Charity Registration No. 1161668
Company Registration No. 08428638 (England and Wales)
TALMUD TORAH LONDON LIMITED
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2021
TALMUD TORAH LONDON LIMITED
LEGAL AND ADMINISTRATIVE INFORMATION
Trustees
Mr M S Geldzahler Mr A J Halpert Mrs D Geldzahler Mr S Lew
(Appointed 18 May 2020)
Charity number 1161668 Company number 08428638 Registered office 35 Moresby Road London E5 9LE Independent examiner J Silver FCCA Precision Ltd 32 Castlewood Road London N16 6DW
TALMUD TORAH LONDON LIMITED
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Statement of cash flows | 6 |
| Notes to the financial statements | 7 - 14 |
TALMUD TORAH LONDON LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 MARCH 2021
The trustees present their annual report and financial statements for the year ended 31 March 2021.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2016)
Objectives and activities
The charity was established for the advancement of the orthodox Jewish faith and does this through operating a school to provide Jewish religious education and education generally.
The school ensures that even those in difficult financial situations are able to send their children to school. To achieve this reductions in parental contributions are offered where required, and in certain instances contributions are waived all together.
The trustees confirm their compliance with the duty to have due regard to the public benefit guidance published by the Charity Commission when reviewing the charity's aims and objectives and in planning future activities.
Achievements and performance
Charitable activities
Talmud Torah London is an Orthodox Jewish school based in Hackney, North London. The school currently ha s 119 children enrolled in Early Years Foundation Stage , Key Stage One and Key Stage Two between the ages of 3 - 11 .
In the year under review the charity generated income of £ 733,881 (20 20 : £ 612,687 ) and incurred expenses in running the school of £729,183 (2020: £612,580) resulting in net income of £4,698 . The school and nursey were rated good in their most recent Ofsted reports.
Financial review
During the year, the charity's incoming resources exceeded the outgoing resources. The trustees are satisfied with the results for the year.
It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level that the charity can fund the day to day running costs of the school. The net incoming funds have been used to reduce the reserves fund deficit. The trustees intend to continue their fundraising efforts to cover the shortfall in funds.
The trustees have assessed the major risks to which the Charity is exposed, and are satisfied that systems
are in place to mitigate exposure to the major risks.
The charity plans to continue to support the school and fund its activities for the foreseeable future subject to satisfactory income.
Structure, governance and management
The Charity is a company limited by guarantee and is governed by its Memorandum and Articles of Association .
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Mr M S Geldzahler
Mr A J Halpert Mrs D Geldzahler Mr S Lew (Appointed 18 May 2020)
- 1 -
TALMUD TORAH LONDON LIMITED
TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
The power to appoint new trustees is vested in the current board. Induction of new trustees is mainly through discussion with the current board , supplemented, as required, by specific training relating to the responsibilities and duties of trustees .
The trustees administer the day to day running of the charity .
The trustees' r eport was approved by the Board of Trustees.
..............................
Mr M S Geldzahler
Trustee Dated: .........................
- 2 -
TALMUD TORAH LONDON LIMITED
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF TALMUD TORAH LONDON LIMITED
I report to the trustees on my examination of the financial statements of Talmud Torah London Limited (the Charity) for the year ended 31 March 2021.
Responsibilities and basis of report
As the trustees of the Charity (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 financial statements of the Charity 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 financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable 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 ACCA, 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 that in any material respect:
-
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 financial statements to be reached.
J Silver FCCA Precision Ltd 32 Castlewood Road N16 6DW
Dated: .........................
