Company registration number: 7638775 Charity registration number: 1146678
## Feltham Hira Association
(A company limited by share capital)
Annual Report and Financial Statements
for the Year Ended 31 May 2021
## **Feltham Hira Association**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 8|
|Independent Examiner's Report|9 to 10|
|Statement of Financial Activities|11|
|Balance Sheet|12 to 13|
|Notes to the Financial Statements|14 to 28|
## **Feltham Hira Association**
||**Reference and Administrative Details**|
|---|---|
|**Chairman**|Mr Faouzi Saffar|
|**Trustees**|Mr Abdelkrim Brahimi|
||Mr Faouzi Saffar|
||Mr Atmane Henine|
||Mr Said Bessadik|
|**Secretary**|Mr Abdelkrim Brahimi|
|**Charity Registration Number** 1146678||
|**Company Registration**|7638775|
|**Number**||
|**Registered Office**|102 Hounslow Road|
||Feltham|
||Middlesex|
||TW14 0AX|
|**Independent Examiner**|Zain Saleh FCCA|
||Suite 427 Legacy Centre|
||Hampton Road West|
||Feltham|
||Middlesex|
||TW13 6DH|
|**Bankers**|HSBC Bank plc|
||127 High Street|
||Hounslow|
||Middlesex|
||TW3 1QP|
Page 1
## **Feltham Hira Association**
## **Trustees' Report**
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 May 2021.
## **Objectives and activities**
## _**Objects and aims**_
The advancement of the Islamic faith for the benefit of the public according to Qur'an, Sunnah and Hadith.
Feltham Hira Association was established to advance the spiritual and social welfare of people through the religion of Islam. Its prime objective is to serve the Muslim Community of Feltham and surrounding areas and to make the mosque accessible and welcoming to people of all faiths and backgrounds.
We are proposing to amend the objects in line with the activities that we carry out. This is still being discussed with the Charity Commission.
Page 2
## **Feltham Hira Association**
## **Trustees' Report**
## _**Objectives, strategies and activities**_
## _Vision_
Firm faith, useful knowledge, civilized and respectful communication, mutual respect. Hira vision is to maintain its centre as a grassroots facility that serves and engage Muslims by promoting the progressive values and teaching of Islam while promoting and advocating inter-faith harmony in a multicultural environment in accordance with the Quran and Sunnah Hira Centre strives to be:
1. An upright place that promotes the values of moderation, kindness, charity, forgiveness, patience, perseverance and neighbourliness, in the spirit of Islamic teaching
2. To promote Islam as a true religion by means of engaging good conduct and good behaviour towards all members of our surrounding community.
3. A welcoming place for people of all backgrounds seeking an understanding of Islam and Muslims.
4. A family-friendly facility where people young and old, men, women and children are treated with respect and equality.
5. A peaceful sanctuary where people can come to worship and gather in tranquillity.
6. Practicing principles of moderation, tolerance, inclusiveness and conflict avoidance within the structural limits of the Quran and Sunnah in order to create unity among Muslims.
7. An egalitarian place where attitudes of racism and sexism are NOT tolerated whatsoever. Discussions expressing ideas or attitudes that support racism, misogyny, terrorism, extremism or any form of hate speech either oral, written or in multimedia format will not be allowed in the centre. Politically charged events and discussions are not permitted in the centre.
8. A community-oriented place that brings together a group of worshippers who will be gracious and helpful neighbours to the surrounding local community and support an atmosphere of peace, tolerance and cross-community sharing.
9. An interfaith space that provides a venue for faith communities to interact in a peaceful and harmonious atmosphere.
10. An informative place where access to other community services can be acquired.
11. A green space where environmentalism is promoted and practiced.
12. A charitable place where humanitarian and charitable causes are supported.
Page 3
## **Feltham Hira Association**
## **Trustees' Report**
## _Mission_
Hira aims at REACHING OUT TO ALL HUMANITY by promoting the role of the centre in terms of spirituality, knowledge, and behaviour. Hira Centre aims to be the focal point for the surrounding Muslim community of all ages and ethnic groups, In order to enhance understanding, develop their knowledge and dispel the many misconceptions about Islam, to bridge the gap between the communities by providing the necessary resources. We will work to enhance and improve the respect and cultivate our identity in the community with special consideration for the cultural diversity in the area.
