortunatè I

Salam Charity Annual Report 2019/2020 | Foreword by our Chairman

OUR

We created a number of fundraising campaigns and appeals to more than double our income from the previous year. Thanks to the support of our generous donors and raise an incredible £450,000 from a variety of fundraisers. The following is a snapshot of our fundraising activities in 2019/20

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Serving those less fortunate | TOGETHER AS ONE
AISING
/20
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Salam Charity Annual Report 2019/2020

ECHOS OF THE BELOV

Mesut Kurtis, one of the biggest names in Islamic Nasheeds, joined Salam Charity on a 6-city tour from Glasgow to London to help raise funds for our ambitious Medina Square project in Bangladesh.

He was joined by Ahmad Rubani and Muad an evening of nasheeds, spirituality and the allimportant fundraising that will create and nurture the leaders of tomorrow to help lift an entre community out of poverty.

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Serving those less fortunate | TOGETHER AS ONE

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INSTA LIVE

Insta Live is a creative fundraiser that gets together some of the biggest influencers online today to do a live fundraiser and help raise money for food aid across the world. Our influencers including Modest Street, Ezzakins, and Muslim Mamas have a combined reach of over 1 million people.

58

COME IFTAR WITH ME

Come Iftar with me gets families and loved ones together to break their fast in the holiest month of the Islamic calendar and raise money for our food projects around the world. It was a great success with vital funds being raised to feed a family for an entire month.

59

SALAM NIGHTS

Covid-19 caused widespread disruption for many charities with events, challenges, and mass gatherings being prohibited to stop the spread of the disease. That meant that we had to think of new ways to gather people and raise funds and the answer came from Zoom. Now, people can enjoy the experience of an event from the comfort of their own homes.

Salam Nights was a weeklong Fundraiser over Zoom that brought together some of the biggest names in the Islamic world including Maher Zain for live performances, talks and fundraising in the month of Ramadan

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MY 10 NIGHTS

Laylatul Qadr, which translates to ‘The Night of Power’ is one of the most auspicious nights of the Islamic calendar. This night has massive significance to Muslims who often donate their charity on this night.

We teamed up with MyTenNights to offer our donors the chance to never miss Laylatul Qadr again by automating their donations. It has been a great fundraising success and has raised vital funds for food, water, shelter, and Zakat.

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OUR PLANS FOR 2020 / 2021

As we race to find a vaccine for the Covid-19 pandemic, we will continue to support those who need us the most by providing them lifesaving food, water, shelter, medical aid, and emergency assistance.

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Aid&- Missi

One of the key areas we want to focus on for 2020/21 is taking volunteers and supporters on Aid Missions abroad so that people can see exactly ow their money is making a difference to the lives of the poor and destitute.

Our plans are to create ambassadors for Salam Charity by nurturing a culture of openness and transparency. Supporters can now get hands on by providing aid and helping to rebuild lives.

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We will be moving into more arid territories where water is scarce including Ghana where people still have to walk for miles to get a drink of water. We have plans to build more than 100 wells in some of the most remote areas of Ghana where thousands of people will have access to lifesaving water.

We have plans to build on the countries we are already operating including Yemen, Pakistan and Bangladesh and think of more innovative ways to provide long term sustainable water solutions.

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Orphan
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Education is one the key areas that we will be focussing on to ensure that children do not have to grow up with the threat of poverty. By educating our children we can create future leaders and champions of industry who will give back to their communities and help lift their families and friends out of poverty.

In Yemen, Severe and Acute Malnutrition (SAM) is one of the biggest killers amongst children. We have made a commitment to provide professional medical treatment to help them recover from SAM. Children will be entered into a 6 month programme where we tailor the treatment for each child to ensure that they overcome hunger and can look forward to a brighter future.

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Health Projec

We will continue our fight against Covid-19 by providing sanitation and PPE and covid resilience training so that people are aware of how to protect themselves and their families from this deadly disease.

The success of Shifa Clinic in Bangladesh has led us to explore other countries to build Shifa Clinics that will provide free primary healthcare to people living in some of the most remote and poverty-stricken areas of the world.

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FINANCIAL R &ACCOUNTS

VIEW

The Trustee presents his report with the unaudited financial statements of the charity for the year ended 30 June 2020.

