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2020-12-31-accounts

Jewish Futures Trust Limited

(by guarantee)

Company number 07884678 Charity number 1151066

Trustees’ Report

And

Financial Statements

For the year ended

31 December 2020

Jewish Futures Trust Limited

Contents Page
Legal and administrative information 1
Trustees’ report 2 – 7
Auditors’ report 8 – 10
Statement of financial activities 11
Balance sheets 12 – 13
Cash flow 14
Notes to the financial statements 15 - 27

Page 1

Jewish Futures Trust Limited

Legal and administrative information

Directors / Trustees

J Benarroch S Farhi D Hammelburger K Harris E Lee E Misrahi D Morris (appointed 9 October 2020) S Neerkin (resigned 5 March 2021) N Schiff D Sobel (appointed 24 January 2020)

Chief Executive Officer

N Schiff

Principal Address and Registered Office

379 Hendon Way London NW4 3LP

Details of Incorporation

The company was incorporated on 16 December 2011 in England under company registration number 07884678, and was registered with the Charity Commission on 4 March 2013, governed by its memorandum and articles of association, charity number 1151066.

Auditors

Crowe U.K. LLP Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL

Bankers

National Westminster Bank Plc 5 Central Circus Hendon Central London NW4 3LE

Page 2

Jewish Futures Trust Limited

Trustees’ Report

The trustees, who are also directors of the charity for the purposes of the Companies Act, submit their annual report and the financial statements of the Jewish Futures Trust Group for the year ended 31 December 2020. The trustees confirm that the annual report and financial statements of the company comply with current statutory requirements, the requirements of the company’s governing document and the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” issued in March 2005.

Legal and administrative information set out on page 1 forms part of this report.

Structure, Governance and Finance

The company is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 16 December 2011. The charity’s objects are set out below in the Charity’s Objectives and Activities.

The trustees, who are also the directors for the purpose of company law, and who served during the year are listed on page 1. None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up. The Directors who served in the year were J Benarroch, S Farhi, D Hammelburger; K Harris; E Lee; E Misrahi; D Morris (from 9 October); S Neerkin; N Schiff and D Sobel.

The Board of Trustees is responsible for the overall governance, policy and strategic direction of Jewish Futures Trust. The members of the Board of Trustees have the legal responsibility for the operations of the charity and the use of resources in accordance with the objects of the charity. The appointment and training of a new trustee is subject to the oversight of current trustees.

There are no specific restrictions imposed by the governing document concerning the way the charity can operate.

Jewish Futures Trust has been a driving force in incubating and nurturing new educational initiatives and establishing and building other independent UK charities in the field of education and social action. These charities include Give It Forward Today, Jroots, Forum for Jewish Leadership, Chazak, Klal-Chazon, Aish Hatorah UK. In this respect, Jewish Futures Trust aims to encourage aspirational strategic thinking for each organisation as well as achieve effective economies of scale through the sharing of both innovation, resources and best practises between all the charities. During the course of the year the Company provided central head office services to the subsidiary charities as detailed in the notes to the accounts, at cost, to enable the group to benefit from economies of scale. It encouraged group charities to use the resources of sister charities to benefit from their expertise, in furtherance of each other’s’ charitable objectives.

Neil Schiff has helped to establish charities in USA and Israel (JFT – Jewish Futures Foundation Inc in USA and JFT Netzach in Israel), with similar public benefit objectives to develop educational, religious and cultural programmes. Jewish Futures Trust and sister charities are encouraged to undertake initiatives and activities in conjunction with these charities to mutually benefit each other.

Many hundreds of volunteers are identified and deployed across all of the group charities to fulfil some educational and operational activities such as in GIFT, whose prime objective is to encourage members of the public to give up their time to help other people, and in FJL, Aish and Chazak where part of their remits are to nurture youth leadership.

Charity’s Objectives and Activities

The principal objects of the charity are exclusively to further, for the public benefit, the following charitable purposes:

Page 3

Jewish Futures Trust Limited

Trustees’ Report (continued)

Initially the primary aim of the charity was only to educate young Jewish people in the UK. Over the past few years the educational remit has widened to allow for a broader spectrum of the community to benefit from the educational expertise and experience of the organisation. The core of the educational philosophy is to share with young people a sense of moral responsibility and ethical values that instil a sense of pride in Jewish heritage as well as upright citizenship in wider society. The charity goes about achieving this objective through regular educational, social and religious events across the UK, alongside numerous overseas educational programmes at key points in the year.

Achievements and Performance

Jewish Futures Trust is the sole member and has legal control over 6 independent charities and companies: Jroots, Give It Forward Today, Aish Hatorah UK, Forum for Jewish Leadership, Chazak, Klal Chazon. These set of accounts consolidate the results of all these entities.

The main achievements of the Charity in the period under review include:

Fundraising

Jewish Futures Trust group is committed to the highest standards in fundraising. At all times the Charity aims to ensure that its processes and staff are respectful, open, honest and accountable to our supporters and the public.

