Charity number: 1150407 ## Al Mahadul Islami Report of the Trustees and Unaudited Financial Statements For the year ended 30 April 2021 Al Mahadul Islami Contents Page For the year ended 30 April 2021 |Report of the Trustees|1 to 3| |---|---| |Independent Examiner's Report to the Trustees|4| |Statement of Financial Activities|5| |Statement of Financial Position|6| |Notes to the Financial Statements|7 to 11| |Detailed Statement of Financial Activities|12| ## Al Mahadul Islami Report of the Trustees ## For the year ended 30 April 2021 The Trustees have pleasure in presenting their report and the financial statements for the charity for the year ended 30 April 2021. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and the Republic of Ireland (FRS 102) (effective 1 January 2019). ## **OBJECTIVES AND ACTIVITIES** The objectives of the organisation are: (a) to promote the advancement of religion, in accordance with the principals of Islam. (b) to establish and maintain the mosque building and its grounds. (c) to promote Islam through education, cultural and leisure time activities for the local community. ## **Objectives and aims** The trustees have considered the Charity Commision's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'. ## **ACHIEVEMENTS AND PERFORMANCE** The charity, like everyone around the world, was affected by COVID19. It was unable to provide the usual services to the community due to the social distancing rules in force at the time which lasted for aproximately 7 months. It had to improvise where it could. The charity carried out the following activities for the benefit of the public in the year: The charity provided counselling and support services for the local community. For majority of the year these were either virutal or via telephone. The services were much needed as members of the immediate community were deeply affected by COVID19 and required guidance and counselling. This service was available everyday of the week. As soon as lockdown was relaxed, the charity welcomed the community in line with social distancing guidelines. During lockdown, classes for children were held online. The classes were provided for children to understand Islam and the Quran and also to give spiritual guidance during the COVID19. The classes were held 5 days a week. Children were encouraged to learn the values of Islam and to acheive better cohesion in society. The classes were subsidised to make it easy for every child to attend. Extra classes for girls commenced in the year catering for older girls. During the year the charity raised funds for the purchase of a building. The title of the bulding is held by Al Mahad Charitable Trust and is to be used for relevant charitable purposes. ## **Investment performance** Despite COVID19, the chairty realised a 28% return on its investment in unlisted share investments in the year. This exceeded the charity's expectations for the year. Upon review, there are no signs of impairment in the investment and returns should be realised in the future. ## **FINANCIAL REVIEW** ## **Reserves** It is the policy of the charity that unrestricted funds which have not been designated for a specific use be maintained and grown. From this the trustees plan to undertake further capital projects for the benefit of the charity. The reserves are to be maintained at a level which would help sustain the charity in the event of no donations being received for a minimum of 1 year. The minimum level has been agreed at £85,000 based on the previous year's expenditure as the current year included non-recurring expenditure. ## **Financial review** The trustees consider the financial performance by the organisation during the year has been satisfactory. The Statement of Financial Activities show net outgoing resources for the year of a revenue nature of £179,578 (expenditure) and net realised incoming resources of £716,227 (income). The total reserves at the year end after reserving for unrealised losses stand at £2,429,397. The trustees are satisfied with the performance of the association during the year and the position at 30 April 2021. The trustees consider that the association is in a strong position and are confident that at this level they would be able to continue the current activities of the association