Our end is to build bridges of communication to promote peaceful co-existence with communities of other faiths based on moderation and tolerance. We adopt for this purpose advanced and innovative programs, methods, and means through an experienced team.
## _Values_
We abide by the set of common values that will forever remain our primary reference and the foundation of our progress toward creating a strategy that actualizes our mission at all levels:
Moderation --> Leadership --> Innovation --> Partnership --> Corporate work
## Our Motto
- Our scholars are our spiritual leaders, our teachers, and our local guides.
- We say NO to fanaticism, and dictatorship in the name of religion.
- We believe in sacrificing, volunteerism, cooperation, forgiveness, tolerance, compassion,
- and action rather than words.
• Our Centre is our place of gathering, learning, sanctity, and a place for connecting with Allah SWT and the community. A place to cultivate hassanat (good deeds) for the eternal life hereafter.
Page 4
## **Feltham Hira Association**
## **Trustees' Report**
## **Significant activities**
In line with the government advice at that time, Hira's management agreed to temporarily stop all activities in the centre except those which were possible to deliver online using existing resources.
Educational activities:
The majority of the activities were stopped except the following:
- Tuition for GCSE students based on the national curriculum.
- Arabic classes are proposed to children with qualified teachers.
Disaster appeals:
To help easing the sufferings and provide assistance to the needy people in our community, all our volunteers were oriented toward this activity
- The Feltham Hira Association has been active in collecting funds/ food and distributed them to various people within our community.
- We helped in the making of coffins and assisting with the burials.
Community support activities:
- Mothers and toddlers in Feltham was suspended.
- The Feltham HIRA Association hosts the Feltham Foodbank which provides food packages to people referred by the London Borough of Hounslow
- Have a Cuppa and Enjoy a Chat programme was suspended.
- Visit My Mosque day was suspended.
Religious and spiritual support:
In line with the government guidance all these activities were suspended in that moment in time.
- Educational programmes for adults and children was suspended
- The Feltham HIRA Association provides premises for Muslims to perform their five daily prayers was suspended then re-instated with limited availability and restrictions.
- We only provided Ramadan prayers with restrictions due to the special circumstances the country was going through
Sports activities:
All sport activities were suspended due to the pandemic
Lectures and workshops:
All lectures and workshops were suspended in line with government guidance.
Page 5
## **Feltham Hira Association**
## **Trustees' Report**
## _**Public benefit**_
1. Advance the Islamic faith for the benefit of the public by maintaining and managing a mosque and a community centre in Feltham;
2. Advance education and to provide facilities for recreation with the objective of improving the general welfare for the general public, and in particular the Muslim community;
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Financial review**
## _**Policy on reserves**_
The trustees have set a reserves policy which requires:
1. Reserves be maintained at a level which ensures that the charity's activity could continue during a period of unforeseen difficulty.
2. A proportion of reserves be maintained in a readily realisable form.
The charity has adopted a reserves policy whereby three months of operational costs are kept by way of protected reserves.
## _**Principal funding sources**_
The charity's main source of income is donations in particular at Friday prayers.
## **Structure, governance and management**
## _**Nature of governing document**_
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
## _**Recruitment and appointment of trustees**_
The existing trustees are responsible for the recruitment of new trustees. In selecting new trustees, the existing trustees seek to identify people who regularly attend events organised by the charity and are willing to volunteer to help in our broader community work.
## _**Induction and training of trustees**_
Following appointment, new trustees are introduced to their new role and work with existing trustees on particular activities.
