**REGISTERED CHARITY NUMBER: 1161926**
## **TRUSTEES' REPORT AND**
## **CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 FOR**
## **FREEDOM CHURCH HEREFORD CIO**
**(Incorporating Wildfire (Hereford) Limited)**
Gilchrists AB LLP
303 Ballards Lane
London N12 8NP
## **FREEDOM CHURCH HEREFORD CIO**
## **CONTENTS OF THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
||Page|
|---|---|
|Trustees' Report|1 to 9|
|Statement of Trustees Responsibilities|10|
|Report of the Independent Auditors|11 to 13|
|Consolidated Statement of Financial Activities|14|
|Consolidated and Charity Balance Sheet|15|
|Consolidated Cash Flow Statement|16|
|Notes to the Cash Flow Statement|17|
|Notes to the Financial Statements|18 to 36|
|Detailed Statement of Financial Activities|37 to 39|
**FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
The trustees present their report with the financial statements of the group for the year ended 31 March 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 Freedom Church Hereford CIO (Freedom Church) are summarised as follows:
1. The advancement of the Christian religion mainly, but not exclusively by means of: broadcasting Christian messages of an evangelistic and teaching nature; holding meetings; producing or distributing literature about Christianity.
2. The prevention or relief of poverty or financial hardship anywhere in the world by providing or assisting through all the necessary support to help individuals be self-sufficient.
3. To advance in life and help young people through activities, training and support.
4. The relief of persons who are in conditions of need, hardship or distress, or who are aged or sick.
Our mission statement, which captures the essence of these aims is 'connecting anyone anywhere to a life-changing relationship with Jesus'.
Over the past year we have continued to work on the objectives of strengthening the spiritual well-being of our members, building a caring and supportive community around the people of our church, advancing the Christian faith through sharing the gospel more widely and developing the leadership and ministry skills of people in the church.
The Covid-19 pandemic restricted many of our activities during the year, but it also gave rise to new opportunities to benefit local and international communities. It has been a challenging year in many ways, but we are extremely grateful that the negative impact of the pandemic on the CIO and its beneficiaries has not been as great as we initially anticipated. We believe that this is to the credit of our staff and volunteers, the approach that we took and the grace of God.
During the pandemic, our key priorities have been:
- Keeping our people and communities safe
- Continuing to serve and care for people
- Operational adaptation and contingency planning
- Advancing our programs and vision
Our response to the pandemic was led by the directional leadership team, in partnership with the trustees and local pastors. Throughout the challenge and uncertainty, the leadership team remained united and resolute, adapting well to the changing situation.
During periods of lockdown, we operated within the guidelines set out by government, and encouraged our congregations to do the same. Most of our churches gathered physically when this was permitted, except during January to March 2021, when cases were extremely high and vaccination rates were still low. We maintained regular connection with those who were particularly vulnerable, and sought to support families through a variety of initiatives.
At the start of the pandemic, all of our physical gatherings were cancelled and these moved online. Having broadcast our events and content for over 10 years, we were well prepared for this, although some additional investment in new technology was required.
Our support team worked hard to ensure that local leaders remained mentally and spiritually healthy throughout the pandemic. Many leaders had to continue to engage with other employment and homeschooling, while also leading within their church setting. Throughout 2021, we have endeavoured to create space for our leaders to recover.
Although Covid restrictions hindered our usual activities, it was key for us to maintain momentum and to move forward. During the course of the year we launched several new initiatives including OnexOne Funds, Firestarter and Saltwinds. We also made a number of leadership changes in our churches, all of which combined to bring a great sense of unity, excitement and progress.
Our main long term objectives are to:
1. grow our current churches
2. begin new churches, developing and diversifying our approach
3. strategically develop our staff and volunteer teams to support growth
4. increase digital ministries and broadcast capabilities, and increase engagement
5. increase financial stability and strengthen financial planning
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
Freedom Church relies heavily on the contribution of volunteers. Volunteers contribute to almost every aspect of the running of Freedom Church and the delivery of our services, other events and programmes.
We continue to foster strong relationships with churches around the world. During the reporting period we were maintaining close links with sister church communities in Europe, North America, East Africa, South Africa, India and Cambodia. We benefit greatly from these close partnerships, and offer help in a variety of ways, where beneficial.
## **Public benefit**
Core to our approach as a CIO is the objective of generating a public benefit. We continue to do this in all of the areas of our activity. The trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Grantmaking**
Our grant-making policy outlines how grants may be made and the priorities for support. The current priorities for funding are the advancement of the Christian faith within local communities and across the world, and the relief of poverty within local communities and among the world's deprived and needy peoples.
Recipients of grants are chosen based on their adherence to our charitable objects. Grants will be made to fund activities that will allow our objects to be fulfilled.
The objective of our wholly-owned trading subsidiary, Wildfire (Hereford) Limited, is to generate the majority of the CIO's non-donation income. The income from this subsidiary is then used to support the CIO in fulfilling its own objectives and aims.
## **ACHIEVEMENT AND PERFORMANCE**
In this extraordinary year, we have needed to assess our performance in new ways. Attendance at physical events, and other face-to-face contact, has been significantly reduced, and online engagement is notoriously difficult to measure. However, this has still been a year of growth and positive change.
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## **FREEDOM CHURCH HEREFORD CIO**
## **TRUSTEES' REPORT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **ACHIEVEMENT AND PERFORMANCE**
It has always been a part of our church strategy, and our desire, to grow in diversity. It is something we believe in from a theological perspective, as well as being a personal conviction of our leadership team. Throughout 2020, much of the world was moved by global events connected to racism . This was significantly impactful for members of our church and so we dedicated a number of events to this issue. The directional leadership team decided that we need to increase our intentionality and activity in the area of racial diversity within our church. This commitment is one that will be walked out for many years, but as a first step a number of leaders and church members were invited to be a part of a new diversity cluster. Initially, this cluster was asked to assess the current situation, identify opportunities for change or growth, and help create resources to action that change. The four areas of particular focus were: education, leadership, conversation and self-reflection. The cluster includes individuals of different ethnicities and life experiences and has met every two to three weeks for the last year. Their reflections have already shaped a number of changes within our organisation around representation, public communication and leadership training, the latter of these regularly being the highest priority for immediate action. The cluster has created a training program that all of our leaders will undertake in the coming months. This training covers a number of key areas including racism, pastoral care and historical education, and has already been integrated into our leadership academy programs. The team has created three new devotionals to promote learning and change within our congregations, and topics of unity and racism are featured much more throughout out communication. These first sets of resources are in production now, and will be assessed once distributed. The directional leadership team has also established relationships with leaders in this space outside of Freedom Church. This is in part for accountability, and also for wisdom and feedback on developments as we go on the journey. It is important to note that this journey has been challenging and painful for some involved in the cluster. Discussing these issues can be very testing, and part of the learning for us is to provide more pastoral support for those involved. These adjustments are being made and gladly received. There is great potential for positive change, but this remains a deeply sensitive subject. We are doing our best to navigate that challenge with grace, respect and honesty.
We established the Everyone Matters Fund (EMF) in April 2020 to provide financial or practical support to people impacted by covid-19 who had limited or no other help available to them. The fund was governed by a grant-making policy, with funding decisions taken by a group of leaders in the church. A collection was taken to offer small grants for the following purposes: to provide cash payments to replace basic income that had been lost; to provide money to buy food and other essentials (eg electricity, medication, etc); to provide financial support to enable access to medical treatment; and to provide support for other essential practical needs not described above. The EMF raised a total of £107,000 and provided support to around 12,300 people. 214 grants were made to grantees in 18 countries. Around sixty percent of the grantees were not part of Freedom Church, and had no previous connection to or involvement with the church. The expenses of running the fund were approximately 2.5% of income, and all costs related to financial transactions. It was a profound joy to all of us during that time of great uncertainty and financial pressure, our church community responded with exceptional generosity to provide help and support to people impacted by Covid-19.
