**Registered Charity Number 1163516**
## **VICTORY OUTREACH CHURCH LIVERPOOL**
**REPORT AND ACCOUNTS FOR THE YEAR ENDED**
**31 MARCH 2021**
**VICTORY OUTREACH CHURCH LIVERPOOL Reports and accounts**
## **Contents**
||**Page**|
|---|---|
|Trustees’ Report|3|
|Statement of Directors’/Trustees’ Responsibilities|5|
|Independent Examiner’s Report|6|
|Statement of Financial Activities|7|
|Balance Sheet|9|
|Notes to the accounts|10|
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## **VICTORY OUTREACH CHURCH LIVERPOOL The report of the Trustees for the year ended 31 March 2021**
## **Introduction**
The trustees present their annual report and financial statements of the charity for the year ended 31 March 2021. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s trust deed, the Charities Act 2011, and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).
The board of trustees are satisfied with the performance of the charity during the year and the position at 31 March 2021 and consider that the charity is in a strong position to continue its activities during the coming year, and the charity’s assets are adequate to fulfil its obligations.
## **Purpose and Activities of the Charity Objectives**
1. The advancement of the Christian faith in accordance with the doctrines set out in the underwritten fourth schedule and the worship of God in the said county and elsewhere and by any means whatsoever including ( but not by way of limitation) the preaching and proclamation of the Christian Gospel and the teaching of Christian doctrine and principles and the pastoral care of the Christian people and the printing and the distribution of the Bible and Christian literature including video and audio recordings or CDs and by any other media, which or may become available.
2. The relief of persons who are in conditions of need or hardship and consequently are in distress or who are sick.
3. The advancement of education on the basis of the above Christian principles and without prejudice to the generality of the foregoing provisions of such education in any educational establishment and if the trustees so decide the provision of one or more charitable education establishments for the general education of children or adults on the basis of such Christian principles.
## **Achievements and performances**
Here is a list of activities during the financial year.
- Manna project (Reaching 100's of local people with free food and support)
- Opened 2 Community Hubs during pandemic, selling food, furniture etc
- Weekly Online Bible Study & Prayer meetings
- Moved to a larger building
- Weekly Online services, and in-person services once Covid restrictions allowed this.
- GANG Live - Several Instagram live sessions aimed at younger people
## **Financial Review**
## **Policies on reserves**
Adequate reserves are maintained to fund the charity’s activities for at least three months forward.
## **Availability and adequacy of assets of the funds**
The board of Trustee is satisfied that the charity assets in each fund are available and adequate to fulfil its obligations I respect of reach fund.
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**VICTORY OUTREACH CHURCH LIVERPOOL The report of the Trustees for the year ended 31 March 2021**
## **Transactions and Financial position**
The charity’s income in the year was £210,189 (2020: £174,275) after expenditure of £176,290 (2020: £169,796) a surplus of £33,899 (2020: £4,479) is reported. General liquid reserves carried forward amounted to £44,668 (2020: £10,569).
## **Reference and administrative details**
Date of formation: 19 April 2015 and as Registered Charity 11 September 2015 The principal office is: 47 Breck Road, Anfield, Liverpool. L4 2QS Charity registration number: 1163516 Contact telephone number is: 0151 673 2323
**Trustees Charity Managers** Natasha Ruddock Nathan Peoples (appointed 23 July 2021) Pastor Roy Farrell Sheila Farrelly Paul Twist (appointed 23 July 2021) Mrs Danielle Farrell Rae Lee
The day-to-day operations of the charity are governed by the Managers who are directly engaged in the activity of the charity. Operational and tactical decisions are made by this group.
The direction and strategy are discussed at a regular Trustees meeting.
## **Bankers**
The Co-operative Bank
## **Structure, Governance and Management**
Victory Outreach Church Liverpool is a Charitable Incorporated Organisation (CIO), registered with Charity Commission in England & Wales and governed by the local Board of Trustees.
New Trustees are appointed by the existing Board of Trustees on the basis of their expertise and involvement in furthering the mission and vision of the charity. The Board of Trustees have a variety of experience including Christian ministry and church administration, financial management, fundraising, education skills. The Board is accountable to the Charity Commission for the careful use of charitable and other public funds provided in a variety of forms, and for the achievement of appropriate performance standards in service delivery. The Board of Trustees meets at least quarterly to oversee the vision and strategies of the charity.
