CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid Financial Statements 31 May 2023
MILLET ACCOUNTANTS LTD
Chartered accountants & statutory auditor Beyond Aldgate Tower 2 Leman Street Aldgate E1 8FA
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Financial Statements
Year ended 31 May 2023
| Page | |
|---|---|
| Trustees' annual report | 1 |
| Independent auditor's report to the members | 7 |
| Statement of financial activities | 12 |
| Statement of financial position | 13 |
| Statement of cash flows | 14 |
| Notes to the financial statements | 15 |
| The following pages do not form part of the financial statements | |
| Detailed statement of financial activities | 27 |
| Notes to the detailed statement of financial activities | 28 |
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Trustees' Annual Report
Year ended 31 May 2023
The trustees present their report and the financial statements of the charity for the year ended 31 May 2023.
| Reference and administrative | details |
|---|---|
| Registered charity name | Crisis Aid |
| Charity registration number | 1157507 |
| Principal office | Unit 21 Progress Park |
| Ribocon Way | |
| Luton | |
| Bedfordshire | |
| LU4 9UR | |
| The trustees | |
| Mr Khan - Chairman | |
| Dr Islam | |
| Mr Nisar | |
| Auditor | Millet Accountants Ltd |
| Chartered accountants & statutory auditors | |
| Beyond Aldgate Tower | |
| 2 Leman Street | |
| Aldgate | |
| E1 8FA |
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Trustees' Annual Report (continued)
Year ended 31 May 2023
Structure, governance and management
Governing documents
The Crisis Aid is a Trust and is governed by its Trust Deed dated 24 Jan 2014. The Board of Trustees of the charity is responsible for the overall operations of the charity.
Structure of the organisation
Crisis Aid's trustees are responsible for ensuring that the charity is compliant with its legal duties and is fulfilling its charitable objectives. The trustees monitor all aspects of strategic and business operations and meet regularly to review and evaluate performance. The trustees keep up to date with changes in the law and developments in the operational environment through regular training and learning. This has enabled the charity to grow this year and increase its income and beneficiaries around the world.
Appoint of Trustees
New trustees are appointed by a resolution of the trustees passed at a special meeting called under clause 15 of the Trust deed. Normally trustees are people who already have an existing involvement with, and knowledge of, the charity. Induction meetings for new trustees are held prior to their first Board meeting. The Board of Trustees meets every quarter. Other ad hoc meetings and telephone conferences involving either the whole Board or selected members of the Board are also held as required.
Employees and volunteers
Crisis Aid employ five equivalents to full time members of staff and recruited another one part time employee. Crisis Aid is always indebted to its volunteers around the country who donate their precious time in the evenings and weekends to support our work. Our volunteers help organise events and fundraisers which have been integral to the charity's marketing to raise awareness of the work we do. All staff and volunteers performed their duties at Unit 21, Progress Park, Ribocon Way, Luton, Beds, LU4 9UR.
Related party
Crisis Aid has worked alongside charities in the United Kingdom including many mosques who all promote and financially support the work we do around the world. They have given us money for sadaqa and zakat to distribute on their behalf and we will continue to strengthen our collaboration with organisations that share the same charitable objectives as us.
Global Logistical Suppliers Limited (GLSL) is a 3rd party supplier to Crisis Aid which is its main customer in the United Kingdom. The director of GLSL is related to one of the charity trustees and another is a friend. None of the members of the Crisis Aid board or parties related to them has undertaken any transactions with GLSL or received any benefit from the charity in payment or kind. Board members received no honoraria or emoluments in the year.
Any work conducted by Crisis Aid with 3rd party suppliers is subject to a thorough vetting procedure and then approved as suppliers. These partners have a proven track record with extensive knowledge and local links in the areas they operate which gives the charity and donors the peace of mind that their donations are in good hands. All relationships between the charity and 3rd party suppliers are managed professionally, whereby all conflicts of interests are declared and procurement of services are done in a clear and transparent manner to avoid any misappropriation or fraud in the future.
