Ai Hand Pump Prolect i Donated by u M•y yvuthè pl•r*n Ibnnalm ul 'ri 11•gl&trlITrTh ND. PKIIP 0421 Lkyy- Pwnl•b. ••k4Jt• childien ol ANNUAL Report of the Trustees and Financial Statements for the Year Ended 31 August 2021 for Children ofAdam REGISTERED CHARITY NUMBER: 1153244
Annual Reportfortheyear Ended 31 August 2021 Contents CWl•*•• Fitrana Istribution Pakistan What's inside? Report of the Trustees 1-16 Report of the Independent Auditors 17-22 Statement of Financial Activities 23 Balance Sheet 24 Cash Flow Statement 25 Notes to the Cash Flow Statement 26 Notes to the Financial Statements 27-34 Detailed Statement of Financial Activities 35- 36 Hamilton Coopers Chartered Accountants Registered Auditors 66 Earl Street Maidstone Kent ME14 IPS
Annual Reportfortheyear Ended 31 August 2021 Report of the Trustees The trustees present their report with the financial statements of the charity for the year ended 31 August 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 Republic of Ireland IFRS 1021 leffective l January 20191. OBJECTIVES AND ACTIVITIES Objectives and aims To advance Islam for the benefit of the public in accordance with the statements of belief by relievi ng the needs of people through Zakat, Lil lah and Sadaqah forms of charity. in particular but not exclusively by: lil Distributing food and other items and lifesaving supplies to the homeless with a special focus on the homeless of Peterborough. lill Supporting the charitable work of registered charities in the UK and overseas. Public benefit We confirm that in providing the above services and in writing this report, we have had regard to the guidance issued by the Charity Commission on public benefit. Volunteers The charity is grateful for the unstinting efforts of its volunteers who are involved in service provision and fundraising. It has not been possible to quantify the sterl ing efforts of our volunteers. WAllR WÉIL pHoJicr
Annual Reportfortheyear Ended 31 August 2021 INTRODUCTION ACHIEVEMENT AND PERFORMANCE Charitable activities Children of Adam's journey started by supporting the homeless locally. Since then, we have been working hard in assisting UK based projects. We have supported diverse voluntary and statutory sector organisations who provide services to people from a range of backgrounds and communities. Our UK projects are becoming recognised within the wider Muslim Charity Sector and several charities have contributed to our local initiatives. Peterborough Homeless & Rough Sleepers (UK) Thefirst project undertaken by Children of Adam was feeding the local homeless. Overthe years this initiative has developed into working partnerships with local organisations to help and assist the homeless and rough sleepers of Peterborough.
Annual Reportfortheyear Ended 31 August 2021 UK PROJECTS Education & Empowerment (UK) COA have been supporting Iqra Academyof PMET. PMET'S vision is to raise the next generation of Muslims and Musl imah's, with a deep understanding of their social and religious responsibilities. Enabling them to be human beings of the highest moral standards benefiting society here locally, nationally and internationally. In another project COA as part of a multi-agency including the Home office and Peterborough City Council have been providing support to Syrian families arriving in Peterborough as part of the UK governments pledge to take in Syrian families. Each of the girls have progressed very strongly in the lastyear. Each student has met their targeted progression academically however our big success would be of our first cohort of this projectwhofinished their year 11 studies and achieved their GCSES results.
Annual Reportfortheyear Ended 31 August 2021 Jum BANGLADESH PROJECTS Emergency Food Distribution (Bangladesh) The world got a newexperience in August 2017 when around 1.2 Million Myanmar Citizen had been forci bly disp12ced and fled to its neighboring vi Ilages in Teknaf and Ukhiya Upazi12s under Cox's BazarDistrict in Bangladesh. COA responded with food distribution to Rohingya refugees and the poor in Bangladesh. The target was to priorities support for the following groups: - Women headed households Pregnant women suffering insufficient nutrition. - Widow and elderly people suffering with food insecurity Orphan and people with disabilities. MALAWI PROJECTS Animal Sadaqah/Aqeeqah (Malawi) Children of Adam have been offeringthe opportunity to complete an Animal sacrifice 2s Sadaqah and helpfeed the poor. The animal sacrifices have been carried out in Malawi, Africa with the meat being distributed to the poor communities. COA have arranged for animal Sadaqah's including an Aqeeqah service (sacrifice in gratitude at the birth of a child). NEPAL PROJECTS Eid Food & Qurbani {Nepal) Nepal is one of the poorest nations in the world. During Ramadhan & the festival of Eid. In Nepal the most vulnerable people in the locality, including orphans, widows, elderly, disabled and the ultra-poor, were selected by local representatives. Primarily the aid was distributed at pre-determined collection points. However, those who could not attend the gathering due to illness, disability or age-related factors. meat was delivered to them to their doorsteps.