Jewish Futures Trust is a medium sized charity that principally raises funds from individuals, family trusts and foundations, and companies who have a connection with and support the work of the charity. Its approach is generally on a personal level, but the group also raises funds through community events and activities.

Fundraising approaches made by Jewish Futures Trust are personal and targeted, focussed on those individuals and institutions who have expressed interest in its work. The Company does not engage in large scale fundraising activities like mass mailings, unsolicited telephone fundraising or door-to-door campaigns. This approach has expanded under the guidance of Jewish Futures Trust for each charity out of necessities dictated by the Covid-19 restrictions

Jewish Futures Trust has a small fundraising team. The Chief Executive and Chief Operating Officer are responsible for the day to management of fundraising activities. The Trustees provide oversight of fundraising strategy and delivery. The Fundraising Team receive regular training and guidance and aim to adhere to methods of best practise including the Fundraising Regulator’s Code of Fundraising Practice.

Under no circumstances does The Company share personal information of its supporters for the purposes of third-party marketing or processing.

Page 4

Jewish Futures Trust Limited

Trustees’ Report (continued)

Fundraising (continued)

There have been no complaints about fundraising activities reported in the year to 31 December 2020, or subsequently.

Jewish Futures Trust and its group charities have used two third party organisations to help raise funds for matched funding, targeted appeals, Causematch and CharityExtra, that has special technology and know how to run 24-hour telethon campaigns. These campaigns are targeted at the charities known database of supporters. The relationship with the thirdparty organisation is monitored by the Fundraising Team.

Financial Review

Against the backdrop the Covid-19 pandemic, which challenged the fundraising capabilities of all charities, the group successfully raised £7.311m through fundraising activities (2019: £6.392m) and, generated participant contributions (mostly pre-Lockdown) for trips and events of £1.393m (2019: £3.166m). In addition, the Group benefited from the Job Retention Scheme and applied for grants of £699,697 from the government scheme (2019 £nil).

Total incoming resources for the year were £9.422m (2019: £9.590m) and resources expended totalled £7,639m (2019: £9.409m) resulting in net surplus for the Group of £1.783m (2019: £180,603). The group finished the year with total net funds of £2.832m (2019: £1,049,718). At the year end the Group had total free reserves of £2.529m (2019: £666,278).

The group is supported by a broad spectrum of donors from across the community, ranging from grassroots student-level program participants and alumni to a broad range of philanthropists who partner with the charities in the group and help encourage their activities.

Most fundraising is done through direct relationships with our partners and through effective communication of the importance of our work to the wider audience of our supporters.

All of the group charities had to innovate their fundraising processes to adapt to the restrictions of the COVID-19 lockdown, and created highly effective online campaigns during the year. It is primarily through these efforts and activities that each charity has achieved a boost to year end reserves, to strengthen their balance sheets and have effective resources for 2021 and future years. The success of the campaigns are a testament to the broadened reach of participants of the online education programmes.

All of the group’s expenditure is focused on creating the wide range of successful high-quality educational courses and popular, impactful activities that deliver our stated charitable objectives.

A summary of the results of the subsidiary entities for the year was as follows:

entities for the year was as follows:
Total Total Net
Incoming resources Charitable Surplus/
resources expended expenditure (Deficit)
£ £ £ £
Jroots 1,668,177 1,444,650 1,438,948 243,527
Give It Forward Today 2,399,242 1,633,048 1,456025 766,194
Chazak 643,147 583,537 578,476 59,610
Klal Chazon 349,101 261,115 258,317 87,986
Aish Hatorah UK 2,838,958 2,279,719 2,108,507 559,239
Forum For Jewish Leadership 194,812 179,424 176,690 15,388
JLink (was dormant through the year) - - - -

Page 5

Jewish Futures Trust Limited

Trustees’ Report (continued)

Key Risks and Uncertainties

The trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks. A reduction in donor base could cause cash flow issues; any delayed receipt of pledged donations income could also potentially cause cash flow issues. The major risks facing the charity are reviewed regularly at management meetings. Regular reviews of cash flow projections and budget forecasts are also undertaken, as well as a continual drive to reduce expenditure and negotiate better terms and rates.

The impact of Covid-19 in 2020

The ongoing COVID-19 crisis significantly impacted upon the Charity’s planned activities and programmes. All activities involving social interaction had to stop in March 2020, but the charity was able to move, with remarkable alacrity and professionalism, to digital platforms to deliver events and programmes. The result of this has been a huge increase in educational engagement as evidenced by the table below:

Staff were put on furlough and actions taken to reduce costs of operations to limit the drain on resources. The Covid-19 crisis has impacted on the ability of the Charity to raise funds in the normal way, compared to previous years. However, supporters have recognised that the Charity has still been able to deliver high quality programmes and remain supportive of its work. The Group created a number of successful on-line fundraising campaigns. Fundraising initiatives are still producing appropriate income for the Group.

