CHILDREN OF aaam www.childrenofadam.org ANNUAL REPORT OF THE YEAR ENDED 31 AUGUST 2023 Hope lillJg¢-. Hopo Village- REPORTOF THETRUSTEESAND FINANCIALSTATEMENTS FORCHILDREN OFADAM
Annual Reportfortheyear Ended 31 August 2023 Contents Wk¥VEi RfL*F ASJI NEPAL What's inside? Report of the Trustees 1-12 Report of the Independent Auditors 12-18 Statement of Financial Activities 19 Balance Sheet 20 Cash Flow Statement 21 Notes to the Cash Flow Statement 22 Notes to the Financial Statements 23-33 Hamilton Coopers Chartered Accountants Registered Auditors 66 Earl Street, Maidstone, Kent ME14 IPS
Annual Report forthe Year Ended 31 August 2023 Report of the Trustees The trustee5 present their report with the financial statements of the charity for the year ended 31 August 2023. 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 Ret)orting Standard applicable in the UK and Republic of Ireland IFRS 1021 (effective l January 20191. Mission and Commitment.. Children of Adam is dedicated to providing assistance and relief to communities in need, starting in the UK and extending globally. Our primary goal is to combat glob31 poverty, empowering families, and societies to create f utures free f rom poverty, hunger. and deprivation. Our efforts began loca Ily in Peterborough, UK, where we Served hot meals tothe homeless and observed an overwhelming need. since our inception, we have distributed over 80,000 food parcels, clothing. and bedding to the most vulnerable in Peterborough. In setting our objectives and planning our activities, our Trustees have given careful consideration to the Charity Commission's general guidance on public benefit and in particular, to its supplementary public benefit guidance. Mission and Commitment: Our work has since expanded globally, reaching vulnerable communities worldwide. We distribute food and clothing, provide education, shelter, and clean water, and care for some of the world's most neglected children. We offer emergency aid to communities affected by war, natural disasters, drought, and conflict, while also developing long-term programs to build brighter futures. We believe that no donation is too small, and that every penny given in the pursuit of Allah's mercy and acceptance will bring goodness and reward, inshaAllah. TY *r
Annual Reportforthe Year Ended 31 August 2023 At the heart of our mission lies a commitment to catalysing positive change on a global scale. Through our global initiatives, we undertake endeavours that are designed not only to uplift individuals and communities but to foster sustainable development and economic resilience worldwide. Central to thi5 effort is our focus on empowering families through the establishment of small businesses. By providing financial support and resources, we enable aspiring entrepreneurs to realize their dreams of entrepreneurship, therebycreating pathways out of poverty and toward a brighterfuture. These small businesses serve as pillars of economic stabi lity within their communities, generating income streams that not only sustain families but also contribute to local economies. Moreover, our initiatives extend beyond mere financial 3SSiStance. Recognising the importance of holistic empowerment. we offer training programs, mentorship opportunities, and access to essential resources to equip individuals Wlth the knowledge and ski Ils needed to succeed in their entrepreneurial endeavours. Through these comprehensive efforts, we aim not only to alleviate poverty but toempower individuals to chart their own course toward prosperity and self-sufficiency. By investing in the entrepreneurial spirit of communities worldwide, we not only create tangible economic opportunities but a150 cultivate a sense of hope and p055ibility for a better tomorrow. Our global initiatives stand as a testament to our unwavering commitment to building a more equitable and prosperous world for all.
Annual Reportfor the Year Ended 31 August 2023 Project Highlights by Country United Kingdom Peterborough Community Project: Support for Local Boxing Club: We provided support to the Top Yard School of Boxing, 3 communityclub affiliated with England Boxing. Due to a growing number of partlClP3nts, the gym needed to purchase a large boxing ring to accommodate more members from the local community. With our help, the club now benefits over 100 participants each week, primarily aged 7-19, manyof whom come from low-income families. 1>0•0 Malawi Animal Sadaqah/Aqeeqah: We offer the opportunity to complete animal sacrifices as 53daqah, distributing the meat to poor communities in Malawi. This includes Aqeeqah services for newborns. Nepal Eid Food& Qurbani: During Ramadan and Eid. we distribute food to the most vulnerable, including orphans, widows. the elderly. and disabled.Aid is provided at collection points and deliveries are rnade to those unable to attend.
Annual Reportforthe Year Ended 31 August 2023 GHAZALA KAUSAR PAKISTAN PROJECTS Medical Ambulance Services: We provide emergency medical services and patient transfers to remote areas, ensuring access to healthcare. Food Distribution." In Punjab and Sindh,we provide balanced food parcels to families in poverty, particularly in rural areas where income 15 seasonal. Water Pumps: We install water pump5. reducingwater-related illnesses and improving household savings, which allows for better educ3tion and healthcare access. Shelter Homes: We provide safe shelter homes with basic amenities forfamilies living in dangerous conditions. Masjid Construction.. We a5SlSt irnpoveri5hed communities in building mosque5,which serve as centres for religious learning and community support. Cleft Lip Operations: We fund surgeries for children with cleft lip and palate in Multan, enabling them to lead normal lives. Fidya, Kaffara & Sadaqatul Fitr Feeding: We facilitate the giving of 5adaqatul Fitr and Fidya, helping to establish bonds between the rich and poor and supporting those unable to fast during Ramadan.
