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2022-12-31-accounts

CHARITY REGISTRATION NUMBER: 1142391

Walsall Independent Evangelical Church Unaudited Financial Statements

31 December 2022

ADAMS MOORE LIMITED

Accountants & Business Advisers

7 Victoria Road Tamworth Staffs B79 7HS

Walsall Independent Evangelical Church

Financial Statements

Year ended 31 December 2022

Page
Trustees' annual report 1
Statement of financial activities 5
Statement of financial position 6
Notes to the financial statements 7
The following pages do not form part of the financial statements
Detailed statement of financial activities 16
Notes to the detailed statement of financial activities 17

Walsall Independent Evangelical Church

Trustees' Annual Report

Year ended 31 December 2022

The partners present their report and the unaudited financial statements of the charity for the year ended 31 December 2022.

Reference and administrative details
Registered charity name Walsall Independent Evangelical Church
Charity registration number 1142391
Principal office Bath Street Centre
Bath Street
Walsall
WS1 3DB
The partners
Pastor M Webb
Elder D Prew (Resigned 6 November 2022)
Elder J Daniel
Accountants Adams Moore Limited
Accountants & Business Advisors
7 Victoria Road
Tamworth
Staffs
B79 7HS

1

Walsall Independent Evangelical Church

Trustees' Annual Report (continued)

Year ended 31 December 2022

Structure, governance and management

Governing document

The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.

Recruitment and appointment of new trustees

Trustees are selected by the members from the Elders of the church.

Wider network

The church is a member of the Fellowship of Independent Evangelical Churches and has a longstanding relationship with this organisation that pursues similar objectives in the UK and overseas. The church works within the fraternity of West Midlands FIEC churches assisting other churches and receives voluntary help itself where needed. During the year grants have been made to help the objectives which can best be done on a larger scale than the Walsall Independent Evangelical Church could do independently.

Risk management

The trustees have a duty to identify and review the risks to which the church is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. All major insurable risks are subject to normal churches and employers' insurance. Contractual risks are reviewed before being entered into to assess that they could not significantly impact upon the churches ability to fulfill its objectives. A review of all risk areas will be undertaken by the trustees in conjunction with staff and volunteers responsible for the area of activity. The scope of this assessment covers financial risk, insurance and health and safety. The areas that this will impact on are particularly child protection, fire safety, health and safety and tax and other legislative compliance together with the "knock on" impact on reputational risk. Risk management is aimed at ensuring the church achieves its objectives in the most effective way and that resources are directed at those objectives.

2

Walsall Independent Evangelical Church

Trustees' Annual Report (continued)

Year ended 31 December 2022

Objectives and activities

Objectives and aims

The primary aims of the trust are to fulfill the role of a Christian church in the Walsall area and to provide help to others in promoting the Christian faith in the United Kingdom and overseas. The church is not a building but a gathering of ordinary people of different ages and backgrounds whose lives have been changed by Jesus Christ, the Son of God. The New Testament reveals the church as a community of people, properly taught and cared for, who by loving and serving Jesus Christ, were also committed to love and care for each other and to bring a blessing to the area in which they lived. The Walsall Independent Evangelical Church, its trustees, elders and members are committed to the restoration of those New Testament principles. It is not alone in this, it is one of many churches in the area, country and all over the world that is re-discovering the excitement of knowing Jesus Christ. The vision is to see the people of Walsall come into this experience of knowing Jesus as their Lord, Saviour and friend.

Grantmaking

Gifts to external organisations and individuals are considered by the trustees on the basis of need and fulfillment of the charitable objectives. There are no upper or lower limits of support.

Achievements and performance

Over the course of the previous year, the trustees have sought to uphold the stated aims through regular services, seasonal and significant religious celebration including community events for the benefit of the general public. The church has continued to uphold the Christian faith in its regular services through preaching, Christian worship, prayer and fellowship. Each week the church has provided a programme of community events to benefit the elderly, children and young people in our locality. The church has also provided a program of events over Easter, Christmas and harvest, including outdoor community carol services and visits to nursing homes. The church has continued, in line with its stated aims, to use funds to support asylum seekers residing in our community. In line with the statement of beliefs, the church has held a baptism service, funeral services, weddings and services of thanksgiving to mark important life events. Community events, with suitable literature, have also been undertaken. As such, the trustees are satisfied that the charity has sought to use funds wisely and solely in support of its stated aims for the upholding and spreading of the Christian faith.

