2023-03-31-accounts - Shirley Muslim Association

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CHARITY REGISTRATION NUMBER: 1178467

Shirley Muslim Association Unaudited Financial Statements

31 March 2023

SALEEMI ASSOCIATES

Chartered accountants

Registered Auditors and Chartered Accountants 792 Wickham Road Croydon CR0 8EA

Shirley Muslim Association

Financial Statements

Year ended 31 March 2023

	Page
Trustees' annual report	1
Independent examiner's report to the trustees	3
Statement of financial activities	4
Statement of financial position	5
Statement of cash flows	6
Notes to the financial statements	7

Shirley Muslim Association

Trustees' Annual Report

Year ended 31 March 2023

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 March 2023.

Reference and administrative details

Registered charity name Shirley Muslim Association Charity registration number 1178467 Principal office The trustees Mr V Sheikh Mr M Z Zaidi Mrs K Kandji Independent examiner M A Saleemi Saleemi Associates Registered Auditors and Chartered Accountants 792 Wickham Road Croydon CR0 8EA

Structure, governance and management

The Shirley Muslim Association is a Charitable Incorporated Organisation (CIO) charitable company (limited by guarantee). We have three formal Trustees and 6 further informal Trustees overseeing activities of the charity. Trustee meetings are held monthly, where updates are provided around current initiatives run by the SMA, and Financial position. An AGM is held annually. Current formal Trustees have been appointed for multiple years, hence are not re-elected for the time being at the AGM. The SMA appointed management positions comprise of a Chair, a vice-Chair and a Secretary who dispense majority of the responsibilities associated with the CIO's activities. All positions remain voluntary (unpaid).

Objectives and activities

The Shirley Muslim Association (SMA) is a representative body for Muslim residents living in and around the Shirley area within the London Borough of Croydon. Islam is a collectivist faith/way of life, which emphasizes social cohesion and responsibility. The aim of the Shirley Muslim Association is to manifest these traits through its activities, to not only benefit Muslims residents but the wider community in Shirley. Founded in 2018, the SMA is run by local volunteer professionals and serves an estimated 1,500+ Muslim residents (individuals and families) across Shirley North and South, promoting community engagement by arranging congregational prayer facilities and social events throughout the year. We also work with other mosques committees around South London and Kent to support community work and social and religious education.

Achievements and performance

Year ending 2023 has been a successful year for the SMA, with further normalization of activities post-COVID. We have been hampered from delivering our full spectrum of services from our base building due to some contractual restrictions, however, still succeeded in several areas. A full program of Ramadan community services was arranged, including nightly prayer space, community iftars (provision of evening meals) and social gatherings. Fare Share weekly community food distribution continued to needy families. We also managed to spearhead various off-site initiatives, including

Shirley Muslim Association

Trustees' Annual Report

Year ended 31 March 2023

‘SMART Speech’ Public speaking for children. This was a confidence building and elocution course delivered by qualified professionals for children between the ages of 6 and 12. Approximately 40% of the beneficiaries were from the lower socio-economic demographic and were funded through the SMA’s charity donations. Our Community Football Club, SMART Sport FC continued in full swing, with the Youth teams excelling in the Tandridge League and Men’s team playing in the Palace for Life foundation’s Sunday League (Crystal Palace FC charitable arm). We also hosted our Annual Community Eid prayers, which took place twice through the year. We initiated our Community Hardship Fund initiative, aimed at tackling food and fuel poverty. Through this we provide a weekly allowance to families or individuals for purchasing of food and fuel (electricity or gas key top up). The activities gave us an excellent foundation to build off of in 2023/24.

Financial review

The charities income covered all of its day to day running costs. Donations have continued to rise in 2022/23. Most activities have reverted to normal pre-Covid levels, as result our reserved cash position is a lot stronger.

The trustees' annual report was approved on 19 January 2024 and signed on behalf of the board of trustees by:

Z Zaidi

Mr M Z Zaidi Trustee

Shirley Muslim Association

Independent Examiner's Report to the Trustees of Shirley Muslim Association

Year ended 31 March 2023

I report to the trustees on my examination of the financial statements of Shirley Muslim Association ('the charity') for the year ended 31 March 2023.