Annual Reportfor the Year Ended 31 August 2023 Project Highlights by Country Gaza, Palestine Multiple Projects: We distribute essential items such as food, clothing, blankets, and hygiene supplies, helping families survive harsh winters. Other initiatives include wheelchair distribution, orphan gifts, and watertankers. Greece Food Parcels". We provide basic food items to vulnerable Syrian refugee families in Athen5, ensuring they have enough to eatfor twoweeks. PALE5TIHE EMERGEII¢Y Lebanon Bread Distribution: We run a bakery in Lebanon, distributingfresh bread to Syrian refugees and vulnerable Lebanese families daily. We also provide food parcels to combat hunger. Ramadhan Food Ald: We address global hunger by providing food, clothing. education, shelter. and Sanitation facilities tothose in need duringthe holy month of Ramadhatl Indonesia Emergency Relief: After an earthquake hit Indonesia at least 268 people including many children died and around 151 people remained missing and more than l.OOOwere injured. Hundreds of responders had been sentto Cianjur to assist where the quake struck. Chiklren of Adam 3SSiSted with Food, blankets, tents and water provisions.
Annual Reportfor the Year Ended 31 August 2023 YEMEN PROJECTS Food: Yemen is confronted with a formid3blechallenge offood scarcity,with a considerable portion of its population struggling to access an adequate and nutritious diet. In response to thi5 pressing issue, our organization is deeply cornmitted to alleviating hunger and malnutrition by implementing initiatives that ensure the provision of wholesome, f re5h meals to those most vulnerable in society. Atnong our beneficiaries are the elderly. who often find themselves marginalized and without sufficient resources to meet their dietary needs. as well as young children, whose growth and development rely heavilyon access to nutritiousfood. Through our concerted efforts, we strive to make a meaningful difference in the lives of these individuals, offering sustenance and support to help them thrive despite the harsh realities of food insecurity. Tanzania Weekly Jummah Feed: We provide fresh, nutritious, and wholesome meals to children and the poor every Friday. These beneficiaries seldom have access to such rneals, so this initiative ensures theycan enjoy a healthy me31 at least once a week. Most ofthe recipients face food insecurity throughout the week, making this service crucial for their well-being.
Annual Report for theyear Ended 31 August 2023 Conclijsion Children of Adam is steadfast in it5 dedication to serving individuals in need, whether they are in our local communitie5 or across the globe. Our unwavering commitment to humanitarian aid drives US to implement projects that not only address immediate challenges but also lay the foundation for lastingempowerment and positive change. With a focus on both short-term relief and long-term sustainability, our initiatives are designed to meet the diverse needs of vulnerable populations. From providing emergency food aid and shelter to offering education and skills training, we strive to addre55 the root causes of poverty and hardship, empowering individuals and communities to build brighter future5. It is ourfirm beliefthat every contribution. no matter how small, hold5 the power to make a meaningful impact in the lives ofthose we serve.Whether it's a donation of time, resources, or expertise, each act of generosity contribute5 to our collective efforts to create a more just and compassionate world. Through our holistic approach to humanitarian assistance, we not only alleviate suffering in the short term but also work tirelessly to create sustainable solutions that enable individuals to break free from the cycle of poverty and dependency. By investing in education, healthcare, economic development, and community empowerment, we strive to create lasting change that reverberates across generations. As we continue our journey of service and solidarity, we remain committed to upholding the values of compassion, integrity, and dignity for all. Together with our supporters and partner5, we stand ready to confront the challenges of today and build a brighter tomorrow for individuals and communities in need, both locally and globally. Total no. of beneficiaries per country 57,013 4,903 16,466 31,450 998 3,200 17,525 5.800 1,825 1,700 33.420 1.866 264 2,905 1,500 180,835 Pakistan Lebanon Nepal Indonesia Greece Malawi Yemen Tanzania Sri Lanka Sudan Syria Somalia Bangladesh Palestine Turkey Total no. of Beneficiaries
Annual Reportfortheyear Ended 31Augu5t 2023 FINANCIAL REVIEW Reserves policy The trustees review the amount of erVeS that are required to ensure that they are adequate to fulfil the charity's continuing obligations. Currently the unrestricted reserves provide the charity with adequateftjnds to coveroperational costs as a meansfor it to meet its charitable objectives for a minimum of six months. In the Trustees, viewthiswould need to beextended to nine months in thefuture so a5 to be ableto delivermore projects directly. Restricted funds are maintained to make surethat the deliveryof 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 a5 sn as possible. The charity has been funded solely by the generous donations of its supporters and the associated Gift Aid. The charity has managed to increase its profile from its work in the communitythi5 year and have raised publicsupporL The trustees review the amountof 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 mean5 for itto meet itscharitableobjectives 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 projectsdirectly. Restricted funds are dispensed to their related projects as soon as possible. FUTURE PLANS Withthecost of livingcrisis hitting everyone especiallyat homewewill be lookingat increasing our support to people here in the U Kwith a special focus in Peterborough.We will look at ways to improve accessto education byworkingwith Iqra Acadernyand rnore supportfor local community and youth initiative5, like boxing clubs and active sty)rts. Globally, the Trustees will look to maintain the current projects and increase in thedellvery of these. Wewill also look into supporting more people around theworld through the installation of hand pumps.food aid and shelter homes.
