REGISTERED COMPANY NUMBER: 10612051 (En(Fland and Wales) REGISTERED CHAIUTY NUMBER: 1172517 REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 ST DECEMBER 2023 FOR BRANDON HOUSE LIMITED
BRANDON HOUSE LIMITED CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED i 1ST DECEMBER 202J Page Report of th¢ Trustees Ito4 Report of the Independ¢nt Auditors 5t07 Statement of Financial Activities Balance Sheet Statement of Cash Flows 10 Notes to the Financial Statements 11 to 16
BRANDON HOUSE LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 ST DECEMBER 2023 The Tn]stees, who are also directors of the Charity for the purposes of the Companies Act 2006, present their report with the financial statements of the Charity for the year ended 3 1st De¢eTnber 2023. The Trustees have adopted the provisions of Accounting and Reporting by Chaiities.. Statement of Recommended Practice appl2eable to charities preparin(T their accounts in accordance with the Financial Reportintr Standard applicable in the UK and Republic of Ireland {FRS 1021. OBJECTJVES AND ACTIVITIES Objectives and aims The charitable cornpany's purposes, as set out in the Objects clause contained in the Company's Memorandum of Association are.. l. to advance the Akshar Purushottam Swamin3rnyan denomination of the Hindu religion based upon the tettchEngs and prin¢iples of Bhagwan sWalardyan', and to foster the practice and worship of the Akshar Purushottam Swaminartyan denomination of the Hindu religion as revealed by Bhaqwan Swaminarayan,. 2. preserve and safeguard the health of all persons and in particular of young persons who are in dantter of becomints addÈcted to or dependent upon illeval drllgs of any description, alcohol, solvents or other addictive substsnces.. advance education for the public benefit,. 3. promote community participation in healthy recreation so as to develop participants, physical. mental and spiritual capacities,. and 4. for those purposes without prejudice to the generality of the foretsoints to allow other charities having similar objects to occupy any of its premises at nolninal or rnarket rent. Our aim5 fully reflect the purposes that the Charity was set up to fijrther. The Charity seeks to Tneet its aims and objectives by periodically donating surplus funds to other charities which prolnote
nd deliverthe same aims and objectives such as Bochasanwasi Shri Akshar Purushottam SwamEnarayan Sanstha (BAPS)
or to its parent charity, Nilkanth Estates, who share the same aims and objectives. Aehievements the year Durino the vear, the Charity continued to receive rental income from the lettin(T of its industrial Lfftits and provided part of its buildings at a peppercom rent for use by BAPS for its charitable purposes which are similar to those of the Charity. The Chariry also purchased a new propety in the year. The sncome trenerated from letting this propety in ture will contribute to the rthernce of Charity's airns and objectives. Ensuring our work delivers our aims We review our ailns, objectives and activities on a yearly basis. This review looks at what we achieved 2nd the outcomes of our work in the current period and io continue the review on an onooino bls. The review looks at the success of each key a¢tivity and the benefits they have brought to those groups of people we are set up to help. The review also helps us ensure our aitn, objectives and activities remain focused on our stated purposes. We have referred tts the tsuidance contained in the Charity Commission's general guidance on public benefit when reviewing our aim and objectives and in planning our future activities. In particular. the Trustees WD5ider how planned activities will ¢ontrsbute to the aims and objectives they have set. Volunteers Volunteers are an important resource for the Charity and are involved in all of our activities. The Trustees also give their time freely. Page I
BRANDON HOUSE LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 ST DECEMBER 2023 FINANCIAL REVIEW Financial review The Statement of Financial Activities (SOFA) shows net incoming and outgoing resources for the year. During the year, the Charity had a net income before tsain on revaluation of investtnent properties of £440,657 (2022.. £7,550:963). As at the balance sheet date, the Charity has net fvnds of £1 1,445,992 (2022.. £11,015.336). The Trustees have assessed the going concern risks to the Charitable Company and have concluded that: financial projections iDdicate that the Charity will continue to meei its liabilitie5 as they fall due over the next twelve month5 from the date of approval of these financial statements. The Charity'5 parent undertaking, Nilkanth