## **ANNUAL REPORT AND FINANCIAL STATEMENTS**
For the year ended 31 December 2020
Charity registration number: 1176783
## **The Potting Shed Church**
The Diocese of Southwell and Nottingham Bishop’s Mission Order dated 1[st] August 2017 was made by the Bishop of Southwell and Nottingham under part V of the Dioceses, Pastoral and Mission Measure 2011 was made to endorse and make provision for The Potting Shed Church.
The Potting Shed Church was registered as a Charitable Incorporated Organisation (CIO) on 1[st] August 2017 with charity number 1176783.
## **Table of Contents**
1. Trustees Report
2. Independent Examiner’s Report
3. Receipts and Payments Account
4. Statement of Assets and Liabilities
5. Notes to the Financial Statements
## **2020 Report and Accounts for the Potting Shed Church**
## **Aims and Purposes**
The Potting Shed Church was commissioned by the Bishop of Southwell and Nottingham to plant a pioneering, Resourcing Church in the middle of Nottinghamshire county amongst rural communities, as part of the mission and ministry of the Diocese.
The new worshipping community aims to connect with those not currently engaging with existing models of rural church, especially young families, youth, and young adults. Our purpose is to enable those who connect with us to explore faith in Jesus and experience church community. Also to be a resource for ‘grafting’ and ‘planting’ ‘new worshipping communities’ into rural villages and to develop more sustainable forms of mission in rural communities. We aim to also be a ‘filling station’, a place to encourage, nourish and grow those who are engaged in the life and leadership of rural churches.
## **Objectives and Activities**
All planning and decision making is done in consideration of our stated purposes (taken from our Governing Document) and with thought to how we might better carry out those purposes as per the guidance given by the Charity Commission on public benefit.
When planning our Gatherings for worship and activities we seek to be accessible to people of all ages and stages of faith. Providing opportunities for all who connect with the Potting Shed to explore the Christian faith for themselves and to help them apply the Bible’s teaching to their lives.
We plan and lead Small Groups and courses midweek to meet the needs of the different age groups and stages of faith of those we are connecting with. For example Alpha, The Marriage course, parenting courses, The Prayer Course etc.
We also plan one-off events tailored to welcome those outside our church community. Actively seeking to build community and further the Christian faith in all activities held and encouraging and resourcing established rural churches in their ministries.
## **ACHIEVEMENTS AND PERFORMANCE**
A summary of the main achievements of The Potting Shed charity, identifying the difference the charity’s work has made to the circumstances of it’s beneficiaries and wider benefits to society as a whole.
The objectives in italics are taken directly from our Governing Document objective with achievements below:
_**‘To connect with those not currently engaging with existing models of church, especially young families, youth and young adults. To enable people to explore faith in Jesus and experience church community.’**_
Our Services continued in 2020 to be shaped to serve the above objectives - worship and teaching being presented in an accessible way that enables those exploring faith to be included.
In March 2020, due to the Covid 19 outbreak and the onset of the first National lockdown 1.0, the Trustees in line with advice from the Southwell and Nottingham Diocese agreed to cease in-person worship at the Barn, and to re-launch Sunday services using short All Age videos.
The videos were planned and recorded to create similar opportunities for individuals and families, including children and young adults to be practically involved in worship. Individuals and families submitting recorded Bible readings, prayers, and other creative contributions. Recorded services gave opportunity for families not currently connected with existing models of church to ‘dip a toe in’ watching from the comfort of their own homes, and at a time that suited them.
In July and August, as Lockdown 1.0 lifted, the Barn opened once again and was refreshed and re-configured to enable socially-distanced gatherings and services that were Covid compliant.
At the beginning of Lockdown 2.0, we then re-launched online services using Zoom. This enabled more interactive, community-building opportunities which saw us welcoming several new families and individuals who were exploring churches or connecting with church. People in this socially isolated time were thinking about community engagement and matters of faith and our hope was to ensure we were accessible and welcoming to those joining us.