Annual Reportfor theyear Ended 31 August 2023 STRUCTURE, GOVERNANCEAND MANAGEMENT Governingdocument The charity is controlled by its governing documenL a deed of trust and constitutes an unincorporated charity. Children ofAdam (COAI was established on Ilth Dember 2012to meet the need for providing food and other provisions to the homeless particularly in Peterborough and a150 supporting projects of registered charities in the UK and overseas. Children of Adam operated as an unregistered voluntaryorganisation. It constituted a trust deed on 1110712013 in view of registeringwiththe Charitycommissioners. On 05108/2013 Children of Adam was granted registration as an unincorporated charity (Charity Number 1153244). RECRUITMENT ANDAPPOINTMÉNTOF NEWTRUSTEES When the charity identifies the need for new trustees. 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 skilts are needed to help run the charity more effectively, The process includes potential new trustees completing a skills audit and signing a declaration of eligibi lity to become a trustee after which existing trustees will meet formerly to discuss the application before decidingtoappoint any individual tothe board. RELATED PARTIES The charityworkswith Peterborough Muslim EducationTrustcharity no. 1136767 {PMETI, both charities sharea common trustee. PMEf providesa homelessshelter and educational services for Syrian refugees. In addition to working with Pm COA supports the charitablework of registered charities in the UK for delivery of aid overseasto areas whereCOAcurrentlydoes not implement the delivery of the project itsetFand/or has novolunteers orstaff based overseas. Grant making is donethrough Memordndum's of Understandingwith registered charities. Occasionally Trustees may go over with partner organisations to oversee the projects its donors have contributed for to ensure fund$Vre applied consistently to donor intentions and totake part in the delivery and distribution efforL
Annual Reportfortheyear Ended 31 August 2023 STRUCTURE,GOVERNANCEAND MANAGEMENT Risk management The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriatecontrols are in placetoprovide reax)nableassurance againstfraud 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 proceduresas perthestandards of the charitycommission guidance. As part of ouraccountabilityto our domrs. legal compliance and beneficiary, Children of Adam through different instruments en5ure5 that project implementing partners are acting in a rnanner conducive to achieveour e55ent131 purFw of charitable work. This involves reviewing thefollowing areas: Propose projects that respond to the needs. rights and interests of poor and marginalised women and men and involve them in identifyingthese, building on theirown capacity - Partners are capableof achievingsignificant positivechangefor poor and marginalised peopl demonstrate a clearvision for theirwork,compatible with Children of Adam's - Partners demonstrate transparent governare and management - Partners must be awareof the Red Cross principles. and SPHERE and HAP standards in any emergency work. In addition to this we have policies in place like: Safeguarding. health & safety. risk assessment and more. 10
Annual Reportforthe Year Ended 31 August 2023 REFERENCEANDADMINISTRATIVE DETAILS Registered Charity number 1153244 Prlnclpal address 228 Cromwell road Peterborou8h PE12HG Trustees Saqib RehmanTrustee Shujah Saklain (Chair) Trustee Dawood Hussain FCMA CGMA Trustee Azhar Mahroood Ahmed DipHE Trustee Audltors Hamilton Coopers Chartered Accountants Registered Auditors 66 Earl Street M3idstone Kent ME14 IPS Public benefit We confirm that in providing the above services and in writing this report, we have had regard to the guidance i55ued bythe Charity Commission onpublic benefiL 11
Annual Reportfortheyear EDded 31August2023 TRUSTEES. RESPONSIBILITY STATEMENT The trustees are responsible for preparingthe Reportof theTrustees and the financial statements In accordance with applicable law and United Kingdom Accounting Standard5 (United Kingdom Generally Accepted Accounting Practice). The lawapplicable to charities in England and Wales. the CharitiesAct 2011, Charity (Accounts and Reportsl Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statementsforeach financial yearwhich give a true and fairview ofthe State of affairsof the charity and of the incoming resources and application of resources, including the income and expenditure, of thecharityforthat period. In preparingthosefinancial statements. the trustees are required to - select suitable accounting policies Ind then apply them consistently. -observethe method5 and principles in the CharitySORP. - make judgements and estimate5 thatare reasonable and prudent. - Statewhether applicable accountingstandards have been followed,5ubject to any material departures disclosed and explained in thefinancial statements- - prepare the financial statements on thegoing cOnM basis unless it is inappropriateto presume thatthe charitywill continue in business. The trustee5 are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensurethat thefinancial statements complywith the CharitiesAct 2011, thecharity (Accounts and Report51 Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. A resolution proposing the reappointment of Hamilton Coopers as auditors will be put to the annual general meeting. 1410612024 Approved by order of the b02rd of trustees on..--..--..--............................. and signed on its behalf by: Saqib Rehman-Trustee 12