Estates, has confirmed that if required, it will Tnake available such nds as are needed by the Charitable Company for the period covered by the forecasts. These forecasts 8re based on full rents resuming afterthe tempotary concession due to the pandemic, as well as the agreed waiver of loan interest from l January 202J by Nilkanth Estate5 on its loan to the Charity. which Nilkanth Estates has confirnied will not be repayable until at lel one year from 31 December 2023. In light of the above. the Chariry does not believe there to be a rnateri21 uncertainty regarding its going concern. Principal funding source5 The Charity's activities are mainly financed by fL]nds raised through rental income, voluntary donations and financial support from its parenL Nilkanth Eststes. Reserves poliey The Trnstees review the Reserve Ptslicy annually. Their policy is to hold sufficient ¢h reserves to meet the operatin(p costs of the Charitv which are rninimal and in respect of premises costs of the property used by BAPS for chaThtable purposes. The charity held cash reserves of £622,5141?02?: £25 J,626). Surplus ndS from donations and rental income are accumulated and used for the rthCranCe of the Charity's objectives. STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document Brandon House Limited is a reoistered charity (Tber 1172517) under the Charities Act 2011 and is a charitable organisation incorporated in England on 9 February 2017 as a company limited by ouarantee under Compally number 10612051. The Charity is controlled by its ooverning document. Melnorandum and Afticles of Association. Page 2
BRANDON HOUSE LIMITED REPORT OF THE TRUSTEES FOR THE YEAR ENDED JIST DECEMBER2023 REFERENCE AND ADMINISTRA TIVE DETAILS Registered Company number 0612051 (England and Wales) Registered Charity number 1172517 Registered offiee 104 College Road HaTrow HAI IBQ Trustees Mr K Bhattessa Mr Y M Patel tr J Patel DrMRShah Hotelier cOTnpY Director Compkny Director Doctor There are five Trustees in post during the year, and four at the year-end. and they have responsibilitv for Tneetin(r the obligations of the Charity. All Trustees give their time voluntarily and receive no remuneration or benefits from the Charity. A5 the Trustees are the key manageTnent personnel of the Charity and ale not remunerated. theie is no remuneration policy foi key manatrement persorjnel. Underthe requirements of the Articles ofAssociation of the Chatity, the current Trustees may appoint new and additional Trustees: (subject to a maximurn of five Trustees at any time) by passing of a resolution at a Trustees, meeting. Eaeh trustee shall hold office for an initial temi of three years. renewable by re-appointment for further terms of three years. Existin(T Trustees may propose the appointment of new Ttees. however. any such appoIntent requires approval by BAPS India. Subject to article 20A, the Trustees may appoint new and additional TStee$ by a resolution of the Trustees passed at a Trustee meetints These individuals work alongside existin(p Trllstees for a period of three years before being considered for appointtnent. Onooin(T training is received by the Trustees tlm)uJo attendance at courses and being provided with relevant Ènforniation from various re50ur¢es, as required. Auditors MHA Sixth Floor 2 London Wall Place London EC2Y SAU Page 3
BRANtX)N HOUSE LIMtTED REPORT OF THEIRUSTEES FOR THE YEAR ENDLD 31ST DECEMBER 2023 SrATEmRf OF TRUEs RESPOPISIBILITIES The Trustees 2re sts the director$of Brdndort Houqe Liniiled for Uiepurposes of company lawl 2re re5poThsible for prepariogth¢ Reportefthe Tntskes and the fittancial statements its accordaneeivith applicablc law UnitedKingdem Accounting Standarts (Ullited Kingdom GctKMlly Accepted AccourttinE Pr&cti¢¢l. Company law requirc5 TnIst$ lo prepare fllmncial sratcmcllts foreac& finattcial yearwhichgive attand fairview ofthe stateofaff2irsofthe d)itablecompany andof the trtcomitig resoure<% and appli¢alion ofr¢souwe4 includingihe income ¥nd expenditurq ofthc clw£rablc company for th wxiod. In prcparing those finattthal swementl the TrtLeeS required to: selectsuitsble 2tt0Untingpoli¢its and tbcn applythcmconsistently. obxnr thc methods andprinciples in the Charity SORP. 2kt judsemcrtts and tstimates tha( are ronable and prudcni., preparethe fLnancial statemajtson Ihegoingr¢ttccm basi5 unle5S it 15 iwproprrdteio prwmetht thedwitable comprtny %¥ill eontinue irt busille The TnLStees arc rtsponsible for keeping adequate aCContIng rOrdS whith th$05¢ with reasonable a¢cLTrCy at arty time the fJn8ncial po$ition of the table cemp8ny gjjd to enable them io ensure that the fInancial staiemet)ts