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2023-08-31-accounts

COMPANY REGISTRATION NUMBER: 09166135 CHARITY REGISTRATION NUMBER: 1160643

KH D'SATMAR LTD Company Limited by Guarantee Unaudited Financial Statements 31 August 2023

WHITESIDE AND DAVIES LTD

Chartered Certified Accountants 158 Cromwell Road Salford M6 6DE

KH D'SATMAR LTD

Company Limited by Guarantee

Financial Statements

Year ended 31 August 2023

Page
Trustees' annual report (incorporating the director's report) 1
Independent examiner's report to the trustees 3
Statement of financial activities (including income and
expenditure account) 4
Statement of financial position 5
Statement of cash flows 7
Notes to the financial statements 8

KH D'SATMAR LTD

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 31 August 2023

The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 31 August 2023.

Reference and administrative details

Registered charity name KH D'SATMAR LTD Charity registration number 1160643 Company registration number 09166135 Principal office and registered 315-317 Great Clowes Street office Salford England M7 2FZ

The trustees

Mr L Tager Mr A Grossberger Mr Y Horowitz Independent examiner I Graff FCCA 158 Cromwell Road Salford M6 6DE

Structure, governance and management

The directors/trustees who served the charity during the period were as follows:

Avigdor Grossberger (Director and Trustee) Yoel Horowitz (Director and Trustee) Lipa Tager (Director and Trustee)

The day-to-day affairs are undertaken by a manager on behalf of the trustees. All major decisions are taken collectively by the trustees and all the trustees give their time freely.

Objectives and activities

  1. To extend, develop and maintain the building of the synagogue in 37 Northumberland Street, Salford, known as the Beth Hamedrash Satmar Veyoel Moshe.

  2. To provide grants and donations to needy individuals / charitable organisations in the community The charity is committed to the aim of providing public benefit, and the trustees have considered the Charity Commission's published guidance on public benefit. 3. To operate an out of school club and community centre.

Strategic report

The following sections for achievements and performance and financial review form the strategic report of the charity.

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KH D'SATMAR LTD

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 August 2023

Achievements and performance

The trustees are pleased to report that during the year the charity had incoming resources totalling £741,390 (2022 - £555,271). There was a net surplus for the year of £415,758 (2022 - surplus £146,169) The charity gave £235,948 (2022 - £130,909) by way of grants and donations to charitable organisations and individuals. Further details of the grants and donations given are provided in the notes to the accounts.

During the year, £97,918 was spent on constructing a loft extension to provide additional facilities for the charity.

Financial review

Reserves policy

The charity holds reserves in order to ensure that it can maintain the level of support that it is currently providing to the community in which it operates

Risk Management

The process of examining the risks to which the Charity is exposed is ongoing and the trustees are planning to further develop systems to monitor and control these risks in order to lessen their potential impact on the Charity.

Small company provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small company’s exemption.

The trustees' annual report and the strategic report were approved on 16 May 2024 and signed on behalf of the board of trustees by:

Mr A Grossberger Trustee

Charity Secretary

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KH D'SATMAR LTD

Company Limited by Guarantee

Independent Examiner's Report to the Trustees of KH D'SATMAR LTD

Year ended 31 August 2023

I report to the trustees on my examination of the financial statements of KH D'SATMAR LTD ('the charity') for the year ended 31 August 2023.

Responsibilities and basis of report

As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act’).

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.

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

  1. accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or

  2. the financial statements do not accord with those records; or

  3. the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

  4. the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

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.

I Graffc FCCA Independent Examiner

158 Cromwell Road Salford M6 6DE

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KH D'SATMAR LTD

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Year ended 31 August 2023

2023 2023 2022
Unrestricted
funds Total funds Total funds
Note £ £ £
Income and endowments
Donations and legacies 5 705,865 705,865 523,225
Investment income 35,525 35,525 32,046
-------------------------------- -------------------------------- --------------------------------
Total income 741,390 741,390 555,271
================================ ================================ ================================
Expenditure
Expenditure on raising funds:
Costs of raising donations 6 18,662 18,662 10,091
Expenditure on charitable activities 7,8 307,150 307,150 399,011
-------------------------------- -------------------------------- --------------------------------
Total expenditure 325,812 325,812 409,102
================================ ================================ ================================
-------------------------------- -------------------------------- --------------------------------
Net income and net movement in funds 415,578 415,578 146,169
================================ ================================ ================================
Reconciliation of funds
Total funds brought forward 1,095,635 1,095,635 949,466
----------------------------------------- ----------------------------------------- -----------------------------------------
Total funds carried forward 1,511,213 1,511,213 1,095,635
========================================= ========================================= =========================================

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 8 to 15 form part of these financial statements.