- 3 -
TALMUD TORAH LONDON LIMITED
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021
| Unrestricted Restricted funds funds 2021 2021 Notes £ £ Income from: Donations and legacies 3 648,722 85,133 Investments 4 26 - Total income 648,748 85,133 Expenditure on: Raising funds 5 22,374 - Charitable activities 6 621,676 85,133 Total resources expended 644,050 85,133 Net income for the year/ Net movement in funds 4,698 - Fund balances at 1 April 2020 (10,269) - Fund balances at 31 March 2021 (5,571) - |
Total Unrestricted Restricted funds funds 2021 2020 2020 £ £ £ 733,855 530,662 81,992 26 33 - 733,881 530,695 81,992 22,374 33,369 - 706,809 497,219 81,992 729,183 530,588 81,992 4,698 107 - (10,269) (10,376) - (5,571) (10,269) - |
Total 2020 £ 612,654 33 612,687 33,369 579,211 612,580 107 (10,376) (10,269) |
|---|---|---|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
- 4 -
TALMUD TORAH LONDON LIMITED
BALANCE SHEET
AS AT 31 MARCH 2021
| 2021 | 2020 | |||||
|---|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | ||
| Fixed assets | ||||||
| Tangible assets | 10 | 25,108 | 19,520 | |||
| Current assets | ||||||
| Cash at bank and in hand | 25,265 | 3,633 | ||||
| Creditors: amounts falling due within | ||||||
| one year | 12 | (13,444) | (33,422) | |||
| Net current assets/(liabilities) | 11,821 | (29,789) | ||||
| Total assets less current liabilities | 36,929 | (10,269) | ||||
| Creditors: amounts falling due after | ||||||
| more than one year | 13 | (42,500) | - | |||
| Net liabilities | (5,571) | (10,269) | ||||
| Income funds | ||||||
| Unrestricted funds | (5,571) | (10,269) | ||||
| (5,571) | (10,269) |
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2021.
The trustees acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the financial year in accordance with the requirements of sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements , so far as applicable to the company.
The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Trustees on .........................
..............................
Mr M S Geldzahler
Trustee
Company Registration No. 08428638
- 5 -
TALMUD TORAH LONDON LIMITED
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021
| 2021 | 2020 | |||||
|---|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | ||
| Cash flows from operating activities | ||||||
| Cash absorbed by operations | 15 | (18,130) | (3,833) | |||
| Investing activities | ||||||
| Purchase of tangible fixed assets | (10,264) | (18,722) | ||||
| Investment income received | 26 | 20 | ||||
| Net cash used in investing activities | (10,238) | (18,702) | ||||
| Financing activities | ||||||
| Repayment of bank loans | 50,000 | - | ||||
| Net cash generated from/(used in) | ||||||
| financing activities | 50,000 | - | ||||
| Net increase/(decrease) in cash and cash | ||||||
| equivalents | 21,632 | (22,535) | ||||
| Cash and cash equivalents at beginning of year | 3,633 | 26,168 | ||||
| Cash and cash equivalents at end of year | 25,265 | 3,633 |
- 6 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
Charity information
Talmud Torah London Limited is a public benefit entity and a private company limited by guarantee incorporated in England and Wales. The registered office is 35 Moresby Road, London, E5 9LE.
1.1 Accounting convention
The financial statements have been prepared in accordance with the Charity's governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2016). The Charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling , which is the functional currency of the Charity . Monetary a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention.The principal accounting policies adopted are set out below.
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the Charity will continue for the foreseeable future based upon the net incoming resources and the continued financial support from the community . Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. Details of t he purposes and uses of the restricted funds can be obtained from the company's registered office upon request.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Charity.
1.4 Income
Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
I ncome from voluntary contributions are credited to the statement of financial activities on a cash received basis .
- 7 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts.
1.5 Expenditure
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.
1.6 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings 15% RBM Computers 25% RBM
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities .
1.7 Impairment of fixed assets
At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
1.8 Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
- 8 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
1 Accounting policies
(Continued)
Derecognition of financial liabilities
Financial liabilities are derecognised when the Charity ’s contractual obligations expire or are discharged or cancelled.
1.9 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.10 Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
2 Critical accounting estimates and judgements
In the application of the Charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources.
The preparation of the se financial statements did not require management to make judgements, estimates or assumptions that affect the amounts reported.
3 Donations and legacies
| Unrestricted Restricted funds funds 2021 2021 £ £ Donations and gifts 237,373 - Grants from local authority and government funding. 135,591 85,133 Parental Contributions 275,758 - 648,722 85,133 |
TotalUnrestricted Restricted funds funds 2021 2020 2020 £ £ £ 237,373 223,715 - 220,724 87,324 81,992 275,758 219,623 - 733,855 530,662 81,992 |
Total 2020 £ 223,715 169,316 219,623 612,654 |
|---|---|---|
During the year the charity received £57,514 under the Coronavirus Job Retention Scheme and the government has covered the charity's loan interest and fees under the Bounce Back Loan Scheme in the sum of £938.