Motivated by biblical teaching to care for those in need and pursue justice, Freedom Church has extended support to a range of individuals, communities, charities and causes since its inception. In 2019, our leadership team began a conversation about wanting to see this support increase significantly in the future, reflecting a strong passion within the church to make a significant, practical impact on the lives of people in need. To this end, the decision was taken to set up OnexOne Funds (pronounced 'one by one') as a separate UK charity. OnexOne Funds exists to impact lives through generosity, one by one through mobilizing a community of generous givers, and making grants to a range of charity and non-governmental organisation partners. OnexOne Funds is registered as a charity in England and Wales (number 1190709). The church continues to support the work of OnexOne Funds.
Freedom Heroes is a ministry of Freedom Church that resettles children living on the streets in Kampala, Uganda, back into their families. Freedom Church raises support for this ministry, with all of the practical care (eg education, social work) provided by or through Abaana Ministries in Uganda. In light of the establishing of OnexOne Funds, the decision was taken to pass over this project to the new charity. Freedom Church continues to promote this ministry to see funds raised for the Heroes project. Today these funds are helping to educate 17 boys and young men in Uganda. Over the years, the support provided to Freedom Heroes has cared for, educated and resettled back into families dozens of children in Uganda. We have also helped fund practical ministry to hundreds of other children living on the streets in Uganda through the Street School and Street Church projects (eg feeding programme, emergency health care, social work, etc).
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
The Covid-19 pandemic presented a significant challenge to the organisation of our annual gathering, The Cave. The event was originally scheduled for May 2020, but was postponed due to lockdown restrictions. Having considered cancelling The Cave altogether, after much deliberation it was felt that the event was too important not to run due to the new vision that we felt it imperative to launch, and in order to create momentum for our congregations. Physical gatherings were permitted in October 2020, but the attendance limit was significantly reduced. We therefore adapted the event to be broadcast focused, and opened up all of our UK church venues as streaming sites for those who wanted to gather. In addition, we provided an online experience for those who couldn't or did not want to attend in person. The event was a huge success and something that was absolutely worth the investment of time and effort. Whether people engaged digitally or physically, the feedback was entirely positive.
During this accounting period, we launched Firestarter, a ministry focused on empowering people to launch new churches worldwide. The mission of Firestarter is to build a global community that inspires, supports and equips Freedom Church planters to reach the ends of the earth. By 31 March 2021, Firestarter consisted of 19 Firestarter churches, in nine different countries.
Prior to the 2020-21 financial year, we had been discussing strategy changes in a number of locations due to the fact that some churches were not growing under the current approach. We were also anticipating the relocation of some of our leaders due to family and job changes, and new responsibilities and focus. Therefore, at different points in the year, both the Birmingham and Glasgow churches changed to become Firestarter churches. This has been well received, and the Firestarter team has continued to invest in and support the new leaders. The main change is the way in which those locations meet, that being in several homes or smaller venues, rather than a single larger gathering.
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**FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
## **FINANCIAL REVIEW**
The main sources of funding for Freedom Church are donations and, to a lesser extent, trading activities.
Due to uncertainty about the impact of Covid-19 on donation income, expenditure was restricted to essential items only, and the planned April 2020 pay increase was postponed. The church does not carry out external fundraising activities, but relies on donation income from its members. Various forecasts were produced over the course of the year to model the impact of reduced donations and assist with financial planning. In reality we were anticipating a significant deficit at the end of the financial year. However, over the course of the pandemic, donation income dipped only marginally and recovered strongly by March 2021.
On the advice of our accountants, Freedom Church continues to run a trading subsidiary for the majority of its non-donation income generating activities. The CIO owns and rents property that can be leased or rented to others, and these trading activities provide a valuable source of income. As a wholly-owned trading subsidiary, Wildfire (Hereford) Limited will continue to donate all of its profits to Freedom Church Hereford.
The pandemic led to a significant reduction in income at our Forge site in Hereford. All wedding bookings were cancelled, applications for the residential leadership academy were significantly reduced, and a rent reduction was offered to a key tenant following concern about the organisation's financial sustainability. In addition, works were carried out to repair damage caused by a flood in February 2020 and mitigate the impact of future flood events. This was a complex £200,000 project, combining insurance-funded reinstatement and borrowing-funded additional works, with the majority of the work taking place in the post balance sheet period. The two existing NatWest loans were consolidated in May 2021, and an additional £120,000 was secured to finance the church's share of the project costs.
Our venues were empty for much of the year, but in most cases rent was still payable. Negotiations with landlords had mixed success, however throughout the year we were able meet all of our rental obligations and maintain our buildings ready for regathering. We were pleased to be able to offer our facility in Worcester to the local foodbank for much of the year to support their need for additional storage. Not gathering physically did lead to reduced expenditure in some areas, which provided a degree of financial margin.
With the exception of our cleaning team, who were furloughed, all other staff were retained as they were required to support the work of the CIO throughout the year. The postponed April 2020 pay increase was implemented later in the year once the impact of the pandemic on donation income was clearer. It was deemed wise to continue to take small steps forward, rather than face a more significant increase in April 2021.
Overall, we are incredibly grateful for the amazing effort put in by our staff, volunteers and congregations. We hear regularly about churches that have struggled more significantly in this last season. It is humbling to know that to date we have come through well, but we are continuing to be vigilant, proactive and intentional as we are aware that Covid-19 may have further financial impact.
The trustees apply the funds of Freedom Church Hereford at their discretion and in accordance with the charitable purposes and objectives of the CIO. Our grant-making policy outlines how grants may be made and the priorities for support. The current priorities for funding are the advancement of the Christian faith within local communities and across the world, and the relief of poverty within local communities and among the world's deprived and needy peoples. The primary recipients of grant funding in this financial year were the EMF beneficiaries, and funds were used for the relief of persons who were in conditions of need, hardship or distress.
Freedom Church originally invested £100,000 in eTravelSafety Ltd, which was impaired to £72,939 in March 2020 during audi due to the financial statements of the company having reduced in value. eTravelSafety Ltd was purchased by Mentor Group Ltd in July 2020, and the eTravelSafety Ltd shareholders formed Arphaxad Ltd to hold shares in Mentor Group Ltd, creating an indirect ownership. At 31/12/2020, the Balance Sheet of Mentor Group was £2,750,199, with a total shareholding of 47,231. Arphaxad Ltd owned 1,389 shares at this point, and Freedom Church is a 315/1000 shareholder in Arphaxad Ltd. As a result of these changes, Freedom Church's shareholding in Mentor Group Ltd, via Arphaxad Ltd, has been further impaired to £25,470.
## **Reserves Policy**
The trustees of Freedom Church Hereford recognise the importance of a reserves policy to help demonstrate good stewardship and financial management. Our policy is to retain sufficient reserves to ensure that the charity has sufficient funds to meet its financial commitments, to demonstrate that the charity is sustainable into the future, to ensure that the charity is able to manage future unforeseen financial difficulties, and to ensure that excessive funds are not held without any identifiable reason or for any identifiable purpose. The CIO has designated £70,000 of its cash as reserves. That being approximately two months' of staff and lease expenditure. Our cash reserves have so far been unaffected by the pandemic, and due to careful monitoring and management of income and expenditure the trustees consider that there is no impact on Freedom Church as a going concern.
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
## **FUTURE PLANS**
The CIO remains focused on developing our core activities which strengthen spiritual well-being, build caring and supportive communities, advance the Christian faith and develop leadership and ministry skills. We will also continue to navigate the impact of Covid-19 on our organisation. There have been no other significant events in the post balance sheet period
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
Freedom Church Hereford, a Charitable Incorporated Organisation (CIO), is the registered vehicle for the movement of churches known as Freedom Church. On 1 July 2015, Freedom Church transferred its operations from the Freedom Church Hereford Charitable Trust (1008459) to the Freedom Church Hereford CIO (1161926). The CIO has adopted a foundation model constitution. This is the fifth annual report of the CIO. Trustees of Freedom Church Hereford are recruited and appointed from within the organisation's membership.