Financial review

Reserves policy

The trustees have set a policy of retaining reserves sufficient for the foreseeable needs of the church. Where there is specific capital expenditure foreseen amounts are set aside into designated funds so the free reserves (general reserves excluding amounts invested in assets for the churches use) are available to meet the costs of normal running and expansion of the church and to ensure the church can meet the commitments that have been entered into. The level of free reserves is not set as a specific formula but is anticipated to be between two and twelve months of the level of fixed expenditure over committed income. This policy is reviewed each year to determine if surplus funds have been generated and what action will be undertaken to use these to the greatest effect.

3

Walsall Independent Evangelical Church

Trustees' Annual Report (continued)

Year ended 31 December 2022

The trustees' annual report was approved on 26 June 2023 and signed on behalf of the board of trustees by:

Pastor M Webb Elder J Daniel Partner Partner

4

Walsall Independent Evangelical Church

Statement of Financial Activities

Year ended 31 December 2022

2022 2021
Unrestricted Restricted
funds funds Total funds Total funds
Note £ £ £ £
Income and endowments
Donations and legacies 4 104,809 23,903 128,712 81,451
Charitable activities 5 11,787 11,787 9,637
Other trading activities 6 208 208 994
Investment income 7 115 115 1
   
Total income 116,919 23,903 140,822 92,083
   
Expenditure
Expenditure on charitable activities 8,9 96,837 96,837 97,275
   
Total expenditure 96,837 96,837 97,275
   
   
Net income/(expenditure) and net
movement in funds 20,082 23,903 43,985 (5,192)
   
Reconciliation of funds
Total funds brought forward 238,628 57,722 296,350 301,542
   
Total funds carried forward 258,710 81,625 340,335 296,350
   

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 7 to 14 form part of these financial statements.

5

Walsall Independent Evangelical Church

Statement of Financial Position

31 December 2022

2022 2021
Note £ £
Fixed assets
Tangible fixed assets 12 259,282 259,282
Current assets
Debtors 13 18,236 17,283
Cash at bank and in hand 63,911 19,580
 
82,147 36,863
Creditors: amounts falling due within one year 14 1,094 (205)
 
Net current assets 81,053 37,068
 
Total assets less current liabilities 340,335 296,350
 
Net assets 340,335 296,350
 
Funds of the charity
Restricted funds 81,625 57,722
Unrestricted funds 258,710 238,628
 
Total charity funds 15 340,335 296,350
 

These financial statements were approved by the board of trustees and authorised for issue on 26 June 2023, and are signed on behalf of the board by:

Pastor M Webb Partner

Elder J Daniel Partner

The notes on pages 7 to 14 form part of these financial statements.

6

Walsall Independent Evangelical Church

Notes to the Financial Statements

Year ended 31 December 2022

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Bath Street Centre, Bath Street, Walsall, West Midlands, WS1 3DB.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of (enter name of group financial statements) which can be obtained from (enter detail). As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102: No cash flow statement has been presented for the company.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

7

Walsall Independent Evangelical Church

Notes to the Financial Statements (continued)

Year ended 31 December 2022

3. Accounting policies (continued)

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the partners for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

8

Walsall Independent Evangelical Church

Notes to the Financial Statements (continued)

Year ended 31 December 2022

3. Accounting policies (continued)

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Motor vehicles

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

9

Notes to the Financial Statements (continued)

Walsall Independent Evangelical Church

Year ended 31 December 2022

3. Accounting policies (continued)

Impairment of fixed assets (continued)

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cashgenerating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

10

Walsall Independent Evangelical Church

Notes to the Financial Statements (continued)

Year ended 31 December 2022

4. Donations and legacies

Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Donations
Donations 104,809 23,903 128,712
  
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Donations
Donations 67,849 13,602 81,451
  
5. Charitable activities
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Charitable Activities 11,787 11,787
  
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Charitable Activities 9,387 250 9,637
  
6. Other trading activities
Unrestricted Total Funds Unrestricted Total Funds
Funds 2022 Funds 2021
£ £ £ £
Other income 208 208 994 994
   
7. Investment income
Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Bank Interest 115 115
  
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Bank Interest 1 1
  

11

Notes to the Financial Statements (continued)

Walsall Independent Evangelical Church

Year ended 31 December 2022

8. Expenditure on charitable activities by fund type

Unrestricted Total Funds Unrestricted Total Funds
Funds 2022 Funds 2021
£ £ £ £
Charitable activities 95,402 95,402 94,647 94,647
Support costs 1,435 1,435 2,628 2,628
   
96,837 96,837 97,275 97,275
   

9. Expenditure on charitable activities by activity type

Activities
undertaken Total funds Total fund
directly Support costs 2022 2021
£ £ £ £
Charitable activities 95,402 95,402 94,647
Governance costs 1,435 1,435 2,628
   
95,402 1,435 96,837 97,275
   

10. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

2022 2021
£ £
Wages and salaries 48,951 45,798
 

The average head count of employees during the year was 3 (2021: 3).