During the Lockdown periods in 2020, when schools were closed, we launched and ran Rise and Shine! a high energy, interactive gathering on Monday morning, for Primary Aged children including 30 minutes of songs, a Bible story, games and life application aimed at the Primary age group. This new ministry attracted families from villages further afield, able to join in online. In a time when online school resources were limited, the informal yet structured weekly opportunity to explore faith, build community and support families was well received by families.
Throughout this time, we worked with and alongside village churches who were unable to hold in-person worship, supporting and supplementing their online resources. This built new and deeper working relationships that will enable us to serve the communities going forwards in new ways.
_**‘To enable people to explore faith in Jesus and experience church community. To be a resource for ‘grafting’ and ‘planting’ ‘new worshipping communities’ into villages and to develop more sustainable forms of mission in rural communities.’**_
## The Alpha Course
In January 2020 we began an Alpha course, welcoming individuals who had been engaging with our Sunday Gatherings, and one or two who had enjoyed the course previously. The Alpha course gives people opportunity to explore life and faith and to learn what is at the heart of Christian community.
In March 2020, half way through the course at the start of Lockdown 1.0, we took the decision to take the course onto Zoom. We were delighted at the way that most of those engaged on the course transitioned across. And there were encouraging stories of people growing in faith. A number who had previously helped lead Alpha having done the course themselves, are now leading in the villages in which they live.
Several from the course have since shared personal stories of how the course has given them a new sense of purpose about life and a peace in their particular circumstances.
## The Marriage Course
We were delighted to welcome seven couples onto the Marriage Course, having run the course first as a team to ensure we felt confident about its application in our context.
This was a fresh opportunity to explore how faith has practical application in lives. This is a resource that in the future we look forward to offering to our wider communities.
The Prayer Course
This revised course based around The Lord’s prayer is perfect for those exploring faith and a resource that would transfer well into local ministry situations. The course began in-person in the Barn, but transferred online when Lockdown required. Once again we were delighted that those engaging with the material found Zoom offered fresh opportunities and accessibility on winter evenings.
## _**‘To be a ‘filling station’ to encourage, nourish and grow disciples who are engaged in the life and leadership of rural churches.’**_
Our midweek Breathe events have been a safe place for those from other churches to be refreshed midweek when they are otherwise leading within their own communities.
During lockdown 2.0 we launched weekly Breathe ‘style’ gatherings with informal worship, the opportunity for some input related to Sunday’s theme or topic and the chance for
discussion and prayer - Midweek at The Potting Shed. The sessions allowed individuals the opportunity to meet in a smaller, adult group than on a Sunday, with opportunity for deeper reflection.
We welcomed several leaders currently serving in other rural local churches during a time that was particularly exhausting and depleting for them. Many of these have continued to be a part of our community and have benefitted from a place of belonging of their own.
The above examples of adaptation to an online presence has enabled us in fresh ways to meet those objectives and to serve and benefit the wider rural community, and to serve our objectives as a charity.
## **Financial Review**
The Potting Shed Church was originally established and funded using SDF (Special Development Funding) from the Church of England Church Commissioners, following a successful bid by the Diocese of Southwell and Nottingham.
Financial Giving from members of The Potting Shed Church now supplements that original donation. We are aware that giving needs to increase to sustain the charities activities.
A priority for the charity is to increase giving year by year to cover costs.
The financial statements of the PCC have been prepared in accordance with the Church Accounting Regulations 2006 using the Receipts and Payments basis.
At the end of 2020 the cash assets of the charity were £75,990 a growth in year of £44,718. This included the agreed equipment and hire claim (to March 19) paid by the Diocese SDF fund of £18,920. A further claim of £22,317 will be made in 2021 to cover equipment hire costs from April 2019 to December 2020.
Our other main sources of income were; planned giving from church members of £41,000, one off gifts of £2,170, £43,643 in wage support to cover the additional roles of the Worship Leader and Family Worker from the Church Commissioners SDF and £6,481 in Gift Aid. Total income for the year was £112,240.
