Registered Charity Number 1169261 Company number CE007883
KAIROS CONNEXION REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022
KAIROS CONNEXION Reports and accounts
Contents
| Page | |
|---|---|
| Trustees’ Report | 3 |
| Statement of Trustees’ Responsibilities | 6 |
| Independent Examiner’s Report | 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 10 |
| Notes to the accounts | 11 |
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KAIROS CONNEXION The report of the Trustees for the year ended 31 December 2022
Introduction
The trustees present their annual report and financial statements of the charity for the year ended 31 December 2022. 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 December 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
Our charity’s purposes as set out in the object’s contained our Constitution dated 29[th] September 2016 are to:
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To advance the Christian faith in accordance with the Charity’s statements of beliefs in such parts of the United Kingdom and the World as the Trustees may from time to time think fit.
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In particular through the provision of support and training to leaders and churches to fulfil such other purposes which are exclusively charitable and are connected with the charitable work of the charity.
Report of the Director for 2022
2022 After previous years dominated by Covid and Lockdown the general level of activity has adjusted and settled allowing for thoughtful engagement by Trustees with developing the charity, according to its purposes, into the future.
Leadership Team
A leadership team has been convened to work with the Director to steer the charity in its strategic development, reporting to the Trustees. Special attention has been paid to the development of streams within the objects of the charity including CityReaching and Micro-Church.
General networking
The director continued to reach out to new churches and parts of the country with significant size churches requesting help. The director has been involved in providing opportunities for churches to access consulting and training.
Kx Hubs
In 2022 9 active hubs continued – Harrogate, Sheffield, Deal, Bridlington, Coventry, Cambridge, Tunbridge Wells, Ipswich, Liverpool.
Consulting
Consulting continued to be a significant part of the director’s work where churches have not yet fully accessed training but are wishing for input to the development of their churches.
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KAIROS CONNEXION
The report of the Trustees for the year ended 31 December 2022
Coaching
Coaching groups continued to serve many leaders across the nation. Not only the director but also the hub leaders and others provide this support to senior church leaders reaching an excess of 50+ such pastors, ministers and vicars. The director is personally coaching 38 senior leaders through his huddles
Training
The Crewe Kx learning community based at West St Christian Fellowship has continued successfully.
The online training has been made more accessible through a change of delivery platform and the reducing of costs – Brighter and Inside Out. This has created increased usage.
Kx Family Churches
25 churches continued to be actively supported across the network. There was a community of practice and a retreat held for senior leaders and team members.
Writing
Nic Harding published a new booklet called the Why Aren’t We Making Disciples?
Main Achievements in 2022
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Delivering support, coaching, consultancy and training
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New content creation for huddles and training
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Bringing a new Leadership Team together
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Advising Trustees regarding succession planning
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Developing the Micro-Church stream
Kxwebsite.(2023)
A new website has been developed https://kairosconnexion.org
Financial Review
Principal Funding Sources
Kx partner churches (known as family churches) are a primary source of funding for the Charity. These are churches who want to invest in the vision, central functions and expansion of the Charity. These churches give between 1 -2% of their regular income to the charity.
A secondary source of income is training and coaching. The delivery of training in the forms of Workshops, Learning Communities and communities of Practice generate income to carry out these activities and provide some support towards dayto-day operations of the Charity.
Investment & Reserves Policy
The Charity does not currently have an investment or reserve policy as the financial forecast has not been robust enough to need this. When our finances stabilise the Trustee Board will review this and put into place any necessary policies.
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KAIROS CONNEXION The report of the Trustees for the year ended 31 December 2022
Transactions and Financial position
The charity’s income in the year was £84,842 (2021: £79,499) after expenditure of £79,682 (2021: £71,394) a surplus of £5,160 (2021: £8,105) is reported. General reserves carried forward amounted to £32,464 (2021: £27,304).
