Company registration number: 09915593 Charity registration number: 1167384 ## THE CORNERSTONE CHURCH GROUP (A company limited by guarantee) Annual Report and Financial Statements for the Year Ended 31 March 2022 GRC Accountants Limited 166 Banks Road West Kirby Wirral Merseyside CH48 0RH ## **THE CORNERSTONE CHURCH GROUP** ## **Contents** |Reference and Administrative Details|1| |---|---| |Strategic Report|2| |Trustees' Report|3 to 4| |Independent Examiner's Report|5| |Statement of Financial Activities|6| |Balance Sheet|7| |Notes to the Financial Statements|8 to 16| ## **THE CORNERSTONE CHURCH GROUP** ## **Reference and Administrative Details** **Charity Registration Number** 1167384 **Company Registration Number** 09915593 **Registered Office** 86 - 90 Paul Street London EC2A 4NE **Independent Examiner** GRC Accountants Limited 166 Banks Road West Kirby Wirral Merseyside CH48 0RH Page 1 ## **THE CORNERSTONE CHURCH GROUP** ## **Strategic Report for the Year Ended 31 March 2022** The trustees, who are directors for the purposes of company law, present their strategic report for the year ended 31 March 2022, in compliance with s414C of the Companies Act 2006. The strategic report was approved by the trustees of the charity on 22 December 2022 and signed on its behalf by: ......................................... Mr Anthony Brathwaite Trustee Page 2 ## **THE CORNERSTONE CHURCH GROUP** ## **Trustees' Report** The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 March 2022. ## **Trustees and officers** The trustees and officers serving during the year and since the year end were as follows: Trustees: Mr Anthony Brathwaite Mr Gerald Okullo Mr Hafis Raji ## **Statement of trustees' responsibilities** The trustees (who are also the directors of THE CORNERSTONE CHURCH GROUP for the purposes of company law) 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), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to: - select suitable accounting policies and apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements; and - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. ## **Governing document** The charity is controlled by governing document and a deed of trust. ## **Risk Management** The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure that appropriate controls are in place to provide reasonable assurance against fraud and error. ## **Objectives and activities** 1. The advancement of the Christian faith, relief of poverty, training, advice and Page 3 ## **THE CORNERSTONE CHURCH GROUP** ## **Trustees' Report** guidance, education and the fulfilment of various charitable causes. 2. To provide life skills, employability skills for the disadvantaged and unemployed personal advice and wellbeing services encouraging mental and physical and wellbeing. 3. To participate in partnership with international and local organisations involved in sustainable development projects in developing countries. ## **Our church:** ## **Vision: You are significant** The Cornerstone Church’s vision is to see mankind living a significant life through a relationship with Jesus Christ, connection with others and in contribution to the local church and society at large. ## **Services and groups:** The Cornerstone Church has seen its attendance grow and with this subsequently Sunday services had moved to The Crowne Plaza London City whilst midweek gatherings took place in Canada Water (London). As a result of this congregational growth and the need for more facilities catering to children and Sunday school classes. The church moved its services to Goldsmiths Student Union in New Cross London and midweek classes take place online. ## **Charitable activities:** The Church continues to build on its charitable work supporting and volunteering support in the work of international, national, and local charities. This, especially considering the demand caused by the COVID-19 pandemic globally and the cost of living crisis placed upon deprived communities. The church has worked in partnership with several not-for-profit organisations and charities including Lewisham Foodbank to alleviate food poverty. Other community and international projects have seen us further partner with and support organisations such as Our Street Children, working internationally to support impoverished children in countries such as Bolivia and India ## **New charitable projects** The Cornerstone has now partnered with South London Cares to provide a telephone befriending service to senior citizens in South London. The church has also joined forces to support disadvantaged children