# **TRUSTEES’ ANNUAL REPORT AND FINANCIAL STATEMENTS** for the year ended 5 April 2023 **Favour House** Registered Charity Number 1178990 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 ## CONTENTS |**REFERENCE AND ADMINISTRATION DETAILS**|**3**| |---|---| |**TRUSTEES’ REPORT**|**5**| |**STRUCTURE, GOVERNANCE ANDMANAGEMENT**|**5**| |**OBJECTIVES ANDACTIVITIES**|**5**| |**PUBLICBENEFITSTATEMENT**|**6**| |**SUMMARY OF THEMAINACTIVITIES ANDACHIEVEMENTS**|**6**| |**STATEMENT OFFINANCIALACTIVITIES**|**8**| |**BALANCESHEET**|**9**| |**NOTES TO THEFINANCIALSTATEMENTS**|**10**| 2 Favour House | Registered Charity Number 1178990 ## Reference and Administration Details Charity Name Favour House Working Names of Charity Favour House Church Favour House Aid King’s Summit Registered Charity Number 1178990 Principal Address 114 Blean Common Blean, Canterbury Kent CT2 9JJ Trustees Pastor King James (Chair) Prof Kene Igweonu Ms Elaine Morgan Mr Simon Teague Independent Examiner Joshua Cottingham MAAT 72 Broadmead Road Folkestone Kent CT19 5AR Bankers Lloyds Bank 49 High Street Canterbury Kent CT1 2SE 3 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 ## _Independent Examiner’s Report to the Trustees of Favour House Church_ I report to the charity trustees on my examination of the accounts of the charity for the year ended 5[th] April 2023 which are set out on pages 8 to 13. ## **Respective responsibilities of trustees and examiner** As the charity’s trustees of Favour House Church you are responsible for the preparation of accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’) I report in respect of my examination of the Favour House Church accounts 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: 1. accounting records were not kept in respect of Favour House Church as required by section 130 of the Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements concerning the form and content of accounts set in the Charities (Accounts and Reports) Regulations 2008 other than any requirement 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. ……………………………………. Mr J Cottingham MAAT 72 Broadmead Road Folkestone Kent CT19 5AR Date: 31[st] January 2024 4 Favour House | Registered Charity Number 1178990 ## Trustees’ Report The Favour House trustees present their annual report and financial statements for the year ended 5 April 2023. The Trustees have adopted the provisions of the _Accounting and Reporting by Charities: Statement of Recommended Practice (Charities SORP, FRS 102)_ in preparing the annual report and financial statements of the charity. The trustees also confirm that the report and financial statements comply with the Charities Act 2011 and the charity’s trust deed. ## Structure, Governance and Management Favour House is constituted as a charitable trust governed by its trust deed and was entered on the Register of Charities by the Charity Commission for England and Wales on 29 June 2018, with registered charity number 1178990. The trustees are responsible for the administration of the charity and take advice from the Spiritual Oversight and senior leadership team made up of the Senior Pastors and Executive Pastors. Trustees meet for a minimum of two times a year, give of their time freely, and receive no remuneration for their role as trustees. The trustees have delegated appropriate day-to-day management of the activities of the charity to the Senior Pastors and designated volunteer members of the organisation. The existing trustees are responsible for the recruitment and appointment of new trustees who are respected members of the Christian faith and community. New trustees are appointed by a resolution of the existing trustees and subject to the approval of the Spiritual Oversight in line with the Favour House Trust Deed (Section 9.1). New trustees are given copies of the charity’s governing document and are instructed in their responsibilities by way of relevant Charity Commission publications and guidance such as _Charity trustee: what’s involved (CC3a)_ . The trustees are responsible for ensuring that systems and procedures are established in order to manage and control risks to the charity. In particular, Public Liability Insurance cover is in place and appropriate Disclosure and Barring Service (DBS) checks are carried out on volunteers who work with children. Our safeguarding is undertaken under the guidance of CCPAS (The Churches’ Child Protection Advisory Service). ## Objectives and Activities The principal objectives and activities of the charity are set out in its governing document. The charity seeks to achieve the following objectives in accordance with the Statement of Faith, Doctrines and Articles of Belief as set out in its governing document: - the advancement of the Christian faith consistent with the doctrine and articles of belief. - the advancement of education, training and leadership development. - the relief of poverty, hardship and distress. 