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2021-07-31-accounts

REGISTERED CHARITY NUMBER: 1158044

INSPIRING GRACE

TRUSTEES' REPORT AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

INSPIRING GRACE

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

Page
Reference and Administrative Details 1
Trustees' Report 2 to 3
Independent Examiner's Report 4
Statement of Financial Activities 5
Balance Sheet 6
Notes to the Financial Statements 7 to 10
Detailed Statement of Financial Activities 11 to 12

INSPIRING GRACE

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 JULY 2021

Trustees Anisa Rasul
Mazaffar Iqbal Rauf
Muhammad Umar Iqbal
Tahir Hussain Anwar
Mohammed Amad
Principal address 172 Regent St
Nelson
BB9 8SG
Registered charity number 1158044
Independent examiner Riley Moss 2018 Limited
Riley House
183-185 North Road
Preston
Lancashire
PR1 1YQ

Page 1

INSPIRING GRACE TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2021

The trustees present their report with the financial statements of the charity for the year ended 31 July 2021. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Objectives and activities

Objectives and aims

The objectives of the trust as set out in its governing document are: 1) The prevention of relief of poverty in Pendle, Lancashire and the surrounding area through the provision of essential food items to individuals and families in need. 2) The advancement of education through providing educational courses which promote, sustain and increase individual and collective knowledge and understanding on topics related to Islamic theology, jurisprudence and spirituality. 3) To advance the Islamic Faith through the holding of weekly prayer meetings where people gather to sing Islamic hymns in praise of God and the Prophet Muhammad (PBUH) 4) The promotion of community participation in healthy recreation for the benefit of the inhabitants of Pendle, Lancashire and surrounding area.

The objectives of the trust as set out in its governing document are:

1) The prevention of relief of poverty in Pendle, Lancashire and the surrounding area through the provision of essential food items to individuals and families in need.

2) The advancement of education through providing educational courses which promote, sustain and increase individual and collective knowledge and understanding on topics related to Islamic theology, jurisprudence and spirituality.

3) To advance the Islamic Faith through the holding of weekly prayer meetings where people gather to sing Islamic hymns in praise of God and the Prophet Muhammad (PBUH)

4) The promotion of community participation in healthy recreation for the benefit of the inhabitants of Pendle, Lancashire and surrounding area.

Achievement and performance

Charitable activities

It has been another challenging year for the charity due to the pandemic which has caused disruption to many of our services, but it has also allowed us to focus on and develop new projects particularly on online platforms. We have thus begun a number of online courses related to both religious and social matters, which have had an excellent reception on both a local and national level. We have also continued to expand on our food poverty projects, seeking to find new and innovative ways to assist others in these difficult times. The latter part of the year, particularly since April, has seen a lessening of the restrictions which has allowed us to resume in person activities, particularly for children. Swimming classes resumed, as did the Scouts programme and summer holiday programmes for 5-11 year olds.

We were also able to re-establish educational provision and activities for 0-5 year olds through the establishment of weekly Forest School activities centred around meaningful play in natural settings and also Spoken Arabic activities.

Financial review

Financial position

Monthly figures are submitted by respective heads of each area (food, sports, education etc.) between days 1 and 5 at the start of each month. The figures are checked against the monthly bank statement by the treasurer and queried/corrected if necessary. Restricted funds are carefully monitored with spreadsheets in place to monitor the expenses in line with the income for the respective restricted pot.

Reserves policy

It is the policy of the charity to maintain unrestricted funds at a minimum level. This provides sufficient funds to cover management and administration and support costs.

Page 2

INSPIRING GRACE

TRUSTEES' REPORT FOR THE YEAR ENDED 31 JULY 2021

Future plans

We will continue to develop existing projects, particularly the Scouts and Swimming activities, with a view to training up more leaders and instructors so we can expand our provision. We will also hope to develop offering classes both online and in person to children and adults alike.

Structure, governance and management

Inspiring Grace is a registered UK Charity under charity number 1158044. It is an unincorporated charity. The governing document is a Trust Deed. The trustees named on page 1 have served throughout the year. The trustees have the power to appoint any person to be a trustee in accordance with the provisions of the Trust Deed. An appointed trustee holds office within the limits permitted by law.

