REGISTERED COMPANY NUMBER: CE007061 (England and Wales) REGISTERED CHARITY NUMBER: 1168302
REPORT OF THE TRUSTEES AND
UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
FOR
FAMILY COVENANT CHURCH
BCD Chartered Accountants Second Floor 21 Graham Street Birmingham United Kingdom B1 3JR
FAMILY COVENANT CHURCH
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
| Page | |
|---|---|
| Report of the Trustees | 1 to 2 |
| Independent Examiner's Report | 3 |
| Statement of Financial Activities | 4 |
| Statement of Financial Position | 5 |
| Notes to the Financial Statements | 6 to 11 |
| Detailed Statement of Financial Activities | 12 |
FAMILY COVENANT CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
Family Covenant Church (FCC) trustees present their report with the financial statements of the charity for the year ending 31 December 2020. 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 2015).
OBJECTIVES AND ACTIVITIES
Objectives and aims
Objects of the charity are:
1) To advance the Christian faith in accordance with any biblical and lawful means, of the gospel of the Lord Jesus Christ and the values associated therewith in the United Kingdom or the world as the trustees may from time to time think fit.
2) To advance education in accordance of Christian principles by such means as trustees may consider appropriate including by means of establishing youth ministry and men and women ministries in the United Kingdom or the world. 3) To relieve persons who are in conditions of need or hardship or who are unwell and to relieve the distress by prayer, bible study and preaching and teaching the word of god.
4) To promote and fulfil other charitable purposes beneficial to the community in the United Kingdom or the world as the trustees may from time to time think fit.
Public benefit
The trustees confirm they have had regard to the Charity Commission’s guidance on public benefit.
ACHIEVEMENT AND PERFORMANCE
Charitable activities
During the year ended 31 December 2020 the total income generated by donations across the nine branches was £84,555. The global Coronavirus pandemic has impacted the face-to-face gatherings typically expected by the trust in the year which has contributed to the reduced income. The trustees look forward to returning to a more traditional method of worship.
The Trustees expect that the level of income will enable them to continue to be sustainable in future years through hard work and dedication at promoting the objectives and aims of the charity.
Specific investment powers and their authority
All monies raised by or on behalf of the charity shall be applied to further the objectives of the charity and for no other purpose.
FINANCIAL REVIEW
Reserves policy
During the year ending 31 December 2020 the charity showed a lower surplus amount as compared to previous years due to the Covid-19 restrictions. The trustees are pleased and have concluded that there are sufficient funds available to allow the charity to be managed efficiently to achieve their aims and objectives. Also trustees have a resolution to make all church assemblies bank monies with same bank in the United Kingdom.
Trustees hold restricted and unrestricted funds that are held to meet any unforeseen expenditure that may occur. We also hold tangible fixed assets that have a net book value of £1,029 at 31 December 2020. The closing unrestricted reserves as at 31 December 2020 was £113,915.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity, being a Charitable Incorporated Organisation (CIO), is controlled by its governing document, a constitution, and is controlled by its trustees.
Recruitment and appointment of new trustees
The recruitment and appointment of any new Trustees must be appointed by a resolution of the Trustees passed by a majority of the Trustees in accordance with the specific details held within the declaration of trust.
Page 1
FAMILY COVENANT CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT Organisational structure
The Trustees may from time to time appoint some persons to act as secretary and treasurer of the Charity and such persons may be (but need not be) trustees.
Wider network
The nine branches are located in the UK in the following towns and cities:
-
Birmingham
-
Slough
-
London
-
Luton
-
Leicester
-
Leeds
-
Manchester
-
Bristol
-
Newcastle
Risk management
The trustees have a duty to identify and review the risks to which the charitycharity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
CE007061 (England and Wales)
Registered Charity number
1168302
Registered office
50 Bayswater Drive Rainham Kent ME8 8SZ
Trustees
G Chabata N Kusotera (resigned 3/7/20) N Bhebhe (resigned 15/8/20) Mrs F Faku A Masoso
Company Secretary
Independent Examiner
BCD Chartered Accountants Second Floor 21 Graham Street Birmingham United Kingdom B1 3JR
Approved by order of the board of trustees on 22 October 2021 and signed on its behalf by:
A Masoso - Trustee
Page 2
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF FAMILY COVENANT CHURCH
Independent examiner's report to the trustees of Family Covenant Church ('the Company')
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 December 2020.