Annual Reportforthe Year Ended 31August 2023 INDEPENDENT AUDITORS REPORT Opinion We have audited the financial statements of Children of Adam (the'charity,) for the year ended 31 August 2023 which comprise the Statement of Financial Activities. the Balance Sheet, the Cash Flow Statement and notesto thefinarKial statements. including a summaryof significant accounting policies.The financial reportingframeworkthat has been applied intheir preparation is applicable lawand United Kingdom Accounting Standards Iunited Kingdom GenerallyAccepted Accounting PrartI). In our opinlon thefinancial statements: -give a true and fair vlewof the stateof thecharitys affairs as at31August 2023 and of its incoming resources and application of resources.for theyear 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 accordancewith Internationalstandards on AuditinglUK) IISAS IUKI) and applicable law. Our rcsponsibilities under those standardsare furtherdescribed in theAuditors' responsibilities for the audit of thefinancial statements section ofour reporL We are independent of the charity in accordancewith the ethical requirements that are relevantto ourauditof the financial statements inthe UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirenients. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relatlng 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. B3sed on the work we have performed. we have not identified any material nrtaIntIeS relating to events or conditions that. individually or collectively. may cast significant doubt on the charity's ability tocontinueas a going concern fora period of at least twelve months from when the financial statements are authorised for issue. Our responsibilitie5 and the responsibilities of the trustees Wlth respect to going concem are described the relevant sectionsof this rew)rt. 13
Annual Report for the Year Ended 31 August 2023 INDEPENDENT AUDITORS REPORT Other information Thetrusteesare responsiblefor the other information.The other information comprises the information included in the Annual Repor¢otherthan thefinancial statements and our Report of the Independent Auditors thereon. Ouropinion on the financial statementsdoes notcoverthe other information and, excepttothe extent otherwi* explicitly stated in our report, we do not expres5 any form of assurance conclusionthereon. In connectionwith ouraudit of thefinancial statements, ourresponsibillty is to read theother Information and. in doingso, considerwhetherthe other information is materially inconsistent with the financial statements or our knowledge obtained intheaudit orotherwiseappearsto be rnaterially misstated. If we identifysuch material inconsistencies orapparent material misstatements. we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If. based on the workwe have performed,weconclude that there is a material misstatement of this other information, we are required to report that fact. We have nothingto 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 Charitie5 (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion: - the information given in the Report of the Trustees is inconsistent in any material respect with thefinancial ststements. 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. Reswnsibilities Statement, the trustees are responsible for the preparation of thefinancial statementswhich give atrue and fairview. and for such internal control as the trustees determine is neces5aryto 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 a55essing the charity's abilityto continuea5 a going concern, disclosing. as applicable. matters related to going concern and usingthe going concern basisof accounting unless thetrustees either intend to liquidate the charity orto cease operations,or h3ve no realistic alternative but todoso. 14