Management and Trustees are monitoring the Charity cost base on a regular basis to ensure that programme, event and educational costs do not exceed foreseeable income. The Management Team are regularly assessing the operational and logistical capabilities and finance consequences to update plans and budgets.

Reserves

Jewish Futures Trust needs free reserves to enable it to fulfil its charitable obligations and commitments that it enters into. The charity also requires reserves to ensure continuance of these obligations in the eventuality of any unexpected revenue shortfall.

Free reserves are defined by the Charity Commission as unrestricted funds available to spend on the general purposes of the charity and therefore excluding those designated for particular purposes and those already utilised in purchasing tangible fixed assets. Free reserves should not be mistaken for cash reserves. After adjusting unrestricted funds for functional fixed assets free reserves for the Company were in surplus by £423,309 (2019: surplus £345,636).

Jewish Futures Trust policy is to hold free reserves equal to not less than two months and no more than four months normal running costs, approximately £200,000 to £400,000. In the light of Covid-19 crisis, the Charity’s short-term objective is to ensure that the combination of cash and liquid assets is sufficient to meet current and anticipated obligations.

Pay policy for key management personnel

Pay and remuneration of key management personnel is determined by a variety of contributory factors, including the size of the charity, the pay scales for each role and the level of experience of the staff member. In addition to this, levels of pay may be affected by the ability to recruit key management personnel and retain them in post, which all coincides with the charity’s appointment and pay policies. All amendments to key management personnel's pay and remuneration is discussed and agreed by the trustees.

Plans for the Future

The member organisations of Jewish Futures Trust were all established under the leadership of Rabbi Naftali Schiff over the course of a decade. Since 2018 the trustees have set out to empower each organisational director so that they focused on a more hands on leadership style. Along with the trustees, Rabbi Naftali Schiff, along with the Management Team, have taken on a more strategic and consultative role, in each charity and has been able to embark on further educational and funding opportunities for the charity and member organisations.

Page 6

Jewish Futures Trust Limited

Trustees’ Report (continued)

Plans for the Future (continued)

The Charity is tenant of a substantial property in North West London and is progressing with plans toward creating a new educational and cultural centre as a magnet for the inspiration and engagement of the UK Jewish and wider community and as a base for all the Group charities. This will be a ground-breaking, step change for the Group and will involve a large capital fundraising campaign. This will be led by a new committee devoted specially for the purpose.

Public Benefit

The trustees acknowledge the duty in Section 4 of the Charities Act 2011 to have due regard to the Charity Commission’s published general and relevant sub-sector guidance on public benefit.

All activities undertaken by the group are for the public benefit. With a focus on providing education, the organisation’s operation is very much geared to providing benefit to the Jewish and wider community as is highlighted by the activities reported herein. The core of the educational philosophy is to share with young people a sense of moral responsibility and ethical values that instil a sense of pride in Jewish heritage as well as upright citizenship in wider society. This will also continue to be central to its future plans.

Disclosure of information to Auditors

Each of the directors has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditors are unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditors are aware of such information.

Statement of Trustees’ Responsibilities

The Trustees (who are also directors of Jewish Futures Trust Limited for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

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 the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, 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 and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In preparing this report, the Directors have taken advantage of the small companies exemption provided by section 415A of the Companies Act 2006.

Page 7 Jewlsh Futsire5 Trn8t Llmltsd Truste¢s' Report (continued) Audlt4)n Crowe U.K. LLP bes expr&ssed & willingness to continue lll offi¢e. A Tesolu¢ion to appoint them WUI be proposed at th¢ Annual General Meetit]%. This report has beffl ap[rov￿ by the trust¢e8 on 16 Augusx 2021 and 5i8ned on their behalf by.. Mi8r*hl Trnjtse

Page 8

Auditors’ Report

Jewish Futures Trust Limited

Independent Auditor’s Report to the Members and Trustees of Jewish Futures Trust Limited

Opinion

We have audited the financial statements of Jewish Futures Trust Limited (the “charitable company”) for the year ended 31 December 2020 which comprise Consolidated Statement of Financial Activities, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 9

Auditors’ Report

Jewish Futures Trust Limited

Opinions on other matters prescribed by the Companies Act 2006

In our opinion based on the work undertaken in the course of our audit

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and the charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011 and under the Companies Act 2006 and report in accordance with the Acts and relevant regulations made or having effect thereunder

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Page 10

Auditors’ Report

Jewish Futures Trust Limited

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the the Charities SORP (FRS102) 2019 and Companies Act 2006.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management and the recognition of income. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, sample testing on income recognised in the accounts and reviewing accounting estimates for biases.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company, the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Alastair Lyon Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor Aquis House 49-51 Blagrave Street Reading Berkshire RG1 1PL

