2022-03-31-accounts - Al-Habib Islamic Educational And Cultural Centre Swindon

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Registered number 07885475 Charity number 1146042

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee)

Report and Accounts

For the Year ended

31 March 2022

Oakensen Limited

Chartered Accountants 31 Stallard Street Trowbridge Wiltshire BA14 9AA

Al-Habib Islamic Educational and Cultural Centre Swindon

(A company limited by guarantee) Trustees Annual Report

The trustees, who are also directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2022.

OBJECTIVES AND ACTIVITIES

Objectives and activities

The main objectives of the charity are to advance Islamic awareness for the benefit of the community in accordance with the statements of belief, advance the education of Muslim inhabitants, provide facilities for religious worship, secure the establishment of an Islamic centre, promote other charitable activities and provide general advice to residents in the Swindon area. The aim of the charity is to provide for the cultural and educational needs of Muslims with a view to creating a healthy existence amongst wider communities.

Achievements and performance

All volunteers have returned to normal responsibilities and have started post-pandemic activities in the upkeep of Al-Habib Islamic Centre and liaising with communities. While keeping health and safety measures in place, we were able to carry out some important events to support large charitable projects:

Organised a large representative event with all Muslim organisations in Swindon to support a new large cancer treatment hospital run by Imran Khan. This new modern hospital is being constructed in the city of Karachi, Pakistan, however a significant contribution has been made by communities living
New schools visited us and others have show interest in our activities.
Social events were held designed to bring life to "New normality."
Full restoration of religious and educational activities.

The total income received during the period was £155,086 (2021 - £128,818) and total expenses were £104,335 (2021 - £77,358) leaving a net surplus of £50,751 (2021 - £51,460) which is carried forward to next year.

Reserves policy

The charity has a reserve policy that the unrestricted reserves should be at least £25,000.

PLANS FOR FUTURE PERIODS

We will continue to draw a longer-term plan in association with Swindon Borough Council and our members on assessing the needs for the post pandemic period and for years to come. Until then we will continue to work safely with all communities, multifaith organisation and local authorities to further the welfare of Swindon inhabitants. We already have firm commitment to provide legal, social and general advice from our office located on Manchester Road, formerly known as Millen Advice Point. We aim to upgrade the building to comply with safety regulations and are drawing plans for facilities provisions for the future i.e. toilets, extension and maintenance.

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Trustees Annual Report

REFERENCE AND ADMINISTRATIVE DETAILS

Charity number: 1146042 Company number: 07885475 Registered Office: 88 Chapel Street, Swindon, Wiltshire, SN2 8DA

Our Advisors

Examiners: Oakensen Bankers: Lloyds, 5 High Street, Swindon, SN1 3EN Directors and trustees Directors Mr Abdul Latif Mr Atiff Ghafar Mr Syed Safdar Ali Naqvi Mr Khan Ahmad Nawaz Elected trustees Mr Mahmood Ahmad Mr Mohammad Jahangeer Mr Tariq Mahmood Mr Waseem Shahzad Mr Taimur Shahid Rafique Mr Muhammad Munir Secretary Mr Abdul Latif

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing Document

Al-Habib Islamic Educational and Culture Centre Swindon is a company limited by guarantee, governed by its Memorandum and Articles of Association dated 16th December 2011, and amended by special resolutions dated 17th February 2012 and 8th July 2019. A code of conduct has been agreed by the management committee and it is a part of the governing document.

Appointment of Trustees

Trustees are appointed by the members and no more than 15 trustees can be elected at one time.

Risks

The charity relies on grants and donations, and rent from the hire of its premises, to fund its operations. As far as is possible the trustees limit expenditure to the availability of resources.

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Trustees Annual Report

RESPONSIBILITIES OF THE TRUSTEES

The trustees (who are also the directors of Al-Habib Islamic Educational and Cultural Centre Swindon for the purpose of company law) are responsible for preparing the Trustees Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice)

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.

The trustees are also responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which are sufficient to show and explain the charity's transactions and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

This report was approved by the board on

……………………………………. Mr Abdul Latif Trustee

……………………………………. Mr Mahmood Ahmad Trustee

Al-Habib Islamic Educational and Cultural Centre Swindon

(A company limited by guarantee) Independent examiner's report

I report on the accounts of the charity for the year ended 31 March 2022, set out on pages 5 to 10.