Reference and administrative details
The legal status of the charity is a Charitable Incorporated Organisation (CIO) Date of registration 19 September 2016 The Registered office is Frontline Centre, PO. Box 38, Wavertree, Liverpool, L15 0FH Charity Registration Number 1169621
Trustees serving during the year end were as follows:
Mr J Lovell – Chair (resigned 24[th] June 2023) Rev Canon Mark Carey (Acting Chair from 24[th] June 2023) Dr N Harding – Director Mr Ben Askew Mrs Ceri Harris Mrs Christie Lothamer Mrs Jacky Johnson (resigned 7[th] March 2023) Mrs E Lovell (resigned 24 June 2023)
Structure, Governance and Management
Recruitment and Appointment of Trustees
New Trustees are recruited by the existing charity trustees. In selecting individuals for appointment, the charity trustees must have regard to the skills, knowledge and experience needed to effectively administer the charity. Any new trustees are appointed for a minimum of 3 years.
Trustee Induction and Training
Prior to or at their first appointment, new trustees are given:
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A copy of the latest Annual Report for the charity and statement of accounts
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A copy of the current version of the Charity constitution
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A copy of ‘The Essential Trustee: what you need to know, what you need to do’
Legal Statements
The charity trustees have complied with their duty to have due regard to the guidance on public benefit published by the commission in exercising their powers or duties.
Independent Examiner
Malcolm Wright, Elpizo Limited, Chartered Accountants, 13 Village Road, Higher Bebington, Wirral, CH63 8PP
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KAIROS CONNEXION The report of the Trustees for the year ended 31 December 2022
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 charitable company and of the incoming resources and application of resources, including the income and
expenditure, of the charitable group for that period. 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;
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make judgements and estimates that are reasonable and prudent;
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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 30 October 2023
Signed:
Mark Carey - Trustee
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KAIROS CONNEXION 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 December 2022
I report on the financial statement of the charitable company on page 8 to 15 for the year ended 31 December 2022.
This report is made solely to the charity’s trustees, as a body, in accordance with Section 145 of the Charities Act 2011. My examination has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in an Independent Examiner’s report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and charity’s trustees as a body, for my examination, for this report, or for the opinions I have formed.
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:
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examine the accounts under section 145 of the Charities Act,
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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
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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:
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Which gives me reasonable cause to believe that in any material respect the requirements:
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to keep accounting records in accordance with section 130 of the Charities
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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
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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: 30 October 2023
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KAIROS CONNEXION Statement of Financial Activities For the year ended 31 December 2022
| Unrestricted | Unrestricted | Restricted | Total | Total | |
|---|---|---|---|---|---|
| Funds | Funds | Funds | Funds | ||
| 2022 | 2022 | 2022 | 2021 | ||
| Notes | £ | £ | £ | £ | |
| Income | |||||
| Donations and legacies |
2 | 38,262 |
- |
38,262 | 36,579 |
| Income from charitable activities | 3 | 46,556 | - |
46,556 | 42,920 |
| Interest Income |
23 | - | 23 | - | |
| Total Income | 84,842 | - |
84,842 | 79,499 | |
| Expenditure | |||||
| On charitable activities |
4 | 79,172 | - |
79,172 | 70,932 |
| Governance |
5 | 510 | - |
510_ | 462 |
| Total expenditure | 79,682 | - |
79,682 | 71,394 | |
| Net income/(expenditure) | |||||
| for the year | 5,160 | - |
5,160 | 8,105 | |
| Gross transfer between funds | - |
- | - | **-_ ** | |
| Net movement in funds |
8,105 | - |
5,160 | 8,105 | |
| Reconciliation of funds: | |||||
| Total funds brought forward | 19,199 | - |
27,304 | 19,199 | |
| Total funds carried forward | 32,464 | - |
32,464 | 27,304 |
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 15 form an integral part of these accounts
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KAIROS CONNEXION
Statement of Financial Activities for the year ended 31 December 2022 Analysis of prior year total funds as required by paragraph 4.2 of Statement of Recommended Practice (SORP)
| Recommended Practice (SORP) | ||||
|---|---|---|---|---|
| Unrestricted | Restricted | Total | ||
| Funds | Funds | Funds | ||
| 2021 | 2021 | 2021 | ||
| Notes £ | £ | £ | ||
| Income | ||||