17 August 2021

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

Page 11

Jewish Futures Trust Limited

Consolidated Statement of Financial Activities

(Incorporating an income and expenditure account)

for the year ended 31 December 2020

Note
Unrestricted
Funds
Restricted
Funds
Income from:
Donations and legacies
4
6,681,981
629,348
Charitable activities:
Participant payments
4
1,393,183
-
Investment income
186
-
Other income
4
717,957
-
Total income
8,793,307
629,348
_
________
Expenditure on:
_Raising funds:
Donor fundraising costs
5
418,947
-
Charitable activities
6
6,455,237
635,480
Charitable donations
102,010
27,872
Total expenditure
6,976,194
663,352
_
_
Net income/(expenditure) for the year
before transfers
7
1,817,113
(34,004)
Reconciliation of funds:
Total funds brought forward
933,909
115,809
Total funds carried forward
2,751,022
81,805
=======
=======		 2020
£
7,311,329
1,393,183
186
717,957
9,422,655
_
418,947
7,090,717
129,882
7,639,546
_
1,783,109
1,049,718
2,832,827
=======		 2019
£
6,391,954
3,166,366
26
31,898
9,590,244
__
618,392
8,641,293
149,956
9,409,641
__
180,603
869,115
1,049,718
=======

The Statement of Financial Activities includes all gains and losses recognised in the year.

All income and expenditure derives from continuing activities.

The notes on pages 15 to 27 form part of these accounts.

Page 12 Jewiih Futures Trust Llmlted Company number: 07884678 Consolidated Balance Sheei As at 31 December 2020 Note 2020 2019 Flxed A$5ets Tangible as8¢rs H¢ritage Ass¢ts Ila Ilb 168,746 52.260 218.060 52.200 221,006 270,320 Current Asi¢ts DebtLYS Cash at bank and ID hand 12 763.549 1,265,376 3,157,680 2,290,885 Credlton- Amoun1¥ falling due within one year 13 N¢t ¢yrrent A8iets 2,611,821 779,398 T•tAI #Mets km turrettt Ilabllltl¢• 2.&32.827 1,049,718 TotAI Net Al￿10 £2,832,827 £1,049,718 Fuod8 Restricted fi￿￿S Unre$tri¢t¢d fijndy 13 15 81,805 115,809 Totsl fmttdi £2.832,827 £1,049.718 Included in the Conwlidated Stat¢m¢nt of Financial ActivitjC5 j5 nct unrestricted income forthe year for J¢wi.th Futures TTUSt of £51,165 (2019.. £159,917) Th¢ financial 8tatcrncnts werc approved and authorised for issue by th¢ truste¢5 and w¢r¢ Si￿ed on its behalf on 16 Au8uts* 2021 by E M18Tahl Trustee The notes on p8gu 15 to 27 fm port of th￿e accounts.

Page 13 ewlsh Futhre5 Tru51 Limlted Company th￿￿ber: 07884678 Company Batance Sheet As ￿ 31 De¢¢mb¢r 2020 Note 2020 2019 Flxed AMtts- Taftwble Assots Ila 54.603 Curren¢ A￿1& Debtors Cgsh at bank 4nd in h8nd 12 489,416 242 192 445,298 731,608 610.575 Credltors: Amounts fa]lin8 due within ¢JDe year 13 99 Net Curremt AJJets Total Ntt A88¢ts 477,912 426,747 Unre$trided fijnds Total fuDdi 477,912 420.747 The f]nw￿l￿1 statements were approved and authiyised for isw by the ￿￿¢¢$ and were sI￿￿d on its behalf on 16 August 2021 by E Mlsrahl Trust¢e The notes on pa¥es IS to 27 forni part of ttlese a¢¢ount&

Page 14

Jewish Futures Trust Limited

Consolidated Statement of Cash flows

As at 31 December 2020

Cash flows from operating activities:
Net incoming/(outgoing) resources
Depreciation
Decrease/(increase) in debtors
Increase/(decrease) in creditors
Net cash provided by operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Net cash used by investing activities
Cash flows from financing activities
Additional credit/(repayment of bank credit cards)
(Repayments of other loans)/ new loan advances
Net cash used/ (sourced) by financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Total cash and cash equivalents at the end of the year		 2020
£
1,783,109
50,470
-
501,827
(837,198)
1,498,208
(1,156)
(1,156)
(18,430)
(110,000)
(128,430)
1,368,622
1,025,509
£2,394,131		 2019
£
180,603
52,128
(589,648)
(7,965)
(364,882)
(66,788)
(66,788)
19,656
90,000
109,656
322,014
1,347,523
£1,025,509		 2019
£
180,603
52,128
(589,648)
(7,965)
(364,882)
(66,788)
(66,788)
19,656
90,000
109,656
322,014
1,347,523

Page 15

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

1 Company information

The principal activity of Jewish Futures Trust Limited is the advancement of Jewish education and culture. The company is registered as a charitable company limited by guarantee (company number: 07884678, charity number 1151066). It is incorporated and domiciled in the UK. The address of the registered office is 379 Hendon Way, London, NW4 3LP.