Responsibilities and basis of report
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Steven J Bosley FCA BCD Chartered Accountants Second Floor 21 Graham Street Birmingham United Kingdom B1 3JR
22 October 2021
Page 3
FAMILY COVENANT CHURCH
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020
| 2020 Unrestricted funds Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 84,555 Investment income 2 15 Total 84,570 EXPENDITURE ON Other 44,347 NET INCOME 40,223 RECONCILIATION OF FUNDS Total funds brought forward 73,692 TOTAL FUNDS CARRIED FORWARD 113,915 |
2019 Total funds £ 148,223 20 148,243 128,719 19,524 54,168 73,692 |
|---|---|
The notes form part of these financial statements
Page 4
FAMILY COVENANT CHURCH
STATEMENT OF FINANCIAL POSITION 31 DECEMBER 2020
| 2020 Unrestricted funds Notes £ FIXED ASSETS Tangible assets 6 1,029 CURRENT ASSETS Debtors 7 - Cash at bank and in hand 116,486 116,486 CREDITORS Amounts falling due within one year 8 (3,600) NET CURRENT ASSETS 112,886 TOTAL ASSETS LESS CURRENT LIABILITIES 113,915 NET ASSETS 113,915 FUNDS 9 Unrestricted funds 113,915 TOTAL FUNDS 113,915 |
2019 Total funds £ 2,057 296 74,639 74,935 (3,300) 71,635 73,692 73,692 73,692 73,692 |
|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2020.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2020 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The financial statements were approved by the Board of Trustees and authorised for issue on 22 October 2021 and were signed on its behalf by:
Mr Masoso
N Bhebhe - Trustee
The notes form part of these financial statements
Page 5
FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, 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 Companies Act 2006. The financial statements have been prepared under the historical cost convention.
Financial reporting standard 102 - reduced disclosure exemptions
The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
-
the requirements of Section 7 Statement of Cash Flows;
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the requirement of paragraph 3.17(d);
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the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
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the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A.
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.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Equipment - 20% on cost
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
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.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Going concern
The financial statements have been prepared using the going concern basis of accounting.
Page 6
continued...
FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
2. INVESTMENT INCOME
| 2. | INVESTMENT INCOME | ||
|---|---|---|---|
| 2020 | 2019 | ||
| £ | £ | ||
| Deposit account interest | 15 | 20 | |
| 3. | NET INCOME/(EXPENDITURE) | ||
| Net income/(expenditure) is stated after charging/(crediting): | |||
| 2020 | 2019 | ||
| £ | £ | ||
| Accountancy | 3,600 | 3,300 | |
| Depreciation - owned assets | 1,028 | 1,029 |
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2019.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2020 nor for the year ended 31 December 2019.
5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted | |
|---|---|
| funds | |
| £ | |
| INCOME AND ENDOWMENTS FROM | |
| Donations and legacies | 148,223 |
| Investment income | 20 |
| Total | 148,243 |
| EXPENDITURE ON | |
| Other | 128,719 |
| NET INCOME | 19,524 |
| RECONCILIATION OF FUNDS | |
| Total funds brought forward | 54,168 |
| TOTAL FUNDS CARRIED FORWARD | 73,692 |
continued...
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FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
6. TANGIBLE FIXED ASSETS
| 6. | TANGIBLE FIXED ASSETS | ||||
|---|---|---|---|---|---|
| Equipment | |||||
| £ | |||||
| COST | |||||
| At 1 January 2020 and 31 December 2020 | 5,143 | ||||
| DEPRECIATION | |||||
| At 1 January 2020 | 3,086 | ||||
| Charge for year | 1,028 | ||||
| At 31 December 2020 | 4,114 | ||||
| NET BOOK VALUE | |||||
| At 31 December 2020 | 1,029 | ||||
| At 31 December 2019 | 2,057 | ||||
| 7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Prepayments | - | 296 | |||
| 8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Accruals and deferred income | 3,600 | 3,300 | |||
| 9. | MOVEMENT IN FUNDS | ||||
| Net | |||||
| movement | At | ||||
| At | 1.1.20 | in funds | 31.12.20 | ||
| £ | £ | £ | |||
| Unrestricted funds | |||||
| Birmingham fund account | 13,430 | 8,560 | 21,990 | ||
| Slough fund account | 316 | 2,457 | 2,773 | ||
| London fund account | 20,988 | 4,634 | 25,622 | ||
| Leeds fund account | 26,629 | 9,817 | 36,446 | ||
| Manchester fund account | 3,058 | 2,565 | 5,623 | ||
| Bristol fund account | 789 | 1,289 | 2,078 | ||
| National fund account | 1,639 | 3,942 | 5,581 | ||
| Newcastle fund account | 6,843 | 6,959 | **13,802 ** | ||
| **73,692 ** | 40,223 | 113,915 | |||
| TOTAL FUNDS | **73,692 ** | 40,223 | 113,915 |
continued...