Details of the transactions with related parties are disclosed in page 25.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Trustees' Annual Report (continued)
Year ended 31 May 2023
Risk management
Crisis Aid monitors and assesses all internal and external operating risks within the global humanitarian relief sector. There are many challenges and associated risks with operating inside countries that are classed as high risk areas. Once these risks are identified we take all the necessary measures to minimise the possibility of any harm to our charity reputation, staff, volunteers, international partners and to our beneficiaries.
Crisis Aid uses a number of tools including Reuters World Check, Companies House, Charity Commission records and specialist consultants to conduct due diligence and checks on all our 3rd party suppliers. We also have a number of operational risk assessments and policies which are designed to protect the charity and its assets and these are also reviewed regularly by the trustees and auditors.
The principle risks and their mitigation are as follows:
Financial risks: Loss of income in general and in cases like Covid 19. Mitigations: Implement financial planning and controls, monitoring and regular spending reviews, reserves policy. Regulatory and legal risks: Non-compliance of charity commission rules. Mitigation: Trustee training, subscribe to charity commission news updates, have internal and external audits. General Data Protection Regulation ("GDPR"): Data loss, non-compliance. Mitigations: Implement and follow GDPR policy. Regular staff training on GDPR. Fraud or error: Financial fraud, misappropriation. Mitigation: Strong governance, financial controls, internal checks and balances on staff, external review by auditors.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Trustees' Annual Report (continued)
Year ended 31 May 2023
Objectives and activities
Charity's Mission
adversity and to become a major player in the market for global aid.
Guided by the teachings of Islam, we believe that every individual, regardless of their circumstances, deserves dignity, respect, and an opportunity for a better life. We believe that we can alleviate suffering, cultivate hope, and facilitate change in the world. We stand firm in our mission to address pressing social issues, from poverty and hunger to healthcare and education, in a manner that promotes social justice, equity, and acceptance.
Charitable Activities
The activities carried out for the public benefit by the charity are categorised into the following:
displacement and natural disasters.
hand pumps and trucking water to needy areas.
to support the poor and needy.
Public benefits
The trustees present their report with the financial statements of the Crisis Aid (the "Charity") for the year ended 31 May 2023. The Trustees have adopted the provision of Accounting and Reporting by Charities Statement of Recommended Practice (charity "SORP") applicable to charities preparing their accounts in accordance with the Financial Reporting Standard ("FRS") applicable in the United Kingdom and Republic of Ireland (FRS 102) (effective from 1 January 2015).
Achievements and performance
Crisis Aid continued its life saving work this year benefitting over 3.0 million people in 27 different countries. Our work extended to some of the poorest countries in the world where we delivered emergency food rations, water projects, education and health support and assistance for vulnerable groups like widows and orphans.
Our work has benefitted millions of needy and vulnerable people across some of the poorest countries in the world. Our beneficiaries range from those displaced by conflict, famine and drought to those living in abject poverty.
Crisis Aid has also continued its support for local projects in the UK reaching the vulnerable in our own society. This includes supporting local food banks, women's shelters, providing winter clothing for children in local schools and distributing food to the poor and needy.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Trustees' Annual Report (continued)
Year ended 31 May 2023
Financial review
and needy around the globe.
Reserve policy
1. Prudent level of reserves
Crisis Aid aims to have reserves of 50% of current annual expenditure. This will ensure business continuity in the event of any interruption or unforeseen circumstances. The reserves are kept in the charity bank accounts and are monitored closely.
2. Establishing and maintaining a prudent level of reserves.
In the event of reserves dipping below the target, the shortfall is met by direct fundraising and cost cutting measures. In addition, charity reserves are replenished each year by income from gift aided donations.
Amount of reserves held
Details of fund materially
Both restricted and unrestricted funds are in surplus going in to 2023, and put the charity in a strong position especially when it comes to responding quickly when disaster strikes.
Going concern
The ongoing cost of living crisis and high inflation rates we do see challenges ahead that may impact donations. We are always looking at ways to grow donations and finding ways to bring down overheads.
