2023-09-30-accounts

HAZARA COMMUNITY ASSOCIATION

FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2023

Registered Charity No. 1187340

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HAZARA COMMUNITY ASSOCIATION

INDEX

PAGE NUMBER

CONTENTS

GE NUMBER	CONTENTS
3-5	Trustees Annual Report
6	Independent Examiners Report
7	Statement of Financial Activities
8	Balance Sheet
9	Statement of Cash Flows
10-15	Notes to the Accounts

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HAZARA COMMUNITY ASSOCIATION

Report of the trustees for the year ended 30th September 2023

The trustees present their annual report and financial statements of the charity for the year ended 30th September 2023. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's trust deed, the Charities Act 2011 and Accounting and Reporting by Charities: 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 published (FRS 102) (effective 1 January 2019).

Reference and administrative information Charity Name: Hazara Community Association. Charity Number: 1187340

Trustees (up to date of signing) Nazir Moradi (Chair of Trustees) Appointed 05/03/2023 Mahdi Rezai Appointed 05/03/2023 Rohullah Nazari Appointed 05/03/2023 Abdurrahin Sharifi Resigned 05/03/2023 Hassan Rahmani Resigned 05/03/2023 Ramazan Ahmadi Resigned 05/03/2023 Mohammad Nabi Salehi Resigned 05/03/2023

Principal Office 33 Clarendon Street Manchester M15 5ED

Independent Examiners

Ark Accountants and Auditors Ltd. 334 Slade Lane Manchester, Greater Manchester M19 2BL

Bankers Lloyds Bank Plc I Legg St Chelmsford CM1 1JS

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HAZARA COMMUNITY ASSOCIATION

Objectives and Activities

The objects of the CIO are:

1. To advance the education and training of those granted refugee status and their dependants so as to advance them in life and assist them to adapt within a new community.

2. To advance the education of the public in general.

3. To provide facilities for recreation and leisure time occupation in the interest of social welfare and with the object of improving the conditions of life of those persons who have need of such facilities by reason of their youth, age, infirmity or disablement, financial hardship or social and economic circumstances.

In furtherance of these objectives the trustees will aim to establish or secure the establishment of a community centre and to maintain and manage such a centre for activities promoted by the CIO.

The trustees confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the Charity's aims and objectives, in planning future activities, and setting the policies for the year.

A review of our achievements and performance: How our activities delivered public benefit

We have closed the other charity (reg number: 1142522) and all the activities taking place under the CIO. All the building works have been completed and all the building regulation requirements have been made and the completion certificate has been given to us by the building inspectors. The building is fully insured. We are still in the process of completing the change of use application, and after the completion of change of use educational classes will commence.

The main achievements during the year were raising money for property repairs for our community so all our celebration, classes, and cultural festivals can be held at our community centre. We also organised Eid festival and volleyball sessions.

Searched for availability of fund for community to repair the purchased building.

Financial Review

The trustees are satisfied with the accounts. During the year trust has received income from donation and legacies is £9,336 (2022: £27,570) and from charitable activities is £10,453 (2022: £9,524).

Investment powers and policy

The trustees, having regard to the liquidity requirements of operating the charity, have kept available funds in a current account.

Reserves policy and going concern

The balance held in unrestricted reserves at 30th September 2023 was £226,777 (2022: £223,328) of which £5,157 (2022: £10,622.) are free reserves, after allowing for funds tied up in tangible fixed assets.

Risk management

The trustees have conducted a review of the major risks to which the charity is exposed, and systems have been established to mitigate those risks.

Plans for Future Periods

We plan to complete the change of use permission with the council and start educational classes for children and adults after that.

Structure, governance and management

The Charity is a registered charitable incorporated organisation and is constituted under a trust deed dated 14th January 2020.

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HAZARA COMMUNITY ASSOCIATION

Appointment of trustees

New trustees are appointed by existing trustees and serve for three years after which they may put themselves forward for re-appointment. The Trust Deed provides for a minimum of three trustees, to a maximum of twelve trustees, with no more than three trustees due for re-appointment in any one year.

At the quarterly trustee meetings, the trustees agree the broad strategy and areas of activity for the Charity, including investment, reserves and risk management policies and performance.

Trustee induction and training

The CIO trains and inducts trustees via a system of mentoring and internal training.