2 Accounting Policies

a. Basis of Accounting

b. Basis of Consolidation

c. Going Concern

Cost of fundraising activities are those costs incurred in attracting voluntary income.

Charitable activities include expenditure associated with the delivery of its activities and include both the direct costs and support costs relating to these activities.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include the independent examination fees and costs linked to the strategic management of the charity.

Support costs include related staff remuneration, premises costs, travel costs and core professional fees. These costs have been allocated to the expenditure categories based on the management’s estimate of the proportion of time and resources consumed by each of the key activities of the charity.

Page 16

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

2 Accounting Policies (continued)

f. Liability Recognition

Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure.

g. Tangible Fixed Assets

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the costs of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Improvements to leasehold property - Over the term of the lease Plant and equipment - 25% reducing balance Fixtures and fittings - 25% reducing balance/33% straight line Motor vehicles - 25% reducing balance

Assets greater than £1,000 are capitalised.

h. Heritage Assets

The subsidiary, Aish Hatorah UK Ltd, owns religious scrolls. These assets are untarnished and used to further the charity’s objectives. Heritage assets are included in the Balance Sheet at cost. Their carrying amounts are reviewed where evidence of impairment exists and reduced where an impairment is deemed to have incurred.

In accordance with FRS102, depreciation is not provided on heritage assets as they are considered to have indefinite lives. The cost of maintenance and repair of heritage assets is written off in the year incurred.

i. Translation of Foreign Currencies

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date.

Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.

Exchange gains and losses are recognised in the Statement of Financial Activities.

j. Operating Leases

Rentals under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straightline basis over the period until the date the rent is expected to be adjusted to the prevailing market rate.

Page 17

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

2 Accounting Policies (continued)

The Company holds only financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments include debtors and creditors. Debtors and creditors are initially recognised at transaction value and subsequently measured at fair value. Note 20 provides more information on financial instruments where future cash flows are anticipated, with financial assets referring to debtor balances excluding prepayments, and financial liabilities referring to all creditor balances excluding deferred income and other taxation and social security.

l.

Government Grants

Grants are accounted for under the performance model as permitted by the charity SORP. Coronavirus Job Retention Scheme grant income is therefore recognised on a straight-line basis over the furlough period for each relevant employee.

3 Key Judgements and Estimates

In the application of the Company’s accounting policies, which are described in note 2, Trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects the current and future periods.

The Trustees consider that there are no material judgements in applying accounting policies or key sources of estimation uncertainty.

Page 18

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

4 Income
2020 2019
£ £
Incoming resources from generated funds
Donations and gifts 6,676,023 5,204,969
Fundraising dinners - 706,987
Fundraising telethons 635,306 479,998
7,311,329 6,391,954
======== ========
Incoming resources from charitable activities
Trip and event participant payments 1,393,183 3,166,366
======== ========
Other Income
Job Retention Scheme Furlough Grants 699,697 -
Other income 18,260 31,898
717,957 31,898
5 Donor fundraising costs 2020 2019
£ £
Donor relations 8,939 17,512
Travel and accommodation 16,934 54,144
Staff costs 213,890 182,196
Support and Other costs 141,636 82,777
Fundraising dinner costs - 239,238
Fundraising telethon costs 37,548 42,525
418,947 618,392
====== ========

Donor fundraising costs represent 5.7% (2019: 9.7%) of total donations and fundraising income of the year.

6

Charitable activities

Basis of
allocation
Staff costs
Direct
Programme & trip expenditure
Direct
Educational Materials
Direct
General office
Direct
Governance costs
Direct
Support costs
Total charitable activity expenditure		 Charitable
activities
Support costs
£
£
2,031,525
1,000,602
2,007,841
31,808
-
1,994,521
24,420
4,071,174
3,019,543
3,019,543
(3,019,543)
7,090,717
-		 2020
Total
2019
Total
£
£
3,032,127
2,769,518
2,007,841
3,473,280
31,808
54,719
1,994,521
2,310,774
24,420
33,002
7,090,717
8,641,293
-
7,090,717
8,641,293

Of the £7,090,717 expenditure in 2020 (2019: £8,641,293), £6,455,237 was charged to unrestricted funds (2019: £8,415,473) and £635,480 to restricted funds (2019: £495,820).

Page 19

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

7 Net incoming resources

Net incoming resources
2020 2019
This is stated after charging £ £
Depreciation of tangible fixed assets:
- owned by the Company 50,470 52,128
Auditors’ remuneration
- audit fees 25,699 33,002
- other services - -
Foreign exchange (gains) / losses (2,388) (2,397)
===== =====

8 Trustees’ remuneration

During the year, one (2019: one) trustee received total remuneration of £104,358 (2019: £100,156) in their capacity as employees of companies within the Jewish Futures Trust Group. The Articles of Association permit the employment and remuneration of a director as an employee.

During the year, no Trustee in the Group received any benefits in kind for their role as trustee (2019: £Nil).

