Al Misbaah Academy (AMA) Report and Accounts Period ended 31st December 2022 Charity number: 1172726
Cont•nts 13 15 ]•
Trustees, Report The trustees have pleasure lri"présentlng thelr report and the flnanclal statements for the charlty for the period ended 31st December 2022. The trustees have adopted the provlslons of Accountlng and Reportlng by Charltles: Statement of Recommended Practlce appllcable to charltles preparlng thelr accounts In accordance wfth the Flnanclal Reporting Standard appllcable In the UK and Republlc of Ireland (FRS 102) (effectlve l January 2015). The trusteeshave considered the Charlty Commlsslon's guldance on publlc beneflt, Includlngthe guldance 'public benefit: runnlng a charlty (PB2)'. The Trustees present their report and the flnanclal statements for the perlod ended 31 December 2022. The Trusteeswho served durlng the perlod and up to the date of thls report are set out on page 3. Strurture, Governance and Management Governing Document Al Misbaah Academy (AMA) is constituted as a charitable trust registered with the Charity Commission in April 2017 under charity number 1172726. It is governed by a Charitable Incorporated Organisation last updated in June 2017. Organlsatlonal structure The charity trustees are responsible for the general control and management of the charity. The trustees,. meet together as a body bi-monthly (sometlmes more frequent - dependent upon the need) and aré responsible for the overall governance of Al Misbaah Academy (AMA) and to oversee the management and day-to-day runnlng of the charity. The day-to4ay management of Al Misbaah Academy (AMA) and administration of the projects are controlled by the Chlef Executlve, Imam Suhail Patel. Recruitment and appolntment of trustees The existing trustees are responslble for the recruitment of new trustees. In selecting new trustees. we seek to Identlfy people who are committed Indlvlduals, whose views are aligned to the charitvs vision. In additlon to befng able to offer relevant skllls and experlence. Potentlal trustees are Invfted to attend trustees, meetlngs to meet the trustees and have an informal Intervlew and are given more detalls about the charl5 alms and artlvltles, and, If all agree. they are then proposed as new trustses at the subsequent trustees, meetlng. Thls process allows due conslderatlon of the person's ellglblllty, personal competence, speclallst knowledge and skllls.
Indurtlon and tralnln8 of new trustees Following appolntment, new trustees are Introduced to thelr new role and 8lven coples of the governlng documenL a copy of the most recent, The Essentlal Trustee, 8uldance booklet, and a gulde to the pollcies and procedures adopted by our charlty. A number of publlcatlons from the Charlty Commlsslon are also provlded Includlng the guldance on charftles and publlc benefit and on the advancement of rellglon for the publlc beneflt. This ensures that new trustees are aware of the scope of their responsibllltles under the Charltles Act. Initially, new trustees work wlth an exlstlng trustee asslstlng on actlvltles and projects run by the charlty. After satisfactory feedback from exlstlng trustees, they are glven the task of leadlng a partlcular actlvlty or projecL reportlng progress at trustees, meetlngs. Risk management The trustees have assessed the risks the charity faces and have drawn up a risk matrix which identifies the major risks by area of activity, the nature of those risks, the likelihood of the risks happening, and the measures tsken to manage them. The trustees review the risk matrix regularly at their meetings. The trustees are satisfied that systems are in placé, or arrangements are in hand, to manage the risks that have been identified. In particular, The finances of Al Misbaah Academy (AMA) are kept under review and financial controls regularty reviewed and improved as needed. Appropriate Criminal Records Bureau (CRB/DBS) checks, supported by regularly reviewed policies, are made for all those who work with children or other vulnerable groups within the premlses. Security of all stakeholders Is of upmost importance and is kept continuously under revlew. The Charity regularly revlew pollcles to reduced reputatlonal risk of the organisation and review all complaints immedlately. The board also take the legislative requirements of the charity seriously and regularly review that the charlty Is compllant.