Annual Report for the Year Ended 31 August 2023 INDEPENDENT AUDITORS REPORT Our responsibilities for the audit of the financial statements We have been appointed as auditor5 under Section 144 of the CharitiesAct 20113nd report in accordance with the Act and relevant regulations made or having effect thereunder. Our objectives are toobtain reasonable assurance aboutwhetherthefinancial statements as a whole are free from material mi55t3tement. whetherduetofraud orerror, and to issue a Report of the IndependentAuditors that includes ouropinion. Reasonable assurance is a high level of assurance, but is nota guarantee that an auditconducted in accordancewith ISAS IUKI will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and 3re considered material if. individuallyor 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. including fraud is detailed below: Irregularities, ifKludingfraud, are instances of non-compliancewith law5 and regulation5.we deslgn procedures in line with our responsibilities, outlined above, to detect material misstatements in respectof irregularities, includingfraud.The extenttowhich our procedures are capable of detecting irregularities, includingfraud is detailed below: Capability of the audit in detecting irregularities, including 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 regarding the assessed risks of material mi55tatement due to fraud or error., and to respond appropriately to those risks. Based on our understandingofthecompanyand industry, and thmugh discussion withthe managernent las required by auditing standards). we identified thatthe principal risksof non-compliance with law5 and regulations related to their FCA permi55ion5 and requirements. We considered the extentto which non-compliance might have a material effecton thefinanclal 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 lawsand regulations throu8houtourteam and remained alertto any indications of non<ompliance througtrK)Ut the audit. We evaluated management's incentives and opportunitiesforfraudulent manipulation of thefinancialstatements lincludingthe riskof 15
Annual Report for the Year Ended 31 August 2023 INDEPENDENT AUDITORS REPORT Override of controls) and determined that the principal risks were related to posting inappropriatejournal entriesto increase revenueor reduce expenditure and management bias in accountingestimates andjudgmental areas of thefinanci31 statements such as accrued income. Audit procedure5 performed by the engagement team included- - Discussions with management and assessment of known or suspected instances of non ompliance with laws and regulations and fraud. and - Asse55ment of identified fraud rlsk factors. and - Challengin8 assumptions and judgements made by management in its significant accounting estimates. and Performing analytical procedures to identifyanyunusual orunexpected relationships, including related 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 undisc105ed transactions with related parties outside the normal cour5eof business; and - Reading minutes of meetings of those charged with governance; and Reviewof significantand unusual transactions and evaluation of the underlying financial rationale supporting thetransactions. and Identifying and testingjournal entries, in particularany manual entries madeat the year end for financial statement preparation. There are inherent Ilmitations in the audit procedures described above and the further removed noncompliancewith laws and regulations isfrom the events and transactions reflected in the financial statements,the less likelywe would become aware of it.Also, the risk of not detecting a material mi55tatement dueto fraud 15 higherthan the risk of notdetectingone resultingfrom error, as fraud may involve deliberate concealment by, for exarnple, forgery or intentional misrepresentations, or through collusion. As part of an audit in accordance with ISAS (UK), we exercise professional judgment and maintain profe55ional 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 and perforni audit procedures reswnsive to those risks, and obtain auditevidence that is sufficient and appropriate to provide a basisfor our opinion. 16
Annual Reportfortheyear Ended 31 August 2023 INDEPENDENT AUDITORS REPORT The risk of notdetectinga material misstatement resultingfrom fraud is higherthan for one resultingfrom error,asfraud may invOe collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.-Obtain an understandingof internal control relevant to the audit in order to design audit procedures that are appropriate in thecircumstances. but notfor the purpose of expressingan opinion of the effectiveness of thecompanvs internal controL Evaluate the appropriateness of acccmjnting tx)licies 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 accountlng and. based on the audit evidence obtairied. whether a material uncertainty exists related toevents or conditions that maycast significant doubt onthe company's abilityto continue as a goin8 concern. If we conclude that a material uncertaintyexists, we are required to drawattention in ourAuditors' report to the related disclosures in the financial Statements or. if such disclosures are inadequate, to modifyouropinion. Our conclusions are based on the auditevidence obtained upto the dateof ourAuditors' reFort. However, future