- 9 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
4 Investments
| 5 | UnrestrictedUnrestricted funds funds 2021 2020 £ £ Interest receivable 26 33 Raising funds UnrestrictedUnrestricted funds funds 2021 2020 £ £ Fundraising and publicity Advertising 12,486 29,498 Other fundraising costs 9,888 3,871 Fundraising and publicity 22,374 33,369 22,374 33,369 |
|---|---|
- 10 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
6 Charitable activities
| Staff costs Depreciation and impairment Charitable expenditure Share of governance costs (see note 7) Analysis by fund Unrestricted funds Restricted funds For the year ended 31 March 2020 Unrestricted funds Restricted funds Support costs Support costs Governance costs £ £ Accountancy - 1,440 Legal and professional - 627 Bank Charges - 129 - 2,196 Analysed between Charitable activities - 2,196 |
2021 £ 1,440 627 129 2,196 2,196 |
Charitable Expenditure Charitable Expenditure 2021 2020 £ £ 277,092 171,833 4,676 3,773 422,845 401,245 704,613 576,851 2,196 2,360 706,809 579,211 621,676 497,219 85,133 81,992 706,809 579,211 497,219 81,992 579,211 Support costs Governance costs 2020 £ £ £ - 1,500 1,500 - 696 696 - 164 164 - 2,360 2,360 - 2,360 2,360 |
|---|---|---|
7 Support costs
- 11 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
8 Trustees
None of the trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year.
9 Employees
The average monthly number of employees during the year was:
| Employment costs Wages and salaries Social security costs Other pension costs |
2021 Number 40 2021 £ 274,590 2,363 139 277,092 |
2020 Number 29 2020 £ 171,208 502 123 171,833 |
|---|---|---|
There were no employees whose annual remuneration was more than £60,000.
10 Tangible fixed assets
| Fixtures and fittings Computers £ £ Cost At 1 April 2020 21,262 3,641 Additions 10,264 - At 31 March 2021 31,526 3,641 Depreciation and impairment At 1 April 2020 3,831 1,552 Depreciation charged in the year 4,154 522 At 31 March 2021 7,985 2,074 Carrying amount At 31 March 2021 23,541 1,567 At 31 March 2020 17,431 2,089 |
Total £ 24,903 10,264 35,167 5,383 4,676 10,059 25,108 19,520 |
|---|---|
- 12 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
11 Loans and overdrafts
| Bank loans Payable within one year Payable after one year |
2021 £ 50,000 7,500 42,500 |
2020 £ - - - |
|---|---|---|
The above long-term loan is guaranteed by the government under the Bounce back loan scheme. The loan accrues interest at 2.5% p.a.
12 Creditors: amounts falling due within one year
| 12 | Creditors: amounts falling due within one year | |||
|---|---|---|---|---|
| 2021 | 2020 | |||
| Notes | £ | £ | ||
| Bank loans | 11 | 7,500 | - | |
| Other taxation and social security | (14,771) | (14,889) | ||
| Trade creditors | - | 5,000 | ||
| Other creditors | 19,215 | 41,811 | ||
| Accruals and deferred income | 1,500 | 1,500 | ||
| 13,444 | 33,422 | |||
| 13 | Creditors: amounts falling due after more than one year | |||
| 2021 | 2020 | |||
| Notes | £ | £ | ||
| Bank loans | 11 | 42,500 | - |
14 Related party transactions
There were no disclosable related party transactions during the year (2020 - none) .
- 13 -
TALMUD TORAH LONDON LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021
| 15 | Cash generated from operations | 2021 | 2020 | |
|---|---|---|---|---|
| £ | £ | |||
| Surplus for the year | 4,698 | 107 | ||
| Adjustments for: | ||||
| Investment income recognised in statement of financial | activities | (26) | (33) | |
| Depreciation and impairment of tangible fixed assets | 4,676 | 3,773 | ||
| Movements in working capital: | ||||
| (Increase)/decrease in debtors | - | 1,600 | ||
| (Decrease) in creditors | (27,478) | (9,280) | ||
| Cash absorbed by operations | (18,130) | (3,833) | ||
| 16 | Analysis of changes in net debt | |||
| At 1 April 2020 | Cash flows At 31 March 2021 | |||
| £ | £ | £ | ||
| Cash at bank and in hand | 3,633 | 21,632 | 25,265 | |
| Loans falling due within one year | - | (7,500) | (7,500) | |
| Loans falling due after more than one year | - | (42,500) | (42,500) | |
| 3,633 | (28,368) | (24,735) |
- 14 -