SHADE Annual Report and Financlal Ststements Period ended 31st July 2024 Charity Number: 1149699
Shade Contents Administratlve Informatlon....... .. ........................................................... 11. Trustees, Report Objectives & Actlvitles . 111. Flnanclal Revlew IV. Structure, Governance and Management.... .. Independent Examiners Report.................................... Vl. Flnancial Statements .10 11 Statement of Financial Activities....................... .11 Statement of Financial Position (Balance Sheet)................. Statement of Cash Flows............................................ .12 13 Notes to the Financial Statements...... .14 Pa8e 2 of 23
Shade Administratlve Informatlon Charity Number: 1149699 Registered office: The Shade Centre, 62 Church Road, London, E12 6AF Dlrertors and Trustees The dirertors of the Shade (the charity) are its trustees for charity law. The trustees and officers serving during the year and since the year end were as follows.. Mr Abdul Gaffar Mr Muhammad Abdul Gofar Khan Mr Koyson Khan Mr Mohammed Sayeedur Rahman Appointed 28 January 2019 Appointed 16 May 2023 Appointed 16 May 2023 Appointed l October 2023 Our Advisers Bankers: HSBC Bank. East Ham. London E6 2HX Independent Examiner: Strone Accountants, Unit 10, 45 Gillender Street, E14 6RN Page 3 of 23
Shade 11. Trustees, Report The trustees are pleased to present their annual directors, report together with the financial statements of the charity for the period ended 31 July 2024 which are also prepared to meet the requirements for a directors, report and accounts for Charities Act purposes. The financial statements comply with the Charities Act 2011. by its constitution, 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 l January 2015). Pa£e 4 of 23
Shade Objectives & Activities l. To act as a resource for people living In London and nelghbouring reglons by providing advice and assistance and organi2ing programs of physical, educational and other activltle5 as a means of: a) advancing in life and helping young people by developing their skills, capacities and capabilities to enable them to partlcipate in society as Independent, mature and responsible individuals. b) advancing educatlon; c) providing recreational and leisure time activity in the interests of social welfare for people livin8 in the area of benefit who have need by reason of their youth, age, infirmity or disability, poverty or social and economic circumstances With a view to improving the conditions of life of such persons. 2. To promote and protect the physical and mental health of the inhabitants of London and the neighbouring areas through the provision of financial assistance, sUPPOrt, education and prattical advice. 3. The relief of financial need and suffering among victims of natural or other kinds of disaster in the form of money (or other means deemed suitable) for persons. bodies, organizations and/or countries affetted including the provision of medical aid. Page 5 of 23
Shade Activities SHADE is community-based umbrella organlsation that runs program5 and activitles caterlng for the social, educational, recreational and religious needs of the communitv. The Shade Centre This is a community centre where we provide health and educational activities. Some of the activities are- -Ladies Fitness Classes -Archery Club -Tea Club -martial Arts (Silat & Kickboxing) -self Defence Course -Friday Prayer Facilities -Eid Prayers Outdoors in Manor Park and Forest Gate - Youth Project (Youth under Shade) Football Club (Shade FC) Page 6 of 23
Shade I, 111. Flnanclal Revlew The trustees have revlewed the reserves of the Charlty. Thelr pollcy Is to hold enough Ilquld funds to meet 3 month5 of operatin8 COSts of the Charlty.. Pa8e 7 of 23
Shade IV. Structure, Governance and Management Governln8 Document Shade an un-incorporated charitable organisation governed by its constitution adopted 01/11/2011 and last amended 1410412013. Pay pollcy for senlor staff No staff member receives more than £60,000 in wages per annum. Reserves Poliry The charity always aims to have I months of charitable expenditure as cash reserves, in the event of winding up or to support projects in a deficit for short periods of time until further funding is secured. This would currently amount to approximately £47.913. Risk Management The trustees continue to manage the risk of shortfalls in funding. The trustees mitigate this risk by: a. Ensuring there are trustees with specific experience in fundraising who provide additional support to the organisation via a sub-committee of the Board b. Allocating appropriate resource to both fundraising and business development c. Diversifying the income base of the organisation through commissioning, corporate engagement and the trading subsidiary. Page 8 of 23
Shade Trustee responslbllltles In relatlon to flnanclal statements The charity trustees of Shade are responslble for preparlng a trustees, annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards. Charity law requires the trustees to prepare flnancial statements for each year which give a true and fair view of the state of affairs of the charity incoming resources and appllcation of resources, Including the income and expenditure, of the charitable for that perlod. In preparin8 the financial statements, the trustees are required to: select sultable accountlng pollcles and then applythem consistently; observe the methods and principles in the Charities SORP: make judgements and estimates that are reasonable and prudent; state whether applicable UK accountin8 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 charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reawnable accuraoi at any time the financial position of the charity and to enable them to ensure that the fjnancial statements comply with the Charitie5 Act 2011. They are 31so responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable compan(s website. Approved by our Board of Trustees on ................ Signed on its behalf. // Trustee fv. k//4 Page 9 of 23