coinply Ivtth the Companies Act2006. Theyarea150 r¢5ponsiblt forsaftguarding tht Sets ofthe ehariiable company and hent¢ for tsking rewnable SLqJS for the prcvcntion and detection of frs]]d other iTregul8ritits. In so far¥ the Trus(ee5 areaware: therc is no rci¢v&nt autht infonnation ofivhich the ciwifable conwang$2udittsrs #re Uttaa. artd the Trustees h¥¥e taktt) all stcps that they ought to have taken ro make Ihems¢lv¢s aivwe ot any rtIevart audit information to cstsblish that the auditors &¢awore ofthatitifotinatioTJ. AUDrroRS ThE auditor& MHK will b¢ pmw)sed for rt-appjifflment at the forthwrrying Annual Gerteral Meeting followittg their apwintment duringd year.. This reporth&5 beenWepYd in accordan¢ewiththe spect21 provisiorA of Part IS ofth¢ Cornwitt Act 2006 rclatireto stttail companie& Approved by order ofth¢ ard of Tnts on. Si)ed tsn irs L%halfby: Mr J M Pat¢l- Inslce Page 4
B114NDON HOUSE LIMITED REPORT OF THE tNDEPENDENT AUDITORS FOR THE YEAR ENDED J l DECEMBER 2023 Opinio We have audited the financial statements of Brandon House Limited (the 'charitable company'l for the year ended 31 December 20?3 which COTnprise the Statement of Financial Activities, the Balance Sheet, the Ststement of Ch Flows and notes to the financial statements, including a summary of sittnifIcant accounting policies. The financsal reportino framework that h85 been applied in their preparat2on is applicable law and United Kingdom Accountintr Standard5. includin(r Financial Reponing Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland {United Kingdom Generally Accepted Accounting Practice). In our opinion the financi21 statements- give a true and fair view of the State of the charitable company's affasrs as at i l December 2023, and of its incoming resources and application of resources, including its income and expenditure. for the year then ended- have been properly prepared in accordance wth United Kingdom Generally Accepted Accounting Practice; and have been prepored in accordance with the requirements of the Compa#ies Act 2006. Basis for opinion We conducted OUF audit in accordance with Intetnational Standards on Auditino (UK) (ISAS WK)) and applicable law. Our responsibilities under those standards are fvrther described in the Auditor's Responsibilities for the audit of the financial statements $tion of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK. includints the FRC'S Ethical Standard, and we have fulfilled our oiher ethical responsibilEties in accordance with these requirements. We believe that the audit evidence we have obtained is suffi¢ienr and appropriate to provide a b&%is for our opinion. Conelusions relating to going eoneern In auditints the financial statements. we have concluded that the Trn5tees' use of the (TOin(r concem basis of accountlDg in the preparation ofthe financial statements is appropriate. Our evaluation of the Trustees, assessment of the entity's abllity to continue to adopt the IToin(T concern basis of accounting included ¢riiical reviews of expected investment inc0e and assurdnces provided bythe charitable company's parent company. Nilkanth Estates. to provide financial asssstance should st becolne required. Based on the work we have p¢rformed, we have not identified any material un¢ertainties relating to events or conditions thai. individually or collectively, may cast sitsnificant doubt on the charitable company's ability to continue as a going con¢ern for a period of at least twelve months from when th¢ financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to (roints concern are described in the relevant sections of this report. Other informatio The Trustees are responsible for the other information. The other infomiation comprises the infortnation included in the annual reporL other than the financsal statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other inforniation and, ex¢ept to the extent othenwise explicitly stated in our repor( we do not express any forrn of assurance conclusion thereon. In connection with our audit of the financial statements. our responsibility is to read the other infom)ation and, in doin(T so. consider whether the other information is materially inconsistent with the financial statements Or our knowledge obtained in the audit or otherwise appears to be materially rnis5tated. If we identify such material inconsistencies or apparent material Tnisstatelnents. we are required to determine whethei there is a material tnisstaternent in the financial siateTnenES or a material misstatement of the other information. If. based on the work we have perfomied, we conclude that there is a rnaterial misstatement of this other infortnation, we are required to report that fact. We have nothing to report in this regard. Page 5