Annual Reportfortheyear Ended 31 August 2021 Jui]unah Feedillgl*ojcL'I Pakistan lllMmthFeetlqTr0]el PAKISTAN PROJECTS ACHIEVEMENT AND PERFORMANCE Eye care facilities are often scarce, inaccessible, and mainly based in urban areas, and many people in rural settings are not aware of the importance of looking after their vision. As a result, eye conditions such as cataracts are common, but can be easilytreated if people have access to eye care. This project was delivered in Punjab, Pakistan, the population is l iving in rural areas, majority of the people in rural areas don't have access to health care. The beneficiaries belong to a poor background and majority of them were old, aged people, due to poverty the household income is used for food and very little or no money left for health and educational needs, therefore, people with partial blindness face ignorance and loneliness which severely affect their psychological well-being. With our small intervention, beneficiaries are enabled to see the world once again and continue theirnormal life. The positive outcome of our intervention resulting in positive psychological behaviour and a vibrant healthy society.
Annual Reportfortheyear Ended 31 August 2021 •4 Free Ambulance Siervice for Poor People 3?Vl PAKISTAN PROJECTS Medical - Ambulance (Pakistan) The objective of the project was to provide health services to the people who are far from the city. The primary role of Ambulance services is emergency pre-hospital medical care. We are providing both emergency response, patient transfer and providing easy access to health care services. Food Distribution (Pakistan) District Layyah is situated in South-west Punjab Province and is surrounded by Districts Bhakkar, Jhang, and Muzaffargarh and by Indus River in West with area of 6,291 Sq. KMS. Comprised of three Tehsils Layyah, Karor and Chaubara having population 1,121.951 with density 178 per Sq. KM and 87.1 % population is living in rural area as per Population census 1998. The population in this area comprises of mainly farmers and labourers whose income is seasonal and thus rendering them often in povety. Food is a basic human necessity, and a lot of efforts has gone into providing a well-balanced food parcel. This year Children ofAdam were able to assist a lot more families than last year.
Annual Reportfortheyear Ended 31 August 2021 PAKISTAN PROJECTS Water Pumps (Pakistan) Nearly one billion people have no access to save drinking water, One of everyfive deaths of children under the age of 5 is due to water-related disease. Close to 80°A of i Ilness in developing nations is believed to be connected to poor water and sanitation issues. Every beneficiary's household now has its own water source including a wide washing pad and drainageforwastewater. Manyof them have developed kitchen gardens and now theyeatfresh home-grown vegetables every day. Some other benefits & outcomes they gained from this project is that the households have started saving for fulfill ing their other development expenses. Due to this the project has contributed to reducing poverty of the benefited households. Financial savings have meant children can go to School and money set aside in some cases for medical expenses. Shelter Homes (Pakistan) Imagine living in a house that you think may collapse any day, Children of Adam with the kindness of our donors provide poorfamilies with an opportunity to move into a safer new shelter house. Each house is provided with WC, Hand pump for clean water, a solar panel & home furnishing.