The board of trustees are focussed on ensuring that Freedom Church meets its aims in an appropriate, legal and accountable manner, and to this end the trustees provide governance oversight to the church's directional leadership team (DLT) and directors, who in turn work with leaders across our locations and departments to meet our objectives. Trustees are recruited from the church's membership for an initial term of three years by a resolution passed at a properly convened meeting of the charity trustees. In selecting individuals for appointment, the trustees must have regard to the skills, knowledge and experience needed for the effective administration of the CIO. All new trustees are provided with the Charity Commission's guidance on the duties of a trustee, and work is currently being undertaken to develop a comprehensive induction and training programme.
A large number of the decisions relating to the CIO are made by the directional leadership team and directors, but are subject to the accountability, approval and oversight of the board of trustees. The board of trustees make all decisions relating to remuneration of our staff team and other key areas. At present, the CIO is working to implement a pay increase proposal for all staff put forward by the trustees in 2015 that was not possible at the time due to financial constraints. This plan will see pay increase to the level proposed by the trustees by April 2024, taking into account inflation, although it is subject to review every year.
Safeguarding is a priority for Freedom Church, and during this year we have taken significant steps to ensure the safety and protection of everyone who accesses our various ministries. The trustees have a clear understanding that they are collectively and individually accountable for how the CIO safeguards adults, children and young people who engage with us, as well as our staff and volunteers. We have introduced an induction safeguarding input for all volunteers across Freedom Church to ensure a basic level of safeguarding awareness. This has been complemented with safeguarding coordinator and trustee training, and the development of new resources to support staff and volunteers and raise awareness within our congregations. The CIO will undertake a series of assurance reviews in early 2022 to self-assess safeguarding delivery against agreed safeguarding criteria and measure itself against a local authority Section 11 self-assessment. We continue to prioritise safeguarding and have identified five priority areas as part of our safeguarding plan moving forward: tiered learning and development; concern management; digital modular policy development; international and Firestarter; and assurance and due diligence.
## **Recruitment and appointment of new trustees**
Trustees are recruited from the church's membership, with consideration being made of their relevant professional experience.
## **Induction and training of new trustees**
All new trustees are provided with the Charity Commission's guidance on the duties of a trustee.
## **Key management remuneration**
The board of trustees makes all decisions relating to remuneration of our staff team and have benchmarked salaries against equivalent roles in other sectors.
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **Financial instruments**
## Objectives and policies
The CIO's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the CIO's policies approved by the board of trustees, which provide written principles on the use of financial derivatives to manage these risks. The CIO does not use derivative financial instruments for speculative purposes.
## Credit risk
The CIO's principal financial assets are bank balances and cash, trade and other receivables, and investments. The CIO's credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows.
The credit risk on liquid funds and derivative financial instruments is limited because the counterparties are banks with high credit-ratings assigned by international credit-rating agencies. The CIO has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers.
## Liquidity risk
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the charity uses a mixture of long-term and short-term debt finance.
Further details regarding liquidity risk can be found in the Statement of accounting policies in the financial statements.
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
## **Disclosure of information to auditor**
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
## **Reappointment of auditor**
In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Gilchrists AB LLP as auditors of the charity is to be proposed at the forthcoming Annual General Meeting.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Registered Charity number**
1161926
## **Principal address**
The Forge 161 Holme Lacy Road Hereford Herefordshire HR2 6DG
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## **FREEDOM CHURCH HEREFORD CIO TRUSTEES' REPORT FOR THE YEAR ENDED 31 MARCH 2021**
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Trustees**
Mr A J M Rattenbury Mrs M A Cooke Mr R Sallis Mr J S Dyson
## **Auditors**
Gilchrists AB LLP 303 Ballards Lane North Finchley London N12 8NP
## **Senior Management Team**
Mr Gary Snowzell, Senior Pastor Mrs Heather Snowzell, Senior Pastor Mr Kris Coppock, Executive Pastor Mr David Thomas, Locations Pastor Mr Joshua Snowzell, Pastor Mr Jeremy Hailwood, Operations Director
## **EVENTS SINCE THE END OF THE YEAR**
Information relating to events since the end of the year is given in the notes to the financial statements
Approved by order of the board of trustees on __23/06/2022__ and signed on its behalf by:
Ryan Sallis (Jun 23, 2022 12:38 GMT+1)
Mr R Sallis - Trustee
Andrew Rattenbury (Jun 23, 2022 11:34 GMT+1)
Mr A J M Rattenbury - Trustee
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## **FREEDOM CHURCH HEREFORD CIO**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2021**
The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial 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, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
* state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
* prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.
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## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF FREEDOM CHURCH HEREFORD CIO (THE PARENT ORGANISATION) AND ITS SUBSIDIARY**
## **Opinion**
We have audited the financial statements of Freedom Church Hereford CIO (the 'charity') for the year ended 31 March 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Consolidated Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
* give a true and fair view of the state of the group's and the parent charity's affairs as at 31 March 2021 and of the group's incoming resources and application of resources, for the year then ended;
* have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
* have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Trustees' Report is inconsistent in any material respect with the financial statements ; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
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## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF FREEDOM CHURCH HEREFORD CIO**
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
## **Extent to which the audit considered capable of detecting irregularities, including fraud**
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
We considered the nature of the Company's/Group's industry and its control environment and reviewed the Company's / Group's documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We are enquired of management about their own identification and assessment of the risks of irregularities.
We obtained an understanding of the legal and regulatory framework that the Company/ Group operates in and identified the key laws and regulations that:
* had a direct effect on the determination of the material amounts and disclosures in the financial statements. These included UK Companies Act, pensions legislations, tax legislations, financial conduct authority regulations: and
* do not have a direct effect on the financial statements, but compliance with which may be fundamental to the Company's/Group's ability to operate or to avoid a material penalty.
We discussed among the audit engagement team regarding the opportunities and incentives that may exist within the organisation for fraud, and how and where fraud might occur in the financial statements.
In common with all audits under the ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.
In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments: assessed whether the judgements made in making accounting estimates are indicative of a potential bias: and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.
