ReachAcross (UK) (A charitable company limited by guarantee)
REPORT AND FINANCIAL STATEMENTS For the Year Ended 31st March 2021
Charity Number: 1148692 Company Number: 07900867
ReachAcross (UK)
TRUSTEES REPORT for the year ended 31 March 2021
The Trustees present their annual report and financial statements for the year ended 31 March 2021.
Legal and administrative information
| Full Name: | ReachAcross (UK) |
|---|---|
| Constitution: | The charity was incorporated under the Companies Act 2006 – |
| Company number 07900867 registered in England and Wales, | |
| Charity number 1148692. | |
| Charity Registered Number: | 1148692 |
| Company Number: | 07900867 |
| Trustees during the year: | Mr. P. Jolly (Chairman) |
| (unless stated) | Mr. K. Macpherson (Vice Chairman) |
| Mr. S. Babenko | |
| Mrs. G. Crawford | |
| Mr. J. Laws | |
| Mrs. S. Laws | |
| Dr. A. Perkins | |
| Dr. M. Pickett | |
| Treasurer: | Mr. S. Babenko |
| Chief Executive Officer and | |
| Secretary: | Mr. G. M.C. Tainio |
| Registered Office: | Unit 6 Station Court |
| Station Approach | |
| Borough Green | |
| Sevenoaks | |
| Kent | |
| TN15 8BG | |
| Bankers: | National Westminster Bank plc. |
| West Malling (A) Branch | |
| 43 Swan Street, West Malling, | |
| Kent ME19 6HF | |
| Independent Examiner: | Mr. Robinson |
| Independent Examiners Ltd. | |
| Sovereign Centre | |
| Poplars | |
| Yapton Lane | |
| West Sussex | |
| BN18 0AS |
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ReachAcross (UK)
TRUSTEES REPORT for the year ended 31 March 2021 (continued)
Charitable Objects
The objects of the Charity are:
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the advancement of the Christian faith worldwide in particular but not exclusively by the provision of medical, educational and other services;
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the relief of financial need and suffering amongst victims of natural or other disasters.
Policies to further our Objects
The Charity seeks to further its objects through the provision of medical support, teaching and setting up of community projects of a medical and agricultural nature, either under contract to the local government or with an independent programme with government approval where required.
The trustees believe that the objects and policies of the Trust have spiritual and practical public benefit.
Organisation
The Charity is governed by a Board of Trustees which is responsible for setting the strategic direction of the organisation and for establishing policy. The Board of Trustees meets at least three times a year and delegates the day to day operation of the organisation to a management team based at its office in England. Through this office funds are channelled to the work of the Charity which is part of an international fellowship of charities with the same working name (ReachAcross) and similar objectives, with an International Office also based in England.
Review of the period
This period has been entirely within the context of the Covid-19 pandemic, which has affected global travel, and the liberty of individuals to travel and socialise. These restrictions have without a doubt had an impact on the ability of mission workers to conduct their ministries in the ways they had been prior to the pandemic. However, like everyone, they have adapted to the new circumstances and creatively worked to overcome obstacles to communication and relationship, in order to continue to advance the Christian religion through sharing the gospel, teaching and serving in practical ways in their various locations around the world—in places such as North Africa, the Middle East, and Asia. The mission workers were also able to meet some specific needs due to the pandemic, such as helping impoverished individuals who needed food, which had temporarily been difficult to obtain for them due to regional ‘lockdowns’ and restrictions. The Charity, its projects and its mission workers are supported by voluntary contributions primarily from churches and friends of the Charity. Supporters and churches are updated about the work of the charity through speaking engagements, conferences, newsletters and monthly prayer bulletins. Speaking engagements went ‘online’ and conferences were largely cancelled. However, throughout the year ReachAcross encouraged UK churches in their mission engagement among Muslims and those as yet unreached with the Christian gospel. Churches responded by praying for the mission and financially providing for ReachAcross mission workers and projects. Our hope is to continue recruiting mission workers from these churches.