Annual Reportfortheyear Ended 31 August 2021 IAII PAKISTAN PROJECTS Masjid Construction (Pakistan) The Masjid holds a central role in the heart of a community, from a spirituality place of sanctuary to an educational institution. Children of Adam has been assisting impoverished communities to build a centre of religious learning for the future generations and has empowered the locals to strengthen their relationship with their faith. As wel l as supporting communities Children of Adam has been supporting institutions, which lack a place of worship. Cleft Lip Operations (Pakistan) Cleft lip and cleft palate (the roof of the mouth) are amongst the most common birth defects which occurwhen a baby's facial structures do not develop fully during pregnancy, causing child's lip or mouth not to fuse together properly. Together these are known as'orofacial clefts,; and child may have either or both. Multan is a big city in South Punjab region, and we were able to provide support to children affected by these birth defects who otherwise would have had to live with this condition for the rest of their lives. Fidya, Kaffara & Sadaqatul Fitr Feeding (Pakistan) Giving Sadaqatul Fitr (also referred to as Zakatul Fitr or Fitranal on the day of Eid was a practice of the Messenger SallAllahu 'alayhi wasallam, and it has been ordered for us all to fol low. Like Zakah, it establishes the bonds of unity and brotherhood between the rich and poor. Not all of Muslims are able to fast duringthe month of Ramadan, and for those who can't, there is the option to pay Fidiyah.
Annual Reportfortheyear Ended 31 August 2021 EID GIF GAZA, PALESTINE PROJECTS Hifz Sponsorship (Gaza, Palestine) Our Hifiz programme is a unique three-year and a half sponsorship programme for children of Palestine, which supports children to read, learn and memories the Holy Qur'an. It also offers the high standard of benefits, which includes nutritious meals, clothing, comprehensive healthcare. Children are taught the Holy Qur'an in a clean and well-ventilated environment, with experienced teachers who use modern techniques in small class sizes. During that period of hifiz the child gets to complete memorising the holy Quran. Once the memorisation is fully established in the heart of the child, a revision is fol lowed,. making the child confidant and ready to envision their future as an Imams, Qari, orteachers. Eid Gifts {Gaza, Palestine) COA has been working with its partners in Gaza to bring a smile on the faces of children at the time of Eid. In total children were provided Eid gifts,. comprising of orphans and vulnerable chi Idren l iving through poverty and il Iness.
Annual Reportfortheyear Ended 31 August 2021 Ch GAZA, PALESTINE PROJECTS Orphan Sponsorship Orphans are the most vulnerable children in the world. For most of them, a permanentfamily is not an immediate option. Alone and without care, they are exposed to the worst our world has to offer. The Orphan sponsorship project strives to improve the livelihood of orphan children who have lost the most important thing in their lives; their parentlsl. This yearfrom the generosity of our donors a total of 310 orphans were sponsored by Children of Adam. Multiple Projects (Gaza, Palestine) The humanitarian situation in the occupied Palestinian territory is among the world's most long-standing protracted crises and remains largely attributable to decades of conflict, blockades, internal division and de-development policies. Such a complicated context resulted in skyrocketing unemployment rates and thus poverty rates among the Palestinian population in the Gaza Strip. Such rampant poverty and unemployment are happening in an environment of limited power supply, poor water supply and restricted movement. This year CoAwith the support of our partners distributed aid for relief of everyday hardships. Hygine kits Wheelchair Home repairs Orphan Gifts Water tanks Olive trees food packs 10
Annual Reportfortheyear Ended 31 August 2021 YE PROJECTS Hygiene Packs (Yemen) Yemen is the largest humanitarian crisis in the world, with more than 24 million people- some 80 percent of the population- in need of humanitarian assistance, including more than 12 million children. Since the conflict escalated in March 2015, the country has become a living hell for the country's children. COA through our UK partners we delivered emergency aid, this included the distribution of food parcels to ind ividuals and family who rely heavily on donations GREECE PROJECTS Food Parcels (Greece) COA basic food items for the most vulnerable beneficiaries in Athens with focus on Syrian refugee families. Each beneficiary received a food basket that was enough to keep one family fed for two weeks. In refugee situation like in Greece, refugees depend heavily on the support from NGOS to secure their basic needs. They, the refugees, try to secure longer aid through being in touch with different NGOS to get some aid so they can keep going. The content of the food basket distributed was very good and the feedbacks from beneficiaries were very positive. 11