Responsibilities and basis of report

As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the charity's financial statements carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

accounting records were not kept in respect of the charity as required by section 130 of the Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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.

M A Saleemi

M A Saleemi FCA Independent Examiner

Registered Auditors and Chartered Accountants 792 Wickham Road Croydon CR0 8EA

26 January 2024

Shirley Muslim Association

Statement of Financial Activities

Year ended 31 March 2023

Shirley Muslim Association Statement of Financial Activities Year ended 31 March 2023
		2023		2022
		Unrestricted
		fundsTotal funds		Total funds
	Note	£	£	£
Income and endowments
Donations and legacies	4	56,677	56,677	22,090
		----------------------------	----------------------------	----------------------------
Total income		56,677	56,677	22,090
		============================	============================	============================
Expenditure
Expenditure on charitable activities	5,6	32,403	32,403	17,409
		----------------------------	----------------------------	----------------------------
Total expenditure		32,403	32,403	17,409
		============================	============================	============================
		----------------------------	----------------------------	----------------------------
Net income and net movement in funds		24,274	24,274	4,681
		============================	============================	============================
Reconciliation of funds
Total funds brought forward		12,596	12,596	7,915
		----------------------------	----------------------------	----------------------------
Total funds carried forward		36,870	36,870	12,596
		============================	============================	============================

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 7 to 13 form part of these financial statements.

Shirley Muslim Association

Statement of Financial Position

31 March 2023

Shirley Muslim Association Statement of Financial Position 31 March 2023
		2023	2022
	Note	£	£
Fixed assets
Tangible fixed assets	11	4,919	2,726
Current assets
Debtors	12	2,495	–
Cash at bank and in hand		29,456	9,870
		----------------------------	-----------------------
		31,951	9,870
		----------------------------	-----------------------
Net current assets		31,951	9,870
		----------------------------	----------------------------
Total assets less current liabilities		36,870	12,596
		============================	============================
Funds of the charity
Unrestricted funds		36,870	12,596
		----------------------------	----------------------------
Total charity funds	13	36,870 ============================	12,596 ============================

These financial statements were approved by the board of trustees and authorised for issue on 19 January 2024, and are signed on behalf of the board by:

Z Zaidi

Mr M Z Zaidi Trustee

The notes on pages 7 to 13 form part of these financial statements.

Shirley Muslim Association

Statement of Cash Flows

Year ended 31 March 2023

Shirley Muslim Association Statement of Cash Flows Year ended 31 March 2023
	2023	2022
	£	£
Cash flows from operating activities
Net income	24,274	4,681
Adjustments for:
Depreciation of tangible fixed assets	868	481
Accrued income	–	(1,800)
Changes in:
Trade and other debtors	(2,495)	–
	----------------------------	-----------------------
Cash generated from operations	22,647	3,362
	----------------------------	-----------------------
Net cash from operating activities	22,647	3,362
	============================	=======================
Cash flows from investing activities
Purchase of tangible assets	(3,061)	(620)
	----------------------------	-----------------------
Net cash used in investing activities	(3,061)	(620)
	============================	=======================
Net increase in cash and cash equivalents	19,586	2,742
Cash and cash equivalents at beginning of year	9,870	7,128
	----------------------------	-----------------------
Cash and cash equivalents at end of year	29,456	9,870
	============================	=======================

The notes on pages 7 to 13 form part of these financial statements.

Shirley Muslim Association

Notes to the Financial Statements

Year ended 31 March 2023

1. General information

The charity is a public benefit entity and a registered charity in England and Wales and is unincorporated. The address of the principal office is 13 Border Gardens, Croydon, CR0 8LQ, England.

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 Charities Act 2011.

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.

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.

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

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.

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

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:

Fixtures and fittings - 15% reducing balance Equipment - 15% reducing balance

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.

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.