Continuous efforts were made to recruit and mobilise further mission workers during the course of the year, to be deployed long-term and short-term overseas as well as in the UK. ReachAcross(UK) works in partnership with other ReachAcross charities based in several western nations, and recruitment and mobilisation of mission workers continues to gradually expand the mission workforce. More are required, as the needs and opportunities for ministry are great. Overseas, ReachAcross has also partnered with local
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ReachAcross (UK)
TRUSTEES REPORT for the year ended 31 March 2021 (continued)
Christians, providing training in reaching Muslims with the Christian gospel, as well as encouraging Christians to minister with practical help to Muslims suffering through poverty or lack of resources.
For security purposes, given that we serve in Muslim-majority countries where some antagonism can from time to time be experienced when engaged in Christian mission work, we do not disclose our operating locations in this report. However, the following is a summary of some of the types of work in which our long-term and short-term overseas mission workers and partners have been/are engaged:
We have continued to serve in countries in northeast Africa where we have provided ongoing educational services such as teaching English as a foreign language, providing library services and educational materials to nationals of relatively financially poor nations, and literacy training, hence enhancing their employability which in turn helps with their poor economic situation. Such services have been reduced at times due to local pandemic restrictions, but generally these services are able to be provided, with adapted ‘Covid-safe’ environments such as through distancing and other hygiene measures.
The charity has been involved with Bible translation into local languages in northwest and northeast Africa as part of multi-agency efforts in various locations. A Bible translation centre is located within the compound of one of our field bases and is being used by a translation team for a local language, and Christian literature in local languages is distributed in response to local demand. In addition, the Christian faith is furthered through personal sharing with those who show an interest. Some countries in northwest Africa are open to direct Christian evangelism, so our mission workers are able to hold evangelistic events (such as travelling to villages and showing films which tell the Christian gospel), and can share their Christian faith openly. Historically, ReachAcross has been able to 'plant' churches in northwest Africa and these have local leadership and are independent of ReachAcross. We have continued giving English Language and French lessons, and literacy classes in a local language to adults and children in a small library in one country in northwest Africa. We also continue to reach the Fulani people group, mainly though a mission worker dedicated to service towards and among this people group.
We have continued our long-term presence in a Muslim-majority country in Central Asia. One of our medical doctors has continued to develop health services both in a major city as well as through training local healthcare workers who visit rural villages. We are partnering with another Christian Mission Agency serving in the region, with a view to assisting their team in its goals which are similar to those of ReachAcross.
In the UK our Mission Partners have been experimenting with online evangelism and the use of social media to connect with Muslims interested in speaking about matters of faith. Church-based programmes largely had to close down during the pandemic, but are now restarting as the lockdown is eased.
Undergirding all our practical service ministry is prayer for Muslims and the sharing of the Christian faith among them. We believe that everyone in the world needs to hear the Christian gospel — both the message of the gospel — that of salvation through the Lord Jesus Christ — as well as hearing the teaching of the Christian faith which leads to radical change in how people live their lives — loving God and neighbour, all to the glory of Christ.
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ReachAcross (UK)
TRUSTEES REPORT for the year ended 31 March 2021 (continued)
Financial results and future activities
We are grateful to God for the Charity’s income in the form of gifts from supporters, legacies and investment income from funds in hand. Our net incoming resources for the year to 31 March 2021 amounted to £191,031 (2020 net incoming resources £69,047) including losses/gains on investments.
The Trustees consider that the Charity is in an overall healthy financial position and is able to meet its ongoing commitments.
Investment Policy
During the period the Trustees continued investing a proportion of available funds in longer term investments, in view of the low returns on cash deposits, whilst retaining sufficient in shorter term deposits for the ongoing day to day requirements.
Reserves Policy
Within the Unrestricted Funds the Trustees have set aside: an amount of £10,000 as an emergency fund to provide working capital for core costs and allow a quick response to any emergencies, a retirement fund used to provide small retirement benefits to retired long term charity workers, designated funds which are funds not yet distributed where donors have indicated a preference for distribution.