Annual Reportfortheyear Ended 31 August 2021 FINANCIAL REVIEW Reserves policy The trustees review the amount of reserves that are required to ensure that they are adequate to fulfil the charity's continuing obligations. Currently the unrestricted reserves provide the charity with adequate funds to cover operational costs as a means for it to meet its charitable objectives for a minimum of six months. In the Trustees, view this would need to be extended to nine months in the future so as to be able to deliver more projects directly. Restricted funds are maintained to make sure that the delivery of these vital projects is not disrupted due unexpected rise in costs or fall in income. Where achievable the funds are dispensed to their related projects as soon as possible. The charity has been funded solely by the generoLAS donations of its supporters and the associated Gift Aid. The charity has managed to increase its profile from its work in the community this year and have raised public support. The trustees review the amount of reserves that are required to ensure that they are adequate to fulfil the charity's continuing obligations. Currently the unrestricted reserves provide the charity with adequate funds to cover operational costs as a means for it to meet its charitable objectives for a minimum of three months. In the Trustees, viewthis would need to be extended to six months in the future so as to be able to deliver more projects directly. Restricted funds are dispensed to their related projects as soon as possible. FUTURE PLANS With the cost of living crisis hitting everyone especially at home we will be looking at increasing our support to people here in the UK with a special focus in Peterborough. We will look at ways to improve access to education byworking with Iqra Academy and more support for local community and youth initiatives, like boxing clubs and active sports. Globally, the Trustees will look to maintain the current projects and increase in the delivery of these. We will also look into supporting more people around the world through the installation of hand pumps, food aid and shelter homes. 12
Annual Reportfortheyear Ended 31 August 2021 STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity. Children of Adam {COAI was established on Ilth December 2012 to meet the need for providing food and other provisions to the homeless particularly in Peterborough and also supporting projects of registered charities in the UK and overseas. Children of Adam operated as an unregistered voluntary organisation. It constituted a trust deed on 11/07/2013 in viewof registering with the Charity Commissioners. On 05108/2013 Children of Adam was granted registration as an unincorporated charity (Charity Number 1153244). RECRUITMENT ANDAPPOINTMENTOF NEWTRUSTEES When the charity identifies the need for newtrustees. This is done if vacancies have arisen through resignations. or it may be that existing trustees have decided that one or more new trustees with specific skills are needed to help run the charity more effectively. The process includes potent131 new trustees completing 3 ski Ils audit and signing 3 declaration of eligibility to become a trustee afterwhich existing trustees will meet formerly to discuss the application before decidingto appoint any individual to the board. RELATED PARTIES The charityworks with Peterborough Muslim Education Trust charity no. 1136767 {PMET), both charities share a common trustee. PMET provides a homeless shelter and educational services for Syrian refugees. In addition toworking with PMET COA supports the charitable work of registered charities in the UKfor delivery of aid overseas to areas where COA currently does not implement the delivery of the project itself and/or has no volunteers or staff based overseas. Grant making is done through Memorandum's of Understandingwith registered charities. Occasionally Trustees may go overwith partner organisations to oversee the projects its donors have contributed for to ensure funds were applied consistently to donor intentions and to take part in the delivery and distribution effort. 13
Annual Reportfortheyear Ended 31 August 2021 STRUCTURE, GOVERNANCE AND MANAGEMENT Risk management The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. Children of Adam Program Risk Management Framework ensures the Know Your Partner identification, verification and intended end users benefit through a set of described due-diligence procedures as per the standards of the charity commission guidance. As part of our accountability to our donors, legal compliance and beneficiary, Children of Adam through different instruments ensures that project implementing partners are acting in a manner conducive to achieve our essential purpose of charitable work. This involves reviewing the following areas.. Propose projects that respond to the needs, rights and interests of poor and marginalised women and men and involve them in identifying these, building on their own capacity Partners are capable of achieving significant positive change for poor and marginalised peopl demonstrate a clear vision for theirwork, compatible with Children of Adam's Partners demonstrate transparent governance and management Partners must be aware of the Red Cross principles, and SPHERE and HAP standards in any emergencywork. In addition to this we have policies in place like.. Safeguarding, health & safety, risk assessment and more. 14
