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2024-03-31-accounts

ARK COMMUNITY CHURCH SUTTON COLDFIELD

FINANCIAL STATEMENTS

31 MARCH 2024

ARK COMMUNITY CHURCH SUTTON COLDFIELD

INDEX

Page
CHARITY INFORMATION 1
REPORT OF THE TRUSTEES 2 - 5
INDEPENDENT EXAMINERS REPORT 6
STATEMENT OF FINANCIAL ACTIVITIES 7
BALANCE SHEET 8
STATEMENT OF CASHFLOWS 9
NOTES TO THE ACCOUNTS 10 -15

ARK COMMUNITY CHURCH SUTTON COLDFIELD

CHARITY INFORMATION

TRUSTEES:

CHURCH PASTOR:

Stephen Eaves Stephanie Jones Neil Spencer Helen Thomson Chris Woods Mang (Kendell) Yiu Stephen Eaves

ELDERS: Lynn Jennings Helen Thomson SECRETARY: Stephanie Jones TREASURER: Helen Thomson

SECRETARY: TREASURER:

CHARITY REGISTRATION NUMBER: 1161799 BANKERS: CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ ENQUIRIES: Stephen Eaves 5a Longmeadow Close Sutton Coldfield B75 7SQ

ENQUIRIES:

Page 1

ARK COMMUNITY CHURCH SUTTON COLDFIELD

REPORT OF THE TRUSTEES

The Trustees present their annual report and financial statements for the year ended 31 March 2024. The financial statements comply with the Charities Act 2011, 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 2015.

OBJECTIVES AND ACTIVITIES

The church was constituted as an incorporated charitable organization on 22 May 2015 and from September 2015, assumed the assets and undertakings carried out by a charitable trust also known as Ark Community Church Sutton Coldfield.

The objectives of the organisation are to advance the Christian faith in accordance with the Evangelical Alliance statement of beliefs. The church may also fulfil such other purposes which are exclusively charitable and relate to the charitable work of the church. During the period the objects of the Charity were put into effect by the Pastor and assistant Pastor in conjunction with members of a leadership group appointed to hold responsibility for ministries within the church, namely community engagement, children and youth, worship, hospitality, pastoral support and facilities and administration.

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and activities.

ACHIEVEMENTS AND PERFORMANCE

Ark Community Church continued to provide two worship services each Sunday with live streaming of the second via YouTube. Regular attendance remained high, justifying the need for twin services due to limited space. The church has continued to attract people from other nations and translation materials have been provided to help understanding for both adults and children.

Ten Growth Groups were established to offer mid-week meetings in homes. Training and encouragement were provided to enable leaders to facilitate these groups as an essential part of the spiritual strengthening and support to members of the fellowship.

After 10 years of serving the church full-time, the Pastor was given a two-month Sabbatical break during which he visited the Holy Land. Whilst he was away, the Assistant Pastor, supported by others, helped to ensure that the fellowship continued to function fully and advance in all areas.

Leadership team away days have also been of great benefit in building the team and in formulating plans for further development of the church.

The church has continued to offer a range of opportunities for people to pray together. Weekly prayer meetings took place in the church lounge, and there was a season of 40 days of prayer as well as dedicated Prayer Nights.

Page 2

ARK COMMUNITY CHURCH SUTTON COLDFIELD

REPORT OF THE TRUSTEES

ACHIEVEMENTS AND PERFORMANCE (continued)

Children’s work has continued to thrive requiring the appointment of a Youth and Children’s Leader (part-time). Parents with babies and toddlers have made use of the creche, and programmes of engaging sessions have continued for Adventurers (reception to year 6) and Illuminate (years 7-13) have also seen numbers increasing. Special activities for children have taken place in school holidays and have proved very successful.

A number of community events were organized both at the church and on the Dugdale Crescent Village Green. These events have continued to be successful in bringing members of the local community together to have fun and build friendships. Both interest and attendances have grown significantly, with an animal fun day, a King’s Coronation Event and Lord Mayor’s Celebration being some of the highlights.

Grapevine, a weekly coffee morning open to anyone, has continued to provide a place to engage with others and offer something to eat and drink without charge. Grant money to support heating costs has been greatly appreciated to help enable this important service to remain free of charge to the community.