The salaries of the Incumbent and Curate were met by the Diocese of Southwell and Nottingham. This year we had a full year of the costs of the Worship Leader, Family Worker and part time Administrator. We also took on a part time intern. Direct salary costs rose therefore to £48,312 of which the majority of the cost was covered by the wage support in the SDF. Expenses reduced due to covid to £2,524, running costs reduced as we did not use the barn facility as often to £3,264. Equipment and hire were also lower at £8,432. Total outgoings for the year were £67,522.
The Potting Shed will continue to receive funding through SDF and the Diocese until June 2023. During this period the Potting Shed plans to see growth in attendance and regular givers to ensure the charity is self-sufficient at this point. 2020 saw a small increase in planned giving of nearly £8,389 however there was no increase in regular givers, and due to Covid it was difficult to address this issue or to accurately assess regular attendance through on-line meetings.
The Potting Shed also has access to an Equipment Fund of £100,000, an initial claim of £18,920 has been agreed to cover set up costs from 2017 to March 2019, which has been paid in early 2020. A further claim of £22,317 will be made to cover equipment and hire costs through to December 2020.
The Potting Shed has started to pay Parish Share to support Incumbent andCurate costs. The planned payment for 2020 was £5,000, of which £4,000 was paid by Dec 2020. This payment will increase plan on an incremental basis with a planned payment in 2021 of £7,500.
## **Volunteers**
Volunteers continue to play a significant role in planning and carrying out Potting Shed activities, events and in enriching our life as a community with the skills which they bring with them. Volunteer activities have changed in frequency during 2020 with the move from in-person to online gatherings. Tech support has become increasingly an important aspect of our services. We are thankful for volunteers gifted in this way.
Regular volunteer contributions include:
- Maintenance of the Barn, especially tasks that have required re-configuring to ensure Covid appropriate space.
- Setting up for regular and one-off events, including Sunday worship and prep for Small Groups, weekly events and courses. This has been intermittent during 2020
- Technical Support for services – installation, maintenance and running of PA and Visual equipment. This has increased in 2020 and is now a core volunteer area.
- Hospitality – Minimal during 2020
- Musical provision
- Leading of services and groups, midweek activities. Helping with children and youth work provision online.
- Research and planning for a longer term venue for The Potting Shed
## **Structure, governance and management**
The Diocese of Southwell and Nottingham Bishop’s Mission Order made by the Bishop of Southwell and Nottingham under part V of the Dioceses, Pastoral and Mission measure 2011 to endorse and make provision for the Potting Shed Church. (1st August 2017)
Trustees are selected as follows:
Bishop Paul Williams makes one ‘Bishop’s recommendation’ of a Trustee appointment. Trustees elect and appoint Trustees according to the needs of the charity and giving opportunity to include different skills and experience.
The Potting Shed team meets with a Diocesan Project team quarterly to set objectives and to assess achievements against objectives set.
We have been thankful for the charity board experience of our Bishop’s recommended Trustee – Maureen Cole. It was with great sadness that Maureen had to offer her resignation in September 2020. We were delighted to welcome Stuart Almond onto the charity board. Stuart brings considerable experience in change management and team building.
The Potting Shed is a small charity and the organisational structure currently reflects that. All Trustees are involved in the weekly life of The Potting Shed Church.
We are part of network of parish churches in rural Nottinghamshire, who are part of the Church of England.
The Potting Shed is part of the Deanery of Newark and Southwell and receives oversight in its decision making and policies related to its charitable objectives, from the Senior Diocesan team.
## **Administrative information**
The correspondence address is: Willow Cottage, Norwell Woodhouse, Newark, Nottinghamshire, NG23 6NG.
The Potting Shed Church is a Charitable Incorporated Association Registered on 23[rd] January 2018.
Trustees who have served at any time during the reporting period are as follows:
- **Maureen Cole** – Chair of Trustees [Appointed by: Bishop Paul Williams] `o` Appointed 4[th] October 2020. Resigned in September 2020.