In addition to the above, our procedures to respond to the risks identified included the following:
* reviewing financial statement disclosures by testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having direct effect on the financial statements:
- Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of
- material misstatement due to fraud:
* Enquiring of management, concerning actual and potential litigation and claims, and instances of non-compliances with laws and regulations: and
* Reading minutes of meetings of those charged with governance.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
12
## **REPORT OF THE INDEPENDENT AUDITORS TO THE TRUSTEES OF FREEDOM CHURCH HEREFORD CIO**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
George Christodoulou (Senior Statutory Auditor)
For and on behalf of Gilchrists AB LLP, statutory auditor Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006 303 Ballards Lane
London N12 8NP
Date: 23/06/2022
13
## **FREEDOM CHURCH HEREFORD CIO**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021**
|Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
3
**Charitable activities**
6
Funding for the academy's educational operations
Facilities
Heart & Soul
Other trading activities
4
Investment income
5
Other income
**Total**
**EXPENDITURE ON**
Raising funds
7
**Charitable activities**
8
Media
Academy
Heart for Africa
Worship
Heroes
Ark
Events
Guest Services
Facilities
Directional Leadership Team
Finance
Human Resources
International
IT
Kids
Location(s)
Next Steps
Office
Production
Zeal
Heart & Soul
Momentum
Firestarter
Everyone Matters Fund
Other
**Total**
Net gains/(losses) on investments
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**TOTAL FUNDS CARRIED FORWARD**|31.3.21
31.3.20
Unrestricted
Restricted
Total
Total
fund
fund
funds
funds
£
£
£
£
777,360
130,168
907,528
862,346
32,446
32,446
59,854
28,641
28,641
63,120
1,250
1,250
2,375
70,609
70,609
152,058
9,346
9,346
424
4,157
4,157
95,043
923,809
130,168
1,053,977
1,235,220
-
657
45,296
45,296
38,928
29,169
29,169
44,431
126
126
-
4,721
4,721
6,122
1,541
11,152
12,693
34,480
7,829
7,829
-
19,233
19,233
54,263
899
899
13,354
321,556
321,556
441,370
127,161
127,161
138,213
82,414
82,414
75,329
1,530
1,530
1,181
28,941
28,941
110,058
27,232
27,232
36,343
16,292
16,292
21,867
123,855
123,855
120,352
6,964
6,964
6,438
1,534
1,534
1,889
15,674
15,674
23,453
6,791
6,791
14,409
-
-
230
827
827
51
62
62
-
-
107,792
107,792
-
5,146
5,146
11,438
874,793
118,944
993,737
1,194,199
46,382
-
217,761
171,379
27,207
-
2,634
228,985
231,619
13,157
73,673
-
1,108,948
1,035,275
1,022,118
71,039
-
1,337,933
1,266,894
1,035,275|
|---|---|
-
The notes form part of these financial statements
14
## **FREEDOM CHURCH HEREFORD CIO**
## **CONSOLIDATED AND CHARITY BALANCE SHEETS**
## **AT 31 MARCH 2021**
|Notes
**FIXED ASSETS**
Tangible assets
15
Investments
16
**CURRENT ASSETS**
Debtors
17
Cash at bank and in hand
**CREDITORS**
Amount falling due within one year
18
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**CREDITORS**
Amount falling due after more than
19
one year.
**NET ASSETS/(LIABILITIES)**
**FUNDS**
23
Unrestricted funds
Restricted funds|Unrestricted
Restricted
fund
fund
£
£
136,796
1,326,711
26,557
-
163,353
1,326,711
76,561
-
294,072
11,224
370,633
11,224
112,735
-
-
257,898
11,224
421,251
1,337,935
492,292
-
-
71,041
-
1,337,935|31.3.21
31.3.20
Total
Total
funds
funds
£
£
1,463,507
1,263,722
26,557
72,939
1,490,064
1,336,661
76,561
128,443
305,296
266,441
381,857
394,884
112,735
-
166,226
-
269,122
228,658
1,759,186
1,565,319
492,292
-
530,044
-
1,266,894
1,035,275
71,041
-
73,673
-
1,337,935
1,108,948
1,266,894
1,035,275|Unrestricted
Restricted
fund
fund
£
£
136,607
1,326,711
26,657
-
163,264
1,326,711
68,688
-
268,185
11,224
336,873
11,224
107,269
-
-
229,604
11,224
392,868
1,337,935
492,292
-
-
99,424
-
1,337,935
31.3.21
_Charity Only_|Total
£
1,463,318
26,657
1,489,975
68,688
279,409
348,097
107,269
-
240,828
1,730,803
492,292
-
1,238,511
99,424
-
1,337,935
1,238,511|
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees on _23/06/2022_ and were signed on its behalf by:
Ryan Sallis (Jun 23, 2022 12:38 GMT+1) Mr R Sallis - Trustee
Andrew Rattenbury (Jun 23, 2022 11:34 GMT+1) Mr A J M Rattenbury - Trustee
15
## **FREEDOM CHURCH HEREFORD CIO**
## **CONSOLIDATED CASH FLOW STATEMENT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|Notes
**Cash flows from operating activities:**
Cash generated from operations
1
Interest paid
**Net cash provided by (used in)**
**operating activities**
**Cash flows from investing activities:**
Purchase of tangible assets
Sale of tangible fixed assets
Interest received
**Net cash provided by (used in)**
**investing activities**
**Cash flows from financing activities:**
New Loans in year
Loan repayments in year
**Net cash provided by (used in)**
**financing activities**
**Other adjustment**
**Change in cash and cash equivalents**
**in the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end**
**of the reporting period**|31.03.21
31.03.20
£
£
103,389
48,791
14,728
-
19,453
-
88,661
29,338
13,181
-
20,144
-
1,071
225,591
56
324
12,054
-
205,771
-
37,752
-
44,291
-
37,752
-
44,291
-
28,521
38,855
219,339
266,441
47,102
305,296
266,441|
|---|---|
The notes form part of these financial statements
16
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income/(expenditure) for the reporting period**
**(as per statement of financial activities)**
**Adjustments for:**
Depreciation charges
Gain/(Loss) on investments
Loss/(profit) on disposal of fixed assets
Interest received
Interest paid
Dividends received
Cash and cash equivalents
Decrease in debtors
(Decrease)/increase in creditors
Difference between pension charge and cash contributions
**Net cash provided by (used in ) operating activities**
**2. ANALYSIS OF CASH AND CASH EQUIVALENTS**
Cash in hand
Notice deposits (less than 3 months)
Overdrafts included in bank loans and overdrafts falling due within one year|31.03.21
31.03.20
£
£
231,619
13,154
30,263
56,761
171,379
-
27,207
177
-
71,737
-
56
-
324
-
14,728
19,453
178
95
51,882
15,765
53,490
-
11,439
-
179
-
144
-
103,389
48,791
31.03.21
31.03.20
£
£
1,328
1,943
303,968
264,498
-
305,296
266,441|
|---|---|
17
## **FREEDOM CHURCH (HEREFORD) CIO**
## **NOTES TO THE FINANCIAL STATEMENTS**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **1 CHARITY STATUS**
The charity is a Charitable Incorporated Organisation.
The presentation currency for the reporting entity is Great British Pounds (GBP).
## **2 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 with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Freedom Church Hereford CIO meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes. The financial statements are prepared in sterling which is the functional currency of the charity. Comparative information relates to the year ended 31 March 2020.
## **Summary of significant accounting policies and key accounting estimates**
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## **Group financial statements**
The financial statements consolidate the results of the Charity and its wholly owned subsidiary Wildfire (Hereford) Limited on a line-by-line basis. A separate Statement of Financial Activities and Income and Expenditure Account for the Charity has not been presented because the Charity has taken advantage of the exemption afforded by Section 408 of the Companies Act 2006.
## **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.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Raising funds**
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
## **Charitable activities**
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees' meetings and reimbursed expenses.
18
## **FREEDOM CHURCH HEREFORD CIO NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **2 ACCOUNTING POLICIES - continued**
## **Tangible fixed assets - capitalisation**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Improvements to property -33% on cost Fixtures and fittings -20% on reducing balance Motor vehicles -25% on reducing balance Computer/PA equipment -33% on cost
Individual fixed assets costing £500.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses. In previous years, the charity's policy has been to capitalise fixed assets costing £250.00 or more; it was deemed more manageable and reasonable to increase this to £500.00 from 2019 onwards.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Fund structure**
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.
## **Hire purchase and leasing commitments**
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
## **Pension costs and other post-retirement benefits**
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
19
## **FREEDOM CHURCH (HEREFORD) CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **2 ACCOUNTING POLICIES - continued**
## **Trade debtors**
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Trade creditors**
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
## **Borrowings**
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
## **Financial instruments**
## Classification
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
## Recognition and measurement
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
20
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **2 ACCOUNTING POLICIES - continued**
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
## Debt instruments
Debt instruments which meet the following conditions are subsequently measured at amortised cost using the effective interest method:
(a) The contractual return to the holder is (i) a fixed amount; (ii) a positive fixed rate or a positive variable rate; or (iii) a combination of a positive or a negative fixed rate and a positive variable rate.
(b) The contract may provide for repayments of the principal or the return to the holder (but not both) to be linked to a single relevant observable index of general price inflation of the currency in which the debt instrument is denominated, provided such links are not leveraged.