Weekly conversational English classes (Time to Talk) have been well attended, developing into two classes of differing ability, both run by volunteers. Assistant Pastor worked alongside Birmingham Centre for Art Therapy to provide talking therapy through art for the improvement of mental wellbeing of people from Ukraine and Hong Kong nationals. The Fun Factory (weekly parent and toddler group) was set up with the support of grant money and a group of multi-cultural volunteers

Stepping Stones Projects has gone from strength to strength and numbers have continued to rise. The combination of weekly social interaction, craft activities and exercise sessions for adults with additional needs continues to meet an unmet need and relationships within the group are growing stronger over time.

The community dance group, DanceItOut, part of the Kids UK charity have continued to work with Ark to provide powerful performances at church services. There continued to be two age groups meeting separately each week. The weekly martial Arts classes are also going strong with good weekly attendances from both within and outside of the church community.

Church services have taken place each Saturday evening in Cantonese for anyone from Hong Kong struggling with English. These meetings are led by a Pastor from Hong Kong and attract a wide attendance from across the area for worship, fellowship and food. The Spiritual Leadership Team (elders) met regularly with this pastor to offer support and encouragement.

The fellowship has continued to benefit from its apostolic relationship with LifeSpring Church, Wolverhampton, with many shared events taking place.

Page 3

ARK COMMUNITY CHURCH SUTTON COLDFIELD

REPORT OF THE TRUSTEES

ACHIEVEMENTS AND PERFORMANCE (continued)

The Worship and Tech Leader as well as the Pastor regularly visit both LifeSpring and Emmanuel New Life Churches, in Wolverhampton and Burntwood respectively to meet, minister and teach in various ways. There have continued to be regular LifeSpring Apostolic Family (LAF) Zoom meetings involving Ark leaders connecting with leaders from churches in Mozambique, Zimbabwe, India, Nepal, and South Africa. Pastors from these nations have visited Ark Community Church and attended an international conference together in Wolverhampton.

STRUCTURE, GOVERNANCE AND ORGANISATIONAL MANAGEMENT

The church is structured as a charitable incorporated organization, incorporated on 22 May 2015. Names of the Trustees who served during the year and since the period end are shown on page 1. Mike Hew and Chan Naraine resigned as trustees and Kendell Yiu was appointed a trustee on 11 June 2024.

The charity is organized so that the Trustees who are also the management committee meet regularly to manage its affairs and are responsible for overall governance of the organization and keep under review its policies and practices. Trustees are sought, approved, and appointed in conjunction with the Elders in accordance with the provisions in the constitution and they keep their skill requirements under review and provide induction procedures and training relevant to the individuals’ knowledge and understanding.

There is a full time Pastor who in conjunction with the assistant pastor, manages the day-to-day administration and in conjunction with members of a leadership group appointed to hold responsibility for ministries within the church, namely community engagement, children and youth, worship, hospitality, pastoral support and facilities and administration. The Pastor also oversees the staff team and volunteers.

FINANCIAL REVIEW

Financial performance

Voluntary donations and gifts increased over 50% from 2023 mainly as a result of an increase in regular fellowship numbers and visitors. More church activities and events also attracted income from donations and grants. Overall, the income for the year was up 60% on the previous year at £220,280, Expenditure was also significantly higher (+18%) at £170,374 due largely to an increase in staff numbers.

Overall unrestricted funds increased by £52,601 and restricted funds decreased by £2,695 giving a net overall excess of income over expenditure of £49,906 (2023 deficit of £6,945).

Page 4

ARK COMMUNITY CHURCH SUTTON COLDFIELD

REPORT OF THE TRUSTEES

FINANCIAL REVIEW (continued)

Reserves policy

The trustees seek to limit unrestricted funds and restricted funds in respect of their Stepping Stones projects to no more than two year’s budgeted regular expenditure. They aim to apply missions and other restricted reserves to the specific activities within a twelve-month period.

Risk policy

The Trustees have identified certain risks to which the charity was exposed as part of their responsibilities in running the church. The main risks relate to ensuring robust governance policies and practices are maintained and in its financial activities. The Church has established risk management, investment, safeguarding vulnerable beneficiaries, complaints, and data protection policies which are reviewed by the Trustees regularly.