Page 6
## **Feltham Hira Association**
## **Trustees' Report**
## _**Organisational structure**_
The trustees are responsible for the general control and management of the charity. The trustees volunteer their time and receive no remuneration or other financial benefits. The trustees meet at least once a month and are responsible for all decisions relating to running the Mosque and community facilities and the activities provided by the charity.
## **Financial instruments**
## _**Objectives and policies**_
The charity's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the charity’s policies approved by the board of trustees, which provide written principles on the use of financial derivatives to manage these risks. The charity does not use derivative financial instruments for speculative purposes.
## _**Credit risk**_
The charity’s principal financial assets are bank balances and cash, trade and other receivables, and investments.
The charity’s credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows. The credit risk on liquid funds and derivative financial instruments is limited because the counterparties are banks with high credit-ratings assigned by international credit-rating agencies.
The charity has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers.
## _**Liquidity risk**_
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the charity uses a mixture of long-term and short-term debt finance.
Further details regarding liquidity risk can be found in the Statement of accounting policies in the financial statements.
## **Statement of Trustees' Responsibilities**
The trustees (who are also the directors of Feltham Hira Association for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Page 7
## **Feltham Hira Association**
## **Trustees' Report**
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and 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; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. 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.
The annual report was approved by the trustees of the charity on 26 May 2022 and signed on its behalf by:
......................................... Mr Faouzi Saffar Chairman and trustee
......................................... Mr Said Bessadik Trustee
Page 8
## **Feltham Hira Association**
## **Independent Examiner's Report to the trustees of Feltham Hira Association ("the Company")**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 May 2021.
## **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 Feltham Hira Association 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 Feltham Hira Association 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.
Page 9
## **Feltham Hira Association**
## **Independent Examiner's Report to the trustees of Feltham Hira Association ("the Company")**
...................................... Zain Saleh FCCA Association of Chartered Certified Accountants Suite 427 Legacy Centre Hampton Road West Feltham Middlesex TW13 6DH
26 May 2022
Page 10
## **Feltham Hira Association**
## **Statement of Financial Activities for the Year Ended 31 May 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations and legacies
3
Total income
**Expenditure on:**
Charitable activities
4
Total expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
15
**Note**
**Income and Endowments from:**
Donations and legacies
3
Total income
**Expenditure on:**
Charitable activities
4
Total expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
15|**Unrestricted**
**funds**
**£**
88,356
88,356
(45,456)
(45,456)
42,900
42,900
900,971
943,871
**Unrestricted**
**funds**
**£**
173,952
173,952
(107,167)
(107,167)
66,785
66,785
834,186
900,971|**Restricted**
**funds**
**£**
9,947
9,947
(4,840)
(4,840)
5,107
5,107
1,446
6,553
**Restricted**
**funds**
**£**
10,788
10,788
(9,342)
(9,342)
1,446
1,446
-
1,446|**Total**
**2021**
**£**
98,303|
|---|---|---|---|
||||98,303|
||||(50,296)|
||||(50,296)|
||||48,007|
||||48,007
902,417|
||||950,424|
||||**Total**
**2020**
**£**
184,740|
||||184,740|
||||(116,509)|
||||(116,509)|
||||68,231|
||||68,231
834,186|
||||902,417|
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 15.
The notes on pages 14 to 28 form an integral part of these financial statements. Page 11
## **Feltham Hira Association**
## **(Registration number: 7638775) Balance Sheet as at 31 May 2021**
|**Note**
**Fixed assets**
Tangible assets
11
**Current assets**
Debtors
12
Cash at bank and in hand
13
**Creditors: Amounts falling due within one year**
14
**Net current (liabilities)/assets**
**Net assets**
**Funds of the charity:**
**Restricted income funds**
Restricted funds
15
**Unrestricted income funds**
Unrestricted funds
**Total funds**
15|**2021**
**£**
995,225
6,804
68,088
74,892
(119,693)
(44,801)
950,424
881,119
69,305
950,424|**2020**
**£**
503,168
15,188
394,295|
|---|---|---|
|||409,483
(10,234)|
|||399,249|
|||902,417|
|||1,446
900,971|
|||902,417|
For the financial year ending 31 May 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
- The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
The notes on pages 14 to 28 form an integral part of these financial statements. Page 12
## **Feltham Hira Association**
## **(Registration number: 7638775) Balance Sheet as at 31 May 2021**
The financial statements on pages 11 to 28 were approved by the trustees, and authorised for issue on 26 May 2022 and signed on their behalf by:
......................................... Mr Faouzi Saffar Chairman and trustee
......................................... Mr Said Bessadik Trustee
The notes on pages 14 to 28 form an integral part of these financial statements. Page 13
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **1 Charity status**
The charity is limited by share capital, incorporated in .