Approved by order of the board of trustees on 31 May 2022 and signed on its behalf by:

Tahir Hussain Anwar - Trustee

Page 3

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF INSPIRING GRACE

Independent examiner's report to the trustees of Inspiring Grace

I report to the charity trustees on my examination of the accounts of Inspiring Grace (the Trust) for the year ended 31 July 2021.

Responsibilities and basis of report

As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of _ which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Farook Patel FCA Riley Moss 2018 Limited Riley House 183-185 North Road Preston Lancashire PR1 1YQ

31 May 2022

Page 4

INSPIRING GRACE

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2021

----- Start of picture text -----
2021 2020
Unrestricted Restricted Total Total
funds fund funds funds
Notes £ £ £ £
Income and endowments from
Donations and legacies 242,042 9,376 251,418 163,032
Expenditure on
- -
Raising funds 39,612 39,612
Charitable activities 2
Charitable activities 46,777 82,264 129,041 99,000
Total 86,389 82,264 168,653 99,000
NET INCOME/(EXPENDITURE) 155,653 (72,888) 82,765 64,032
Transfers between funds 6 (14,360) 14,360 - -
Net movement in funds 141,293 (58,528) 82,765 64,032
Reconciliation of funds
Total funds brought forward 37,889 58,528 96,417 32,385
Total funds carried forward 179,182 - 179,182 96,417
----- End of picture text -----

The notes form part of these financial statements

Page 5

INSPIRING GRACE

BALANCE SHEET 31 JULY 2021

----- Start of picture text -----
2021 2020
Unrestricted Restricted Total Total
funds fund funds funds
Notes £ £ £ £
Current assets
Cash at bank 179,512 - 179,512 96,967
Creditors
Amounts falling due within one year 5 (330) - (330) (550)
Net current assets 179,182 - 179,182 96,417
Total assets less current liabilities 179,182 - 179,182 96,417
NET ASSETS 179,182 - 179,182 96,417
Funds 6
Unrestricted funds 179,182 37,889
Restricted funds:
Restricted funds - 58,528
Total funds 179,182 96,417
----- End of picture text -----

The financial statements were approved by the Board of Trustees and authorised for issue on 31 May 2022 and were signed on its behalf by:

Mazaffar Iqbal Rauf - Trustee

Tahir Hussain Anwar - Trustee

The notes form part of these financial statements

Page 6

INSPIRING GRACE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2021

1. Accounting policies

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Taxation

The charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.

Gifts donated for resale are included as incoming resources within activities for generating funds when they are sold.

Page 7

continued...

INSPIRING GRACE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

2. Charitable activities costs

----- Start of picture text -----
||||| |---|---|---|---| |Direct|Support| |Costs|costs|Totals| |£|£|£| |Charitable activities|128,931|110|129,041|

----- End of picture text -----

3. Trustees' remuneration and benefits

There were no trustees' remuneration or other benefits for the year ended 31 July 2021 nor for the year ended 31 July 2020.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31 July 2021 nor for the year ended 31 July 2020.

4. Staff costs

----- Start of picture text -----
|||| |---|---|---| |2021|2020| |£|£| |-| |Wages and salaries|39,612| |-| |39,612| |The average monthly number of employees during the year was as follows:| |2021|2020| |Admin|-|3|

----- End of picture text -----

No employees received emoluments in excess of £60,000.

During the year Inspiring Grace has paid wages and salaries of £30,682 (2019: £10,053)

5. Creditors: amounts falling due within one year

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|||||| |---|---|---|---|---| |2021|2020| |£|£| |Other creditors|330|550| |Movement in funds| |Net|Transfers| |movement|between|At| |At 1.8.20|in funds|funds|31.7.21| |£|£|£|£| |Unrestricted funds| |Unrestricted funds|37,889|155,653|(14,360)|179,182| |Restricted funds| |Restricted funds|58,528|(72,888)|14,360|-| |TOTAL FUNDS|96,417|82,765|-|179,182|

----- End of picture text -----

6. Movement in funds

Page 8

continued...