Opinions on other matters pre$crÈbed by the Companie5 Act 2006 In our opinion, bed on the work undertaken in the Course of the audit.. the information given in the Tn]stees' report (incorporatintt the Directors. report) forthe financial year for which the financial statements are prepared is con51Stent with the financial statements- and the Trustees, report {incorpordting the Directors, report) has been prepared in accordance with applicable legal requirements. Matters on which w¢ are required to report bv exception In the liJts t of our knowledge and understsndincr of the charitable company and its environrnent obtained in the course of the audit. we have not identified material misstatements in the Dire¢tors' report. We have nothing to repon in respect of the followints matters sn relation to which the Comp2nies Act 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kepi or returns adequate for our audit have not been received from blanches not Vlslted by us,. or the financial statements are not in agreement with the accounting records and returns., or certain disclosures of Directors, rernuneration specified by law are not made.. or we have not received all the inforniation and explanations we require for our audit., or the TTUStees were not entitled to prepare the financial statements in aecordance with the small companies, rets]e and take advantarle of the small companEes' exemptions in preparints the Direetois, report and from the requirement to prepare a strategic report. Responsibilities of Trustees As explained more fully in the Trustees. responsibilities statement included in the Trustees, Annual Report, the Trustees (who are also the Directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statelnents and for beino satisfied that they give a true and fair view, and for such internal control as the Trustees detemine is necessary to enable the preparation of financial Statements that are free froln inaterial Tnisstatement. whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to goino concern and using the goincp concern ba51S of accounting unless the Trustees either intend to liquidate the charitable ¢ornpany or to ce&se operations, or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the rtnancial statements Our objectives are to obtain reasoT)able assurance about whether the fInancial statements as a whole are fret from material misstatemenL whether due to fraud or ¢rror, and to issue an auditor's report that includes our opinion. Reasonable assurance is a hirwh level of assurance, but is not a guargntee that an audit conducted in accordance with ISA5 (UK) will always detect a rnaterial misststement when it exists. MisstateTnent5 can arise from fraud or error and are considered ITate. they could ieasonably be expe¢ttd to influence the economic decisions of material if. individually or in the 4gre? users taken on the basis of these financial statements. Irregularities, including fraud. are instances of non-compliance with laws and regulations. We desitrn procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irreryularities, including fraud. The specific procedures for this eno trement and the extent to wh2ch these are capable of detecting irregularities, includin(T fraud is detailed below.. Enquiry of those charoed with governance concernints any instances of known or suspected instances of fraud- Enquiry of those char(Ted with oovernance concerning acknal and potential lititsation and claim5. Enquiry of those charged with governance concerning any instances of non-compliance with laws and regulations- Reviewing the control systerns in place and testino the effectiveness of the controls., performin audit work overthe risk of management oveIde of controls, includino testing of journal ¢ntri¢s and Page 6
other adjustsnents for appropriateness= Evaluating the business rationale of significant transactions outside the nornial course of business and reviewin(r accounting estimates for bi&s. Reviewin minutes of TneetlFilT5 of those charged with governance: Reviewinu financial statement disclosures and testing to supporting documentation to assess COEnplian¢e with applicable laws and regulations. Because of the inherent limitations of an audit, there is a risk that we will not detect all irteoularitie5. including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or ietsulation is removed from the events and trdnsactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater reoardino jrreoularities occurrints due to fraud rather than error, &s fraud involves intentional concealmenL