With the growth of activities of the charity an ever-increasing level of expertise is required on a day-to-day basis and an established management is in place that is capable of running the affairs of the Charity. The Charity's managers, listed on page 5, are in charge of the dayto-day management matters and are accountable to the trustees.
The Trustees remain committed to advancing the Christian faith, education in the areas of Christianity and recovery from drug addiction, prostitution and the relief of persons in need particularly through the provision of facility, counselling and support.
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**VICTORY OUTREACH CHURCH LIVERPOOL The report of the Trustees for the year ended 31 March 2021**
## **Independent Examiner**
Malcolm Wright, Elpizo Limited, Chartered Accountants, 13 Village Road, Higher Bebington Wirral, CH63 8PP
## **Statement of Trustees’ Responsibilities**
The charity trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities requires the charity 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, including the income and expenditure, of the charitable group for that year. In preparing the financial statements, the trustees are required to:
- Select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK 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 that 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 applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.
This report was approved by the board of Trustees on 10 November 2021
**Rae Lee Trustee**
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**VICTORY OUTREACH CHURCH LIVERPOOL Independent Examiner’s Report to the Trustees of the Charity**
## **Report of the Independent Examiners to the Trustees on the account of the Charity for the Year ended 31 March 2021**
I report on the financial statement of the charity on page 7 to 14 for the year ended 31 March 2021.
## **Respective responsibilities of the 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 year under section 144 of the Charities Act 2011 (“the Charities Act”) and that an independent examination is needed.
It is my responsibility to:
- examine the accounts under section 145 of the Charities Act,
- to follow the procedures laid down in the general Directions given by the Charity Commission (under section 145(5)(b) of the Charities Act, and
- to state whether particular matters have come to my attention.
## **Basis of opinion and scope of work undertaken**
My examination was carried out in accordance to general directions given by the charity commission. An examination includes a review of accounting records, kept by the charity and a comparison of accounts presented with those records. It also includes consideration of any unusual items of disclosures in the accounts and seeks explanations from the Trustees concerning any such matters. The procedure undertaken does not provide all the evidence that would be required in an audit. Consequently, no opinion is given to whether the accounts present a true and fair view and report is limited to the matters set out in the statement below.
## **Independent Examiner’s Statement**
In connection with examination, no matters have come to my attention;
1. Which gives me reasonable cause to believe that in any material respect the requirements:
- to keep accounting records in accordance with section 130 of the Charities Act; and
- to prepare accounts which accord with the accounting records and comply with the accounting requirements of the Charities Act have not been met; or
2. To which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Malcolm Wright - Chartered Accountant Elpizo Limited, 13 Village Road, Higher Bebington, Wirral CH63 8PP
The date upon which my opinion is expressed is: 10 November 2021
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## **VICTORY OUTREACH CHURCH LIVERPOOL Statement of Financial Activities For the year ended 31 March 2021**
|**Notes**
**Income**
Donations and grants 2
**Total Income**
**Expenditure**
Expenditure on
charitable activities
3
Governance
**Total expenditure**
**Net income**
**for the year**
**Gross transfer between funds**
**Net movement in funds**
**Reconciliation of funds:**
**Total funds brought forward**
**Total funds carried forward**|
|
|**Unrestricted Restricted Total Last Year**
**Funds**
**Funds Funds Total Funds**
**2021**
**2021 2021**
**2020**
**£**
**£**
**£**
**£**
210,189
-
210,189
174,275
**210,189**
**-**
**210,189**
**174,275**
175,290
-
175,290
168,796
1,000
-
1,000 1,000
**176,290**
**-**
**176,290**
**169,796**
**33,899**
**-**
**33,899**
**4,479**
**-**
**-**
**-**
**- **
**33,899**
**-**
**33,899 4,479**
**10,769**
**-**
**10,769**
**6,290**
**44,668**
**-**
**44,668 10,769**|
|---|---|---|---|
|||
||
||
|
||
||
|
||
|||||
The net movement in funds to above in the net incoming resources as defined in the Statement of Recommendation Practice for Accounting and reporting issued by the Charity Commission for England and Wales and is reconciled to the total funds as shown in the Balance Sheet on page 9 as required by the said statement.