Specifically, the Trustees and all adults who are involved with children and vulnerable beneficiaries are screened by an independent body (31-8) and follow the church’s guidelines with appropriate training provided. The church maintains Public and Employees liability insurance with a charity specialist insurer. Financial management is managed by quarterly reporting and scrutiny by Trustees.

RESPONSIBILITIES OF TRUSTEES

The Trustees are responsible for the preparation of their annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards.

Charity law requires the 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 for that period. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Signed On behalf of the Trustees on 9 September 2024

Helen Thomson Trustee

Page 5

ARK COMMUNITY CHURCH SUTTON COLDFIELD

Independent examiner’s report to the trustees of Ark Community Church Sutton Coldfield

I report on the accounts of Ark Community Church Sutton Coldfield for the year ended 31 March 2024, which are set out on pages 7 to 15.

Respective responsibilities of trustees and examiner

The charity’s Trustees are responsible for the preparation of the accounts. The charity’s Trustees consider that an audit is not required for this period under section 144 of the Charities Act 2011 (the Act) and that an independent examination is needed. It is my responsibility to:

Basis of independent examiner’s report

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

Independent examiner’s unqualified statement

In connection with my examination, no matter has come to my attention:

(1) which gives me reasonable cause to believe that in any material respect the requirements:

have not been met; or

(2) to which, in my opinion, attention should be drawn to enable a proper understanding of the accounts to be reached.

Name: Richard Morton Address: 41 Cremorne Road, Sutton Coldfield Date 9 September 2024

Page 6

ARK COMMUNITY CHURCH SUTTON COLDFIELD

STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 MARCH 2024

Unrestricted Restricted Total Total
funds funds funds 2023
Notes £ £ £ £
Income
Charitable activities
Donations and legacies 2 145,892 1,510 147,402 93,637
Activities and events 13,016 27,669 40,685 24,852
Grants received 17,620 - 17,620 1,655
Investment & other income 14,558 15 14,573 18,013
─────── ─────── ─────── ───────
Total 191,086 29,194 220,280 138,157
─────── ─────── ─────── ───────
Expenditure
Charitable activities
Staff costs 3 92,461 14,364 106,825 77,962
Activities and events 4 47,110 14,425 61,535 63,116
Governance 5 2,014 - 2,014 4,024
─────── ─────── ─────── ───────
Total 141,585 28,789 170,374 145,102
─────── ─────── ────── ───────
Net income/(expenditure) 49,501 405 49,906 (6,945)
Transfers between funds 3,100 (3,100) - -
─────── ─────── ─────── ───────
Net movement in funds 52,601 (2,695) 49,906 (6,945)
Reconciliation of funds:
Total funds brought forward 167,274 208,611 375,885 382,830
─────── ─────── ─────── ───────
Total funds carried forward 219,875 205,916 425,791 375,885
═══════ ═══════ ═══════ ═══════

The statement of financial activities includes all gains and losses recognised in the period. All income and expenditure derive from continuing activities.

Page 7

ARK COMMUNITY CHURCH SUTTON COLDFIELD

BALANCE SHEET AT 31 MARCH 2024

2024 2023
Notes £
£

£

£
Fixed assets:
Tangible assets 6 322,290 331,960
Current assets
Debtors 7 12,105 6,841
Cash at bank 36,132 27,811
Bank deposit 61,000 16,000
────── ──────
109,237 50,652
Creditors: amounts falling due
within one year 8 (5,736) (6,727)
───── ─────
Net current assets 103,501 43,925
────── ──────
Total net assets 425,791 375,885
══════ ══════
Funds of the charity:
Unrestricted 219,875 167,274
Restricted 9 205,916 208,611
────── ──────
425,791 375,885
══════ ══════