Trustees’ responsibilities in relation to the financial statements

The charity trustees are responsible for preparing a trustees' annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period. In preparing the financial statements, the trustees are required to:

• Select suitable accounting principles and then apply them consistently;

• Observe the methods and principles in the applicable Charities SORP;

• Make judgments and estimates that are reasonable and prudent;

• State whether applicable accounting standards have been followed, subject to any material departures that must be disclosed and explained in the financial statements;

• Prepare the financial statements on a going concern basis unless it is appropriate to presume that the charity will continue in business.

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provision of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the trustees on 29/05/2024 and signed on their behalf by

---

Nazir Moradi

Chair

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INDEPENDENT EXAMINERS REPORT TO THE TRUSTEES OF

HAZARA COMMUNITY ASSOCIATION

REGISTERED CHARITY NO. 1187340

I report on the accounts of the charity, for the Year ended 30th September 2023 which are set out on pages 7 to 15.

Respective Responsibilities of Trustees and Examiner

The charity's trustees are responsible for the preparation of the accounts. The charity trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011(the 2011 Act) and that an independent examination is needed. The charity is preparing accrued accounts, and I am qualified to undertake the examination.

It is my responsibility to:

• Examine the accounts under section 145 of the 2011 Act;

• follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and

• To state whether particular matters have come to my attention.

Basis of Independent Examiners 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 disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a “true and fair view”, and the report is limited to those matters set out below.

Independent Examiner's Statement

In connection with my examination no matter has come to my attention:

1. which gives me reasonable cause to believe that in any material respect the requirements:

2. to keep accounting records, have in accordance with section 130 of the 2011 Act; and

3. • to prepare accounts which accord with the accounting records and to comply with the accounting requirements of the 2011 Act, have not been met; or

4. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Signed:__ Muhammad Kashif

Date: 29/05/2024

Ark Accountants and Auditors Ltd. 334, Slade Lane Manchester, Greater Manchester M19 2BL

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HAZARA COMMUNITY ASSOCIATION

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30TH SEPTEMBER 2023

(Including income and expenditure account)

Note Income from: Donations and legacies 3 Charitable Activities 4 Total Expenditure on: Raising Funds 5 Charitable Activities 5 Total Net Income/(expenditure) Transfers between funds 10 Net movement in funds Reconciliation of funds 10 Totals funs brought forward Transferred from Hazara Charity (1142522) Total funds carried forward 10	Unrestricted Funds Restricted Funds Year ended 30 Sep 2023 Unrestricted Funds Restricted Funds Year ended 30 Sep 2022 £ £ £ £ £ £ - 9,336 9,336 - 27,570 27,570 10,453 - 10,453 9,524 - 9,524
	10,453 9,336 19,789 9,524 27,570 37,094
	- - - - - - 7,004 28,366 35,370 2,185 13,254 15,439
	7,004 28,366 35,370 2,185 13,254 15,439
	3,449 (19,030) (15,581) 7,339 14,316 21,655 - - - - - -
	3,449 (19,030) (15,581) 7,339 14,316 21,655 223,328 72,599 182,010 160,355 - 160,355 0 0 0 55,634 58,283 113,917
	226,777 53,569 280,346 223,328 72,599 295,927

The statement of financial activities includes all gains and losses in the year. All incoming resources and resources expended derive from continuing activities.

The notes on pages 10 to 15 form part of these accounts

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HAZARA COMMUNITY ASSOCIATION

BALANCE SHEET AS AT 30TH SEPTEMBER 2023

Notes Fixed assets: Tangible assets 8 Total fixed assets Current assets: Cash at Bank & in Hand Prepaid expenses Total current assets Liabilities: Creditors: Amounts falling due within one year 9 Net current assets or liabilities Total assets less current liabilities Total net assets or liabilities The funds of the charity: Restricted income funds 10 Unrestricted income funds 10 Total Charity funds	2023 2022 £ £ 275,189 285,305
	275,189 285,305
	4,764 11,672 1,443 -
	6,207 11,672
	1,050 1,050
	5,157 10,622
	280,346 295,927
	280,346 295,927
	53,569 72,599 226,777 223,328
	280,346 295,927