- **Alison Jones** – Pioneer Minister [Appointed by: Bishop Paul Williams] `o` Appointed 18[th] Oct 2017
Tom Hall-Trea5urer IAppointed by.. Trusteesl
o Appointed 20 J*Jly 2018
Joel Rathbone- Trustee IAppointed by". Trusteesl
o Appointed 8th Jvly 2018
Stuart Almond-Trustee IAppointed by: Trusteesl
o Appolnte(J 4 October 2020
Declaratlon of Related Party interests
The Pottlng Shed Church employs Mrs Emille Rathbone lon a part tirne basisl. Mrs
Emllie Rathbone is married to Mrjoel Rathbone. a Trustee.
The Potting Shed Church rents an Agricuttural barn from Mr Michael Arlington as
meeting venue. Mrs Emile Rathbone is the daughter of Mr Michael Arlington. Mr
Joel Rathbone is the son in law of Mr Michael Arlington.
Mr Tom Hall, Treasurer and Trustee Is J150 a Trustee of another Char¥, the Keframa
School Build IKSBI. KSB is building a secondary school in Uganda. Mr Michael
Arlin8ton (barn owner) has requested that the rental income from the barn 15 paid
dirertly to the KSB ¢harity.
Approved by the Trustees on:
and slgned on thelr behalf by the Reverend Allson F K Jone5 IPloneer Mlnlrterl.
Slgnature:
Independellt Examiner's Report
to the Trustees of The Potting Shed Chureh
I report on the accounts of the church for the year ended 31 December 2020.
Respective Responsibilities of Trustees arEd Examiner:
The church's trustees are responsible for the preparation of the accounts. The church's
trustees consider that an audit is not required for this year under seclion 144(21 ot.the
Charities Act 2011 (the 201 l Acl) and that an independent examination is needed.
It is my responsibility to..
Examine the accounts (under seclion 145 of the 2011 Act);
To follow the pr(Kedures laid down in Ehe General Directions given by the Charily
Commissioners (under section 145{5){b) of the 201 l Acl): and
To statc whether particular matters have come to my attention.
Basis of Independellt Examiner's report
My examination was carried out in accordance with the general Directions given by the
Charity Commission. An examination includes a review of the accounting records kept by
the charity and a comparison of the accounts presented with those records. It also includes
consideration of any unusual items or di%losures in the accounts and seeking explanations
from you as trustees concerning any such matters. The procedures undertaken do not provide
all the evidence that ivould be required in an audit and consequently no opinion is given as to
whether ihe accounts present a 'true and fair view and the report is limited to those matters
set out in the statement below.
Independent examiner's 51atement
In connection with my examinaiion, no matter has come to my attention:
which gives me reasonable cause lo believe that in any material respect of the
requirements
To keep accounting rewrds in accordance with section 130 of the 201 l Act. and
To prepare accounis which accord with ihe accounting records and complv with the
accounting requirements of the 2011 Act have noi been met- or
2. to which. in my opinion, attenlion should be drawn in order to ¢nabl¢ a proper
understanding of the accounts to be reached.
,%L.,
Alison Slinger ACA
234 Norwood Gardens
Southwell
Notts
NG25 ODS
## **The Potting Shed Church**
## **Financial Statements for the Year Ended 31 December 2020**
## **Receipts and Payments Accounts**
|**RECEIPTS**
**Voluntary receipts:**
Planned giving
2
Collections at services
3
All other giving/voluntary receipts
4
Diocesan Grant
5
Gift Aid recovered
6
**Activities for generating funds**
7
**Investment income**
8
**Church activities**
9
**Total Receipts**
**PAYMENTS**
**Church Activities:**
Diocesan Parish Share
10
Clergy and Staff wages
11
Clergy and staff expenses
12
Church running expenses
13
Barn equipment and hire costs
14
Mission Giving
15
**Costs of generating funds**
**Total payments**
**Excess of receipts over payments**
Cash at bank and in hand at 1 January
Cash at bank and in hand 31 December
Note|£
41,000
0
2,170
62,564
6,481
112,215
0
25
0
112,240
4,000
48,553
2,524
3,264
8,432
750
-
67,522
44,718
31,272
75,990
Unrestricted
funds|£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Restricted
funds|£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
Endowment
funds|£
41,000
0
2,170
62,564
6,481
112,215
0
25
0