(c) The contract may provide for a determinable variation of the return to the holder during the life of the instrument, provided that (i) the new rate satisfies condition (a) and the variation is not contingent on future events other than (1) a change of a contractual variable rate; (2) to protect the holder against credit deterioration of the issuer; (3) changes in levies applied by a central bank or arising from changes in relevant taxation or law; or (ii) the new rate is a market rate of interest and satisfies condition (a).
(d) There is no contractual provision that could, by its terms, result in the holder losing the principal amount or any interest attributable to the current period or prior periods.
(e) Contractual provisions that permit the issuer to prepay a debt instrument or permit the holder to put it back to the issuer before maturity are not contingent on future events, other than to protect the holder against the credit deterioration of the issuer or a change in control of the issuer, or to protect the holder or issuer against changes in levies applied by a central bank or arising from changes in relevant taxation or law.
(f) Contractual provisions may permit the extension of the term of the debt instrument, provided that the return to the holder and any other contractual provisions applicable during the extended term satisfy the conditions of paragraphs (a) to (c).
Debt instruments that are classified as payable or receivable within one year on initial recognition and which meet the above conditions are measured at the undiscounted amount of the cash or other consideration expected to be paid or received, net of impairment.
With the exception of some hedging instruments, other debt instruments not meeting these conditions are measured at fair value through profit or loss.
Commitments to make and receive loans which meet the conditions mentioned above are measured at cost (which may be nil) less impairment.
## Investments
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment.
Investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.
21
**FREEDOM CHURCH HEREFORD CIO NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **3 DONATIONS AND LEGACIES**
|General
Restricted
Donations
639,439
120,655
Insurance claims
38,728
-
Gift Aid
94,394
9,512
Grants
4,800
-
777,361
130,167
Grants received, included in the above, are as follows:
Local Council
**4 OTHER TRADING ACTIVITIES**
Resources sales
Café income
Media production
Events & conferencing
**5 INVESTMENT INCOME**
Rents received
Deposit account interest
Interest recevable-trading|31.03.21
31.03.20
Total
£
£
760,094
733,630
38,728
25,350
103,906
103,366
4,800
-
907,528
862,346
31.03.21
31.03.20
£
£
4,800
-
4,800
-
31.03.21
31.03.20
£
£
551
100
177
10,843
729
10,155
69,152
130,960
70,609
152,058
31.03.21
31.03.20
£
£
9,290
100
-
-
56
324
9,346
424|
|---|---|
22
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS -CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **6 INCOME FROM CHARITABLE ACTIVITIES**
|**Activity**
Academy income
Academy
Academy rental income
Facilities
Academy income
Heart & Soul
**RAISING FUNDS**
**Other trading activities**
Purchases|31.03.21
31.03.20
£
£
32,446
59,854
28,641
63,120
1,250
2,375
62,337
125,349
31.03.21
31.03.20
£
£
-
657|
|---|---|
## **7 RAISING FUNDS Other trading activities**
## **8 CHARITABLE ACTIVITIES COSTS**
|Media
Academy
Heart for Africa
Worship
Heroes
Ark
Events
Guest Services
Facilities
Directional Leadership Team
Finance
Human Resources
International
IT
Kids
Location(s)
Next steps
Office
Production
Zeal
Momentum
Firestarter
Everyone Matters Fund
Other|Direct costs
Support costs
Totals
(see note 10)
£
£
£
44,726
570
45,296
28,861
308
29,169
100
26
126
3,544
1,177
4,721
11,152
1,541
12,693
160
7,669
7,829
16,455
2,778
19,233
899
-
899
310,985
10,571
321,556
127,161
-
127,161
55,449
26,965
82,414
583
947
1,530
28,941
-
28,941
22,558
4,674
27,232
16,213
79
16,292
122,969
886
123,855
6,950
14
6,964
1,534
-
1,534
15,375
299
15,674
6,779
12
6,791
827
-
827
62
62
107,792
-
107,792
5,146
5,146
935,159
58,578
993,737|
|---|---|
23
## **FREEDOM CHURCH HEREFORD CIO NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **9 GRANTS PAYABLE**
|International
Location(s)|31.3.21
31.3.20
28,941
52,429
-
600
28,941
53,029|
|---|---|
Grants are paid to churches that the Charity have helped to establish at the discretion of the trustees. The funds paid are used to further the charitable objectives of the Charity.
Due to their nature, there are no criteria for repayment.
During the reporting period, the grants paid to overseas campuses total £28,941 - this is split between the following campuses:
|Freedom Church Raleigh|28,941
**28,941**|
|---|---|
## **10 SUPPORT COSTS**
|Media
Academy
Heart for Africa
Worship
Heroes
Ark
Events
Guest Services
Facilities
Directional Leadership Team
Finance
Human Resources
International
IT
Kids
Location(s)
Next steps
Production
Zeal
Firestarter|Information
Governance
Finance
technology
costs
Totals
£
£
£
£
48
522
-
570
126
182
-
308
26
-
-
26
3
1,174
-
1,177
374
1,167
-
1,541
84
7,585
-
7,669
1,491
1,287
-
2,778
-
45
15
10,511
10,571
-
6,128
1,070
19,767
26,965
-
747
200
947
-
23
4,651
-
4,674
-
79
-
79
159
-
1,045
-
886
-
14
-
14
-
299
-
299
-
12
-
12
62
-
-
62
8,251
19,849
30,478
58,578|
|---|---|
24
**NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
**FOR THE YEAR ENDED 31 MARCH 2021**
## **FREEDOM CHURCH HEREFORD CIO**
## **11 AUDITORS' REMUNERATION**
31.03.21 31.03.20 Fees payable to the charity's auditors for the audit of the charity's 8,352 6,090
financial statements
The charity has entered into a liability limitation agreement with its auditors, with the total aggregate liability to Gilchrists AB LLP being limited to £2,000,000
The date of the resolution approving this agreement was 24th November 2020.
## **12 TRUSTEES' REMUNERATION AND BENEFITS**
During the year the charity made the following transactions with trustees:
## **Mr Andrew James Martyn Rattenbury**
Mr Andrew James Martyn Rattenbury received remuneration of £Nil (2020: £Nil) and £Nil (2020: £Nil) of expenses were reimbursed to Mr Andrew James Martyn Rattenbury during the year.
At the balance sheet date, the amount owed to Mr Andrew James Martyn Rattenbury was £Nil (2020: £Nil)
## **Mrs Megan Alexandra Cooke**
Mrs Megan Alexandra Cooke received remuneration of £Nil (2020: £Nil) and £Nil (2020: £Nil) of expenses were reimbursed to Mrs Megan Alexandra Cooke during the year.
At the balance sheet date, the amount owed to Mrs Megan Alexandra Cooke was £Nil (2020: £Nil).
## **Mr Ryan Sallis**
Mr Ryan Sallis received remuneration of £Nil (2020: £Nil) and £Nil (2020: £741.70) of expenses were reimbursed to Mr Ryan Sallis during the year.
At the balance sheet date, the amount owed to Mr Ryan Sallis was £Nil (2020: £36.65).
## **Mr James Stuart Dyson (appointed 24.04.2019)**
Mr James Stuart Dyson received remuneration of £Nil (2020: £Nil) and £Nil (2020: £Nil) of expenses were reimbursed to Mr James Stuart Dyson during the year.
At the balance sheet date, the amount owed to Mr James Stuart Dyson was £Nil (2020: £Nil) .