into future 1 of 12 Al Mahadul Islami Report of the Trustees Continued For the year ended 30 April 2021 ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** ## **Governing document** The charitable organisation was founded in December 2012 as an unincorporated association and became a registered charity (no.1150407). The charity is governed by a written constitution adopted by its members. ## **Recruitment and appointment of trustees** There have to be minimum 3 Trustees appointed and the trustees act as a committee in order to manage the Association. There is no maximum limit of trustees. Every new trustee has to be apointed by a resolution of the trustees passed at a special meeting. The Land Custodians are referred to as Trustees. The Management committee appoints the Trustees. These trustees act as guardians of all property vested in the name of the association. The Management Committee are responsible for the day to day running and operational matters. The management committee hold regular monthly meetings to manage the affairs of the association and sub committees are set up to oversee various projects as and when needed. Most management committee members and trustees are already familiar with the work of the association, having been members of the association since it's founding. Every new committee member/trustee is given a copy of the constitution of the association and advised on the roles and responsibilities of the trustees. ## **REFERENCE AND ADMINISTRATIVE INFORMATION** **Name of Charity** Al Mahadul Islami **Charity registration number** 1150407 **Principal address** 40 Greaves Street Bradford West Yorkshire BD5 7PE ## **Trustees** The trustees and officers serving during the year and since the year end were as follows: Ahmed Ali Feizal Musa Usman Iqbal **Independent examiners** H Raja Associates 2 Fieldhead Street Fieldhead Business Centre Bradford West Yorkshire BD7 1LW **Bankers** HSBC Bank P O Box 45 47 Market Street Bradford West Yorkshire BD1 1LW 2 of 12 Al Mahadul Islami Report of the Trustees Continued For the year ended 30 April 2021 Approved by the Board of Trustees and signed on its behalf by ............................................................................. Feizal Musa 28 February 2022 3 of 12 Al Mahadul Islami ## Independent Examiners Report to the Trustees ## For the year ended 30 April 2021 I report to the trustees on my examination of the accounts of the charity for the year ended 30 April 2021. ## **Responsibilities and basis of report** As the charity trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 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 examiners statement** Since the Charity’s gross income exceeded £250,000, your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination by virtue of my membership of , which is one of the listed bodies. 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 that in any material respect: 1. accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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. 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. H Raja Associates 2 Fieldhead Street Fieldhead Business Centre Bradford West Yorkshire BD7 1LW 28 February 2022 4 of 12 ## Al Mahadul Islami ## Statement of Financial Activities For the year ended 30 April 2021 |**Notes**
**Income and endowments from:**
Donations and legacies
2
Charitable activities
3
Investments
4
**Total**
**Expenditure on:**
Raising funds
5
Charitable activities
6/7
**Total**
**Net income**
**Reconciliation of funds**
Total funds brought forward
**Total funds carried forward**|**Unrestricted**
**funds**
**£**
537,559
76,675
101,993
**716,227**
(137,132)
(42,446)
**(179,578)**
**536,649**
1,892,748
**2,429,397**|**2020**
**£**
24,823
95,505
37,599| |---|---|---| |||**157,927**| |||(14,260)
(70,435)| |||**(84,695)**| |||**73,232**