REFERENCE AND ADMINISTRATIVE DETAILS

Charity No. 1142191 Principal Office Salam Charity UK 483 Green Lanes London N13 4BS United Kingdom

Trustee

The following Trustee served during the year:

H M A Quadir Sultana Quadir Sharif Banna Abdul Wahid Abdul Hafiz Jamal Uddin

Independent Examiners

S.Asghar & Co Chartered Certified Accountants 85 Station Road , Harrow London HA2 7SW

Bankers

HSBC BANK PLC 118 High Street North East Ham London E6 2HX

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OBJECTIVES & ACTIVITIES

A large charity must provide an explanation of its aims, including details of the issues it seeks to tackle and the changes or differences it seeks to make through its activities... A large charity must provide an explanation how the achievement of its aims will further its legal purposes... A large charity must provide an explanation of its strategies for achieving its stated aims and objectives...

A large charity must provide an explanation of its criteria or measures it uses to assess success in the reporting period...

A large charity should provide a more detailed explanation of its short-term and longterm aims and objectives...

ACHIEVEMENTS AND PERFORMANCE

A large charity must review its charitable activities undertaken, explaining performance achieved against objectives set ...

A large charity must include an explanation when material fundraising activities are undertaken, details of the performance achieved against fundraising objectives set ...

A large charity must provide an explanation when material investments are held, details of investment performance achieved against objectives set ...

A large charity must provide an explanation of any material expenditure occurred to raise income in the future...

A large charity must provide commentary on those significant positive and negative factors within and outside the charity’s control which are relevant to the achievement of its objectives ...

PLANS FOR FUTURE PERIODS

A large charity must provide a summary of the charity’s plans for the future including its aims and objectives and details of any plans to achieve them ...

A large charity’s report should explain the trustees perspective of the future direction of the charity...

The Trustee is responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed. The Trustee is also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities.

Signed

Mr H M A Quadir On behalf of the Board of Trustees 15th July 2021

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Independent Examiner’s Report to the trustee of Salam Charity

I report to the trustees on my examination of the accounts of Salam Charity for the year ended 30 June 2020 which comprise the Statement of Financial Activities, the Balance Sheet and the related notes.

Responsibilities and basis of report

As the charity’s trustee you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011(‘the Act’). The trustee considers that an audit is not required for this year under the Charities Act 2011, s.144(2) (the 2011 Act) and that an independent examination is needed.

I report in respect of my examination of the charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner’s statement

As the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination by being a qualified member of .

I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in, any material respect:

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.

Waqas Imtiaz Khan (FCCA) Chartered Certified Accountants S.Asghar & Co 85 Station Road Harrow London, HA2 7SW 15th July 2021

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SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

Income and endowm¬ents from:
Donations and legacies
3
Total
Expenditure on:
Raising funds 4
Charitable activities 5
Other 7
Total
Net gains on investments
Net income/(expenditure) 8
Transfers between funds
Net income/(expenditure)
before other gains/(losses)
Other gains and losses
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 448,416
448,416
171,644
Unrestricted
funds
Total funds Total funds
2020
2020
2019
£
£
£
448,416
448,416
171,644
18,681
18,681
18,250
187,921
187,921
145,148
84,616
84,616
9,298
291,218
291,218
172,696
-
-
-
157,198
157,198
(1,052)
-
-
-
157,198
157,198
(1,052)
157,198
157,198
(1,052)
106,403
106,403
107,455
263,601
263,601
106,403

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SALAM CHARITY BALANCE SHEET

Fixed assets
Tangible assets10
Current assets
Cash at bank and in hand
Creditors: Amount falling due within one year 11
Net current assets
Total assets less current liabilities
Net assets excluding pension aset or liability
Total net assets
The funds of the charity
Restricted funds12
Unrestricted funds12
General funds
Reserves 12
Total funds
Approved by the trustees on 15th July 2021
And signed on their behalf by:
at 30 June 2020
Charity No. 1142191		 5,350
2020 2019
5,350
261,951
107,603
261,951
107,603
(3,700)
(1,200)
258,251
106,403
263,601
106,403
263,601
106,403
263,601
106,403
263,601
106,403

H M A Quadir 15th July 2021

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Accounting policies Basis of preparation

The financial statements have been prepared in accordance with Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic if Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

Change in basis of accounting or to previous accounts

There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years.

Fund accounting

Unrestricted funds These are available for use at the discretion of the trustees in furtherance of the general objects of the charity. Designated funds These are unrestricted funds earmarked by the trustees for particular purposes. Revaluation funds These are unrestricted funds which include a revaluation reserve representing the restatement of investment assets at their market values. Restricted funds These are available for use subject to restrictions imposed by the donor or through terms of an appeal. Recognition of income Income is included in the Statement of Financial Activities (SoFA) when the charity becomes entitled to, and virtually certain to receive, the income and the amount of the income can be measured with sufficient reliability. Income with Where income has related expenditure the income and related expenditure related expenditure is reported gross in the SoFA. Donations & legacies Voluntary income received by way of grants, donations and gifts is included in the the SoFA when receivable and only when the Charity has unconditional entitlement to the income.