Shade Independent Examlners Report Respectlve responsSbllltles of trustees and examlner The trustees are responsible for the preparation of the accounts. The charitVs trustees consider that an audlt is not required for this year under section 144 of the Charities Act 2011 (the Charities Act) and that an independent examination is needed. The charitls gross income exceeded £250,0. It is my responsibility to: examine the accounts under section 145 of the Charities Act, to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5){b) of the Charities Act, and To state whether particular matters have come to my attention. Basis of independent examinerfs 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 di5closure5 in the accounts, and seeking explanations from the trustees concerning any 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 fairf view and the report is limited to those matters set out in the statement below. Independent examiner's ststement In connection with my exarnination, no material matters have come to rny attention {other than that disclosed below if any) which gives me cause to believe that in, any rnaterial respect: accounting records were not kept in accordance the Charities Act; or the accounts do not accord with such records; or the accounts do not comply with relevant accounting requirements of Charities Act other than any requirement that the accounts give a 'true and fairf view which is not a matter considered as part of an independent examination; or the accounts have not been prepared in accordance with the Charities SORP {FRS102). I 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. Date: 21712025 Aqccouxtb£ts Firm." Strone Accountants Address: Strone Accountants, Unit 10, 45 Gillender Street, E14 6RN Page 10 of 23
Shade Vl. Financial Statements Statement of Financial Activities 2024 Total Funds 2023 Total Funds Notes Unrestricted Restricted Income: Donations and legacies Income from charitable activities: Income from other trading activities: 355,359 209.941 355,359 209,941 177,3387 229,060 12,617 12,617 50,009 Total income 577,917 577,917 456,4S6 Expenditure Cost of raising funds Fundraising Commercial trading operations Expenditure on charitable activities 50.163 50,163 6,619 524.799 524,799 485.512 Total expenditure 574,962 574,962 492,131 Net movement in funds for the year 2.955 2.955 (35,675) Reconciliation of funds Total Funds Brought Forward Transfer Between Funds 50,202 6,809 57,011 92.686 Total funds carrled forward 53,157 6,809 59,966 57,011 Page 11 of 23
Shade Statement of Financial Position (Balance Sheet) 2024 2023 Fixed assets Tangible assets 10 22,831 25,266 Total Flxed Assets 22,831 25,266 Current assets Debtors Cash at bank and in hand 11 136,769 30,068 179,954 8,865 Total Current Assets 166,837 188,819 Liabilities Creditors falling due within one year 12 (92.861) {114,618) Current assets less current liabilities 73,976 74,201 Creditors: falling due after more than l year (36.841) (42,456) Net assets 59,966 57,011 The funds of the charity: 13 Unrestrirted income funds: Restricted income funds 53.157 6,809 50,202 6.809 Total charity funds 59,966 57,011 Financial statements were approved on . authorised for issue. Signed on their behalf by: ..by the members of the committee and Signed on its behalf. Trustee Page 12 of 23
Shade Statement of Cash Flows 2024 2023 Cash flows from operatlng artlvltles: Net movement in funds Add back depreciation charge (Increase)/Decrease of debtors Increase/(Decrease) of creditors 2,955 5,708 43,186 {27.371) (35,675) 6,982 {16,0) 59,143 Net cash flow of operatln8 actlvities 24,478 14,450 Cash flows from Investlng artlvltles: Purchase of assets (3,275) (17,778) Net Cash flows from investing artivities: 21,203 (3,328) Change In cash and cash equivalents in the year 21,203 (3,328) Cash and Cash equivalents brought forward 8.865 12,194 Total cash and cash equivalents at year end 30,068 8,865 Page 13 of 23
Shade Notes to the Financial Statement5 Accounting Pollcle5 The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows: Basis of preparation (First time adoption of FRS102) 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) {effective l January 20151- (Charities SORP {FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). Shade meets the definition of a public beneflt entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s}. b) Income Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item{s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably. Income from 8overnment and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds. any performance conditions attached to the grants have been met, it is probable that the income will be received. and the amount can be measured reliably and is not deferred. For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted. the estate has been finalised and notification has been made by the executorls) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a le8acy. in whole or in part, is only considered probable when the amount can be measured reliably, and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. Income received in advance of a project or provision of other specified service it is deferred until the criteria for income recognition are met. Donated services and facilities Donated professional servlces and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliablv. Page 14 of 23