112,240
4,000
48,553
2,524
3,264
8,432
750
-
67,522
44,718
31,272
75,990
TOTAL
2020|£
32,611
155
3,530
35,946
3,689
75,931
972
24
0
76,927
-
38,988
4,227
6,528
17,053
898
-
67,694
9,233
22,039
31,272
TOTAL
2019|
|---|---|---|---|---|---|
## **The Potting Shed Church Financial Statements for the Year Ended 31 December 2020**
## **Statement of Assets and Liabilities**
|Note
Cash Funds
Bank current account
Deposit funds - Savings Account
Other monetary assets
Barn Equipment and Hire costs recoverable
Gift Aid recoverable
Investment assets
Investment fund shares at market value
Assets retained for church use
Liabilities
Barn Rental payments due
Parish Share Outstanding|Unrestricted Restricted Endowment
TOTAL
TOTAL
funds
funds
funds
2020
2019
£
£
£
£
£
19,205
0
0
19,205
9,623
56,786
0
0
56,786
21,649
75,990
0
0
75,990
31,272
22,317
22,317
18,920
2,070
2,070
1,753
24,387
24,387
20,673
0
0
0
0
0
0
0
0
0
0
5,000
5,000
1,000
1,000
0|
|---|---|
## **The Potting Shed Church**
## **Notes to the Financial Statements**
- 1 The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 under the receipts and payments basis.
- 2 Planned giving has grown by £8,389, although there has been no increase in the number of regular givers. This will be a focus moving forward as the church returns to regular face to face meetings.
- 3 There was no cash giving due to the lack of face to face meetings during covid restrictions.
- 4 There was a reduction in one off giving due to the lack of face to face meetings during covid restrictions.
- 5 The Diocesan grant for wages was £43,644 which will reduce from the end of 2022. A grant of £18,920 for the period to March 2019 for equipment and hire costs was received in 2020. A further claim of £22,317 will be made in 2021 to cover the period to the end of December 2020.
- 6 Gift aid is claimed on all tax efficient planned giving. 7 There were no fund raising activities in this period due to covid restrictions. 8 There is a small investment income now that funds have been invested in a deposit account.
- 9 No charges were made for church activities in 2020. Whilst we do not currently have facilities to offer weddings and funerals to those we connect with at The Potting Shed we hope to do so in the future, particularly as we potentially partner with local rural churches.
- 10 Parish Share is the usual church contribution towards the stipends, housing and pensions of the stipendiary clergy, and training costs. The Potting Shed agreed to a contribution of £5,000 of which £4,000 was paid in 2020 and £1,000 will be paid in early 2021. The contribution is planned to increase £7,500 next year.
- 11 The staff wages were for a part time Administrator, Family Worker and Worship Leader, and an intern. The increase is due to the intern costs and the full year cost of the family worker. The incumbent and Curate are funded directly by the Diocese of Southwell and Nottingham.
- 12 Staff expenses reduced as there were less travel claims due to the covid restrictions.
- 13 Running costs were lower in 2020 due to the restrictions of the covid pandemic as most of the usual activities had to move to an online provision.
- 14 Barn equipment and hire costs were lower in 2020 as the usual £5,000 payment for the rental of the barn was not made until early 2021, whereas there were two barn rental payments of £5,200 and £5,000 in 2019 in respect of 2019 and 2018. However there was an additional cost in 2020 for the lining of the barn to make it waterproof.
- 15 Related Party Transactions:
- a) Emily Rathbone, who is the wife of Joel Rathbone who is a trustee, is employed as a part time administrator. She also served as a trustee until 22nd May 2018 when she began her employment by the Church.
- b) Rental payments of £10,200 for the use of the barn were paid directly to the Keframa School Build charity in 2019 at the request of the landlord Michael Arlington, who is the father in law of Joe Rathbone who is a trustee. Michael Arlington is a trustee of the Keframa School Build Charity. A further payment of £5,000 was made in early 2021.
- c) Tom Hall is a trustee of The Potting Shed Church and also a trustee of the Keframa School Build Charity.
- 15 Mission giving was a donation to the Nimbus Collective and Zac Adams.