The address of its registered office is: 102 Hounslow Road Feltham Middlesex TW14 0AX
These financial statements were authorised for issue by the trustees on 26 May 2022.
## **2 Accounting policies**
## **Summary of significant accounting policies and key accounting estimates**
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## **Statement of compliance**
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 in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
## **Basis of preparation**
Feltham Hira Association meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The presentation currency of the financial statements is pound sterling (£).
## **Going concern**
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Page 14
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **Exemption from preparing a cash flow statement**
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
## **Income and endowments**
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
## _**Donations and legacies**_
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
## _**Grants receivable**_
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
## _**Charitable activities**_
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.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
Page 15
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **Government grants**
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Tangible fixed assets**
Individual fixed assets costing £100.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
## **Depreciation and amortisation**
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
|**Asset class**|**Depreciation method and rate**|
|---|---|
|Improvements to property|20% on reducing balance|
|Fixtures and fittings|20% on reducing balance|
|Computer equipment|25% on reducing balance|
## **Trade debtors**
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Page 16
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
## **Foreign exchange**
Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are reported at the rates of exchange prevailing at that date.
The results of overseas operations are translated at the average rates of exchange during the period and their balance sheets at the rates ruling at the balance sheet date. Exchange differences arising on translation of the opening net assets and results of overseas operations are reported in other comprehensive income and accumulated in equity (attributed to non-controlling interests as appropriate).
Other exchange differences are recognised in the Statement of Financial Activities in the period in which they arise except for:
1) exchange differences on transactions entered into to hedge certain foreign currency risks (see above);
2) exchange differences arising on gains or losses on non-monetary items which are recognised in other comprehensive income; and
3) in the case of the consolidated financial statements, exchange differences on monetary items receivable from or payable to a foreign operation for which settlement is neither planned nor likely to occur (therefore forming part of the net investment in the foreign operation), which are recognised in other comprehensive income and reported under equity.
Page 17
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Designated funds are unrestricted funds set aside for specific purposes at the discretion of the trustees.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
## **Financial instruments**
## _**Classification**_
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
## _**Recognition and measurement**_
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
Page 18
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## _**Investments**_
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment.
Investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.
## _**Fair value measurement**_
The best evidence of fair value is a quoted price for an identical asset in an active market. When quoted prices are unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time since the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a good estimate of fair value, the fair value is estimated by using a valuation technique.
Page 19
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **3 Income from donations and legacies**
|**Unrestricted funds**
**Designated**
**£**
**General**
**£**
Donations and legacies;
Donations from individuals
24,706
60,535
**Total for 2021**
24,706
60,535
**Total for 2020**
18,036
155,916
**4 Expenditure on charitable activities**
**Unrestricted**
**funds**
**Note**
**General**
**£**
**Faith & worship core costs**
31,044
Depreciation, amortisation and
other similar costs
13,692
Governance costs
5
720
**Total for 2021**
45,456
**Total for 2020**
107,167|**Restricted**
**funds**
**£**
9,947
9,947
10,788
**Restricted**
**funds**
**£**
4,840
-
-
4,840
9,342|**Total**
**funds**
**£**
95,188|
|---|---|---|
|||95,188|
|||184,740|
|||**Total**
**funds**
**£**
35,884
13,692
720|
|||50,296|
|||116,509|
Page 20
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **5 Analysis of governance and support costs**
## **Governance costs**
|Independent examiner fees
Examination of the financial statements
**Total for 2021**
**Total for 2020**|**Unrestricted**
**funds**
**General**
**£**
720
720
720|**Total**
**funds**
**£**
720|
|---|---|---|
|||720|
|||720|
Page 21
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **6 Net incoming/outgoing resources**
Net incoming resources for the year include:
|Loss on disposal of fixed assets held for the charity's own use
Depreciation of fixed assets|**2021**
**£**
4,431
9,261|**2020**
**£**
-
11,514|
|---|---|---|
## **7 Trustees remuneration and expenses**
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any reimbursed expenses from the charity during the year.