globally through Compassion UK and prisoners in the UK to read through The Shannon Trust. It will continue to support its local community through food parcels passed on through Lewisham Foodbank to those in need. ## **Small companies provision statement** This report has been prepared in accordance with the small companies regime under the Companies Act 2006. The annual report was approved by the trustees of the charity on 22 December 2022 and signed on its behalf by: ......................................... Mr Anthony Brathwaite Trustee Page 4 THE CORNERSTONE CHURCH GROUP Independent Examlner'$ Report to the trustees ol THE CORNERSTONE CHURCH GROUP ('the Company,) I report to tlie cliarity trusiees on Iny ¢xaixination of (lie ciccounts of tli¢ Company for th¢ year elided 3 l Morcli 2022. Rosponslbilitiei xnd bH$ls of report As tl)e cliai'ily's Lliisiees of tliL Coiiipiiny (llnd &lso its diirblors foi. IT)c purpose8 of ¢ol￿p&0Y law) yoii &re respoi)sible fol. lh¢ PlEparntion of the aceouiils ii) a￿OrdanCE witii the IrquireJllent5 of the Comi)anies Act 2006 ('Ihc 2006 Aet'l. Having ¥lllisfJ¢d ii)yseif Ihllt tl)c accounts of tlie Coinpttny are not required to be audited under Pait 16 ot Ilie 21)06 Act aiid are eligible for iiidcpeiidcnt exainination, I report iii rc8PCCt of. Iny ¢xatniiialion of your ¢liui'ity's t)bLoiinls ¥18 C¢triicd oiil und¢r SLfylion 145 of tlie Cl)ai'itiLS ALt 2011 I'tlic 2011 Act,). Iii c¥riying OLII Iny exttmiJ)alion I have followed the DiT¢Clioi)s giveii by tl)e Lharity Cojnmission uttder S¢Clion 145(5)Ib) of the 2011 A¢1. IndepeNdont ex#mlner'$ ¥t9temcnt 111ilV¢ ¢vinpl¥lbd my exaiiiinalivii. I coiifirin tliat no Infiiiers Iiavc Loiiie Io Iny ili¢nlioii Tll coiin¢Glion will) Ihc examination givi17g tn¢ cJu8e lo belicve., &¢¢oiinting records wore not kepi iii r¢5pec¢ of THE CORNERSTONE cf4URCH GROUP as r¢quir¢d by s¢clioti 386 ()fih¢ 2006 AL'I,. OJ. 2. Ihc QC¢OUllls do iiot i¢¢oi.d willi thos¢ reco1￿5., or 3. th¢ aCCOLinls do not comi?ly will) IliL iiccouiiling ￿quI1#[￿ent& ol- section 396 ot. tlie 2006 Act ot11￿. tlian any Irquir¢ineiit ili&t th¢ rlccounis 8IV¢ Q 'lru¢ aiid flir vi¥w' wliicli is i)01 a iknallcr ¢0115ider¢d 4S Pttri oran ind¢pct)dcnt cxlliniithtion,. or 4. Ihc ￿L¢oun1$ hnvL Ilot l?¢bii pi.¢1)￿reDonations and legacies
Total income
**Expenditure on:**
Raising funds
Charitable activities
Total expenditure
Net income
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
**Note**
**Income and Endowments from:**
Donations and legacies
3
Total income
**Expenditure on:**
Raising funds
4
Charitable activities
5
Total expenditure
Net income/(expenditure)
Transfers between funds
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
14|**Note**
3
4
5
14
**Unrestricted**
**funds**
**£**
133,712
133,712
(14,908)
(55,724)
(70,632)
63,080
(737)
62,343
116,040
178,383|**Unrestricted**
**funds**
**£**
155,460
155,460
(26,384)
(63,752)
(90,136)
65,324
65,324
178,384
243,708
**Restricted**
**funds**
**£**
61,946
61,946
-
(62,683)
(62,683)
(737)
737
-
-
-|**Total**
**2022**
**£**
155,460| |---|---|---|---| ||||155,460| ||||(26,384)
(63,752)| ||||(90,136)| ||||65,324| ||||65,324
178,384| ||||243,708| ||||**Total**
**2021**
**£**
195,658| ||||195,658| ||||(14,908)
(118,407)| ||||(133,315)| ||||62,343
-| ||||62,343
116,040| ||||178,383| All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 is shown in note 14. The notes on pages 8 to 16 form an integral part of these financial statements. Page 6 ## **THE CORNERSTONE CHURCH GROUP** ## **(Registration number: 09915593) Balance Sheet as at 31 March 2022** |**Note**
**Fixed assets**
Tangible assets
12
**Current assets**
Cash at bank and in hand
13
**Net assets**
**Funds of the charity:**
**Unrestricted income funds**
Unrestricted funds
**Total funds**
14|**2022**
**£**
1
243,707
243,708
243,708
243,708|**2021**
**£**
1
178,382| |---|---|---| |||178,383| |||178,383| |||178,383| For the financial year ending 31 March 2022 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies. Directors' responsibilities: - The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and - The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts. The financial statements on pages 6 to 16 were approved by the trustees, and authorised for issue on 22 December 2022 and signed on their behalf by: ......................................... Mr Anthony Brathwaite Trustee The notes on pages 8 to 16 form an integral part of these financial statements. Page 7 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **1 Charity status** The charity is limited by guarantee, incorporated in , and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation. The address of its registered office is: 86 - 90 Paul Street London EC2A 4NE These financial statements were authorised for issue by the trustees on 22 December 2022. ## **2 Accounting policies** ## **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. ## **Statement of compliance** The financial statements have been prepared in accordance with 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)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. ## **Basis of preparation** THE CORNERSTONE CHURCH GROUP 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. ## **Going concern** The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity. ## **Exemption from preparing a cash flow statement** The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements. ## **Income and endowments** All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably. Page 8 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## _**Donations and legacies**_ Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period. ## _**Grants receivable**_ Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released. ## **Expenditure** All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs. ## _**Raising funds**_ These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds. ## _**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. ## **Support costs** 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. ## **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. ## **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. ## **Tangible fixed assets** Individual fixed assets costing £500.00 or more are initially recorded at cost. Page 9 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **Depreciation and amortisation** Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows: **Asset class** Plant & Machinery **Depreciation method and rate** 25% straight line ## **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. ## **Fund structure** Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity. ## **3 Income from donations and legacies** |Donations and legacies;
Donations from individuals
Gift aid reclaimed
**Total for 2022**
**Total for 2021**|**Unrestricted**
**funds**
**General**
**£**
128,093
27,367
155,460
133,712|**Restricted**
**funds**
**£**
-
-
-
61,946|**Total**
**funds**
**£**
128,093
27,367| |---|---|---|---| ||||155,460| ||||195,658| Page 10 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **4 Expenditure on raising funds** ## **a) Costs of trading activities** |Other direct costs of activities for generating funds
**Total for 2022**
**Total for 2021**
**5**
**Expenditure on charitable activities**
**Note**
Staff costs
Allocated support costs
6
Governance costs
6
**Total for 2022**
**Total for 2021**|**Note**
**Unrestricted**
**funds**
**General**
**£**
933
61,169
1,650
63,752
55,724|**Unrestricted**
**funds**
**General**
**£**
1,329
1,329
1,642
**Restricted**
**funds**
**£**
-
-
-
-
62,683|**Total**
**funds**
**£**
1,329| |---|---|---|---| ||||1,329| ||||1,642| ||||**Total**
**funds**
**£**
933
61,169
1,650| ||||63,752| ||||118,407| ||||**Total**
**expenditure**
**£**| In addition to the expenditure analysed above, there are also governance costs of £1,650 (2021 - £2,588) which relate directly to charitable activities. See note 6 for further details. Page 11 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **6 Analysis of governance and support costs** ## **Support costs allocated to charitable activities** |**Support costs allocated to charitable activities**||| |---|---|---| |**Basis of allocation**
Advertising
Legal & Professional fees
Travel & subsistence
Rent
Telephone
Computer software & maintenance
Printing, postage and stationery
Subscriptions
Donations
General expenditure
**Total for 2022**
**Total for 2021**|**Administration**
**costs**
**£**
139
41,296
2,909
323
383
3,993
55
237
3,650
5,831
58,816
115,178|**Total**
**funds**
**£**
139
41,296
2,909
323
383
3,993
55
237
3,650
5,831| |||58,816| |||115,178| Page 12 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **Governance costs** |Independent examiner fees
Examination of the financial statements
Other governance costs
**Total for 2022**
**Total for 2021**
**7**
**Net incoming/outgoing resources**
Net incoming resources for the year include:
Depreciation of fixed assets
**8**
**Trustees remuneration and expenses**
**9**
**Staff costs**
The aggregate payroll costs were as follows:
**Staff costs during the year were:**
Other staff costs
No employee received emoluments of more than £60,000 during the year.
