2021-04-30-accounts

COMPANY REGISTRATION NUMBER: 10113353 CHARITY REGISTRATION NUMBER: 1172713

STONEWHITE

Company Limited by Guarantee Unaudited Financial Statements

30 April 2021

CHARTWELL ACCOUNTANTS & BUSINESS CONSULTANTS LLP

Chartered Certified Accountants

47 Bury New Road Prestwich Manchester M25 9JY

STONEWHITE

Company Limited by Guarantee

Financial Statements

Year ended 30 April 2021

	Page
Trustees' annual report (incorporating the director's report)	1
Independent examiner's report to the trustees	4
Statement of financial activities (including income and
expenditure account)	6
Statement of financial position	7
Notes to the financial statements	9

STONEWHITE

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 30 April 2021

The trustees, who are also the directors for the purposes of company law, present their report and the unaudited financial statements of the charity for the year ended 30 April 2021.

Reference and administrative details

Registered charity name STONEWHITE Charity registration number 1172713 Company registration number 10113353 Principal office 3 New Hall Avenue Salford M7 4JY Registered office 47 Bury New Road Prestwich Manchester M25 9JY The trustees Mr D Greenblatt Mr Y C Reich Mr P Corn Independent examiner Meir Guttentag FCCA of Chartwell Accountants and Business Consultants LLP 47 Bury New Road Prestwich Manchester M25 9JY

Structure, governance and management

Stonewhite was incorporated on the 8th of April 2016 as a company Limited by Guarantee with company number 10113353. It was registered as a charity with the Charities Commission on the 24th of April 2017 governed by its Memorandum and Articles of Association. The charity registration number is 10113353.

The Charity is managed by the Trustees who all act in an honorary capacity. The procedures for electing Trustees are detailed in the Articles of Association.

Risk review

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems are in place to manage exposure to the major risks.

1

STONEWHITE

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

Objectives and activities

The objects of the charity are for the public benefit to promote the education of people of all ages in the North of England in such ways as the Trustees think fit, including awarding scholarships or grants to such persons or to award grants to organisations that provide education; to advance the Orthodox Jewish Religion in the North of England for the benefit of the public in accordance with the principles of the code of Jewish law (Shulchan Aruch).

Public benefit

The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning future activities for the year.

Strategic report

The following sections for achievements and performance and financial review form the strategic report of the charity.

Achievements and performance

The Charity owns a building which currently houses the Etz Chaim Boys School in Salford. The independent school has a current student roll of over 200 boys aged between 11 and 16 and provides education according to the tenets of the Orthodox jewish religion in line with the objectives of the charity. The school pays rent annually of £145,000 but as of the year end, £342,500 was owed by the school in unpaid rent.

During the period the Charity received £125,000 in donations. A grant of £40,000 was received for the specific purpose of supporting the SEN department of the Etz Chaim Boys School all of which was paid out during the year.

Financial review

The total amount of unrestricted reserves held by the Charity at the year end was just under £1,117,185.

Donations of £125,000 and £20,000 of rent was received during the period and further rent of £125,000 was accrued. The total expenses for the period including grants paid was £119,727.

Reserves policy

The trustees have reviewed the reserves and future requirements of the charity. All future needs are considered together with any risks or contingencies that may exist. The trustees are confident that sufficient reserves will be generated to achieve the objectives of the charity.

Plans for future periods

For the immediate future the Charity intends to continue to manage the property purchased for the benefit of the Etz Chaim Boys School. In the long term, the Trustees will consider funding new projects in line with the objects of the Charity.

2

STONEWHITE

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 30 April 2021

The trustees' annual report and the strategic report were approved on 25 January 2022 and signed on behalf of the board of trustees by:

Mr Y C Reich Trustee

3

STONEWHITE

Company Limited by Guarantee

Independent Examiner's Report to the Trustees of STONEWHITE

Year ended 30 April 2021

I report to the trustees on my examination of the financial statements of STONEWHITE ('the charity') for the year ended 30 April 2021.

Responsibilities and basis of report

As the trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements 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 the 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

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of The Association of Chartered Certified Accountants (ACCA), which is one of the listed bodies.

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:

1. accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or

2. the financial statements do not accord with those records; or

3. the financial statements 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

4. the financial statements 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).

4

STONEWHITE

Company Limited by Guarantee

Independent Examiner's Report to the Trustees of STONEWHITE (continued)

Year ended 30 April 2021

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.

