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2023-09-30-accounts

REGISTERED COMPANY NUMBER: 07613549 (England and Wales) REGISTERED CHARITY NUMBER: 1142737

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

FOR

U K MENNONITE MINISTRIES

D.R.E. & Co. Limited Chartered Accountants Kingsland House 39 Abbey Foregate Shrewsbury Shropshire SY2 6BL

U K MENNONITE MINISTRIES

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 4
Independent Examiner's Report 5
Statement of Financial Activities 6
Balance Sheet 7
Notes to the Financial Statements 8 to 18

U K MENNONITE MINISTRIES

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 30 SEPTEMBER 2023

TRUSTEES J A Byler
D W Eberly
J M Fisher
J H Kulp
P E Martin
P W Miller
K D Witmer
COMPANY SECRETARY K D Witmer
REGISTERED OFFICE 44 Shrewsbury Road
Craven Arms
Shropshire
SY7 9PY
REGISTERED COMPANY 07613549 (England and Wales)
NUMBER
REGISTERED CHARITY 1142737
NUMBER
INDEPENDENT EXAMINER D.R.E. & Co. Limited
Chartered Accountants
Kingsland House
39 Abbey Foregate
Shrewsbury
Shropshire
SY2 6BL

Page 1

U K MENNONITE MINISTRIES (REGISTERED NUMBER: 07613549)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 30 September 2023. The trustees have adopted the provisions of Accounting and Reporting by Charities: 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) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The charity's object is the advancement of the Christian Faith. UKMM began activities in February 2012. From the original three families that moved from America, the church the charity planted continues to grow. The youth sing and pass out tracts on the streets several times a month in Shropshire and several times a year travel further out to other cities. The church communicates with contacts from the U.K. and from the Continent.

The charity has their own meeting house at Gillawarra, Clun Road, Craven Arms, Shropshire, SY7 9AA. Regular meetings for worship, teaching and fellowship are held. Sunday School is also provided for the families who attend. They also made a considerable effort to start a Sunday School for the local community in the summer of 2022 and consider further how to develop it.

Extensive support is provided for those involved in Home Schooling. The charity's subsidiary trading company has seen a steady demand for Rod & Staff school publications and other teaching materials. The 16th annual Bible Conference took place in December 2023, at the Cefn Lea Conference Centre in Wales. The conference was well supported by delegates from the UK, America and other European countries.

The Trustees have considered the Commission's guidance on public benefit, and in particular, the specific guidance on charities for the advancement of religion, and are committed to providing a place of worship, community and pastoral care and support for those who attend the church, as well as for those in the local community who are known to be in need. All of the Church's activities are focused around the worship of God, obedience to the Word of God and the expression of the love of Jesus to those affiliated to the local Mennonite church and to the surrounding communities.

In line with many other charities UK Mennonite Ministries is heavily reliant on the services of volunteers who assist in various ways to achieve the charities objectives and the trustees are grateful to those who give their services voluntarily.

ACHIEVEMENT AND PERFORMANCE

The charity operates a church known as the Shropshire Hills Mennonite Church which has welcomed new members and now has a total of thirty one adults. Three ordained ministers share the duties of pastoring and teaching. All the sermons are recorded and made available for local and national distribution. Other publications are also available, such as ‘The Christian Contender’, ‘The Christian Example’, ‘The Christian School Builder’, ‘The Christian Pathway’ and ‘The Wee Lambs’.

The church also engages in activities of outreach through revival meetings, ‘Songs of Praise’, and singing and passing tracts on the streets.

The charity has a part time school to assist families in the church community to home educate their children and also help other families with education. The trustees have made small gifts to individuals to meet financial needs. The subsidiary company, Shepherd Hills Furniture Limited has continued to grow and its hand crafted, hardwood furniture has retail outlets in Shrewsbury and Craven Arms. The latter is also a Christian bookshop and tea room.

UKMM has a ministry where singles can be mentored by living within the church community. This mentoring includes spiritual teaching and learning the disciplines and practical life skills required to be an asset to the community and to society. More youth are welcomed to this ministry.