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

3. Accounting policies (continued)

Financial instruments (continued)

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. Donations and legacies

Donations and legacies
	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2023	Funds	2022
	£	£	£	£
Donations
General Donations	48,177	48,177	22,090	22,090
Donated accountant fees	600	600	–	–
Grants
Grants received	7,900	7,900	–	–
	----------------------------	----------------------------	----------------------------	----------------------------
	56,677	56,677	22,090	22,090
	============================	============================	============================	============================

5. Expenditure on charitable activities by fund type

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2023	Funds	2022
	£	£	£	£
Expenditure on charitable activities	31,802	31,802	17,409	17,409
Support costs	601	601	–	–
	----------------------------	----------------------------	----------------------------	----------------------------
	32,403	32,403	17,409	17,409
	============================	============================	============================	============================

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

6. Expenditure on charitable activities by activity type

Expenditure on charitable activities	by activity type
	Activities
	undertaken	Support	Total funds	Total fund
	directly	costs	2023	2022
	£	£	£	£
Expenditure on charitable activities	31,802	–	31,802	17,409
Governance costs	–	601	601	–
	----------------------------	--------------	----------------------------	----------------------------
	31,802	601	32,403	17,409
	============================	==============	============================	============================

7. Net income

7.	Net income
	Net income is stated after charging/(crediting):
		2023	2022
		£	£
	Depreciation of tangible fixed assets	868	481
		==============	==============
8.	Independent examination fees
		2023	2022
		£	£
	Fees payable to the independent examiner for:
	Independent examination of the financial statements	600 ==============	– ==============

9. Staff costs

The average head count of employees during the year was 3 (2022: 3).

No employee received employee benefits of more than £60,000 during the year (2022: Nil).

10. Trustee remuneration and expenses

During the year the Charity was under the control of Trustees and Management Committee members as listed on page 1. None of the trustee or management committee member were remunerated or paid any expenses

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

11. Tangible fixed assets

11.	Tangible fixed assets
			Fixtures and
			fittings	Equipment	Total
			£	£	£
	Cost
	At 1 April 2022		1,456	3,120	4,576
	Additions		3,061	–	3,061
			-----------------------	-----------------------	-----------------------
	At 31 March 2023		4,517	3,120	7,637
			=======================	=======================	=======================
	Depreciation
	At 1 April 2022		562	1,288	1,850
	Charge for the year		593	275	868
			-----------------------	-----------------------	-----------------------
	At 31 March 2023		1,155	1,563	2,718
			=======================	=======================	=======================
	Carrying amount
	At 31 March 2023		3,362	1,557	4,919
			=======================	=======================	=======================
	At 31 March 2022		894	1,832	2,726
			=======================	=======================	=======================
12.	Debtors
				2023	2022
				£	£
	Non interest community loans			2,495	–
				=======================	==============
13.	Analysis of charitable funds
	Unrestricted funds
					At
		At			31 March 20
		1 April 2022	Income	Expenditure	23
		£	£	£	£
	General funds	12,596	56,677	(32,403)	36,870
		============================	============================	============================	============================
					At
		At			31 March 20
		1 April 2021	Income	Expenditure	22
		£	£	£	£
	General funds	7,915	22,090	(17,409)	12,596
		=======================	============================	============================	============================

Shirley Muslim Association

Notes to the Financial Statements (continued)

Year ended 31 March 2023

14. Analysis of net assets between funds

Analysis of net assets between funds
		Unrestricted	Total Funds
		Funds	2023
		£	£
Current assets		36,870	36,870
		============================	============================
		Unrestricted	Total Funds
		Funds	2022
		£	£
Current assets		12,596	12,596
		============================	============================
Analysis of changes in net debt
			At
	At 1 Apr 2022	Cash flows	31 Mar 2023
	£	£	£
Cash at bank and in hand	9,870	19,586	29,456
	=======================	============================	============================

15. Analysis of changes in net debt

Zeeshan Zaidi

Signature: Zeeshan Zaidi (Jan 26, 2024 12:14 GMT)

Email: zeeshanzaidi@taxassist.co.uk

M A Saleemi Signature:

M A Saleemi (Jan 26, 2024 16:54 GMT)

Email: ashfaq@saleemiassociates.com

SMA 2023 Final

Final Audit Report

2024-01-26

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"SMA 2023 Final" History

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