2020-12-31-accounts

CHARITY REGISTRATION NUMBER: 1180182

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Unaudited Financial Statements

31 December 2020

BENSIRI CONSULTANCY SERVICES LIMITED

Certified Accountants Business Incubation Centre Durham Way South Newton Aycliffe Durham DL5 6XP

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Financial Statements

Year ended 31 December 2020.

	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

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Trustees' Annual Report

Year ended 31 December 2020.

The trustees present their report and the unaudited financial statements of the charity for the year ended 31 December 2020.

Reference and administrative details

Registered charity name	THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH
	SUNDERLAND
Charity registration number	1180182
Principal office	North Bridge Street
	Sunderland
	Tyne & Wear
	SR5 1AB
	England
The trustees
	MR F Ezenagu
	MR I 0DIGE
	MR S AFEGBUA
Independent examiner	Kofi Amoah Bentil - LLM, ACCA(CAT), BBA(Hons) Banking & Fin.
	Business Incubation Centre
	Durham Way South
	Newton Aycliffe
	Durham
	DL5 6XP

Structure, governance and management

Mr Peter Asuata is the Head Pastor; he is responsible for the daily management of the Charity, with support from the Trustee members. Mr Francis Ezenagu - Trustee Member Mr Israel Odige - Trustee Member

Mr Stanley Afegbua - Trustee Member

Objectives and activities

THE ADVANCEMENT OF THE CHRISTIAN FAITH WORLDWIDE IN ACCORDANCE WITH THE DOCTRINES SET OUT IN THE STATEMENT OF FAITH CONTAINED IN THE SCHEDULE

Achievements and performance

The Church during the reporting year was able to provide counselling, direction, and food to the less precollege in the society.

1

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Trustees' Annual Report (continued)

Year ended 31 December 2020.

Financial review

A review of the financial position at the end of the charity's second reporting period suggest that a reasonable amount of assets have been acquired and the charity is getting into a position where it can start holding financial reserves. The charity does not have any policy for holding reserves and does not hold any financial reserves. This is because the charity is in its second reporting period and revenues from donations and its related activities are encouraging.

The trustees' annual report was approved on 31 December 2020 and signed on behalf of the board of trustees by:

Peter Asuata Head Pastor

2

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Independent Examiner's Report to the Trustees of THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Year ended 31 December 2020.

I report to the trustees on my examination of the financial statements of THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND ('the charity') for the year ended 31 December 2020.

Responsibilities and basis of report

I report on the accounts for the year ended 31st December 2020. Respective responsibilities of trustees and examiner

The charity's trustees are responsible for the preparation of the accounts. The charity's trustees consider that an audit is not required for this year (under Section 43(2) of the Charities Act 1993(the 1993 Act)) and that an independent examination is required. The charity's gross income is above £10,000 and I am qualified to undertake the examination by being a qualified Certified Accounting Technician, supervised by HMRC Anti-Money Laundering. Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to: examine the accounts under Section 43 of the 1993 Act and to follow the procedures laid down in the General Directions given by the Charity Commission (under Section 43(7)(b) of the 1993 Act); and to state whether particular matters have come to my attention.

Independent examiner's statement

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 accounts do not accord with those records; or the accounts 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 the accounts 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 in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 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.

Kofi Amoah Bentil - LLM, ACCA(CAT), BBA(Hons) Banking & Fin. Independent Examiner

Business Incubation Centre Durham Way South Newton Aycliffe Durham DL5 6XP

3

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Statement of Financial Activities

Year ended 31 December 2020.