events or conditions may cause the company to cease to continue as a Boing 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 regardin& among other matters, the planned scope and timingof theaudit and significantauditfindings, including anysignificant deficiencies in internal control thatwe identifyduringour audiL Because of the inherent limitations of an audit. there is a risk that we will not detect all irregularitie5, including those leading to a material misstatement in the financial statements or non-compliancewith regulation. The risk increases more when compliancewith a law or regulation Is removed from the events and transactions reflected in the financlal statements, as we will be less likelyto become aware of instancesof non-compliance.The risk is alsogreater regarding irregularitie5 Occurring due to fraud rather than error, a5 f raud involve5 intentional concealmenL forgery, collusion. omission or misrepresentation. Afurtherdescription of our responsibilities forthe audit of thefinancial statements is located on the Financial Reporting Council's website at WW4V.frc.or&uk/auditorsresponsibi lities. This description forrns part of our Report of the Independent Auditors. 17
Annual Reportfortheyear Ended 31 August2023 INDEPENDENT AUDITORS REPORT Use of our report This rert is rnade solely to the charity's trustees, as a b¢xJy. in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2(K)8. Our audit work has been undertaken so that we might state to the charity's trustee5 those matters we are required to state to them in an auditors, report and for no other purpose. To thefullest extent permitted by law,we do not acceptorassume responsibilityto anyoneother than the charityand the charity's trustees as a body, for our audit work,for this repor( orfor theopinion5 we haveformed. Hamilton Coopers Chartered Accountants Registered Auditors 66 Earl Street Maidstone Kent ME14 IPS 1410612024 18
Annual Reportfortheyear Ended 31 August 2023 STATEMENT OF FINANCIAL ACTIVITIES FOR THEYEAR ENDED 31AUGUST2023 31-8-23 Total fuThd5 314-22 Total funds Notes Unrestrfcted fur Restricted fund INCOME AND ENDOWMEbifs FROM Donation5 and legacies 320.586 1,547,141 1.867,727 1,214.89S EXPENDITURE ON RAISING FUNDS Raising donati011s and legacies 146,521 146,521 117.984 Charltsble actlvltles General 163202 230.936 394.138 17262 285.855 Animal Sacrifice & Aqeeqah Community & Youth Projetts Education Eid Gifts Empowernient Projects Food Aid Masjid Medical-Ambulance Medical - Cataract Medical - Emergency Medical - Wheelchairs Orphans Qurbani Shelter & Housing Street Children 17.262 27.88 69,122 305,582 10,000 32.173 173,724 75,333 15,204 3,600 4,500 121.150 9,510 735 121,150 9.510 735 305,070 52,833 305,070 52.833 3,499 3,499 6(K) 600 90.003 64,734 56.042 90,003 &1,734 56,042 54,938 85,475 25,366 4,000 173,317 43,666 3,700 20,L24 Water Project Winter Relief Refugee appeal Emergency appeal Projert monitorfng 149,514 35,374 149,514 35,374 266,098 266.098 Total 161202 L403,360 1,566,562 1.354,047 Other Total 309,723 10,863 1.403,360 143,781 1,713.083 154,644 1,472,031 -257,136 INCOME/tEXPENDITUREI Transfers between funds RECONCILIATIONOF FUNDS Total funds brou8htfotward 204.183 69,159 273,342 530,478 TOTAL FUNDS CARRIED FORWARD 215.046 212,940 427.986 273.342 19
Annual Report for the Year Ended 31 August 2023 BALANCE SHEET31AUGUST 2023 31-8-23 Total funds 31-8-22 Rstal funds Unrestrlrted fund Restricted fund FIXEDAssErs Tangible assets io 1373 1373 3,163 CURREKf ASSErs Debtors li L905 223.371 1.905 619,962 14,905 419.149 Cash at bank and in hand 396.591 225.276 396.591 621,867 434,054 CREDITORS Amountsfallingduewithin one year 12 11023011 1186.0241 1196,2541 1163,8751 NEraJRREMf ASSETS 215.046 210.567 425.613 270,179 TOTAL ASSEfs LESSCURREKr LIABILITIES 215.046 210,567 425.613 273.342 NA$s 215,046 21Z940 427.986 273.342 FUNDS Unrestricted funds 13 215.046 212,940 204.183 69.159 Restricted funds TOTAL FUNDS 427,986 273,342 Thefinancial statementswere approved bythe Board of Trustees and authorised for issue on 1410612024 . and were signed on its behalf by: Saqlb Rehman- Trustee 20
Annual Reportfortheyear Ended 31August 2022 CASH FLOWSTATEMENT Note5 31-8-23 314-22 Cash flows frorn Operat1 actlvltles Cash generated from operations 200,813 194,1331 Net cash (used inl/provided byoperating activities 2CrfJ.813 194,1331 Cash flow5from Investlng artfvltles FrChaSe oftangible fixed assets 16571 Net cash {u5ed inl/provided by investing activtties {6571 Change In cash and cash equlvalents inthe reporting perlod 2CK).813 194,790) Cash and cashequlvalentsatthe beginningof the reporting period 419,149 513,939 Cash and cash equivalents at the end of the reportlng period 619,962 419,149 21