Objectlves Our Alms The objectives of the charlty are set out In the Charltvs governlng document and are summarlsed as follows: l. To advance educatlon for the beneflt of the poor, underprlvlleged and the publlc, by means of, but not excluslvely, the provlslon or the asslstance In the provlslon of educatlonal activities and facllltles for those in the UK. 2. To advance the rellglon of Islam, by the means of, but not exclusively, promoting the correct understandin8 of the bellefs and practlces and provlslon or asslstance In the provision of facllities for worship and Islamlc educatlon for the beneflt of the community In the UK, In accordance with the teachings of the Qurfan and Sunnah of the Prophet Muhammad (PBUH) as interpreted bythe Ahlus-Sunnah-Wal-Jama'ah school of thought. 3. To relieve financial hardship, distress and suffering among poor people, victims of natural and man-made dlsasters and other people in need, by means of, but not excluslvely, fundraising donations for providing or paying for food, Items, equlpment, clothlng, accommodation and such ServIS and facilltles for the benefit of the said persons. 4. To provlde or assist In the provislon of facllities In the interests of soclal welfare for recreation or other lelsure time occupation of Indlviduals who have need of such facllitles by reason of their youth, age infirmity or disabllity, flnanclal hardshlpi or soclal clrcumstances with the object of Improvlng their conditions of life. Our objectives Our objectlves are set to reflect our faith and communlty alms. Each year our trustees wlll revlew our objectives and actlvitles to ensure they contlnue to reflect our aims. In carrylng out thls revlew the trustees have consldered the Charlty Commlssion's general guldance on publlc benefrt and Its supplementary publlc guidance on the advancement of religlon for the publlc beneflt. Publlc Benefft The Trustees have complled wlth the duty In sectlon 17(5) of the 2011 Charltles Act to have due re8ard to guldance publlshed by the Charlty Commlsslon regardlng publlc beneflt.
Actlvltles and achleN¢ements The charity carrles out a wlde range of actlvltles In pursuance of Its charltable alms. The trustees consider that these actlvltles, summarlsed below• provlde beneflt both to our students who study at Al Misbaah Academy (AMA), the wlder communlty of Redbrldge, London, and those who connect wlth us throughout the world: Supplementary Schools Al Misbaah Academy (AMA) operates Supplementary School classes on both the weekdays and weekends, catering for approxlmately 700 students, ranglng between the ages of 5- 16. Within our curriculum, not only do we aim to depart the core fundamentals of our falth and presèrve the legacy of our sacred tradition, such as the recitation arid memorisatlon of the Qurfan and Islamic Studles, we also aim to nurture our students holistlcally and develop. well-grounded citizens of the community who are empowered to self-discovery, wholeness, and social consciousness. A-fter the success last year, this year, we continued to integrate a series of enrichment days and campaign weeks into our curriculum. to allow our students to continue carrying out experiential learning aimed at teaching them qualities such as compassion, perseverance, resllience, and leadership. Qurfan Memorisation aass ,St The memorisation of the Qurfan is considered an important element of religious education and trainlng. We are pleased with this programme which contlnues to run successfully. With the ever-growlng demand, we will now be introducing a second Qurfan memorisation class in January 2022. Thls year, we were able to lebrate the wonderful achievement of a further one of our students, lrriad Shorif Mahmud, completlng the memorisation of the Qurfan. 'Alimiyyah (Islamlc Stholarship) Programme The 'Alimiyyah Programme Is an undergraduate level programme In Shari ali (Islamlc Law) and Islamlc Theology. The programme Is an in-depth study of subjects such as Tafsir, Hacfith, Flqh and the prlnclples of Tafsir. Ha¢fith and Flqh. It also includes an advanced study of classlcal Arablc. The alm of the'Allmiyyah curriculum Is to produce scholars and leaders who are competent In the Islamlc sclences such as Ta-r and HaOrth possessing the professlonal skllls necessary to serve, gulde and lead the Musllm communlty with excellence. In addltlon to Impartlng knowledge and skllls, the currlculum, and the envlronment wfthln whlth it Is tsught Is deslgned to produce scholars whose scholarshlp Is marked b.y tradltlon, Intelligencei plety, responslblllty, and generoslty of splrlt. Our 8oal Is to ensure that we are not slmply produdn8 academlcs and professlonals seekln8 a career but are producln8 the selfless splrlt that has always been so chararterlstlc-of Islamlc scholarshlp.