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FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
9. MOVEMENT IN FUNDS - continued
Net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| Birmingham fund account | 16,589 | (8,029) | 8,560 |
| Slough fund account | 4,574 | (2,117) | 2,457 |
| London fund account | 14,200 | (9,566) | 4,634 |
| Leeds fund account | 15,661 | (5,844) | 9,817 |
| Manchester fund account | 7,335 | (4,770) | 2,565 |
| Bristol fund account | 3,680 | (2,391) | 1,289 |
| National fund account | 11,324 | (7,382) | 3,942 |
| Newcastle fund account | **11,207 ** | (4,248) | 6,959 |
| 84,570 | (44,347) | 40,223 | |
| TOTAL FUNDS | 84,570 | (44,347) | 40,223 |
| Comparatives for movement in funds | |||
| Net | |||
| movement | At | ||
| At 1.1.19 | in funds | 31.12.19 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| Birmingham fund account | 11,208 | 2,222 | 13,430 |
| Slough fund account | 151 | 165 | 316 |
| London fund account | 15,564 | 5,424 | 20,988 |
| Leeds fund account | 25,708 | 921 | 26,629 |
| Manchester fund account | 1,078 | 1,980 | 3,058 |
| Bristol fund account | 1,475 | (686) | 789 |
| National fund account | (4,596) | 6,235 | 1,639 |
| Newcastle fund account | 3,580 | 3,263 | 6,843 |
| 54,168 | 19,524 | 73,692 | |
| TOTAL FUNDS | 54,168 | 19,524 | 73,692 |
continued...
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FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
9. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds Birmingham fund account Slough fund account London fund account Leeds fund account Manchester fund account Bristol fund account National fund account Newcastle fund account TOTAL FUNDS |
Incoming resources £ 35,427 8,627 27,612 16,411 7,419 4,882 36,502 11,363 148,243 148,243 |
Resources Movement expended in funds £ £ (33,205) 2,222 (8,462) 165 (22,188) 5,424 (15,490) 921 (5,439) 1,980 (5,568) (686) (30,267) 6,235 (8,100) 3,263 (128,719) 19,524 (128,719) 19,524 |
|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| Net | |||
|---|---|---|---|
| movement | At | ||
| At 1.1.19 | in funds | 31.12.20 | |
| £ | £ | £ | |
| Unrestricted funds | |||
| Birmingham fund account | 11,208 | 10,782 | 21,990 |
| Slough fund account | 151 | 2,622 | 2,773 |
| London fund account | 15,564 | 10,058 | 25,622 |
| Leeds fund account | 25,708 | 10,738 | 36,446 |
| Manchester fund account | 1,078 | 4,545 | 5,623 |
| Bristol fund account | 1,475 | 603 | 2,078 |
| National fund account | (4,596) | 10,177 | 5,581 |
| Newcastle fund account | 3,580 | 10,222 | 13,802 |
| 54,168 | 59,747 | 113,915 | |
| TOTAL FUNDS | 54,168 | 59,747 | 113,915 |
continued...
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FAMILY COVENANT CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020
9. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| Birmingham fund account | 52,016 | (41,234) | 10,782 |
| Slough fund account | 13,201 | (10,579) | 2,622 |
| London fund account | 41,812 | (31,754) | 10,058 |
| Leeds fund account | 32,072 | (21,334) | 10,738 |
| Manchester fund account | 14,754 | (10,209) | 4,545 |
| Bristol fund account | 8,562 | (7,959) | 603 |
| National fund account | 47,826 | (37,649) | 10,177 |
| Newcastle fund account | 22,570 | (12,348) | 10,222 |
| 232,813 | (173,066) | 59,747 | |
| TOTAL FUNDS | 232,813 | (173,066) | 59,747 |
10. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 December 2020.
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FAMILY COVENANT CHURCH
| DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020 INCOME AND ENDOWMENTS Donations and legacies Tithes and offerings Investment income Deposit account interest Total incoming resources EXPENDITURE Support costs Management Insurance Postage and stationery Pastoral Honorarium Sundries Hall hire Mileage and fuel Travel and subsistence Pastors allowance Depn of equipment Governance costs Accountancy Total resources expended Net income |
2020 £ 84,555 15 84,570 295 296 - 21,787 4,941 - 9,386 3,013 1,029 40,747 3,600 44,347 40,223 |
2019 £ 148,223 20 148,243 1,067 3,117 2,370 47,207 46,901 7,199 8,593 7,936 1,029 125,419 3,300 128,719 19,524 |
|---|---|---|
This page does not form part of the statutory financial statements
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