Restricted Funds are funds set aside which have been given for a specific purpose.
Risk Management
The Trustees actively review the major risks that the Charity faces on a regular basis and believe that maintaining general reserves at a level sufficient for the Trust’s activities as stated above, combined with the regular review of controls and systems carried out, will provide sufficient resources in the event of any problems. The Trustees have also examined the operational risks faced and established that the necessary systems are in place to mitigate the significant risks.
Public Benefit
The Charity acknowledges its requirements to demonstrate clearly that it must have charitable purposes or ‘aims’ that are for the public benefit. Details of how these are achieved are provided in the Trustees Report. The Trustees confirm that they have paid due regard to the Charity Commission guidance on public benefit when deciding what activities the Charity should undertake.
Trustees
The Trustees in office at the date of this report are set out on page 1 and have served throughout the year unless otherwise stated. Trustees have the power, by ordinary resolution passed by a majority of the Trustees, to appoint new Trustees. A Trustee can be removed by resolution passed by seventy five percent of the Trustees present at a Board Meeting. At each Annual General Meeting (AGM) one third or the nearest number to one third must retire from office, including any Trustees appointed during the year. The Trustees are provided with training and advice on a regular basis.
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ReachAcros$ (UK) TRUSTEE5 REPORT for the yeor ended 31 M(ych 2021 Iconlinuedl The Charities Act ond the Componies Acl requve the Bocwd of Tru51ees to yepore rinanclI slolements Icx each financid yecx which L¥¥e o Inje ond lor view ol the 51ate ol offoirs ol Ihe chority 05 Ot the end of the finoncial year and ol the swJs defficil ol the charity. In preparing those financial slotemen15 the Board is required to.. 11 select suilot4e accounting pokies ond then app them consistenlly: 111 moke judgments ond eslimoles Ihol lye reasonot4e ond FKKlenl.' 1111 prepare the financial slolemenls on Ihe going concem bosis unless It is inoppropriale lo presume Ihol the ch(yity continue in txjsiness ond.. IVI slote S•hetheT ap[lCo1)le occwnting standtrd5 and slalements ol recommended practice have been lolowed. Subject to any maleriol deportures (thsdosed and exF4oined Ihe finanad Statements. Fhe Irvslees are 0150 responyble lor m¢inl(xning odequole ¢XC(yJnting records which 5dose w7th reosonable accwocy at any the finan¢iol poy11¢ ol the charlfy and which ore sufficient lo sh¢)w and exEloin Ihe ch(xitys tronsoclions ond enobbe them lo ensure that Ihe finoncial statements conwty wlh the Componie5 Acl 26 and comF4y wilh re9allOnS m¢Jde under the chtIeS Acl. They lye dso respon%t4e lor solegu¢yding the assets ol the charify arKI hence Ic¥ taking reanatIe steps f(Y the eVentiOn ond deleclion of troud ¢)fKI other YreWorflies. The trustees ¢>e 0150 responyt>le lor the eonlent5 01 the trustees. report. and the responsitmfity ol the independent exanmnef in relation lo the truslee5' report is h'miled lo exomining Ihe report and ensuring Ihol. on Ihe loce ol the repc¢l there (we no Inconststencies vllh Ihe Ngvres disclosed the finonclcl slalements. These account5 hove been F¥eped in accordance wilh the 0VIsh)n$ applcabb8 10 componies subiecl to Ihe 5mdl companies regime. We approve the olt¢xhed 5tolement ol finoncid activities and bolance sheet Iof the year ended 31y¥ Miich 2021. ond confmi Ihal we hove made ovoki I8 al Inlormolion ne¢essory l¢y 115 prepcyation. 1611212021 ApKYoved by Ihe Dieclcx5 CWTr.............. and signed on thetr beholl by PEfER JOLLY (Dwe aiwnanl
INDEPENDENT EXAMINER'S REPORT ON THE ACCOUNTS
Report to the Directors of ReachAcross (UK) on the accounts for the year ended 31st March 2021 set out on pages 7 to 11.