forg¢ry. collusion. omission or misrepresentstion. A funher description of our responsibilities for the audit of the financial stateTnents is located on the Financial Reporting Council's website at." https../lwww.frc.org.uklOur-Work]AudiUAudit-and-assurancdStandards-and-guidancelStandards- and-guidance-f0i-auditorAudlt0rS-respon51bIlit1e5-fOr-audluDescrlpt10n-of-aud1t0FS-reSponSibl11t1e$-fOr-audit.aspx. This description fornis part of our auditor's report. Use of thi5 report This report is made solely to the charitable colnpany's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Aci?006. Our audit work been undertaken so that we mitsht state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent pennitted by law, we do not accept or assume responsibility to anyone other than the charirable company and the oharitable company's member5 as a body, for our audit work, for this repor¢ or for the opinions we have fornied. £AL A71 Sudhir Singh FCA (Senior Statutory Auditor) For and on behalf of MHA. Statutory Auditor London, United Kinodom Date= 30 September 2024 MHA is the tradints name of MacJntyre Hudson LLP: a limited liability partnership in England and Wale5 (retsistered number OC3123 IJ) Page 7
BRANDON HOUSE LIMITED STATEMENT OF FtNANCIAL ACTIVITIES (incorporating an Income and Expenditure account) FOR THEYEAREFIDED 31ST DECEMBER2023 ?023 Unr¢stri¢ted funds 2022 Total Funds Notes INCOME AND ENDOWMENTS FROM Donations and letsacieg Investment income 7 ?00.000 J99 999 523.984 Totsl 523.984 7 599.999 EXPENDITURE ON Raisino fund5 83J28 49.037 Totgl 83J28 NET INCOMEI (EXPENDITURE) 440,657 7,550.963 RECONCILIATION OF FUNDS Tot21 funds brought forward 11015J36 3 464 i73 TOTAL FUNDS CARIUED FORWARD The notes for part of these financial statements Page 8
BRANDON HOUSE LIMITED Registered Company Number: 10612051 BALANCE SHEET AT 31ST DECEMBER 2023 2023 Unrestricted funds 2022 Total Fund5 Notes FtXED ASSETS Tangli )le assets Inv¢sttnent properties Mixed use assetsl InY¢stment property 1.647,760 6,19 10,000.000 17 657 642 1.671,840 6.001,956 17 CURRENT ASSEIS D¢btors at bank io 186.069 622 1,385J03 808083 1.638.Y29 CREDITORS Amounts falliDg due within one year 196.m) {84.138) P4rr CURREprr ASSETS 711.601 TOTAL ETs LFSS CURREr LIABILMES J8J69343 19228,587 CREDm)RS Amounts fa]lin8 due after tnore than one year 12 (6,913351) 18213251) NET LIABILrriLS 11.015 114W92 a36 FUNDS Unrestri¢trd funds 13 li IIOl5336 TOTAL FUNDS li 1015.336 These fiTran¢1 ststEm¢nts have bc¢ prepar¢d in a¢¢ordan¢¢ with the proYision5 applicable to Eharitable companie5 subject to the small CompleS ]rgine. Th¢ fllL8n¢i81 stat¢metLts w¢¥e approved by the Board of Trustee5 On. b¢half by: . and were sigoed on its 2.1.....J?k. 1{ The Dotes fornJ part of these fmancial swements Page 9
BRANDON HOUSE LIMITED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 ST DECEMBER 2023 2023 2022 Notes Cash flows from operating activities: Cash oenerated froTn operations 16 376.814 5,877.195 Net eash provided by (used in) operating activities 376,814 5 877,195 Cash tlow from investing activities: Purchase of investment property (7,926) (6,001.956) Net Cash provided by (used in) investing aetivities 6001956 Change in cash and cash equivalent5 in the reporting perÈod 368,888 (124,761) Cash and cash equivalents at the beginning of the reporting period 253,626 378.387 Cash and Cash equivalents at the elld of the reporting period 622,514 253,626 ANALYSIS OF CHANGES IN NET DEBT A5at31 December Asatol January 2023 Cash flows Cash at bank and in hand Debt due after one year 25J.626 (8.21i,2511 368,888 1.300,000 622,514 (6,913,251) (7,959,625 1,668,888 6,290,737) The notes fomi part of these fin8ncial statements Page 10
BRANDON HOUSE LIMITED NOTES TO THE FtNANCIAL STATEMENTS FOR THE YEAR ENDED 31 ST DECEMBER 2023 ACCOUNTING POLICIES Basi5 of prep3ring the fin2nct21 statements The financial statements of the charitable coTnp8ny, which is a public benefit entity under FRS I O? have been prepared in accoidance with the Charities SORP IFRS 102) 'Accountin. (T and Reportin(Y by Charitie5.' Statement of Recommended Practice applicable to charities preparints their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 1021, Financial Reporting Standard 102 'The Financial Reportints Standard applicable in the UK and Republic of Ireland, and the Companies Act 2006. The fInaneial statements have been prepared under the historical cost conventson, Is modified by the revaluation of cenain assets. Going Coneern The Charitsble Company had net fi]nds amounting to £1 1,445.992 (2022.. £11,015,J36) at year-end. The Trustees have assessed the going concern risks to the Charitable