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KH D'SATMAR LTD

Company Limited by Guarantee

Statement of Financial Position

31 August 2023

2023 2022
Note £ £ £
Fixed assets
Intangible assets 15 1,615 2,019
Tangible fixed assets 16 2,031,417 1,929,933
----------------------------------------- -----------------------------------------
2,033,032 1,931,952
Current assets
Debtors 17 363,337 158,337
Cash at bank and in hand 75,077 67,652
-------------------------------- --------------------------------
438,414 225,989
Creditors: amounts falling due within one year 18 349,069 408,869
-------------------------------- --------------------------------
Net current assets 89,345 (182,880)
----------------------------------------- -----------------------------------------
Total assets less current liabilities 2,122,377 1,749,072
Creditors: amounts falling due after more than
one year 19 611,164 653,437
----------------------------------------- -----------------------------------------
Net assets 1,511,213 1,095,635
========================================= =========================================
Funds of the charity
Unrestricted funds 1,511,213 1,095,635
----------------------------------------- -----------------------------------------
Total charity funds 20 1,511,213 1,095,635
========================================= =========================================

For the year ending 31 August 2023 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

The statement of financial position continues on the following page. The notes on pages 8 to 15 form part of these financial statements.

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KH D'SATMAR LTD

Company Limited by Guarantee

Statement of Financial Position (continued)

31 August 2023

These financial statements were approved by the board of trustees and authorised for issue on 16 May 2024, and are signed on behalf of the board by:

Mr A Grossberger Trustee

The notes on pages 8 to 15 form part of these financial statements.

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KH D'SATMAR LTD

Company Limited by Guarantee

Statement of Cash Flows

Year ended 31 August 2023

2023 2022
£ £
Cash flows from operating activities
Net income 415,578 146,169
Adjustments for:
Depreciation of tangible fixed assets 3,839 4,799
Amortisation of intangible assets 404 505
Dividends, interest and rents from investments (24,039) (32,044)
Other interest receivable and similar income (11,486) (2)
Interest payable and similar charges 38,293 27,645
Accrued expenses 200 400
Changes in:
Trade and other debtors (205,000) 75,600
Trade and other creditors (60,000) (25,927)
-------------------------------- --------------------------------
Cash generated from operations 157,789 197,145
Interest paid (38,293) (27,645)
Interest received 11,486 2
-------------------------------- --------------------------------
Net cash from operating activities 130,982 169,502
================================ ================================
Cash flows from investing activities
Dividends, interest and rents from investments 24,039 32,044
Purchase of tangible assets (105,323) (105,604)
-------------------------------- --------------------------------
Net cash used in investing activities (81,284) (73,560)
================================ ================================
Cash flows from financing activities
Proceeds from borrowings (42,273) (38,205)
-------------------------------- --------------------------------
Net cash used in financing activities (42,273) (38,205)
================================ ================================
Net increase in cash and cash equivalents 7,425 57,737
Cash and cash equivalents at beginning of year 67,652 9,915
---------------------------- ----------------------------
Cash and cash equivalents at end of year 75,077 67,652
============================ ============================

The notes on pages 8 to 15 form part of these financial statements.

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements

Year ended 31 August 2023

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 315-317 Great Clowes Street, Salford, England, M7 2FZ.

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 Companies Act 2006.

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

There are no material uncertainties about the charity's ability to continue.

Disclosure exemptions

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.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

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.

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

3. Accounting policies (continued)

Incoming resources

All incoming resources are 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:

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:

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.

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

3. Accounting policies (continued)

Intangible assets (continued)

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 - 20% reducing balance

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.

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:

Equipment

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.

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

3. Accounting policies (continued)

Impairment of fixed assets (continued)

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.

4. Limited by guarantee

KH D'Satmar LTD is a company limited by guarantee incorporated on 7 August 2018 and is governed by its memorandum and articles of association. The Directors/Trustees are responsible for the governance of the organisation and are active in all operational aspects of strategic management. Major policy decisions are decided at full directors/trustees meetings.

5. Donations and legacies

Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Donations
Donations and Legacies 705,865 705,865 523,225 523,225
================================ ================================ ================================ ================================
6. Costs of raising donations
Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Fundraising costs 18,662 18,662 10,091 10,091
============================ ============================ ============================ ============================

7. Expenditure on charitable activities by fund type

Unrestricted Total Funds Unrestricted Total Funds
Funds 2023 Funds 2022
£ £ £ £
Charitable activities 304,650 304,650 394,885 394,885
Support costs 2,500 2,500 4,126 4,126
-------------------------------- -------------------------------- -------------------------------- --------------------------------
307,150 307,150 399,011 399,011
================================ ================================ ================================ ================================

8. Expenditure on charitable activities by activity type

Activities
undertaken
Grant funding
Support Total funds Total fund
directly
of activities
costs 2023 2022
£ £ £ £ £
Charitable activities 68,702
235,948
304,650 396,511
Governance costs
2,500 2,500 2,500
---------------------------- -------------------------------- ----------------------- -------------------------------- --------------------------------
68,702
235,948
2,500 307,150 399,011
============================ ================================ ======================= ================================ ================================