Part.nme Coursos We operate numerou5 course5 for both male and female adults and teenagers In our communlty, tsllored to thelr requlrements and needs. Thls year at Al Mlsbaah Academy, we held the followlng courses: Attess to TaJwTd Thls course, almlng to educate adults on the proper recltatlon of the holy Qurfan, givln8 them the confidence to reclte Independently, as well as Impart the knowledge of thls vftal Qurfanlc sdence. was Inltiated last year followlng numerous requests from the communlty. Thls course caters for over 25 students, both locally and from throughout the country following the transltlon online. Youth Enrfthment Programme Thls year, we took on the flfth Intake of our hlghly popular teenagers, course studylng 1rah, H3rth, Fiqh and Contemporary Issues. By promotlng artlve learnlng and open dlscusslon, thls course alms to provlde our youth wlth the tools to navlgate the rnodern world In a sound, balanced and holistlc way, as encouraged by our falth. Our core alms are twelve. Developlng a Ilfe-long zeal for learnin& instilling the . love of Islamlc envlronments, bulldlng leadershlp qualltles, fosterlng prophetlc tharacterlstlcs, providing a posltfve learnlng experlence, facllltatlng crltlcal thlnklng, openlng doors to healthy frlendshlps, Insplrlng love of Aiiah, the Qurfan and thé Sunnah, strengthenlng Iman (falth) and God- consdousness, transfomilng self-confldence, unlocklng creatlvlty and Imaglnatlon and empowerlng appllcatlon of sound and rellable knowledge. Youth Gatherfn8S Followlng the success of the youth gatherlngs held In the month of Ramadan on the weekends. we declded to contlnue these gatherlngs on a monthly basls, after Ramadan, dlscusslng contemporary toplcs and Invltlng engaglng and motlvatlonal speakers. We have slnce seen the attendance get stronger each month. The dlscusslons are usually followed by food for all partlclpants.
Free<ourses Project Durfng the Covld era, we were suddenly put Into a sltuatlon where If we wanted to contlnue offerlng our services and beneflttin8 the wlder communlty, we would need to make a transltlon by" offerlng our services onllne. We were also very awarè of the negatlve Impact the Covld era had had on people's livelihoods and the general economy. Thls gave blrth to one of our most successful projects yet. the 'Free<ourses' project. We held a fundralslng campalgn tltled 'Ll8ht a Legarf encouraging our supporters and well-wlshers to support the project by subscrlbing to a monthly dlrect-debit plan. The campalgn was largely successful and provlded us wlth a platform and the confidence to embark on thls project. During the year 2021, We were prlvlleged to use thls platform to host Internationally renowned experts to dellver dlscourses and weblnars on an array of pertinent toplcs, which Include Bereavement, Welcomlng Ramadan, Ramadan Revival, Tafsir Sorah Yusuf, Tourlng Al-Aqsa, The Dhul- Hijjah Serles and Keys To Prophetlc Parentlng. We attracted a worldwide audlence who rellglously tuned In to benefit from these weblnars. Communlty Outreach Work We regularly organlse events and activlties for thè communlty to provide opportunitles for coheslon, tackllng issues of Importance and strengthenin8 ties wlthln the local communlty.