## **All activities derive from continuing operation**
## **The notes on page 10 to 14 form an integral part of these accounts**
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## **VICTORY OUTREACH CHURCH LIVERPOOL Statement of Financial Activities For the year ended 31 March 2021**
## **Analysis of prior year total funds as required by paragraph 4.2 of Statement of Recommended Practice (SORP)**
|**Notes**
**Income**
Donations and grants 2
**Total Income**
**Expenditure**
Expenditure on
charitable activities
3
Governance
**Total expenditure**
**Net income**
**for the year**
**Gross transfer between funds**
**Net movement in funds**
**Reconciliation of funds:**
**Total funds brought forward**
**Total funds carried forward**|
|**Unrestricted Restricted Total**
**Funds**
**Funds Funds**
**2020**
**2020 2020**
**£**
**£**
**£**
174,275
-
174,275
**174,275**
**-**
**174,275**
168,796
-
168,796
1,000
-
1,000
**169,796**
**-**
**169,796**
**4,479**
**-**
**4,479**
**-**
**-**
**- **
**4,479**
**-**
**4,479**
**6,290**
**-**
**6,290**
**10,769**
**-**
**10,769**|
|---|---|---|
||
||
|||
|
||
|
|
||
|
|
||||
**All activities derive from continuing operation The notes on page 10 to 14 form an integral part of these accounts**
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**VICTORY OUTREACH CHURCH LIVERPOOL Balance Sheet As at 31 March 2021**
|**VICTORY OUTREACH CHURCH LIVERPOOL**
**Balance Sheet**
**As at 31 March 2021**||||
|---|---|---|---|
|**Notes**
**Fixed Assets**
Tangible assets
7
**Total fixed assets**
**Current Assets**
Cash at the bank and in hand
**Total current assets**
**Creditors: -**
Amount due within one Year
8
**Net current assets**
**Net assets**
**The funds of the charity**
**Unrestricted income funds**
Unrestricted revenue accumulated funds
**Total charity funds**|**2021**
**£**
**£**
10
10
47,147
**47,147**
(2,489)
44,659
**44,669**
44,669
**44,669**|**2020**
**£**
**£**
200
200
11,259
**11,259**
(690)
10,569
**10,769**
10,769
**10,769**||
|||**11,259**
(690)
||
|||
||
|||||
||||
|
**Approved by the board of Trustees on 10 November 2021 and signed on their behalf by:**
**Rae Lee Trustee The notes on page 10 to 14 form an integral part of these accounts**
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**VICTORY OUTREACH CHURCH LIVERPOOL Notes to the Accounts for the year ended 31 March 2021**
## **1. Accounting policies**
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
## Basis of preparation
The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.
The trust constitutes a public benefit entity as defined by FRS 102.
Preparation of the accounts on a going concern basis
The financial statements are prepared on a going concern. The Charity is entirely dependent on continuing grant and donation support and as a consequence the going concern basis is also dependent on that continuing financial support.
## Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably. Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received, and the amount can be measured reliably and is not deferred.
Income received in advance of the provision of specified services is deferred until the criteria for income recognition are met.
## Donated services and facilities
Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), the general volunteer time is not recognised and refer to the trustees’ annual report for more information about their contribution.
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the Year of receipt.
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**VICTORY OUTREACH CHURCH LIVERPOOL Notes to the Accounts for the year ended 31 March 2021**
## Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.
## Fund accounting
Unrestricted funds are available to spend on activities that further any of the purposes of the charity.
## Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal 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. Expenditure is classified under the following activity headings:
Costs of raising funds comprise the consists of commercial trading.
Expenditure on charitable activities includes the costs of activities undertaken to further the purposes of the charity and their associated support costs
Other expenditure represents those items not falling into any other heading.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## Allocation of support costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the charitable activities. These costs have been allocated between costs of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note1.
## Tangible fixed assets
Individual fixed assets costing £100 or more are capitalised as cost and are depreciated over their estimated useful economic lives on a straight-line basis as follows:
Plant, equipment, and motor vehicles
20%
## Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
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**VICTORY OUTREACH CHURCH LIVERPOOL Notes to the Accounts for the year ended 31 March 2021**
## Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimating reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are recognised at transaction value.