Shepherd Hills Bible Correspondence Courses has also been established and provides free Bible Study courses including exams and grading.

Page 2

U K MENNONITE MINISTRIES (REGISTERED NUMBER: 07613549)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

FINANCIAL REVIEW

During the year under review the charity had a deficit of income over expenditure of £77,643 (2022- £191,184 Surplus). The trustees are grateful for the continued financial support of United Kingdom Mennonite Ministries which has made donations to UK Mennonite Ministries and has confirmed that it will continue to support the UK charity financially in order to meet its charitable objectives.

It is the policy of the charity that net current assets held in unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between one and three month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. Unrestricted net current assets at the end of the year were £31,777 which exceed three month's unrestricted fund expenses amounting to £23,739. The charity continues to be reliant on the continued financial support of United Kingdom Mennonite Ministries in the USA and are pleased that the higher reserves bring greater resilience. The board of that organisation has confirmed it will support the UK charity to ensure its continued future operations. The trustees are working towards improving self-reliance.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The charity is a company limited by guarantee.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Paul Martin

Kenneth Witmer

James Kulp

James Byler

Dirk Eberly

John Fisher

Paul Miller

The trustees of the charity are also members of the charity. Trustees must retire by rotation; one third every year. Trustees are appointed by existing trustees and new trustees are familiarised with their duties and responsibilities by existing trustees. During the year under review Paul Martin and James Kulp retired by rotation and all were re-appointed.

None of the trustees has any beneficial interest in the company. All the trustees are members of the company and guarantee to contribute £10 in the event of a winding up.

The charity is associated with the North Central Mennonite Churches in the United States. The trustees of the charity are under the spiritual oversight of the bishop and counselling bishops in the US. The North Central Mennonite Churches have set up an organisation in the US called United Kingdom Mennonite Ministries which has raised money for the activities in the UK. However, the UK charity operates independently from the US charity and is financially and administratively self-governing. The US organisation, United Kingdom Mennonite Ministries, has total control of funds it raises and is at liberty to remit or restrict these funds for use in the UK. Spiritual oversight and direction in the UK is provided by three church leaders, who fill this role on a voluntary basis.

The charity has a wholly owned subsidiary, Shepherd Hills Furniture Limited, which manufactures and sells furniture and also retails books and bakery items. In the current year the charity made the decision to privatize and sell Shepherd Hills Furniture, Ltd. and strengthen their focus on their object—the advancement of the Christian faith.

Page 3

U K MENNONITE MINISTRIES (REGISTERED NUMBER: 07613549)

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 SEPTEMBER 2023

EVENTS SINCE THE END OF THE YEAR

Information relating to events since the end of the year is given in the notes to the financial statements.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of U K Mennonite Ministries for the purposes of company law) are responsible for preparing the Report of the Trustees 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 those financial statements, the trustees are required to

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They 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.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 12 September 2024 and signed on its behalf by:

K D Witmer - Trustee

Page 4

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF U K MENNONITE MINISTRIES

Independent examiner's report to the trustees of U K Mennonite Ministries ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 30 September 2023.

Responsibilities and basis of report

As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.

Independent examiner's statement

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

  1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

F Nock FCCA

D.R.E. & Co. Limited Chartered Accountants Kingsland House 39 Abbey Foregate Shrewsbury Shropshire SY2 6BL