The notes on pages 9 to 15 form part of these accounts. Signed by

Name HELEN THOMSON - Treasurer

Approved by the Trustees on 9 September 2024

Page 8

ARK COMMUNITY CHURCH SUTTON COLDFIELD

STATEMENT OF CASH FLOWS
YEAR ENDED 31 MARCH 2024
2024 2023
£
£
Cash flows from operating activities: (below)
Net cash generated by operating activities
52,913
1,438
_____ _____
Cash flows from investing activities:
Interest from investments
408
40
Purchase of tangible fixed assets
(-)
(-)
_____
_____
Net cash generated by investing activities 408
40
_____ _____
Cash flow from financing activities -

-
_____ _____
Change in cash and cash equivalents
53,321 1,478
Cash and cash equivalents at the beginning of the year 43,811
42,333
_____ _____
Cash and cash equivalents at the end of the year
97,132
43,811
_____
_____
Reconciliation of net movement in funds to net cash flow
from operating activities
Net income /(expenditure)for the year
49,906 (6,945)
Adjustments for:
Depreciation charges
9,670
9,672
Investment income
(408)
(40)
(Increase)/decrease in debtors
(5,264)
(307)
(Decrease)/increase in creditors
( 991)
(942)
_____
_____
Net cash generated by operating activities
52,913 1,438
_____ _____

Page 9

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2024

1 Accounting Policies

The principal accounting policies adopted, judgements and key sources of estimation in the preparation of the financial statements are as follows:

(a) Basis of preparation

(b) Going Concern

The financial statements have been prepared on the going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern.

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income has been met, it is probable that the income will be received, and the amount can be measured reliably.

Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

Unrestricted funds are available to spend on activities that further any purpose of the charity. Restricted funds are donations which the donor has specified to be solely used for a particular purpose.

The church premises are included at cost as ascertaining a market value would incur significant costs which would be onerous compared with the additional benefits to the reader. Individual fixed assets costing £500 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight-line basis as follows;

Improvements to leasehold premises Length of the lease Fixtures and fittings 10 years Equipment 3 years

(g) Pensions

The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.

Page 10

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2024

2 Donations and legacies 2024 2023
£ £
Donations and legacies 120,288 75,955
Gift Aid 25,604 17,682
────── ─────
145,892 93,637
═════ ═════
3 Staff costs
Salaries (incl: £14,028, 2023 £9,576 restricted) 103,203 75,162
Pension costs (incl: £402, 2023 £383 restricted) 3,622 2,800
────── ─────
106,825 77,962
═════ ═════

The average number of persons employed was 7 including 3 within Stepping Stones Projects.

4 Activities and events expenditure

Premises costs 9,774 12,512
Depreciation 9,670 9,672
Ministry and outreach 5,549 4,216
Youth & children 3,878 1,217
Events and other activities costs 14,576 12,517
Hospitality 1,456 2,369
Mission and giving 13,320 13,945
Office expenses 2,284 2,025
Equipment 2,130 2,229
Other costs 1,998 2,414
────── ─────
64,635 63,116
══════ ═════
5 Governance and support
Membership & compliance costs 963 773
Insurance 1,038 997
Legal costs 13 2,254
Independent examiners fees - -
─────── ───────
2,014 4,024
═══════ ══════

Page 11

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL SATEMENTS (continued) YEAR ENDED 31 MARCH 2024

6 Fixed assets
Leasehold
Equipment
Total
improvements
& fixtures
£ £ £
Cost
At beginning of year 414,906 11,720 426,626
Additions - - -
Disposals ( -) (
-)
(
-)
─────── ─────── ──────
At end of year 414,906 11,720 426,626
─────── ─────── ──────
Depreciation
At beginning of year 83,233 11,433 94,666
Charge for the year 9,383 287 9,670
On disposals (
-)
( -) (
-)
─────── ─────── ───────
At end of year 92,616 11,720 104,336
─────── ─────── ───────
Net Book Value -31 March 2024 322,290 - 322,290
═══════ ═══════ ═══════
Net Book Value – 31 March 2023 331,673 287
331,960
═══════ ═══════ ══════
7 Debtors 2024 2023
£ £
Gift Aid receivable 9,655 4,693
Amounts due for activities 2,150 1,365
Other debtors 300 783
───── ─────
12,105 6,841
═════ ═════