Plans for future periods
Crisis Aid has increased its spend on fundraising activities including online marketing and advertising which has generated significant levels of income for the charity. It is a very cost-effective method of raising awareness and income for appeals. A breakdown of spending and income generated is outlined below:
| Fundraising | Income | |
|---|---|---|
| 2021 | 93,637 | 2,459,594 |
| 2022 | 70,388 | 1,697,587 |
| 2023 | 75,273 | 1,153,132 |
Trustees' responsibilities statement
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period.
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CHARITY REGISTRATION NUMBER: 1157507 Crisls Aid Trustees. Annual Report (contInUj Year ended 31 May 2023 In preparing these financial slalements. the Iruslees are required lo.. select suitable accounting policies and then apply them consislenlsy., obsgrvg tho methodg and principlos in tho applicablo Charilios SORP., make judgments and accounting eslimales that are reasonable and prudent.. state whether appliGable UK AGGQUnting Stsndaid5 have been followed, 3ubject to any material departures disclosed and explained in the Iinancial slalemenls.. prepare the financial statements on the going concern basis unless il 15 inappropriate lo presume that the charily will continue in business. The tr1151ees are responsible for keeping adequate accounting records that are sufficient lo show and explain the charity's transactions and disclose with reasonable accuracy al any lime the financial position of the charity and enable them lo ensure th81 the fin8n¢ial statements comply with the Charities AGt 2011, the applicable Charities IAGGounts and Reports) Rcgulations. and the provisions of Ihe Trusi Deed. They are also responsible for safeguarding Ihe assers of Ihe Cmanty and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The tnJ51ees' annual report was approved on 26 March 2024 and signed on behalf of the board of trustees by.. Mr Khan- Chairman Trustee
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Independent Auditor's Report to the Members of Crisis Aid
Year ended 31 May 2023
Opinion
We have audited the financial statements of Crisis Aid (the 'charity') for the year ended 31 May 2023 which comprise the statement of financial activities, statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 May 2023 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
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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 (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Independent Auditor's Report to the Members of Crisis Aid (continued)
Year ended 31 May 2023
Other information
The other information comprises the information included in the annual report, other than the financial Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:
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the information given in the trustees' report is inconsistent in any material respect with the financial statements; or
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adequate accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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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 for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Independent Auditor's Report to the Members of Crisis Aid (continued)
Year ended 31 May 2023
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Identified and assessed the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
Conclude on the appropriateness of the trustees' 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 charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the charity to 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 a manner that achieves fair presentation.
There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentation, or or through collusion.
A further description of our responsibilities is available on the Financial Reporting Council's website at: www. frc.org. uk/auditors responsibilities. This description forms part of our auditor's report.
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CHARrrY REGISTRATION NUMBER: 1157507 Crisis Aid Independent Auditor's Report to the Members of Crisis Aid f¢ohllnu•d) Year ended 31 May 2023 Us? of our r¢port This Teport is mAdp *rtlply tc) thp. rhArity'q mpmhprq. As A hody. in aprtird2nee with section 144 of th Charitie3 Aot 2011 and regulation3 made under section 154 of that Act. Our audit work ha? been undertaken so that we might slate to the charity's members those matters we are required to state lo them in an auditor's report and for no other purpose. To the fullest exlenl permitted by law. we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our audit WDrk. for this report. or for the ODinions we have formed. ew Millet 8A MBA FCA ICAEW (Senior Slalulory Audilorl For and on behalf ol Millct Accounttsnt= Ltd Chartere(J accounlanls & statutory auditors Beyond Aldgale Tower 2 Leman Street Aldgale E1 8FA 26 March 2024 11
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Statement of Financial Activities
Year ended 31 May 2023
| 2023 | 2022 | ||||
|---|---|---|---|---|---|
| Unrestricted | Restricted | ||||
| funds | funds | Total funds | Total funds | ||
| Note | |||||
| Income and endowments | |||||
| Donations and legacies | 4 | 540,212 | 979,946 | 1,520,157 | 1,697,317 |
| Investment income | 5 | 130 | 130 | 270 | |
| Total income | 540,342 | 979,946 | 1,520,287 | 1,697,587 | |
| Expenditure | |||||
| Expenditure on raising funds: | |||||
| Costs of raising donations and | |||||
| legacies | 6 | 75,273 | 75,273 | 70,388 | |
| Expenditure on charitable activities | 7,8 | 284,401 | 1,362,651 | 1,647,051 | 1,924,801 |
| Total expenditure | 359,674 | 1,362,651 | 1,722,324 | 1,995,189 | |
| Net expenditure and net movement | in | ||||
| funds | 180,668 | (382,705) | (202,037) | (297,602) | |
| Reconciliation of funds | |||||
| Total funds brought forward | 1,494,503 | 459,675 | 1,954,178 | 2,251,779 | |
| Total funds carried forward | 1,675,171 | 76,970 | 1,752,141 | 1,954,178 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 15 to 25 form part of these financial statements.