13 September 2024

Page 5

U K MENNONITE MINISTRIES

STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 SEPTEMBER 2023

Unrestricted
fund
Notes
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
4
81,114
Charitable activities
6
Other Charitable Income
1,269
Rental Income
4,600
Other Income
159
Investment income
5
43
Total
87,185
EXPENDITURE ON
Charitable activities
7
Staff Costs
11,025
Depreciation
9,055
Bible Conference
17,496
Church Hall Costs
5,977
Schoolroom Running Costs
13,372
Rent of Ministerial Accommodation
15,335
Church Supplies
1,104
Evangelism and Outreach
-
Hospitality
2,781
Books and Literature
3,730
Other Miscellaneous Costs
21
Grants to Institutions
-
Grants to Institutions - Mission Fund
-
Grants to Individuals
5,477
Administrative Costs
2,088
Accountancy
7,097
Insurance
400
Legal and Professional
-
Total
94,958
Net gains/(losses) on investments
(44,098)
NET INCOME/(EXPENDITURE)
(51,871)
Transfers between funds
20
(25,772)
Net movement in funds
(77,643)
RECONCILIATION OF FUNDS
Total funds brought forward
767,981
TOTAL FUNDS CARRIED FORWARD
690,338		 Restricted
funds
£
21,899
-
-
-
-
21,899
41,323
-
-
1,455
-
-
-
-
-
-
-
-
4,473
-
-
-
-
420
47,671
-
(25,772)
25,772
-
-
-		 30.9.23
Total
funds
£
103,013
1,269
4,600
159
43
109,084
52,348
9,055
17,496
7,432
13,372
15,335
1,104
-
2,781
3,730
21
-
4,473
5,477
2,088
7,097
400
420
142,629
(44,098)
(77,643)
-
(77,643)
767,981
690,338		 30.9.22
Total
funds
£
146,865
895
4,642
143,164
-
295,566
52,606
9,486
10,089
3,319
10,038
15,665
195
1,229
849
1,244
252
3,111
3,325
4,130
2,082
4,800
420
864
123,704
19,322
191,184
-
191,184
576,797
767,981

The notes form part of these financial statements

Page 6

U K MENNONITE MINISTRIES (REGISTERED NUMBER: 07613549)

BALANCE SHEET

30 SEPTEMBER 2023

Notes
FIXED ASSETS
Tangible assets
14
Investments
15
CURRENT ASSETS
Debtors
16
Cash at bank
CREDITORS
Amounts falling due within one year
17
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
NET ASSETS
FUNDS
20
Unrestricted funds
TOTAL FUNDS		 30.9.23
£
539,215
119,346
658,561
7,687
39,352
47,039
(15,262)
31,777
690,338
690,338
690,338
690,338		 30.9.22
£
548,269
163,444
711,713
10,311
56,699
67,010
(10,742)
56,268
767,981
767,981
767,981
767,981

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 30 September 2023.

The members have not required the company to obtain an audit of its financial statements for the year ended 30 September 2023 in accordance with Section 476 of the Companies Act 2006.

These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.

The financial statements were approved by the Board of Trustees and authorised for issue on 12 September 2024 and were signed on its behalf by:

K D Witmer - Trustee

The notes form part of these financial statements

Page 7

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

1. CHARITY INFORMATION

UK Mennonite Ministries is a private company limited by guarantee incorporated in England and Wales. The registered office is 44 Shrewsbury Road, Craven Arms, Shropshire, SY7 9PY, UK.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements have been prepared in accordance with the charity's memorandum and articles of association, the Companies Act 2006 and "Accounting and Reporting by Charities: 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) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.

The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The accounts have been prepared under the historical cost convention, modified to include the revaluation of certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid is recognised at the time of the donation.

In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised in these accounts. More information about the contribution of volunteers is provided in the trustees' report.

Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is recognised once there is a legal and constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Grants and donations payable are taken into account at the earlier of when they are paid or become legally enforceable.

Other than normal commitments under contracts of employment there are no contractual or constructive obligations to future expenditure at the balance sheet date. Where the trustees have authorised expenditure which is not yet legally enforceable or has become a constructive obligation, amounts are set aside into funds designated for the purpose.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Assets costing £250 or less are not capitalised but written off as an expense in the year in which the expenditure is incurred.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their

continued...

Page 8

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

2. ACCOUNTING POLICIES - continued

Tangible fixed assets

useful lives on the following bases:

Buildings 50 years - land is not depreciated Fixtures, fittings & equipment 25% straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

Amounts owing to or from group companies

Amounts owing to or from group companies are stated in the balance sheet at the amount of capital outstanding plus interest accrued and unpaid at the balance sheet date.