These are available for use at the discretion of the trustees in furtherance of the general objects of the charity.

Tax reclaims on donations and gifts Income from tax reclaims is included in the SoFA at the same time as the Donated services and facilities gift/donation to which it relates. These are only included in income (with an equivalent amount in expenditure) where the benefit to the Charity is reasonably quantifiable, measurable and material.

Volunteer help Investment income The value of any volunteer help received is not included in the accounts. Gains/(losses) on revaluation of This is included in the accounts when receivable. This includes any gain or fixed assets loss resulting from revaluing investments to market value at the end of the year.

Gains/(losses) on investment assets

This includes any gain or loss on the sale of investments.

79

Expenditure Recognition of expenditure

Expenditure is recognised on an accruals basis. Expenditure includes any VAT which cannot be fully recovered, and is reported as part of the expenditure to which it relates.

Expenditure on raising funds Expenditure on charitable activities

These comprise the costs associated with attracting voluntary income, fundraising trading costs and investment management costs.

These comprise the costs incurred by the Charity in the delivery of its activities and services in the furtherance of its objects, including the making of grants and governance costs.

Grants payable

All grant expenditure is accounted for on an actual paid basis plus an accrual for grants that have been approved by the trustees at the end of the year but not yet paid.

Governance costs

These include those costs associated with meeting the constitutional and statutory requirements of the Charity, including any audit/independent examination fees, costs linked to the strategic management of the Charity, together with a share of other administration costs.

Other expenditure

These are support costs not allocated to a particular activity.

Taxation

The charity is exempt from tax on its charitable activities.

Freehold investment property

Investment properties are measured initially at cost and subsequently at fair value at each balance sheet date and are not depreciated. All gains or losses are taken to the Statement of Financial Activities as they arise.

Stocks

Stock is included at the lower of cost or net realisable value. Donated items of stock are recognised at fair value which is the amount the charity would have been willing to pay for the items on the open market.

Trade and other 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 and cash equivalents

Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company’s cash management.

Trade and other creditors

Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity 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.

80

Research and development

Expenditure on research and development is written off in the year in which it is incurred.

Foreign currencies

Monetary assets and liabilities denominated in currencies other than the functional currency of the charity are translated at the rates of exchange prevailing at the end of the reporting period. Transactions in currencies other than the functional currency of the charity are recorded at the rate of exchange on the date that the transaction occurred. All exchange differences are are taken into account in arriving at net income/expenditure.

Leased assets

Where the charity enters into a lease which entails taking substantially all the risks and rewards of ownership of an asset, the lease is treated as a finance lease.

Leases which do not transfer substantially all the risks and rewards of ownership to charity are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the charity at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the balance sheet date as a finance lease obligation.

Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately, unless they are directly attributable to qualifying assets, in which case they are capitalised in accordance with the charity’s policy on borrowing costs. Assets held under finance leases are depreciated in the same way as owned assets.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term. In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis.

Pension costs

The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the charity pays fixed contributions into a separate entity. Once the contributions have been paid the charity has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the charity in independently administered funds.

Receipt of donated goods, facilities and services

All donated goods, facilities and services received are recognised within incoming resources and expenditure at an estimate of the value to the charity.

81

SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

Income and endowm¬ents from:
Donations and legacies
Total
Expenditure on:
Raising funds
Charitable activities
Other
Total
Net income
Net income before other
gains/(losses)
Other gains and losses:
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
Income from donations
and legacies
Donations and gifts from
individuals
Expenditure on raising funds
Fundraising trading costs		 Unrestriced
funds
2020
£
Total funds
2019
171,644
171,644
171,644
171,644
18,250
18,250
145,148
145,148
9,298
9,298
172,696
172,696
(1,052)
(1,052)
(1,052)
(1,052)
(1,052)
(1,052)
107,455
107,455
106,403
106,403
Unrestricted Total 2020 Total 2019
448,416
448,416
171,644
448,416
448,416
171,644
Unrestricted Total 2020 Total 2019
18,681
18,681
18,250
18,681
18,681
18,250