## **8 Staff costs**
The aggregate payroll costs were as follows:
**2020 £**
## **Staff costs during the year were:**
Wages and salaries
7,869
The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full time equivalents was as follows:
|Imam
Teachers|**2021**
**No**
-
-
-|**2020**
**No**
1
2|
|---|---|---|
|||3|
No employee received emoluments of more than £60,000 during the year.
## **9 Independent examiner's remuneration**
|**9 Independent examiner's remuneration**|||
|---|---|---|
||**2021**|**2020**|
||**£**|**£**|
|Examination of the financial statements|720|720|
Page 22
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **10 Taxation**
The charity is a registered charity and is therefore exempt from taxation.
Page 23
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **11 Tangible fixed assets**
|**Cost**
At 1 June 2020
Additions
Disposals
At 31 May 2021
**Depreciation**
At 1 June 2020
Charge for the year
At 31 May 2021
**Net book value**
At 31 May 2021
At 31 May 2020|**Land and**
**buildings**
**£**
552,664
501,318
-
1,053,982
54,831
7,927
62,758
991,224
497,833|**Furniture**
**and**
**equipment**
**£**
17,760
-
-
17,760
12,425
1,334
13,759
4,001
5,335|**Motor**
**vehicles**
**£**
-
7,300
(7,300)
-
-
-
-
-
-|**Total**
**£**
570,424
508,618
(7,300)|
|---|---|---|---|---|
|||||1,071,742|
|||||67,256
9,261|
|||||76,517|
|||||995,225|
|||||503,168|
Included within the net book value of land and buildings above is £967,443 (2020 - £466,125) in respect of freehold land and buildings and £23,780 (2020 - £31,707) in respect of improvements to property.
The freehold property is maintained to a high standard and no depreciation is charged, as in the opinion of the directors, any such sum is immaterial. Depreciation is only charged on improvements to property.
Page 24
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
|**12 Debtors**
Accrued income
Other debtors
**13 Cash and cash equivalents**
Cash at bank
**14 Creditors: amounts falling due within one year**
Trade creditors
Other taxation and social security
Other creditors
Accruals|**2021**
**£**
-
6,804
6,804
**2021**
**£**
68,088
**2021**
**£**
174
438
113,350
5,731
119,693|**2020**
**£**
8,385
6,803|
|---|---|---|
|||15,188|
|||**2020**
**£**
394,295|
|||**2020**
**£**
3,090
438
3,000
3,706|
|||10,234|
Page 25
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
|**15 Funds**
**Unrestricted funds**
**_General_**
General
**_Designated_**
Designated
**Total unrestricted funds**
**Restricted funds**
Restricted
**Total funds**
**Unrestricted funds**
**_General_**
General
**_Designated_**
Designated
**Total unrestricted funds**
**Restricted**
Restricted
**Total funds**|**Balance at**
**1 June**
**2020**
**£**
667,797
233,174
900,971
1,446
902,417
**Balance at**
**1 June**
**2019**
**£**
636,048
198,138
834,186
-
834,186|**Incoming**
**resources**
**£**
63,650
-
63,650
34,653
98,303
**Incoming**
**resources**
**£**
145,916
28,036
173,952
10,788
184,740|**Resources**
**expended**
**£**
(50,296)
-
(50,296)
-
(50,296)
**Resources**
**expended**
**£**
(107,167)
-
(107,167)
(9,342)
(116,509)|**Transfers**
**£**
(611,846)
(233,174)
(845,020)
845,020
-
**Transfers**
**£**
(7,000)
7,000
-
-
-|**Balance at**
**31 May**
**2021**
**£**
69,305
-|
|---|---|---|---|---|---|
||||||69,305
881,119|
||||||950,424|
||||||**Balance at**
**31 May**
**2020**
**£**
667,797
233,174|
||||||900,971
1,446|
||||||902,417|
Page 26
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
Funds in respect of the mosque project have been reclassified from designated to restricted funds as this is the most appropriate description.