No employee received employee benefits of more than £60,000 during the year (2021: Nil).

11. Trustee remuneration and expenses

There were no trustees' remuneration or other benefits for the year ended 31 December 2021 nor for the year ended 31 December 2020.

12. Tangible fixed assets

Freehold Motor
property vehicles Total
£ £ £
Cost
At 1 January 2022 and 31 December 2022 259,282 5,252 264,534
  
Depreciation
At 1 January 2022 and 31 December 2022 5,252 5,252
  
Carrying amount
At 31 December 2022 259,282 259,282
  
At 31 December 2021 259,282 259,282
  

12

Walsall Independent Evangelical Church

Notes to the Financial Statements (continued)

Year ended 31 December 2022

13. Debtors
2022 2021
£ £
Trade debtors 953
Other debtors 17,283 17,283
 
18,236 17,283
 
14. Creditors: amounts falling due within one year
2022 2021
£ £
Trade creditors 1,223
Accruals and deferred income 645 600
Social security and other taxes 581 550
Other creditors (1,355) (1,355)
 
1,094 (205)
 

15. Analysis of charitable funds Unrestricted funds

Unrestricted funds
At At
1 January 202 31 December
2 Income Expenditure 2022
£ £ £ £
General funds 238,628 116,919 (96,837) 258,710
   
At At
1 January 202 31 December
1 Income Expenditure 2021
£ £ £ £
General funds 257,673 78,230 (97,275) 238,628
   
Restricted funds
At At
1 January 202 31 December
2 Income Expenditure 2022
£ £ £ £
Restricted Fund 1 - Restricted funds 57,722 23,903 81,625
   
At At
1 January 202 31 December
1 Income Expenditure 2021
£ £ £ £
Restricted Fund 1 - Restricted funds 43,869 13,853 57,722
   

13

Notes to the Financial Statements (continued)

Walsall Independent Evangelical Church

Year ended 31 December 2022

16. Analysis of net assets between funds

Unrestricted Restricted Total Funds
Funds Funds 2022
£ £ £
Tangible fixed assets 259,282 259,282
Current assets 500 81,647 82,147
Creditors less than 1 year (1,072) (22) (1,094)
  
Net assets 258,710 81,625 340,335
  
Unrestricted Restricted Total Funds
Funds Funds 2021
£ £ £
Tangible fixed assets 259,282 259,282
Current assets (11,805) 48,668 36,863
Creditors less than 1 year 5,004 (4,799) 205
  
Net assets 252,481 43,869 296,350
  

14

Walsall Independent Evangelical Church

Year ended 31 December 2022

Management Information

The following pages do not form part of the financial statements.

15

Walsall Independent Evangelical Church

Detailed Statement of Financial Activities

Year ended 31 December 2022

2022 2021
£ £
Income and endowments
Donations and legacies
Donations 128,712 81,451
 
Charitable activities
Charitable Activities 11,787 9,637
 
Other trading activities
Other income 208 994
 
Investment income
Bank Interest 115 1
 
 
Total income 140,822 92,083
 
Expenditure
Expenditure on charitable activities
Purchases 7,688 4,990
Wages and salaries 48,951 45,798
Other establishment 17,842 22,735
Legal and professional fees 1,435 2,628
Other office costs 1,169 1,161
DetailedSOFAExpenditureOnCharitableActivitiesType2H 82 96
DetailedSOFAExpenditureOnCharitableActivitiesType3H 13,460 13,259
DetailedSOFAExpenditureOnCharitableActivitiesType4H 1,120 1,616
DetailedSOFAExpenditureOnCharitableActivitiesType5H 5,090 4,992
 
96,837 97,275
 
 
Total expenditure 96,837 97,275
 
 
Net income/(expenditure) 43,985 (5,192)
 

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Walsall Independent Evangelical Church

Notes to the Detailed Statement of Financial Activities

Year ended 31 December 2022

2022 2021
£ £
Expenditure on charitable activities
Charitable activities
Activities undertaken directly
Purchases 7,688 4,990
Wages/salaries 48,951 45,798
Property 17,842 22,735
Other office costs 1,169 1,161
Bank Charges 82 96
Evangelism 13,460 13,259
Service activities 1,120 1,616
Almshouses 5,090 4,992
 
95,402 94,647
 
Governance costs
Governance costs - accountancy fees 645 1,830
Governance costs - legal and other professional fees 790 798
 
1,435 2,628
 
 
Expenditure on charitable activities 96,837

97,275


17