## **Trustees' expenses**
As detailed above
25
**FREEDOM CHURCH HEREFORD CIO**
**13**
**14**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **STAFF COSTS**
|Wages and salaries
Social security costs
Other pension costs|31.03.21
31.03.20
£
£
339,439
347,240
16,585
17,034
8,904
8,793
364,928
373,067|
|---|---|
The average monthly number of employees during the year was as follows:
|Staff
Academy
DLT
Events
Facilities
Finance
Kids
Location
Media
Zeal|31.03.21
31.03.20
3
3
5
6
4
21
4
4
3
3
1
1
6
6
1
1
1
1
28
46|
|---|---|
No employees received emoluments in excess of £60,000
Total remuneration paid to the 4 key management personnel was £90,364, including employers NI and pension contributions. No individual was paid more than £30,000 gross salary.
No benefits in kind were paid to any employees.
## **COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**Charitable activities**
Funding for the academy's educational
operations
Facilities
Heart & Soul
Other trading activities
Investment income
Other income|Unrestricted
Restricted
Total
fund
fund
funds
£
£
£
794,699
67,647
862,346
59,854
-
59,854
63,120
-
63,120
2,375
-
2,375
152,058
-
152,058
424
-
424
95,043
-
95,043|
|---|---|
|**Total**|1,167,573
67,647
1,235,220|
26
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|**14**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
Unrestricted
Restricted
Total
fund
fund
funds
£
£
£
**EXPENDITURE ON**
Raising funds
657
-
657
**Charitable activities**
Media
38,928
-
38,928
Academy
44,431
-
44,431
Worship
6,122
-
6,122
Heroes
5,425
29,055
34,480
Events
54,263
54,263
Guest services
13,354
-
13,354
Facilities
441,370
-
441,370
Directional Leadership Team
138,213
-
138,213
Finance
71,763
3,566
75,329
Human Resources
1,181
-
1,181
International
67,949
42,109
110,058
IT
36,343
-
36,343
Kids
21,867
-
21,867
Location(s)
120,352
-
120,352
Next Steps
6,438
-
6,438
Office
1,889
-
1,889
Production
23,453
-
23,453
Zeal
14,409
-
14,409
Heat & Soul
230
230
Momentum
51
51
Other
11,438
11,438|**14**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
Unrestricted
Restricted
Total
fund
fund
funds
£
£
£
**EXPENDITURE ON**
Raising funds
657
-
657
**Charitable activities**
Media
38,928
-
38,928
Academy
44,431
-
44,431
Worship
6,122
-
6,122
Heroes
5,425
29,055
34,480
Events
54,263
54,263
Guest services
13,354
-
13,354
Facilities
441,370
-
441,370
Directional Leadership Team
138,213
-
138,213
Finance
71,763
3,566
75,329
Human Resources
1,181
-
1,181
International
67,949
42,109
110,058
IT
36,343
-
36,343
Kids
21,867
-
21,867
Location(s)
120,352
-
120,352
Next Steps
6,438
-
6,438
Office
1,889
-
1,889
Production
23,453
-
23,453
Zeal
14,409
-
14,409
Heat & Soul
230
230
Momentum
51
51
Other
11,438
11,438|
|---|---|
||1,120,126
74,730
1,194,856|
|Net gains/(losses) on investments
**NET INCOME/(EXPENDITURE)**|27,207
-
-
27,207
-
20,240
7,083
-
13,157|
|**RECONCILIATION OF FUNDS**
**Total funds brought forward**|93,913
-
1,116,031
1,022,118|
|**TOTAL FUNDS CARRIED FORWARD**|73,673
-
1,108,948
1,035,275|
27
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **15 TANGIBLE FIXED ASSETS**
|**COST**
At 1 April 2020
Additions
Disposals
Revaluations
At 31 March 2021
**DEPRECIATION**
At 1 April 2020
Charge for year
Eliminated on disposal
At 31 March 2021
**NET BOOK VALUE**
At 31 March 2021
At 31 March 2020
**COST**
At 1 April 2020
Additions
Disposals
Revaluations
At 31 March 2021
**DEPRECIATION**
At 1 April 2020
Charge for year
Eliminated on disposal
At 31 March 2021
**NET BOOK VALUE**
At 31 March 2021
At 31 March 2020|Fixtures and
fittings
£
68,222
778
669
-
-
68,331
40,687
5,734
340
-
46,081
22,250
27,535|Freehold
Improvements
Plant and
property
to property
machinery
£
£
£
1,197,238
280,286
3,565
-
-
-
-
-
-
217,762
-
-
1,415,000
280,286
3,565
-
275,354
1,964
-
4,932
388
-
-
-
-
280,286
2,352
1,415,000
-
1,213
1,197,238
4,932
1,601
Motor
Computer/PA
Vehicles
equipment
Totals
£
£
£
2,564
183,043
1,734,918
1,945
10,457
13,180
-
10,123
-
10,792
-
-
-
217,762
4,509
183,377
1,955,068
921
152,271
471,197
776
18,432
30,262
-
9,558
-
9,898
-
1,697
161,145
491,561
2,812
22,232
1,463,507
1,643
30,772
1,263,721|
|---|---|---|
The Forge, 161 Holme Lacy Road, Hereford, HR2 6DG was valued on an open market basis on 14/01/2021 by Savilles (UK) Limited.
28
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **16 FIXED ASSET INVESTMENTS**
|**MARKET VALUE**
At 1 April 2020
Revaluations
Impairments
At 31 March 2021
**NET BOOK VALUE**
At 31 March 2021
At 31 March 2020|Unlisted
investments
Totals
£
£
72,939
72,939
1,087
1,087
47,469
-
47,469
-
26,557
26,557
26,557
26,557
72,939
72,939|
|---|---|
There were no investment assets outside the UK.
During the period, Freedom Church Hereford CIO incurred impairment losses of £47,469 (2020: £27,297) on their investment in Mentor Group Limited (formerly eTravel Safety Limited, prior to aquisition). This impairment was written off to the Statement of Financial Activities during the reporting period.
The investment into Mentor Group Limited was noted to be impaired upon inspection of its 31st December 2020 Financial Statements, and comparing the share of assets held as compared to the Balance Sheet.
It should be noted that Freedom Church Hereford CIO still expect to sell the shares at a value close to or in excess of the original investment.
During the period, Freedom Church Hereford CIO have revalued their small investments in crypto currencies to represent the growth during the reporting period.