During the year, no Trustee in the Group received any reimbursement of expenses for their role as trustee (2019: £Nil).

2020 2019
Staff Costs: £ £
Wages and salaries 2,813,596 2,628,243
Social security costs 241,647 224,432
Pension costs 71,398 69,789
Other staff costs 76,405 77,130
3,203,046 2,999,594
__ __

Remuneration amounting to £115,903 was paid to key management personnel directly in Jewish Futures Trust (2019: £109,068). All trustees are included as key personnel.

The average number of employees during the year was:
Educational
Operational
Administrative		 2020
55
16
26
97
=======		 2019
47
21
28
96
=======

Page 20

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

10 Employees (continued)

One employee (2019: one) received emoluments between £60,000 and £70,000. Two employees (2019 one) received emoluments between £70,000 and £80,000 One employee (2019: two) received emoluments between £80,000 and £90,000.

11 A) Fixed assets

Leasehold
improvements
Plant and
equipment
Furniture and
fittings
Motor
vehicles
Group
£
£
£
£
Cost
At 1 January 2020
547,988
170,415
318,772
23,185
Disposals
Additions
-
-
1,156
-
At 31 December 2020
547,988
170,415
319,928
23,185
Depreciation
At 1 January 2020
377,416
158,099
286,420
20,365
Disposals
-
Charge for the Year
42,271
1,600
5,894
705
At 31 December 2020
419,687
159,699
282,314
21,070
Net Book Value
At 31 December 2020
128,301
10,716
27,614
2,115
======
======
======
=====
At 31 December 2019
170,572
12,316
32,352
2,820
======
======
======
=====
2020
B) Heritage assets
£
Group
At 1 January
52,260
Additions in year -
Disposal
-
At 31 December 52,260		 Total
£
1,060,360
1,156
1,061,516
842,300
-
50,470
892,770
168,746
=======
218,060
=======
2019
£
40,892
11,368
-
52,260
=
=

Aish Hatorah UK, a group charity, owns religious scrolls that originally cost £48,000. They were classified as Heritage Assets in the year ended 31 December 2011 and until 2018 there have been no changes needed to be reflected in the accounts, to their valuation or status.

During 2018 one of the scrolls was gifted to another charity and its historic cost, £24,000, was treated as a charitable donation.

During 2018 a supporter made donations to the Charity to commission a new religious scroll, which was completed in 2019. The costs to write the scroll have been added to the asset account. At 31 December 2020 Aish Hatorah has control over 2 scrolls.

Page 21

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

11 Fixed Assets (continued)

Leasehold
improvements
Plant and
equipment
Company
£
£
Cost
At 1 January 2020
124,600
11,294
Additions
-
-
At 31 December 2020
124,600
11,294
Depreciation
At 1 January 2020
49,480
4,943
Charge for the Year
24,920
1,588
At 31 December 2020
74,460
6,531
Net Book Value
At 31 December 2020
49,840
4,763
======
======
At 31 December 2019
74,760
6,351
======
======		 Total
£
135,894
-
135,894		 Total
£
135,894
-
135,894
=
=		 54,783
26,508
81,291
54,603
=====
81,111
=====

12 Debtors

Trade debtors
Sister charity debtors
Other debtors
Prepayments and accrued income
13
Creditors:Amounts falling due within one-year
Bank loans and credit cards
Trade creditors
Amounts owed to sister charities
Social security and other taxation
Loans
Other creditors
Accruals and deferred income		 Group
2020
2019
£
£
82,247
217,481
-
-
400,174
499,164
281,128
548,731
763,549
1,265,376
2020 2019
£ £
19,235
37,665
177,308
289,774
-
-
79,828
80,706
-
110,000
128,429
137,413
141,059
855,929
545,859
1,511,487		 Company
2020
2019
£
£
36,137
100
22,482
24,543
319,349
158,856
111,448
261,799
489,416
445,298
2020
£
2019
£
6,305
12,204
94,932
33,467
6,872
50,070
42,310
36,088
-
30,000
58,020
77,860
99,860
25,250
308,299
264,939

Page 22

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

14 Deferred Income 2020 2019
£ £
Balance as at 1 January 736,955 635,409
Amount released to income in the year (736,955) (635,409)
Amount deferred in the year - 736,955
Balance as at 31 December - 736,955
======= ======

Deferred Income at the end of the year represents, in group charities, amounts received from participants for educational trips that will take place in the period after 31 December 2020. Income is released to the Profit and Loss account for the year in which the activity occurs.

15 Statement of Funds

Group
Restricted funds
Unrestricted funds
Restricted funds :
Memorial projects
Gifts in kind
Trips
Company
Restricted Funds
Unrestricted funds		 1 January
2020
£
115,809
933,909
1,049,718
85,625
27,495
2,689
115,809
-
426,747
_		 Income
Expenditure
31 December
2020
£
£
£
629,348
663,352
81,805
8,793,307
6,976,194
2,751,022
9,422,655
7,639,546
2,832,827
25,399
603,949
-
629,348
60,234
600,429
2,689
663,352
50,790
31,015
-
81,805
-
-
2,666,017
2,614,852
477,912
_
_
_

Restricted Funds descriptions: -

Memorial Projects - funds collected to pay tribute and remember people who survived the Holocaust in Jroots. Gifts in Kind – food parcels collected and distributed to needy families around London and Manchester in GIFT Trips - funds provided to sponsor bursaries for students on Forum for Jewish Leadership international trips.