			2020	2020		2019
		Unrestricted	Restricted	Endowment
		funds	funds	funds	Total funds	Total funds
	Note	£	£	£	£	£
Income and endowments
Donations and legacies	4	118,920	–	–	118,920	1,941
Charitable activities	5	–	–	–	–	3,971
Other income	6	–	–	–	–	5,532
		--------------------------------	--------------	--------------	--------------------------------	----------------------------
Total income		118,920	–	–	118,920	11,444
		================================	==============	==============	================================	============================
Expenditure
Expenditure on raising funds:
Costs of raising
donations and
legacies	7	–	6,000	13,538	79,758	5,912
Expenditure on
charitable activities	8,9	–	–	–	39,162	–
		--------------------------------	-----------------------	----------------------------	--------------------------------	----------------------------
Total expenditure		–	6,000	13,538	118,920	5,912
		================================	=======================	============================	================================	============================
		--------------------------------	-----------------------	----------------------------	--------------------------------	----------------------------
Net income and net
movement in funds		118,920	(6,000)	(13,538)	–	5,532
		================================	=======================	============================	================================	============================
Reconciliation of funds
Total funds brought forward		5,532	–	–	5,532	–
		--------------------------------	-----------------------	----------------------------	--------------------------------	----------------------------
Total funds carried forward		124,452	(6,000)	(13,538)	104,914	–
		================================	=======================	============================	================================	============================

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.

4

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Statement of Financial Position

31 December 2020

		2020	2019
	Note	£	£
Fixed assets
Tangible fixed assets	13	5,532	5,532
		-----------------------	-----------------------
Total assets less current liabilities		5,532	5,532
		=======================	=======================
Funds of the charity
Endowment funds		(13,538)	–
Restricted funds		(6,000)	–
Unrestricted funds		124,452	–
		--------------------------------	--------------
Total charity funds	15	104,914	–
		================================	==============

These financial statements were approved by the board of trustees and authorised for issue on 31 December 2020, and are signed on behalf of the board by:

MR F EZENAGU Trustee

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

5

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Statement of Cash Flows

Year ended 31 December 2020.

	2020	2019
	£	£
Cash flows from operating activities
Net income	–	5,532
Adjustments for:
Government grant income	–	(3,631)
	--------------	-----------------------
Cash generated from operations	–	1,901
	--------------	-----------------------
Net cash from operating activities	–	1,901
	==============	=======================
Cash flows from investing activities.
Purchase of tangible assets	–	(3,860)
	--------------	-----------------------
Net cash used in investing activities	–	(3,860)
	==============	=======================
Cash flows from financing activities
Government grant income	–	3,631
	--------------	-----------------------
Net cash from financing activities	–	3,631
	==============	=======================
Net increase in cash and cash equivalents	–	1,672
Cash and cash equivalents at beginning of year	–	–
	--------------	-----------------------
Cash and cash equivalents at end of year	–	1,672
	==============	=======================

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

6

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements

Year ended 31 December 2020.

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 North Bridge Street, Sunderland, Tyne & wear, SR5 1AB, 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.

7

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

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.

8

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

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.

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.

Government grants

Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the charity will comply with the conditions attaching to them and the grants will be received.

Where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.

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.

9

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

3. Accounting policies (continued)

Financial instruments (continued)

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.

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

	Unrestricted	Endowment	Total Funds
	Funds	Funds	2020
	£	£	£
Donations
Donations type 1	118,920	–	118,920
Grants
Government grant income	–	–	–
	--------------------------------	--------------	--------------------------------
	118,920	–	118,920
	================================	==============	================================
	Unrestricted	Endowment	Total Funds
	Funds	Funds	2019
	£	£	£
Donations
Donations type 1	(3,971)	(5,532)	(1,690)