Page 12

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2024

8 Creditors 2024 2023
£ £
Accruals & other creditors 5,736 6,727
═════ ════
9 Restricted funds
Stepping Other
Leasehold
Total
Stones premises
Income £ £
£
£
Voluntary income 350 1,160
-
1,510
Grants received - -
-
-
Activity income 24,905 2,764
-
27,669
Interest 15 -
-
15
─────── ─────── ─────── ───────
Total 25,270 3,924
-
29,194
─────── ─────── ─────── ───────
Expenditure
Staff costs 14,364 -
-
14,364
Activity costs 1,383 3,660 9,382 14,425
─────── ─────── ─────── ───────
Total 15,747 3,660
9,382
28,789
─────── ─────── ─────── ───────
Net movement in funds 9,523 264
(9,382)
(2,695)
Transfers re internal charges (3,100) -
-
(3,100)
Total funds brought forward 22,068 4,335
182,208
208,611
─────── ─────── ─────── ───────
Total funds carried forward 28,491 4,599
172,826
205,916
═══════ ═══════ ═══════ ═══════
10 Analysis of net assets between funds
Unrestricted Restricted Total
Funds Funds Assets
£ £ £
Fixed assets 126,357
195,933
322,290
Cash and bank balances 89,692
7,440
97,132
Other current assets less liabilities 3,826
2,543
6,369
─────── ─────── ───────
219,875
205,916
425,791
══════════════ ══════

Page 13

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2024

11 Statement of Financial Activities (previous year)

Unrestricted Restricted Total Total
funds funds funds 2022
Notes £ £ £ £
Income
Charitable activities
Donations and gifts 93,562 75 93,637 79,835
Activities and events 7,543 17,309 24,852 15,195
Grants received - 1,655 1,655 7,598
Investment and other income 18,004 9 18,013 14,715
─────── ─────── ─────── ───────
Total 119,109 19,048 138,157 117,343
─────── ─────── ─────── ───────
Expenditure
Charitable activities
Staff costs 68,003 9,959 77,962 60,361
Activities and events 43,992 19,124 63,116 47,154
Governance 4,024 - 4,024 2,434
─────── ─────── ─────── ───────
Total 116,019 29,083 145,102 109,949
────── ─────── ─────── ───────
Net income/(expenditure) 3,090 (10,035) (6,945)
7,394
Transfers between funds 2,998 (2,998) - -
─────── ─────── ─────── ───────
Net movement in funds 6,088 (13,033) (6,945) 7,394
Reconciliation of funds:
Total funds brought forward 161,186 221,644 382,830 375,436
─────── ─────── ─────── ───────
Total funds carried forward 167,274 208,611 375,885 382,830
═══════ ═══════ ═══════ ═══════

Page 14

ARK COMMUNITY CHURCH SUTTON COLDFIELD

NOTES TO THE FINANCIAL STATEMENTS (continued) YEAR ENDED 31 MARCH 2024

12 Restricted funds (previous year)

Stepping Other Leasehold
Total
Stones premises
Income £ £ £ £
Donations and gifts - 718 - 718
Activity income 13,180 4,086 - 17,266
Grants received - 1,055 - 1,055
Interest 9 - - 9
─────── ─────── ─────── ───────
Total 13,189 5,859 - 19,048
─────── ─────── ─────── ───────
Expenditure
Staff costs 9,959 . - - 9,959
Activity costs 724 9,018 9,382 19,124
─────── ─────── ─────── ───────
Total 10,683 9,018 9,382 29,083
─────── ─────── ─────── ───────
Net movement in funds 2,506 (3,159) (9,382) (10,035)
Transfers re internal charges (2,570) (428) - (2,998)
Total funds brought forward 22,132 7,922 191,590 221,644
─────── ─────── ─────── ───────
Total funds carried forward 22,068 4,335 182,208 208,611
═══════ ═══════ ═══════ ═══════

13 Related Party Transactions

Two employees were Trustees during the year and details of their remuneration and expenses under their contracts of employment are as follows;

Stephen Eaves (Pastor) salary £32,220, pension contributions £1,289.

Stephanie Jones (Support project leader) Salary £6,084, pension contributions £243.

None of the Trustees received any remuneration or expenses in respect of their office of trustee and there were no other transactions with related parties.

Page 15