Annual Reportfortheyear Ended 31 August 2021 REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number 1153244 Principal address 805 Lincoln Road Peterborough Cambridgeshire PEI 3HG Trustees Saqib Rehman Trustee Shujah Saklain (Chairl Trustee Dawood Hussain FCMA CGMA Trustee Azhar Mahmood Ahmed DipHE Trustee Auditors Hamilton Coopers Chartered Accountants Registered Auditors 66 Earl Street Maidstone Kent ME14 IPS 15
Saqib Rehman (May 26, 2022 10:57 GMT+1)
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT Opinion We have audited the financial statements of Children of Adam Ithe'charity'l for the year ended 31 August 2021 which comprise the Statement of Financial Activities, the B21ance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financi21 reporting fr2mework that has been applied in their preparation is 2pplicable law and United Kingdom Accounting St2ndards (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. - give a true and fairview of the state of the charity's affairs as at 31 August 2021 and of its incoming resources and application of resources, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Charities Act 2011. Basis for opinion We conducted our audit in accordance with International Standards on Auditing {UKI IISAS (UK)) and applicable law. Our responsibi lities under those standards are f urther described in the Auditors, responsibilities for the aud it of the fi nancial statements section of our report. We are independent of the charity 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 fulfil led our other ethical responsibil ities 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 re12ting to events or conditions that, individually or collectively, may cast significant doubt on the charity's abilityto continue as a going concern for a period of at least twelve months from when the financial statements are 2Uthorised for issue. Our responsibil ities and the responsibi lities of the trustees with respect to going concern are described in the relevant sections of this report. 17
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT Other information The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. Our opinion on the fin2ncial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express anyform of assurance conclusion thereon. In connection with our audit of the financial statements, 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 f2Ct. We have nothing to report in this regard. Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report toyou if, in our opinion: - the information given in the Report of theTrustees is inconsistent in any material respect with the financial statements. or - sufficient accounting records have not been kept. or - the financial statements are not in agreement with the accounting records and returns. or -we have not received all the information and explanations we require for our audit. Responsibilities of trustees As explained more fully in the Trustees, Responsibilities Statement, the trustees are responsible forthe preparation of the financial statements which 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 charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and usingthe going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no real istic alternative but to do so. 18
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT Our responsibilities for the audit of the financial statements We have been 2ppointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our objectives are to obtain reasonable assurance aboutwhether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a gu2rantee that an audit conducted in accordance with ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arisefrom fraud or error and are considered m2terial 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. The extent to which our procedures are capable of detecting irregularities, includingfraud is detailed below: Irregularities, including f raud, 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 irregu12rities, including fraud is detailed below.. abilit of the audit in detectin irre ularities includin fraud The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error,. to obtain sufficient appropriate audit evidence regardingthe assessed risks of material misstatement due to fraud or error. and to respond appropriately to those risks. Based on our understanding of the company and industry, and through discussion with the management13s required by auditing standards), we identified that the principal risks of non-compliance with laws and regulations related to their FCA permissions and requirements. We considered the extent to which non-compliance might have a material effect on thefinancial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and taxation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated management's incentives and opportunities for f raudulent mani pulation of the financial statements li ncludi ng the risk of 19