Responsibilities and basis of report

As the charity's trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

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

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

the accounting records were not kept in accordance with section 130 of the Charities Act; or
the accounts did not accord with the accounting records; or
the accounts did not comply with the applicable requirements concerning the form and content of accounts s out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accoun give a 'true and fair' view which is not a matter considered as part of an independent examination.

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

David Oakensen FCA

Independent Examiner

Oakensen Limited

Chartered Accountants 31 Stallard Street Trowbridge Wiltshire BA14 9AA

Al-Habib Islamic Educational and Cultural Centre Swindon

(A company limited by guarantee)

Statement of Financial Activities (including Income and Expenditure account) for the year ended 31 March 2022

INCOME AND ENDOWMENTS FROM: Income from donations and legacies 2 Income from charitable activities 3 Interest receivable Other operating income 4 TOTAL INCOME AND ENDOWMENTS EXPENDITURE ON: Direct charitable expenditure 5 Management and administration 6 TOTAL EXPENDITURE Net income Gross transfers between funds Gains and losses on revaluation of fixed assets Reconciliation of funds: Total funds at 1 April 2021 Total funds at 31 March 2022	Unrestricted Funds £ 106,077 40,939 8 - 147,024 88,991 2,702 91,693 55,331 - - 55,331 845,874 901,205	Restricted Funds £ - - - 8,062 8,062 8,062 - 8,062 - - 228,000 228,000 - 228,000	Total Funds 2022 £ 106,077 40,939 8 8,062 155,086 97,053 2,702 99,755 55,331 - 228,000 283,331 845,874 1,129,205	Total Funds 2021 £ 68,323 23,841 9 36,645 128,818 75,751 1,607 77,358 51,460 - - 51,460 794,414 845,874

Al-Habib Islamic Educational and Cultural Centre Swindon (Company Number 07885475)

(A company limited by guarantee) Balance Sheet

as at 31 March 2022

Notes Fixed assets Tangible assets 7 Investments 8 Current assets Debtors 9 Cash at bank and in hand Creditors: amounts falling due within one year 10 Net current assets Net assets Represented by: Unrestricted funds 11 Revaluation reserve 13	2022 £ 536,453 446,320 982,773 13,490 175,137 188,627 (42,195) 146,432 1,129,205 901,205 228,000 1,129,205	2021 £ 766,035 - 766,035 7,444 119,346 126,790 (46,951) 79,839 845,874 845,874 - 845,874

The trustees are satisfied that the company is entitled to exemption from the requirement to obtain an audit under section 477 of the Companies Act 2006 and that members have not required the company to obtain an audit in accordance with section 476 of the Act.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2020 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.

The financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and with the Financial Reporting Standard for Smaller Entities (effective July 2014).

…………………………………….

Mr Mahmood Ahmad President Approved by the board on

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Notes to the Accounts for the year ended 31 March 2022

1 Accounting policies

Basis of preparation

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Practice as it applies from 1 January 2015.

Incoming resources

All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of specific performance by the charity are recognised when the charity becomes unconditionally entitled to the grant.

Donated services and facilities are included at the value to the charity where this can quantified. The value of services provided by volunteers has not been included.

Gifts donated for resale are included as incoming resources within activities for generating funds when they are sold.

Income from investments is included in the year in which it is receivable.

Charitable expenditure

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates. Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes including the charity's shop. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Tangible fixed assets and depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land and investment property, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:

Land and buildings straight line over 50 years Plant and machinery 25% straight line

Investment property

Investment property is initially recognised at cost and then carried at fair value, derived from the current market prices for comparable property determined annually by the director using observable market prices, adjusted if necessary for any difference in the nature, location or condition of the specific asset. Changes in fair value are recognised in the statement of financial activities.

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Notes to the Accounts for the year ended 31 March 2022

Funds

Unrestricted funds can be used in accordance with the charitable objects at the discretion of the trustees. Restricted funds can only be used for particular purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. Expenditure which meets these criteria is charged to the fund. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Debtors

Short term debtors are measured at transaction price, which is usually the invoice price, less any impairment losses for bad and doubtful debts.

Creditors

Short term creditors are measured at transaction price, which is usually the invoice price.

Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

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.

No significant judgements have had to be made in preparing these financial statements.