| Donations and legacies |
2 | 36,579 |
- |
36,579 |
| Income from charitable activities | 3 | 42,920 | - |
42,920 |
| Interest Income |
- | - | - | |
| Total Income | 79,499 | - |
79,499 | |
| Expenditure | ||||
| On charitable activities |
4 | 70,932 | - |
70,932 |
| Governance |
5 | 462 | - |
462 |
| Total expenditure | 71,394 | - |
71,394 | |
| Net income/(expenditure) | ||||
| for the year | 8,105 | - |
8,105 | |
| Gross transfer between funds | - |
- | **- ** | |
| Net movement in funds |
8,105 | - |
8,105 | |
| Reconciliation of funds: | ||||
| Total funds brought forward | 19,199 | - |
19,199 | |
| Total funds carried forward | 27,304 | - |
27,304 |
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KAIROS CONNEXION Balance Sheet As at 31 December 2022
| KAIROS CONNEXION Balance Sheet As at 31 December 2022 |
|||||||
|---|---|---|---|---|---|---|---|
| Notes Current Assets Debtors 8 Cash at the bank and in hand Total current assets Creditors: - Amount due within one year 9 Net current assets Net assets The funds of the charity Unrestricted income funds Unrestricted revenue accumulated funds Total charity funds |
2022 £ £ 8,136 25,274 |
2021 £ £ 394 27,753 28,147 (843) 27,304 27,304 27,304 27,304 |
|||||
| 33,410 (946) |
32,464 32,464 32,464 32,464 |
28,147 (843) |
|||||
Approved by the board of Trustees on 30 October 2023 and signed on their behalf by:
Mark Carey – Trustee
The notes on page 10 to 15 form an integral part of these accounts
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KAIROS CONNEXION Notes to the Accounts for the year ended 31 December 2022
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:
a) 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.
b) 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.
c) 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.
d) 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 period of receipt.
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KAIROS CONNEXION Notes to the Accounts for the year ended 31 December 2022
e) 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.
f) Fund accounting
Unrestricted funds are available to spend on activities that further any of the purposes of the charity.
g) 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:
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Costs of raising funds comprise the consists of commercial trading.
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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.
h) 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.
i) 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.
j) 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.
k) 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.
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KAIROS CONNEXION Notes to the Accounts for the year ended 31 December 2022
l) 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 legacies
| Income from donations and legacies | ||
|---|---|---|
Donations Gifts and donations |
2022 £ 38,262 |
2021 £ 36,579 |
| 38,262 | 36,579 |
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 Income from charitable activities
Income Courses, coaching and other activities Other resources Total income from charitable activities Analysis of expenditure on charitable activities Gifts, grants and honorariums Catering and subsistence Travel Subscriptions Professional fees Courses Resources Other IT, office and admin expenses Wages & salaries Total expenditure on charitable activities |
2022 £ 29,682 16,874 |
2021 £ 19,875 23,045 42,920 2021 £ 661 838 623 2,548 240 - 4,928 5,172 55,921 70,932 |
|---|---|---|
| 46,556 |
||
2022 £ 2,473 - 929 3,454 - 420 6,273 9,249 56,374 79,177 |
4 Analysis of expenditure on charitable activities
Notes to the Accounts for the year ended 31 December 2022
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KAIROS CONNEXION
5 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 cots together with the governance costs are allocated to the charitable activities undertaken in the year. Refer to the table below for the basis for apportionment and the analysis of support and governance costs
Analysis of support and governance costs
| General | support | Governance | Total | Basis of |
|---|---|---|---|---|
| Function | apportionment | |||
| £ | £ | £ | ||
| Independent Examiner | - |
510 | 510 | Governance |
| Total |
- | 510 |
510 |
6 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel.
| Salaries and wages |
2022 £ 56,374 |
2021 £ 55,921 |
|---|---|---|
No employees had employee benefits in excess of £60,000.
Dr Nic Harding is executive director of the charity and received a salary in the year of £26,231 (2021: £26,231). Dr Harding is also a trustee. 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 3 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: | ||
|---|---|---|
| 2022 | 2021 | |
| Number | Number | |
| Charitable activities | 2 | 2 |
7 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.
Notes to the Accounts for the year ended 31 December 2022
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KAIROS CONNEXION
| 8 Debtors: amounts falling due within one year. Other debtors 9 Creditors: amounts falling due within one year. Creditors and accruals |
2022 2021 £ £ 8,136 394 2022 2021 £ £ 946 843 |
|---|---|
10 Contingent assets – legacy income
As at 31 December 2022 the charity had not been notified of any legacy income or prospective legacy income.
11 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.
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