Meir Guttentag FCCA of Chartwell Accountants and Business Consultants LLP Independent Examiner

47 Bury New Road Prestwich Manchester M25 9JY

25 January 2022

5

STONEWHITE

Company Limited by Guarantee

Statement of Financial Activities (including income and expenditure account)

Year ended 30 April 2021

			2021		2020
		Unrestricted	Restricted
		funds	funds	Total funds	Total funds
	Note	£	£	£	£
Income and endowments
Donations and legacies	5	85,000	40,000	125,000	329,000
Investment income	6	145,000	–	145,000	145,000
		─────────	────────	─────────	─────────
Total income		230,000	40,000	270,000	474,000
		═════════	════════	═════════	═════════
Expenditure
Expenditure on charitable activities	7,8	79,728	40,000	119,728	191,955
		─────────	────────	─────────	─────────
Total expenditure		79,728	40,000	119,728	191,955
		═════════	════════	═════════	═════════
		─────────	────────	─────────	─────────
Net income and net movement in	funds	150,272	–	150,272	282,045
		═════════	════════	═════════	═════════
Reconciliation of funds
Total funds brought forward		966,913	–	966,913	684,868
		────────────	────────	────────────	─────────
Total funds carried forward		1,117,185	–	1,117,185	966,913
		════════════	════════	════════════	═════════

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

The notes on pages 9 to 17 form part of these financial statements.

6

STONEWHITE

Company Limited by Guarantee

Statement of Financial Position

30 April 2021

		2021	2020
	Note	£	£
Fixed assets
Tangible fixed assets	15	2,623,545	2,599,106
Current assets
Debtors	16	429,333	257,419
Cash at bank and in hand		–	11,765
		─────────	─────────
		429,333	269,184
Creditors: amounts falling due within one year	17	902,642	833,526
		─────────	─────────
Net current liabilities		473,309	564,342
		────────────	────────────
Total assets less current liabilities		2,150,236	2,034,764
Creditors: amounts falling due after more than one year	18	1,033,051	1,067,851
		────────────	────────────
Net assets		1,117,185	966,913
		════════════	════════════
Funds of the charity
Unrestricted funds		1,117,185	966,913
		────────────	─────────
Total charity funds	19	1,117,185 ════════════	966,913 ═════════

For the year ending 30 April 2021 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 company to obtain an audit of its financial statements for the year in question in accordance with section 476;

• The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.

The statement of financial position continues on the following page.

The notes on pages 9 to 17 form part of these financial statements.

7

STONEWHITE

Company Limited by Guarantee

Statement of Financial Position (continued)

30 April 2021

These financial statements were approved by the board of trustees and authorised for issue on 25 January 2022, and are signed on behalf of the board by:

Mr Y C Reich Trustee

The notes on pages 9 to 17 form part of these financial statements.

8

STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements

Year ended 30 April 2021

1. General information

The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is 47 Bury New Road, Prestwich, Manchester, M25 9JY.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', 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) (Charities SORP (FRS 102)) and the Companies Act 2006.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.

9

STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Incoming resources

All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:

• income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.

• legacy income is recognised when receipt is probable and entitlement is established.

• income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

10

STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Tangible assets (continued)

An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other recognised gains and losses, unless it reverses a charge for impairment that has previously been recognised as expenditure within the statement of financial activities. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other recognised gains and losses, except to which it offsets any previous revaluation gain, in which case the loss is shown within other recognised gains and losses on the statement of financial activities.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Equipment - 20% straight line

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date.

For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the charity are assigned to those units.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Debt instruments are subsequently measured at amortised cost.

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STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

3. Accounting policies (continued)

Financial instruments (continued)

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure. All other such investments are subsequently measured at cost less impairment.

Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Other financial instruments are subsequently measured at fair value, with any changes recognised in the statement of financial activities, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised under the appropriate heading in the statement of financial activities in which the initial gain was recognised.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

4. Limited by guarantee

The Company is limited by guarantee and does not have share capital. In the event of the Company being wound up the members are required to contribute an amount not exceeding £10.

5. Donations and legacies

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2021
	£	£	£
Donations
Donations received	85,000	40,000	125,000
	════════	════════	═════════
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Donations
Donations received	229,000	100,000	329,000
	═════════	═════════	═════════

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STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

6. Investment income

		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2021	Funds	2020
		£	£	£	£
	Income from investment properties	145,000	145,000	145,000	145,000
		═════════	═════════	═════════	═════════
7.	Expenditure on charitable activities	by fund type
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2021
			£	£	£
	Management of the school building		76,553	–	76,553
	Grants paid		–	40,000	40,000
	Support costs		3,175	–	3,175
			────────	────────	─────────
			79,728	40,000	119,728
			════════	════════	═════════
			Unrestricted	Restricted	Total Funds
			Funds	Funds	2020
			£	£	£
	Management of the school building		85,682	–	85,682
	Grants paid		3,100	100,000	103,100
	Support costs		3,173	–	3,173
			────────	─────────	─────────
			91,955	100,000	191,955
			════════	═════════	═════════