82

SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

Expediture on
charitable activities
Grants made
Governance costs
Other expenditure
Employee costs
Motor and travel costs
Amortisation, depreciation,
impairment, proft/loss on
disposal of fxed assets
General administrative costs
Legal and professional costs
Net income/(expenditure) before
transfers
This is stated after charging:
Depreciation of owned fxed
assets
Staf costs
No employee received
emoluments in excess of £60,000.		 187,921
187,921
145,1484
Unrestricted funds Total funds Total funds
2020
2020
2019
£
£
£
187,921
187,921
145,148
35,580
35,580
4,650 4,650 587
1,337 1,337
Unrestricted funds Total funds Total funds
2020
2020
2019
£
£
£
7,669 7,669 7,511
35,380
35,380 1,200
84,616
84,616
9,298
1,337

83

SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

2020 2019
10 Tangible fxed assets
Cost or revaluation
Additions 6,687
At 30 June 2020 ~~6,687~~
Depreciation and impairment 1,337
Depreciation charge for the year ~~1,337~~ ~~107,603~~
At 30 June 2020
Net book values 5,350
At 30 June 2020
~~2020~~ ~~2019~~
11 Creditors:
amounts falling due within one year 3,700 1,200
Accruals and deferred income 3,700 1,200
12 Movement in funds At 1
 July
 Incoming resources
(including other gains/losses)		 Resources
expended		 At 30 June
Restricted funds:
Unrestricted funds:
General funds
Revaluation Reserves: 106,40 448,416
 (291,218) 263,601
Total funds: 106,403
448,416
 (291,218) 263,601
Unrestricted Total
funds £
13 Analysis of net assets between funds £
Fixed assets 5,350
258,251		 5,350
258,251
Net current assets 263,601 263,601

84

SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

SALAM CHARITY
BALANCE SHEET
at 30 June 2020
Charity No. 1142191
Unrestricted Total
funds £
14 Reconciliation of net debt £
Cash and cash equivalents 107,603 154,348 261,951
107,603 154,348 261,951
Net debt 107,603 154,348 261,951
2020 2019
Cash fows from operating activities Net in-
come/(expenditure) per Statement of Financial		 157,198 (1,052)
Activities
Adjustments for:
Depreciation of property, plant and equipment 1,337
Increase in trade and other payables 2,500
 1,200
Net cash provided by operating activities 161,035 148
Cash fows from investing activities
Payments for property, plant and equipment (6,687)
Net cash used in investing activities (6,687)
 -
Net cash from fnancing activities -
 -
-
 -
Net increase in cash and cash equivalents 154,348 148
Cash and cash equivalents at the beginning of 107,603 107,455
the year
Cash and cash equivalents at the end of the year 261,951 107,603
Components of cash and cash equivalents
Cash and bank balances 261,951 107,603
261,951 107,603

85

SALAM CHARITY BALANCE SHEET

at 30 June 2020 Charity No. 1142191

Income and endowm¬ents from:
Donations and legacies
Donations and gifts from
individuals
General administrative costs,
including depreciation and
amortisation
Depreciation of
Information and publications
Stationery and printing
Sundry expenses
Charity No. 1142191		 448,416
448,416 171,644
448,416
448,416 171,644
Unrestricted
funds
Total funds Total funds
2020
2020
2019
£
£
£
18,681
18,681
18,250
18,681
18,681
18,250
18,681 18,681
18,250
187,921
187,921
145,148
187,921
187,921
145,148
35,580
35,580
35,580
35,580
4,650
4,650
587
4,650
4,650
587
1,337
1,337
-
4,920
4,920
6,310
963
963
-
1,786
1,786
1,201
9,006
9,006
7,511

86

SALAM CHARITY Detailed Statement of Financial Activities

at 30 June 2020 Charity No. 1142191

Total of expenditure of other costs
Total expenditure 84,616 84,616 9,298
291,218
 291,218 172,696
Net income/(expenditure)
157,198
 157,198 1,052
Net income/(expenditure) before other
gains/(losses)		 157,198
 157,198 1,052
Other Gains
Net movement in funds
Reconciliation of funds: 157,198 157,198 1,052
Total funds brought forward
106,403 106,403 107,455
Total funds carried forward
263,601 263,601 106,403

87

Salam Charity UK 483 Green Lanes London N13 4BS United Kingdom

The text of this document (this excludes, where present, Salam Charity and partner agency logos) may not be reproduced without the express permission of Salam Charity and provided that it is reproduced accurately and not in a misleading context. The material must be acknowledged as Salam Charity copyright and the document title specified. Photographs copyright of Salam Charity except where otherwise identified. Permission from copyright holders must be sought before any photographs are reproduced. You can download this publication from salamcharity.org.uk/news

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