Going concern

The charity is supported by a charitable organisation in the United States of America which has indicated that it will continue to support the UK charity until it has sufficient other sources of income to be self supporting. The directors therefore have a reasonable expectation that the charity will have adequate resources to continue in operational existence for at least a further 12 months. Accordingly, they continue to adopt the going concern basis in preparing the annual report and financial statements.

Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Changes in fair value are recognised in net income/ (expenditure) for the year. Transaction costs are expensed as incurred.

Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

Financial instruments

The charity has only financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value or fair value.

continued...

Page 9

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

2. ACCOUNTING POLICIES - continued

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Foreign exchange

Transactions denominated in foreign currencies are recorded at the rate ruling at the date of the transaction.

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Net exchange differences are included in the statement of financial activities; gains in other incoming resources and losses in support costs.

3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

4. DONATIONS AND LEGACIES

DONATIONS AND LEGACIES
Gifts
Donations
Gift aid
INVESTMENT INCOME
Other Interest		 30.9.23
£
4,199
93,234
5,580
103,013
30.9.23
£
43		 30.9.22
£
6,409
136,323
4,133
146,865
30.9.22
£
-

5. INVESTMENT INCOME

continued...

Page 10

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

6. INCOME FROM CHARITABLE ACTIVITIES

INCOME FROM CHARITABLE ACTIVITIES
Activity
Charitable income
Other Charitable Income
Charitable rental income
Rental Income
Other income
Other Income		 30.9.23
£
1,269
4,600
159
6,028		 30.9.22
£
895
4,642
143,164
148,701
  1. CHARITABLE ACTIVITIES COSTS
7.
CHARITABLE ACTIVITIES COSTS
Staff Costs
Depreciation
Bible Conference
Church Hall Costs
Schoolroom Running Costs
Rent of Ministerial Accommodation
Church Supplies
Hospitality
Books and Literature
Other Miscellaneous Costs
Grants to Institutions - Mission Fund
Grants to Individuals
Administrative Costs
Accountancy
Insurance
Legal and Professional
8.
GRANTS PAYABLE
Grants to Institutions
Grants to Institutions - Mission Fund
Grants to Individuals
The total grants paid to institutions during the year
Grace Press
Suceava Church
Lakeside Mennonite Church
Grants <£1,000
Lamp and Lake
Georgia Mission		 Direct
Costs
£
52,348
9,055
17,496
7,432
13,372
15,335
1,104
2,781
3,730
21
-
-
-
-
-
-
122,674
was as follows:		 Grant
funding of
activities
(see note
8)
£
-
-
-
-
-
-
-
-
-
-
4,473
5,477
-
-
-
-
9,950		 Support
costs (see
note 9)
£
-
-
-
-
-
-
-
-
-
-
-
-
2,088
7,097
400
420
10,005
30.9.23
£
-
4,473
5,477
9,950
30.9.23
£
-
-
-
1,698
1,345
1,430
4,473		 Totals
£
52,348
9,055
17,496
7,432
13,372
15,335
1,104
2,781
3,730
21
4,473
5,477
2,088
7,097
400
420
142,629
30.9.22
£
3,111
3,325
4,130
10,566
30.9.22
£
1,241
1,770
1,915
1,510
-
-
6,436
6,436

continued...

Page 11

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

8. GRANTS PAYABLE - continued

9. SUPPORT COSTS

SUPPORT COSTS
Administrative Costs
Accountancy
Insurance
Legal and Professional		 Support
Governance
costs
costs
£
£
2,088
-
-
7,097
400
-
-
420
2,488
7,517		 Totals
£
2,088
7,097
400
420
10,005

Included within governance costs are amounts payable to the independent examiner of £2,256 (2022:£1,650) for the independent examination of the statutory accounts and £4,841 (2022:£3,150) for other accountancy work.

10. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

30.9.23 30.9.22
£ £
Depreciation - owned assets 9,054 9,486

11. TRUSTEES' REMUNERATION AND BENEFITS

Two children of one of the trustees received remuneration during the year totalling £43,776 (2022: £34,846), one is employed as a teaching assistant, the other is employed by Shepherd Hills Furniture Limited. Specific permission to employ them was granted by the Charity Commission.