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CHARtTY REGISTRATION NUMBER: 1157507 Crisis Aid statement of Flnanclal Posltion 31 May 2023 2023 2022 Not0 Flxed as$et$ Intangibl8 assèts Tangible fixed assets 14 15 16.280 188,672 19,491 1,031 204,952 20,522 Current assets Debtors Cash at bank gnd In h¥nd 16 11,903 1.570.736 8,693 2.007.g61 1,582,639 2,016.654 Creditor$- amounts falllng due withln one year Net current assets 17 35.450 82,999 1.547,189 1.933,655 Totsl a55ets less Guriei?t 15abllltl•s 1.702,141 1,9r4.177 Net assets 1.752,141 1.954,177 Funds of the charity Restricted fvnds Unrestricted fund$ 76,970 1,67S.171 1.752.141 459,675 1.494,503 Total charity funds 18 1.954.178 These flnanclal slalemenls were approved by the board of Iruslees and aulhorised for issue on 26 March 2024, and aTe signed on behalf ol the board by.. Mr Khan - Chairman Twslee The notes on pag•s 15 to 25 form part of these flnanclal statement5. 13
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Statement of Cash Flows
Year ended 31 May 2023
| Cash flows from operating activities Net expenditure Adjustments for: Depreciation of tangible fixed assets Amortisation of intangible assets Other interest receivable and similar income Accrued expenses Changes in: Trade and other debtors Trade and other creditors Cash generated from operations Interest received Net cash used in operating activities Cash flows from investing activities Purchase of tangible assets Net cash used in investing activities Net decrease in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year |
2023 (202,037) 516 3,211 (130) 31,453 (3,210) (79,002) (249,199) 130 (249,069) (188,157) (188,157) (437,226) 2,007,961 1,570,735 |
2022 (297,602) 2,178 3,210 (270) 33,995 29,544 (228,945) 270 (228,675) (228,675) 2,236,636 |
|---|---|---|
| 2,007,961 |
The notes on pages 15 to 25 form part of these financial statements.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements
Year ended 31 May 2023
1. General information
The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is Unit 21 Progress Park, Ribocon Way, Luton, Bedfordshire, LU4 9UR.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Charities Act 2011.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
The Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
Following the assessment of the Crisis Aid's financial position of the operational consequences and ramifications of the Covid-19 pandemic and of its ability to meet its obligations as and when they fall due, the Trustees have a reasonable expectation that the Charity will be able to continue to operate for at least the next 12 months from the signing of these financial statements. Therefore, the financial statements have been prepared on a going concern basis.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Foreign currencies
Amount of exchange differences recognised in net income/expenditure during the period, except for those arising on financial instruments measured at fair value through net income/expenditure.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
3. Accounting policies (continued)
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.
Incoming resources
All income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
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income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
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legacy income is recognised when receipt is probable and entitlement is established.
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income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
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income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
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where gift aid is received from donations, the gift aid is recognised on receipt basis.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
3. Accounting policies (continued)
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
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expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.
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expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
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other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Intangible assets
Intangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated amortisation and impairment losses. Any intangible assets carried at revalued amounts, are recorded at the fair value at the date of revaluation, as determined by reference to an active market, less any subsequent accumulated amortisation and subsequent accumulated impairment losses.
Intangible assets acquired as part of a business combination are only recognised separately from goodwill when they arise from contractual or other legal rights, are separable, the expected future economic benefits are probable and the cost or value can be measured reliably.
Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:
Software - 10% straight line
If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
3. Accounting policies (continued)
Tangible assets (continued)
An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
| Long leasehold property | - | not depreciated |
|---|---|---|
| Plant and machinery | - | 50% straight line |
| Fixtures and fittings | - | 25% straight line |
| Motor vehicles | - | 25% straight line |
| Equipment | - | 25% straight line |
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.
For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.
For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.
Financial instruments
A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.
Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.
Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.
Debt instruments are subsequently measured at amortised cost.
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CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
3. Accounting policies (continued)
Financial instruments (continued)
Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.
Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.
For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.
Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
4. Donations and legacies
| Unrestricted | Restricted | Total Funds | |
|---|---|---|---|
| Donations | Funds | Funds | 2023 |
| Donations | 289,985 | 979,946 | 1,269,930 |
| Gifts | |||
| Gifts | 250,227 | 250,227 | |
| Grants | |||
| Grants receivable | |||
| 540,212 | 979,946 | 1,520,157 | |
| Unrestricted | Restricted | Total Funds | |
| Donations | Funds | Funds | 2022 |
| Donations | 310,615 | 1,153,132 | 1,463,747 |
19
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
| 4. | Donations and legacies (continued) | |||||
|---|---|---|---|---|---|---|
| Unrestricted | Restricted | Total Funds | ||||
| Gifts | Funds | Funds | 2022 | |||
| Gifts | 230,322 | 230,322 | ||||
| Grants | ||||||
| Grants receivable | 3,248 | 3,248 | ||||
| 544,185 | 1,153,132 | 1,697,317 | ||||
| 5. | Investment income | |||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | |||
| Bank interest receivable | Funds 130 |
2023 130 |
Funds 270 |
2022 270 |
||
| 6. | Costs of raising donations and legacies | |||||
| Unrestricted | Total Funds | Unrestricted | Total Funds | |||
| Costs of raising donations and legacies | Funds | 2023 | Funds | 2022 | ||
| - Donations | 75,273 | 75,273 | 70,388 | 70,388 | ||
| 7. | Expenditure on charitable activities by fund type | |||||
| Unrestricted | Restricted | Total Funds | ||||
| Direct charitable activity | Funds 310 |
Funds 1,362,651 |
2023 1,362,960 |
|||
| Support costs | 284,091 | 284,091 | ||||
| 284,401 | 1,362,651 | 1,647,051 | ||||
| Unrestricted | Restricted | Total Funds | ||||
| Direct charitable activity | Funds 18,055 |
Funds 1,604,094 |
2022 1,622,149 |
|||
| Support costs | 295,851 | 6,800 | 302,652 | |||
| 313,906 | 1,610,894 | 1,924,801 |
20
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
8. Expenditure on charitable activities by activity type
| Activities undertaken directly Support costs Total funds 2023 Direct charitable activity 1,362,960 1,362,960 Governance costs 284,091 284,091 1,362,960 284,091 1,647,051 9. Net expenditure Net expenditure is stated after charging/(crediting): 2023 Amortisation of intangible assets 3,211 Depreciation of tangible fixed assets 516 Foreign exchange differences 317 10. Auditors remuneration 2023 Fees payable for the audit of the financial statements 12,000 11. Independent examination fees 2023 Fees payable to the independent examiner for: Independent examination of the financial statements 8,250 |
Total fund 2022 1,622,149 302,652 1,924,801 2022 3,210 2,178 758 2022 9,600 2022 8,250 |
|---|---|
12. Staff costs
The average head count of employees during the year was 8 (2022: 6).