Annual Reportfortheyear Ended 31 August 2023 NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2023 L RECONCILIATIONOF NETINCOMETO NETCASH FLOWFROM OPERATINGACTIVITIES 314.23 314-22 Net (expenditureifincomefor the reportin8 period las perthe Statement of Financlal Actlvitiesl Adlustments for: Depreciation charges Decrease/lincre3sel in debtors Increase/ldecre3sel in creditors 154,644 1257,1361 790 13,(X(J 32,379 1,054 3221 158,728 Net (used in)/provlded by operation$ Z ANALYSISOF CHANGES IN NEf FUNDS At 1-9-22 Cash flow At 31-23 Net cash Cash at bankand in h2nd 419,149 2,813 619,962 419,149 2LX),813 619,962 Total 419,149 2CX),813 619,962 22
Annual Reportfortheyear Ended 31 August 2023 NOTES TO THE FINANCIAL STATEMENTS FOR THEYEAR ENDED 31 AUGUST 2023 I. ACCOUNTING POLICIES Basis of preparingthe financial statements The financial statements of the charity.which is a public benefitentity under FRS 102, have been prepared in accordancewith the Charities SORP IFRS 102}'Accounting and Reportingby Charities- Statement of Recommended Practice applicabletocharities preparingtheir accounts in accordance with the Financial Reporting Standard applicable in the UKand Republic of Ireland IFRS 102) (effective l January 20191,, Financial Reporting Standard 102'The Financial Reporting Standard applicable in the UK and Republicof Ireland. and the CharitiesAct 2011. The financial statement5 have been prepared under the historical cost convention. The company rneets the definition of a public benefit entity under FRS 102. Income All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probablethat the income will be received and the amount can be measured reliably. Expenditure Liabilities are recognised as expenditure a5 soon a5 there is a legal or con5trurtive obligation committingthecharifyto thatexpenditure, it is probablethat a transfer ofeconomic benefits will be required in settlementand theamuntof theobligation can measured reliably. Expenditure is accounted for on an accruals basi5 arKI 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 allocated 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. Tanglble fixed assets Depreciation 15 provided at the following annual rates in order towrite off each a55et over its estimated useful life. ComwrterEquipment Fixtures and Fitting5 25% Reducing balance 25% Reducingbalance Taxation The charity is exempt from tax on its charitable activities. 23
Annual Reportforthe Year Ended 31August 2023 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST2023 Fund accounting Unrestricted funds can be used in accordance with the charitsble objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposeswithin the objects of the charity. Restriction5 arisewhen specified bythe donororwhen 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 statement5. Hire purchase and leasing commitments Rentals paid under operating leases are charged to the Ststementof Financial Activities on a straight line basis over the period of the lease. Pension costs and other post-retirement benefits The charify operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the peri(xl to which they relate. 2. DONATIONS AND LEGACIES 31-8-23 31-8-22 Donations &Grants 1,867,727 1,214,895 3. RAISING DONATIONS AND LEGACIES 314-23 31-8-22 Fundraising costs 146.521 117,984 24
Annual Reportfortheyear Ended 31 August2023 NOTES TOTHE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31 AUGUST 2023 4. CHARITABLEACTIVITIES COSTS Grant funding of activities (see note 5) &Jpport costs (see note 6) tats General 25,198 17,262 121.150 9.510 735 305,070 52,833 368,942 394,140 17,262 121,150 9,510 735 Animal SaCrIfi &Aqeeqah Education Eid Gifts Empowerment Projects Food Aid Masjid Medical - Wheelchairs Medical- Cataract Orphans Qurbani Shelter & Housing Water Project Winter Relief Emergency appeal 305.070 52,833 600 3,499 90,W3 64.734 56.042 149.514 35,375 266,098 1,197,623 3,499 90,W3 64,734 56.042 149,514 35,375 266,098 36&942 L566.565 25
Annual Report forthe Year Ended 31 August 2023 NOTESTOTHE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31AUGUST2023 5. GRANTS PAYABLE 31-8-23 31-8-22 General AnimalSacrifice& Aqeeqah Community&Youth Projects Education Eid Gifts Empowerment Projects Food Ald Masjid Medical-Ambulan Medical- Cataract Medical- Emergency Medical - Wheelchairs Orphans Qurbani Shelter & Housing Street Children Water Project Winter Relief Refugee appeal Emergency appeal Project monitoring 25,198 17.262 9,842 27,886 9,122 305,582 10,0 32,173 173,724 75,333 15,204 3,600 4,500 121,150 9.510 735 305,070 52,833 3.499 6(X) ),(x) 364,734 56.042 54,938 85,475 25,366 4.(M)O 173,317 43,666 3,700 20.124 482 149,514 35,375 266.098 1.197,623 1,078,034 The total grants paid to institutions during theyear was as follows: 1,197,623 1,078,034 6. SUPPORTCOSTS Information technology Management finan General 15,450 7,626 2L207 Staff Costs Gryrfemance Costs Other Totals General 146,521 23,744 69.977 284,525 26