**10 Independent examiner's remuneration**
Examination of the financial statements
**11 Taxation**|**Unrestricted**
**funds**
**General**
**£**
1,240
410
1,650
2,588
**2022**
**£**
-
**2022**
**£**
933
**2022**
**£**
1,240|**Total**
**funds**
**£**
1,240
410| |---|---|---| |||1,650| |||2,588| |||**2021**
**£**
449| |||**2021**
**£**
641| |||**2021**
**£**
1,018| |||| The charity is a registered charity and is therefore exempt from taxation. Page 13 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **12 Tangible fixed assets** |**Cost**
At 1 April 2021
At 31 March 2022
**Depreciation**
At 1 April 2021
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021
**13 Cash and cash equivalents**
Cash at bank|**Furniture and**
**equipment**
**£**
2,828
2,828
2,827
2,827
1
1
**2022**
**£**
243,707|**Total**
**£**
2,828
2,828
2,827
2,827
1
1
**2021**
**£**
178,382| |---|---|---| Page 14 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **14 Funds** |**14 Funds**|||| |---|---|---|---| |**Unrestricted funds**
General
**Unrestricted funds**
General
**Restricted funds**
**Total funds**|**Balance at 1**
**April 2021**
**£**
**Incoming**
**resources**
**£**
**Resources**
**expended**
**£**
**Balance at 31**
**March 2022**
**£**
178,384
155,460
(90,136)
243,708
**Balance at 1**
**April 2020**
**£**
**Incoming**
**resources**
**£**
**Resources**
**expended**
**£**
**Transfers**
**£**
**Balance at**
**31 March**
**2021**
**£**
116,040
133,712
(70,632)
(737)
178,383
-
61,946
(62,683)
737
-
116,040
195,658
(133,315)
-
178,383|**Balance at 31**
**March 2022**
**£**
243,708|| ||||**Balance at**
**31 March**
**2021**
**£**
178,383
-| ||||178,383| ## **15 Analysis of net assets between funds** |Tangible fixed assets
Current assets
Total net assets
Tangible fixed assets
Current assets
Total net assets|**Unrestricted**
**funds**
**General**
**£**
1
243,707
243,708
**Unrestricted**
**funds**
**General**
**£**
1
178,382
178,383|**Total funds at**
**31 March**
**2022**
**£**
1
243,707| |---|---|---| |||243,708| |||**Total funds at**
**31 March**
**2021**
**£**
1
178,382| |||178,383| Page 15 ## **THE CORNERSTONE CHURCH GROUP** ## **Notes to the Financial Statements for the Year Ended 31 March 2022** ## **16 Analysis of net funds** |**At 1 April 2021**
**£**
Cash at bank and in hand
Bank overdraft
Debt due within one year
Debt due after more than one year
Finance leases and hire purchase contracts
Current asset investments
Net funds
**At 1 April 2020**
**£**
Cash at bank and in hand
Bank overdraft
Debt due within one year
Debt due after more than one year
Finance leases and hire purchase contracts
Current asset investments
Net funds|**Cash flow**
**£**
65,324
-
65,324
-
-
-
-
65,324
**Cash flow**
**£**
62,792
-
62,792
-
-
-
-
62,792|**At 31 March**
**2022**
**£**
243,706
-| |---|---|---| |||243,706
-
-
-
-| |||243,706| |||**At 31 March**
**2021**
**£**
178,382
-| |||178,382
-
-
-
-| |||178,382| Page 16