21
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
13. Trustee remuneration and expenses
During the reporting period, all trustees of the charity received remuneration for services rendered on behalf of the organisation. It is important to note that the remuneration received by
Mr Khan - Dr Islam - Mr Nisar - Total
14. Intangible assets
| Intangible | |
|---|---|
| asset [CRM | |
| Cost | software] |
| At 1 June 2022 and 31 May 2023 | 32,104 |
| Amortisation | |
| At 1 June 2022 | 12,613 |
| Charge for the year | 3,211 |
| At 31 May 2023 | 15,824 |
| Carrying amount | |
| At 31 May 2023 | 16,280 |
| At 31 May 2022 | 19,491 |
22
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
15. Tangible fixed assets
| Long | |||||||
|---|---|---|---|---|---|---|---|
| leasehold | Plant and | Fixtures and | Motor | ||||
| Cost | property | machinery | fittings | vehicles | Equipment | Total | |
| At 1 Jun 2022 | 2,750 | 10,396 | 5,250 | 10,161 | 28,557 | ||
| Additions | 172,612 | 15,545 | 188,157 | ||||
| Disposals | (5,250) | (5,250) | |||||
| At 31 May 2023 | 172,612 | 2,750 | 25,941 | 10,161 | 211,464 | ||
| Depreciation | |||||||
| At 1 Jun 2022 | 2,750 | 9,365 | 5,250 | 10,161 | 27,526 | ||
| Charge for the | |||||||
| year | 516 | 516 | |||||
| Disposals | (5,250) | (5,250) | |||||
| At 31 May 2023 | 2,750 | 9,881 | 10,161 | 22,792 | |||
| Carrying amount | |||||||
| At 31 May 2023 | 172,612 | 16,060 | 188,672 | ||||
| At 31 May 2022 | 1,031 | 1,031 | |||||
| 16. | Debtors | ||||||
| Trade debtors | 2023 11,903 |
2022 8,693 |
|||||
| 17. | Creditors: amounts falling due | within one | year | ||||
| Trade creditors | 2023 337 |
2022 36,552 |
|||||
| Accruals and deferred income | 31,453 | ||||||
| Social security and other taxes | 3,660 | 1,147 | |||||
| Other creditors | 45,300 | ||||||
| 35,450 | 82,999 |
23
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
18. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | ||||
|---|---|---|---|---|
| At | At | |||
| General funds | 1 June 2022 1,494,503 |
Income 540,342 |
Expenditure (359,674) |
31 May 2023 1,675,171 |
| At | At | |||
| General funds | 1 June 2021 1,334,342 |
Income 544,455 |
Expenditure (384,294) |
31 May 2022 1,494,503 |
| Restricted funds | ||||
| At | At | |||
| Restricted Fund | 1 June 2022 459,675 |
Income 979,946 |
Expenditure (1,362,651) |
31 May 2023 76,970 |
| At | At | |||
| Restricted Fund | 1 June 2021 917,437 |
Income 1,153,132 |
Expenditure (1,610,894) |
31 May 2022 459,675 |
| Analysis of net assets between funds | ||||
| Unrestricted | Total Funds | |||
| Intangible assets | Funds 16,280 |
2023 16,280 |
||
| Tangible fixed assets | 188,672 | 188,672 | ||
| Current assets | 1,582,639 | 1,582,639 | ||
| Creditors less than 1 year | (35,450) | (35,450) | ||
| Net assets | 1,752,141 | 1,752,141 | ||
| Unrestricted | Total Funds | |||
| Intangible assets | Funds 19,491 |
2022 19,491 |
||
| Tangible fixed assets | 1,031 | 1,031 | ||
| Current assets | 2,016,654 | 2,016,654 | ||
| Creditors less than 1 year | (82,999) | (82,999) | ||
| Net assets | 1,954,177 | 1,954,177 |
19. Analysis of net assets between funds
24
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Financial Statements (continued)
Year ended 31 May 2023
20. Subsidiaries
Crisis Aid Limited (Company Number: 14278519) a Private company limited by guarantee without share capital was officially registered with the Registrar of Companies for England and Wales on the 5th August 2022. The organisation's registered office is located at 72 Cardigan Street, Luton, Bedfordshire, LU1 1RR.
Crisis Aid Limited is currently dormant, with no operational or financial activities undertaken. It plans to pursue charitable endeavours in the near future.