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT Override of controls) and determined that the principal risks were related to posting inappropriatejournal entries to increase revenue or reduce expenditure and management bias in accounting estimates and judgmental areas of the financial statements such as accrued income. Audit procedures performed by the engagement team included: Discussions with management 2nd assessment of known or suspected instances of non compliance with laws and regulations and fraud; and - Assessment of identified fraud risk factors; and - Challenging assumptions and judgements made by management in its significant accounting estimates. and Performing analytical procedures to identify any unusual or unexpected relationships, including re13ted party transactions, that may indicate risks of material misstatement due to fraud. and - Confirmation of related parties with management, and review of transactions throughout the period to identify any previously undisclosed transactions with related parties outside the normal course of business; and Reading minutes of meetings of those charged with governance. and Review of significant and unusual transactions and evaluation of the underlying financial rationale supporting the transactions; and Identifying and testing journal entries, in particular any manual entries made at the year end for financial statement preparation. There are inherent limitations in the audit procedures described above and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resultingfrom error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, orthrough collusion. As part of an audit in accordance with ISAS IUK}, we exercise professional judgment and maintain professional scepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design 2nd perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. 20
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT The risk of not detecting a material misstatement resultingfrom fraud is higher than for one resultingfrom error, asfraud may involve collusion. forgery, intentional omissions, misrepresentations, or the override of internal control.- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion of the effectiveness of the company's internal control. -Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the members. Conclude on the appropriateness of the members, use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our Auditors, report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditors, report. However, future events or conditions may cause the companyto cease to continue as a going concern. Evaluate the overall presentation, structure and content of the financial statements. including the disclosures, and whether the financial statements represent the underlying transactions and events in mannerthat achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Because of the inherent limitations of an audit, there is a risk that we will not detect al I irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. The risk increases more when compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.f rc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors. 21
Annual Reportfortheyear Ended 31 August 2021 INDEPENDENT AUDITORS REPORT Use of our report This report is made solely to the charity'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 charity's trustees those matters we are required to state to them in an auditors, 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 charity and the charity's trustees as a body, for our audit work. for this report, or for the opinions we have formed. Hamilton Coopers Chartered Accountants Regislered Auditors 66 Earl Street Maidstone Kent ME14 1PS Date.. May 26, 2022 22
Annual Reportfortheyear Ended 31 August 2021 STATEMENT OF FINANCIALACTIVITIES FOR THEYEAR ENDED 31 AUGUST2021 31-8-21 Total funds 31-8-20 Total funds Notes Unrestricted fund Restricted fund INCOMEAND ENDOWMENTS FROM Donations and legacies 415,676 927.528 1,343,204 877,410 Other trading activities 500 Total 415,676 927,528 1,343,204 877,910 EXPENDITURE ON Raising funds 1,005 58,836 59,841 4,153 Charitable activities General 217,691 754,696 972,387 666,173 Education 165,000 165,000 Total 218,696 978.532 1,197.228 670,326 NET INCOME/(EXPENDITURE) 196,980 (51.004) 145,976 207,584 Transfers between funds 14 122,3701 22.370 Net movement in funds 174,610 (28.634) 145,976 207,584 RECONCILIATION OF FUNDS Total funds brought forward 85,973 298,529 384,502 176,918 TOTAL FUNDSCARRIED FORWARD 260,583 269,895 530,478 384,502 23