Al Misbaah Academy (AMA) Period ended 31 December 2022 Flnanclal revlew Prfnclpal Sources of fundlng The charity's main source of Income are madrasah fees, In the current perlod the Incoming resources for the period amounted to £477,427. The continued generous donations provlded by the users and supporters of the charity received in the current perlod amounted to £6,954. Al Misbaah Academy is deeply grateful for the ongoing support and looks forward to your continued support In the future. Reserves policy The trustees have reviewed the reserves of the charity. The aim Is to hold enough cash unrestrirted funds within the reserves to cover six months of operational expenses. Currently the charity holds enough reserves to cover three months of operational expenses. The current free reserves of the charlty are £112,335. Plans for the future: Currently the general unrestricted funds are below the target of 6 months, the charity aims to Increase the level of cash reserves funds to meet thls target. Investment pollcy The Charity has no long-term Investments. Our cash deposits retained are with major UK retail banks. Pa8e 10 of 20
Al Misbaah Academy (AMA) Period ended 31 Deccémber 2022 Statement of Trustees, Responslbllltles, The Trustees are responsible for preparln8 the Trustees, Annual Report and the flnanclal statements In accordance wlth appllcable law and Unlted Kln8dom Accountlng Standards (Unlted Klngdom Generalty Attepted Accountin8 Practlce). Law appllcable to charities In En8land and Wales requires the trustees to prepare financial statements for each financlal year, whlch give a true and falr vlew of Charlty and of the Incomln8 resources and applicatlon of resources of the Charlty for that year. In pparing these financial statements the Trustees are requlred to: select sultable accountin8 policies and then apply them consistently; observe the methods and principles In the Charities SORP. make judgments and estlmates that are reasonable and prudent; state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial ststements; and prepare the financial statements on the going concern basls unless it Is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping proper accounting records whlch disclose with reasonable accuracy at any time the financial position of the charfty and enable them to ensure that the financial ststernents comply with the Chanties Act 1993 and the Charity (Accounts and Reports) Regulations They are also responsible for safeguardlng the assets of the charity and hence for takln8 reasonable steps for the preventlon and detectlon of fraud and other. Approved by our Board of Trustees on 21.l.c.ql. 2 .4..... Slgnèd on its behalf. And Trustee .,Pa8e 11 of20
Al Misbaah Academy (AMA) Period ended 31 December 2022 . Independent Examlnerfs Rep.ort To the trustees of Al Mlsbaah Academy I report on the accounts of the above charlty for the perlod ended 31 December 2022, which are set out on pages 14 to 20. Respective responsibllltles of trustees and examlner The Charis trustees are responslble for the preparatlon of the accounts in accordance wlth the requirements of the Charities Act 2011 ( 'the ACY,). The Charitys trustees consider that an audit Is not required for this period under sectlon 144 of the Act and that an Independent examlnation is needed. It is my responsibility to: examine the accounts under sectlon 145 of the Charities Act, to follow applicable Dlrectlons given by the Charity Commission (under section 145(5)(b) of the Art, and To state whether particular matters have come to my attention. Basis of independent examlnerfs statement My examlnatlon was carried out In accordance with general Directions given b-y the Charity Commlssion. An examlnation Includes a revlew of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also Includes conslderation of any unusual items or disclosures In the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evldence that would be required in an audlt, and consequently no oplnlon Is given as to whether the accounts present a 'true and fairf vlew and the report Is limlted to those matters set out In the statement below. Independent examlnerfs statement In connertlon wlth my examlnatlon, no materlal matters have come to my attentlon which gives me cause to belleve that In, any materlal respect: accountlng records were not kept In accordance with sectlon 130 of the Charitles Act or 'the accounts do