Page 23

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

16 Related Party Transactions

Jewish Futures Trust is the sole member of Aish Hatorah UK. During the year, Jewish Futures Trust made donations to Aish UK to the value of £238,250 (2019: £192,000). During the year Aish charged JFT £14,002 (2019 £20,218) for administrative services. At the year end, the Company owed Aish UK £4,511 (2019: £25,025) and Aish owed the Company £Nil (2019: £nil) for central services.

Jewish Futures Trust is the sole member of Chazak Ltd. During the year, the Company made donations to Chazak to the value of £51,000 (2019: £35,000). During the year Chazak set up a Beis Hamidrash in a property leased by JFT and paid rent for the office of £21,600 (2019: £12,600). At the year end, the Company owed Chazak £nil (2019: £4,840).

Jewish Futures Trust is the sole member of JRoots During the year, the Company made donations to JRoots to the value of £nil (2019: £500). JRoots made donations to the Company of £nil (2019: £50,000). At the year end the Company owed J Roots Ltd £nil (2019: £4.205) and JRoots owed the Company £1,067 (2019: £nil).

Jewish Futures Trust is the sole member of Give it Forward Today Ltd. During the year, the Company made donations to Gift to the value of £73,047 (2019: £83,000). At the year end, the Company owed Gift £Nil (2019: £nil) and Gift owed the Company £127 (2019: £12,197).

Jewish Futures Trust is the sole member of Forum for Jewish Leadership. During the year, the Company made donations to FJL to the value of £10,000 (2019: £30,000) At the year end, FJL owed the Company £21,288 (2019: £nil) and the Company owed FJL £nil (2019 £16,000).

Jewish Futures Trust is the sole member of Klal Chazon. During the year, the company made donations and grants to Klal Chazon to cover the costs of educational support services and overheads to the value of £84,000 (2019: £nil). At the year end, Klal Chazon owed the Company £nil (2019: £12,346) and the Company owed Klal Chazon £2,362 (2019 £nil)

Jewish Futures Trust operates a central operational hub for various back office functions that supports itself and its group charities including running head office premises, finance, production, logistics, publicity and fundraising. It has recharged each of the charities, at cost, for an agreed share of the overhead expenses to reflect each charity’s use of the central services (which are reviewed each year). The amount charged to each charity during 2020 was as follows: -

Year ended 31 Dec 2020 Year ended 31 Dec 2019 £ £ Chazak Ltd 74,480 60,080 J Roots 147,862 187,027 Klal Chazon 25,000 - Forum for Jewish Leadership 15,000 - Gift 122,045 137,691 Aish Hatorah 294,603 404,421

Page 24

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

17 Operating lease commitments

The following annual commitments existed in respect of non-cancellable operating leases:

2020 2019
£ £
Group
Leases expiring:
In less than one year 500,389 603,862
Between one and five years 325,184 629,206
Greater than five years - -
______ ______
825,573 1,233,068
======= =======
2020 2019
Company : £ £
Leases expiring:
In less than one year 238,967 254,567
Between one and five years 227,267 393,367
Greater than five years - -
_ ______
466,234 647,934
====== ======

18 Principal Subsidiaries

Percentage
Company name Country Control Description
Chazak Ltd UK 100 Jewish cultural education
(Company number 07485527,
Charity number 1142937)
Forum For Jewish Leadership Ltd UK 100 Jewish cultural education
(Company number 07485527, Charity
number 1142937)
Klal Chazon Ltd UK 100 Jewish cultural education
(Company Number 10832208,
Charity number 1177390)
JLink Ltd UK 100 Jewish cultural education
(Company Number 07968852)
Aish Hatorah UK Ltd UK 100 Jewish cultural education
(Company number 03413207,
Charity number 1069048)
Jroots Ltd UK 100 Heritage and cultural educatio
(Company Number 07114903,
Charity Number 1136532)
Give It Forward Today UK 100 Benevolence social action and
(Company number 08439369, Charity education
number 1153393)

Page 25

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

19 Subsidiary Information

A summary of the results of the financial position of the 100% owned subsidiaries is shown below. The unconsolidated net incoming resources for the parent entity (Jewish Futures Trust Limited) were £51,165 (2019: £159,917) for the financial year.