May 26, 2022
Saqib Rehman (May 26, 2022 10:57 GMT+1)
Annual Reportfortheyear Ended 31 August 2021 CASH FLOW STATEMENT Notes 31-8-21 31-8-20 Cash flows from operating activities Cash generated from operations 133,135 218,403 Net cash provided by operating activities 133,135 218,403 Cash flows from investing actlvities Purchase of tangible fixed assets 14,7461 Net cash (used inllprovided by investing activities 14,7461 Change in cash and cash equivalents in the reporting period 128,389 218,403 Cash and cash 8quival8nts at the beginning of the reporting period 385,550 167,147 Cash and cash equivalent5 attheend of the reporting period 513,939 385,550 25
Annual Reportfortheyear Ended 31 August 2021 NOTESTOTHE CASH FLOWSTATEMENT FOR THEYEAR ENDED 31AUGUST 2021 1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES 31-8-21 31-8-20 Net income for the reportlng perlod {as perthe Statement of Flnanclal Actlvltles) Adjustments for. Depreciation charges Ilncreasel/decrease in debtors IDecreasel/increase in creditors 145,976 207,584 1,186 16,158} 17,869} 7,446 3,373 Net cash provlded by operatlons 133 135 218403 2. ANALYSIS OF CHANGES IN NET FUNDS At 1-9-20 Cash flow At 31-8-21 Net cash Cash at bank 385,550 128,389 513,939 385.550 128.389 513.939 Total 385,550 128,389 513,939 26
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 I.ACCOUNTING POLICIES Basis of preparing the financial statements The financial statements of the charity, which is a public benefit entity under FRS 102, have prepared in accordance with the Charities SORP IFRS 102) Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparingtheir accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 (effective l January 20191,, Financial Reporting Standard 102'The Financial Reporting Standard applicable in the UK and Republic of Ireland, and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. Income All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charityto that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been al located to activities on a basis consistent with the use of resources. Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure. Tangible fixed assets Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Taxation The charity is exempt f rom tax on its charitable activities. 27
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 I.ACCOUNTING POLICIES Basis of preparing the financial statements The financial statements of the charity, which is a public benefit entity under FRS 102, have prepared in accordance with the Charities SORP IFRS 102) Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparingtheir accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 (effective l January 20191,, Financial Reporting Standard 102'The Financial Reporting Standard applicable in the UK and Republic of Ireland, and the Charities Act 2011. The financial statements have been prepared under the historical cost convention. Income All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. Expenditure Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charityto that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been al located to activities on a basis consistent with the use of resources. Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure. Tangible fixed assets Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life. Taxation The charity is exempt f rom tax on its charitable activities. 28
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 Fund accounting Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified bythe donor or when funds are raised for particular restricted purposes. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. Hire purchase and leasing commitments Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. Pension costs and other post-retirement benefits The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate. 2. DONATIONSAND LEGACIES 31-8-21 31-8-20 Donations & Grants Giftaid Donated services and facilities 1,343,204 825,103 47,107 5,200 1,343,204 877,410 3. OTHER TRADING ACTIVITIES 31-8-21 31-8-20 Shop income 500 29
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 4. RAISING FUNDS Raising donations and legacies Fundraising costs 59,841 4,153 5. CHARITABLE ACTIVITIES COSTS Grant fundingof activities (see note Support costs (see note 71 61 Totals General Education 765,511 165,000 206,876 972,387 165,000 930,511 206,876 1,137,387 6. GRANTS PAYABLE 31-8-21 31-8-20 General Education 765,511 165,000 524,383 930.511 524.383 7. SUPPORT COSTS Information technology Management Finance General 12,840 3,801 Human resources Governance costs Other Totals General 153,132 8,859 28,237 206,876 30