INSPIRING GRACE NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

6. Movement in funds - continued

Net movement in funds, included in the above are as follows:

Unrestricted funds
Unrestricted funds
Restricted funds
Restricted funds
TOTAL FUNDS
Comparatives for movement in funds
Unrestricted funds
Unrestricted funds
Restricted funds
Restricted funds
TOTAL FUNDS
Incoming
resources
£
242,042
9,376
251,418
At 1.8.19
£
9,866
22,519
32,385
Resources
Movement
expended
in funds
£
£
(86,389)
155,653
(82,264)
(72,888)
(168,653)
82,765
Net
movement
At
in funds
31.7.20
£
£
28,023
37,889
36,009
58,528
64,032
96,417

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
Unrestricted funds
Restricted funds
Restricted funds
TOTAL FUNDS
Incoming
resources
£
85,781
77,251
163,032
Resources
Movement
expended
in funds
£
£
(57,758)
28,023
(41,242)
36,009
(99,000)
64,032

Restricted Funds - This comprises of 7 restricted funds received for the various purposes which all related to the objectives and activities of the charity.

Page 9

continued...

INSPIRING GRACE NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2021

7. Related party disclosures

There were no related party transactions for the year ended 31 July 2021.

Page 10

INSPIRING GRACE

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2021

----- Start of picture text -----
2021 2020
£ £
Income and endowments
Donations and legacies
Gifts (1) -
General donations 81,163 74,148
Sports course fees 1,215 11,632
Other Income 26,844 -
Building Fund 1,180 1,183
Food Bank - 6,006
Zakat 2,197 800
Archery GB - 600
Awards to All - 10,000
-
Charles Hayward 4,000
-
Sport England 14,710
CCG 2020 6,000 6,000
-
LCC Refugee YP 4,000
PCC Grant - 3,000
Dulverton Trust - 4,958
Christal Foundation - 3,000
StreetGames - 2,000
IFAN - 500
-
Lancs Community Foundation 5,000
Groundwork 3,000 500
Leatherselles - 3,000
-
Goodthings Foundation 2,500
Sadaqah for Brother - 95
-
Duchy of Lancaster 5,000
Neighbourly - 400
Comm Foundation 17,472 -
-
COVID 19 Response 9,540
-
The Waste & Reso Wrap 14,172
-
UK Community Fund 10,370
Active Lancs 5,352 -
Lancs CCAP 8,958 -
Pro Project Sadaqah Foodbank 375 -
-
Black Training and BTEG Covid 5,400
-
Local Giving 15,221
-
Independent Food A Covid 1,000
Scouts Association 6,900 -
CIN 17,900 -
CAF 10,400 -
Director of Soc Refund 6,360 -
Building Bridges Pen PFA 400 -
251,418 163,032
Total incoming resources 251,418 163,032
----- End of picture text -----

This page does not form part of the statutory financial statements

Page 11

INSPIRING GRACE

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2021

----- Start of picture text -----
2021 2020
£ £
Expenditure
Other trading activities
-
Wages 39,612
Charitable activities
Charitable activities 39,447 36,772
Building fund - 500
Sports 2,220 11,664
I Will Foundation - 1,260
Scouts - 5,012
Zakat 1,000 2,500
Foodbank 76,391 5,991
Magic Grants - 474
CCG 200 2,182 2,670
Awards for All 1,725 5,265
-
Charles Hayward 2,439
Skelton - 1,228
-
Sport England 4,440
-
LCC Refugee TP 2,240
PCC Grant 1,456 530
Christal Foundation - 540
Dulverton Trust 510 630
StreetGames - 300
IFAN - 500
-
Lancs Community Foundation 5,000
Leatherselles - 3,000
Sadaqah for Brother - 95
Neighbourly - 400
-
Duchy of Lancaster 5,000
WRAP 2 4,000 -
128,931 98,450
Support costs
Governance costs
Accountancy and legal fees 110 550
Total resources expended 168,653 99,000
Net income 82,765 64,032
----- End of picture text -----

This page does not form part of the statutory financial statements

Page 12