## **2 Income from donations and grants**
|Gifts and donations
Grants from charities and foundations
Donated services – accountancy
Gift Aid
**Total income**|**2021**
**2020**
**£**
**£**
132,672 133,046
73,868 25,281
490 490
3,159 15,458
210,189 174,275|
|---|---|
The Trust benefits from the involvement and enthusiastic support of its many volunteers, details of which are given in our annual report. In accordance with FRS 102 and the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the accounts.
## **3 Analysis of expenditure on charitable activities**
|
Outreach and charitable activities
Gifts and grants
Wages and salaries
Travel, volunteer and motor expenses
Premises costs
Depreciation
Insurance
Admin and support costs (note 4)
**Total expenditure on charitable activities**
|**2021**
**£**
48,144
16,541
31,349
17,374
28,605
190
7,377
25,710
**175,290**|**2020**
**£**
23,096
27,935
4,004
46,626
23,721
516
7,372
35,526
**168,796**|
|---|---|---|
## **4 Analysis of governance and support costs**
The charity initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance cost, the remaining support costs together with the governance costs are allocated to charitable activities undertaken in the year.
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**VICTORY OUTREACH CHURCH LIVERPOOL Notes to the Accounts for the year ended 31 March 2021**
|**Analysis of**|**Analysis of**|**support and governance costs**|**support and governance costs**||
|---|---|---|---|---|
|**General**|**support**|**Governance**|**Total**|**Basis of**|
|||**Function**||**apportionment**|
||**£**|**£**|**£**||
|||||Time spent|
|General office
|25,710|
-
|25,710|equivalents|
|Independent Examiner|
-|1,000|1,000|Governance|
|Total
|**25,710**|
**1,000**
|**26,710**||
The key management personnel of the charity comprise the trustees and the managers.
## **5 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel.**
|Salaries and wages
|**2021**
**£**
**31,349**|**2020**
**£**
**4,004**|
|---|---|---|
No employees had employee benefits in excess of £60,000.
Pastor Roy Farrell is executive manager of the charity and received a salary in the year of £16,667 (2020: £nil). Rae Lee, who is a trustee, received remuneration of £9,360 for the provision of administration support. The charity trustees were not paid or received any other benefits from employment with charity as trustees in the year; neither were they reimbursed expenses during the year. Except as disclosed above, no charity trustees received payment for professional or other services supplied to the charity.
## **Staff Numbers**
The average monthly head count was 2 staff and the average monthly number of full-time equivalent employees (including casual and part-time staff) during the year were as follows:
|were as follows:|||
|---|---|---|
||**2021**|**2020**|
||Number|Number|
|Charitable activities|___2___|-|
## **6 Taxation**
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
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**VICTORY OUTREACH CHURCH LIVERPOOL Notes to the Accounts for the year ended 31 March 2021**
## **7 Tangible fixed assets**
|**7**
**Tangible fixed assets**|**7**
**Tangible fixed assets**|**7**
**Tangible fixed assets**|
|---|---|---|
|**Plant, machinery and**
**Total**
**motor vehicles**
**£**
**£**
Cost:
As at 1 April 2020
2,350
2,350
Additions:
-
-_
As at 31 March 2021
2,350
2,350
Depreciation:
As at 1 April 2020
2,150 2,150
Charge for the Year
190
190
As at 31 March 2021
2,340 2,340
Net book value
As at 1 April 2020
200
200
As at 31 March 2021
10 10
**8**
**Creditors: amounts falling due within one Year**
**2021**
**2020**
**£**
**£**
Trade creditors and accruals
690
690
P.A.Y.E.
1,799
-__
**2,489**
**690**|||
|||__
**2,489**
**690**|
## **9 Contingent assets – legacy income**
As at 31 March 2021 the charity had not been notified of any legacy income or prospective legacy income.
## **10 Analysis of charitable funds**
## **Analysis of movements in unrestricted funds**
The charity has only one unrestricted general fund. The movements in that fund are shown in the Statement of Financial Activities.
All of the net assets apply to the one unrestricted general fund.
## **11 Related parties**
There are no transactions with related or connected parties to be reported in these accounts nor in the accounts of the previous year.
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