Approved on behalf of the Trustees Management Committee

Nazir Moradi (Chair) Date : 29/05/2024

The notes on pages 10 to 15 form part of these accounts

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HAZARA COMMUNITY ASSOCIATION

STATEMENT OF CASH FLOWS FOR TH YEAR ENDED 30TH SEPTEMBER 2023

Reconciliation of net movement in funds to net cash flow from the operating activities

Net movement in funds Add back depreciation Increase in current assets Increase/(decrease) in creditors Net cash used in operating activities Cash flows from investing activities: Purchase of fixed assets Net cash provided by investing activities Increase/(decrease) in cash and cash equivalents during the year Cash and cash equivalents brought forward Transferred from Hazara Charity (1142522) Cash and cash equivalents carried forward	Year ended 30 Sep 2023 Year ended 30 Sep 2022 £ £ (15,581) 21,655 10,116 10,458 (1,443) - - 1,050
	(6,908) 33,163
	- (22,598)
	- (22,598)
	(6,908) 10,565 11,672 - - 1,107
	4,764 11,672

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HAZARA COMMUNITY ASSOCIATION

NOTES TO THE ACCOUNTS

1. Accounting Policies

• (a) Basis of preparation and assessment of going concern

The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice.

Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 1[st] January 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. The charity constitutes a public benefit entity as defined by FRS 102.

• (b) Funds structure

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donor or trust deed. There is one restricted fund at the year end.

Unrestricted income funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objects.

Further details of each fund are disclosed in note 10.

• (c) Income recognition

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably.

Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity, and it is probable that those conditions will be fulfilled in the reporting period.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

• (d) Expenditure Recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accrual’s basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings. For more information on this attribution refer to note (f) below.

• (e) Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

• (f) Allocation of support and governance costs

Support costs have been allocated between governance costs and other support costs. Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to independent examination ad legal fees together with an apportionment of overhead and support costs.

Governance costs and support costs relating to charitable activities have been apportioned based on type of expense. The allocation of support and governance costs is analysed in note 8.

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HAZARA COMMUNITY ASSOCIATION

(g) Costs of raising funds

The costs of raising funds consists of events.

(h) Charitable Activities

Costs of charitable activities include governance costs and an apportionment of support costs as shown in note 5.

(i) Tangible fixed assets and depreciation

All assets costing more than £500 are capitalised and valued at historical cost. Depreciation is charged on the following basis:

Building 2% Straight Line Basis Fixtures & Fittings 20% Straight Line Basis Building Improvements 5% Straight Line Basis

(j) Realised gains and losses

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their varying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

(k) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

• (l) Creditors and Provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of the funds to a third party and the amount due to settle the obligation can be measured of estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

2. Related party transactions and trustees' expenses and remuneration

The trustees all give freely their time and expertise without any form of remuneration or other benefit in cash or kind. Expenses paid to the trustees in the period totalled £NIL (2022: £NIL.).

3. Donations and Legacies

Donations Total	Unrestricted Year Ended 30 September 2023 £ Restricted Year Ended 30 September 2023 £ Total Funds Year Ended 30 September 2023 £ Total Funds Year Ended 30 September 2022 £ - 9,336 9,336 27,570
	- 9,336 9,336 27,570

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HAZARA COMMUNITY ASSOCIATION

4. Income from Charitable Activities

Muharram Fundraising Membership Total	Unrestricted Year Ended 30 September 2023 £ Restricted Year Ended 30 September 2023 £ Total Funds Year Ended 30 September 2023 £ Total Funds Year Ended 30 September 2022 £ - - - 5,910 10,453 - 10,453 3,614
	10,453 - 10,453 9,524

5. Expenditure

Expenditure on raising funds: Event Costs Expenditure on charitable activities: Repairs and Maintenance Equipment Cleaning Governance Insurance Support Costs Electric and CCTV Sundry Utility Expenses Depreciation Total	Charitable Activities £ Year Ended 30 September 2023 £ Year Ended 30 September 2022 £ - - - 18,250 18,250 2,796 1,665 1,665 401 56 56 86 1,050 1,050 1,050 495 495 - 990 990 505 2,000 2,000 - 235 235 143 513 513 - 10,116 10,116 10,458	Charitable Activities £ Year Ended 30 September 2023 £ Year Ended 30 September 2022 £ - - - 18,250 18,250 2,796 1,665 1,665 401 56 56 86 1,050 1,050 1,050 495 495 - 990 990 505 2,000 2,000 - 235 235 143 513 513 - 10,116 10,116 10,458
	35,370 35,370 15,439
	Unrestricted Funds 7,003 2,185 Restricted Funds 28,367 13,254 Total Funds 35,370 15,439
		35,370 15,439