Respective responsibilities of trustees and examiner
The charity's trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 43(2) of the Charities Act 2011 and that an independent examination is needed. The charity's gross income exceeded £250,000 and I am qualified to undertake the examination by being a Fellow of the Association of Charity Independent
It is my responsibility to:
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examine the accounts under section 145 of the Act;
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to follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the Act, and;
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to state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination was carried out in accordance with general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair' view and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
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which gives me reasonable cause to believe that in, any material respect, the directors have not met the requirements to ensure that:
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proper accounting records are kept in accordance with section 386 of the Companies Act
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2006; and
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accounts are prepared which agree with the accounting records and comply with the
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accounting requirements of the Act and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities; or
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to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
P B Robinson MAAT FCIE Independent Examiners Ltd 2 Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
Dated: 17th December 2021
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ReachAcross (UK)
STATEMENT OF FINANCIAL ACTIVITIES
Income and Expenditure for the year ended 31 March 2021
----- Start of picture text -----
Unrestricted Income Funds Restricted Total Total
Notes General Designated Income 2021 2020
Funds (see notes below) (see notes below)
£ £ £ £ £
Income and Endowments from:
Donations and Legacies
Gifts and related gift aid 89,328 231,812.92 107,838 428,979 337,545
Legacies 7,161 7,161 180,302
96,489 231,813 107,838 436,140 517,847
Trading Activities
Fees and literature sales 0 0 488
Investments
Investment income and interest 278 278 73
Total Income 96,767 231,813 107,838 436,418 518,409
Expenditure on:
Charitable Activities
Director and field workers in UK 2 73,198 17,795 90,993 74,599
International HQ:
Staff Support 5,000 5,000 24,515
Administrative support 10,422 10,422 16,848
Grants, support and amounts paid 2,083 218,306 10,425 230,813 222,195
Home extension:
Deputation and conferences (183) (183) 7,427
Exhibitions and advertising 338 338 1,561
Car depreciation and expenses 632 632 2,126
Literature 1,601 1,601 2,188
Support Costs:
Office staff costs 2 28,029 28,029 21,581
Rent, rates and utilities 8 9,715 9,715 8,869
Office expenses, research and depreciation 13,402 13,402 10,318
Travel, transport and air fares 0 0 1,301
Independent Examiner's fee 600 600 564
Legal and Bank Charges 1,345 1,345 2,060
Fundraising Consultancy 1,935 1,935
Sundries 136 136 50
Total Expenditure 148,254 236,101 10,425 394,780 396,202
Net (expenditure)/income before
Investment (losses)/gains (51,487) (4,288) 97,413 41,638 122,207
Investment assets:
Realised net (losses)/gains 0 0 0
Unrealised net (losses)/gains 4 149,504 149,504 (53,160)
Net (losses)/gains on investments 149,504 0 0 149,504 (53,160)
Net Movement in Funds 98,017 (4,288) 97,413 191,142 69,047
Fund Balances
At 31 March 2020 859,054 132,764 12,074 1,003,892 934,845
At 31 March 2021 957,071 128,475 109,487 1,195,033 1,003,892
----- End of picture text -----
All activities arise from continuing activities. There may be rounding discrepancies in the totals as pence are not shown.
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R•achAcrnB• (UK) 1S.C 327.1X 2•3.In 12.&t2 314 71$ 214317 111.749 7Y•.3g5 142.6SI 1.C•5.Ye 1.017 12.074 LY
ReachAcross (UK)
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021
1. Principal accounting policies
The Charity has claimed the exemptions available in Section 1a of FRS102 not to prepare a cash flow since it is a small charity.