CoTrpany and have concluded that= financial projection5 indicate that the Charity will continue to meet its liabilities as they fall due over the next twelve months from the date of approval of these financial statements. The Charity's parent undertakincF Nilkanth Estates, has confimied that if required, it will Tnake available such fimds are needed by the Charittble Company for the period covered by the forecasts. These forecasts are based on 11 rents resurnints after the temporary con¢ession due to the pandemic. as well as the agreed waiver of loan interest from l January 202J by Nilkanth Estates on its loan to the Chaiity. which Nilkanth Estates confmed will not be repayable until at least one year from J l December 20?3. In light of the above. the Charity does not believe there to be a material uncertainty regarding its tsoints concern. Ineome All income ss recogni5ed in the Statement of Financial Activities once the Charity has entitlement to the funds, it is probable that the incorne will be received and the amount can be meUred reliably. Rental Income Rental incolne from operating leases (net of any incentives given to the lessees) is recOlSed on a straight-line basis over the lease tem]. Expenditure Liabilities are recOlSed as exptnditure as soon as there is 2 le1 or construcllve obligation committing the Chariry to thar expenditure. it is piobable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure i5 accounted for on an a¢crua15 basi5 and has been classified under headtngs that atsoreoate all cost related to the category. Where costs cannot be directly attributed to particular headin. s they have been allocated to activsties on a basi5 COIIS15tent with the use of resources. Tangible Fixed assets Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to attivities on the basi5 of the use of the related assets in those activitie5. Assets are reviewed for impairnlent if circumstances indicate their Carrying value aY exceed their net realisable value and value in use. Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected use1 life. The depreciation rates in use are follows.. Freehold buildings= 20/0 on cost Freehold land is not depreciated. Page 11
BRANDON HOUSE LIMITED NOTES TO THE FfNANCIAL STATEMENTS - CONTtNUED FOR THE YEAR ENDED 31ST DECEMBER2023 ACCOUNTING POLICIES- continued Mixed Use Assets Propety held for a Combination of financial return and contribution to the Charity's purposes is classified as mixed use assets. Under FRS102 and Charity SORP, the elelnent of the assei held for financial ret[ requires revaluation at year- end fair value. Taxation The CharEty is exempt from corporation tax on its charitable activities. Accounting estimates and judgements Jn the application of the Charity's accounting policies. the Trustees are required to make judtrements, estiTnatt5 and assumptions about the carrying amount of assers and liabilitie5 that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are Considered to be relevant. Actual results may differ from these estimate5. The estimares and underlying assumptions are reviewed on an on¢roino basis. Revisions to accountints estimates are recotsnised in the period to which they relate. Covid-19 ha5 had no iinpact on any accounting estimates and judgeTnents. Mixed Use Assets A mixed-use asset is an asset held to tsenerate a financial return and which also contributes to the Charity's purposes. The Chaiity's Brandon House properpi represenrs a mixed-use asset. The element of the asset deemed to be held for fInancial retum is accounted for as an investment and measured at fair value at the reportino date: the Trustees have reviewed the fair value of this element at the year-end. in line with SOIiP requirements. and do not believe it to have materially changed since its revaluation on J l December 20?0. The element of the asset deemed to be held to contribute io the Charity'5 purposes is accounted for a ianrwible fixed assei and measured at cost less depreciation. The Trustees have used floor area as the basis for estimating the proportions of the asset accounted for as an investtnent and a tantrible fixed se1. Fund aceountin 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 ndS are rdised for particular restricted purposes. Coneessionary loans Loans which have been taken out with an interest rate below the market rate and for charitable purposes are deemed as concessionary loans. Further explanation of the nature and purp05e of each nd is included in the notes to the financial statements. DO]YATIONS AND LEGACIES 2023 2022 Donations 7.200,000 INVESTMENT INCOME 2023 2022 Rents received Pag¢ 12