2 Income from donations and legacies Donations 3 Income from charitable activities Rent received Gift aid tax refunds 4 Other operating income JRS and Covid grants	Unrestricted £ 106,077 106,077 Unrestricted £ 19,800 21,139 40,939 Unrestricted £ -	Restricted £ - - Restricted £ - - - Restricted £ 8,062	2022 £ 106,077 106,077 2022 £ 19,800 21,139 40,939 2022 £ 8,062	2021 £ 68,323 68,323 2021 £ 15,950 7,891 23,841 2021 £ 36,645

Al-Habib Islamic Educational and Cultural Centre Swindon

(A company limited by guarantee) Notes to the Accounts

for the year ended 31 March 2022

4 Expenditure on charitable activities Unrestricted Restricted £ £ Wages and salaries 14,438 8,062 Pensions 488 - Refreshments 5,333 - Travel 1,815 - Rates 379 - Water 190 - Light and heat 9,552 - Insurance 1,877 - Repairs and maintenance 17,425 - Telephone and internet 719 - Postage and stationery 294 - Website 300 - Charitable donations 19,032 - Depreciation 17,149 - 88,991 8,062 5 Other expenditure Unrestricted Restricted £ £ Accountancy 1,210 - Border agency fees 536 - Payroll and professional fees 408 - Sundry expenses 313 - Bank charges 235 - Other legal and professional - - 2,702 - 6 Staff salaries and wages Employer NI Pension costs Exceptional costs associated with introducing the Euro Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel	2022 £ 22,500 488 5,333 1,815 379 190 9,552 1,877 17,425 719 294 300 19,032 17,149 97,053 2022 £ 1,210 536 408 313 235 0 2,702 2022 £ 22,500 - 488 - 22,988	2021 £ 23,300 488 82 850 39 696 9,044 1,844 16,236 688 37 - 2,190 20,257 75,751 2021 £ 1,100 0 306 13 188 - 1,607 2021 £ 23,300 - 488 - 23,788

No employees had employee benefits in excess of £60,000 (2021: nil). Pension costs are allocated to activities in proportion to the related staffing costs incurred and are wholly charged to unrestricted funds.

The charity trustees were not paid or received any other benefits from employment with the Trust or its subsidiary in the year (2021: £nil) neither were they reimbursed expenses during the year (2021: £nil). No charity trustee received payment for professional or other services supplied to the charity (2021: £nil).

The average monthly head count was 3 staff (2021: 3 staff) and the all staff are involved in the running of the charities activities.

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Notes to the Accounts for the year ended 31 March 2022

7 Tangible fixed assets

Cost At 1 April 2021 Additions Disposals At 31 March 2022 Depreciation At 1 April 2021 Charge for the year At 31 March 2022 Net book value At 31 March 2022 At 31 March 2021 8 Investment Property Cost Additions Revaluation At 31 March 2022 Historical cost At 31 March 2022 9 Debtors Other debtors 10 Creditors: amounts falling due within one year Other taxes and social security costs Other creditors 11 Unrestricted funds Balance as at 1 April 2021 £ Unrestricted 845,874 845,874	Land and buildings £ 932,417 - (218,320) 714,097 171,210 14,068 185,278 528,819 761,207 Income £ 147,024 147,024	Plant and machinery £ 36,949 5,887 - 42,836 32,121 3,081 35,202 7,634 4,828 2022 £ 13,490 2022 £ 205 41,990 42,195 Expenditure £ (91,693) (91,693)	Total £ 969,366 5,887 (218,320) 756,933 203,331 17,149 220,480 536,453 766,035 Other investments £ 218,320 228,000 446,320 218,320 2021 £ 7,444 2021 £ 197 46,754 46,951 Balance as at 31 March 2022 £ 901,205 901,205

12 Restricted funds

Al-Habib Islamic Educational and Cultural Centre Swindon (A company limited by guarantee) Notes to the Accounts for the year ended 31 March 2022

Balance as at 1 April 2021 £ Salary and charitable donations - Other donations - 13 Revaluation reserve Arising on revaluation during the year At 31 March 2022	Income £ 8,062 8,062 16,124	Expenditure £ (8,062) (8,062) (16,124) 2022 £ 228,000 228,000	Balance as at 31 March 2022 £ - - -

14 Company limited by guarantee

Al-Habib Islamic Educational and Cultural Centre Swindon is a company limited by guarantee and accordingly does not have any share capital.

Every member of the company undertakes to contribute such amount as may be required not exceeding £1 to the assets of the charitable company in the event of its being wound up while he or she is a member, or within one year after he or she ceases to be a member.

15 Analysis of net assets between funds

Restricted funds Unrestricted funds Net assets at the end of the year	Fixed assets £ 228,000 754,773 982,773	Net current assets £ - 146,432 146,432	Total £ 228,000 901,205 1,129,205