(a) Basis of preparation
The financial statements are prepared under the historical cost convention (as modified to include the revaluation of investments) in accordance with the Charities Act 2011, Statement of Recommended Practice - “Accounting and Reporting by Charities” (SORP 2015), applicable accounting standards and the Companies Act 2006. The accounts have been prepared on a going concern basis. The charity meets the definition of a public benefit entity under FRS102.
(b) Incoming resources
Income is derived from donations and gifts received and from legacies. It is accounted for in full on a receipts basis with the addition of any tax reclaimable. In accordance with this policy, legacies are included on receipt of payment from the personal representative of an estate or when property is transferred.
(c) Tangible fixed assets
Tangible fixed assets are stated at cost less accumulated depreciation. All assets costing more than £250 are capitalised.
Depreciation is provided to write off the cost of an asset to estimated residual value over its expected useful life.
Depreciation rates in use on a straight line basis are:
Furniture and equipment 20% on cost Motor Vehicle 20% on cost
(d) Investments
Investments held as fixed assets are revalued at mid-market value at the balance sheet date and the gain or loss taken to the Statement of Financial Activities.
(e) Resources expended and basis of allocation of costs
Expenditure is included when incurred and includes irrecoverable VAT.
Expenditure on operational programmes is recognised in the period in which it is incurred. A designated fund is established for expenditure which has been committed to projects, but remains unspent at the year end.
(f) Salaries and support
Salaries and support expense represents the cost of UK based staff directly involved in, or providing support for, the home and international programmes, including management, policy and advocacy work.
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ReachAcross (UK)
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021
Principal accounting policies (continued)
- (g) Costs of managing and administering the charity
These represent costs attributable to the management of the charity’s assets, organisational administration and compliance with constitutional and statutory requirements.
(h) Funds accounting
Funds held by the Charity are:
Unrestricted general funds - these are funds which can be used in accordance with the charitable objects at the discretion of the Trustees.
Designated funds - these are funds set aside by the Trustees out of unrestricted general funds for specific future purposes or projects.
Restricted funds – these are funds that 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.
- (i) Foreign currencies
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction.
2. Trustee and remuneration expenses
Six trustees received reimbursement of travelling and overnight accommodation expenses of £0.00 (2020 £900.50) incurred in attending meetings and undertaking work for the Trust. No remuneration or other reimbursement of expenses was made to any other Trustee, nor to any person connected with the Trustees.
For UK operational and administrative purposes the Charity employed a full-time Chief Executive Officer, a full-time Director of Mobilisation and Church Relations, a part-time Finance Administrator Officer from, and a part-time communications Officer. Gross administrative salaries were £107,662 (2020 £86,615).
| Chief Executive and Director of Mobilisation Office staff |
Gross salaries Employer's NI Employer’s Pension Total costs 67,521 5,166 1,651 74,338 40,141 1,477 612 42,230 |
|---|---|
| 107,662 6,642 2,264 116,568 |
The salaries and employer’s NI of the International Director (ID), International Administrator (IA), and one long term Mission Partner working among Muslims based in the UK, all based at the International Office in Birmingham, were paid by the Trust amounting to £0.00 (2020 £13,586.09), acting as agents for the International Executive Board of ReachAcross.
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ReachAcross (UK)
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2021
An analysis of wages and salaries is as follows:
| An analysis of wages and salaries is as follows: | |
|---|---|
| Gross wages and salaries Employer’s NI Employer’s Pension Total Chief Executive, Director of Mobilisation and UK office staff Administration/support for International Office and UK Field Total |
2021 2020 £ £ 107,662 99,081 6,642 7,034 2,264 2,195 |
116,568 108,310 |
|
116,568 94,492 0 13,586 |
|
| 116,568 108,310 |
The support for International Office, where the Trust is acting as agents for the International Executive Board of ReachAcross, includes the salaries of the International Director, International Administrator, and one UK Field Mission Partner, for which other ReachAcross offices make a contribution. No employee received emoluments in excess of £60,000. Staff are paid through the PAYE system.
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