## **17 DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade debtors
Other debtors
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Bank loans and overdrafts (see note 18)
Trade creditors
Other creditors
Pension payable
Credit Card
Accruals and deferred income
**CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
Bank loans (see note 18)|31.03.21
31.03.20
£
£
24,690
37,566
51,871
90,877
76,561
128,443
31.03.21
31.03.20
£
£
52,481
52,481
19,337
39,718
430
71,535
3,546
5,186
2,492
31,755
112,735
166,226
31.03.21
31.03.20
£
£
492,292
530,044|
|---|---|
## **18 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
## **19 CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR**
The creditors for more than one year showing on the balance sheet consists of two bank loans with the following terms:
Initial loan £ 575,000.00 Repayment period 60 months Interest rate Base rate + 2.5% p.a. Initial loan £ 111,650.00 Repayment period 60 months Interest rate 2.75%
29
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **20 LOANS**
An analysis of the maturity of loans is given below:
|Amounts falling due within on year on demand:
Bank overdraft
Bank loans
Amounts falling between one and two years:
Bank loans - 1-2 years
Amounts falling due between two and five years:
Bank loans - 2-5 years|31.03.21
31.03.20
£
£
52,481
52,481
52,481
52,481
439,811
477,563|
|---|---|
## **21 LEASING AGREEMENTS**
Minimum lease payments under non-cancellable operating leases fall due as follows:
|Within one year
Between one and five years
In more than five years|31.3.21
31.3.20
£
£
127,500
110,833
212,667
262,917
-
14,583
340,167
388,333|
|---|---|
## **22 SECURED DEBTS**
The following secured debts are included within creditors:
|Bank loans|31.3.21
31.3.20
£
£
544,773
582,525
544,773
582,525|
|---|---|
All bank loans are secured against The Forge, 161 Holme Lacy Road, Hereford, HR2 6DG
30
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **23 MOVEMENT IN FUNDS**
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**
Net movement in funds, included in the above ar
Incoming
resources
£
**Unrestricted funds**
General fund
923,809
**Restricted funds**
Restricted
130,168
**TOTAL FUNDS**
1,053,977
**Comparatives for movement in funds**
At 01.04.19
£
**Unrestricted funds**
General fund
93,913
-
**Restricted funds**
Restricted
1,116,031
**TOTAL FUNDS**
1,022,118|Net movement
At 01.04.20
in funds
At 31.03.21
£
£
£
73,673
-
220,395
71,041
-
1,108,948
11,224
1,337,935
1,035,275
231,619
1,266,894
e as follows:
Resources
Gains and
Movement in
expended
losses
funds
£
£
874,793
-
171,379
220,395
118,944
-
11,224
993,737
-
171,379
231,619
Net movement
in funds
At 31.03.20
£
£
20,897
73,673
-
7,083
-
1,108,948
13,814
1,035,275|
|---|---|
31
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENT - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **23 MOVEMENT IN FUNDS - continued**
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Incoming
Resources
Gains and
Movement in
resources
expended
losses
funds
£
£
£
1,167,573
1,119,469
-
27,207
-
20,897
67,647
74,730
-
-
7,083
-
1,235,220
1,194,199
-
27,207
-
13,814|
|---|---|
A current 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Net movement
At 01.04.19
in funds
At 31.03.21
£
£
£
93,913
-
22,872
71,041
-
1,116,031
221,904
1,337,935
1,022,118
244,776
1,266,894|
|---|---|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Restricted
**TOTAL FUNDS**|Incoming
Resources
Gains and
Movement in
resources
expended
losses
funds
£
£
£
2,035,596
1,939,133
-
144,172
240,635
197,815
193,674
-
-
4,141
2,233,411
2,132,807
-
144,172
244,776|
|---|---|
The restricted fund equates to the proportion of the net book value for 'The Forge' and the adjoining industrial estate. The monies were donated to the entity for the specific purpose of purchasing Freehold land and property for use by the Church.
There is a discrepancy between the Net Book Value of 'The Forge' asset and the restricted fund. The £88k discrepancy is as a result of unrestricted funds also being used to fund the initial purchase when there were insufficient restricted funds available
## **24 EMPLOYEE BENEFIT OBLIGATIONS**
Within the Statement of Financial Activities is an expense of £8,904 (2020: £8,793) which relates to Defined Contribution Pension Plan contributions.
This expense is allocated to the relevant charitable activity based on the employee's department within the Charity.
Both the expense and the liability for the plans are accounted for within the unrestricted fund.
32
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENT - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **25 CONTINGENT LIABILITIES**
Due to flood damage in 2002, major repair works have been underway, and some additional work was broadly agreed at the outset in January 2021. However, due to the nature of the work involved and the complexity of the project, a reliable estimate of the amount could not be made. The Trustees belive that a provision regading this work could not be recognised in these accounts, and therefore a contingent liability of £122,803 exists at the Balance Sheet date.
## **26 OTHER FINANCIAL COMMITMENTS**
At the Balance Sheet date , there were no capital commitments that Freedom Church had entered into for the future year.
33
## **FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED**
## **FOR THE YEAR ENDED 31 MARCH 2021**
## **27 RELATED PARTY DISCLOSURES**
During the year the charity made the following party transactions:
## **Josh Cooke**
Husband of trustee, Megan Cooke
Josh Cooke was paid expenses of £356 (2020: £5,079) during the financial year. At the balance sheet date, the amount owed to Josh Cooke was £Nil (2020: £Nil)
Total remuneration received during the period: £16,887 (2020: £19,399)
## **Emily Rattenbury**
Wife of trustee, Andrew Rattenbury
Emily Rattenbury was paid expenses of £Nil (2020: £Nil) during the financial year. At the balance sheet date, the amount owed to Emily Rattenbury was £Nil (2020: £Nil)
Total remuneration received during the period: £11,188 (2020: £7,786)
## **Dave Thomas**
Key Management personnel
Dave Thomas was paid expenses of £Nil (2020: £974) during the financial year. At the balance sheet date, the amount owed to Dave Thomas was £Nil (2020: £Nil)
Total remuneration received during the period: £22,553 (2020: £25,903)
## **Gary Snowzell**
Key Management personnel - Senior pastor
Gary Snowzell was paid expenses of £Nil (2020: £1,537) during the financial year. At the balance sheet date, the amount owed to Gary Snowzell was £Nil (2020: £Nil)
Total remuneration received during the period: £30,645 (2020: £29,176)
## **Heather Snowzell**
Key Leadership Personnel - Senior Pastor
Heather Snowzell was paid expenses of £Nil (2020: £Nil) during the financial year. At the balance sheet date, the amount owed to Heather Snowzell was £Nil (2020: £Nil)
Total remuneration received during the period: £12,262 (2020: £11,222)
## **Joshua Snowzell**
Key Leadership Personnel
Joshua Snowzell was paid expenses of £78 (2020: £7,977) during the financial year. At the balance sheet date, the amount owed to Joshua Snowzell was £Nil (2020: £Nil)
Total remuneration received during the period: £Nil (2020: £6,435)
## **Charlotte Snowzell**
Daughter-in-law of Senior Pastor, Gary Snowzell
Charlotte Snowzell is a customer of Freedom Church - at the balance sheet date there was an amount of £Nil (2020: -£150) owed to Freedom Church
Total remuneration received during the period: £Nil (2020: £Nil)
## **Isaac Snowzell**
Son of Senior Pastor, Gary Snowzell
Isaac Snowzell is a customer of Freedom Church - at the balance sheet date, there was an amount of £Nil (2020: - £150) owed to Freedom Church
Total remuneration received during the period: £Nil (2020: £Nil)
34
## **FREEDOM CHURCH HEREFORD CIO NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **26 RELATED PARTY DISCLOSURES continued…**
During the year the charity made the following party transactions:
## **Christopher Cooke**
Father - in - law of trustee, Megan Cooke
Christopher Cooke was paid expenses of £Nil (2020: £667) during the financial year. At the balance sheet date, the amount owed to Christopher Cooke was £Nil (2020: £Nil)
Total remuneration received during the period: £12,135 (2020: £11,141)
## **Karin Cooke**
Mother-in-law of trustee, Megan Cooke
Karin Cooke was paid expenses of £168 (2020: £1,342) during the financial year. At the balance sheet date, the amount owed to Karin Cooke was £Nil (2020: £Nil)
Total remuneration received during the period: £16,582 (2020: £16,711)
## **Sian Vermaut**
Sister-in-law of trustee, Megan Cooke
Sian Vermaut was paid expenses of £154 (2020: £226) during the financial year. At the balance sheet date, the amount owed to Sian Vermaut was £Nil (2020: £Nil)
Total remuneration received during the period: £15,290 (2020: £9,819)
## **Kris Coppock**
Key Leadership Personnel - Executive Pastor
Kris Coppock was paid expenses of £222 (2020: £2,582) during the financial year. At the balance sheet date, the amount owed to Kris Coppock was £Nil (2020: £1,336)
Total remuneration received during the period: £16,057 (2020: £15,678)
## **Kirstie Coppock**
Sister of Executive Pastor, Kris Coppock
Kirstie Coppock is a customer of Freedom Church - at the balance sheet date, there was an amount of £Nil (2020: £75) owed to Freedom Church
Total remuneration received during the period: £Nil (2020: £Nil)
## **Nettie Coppock**
Mother of Executive Pastor, Kris Coppock
Nettie Coppock was paid expenses of £115 (2020: £824) during the financial year. At the balance sheet date, the amount owed to Nettie Coppock was £Nil (2020: £53)
Total remuneration received during the period: £16,057 (2020: £Nil)
## **Halcyon - Mel & Nettie Coppock**
Parents of Executive pastor, Kris Coppock
Halcyon were paid £3,974 (2020: £5,311) for services provided during the financial year. At the balance sheet date, the amount of £175 (2020: £350) was owed to Halcyon
## **Surch - Robert Snowzell**
Father of Pastor Gary Snowzell
Surch were paid £200 (2020: £Nil) for services provided during the financial year. At the balance sheet date, the amount of -£400 (2020: £Nil) was owed to Surch
## **Delight Ice Cream and Treats - Sarah Thomas**
Wife of Key Management, Dave Thomas
Delight Ice Cream and Treats were paid £Nil (2020: £289) for services provided during the financial year. At the balance sheet date, the amount of £Nil (2020: £Nil) was owed to Delight Ice Cream and Treats
## **Communion Limited - Alex Coppock**
Brother of Executive Pastor, Kris Coppock
Communion Limited were paid £4,555 (2020: £6,276) for services provided during the financial year. At the balance sheet date, the amount of £657 (2020: £6,276) was owed to Communion Limited
35
**FREEDOM CHURCH HEREFORD CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR ENDED 31 MARCH 2021**
## **28 TAXATION**
The charity is a registered charity and is therefore exempt from taxation.