not accord wlth the accountlng records l .have no concerns and have come across no other matters In connectlon wlth the examlnatlon to whlth attentlon should be drawn In order to enable a proper understandln8 of the accounts to be reached. Date: 25 Sept•mb•r 2024 SK Accountsnts Addr•ss: Old Poplar Llbrary• 45 Glllender St, Poplar, E14 6RN Page 12 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 Statement of Financial Actlvlties Perlod Ended 31 December 2022 Unrestrlcted Restrlcted funds funds 2022 Total funds 2021 Total funds Notes Incomlng resources Donations and legacies 'Charitable activities 6,954 470,473 6,954 470,473 61,016 510,571 Total Incomlng resources 477,427 477,427 571,587 Resources expended Charitable activities (467,824) (467,824) (518,398) Total Resources expended (467,824) (467,824) (518,398) Net income/(expendlture) 9,603 9,603 53,189 ,Net movement In funds 9,603, 9,603 53,189 Reconcillatlon oAfvnds.' Total funds brought forward 102,733 102,733 49,543 Total funds carrled forward 112,335 112,335 102,733 Pa8e 13 of 20
Al Misbaah Academy (AMA) Perlod ended 31 December 2022 Balancé Sheet As at 31 December 2022 Unrestricted Restrlcted funds funds 2022 Total fvnds 2021 Total funds Notes Debtors Cash at bank and in hand 2.683 124,206 143,516 143.516 Total current assets Credito. amounts falling due wlthln one year 143,516 143,516 126.889 (31,181) (31,181) (24.156) Net current assets/(liabilitlesJ 112,335 112335 102.733 Total assets less current liabilities 112,335 112335 102.733 crlt0. amounts falling due aftff one year:,. Total net assets or liabilities 112.335 112335 102.733 Funds of the Charity Restricted Funds Unrestricted Funds 10 112,335 112,335 102.733 Total Funds 112,335 112.335 102.733 The financial statements were approved and authorised for issue by the Board and signed on its behalf Date: Mohammed Ibn Sadlq Kothla Chalrperson, Board of Trustees Pa8e 14 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 Statement of Cash Flows 2022 2021 Cash flows from operatlng artlvltles: Net movement In funds (Increase)/Decrease of debtors Increase/(Decrease) of creditors 9,603 2,683 7,024 53,189 (651) (4,192) Net cash flow of operatlng artlvltles 19,310 48,346 Change In cash and cash equlvalents in the year 19,310 48,346 Cash and Cash equlvalents brought forward 124,206 75,859 Total cash and cash equlvalents at the end, of the year 143,516 124,206 Pa8e 15 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 Notes to the Accounts l. Accountlng Pollcles The prlncipal accountlng pollcles adopted, Judgements and key sources of estlmatlon uncertalnty In the preparation of the flnanclal statements are as follows; Basls of preparatlon (FRS102) The financial statements have been prepared In accordance wlth Accountlng and Reportlng by charities: Statement of Recommended Practlce appllcable to charltles preparlng thelr accounts In accordance with the Financlal Reportlng Standard appllcable In the UK and Republlc of Ireland (FRS 102) (effertive l January 2015) (Charitles SORP (FRS 102)), the Flnanclal Reportlng Standard applicable in the UK and Republlc of Ireland (FRS 102) and the Charltles Art 2011. Al Mlsbaah Academy meets the deflnltlon of a publlc beneflt entlty under FRS 102. Assets and liabilitles are initlally recognised at hlstorlcal cost or transactlon value unless otherwlse stated In the relevant accountlng policy note(s). Income Income is recognised when the charity has entitlement to the funds, any performance condltlons attached to the item(s) of Income have been met, it is probable that the income wlll be recelved. and the amount can be measured reliably. Income. whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditlons 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 a project or provision of other specified service is deferred until the criteria for income recognition are met. Donated servlces and facllitles Donated professlonal services and donated facilitles are recognised as income when the charity has control over the item, any conditlons assoclated with the donated Item have been met, the receipt of economlc benefit from the use by the charity of the item Is probable and that economic benefit can be measured reliably. On receipt, donated professlonal services and donated facilities are recognised based on 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 equlvalent economic benefit on the open market. Page 16 