None of the other trustees (or any persons connected with them) received any remuneration or expenses during the year.

12. STAFF COSTS

STAFF COSTS
30.9.23

£
Wages and salaries
50,016
Social security costs
1,896
Other pension costs
436
52,348
The average monthly number of employees during the year was as follows:
30.9.23

School room
4
Community hosts
2
6		 30.9.22
£
49,358
2,628
620
52,606
30.9.22
2
3
5

No employees received emoluments in excess of £60,000.

continued...

Page 12

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

13.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
fund
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
125,604
Charitable activities
Other Charitable Income
895
Rental Income
4,642
Other Income
143,164
Total
274,305
EXPENDITURE ON
Charitable activities
Staff Costs
46,553
Depreciation
9,486
Bible Conference
10,089
Church Hall Costs
3,319
Schoolroom Running Costs
10,038
Rent of Ministerial Accommodation
15,665
Church Supplies
195
Evangelism and Outreach
1,229
Hospitality
849
Books and Literature
1,244
Other Miscellaneous Costs
252
Grants to Institutions
3,111
Grants to Institutions - Mission Fund
-
Grants to Individuals
4,130
Administrative Costs
2,082
Accountancy
4,800
Insurance
420
Legal and Professional
144
Total
113,606
Net gains on investments
19,322
NET INCOME
180,021
Transfers between funds
11,163
Net movement in funds
191,184
RECONCILIATION OF FUNDS
Total funds brought forward
576,797
TOTAL FUNDS CARRIED FORWARD
767,981		 Restricted
funds
£
21,261
-
-
-
21,261
6,053
-
-
-
-
-
-
-
-
-
-
-
3,325
-
-
-
-
720
10,098
-
11,163
(11,163)
-
-
-		 Total
funds
£
146,865
895
4,642
143,164
295,566
52,606
9,486
10,089
3,319
10,038
15,665
195
1,229
849
1,244
252
3,111
3,325
4,130
2,082
4,800
420
864
123,704
19,322
191,184
-
191,184
576,797
767,981

continued...

Page 13

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

14. TANGIBLE FIXED ASSETS

COST
At 1 October 2022
Disposals
At 30 September 2023
DEPRECIATION
At 1 October 2022
Charge for year
Eliminated on disposal
At 30 September 2023
NET BOOK VALUE
At 30 September 2023
At 30 September 2022
15.
FIXED ASSET INVESTMENTS
MARKET VALUE
At 1 October 2022
Revaluations
At 30 September 2023
NET BOOK VALUE
At 30 September 2023
At 30 September 2022
There were no investment assets outside the UK.
Cost or valuation at 30 September 2023 is represented by:
Valuation in 2021
Valuation in 2022
Valuation in 2023
Cost		 Freehold
property
£
559,432
-
559,432
17,461
6,188
-
23,649
535,783
541,971		 Fixtures
and
fittings
Totals
£
£
15,311
574,743
(2,771)
(2,771)
12,540
571,972
9,013
26,474
2,866
9,054
(2,771)
(2,771)
9,108
32,757
3,432
539,215
6,298
548,269
Shares in
group
undertakings
£
163,444
(44,098)
119,346
119,346
163,444
Shares in
group
undertaking
£
133,429
30,013
(44,098)
2
119,346

The subsidiary company was sold in May 2024 for its fair value at the time of £81,112.

continued...

Page 14

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
30.9.23 30.9.22
£ £
Other debtors 7,687 10,311
17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
30.9.23 30.9.22
£ £
Social security and other taxes 275 833
Other creditors 72 3,663
Amounts owed to subsidiary undertakings 4,257 2,815
Accrued expenses 10,658 3,431
15,262 10,742

18. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

30.9.23 30.9.22
£ £
Within one year 2,045 8,525

The charity rents a number of properties. One property is leased for 3 years from 1 October 2020. The other properties are generally held on short term tenancies with 1 or 2 month notice periods.

19. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted
fund
£
Fixed assets
539,215
Investments
119,346
Current assets
47,039
Current liabilities
(15,262)
690,338		 Restricted
funds
£
-
-
-
-
-		 30.9.23
Total
funds
£
539,215
119,346
47,039
(15,262)
690,338		 30.9.22
Total
funds
£
548,269
163,444
67,010
(10,742)
767,981

continued...

Page 15

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

20. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Restricted funds
Building Fund
School Fund
Mission Fund
TOTAL FUNDS
Net movement in funds, included in the above are
Unrestricted funds
General fund
Restricted funds
Building Fund
School Fund
Mission Fund
TOTAL FUNDS
Comparatives for movement in funds
Unrestricted funds
General fund
Restricted funds
Building Fund
Mission Fund
TOTAL FUNDS		 At
1.10.22
£
767,981
-
-
-
-
767,981
as follows:
Incoming
resources
£
87,185
8,629
8,857
4,413
21,899
109,084
At
1.10.21
£
576,797
-
-
-
576,797		 Net
movement
in funds
£
(51,871)
6,754
(32,466)
(60)
(25,772)
(77,643)
Resources
expended
£
(94,958)
(1,875)
(41,323)
(4,473)
(47,671)
(142,629)
Net
movement
in funds
£
180,021
11,177
(14)
11,163
191,184		 Transfers
between
At
funds
30.9.23
£
£
(25,772)
690,338
(6,754)
-
32,466
-
60
-
25,772
-
-
690,338
Gains and
Movement
losses
in funds
£
£
(44,098)
(51,871)
-
6,754
-
(32,466)
-
(60)
-
(25,772)
(44,098)
(77,643)
Transfers
between
At
funds
30.9.22
£
£
11,163
767,981
(11,177)
-
14
-
(11,163)
-
-
767,981

continued...

Page 16

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

20. MOVEMENT IN FUNDS - continued

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Building Fund
School Fund
Mission Fund
TOTAL FUNDS		 Incoming
resources
£
274,305
11,897
6,053
3,311
21,261
295,566		 Resources
expended
£
(113,606)
(720)
(6,053)
(3,325)
(10,098)
(123,704)		 Gains and
Movement
losses
in funds
£
£
19,322
180,021
-
11,177
-
-
-
(14)
-
11,163
19,322
191,184

The Building fund holds monies given for the purpose of acquiring a property for use by the church. The transfer to unrestricted funds arose as the funds were expended for the purpose given and to repay loans.

The School fund receives gifts towards the cost of running the school.

The Mission fund receives monies to support the work of other Christian workers and organisations.

21. RELATED PARTY DISCLOSURES

Remuneration of key management personnel

The key management are the trustees and none of them received any remuneration in the year.

Transactions with other related parties

The charity has a wholly owned subsidiary, Shepherd Hills Furniture Limited. The subsidiary's results are not consolidated in these accounts which are for the holding company as a separate entity. The charity has invested £2 by way of share capital in the subsidiary company.

The subsidiary company's principal activity is the construction and sale of handmade furniture, although it also sells Christian literature and homemade bakery products. The accounts of the subsidiary for the year to 30 September 2023 show net assets of £118,904 (2022- net assets of £163,444). For the year to 30 September 2023 the subsidiary's accounts show a loss of £44,540 (2022- profit £28,177).

The registered office of Shepherd Hills Furniture Limited is 44 Shrewsbury Road, Craven Arms, Shropshire SY7 9PY.

United Kingdom Mennonite Ministries in the US and UK Mennonite Ministries were controlled by a majority of common trustees during the year under review. United Kingdom Mennonite Ministries in the US made grants of £45,000 (2022- £158,720) to UK Mennonite Ministries during the year under review.

Many donations, other than from United Kingdom Mennonite Ministries USA, are received anonymously and it is not possible to identify donations from trustees. However, during the year identifiable donations of £18,035 (2022- £12,615) were received from trustees and related parties.

continued...

Page 17

U K MENNONITE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2023

22. POST BALANCE SHEET EVENTS

The subsidiary company was sold in May 2024 on an arms length basis for its fair value at the time of £81,112.

Page 18