## **16 Analysis of net assets between funds**
|**16 Analysis of net assets between funds**||||
|---|---|---|---|
|Tangible fixed assets
Current assets
Current liabilities
Total net assets|**Unrestricted**
**funds**
**General**
**£**
27,782
47,866
(6,343)
69,305|**Restricted**
**funds**
**£**
967,443
27,026
(113,350)
881,119|**Total funds**
**at 31 May**
**2021**
**£**
995,225
74,892
(119,693)|
||||950,424|
Page 27
## **Feltham Hira Association**
## **Notes to the Financial Statements for the Year Ended 31 May 2021**
## **17 Analysis of net funds**
|**17 Analysis of net funds**||||
|---|---|---|---|
|Cash at bank and in hand
Net debt
Cash at bank and in hand
Net debt|**At 1 June**
**2020**
**£**
394,295
394,295
**At 1 June**
**2019**
**£**
277,057
277,057|**Cash flow**
**£**
(326,207)
(326,207)
**Cash flow**
**£**
117,238
117,238|**At 31 May**
**2021**
**£**
68,088|
||||68,088|
||||**At 31 May**
**2020**
**£**
394,295|
||||394,295|
Page 28
## **Feltham Hira Association**
## **Detailed Statement of Financial Activities for the Year Ended 31 May 2021**
|**Income and Endowments from:**
Donations and legacies (analysed below)
Total income
**Expenditure on:**
Charitable activities (analysed below)
Total expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward|**Total**
**2021**
**£**
98,303
98,303
(50,296)
(50,296)
48,007
48,007
902,417
950,424|**Total**
**2020**
**£**
184,740|
|---|---|---|
|||184,740|
|||(116,509)|
|||(116,509)|
|||68,231|
|||68,231
834,186|
|||902,417|
This page does not form part of the statutory financial statements. Page 29
## **Feltham Hira Association**
## **Detailed Statement of Financial Activities for the Year Ended 31 May 2021**
|**_Donations and legacies_**
Donations towards funeral
Donations
Donations towards new mosque project
School income
UK Government grant
**_Charitable activities_**
Profit/loss on disposal of motor vehicle
Wages
Hall hire
Rates and water
Light and heat
Insurance
Repairs and renewals
Telephone and internet
Printing postage & stationery
Admin and other costs
Funeral expenses
Donations to charities
Sundries
Teachers
Professional fees
Bank charges
Depn of improvemts to property
Depn of fixtures & fittings
Depn of computer equipment
Accountancy|**Total**
**2021**
**£**
9,947
60,535
24,706
3,115
-
98,303
(4,431)
-
(7,558)
(403)
(2,113)
(892)
-
(516)
-
(408)
(4,840)
(16,689)
(590)
(1,305)
-
(570)
(7,927)
(159)
(1,175)
(720)
(50,296)|**Total**
**2020**
**£**
10,788
131,858
18,036
14,058
10,000|
|---|---|---|
|||184,740|
|||-
(7,869)
(17,756)
(1,383)
(3,938)
(1,759)
(3,510)
(919)
(293)
(2,532)
(9,342)
(35,323)
(509)
(16,296)
(2,482)
(364)
(10,569)
(212)
(733)
(720)|
|||(116,509)|
This page does not form part of the statutory financial statements. Page 30