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

9. Analysis of support costs

Analysis of
support costs
activity 1 Total 2023 Total 2022
£ £ £
Staff costs 1,626
Governance costs 2,500 2,500 2,500
----------------------- ----------------------- -----------------------
2,500 2,500 4,126
======================= ======================= =======================
10. Analysis of grants
2023 2022
£ £
Grants to institutions
Bederech Kovod 20,751 1,000
Yeshuas Chaim Synagogue 2,500
Beis Ruchel School 12,539 15,740
Chasdei Aharon Ltd 43,000 7,000
Choimel Dalim 5,000
Tov Vochesed 3,792
Congregation Sharei Sholom Ltd 20,000
Grants under £2000 2,562
Start Upright 20,000
Bemosh Ltd 9,925 1,000
Chernobel Shul 600
Menicho Vesimcho 800
Shir Chesed Beis Yisroel 6,479
Talmud Torah Yetev Lev 1,700
Yeshiva Ketane D'satmar 5,200 2,600
Zoreya Tzedokos 26,313 58,192
Chasdei Sholom Trust 7,000
Chasdei Yoel Charitable Trust 25,960
-------------------------------- ----------------------------
204,542 95,111
Grants to individuals
Relief of poverty 31,406 35,798
-------------------------------- --------------------------------
Total grants 235,948 130,909
================================ ================================
11. Net income
Net income is stated after charging/(crediting):
2023 2022
£ £
Amortisation of intangible assets 404 505
Depreciation of tangible fixed assets 3,839 4,799
Operating lease rentals 180 35,170
======================= ============================

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

12. Independent examination fees

2023 2022
£ £
Fees payable to the independent examiner for:
Independent examination of the financial statements 2,500 2,500
======================= =======================

13. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as The total staff costs and employee benefits for the reporting period are analysed as follows:
2023 2022
£ £
Wages and salaries 2,537
============== =======================

The average head count of employees during the year was Nil (2022: Nil).

No employee received employee benefits of more than £60,000 during the year (2022: Nil).

14. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

15. Intangible assets

Developmen
t costs
£
Cost
At 1 September 2022 and 31 August 2023 4,815
=======================
Amortisation
At 1 September 2022 2,796
Charge for the year 404
-----------------------
At 31 August 2023 3,200
=======================
Carrying amount
At 31 August 2023 1,615
=======================
At 31 August 2022 2,019
=======================

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

16. Tangible fixed assets

Land and
buildings Equipment Total
£ £ £
Cost
At 1 September 2022 1,910,737 29,697 1,940,434
Additions 105,323 105,323
----------------------------------------- ---------------------------- -----------------------------------------
At 31 August 2023 2,016,060 29,697 2,045,757
========================================= ============================ =========================================
Depreciation
At 1 September 2022 10,501 10,501
Charge for the year 3,839 3,839
----------------------------------------- ---------------------------- -----------------------------------------
At 31 August 2023 14,340 14,340
========================================= ============================ =========================================
Carrying amount
At 31 August 2023 2,016,060 15,357 2,031,417
========================================= ============================ =========================================
At 31 August 2022 1,910,737 19,196 1,929,933
========================================= ============================ =========================================
17. Debtors
2023 2022
£ £
Other debtors 363,337 158,337
================================ ================================
18. Creditors: amounts falling due within one year
2023 2022
£ £
Accruals and deferred income 2,700 2,500
Other creditors 346,369 406,369
-------------------------------- --------------------------------
349,069 408,869
================================ ================================
19. Creditors: amounts falling due after more than one year
2023 2022
£ £
Bank loans and overdrafts 611,164 653,437
================================ ================================

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KH D'SATMAR LTD

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 31 August 2023

20. Analysis of charitable funds

Unrestricted funds

Unrestricted funds
At At
1 September 31 August 2
2022 Income Expenditure 023
£ £ £ £
General funds 1,095,635 741,390 (325,812)
1,511,213
========================================= ================================ ================================ =========================================
At At
1 September 31 August 20
2021 Income Expenditure 22
£ £ £ £
General funds 949,466 555,271 (409,102)
1,095,635
================================ ================================ ================================ =========================================
21. Analysis of net assets between funds
Unrestricted Total Funds
Funds 2023
£ £
Intangible assets 1,615 1,615
Tangible fixed assets 2,031,417 2,031,417
Current assets 438,414 438,414
Creditors less than 1 year (349,069)
(349,069)
Creditors greater than 1 year (611,164)
(611,164)
----------------------------------------- -----------------------------------------
Net assets 1,511,213 1,511,213
========================================= =========================================
Unrestricted Total Funds
Funds 2022
£ £
Intangible assets 2,019 2,019
Tangible fixed assets 1,929,933 1,929,933
Current assets 225,989 225,989
Creditors less than 1 year (408,869)
(408,869)
Creditors greater than 1 year (653,437)
(653,437)
----------------------------------------- -----------------------------------------
Net assets 1,095,635 1,095,635
========================================= =========================================
22. Analysis of changes in net debt
At At
1 Sep 2022 Cash flows 31 Aug 2023
£ £ £
Cash at bank and in hand 67,652 7,425 75,077
Debt due after one year (653,437) 42,273 (611,164)
-------------------------------- ---------------------------- --------------------------------
(585,785) 49,698 (536,087)
================================ ============================ ================================

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