5 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 Activities of the charity are centred, though not exclusively, around Blean, Canterbury City and the environs. The central activity of the charity is Favour House Church, which is a nondenominational congregation of Christian believers based in Canterbury who meet weekly at The Canterbury Primary School, Canterbury. ## Public Benefit Statement In considering the activities of the charity, the trustees have had regard to the guidance issued by the Charity Commission on public benefit. The trustees constantly seek opportunities to achieve its objectives through various activities that maximises the charity’s benefit to the public and community at large. All our activities and services are specifically designed and delivered to advance the Christian faith for the public benefit because they are based on the inherent power of the teaching and adherence to the principles of the Christian faith in positively impacting society in a beneficial way. Our work in advancing the Christian faith for the public benefit is predicated on our passion to serve which comes from God’s love for everyone, and the Lord’s instruction to love your neighbour as yourself. Our mandate is to help people become like Christ in every aspect of life. Our goal is to equip, empower, and mobilize people to make kingdom impact outside the walls of Favour House Church. This is because we believe that advancing the Christian faith helps to bring meaning to people’s lives. Being part of a church community contributes to spiritual well-being and provides a sound moral or ethical framework to live by, and thus provide immense benefit to wider society by contributing to the individuals’ wellbeing and sense of purpose. Activities and services are designed and delivered through an enlightenment of the Word of God throughout the services to both adults and children at their appropriate age ranges. Opportunities are made available for anyone to discuss their concerns and questions after the service on Sundays and during the house groups on Fridays. ## Summary of the Main Activities and Achievements The charity operates variously as Favour House Church, Favour House Aid and Kings Summit. The weekly home Church meetings and Sunday morning worship services are held under the auspices of Favour House Church. Home Church meetings take place in Folkestone (Tuesday evenings) and in Canterbury (Wednesday evenings), while the Sunday morning worship services usually take place at The Canterbury Primary School, City View, Franklyn Road, Canterbury CT2 8PT. In the report year (2022-23), Home Church meetings took place in person, while Sunday worship services also took place in person. ## **FAVOUR HOUSE CHURCH** - Home Church meetings [online via Zoom and in person on 7:30pm (every Tuesday) at Folkestone and 6:00pm (Wednesdays) at Canterbury]. 6 Favour House | Registered Charity Number 1178990 - Worship service [online via YouTube and in person at The Canterbury Primary School from March 2022, every Sunday at 10:30am]. - Healing Wings meetings [online via YouTube and in person at St Andrews Church, Watling St, Canterbury CT1 2UA. A monthly praise and prayer outreach devoted to worshipping Jesus and experiencing God's tangible presence and healing touch. The church has continued to thrive as a result of the above activities. The number of people accessing the church service have also continued to increase with the use of YouTube for live streaming of the Sunday morning worship services. Video recordings of the worship services are routinely made available to the public on the church’s website and YouTube channel. ## **FAVOUR HOUSE AID** Favour House Aid in line with its vision to meet the needs of the poor and underprivileged has supported several individuals locally as well as donating to a charity operating in one of the poorest and remote communities in Nepal. Our home groups have continued their weekly outreach to share the gospel on the streets of Folkestone and as a church we remain committed to putting aside up to 10% of its revenue each quarter into a separate ‘Aid and Missions account’ and to seeking out specific projects where we could support the poor in our community. ## **THE KING’S SUMMIT** This year we continued to reach out to the business community in East Kent with the sixth annual Kings Summit Business Conference. We invited another 3 successful Christian Business Owners to share their journey to encourage and inspire fellow entrepreneurs to develop robust, sustainable, and scalable businesses in the region. We believe the Lord is calling us to continue to bring the message of the need for us all to be good stewards of our businesses and in doing so, He will bless all those who attended. This year we held the event again in collaboration with St Andrews URC Church, where the church hall can be opened out to cater for the 65 attendees of the conference. Once again, we benefited from sponsorship predominantly from Azets Accountants and this enabled all the costs to be covered and the ticket sales, which amounted to just under £1000 to be donated to Nurture Nepal and Mission Aviation Fellowship. 