Shade On receipt, donated professional services and donated facilities are recognised based on the value of the 8ift to the charity which is the arnount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market. d) Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the Bank. Fund accounting Unrestricted funds are available to spend on activities that further any of the purposes of charity. Designated funds are unrestricted funds of the charity which the Trustees have decided to set aside to use for a specific purpose. Restricted funds are donations or grants which the funder has specified are to be solely used for areas of the chariV5 work or for specific projects being undertaken by the charity. f ) Expenditure Expenditure is recognised once there is a legal or 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. Expenditure is classified under the following activity headings: Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. g) Allocation of support costs Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support Costs include back office costs, finance, personnel, payroll and governance costs which support the charitvs artistic programmes and activities. Support costs have been allocated in proportion to expenditure incurred in undertaking an activity. h) Tangible fixed assets Plant, Property & Equipment are capitalised at cost and are depreciated over their estimated useful economic lives on a straight-line basis as follows: Asset Category Fixtures, Fittings and Electrical equipment Annual rate 2(PA R.B Page 15 of 23
Shade Debtors Trade and other debtors are recognlsed at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. i) Cash at bank and in hand Cash at bank and cash in hand includes cash or opening of the deposit or similar account. k) Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. i) Financial instruments Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. m) Going Concern The accounts are prepared on a going concern basis there are no material uncertainties about the charities ability to continue Page 16 of 23
Shade Income from donatlons and le8ades 2024 2023 Donations 355,359 177,387 The charity benefits greatly from the involvement and enthusiastic support of its many volunteers. details of which are given in our annual report. In accordance with FRS 102 and the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the accounts. Income from charitsble activities 2024 2023 Income from charitable activities 209,941 229,060 The charity runs a project named Al Rawda with the objective of advancing Islamic education, with aim to produce educated, active members of society able to propagate authentic knowledge derived from traditional sources and apply them in a contemporary context by Providing Educational courses for youths and adults alike. Income from other trading activities 2024 2023 Income from other trading activities 12,617 50,009 The charity facilitates fundraising events and sells books. Page 17 of 23
Shade Analysis of expenditure on charltable activitie5 Staff Other Costs Support costs Total 2024 Total 2023 costs Restricted Funds Unrestricted Funds 380,548 22,582 121,669 524,799 492,130 380,548 22.582 121,669 524,799 492,130 Analysis of staff costs, Charity remuneratlon and expenses. and key management personnel. 2024 2023 Salaries and wages 380.548 318.096 No employees had employee benefrts more than £60,(XX). Pension costs are allocated to activities in proportion to the related staffing costs incurred. The key management personnel of the parent charity, comprise the trustees and the Chief Executive Officer of Shade. Page 18 of 23
Shade Staff Numbers The avera8e rnonthly number of staff was 20 staff and the average monthly number of full-time equivalent employees (includin8 casual and part-time staffj during the year were as follows: 2024 Number 2023 Number Administrative, Teachin8 & Support staff E) 15 15 Related party transactions The charity has an agreement with the director of an interest fee loan from the director, which will be repayable as when the charity has suffiaent reserves. Corporation Taxatlon 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. Page 19 of 23
Shade 10. Tangible fixed assets 2024 2023 Plant, Property and Equlpment Cost At l July 2023 Additions 131,029 3,272 113,251 17,778 , At 31 July 2024 134.301 131,029 Depreciation At l July 2023 Charge for the year 105,762 5,708 98,780 6,982 At 31 July 2024 111,470 105,762 Net book value At 31 July 2024 22,831 25,267 At 31 July 2023 25,267 14,470 Pa8e 20 of 23
Shade 11. Debtors 2024 2022 Trade debtors Other Debtors 20,710 159,244 136,769 136,769 179.954 12. Creditors: amounts falling due within one year 2024 2023 Other Credltors Directors Loan to the Charity 85,308 7.553 107.065 7.553 92,861 114,618 Page 21 of 23
Shade 13. Analysls of charltable funds 2024 Closing Balance Openlng Balance Income Transfers Expendlture Unrestrlcted Income funds: 50,202 577,917 (574,962) 53,157 Restricted Income funds 6.809 6,809 57,011 577,917 (492.131) 59,966 2023 Closing balance Opening Balance Income Transfers Expenditure Unrestricted income funds: 85,877 456,456 (492,131) 50,202 Restricted income funds 6,809 6.809 92,686 456,456 (492,131) S7,011 Page 22 of 23
Shade End of Report p. i¥ Pa8e 23 of 23