21. Analysis of changes in net debt
----- Start of picture text -----
|||||
|---|---|---|---|
|At 1 Jun 2022|Cash flows|At 31 May 2023|
|Cash at bank and in hand|2,007,961|(437,225)|1,570,736|
----- End of picture text -----
22. Related parties
During the reporting period, the following companies, related to the trustees or the management of the charity, were hired to distribute the grants on behalf of Crisis Aid. The costs associated with these services amounted to:
----- Start of picture text -----
||||
|---|---|---|
|2023 2022|
|Grants distributed by United Herts 62,282 0|
|Grants distributed by Global Logistics Suppliers Ltd|110,055|105,416|
|178,337 105,416|
----- End of picture text -----
The Charity also traded with FZN Group Ltd (11080096) which is owned by one of the trustees', Faizan Nisar. During the course of the year, the total amount of these transactions amounted to:
----- Start of picture text -----
|||
|---|---|
|2023|2022|
|FZN Group Ltd|20,420 7,777|
----- End of picture text -----
Apart from the above, we, the trustees have not come across any other 'Related Party Disclosure' failure and all that has been identified including internal fraud & errors has been reported to the Charity Commission and the current auditors.
25
CHARITY REGISTRATION NUMBER: 1157507
Year ended 31 May 2023
Crisis Aid
Management Information
The following pages do not form part of the financial statements.
26
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Detailed Statement of Financial Activities
Year ended 31 May 2023
| Income and endowments | 2023 | 2022 |
|---|---|---|
| Donations and legacies | ||
| Donations | 1,269,930 | 1,463,747 |
| Gifts | 250,227 | 230,322 |
| Grants receivable | 3,248 | |
| 1,520,157 | 1,697,317 | |
| Investment income | ||
| Bank interest receivable | 130 | 270 |
| Total income | 1,520,287 | 1,697,587 |
| Expenditure | ||
| Costs of raising donations and legacies | ||
| Fundraising costs | 75,273 | 70,388 |
| Expenditure on charitable activities | ||
| Direct charitable activities | 1,362,960 | 1,622,149 |
| Wages and salaries | 146,489 | 159,106 |
| Rent and rates | 11,741 | 20,053 |
| Light and heat | 2,304 | 2,493 |
| Insurance | 3,140 | 2,787 |
| Legal and professional fees | 57,765 | 46,956 |
| Telephone | 2,452 | 1,127 |
| Other office costs | 9,031 | 10,061 |
| Amortisation | 3,210 | 3,210 |
| Depreciation | 515 | 2,178 |
| Foreign exchange gain/loss | 317 | 758 |
| Sundry expenses | 5,333 | 2,402 |
| Website and IT | 9,732 | 10,739 |
| Bank charges | 1,735 | 2,788 |
| Merchant fees | 30,327 | 37,994 |
| 1,647,051 | 1,924,801 | |
| Total expenditure | 1,722,324 | 1,995,189 |
| Net expenditure | (202,037) | (297,602) |
27
CHARITY REGISTRATION NUMBER: 1157507
Crisis Aid
Notes to the Detailed Statement of Financial Activities
Year ended 31 May 2023
| Costs of raising donations and legacies Costs of raising donations and legacies - Donations Donations - fundraising costs Costs of raising donations and legacies Expenditure on charitable activities Activity Activities undertaken directly Direct charitable activities Governance costs Governance costs - wages/salaries Governance costs - rent & rates Governance costs - light & heat Governance costs - insurance Governance costs - accountancy fees Governance costs - audit fees Governance costs - legal and other professional fees Governance costs - telephone Governance costs - other office costs Governance costs - amortisation Governance costs - depreciation Governance costs - foreign exchange gain/loss Governance costs - sundry expenses Governance costs - website and IT Governance costs - bank charges Governance costs - merchant fees Expenditure on charitable activities |
2023 75,273 75,273 1,362,960 146,489 11,741 2,304 3,140 10,195 15,062 32,508 2,452 9,031 3,210 515 317 5,333 9,732 1,735 30,327 284,091 1,647,051 |
2022 70,388 70,388 1,622,149 |
2022 70,388 70,388 1,622,149 |
|---|---|---|---|
| 159,106 20,053 2,493 2,787 16,147 9,600 21,209 1,127 10,061 3,210 2,178 758 2,402 10,739 2,788 37,994 302,652 |
|||
| 1,924,801 |
28