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 Fund accountln8 Unrestrirted fvnds are available to spend on actlvltles that further any of the purposes of charlty. Designated funds are unrestrlcted funds of the charlty whlch the Trustees have declded to set aslde to use for a speciflc purpose. Restrlrted funds are donations whlch the donor has specifled are to be solely used for areas of the charitvs work or for speclfic projects belng undertaken by the charltv. Expendlture Expenditure is recognlsed once there Is a legal or constructlve obllgation to make a payment to a third party, it is probable that settlement will be requlred, and the amount of the obligation can be measured reliably. Irrecoverable VAT is charged as a cost agalnst the actlvity for which the expenditure was incurred. Allocatlon of support costs Support costs are those functions that assist the work of the charlty but do not directly undertake charitable activities. Support costs Include back~office costs, flnance, personnel, payroll and governance costs which support the charitVs artistic programmes and activities. Support costs have been allocated in p,roportion to expenditure Incurred in undertaking an activity. Tanglble flxed assets Individual fixed assets costing £500 or more are capitallsed at cost and are depreciated over their estimated useful economlc lives on a reducing balance basis as follows: Asset Category Annual rate Fixtures, Fittings and Electrical equipment 15% Debtors Trade and other debtors are recognised at the settlement amount due after any tra'de discount offered. Prepay.ments are valued at the amount prepald net of any trade discounts due. Cash at bank and In hand Cash at bank and cash In hand Indudes cash and amounts In deposlt accounts. Credltors and provlslons Creditors and provlslons are recognlsed where the charlty has a present obllgatlon resultln8 from a past event that wlll probably result In the transfer of funds to a thlrd party and the amount due to settle the obllgatlon can be measured or estlmated rellably. Credltors and provlslons are nornialty recognlsed at thelr settlement amount after allowlng for any trade dlscounts due. Page 17 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 2. Analysis of Incoming Resources Unrestrfrted funds Restrlcted ,funds 2022 Total funds 2021 Total funds Donations and legacies Charitable activities 6,954 470,473 477,427 6,954 470,473 477,427 61,016 510,571 571,587 Total 3. Analysis of Resources expended Staff Other costs Support costs 2022 Totsl 2021 Totsl Charftable athltles P£bvities undertaken directly: 369,457 98,367 467,824 518,398 . 369,457 98,367 467,824 518.398 4. Anatysts of staff costs Charfty remuneratlon and expenses. and key management personnel. 2022 2021 Salaries and stsff Wages 369,457 411,856 369,457 411,856 No employees had employee beneflts more than £60,000 Pa80 18 of 20
Al Misbaah Academy (AMA) Period ended 31 December 2022 5. Staff Numbers The average monthly head count was 25 staff and the average monthly number of full-time equivalent employees (including casual and part-tlme staffj during the period were as follows: 2022 2021 ,.Charitable Activities. 19 19 19 19 & Related Party Transartions and trustees, remuneration Imam Suhail Patel is a trustee of the charity as well the CEO. As such he is remunerated for his duties as Chief Executive Officer and not for his work as a trustee. No oth.er trustees have been remunerated for theirservices to the charity or any expenses which they may have incurred to carry out their duties as a trustee. 7. Corporation Taxation The charity is exempt from corporation tax on its income andgains to the extentthat these are applied to its charitable objectives. 8. Cash at Bank and in Hand 2022 2021 Cash at Bank Cash in Hand 140,243 3,273 122,046 2,160 Total 143,516 124,206 Page 19 of20
Al Misbaah Academy (AMA) Period ended 31 Detember 2022 9. Creditors: amounts falling due withln one year 2022 2021 Net Wages Social Security Taxes 28,132 3,049 24,156 Total 31,181 24,156 10. Charity Funds 2021 Balance B/F 2022 Balance C/F Income Expenditure .Transfers Fund names Restrirted Unrestrirted 102,733 477,427 (467,824) 112,335 Total Funds 102,733 477,427 (467,824) 112,335 2020 Balance B/F 2021 Balance C/F Income Expendlture , Transfers Fund names Restrirted Unrestrlrted 49,543 571,587 (518,398) 102,733 Totsl Funds 49,543 571,587 (518,398 102,733 Page 20 of 20