7 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 ## Statement of Financial Activities ## For the year ended 5 April 2023 |||**Unrestricted**|**Designated**|**Restricted**|**Total**|**Total**| |---|---|---|---|---|---|---| |||**funds**|**funds**|**funds**|**funds**|**funds**| |||**2023**|**2023**|**2023**|**2023**|**2022**| ||**Notes**|**£**|**£**|**£**|**£**|**£**| |**Income from:**||||||| |Voluntary income|2|35,646|-|-|35,646|25,629| |Gift Aid||3,554|||3,554|| |Investment income|||9|1|10|-| |**Total Income**||39,200|9|1|39,210|25,629| |**Expenditure on:**||||||| |Charitable activities||13,858|21,855|1,970|37,683|26,192| |Governance costs||643|-|-|643|1,159| |**Total Expenditure**|3|14,501|21,855|1,970|38,326|27,351| |**Surplus / (Deficit)**||24,699|(21,846)|(1,969)|884|(1,287)| |**Transfer between funds:**||(20,556)|18,284|2,272||| |**Reconciliation of funds:**||||||| |**Total funds carried forward**||10,887|3,208|845|14,940|| 8 Favour House | Registered Charity Number 1178990 ## Balance Sheet For the year ended 5[th] April 2023 |||**2022**|**2023**| |---|---|---|---| |**Category**|**Notes**|**£**|**£**| |**FIXED ASSETS**|5||| |Furniture and equipment||6,937|10,698| |**CURRENT ASSETS**|||| |Debtors||-|-| |Cash at bank and in hand||8,853|6,243| |**CURRENT LIABILITIES**|||| |Creditors: amount due within one year|6|-|-| |Creditors: amounts due after one year|7|-|-| |NET CURRENT ASSETS||15,790|16,941| |TOTAL ASSETS LESS CURRENT LIABILITIES||15,790|16,941| |**FUNDS**|||| |Unrestricted funds||8,478|12,888| |Designated funds|8|6,770|3,208| |Restricted funds|9|542|845| |**TOTAL FUNDS**||**15,790**|**16,941**| These financial statements were approved by the Board of Trustees on 31[st] January 2024 and signed on their behalf by: K. U. James Chair of Trustees 9 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 Notes to the Financial Statements For the year ended 5[th] April 2023 ## **1. ACCOUNTING POLICIES** ## **Basis of accounting** Favour House is a UK registered charity with the Charity Commission. The charity number and address of the registered office is given on page 3 if this report and financial statements. The accounts have been prepared under the historical cost convention and in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (Charities SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) effective 1 January 2015, and the Charities Act 2011. ## **Income** All income is included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. ## **Expenditure** All expenditure is accounted for on an accruals basis, is inclusive of VAT, and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources. Expenditure on charitable activities comprises all expenditure incurred directly in pursuance of the charity’s objectives. Governance costs are those costs incurred in connection with administration of the charity and compliance with constitutional and statutory requirements. Minimal expenditure is currently recorded under governance costs, as no amounts are included in the financial statements for the value of services donated by volunteers. ## **Tangible fixed assets and depreciation** Tangible fixed assets are capitalised and included at cost. Depreciation is provided on fixed assets at an annual rate of 25% on a straight-line basis, over their expected useful lives. ## **Funds accounting** Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. The charity does not currently hold any restricted fund. Designated funds are unrestricted funds that the trustees have set aside for a particular purpose. 10 Favour House | Registered Charity Number 1178990 ## **2. VOLUNTARY INCOME** ||**2023**|**2022**| |---|---|---| ||**£**|**£**| |Donations|39,200|25,629| ## **3. EXPENDITURE** |**Charitable activities**
Office/ Operational costs
Travel and subsistence expenses
Salaries/ Pension
Conferences/Speakers
Hospitality
Missions/ Donations
Venue hire/ Rent
Licences/ Subscriptions
Furniture/ Equipment
Literature/ Publicity
Depreciation
Miscellaneous expenses
**Governance costs**
Insurance
Bank charges
Accounts examination fee
CCPAS (disclosure checks)
Total expenditure|**2023**
**£**
3,296
1,421
14,000
451
1,384
1,970
7,855
3,865
5,494
3,111
1,734
339
414
135
-
94
43,820|**2022**
**£**
1,316
969
12,210
450
1,259
725
1,131
3,176
2262
356
2,088
250
383
645
-
131| |---|---|---| |||27,351| ## **4. TRUSTEE REMUNERATION AND EXPENSES** During the current year, Pastor King James (Trustee), was paid a salary of £12,860. A sum of £636 was also paid for expenses incurred in the discharge of his duties as minister. These payments are permitted under section 5.2 and 28.1 of the Favour House Governing Deed. 11 Trustees’ Annual Report | 6 April 2022 – 5 April 2023 ## **5. FIXED ASSETS** |**Furniture and equipment**
**Cost**
Brought forward
Additions
Carried forward
**Depreciation**
Brought forward
Charge for the year
Carried forward
**Net book value**
Brought forward
Carried forward|**£**
9,026
5,495| |---|---| ||14,520| ||2,088
1,734| ||3,822| ||6,937| ||10,698| ## **6. CREDITORS: Amounts due within one year** |Creditors and accruals|**2023**
**£**
-|**2022**
**£**| |---|---|---| |||-| ## **7. CREDITORS: Amounts due after one year** |Creditors and accruals|**2023**
**£**
-|**2022**
**£**| |---|---|---| |||-| 12 Favour House | Registered Charity Number 1178990 ## **8. DESIGNATED FUNDS** |Building and rent fund8
Salary and pension fund|**2023**
**£**
585
2623
3,208|**2022**
**£**
2,205
4,565| |---|---|---| |||6,770| ## **9. RESTRICTED FUNDS** Aid and Mission fund 9 |**2023**
**£**
845|**2022**
**£**| |---|---| ||542| ## **10. ANALYSIS OF NET ASSETS BETWEEN FUNDS** |Fixed assets
Current assets
Creditors due within one year
Creditors due after one year|**Unrestricted**

**£**
10,698
2,190
-
-
12,888|**Designated**
**£**
3,208
3,208|**Restricted**
**£**
-
845
-
-
845|**Total**
**£**| |---|---|---|---|---| |||||16,941| 13