BRANDON HOUSE LIMITED NOTES TO THE FtNANCIAL STATEMEwfs- CONTINUED FOR THE YEAR ENDED i I ST DECEMBER 2023 114ISING FUNDS InveStellt management costs 2023 ?02? Rates Insurance Bank chartses Sundries Electricity Depreciation Professional fees Interest paid (1,524) 9,719 95 13 17,517 24,080 33,374 54 i,657 15 16,675 24,080 5.758 83,328 NET INCOME/{EXPENDITURE) Net incomel(expenditure) is ststed after charginJo (credititt 2023 2022 Auditors, remuneration 4,800 4,200 ANALYSIS OF STAFF COSTS, TRUSTEES, REMUNERATION AND BENEFITS The Charity is managed and operated by its Trustees and there are no eTnployees. All Trustees give their time voluntarily and receive no reTnuneration or benefits from the Charity. There were no Trustees. expenses paid for the year ended 31st December 2023 nor for the year ended 3 1st December 2022. Page 13
BIiANDON HOUSE LIMITED NOTES TO THE FINANCIAL STATEMENTS - CONTINUED FOR THE YEAR EFIDED 31 ST DECEMBER 2023 TANCIBLE FIXED ASSETS Freehold buildings Cost At I si January 2023 1,720,000 At 31" Decernber 2023 De reeiation At I" January ?02J Charge for the year 48,160 24,080 At 31° December 2023 Net Book Values: At 15l Janvarv 2023 At 31. December 2023 INVESTMENT PROPERTY FAIR VALUE At I" January 2023 Additions 6,001.956 7,926 At 31° December 2023 MIXED USE ASSETI INVESTMENT PROPERTY FAIR VALUE At 1st January ?023 10.000,000 At 31" December 2023 In line with financial reporting requirements. and at the year-end. the Trustees have reewed the fair value of the element of the Charity's Brandon House property which is used for investment purpose5. They do not belteve it to have materially changed in fair value since its revaluation on 31 December 2020 which used an inlomal valuation from a RICS-accredited property advisor, and trustee consideration of then current market factors. Patse 14
BRANDON HOUSE LIMITED NOTES TO THE FtNANCIAL STATEMENTS- CObtTtNUED FOR THE YEAR ENDED i 1ST DECEMBER 2023 io. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2023 2022 Trade debtr)rs Other debtor5 VAT recoverdble 19,768 166,301 19,002 166,301 1,200.000 186,069 1 385.JOi CREDITORS: AMOUNTS FALLING DUE WITHIF4 ONE YEAR 2023 2022 Trade creditors Other creditors Accrued expenses VAT payable 10,074 82,033 4,800 76 12.462 67.056 4,620 96.983 84.138 12. CREDITORS: AMouNfs FALLJNG DUE AFTER MORE THAN ONE YEAR 2023 2022 Con¢essionary Loans 6,913251 8.21),251 The Charity's parent charity, Nilkanth Estates, provided a loan to the Charity of £8 ?01.Ji l in 2017 for the purchase of the Charity's Brandon House propertv and to further both entities, charitable objectives. The loan: incurred interest at 3 /0 per annum until 31 December 2020 after which the loan became interest free,. is secured against the propery. is repayable on demand, though the parent charity has provided assurances that it will not be repayable until at least one year from 3 1 Decetnber 2023. Nilkanth Estaies hag agreed to waive interest charges on its loan to the Charity since the premises are used for charitable purposes. 13. MOVEMENT IN FUNDS Unrestrieted funds 2023 2022 At start of the year Incolning resources Resources expended I I,OliJ36 523,984 {83,328} 3,464.i7J 7.599.999 (49.036) At end of the year Page 15
BRANDON HOUSE LIMITED NOTES TO THE FINANCIAL STATEMENTS- CONTtNUED FOR THE YEAR ENDED 3 1ST DECEMBER 2023 14L RELATED PARTY DISCLOSURES As detailed in Nore l? the Charity has a coneessionary loan with its ultimate controlling paty Nilkanth Estate5 (see Note 151. Movements in th¢ outstanding balance of the loan are detailed in the below table. 2023 2022 Loan principal Interest accrllals of earlier periods Cumulative Loan repayment 8,271 J31 941,920 2JOO,000) 8.271,i31 941.9?0 ,000,0001 Balance payable to Nilkanth Estaies 6,913.251 8,213 ?51 Brandon House Limited received unrestricted donations of £Nil (2022= £7.2m) from Sarjuda5 Foundation during the yeai. Brandon House Limited and sarJUd Foundation have a trustee in common. 15. ULTJMATE CONTROLLING PARTY The companv is a cornpany limited bv guarantee and the sole guarantor is Nilkanth Estates (Reg. Charity no.11484i l). The latter is incorporated and registered in England & Wales. Consolidated financial ststements otNilkanth Estates are available online at the Companies House website. 16. RECONCILIATION OF NET INCOMEI(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES 2023 2022 Net incomeJ(expenditure) for the reporting period (as per the ststement of financi31 activitie5) Adjustments for: Depreciation Ilncrease)mecrwe in debtors IDecrease)llncr&gse in creditors 440,657 7,550,963 24,080 1,199,232 (1,287,155 ?4.080 (1.202.56?) 495,286) Net cash provided by operating aetivities 376,814 5.877.195 Page 16