Aish
Hatorah UK
Ltd
Chazak
Ltd
£
Income
Donations and legacies
2,505,939
562,648
Participant payments
87,803
12,904
Investment income
-
-
Other income
245,216
67,595
Total income
2,838,958
643,147
Expenditure
Donor fundraising costs
171,212
5,062
Charitable activities
2,108,507
578,476
Charitable donations out
-
-
Total expenditure
2,279,719
583,538
Net income/(expenditure) for the year
559,239
59,609
Total funds brought forward
13,994
268,512
Total funds carried forward
573,233
328,121
Total assets
642,629
351,414
Total liabilities
69,396
23,293
J Link ltd
Klal Chazon
Ltd
£
£
Income
Donations and legacies
-
306,845
Participant payments
-
14,406
Investment income
-
-
Other income
-
27,850
Total income
-
349,101
Expenditure
Donor fundraising costs
-
2,798
Charitable activities
-
258,317
Charitable donations out
-
-
Total expenditure
-
261,115
Net income/(expenditure) for the year
-
87,986
Total funds brought forward
-
(31,611)
Total funds carried forward
-
56,375
Total assets
-
98,453
Total liabilities
-
42,078		 Jroots
Ltd
Give It
Forward
Today
£
£
349,436
2,328,818
1,261,045
-
-
-
77,696
70,424
1,688,177
2,399,242
5,702
177,023
1,394,936
1,456,025
74,012
-
1,444,650
1,633,048
243,527
766,194
260,515
112,717
504,042
878,911
560,481
927,492
56,439
48,581
Forum For
Jewish
Leadership
Ltd
£
98,765
66,836
-
29,211
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305		 Jroots
Ltd
Give It
Forward
Today
£
£
349,436
2,328,818
1,261,045
-
-
-
77,696
70,424
1,688,177
2,399,242
5,702
177,023
1,394,936
1,456,025
74,012
-
1,444,650
1,633,048
243,527
766,194
260,515
112,717
504,042
878,911
560,481
927,492
56,439
48,581
Forum For
Jewish
Leadership
Ltd
£
98,765
66,836
-
29,211
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305		 Jroots
Ltd
Give It
Forward
Today
£
£
349,436
2,328,818
1,261,045
-
-
-
77,696
70,424
1,688,177
2,399,242
5,702
177,023
1,394,936
1,456,025
74,012
-
1,444,650
1,633,048
243,527
766,194
260,515
112,717
504,042
878,911
560,481
927,492
56,439
48,581
Forum For
Jewish
Leadership
Ltd
£
98,765
66,836
-
29,211
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305		 Jroots
Ltd
Give It
Forward
Today
£
£
349,436
2,328,818
1,261,045
-
-
-
77,696
70,424
1,688,177
2,399,242
5,702
177,023
1,394,936
1,456,025
74,012
-
1,444,650
1,633,048
243,527
766,194
260,515
112,717
504,042
878,911
560,481
927,492
56,439
48,581
Forum For
Jewish
Leadership
Ltd
£
98,765
66,836
-
29,211
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305		 Jroots
Ltd
Give It
Forward
Today
£
£
349,436
2,328,818
1,261,045
-
-
-
77,696
70,424
1,688,177
2,399,242
5,702
177,023
1,394,936
1,456,025
74,012
-
1,444,650
1,633,048
243,527
766,194
260,515
112,717
504,042
878,911
560,481
927,492
56,439
48,581
Forum For
Jewish
Leadership
Ltd
£
98,765
66,836
-
29,211
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305
766,194
112,717
878,911
927,492
48,581
194,812
2,734
176,690
-
179,424
15,388
(1,155)
14,233
46,538
32,305

Page 26

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

20 Financial instruments

20
Financial instruments
2020 2019
£ £
Group
Financial assets measured 2,902,396 1,742,200
at amortised cost
Financial liabilities 540,574 769,232
measured at amortised cost
====== ======
Company
Financial assets measured 620,160 348,766
at amortised cost
Financial liabilities 308,299 245,689
measured at amortised cost
====== ======

Financial assets measured at amortised cost include trade debtors, amount owed by group undertakings, other debtors and cash and cash equivalents.

Financial liabilities measured at amortised cost comprise trade creditors, other creditors and accruals excluding deferred income.

Page 27

Jewish Futures Trust Limited

Notes to the Accounts – 31 December 2020

21 Comparative Statement of Financial Activities January to December 2019

Income from:
Donations and legacies
Fundraising Dinners
Charitable activities:
Participant payments
Investment income
Other income
Total income
Expenditure on:
Raising funds:
Donor fundraising costs
Charitable activities
Charitable donations
Total expenditure
Net income/(expenditure) for the year before
transfers
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
5,941,189
3,166,365
26
31,898
9,139,478
_

618,392
8,145,473
149,955
(8,913,820)
_

225,658
708,250
933,908
=======
 Restricted
Funds
2019
£
450,765
6,391,954
-
3,166,365
-
26
-
31,898
450,755
9,590,243
_
_
-
618,392
495,820
8,641,293
-
149,955
(495,820)
(9,409,640)
_
_
(45,055)
180,603
160,865
869,115
115,810
1,049,718
=======
=======