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 8.TRUSTEES' REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits forthe year ended 31 August 2021 nor for the year ended 31 August 2020. Trustees, expenses There were no trustees, expenses paid for the year ended 31 August 2021 nor for the year ended 31 August 2020. 9. STAFF COSTS 31-8-21 31-8-20 Wages and salaries Social security costs Other pension costs 140,107 7,888 2,284 71,989 892 1,247 150,279 74.128 The average monthly numberofemployees during theyearwas asfollows.. 31.8.21 31.8.20 10. COMPARATIVES FOR THE STATEMENT OF FINANCIALACTIVITIES Unrestricted Restricted fund fund Total funds INCOME AND ENDOWMENTS FROM Donations and legacies Other trading activities Total 142,839 500 734,571 877,410 500 143,339 734,571 877,910 EXPENDITURE ON Raising funds 2,940 1,213 4,153 Charitable activities General 72,331 593,842 666,173 Total 75.271 595.055 670.326 NEf INCOME 68,068 139,516 207,584 31
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 10. COMPARATIVES FOR THE STATEMENT OF FINANCIALACTIVITIES Continued Unrestricted Restricted fund fund Total funds RECONCILIATION OF FUNDS Total funds brought forward 17.905 159,013 176,918 TOTAL FUNDS CARRIED FORWARD 85,973 298,529 384,502 11.TANGIBLE FIXEDASSETS Fixtures and fittings Computer equipment Totals COST Additions 275 4,471 4,746 DEPRECIATION Chargeforyear 69 1,117 1,186 BOOKVALUE At 31August 2021 206 3,354 3,560 At 31August 2020 12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 31-8-21 31-8-20 Trade debtors 15,¢X 3,126 Payments on account Prepayments and accrued income 8,842 18,126 8,842 32
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 13.CREDITORS: AMOUNTS FALLING DUEWITHIN ONE YEAR 31-8-21 31-8-20 Taxation and social security Other creditors 482 1,250 8,640 4,665 5,147 9,890 14. MOVEMENT IN FUNDS Net movement in funds Transfers between funds At 31.8.21 At 1.9.20 Unrestricted funds Unrestricted fund 85,973 196,980 122,3701 260,583 Restricted funds Restricted fund 298,529 151,0041 22,370 269,895 TOTAL FUNDS 384,502 145,976 530,478 Net movement infunds, included in the above are asfollows: Incomlng resources Resources expended Movement in funds Unrestricted funds Unrestricted fund 415,676 1218,6961 196,980 Restrlcted funds Restricted fund 927,528 1978,5321 151,0041 TOTAL FUNDS 1,343,204 (1,197,228) 145,976 Comparatives for movement in funds Net movement in funds At 31.8.20 At 1.9.19 Unrestricted funds Unrestricted fund 17,905 68,068 85,973 Restricted funds Restricted fund 159.013 139.516 298.529 TOTAL FUNDS 176,918 207,584 384,502 33
Annual Reportfortheyear Ended 31 August 2021 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31AUGUST2021 14. MOVEMENT IN FUNDSCONTINUED Comp3r2tive net movement in funds, included in the above are as follows: Incoming resources Resources expended Movement in funds Unrestrlcted funds Unrestricted fund 143.339 (75.271) 68,068 Restricted funds Restricted fund 734,571 1595.0551 139,516 TOTAL FUNDS 877,910 (670.326) 207,584 Acurrent year 12 months and prioryear 12 months combined position i5as follows: Net movement in funds Transfers between funds At 31-8-21 At 1-9-19 Unrestricted funds Unrestricted fund 17,905 265,048 122,3701 260,583 Restricted funds Restricted fund 159,013 88.512 22.370 269,895 TOTAL FUNDS 176,918 353,560 530,478 Acurrentyear 12 months and prioryear 12 monthscombined net movement in funds, included in the above are as follows.. Incoming resources Resources expended Movement in funds Unrestricted funds Unrestricted fund 559,015 (293.967) 265,048 Restricted funds Restricted fund 1,662,099 {1,573,587) 88,512 TOTAL FUNDS 2,221,114 (1,867.554) 353,560 15. RELATED PARTY DISCLOSURES The charityworks with Peterborough Muslim Education Trust Charity no. 1136767, both charities share a common trustee. 34
Annual Reportfortheyear Ended 31 August 2021 DETAILED STATEMENT OF FINANCIALACTIVITIES FOR THEYEAR ENDED 31AUGUST2021 31-8-21 31.8-20 INCOME AND ENDOWMENTS Donations and legacies Donations &Grants Giftaid Donated services and facilities 1,343,204 825,103 47,107 5,200 1,343,204 877,410 Other trading activities Shop income 5CK) Total incoming resources 1,343,204 877,910 EXPENDITURE Raising donations and legacies Fundraising costs 59,841 4,153 Charitable activities Jordan Orphan Project Grants to institutions 15,001 524,383 930,511 930,511 539,384 Support costs Management Rates and water Insurance Light and heat Telephone Postage and stationery Sundries Fixtures and fittings Computerequipment 30 6,592 643 1,764 2,075 550 69 1,117 3,424 599 2,553 259 401 12,840 7,236 Finance Bank charges 3,801 3,161 35
Annual Reportfortheyear Ended 31 August 2021 DETAILED STATEMENT OF FINANCIALACTIVITIES FOR THEYEAR ENDED 31AUGUST2021 31-8-21 31.8-20 Finance Information technology Repairs and renewals 2,357 Human resources Wages Social security Pensions Software licences 140,107 7,888 2,284 2,853 71,989 892 1,247 4,057 153,132 78,185 Other Other operating leases Travel 5,400 3,459 10,400 8,859 10,400 Governance costs Auditors, remuneration Accountancy and legal fees Consultancy 4,200 3,952 20,085 1,450 24,000 28,237 25,450 Total resources expended 1,197,228 670,326 Net income 145,976 207,584 36
Children of 03003210032 info@)childrenofadam.net www.childrenofadam.net 228 Cromwell Road, PEI 2HC Children ol Scan Me Registered Charity No. 1153244 ifj)childrenofadamuk