## **29 DETAILS OF SUBSIDIARY UNDERTAKINGS**
Details of the investments in which the charity holds 20% or more of the nominal value of any class of share capital are as follows:
||||**Proportion of**||
|---|---|---|---|---|
||||**voting rights**||
||**Country of**||**and shares**|**Principal**|
|**Undertaking**|**incorporation**|**Holding**|**held**|**activity**|
|Wildfire|||||
|(Hereford) Ltd|England|Ordinary|100%|Events|
|Company no: 10371625|||||
|**Subsidiary Balance Sheet**|**summary**||||
||||**2021**|**2020**|
|TOTAL ASSETS|||34,024|51,285|
|TOTAL LIABILITES|||5,542|29,718|
|CAPITAL & RESERVES|||28,482|21,567|
|**Subsidiary Profit & Loss**|**summary**||||
||||2021|2020|
|TURNOVER|||67,392|111,226|
|PROFIT FOR THE FINANCIAL YEAR|||63,869|88,873|
## **30 RESTRICTED FUND BREAKDOWN**
|Donations
Gift Aid|**2021**
**2020**
120,655
61,517
9,512
6,130|
|---|---|
||130,167
67,647|
36
**FREEDOM CHURCH HEREFORD CIO**
## **DETAILED CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
Insurance claims
Gift aid
Grants
**Other trading activities**
Resource sales
Café income
Media production
Events & conferencing
**Investment income**
Rents received
Interest receivable - trading
**Charitable activities**
Academy rental income
Academy income
**Other income**
Gain on sale of tangible fixed assets
Bedding sales
Reimbursement
**Total incoming resources**
**EXPENDITURE**
**Other trading activities**
Purchases
**Charitable activities**
Trustees' salaries
Trustees' social security
Trustees' pension contributions
Wages
Carried forward|31.03.21
31.03.20
£
£
760,094
733,630
38,728
25,350
103,906
103,366
4,800
-
907,528
862,346
551
100
177
10,843
729
10,155
69,152
130,960
70,609
152,058
9,290
100
56
324
9,346
424
28,641
63,120
33,696
62,229
62,337
125,349
766
88,000
-
125
3,391
6,918
4,157
95,043
1,053,977
1,235,220
200
3,910
-
-
-
-
-
-
339,439
347,240
339,439
347,240|
|---|---|
This page does not form part of the statutory financial statements.
37
## **FREEDOM CHURCH HEREFORD CIO**
## **DETAILED CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 MARCH 2021**
31.03.21
31.03.20
|**Charitable activities**
Brought forward
Social security
Pensions
Hire of plant and machinery
Rent, rates & water
Insurance
Light and heat
Telephone
Postage and stationery
Advertising
General resources
Café, refreshments & catering
Creative & Media
Overseas campus expenditure
Motor and travel
Repairs and renewals
Cleaning & Sundries
Subscriptions
Property maintenance
Premises expenses
Sub contracted staff
Signage & Clothing
Equipment repairs & renewals
Depreciation of tangible fixed assets
Loss on sale of tangible assets
Commissions paid
Grants to overseas campuses
Loan
**Other**
Charitable donations
Bad debts
**Support costs**
**Finance**
Bank charges
Foreign currency gains/losses
**Information technology**
Computer costs
**Governance costs**
Auditors' remuneration
Legal and professional fees
Accountancy fees
**Total resources expended**|£
£
339,439
347,240
16,585
17,034
8,904
8,793
5,806
6,029
143,857
204,793
33,158
36,982
48,656
63,233
4,448
4,392
1,982
1,034
2,952
3,009
11,152
29,055
8,822
35,695
2,451
2,750
124,292
46,093
935
40,238
-
247
11,734
20,599
5,556
4,647
51,576
60,452
416
3,787
19,838
2,810
865
4,692
11,050
25,819
30,263
57,592
589
16,263
-
1,000
28,941
53,029
14,728
19,453
928,995
1,116,760
4,036
6,337
1,893
5,101
5,929
11,438
6,776
6,360
179
144
6,955
6,504
20,159
24,811
8,352
6,090
15,696
20,751
7,451
4,592
31,499
31,433
993,737
1,194,856
38|
|---|---|
## **FREEDOM CHURCH HEREFORD CIO**
## **DETAILED CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 31 MARCH 2021**
|**Net income before gains and losses**
**Realised recognised gains and losses**
Realised gains/(losses) on fixed asset investments
**Net (expenditure)/income**|31.03.21
31.03.20
£
£
60,240
40,364
46,382
-
27,207
-
13,858
13,157|
|---|---|
This page does not form part of the statutory financial statements
39
## FRE002 Consolidated Accounts 31-03-2021
## FINAL
Final Audit Report
2022-06-23
Created: 2022-06-23 By: Philip Rowberry (PHILIP.ROWBERRY@DTBC.CO.UK) Status: Signed Transaction ID: CBJCHBCAABAAfIOCDxviIlUwi2x7ZqTqNMl2_Nn8DsxU
## "FRE002 Consolidated Accounts 31-03-2021 FINAL" History
## Document created by Philip Rowberry (PHILIP.ROWBERRY@DTBC.CO.UK)
2022-06-23 - 10:24:59 GMT- IP address: 51.155.102.34
Document emailed to andrew.rattenbury@freedomchurch.cc for signature
2022-06-23 - 10:26:54 GMT
## Email viewed by andrew.rattenbury@freedomchurch.cc
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## Document e-signed by Andrew Rattenbury (andrew.rattenbury@freedomchurch.cc)
Signature Date: 2022-06-23 - 10:34:03 GMT - Time Source: server- IP address: 148.252.129.101
Document emailed to ryan.sallis@freedomchurch.cc for signature
2022-06-23 - 10:34:05 GMT
Email viewed by ryan.sallis@freedomchurch.cc
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## Document e-signed by Ryan Sallis (ryan.sallis@freedomchurch.cc)
Signature Date: 2022-06-23 - 11:38:16 GMT - Time Source: server- IP address: 5.150.115.228
Document emailed to george@gilchrists.com for signature
2022-06-23 - 11:38:18 GMT
Email viewed by george@gilchrists.com
2022-06-23 - 13:52:02 GMT- IP address: 82.71.57.146
Document e-signed by G. A. Christodoulou (george@gilchrists.com)
Signature Date: 2022-06-23 - 14:50:36 GMT - Time Source: server- IP address: 82.71.57.146
Agreement completed.
2022-06-23- 14".50".36 GMT
THOMPSON&-Co
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