Annual Reportforthe Year Ended 31 August 2023 NOTESTOTHE FINANCIALSTATEMENTS FOR THEYEAR ENDED 31 AUGUST2023 7. TRUSTEES, REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits for the year ended 31 August 2023 nor for theyear ended 31August 2022. Tru5tees' expenses There were no trustees, expenses paid for the year eIed 31 August 2023 nor for the year ended 31 August 2022. 8. STAFF COSTS 31-8-23 31-8-22 Wages aryl salaries Social securltycosts Other pension costs 212,910 15.046 2,981 174,583 11,478 2,111 230,936 188,172 The average monthty number of employees durir)g the year was as follows: 31-8-23 31-8-22 No employees reiVed emoluments in excess of£60,CrfJ). 9. COMPARATIVES FOR THE STATEMENTOF FINANCIALACTIVITIES Unrestrlcted Restrfcted fund fund Total funds INCOMEANDENDOWMENTS FROM Donations and legacies 347.439 867,456 1.214,895 EXPENDITUREON RAISING FUNDS Raising donations and legacies 117,984 117,984 117,984 117,984 27
Annual Reportfortheyear Ended 31August2023 NOTESTOTHE FINANCIALSTATEMENTS FOR THEYEAR ENDED 31 AUGUST 2023 Charitable activities Unrestrlcted Restrlcted fund fund Total funds General 285,855 285,855 Animal Sacrifice &Aqeeqah Community & Youth Projects Educatlon Eid Gift5 Empowerment Projects Food Aid Masjid Medical - Amlyjlan Medical - Cataract Medical- Emergency Orphans Qurbani Shelter & Housing Street Children Water Project Winter Relief 27,886 27,886 9,122 9,122 305582 305.582 io,ocx) 10.0 32,173 32,173 173,724 173,724 75,333 75.333 15.2Tr4 15204 3,600 4,51Xi 54,938 85,475 25,366 4,5 54.938 85.475 25,366 4,CK)O 173,317 173,317 43,666 43,666 3,700 3,700 20,124 20,124 482 Refugee Appeal Emergeicy Appeal Project Monitoring Total 403,839 1,068,192 1,471031 NET INCOMEIIEXPENDITURE) 156.4(K)) {21X).7361 (257,136) Transfers between funds 1213701 22,370 Net movement in funds 156,4CK)I 121XJ,7361 1257,1361 RECONCILIATIONOFFUNDS Total funds broughtforward 260.583 269,896 530,479 TOTAL FUNDS CARRIED FORWARD 204.183 69,160 273.343 28
Annual Reportfortheyear Ended 31August 2023 NOTESTOTHE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31 AUGUST2023 10. TANGIBLE FIXEDASSErs Flxtures Computer equipment fittings Totaks COST At I September 2022 Additions 275 5.128 5.403 At 31 August 2023 275 5,128 5,403 DEPRECIATION At I September2022 Charge for year At 31 August 2023 121 2,119 751 1240 790 39 160 2,870 3.030 NET BOOK VALUE At 31 August 2023 2258 2,373 At 31 August 2022 154 3,Crf)9 3,163 11. DEBTORS: AMOUNTS FALLING DUEWITHIN ONE YEAR 31-8-23 31-8-22 Trade debtors 13.000 Payments on account Prepayment5 and accrued income L905 1,905 1,905 14,905 29
Annual Report forthe Year Ended 31 August 2023 NOTES TO THE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31AUGUST2023 12. CREDITORS: AMOUNTS FALLING DUEWITHIN ONEYEAR 31-8-23 31-8-22 Trade creditors Taxation and social security other creditors 186,023 5.437 4.794 153,529 5,769 4,577 196,254 Net movement in funds At 31-8-22 163,875 13. MOVEMENT IN FUNDS At 1-9-21 Unrestricted fvnds Unrestricted fund 204,183 10,863 215,046 Restricted funds Restricted fijnd 69.159 143,781 212,940 TOTAL FUNDS 271342 154,&15 427.986 Net movement in funds, included in the above are asfollows: Incoming resources Resources expended Tr4nsfers b/wfunds Movement in lunds Unre5trlrted funds Unrestricted fund 320586 1309,7231 10,863 Restricted funds Restricted fund L547.141 11,403.3601 143,7811 TOTAL FUNDS 1,867,727 (L713.0831 154,644 Comparatives for movement in funds Net movement in funds Transfers blwfunds At 314-23 At 1-9-21 Unrestricted funds Unrestricted fund 260.583 Is6.4)? 204,183 Restricted funds Restricted fijnd 269.895 {2(X).7361 69,159 TOTAL FUNDS 530.478 1257,136) 273,342 30
Annual Reportfortheyear Ended 31August 2023 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST2023 13. MOVEMENT IN FUNDS CONTINUED Comparative net movement in fijnds, included in the above are asfollows: lTrcoming resources Resources Movement expended In lunds Unrestrlcted funds Unrestrirted fund 347.439 1403.8391 156,4001 Restricted funds Restricted fund 867.456 11.068,1921 12CQ,7361 TOTAL FUNDS L214.895 IL472.031) 1257,1361 A current year 12 months and prioryear 12 months combined px)sition is as follows: Net movement In funds Transfers between funds At 31-8-23 At 1-9-21 Unrestricted funds Unrestricted fund Restritted fvnds Restricted fun(1 260.583 145,5371 215,046 269,895 156,9551 211940 TOTALFUNDS 530.478 (101492) 427,986 Acurrent year 12 months and prior year 12 months combined net movement in fundi included in the above are as follows- Incoming Resour5 Movement resource5 expended In funds Unrestrlcted funds Unrestricted fund 668,025 1713.562) 145.537) Restricted funds Restricted ftjnd 1414,597 12.471,5521 156.9551 TOTAL FUNDS 3.082.622 13,185,114) 1102.492) 31
CHILDREN OF aaam www.childrenofadam.org , 03003210032 .' www.childrenofadam.org 9 1 228 Cromwell Road, PEI 2HG 1 13 Francis Street Leicester, LE2 2BE Scan Me Registered Charity No. 1153244 @childrenofodamuk