8. Expenditure on charitable activities by activity type

	Activities
	undertaken	Grant funding		Total funds	Total fund
	directly	of activities Support costs		2021	2020
	£	£	£	£	£
Management of the
school building	76,553	–	–	76,553	85,682
Grants paid	–	40,000	–	40,000	103,100
Governance costs	–	–	3,175	3,175	3,173
	────────	────────	───────	─────────	─────────
	76,553	40,000	3,175	119,728	191,955
	════════	════════	═══════	═════════	═════════

9. Analysis of support costs

	Analysis of
	support costs
	for the
	management
	of the school
	building	Total 2021	Total 2020
	£	£	£
Governance costs	3,174	3,174	3,174
	═══════	═══════	═══════

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STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

10. Analysis of grants

		2021	2020
		£	£
	Grants to institutions
	Grants to institutions	40,000	103,100
		────────	─────────
	Total grants	40,000	103,100
		════════	═════════
11.	Net income
	Net income is stated after charging/(crediting):
		2021	2020
		£	£
	Depreciation of tangible fixed assets	2,561	2,561
		═══════	═══════
12.	Independent examination fees
		2021	2020
		£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial statements	600 ════	600 ════

13. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as	follows:
2021	2020
£	£

The average head count of employees during the year was Nil (2020: Nil).

No employee received employee benefits of more than £60,000 during the year (2020: Nil).

14. Trustee remuneration and expenses

No remuneration or other benefits from employment with the charity or a related entity were received by the trustees.

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STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

15. Tangible fixed assets

		Freehold
		property	Equipment	Total
		£	£	£
	Cost
	At 1 May 2020	2,593,983	12,806	2,606,789
	Additions	27,000	–	27,000
		────────────	────────	────────────
	At 30 April 2021	2,620,983	12,806	2,633,789
		════════════	════════	════════════
	Depreciation
	At 1 May 2020	–	7,683	7,683
	Charge for the year	–	2,561	2,561
		────────────	────────	────────────
	At 30 April 2021	–	10,244	10,244
		════════════	════════	════════════
	Carrying amount
	At 30 April 2021	2,620,983	2,562	2,623,545
		════════════	════════	════════════
	At 30 April 2020	2,593,983	5,123	2,599,106
		════════════	════════	════════════
16.	Debtors
			2021	2020
			£	£
	Other debtors		429,333	257,419
			═════════	═════════
17.	Creditors: amounts falling due within one year
			2021	2020
			£	£
	Bank loans and overdrafts		10,864	–
	Trade creditors		2,251	–
	Accruals and deferred income		1,226	1,226
	Other creditors		888,301	832,300
			─────────	─────────
			902,642	833,526
			═════════	═════════
18.	Creditors: amounts falling due after more than one year
			2021	2020
			£	£
	Bank loans and overdrafts		1,033,051	1,067,851
			════════════	════════════

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STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

19. Analysis of charitable funds

Unrestricted funds

	Unrestricted funds
		At				At
		1 May 2020	Income	Expenditure	30 April 2021
		£	£	£		£
	General funds	966,913	230,000	(79,728)		1,117,185
		═════════	═════════	════════		════════════
		At				At
		1 May 2019	Income	Expenditure		30 April 2020
		£	£	£		£
	General funds	684,868	374,000	(91,955)		966,913
		═════════	═════════	════════		═════════
	Restricted funds
		At				At
		1 May 2020	Income	Expenditure	30 April 2021
		£	£	£		£
	Restricted Fund 1 - desc in a/cs	–	40,000	(40,000)		–
		════	════════	════════		════
		At				At
		1 May 2019	Income	Expenditure		30 April 2020
		£	£	£		£
	Restricted Fund 1 - desc in a/cs	–	100,000	(100,000)		–
		════	═════════	═════════		════
20.	Analysis of net assets between funds
				Unrestricted		Total Funds
				Funds		2021
				£		£
	Tangible fixed assets			2,623,545		2,623,545
	Current assets			429,333		429,333
	Creditors less than 1 year			(902,642)		(902,642)
	Creditors greater than 1 year			(1,033,051)		(1,033,051)
				────────────		────────────
	Net assets			1,117,185		1,117,185
				════════════		════════════
				Unrestricted		Total Funds
				Funds		2020
				£		£
	Tangible fixed assets			2,599,107		2,599,107
	Current assets			269,184		269,184
	Creditors less than 1 year			(833,527)		(833,527)
	Creditors greater than 1 year			(1,067,851)		(1,067,851)
				────────────		────────────
	Net assets			966,913		966,913
				════════════		════════════

16

STONEWHITE

Company Limited by Guarantee

Notes to the Financial Statements (continued)

Year ended 30 April 2021

21. Related parties

Included in other creditors of £888,301 are the following amounts lent to the Charity by the Trustees or by companies controlled by the Trustees: Mr P Corn - £22,000; and Sherryford Ltd a company controlled by Mr YC Reich - £69,800.

17