1,819,516| |||**1,892,748**| 5 of 12 ## Al Mahadul Islami Statement of Financial Position As at 30 April 2021 ||**Notes**|**2021**|**2020**| |---|---|---|---| |||**£**|**£**| |**Fixed assets**|||| |Tangible assets|13|687,396|469,948| |Investments||1,102,500|1,102,500| |||**1,789,896**|**1,572,448**| |**Current assets**|||| |Cash at bank and in hand||1,140,147|822,305| |||**1,140,147**|**822,305**| |**Creditors: amounts falling due within one year**|14|(646)|(2,005)| |**Net current assets**||**1,139,501**|**820,300**| |**Total assets less current liabilities**||**2,929,397**|**2,392,748**| |**Creditors: amounts falling due after more than one year**|15|(500,000)|(500,000)| |**Net assets**||**2,429,397**|**1,892,748**| |**The funds of the charity**|||| |Unrestricted income funds|16|2,429,397|1,892,748| |**Total funds**||**2,429,397**|**1,892,748**| The financial statements were approved and authorised for issue by the Board and signed on its behalf by: Ahmed Ali Trustee 28 February 2022 6 of 12 Al Mahadul Islami Notes to the Financial Statements For the year ended 30 April 2021 ## **1. Accounting Policies** ## **Basis of accounting** The financial statements have been prepared under the historical cost convention, except for investments which are included at market value and the revaluation of certain fixed assets and in accordance with the Charities SORP (FRS 102) ‘Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)’, Financial Reporting Standard 102 the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Charities Act 2011. Al Mahadul Islami 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 note(s). ## **Statement of cash flows** The Trustees have taken advantage of the exemption in SORP FRS 102 from including a cash flow statement in the financial statements on the grounds that the charity is small. ## **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: ## **Resources expended** Liabilities are recognised as resources expended when there is a legal or constructive obligation committing the Charity to the expenditure: ## **Allocation and appointment of costs** Costs are allocated and apportioned to each activity accrording to the nature of each cost. Direct costs attributable to a single activity are allocated direct to that activity. Shared costs which conrtibute directly to more than one activity are apportioned between those activities. ## **Tangible fixed assets** Tangible fixed assets, other than freehold land, are stated at cost or valuation less depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following basis: Fixtures and fittings 20% Reducing balance ## **Current asset investments** Unlisted Investments are included at cost less impairment. ## **2. Income from donations and legacies** ||**2021**|**2020**| |---|---|---| ||**£**|**£**| |**Unrestricted funds**||| |Donations received|534,628|24,823| |Grants received|2,931|-| ||**537,559**|**24,823**| 7 of 12 ## Al Mahadul Islami Notes to the Financial Statements Continued For the year ended 30 April 2021 ## **3. Income from charitable activities** |**Unrestricted funds**
_Extra Curricular Activities_
Income from charitable
activities
**4. Investment income**
**Unrestricted funds**
Income from unlisted
investments
Bank interest receivable
**5. Expenditure on generating donations and legacies**
**Unrestricted funds**
Donations
**6. Costs of charitable activities by fund type**
**Unrestricted funds**
Extra Curricular Activities
Support costs
**7. Costs of charitable activities by activity type**
**Support**
**costs**
**Activities**
**undertaken**
**directly**
**£**
**£**
**Support costs**
Extra Curricular Activities
7,601
34,845|**2021**
**£**
76,675
**2021**
**£**
101,640
353
**101,993**
**2021**
**£**
137,132
**137,132**
**2021**
**£**
34,845
7,601
**42,446**
**2021**
**£**
42,446|**2020**
**£**
95,505
**2020**
**£**
35,000
2,599| |---|---|---| |||**37,599**| |||**2020**
**£**
14,260| |||**14,260**| |||**2020**
**£**
56,959
13,476| |||**70,435**| |||**2020**
**£**
70,435| 8 of 12 Al Mahadul Islami Notes to the Financial Statements Continued For the year ended 30 April 2021 ## **8. Analysis of support costs** |**Extra Curricular Activities**
Management
IT
Governance costs
**et income/(expenditure) for the year**
This is stated after charging/(crediting):
Depreciation of owned fixed assets
Trustees' remuneration
**Staff costs**
Total staff costs for the year ended 30 April 2021 were:
Salaries and wages
Employees|**2021**
**£**
713
69
6,819
**7,601**
**2021**
**£**
632
10,902
**2021**
**£**
10,902
**10,902**
**2021**
1
**1**|**2020**
**£**
1,072
264
12,140| |---|---|---| |||**13,476**| |||**2020**
**£**
790
10,299| |||**2020**
**£**
10,299| |||**10,299**| |||**2020**