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HAZARA COMMUNITY ASSOCIATION

6. Allocation of governance and support costs

The breakdown of support costs and how these were allocated between governance and other support costs is shown below:

Basis for apportionment Insurance Type of Expenses Accountancy Fees Type of Expenses Total	General Support Governance 2023 Total 2022 Total 495 - 495 505 - 1,050 1,050 1,050
	495 1,050 1,545 1,555

7. Independent Examiner Fees

	Year Ended 30	Year Ended 30
	September 2023	September 2022
Independent Examination Fees	1,050	1,050
Total	1,050	1,050

8. Tangible Fixed Assets

Cost At 1 October 2022 Transferred in from Hazara Charity (1187340) Additions At 30 September 2023 Depreciation At 1 October 2022 Charged in the year At 30 September 2023 Net Book Value At 30 September 2022 At 30 September 2023	Building Building Improvement Fixtures & Fittings Total £ £ £ £ 160,891 134,558 850 296,299 - - - - - - - -
	160,891 134,558 850 296,299
	9,737 1,087 170 10,994 8,859 1,087 170 10,116
	18,596 2,174 340 21,110
	151,154 133,471 680 285,305
	142,295 132,384 510 275,189

9. Creditors: amount falling due within one year

Other Creditors and accruals Total	2023 £ 1,050 1,050	2022 £ 1,050
		1,050

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HAZARA COMMUNITY ASSOCIATION

10. Analysis of Charitable Funds

Analysis of movement in unrestricted funds

	Balance at	Balance at	Incoming	Resources	Transferred	Balance at 30
	1	October	Resources	Expended	in from	September
		2022			Charity	2023
		£	£	£		£
					£
General Fund		223,328	10,453	(7,004)	-	226,777
		223,328	10,453	(7,004)	-	226,777
nalysis of movement	in restricted		funds
	Balance at		Incoming	Resources	Transferred	Balance at 30
	1 October		Resources	Expended	in from	September
		2022			Charity	2023
		£	£	£	£	£
Restricted Donations		72,599	9,336	(28,366)	-	53,569
		72,599	9,336	(28,366)	-	53,569
Total Funds		295,927	19,789	(35,370)	-	280,346

Analysis of movement in restricted funds

Prior Year

Analysis of movement in unrestricted fund

General Fund	Balance at 1 October 2021 £ Incoming Resources £ Resources Expended £ Transferred in from Charity £ Balance at 30 September 2022 £ 160,355 9,524 (2,185) 55,634 223,328 160,355 9,524 (2,185) 55,634 223,328

Analysis of movement in restricted funds

Restricted Donations Total Funds	Balance at 1 October 2021 £ Incoming Resources £ Resources Expended £ Transferred in from Charity £ Balance at 30 September 2022 £ - 27,570 (13,254) 58,283 72,599
	- 27,570 (13,254) 58,283 72,599
	160,355 37,094 (15,439) 113,917 295,927

Name of restricted fund: Restricted Donations

Description, nature and purpose of the fund Towards building costs

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HAZARA COMMUNITY ASSOCIATION

11. Analysis of Net Assets between funds

Tangible Fixed Assets Cash at Bank and in hand Prepaid Expense Other Net Current Assets/(Liabilities) Total	Unrestricted Funds £ Restricted Funds £ Total £ 222,000 53,569 275,189 4,764 - 4,764 1,443 - 1,443 (1,050) - (1,050)
	226,777 53,569 280,346

Prior Year

Tangible Fixed Assets Cash at Bank and in hand Other Net Current Assets/(Liabilities) Total	Unrestricted Funds £ Restricted Funds £ Total £ 212,706 72,599 285,305 11,672 - 11,672 (1,050) - (1,050)
	223,328 72,599 295,927

12. Financial Instruments

The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognized on a transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at an amortized cost using the effective interest method.

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