10

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

4.	Donations and legacies (continued)
			Unrestricted	Endowment	Total Funds
			Funds	Funds	2019
			£	£	£
	Grants
	Government grant income		–	–	3,631
			-----------------------	-----------------------	-----------------------
			(3,971)	(5,532)	1,941
			=======================	=======================	=======================
5.	Charitable activities
		Unrestricted	Total Funds	Unrestricted	Total Funds
		Funds	2020	Funds	2019
		£	£	£	£
	Other income from charitable activities
	type 1	–	–	3,971	3,971
		==============	==============	=======================	=======================
6.	Other income
		Endowment	Total Funds	Endowment	Total Funds
		Funds	2020	Funds	2019
		£	£	£	£
	Other income type 1	–	–	5,532	5,532
		==============	==============	=======================	=======================
7.	Costs of raising donations and legacies
			Restricted	Endowment	Total Funds
			Funds	Funds	2020
			£	£	£
	Costs of raising donations and legacies	- Donations	6,000	13,538	79,758
			=======================	============================	============================
			Restricted	Endowment	Total Funds
			Funds	Funds	2019
			£	£	£
8.	Expenditure on charitable activities by fund type
				Total Funds	Total Funds
				2020	2019
				£	£
	Activity type 27			39,162	–
9.	Expenditure on charitable activities by activity type
			Activities
			undertaken	Total funds	Total fund
			directly	2020	2019
			£	£	£
	Activity type 27		39,162	39,162	–
			============================	============================	==============

11

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

10. Independent examination fees

	2020	2019
	£	£
Fees payable to the independent examiner for:
Independent examination of the financial statements	200	200
	==============	==============

The fees paid to the independent for their services was £200 for the period.

11. Staff costs

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

2020	2019
£	£

The average head count of employees during the year was Nil (2019: Nil).

No employee received employee benefits of more than £60,000 during the year (2019: Nil).

12. Trustee remuneration and expenses

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

13. Tangible fixed assets

	Fixtures and		User defined
	fittings	Equipment	asset	Total
	£	£	£	£
Cost
At 1 January 2020 and
31 December 2020	240	1,432	3,860	5,532
	==============	=======================	=======================	=======================
Depreciation
At 1 January 2020 and
31 December 2020	–	–	–	–
	==============	=======================	=======================	=======================
Carrying amount
At 31 December 2020	240	1,432	3,860	5,532
	==============	=======================	=======================	=======================
At 31 December 2019	240	1,432	3,860	5,532
	==============	=======================	=======================	=======================

14. Government grants

The amounts recognised in the financial statements for government grants are as follows:

	2020	2019
	£	£
Recognised in income from donations and legacies:
Government grants income	–	3,631
	==============	=======================

12

THE REDEEMED CHRISTIAN CHURCH OF GOD LIVING FAITH SUNDERLAND

Notes to the Financial Statements (continued)

Year ended 31 December 2020.

15. Analysis of charitable funds

Unrestricted funds

			At				At
		1 January	20			31 Decembe
			20	Income	Expenditure	r	2020
		£		£	£		£
	General funds	5,532		118,920	–	124,452
		=======================		================================	==============	================================
			At				At
		1 January	20			31 December
			19	Income	Expenditure		2019
		£		£	£		£
	General funds		–	–	–		–
		==============		==============	==============		==============
	Restricted funds
			At				At
		1 January	20			31 Decembe
			20	Income	Expenditure	r	2020
		£		£	£		£
	Restricted Fund 1 - desc in a/cs		–	–	(6,000)	(6,000)
		==============		==============	=======================	=======================
			At				At
		1 January	20			31 December
			19	Income	Expenditure		2019
		£		£	£		£
	Restricted Fund 1 - desc in a/cs		–	–	–		–
		==============		==============	==============		==============
	Endowment funds
			At				At
		1 January	20			31 Decembe
			20	Income	Expenditure	r	2020
		£		£	£		£
	Permanent Endowment Fund 1 - desc
	in a/cs		–	–	(13,538)	(13,538)
		==============		==============	============================	============================
			At				At
		1 January	20			31 December
			19	Income	Expenditure		2019
		£		£	£		£
	Permanent Endowment Fund 1 - desc
	in a/cs		–	–	–		–
		==============		==============	==============		==============
16.	Analysis of changes in net debt
				At		At
				1 Jan 2020	Cash flows	31 Dec	2020
				£	£		£

13