1| |||**1**| ## **9. Net income/(expenditure) for the year** ## **10. Staff costs** ## **12. Comparative for the Statement of Financial Activities** The comparative year values on the Statement of Financial Activites are for unrestricted funds. 9 of 12 Al Mahadul Islami Notes to the Financial Statements Continued For the year ended 30 April 2021 ## **13. Tangible fixed assets** ||**Land and**|**Equipment**|| |---|---|---|---| |**Cost or valuation**|**buildings**||**Total**| ||**£**|**£**|**£**| |At 01 May 2020|466,789|4,878|471,668| |Additions|218,080|-|218,080| |At 30 April 2021|**684,869**|**4,878**|**689,747**| |**Depreciation**|||| |At 01 May 2020|-|1,719|1,719| |Charge for year|-|632|632| |At 30 April 2021|**-**|**2,351**|**2,351**| |**Net book values**|||| |At 30 April 2021|**684,869**|**2,528**|**687,397**| |At 30 April 2020|**466,789**|**3,160**|**469,949**| The title of all freehold property is held by Al Mahad Charitable Trust. ## **14. Creditors: amounts falling due within one year** |Trade creditors
Other creditors
**15. Creditors: amounts falling due after more than one year**
Other creditors
**16. Movement in funds**
**Unrestricted Funds**
_General_
General|**Balance at**
**01/05/2020**
**£**
1,892,748
**1,892,748**|**Incoming**
**resources**
**£**
716,227
**716,227**|**2021**
**£**
137
509
**646**
**2021**
**£**
500,000
**500,000**
**Outgoing**
**resources**
**£**
(179,578)
**(179,578)**|**2020**
**£**
770
1,235| |---|---|---|---|---| |||||**2,005**| |||||**2020**
**£**
500,000| |||||**500,000**| |||||**Balance at**
**30/04/2021**
**£**
2,429,397| |||||**2,429,397**| 10 of 12 ## Al Mahadul Islami Notes to the Financial Statements Continued For the year ended 30 April 2021 ## **Unrestricted Funds - Previous year** |**Unrestricted Funds - Previous year**||||| |---|---|---|---|---| ||**Balance at**|**Incoming**|**Outgoing**|**Balance at**| ||**01/05/2019**|**resources**|**resources**|**30/04/2020**| ||**£**|**£**|**£**|**£**| |_General_||||| |General|1,819,516|157,927|(84,695)|1,892,748| ||**1,819,516**|**157,927**|**(84,695)**|**1,892,748**| ## **Purpose of unrestricted Funds** ## General General unrestricted funds are to be maintained and grown from which future capital projects can be undertaken. ## **17. Analysis of net assets between funds** |**Analysis of net assets between funds**|||||| |---|---|---|---|---|---| ||**Tangible**|**Investments**|**Net current**|**Creditors >**|**Net Assets**| ||**fixed assets**||**assets /**|**one year**|| ||||**(liabilities)**||| ||**£**|**£**|**£**|**£**|**£**| |**Unrestricted funds**|||||| |_General_|||||| |General|687,396|1,102,500|1,139,501|(500,000)|2,429,397| ||**687,396**|**1,102,500**|**1,139,501**|**(500,000)**|**2,429,397**| |**Previous year**|||||| ||**Tangible**|**Investments**|**Net current**|**Creditors >**|**Net Assets**| ||**fixed assets**||**assets /**|**one year**|| ||||**(liabilities)**||| ||**£**|**£**|**£**|**£**|**£**| |**Unrestricted funds**|||||| |_General_|||||| |General|469,948|1,102,500|820,300|(500,000)|1,892,748| ||**469,948**|**1,102,500**|**820,300**|**(500,000)**|**1,892,748**| 11 of 12 ## Al Mahadul Islami Detailed Statement of Financial Activities For the year ended 30 April 2021 ||**2021**|**2020**| |---|---|---| ||**£**|**£**| |**INCOME AND ENDOWMENT**||| |**Donations and legacies**||| |Donations|534,628|24,823| |Grants receivable|2,931|-| ||**537,559**|**24,823**| |**Charitable activities**||| |Income from charitable activities|76,675|95,505| ||**76,675**|**95,505**| |**Investments**||| |Income from unlisted investments|101,640|35,000| |Bank interest receivable|353|2,599| ||**101,993**|**37,599**| |**Total incoming resources**|**716,227**|**157,927**| |**EXPENDITURE**||| |**Raising donations and legacies**||| |Donations|(137,132)|(14,260)| ||**(137,132)**|**(14,260)**| |**Charitable activities**||| |Cost of direct charitable activity|(34,845)|(56,959)| ||**(34,845)**|**(56,959)**| |**SUPPORT COSTS**||| |**Management**||| |Management|(713)|(1,072)| ||**(713)**|**(1,072)**| |**IT**||| |IT|(69)|(264)| ||**(69)**|**(264)**| |**Governance costs**||| |Governance costs|(6,819)|(12,140)| ||**(6,819)**|**(12,140)**| |**Total resources expended**|**(179,578)**|**(84,695)**| |**Net Income**|**536,649**|**73,232**| 12 of 12 This page does not form part of the statutory financial statements